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Investments in Unconsolidated Entities | 6 Months Ended
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Jun. 30, 2020
Equity Method Investments and Joint Ventures [Abstract] |
Investments in Unconsolidated Entities | Investments in Unconsolidated Entities Our investments in unconsolidated entities consisted of the following (in millions, except percentage data):
|  |  |  | Ownership Interest at June 30, 2020 |  | Investment Balance |  |
Entity (1) |  | Type of Operation |  |  |  | June 30, 2020 |  | December 31, 2019
BridgeTex Pipeline Company, LLC |  | Crude Oil Pipeline |  | 20% |  | $ | 424 |  |  | $ | 431 |
Cactus II Pipeline LLC |  | Crude Oil Pipeline |  | 65% |  | 789 |  |  | 738 |
Capline Pipeline Company LLC |  | Crude Oil Pipeline (2) |  | 54% |  | 503 |  |  | 484 |
Diamond Pipeline LLC |  | Crude Oil Pipeline |  | 50% |  | 479 |  |  | 476 |
Eagle Ford Pipeline LLC |  | Crude Oil Pipeline |  | 50% |  | 375 |  |  | 382 |
Eagle Ford Terminals Corpus Christi LLC (“Eagle Ford Terminals”) |  | Crude Oil Terminal and Dock |  | 50% |  | 122 |  |  | 126 |
Red Oak Pipeline LLC (“Red Oak”) |  | Crude Oil Pipeline |  | 50% |  | 35 |  |  | 20 |
Saddlehorn Pipeline Company, LLC (“Saddlehorn”) |  | Crude Oil Pipeline |  | 30% |  | 198 |  |  | 234 |
STACK Pipeline LLC |  | Crude Oil Pipeline |  | 50% |  | 114 |  |  | 117 |
White Cliffs Pipeline, LLC |  | Crude Oil Pipeline |  | 36% |  | 197 |  |  | 196 |
Wink to Webster Pipeline LLC |  | Crude Oil Pipeline (3) |  | 16% |  | 242 |  |  | 136 |
Other investments |  |  |  |  |  | 303 |  |  | 343 |
Total investments in unconsolidated entities |  |  |  |  |  | $ | 3,781 |  |  | $ | 3,683 |
(1)Except for Eagle Ford Terminals, which is reported in our Facilities segment, the financial results from the entities are reported in our Transportation segment. (2)The Capline pipeline was taken out of service pending the reversal of the pipeline system. (3)Asset is currently under construction and has not yet been placed in service. Impairments In March 2020, the partners of Red Oak announced they were deferring the Red Oak pipeline project and suspending actions that would require additional capital spending on the project, and that they would re-evaluate demand for the project in light of recent market developments. During the second quarter, we (“PAA”) determined that we would not proceed with the project as previously contemplated, and we determined that there was an other-than-temporary impairment of our investment in Red Oak. We wrote our investment in Red Oak down to the estimated residual value of our share of the net assets. In addition, during the first quarter of 2020, we recorded a write-down of certain of our investments included in “Other investments” in the table above due to an other-than-temporary impairment related to a decline in market conditions. As a result of these write-downs, during the three and six months ended June 30, 2020, we recognized losses of $69 million and $112 million, respectively. These losses are reflected in “Gain on/(impairment of) investments in unconsolidated entities, net” on our Condensed Consolidated Statement of Operations. Divestitures Saddlehorn. In February 2020, we sold a 10% ownership interest in Saddlehorn for proceeds of approximately $78 million, including working capital adjustments, and have retained a 30% ownership interest. We recorded a gain of approximately $21 million related to this sale, which is included in “Gain on/(impairment of) investments in unconsolidated entities” on our Condensed Consolidated Statement of Operations. We continue to account for our remaining interest under the equity method of accounting.

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- Definition The entire disclosure for equity method investments and joint ventures. Equity method investments are investments that give the investor the ability to exercise significant influence over the operating and financial policies of an investee. Joint ventures are entities owned and operated by a small group of businesses as a separate and specific business or project for the mutual benefit of the members of the group. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 323 -URI http://asc.fasb.org/topic&trid=2196965 + Details
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