Document and Entity Information
Document and Entity Information | 6 Months Ended |
Jun. 30, 2020shares | |
Cover [Abstract] | |
Document Type | 10-Q |
Document Quarterly Report | true |
Document Period End Date | Jun. 30, 2020 |
Document Transition Report | false |
Entity File Number | 333-192373 |
Entity Registrant Name | Sabine Pass Liquefaction, LLC |
Entity Incorporation, State or Country Code | DE |
Entity Tax Identification Number | 27-3235920 |
Entity Address, Address Line One | 700 Milam Street |
Entity Address, Address Line Two | Suite 1900 |
Entity Address, City or Town | Houston |
Entity Address, State or Province | TX |
Entity Address, Postal Zip Code | 77002 |
City Area Code | 713 |
Local Phone Number | 375-5000 |
Title of 12(b) Security | None |
Entity Current Reporting Status | No |
Entity Interactive Data Current | Yes |
Entity Filer Category | Non-accelerated Filer |
Entity Small Business | false |
Entity Emerging Growth Company | false |
Entity Shell Company | false |
Entity Central Index Key | 0001499200 |
Amendment Flag | false |
Current Fiscal Year End Date | --12-31 |
Document Fiscal Year Focus | 2020 |
Document Fiscal Period Focus | Q2 |
No Trading Symbol Flag | true |
Entity Common Stock, Shares Outstanding | 0 |
Balance Sheets
Balance Sheets - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Current assets | ||
Cash and cash equivalents | $ 0 | $ 0 |
Restricted cash | 167 | 181 |
Accounts and other receivables, net | 287 | 292 |
Accounts receivable—affiliate | 2 | 104 |
Advances to affiliate | 117 | 133 |
Inventory | 88 | 103 |
Derivative assets | 20 | 17 |
Prepaid expenses | 47 | 29 |
Other current assets | 29 | 7 |
Other current assets—affiliate | 21 | 22 |
Total current assets | 778 | 888 |
Property, plant and equipment, net | 14,087 | 13,861 |
Debt issuance costs, net | 11 | 6 |
Non-current derivative assets | 37 | 32 |
Other non-current assets, net | 158 | 165 |
Total assets | 15,071 | 14,952 |
Current liabilities | ||
Accounts payable | 8 | 38 |
Accrued liabilities | 330 | 629 |
Due to affiliates | 39 | 49 |
Deferred revenue | 0 | 132 |
Derivative liabilities | 6 | 9 |
Total current liabilities | 383 | 857 |
Long-term debt, net | 13,508 | 13,524 |
Non-current derivative liabilities | 1 | 16 |
Other non-current liabilities | 5 | 5 |
Other non-current liabilities—affiliate | 16 | 16 |
Member’s equity | 1,158 | 534 |
Total liabilities and member’s equity | $ 15,071 | $ 14,952 |
Statements of Income
Statements of Income - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | ||
Revenues | |||||
Revenues | $ 1,393 | $ 1,626 | $ 3,030 | $ 3,298 | |
Revenues from contracts with customers | 1,397 | 1,626 | 3,034 | 3,297 | |
Operating costs and expenses | |||||
Cost of sales (excluding items shown separately below) | 398 | 880 | 1,097 | 1,759 | |
Cost of sales—affiliate | 11 | 9 | 23 | 18 | |
Operating and maintenance expense | 142 | 138 | 281 | 248 | |
Operating and maintenance expense—affiliate | 125 | 115 | 238 | 222 | |
General and administrative expense | 6 | 2 | 7 | 3 | |
General and administrative expense—affiliate | 19 | 21 | 37 | 36 | |
Depreciation and amortization expense | 116 | 118 | 233 | 214 | |
Impairment expense and loss on disposal of assets | 0 | 3 | 0 | 5 | |
Total operating costs and expenses | 817 | 1,286 | 1,916 | 2,505 | |
Income from operations | 576 | 340 | 1,114 | 793 | |
Other income (expense) | |||||
Interest expense, net of capitalized interest | (181) | (191) | (359) | (341) | |
Loss on modification or extinguishment of debt | (42) | 0 | (43) | 0 | |
Other income, net | 0 | 1 | 1 | 6 | |
Total other expense | (223) | (190) | (401) | (335) | |
Net income | 353 | 150 | 713 | 458 | |
LNG [Member] | |||||
Revenues | |||||
Revenues | 1,332 | 1,171 | 2,781 | 2,538 | |
Revenues from contracts with customers | [1] | 1,336 | 1,171 | 2,785 | 2,537 |
LNG—affiliate [Member] | |||||
Revenues | |||||
Revenues from contracts with customers | $ 61 | $ 455 | $ 249 | $ 760 | |
[1] | LNG revenues include revenues for LNG cargoes in which our customers exercised their contractual right to not take delivery but remained obligated to pay fixed fees irrespective of such election. LNG revenues during the three and six months ended June 30, 2020 included $388 million and $404 million , respectively, in revenues associated with LNG cargoes for which customers have notified us that they will not take delivery , of which $244 million would have otherwise been recognized subsequent to June 30, 2020, if the cargoes were lifted pursuant to the delivery schedules with the customers. LNG revenues during the three months ended June 30, 2020 excluded $16 million that would have otherwise been recognized during the quarter if the cargoes were lifted pursuant to the delivery schedules with the customers. Revenue is generally recognized upon receipt of irrevocable notice that a customer will not take delivery because our customers have no contractual right to take delivery of such LNG cargo in future periods and our performance obligations with respect to such LNG cargo have been satisfied. |
Statements of Member's Equity
Statements of Member's Equity - USD ($) $ in Millions | Total | Sabine Pass LNG-LP, LLC [Member] |
Members' equity, beginning of period at Dec. 31, 2018 | $ 466 | $ 466 |
Increase (Decrease) in Partners' Capital [Roll Forward] | ||
Capital contributions | 164 | 164 |
Distributions | (231) | (231) |
