XML 31 R17.htm IDEA: XBRL DOCUMENT v3.24.2.u1
Other Long-term Liabilities
6 Months Ended
Jun. 30, 2024
Other Liabilities, Noncurrent [Abstract]  
Other Long-term Liabilities

Note 7 — Other Long-term Liabilities

 

Other long-term liabilities are comprised of the following:

 

 

 

June 30, 2024

 

 

December 31, 2023

 

Deferred revenue

 

$

118.3

 

 

$

248.8

 

Asset retirement obligations

 

 

106.2

 

 

 

103.0

 

Operating lease liabilities

 

 

79.7

 

 

 

56.5

 

Other liabilities

 

 

4.5

 

 

 

6.8

 

Total other long-term liabilities

 

$

308.7

 

 

$

415.1

 

 

Deferred Revenue

 

We have certain long-term contractual arrangements for which we have received consideration that we are not yet able to recognize as revenue. The resulting deferred revenue will be recognized once all conditions for revenue recognition have been met.

 

Deferred revenue as of June 30, 2024 and December 31, 2023, was $118.3 million and $248.8 million, respectively. Deferred revenue as of December 31, 2023 included $129.0 million of payments received from Vitol Americas Corp. (“Vitol”) (formerly known as Noble Americas Corp.), a subsidiary of Vitol US Holding Co., in 2016, 2017, and 2018 as part of an agreement (the “Splitter Agreement”) related to the construction and operation of a crude oil and condensate splitter. In December 2018, Vitol elected to terminate the Splitter Agreement. As a result of a legal ruling in April 2024, the $129.0 million payments from Vitol were reclassified to Accrued liabilities on our Consolidated Balance Sheets during the first quarter of 2024. On April 26, 2024, we made a cash payment of $184.8 million which included cumulative interest on the award of $55.8 million to Vitol in satisfaction of the Texas state court judgment. See Note 12 – Contingencies for further details.

 

Deferred revenue includes nonmonetary consideration received in a 2015 amendment to a gas gathering and processing agreement and consideration received for other construction activities of facilities connected to our systems. Deferred revenue also includes contributions in aid of construction received from customers for which revenue is recognized over the expected contract term.

 

The following table shows the components of deferred revenue:

 

 

 

June 30, 2024

 

 

December 31, 2023

 

Contributions in aid of construction

 

$

87.2

 

 

$

86.4

 

Gas contract amendment

 

 

28.6

 

 

 

29.8

 

Splitter agreement

 

 

 

 

 

129.0

 

Other

 

 

2.5

 

 

 

3.6

 

Total deferred revenue

 

$

118.3

 

 

$

248.8

 

 

The following table shows the changes in deferred revenue:

 

Balance at December 31, 2023

 

$

248.8

 

Additions

 

 

7.2

 

Reclassification to accrued liabilities

 

 

(129.0

)

Revenue recognized

 

 

(8.7

)

Balance at June 30, 2024

 

$

118.3