XML 44 R32.htm IDEA: XBRL DOCUMENT
v3.20.2

Derivative Instruments and Hedging Activities (Tables) | 6 Months Ended
--- | ---
Jun. 30, 2020
Derivative Instruments And Hedging Activities Disclosure [Abstract] |
Notional Volume of Commodity Hedges | At June 30, 2020, the notional volumes of our commodity derivative contracts were:
Commodity | Instrument | Unit | 2020 |  | 2021 |  | 2022 |  | 2023 |  | 2024 |  | 2025 |
Natural Gas | Swaps | MMBtu/d |  | 167,230 |  |  | 166,216 |  |  | 86,100 |  |  | 20,000 |  |  | - |  |  | - |
Natural Gas | Basis Swaps | MMBtu/d |  | 416,374 |  |  | 450,566 |  |  | 295,390 |  |  | 250,000 |  |  | 90,000 |  |  | 5,000 |
NGL | Swaps | Bbl/d |  | 30,814 |  |  | 23,729 |  |  | 12,371 |  |  | - |  |  | - |  |  | - |
NGL | Futures | Bbl/d |  | 39,370 |  |  | 12,288 |  |  | - |  |  | - |  |  | - |  |  | - |
Condensate | Swaps | Bbl/d |  | 5,190 |  |  | 5,864 |  |  | 1,610 |  |  | - |  |  | - |  |  | - |
Fair Values of Derivative Instruments | The following schedules reflect the fair value of our derivative instruments and their location on our Consolidated Balance Sheets as well as pro forma reporting assuming that we reported derivatives subject to master netting agreements on a net basis:
|  |  |  | Fair Value as of June 30, 2020 |  |  | Fair Value as of December 31, 2019 |
|  | Balance Sheet |  | Derivative |  |  | Derivative |  |  | Derivative |  |  | Derivative |
|  | Location |  | Assets |  |  | Liabilities |  |  | Assets |  |  | Liabilities |
Derivatives designated as hedging instruments |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commodity contracts |  | Current |  | $ | 99.2 |  |  | $ | 74.6 |  |  | $ | 102.1 |  |  | $ | 11.6 |
|  | Long-term |  |  | 36.1 |  |  |  | 32.6 |  |  |  | 33.7 |  |  |  | 6.4 |
Total derivatives designated as hedging instruments |  |  |  | $ | 135.3 |  |  | $ | 107.2 |  |  | $ | 135.8 |  |  | $ | 18.0 |
Derivatives not designated as hedging instruments |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commodity contracts |  | Current |  | $ | 22.8 |  |  | $ | 5.9 |  |  | $ | 1.2 |  |  | $ | 92.5 |
|  | Long-term |  |  | 7.2 |  |  |  | 20.3 |  |  |  | 1.8 |  |  |  | 34.4 |
Total derivatives not designated as hedging instruments |  |  |  | $ | 30.0 |  |  | $ | 26.2 |  |  | $ | 3.0 |  |  | $ | 126.9 |
Total current position |  |  |  | $ | 122.0 |  |  | $ | 80.5 |  |  | $ | 103.3 |  |  | $ | 104.1 |
Total long-term position |  |  |  |  | 43.3 |  |  |  | 52.9 |  |  |  | 35.5 |  |  |  | 40.8 |
Total derivatives |  |  |  | $ | 165.3 |  |  | $ | 133.4 |  |  | $ | 138.8 |  |  | $ | 144.9 |
Pro Forma Impact of Derivatives Net in Consolidated Balance Sheet | The pro forma impact of reporting derivatives on our Consolidated Balance Sheets on a net basis is as follows:
|  | Gross Presentation |  |  | Pro Forma Net Presentation |
June 30, 2020 | Asset |  |  | Liability |  |  | Collateral |  |  | Asset |  |  | Liability |
Current Position |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Counterparties with offsetting positions or collateral | $ | 108.9 |  |  | $ | (80.5 | ) |  | $ | 48.2 |  |  | $ | 76.6 |  |  | $ | - |
| Counterparties without offsetting positions - assets |  | 13.1 |  |  |  | - |  |  |  | - |  |  |  | 13.1 |  |  |  | - |
| Counterparties without offsetting positions - liabilities |  | - |  |  |  | - |  |  |  | - |  |  |  | - |  |  |  | - |