Net income | 308 | 308 |
Member's equity, end of period at Mar. 31, 2019 | 707 | 707 |
Members' equity, beginning of period at Dec. 31, 2018 | 466 | 466 |
Increase (Decrease) in Partners' Capital [Roll Forward] | ||
Net income | 458 | |
Member's equity, end of period at Jun. 30, 2019 | 534 | 534 |
Members' equity, beginning of period at Mar. 31, 2019 | 707 | 707 |
Increase (Decrease) in Partners' Capital [Roll Forward] | ||
Capital contributions | 642 | 642 |
Distributions | (965) | (965) |
Net income | 150 | 150 |
Member's equity, end of period at Jun. 30, 2019 | 534 | 534 |
Members' equity, beginning of period at Dec. 31, 2019 | 534 | 534 |
Increase (Decrease) in Partners' Capital [Roll Forward] | ||
Capital contributions | 226 | 226 |
Distributions | (376) | (376) |
Net income | 360 | 360 |
Member's equity, end of period at Mar. 31, 2020 | 744 | 744 |
Members' equity, beginning of period at Dec. 31, 2019 | 534 | 534 |
Increase (Decrease) in Partners' Capital [Roll Forward] | ||
Net income | 713 | |
Member's equity, end of period at Jun. 30, 2020 | 1,158 | 1,158 |
Members' equity, beginning of period at Mar. 31, 2020 | 744 | 744 |
Increase (Decrease) in Partners' Capital [Roll Forward] | ||
Capital contributions | 261 | 261 |
Distributions | (200) | (200) |
Net income | 353 | 353 |
Member's equity, end of period at Jun. 30, 2020 | $ 1,158 | $ 1,158 |
Statements of Cash Flows
Statements of Cash Flows - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Cash flows from operating activities | ||
Net income | $ 713 | $ 458 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization expense | 233 | 214 |
Amortization of debt issuance costs, premium and discount | 13 | 13 |
Loss on modification or extinguishment of debt | 43 | 0 |
Total gains on derivatives, net | (29) | (84) |
Net cash provided by settlement of derivative instruments | 3 | 7 |
Impairment expense and loss on disposal of assets | 0 | 5 |
Changes in operating assets and liabilities: | ||
Accounts and other receivables, net | 5 | 71 |
Accounts receivable—affiliate | 102 | (53) |
Advances to affiliate | 11 | (29) |
Inventory | 15 | (3) |
Accounts payable and accrued liabilities | (253) | (135) |
Due to affiliates | (10) | 3 |
Deferred revenue | (132) | 9 |
Other, net | (23) | (26) |
Net cash provided by operating activities | 691 | 450 |
Cash flows from investing activities | ||
Property, plant and equipment, net | (543) | (567) |
Other | 0 | (1) |
Net cash used in investing activities | (543) | (568) |
Cash flows from financing activities | ||
Proceeds from issuances of debt | 1,995 | 0 |
Repayments of debt | 2,000 | 0 |
Debt issuance and other financing costs | (34) | 0 |
Debt extinguishment costs | (39) | 0 |
Capital contributions | 487 | 806 |
Distributions | (571) | (848) |
Net cash used in financing activities | (162) | (42) |
Net decrease in cash, cash equivalents and restricted cash | (14) | (160) |
Cash, cash equivalents and restricted cash—beginning of period | 181 | 756 |
Cash, cash equivalents and restricted cash—end of period | $ 167 | $ 596 |
Statements of Cash Flows - Bala
Statements of Cash Flows - Balances per Balance Sheets - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 | Jun. 30, 2019 | Dec. 31, 2018 |
Balances per Balance Sheets: | ||||
Cash and cash equivalents | $ 0 | $ 0 | ||
Restricted cash | 167 | 181 | ||
Total cash, cash equivalents and restricted cash | $ 167 | $ 181 | $ 596 | $ 756 |
Nature of Operations and Basis
Nature of Operations and Basis of Presentation | 6 Months Ended |
Jun. 30, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of Operations and Basis of Presentation | NATURE OF OPERATIONS AND BASIS OF PRESENTATION We are currently operating five natural gas liquefaction Trains and are constructing one additional Train for a total production capacity of approximately 30 mtpa of LNG (the “Liquefaction Project”) at the Sabine Pass LNG terminal. The Sabine Pass LNG terminal is located in Cameron Parish, Louisiana, on the Sabine-Neches Waterway less than four miles from the Gulf Coast, adjacent to the existing regasification facilities owned and operated by SPLNG. Basis of Presentation The accompanying unaudited Financial Statements of SPL have been prepared in accordance with GAAP for interim financial information and with Rule 10-01 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements and should be read in conjunction with the Financial Statements and accompanying notes included in our annual report on Form 10-K for the fiscal year ended December 31,2019. Certain reclassifications have been made to conform prior period information to the current presentation. The reclassifications did not have a material effect on our consolidated financial position, results of operations or cash flows. We are a disregarded entity for federal and state income tax purposes. Our taxable income or loss, which may vary substantially from the net income reported on our Statements of Income, is able to be included in the federal income tax return of Cheniere Partners, a publicly traded partnership which indirectly owns us. Accordingly, no provision or liability for federal or state income taxes is included in the accompanying Financial Statements. Results of operations for the three and six months ended June 30, 2020 are not necessarily indicative of the results of operations that will be realized for the year ending December 31, 2020 . Recent Accounting Standards In March 2020, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting . This guidance primarily provides temporary optional expedients which simplify the accounting for contract modifications to existing debt agreements expected to arise from the market transition from LIBOR to alternative reference rates. The optional expedients were available to be used upon issuance of this guidance but we have not yet applied the guidance because we have not yet modified any of our existing contracts for reference rate reform. Once we apply an optional expedient to a modified contract and adopt this standard, the guidance will be applied to all subsequent applicable contract modifications until December 31, 2022, at which time the optional expedients are no longer available. |
