XML 24 R13.htm IDEA: XBRL DOCUMENT
v3.24.2.u1

Note 5 - Other Investments | 9 Months Ended
--- | ---
Jun. 30, 2024
Notes to Financial Statements |
Equity Method Investments and Joint Ventures Disclosure [Text Block] |
5. | Other Investments
Midstream owns a less than 1% equity investment in the LLC that owns the MVP, which went into service in June 2024. Midstream is also a less than 1% investor, accounted for under the cost method, in Southgate, which is in the design and permitting phase. While under construction, AFUDC provided the majority of the income recognized by Midstream. The amount of AFUDC recognized during the current and prior year is included in the equity in earnings of unconsolidated affiliate in the tables below. AFUDC ceased in June 2024 when the pipeline went into service. The Company participates in the earnings of the MVP proportionate to its level of investment. With the MVP in operation, the Company recognizes its share of earnings from the MVP, favorably adjusted for a basis difference between the Company's proportional share of assets and its carrying value that arose when the Company recorded an other-than-temporary impairment of its investment in 2022. This basis difference will be amortized over the operational life of the MVP. Midstream assesses the value of its investment in the LLC on at least a quarterly basis, and no impairment indicators were identified in fiscal 2023 or fiscal 2024 to date. Funding for Midstream's investments has been provided through equity contributions from Resources and unsecured promissory notes as detailed in Note 7. Investment balances of MVP and Southgate, as of June 30, 2024 and September 30, 2023, are reflected in the table below:
Balance Sheet location: |  | June 30, 2024 |  |  | September 30, 2023 |
Other Assets: |  |  |  |  |  |  |  |
MVP |  | $ | 20,076,299 |  |  | $ | 17,096,476 |
Southgate |  |  | 99,360 |  |  |  | 90,617 |
Investment in unconsolidated affiliates |  | $ | 20,175,659 |  |  | $ | 17,187,093 |
|  | Three Months Ended June 30, |  |  | Nine Months Ended June 30, |
Income Statement location: |  |  | 2024 |  |  |  | 2023 |  |  |  | 2024 |  |  |  | 2023 |
Equity in earnings of unconsolidated affiliate |  | $ | 282,604 |  |  | $ | 519,482 |  |  | $ | 2,979,823 |  |  | $ | 523,581 |
|  | June 30, 2024 |  |  | September 30, 2023 |
Undistributed earnings, net of income taxes, of MVP in retained earnings, excluding impairment |  | $ | 11,896,616 |  |  | $ | 9,683,797 |
The undistributed earnings does not include the impairment of the investment in the LLC. The change in the investment in unconsolidated affiliates is provided below:
|  | Nine Months Ended June 30, |
|  | 2024 |  |  | 2023 |
Cash investment |  | $ | 8,743 |  |  | $ | 2,132,679 |
Change in accrued capital calls |  |  | — |  |  |  | (803,998 | )
Equity in earnings of unconsolidated affiliate |  |  | 2,979,823 |  |  |  | 523,581 |
Change in investment in unconsolidated affiliates |  | $ | 2,988,566 |  |  | $ | 1,852,262 |
Summary unaudited financial statements of MVP are presented below. Southgate financial statements, which are accounted for under the cost method, are not included.
|  | Income Statements |
|  | Three Months Ended June 30, |  |  | Nine Months Ended June 30, |
|  | 2024 |  |  | 2023 |  |  | 2024 |  |  | 2023 |
Revenue |  | $ | 3,723,469 |  |  | $ | — |  |  | $ | 3,723,469 |  |  | $ | — |
Operating expenses |  |  | (10,822,325 | ) |  |  | — |  |  |  | (10,822,325 | ) |  |  | — |
AFUDC |  |  | 38,815,497 |  |  |  | 49,744,717 |  |  |  | 343,916,298 |  |  |  | 49,744,717 |
Other income, net |  |  | 1,899,904 |  |  |  | 304,093 |  |  |  | 7,799,966 |  |  |  | 723,805 |
Net income |  | $ | 33,616,545 |  |  | $ | 50,048,810 |  |  | $ | 344,617,408 |  |  | $ | 50,468,522 |
|  | Balance Sheets |
|  | June 30, 2024 |  |  | September 30, 2023 |
Assets: |  |  |  |  |  |  |  |
Current assets |  | $ | 181,484,706 |  |  | $ | 795,787,358 |
Construction work in progress |  |  | — |  |  |  | 7,499,128,254 |
Property, plant and equipment, net |  |  | 9,416,489,036 |  |  |  | — |
Other assets |  |  | 13,944,447 |  |  |  | 11,639,586 |
Total assets |  | $ | 9,611,918,189 |  |  | $ | 8,306,555,198 |
Liabilities and Equity: |  |  |  |  |  |  |  |
Current liabilities |  | $ | 218,689,919 |  |  | $ | 236,947,158 |
Noncurrent liabilities |  |  | 32,500 |  |  |  | — |
Capital |  |  | 9,393,195,770 |  |  |  | 8,069,608,040 |
Total liabilities and equity |  | $ | 9,611,918,189 |  |  | $ | 8,306,555,198 |

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

X
- 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/recommendedDisclosureRef -Topic 740 -SubTopic 323 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (f) -Publisher FASB -URI https://asc.fasb.org/1943274/2147478156/740-323-50-2 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 323 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 3 -Subparagraph (a)(3) -Publisher FASB -URI https://asc.fasb.org/1943274/2147481687/323-10-50-3 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 323 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 3 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org/1943274/2147481687/323-10-50-3 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Name Accounting Standards Codification -Topic 323 -Publisher FASB -URI https://asc.fasb.org/323/tableOfContent + Details
Name: | us-gaap_EquityMethodInvestmentsDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration