Document and Entity Information
Document and Entity Information | 9 Months Ended |
Sep. 30, 2020 | |
Document And Entity Information [Abstract] | |
Document Type | 6-K |
Amendment Flag | false |
Document Period End Date | Sep. 30, 2020 |
Document Fiscal Year Focus | 2020 |
Document Fiscal Period Focus | Q3 |
Entity Registrant Name | Teekay LNG Partners L.P. |
Entity Central Index Key | 0001308106 |
Current Fiscal Year End Date | --12-31 |
Unaudited Consolidated Statemen
Unaudited Consolidated Statements of Income - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Income Statement [Abstract] | ||||
Voyage revenues (notes 6 and 10a) | $ 148,935 | $ 149,655 | $ 437,027 | $ 452,459 |
Voyage expenses | (3,950) | (4,961) | (11,596) | (16,759) |
Vessel operating expenses | (30,642) | (27,321) | (85,153) | (80,879) |
Time-charter hire expenses | (5,980) | (5,336) | (17,270) | (14,007) |
Depreciation and amortization | (32,601) | (34,248) | (96,869) | (103,712) |
General and administrative expenses | (6,165) | (5,393) | (20,215) | (17,692) |
Write-down of vessels (note 15) | 0 | (785) | (45,000) | (785) |
Restructuring charges (note 14) | 0 | 0 | 0 | (2,976) |
Income (loss) from vessel operations | 69,597 | 71,611 | 160,924 | 215,649 |
Equity income (notes 7 and 10a) | 24,346 | 21,296 | 56,874 | 28,612 |
Interest expense | (30,528) | (40,574) | (102,375) | (123,809) |
Interest income (note 7) | 1,406 | 1,025 | 5,473 | 3,063 |
Realized and unrealized loss on non-designated derivative instruments (note 11) | (1,327) | (3,270) | (30,314) | (17,713) |
Foreign currency exchange (loss) gain (notes 8 and 11) | (7,853) | 2,879 | (14,738) | (5,095) |
Other expense (note 3b) | (14,149) | (1,828) | (15,189) | (2,064) |
Net income before income tax expense | 41,492 | 51,139 | 60,655 | 98,643 |
Income tax expense (note 9) | (1,420) | (788) | (2,128) | (5,115) |
Net income | 40,072 | 50,351 | 58,527 | 93,528 |
Non-controlling interest in net (loss) income | (203) | 2,983 | 6,312 | 8,108 |
Preferred unitholders' interest in comprehensive income | 6,425 | 6,426 | 19,275 | 19,276 |
General partner's interest in net income | 595 | 820 | 519 | 1,324 |
Limited partners’ interest in net income | $ 33,255 | $ 40,122 | $ 32,421 | $ 64,820 |
Limited partners’ interest in net income per common unit (note 13): | ||||
Basic (usd per unit) | $ 0.38 | $ 0.51 | $ 0.40 | $ 0.83 |
Diluted (usd per unit) | $ 0.38 | $ 0.51 | $ 0.39 | $ 0.83 |
Weighted-average number of common units outstanding (note 13): | ||||
Basic (units) | 86,951,234 | 78,012,514 | 82,010,753 | 78,402,239 |
Diluted (units) | 87,041,046 | 78,106,770 | 82,109,826 | 78,488,331 |
Unaudited Consolidated Statem_2
Unaudited Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Net income | $ 40,072 | $ 50,351 | $ 58,527 | $ 93,528 |
Other comprehensive income (loss) before reclassifications | ||||
Unrealized loss on qualifying cash flow hedging instruments, net of tax | (959) | (19,577) | (69,593) | (71,815) |
Other comprehensive income (loss) | 4,531 | (19,198) | (57,538) | (72,541) |
Comprehensive income | 44,603 | 31,153 | 989 | 20,987 |
Non-controlling interest in comprehensive (loss) income | (18) | 2,310 | 3,429 | 5,210 |
Preferred unitholders' interest in comprehensive income | 6,425 | 6,426 | 19,275 | 19,276 |
General and Limited partners' interest in comprehensive income (loss) | 38,196 | 22,417 | (21,715) | (3,499) |
Equity income | ||||
Other comprehensive income (loss) before reclassifications | ||||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), Reclassification, after Tax | 4,655 | 401 | 10,586 | (296) |
Interest expense | ||||
Other comprehensive income (loss) before reclassifications | ||||
Unrealized loss on qualifying cash flow hedging instruments, net of tax | 616 | (2,244) | (9,610) | (9,646) |
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), Reclassification, after Tax | $ 835 | $ (22) | $ 1,469 | $ (430) |
Unaudited Consolidated Balance
Unaudited Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2020 | May 11, 2020 | Dec. 31, 2019 |
Current | |||
Cash and cash equivalents | $ 201,036 | $ 160,221 | |
Restricted cash – current (note 16a) | 11,224 | 53,689 | |
Accounts receivable, including non-trade of $4,777 (2019 – $10,688) | 6,753 | 13,460 | |
Prepaid expenses | 9,706 | 6,796 | |
Current portion of derivative assets (note 11) | 0 | 355 | |
Current portion of net investments in direct financing and sales-type leases, net (notes 3b and 6) | 13,762 | 273,986 | |
Advances to affiliates (note 10b) | 1,953 | 5,143 | |
Other current assets | 237 | 238 | |
Total current assets | 244,671 | 513,888 | |
Restricted cash – long-term (note 16a) | 42,577 | 39,381 | |
Property, Plant and Equipment, Net | 1,244,123 | 1,335,397 | |
Vessels and equipment | |||
Vessels related to finance leases, at cost, less accumulated depreciation of $145,472 (2019 – $109,853) (note 5a) | 1,664,059 | 1,691,945 | |
Operating lease right-of-use asset (note 5b) | 24,179 | 34,157 | |
Total vessels and equipment | 2,932,361 | 3,061,499 | |
Investments in and advances, net to equity-accounted joint ventures (notes 3b and 7) | 1,092,724 | 1,155,316 | |
Net investments in direct financing and sales-type leases, net (notes 3b and 6) | 508,561 | 544,823 | |
Other assets | 20,025 | 14,738 | |
Derivative assets (note 11) | 0 | 1,834 | |
Intangible assets – net | 36,724 | 43,366 | |
Goodwill | 34,841 | 34,841 | |
Total assets | 4,912,484 | 5,409,686 | |
Current | |||
Accounts payable | 2,319 | 5,094 | |
Accrued liabilities (notes 11 and 14) | 84,975 | 76,752 | |
Unearned revenue (note 6) | 32,685 | 28,759 | |
Current portion of long-term debt (note 8) | 291,720 | 393,065 | |
Current obligations related to finance leases (note 5a) | 71,441 | 69,982 | |
Current portion of operating lease liabilities (note 5b) | 13,841 | 13,407 | |
Current portion of derivative liabilities (note 11) | 35,616 | 38,458 | |
Advances from affiliates (note 10b) | 13,970 | 7,003 | |
Total current liabilities | 546,567 | 632,520 | |
Long-term debt (note 8) | 1,201,909 | 1,438,331 | |
Long-term obligations related to finance leases (note 5a) | 1,287,044 | 1,340,922 | |
Long-term operating lease liabilities (note 5b) | 10,338 | 20,750 | |
Derivative liabilities (note 11) | 81,991 | 51,006 | |
Other long-term liabilities (note 12b) | 53,088 | 49,182 | |
Total liabilities | 3,180,937 | 3,532,711 | |
Commitments and contingencies (notes 5, 7, 8, 11 and 12) | |||
Equity | |||
Limited partners - common units (Unlimited units authorized; 87.0 million units and 77.5 million units issued and outstanding at September 30, 2020 and December 31, 2019, respectively) | 1,459,599 | $ 2,300 | 1,543,598 |
Limited partners - preferred units (11.9 million units authorized; 11.8 million units issued and outstanding at September 30, 2020 and December 31, 2019) | 285,159 | 285,159 | |
General partner | 46,081 | $ (2,300) | 50,241 |
Accumulated other comprehensive loss | (111,967) | (57,312) | |
Partners' equity | 1,678,872 | 1,821,686 | |
Non-controlling interest | 52,675 | 55,289 | |
Total equity | 1,731,547 | 1,876,975 | |
Total liabilities and total equity | 4,912,484 | 5,409,686 | |
Accounts receivable, non-trade | $ 4,777 | $ 10,688 |
Unaudited Consolidated Balanc_2
Unaudited Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands, shares in Millions | Sep. 30, 2020 | Dec. 31, 2019 |
Statement of Financial Position [Abstract] | ||
Accounts receivable, non-trade | $ 4,777 | $ 10,688 |
Accumulated depreciation on vessel and equipment | 729,852 | 711,758 |
Accumulated Depreciation on Finance Leases | $ 145,472 | $ 109,853 |
Limited Partners - common units issued (in shares) | 87 | 77.5 |
Limited Partners - common units outstanding (in shares) | 87 | 77.5 |
Preferred Units, Authorized | 11.9 | 11.9 |
Limited Partners - preferred units issued (in shares) | 11.8 | 11.8 |
Limited Partners - preferred units outstanding (in shares) | 11.8 | 11.8 |
Unaudited Consolidated Statem_3
Unaudited Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
OPERATING ACTIVITIES | ||
Net income | $ 58,527 | $ 93,528 |
Non-cash and non-operating items: | ||
Unrealized loss on non-designated derivative instruments (note 11) | 18,553 | 10,315 |
Depreciation and amortization | 96,869 | 103,712 |
Write-down of vessels (note 15) | 45,000 | 785 |
Unrealized foreign currency exchange loss (gain) including the effect of settlement of cross currency swaps upon maturity (note 11) | 10,697 | (1,213) |
Equity income, net of distributions received $32,297 (2019 – $25,374) | (24,577) | (3,238) |
Amortization of deferred financing issuance costs included in interest expense | 4,401 | 6,722 |
Provision for Loan, Lease, and Other Losses | 14,557 | 0 |
Other Non-cash items | 3,595 | 6,173 |
Receipts from direct financing and sales-type leases | 270,973 | 9,242 |
Expenditures for dry docking | (1,984) | (8,836) |
Other non-cash operating assets and liabilities | 15,960 | (15,227) |
Net operating cash flow | 512,571 | 201,963 |
FINANCING ACTIVITIES | ||
Proceeds from issuance of long-term debt | 561,127 | 158,924 |
Scheduled repayments of long-term debt and settlement of related swaps (note 11) | (220,875) | (95,730) |
Prepayments of long-term debt | (687,061) | (183,787) |
Financing issuance costs | (5,111) | (989) |
Proceeds from financing related to sales and leaseback of vessels | 0 | 317,806 |
Scheduled repayments of obligations related to finance leases | (52,419) | (54,484) |
Repurchase of common units (note 13) | (15,635) | (25,729) |
Payments of Ordinary Dividends | 75,845 | 60,926 |
Proceeds from (Payments for) Other Financing Activities | (3,390) | (90) |
Payments to Noncontrolling Interests | 2,219 | 0 |
Net financing cash flow | (501,428) | (56,622) |
INVESTING ACTIVITIES | ||
Expenditures for vessels and equipment | (9,597) | (91,503) |
Capital contributions and advances to equity-accounted joint ventures | 0 | (42,171) |
Net investing cash flow | (9,597) | (133,674) |
Increase in cash, cash equivalents and restricted cash | 1,546 | 11,667 |
Cash, cash equivalents and restricted cash, beginning of the period | 253,291 | 222,864 |
Cash, cash equivalents and restricted cash, end of the period | 254,837 | 234,531 |
Repayments of Long-term Capital Lease Obligations | $ 0 | $ (111,617) |
Unaudited Consolidated Statem_4
Unaudited Consolidated Statements of Cash Flows (Parenthetical) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Statement of Cash Flows [Abstract] | ||
Proceeds from Equity Method Investment, Distribution | $ 32,297 | $ 25,374 |
Unaudited Consolidated Statem_5
Unaudited Consolidated Statement of Changes in Total Equity - USD ($) shares in Thousands, $ in Thousands | Total | General Partner | Common UnitsLimited Partners | Preferred UnitsLimited Partners | Accumulated Other Comprehensive Income (Loss) | Non- controlling Interest | Preferred units Series A ($0.5625 per unit) | Preferred units Series A ($0.5625 per unit)Preferred UnitsLimited Partners | Preferred units Series B ($0.5313 per unit) | Preferred units Series B ($0.5313 per unit)Preferred UnitsLimited Partners |
Beginning balance, units at Dec. 31, 2018 | 79,361 | 11,800 | ||||||||
Beginning balance at Dec. 31, 2018 | $ 1,882,597 | $ 49,271 | $ 1,496,107 | $ 285,159 | $ 2,717 | $ 49,343 | ||||
Increase (Decrease) in Partners' Capital [Roll Forward] | ||||||||||
Net (loss) income | 24,125 | 304 | 14,888 | $ 6,425 | 2,508 | |||||
Other comprehensive loss | (22,240) | (21,390) | (850) | |||||||
Partners' Capital Account, Distributions | 11,221 | 224 | $ 10,997 | $ 2,812 | $ 2,812 | $ 3,613 | $ 3,613 | |||
Dividends paid to non-controlling interest | (20) | (20) | ||||||||
Partners' Capital Account, Unit-based Payment Arrangement, Number of Units | 81 | |||||||||
Partners' Capital Account, Unit-based Payment Arrangement, Amount | 827 | 17 | $ 810 | |||||||
Ending balance, units at Mar. 31, 2019 | 78,627 | 11,800 | ||||||||
Ending balance at Mar. 31, 2019 | 1,855,129 | 49,215 | $ 1,493,278 | $ 285,159 | (23,504) | 50,981 | ||||
Beginning balance, units at Dec. 31, 2018 | 79,361 | 11,800 | ||||||||
Beginning balance at Dec. 31, 2018 | 1,882,597 | 49,271 | $ 1,496,107 | $ 285,159 | 2,717 | 49,343 | ||||
Increase (Decrease) in Partners' Capital [Roll Forward] | ||||||||||
Repurchase of common units (note 13), units | (815) | |||||||||
Repurchase of common units (note 13) | (9,497) | (190) | $ (9,307) | |||||||
Ending balance, units at Jun. 30, 2019 | 78,441 | 11,800 | ||||||||
Ending balance at Jun. 30, 2019 | 1,818,687 | 49,056 | $ 1,485,516 | $ 285,159 | (53,232) | 52,188 | ||||
Beginning balance, units at Dec. 31, 2018 | 79,361 | 11,800 | ||||||||
Beginning balance at Dec. 31, 2018 | 1,882,597 | 49,271 | $ 1,496,107 | $ 285,159 | 2,717 | 49,343 | ||||
Increase (Decrease) in Partners' Capital [Roll Forward] | ||||||||||
Net (loss) income | 93,528 | |||||||||
Other comprehensive loss | (72,541) | |||||||||
Preferred units | $ (12,900) | |||||||||
Ending balance, units at Sep. 30, 2019 | 77,510 | 11,800 | ||||||||
Ending balance at Sep. 30, 2019 | 1,814,712 | 49,303 | $ 1,497,544 | $ 285,159 | (71,757) | 54,463 | ||||
Beginning balance, units at Mar. 31, 2019 | 78,627 | 11,800 | ||||||||
Beginning balance at Mar. 31, 2019 | 1,855,129 | 49,215 | $ 1,493,278 | $ 285,159 | (23,504) | 50,981 | ||||
Increase (Decrease) in Partners' Capital [Roll Forward] | ||||||||||
Net (loss) income | 19,052 | 200 | 9,810 | $ 6,425 | 2,617 | |||||
Other comprehensive loss | (31,103) | (29,728) | (1,375) | |||||||
Partners' Capital Account, Distributions | 15,244 | 305 | $ 14,939 | 2,812 | 2,812 | 3,613 | 3,613 | |||
Dividends paid to non-controlling interest | (35) | (35) | ||||||||
Partners' Capital Account, Unit-based Payment Arrangement, Number of Units | 1 | |||||||||
Partners' Capital Account, Unit-based Payment Arrangement, Amount | (128) | (3) | $ (125) | |||||||
Repurchase of common units (note 13), units | (187) | |||||||||
Repurchase of common units (note 13) | (2,559) | (51) | $ (2,508) | |||||||
Ending balance, units at Jun. 30, 2019 | 78,441 | 11,800 | ||||||||
Ending balance at Jun. 30, 2019 | 1,818,687 | 49,056 | $ 1,485,516 | $ 285,159 | (53,232) | 52,188 | ||||
Increase (Decrease) in Partners' Capital [Roll Forward] | ||||||||||
Net (loss) income | 50,351 | 820 | 40,122 | 6,426 | 2,983 | |||||
Other comprehensive loss | (19,198) | (18,525) | (673) | |||||||
Partners' Capital Account, Distributions | 15,185 | 304 | $ 14,881 | 2,813 | 2,813 | 3,613 | 3,613 | |||
Preferred units | $ (6,400) | |||||||||
Dividends paid to non-controlling interest | (35) | (35) | ||||||||
Partners' Capital Account, Unit-based Payment Arrangement, Number of Units | 1 | |||||||||
Partners' Capital Account, Unit-based Payment Arrangement, Amount | 191 | 4 | $ 187 | |||||||
Repurchase of common units (note 13), units | (932) | |||||||||
Repurchase of common units (note 13) | (13,673) | (273) | $ (13,400) | |||||||
Ending balance, units at Sep. 30, 2019 | 77,510 | 11,800 | ||||||||
Ending balance at Sep. 30, 2019 | 1,814,712 | 49,303 | $ 1,497,544 | $ 285,159 | (71,757) | 54,463 | ||||
Beginning balance, units at Dec. 31, 2019 | 77,510 | 11,800 | ||||||||
Beginning balance at Dec. 31, 2019 | 1,876,975 | 50,241 | $ 1,543,598 | $ 285,159 | (57,312) | 55,289 | ||||
Increase (Decrease) in Partners' Capital [Roll Forward] | ||||||||||
Net (loss) income | (30,828) | (789) | (38,630) | $ 6,425 | 2,166 | |||||
Other comprehensive loss | (53,897) | (51,145) | (2,752) | |||||||
Partners' Capital Account, Distributions | 15,013 | 300 | $ 14,713 | 2,812 | 2,812 | 3,613 | 3,613 | |||
Partners' Capital Account, Unit-based Payment Arrangement, Number of Units | 35 | |||||||||
Partners' Capital Account, Unit-based Payment Arrangement, Amount | 212 | 4 | $ 208 | |||||||
Other (note 10d) | 462 | 12 | $ 629 | (179) | ||||||
Repurchase of common units (note 13), units | (1,373) | |||||||||
Repurchase of common units (note 13) | (15,635) | (313) | $ (15,322) | |||||||
Ending balance, units at Mar. 31, 2020 | 76,172 | 11,800 | ||||||||
Ending balance at Mar. 31, 2020 | 1,702,551 | 47,839 | $ 1,425,960 | $ 285,159 | (108,457) | 52,050 | ||||
Beginning balance, units at Dec. 31, 2019 | 77,510 | 11,800 | ||||||||
Beginning balance at Dec. 31, 2019 | 1,876,975 | 50,241 | $ 1,543,598 | $ 285,159 | (57,312) | 55,289 | ||||
Increase (Decrease) in Partners' Capital [Roll Forward] | ||||||||||
Net (loss) income | 58,527 | |||||||||
Other comprehensive loss | (57,538) | |||||||||
Preferred units | $ (19,300) | |||||||||
Partners' Capital Account, Unit-based Payment Arrangement, Amount | 13 | |||||||||
Ending balance, units at Sep. 30, 2020 | 86,951 | 11,800 | ||||||||
Ending balance at Sep. 30, 2020 | 1,731,547 | 46,081 | $ 1,459,599 | $ 285,159 | (111,967) | 52,675 | ||||
Beginning balance, units at Mar. 31, 2020 | 76,172 | 11,800 | ||||||||
Beginning balance at Mar. 31, 2020 | 1,702,551 | 47,839 | $ 1,425,960 | $ 285,159 | (108,457) | 52,050 | ||||
Increase (Decrease) in Partners' Capital [Roll Forward] | ||||||||||
Net (loss) income | 49,283 | 713 | 37,796 | $ 6,425 | 4,349 | |||||
Other comprehensive loss | (8,172) | (7,856) | (316) | |||||||
Partners' Capital Account, Distributions | 19,432 | 389 | $ 19,043 | 2,812 | 2,812 | 3,613 | 3,613 | |||
Partners' Capital Account, Unit-based Payment Arrangement, Number of Units | 6 | |||||||||
Partners' Capital Account, Unit-based Payment Arrangement, Amount | $ 682 | $ 669 | ||||||||
Partners' Capital Account, Sale of Units | (2,308) | $ 2,308 | ||||||||
Issuance of common units (notes 10e and 13), units | 10,750 | |||||||||
Ending balance, units at Jun. 30, 2020 | 86,928 | 11,800 | ||||||||
Ending balance at Jun. 30, 2020 | $ 1,718,487 | 45,868 | $ 1,447,690 | $ 285,159 | (116,313) | 56,083 | ||||
Increase (Decrease) in Partners' Capital [Roll Forward] | ||||||||||
Net (loss) income | 40,072 | 595 | 33,255 | 6,425 | (203) | |||||
Other comprehensive loss | 4,531 | 4,346 | 185 | |||||||
Partners' Capital Account, Distributions | 22,125 | 389 | $ 21,736 | $ 2,812 | $ 2,812 | $ 3,613 | $ 3,613 | |||
Preferred units | $ (6,400) | |||||||||
Dividends paid to non-controlling interest | (3,390) | (3,390) | ||||||||
Partners' Capital Account, Unit-based Payment Arrangement, Number of Units | 23 | |||||||||
Partners' Capital Account, Unit-based Payment Arrangement, Amount | 397 | 7 | $ 390 | |||||||
Ending balance, units at Sep. 30, 2020 | 86,951 | 11,800 | ||||||||
Ending balance at Sep. 30, 2020 | $ 1,731,547 | $ 46,081 | $ 1,459,599 | $ 285,159 | $ (111,967) | $ 52,675 |
Unaudited Consolidated Statem_6
Unaudited Consolidated Statement of Changes in Total Equity (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | |||||
Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | |
Equity based compensation, net of withholding tax | $ 400 | $ 500 | ||||
Common Stock, Dividends, Per Share, Declared | $ 0.25 | $ 0.25 | $ 0.19 | $ 0.19 | $ 0.19 | $ 0.14 |
Preferred units Series A ($0.5625 per unit) | ||||||
Preferred Stock, Dividends Per Share, Declared | 0.5625 | 0.5625 | 0.5625 | 0.5625 | 0.5625 | 0.5625 |
Preferred units Series B ($0.5313 per unit) | ||||||
Preferred Stock, Dividends Per Share, Declared | $ 0.5313 | $ 0.5313 | $ 0.5313 | $ 0.5313 | $ 0.5313 | $ 0.5313 |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 9 Months Ended |
Sep. 30, 2020 | |
Supplemental Cash Flow Elements [Abstract] | |
Supplemental Cash Flow Information | Supplemental Cash Flow Information a) The following is a tabular reconciliation of the Partnership's cash, cash equivalents and restricted cash balances for the periods presented in the Partnership's consolidated statements of cash flows. September 30, 2020 December 31, 2019 September 30, 2019 December 31, 2018 $ $ $ $ Cash and cash equivalents 201,036 160,221 142,860 149,014 Restricted cash – current 11,224 53,689 58,109 38,329 Restricted cash – long-term 42,577 39,381 33,562 35,521 254,837 253,291 234,531 222,864 The Partnership maintains restricted cash deposits relating to certain term loans, collateral for cross currency swaps (see Note 11), performance bond collateral and amounts received from charterers to be used only for dry-docking expenditures and emergency repairs. b) The sale of the Toledo Spirit |
Supplemental Cash Flow Inform_2
Supplemental Cash Flow Information Schedule | 9 Months Ended |
Sep. 30, 2020 | |
Supplemental Cash Flow Elements [Abstract] | |
Schedule of Cash and Cash Equivalents | The following is a tabular reconciliation of the Partnership's cash, cash equivalents and restricted cash balances for the periods presented in the Partnership's consolidated statements of cash flows. September 30, 2020 December 31, 2019 September 30, 2019 December 31, 2018 $ $ $ $ Cash and cash equivalents 201,036 160,221 142,860 149,014 Restricted cash – current 11,224 53,689 58,109 38,329 Restricted cash – long-term 42,577 39,381 33,562 35,521 254,837 253,291 234,531 222,864 The Partnership maintains restricted cash deposits relating to certain term loans, collateral for cross currency swaps (see Note 11), performance bond collateral and amounts received from charterers to be used only for dry-docking expenditures and emergency repairs. |
Supplemental Cash Flow Inform_3
Supplemental Cash Flow Information Schedule of Reconciliation of Cash, Cash Equivalents and Restricted Cash - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Dec. 31, 2018 |
Supplemental Cash Flow Elements [Abstract] | ||||
Cash and cash equivalents | $ 201,036 | $ 160,221 | $ 142,860 | $ 149,014 |
Restricted cash – current | 11,224 | 53,689 | 58,109 | 38,329 |
Restricted cash – long-term | 42,577 | 39,381 | 33,562 | 35,521 |
Total | $ 254,837 | $ 253,291 | $ 234,531 | $ 222,864 |
Supplemental Cash Flow Inform_4
Supplemental Cash Flow Information Additional Information $ in Millions | 9 Months Ended |
Sep. 30, 2019USD ($) | |
Schedule Of Supplemental Cash Flow [Line Items] | |
Property, Plant and Equipment, Disposals | $ 23.6 |
Teekay Lng [Member] | Toledo Spirit [Member] | Obligations [Member] | |
Schedule Of Supplemental Cash Flow [Line Items] | |
Extinguishment of Debt, Amount | $ 23.6 |
Accounting Pronouncements
Accounting Pronouncements | 9 Months Ended |
Sep. 30, 2020 | |
Accounting Changes and Error Corrections [Abstract] | |
Accounting Pronouncements | Accounting Pronouncements In June 2016, the Financial Accounting Standards Board (or FASB ) issued Accounting Standards Update (or ASU ) 2016-13, Financial Instruments - Credit Losses: Measurement of Credit Losses on Financial Instruments (or ASU 2016-13 ). ASU 2016-13 introduced a new credit loss methodology, which requires earlier recognition of potential credit losses, while also providing additional transparency about credit risk. This new credit loss methodology utilizes a lifetime “expected credit loss” measurement objective for the recognition of credit losses for loans, held-to-maturity debt securities and other receivables at the time the financial asset is originated or acquired. The expected credit losses are subsequently adjusted each period for changes in expected lifetime credit losses. This methodology replaced multiple existing impairment methods under previous GAAP for these types of assets, which generally required that a loss be incurred before it was recognized. The Partnership adopted this update on January 1, 2020 with a modified-retrospective approach, whereby a cumulative-effect adjustment was made to reduce partner's equity on January 1, 2020 without any retroactive application to prior periods. The Partnership's net investments in direct financing and sales-type leases, advances to equity-accounted joint ventures, guarantees of indebtedness of equity-accounted joint ventures and receivables related to non-operating lease revenue arrangements are subject to ASU 2016-13. On adoption, the Partnership decreased the carrying value of partners' equity by $50.8 million, investments in and advances, net to equity-accounted joint ventures by $40.0 million, net investments in direct financing and sales-type leases by $11.2 million and non-controlling interest by $2.5 million, and increased its other long-term liabilities by $2.1 million. The cumulative adjustment recorded on initial adoption of this update does not reflect an increase in credit risk exposure to the Partnership compared to previous periods presented. In December 2019, the FASB issued ASU 2019-12 - Income Taxes (Topic 740) Simplifying the Accounting for Income Taxes (or ASU 2019-12 ), as part of its initiative to reduce complexity in the accounting standards. The amendments in ASU 2019-12 eliminate certain exceptions related to the approach for intraperiod tax allocation, the methodology for calculating income taxes in an interim period and the recognition of deferred tax liabilities for outside basis differences, among other changes. The guidance becomes effective for annual reporting periods beginning after December 15, 2020 and interim periods within those fiscal years with early adoption permitted, including adoption in any interim period. The Partnership is currently evaluating the effect of adopting this new guidance. In March 2020, the FASB issued ASU 2020-04 - Reference Rate Reform (Topic 848) Facilitation of the Effects o f Reference Rate Reform on Financial Reporting (or ASU 2020-04 ). This ASU provides optional guidance for a limited period of time to ease potential accounting impacts associated with transitioning away from reference rates that are expected to be discontinued, such as the London Interbank Offered Rate (or "LIBOR" ). This ASU applies only to contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued. This ASU is effective through December 31, 2022. The Partnership is currently evaluating the effect of adopting this new guidance. |
New Accounting Pronouncements, Policy [Policy Text Block] | Accounting Pronouncements In June 2016, the Financial Accounting Standards Board (or FASB ) issued Accounting Standards Update (or ASU ) 2016-13, Financial Instruments - Credit Losses: Measurement of Credit Losses on Financial Instruments (or ASU 2016-13 ). ASU 2016-13 introduced a new credit loss methodology, which requires earlier recognition of potential credit losses, while also providing additional transparency about credit risk. This new credit loss methodology utilizes a lifetime “expected credit loss” measurement objective for the recognition of credit losses for loans, held-to-maturity debt securities and other receivables at the time the financial asset is originated or acquired. The expected credit losses are subsequently adjusted each period for changes in expected lifetime credit losses. This methodology replaced multiple existing impairment methods under previous GAAP for these types of assets, which generally required that a loss be incurred before it was recognized. The Partnership adopted this update on January 1, 2020 with a modified-retrospective approach, whereby a cumulative-effect adjustment was made to reduce partner's equity on January 1, 2020 without any retroactive application to prior periods. The Partnership's net investments in direct financing and sales-type leases, advances to equity-accounted joint ventures, guarantees of indebtedness of equity-accounted joint ventures and receivables related to non-operating lease revenue arrangements are subject to ASU 2016-13. On adoption, the Partnership decreased the carrying value of partners' equity by $50.8 million, investments in and advances, net to equity-accounted joint ventures by $40.0 million, net investments in direct financing and sales-type leases by $11.2 million and non-controlling interest by $2.5 million, and increased its other long-term liabilities by $2.1 million. The cumulative adjustment recorded on initial adoption of this update does not reflect an increase in credit risk exposure to the Partnership compared to previous periods presented. In December 2019, the FASB issued ASU 2019-12 - Income Taxes (Topic 740) Simplifying the Accounting for Income Taxes (or ASU 2019-12 ), as part of its initiative to reduce complexity in the accounting standards. The amendments in ASU 2019-12 eliminate certain exceptions related to the approach for intraperiod tax allocation, the methodology for calculating income taxes in an interim period and the recognition of deferred tax liabilities for outside basis differences, among other changes. The guidance becomes effective for annual reporting periods beginning after December 15, 2020 and interim periods within those fiscal years with early adoption permitted, including adoption in any interim period. The Partnership is currently evaluating the effect of adopting this new guidance. In March 2020, the FASB issued ASU 2020-04 - Reference Rate Reform (Topic 848) Facilitation of the Effects o f Reference Rate Reform on Financial Reporting (or ASU 2020-04 ). This ASU provides optional guidance for a limited period of time to ease potential accounting impacts associated with transitioning away from reference rates that are expected to be discontinued, such as the London Interbank Offered Rate (or "LIBOR" ). This ASU applies only to contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued. This ASU is effective through December 31, 2022. The Partnership is currently evaluating the effect of adopting this new guidance. |
Financial Instruments
Financial Instruments | 9 Months Ended |
Sep. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
Financial Instruments | Financial Instruments a) Fair Value Measurements For a description of how the Partnership estimates fair value and for a description of the fair value hierarchy levels, see Item 18 – Financial Statements: Note 3 to the Partnership’s audited consolidated financial statements filed with its Annual Report on Form 20-F for the year ended December 31, 2019. The following table includes the estimated fair value and carrying value of those assets and liabilities that are measured at fair value on a recurring and non-recurring basis, as well as the estimated fair value of the Partnership’s financial instruments that are not accounted for at fair value on a recurring basis. September 30, 2020 December 31, 2019 Fair Carrying Fair Carrying Fair Recurring: Cash and cash equivalents and restricted cash (note 16a) Level 1 254,837 254,837 253,291 253,291 Derivative instruments (note 11) Interest rate swap agreements – assets Level 2 — — 2,210 2,210 Interest rate swap agreements – liabilities Level 2 (77,281) (77,281) (50,447) (50,447) Foreign currency contracts Level 2 — — (202) (202) Cross currency swap agreements – liabilities Level 2 (44,773) (44,773) (42,104) (42,104) Other: Loans to equity-accounted joint ventures (note 7) (i) 125,641 (i) 126,546 (i) Long-term debt – public (note 8) Level 1 (323,656) (331,776) (345,824) (358,005) Long-term debt – non-public (note 8) Level 2 (1,169,973) (1,179,593) (1,485,572) (1,474,208) Obligations related to finance leases (note 5a) Level 2 (1,358,485) (1,471,234) (1,410,904) (1,434,910) (i) The advances to equity-accounted joint ventures together with the Partnership’s equity investments in the joint ventures form the net aggregate carrying value of the Partnership’s interests in the joint ventures in these unaudited consolidated financial statements. The fair values of the individual components of such aggregate interests are not determinable. b) Credit Losses The Partnership's exposure to potential credit losses under ASU 2016-13 includes its three direct financing leases, its two loans to equity-accounted joint ventures and its guarantees of its proportionate share of secured loan facilities and finance leases of five of its equity-accounted joint ventures. In addition, the Partnership's exposure to potential credit losses within its equity-accounted joint ventures under ASU 2016-13 primarily includes direct financing and sales-types leases for 18 liquefied natural gas (or LNG ) carriers, one floating storage unit (or FSU ) and an LNG regasification terminal within the Yamal LNG Joint Venture, the Bahrain LNG Joint Venture, the Pan Union Joint Venture, the RasGas III Joint Venture and the Angola Joint Venture. See Item 18 – Financial Statements: Note 7a to the Partnership’s audited consolidated financial statements filed with its Annual Report on Form 20-F for the year ended December 31, 2019 for a description of these equity-accounted joint ventures. The following table includes the amortized cost basis of the Partnership’s direct interests in financing receivables and net investment in direct financing leases by class of financing receivables and by period of origination and their associated credit quality. Amortized Cost Basis by Origination Year Credit Quality Grade (1) 2018 2016 Prior to 2016 Total As at September 30, 2020 $ $ $ $ Direct financing leases Tangguh Hiri and Tangguh Sago Performing — — 335,336 335,336 Bahrain Spirit Performing 212,312 — — 212,312 212,312 — 335,336 547,648 Loans to equity-accounted joint ventures Exmar LPG Joint Venture Performing — — 52,266 52,266 Bahrain LNG Joint Venture Performing — 73,375 — 73,375 — 73,375 52,266 125,641 212,312 73,375 387,602 673,289 (1) The Partnership's credit quality grades are based on internal risk credit ratings whereby a credit quality grade of performing is consistent with a low likelihood of loss. The Partnership assesses the credit quality of its direct financing leases and loan to the Exmar LPG Joint Venture on whether there are no past due payments (30 days late), no concessions granted to the counterparties and whether the Partnership is aware of any other information that would indicate that there is a material increase of likelihood of loss. The same policy is applied by the equity-accounted joint ventures. The Partnership assesses the credit quality of its loan to the Bahrain LNG Joint Venture based on whether there are any past due payments from the Bahrain LNG Joint Venture’s primary customer, whether the Bahrain LNG Joint Venture has granted any concessions to its primary customer and whether the Partnership is aware of any other information that would indicate that there is a material increase of likelihood of loss. As at September 30, 2020, all direct financing and sales-type leases held by the Partnership and the Partnership’s equity-accounted joint ventures had a credit quality grade of performing. Changes in the Partnership's allowance for credit losses for the three and nine months ended September 30, 2020 are as follows: Direct financing leases (1) $ Direct financing and sales-type leases and other within equity-accounted joint ventures (1) $ Loans to equity-accounted joint ventures (2) $ Guarantees of debt (3) $ Total As at January 1, 2020 11,155 36,292 3,714 2,139 53,300 Provision for potential credit losses (100) 8,980 — — 8,880 As at March 31, 2020 11,055 45,272 3,714 2,139 62,180 Provision for potential credit losses 465 (423) 83 (288) (163) As at June 30, 2020 11,520 44,849 3,797 1,851 62,017 Provision for potential credit losses 13,805 7,099 877 (285) 21,496 As at September 30, 2020 25,325 51,948 4,674 1,566 83,513 (1) The credit loss provision related to the lease receivable component of the net investment in direct financing and sales-type leases is based on an internal historical loss rate, as adjusted when asset specific risk characteristics of the existing lease receivables at the reporting date are not consistent with those used to measure the internal historical loss rate and as further adjusted when management expects current conditions and reasonable and supportable forecasts to differ from the conditions that existed to measure the internal historical loss rate. During the nine months ended September 30, 2020, two LNG project counterparties maintained investment grade credit ratings. As such, the internal historical loss rate used to determine the credit loss provision at both January 1, 2020 and September 30, 2020 was adjusted downwards to reflect a lower risk profile for these two LNG projects at such dates compared to the average LNG project used to determine the internal historical loss rate. In addition, the internal historical loss rate was adjusted upwards for (a) one LNG project to reflect a lower credit rating for the counterparty, including consideration of the critical infrastructure nature of assets, and (b) a second LNG project to reflect a larger potential risk of loss given potential default as the vessels servicing this project have fewer opportunities for redeployment compared to the Partnership’s other LNG carriers. The credit loss provision for the residual value component is based on a reversion methodology whereby the current estimated fair value of the vessel as depreciated to the end of the charter contract is compared to the expected carrying value, with such potential gain or loss on maturity being included in the credit loss provision in increasing magnitude on a straight-line basis the closer the contract is to its maturity. Risks related to the net investments in direct financing and sales-type leases consist of risks related to the underlying LNG projects and demand for LNG carriers at the end of the time-charter contracts. The provision for potential credit loss as at January 1, 2020 and September 30, 2020 has been developed in part based on the Partnership's understanding that LNG production is critical infrastructure. The changes in credit loss provision for the Partnership's consolidated vessels for the three and nine months ended September 30, 2020 of $13.8 million and $14.2 million, respectively, are included in other expense and primarily reflects a decline in the estimated charter-free valuations for certain types of its LNG carriers at the end of their time-charter contract which are accounted for as direct financing and sales-type leases. These estimated future charter-free values are subject to change from period to period based on the underlying LNG shipping market fundamentals. The changes in the credit loss provision for the Partnership's consolidated vessels for the three and nine months ended September 30, 2020 do not reflect any material changes in expectations of the charterers' ability to make their time-charter hire payments as they come due compared to the beginning of such periods. The changes in credit loss provision of $7.1 million and $15.7 million for the three and nine months ended September 30, 2020, respectively, relating to the direct financing and sales-type leases and other within the Partnership's equity-accounted joint ventures are included in equity income and reflects a decline in the estimated charter-free valuations for certain types of LNG carriers at the end of their time-charter contract which are accounted for as direct financing and sales-type leases for the three months ended September 30, 2020, combined with the initial credit loss provision recognition upon commencement of the sales-type lease for the LNG regasification terminal and associated FSU in the Bahrain LNG Joint Venture in January 2020. (2) The determination of the credit loss provision for such loans is based on their expected duration and on an internal historical loss rate of the Partnership and its affiliates, as adjusted when asset specific risk characteristics of the existing loans at the reporting date are not consistent with those used to measure the internal historical loss rate and as further adjusted when management expects current conditions and reasonable and supportable forecasts to differ from the conditions that existed to measure the internal historical loss rate. These two loans rank behind secured debt in each equity-accounted joint venture. As such, they are similar to equity in terms of risk. The Exmar LPG Joint Venture owns and charters-in liquefied petroleum gas (or LPG ) carriers with a primary focus on mid-size gas carriers. Their vessels are trading on the spot market or short-term charters. Adverse changes in the spot market for mid-size LPG carriers, as well as operating costs for such vessels, may impact the ability of the Exmar LPG Joint Venture to repay its loan to the Partnership. The Bahrain LNG Joint Venture owns an LNG receiving and regasification terminal in Bahrain. The ability of Bahrain LNG Joint Venture to repay its loan to the Partnership is primarily dependent upon the Bahrain LNG Joint Venture’s customer, a company owned by the Kingdom of Bahrain, fulfilling its obligations under the 20-year agreement, as well as the Bahrain LNG Joint Venture’s ability to operate the terminal in accordance with the agreed upon operating criteria. (3) The determination of the credit loss provision for such guarantees was based on a probability of default and loss given default methodology. In determining the overall estimated loss from default as a percentage of the outstanding guaranteed share of secured loan facilities and finance leases, the Partnership considers current and future operational performance of the vessels securing the loan facilities and finance leases and current and future expectations of the proceeds that could be received from the sale of the vessels securing the loan facilities and finance leases in comparison to the outstanding principal amount of the loan facilities and finance leases if the Partnership was called on its guarantees. See Note 7d relating to the guarantees the Partnership provides for its equity-accounted joint ventures. |
Fair Value Measurement and Measurement Inputs, Recurring and Nonrecurring | a) Fair Value Measurements For a description of how the Partnership estimates fair value and for a description of the fair value hierarchy levels, see Item 18 – Financial Statements: Note 3 to the Partnership’s audited consolidated financial statements filed with its Annual Report on Form 20-F for the year ended December 31, 2019. The following table includes the estimated fair value and carrying value of those assets and liabilities that are measured at fair value on a recurring and non-recurring basis, as well as the estimated fair value of the Partnership’s financial instruments that are not accounted for at fair value on a recurring basis. September 30, 2020 December 31, 2019 Fair Carrying Fair Carrying Fair Recurring: Cash and cash equivalents and restricted cash (note 16a) Level 1 254,837 254,837 253,291 253,291 Derivative instruments (note 11) Interest rate swap agreements – assets Level 2 — — 2,210 2,210 Interest rate swap agreements – liabilities Level 2 (77,281) (77,281) (50,447) (50,447) Foreign currency contracts Level 2 — — (202) (202) Cross currency swap agreements – liabilities Level 2 (44,773) (44,773) (42,104) (42,104) Other: Loans to equity-accounted joint ventures (note 7) (i) 125,641 (i) 126,546 (i) Long-term debt – public (note 8) Level 1 (323,656) (331,776) (345,824) (358,005) Long-term debt – non-public (note 8) Level 2 (1,169,973) (1,179,593) (1,485,572) (1,474,208) Obligations related to finance leases (note 5a) Level 2 (1,358,485) (1,471,234) (1,410,904) (1,434,910) (i) The advances to equity-accounted joint ventures together with the Partnership’s equity investments in the joint ventures form the net aggregate carrying value of the Partnership’s interests in the joint ventures in these unaudited consolidated financial statements. The fair values of the individual components of such aggregate interests are not determinable. |
Credit Loss, Financial Instrument | b) Credit Losses The Partnership's exposure to potential credit losses under ASU 2016-13 includes its three direct financing leases, its two loans to equity-accounted joint ventures and its guarantees of its proportionate share of secured loan facilities and finance leases of five of its equity-accounted joint ventures. In addition, the Partnership's exposure to potential credit losses within its equity-accounted joint ventures under ASU 2016-13 primarily includes direct financing and sales-types leases for 18 liquefied natural gas (or LNG ) carriers, one floating storage unit (or FSU ) and an LNG regasification terminal within the Yamal LNG Joint Venture, the Bahrain LNG Joint Venture, the Pan Union Joint Venture, the RasGas III Joint Venture and the Angola Joint Venture. See Item 18 – Financial Statements: Note 7a to the Partnership’s audited consolidated financial statements filed with its Annual Report on Form 20-F for the year ended December 31, 2019 for a description of these equity-accounted joint ventures. The following table includes the amortized cost basis of the Partnership’s direct interests in financing receivables and net investment in direct financing leases by class of financing receivables and by period of origination and their associated credit quality. Amortized Cost Basis by Origination Year Credit Quality Grade (1) 2018 2016 Prior to 2016 Total As at September 30, 2020 $ $ $ $ Direct financing leases Tangguh Hiri and Tangguh Sago Performing — — 335,336 335,336 Bahrain Spirit Performing 212,312 — — 212,312 212,312 — 335,336 547,648 Loans to equity-accounted joint ventures Exmar LPG Joint Venture Performing — — 52,266 52,266 Bahrain LNG Joint Venture Performing — 73,375 — 73,375 — 73,375 52,266 125,641 212,312 73,375 387,602 673,289 (1) The Partnership's credit quality grades are based on internal risk credit ratings whereby a credit quality grade of performing is consistent with a low likelihood of loss. The Partnership assesses the credit quality of its direct financing leases and loan to the Exmar LPG Joint Venture on whether there are no past due payments (30 days late), no concessions granted to the counterparties and whether the Partnership is aware of any other information that would indicate that there is a material increase of likelihood of loss. The same policy is applied by the equity-accounted joint ventures. The Partnership assesses the credit quality of its loan to the Bahrain LNG Joint Venture based on whether there are any past due payments from the Bahrain LNG Joint Venture’s primary customer, whether the Bahrain LNG Joint Venture has granted any concessions to its primary customer and whether the Partnership is aware of any other information that would indicate that there is a material increase of likelihood of loss. As at September 30, 2020, all direct financing and sales-type leases held by the Partnership and the Partnership’s equity-accounted joint ventures had a credit quality grade of performing. Changes in the Partnership's allowance for credit losses for the three and nine months ended September 30, 2020 are as follows: Direct financing leases (1) $ Direct financing and sales-type leases and other within equity-accounted joint ventures (1) $ Loans to equity-accounted joint ventures (2) $ Guarantees of debt (3) $ Total As at January 1, 2020 11,155 36,292 3,714 2,139 53,300 Provision for potential credit losses (100) 8,980 — — 8,880 As at March 31, 2020 11,055 45,272 3,714 2,139 62,180 Provision for potential credit losses 465 (423) 83 (288) (163) As at June 30, 2020 11,520 44,849 3,797 1,851 62,017 Provision for potential credit losses 13,805 7,099 877 (285) 21,496 As at September 30, 2020 25,325 51,948 4,674 1,566 83,513 (1) The credit loss provision related to the lease receivable component of the net investment in direct financing and sales-type leases is based on an internal historical loss rate, as adjusted when asset specific risk characteristics of the existing lease receivables at the reporting date are not consistent with those used to measure the internal historical loss rate and as further adjusted when management expects current conditions and reasonable and supportable forecasts to differ from the conditions that existed to measure the internal historical loss rate. During the nine months ended September 30, 2020, two LNG project counterparties maintained investment grade credit ratings. As such, the internal historical loss rate used to determine the credit loss provision at both January 1, 2020 and September 30, 2020 was adjusted downwards to reflect a lower risk profile for these two LNG projects at such dates compared to the average LNG project used to determine the internal historical loss rate. In addition, the internal historical loss rate was adjusted upwards for (a) one LNG project to reflect a lower credit rating for the counterparty, including consideration of the critical infrastructure nature of assets, and (b) a second LNG project to reflect a larger potential risk of loss given potential default as the vessels servicing this project have fewer opportunities for redeployment compared to the Partnership’s other LNG carriers. The credit loss provision for the residual value component is based on a reversion methodology whereby the current estimated fair value of the vessel as depreciated to the end of the charter contract is compared to the expected carrying value, with such potential gain or loss on maturity being included in the credit loss provision in increasing magnitude on a straight-line basis the closer the contract is to its maturity. Risks related to the net investments in direct financing and sales-type leases consist of risks related to the underlying LNG projects and demand for LNG carriers at the end of the time-charter contracts. The provision for potential credit loss as at January 1, 2020 and September 30, 2020 has been developed in part based on the Partnership's understanding that LNG production is critical infrastructure. The changes in credit loss provision for the Partnership's consolidated vessels for the three and nine months ended September 30, 2020 of $13.8 million and $14.2 million, respectively, are included in other expense and primarily reflects a decline in the estimated charter-free valuations for certain types of its LNG carriers at the end of their time-charter contract which are accounted for as direct financing and sales-type leases. These estimated future charter-free values are subject to change from period to period based on the underlying LNG shipping market fundamentals. The changes in the credit loss provision for the Partnership's consolidated vessels for the three and nine months ended September 30, 2020 do not reflect any material changes in expectations of the charterers' ability to make their time-charter hire payments as they come due compared to the beginning of such periods. The changes in credit loss provision of $7.1 million and $15.7 million for the three and nine months ended September 30, 2020, respectively, relating to the direct financing and sales-type leases and other within the Partnership's equity-accounted joint ventures are included in equity income and reflects a decline in the estimated charter-free valuations for certain types of LNG carriers at the end of their time-charter contract which are accounted for as direct financing and sales-type leases for the three months ended September 30, 2020, combined with the initial credit loss provision recognition upon commencement of the sales-type lease for the LNG regasification terminal and associated FSU in the Bahrain LNG Joint Venture in January 2020. (2) The determination of the credit loss provision for such loans is based on their expected duration and on an internal historical loss rate of the Partnership and its affiliates, as adjusted when asset specific risk characteristics of the existing loans at the reporting date are not consistent with those used to measure the internal historical loss rate and as further adjusted when management expects current conditions and reasonable and supportable forecasts to differ from the conditions that existed to measure the internal historical loss rate. These two loans rank behind secured debt in each equity-accounted joint venture. As such, they are similar to equity in terms of risk. The Exmar LPG Joint Venture owns and charters-in liquefied petroleum gas (or LPG ) carriers with a primary focus on mid-size gas carriers. Their vessels are trading on the spot market or short-term charters. Adverse changes in the spot market for mid-size LPG carriers, as well as operating costs for such vessels, may impact the ability of the Exmar LPG Joint Venture to repay its loan to the Partnership. The Bahrain LNG Joint Venture owns an LNG receiving and regasification terminal in Bahrain. The ability of Bahrain LNG Joint Venture to repay its loan to the Partnership is primarily dependent upon the Bahrain LNG Joint Venture’s customer, a company owned by the Kingdom of Bahrain, fulfilling its obligations under the 20-year agreement, as well as the Bahrain LNG Joint Venture’s ability to operate the terminal in accordance with the agreed upon operating criteria. (3) The determination of the credit loss provision for such guarantees was based on a probability of default and loss given default methodology. In determining the overall estimated loss from default as a percentage of the outstanding guaranteed share of secured loan facilities and finance leases, the Partnership considers current and future operational performance of the vessels securing the loan facilities and finance leases and current and future expectations of the proceeds that could be received from the sale of the vessels securing the loan facilities and finance leases in comparison to the outstanding principal amount of the loan facilities and finance leases if the Partnership was called on its guarantees. See Note 7d relating to the guarantees the Partnership provides for its equity-accounted joint ventures. |
Segment Reporting
Segment Reporting | 9 Months Ended |
Sep. 30, 2020 | |
Segment Reporting [Abstract] | |
Segment Reporting | Segment Reporting The Partnership has the following reportable segments, the liquefied natural gas segment, the liquefied petroleum gas segment and the conventional tanker segment. The Partnership sold its two remaining conventional tankers, the Toledo Spirit and the Alexander Spirit , in January and October 2019, respectively. The following tables include results for the Partnership’s segments for the periods presented in these unaudited consolidated financial statements. Three Months Ended September 30, 2020 Liquefied Liquefied Petroleum Gas Conventional Total Voyage revenues 138,953 9,982 — 148,935 Voyage expenses (427) (3,523) — (3,950) Vessel operating expenses (25,871) (4,771) — (30,642) Time-charter hire expenses (5,980) — — (5,980) Depreciation and amortization (30,658) (1,943) — (32,601) General and administrative expenses (i) (5,704) (461) — (6,165) Income (loss) from vessel operations 70,313 (716) — 69,597 Equity income 22,674 1,672 — 24,346 Three Months Ended September 30, 2019 Liquefied Liquefied Petroleum Gas Conventional Total Voyage revenues 137,212 10,846 1,597 149,655 Voyage recoveries (expenses) 286 (4,778) (469) (4,961) Vessel operating expenses (21,890) (4,804) (627) (27,321) Time-charter hire expenses (5,336) — — (5,336) Depreciation and amortization (32,249) (1,991) (8) (34,248) General and administrative expenses (i) (4,787) (397) (209) (5,393) Write-down of vessels — — (785) (785) Income (loss) from vessel operations 73,236 (1,124) (501) 71,611 Equity income 20,262 1,034 — 21,296 Nine Months Ended September 30, 2020 Liquefied Liquefied Petroleum Gas Conventional Total Voyage revenues 409,345 27,682 — 437,027 Voyage expenses (2,262) (9,334) — (11,596) Vessel operating expenses (72,562) (12,591) — (85,153) Time-charter hire expenses (17,270) — — (17,270) Depreciation and amortization (91,816) (5,053) — (96,869) General and administrative expenses (i) (18,708) (1,507) — (20,215) Write-down of vessels — (45,000) — (45,000) Income (loss) from vessel operations 206,727 (45,803) — 160,924 Equity income 50,651 6,223 — 56,874 Nine Months Ended September 30, 2019 Liquefied Liquefied Petroleum Gas Conventional Total Voyage revenues 416,867 28,864 6,728 452,459 Voyage expenses (4,436) (11,990) (333) (16,759) Vessel operating expenses (65,591) (12,786) (2,502) (80,879) Time-charter hire expenses (14,007) — — (14,007) Depreciation and amortization (97,074) (5,942) (696) (103,712) General and administrative expenses (i) (15,801) (1,305) (586) (17,692) Write-down of vessels — — (785) (785) Restructuring charges — — (2,976) (2,976) Income (loss) from vessel operations 219,958 (3,159) (1,150) 215,649 Equity income (loss) 31,132 (2,520) — 28,612 (i) Includes direct general and administrative expenses and indirect general and administrative expenses (allocated to each segment based on estimated use of corporate resources). A reconciliation of total segment assets to total assets presented in the consolidated balance sheets is as follows: September 30, 2020 December 31, $ $ Total assets of the liquefied natural gas segment 4,432,664 4,924,627 Total assets of the liquefied petroleum gas segment 276,831 319,695 Unallocated: Cash and cash equivalents 201,036 160,221 Advances to affiliates 1,953 5,143 Consolidated total assets 4,912,484 5,409,686 |
Chartered-in Vessels
Chartered-in Vessels | 9 Months Ended |
Sep. 30, 2020 | |
Leases [Abstract] | |
Lessee, Operating Leases [Text Block] | b) Operating Leases The Partnership has chartered a vessel from its 52%-owned joint venture with Marubeni Corporation (or the MALT Joint Venture ) on a time-charter-in contract, whereby the MALT Joint Venture provides use of the vessel to the Partnership and operates the vessel for the Partnership (see Note 10a). As at September 30, 2020, minimum commitments to be incurred by the Partnership relating to its time-charter-in contract with the MALT Joint Venture were approximately $6.0 million (remainder of 2020), $23.7 million (2021) and $11.1 million (2022). These amounts do not include commitments relating to two vessels owned by Teekay BLT Corporation (or the Tangguh Joint Venture ) which are described in Note 12b. |
Lessee, Finance Leases [Text Block] | Obligations related to Finance Leases September 30, 2020 December 31, $ $ Total obligations related to finance leases 1,358,485 1,410,904 Less current portion (71,441) (69,982) Long-term obligations related to finance leases 1,287,044 1,340,922 As at September 30, 2020 and December 31, 2019, the Partnership was a party to finance leases on nine LNG carriers. These nine LNG carriers were sold by the Partnership to third parties (or Lessors ) and leased back under 7.5 to 15-year bareboat charter contracts ending in 2026 through 2034. At inception of these leases, the weighted-average interest rate implicit in these leases was 5.1%. The bareboat charter contracts are presented as obligations related to finance leases on the Partnership's consolidated balance sheets and have purchase obligations at the end of the lease terms. The obligations of the Partnership under the bareboat charter contracts for the nine LNG carriers are guaranteed by the Partnership. The guarantee agreements require the Partnership to maintain minimum levels of tangible net worth and aggregate liquidity, and not to exceed a maximum amount of leverage. These covenants are the same as the Partnership's other corporate debt covenants (see Note 8). As at September 30, 2020, the Partnership was in compliance with all covenants in respect of the obligations related to its finance leases. As at September 30, 2020, the remaining commitments related to the financial liabilities of these nine LNG carriers, including the amounts to be paid for the related purchase obligations, approximated $1.8 billion, including imputed interest of $417.7 million, repayable through 2034, as indicated below: Commitments as at Year September 30, 2020 Remainder of 2020 $ 34,831 2021 $ 138,601 2022 $ 136,959 2023 $ 135,459 2024 $ 132,011 Thereafter $ 1,198,366 |
Revenues
Revenues | 9 Months Ended |
Sep. 30, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | Revenue The Partnership’s primary source of revenue is chartering its vessels to customers. The Partnership utilizes three primary forms of contracts consisting of time-charter contracts, voyage charter contracts and bareboat charter contracts. For a description of these contracts, see Item 18 – Financial Statements: Note 6 in the Partnership’s audited consolidated financial statements filed with its Annual Report on Form 20-F for the year ended December 31, 2019. Revenue Table The following tables contain the Partnership’s total revenue for the three and nine months ended September 30, 2020 and 2019, by contract type and by segment. Three Months Ended September 30, 2020 Liquefied Natural Gas Liquefied Conventional Total Time charters 136,203 — — 136,203 Voyage charters — 9,982 — 9,982 Management fees and other income 2,750 — — 2,750 138,953 9,982 — 148,935 Three Months Ended September 30, 2019 Liquefied Natural Gas Liquefied Conventional Total Time charters 129,633 — 1,597 131,230 Voyage charters — 10,846 — 10,846 Bareboat charters 6,196 — — 6,196 Management fees and other income 1,383 — — 1,383 137,212 10,846 1,597 149,655 Nine Months Ended September 30, 2020 Liquefied Natural Gas Liquefied Conventional Total Time charters 402,509 — — 402,509 Voyage charters — 27,682 — 27,682 Management fees and other income 6,836 — — 6,836 409,345 27,682 — 437,027 Nine Months Ended September 30, 2019 Liquefied Natural Gas Liquefied Conventional Total Time charters 394,092 — 6,728 400,820 Voyage charters — 28,864 — 28,864 Bareboat charters 18,387 — — 18,387 Management fees and other income 4,388 — — 4,388 416,867 28,864 6,728 452,459 The following table contains the Partnership’s total revenue for the three and nine months ended September 30, 2020 and 2019, by contracts or components of contracts accounted for as leases and those not accounted for as leases: Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 $ $ $ $ Lease revenue Lease revenue from lease payments of operating leases 126,678 128,743 373,566 389,565 Interest income on lease receivables 12,659 12,978 37,920 38,741 Variable lease payments - cost reimbursements (1) 1,475 1,277 3,795 3,252 140,812 142,998 415,281 431,558 Non-lease revenue Non-lease revenue - related to sales-type or direct financing leases 5,373 5,274 14,910 16,513 Management fees and other income 2,750 1,383 6,836 4,388 8,123 6,657 21,746 20,901 Total 148,935 149,655 437,027 452,459 (1) Reimbursements for vessel operating expenditures and dry-docking expenditures received from the Partnership's customers relating to such costs incurred by the Partnership to operate the vessel for the customer pursuant to charter contracts accounted for as operating leases. Net Investments in Direct Financing Leases and Sales-Type Leases As at September 30, 2020, the Partnership had three LNG carriers, excluding the vessels in its equity-accounted joint ventures, that are accounted for as direct financing leases. For a description of the Partnership's LNG carriers accounted for as direct financing leases, see Item 18 – Financial Statements: Note 6 to the Partnership's audited consolidated financial statements included in its Annual Report on Form 20-F for the year ended December 31, 2019. As at December 31, 2019, the Partnership had two additional LNG carriers, the WilForce and the WilPride, that were chartered to Awilco LNG ASA (or Awilco ) which were accounted for as sales-type leases. In January 2020, Awilco purchased both LNG carriers from the Partnership and paid the Partnership the associated purchase obligation, deferred hire amounts and interest on deferred hire amounts thereon, totaling $260.4 million relating to these two vessels. As at September 30, 2020, estimated lease payments to be received by the Partnership related to its direct financing leases in each of the next five years were approximately $16.1 million (remainder of 2020), $64.2 million (2021), $64.2 million (2022), $64.0 million (2023), $64.3 million (2024) and an aggregate of $510.6 million thereafter. Two leases are scheduled to end in 2029 and the remaining lease is scheduled to end in 2039. Operating Leases As at September 30, 2020, the minimum scheduled future rentals to be received by the Partnership in each of the next five years for the lease and non-lease elements related to charters that were accounted for as operating leases are approximately $124.6 million (remainder of 2020), $464.4 million (2021), $371.3 million (2022), $307.0 million (2023), and $250.8 million (2024). Minimum scheduled future rentals on operating lease contracts do not include rentals from vessels in the Partnership’s equity-accounted joint ventures, rentals from unexercised option periods of contracts that existed on September 30, 2020, variable or contingent rentals, or rentals from contracts which were entered into or commenced after September 30, 2020. Therefore, the minimum scheduled future rentals on operating leases should not be construed to reflect total charter hire revenues for any of these five years. Contract Liabilities As at September 30, 2020, the Partnership had $28.9 million of advanced payments recognized as contract liabilities included in unearned revenue (December 31, 2019 – $24.9 million, September 30, 2019 – $22.0 million and January 1, 2019 – $26.4 million ). The Partnership recognized $26.4 million and $20.8 million of revenue for the three months ended September 30, 2020 and 2019, respectively, that was recognized as a contract liability at the beginning of such three-month periods. The Partnership recognized $24.9 million and $26.4 million of revenue for the nine months ended September 30, 2020 and 2019, respectively, that was recognized as a contract liability at the beginning of such nine-month periods. |
Equity-Accounted Joint Ventures
Equity-Accounted Joint Ventures | 9 Months Ended |
Sep. 30, 2020 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Equity-Accounted Investments | Equity-Accounted Joint Ventures For a description of the Partnership's equity-accounted joint ventures, see Item 18 - Financial Statements: Note 7a in the Partnership's audited consolidated financial statements filed with its Annual Report on Form 20-F for the year ended December 31, 2019. The Partnership's potential credit losses associated with its equity-accounted joint ventures are described in Note 3b and are excluded from the amounts in this note. a) As of September 30, 2020 and December 31, 2019, the Partnership had loans outstanding to the Exmar LPG Joint Venture, in which the Partnership has a 50% ownership interest, of $52.3 million. These advances bear interest at LIBOR plus 0.50% and have no fixed repayment terms. For the three and nine months ended September 30, 2020, interest earned on these loans amounted to $0.1 million and $0.7 million, respectively (three and nine months ended September 30, 2019 – $0.4 million and $1.2 million, respectively) and is included in interest income in the Partnership's consolidated statements of income. As of September 30, 2020 and December 31, 2019, the interest accrued on these advances was $nil and $0.3 million, respectively. Both the advances and the accrued interest on these advances are included in investments in and advances, net to equity-accounted joint ventures in the Partnership’s consolidated balance sheets. b) As of September 30, 2020 and December 31, 2019, the Partnership had loans outstanding to the Bahrain LNG Joint Venture, in which the Partnership has a 30% ownership interest, of $73.4 million. These advances bear interest at 6.0%. For the three and nine months ended September 30, 2020, interest earned on these loans amounted to $1.1 million and $3.4 million, respectively (three and nine months ended September 30, 2019 – $0.9 million and $2.7 million, respectively). For the three and nine months ended September 30, 2020, the interest earned was included in interest income in the Partnership’s consolidated statements of income and for the three and nine months ended September 30, 2019, the interest earned was capitalized as part of investments in and advances to equity-accounted joint ventures in the Partnership's consolidated balance sheets. As of September 30, 2020 and December 31, 2019, the interest accrued on these advances was $3.9 million and $0.5 million, respectively. Both the advances and the accrued interest on these advances are included in investments in and advances, net to equity-accounted joint ventures in the Partnership’s consolidated balance sheets. c) During the three and nine months ended September 30, 2020, the MALT Joint Venture returned capital of $7.9 million to the Partnership. This cash distribution was the result of internally generated cash flow from operations of the joint venture and classified as an operating cash flow in the Partnership's consolidated statements of cash flows. d) The Partnership guarantees its proportionate share of certain loan facilities and obligations on interest rate swaps for its equity-accounted joint ventures for which the aggregate principal amount of the loan facilities and fair value of the interest rate swaps as at September 30, 2020 was $1.4 billion. As of the date these unaudited consolidated financial statements were issued, the Partnership's equity-accounted joint ventures were in compliance with all covenants relating to these loan facilities and interest rate swap agreements that the Partnership guarantees. |
Long-Term Debt
Long-Term Debt | 9 Months Ended |
Sep. 30, 2020 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Long-Term Debt September 30, 2020 December 31, 2019 $ $ U.S. Dollar-denominated Revolving Credit Facilities due in 2022 125,000 212,000 U.S. Dollar-denominated Term Loans and Bonds due from 2020 to 2030 895,382 1,114,707 Norwegian Krone-denominated Bonds due from 2021 to 2025 326,820 347,163 Euro-denominated Term Loans due in 2023 and 2024 157,156 165,376 Other U.S. Dollar-denominated Loans — 3,300 Total principal 1,504,358 1,842,546 Unamortized discount and debt issuance costs (10,729) (11,150) Total debt 1,493,629 1,831,396 Less current portion (291,720) (393,065) Long-term debt 1,201,909 1,438,331 As at September 30, 2020, the Partnership had two revolving credit facilities available, which, as at such date, provided for borrowings of up to $354.8 million (December 31, 2019 – $378.2 million), of which $229.8 million (December 31, 2019 – $166.2 million) was undrawn. Interest payments are based on LIBOR plus a margin, where margins ranged from 1.40% to 2.25%. The amount available under the two revolving credit facilities will be reduced by $24.4 million in 2021 and $330.4 million in 2022, when both revolving credit facilities mature. The revolving credit facilities may be used by the Partnership to fund general partnership purposes. One of the revolving credit facilities is unsecured, while the other revolving credit facility is collateralized by first-priority mortgages granted on two of the Partnership’s vessels, together with other related security, and includes a guarantee from two of the Partnership's subsidiaries of all outstanding amounts. As at September 30, 2020, the Partnership had five U.S. Dollar-denominated term loans and bonds outstanding which totaled $895.4 million in aggregate principal amount (December 31, 2019 – $1.1 billion). Interest payments on the term loans are based on LIBOR plus a margin, where margins ranged from 0.30% to 3.25% and fixed interest payments on the bonds ranging from 4.11% to 4.41%. The five combined term loans and bonds require quarterly interest and principal payments and four have balloon or bullet repayments due at maturity. The term loans and bonds are collateralized by first-priority mortgages on the 16 Partnership vessels to which the loans relate, together with certain other related security. In addition, as at September 30, 2020, all of the outstanding term loans were guaranteed by either the Partnership or the ship-owning entities within the RasGas II Joint Venture, in which the Partnership has a 70% ownership interest. The Partnership has Norwegian Krone (or NOK ) 3.1 billion of senior unsecured bonds in the Norwegian bond market that mature through 2025 (December 31, 2019 – NOK 3.1 billion). As at September 30, 2020, the total amount of the bonds, which are listed or for which the Partnership has applied for listing on the Oslo Stock Exchange, was $326.8 million (December 31, 2019 – $347.2 million). The interest payments on the bonds are based on Norwegian Interbank Offered Rate (or NIBOR ) plus a margin, where margins ranged from 4.60% to 6.00%. The Partnership has entered into cross currency rate swaps, to swap all interest and principal payments of the bonds into U.S. Dollars, with the interest payments fixed at rates ranging from 5.74% to 7.89% and the transfer of principal fixed at $360.5 million upon maturity in exchange for NOK 3.1 billion (see Note 11). The Partnership has two Euro-denominated term loans outstanding, which as at September 30, 2020, totaled 134.1 million Euros ($157.2 million) (December 31, 2019 – 147.5 million Euros ($165.4 million)). Interest payments for one of the term loans are based on the Euro Interbank Offered Rate (or EURIBOR ) plus a margin. Interest payments on the remaining term loan are based on EURIBOR where EURIBOR is limited to zero or above zero values, plus a margin. Margins ranged from 0.60% to 1.95% as at September 30, 2020. The terms loans require monthly and semi-annual interest and principal payments. The term loans have varying maturities through 2024. The term loans are collateralized by first-priority mortgages on two of the Partnership vessels to which the loans relate, together with certain other related security and are guaranteed by the Partnership and one of its subsidiaries. The weighted-average interest rates for the Partnership’s long-term debt outstanding as at September 30, 2020 and December 31, 2019 were 2.93% and 4.12%, respectively. These rates do not reflect the effect of related interest rate swaps that the Partnership has used to economically hedge certain of its floating-rate debt (see Note 11). All Euro-denominated term loans and NOK-denominated bonds are revalued at the end of each period using the then-prevailing U.S. Dollar exchange rate. Due primarily to the revaluation of the Partnership’s NOK-denominated bonds, the Partnership’s Euro-denominated term loans and restricted cash, and the change in the valuation of the Partnership’s cross currency swaps, the Partnership incurred foreign exchange (losses) gains of $(7.9) million and $2.9 million for the three months ended September 30, 2020 and 2019, respectively, and $(14.7) million and $(5.1) million for the nine months ended September 30, 2020 and 2019, respectively. The aggregate annual long-term debt principal repayments required under these revolving credit facilities, loans and bonds subsequent to September 30, 2020 are $35.2 million (remainder of 2020), $412.7 million (2021), $212.7 million (2022), $207.3 million (2023), $103.4 million (2024) and $533.1 million (thereafter). |
Income Tax
Income Tax | 9 Months Ended |
Sep. 30, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Tax | Income Tax The components of the provision for income taxes were as follows: Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 $ $ $ $ Current (1,927) (643) (3,308) (4,678) Deferred 507 (145) 1,180 (437) Income tax expense (1,420) (788) (2,128) (5,115) Included in the Partnership's current income tax recovery (expense) are provisions for uncertain tax positions relating to freight taxes. The Partnership does not presently anticipate that its provisions for these uncertain tax positions will significantly increase in the next 12 months; however, this is dependent on the jurisdictions in which vessel trading activity occurs. The Partnership reviews its freight tax obligations on a regular basis and may update its assessment of its tax positions based on available information at that time. Such information may include additional legal advice as to the applicability of freight taxes in relevant jurisdictions. Freight tax regulations are subject to change and interpretation; therefore, the amounts recorded by the Partnership may change accordingly. |
Related Party Transactions
Related Party Transactions | 9 Months Ended |
Sep. 30, 2020 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactionsa) The following table and related footnotes provide information about certain of the Partnership's related party transactions for the periods indicated: Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 $ $ $ $ Voyage revenues (i)(iii) 9,704 16,347 27,881 37,141 Vessel operating (expenses) recoveries (i)(ii) (1,877) 44 (4,610) (5,223) Time-charter hire expenses (iii) (5,980) (5,336) (17,270) (14,007) General and administrative expenses (iv) (3,998) (3,695) (11,583) (12,019) Equity income (v) 609 369 1,815 811 (i) In September 2018, the Partnership’s FSU, the Bahrain Spirit , commenced its 21-year charter contract with the Bahrain LNG Joint Venture. Voyage revenues from the charter of the Bahrain Spirit to the Bahrain LNG Joint Venture for the three and nine months ended September 30, 2020 amounted to $7.3 million and $21.4 million, respectively ($7.7 million and $23.0 million for the three and nine months ended September 30, 2019, respectively). In addition, the Partnership has an operation and maintenance contract with the Bahrain LNG Joint Venture and had an operating and maintenance subcontract with Teekay Marine Solutions (Bermuda) Ltd. (or TMS ), an entity wholly-owned by Teekay Tankers Ltd., which is controlled by Teekay Corporation, relating to the LNG regasification terminal in Bahrain. The contract with TMS was terminated in August 2019 and such services are currently managed by the Partnership. The subcontractor fees from TMS to the Partnership for the three and nine months ended September 30, 2019 of $nil and $2.0 million, respectively, are included in vessel operating expenses in the Partnership's consolidated statements of income. Fees received in relation to the operation and maintenance contract from the Bahrain LNG Joint Venture for the three and nine months ended September 30, 2020 were $2.4 million and $6.5 million, respectively ($1.4 million and $4.4 million for the three and nine months ended September 30, 2019, respectively) and are included in voyage revenues in the Partnership's consolidated statements of income. (ii) The Partnership and certain of its operating subsidiaries have entered into service agreements with certain subsidiaries of Teekay Corporation pursuant to which the Teekay Corporation subsidiaries provide to the Partnership and its subsidiaries crew training and technical management services. In addition, as part of the Partnership's acquisition of its ownership interest in the Pan Union Joint Venture in 2014, the Partnership entered into an agreement with a subsidiary of Teekay Corporation whereby Teekay Corporation's subsidiary provided, on behalf of the Partnership, shipbuilding supervision and crew training services for four LNG carrier newbuildings in the Pan Union Joint Venture, up to their delivery dates from 2017 to 2019. All costs incurred by these Teekay Corporation subsidiaries related to these services are charged to the Partnership and recorded as part of vessel operating expenses. (iii) Commencing in September 2018, the Partnership entered into an agreement with the MALT Joint Venture to charter in one of the MALT Joint Venture's LNG carriers, the Magellan Spirit (see Note 5b). The time-charter hire expenses charged for the three and nine months ended September 30, 2020 were $6.0 million and $17.3 million, respectively ($5.3 million and $14.0 million for the three and nine months ended September 30, 2019, respectively). In addition, in May 2019, the Partnership entered into an agreement with a subsidiary of Teekay Corporation to charter out the Magellan Spirit until October 31, 2019. The Partnership recognized revenue of $7.2 million and $9.7 million, respectively, for the three and nine months ended September 30, 2019 from this charter to Teekay Corporation. On October 31, 2019, the subsidiary of Teekay Corporation novated the charter contract to the Partnership and the Partnership is chartering the Magellan Spirit to an external customer until June 2022 . (iv) Includes administrative, advisory, business development, commercial and strategic consulting services charged by Teekay Corporation and reimbursements to Teekay Corporation and the Partnership's General Partner for costs incurred on the Partnership's behalf for the conduct of the Partnership's business. (v) During the three and nine months ended September 30, 2020, the Partnership charged fees of $0.6 million and $1.8 million, respectively ($0.4 million and $0.8 million for the three and nine months ended September 30, 2019, respectively) to the Yamal LNG Joint Venture relating to the successful bid process for the construction and chartering of six ARC7 LNG carriers. The fees are reflected in equity income in the Partnership’s consolidated statements of income. b) As at September 30, 2020 and December 31, 2019, non-interest-bearing advances to affiliates totaled $2.0 million and $5.1 million, respectively, and non-interest-bearing advances from affiliates totaled $14.0 million and $7.0 million, respectively. These advances are unsecured and have no fixed repayment terms. Affiliates are entities that are under common control with the Partnership. c) The Partnership entered into services agreements with certain subsidiaries of Teekay Corporation pursuant to which the Teekay Corporation subsidiaries provided the Partnership with shipbuilding and site supervision services related to certain LNG carrier newbuildings the Partnership had ordered, which services ended when the Partnership's last wholly-owned LNG newbuilding carrier delivered in January 2019. These costs were capitalized and included as part of vessels and equipment in the Partnership’s consolidated balance sheets. For the nine months ended September 30, 2019, the Partnership incurred shipbuilding and site supervision costs of $1.8 million. d) In December 2019, as part of dissolving certain of the Partnership's controlled subsidiaries as a result of a simplification transaction, the Partnership acquired the General Partner's 1% non-controlling interest in certain of the Partnership's subsidiaries for an amount initially estimated at $2.7 million. In April 2020, the purchase price was finalized at $2.2 million. e) On May 11, 2020, Teekay Corporation and the Partnership eliminated all of the Partnership's incentive distribution rights, which were held by the General Partner, in exchange for the issuance to a subsidiary of Teekay Corporation of 10.75 million newly-issued common units of the Partnership. The common units were valued at $122.6 million, based on the prevailing unit price at the time of issuance. This was treated as a non-cash transaction in the Partnership's consolidated statements of cash flows. This transaction was approved by the conflicts committee of the General Partner’s board of directors, which was assisted by independent financial and legal advisors. f) For other transactions with the Partnership's equity-accounted joint ventures not disclosed above, please refer to Note 7. |
Derivative Instruments and Hedg
Derivative Instruments and Hedging Activities | 9 Months Ended |
Sep. 30, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments and Hedging Activities | Derivative Instruments and Hedging Activities The Partnership uses derivative instruments in accordance with its overall risk management policy. Foreign Exchange Risk From time to time, the Partnership economically hedges portions of its forecasted expenditures denominated in foreign currencies with foreign currency forward contracts. As at September 30, 2020, the Partnership was not committed to any foreign currency forward contracts. The Partnership entered into cross currency swaps concurrently with the issuance of its NOK-denominated senior unsecured bonds (see Note 8), and pursuant to these swaps, the Partnership receives the principal amount in NOK on maturity dates of the swaps in exchange for payments of a fixed U.S. Dollar amount. In addition, the cross currency swaps exchange a receipt of floating interest in NOK based on NIBOR plus a margin for a payment of U.S. Dollar fixed interest. The purpose of the cross currency swaps is to economically hedge the foreign currency exposure on the payment of interest and principal of the Partnership’s NOK-denominated bonds due in 2021, 2023 and 2025, and to economically hedge the interest rate exposure. The following table reflects information relating to the cross currency swaps as at September 30, 2020. Floating Rate Receivable Principal Principal Reference Rate Margin Fixed Rate Fair Value / Weighted- 1,200,000 146,500 NIBOR 6.00% 7.72% (20,638) 1.1 850,000 102,000 NIBOR 4.60% 7.89% (18,606) 2.9 1,000,000 112,000 NIBOR 5.15% 5.74% (5,529) 4.9 (44,773) Interest Rate Risk The Partnership enters into interest rate swaps which exchange a receipt of floating interest for a payment of fixed interest to reduce the Partnership’s exposure to interest rate variability on certain of its outstanding floating-rate debt. As at September 30, 2020, the Partnership was committed to the following interest rate swap agreements: Interest Principal Fair Weighted- Fixed Swap Rate (i) LIBOR-Based Debt: U.S. Dollar-denominated interest rate swaps (ii) LIBOR 106,250 (21,523) 8.3 5.2% U.S. Dollar-denominated interest rate swaps (ii) LIBOR 10,711 (201) 0.8 2.8% U.S. Dollar-denominated interest rate swaps (iii) (iv) LIBOR 148,038 (6,272) 4.0 1.4% U.S. Dollar-denominated interest rate swaps (iii) (iv) LIBOR 302,852 (28,903) 1.7 3.5% U.S. Dollar-denominated interest rate swaps (iv) LIBOR 163,344 (13,987) 6.2 2.3% EURIBOR-Based Debt: Euro-denominated interest rate swaps (v) EURIBOR 70,577 (6,395) 2.9 3.9% (77,281) (i) Excludes the margins the Partnership pays on its floating-rate term loans, which, at September 30, 2020, ranged from 0.30% to 3.25%. (ii) Principal amount reduces semi-annually. (iii) Certain of these interest rate swaps are subject to mandatory early termination in 2021 and 2024 whereby the swaps will be settled based on their fair value at that time. (iv) Principal amount reduces quarterly. (v) Principal amount reduces monthly. As at September 30, 2020, the Partnership had multiple interest rate swaps and cross currency swaps with the same counterparty that are subject to the same master agreement. Each of these master agreements provides for the net settlement of all swaps subject to that master agreement through a single payment in the event of default or termination of any one swap. The fair value of these derivative instruments is presented on a gross basis in the Partnership’s consolidated balance sheets. As at September 30, 2020, these interest rate swaps and cross currency swaps had an aggregate fair value asset of $nil (December 31, 2019 – $2.2 million) and an aggregate fair value liability of $100.5 million (December 31, 2019 – $74.6 million). As at September 30, 2020, the Partnership had $8.9 million (December 31, 2019 – $14.3 million) on deposit as security for cross currency swap liabilities under certain master agreements. The deposit is presented in restricted cash – current and restricted cash – long-term on the Partnership's consolidated balance sheets. Credit Risk The Partnership is exposed to credit loss in the event of non-performance by the counterparties to the interest rate swap agreements. In order to minimize counterparty risk, the Partnership only enters into derivative transactions with counterparties that are rated A- or better by Standard & Poor’s or A3 or better by Moody’s at the time of the transactions. In addition, to the extent practical, interest rate swaps are entered into with different counterparties to reduce concentration risk. The following table presents the classification and fair value amounts of derivative instruments, segregated by type of contract, on the Partnership’s consolidated balance sheets. Accounts receivable Current portion of derivative Derivative Accrued Current portion of derivative Derivative As at September 30, 2020 Derivatives designated as a cash flow hedge: Interest rate swap agreements — — — (65) (3,132) (10,790) Derivatives not designated as a cash flow hedge: Interest rate swap agreements — — — (3,426) (26,218) (33,650) Cross currency swap agreements — — — (956) (6,266) (37,551) — — — (4,447) (35,616) (81,991) As at December 31, 2019 Derivatives designated as a cash flow hedge: Interest rate swap agreements — — — (12) (837) (3,475) Derivatives not designated as a cash flow hedge: Interest rate swap agreements 21 355 1,834 (2,821) (14,758) (28,544) Foreign currency forward contracts — — — — (202) — Cross currency swap agreements — — — (456) (22,661) (18,987) 21 355 1,834 (3,289) (38,458) (51,006) Realized and unrealized losses relating to non-designated interest rate swap agreements, foreign currency forward contracts and the Toledo Spirit time-charter derivative are recognized in earnings and reported in realized and unrealized loss on non-designated derivative instruments in the Partnership’s consolidated statements of income. The effect of the (loss) gain on these derivatives on the Partnership’s consolidated statements of income is as follows: Three Months Ended September 30, 2020 2019 Realized Unrealized Total Realized Unrealized Total $ $ $ $ $ $ Interest rate swap agreements (4,947) 3,620 (1,327) (2,621) (215) (2,836) Foreign currency forward contracts — — — — (434) (434) (4,947) 3,620 (1,327) (2,621) (649) (3,270) Nine Months Ended September 30, 2020 2019 Realized Unrealized Total Realized Unrealized Total $ $ $ $ $ $ Interest rate swap agreements (11,520) (18,755) (30,275) (7,398) (9,740) (17,138) Foreign currency forward contracts (241) 202 (39) — (535) (535) Toledo Spirit time-charter derivative — — — — (40) (40) (11,761) (18,553) (30,314) (7,398) (10,315) (17,713) Realized and unrealized (losses) gains relating to cross currency swap agreements are recognized in earnings and reported in foreign currency exchange (loss) gain in the Partnership’s consolidated statements of income. The effect of the (loss) gain on these derivatives on the Partnership's consolidated statements of income is as follows: Three Months Ended September 30, 2020 2019 Realized Unrealized Total Realized Unrealized Total $ $ $ $ $ $ Cross currency swap agreements (1,669) 1,490 (179) (1,431) (23,759) (25,190) Nine Months Ended September 30, 2020 2019 Realized Unrealized Total Realized Unrealized Total $ $ $ $ $ $ Cross currency swap agreements (4,916) (2,169) (7,085) (3,952) (25,818) (29,770) Cross currency swap agreements maturity (33,844) — (33,844) — — — (38,760) (2,169) (40,929) (3,952) (25,818) (29,770) For the periods indicated, the following table presents the gains or losses on interest rate swap agreements designated and qualifying as cash flow hedges and their impact on other comprehensive loss (or OCI ). The following table excludes any interest rate swap agreements designated and qualifying as cash flow hedges in the Partnership’s equity-accounted joint ventures. Three Months Ended September 30, 2020 Three Months Ended September 30, 2019 Amount of Gain Recognized in OCI Amount of Loss Reclassified from Accumulated OCI to Interest Expense Amount of Loss Recognized in OCI Amount of Gain Reclassified from Accumulated OCI to Interest Expense 616 (835) (2,244) 22 Nine Months Ended September 30, 2020 Nine Months Ended September 30, 2019 Amount of Loss Recognized in OCI Amount of Loss Reclassified from Accumulated OCI to Interest Expense Amount of Loss Recognized in OCI Amount of Gain Reclassified from Accumulated OCI to Interest Expense (9,610) (1,469) (9,646) 430 |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies a) The Partnership’s share of commitments to fund equipment installation and other construction contract costs as at September 30, 2020 are as follows: Total Remainder of 2021 2022 Certain consolidated LNG carriers (i) 42,910 3,316 24,583 15,011 Bahrain LNG Joint Venture (ii) 11,339 — 11,339 — 54,249 3,316 35,922 15,011 (i) In June 2019, the Partnership entered into an agreement with a contractor to supply equipment on certain of the Partnership's LNG carriers in 2021 and 2022, for an estimated installed cost of $59.5 million. As at September 30, 2020, the estimated remaining cost of this installation was $42.9 million. (ii) The Partnership has a 30% ownership interest in the Bahrain LNG Joint Venture which has an LNG receiving and regasification terminal in Bahrain. As at September 30, 2020, the Partnership's proportionate share of the estimated remaining cost of $11.3 million relates to the final construction installment on the LNG terminal. The Bahrain LNG Joint Venture has remaining debt financing of $24 million, which is undrawn, of which $7 million relates to the Partnership's proportionate share of the construction commitments included in the table above. b) The Partnership owns 70% of the Tangguh Joint Venture, which is a party to operating leases whereby the Tangguh Joint Venture is leasing the Tangguh Hiri and Tangguh Sago LNG carriers (or the Tangguh LNG Carriers ) to a third party, which is in turn leasing the vessels back to the joint venture. The amounts referenced in Note 5b do not include the Partnership’s minimum charter hire payments to be paid and received under these leases, which are described in more detail in Item 18 – Financial Statements: Note 14 to the Partnership’s audited consolidated financial statements filed with its Annual Report on Form 20-F for the year ended December 31, 2019. Under the terms of the leasing arrangement for the Tangguh LNG Carriers, whereby the Tangguh Joint Venture is the lessee, the lessor claims tax depreciation on its lease of these vessels. As is typical in these types of leasing arrangements, tax and change of law risks are assumed by the lessee. Lease payments under the lease arrangements are based on certain tax and financial assumptions at the commencement of the leases. If an assumption proves to be incorrect, the lessor is entitled to increase the lease payments to maintain its agreed after-tax margin. As at September 30, 2020, the carrying amount of this estimated tax indemnification obligation relating to the leasing arrangement through the Tangguh Joint Venture was $5.8 million (December 31, 2019 – $6.1 million) and is included as part of other long-term liabilities in the consolidated balance sheets of the Partnership. c) Management is required to assess whether the Partnership will have sufficient liquidity to continue as a going concern for the one-year period following the issuance of its consolidated financial statements. The Partnership had a working capital deficit of $301.9 million as at September 30, 2020. This working capital deficit includes $291.7 million related to scheduled maturities and repayments of long-term debt in the 12 months following September 30, 2020. Based on the Partnership’s liquidity at the date these unaudited consolidated financial statements were issued, the liquidity it expects to generate from operations over the following year, the cash distributions it expects to receive from its equity-accounted joint ventures and expected debt refinancings, the Partnership estimates that it will have sufficient liquidity to continue as a going concern for at least the one-year period following the issuance of these unaudited consolidated financial statements. |
Total Capital and Net Income Pe
Total Capital and Net Income Per Unit | 9 Months Ended |
Sep. 30, 2020 | |
Equity [Abstract] | |
Total Capital and Net (Loss) Income Per Unit | and Net Income Per Common Unit As at September 30, 2020, approximately 58.6% of the Partnership’s common units outstanding were held by the public. The remaining common units, as well as the 1.8% general partner interest, were held by subsidiaries of Teekay Corporation. All of the Partnership's outstanding Series A Cumulative Redeemable Perpetual Preferred Units (or the Series A Preferred Units ) and Series B Fixed-to-Floating Rate Cumulative Redeemable Perpetual Preferred Units (or the Series B Preferred Units ) are held by the public. On May 11, 2020, Teekay Corporation and the Partnership agreed to eliminate all of the Partnership's incentive distribution rights, which were held by the General Partner, in exchange for the issuance to a Teekay Corporation subsidiary of 10.75 million newly-issued common units of the Partnership. The common units were valued at $122.6 million, based on the prevailing unit price at the time of issuance. This transaction has decreased the General Partner’s equity by $2.3 million representing its 1.8% proportionate share of the cost to eliminate the incentive distribution rights. This transaction has increased the limited partners’ equity by $2.3 million, representing the excess value of the common units issued over its 98.2% share of the cost to eliminate the incentive distribution rights. Subsequent to the elimination of the Partnership’s incentive distribution rights, the amount of net income attributable to the limited partners and General Partner is based on the limited partners' and General Partner’s respective ownership percentages. For information on how the General Partner’s and common unitholders’ interests in net income were calculated prior to May 11, 2020, please refer to Item 18 – Financial Statements: Note 16 to the Partnership’s audited consolidated financial statements filed with its Annual Report on Form 20-F for the year ended December 31, 2019. Net Income Per Common Unit Limited partners' interest in net income per common unit is determined by dividing net income, after deducting the amount of net income attributable to the non-controlling interests, the General Partner’s interest and the distributions on the Series A and Series B Preferred Units, by the weighted-average number of common units outstanding during the period. The computation of limited partners’ interest in net income per common unit - diluted assumes the exercise of all dilutive restricted units using the treasury stock method. The computation of limited partners’ interest in net loss per common unit - diluted does not assume such exercises as the effect would be anti-dilutive. The distributions on the Series A and Series B Preferred Units for the three and nine months ended September 30, 2020 and 2019 were $6.4 million and $19.3 million, respectively. Three Months Ended September 30, 2020 2019 $ $ Limited partners' interest in net income for basic net income per common unit 33,255 40,122 Weighted average number of common units 86,951,234 78,012,514 Dilutive effect of unit-based compensation 89,812 94,256 Weighted average number of common units and common unit equivalents 87,041,046 78,106,770 Limited partner's interest in net income per common unit: Basic 0.38 0.51 Diluted 0.38 0.51 Nine Months Ended September 30, 2020 2019 $ $ Limited partners' interest in net income for basic net income per common unit 32,421 64,820 Weighted average number of common units 82,010,753 78,402,239 Dilutive effect of unit-based compensation 99,073 86,092 Weighted average number of common units and common unit equivalents 82,109,826 78,488,331 Limited partner's interest in net income per common unit: Basic 0.40 0.83 Diluted 0.39 0.83 Common Unit Repurchases |
Restructuring Charges Restructu
Restructuring Charges Restructuring Charges | 9 Months Ended |
Sep. 30, 2020 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and Related Activities Disclosure [Text Block] | Restructuring Charges In January 2019, the charterer, who was also the owner of the Toledo Spirit conventional tanker, sold the vessel to a third party. As a result of this sale, the Partnership returned the vessel to the owner and incurred seafarer severance payments of $3.0 million for the nine months ended September 30, 2019 which were presented as restructuring charges in the Partnership's consolidated statements of income. As at September 30, 2020 and December 31, 2019, the remaining balance of unpaid restructuring charges of $0.6 million is included in accrued liabilities in the Partnership's consolidated balance sheets. |
Write-down of Vessels
Write-down of Vessels | 9 Months Ended |
Sep. 30, 2020 | |
Property, Plant and Equipment [Abstract] | |
Write-down and Sale of Vessels | Write-down of Vessels a) In March 2020, the carrying values for six of the Partnership's seven wholly-owned multi-gas carriers (the Unikum Spirit , Vision Spirit , Pan Spirit, Cathinka Spirit , Camilla Spirit and Sonoma Spirit ), were written down to their estimated fair values, using appraised values, primarily due to the lower near-term outlook for these types of vessels as a result of the economic environment at that time (including the COVID-19 pandemic), as well as the Partnership receiving notification that the Partnership's then-existing commercial management agreement with a third-party commercial manager will dissolve and be replaced by a new commercial management agreement in September 2020. The total impairment charge of $45.0 million is included in write-down of vessels for the nine months ended September 30, 2020 in the Partnership's consolidated statements of income. b) The Partnership recorded a write-down on the Alexander Spirit conventional tanker of $0.8 million for the three and nine months ended September 30, 2019 in the Partnership's consolidated statements of income. On October 16, 2019, the Alexander Spirit |
Restructuring and Related Activities Disclosure [Text Block] | Restructuring Charges In January 2019, the charterer, who was also the owner of the Toledo Spirit conventional tanker, sold the vessel to a third party. As a result of this sale, the Partnership returned the vessel to the owner and incurred seafarer severance payments of $3.0 million for the nine months ended September 30, 2019 which were presented as restructuring charges in the Partnership's consolidated statements of income. As at September 30, 2020 and December 31, 2019, the remaining balance of unpaid restructuring charges of $0.6 million is included in accrued liabilities in the Partnership's consolidated balance sheets. |
Subsequent Events
Subsequent Events | 9 Months Ended |
Sep. 30, 2020 | |
Subsequent Events [Abstract] | |
Subsequent Events |
Accounting Pronouncements (Poli
Accounting Pronouncements (Policies) | 9 Months Ended |
Sep. 30, 2020 | |
Accounting Changes and Error Corrections [Abstract] | |
New accounting pronouncements | Accounting Pronouncements In June 2016, the Financial Accounting Standards Board (or FASB ) issued Accounting Standards Update (or ASU ) 2016-13, Financial Instruments - Credit Losses: Measurement of Credit Losses on Financial Instruments (or ASU 2016-13 ). ASU 2016-13 introduced a new credit loss methodology, which requires earlier recognition of potential credit losses, while also providing additional transparency about credit risk. This new credit loss methodology utilizes a lifetime “expected credit loss” measurement objective for the recognition of credit losses for loans, held-to-maturity debt securities and other receivables at the time the financial asset is originated or acquired. The expected credit losses are subsequently adjusted each period for changes in expected lifetime credit losses. This methodology replaced multiple existing impairment methods under previous GAAP for these types of assets, which generally required that a loss be incurred before it was recognized. The Partnership adopted this update on January 1, 2020 with a modified-retrospective approach, whereby a cumulative-effect adjustment was made to reduce partner's equity on January 1, 2020 without any retroactive application to prior periods. The Partnership's net investments in direct financing and sales-type leases, advances to equity-accounted joint ventures, guarantees of indebtedness of equity-accounted joint ventures and receivables related to non-operating lease revenue arrangements are subject to ASU 2016-13. On adoption, the Partnership decreased the carrying value of partners' equity by $50.8 million, investments in and advances, net to equity-accounted joint ventures by $40.0 million, net investments in direct financing and sales-type leases by $11.2 million and non-controlling interest by $2.5 million, and increased its other long-term liabilities by $2.1 million. The cumulative adjustment recorded on initial adoption of this update does not reflect an increase in credit risk exposure to the Partnership compared to previous periods presented. In December 2019, the FASB issued ASU 2019-12 - Income Taxes (Topic 740) Simplifying the Accounting for Income Taxes (or ASU 2019-12 ), as part of its initiative to reduce complexity in the accounting standards. The amendments in ASU 2019-12 eliminate certain exceptions related to the approach for intraperiod tax allocation, the methodology for calculating income taxes in an interim period and the recognition of deferred tax liabilities for outside basis differences, among other changes. The guidance becomes effective for annual reporting periods beginning after December 15, 2020 and interim periods within those fiscal years with early adoption permitted, including adoption in any interim period. The Partnership is currently evaluating the effect of adopting this new guidance. In March 2020, the FASB issued ASU 2020-04 - Reference Rate Reform (Topic 848) Facilitation of the Effects o f Reference Rate Reform on Financial Reporting (or ASU 2020-04 ). This ASU provides optional guidance for a limited period of time to ease potential accounting impacts associated with transitioning away from reference rates that are expected to be discontinued, such as the London Interbank Offered Rate (or "LIBOR" ). This ASU applies only to contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued. This ASU is effective through December 31, 2022. The Partnership is currently evaluating the effect of adopting this new guidance. |
Accounting Policies (Tables)
Accounting Policies (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Accounting Policies [Abstract] | |
Schedule of Error Corrections and Prior Period Adjustments | The unaudited interim consolidated financial statements have been prepared in accordance with United States generally accepted accounting principles (or GAAP ). These unaudited consolidated financial statements include the accounts of Teekay LNG Partners L.P. (or the Partnership ), which is a limited partnership formed under the laws of the Republic of the Marshall Islands, its wholly-owned and controlled subsidiaries and any variable interest entities (or VIEs ) of which it is the primary beneficiary. Certain information and footnote disclosures required by GAAP for complete annual financial statements have been omitted and, therefore, these unaudited interim consolidated financial statements should be read in conjunction with the Partnership’s audited consolidated financial statements for the year ended December 31, 2019, which are included in the Partnership’s Annual Report on Form 20-F for the year ended December 31, 2019 filed with the U.S. Securities and Exchange Commission (or SEC ) on April 9, 2020. In the opinion of management of Teekay GP L.L.C., the general partner of the Partnership (or the General Partner ), these unaudited interim consolidated financial statements reflect all adjustments consisting solely of a normal recurring nature, necessary to present fairly, in all material respects, the Partnership’s consolidated financial position, results of operations, changes in total equity and cash flows for the interim periods presented. The results of operations for the interim periods presented are not necessarily indicative of those for a full fiscal year. Significant intercompany balances and transactions have been eliminated upon consolidation. Certain comparative figures have been reclassified to conform to the presentation adopted in the current period relating to certain expenses reclassified from income tax expense to other expense which resulted in increases in other expense of $0.7 million and $1.4 million, and offsetting decreases in income tax expense for the three and nine months ended September 30, 2019, respectively. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. It is possible that the amounts recorded as derivative liabilities could vary by material amounts prior to their settlement. In March 2020, the World Health Organization declared the outbreak of a novel coronavirus (or COVID-19 ) as a pandemic. Given the dynamic nature of these circumstances, the full extent to which the COVID-19 pandemic may have direct or indirect impact on the Partnership's business and the related financial reporting implications cannot be reasonably estimated at this time, although it could materially affect the Partnership's business, results of operations and financial condition in the future. At this time, the Partnership has not yet experienced any material negative impacts to its business, results of operations, or financial position as a result of COVID-19, other than it being a contributing factor to the write-down of six of the Partnership's multi-gas vessels during the nine months ended September 30, 2020 as described in Note 15. |
Financial Instruments (Tables)
Financial Instruments (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
Schedule of Estimated Fair Value and Carrying Value of Partnership's Financial Instruments on Recurring and Non-Recurring Basis | The following table includes the estimated fair value and carrying value of those assets and liabilities that are measured at fair value on a recurring and non-recurring basis, as well as the estimated fair value of the Partnership’s financial instruments that are not accounted for at fair value on a recurring basis. September 30, 2020 December 31, 2019 Fair Carrying Fair Carrying Fair Recurring: Cash and cash equivalents and restricted cash (note 16a) Level 1 254,837 254,837 253,291 253,291 Derivative instruments (note 11) Interest rate swap agreements – assets Level 2 — — 2,210 2,210 Interest rate swap agreements – liabilities Level 2 (77,281) (77,281) (50,447) (50,447) Foreign currency contracts Level 2 — — (202) (202) Cross currency swap agreements – liabilities Level 2 (44,773) (44,773) (42,104) (42,104) Other: Loans to equity-accounted joint ventures (note 7) (i) 125,641 (i) 126,546 (i) Long-term debt – public (note 8) Level 1 (323,656) (331,776) (345,824) (358,005) Long-term debt – non-public (note 8) Level 2 (1,169,973) (1,179,593) (1,485,572) (1,474,208) Obligations related to finance leases (note 5a) Level 2 (1,358,485) (1,471,234) (1,410,904) (1,434,910) (i) The advances to equity-accounted joint ventures together with the Partnership’s equity investments in the joint ventures form the net aggregate carrying value of the Partnership’s interests in the joint ventures in these unaudited consolidated financial statements. The fair values of the individual components of such aggregate interests are not determinable. |
Summary of Partnership's Financing receivables and Direct financing leases | The following table includes the amortized cost basis of the Partnership’s direct interests in financing receivables and net investment in direct financing leases by class of financing receivables and by period of origination and their associated credit quality. Amortized Cost Basis by Origination Year Credit Quality Grade (1) 2018 2016 Prior to 2016 Total As at September 30, 2020 $ $ $ $ Direct financing leases Tangguh Hiri and Tangguh Sago Performing — — 335,336 335,336 Bahrain Spirit Performing 212,312 — — 212,312 212,312 — 335,336 547,648 Loans to equity-accounted joint ventures Exmar LPG Joint Venture Performing — — 52,266 52,266 Bahrain LNG Joint Venture Performing — 73,375 — 73,375 — 73,375 52,266 125,641 212,312 73,375 387,602 673,289 |
Financing Receivable, Allowance for Credit Loss | Changes in the Partnership's allowance for credit losses for the three and nine months ended September 30, 2020 are as follows: Direct financing leases (1) $ Direct financing and sales-type leases and other within equity-accounted joint ventures (1) $ Loans to equity-accounted joint ventures (2) $ Guarantees of debt (3) $ Total As at January 1, 2020 11,155 36,292 3,714 2,139 53,300 Provision for potential credit losses (100) 8,980 — — 8,880 As at March 31, 2020 11,055 45,272 3,714 2,139 62,180 Provision for potential credit losses 465 (423) 83 (288) (163) As at June 30, 2020 11,520 44,849 3,797 1,851 62,017 Provision for potential credit losses 13,805 7,099 877 (285) 21,496 As at September 30, 2020 25,325 51,948 4,674 1,566 83,513 |
Segment Reporting (Tables)
Segment Reporting (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Segment Reporting [Abstract] | |
Segment Reporting Information | The following tables include results for the Partnership’s segments for the periods presented in these unaudited consolidated financial statements. Three Months Ended September 30, 2020 Liquefied Liquefied Petroleum Gas Conventional Total Voyage revenues 138,953 9,982 — 148,935 Voyage expenses (427) (3,523) — (3,950) Vessel operating expenses (25,871) (4,771) — (30,642) Time-charter hire expenses (5,980) — — (5,980) Depreciation and amortization (30,658) (1,943) — (32,601) General and administrative expenses (i) (5,704) (461) — (6,165) Income (loss) from vessel operations 70,313 (716) — 69,597 Equity income 22,674 1,672 — 24,346 Three Months Ended September 30, 2019 Liquefied Liquefied Petroleum Gas Conventional Total Voyage revenues 137,212 10,846 1,597 149,655 Voyage recoveries (expenses) 286 (4,778) (469) (4,961) Vessel operating expenses (21,890) (4,804) (627) (27,321) Time-charter hire expenses (5,336) — — (5,336) Depreciation and amortization (32,249) (1,991) (8) (34,248) General and administrative expenses (i) (4,787) (397) (209) (5,393) Write-down of vessels — — (785) (785) Income (loss) from vessel operations 73,236 (1,124) (501) 71,611 Equity income 20,262 1,034 — 21,296 Nine Months Ended September 30, 2020 Liquefied Liquefied Petroleum Gas Conventional Total Voyage revenues 409,345 27,682 — 437,027 Voyage expenses (2,262) (9,334) — (11,596) Vessel operating expenses (72,562) (12,591) — (85,153) Time-charter hire expenses (17,270) — — (17,270) Depreciation and amortization (91,816) (5,053) — (96,869) General and administrative expenses (i) (18,708) (1,507) — (20,215) Write-down of vessels — (45,000) — (45,000) Income (loss) from vessel operations 206,727 (45,803) — 160,924 Equity income 50,651 6,223 — 56,874 Nine Months Ended September 30, 2019 Liquefied Liquefied Petroleum Gas Conventional Total Voyage revenues 416,867 28,864 6,728 452,459 Voyage expenses (4,436) (11,990) (333) (16,759) Vessel operating expenses (65,591) (12,786) (2,502) (80,879) Time-charter hire expenses (14,007) — — (14,007) Depreciation and amortization (97,074) (5,942) (696) (103,712) General and administrative expenses (i) (15,801) (1,305) (586) (17,692) Write-down of vessels — — (785) (785) Restructuring charges — — (2,976) (2,976) Income (loss) from vessel operations 219,958 (3,159) (1,150) 215,649 Equity income (loss) 31,132 (2,520) — 28,612 (i) Includes direct general and administrative expenses and indirect general and administrative expenses (allocated to each segment based on estimated use of corporate resources). |
Reconciliation of Total Segment Assets | A reconciliation of total segment assets to total assets presented in the consolidated balance sheets is as follows: September 30, 2020 December 31, $ $ Total assets of the liquefied natural gas segment 4,432,664 4,924,627 Total assets of the liquefied petroleum gas segment 276,831 319,695 Unallocated: Cash and cash equivalents 201,036 160,221 Advances to affiliates 1,953 5,143 Consolidated total assets 4,912,484 5,409,686 |
Chartered-in Vessels (Tables)
Chartered-in Vessels (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Leases [Abstract] | |
Obligations related to Finance Leases | Obligations related to Finance Leases September 30, 2020 December 31, $ $ Total obligations related to finance leases 1,358,485 1,410,904 Less current portion (71,441) (69,982) Long-term obligations related to finance leases 1,287,044 1,340,922 |
Commitments related to Finance Leases | As at September 30, 2020, the remaining commitments related to the financial liabilities of these nine LNG carriers, including the amounts to be paid for the related purchase obligations, approximated $1.8 billion, including imputed interest of $417.7 million, repayable through 2034, as indicated below: Commitments as at Year September 30, 2020 Remainder of 2020 $ 34,831 2021 $ 138,601 2022 $ 136,959 2023 $ 135,459 2024 $ 132,011 Thereafter $ 1,198,366 |
Revenue (Tables)
Revenue (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The following tables contain the Partnership’s total revenue for the three and nine months ended September 30, 2020 and 2019, by contract type and by segment. Three Months Ended September 30, 2020 Liquefied Natural Gas Liquefied Conventional Total Time charters 136,203 — — 136,203 Voyage charters — 9,982 — 9,982 Management fees and other income 2,750 — — 2,750 138,953 9,982 — 148,935 Three Months Ended September 30, 2019 Liquefied Natural Gas Liquefied Conventional Total Time charters 129,633 — 1,597 131,230 Voyage charters — 10,846 — 10,846 Bareboat charters 6,196 — — 6,196 Management fees and other income 1,383 — — 1,383 137,212 10,846 1,597 149,655 Nine Months Ended September 30, 2020 Liquefied Natural Gas Liquefied Conventional Total Time charters 402,509 — — 402,509 Voyage charters — 27,682 — 27,682 Management fees and other income 6,836 — — 6,836 409,345 27,682 — 437,027 Nine Months Ended September 30, 2019 Liquefied Natural Gas Liquefied Conventional Total Time charters 394,092 — 6,728 400,820 Voyage charters — 28,864 — 28,864 Bareboat charters 18,387 — — 18,387 Management fees and other income 4,388 — — 4,388 416,867 28,864 6,728 452,459 The following table contains the Partnership’s total revenue for the three and nine months ended September 30, 2020 and 2019, by contracts or components of contracts accounted for as leases and those not accounted for as leases: Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 $ $ $ $ Lease revenue Lease revenue from lease payments of operating leases 126,678 128,743 373,566 389,565 Interest income on lease receivables 12,659 12,978 37,920 38,741 Variable lease payments - cost reimbursements (1) 1,475 1,277 3,795 3,252 140,812 142,998 415,281 431,558 Non-lease revenue Non-lease revenue - related to sales-type or direct financing leases 5,373 5,274 14,910 16,513 Management fees and other income 2,750 1,383 6,836 4,388 8,123 6,657 21,746 20,901 Total 148,935 149,655 437,027 452,459 (1) Reimbursements for vessel operating expenditures and dry-docking expenditures received from the Partnership's customers relating to such costs incurred by the Partnership to operate the vessel for the customer pursuant to charter contracts accounted for as operating leases. |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Debt Disclosure [Abstract] | |
Components of Long-Term Debt | September 30, 2020 December 31, 2019 $ $ U.S. Dollar-denominated Revolving Credit Facilities due in 2022 125,000 212,000 U.S. Dollar-denominated Term Loans and Bonds due from 2020 to 2030 895,382 1,114,707 Norwegian Krone-denominated Bonds due from 2021 to 2025 326,820 347,163 Euro-denominated Term Loans due in 2023 and 2024 157,156 165,376 Other U.S. Dollar-denominated Loans — 3,300 Total principal 1,504,358 1,842,546 Unamortized discount and debt issuance costs (10,729) (11,150) Total debt 1,493,629 1,831,396 Less current portion (291,720) (393,065) Long-term debt 1,201,909 1,438,331 |
Income Tax (Tables)
Income Tax (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Income Tax Disclosure [Abstract] | |
Components of Provision for Income Taxes | The components of the provision for income taxes were as follows: Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 $ $ $ $ Current (1,927) (643) (3,308) (4,678) Deferred 507 (145) 1,180 (437) Income tax expense (1,420) (788) (2,128) (5,115) |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Related Party Transactions [Abstract] | |
Schedule of Related Party Transactions | The following table and related footnotes provide information about certain of the Partnership's related party transactions for the periods indicated: Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 $ $ $ $ Voyage revenues (i)(iii) 9,704 16,347 27,881 37,141 Vessel operating (expenses) recoveries (i)(ii) (1,877) 44 (4,610) (5,223) Time-charter hire expenses (iii) (5,980) (5,336) (17,270) (14,007) General and administrative expenses (iv) (3,998) (3,695) (11,583) (12,019) Equity income (v) 609 369 1,815 811 |
Derivative Instruments and He_2
Derivative Instruments and Hedging Activities Derivative Instruments and Hedging Activities (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Summary of Cross Currency Swap Agreements | Foreign Exchange Risk From time to time, the Partnership economically hedges portions of its forecasted expenditures denominated in foreign currencies with foreign currency forward contracts. As at September 30, 2020, the Partnership was not committed to any foreign currency forward contracts. The Partnership entered into cross currency swaps concurrently with the issuance of its NOK-denominated senior unsecured bonds (see Note 8), and pursuant to these swaps, the Partnership receives the principal amount in NOK on maturity dates of the swaps in exchange for payments of a fixed U.S. Dollar amount. In addition, the cross currency swaps exchange a receipt of floating interest in NOK based on NIBOR plus a margin for a payment of U.S. Dollar fixed interest. The purpose of the cross currency swaps is to economically hedge the foreign currency exposure on the payment of interest and principal of the Partnership’s NOK-denominated bonds due in 2021, 2023 and 2025, and to economically hedge the interest rate exposure. The following table reflects information relating to the cross currency swaps as at September 30, 2020. Floating Rate Receivable Principal Principal Reference Rate Margin Fixed Rate Fair Value / Weighted- 1,200,000 146,500 NIBOR 6.00% 7.72% (20,638) 1.1 850,000 102,000 NIBOR 4.60% 7.89% (18,606) 2.9 1,000,000 112,000 NIBOR 5.15% 5.74% (5,529) 4.9 (44,773) |
Interest Rate Swap Agreements | As at September 30, 2020, the Partnership was committed to the following interest rate swap agreements: Interest Principal Fair Weighted- Fixed Swap Rate (i) LIBOR-Based Debt: U.S. Dollar-denominated interest rate swaps (ii) LIBOR 106,250 (21,523) 8.3 5.2% U.S. Dollar-denominated interest rate swaps (ii) LIBOR 10,711 (201) 0.8 2.8% U.S. Dollar-denominated interest rate swaps (iii) (iv) LIBOR 148,038 (6,272) 4.0 1.4% U.S. Dollar-denominated interest rate swaps (iii) (iv) LIBOR 302,852 (28,903) 1.7 3.5% U.S. Dollar-denominated interest rate swaps (iv) LIBOR 163,344 (13,987) 6.2 2.3% EURIBOR-Based Debt: Euro-denominated interest rate swaps (v) EURIBOR 70,577 (6,395) 2.9 3.9% (77,281) (i) Excludes the margins the Partnership pays on its floating-rate term loans, which, at September 30, 2020, ranged from 0.30% to 3.25%. (ii) Principal amount reduces semi-annually. (iii) Certain of these interest rate swaps are subject to mandatory early termination in 2021 and 2024 whereby the swaps will be settled based on their fair value at that time. (iv) Principal amount reduces quarterly. (v) Principal amount reduces monthly. |
Classification and Fair Value Amounts of Derivative Instruments | The following table presents the classification and fair value amounts of derivative instruments, segregated by type of contract, on the Partnership’s consolidated balance sheets. Accounts receivable Current portion of derivative Derivative Accrued Current portion of derivative Derivative As at September 30, 2020 Derivatives designated as a cash flow hedge: Interest rate swap agreements — — — (65) (3,132) (10,790) Derivatives not designated as a cash flow hedge: Interest rate swap agreements — — — (3,426) (26,218) (33,650) Cross currency swap agreements — — — (956) (6,266) (37,551) — — — (4,447) (35,616) (81,991) As at December 31, 2019 Derivatives designated as a cash flow hedge: Interest rate swap agreements — — — (12) (837) (3,475) Derivatives not designated as a cash flow hedge: Interest rate swap agreements 21 355 1,834 (2,821) (14,758) (28,544) Foreign currency forward contracts — — — — (202) — Cross currency swap agreements — — — (456) (22,661) (18,987) 21 355 1,834 (3,289) (38,458) (51,006) |
Gain (Loss) for Derivative Instruments Not Designated or Qualifying as Hedging Instruments | The effect of the (loss) gain on these derivatives on the Partnership’s consolidated statements of income is as follows: Three Months Ended September 30, 2020 2019 Realized Unrealized Total Realized Unrealized Total $ $ $ $ $ $ Interest rate swap agreements (4,947) 3,620 (1,327) (2,621) (215) (2,836) Foreign currency forward contracts — — — — (434) (434) (4,947) 3,620 (1,327) (2,621) (649) (3,270) Nine Months Ended September 30, 2020 2019 Realized Unrealized Total Realized Unrealized Total $ $ $ $ $ $ Interest rate swap agreements (11,520) (18,755) (30,275) (7,398) (9,740) (17,138) Foreign currency forward contracts (241) 202 (39) — (535) (535) Toledo Spirit time-charter derivative — — — — (40) (40) (11,761) (18,553) (30,314) (7,398) (10,315) (17,713) Three Months Ended September 30, 2020 2019 Realized Unrealized Total Realized Unrealized Total $ $ $ $ $ $ Cross currency swap agreements (1,669) 1,490 (179) (1,431) (23,759) (25,190) Nine Months Ended September 30, 2020 2019 Realized Unrealized Total Realized Unrealized Total $ $ $ $ $ $ Cross currency swap agreements (4,916) (2,169) (7,085) (3,952) (25,818) (29,770) Cross currency swap agreements maturity (33,844) — (33,844) — — — (38,760) (2,169) (40,929) (3,952) (25,818) (29,770) |
Schedule of Derivative Instruments, Effect on Other Comprehensive Income (Loss) | The following table excludes any interest rate swap agreements designated and qualifying as cash flow hedges in the Partnership’s equity-accounted joint ventures. Three Months Ended September 30, 2020 Three Months Ended September 30, 2019 Amount of Gain Recognized in OCI Amount of Loss Reclassified from Accumulated OCI to Interest Expense Amount of Loss Recognized in OCI Amount of Gain Reclassified from Accumulated OCI to Interest Expense 616 (835) (2,244) 22 Nine Months Ended September 30, 2020 Nine Months Ended September 30, 2019 Amount of Loss Recognized in OCI Amount of Loss Reclassified from Accumulated OCI to Interest Expense Amount of Loss Recognized in OCI Amount of Gain Reclassified from Accumulated OCI to Interest Expense (9,610) (1,469) (9,646) 430 |
Commitments and Contingencies C
Commitments and Contingencies Commitments and Contingencies (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Unrecorded Unconditional Purchase Obligations Disclosure | The Partnership’s share of commitments to fund equipment installation and other construction contract costs as at September 30, 2020 are as follows: Total Remainder of 2021 2022 Certain consolidated LNG carriers (i) 42,910 3,316 24,583 15,011 Bahrain LNG Joint Venture (ii) 11,339 — 11,339 — 54,249 3,316 35,922 15,011 (i) In June 2019, the Partnership entered into an agreement with a contractor to supply equipment on certain of the Partnership's LNG carriers in 2021 and 2022, for an estimated installed cost of $59.5 million. As at September 30, 2020, the estimated remaining cost of this installation was $42.9 million. (ii) The Partnership has a 30% ownership interest in the Bahrain LNG Joint Venture which has an LNG receiving and regasification terminal in Bahrain. As at September 30, 2020, the Partnership's proportionate share of the estimated remaining cost of $11.3 million relates to the final construction installment on the LNG terminal. The Bahrain LNG Joint Venture has remaining debt financing of $24 million, which is undrawn, of which $7 million relates to the Partnership's proportionate share of the construction commitments included in the table above. |
Total Capital and Net Income _2
Total Capital and Net Income Per Unit Total Capital and Net Income Per Unit (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Equity [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | Three Months Ended September 30, 2020 2019 $ $ Limited partners' interest in net income for basic net income per common unit 33,255 40,122 Weighted average number of common units 86,951,234 78,012,514 Dilutive effect of unit-based compensation 89,812 94,256 Weighted average number of common units and common unit equivalents 87,041,046 78,106,770 Limited partner's interest in net income per common unit: Basic 0.38 0.51 Diluted 0.38 0.51 Nine Months Ended September 30, 2020 2019 $ $ Limited partners' interest in net income for basic net income per common unit 32,421 64,820 Weighted average number of common units 82,010,753 78,402,239 Dilutive effect of unit-based compensation 99,073 86,092 Weighted average number of common units and common unit equivalents 82,109,826 78,488,331 Limited partner's interest in net income per common unit: Basic 0.40 0.83 Diluted 0.39 0.83 |
Basis of Presentation Narrative
Basis of Presentation Narrative (Details) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019USD ($) | Sep. 30, 2019USD ($) | Sep. 30, 2020vessel | Mar. 31, 2020vessel | |
LPG Carriers [Member] | ||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||
Number Of Vessels | vessel | 6 | 6 | ||
Other Expense [Member] | ||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||
Prior Period Adjustment | $ 0.7 | $ 1.4 | ||
Other Operating Income (Expense) [Member] | ||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||
Prior Period Adjustment | $ (0.7) | $ (1.4) |
Accounting Pronouncements Narra
Accounting Pronouncements Narrative (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Jan. 01, 2020 | Dec. 31, 2019 |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Partners' equity | $ (1,678,872) | $ (1,821,686) | |
Investments in and advances to equity-accounted joint ventures | (1,092,724) | (1,155,316) | |
Non-controlling interest | 52,675 | 55,289 | |
Other long-term liabilities | $ 53,088 | $ 49,182 | |
Accounting Standards Update 2016-13 [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Partners' equity | $ 50,800 | ||
Investments in and advances to equity-accounted joint ventures | 40,000 | ||
Net Investment in Direct Financing and Sales Type Leases | 11,200 | ||
Non-controlling interest | (2,500) | ||
Other long-term liabilities | $ 2,100 |
Financial Instruments - Schedul
Financial Instruments - Schedule of Estimated Fair Value and Carrying Value of Partnership's Financial Instruments on Recurring and Non-Recurring Basis (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Dec. 31, 2018 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Cash and cash equivalents and restricted cash (note 16a) | $ 254,837 | $ 253,291 | $ 234,531 | $ 222,864 |
Long-term debt | (1,493,629) | (1,831,396) | ||
Obligations related to finance leases (note 5a) | 1,358,485 | 1,410,904 | ||
Carrying Amount Asset (Liability) | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Loans to equity-accounted joint ventures (note 7) | 125,641 | 126,546 | ||
Carrying Amount Asset (Liability) | Level 1 | Public | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Long-term debt | (323,656) | (345,824) | ||
Carrying Amount Asset (Liability) | Level 1 | Recurring | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Cash and cash equivalents and restricted cash (note 16a) | 254,837 | 253,291 | ||
Carrying Amount Asset (Liability) | Level 2 | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Obligations related to finance leases (note 5a) | 1,358,485 | 1,410,904 | ||
Carrying Amount Asset (Liability) | Level 2 | Non-public | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Long-term debt | (1,169,973) | (1,485,572) | ||
Carrying Amount Asset (Liability) | Level 2 | Recurring | Interest rate swap agreements | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Interest rate swap agreements – assets | 0 | 2,210 | ||
Interest rate swap agreements – liabilities | (77,281) | (50,447) | ||
Carrying Amount Asset (Liability) | Level 2 | Recurring | Foreign Exchange Contract [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Foreign Currency Contracts | 0 | (202) | ||
Carrying Amount Asset (Liability) | Level 2 | Recurring | Cross-currency swap agreements | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Cross currency swap agreements – liabilities | (44,773) | (42,104) | ||
Fair Value Asset (Liability) | Level 1 | Public | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Long-term debt | (331,776) | (358,005) | ||
Fair Value Asset (Liability) | Level 1 | Recurring | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Cash and cash equivalents and restricted cash (note 16a) | 254,837 | 253,291 | ||
Fair Value Asset (Liability) | Level 2 | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Obligations related to finance leases (note 5a) | 1,471,234 | 1,434,910 | ||
Fair Value Asset (Liability) | Level 2 | Non-public | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Long-term debt | (1,179,593) | (1,474,208) | ||
Fair Value Asset (Liability) | Level 2 | Recurring | Interest rate swap agreements | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Interest rate swap agreements – assets | 0 | 2,210 | ||
Interest rate swap agreements – liabilities | (77,281) | (50,447) | ||
Fair Value Asset (Liability) | Level 2 | Recurring | Foreign Exchange Contract [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Foreign Currency Contracts | 0 | (202) | ||
Fair Value Asset (Liability) | Level 2 | Recurring | Cross-currency swap agreements | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Cross currency swap agreements – liabilities | $ (44,773) | $ (42,104) |
Financial Instruments - Credit
Financial Instruments - Credit Losses Narrative (Details) $ in Thousands | 9 Months Ended | |||
Sep. 30, 2020USD ($)loanleaseprojectsvessel | Sep. 30, 2019USD ($) | Jan. 01, 2020projects | Sep. 30, 2018 | |
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Number of loans to equity-accounted joint ventures | loan | 2 | |||
Number of direct financing and sales-type leases | lease | 3 | |||
Number of equity-accounted joint ventures | 5 | |||
Number of LNG project counterparties | 2 | |||
Number of LNG projects | 2 | 2 | ||
Provision for Loan, Lease, and Other Losses | $ | $ 14,557 | $ 0 | ||
LNG Carriers [Member] | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Number Of Vessels | lease | 9 | |||
LNG Carriers [Member] | Sales-Type or Direct Financing [Member] | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Number Of Vessels | vessel | 18 | |||
Bahrain Spirit [Member] | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Number Of Vessels | 1 | |||
Lessor, Direct financing lease, Term of contract | 21 years | |||
Bahrain LNG Joint Venture [Member] | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Number of LNG projects | 1 | 1 | ||
Lessor, Direct financing lease, Term of contract | 20 years |
Financial Instruments - Summary
Financial Instruments - Summary of Partnership's Financing receivables and Direct financing leases (Details) $ in Thousands | Sep. 30, 2020USD ($) |
Financing Receivable, Recorded Investment [Line Items] | |
Total Lease and Financing Lease Receivable | $ 673,289 |
Total Lease and Financing Lease Receivable Originated four years prior to the latest fiscal year | 73,375 |
Total Lease and Financing Lease Receivable Originated two years prior to the latest fiscal year | 212,312 |
Total Lease and Financing Lease Receivable Originated five or more years prior to the latest fiscal year | 387,602 |
Performing Financial Instruments [Member] | |
Financing Receivable, Recorded Investment [Line Items] | |
Net Investment in Lease, Originated Four Years before Latest Fiscal Year | 0 |
Net Investment in Lease, Originated Five or More Years before Latest Fiscal Year | 335,336 |
Net Investment in Lease | 547,648 |
Direct Financing Lease, Net Investment in Lease, Originated Two Years before Latest Fiscal Year | 212,312 |
Performing Financial Instruments [Member] | Corporate Joint Venture [Member] | |
Financing Receivable, Recorded Investment [Line Items] | |
Net Investment in Lease, Originated Four Years before Latest Fiscal Year | 0 |
Net Investment in Lease, Originated Five or More Years before Latest Fiscal Year | 335,336 |
Net Investment in Lease | 335,336 |
Direct Financing Lease, Net Investment in Lease, Originated Two Years before Latest Fiscal Year | 0 |
Performing Financial Instruments [Member] | Subsidiaries | |
Financing Receivable, Recorded Investment [Line Items] | |
Net Investment in Lease, Originated Four Years before Latest Fiscal Year | 0 |
Net Investment in Lease, Originated Five or More Years before Latest Fiscal Year | 0 |
Net Investment in Lease | 212,312 |
Direct Financing Lease, Net Investment in Lease, Originated Two Years before Latest Fiscal Year | 212,312 |
Loans Receivable [Member] | Performing Financial Instruments [Member] | |
Financing Receivable, Recorded Investment [Line Items] | |
Financing Receivable, Originated Two Years before Latest Fiscal Year | 0 |
Financing Receivable, Originated Four Years before Latest Fiscal Year | 73,375 |
Financing Receivable, Originated Five or More Years before Latest Fiscal Year | 52,266 |
Financing Receivable, before Allowance for Credit Loss | 125,641 |
Loans Receivable [Member] | Exmar Lpg Bvba [Member] | Performing Financial Instruments [Member] | |
Financing Receivable, Recorded Investment [Line Items] | |
Financing Receivable, Originated Two Years before Latest Fiscal Year | 0 |
Financing Receivable, Originated Four Years before Latest Fiscal Year | 0 |
Financing Receivable, Originated Five or More Years before Latest Fiscal Year | 52,266 |
Financing Receivable, before Allowance for Credit Loss | 52,266 |
Loans Receivable [Member] | Bahrain LNG Joint Venture [Member] | Performing Financial Instruments [Member] | |
Financing Receivable, Recorded Investment [Line Items] | |
Financing Receivable, Originated Two Years before Latest Fiscal Year | 0 |
Financing Receivable, Originated Four Years before Latest Fiscal Year | 73,375 |
Financing Receivable, Originated Five or More Years before Latest Fiscal Year | 0 |
Financing Receivable, before Allowance for Credit Loss | $ 73,375 |
Financial Instruments Financial
Financial Instruments Financial Instruments - Financing Receivables, allowance for credit losses (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Sep. 30, 2020 | Jan. 01, 2020 | |
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Direct Financing Lease, Net Investment in Lease, Allowance for Credit Loss | $ 25,325 | $ 11,520 | $ 11,055 | $ 25,325 | $ 11,155 |
Total credit loss provision | 83,513 | 62,017 | 62,180 | 83,513 | 53,300 |
Direct Financing Lease, Net Investment in Lease, Allowance for Credit Loss, Period Increase (Decrease) | 13,805 | 465 | (100) | ||
Total credit loss expense (reversal) | 21,496 | (163) | 8,880 | ||
Financial Guarantee [Member] | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Off-Balance Sheet, Credit Loss, Liability | 1,566 | 1,851 | 2,139 | 1,566 | 2,139 |
Off-Balance Sheet, Credit Loss, Liability, Credit Loss Expense (Reversal) | (285) | (288) | 0 | ||
Loans Receivable [Member] | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Loans to equity-accounted joint ventures | 4,674 | 3,797 | 3,714 | 4,674 | 3,714 |
Financing Receivable, Allowance for Credit Loss, Period Increase (Decrease) | 877 | 83 | 0 | ||
Loans and Finance Receivables [Member] | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Net Investment in Lease, Allowance for Credit Loss, Period Increase (Decrease) | 7,100 | 15,700 | |||
Equity Method Investments [Member] | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Net Investment in Lease, Allowance for Credit Loss | 51,948 | 44,849 | 45,272 | 51,948 | $ 36,292 |
Direct Financing Lease, Net Investment in Lease, Allowance for Credit Loss, Period Increase (Decrease) | 13,800 | $ 14,200 | |||
Net Investment in Lease, Allowance for Credit Loss, Period Increase (Decrease) | $ 7,099 | $ (423) | $ 8,980 |
Segment Reporting - Segment Rep
Segment Reporting - Segment Reporting Information (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020USD ($) | Sep. 30, 2019USD ($) | Sep. 30, 2020USD ($) | Sep. 30, 2019USD ($) | Dec. 31, 2019 | |
Segment Reporting Information [Line Items] | |||||
Voyage revenues | $ 148,935 | $ 149,655 | $ 437,027 | $ 452,459 | |
Voyage expenses | (3,950) | (4,961) | (11,596) | (16,759) | |
Vessel operating expenses | (30,642) | (27,321) | (85,153) | (80,879) | |
Time-charter hire expenses | (5,980) | (5,336) | (17,270) | (14,007) | |
Depreciation and amortization | (32,601) | (34,248) | (96,869) | (103,712) | |
General and administrative expenses | (6,165) | (5,393) | (20,215) | (17,692) | |
Write-down of vessels | 0 | (785) | (45,000) | (785) | |
Restructuring charges | 0 | 0 | 0 | (2,976) | |
Income (loss) from vessel operations | 69,597 | 71,611 | 160,924 | 215,649 | |
Equity income (loss) | 24,346 | 21,296 | 56,874 | 28,612 | |
LNG Segment [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Voyage revenues | 138,953 | 137,212 | 409,345 | 416,867 | |
Voyage expenses | (427) | 286 | (2,262) | (4,436) | |
Vessel operating expenses | (25,871) | (21,890) | (72,562) | (65,591) | |
Time-charter hire expenses | (5,980) | (5,336) | (17,270) | (14,007) | |
Depreciation and amortization | (30,658) | (32,249) | (91,816) | (97,074) | |
General and administrative expenses | (5,704) | (4,787) | (18,708) | (15,801) | |
Write-down of vessels | 0 | 0 | 0 | ||
Restructuring charges | 0 | ||||