Restricted Cash
Restricted Cash | 6 Months Ended |
Jun. 30, 2020 | |
Restricted Cash [Abstract] | |
Restricted Cash | RESTRICTED CASH Restricted cash consists of funds that are contractually or legally restricted as to usage or withdrawal and have been presented separately from cash and cash equivalents on our Balance Sheets. As of June 30, 2020 and December 31, 2019 , we had $167 million and $181 million of current restricted cash, respectively. Pursuant to the accounts agreement entered into with the collateral trustee for the benefit of our debt holders, we are required to deposit all cash received into reserve accounts controlled by the collateral trustee. The usage or withdrawal of such cash is restricted to the payment of liabilities related to the Liquefaction Project |
Accounts and Other Receivables
Accounts and Other Receivables | 6 Months Ended |
Jun. 30, 2020 | |
Receivables [Abstract] | |
Accounts and Other Receivables | ACCOUNTS AND OTHER RECEIVABLES As of June 30, 2020 and December 31, 2019 , accounts and other receivables, net consisted of the following (in millions): June 30, December 31, 2020 2019 Trade receivable $ 245 $ 283 Other accounts receivable 42 9 Total accounts and other receivables, net $ 287 $ 292 |
Inventory
Inventory | 6 Months Ended |
Jun. 30, 2020 | |
Inventory Disclosure [Abstract] | |
Inventory | INVENTORY As of June 30, 2020 and December 31, 2019 , inventory consisted of the following (in millions): June 30, December 31, 2020 2019 Natural gas $ 12 $ 9 LNG 6 27 Materials and other 70 67 Total inventory $ 88 $ 103 |
Property, Plant and Equipment
Property, Plant and Equipment | 6 Months Ended |
Jun. 30, 2020 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | PROPERTY, PLANT AND EQUIPMENT As of June 30, 2020 and December 31, 2019 , property, plant and equipment, net consisted of the following (in millions): June 30, December 31, 2020 2019 LNG terminal costs LNG terminal $ 13,729 $ 13,736 LNG terminal construction-in-process 1,685 1,222 Accumulated depreciation (1,333 ) (1,104 ) Total LNG terminal costs, net 14,081 13,854 Fixed assets Fixed assets 19 18 Accumulated depreciation (13 ) (11 ) Total fixed assets, net 6 7 Property, plant and equipment, net $ 14,087 $ 13,861 Depreciation expense was $115 million and $118 million during the three months ended June 30, 2020 and 2019 , respectively, and $231 million and $212 million during the six months ended June 30, 2020 and 2019 , respectively. We realized offsets to LNG terminal costs of $48 million during the six months ended June 30, 2019 that were related to the sale of commissioning cargoes because these amounts were earned or loaded prior to the start of commercial operations of the respective Trains of the Liquefaction Project , during the testing phase for its construction. We did no t realize any offsets to LNG terminal costs during the three and six months ended June 30, 2020 and the three months ended June 30, 2019 . |
Derivative Instruments
Derivative Instruments | 6 Months Ended |
Jun. 30, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments | DERIVATIVE INSTRUMENTS We have entered into commodity derivatives consisting of natural gas supply contracts for the commissioning and operation of the Liquefaction Project (“Physical Liquefaction Supply Derivatives”) and associated economic hedges (collectively, the “Liquefaction Supply Derivatives”) . We recognize our derivative instruments as either assets or liabilities and measure those instruments at fair value. None of our derivative instruments are designated as cash flow or fair value hedging instruments, and changes in fair value are recorded within our Statements of Income to the extent not utilized for the commissioning process. The following table shows the fair value of our derivative instruments that are required to be measured at fair value on a recurring basis as of June 30, 2020 and December 31, 2019 , which are classified as derivative assets , non-current derivative assets , derivative liabilities or non-current derivative liabilities in our Balance Sheets (in millions): Fair Value Measurements as of June 30, 2020 December 31, 2019 Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Liquefaction Supply Derivatives asset (liability) $ 3 $ (4 ) $ 51 $ 50 $ 3 $ (3 ) $ 24 $ 24 We value our Liquefaction Supply Derivatives using a market-based approach incorporating present value techniques, as needed, using observable commodity price curves, when available, and other relevant data. The fair value of our Physical Liquefaction Supply Derivatives is predominantly driven by observable and unobservable market commodity prices and, as applicable to our natural gas supply contracts, our assessment of the associated events deriving fair value, including evaluating whether the respective market is available as pipeline infrastructure is developed. The fair value of our Physical Liquefaction Supply Derivatives incorporates risk premiums related to the satisfaction of conditions precedent, such as completion and placement into service of relevant pipeline infrastructure to accommodate marketable physical gas flow. As of June 30, 2020 and December 31, 2019 , some of our Physical Liquefaction Supply Derivatives existed within markets for which the pipeline infrastructure was under development to accommodate marketable physical gas flow. We include a portion of our Physical Liquefaction Supply Derivatives as Level 3 within the valuation hierarchy as the fair value is developed through the use of internal models which incorporate significant unobservable inputs. In instances where observable data is unavailable, consideration is given to the assumptions that market participants would use in valuing the asset or liability. This includes assumptions about market risks, such as future prices of energy units for unobservable periods, liquidity, volatility and contract duration. The Level 3 fair value measurements of natural gas positions within our Physical Liquefaction Supply Derivatives could be materially impacted by a significant change in certain natural gas prices. The following table includes quantitative information for the unobservable inputs for our Level 3 Physical Liquefaction Supply Derivatives as of June 30, 2020 : Net Fair Value Asset (in millions) Valuation Approach Significant Unobservable Input Range of Significant Unobservable Inputs / Weighted Average (1) Physical Liquefaction Supply Derivatives $51 Market approach incorporating present value techniques Henry Hub basis spread $(0.350) - $0.172 / $0.008 (1) Unobservable inputs were weighted by the relative fair value of the instruments. Increases or decreases in basis, in isolation, would decrease or increase, respectively, the fair value of our Physical Liquefaction Supply Derivatives . The following table shows the changes in the fair value of our Level 3 Physical Liquefaction Supply Derivatives during the three and six months ended June 30, 2020 and 2019 (in millions): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Balance, beginning of period $ 49 $ 29 $ 24 $ (25 ) Realized and mark-to-market gains: Included in cost of sales 4 3 32 16 Purchases and settlements: Purchases (1 ) 1 — — Settlements (1 ) 1 (6 ) 43 Transfers out of Level 3 (1) — — 1 — Balance, end of period $ 51 $ 34 $ 51 $ 34 Change in unrealized gains relating to instruments still held at end of period $ 4 $ 3 $ 32 $ 16 (1) Transferred to Level 2 as a result of observable market for the underlying natural gas purchase agreements. Derivative assets and liabilities arising from our derivative contracts with the same counterparty are reported on a net basis, as all counterparty derivative contracts provide for the unconditional right of set-off in the event of default. The use of derivative instruments exposes us to counterparty credit risk, or the risk that a counterparty will be unable to meet its commitments in instances when our derivative instruments are in an asset position. Additionally, counterparties are at risk that we will be unable to meet our commitments in instances where our derivative instruments are in a liability position. We incorporate both our own nonperformance risk and the respective counterparty’s nonperformance risk in fair value measurements. In adjusting the fair value of our derivative contracts for the effect of nonperformance risk, we have considered the impact of any applicable credit enhancements, such as collateral postings, set-off rights and guarantees. Liquefaction Supply Derivatives We have entered into primarily index-based physical natural gas supply contracts and associated economic hedges to purchase natural gas for the commissioning and operation of the Liquefaction Project. The remaining terms of the physical natural gas supply contracts range up to 9 years , some of which commence upon the satisfaction of certain events or states of affairs. The notional natural gas position of our Liquefaction Supply Derivatives was approximately 4,808 TBtu and 3,663 TBtu as of June 30, 2020 and December 31, 2019 , respectively, of which 91 TBtu and zero TBtu, respectively, were for a natural gas supply contract that we have with a related party. The following table shows the fair value and location of our Liquefaction Supply Derivatives on our Balance Sheets (in millions): Fair Value Measurements as of (1) Balance Sheets Location June 30, 2020 December 31, 2019 Derivative assets $ 20 $ 17 Non-current derivative assets 37 32 Total derivative assets 57 49 Derivative liabilities (6 ) (9 ) Non-current derivative liabilities (1 ) (16 ) Total derivative liabilities (7 ) (25 ) Derivative asset, net $ 50 $ 24 (1) Does not include collateral posted with counterparties by us of $2 million for such contracts, which are included in other current assets in our Balance Sheets as of both June 30, 2020 and December 31, 2019 . Includes a natural gas supply contract that we have with a related party, which had a fair value of zero as of June 30, 2020 . The following table shows the changes in the fair