|  |  | 122.0 |  |  |  | (80.5 | ) |  |  | 48.2 |  |  |  | 89.7 |  |  |  | - |
Long Term Position |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Counterparties with offsetting positions or collateral |  | 31.5 |  |  |  | (49.3 | ) |  |  | - |  |  |  | 6.6 |  |  |  | (24.4 | )
| Counterparties without offsetting positions - assets |  | 11.8 |  |  |  | - |  |  |  | - |  |  |  | 11.8 |  |  |  | - |
| Counterparties without offsetting positions - liabilities |  | - |  |  |  | (3.6 | ) |  |  | - |  |  |  | - |  |  |  | (3.6 | )
|  |  | 43.3 |  |  |  | (52.9 | ) |  |  | - |  |  |  | 18.4 |  |  |  | (28.0 | )
Total Derivatives |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Counterparties with offsetting positions or collateral |  | 140.4 |  |  |  | (129.8 | ) |  |  | 48.2 |  |  |  | 83.2 |  |  |  | (24.4 | )
| Counterparties without offsetting positions - assets |  | 24.9 |  |  |  | - |  |  |  | - |  |  |  | 24.9 |  |  |  | - |
| Counterparties without offsetting positions - liabilities |  | - |  |  |  | (3.6 | ) |  |  | - |  |  |  | - |  |  |  | (3.6 | )
|  | $ | 165.3 |  |  | $ | (133.4 | ) |  | $ | 48.2 |  |  | $ | 108.1 |  |  | $ | (28.0 | )
|  | Gross Presentation |  |  | Pro Forma Net Presentation |
December 31, 2019 | Asset |  |  | Liability |  |  | Collateral |  |  | Asset |  |  | Liability |
Current Position |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Counterparties with offsetting positions or collateral | $ | 99.8 |  |  | $ | (85.0 | ) |  | $ | (4.9 | ) |  | $ | 56.0 |  |  | $ | (46.1 | )
| Counterparties without offsetting positions - assets |  | 3.5 |  |  |  | - |  |  |  | - |  |  |  | 3.5 |  |  |  | - |
| Counterparties without offsetting positions - liabilities |  | - |  |  |  | (19.1 | ) |  |  | - |  |  |  | - |  |  |  | (19.1 | )
|  |  | 103.3 |  |  |  | (104.1 | ) |  |  | (4.9 | ) |  |  | 59.5 |  |  |  | (65.2 | )
Long Term Position |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Counterparties with offsetting positions or collateral |  | 33.3 |  |  |  | (40.5 | ) |  |  | - |  |  |  | 18.1 |  |  |  | (25.3 | )
| Counterparties without offsetting positions - assets |  | 2.2 |  |  |  | - |  |  |  | - |  |  |  | 2.2 |  |  |  | - |
| Counterparties without offsetting positions - liabilities |  | - |  |  |  | (0.3 | ) |  |  | - |  |  |  | - |  |  |  | (0.3 | )
|  |  | 35.5 |  |  |  | (40.8 | ) |  |  | - |  |  |  | 20.3 |  |  |  | (25.6 | )
Total Derivatives |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Counterparties with offsetting positions or collateral |  | 133.1 |  |  |  | (125.5 | ) |  |  | (4.9 | ) |  |  | 74.1 |  |  |  | (71.4 | )
| Counterparties without offsetting positions - assets |  | 5.7 |  |  |  | - |  |  |  | - |  |  |  | 5.7 |  |  |  | - |
| Counterparties without offsetting positions - liabilities |  | - |  |  |  | (19.4 | ) |  |  | - |  |  |  | - |  |  |  | (19.4 | )
|  | $ | 138.8 |  |  | $ | (144.9 | ) |  | $ | (4.9 | ) |  | $ | 79.8 |  |  | $ | (90.8 | )
Amounts Recorded in Other Comprehensive Income OCI and Amounts Reclassified from OCI to Revenue | The following tables reflect amounts recorded in Other comprehensive income (“OCI”) and amounts reclassified from OCI to revenue for the periods indicated:
|  | Gain (Loss) Recognized in OCI on Derivatives (Effective Portion) |
Derivatives in Cash Flow |  | Three Months Ended June 30, |  |  | Six Months Ended June 30, |
Hedging Relationships |  | 2020 |  |  | 2019 |  |  | 2020 |  |  | 2019 |
Commodity contracts |  | $ | (133.0 | ) |  | $ | 88.4 |  |  | $ | 26.2 |  |  | $ | 49.6 |
|  | Gain (Loss) Reclassified from OCI into Income (Effective Portion) |
|  | Three Months Ended June 30, |  |  | Six Months Ended June 30, |
Location of Gain (Loss) |  | 2020 |  |  | 2019 |  |  | 2020 |  |  | 2019 |
Revenues |  | $ | 60.2 |  |  | $ | 43.3 |  |  | $ | 120.3 |  |  | $ | 64.6 |
Gain (Loss) Recognized in Income on Derivatives | For the three and six months ended June 30, 2020, the unrealized mark-to-market gains are primarily attributable to favorable movements in natural gas forward basis prices, as compared to our hedged positions.
|  | Location of Gain |  | Gain (Loss) Recognized in Income on Derivatives |
Derivatives Not Designated |  | Recognized in Income on |  | Three Months Ended June 30, |  |  | Six Months Ended June 30, |
as Hedging Instruments |  | Derivatives |  | 2020 |  |  | 2019 |  |  | 2020 |  |  | 2019 |
Commodity contracts |  | Revenue |  | $ | 8.1 |  |  | $ | (1.1 | ) |  | $ | 107.8 |  |  | $ | (10.5 | )

X
- Definition Tabular disclosure of pro forma impact of derivatives net in the Consolidated Balance Sheet. + References No definition available. + Details
Name: | trgp_ProFormaImpactOfDerivativesNetInConsolidatedBalanceSheetTableTextBlock
Namespace Prefix: | trgp_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | us-gaap_DerivativeInstrumentsAndHedgingActivitiesDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the effective portion of the gains and losses on derivative instruments designated (and non-derivative instruments) designated and qualifying in cash flow hedges and net investment hedges that was recognized in other comprehensive income (loss) during the current period. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 4C -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=109980867&loc=SL5624171-113959 + Details
Name: | us-gaap_ScheduleOfDerivativeInstrumentsEffectOnOtherComprehensiveIncomeLossTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the location and fair value amounts of derivative instruments (and nonderivative instruments that are designated and qualify as hedging instruments) reported in the statement of financial position. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 4B -URI http://asc.fasb.org/extlink&oid=109980867&loc=SL5624163-113959 + Details
Name: | us-gaap_ScheduleOfDerivativeInstrumentsInStatementOfFinancialPositionFairValueTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the notional amounts of outstanding derivative positions. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 1A -Subparagraph (d) -URI http://asc.fasb.org/extlink&oid=109980867&loc=SL5579245-113959 + Details
Name: | us-gaap_ScheduleOfNotionalAmountsOfOutstandingDerivativePositionsTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of derivative instrument not designated or qualifying as hedging instrument. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 4C -Subparagraph (e) -URI http://asc.fasb.org/extlink&oid=109980867&loc=SL5624171-113959 Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 4CC -URI http://asc.fasb.org/extlink&oid=109980867&loc=SL109998890-113959 + Details
Name: | us-gaap_ScheduleOfOtherDerivativesNotDesignatedAsHedgingInstrumentsStatementsOfFinancialPerformanceAndFinancialPositionLocationTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration