Discontinued Operations

6 Months Ended

Jun. 30, 2025

Discontinued Operations and Disposal Groups [Abstract]

The operations of the Canadian NGL Business meet the criteria for classification as held for sale and presentation as discontinued operations. The Canadian NGL Business disposal group is recorded at its historical carrying value, as the fair value of the disposal group, less estimated costs to sell, is greater than the carrying value of the Canadian NGL Business disposal group. Depreciation and amortization on the long-lived assets of the Canadian NGL Business disposal group ceased upon meeting the criteria to be classified as assets held for sale. See Note 1 for information regarding the pending sale of the Canadian NGL Business.

The following table summarizes the carrying amounts of major classes of assets and liabilities of discontinued operations (in millions):


	June 30, 2025		December 31, 2024
Assets:
Current assets:

Trade accounts receivable and other receivables, net	$	193	$	222
Inventory	168		178
Other current assets	24		15
Total current assets of discontinued operations	$	385	$	415

Long-term assets:
Property and equipment, net (1)	$	2,118	$	1,978

Linefill	71		64
Long-term operating lease right-of-use assets, net	137		143
Long-term inventory	41		38
Other long-term assets, net	115		126
Total long-term assets of discontinued operations	$	2,482	$	2,349

Liabilities:
Current liabilities:
Trade accounts payable	$	222	$	234
Short-term debt	1		1
Other current liabilities	90		115
Total current liabilities of discontinued operations	$	313	$	350

Long-term liabilities:

Long-term operating lease liabilities	$	107	$	121
Other long-term liabilities and deferred credits	491		455
Total long-term liabilities of discontinued operations	$	598	$	576

(1)Amounts are net of accumulated depreciation of $887 million and $794 million as of June 30, 2025 and December 31, 2024, respectively.

The following table provides a reconciliation of the line items comprising pretax income from discontinued operations to income from discontinued operations, net of tax (in millions):


	Three Months Ended June 30,				Six Months Ended June 30,
	2025		2024		2025		2024
Revenues:
Product sales	$	181	$	142	$	679	$	455
Services	30		34		66		77
Total revenues	211		176		745		532
Cost and Expenses:
Purchases and related costs	10		20		252		232
Field operating costs	53		70		122		155
General and administrative expenses	12		14		26		29
Depreciation and amortization	27		31		57		62
(Gains)/losses on asset sales, net	13		(1)		13		(2)
Total costs and expenses	115		134		470		476

Income from discontinued operations before tax	96		42		275		56
Current income tax expense	(14)		(17)		(54)		(55)
Deferred income tax (expense)/benefit	(12)		7		(15)		41
Income from discontinued operations, net of tax	$	70	$	32	$	206	$	42