value, settlements and location of our Liquefaction Supply Derivatives recorded on our Statements of Income during the three and six months ended June 30, 2020 and 2019 (in millions): Statements of Income Location (1) Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Liquefaction Supply Derivatives gain (loss) LNG revenues $ (4 ) $ — $ (4 ) $ 1 Liquefaction Supply Derivatives gain Cost of sales 12 7 33 83 (1) Does not include the realized value associated with derivative instruments that settle through physical delivery. Fair value fluctuations associated with commodity derivative activities are classified and presented consistently with the item economically hedged and the nature and intent of the derivative instrument. Balance Sheets Presentation Our derivative instruments are presented on a net basis on our Balance Sheets as described above. The following table shows the fair value of our derivatives outstanding on a gross and net basis (in millions): Gross Amounts Recognized Gross Amounts Offset in the Balance Sheets Net Amounts Presented in the Balance Sheets Offsetting Derivative Assets (Liabilities) As of June 30, 2020 Liquefaction Supply Derivatives $ 62 $ (5 ) $ 57 Liquefaction Supply Derivatives (10 ) 3 (7 ) As of December 31, 2019 Liquefaction Supply Derivatives $ 51 $ (2 ) $ 49 Liquefaction Supply Derivatives (27 ) 2 (25 ) |
Other Non-Current Assets
Other Non-Current Assets | 6 Months Ended |
Jun. 30, 2020 | |
Other Assets, Noncurrent [Abstract] | |
Other Non-Current Assets | OTHER NON-CURRENT ASSETS As of June 30, 2020 and December 31, 2019 , other non-current assets, net consisted of the following (in millions): June 30, December 31, 2020 2019 Advances made to municipalities for water system enhancements $ 86 $ 87 Advances and other asset conveyances to third parties to support LNG terminal 34 35 Operating lease assets 20 21 Information technology service prepayments 5 6 Advances made under EPC and non-EPC contracts 6 15 Other 7 1 Total other non-current assets, net $ 158 $ 165 |
Accrued Liabilities
Accrued Liabilities | 6 Months Ended |
Jun. 30, 2020 | |
Accrued Liabilities, Current [Abstract] | |
Accrued Liabilities | ACCRUED LIABILITIES As of June 30, 2020 and December 31, 2019 , accrued liabilities consisted of the following (in millions): June 30, December 31, 2020 2019 Interest costs and related debt fees $ 152 $ 186 Accrued natural gas purchases 122 325 Liquefaction Project costs 53 116 Other accrued liabilities 3 2 Total accrued liabilities $ 330 $ 629 |
Debt
Debt | 6 Months Ended |
Jun. 30, 2020 | |
Debt Disclosure [Abstract] | |
Debt | DEBT As of June 30, 2020 and December 31, 2019 , our debt consisted of the following (in millions): June 30, December 31, 2020 2019 Long-term debt 5.625% Senior Secured Notes due 2021 (“2021 Senior Notes”) $ — $ 2,000 6.25% Senior Secured Notes due 2022 (“2022 Senior Notes”) 1,000 1,000 5.625% Senior Secured Notes due 2023 (“2023 Senior Notes”) 1,500 1,500 5.75% Senior Secured Notes due 2024 (“2024 Senior Notes”) 2,000 2,000 5.625% Senior Secured Notes due 2025 (“2025 Senior Notes”) 2,000 2,000 5.875% Senior Secured Notes due 2026 (“2026 Senior Notes”) 1,500 1,500 5.00% Senior Secured Notes due 2027 (“2027 Senior Notes”) 1,500 1,500 4.200% Senior Secured Notes due 2028 (“2028 Senior Notes”) 1,350 1,350 4.500% Senior Secured Notes due 2030 (“2030 Senior Notes”) 2,000 — 5.00% Senior Secured Notes due 2037 (“2037 Senior Notes”) 800 800 $1.2 billion Working Capital Facility executed in 2020 (“2020 Working Capital Facility”) — — Unamortized discount, premium and debt issuance costs, net (142 ) (126 ) Total long-term debt, net 13,508 13,524 Current debt $1.2 billion Working Capital Facility executed in 2015 (“2015 Working Capital Facility”) — — Total debt, net $ 13,508 $ 13,524 2020 Material Debt Activities 2030 Senior Notes In May 2020, we issued an aggregate principal amount of $2.0 billion of the 2030 Senior Notes . The proceeds of the notes, along with cash on hand, were used to redeem all of the outstanding 2021 Senior Notes , resulting in the recognition of debt extinguishment costs of $43 million for the three and six months ended June 30, 2020 relating to the payment of early redemption fees and write off of unamortized debt premium and issuance costs. The 2030 Senior Notes mature on May 15, 2030 and accrue interest at a fixed rate of 4.500% per annum, which is payable semi-annually in cash in arrears. The 2030 Senior Notes are governed by the same base indenture (the “Indenture”) as all other series of the senior notes (collectively, the “Senior Notes”) , except for the 2037 Senior Notes , and are further governed by the Eighth Supplemental Indenture and the Eleventh Supplemental Indenture (together with the Indenture , the “2030 Notes Indenture”). The 2030 Notes Indenture contains customary terms and events of default and certain covenants that, among other things, limit our ability and the ability of our restricted subsidiaries to incur additional indebtedness or issue preferred stock, make certain investments or pay dividends or distributions, transfer assets, including capital stock of our restricted subsidiaries, restrict dividends or other payments by restricted subsidiaries, incur liens, sell assets, enter into transactions with affiliates and consolidate, merge or sell, lease or otherwise dispose of all or substantially all of our assets and enter into certain LNG sales contracts. The 2030 Senior Notes are our senior secured obligation, ranking equally in right of payment with our other existing and future unsubordinated debt and senior to any of its future subordinated debt. At any time prior to November 15, 2029, we may redeem all or a part of the 2030 Senior Notes at a redemption price equal to the ‘make-whole’ price set forth in the Eleventh Supplemental Indenture, plus accrued and unpaid interest, if any, to the date of redemption. We may also, at any time on or after November 15, 2029, redeem the 2030 Senior Notes , in whole or in part, at a redemption price equal to 100% of the principal amount of the 2030 Senior Notes to be redeemed, plus accrued and unpaid interest, if any, to the date of redemption. In connection with the closing of the 2030 Senior Notes offering, we entered into a registration rights agreement (the “Registration Rights Agreement”) . Under the Registration Rights Agreement , we and any future guarantors of the 2030 Senior Notes , have agreed to file with the SEC and cause to become effective a registration statement relating to an offer to exchange any and all of the 2030 Senior Notes for a like aggregate principal amount of our debt securities with terms identical in all material respects to the 2030 Senior Notes sought to be exchanged (other than with respect to restrictions on transfer or to any increase in annual interest rate) within 360 days after the notes issuance date of May 8, 2020. Under specified circumstances, we have agreed to cause to become effective a shelf registration statement relating to resales of the 2030 Senior Notes . We will be obligated to pay additional interest on the 2030 Senior Notes if we fail to comply with our obligations to register the 2030 Senior Notes within the specified time period. 2020 Working Capital Facility In March 2020, we entered into the 2020 Working Capital Facility with aggregate commitments of $1.2 billion , which replaced the 2015 Working Capital Facility . The 2020 Working Capital Facility is intended to be used for loans to us (“Revolving Loans”) , swing line loans to us (“Swing Line Loans”) and the issuance of letters of credit on behalf of us, primarily for (1) the refinancing of the 2015 Working Capital Facility , (2) fees and expenses related to the 2020 Working Capital Facility , (3) our gas purchase obligations and the gas purchase obligations of our future subsidiaries and (4) general corporate purposes of us and certain of our future subsidiaries. We may, from time to time, request increases in the commitments under the 2020 Working Capital Facility of up to $800 million . Loans under the 2020 Working Capital Facility accrue interest at a variable rate per annum equal to LIBOR or the base rate (equal to the highest of the senior facility agent’s published prime rate, the federal funds rate, as published by the Federal Reserve Bank of New York, plus 0.50% and one month LIBOR plus 1% ), plus the applicable margin. The applicable margin for LIBOR loans under the 2020 Working Capital Facility is 1.125% to 1.750% per annum (depending on our then-current rating), and the applicable margin for base rate loans under the 2020 Working Capital Facility is 0.125% to 0.750% per annum (depending on our then-current rating). Interest on LIBOR loans is due and payable at the end of each applicable LIBOR period, and interest on base rate loans is due and payable at the end of each fiscal quarter. Interest on loans deemed to be made in connection with a draw upon a letter of credit is due and payable on the date the loan becomes due. We pay a commitment fee equal to an annual rate of 0.1% to 0.3% (depending on our then-current rating), which accrues on the daily amount of the total commitment less the sum of (1) the outstanding principal amount of Revolving Loans , (2) letters of credit issued and (3) the outstanding principal amount of Swing Line Loans . If draws are made upon a letter of credit issued under the 2020 Working Capital Facility and we do not elect for such draw to be deemed an SPL LC Loan (an “LC Draw”) , we are required to pay the full amount of the LC Draw on or prior to noon eastern time on the business day of the LC Draw . An LC Draw accrues interest at the base rate plus the applicable margin. As of June 30, 2020 , no LC Draw s had been made upon any letters of credit issued under the 2020 Working Capital Facility . The 2020 Working Capital Facility matures on March 19, 2025, but may be extended with consent of the lenders. The 2020 Working Capital Facility provides for mandatory prepayments under customary circumstances. The 2020 Working Capital Facility contains customary conditions precedent for extensions of credit, as well as customary affirmative and negative covenants. We are restricted from making certain distributions under agreements governing its indebtedness generally until, among other requirements, satisfaction of a 12-month forward-looking and backward-looking 1.25 :1.00 debt service reserve ratio test. Our obligations under the 2020 Working Capital Facility are secured by substantially all of our assets as well as a pledge of all of our and certain future subsidiaries membership interests on a pari passu basis by a first priority lien with the Senior Notes. 2020 Working Capital Facility Below is a summary of our 2020 Working Capital Facility as of June 30, 2020 (in millions): 2020 Working Capital Facility Original facility size $ 1,200 Less: Outstanding balance — Letters of credit issued 409 Available commitment $ 791 Interest rate on available balance LIBOR plus 1.125% - 1.750% or base rate plus 0.125% - 0.750% Weighted average interest rate of outstanding balance n/a Maturity date March 19, 2025 Restrictive Debt Covenants As of June 30, 2020 , we were in compliance with all covenants related to our debt agreements. Interest Expense Total interest expense, net of capitalized interest consisted of the following (in millions): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Total interest cost $ 202 $ 198 $ 400 $ 395 Capitalized interest (21 ) (7 ) (41 ) (54 ) Total interest expense, net of capitalized interest $ 181 $ 191 $ 359 $ 341 Fair Value Disclosures The following table shows the carrying amount and estimated fair value of our debt (in millions): June 30, 2020 December 31, 2019 Carrying Amount Estimated Fair Value Carrying Amount Estimated Fair Value Senior notes (1) $ 12,850 $ 14,363 $ 12,850 $ 14,050 2037 Senior Notes (2) 800 948 800 934 Working Capital Facility (3) — — — — (1) Includes the Senior Notes , except the 2037 Senior Notes . The Level 2 estimated fair value was based on quotes obtained from broker-dealers or market makers of these senior notes and other similar instruments. (2) The Level 3 estimated fair value was calculated based on inputs that are observable in the market or that could be derived from, or corroborated with, observable market data, including interest rates based on debt issued by parties with comparable credit ratings to us and inputs that are not observable in the market. (3) Includes 2015 Working Capital Facility and 2020 Working Capital Facility |
Revenues from Contracts with Cu
Revenues from Contracts with Customers | 6 Months Ended |
Jun. 30, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Revenues from Contracts with Customers | REVENUES FROM CONTRACTS WITH CUSTOMERS The following table represents a disaggregation of revenue earned from contracts with customers during the three and six months ended June 30, 2020 and 2019 (in millions): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 LNG revenues (1) $ 1,336 $ 1,171 $ 2,785 $ 2,537 LNG revenues—affiliate 61 455 249 760 Total revenues from customers 1,397 1,626 3,034 3,297 Net derivative gains (losses) (2) (4 ) — (4 ) 1 Total revenues $ 1,393 $ 1,626 $ 3,030 $ 3,298 (1) LNG revenues include revenues for LNG cargoes in which our customers exercised their contractual right to not take delivery but remained obligated to pay fixed fees irrespective of such election. LNG revenues during the three and six months ended June 30, 2020 included $388 million and $404 million , respectively, in revenues associated with LNG cargoes for which customers have notified us that they will not take delivery , of which $244 million would have otherwise been recognized subsequent to June 30, 2020, if the cargoes were lifted pursuant to the delivery schedules with the customers. LNG revenues during the three months ended June 30, 2020 excluded $16 million that would have otherwise been recognized during the quarter if the cargoes were lifted pursuant to the delivery schedules with the customers. Revenue is generally recognized upon receipt of irrevocable notice that a customer will not take delivery because our customers have no contractual right to take delivery of such LNG cargo in future periods and our performance obligations with respect to such LNG cargo have been satisfied. (2) See Note 6—Derivative Instruments for additional information about our derivatives. Deferred Revenue Reconciliation The following table reflects the changes in our contract liabilities, which we classify as deferred revenue on our Balance Sheets (in millions): Six Months Ended June 30, 2020 Deferred revenues, beginning of period $ 132 Cash received but not yet recognized — Revenue recognized from prior period deferral (132 ) Deferred revenues, end of period $ — Transaction Price Allocated to Future Performance Obligations Because many of our sales contracts have long-term durations, we are contractually entitled to significant future consideration which we have not yet recognized as revenue. The following table discloses the aggregate amount of the transaction price that is allocated to performance obligations that have not yet been satisfied as of June 30, 2020 and December 31, 2019 : June 30, 2020 December 31, 2019 Unsatisfied Transaction Price (in billions) Weighted Average Recognition Timing (years) (1) Unsatisfied Weighted Average Recognition Timing (years) (1) LNG revenues $ 53.3 9 $ 55.0 10 (1) The weighted average recognition timing represents an estimate of the number of years during which we shall have recognized half of the unsatisfied transaction price. We have elected the following exemptions which omit certain potential future sources of revenue from the table above: (1) We omit from the table above all performance obligations that are part of a contract that has an original expected delivery duration of one year or less. (2) The table above excludes substantially all variable consideration under our SPAs. We omit from the table above all variable consideration that is allocated entirely to a wholly unsatisfied performance obligation or to a wholly unsatisfied promise to transfer a distinct good or service that forms part of a single performance obligation