Income (loss) from vessel operations | 70,313 | 73,236 | 206,727 | 219,958 | |
Equity income (loss) | 22,674 | 20,262 | 50,651 | 31,132 | |
LPG Segment [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Voyage revenues | 9,982 | 10,846 | 27,682 | 28,864 | |
Voyage expenses | (3,523) | (4,778) | (9,334) | (11,990) | |
Vessel operating expenses | (4,771) | (4,804) | (12,591) | (12,786) | |
Time-charter hire expenses | 0 | 0 | 0 | 0 | |
Depreciation and amortization | (1,943) | (1,991) | (5,053) | (5,942) | |
General and administrative expenses | (461) | (397) | (1,507) | (1,305) | |
Write-down of vessels | 0 | (45,000) | 0 | ||
Restructuring charges | 0 | ||||
Income (loss) from vessel operations | (716) | (1,124) | (45,803) | (3,159) | |
Equity income (loss) | 1,672 | 1,034 | 6,223 | (2,520) | |
Conventional Tanker Segment | |||||
Segment Reporting Information [Line Items] | |||||
Number Of Vessels. | 2 | ||||
Voyage revenues | 0 | 1,597 | 0 | 6,728 | |
Voyage expenses | 0 | (469) | 0 | (333) | |
Vessel operating expenses | 0 | (627) | 0 | (2,502) | |
Time-charter hire expenses | 0 | 0 | 0 | 0 | |
Depreciation and amortization | 0 | (8) | 0 | (696) | |
General and administrative expenses | 0 | (209) | 0 | (586) | |
Write-down of vessels | (785) | 0 | (785) | ||
Restructuring charges | (2,976) | ||||
Income (loss) from vessel operations | 0 | (501) | 0 | (1,150) | |
Equity income (loss) | 0 | 0 | 0 | 0 | |
Operating Segments | |||||
Segment Reporting Information [Line Items] | |||||
Voyage revenues | 148,935 | $ 149,655 | $ 437,027 | $ 452,459 | |
Voyage expenses | (3,950) | ||||
Vessel operating expenses | (30,642) | ||||
Time-charter hire expenses | (5,980) | ||||
Depreciation and amortization | (32,601) | ||||
General and administrative expenses | (6,165) | ||||
Income (loss) from vessel operations | 69,597 | ||||
Equity income (loss) | $ 24,346 |
Segment Reporting - Reconciliat
Segment Reporting - Reconciliation of Total Segment Assets (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Dec. 31, 2018 |
Segment Reporting Information [Line Items] | ||||
Total assets | $ 4,912,484 | $ 5,409,686 | ||
Unallocated: | ||||
Cash and cash equivalents | 201,036 | 160,221 | $ 142,860 | $ 149,014 |
Advances to affiliates | 1,953 | 5,143 | ||
LNG Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total assets | 4,432,664 | 4,924,627 | ||
LPG Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total assets | 276,831 | 319,695 | ||
Cash and Cash Equivalents [Member] | ||||
Unallocated: | ||||
Cash and cash equivalents | 201,036 | 160,221 | ||
Affiliated Entity [Member] | ||||
Unallocated: | ||||
Advances to affiliates | $ 1,953 | $ 5,143 |
Chartered-in Vessels - Obligati
Chartered-in Vessels - Obligations related to Finance Leases (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Leases [Abstract] | ||
Total Obligations related to finance leases | $ 1,358,485 | $ 1,410,904 |
Current obligations related to finance leases (note 5a) | 71,441 | 69,982 |
Long-term obligations related to finance leases | $ 1,287,044 | $ 1,340,922 |
Chartered-in Vessels Chartered-
Chartered-in Vessels Chartered-in Vessels - Commitments Related to Finance Leases (Details) - LNG Carriers [Member] $ in Thousands | Sep. 30, 2020USD ($)lease |
Obligations relating to Finance Leases [Line Items] | |
Number Of Vessels | lease | 9 |
Finance Lease, Liability, Payment, Due | $ 1,800,000 |
Finance Lease, Interest Payment on Liability | 417,700 |
Finance Lease, Liability, Payments, Remainder of Fiscal Year | 34,831 |
Finance Lease, Liability, Payments, Due Year Two | 138,601 |
Finance Lease, Liability, Payments, Due Year Three | 136,959 |
Finance Lease, Liability, Payments, Due Year Four | 135,459 |
Finance Lease, Liability, Payments, Due Year Five | 132,011 |
Finance Lease, Liability, Payments, Due after Year Five | $ 1,198,366 |
Chartered-in Vessels - Operatin
Chartered-in Vessels - Operating Leases (Details) $ in Millions | Sep. 30, 2020USD ($)vessel |
Lessee, Lease, Description [Line Items] | |
Lessee, Operating Lease, Liability, Payments, Remainder of Fiscal Year | $ 6 |
Lessee, Operating Lease, Liability, Payments, Due Year Three | 11.1 |
Lessee, Operating Lease, Liability, Payments, Due Year Two | $ 23.7 |
Teekay Tangguh Joint Venture [Member] | |
Lessee, Lease, Description [Line Items] | |
Number Of Vessels | vessel | 2 |
Teekay Lng Marubeni Joint Venture [Member] | |
Lessee, Lease, Description [Line Items] | |
Equity Method Investment, Ownership Percentage | 52.00% |
Chartered-in Vessels Obligation
Chartered-in Vessels Obligations related to Finance Leases - Additional Information (Details) - LNG Carriers [Member] - lease | 9 Months Ended | 36 Months Ended |
Sep. 30, 2020 | Jan. 31, 2019 | |
Obligations relating to Finance Leases [Line Items] | ||
Number Of Vessels | 9 | |
Sale Leaseback Transaction, Imputed Interest Rate | 5.10% | |
Minimum [Member] | ||
Obligations relating to Finance Leases [Line Items] | ||
Sale Leaseback Transaction, Lease Terms | 7.5 | |
Maximum [Member] | ||
Obligations relating to Finance Leases [Line Items] | ||
Sale Leaseback Transaction, Lease Terms | 15 |
Revenue - Disaggregation (Detai
Revenue - Disaggregation (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Segment Reporting Information [Line Items] | ||||
Voyage revenues | $ 148,935 | $ 149,655 | $ 437,027 | $ 452,459 |
Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Voyage revenues | 148,935 | 149,655 | 437,027 | 452,459 |
LNG Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Voyage revenues | 138,953 | 137,212 | 409,345 | 416,867 |
LPG Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Voyage revenues | 9,982 | 10,846 | 27,682 | 28,864 |
Conventional Tanker Segment | ||||
Segment Reporting Information [Line Items] | ||||
Voyage revenues | 0 | 1,597 | 0 | 6,728 |
Time charters | ||||
Segment Reporting Information [Line Items] | ||||
Voyage revenues | 136,203 | 131,230 | 402,509 | 400,820 |
Time charters | LNG Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Voyage revenues | 136,203 | 129,633 | 402,509 | 394,092 |
Time charters | LPG Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Voyage revenues | 0 | 0 | 0 | 0 |
Time charters | Conventional Tanker Segment | ||||
Segment Reporting Information [Line Items] | ||||
Voyage revenues | 0 | 1,597 | 0 | 6,728 |
Voyage charters | ||||
Segment Reporting Information [Line Items] | ||||
Voyage revenues | 9,982 | 10,846 | 27,682 | 28,864 |
Voyage charters | LNG Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Voyage revenues | 0 | 0 | 0 | 0 |
Voyage charters | LPG Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Voyage revenues | 9,982 | 10,846 | 27,682 | 28,864 |
Voyage charters | Conventional Tanker Segment | ||||
Segment Reporting Information [Line Items] | ||||
Voyage revenues | 0 | 0 | 0 | 0 |
Bareboat charters | ||||
Segment Reporting Information [Line Items] | ||||
Voyage revenues | 6,196 | 18,387 | ||
Bareboat charters | LNG Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Voyage revenues | 6,196 | 18,387 | ||
Bareboat charters | LPG Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Voyage revenues | 0 | 0 | ||
Bareboat charters | Conventional Tanker Segment | ||||
Segment Reporting Information [Line Items] | ||||
Voyage revenues | 0 | 0 | ||
Non-lease revenue | ||||
Segment Reporting Information [Line Items] | ||||
Voyage revenues | 5,373 | 5,274 | 14,910 | |
Management fees and other | ||||
Segment Reporting Information [Line Items] | ||||
Voyage revenues | 2,750 | 1,383 | 6,836 | 4,388 |
Management fees and other | LNG Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Voyage revenues | 2,750 | 1,383 | 6,836 | 4,388 |
Management fees and other | LPG Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Voyage revenues | 0 | 0 | 0 | 0 |
Management fees and other | Conventional Tanker Segment | ||||
Segment Reporting Information [Line Items] | ||||
Voyage revenues | 0 | 0 | 0 | 0 |
Lease revenue | ||||
Segment Reporting Information [Line Items] | ||||
Operating Lease, Lease Income | 126,678 | 128,743 | 373,566 | 389,565 |
Sales-type Lease, Interest Income, Lease Receivable | 12,659 | 12,978 | 37,920 | 38,741 |
Operating Lease, Variable Lease Income | 1,475 | 1,277 | 3,795 | 3,252 |
Voyage revenues | 140,812 | 142,998 | 415,281 | 431,558 |
Non Lease Component [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Voyage revenues | $ 8,123 | $ 6,657 | $ 21,746 | 20,901 |
Non Lease Component [Member] | Non-lease revenue | ||||
Segment Reporting Information [Line Items] | ||||
Voyage revenues | $ 16,513 |
Revenue - Net Investments in Di
Revenue - Net Investments in Direct Financing Leases (Details) $ in Millions | Sep. 30, 2020USD ($)lease | Jan. 07, 2020USD ($)lease | Dec. 31, 2019lease |
Lessor, Lease, Description [Line Items] | |||
Sales-type and Direct Financing Leases, Lease Receivable, Payments to be Received, Remainder of Fiscal Year | $ 16.1 | ||
Sales-type and Direct Financing Leases, Lease Receivable, Payments to be Received, Two Years | 64.2 | ||
Sales-type and Direct Financing Leases, Lease Receivable, Payments to be Received, Three Years | 64.2 | ||
Sales-type and Direct Financing Leases, Lease Receivable, Payments to be Received, Four Years | 64 | ||
Sales-type and Direct Financing Leases, Lease Receivable, Payments to be Received, Five Years | 64.3 | ||
Sales-type and Direct Financing Leases, Lease Receivable, Payments to be Received, Thereafter | $ 510.6 | ||
Purchase Obligation And Deferred Hire Amounts | $ 260.4 | ||
LNG Carriers [Member] | |||
Lessor, Lease, Description [Line Items] | |||
Number Of Vessels | lease | 9 | ||
LNG Carriers [Member] | Direct Financing Lease [Member] | |||
Lessor, Lease, Description [Line Items] | |||
Number Of Vessels | lease | 3 | ||
Awilco Lng Carrier | |||
Lessor, Lease, Description [Line Items] | |||
Number Of Vessels | lease | 2 | 2 |
Revenue - Narrative (Details)
Revenue - Narrative (Details) | 9 Months Ended |
Sep. 30, 2020contract | |
Leases [Abstract] | |
Number of Forms of Contracts | 3 |
Revenue - Operating leases (Det
Revenue - Operating leases (Details) $ in Millions | Sep. 30, 2020USD ($) |
Leases [Abstract] | |
Lessor, Operating Lease, Payments to be Received, Remainder of Fiscal Year | $ 124.6 |
Lessor, Operating Lease, Payments to be Received, Two Years | 464.4 |
Lessor, Operating Lease, Payments to be Received, Three Years | 371.3 |
Lessor, Operating Lease, Payments to be Received, Four Years | 307 |
Lessor, Operating Lease, Payments to be Received, Five Years | $ 250.8 |
Revenue - Contract costs (Detai
Revenue - Contract costs (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | Jan. 01, 2019 | |
Contract with Customer, Asset and Liability [Abstract] | ||||||
Contract with Customer, Liability | $ 28,900 | $ 22,000 | $ 28,900 | $ 22,000 | $ 24,900 | $ 26,400 |
Contract with Customer, Liability | 32,685 | 32,685 | $ 28,759 | |||
Contract with Customer, Liability, Revenue Recognized | $ 26,400 | $ 20,800 | $ 24,900 | $ 26,400 |
Equity-Accounted Joint Ventur_2
Equity-Accounted Joint Ventures Equity-Accounted Joint Ventures (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Schedule of Equity Method Investments [Line Items] | |||||
Guarantor Obligations, Maximum Exposure, Undiscounted | $ 1,400,000 | $ 1,400,000 | |||
Proceeds from Equity Method Investment, Distribution, Return of Capital | 7,900 | 7,900 | |||
Bahrain LNG Joint Venture [Member] | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Advances to equity-accounted joint ventures, current and long-term (note 7) | $ 73,400 | $ 73,400 | |||
Ownership percentage | 30.00% | 30.00% | |||
Debt Instrument, Interest Rate During Period | 6.00% | ||||
Interest receivable on advances to equity accounted joint ventures | $ 3,900 | $ 3,900 | $ 500 | ||
Interest Income, Related Party | $ 1,100 | $ 900 | $ 3,400 | $ 2,700 | |
Exmar LPG Joint Venture [Member] | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Ownership percentage | 50.00% | 50.00% | |||
Interest Income, Related Party | $ 100 | $ 400 | $ 700 | $ 1,200 | |
Exmar Lpg Bvba [Member] | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Advances to equity-accounted joint ventures, current and long-term (note 7) | 52,300 | 52,300 | |||
Interest receivable on advances to equity accounted joint ventures | $ 0 | $ 0 | $ 300 | ||
Exmar Lpg Bvba [Member] | LIBOR | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Variable interest rate on debt | 0.50% |
Long-Term Debt - Components of
Long-Term Debt - Components of Long-Term Debt (Details) $ in Thousands, € in Millions | Sep. 30, 2020USD ($) | Sep. 30, 2020EUR (€) | Dec. 31, 2019USD ($) | Dec. 31, 2019EUR (€) |
Debt Instrument [Line Items] | ||||
Total principal | $ 1,504,358 | $ 1,842,546 | ||
Unamortized discount and debt issuance costs | (10,729) | (11,150) | ||
Total debt | 1,493,629 | 1,831,396 | ||
Less current portion | (291,720) | (393,065) | ||
Long-term debt | 1,201,909 | 1,438,331 | ||
U.S. Dollar-denominated Revolving Credit Facilities due in 2022 | ||||
Debt Instrument [Line Items] | ||||
Total principal | 125,000 | 212,000 | ||
U.S. Dollar-denominated Term Loans and Bonds due from 2020 to 2030 | ||||
Debt Instrument [Line Items] | ||||
Total principal | 895,382 | 1,114,707 | ||
Norwegian Krone-denominated Bonds due from 2021 to 2025 | ||||
Debt Instrument [Line Items] | ||||
Total principal | 326,820 | 347,163 | ||
Euro-denominated Term Loans due in 2023 and 2024 | ||||
Debt Instrument [Line Items] | ||||
Total principal | 157,200 | € 134.1 | 165,400 | € 147.5 |
Other U.S. Dollar-denominated Loans | ||||
Debt Instrument [Line Items] | ||||
Total principal | $ 0 | $ 3,300 |
Long-Term Debt - Revolvers - Ad
Long-Term Debt - Revolvers - Additional Information (Details) $ in Millions | 9 Months Ended | |
Sep. 30, 2020USD ($)credit_facilityvessel | Dec. 31, 2019USD ($) | |
Debt Instrument [Line Items] | ||
Line of credit facility, borrowing capacity, reduction for remainder of year | $ 35.2 | |
Line of credit facility, borrowing capacity, reduction in year two | 412.7 | |
Line of credit facility, borrowing capacity, reduction in year three | $ 212.7 | |
Minimum [Member] | ||
Debt Instrument [Line Items] | ||
Variable interest rate on debt | 0.30% | |
Maximum [Member] | ||
Debt Instrument [Line Items] | ||
Variable interest rate on debt | 3.25% | |
Line of Credit | ||
Debt Instrument [Line Items] | ||
Number Of Vessels | vessel | 2 | |
Unsecured Debt | ||
Debt Instrument [Line Items] | ||
Number of credit facilities | credit_facility | 1 | |
Revolving Credit Facilities | ||
Debt Instrument [Line Items] | ||
Line of credit facility, borrowing capacity, reduction in year two | $ 24.4 | |
Line of credit facility, borrowing capacity, reduction in year three | $ 330.4 | |
Revolving Credit Facilities | Line of Credit | ||
Debt Instrument [Line Items] | ||
Number of credit facilities | credit_facility | 2 | |
Line of credit facility, maximum borrowing capacity | $ 354.8 | $ 378.2 |
Undrawn amount of revolving credit facilities | $ 229.8 | $ 166.2 |
Revolving Credit Facilities | Line of Credit | LIBOR | Minimum [Member] | ||
Debt Instrument [Line Items] | ||
Variable interest rate on debt | 1.40% | |
Revolving Credit Facilities | Line of Credit | LIBOR | Maximum [Member] | ||
Debt Instrument [Line Items] | ||
Variable interest rate on debt | 2.25% |
Long-Term Debt - USD Term Loans
Long-Term Debt - USD Term Loans - Additional Information (Details) $ in Thousands | 9 Months Ended | |
Sep. 30, 2020USD ($)term_loanvessel | Dec. 31, 2019USD ($) | |
Debt Instrument [Line Items] | ||
Number of Term Loans | term_loan | 5 | |
Aggregate principal amount | $ 1,504,358 | $ 1,842,546 |
Minimum [Member] | ||
Debt Instrument [Line Items] | ||
Variable interest rate on debt | 0.30% | |
Maximum [Member] | ||
Debt Instrument [Line Items] | ||
Variable interest rate on debt | 3.25% | |
Long-term Debt | ||
Debt Instrument [Line Items] | ||
Aggregate principal amount | $ 895,382 | $ 1,114,707 |
Long-term Debt | Minimum [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate on debt | 4.11% | |
Long-term Debt | Maximum [Member] | ||
Debt Instrument [Line Items] | ||
Fixed interest rate on debt | 4.41% | |
Long-term Debt | LIBOR | Minimum [Member] | ||
Debt Instrument [Line Items] | ||
Variable interest rate on debt | 0.30% | |
Long-term Debt | LIBOR | Maximum [Member] | ||
Debt Instrument [Line Items] | ||
Variable interest rate on debt | 3.25% | |
Line of Credit | ||
Debt Instrument [Line Items] | ||
Number Of Vessels | vessel | 2 | |
Teekay Nakilat Joint Venture | Teekay Lng [Member] | ||
Debt Instrument [Line Items] | ||
Percentage of ownership interest | 70.00% |
Long-Term Debt - NOK Bonds - Ad
Long-Term Debt - NOK Bonds - Additional Information (Details) $ in Thousands, kr in Millions | 3 Months Ended | 9 Months Ended | |||||
Sep. 30, 2020USD ($) | Sep. 30, 2019USD ($) | Sep. 30, 2020USD ($) | Sep. 30, 2019USD ($) | Sep. 30, 2020NOK (kr) | Dec. 31, 2019USD ($) | Dec. 31, 2019NOK (kr) | |
Debt Instrument [Line Items] | |||||||
Carrying amount of debt | $ 1,504,358 | $ 1,504,358 | $ 1,842,546 | ||||
Foreign exchange gains (losses) | (7,853) | $ 2,879 | $ (14,738) | $ (5,095) | |||
Minimum [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Variable interest rate on debt | 0.30% | ||||||
Maximum [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Variable interest rate on debt | 3.25% | ||||||
Unsecured Debt | |||||||
Debt Instrument [Line Items] | |||||||
Senior unsecured bonds issued | kr | kr 3,100 | kr 3,100 | |||||
Carrying amount of debt | 326,820 | $ 326,820 | $ 347,163 | ||||
Unsecured Debt | Cross-currency swap agreements | |||||||
Debt Instrument [Line Items] | |||||||
Derivative, Notional Amount | $ 360,500 | $ 360,500 | |||||
Unsecured Debt | Minimum [Member] | Cross-currency swap agreements | |||||||
Debt Instrument [Line Items] | |||||||
Fixed Rate Payable | 5.74% | 5.74% | 5.74% | ||||
Unsecured Debt | Maximum [Member] | Cross-currency swap agreements | |||||||
Debt Instrument [Line Items] | |||||||
Fixed Rate Payable | 7.89% | 7.89% | 7.89% | ||||
Unsecured Debt | NIBOR | Minimum [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Variable interest rate on debt | 4.60% | ||||||
Unsecured Debt | NIBOR | Maximum [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Variable interest rate on debt | 6.00% |
Long-Term Debt - Euro-denominat
Long-Term Debt - Euro-denominated Term Loans- Additional Information (Details) $ in Thousands, € in Millions | 3 Months Ended | 9 Months Ended | |||||
Sep. 30, 2020USD ($)term_loanvesselsubsidiary | Sep. 30, 2019USD ($) | Sep. 30, 2020USD ($)term_loanvesselsubsidiary | Sep. 30, 2019USD ($) | Sep. 30, 2020EUR (€)vesselterm_loansubsidiary | Dec. 31, 2019USD ($) | Dec. 31, 2019EUR (€) | |
Debt Instrument [Line Items] | |||||||
Number of Term Loans | term_loan | 5 | 5 | 5 | ||||
Carrying amount of debt | $ | $ 1,504,358 | $ 1,504,358 | $ 1,842,546 | ||||
Foreign currency exchange (loss) gain (notes 8 and 11) | $ | $ (7,853) | $ 2,879 | $ (14,738) | $ (5,095) | |||
Minimum [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Variable interest rate on debt | 0.30% | ||||||
Maximum [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Variable interest rate on debt | 3.25% | ||||||
Line of Credit | |||||||
Debt Instrument [Line Items] | |||||||
Number Of Vessels | vessel | 2 | 2 | 2 | ||||
Line of Credit | Financial Guarantee [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Number of subsidiaries that guaranteed the term loans | subsidiary | 2 | 2 | 2 | ||||
Euro-denominated Term Loans due in 2023 and 2024 | |||||||
Debt Instrument [Line Items] | |||||||
Number of Term Loans | term_loan | 2 | 2 | 2 | ||||
Carrying amount of debt | $ 157,200 | $ 157,200 | € 134.1 | $ 165,400 | € 147.5 | ||
Euro-denominated Term Loans due in 2023 and 2024 | Asset Pledged as Collateral [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Number Of Vessels | vessel | 2 | 2 | 2 | ||||
Euro-denominated Term Loans due in 2023 and 2024 | Financial Guarantee [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Number of subsidiaries that guaranteed the term loans | subsidiary | 1 | 1 | 1 | ||||
Euro-denominated Term Loans due in 2023 and 2024 | EURIBOR | Minimum [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Variable interest rate on debt | 0.60% | ||||||
Euro-denominated Term Loans due in 2023 and 2024 | EURIBOR | Maximum [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Variable interest rate on debt | 1.95% |
Long-Term Debt - Other - Additi
Long-Term Debt - Other - Additional Information (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020USD ($)term_loanvesselcredit_facility | Sep. 30, 2019USD ($) | Sep. 30, 2020USD ($)term_loanvesselcredit_facility | Sep. 30, 2019USD ($) | Dec. 31, 2019USD ($) | |
Debt Instrument [Line Items] | |||||
Carrying amount of debt | $ 1,504,358 | $ 1,504,358 | $ 1,842,546 | ||
Weighted-average interest rate for the Partnership's long-term debt outstanding | 2.93% | 2.93% | 4.12% | ||
Foreign exchange gains (losses) | $ (7,853) | $ 2,879 | $ (14,738) | $ (5,095) | |
Aggregate annual long-term debt principal repayments, for remainder of year | 35,200 | 35,200 | |||
Aggregate annual long-term debt principal repayments, year two | 412,700 | 412,700 | |||
Aggregate annual long-term debt principal repayments, year three | 212,700 | 212,700 | |||
Aggregate annual long-term debt principal repayments, year four | 207,300 | 207,300 | |||
Aggregate annual long-term debt principal repayments, year five | 103,400 | 103,400 | |||
Aggregate annual long-term debt principal repayments, thereafter | $ 533,100 | $ 533,100 | |||
Number of loan facilities | term_loan | 5 | 5 | |||
Long-term debt | $ 1,493,629 | $ 1,493,629 | $ 1,831,396 | ||
Fair Value Guarantee [Member] | |||||
Debt Instrument [Line Items] | |||||
Number of loan facilities | credit_facility | 3 | 3 | |||
Long-term debt | $ 369,700 | $ 369,700 | |||
Minimum [Member] | |||||
Debt Instrument [Line Items] | |||||
Variable interest rate on debt | 0.30% | ||||
Maximum [Member] | |||||
Debt Instrument [Line Items] | |||||
Variable interest rate on debt | 3.25% | ||||
Other U.S. Dollar-denominated Loans | |||||
Debt Instrument [Line Items] | |||||
Carrying amount of debt | 0 | $ 0 | 3,300 | ||
U.S. Dollar-denominated Term Loans and Bonds due from 2020 to 2030 | |||||
Debt Instrument [Line Items] | |||||
Carrying amount of debt | $ 895,382 | $ 895,382 | $ 1,114,707 | ||
U.S. Dollar-denominated Term Loans and Bonds due from 2020 to 2030 | Asset Pledged as Collateral [Member] | |||||
Debt Instrument [Line Items] | |||||
Number Of Vessels | vessel | 16 | 16 | |||
U.S. Dollar-denominated Term Loans and Bonds due from 2020 to 2030 | LIBOR | Minimum [Member] | |||||
Debt Instrument [Line Items] | |||||
Variable interest rate on debt | 0.30% | ||||
U.S. Dollar-denominated Term Loans and Bonds due from 2020 to 2030 | LIBOR | Maximum [Member] | |||||
Debt Instrument [Line Items] | |||||
Variable interest rate on debt | 3.25% | ||||
Long Term Debt1 [Member] | Fair Value Guarantee [Member] | |||||
Debt Instrument [Line Items] | |||||
Percentage of vessel value to outstanding loan Principal balance | 115.00% | 115.00% | |||
Long Term Debt1 [Member] | Vessel | Fair Value Guarantee [Member] | |||||
Debt Instrument [Line Items] | |||||
Percentage of vessel value to outstanding loan Principal balance | 234.00% | 234.00% | |||
Long Term Debt2 [Member] | Fair Value Guarantee [Member] | |||||
Debt Instrument [Line Items] | |||||
Percentage of vessel value to outstanding loan Principal balance | 120.00% | 120.00% | |||
Long Term Debt2 [Member] | Vessel | Fair Value Guarantee [Member] | |||||
Debt Instrument [Line Items] | |||||
Percentage of vessel value to outstanding loan Principal balance | 140.00% | 140.00% | |||
Long Term Debt3 [Member] | Fair Value Guarantee [Member] | |||||
Debt Instrument [Line Items] | |||||
Percentage of vessel value to outstanding loan Principal balance | 135.00% | 135.00% | |||
Long Term Debt3 [Member] | Vessel | Fair Value Guarantee [Member] | |||||
Debt Instrument [Line Items] | |||||
Percentage of vessel value to outstanding loan Principal balance | 203.00% | 203.00% | |||
Teekay Nakilat Joint Venture | Fair Value Guarantee [Member] | |||||
Debt Instrument [Line Items] | |||||
Number of loan facilities | term_loan | 1 | 1 |
Income Tax Income Tax (Details)
Income Tax Income Tax (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Income Tax Disclosure [Abstract] | ||||
Current | $ (1,927) | $ (643) | $ (3,308) | $ (4,678) |
Deferred | 507 | (145) | 1,180 | (437) |
Income tax expense | $ (1,420) | $ (788) | $ (2,128) | $ (5,115) |
Related Party Transactions - Sc
Related Party Transactions - Schedule of Related Party Transactions (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2020USD ($)vessellease | Sep. 30, 2019USD ($) | Sep. 30, 2020USD ($)vessellease | Sep. 30, 2019USD ($) | Dec. 31, 2019vessel | Sep. 30, 2018 | |
Related Party Transaction [Line Items] | ||||||
Voyage revenues | $ 148,935 | $ 149,655 | $ 437,027 | $ 452,459 | ||
Vessel operating expenses | (30,642) | (27,321) | (85,153) | (80,879) | ||
Time-charter hire expenses | 5,980 | 5,336 | 17,270 | 14,007 | ||
General and administrative expenses | (6,165) | (5,393) | (20,215) | (17,692) | ||
Equity income (loss) | 24,346 | 21,296 | 56,874 | 28,612 | ||
Affiliated Entity [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Voyage revenues | 9,704 | 16,347 | 27,881 | 37,141 | ||
Vessel operating expenses | (1,877) | 44 | (4,610) | (5,223) | ||
Time-charter hire expenses | 5,980 | 5,336 | 17,270 | 14,007 | ||
General and administrative expenses | (3,998) | (3,695) | (11,583) | (12,019) | ||
Equity income (loss) | 609 | 369 | 1,815 | 811 | ||
Affiliated Entity [Member] | Yamal Lng Joint Venture [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Equity income (loss) | $ 600 | 400 | $ 1,800 | 800 | ||
Asset under Construction [Member] | Affiliated Entity [Member] | Pan Union Joint Venture [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Number Of Vessels | vessel | 4 | |||||
LNG Carriers [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Number Of Vessels | lease | 9 | 9 | ||||
LNG Carriers [Member] | Affiliated Entity [Member] | Yamal Lng Joint Venture [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Number Of Vessels | vessel | 6 | 6 | ||||
Teekay Marine Solutions (Bermuda) Ltd. [Member] | Affiliated Entity [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Voyage revenues | 0 | 2,000 | ||||
Bahrain LNG Joint Venture [Member] | Affiliated Entity [Member] | Management Service [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Voyage revenues | $ 2,400 | 1,400 | $ 6,500 | 4,400 | ||
Bahrain LNG Joint Venture [Member] | Affiliated Entity [Member] | Cargo and Freight [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Voyage revenues | $ 7,300 | $ 7,700 | 21,400 | 23,000 | ||
Corporate Joint Venture [Member] | Affiliated Entity [Member] | Cargo and Freight [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Voyage revenues | $ 7,200 | $ 9,700 | ||||
Bahrain Spirit [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Lessor, Direct financing lease, Term of contract | 21 years | |||||
Number Of Vessels | 1 | 1 |
Related Party Transactions - No
Related Party Transactions - Non-interest Bearing Advances - Additional Information (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Related Party Transaction [Line Items] | ||
Advances to affiliates | $ 1,953 | $ 5,143 |
Advances from affiliates | 13,970 | 7,003 |
Affiliated Entity [Member] | ||
Related Party Transaction [Line Items] | ||
Advances to affiliates | 2,000 | 5,100 |
Advances from affiliates | $ 14,000 | $ 7,000 |
Related Party Transactions - Sh
Related Party Transactions - Shipbuilding and Site Supervision Services - Additional Information (Details) $ in Millions | 9 Months Ended |
Sep. 30, 2019USD ($) | |
Asset under Construction [Member] | Affiliated Entity [Member] | |
Related Party Transaction [Line Items] | |
Property, Plant and Equipment, Additions | $ 1.8 |
Related Party Transactions Rela
Related Party Transactions Related Party Transactions - Additional Information (Details) - USD ($) shares in Thousands, $ in Thousands | 1 Months Ended | 3 Months Ended | |||
Apr. 30, 2020 | Dec. 31, 2019 | Mar. 31, 2020 | Sep. 30, 2020 | May 11, 2020 | |
Related Party Transaction [Line Items] | |||||
Noncontrolling Interest, Decrease from Redemptions or Purchase of Interests | $ 2,200 | $ 2,700 | $ (462) | ||
Limited Partners' Capital Account, Units Issued | 77,500 | 87,000 | |||
Subsidiaries of Teekay LNG [Member] | |||||
Related Party Transaction [Line Items] | |||||
Subsidiary of Limited Liability Company or Limited Partnership, Ownership Interest | 1.00% | ||||
Teekay Lng [Member] | |||||
Related Party Transaction [Line Items] | |||||
Limited Partners' Capital Account, Units Issued | 10,750 |
Derivative Instruments and He_3
Derivative Instruments and Hedging Activities - Summary of Cross Currency Swap Agreements (Details) - Cross-currency swap agreements kr in Thousands, $ in Thousands | Sep. 30, 2020USD ($) | Sep. 30, 2020NOK (kr) |
Derivative [Line Items] | ||
Fair Value / Carrying Amount of Asset (Liability) $ | $ (44,773) | |
NIBOR | 6.00% | ||
Derivative [Line Items] | ||
Derivative, Notional Amount | $ 146,500 | kr 1,200,000 |
Derivative, Basis Spread on Variable Rate | 6.00% | 6.00% |
Fixed Rate Payable | 7.72% | 7.72% |
Fair Value / Carrying Amount of Asset (Liability) $ | $ (20,638) | |
NIBOR | 4.60% | ||
Derivative [Line Items] | ||
Derivative, Notional Amount | $ 102,000 | kr 850,000 |
Derivative, Basis Spread on Variable Rate | 4.60% | 4.60% |
Fixed Rate Payable | 7.89% | 7.89% |
Fair Value / Carrying Amount of Asset (Liability) $ | $ (18,606) | |
NIBOR | 5.15% | ||
Derivative [Line Items] | ||
Derivative, Notional Amount | $ 112,000 | kr 1,000,000 |
Derivative, Basis Spread on Variable Rate | 5.15% | 5.15% |
Fixed Rate Payable | 5.74% | 5.74% |
Fair Value / Carrying Amount of Asset (Liability) $ | $ (5,529) |
Derivative Instruments and He_4
Derivative Instruments and Hedging Activities - Interest Rate Swap Agreements (Details) $ in Thousands | 9 Months Ended |
Sep. 30, 2020USD ($) | |
Minimum [Member] | |
Derivative [Line Items] | |
Variable interest rate on debt | 0.30% |
Maximum [Member] | |
Derivative [Line Items] | |
Variable interest rate on debt | 3.25% |
Interest rate swap agreements | |
Derivative [Line Items] | |
Interest Rate Derivative Liabilities, at Fair Value | $ (77,281) |
U.S. Dollar-denominated interest rate swaps 1 | LIBOR | |
Derivative [Line Items] | |
Derivative, Notional Amount | 106,250 |
Fair Value / Carrying Amount of (Liability) | $ (21,523) |
Weighted- Average Remaining Term (Years) | 8 years 3 months 18 days |
Fixed Rate Payable | 5.20% |
U.S. Dollar-denominated interest rate swaps 2 | LIBOR | |
Derivative [Line Items] | |
Derivative, Notional Amount | $ 10,711 |
Fair Value / Carrying Amount of (Liability) | $ (201) |
Weighted- Average Remaining Term (Years) | 9 months 18 days |
Fixed Rate Payable | 2.80% |
U.S. Dollar-denominated interest rate swaps 3 | LIBOR | |
Derivative [Line Items] | |
Derivative, Notional Amount | $ 148,038 |
Fair Value / Carrying Amount of (Liability) | $ (6,272) |
Weighted- Average Remaining Term (Years) | 4 years |
Fixed Rate Payable | 1.40% |
U.S. Dollar-denominated interest rate swaps 4 | LIBOR | |
Derivative [Line Items] | |
Derivative, Notional Amount | $ 302,852 |
Fair Value / Carrying Amount of (Liability) | $ (28,903) |
Weighted- Average Remaining Term (Years) | 1 year 8 months 12 days |
Fixed Rate Payable | 3.50% |
U.S. Dollar-denominated interest rate swaps 5 | LIBOR | |
Derivative [Line Items] | |
Derivative, Notional Amount | $ 163,344 |
Interest Rate Fair Value Hedge Derivative at Fair Value, Net | $ (13,987) |
Weighted- Average Remaining Term (Years) | 6 years 2 months 12 days |
Fixed Rate Payable | 2.30% |
Euro-denominated interest rate swaps | EURIBOR | |
Derivative [Line Items] | |
Derivative, Notional Amount | $ 70,577 |
Fair Value / Carrying Amount of (Liability) | $ (6,395) |
Weighted- Average Remaining Term (Years) | 2 years 10 months 24 days |
Fixed Rate Payable | 3.90% |
Derivative Instruments and He_5
Derivative Instruments and Hedging Activities - Narrative (Details) - USD ($) | Sep. 30, 2020 | Dec. 31, 2019 |
Interest rate swaps and cross currency swaps agreement | ||
Derivative [Line Items] | ||
Fair value of derivative asset | $ 0 | $ 2,200,000 |
Derivative Liability, Fair Value, Gross Liability | 100,500,000 | 74,600,000 |
Derivative | ||
Derivative [Line Items] | ||
Deposit as security for swap liabilities | $ 8,900,000 | $ 14,300,000 |
Derivative Instruments and He_6
Derivative Instruments and Hedging Activities -Classification and Fair Value Amounts of Derivative Instruments (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Derivatives, Fair Value [Line Items] | ||
Current portion of derivative assets | $ 0 | $ 355 |
Derivative assets | 0 | 1,834 |
Accrued liabilities | (84,975) | (76,752) |
Current portion of derivative liabilities | (35,616) | (38,458) |
Foreign Exchange Forward [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Accounts Receivable | 0 | |
Current portion of derivative assets | 0 | |
Derivative assets | 0 | |
Accrued liabilities | 0 | |
Current portion of derivative liabilities | (202) | |
Derivative liabilities | 0 | |
Cross currency swap agreements | ||
Derivatives, Fair Value [Line Items] | ||
Accounts Receivable | 0 | 0 |
Current portion of derivative assets | 0 | 0 |
Derivative assets | 0 | 0 |
Accrued liabilities | (956) | (456) |
Current portion of derivative liabilities | (6,266) | (22,661) |
Derivative liabilities | (37,551) | (18,987) |
Derivative | ||
Derivatives, Fair Value [Line Items] | ||
Accounts Receivable | 0 | 21 |
Current portion of derivative assets | 0 | 355 |
Derivative assets | 0 | 1,834 |
Accrued liabilities | (4,447) | (3,289) |
Current portion of derivative liabilities | (35,616) | (38,458) |
Derivative liabilities | (81,991) | (51,006) |
Not Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Accounts Receivable | 0 | 21 |
Current portion of derivative assets | 0 | 355 |
Derivative assets | 0 | 1,834 |
Accrued liabilities | (3,426) | (2,821) |
Current portion of derivative liabilities | (26,218) | (14,758) |
Derivative liabilities | (33,650) | (28,544) |
Cash Flow Hedging [Member] | Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Accounts Receivable | 0 | 0 |
Current portion of derivative assets | 0 | 0 |
Derivative assets | 0 | 0 |
Accrued liabilities | (65) | (12) |
Current portion of derivative liabilities | (3,132) | (837) |
Derivative liabilities | $ (10,790) | $ (3,475) |
Derivative Instruments and He_7
Derivative Instruments and Hedging Activities - Gain (Loss) for Derivative Instruments Not Designated or Qualifying as Hedging Instruments (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Realized gains (losses) | $ (4,947) | $ (2,621) | $ (11,761) | $ (7,398) |
Unrealized gains (losses) | 3,620 | (649) | (18,553) | (10,315) |
Unrealized gains (losses) | (10,697) | 1,213 | ||
Total | (1,327) | (3,270) | (30,314) | (17,713) |
Interest rate swap agreements | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Realized gains (losses) | (4,947) | (2,621) | (11,520) | (7,398) |
Unrealized gains (losses) | 3,620 | (215) | (18,755) | (9,740) |
Total | (1,327) | (2,836) | (30,275) | (17,138) |
Foreign Exchange Forward [Member] | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Realized gains (losses) | 0 | 0 | (241) | 0 |
Unrealized gains (losses) | 0 | (434) | 202 | (535) |
Total | 0 | (434) | (39) | (535) |
Toledo Spirit time-charter derivative | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Realized gains (losses) | 0 | 0 | ||
Unrealized gains (losses) | 0 | (40) | ||
Total | 0 | (40) | ||
Cross currency swap agreements | Foreign Currency Gain (Loss) [Member] | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Realized gains (losses) | (1,669) | (1,431) | (4,916) | (3,952) |
Unrealized gains (losses) | 1,490 | (23,759) | (2,169) | (25,818) |
Total | $ (179) | $ (25,190) | (7,085) | (29,770) |
Cross-currency swap agreements termination | Foreign Currency Gain (Loss) [Member] | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Realized gains (losses) | (33,844) | |||
Unrealized gains (losses) | 0 | |||
Total | (33,844) | |||
Cross-currency swap agreements | Foreign Currency Gain (Loss) [Member] | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Realized gains (losses) | (38,760) | (3,952) | ||
Unrealized gains (losses) | (2,169) | (25,818) | ||
Total | $ (40,929) | $ (29,770) |
Derivative Instruments and He_8
Derivative Instruments and Hedging Activities - Effective Portion of Gains (Losses) on Interest Rate Swap Agreements (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Derivative [Line Items] | ||||
Amount of Loss Recognized in OCI | $ (959) | $ (19,577) | $ (69,593) | $ (71,815) |
Interest expense | ||||
Derivative [Line Items] | ||||
Amount of Loss Recognized in OCI | 616 | (2,244) | (9,610) | (9,646) |
Amount of Loss Reclassified from Accumulated OCI to Interest Expense | $ (835) | $ 22 | $ (1,469) | $ 430 |
Commitments and Contingencies -
Commitments and Contingencies - Commitments to Fund Newbuilding and Other Construction Contract Costs (Details) - USD ($) $ in Thousands | 1 Months Ended | |
Jun. 30, 2019 | Sep. 30, 2020 | |
Unrecorded Unconditional Purchase Obligation [Line Items] | ||
Total estimated remaining costs | $ 54,249 | |
Estimated Costs Remainder of 2020 | 3,316 | |
Estimated Costs 2021 | 35,922 | |
Estimated Costs 2022 | 15,011 | |
Equity Method Investments [Member] | ||
Unrecorded Unconditional Purchase Obligation [Line Items] | ||
Total estimated remaining costs | 11,339 | |
Estimated Costs Remainder of 2020 | 0 | |
Estimated Costs 2021 | 11,339 | |
Estimated Costs 2022 | 0 | |
Consolidated Entities [Member] | ||
Unrecorded Unconditional Purchase Obligation [Line Items] | ||
Total estimated remaining costs | 42,910 | |
Estimated Costs Remainder of 2020 | 3,316 | |
Estimated Costs 2021 | 24,583 | |
Estimated Costs 2022 | $ 15,011 | |
Long-term Purchase Commitment, Amount | $ 59,500 | |
Bahrain LNG Joint Venture [Member] | ||
Unrecorded Unconditional Purchase Obligation [Line Items] | ||
Equity Method Investment, Ownership Percentage | 30.00% | |
Bahrain LNG Joint Venture [Member] | Lng Receiving and Regasification Terminal [Member] | ||
Unrecorded Unconditional Purchase Obligation [Line Items] | ||
Line of credit facility, maximum borrowing capacity | $ 24,000 | |
Line of Credit Facility, Remaining Borrowing Capacity | 7,000 | |
Bahrain LNG Joint Venture [Member] | Construction [Member] | ||
Unrecorded Unconditional Purchase Obligation [Line Items] | ||
Total estimated remaining costs | $ 11,300 |
Commitments and Contingencies_2
Commitments and Contingencies - Additional Information (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2020 | Dec. 31, 2019 | |
Loss Contingencies [Line Items] | ||
Working Capital Surplus (Deficit) | $ (301,900) | |
Long-term Debt, Current Maturities | 291,720 | $ 393,065 |
Teekay Tangguh Joint Venture [Member] | ||
Loss Contingencies [Line Items] | ||
Estimated Tax Indemnification | $ 5,800 | $ 6,100 |
Teekay Lng [Member] | Teekay Tangguh Joint Venture [Member] | ||
Loss Contingencies [Line Items] | ||
Percentage of ownership interest | 70.00% |
Total Capital and Net Income _3
Total Capital and Net Income Per Unit Partnership Units and Net Income Per Common Unit (Details) - USD ($) shares in Thousands, $ in Thousands | 9 Months Ended | ||
Sep. 30, 2020 | May 11, 2020 | Dec. 31, 2019 | |
Capital Unit [Line Items] | |||
Limited Partners' Capital Account, Units Issued | 87,000 | 77,500 | |
Common Unit, Issuance Value | $ 122,600 | ||
General partner | $ (46,081) | $ 2,300 | $ (50,241) |
Public | Teekay Lng [Member] | |||
Capital Unit [Line Items] | |||
Limited Liability Company or Limited Partnership, Members or Limited Partners, Ownership Interest | 58.60% | ||
Limited Partners | Teekay Lng [Member] | |||
Capital Unit [Line Items] | |||
Limited Liability Company or Limited Partnership, Members or Limited Partners, Ownership Interest | 98.20% | ||
Parent Company [Member] | Teekay Lng [Member] | |||
Capital Unit [Line Items] | |||
Limited Liability Company (LLC) or Limited Partnership (LP), Managing Member or General Partner, Ownership Interest | 1.80% | ||
Teekay Lng [Member] | |||
Capital Unit [Line Items] | |||
Limited Partners' Capital Account, Units Issued | 10,750 |
Total Capital and Net Income _4
Total Capital and Net Income Per Unit Net Income (Loss) Per Common Unit (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Class of Stock [Line Items] | ||||
Limited partners’ interest in net income | $ 33,255 | $ 40,122 | $ 32,421 | $ 64,820 |
Weighted average number of common units | 86,951,234 | 78,012,514 | 82,010,753 | 78,402,239 |
Dilutive effect of unit-based compensation | 89,812 | 94,256 | 99,073 | 86,092 |
Weighted average number of common units and common unit equivalents (in units) | 87,041,046 | 78,106,770 | 82,109,826 | 78,488,331 |
Basic (usd per unit) | $ 0.38 | $ 0.51 | $ 0.40 | $ 0.83 |
Diluted (usd per unit) | $ 0.38 | $ 0.51 | $ 0.39 | $ 0.83 |
Limited Partners | Preferred Units | ||||
Class of Stock [Line Items] | ||||
Dividends, Preferred Stock, Cash | $ 6,400 | $ 6,400 | $ 19,300 | $ 12,900 |
Total Capital and Net Income _5
Total Capital and Net Income Per Unit Common Unit Repurchases (Details) - USD ($) | 3 Months Ended | 6 Months Ended | 9 Months Ended | 33 Months Ended | |||||
Sep. 30, 2020 | Mar. 31, 2020 | Sep. 30, 2019 | Jun. 30, 2019 | Jun. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Dec. 31, 2019 | |
Accelerated Share Repurchases [Line Items] | |||||||||
Partners' Capital Account, Treasury Units, Purchased | $ 15,635,000 | $ 13,673,000 | $ 2,559,000 | $ 9,497,000 | |||||
Stock Repurchase Program, Remaining Authorized Repurchase Amount | $ 55,800,000 | $ 55,800,000 | $ 55,800,000 | ||||||
Repurchase Agreements [Member] | Common Units | |||||||||
Accelerated Share Repurchases [Line Items] | |||||||||
Stock Repurchase Program, Authorized Amount | $ 100,000,000 | ||||||||
Partners' Capital Account, Units, Treasury Units Purchased | 0 | 900,000 | 1,400,000 | 1,900,000 | |||||
General Partner | |||||||||
Accelerated Share Repurchases [Line Items] | |||||||||
Partners' Capital Account, Treasury Units, Purchased | $ 313,000 | $ 273,000 | $ 51,000 | $ 190,000 | |||||
General Partner | Repurchase Agreements [Member] | Common Units | |||||||||
Accelerated Share Repurchases [Line Items] | |||||||||
Partners' Capital Account, Treasury Units, Purchased | $ 0 | $ 300,000 | $ 300,000 | $ 500,000 | |||||
Limited Partners | Common Units | |||||||||
Accelerated Share Repurchases [Line Items] | |||||||||
Partners' Capital Account, Units, Treasury Units Purchased | (1,373,000) | (932,000) | (187,000) | (815,000) | |||||
Partners' Capital Account, Treasury Units, Purchased | $ 15,322,000 | $ 13,400,000 | $ 2,508,000 | $ 9,307,000 | |||||
Limited Partners | Repurchase Agreements [Member] | Common Units | |||||||||
Accelerated Share Repurchases [Line Items] | |||||||||
Partners' Capital Account, Units, Treasury Units Purchased | 3,600,000 | ||||||||
Partners' Capital Account, Treasury Units, Purchased | $ 0 | $ 13,400,000 | $ 15,300,000 | $ 25,200,000 | $ 44,200,000 |
Restructuring Charges Restruc_2
Restructuring Charges Restructuring Charges (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Restructuring Cost and Reserve [Line Items] | |||||
Restructuring charges | $ 0 | $ 0 | $ 0 | $ 2,976 | |
Restructuring Reserve | $ 600 | $ 600 | $ 600 | ||
Employee Severance [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Restructuring charges | $ 3,000 |
Write-down of Vessels Write-Dow
Write-down of Vessels Write-Down of Vessels (Details) $ in Thousands | 1 Months Ended | 3 Months Ended | 9 Months Ended | ||||
Oct. 31, 2019USD ($) | Sep. 30, 2020USD ($)vessel | Sep. 30, 2019USD ($) | Sep. 30, 2020USD ($)vessel | Sep. 30, 2019USD ($) | Mar. 31, 2020vessel | Dec. 31, 2019USD ($) | |
Property, Plant and Equipment [Line Items] | |||||||
Voyage revenues (notes 6 and 10a) | $ 148,935 | $ 149,655 | $ 437,027 | $ 452,459 | |||
Restructuring Reserve | 600 | $ 600 | $ 600 | ||||
Write-down and Sale of Vessels | Write-down of Vessels a) In March 2020, the carrying values for six of the Partnership's seven wholly-owned multi-gas carriers (the Unikum Spirit , Vision Spirit , Pan Spirit, Cathinka Spirit , Camilla Spirit and Sonoma Spirit ), were written down to their estimated fair values, using appraised values, primarily due to the lower near-term outlook for these types of vessels as a result of the economic environment at that time (including the COVID-19 pandemic), as well as the Partnership receiving notification that the Partnership's then-existing commercial management agreement with a third-party commercial manager will dissolve and be replaced by a new commercial management agreement in September 2020. The total impairment charge of $45.0 million is included in write-down of vessels for the nine months ended September 30, 2020 in the Partnership's consolidated statements of income. b) The Partnership recorded a write-down on the Alexander Spirit conventional tanker of $0.8 million for the three and nine months ended September 30, 2019 in the Partnership's consolidated statements of income. On October 16, 2019, the Alexander Spirit | ||||||
Affiliated Entity [Member] | |||||||
Property, Plant and Equipment [Line Items] | |||||||
Voyage revenues (notes 6 and 10a) | $ 9,704 | 16,347 | $ 27,881 | 37,141 | |||
Alexander Spirit [Member] | |||||||
Property, Plant and Equipment [Line Items] | |||||||
Asset Impairment Charges | 800 | 800 | |||||
Proceeds from Sale of Property, Plant, and Equipment | $ 11,500 | ||||||
Asset Impairment Charges | $ 800 | $ 800 | |||||
LPG Carriers [Member] | |||||||
Property, Plant and Equipment [Line Items] | |||||||
Number Of Vessels | vessel | 7 | ||||||
LPG Carriers [Member] | |||||||
Property, Plant and Equipment [Line Items] | |||||||
Number Of Vessels | vessel | 6 | 6 | 6 | ||||
Asset Impairment Charges | $ 45,000 | ||||||
Asset Impairment Charges | $ 45,000 |
Subsequent Events (Details)
Subsequent Events (Details) - NOK (kr) kr in Millions | Sep. 30, 2020 | Dec. 31, 2019 |
Norwegian Krone-denominated Bonds due from 2021 to 2025 | ||
Subsequent Event [Line Items] | ||
Unsecured Debt | kr 3,100 | kr 3,100 |
Uncategorized Items - tgp-20200
Label | Element | Value |
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | $ (53,300,000) |
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | (3,017,000) |
General Partner [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | (1,016,000) |
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | 37,000 |
AOCI Attributable to Parent [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | (4,831,000) |
Noncontrolling Interest [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | (2,474,000) |
Common Stock [Member] | Limited Partner [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | 1,777,000 |
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | $ (49,810,000) |