when that performance obligation qualifies as a series. The amount of revenue from variable fees that is not included in the transaction price will vary based on the future prices of Henry Hub throughout the contract terms, to the extent customers elect to take delivery of their LNG, and adjustments to the consumer price index. Certain of our contracts contain additional variable consideration based on the outcome of contingent events and the movement of various indexes. We have not included such variable consideration in the transaction price to the extent the consideration is considered constrained due to the uncertainty of ultimate pricing and receipt. Approximately 29% and 53% of our LNG revenues from contracts included in the table above during the three months ended June 30, 2020 and 2019 , respectively, and 37% and 55% of our LNG revenues from contracts included in the table above during the six months ended June 30, 2020 and 2019 , respectively, were related to variable consideration received from customers. We may enter into contracts to sell LNG that are conditioned upon one or both of the parties achieving certain milestones such as reaching a final investment decision on a certain liquefaction Train, obtaining financing or achieving substantial completion of a Train and any related facilities. These contracts are considered completed contracts for revenue recognition purposes and are included in the transaction price above when the conditions are considered probable of being met. |
Related Party Transactions
Related Party Transactions | 6 Months Ended |
Jun. 30, 2020 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | RELATED PARTY TRANSACTIONS Below is a summary of our related party transactions as reported on our Statements of Income for the three and six months ended June 30, 2020 and 2019 (in millions): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 LNG revenues—affiliate Cheniere Marketing Agreements $ 59 $ 455 $ 241 $ 760 Contracts for Sale and Purchase of Natural Gas and LNG 2 — 8 — Total LNG revenues—affiliate 61 455 249 760 Cost of sales—affiliate Cargo loading fees under TUA 7 9 18 18 Contracts for Sale and Purchase of Natural Gas and LNG 4 — 5 — Total cost of sales—affiliate 11 9 23 18 Operating and maintenance expense—affiliate TUA 66 67 133 131 Natural Gas Transportation Agreement 21 21 41 40 Services Agreements 37 27 63 51 LNG Site Sublease Agreement 1 — 1 — Total operating and maintenance expense—affiliate 125 115 238 222 General and administrative expense—affiliate Services Agreements 19 21 37 36 As of June 30, 2020 and December 31, 2019 , we had $2 million and $104 million of accounts receivable—affiliate, respectively, under the agreements described below. LNG Terminal-Related Agreements Terminal Use Agreements We have a TUA with SPLNG to provide berthing for LNG vessels and for the unloading, loading, storage and regasification of LNG . We have reserved approximately 2 Bcf/d of regasification capacity and we are obligated to make monthly capacity payments to SPLNG aggregating approximately $250 million per year (the “TUA Fees”) , continuing until at least May 2036. We obtained this reserved capacity as a result of an assignment in July 2012 by Cheniere Investments of its rights, title and interest under its TUA . Cheniere Partners has guaranteed our obligations under our TUA . Cargo loading fees incurred under the TUA are recorded as cost of sales—affiliate, except for the portion related to commissioning activities which is capitalized as LNG terminal construction-in-process. Cheniere Marketing Agreements Cheniere Marketing SPA Cheniere Marketing has an SPA (“ Base SPA ”) with us to purchase, at Cheniere Marketing’s option, any LNG produced by us in excess of that required for other customers at a price of 115% of Henry Hub plus $3.00 per MMBtu of LNG . In May 2019, we and Cheniere Marketing entered into an amendment to the Base SPA to remove certain conditions related to the sale of LNG from Trains 5 and 6 of the Liquefaction Project and provide that cargoes rejected by Cheniere Marketing under the Base SPA can be sold by us to Cheniere Marketing at a contract price equal to a portion of the estimated net profits from the sale of such cargo. Cheniere Marketing Master SPA We have an agreement with Cheniere Marketing that allows us to sell and purchase LNG with Cheniere Marketing by executing and delivering confirmations under this agreement. We executed a confirmation with Cheniere Marketing that obligated Cheniere Marketing in certain circumstances to buy LNG cargoes produced during the period while Bechtel Oil, Gas and Chemicals, Inc. (“Bechtel”) had control of, and was commissioning, Train 5 of the Liquefaction Project . Cheniere Marketing Letter Agreements In December 2019, we and Cheniere Marketing entered into a letter agreement for the sale of up to 43 cargoes scheduled for delivery in 2020 at a price of 115% of Henry Hub plus $1.67 per MMBtu. Natural Gas Transportation Agreements To ensure we are able to transport adequate natural gas feedstock to the Sabine Pass LNG terminal, we have a transportation precedent agreement, firm transportation service agreement and a negotiated rate agreement to secure firm pipeline transportation capacity with CTPL, a wholly owned subsidiary of Cheniere Partners, and third-party pipeline companies. These agreements have a primary term that continues until 20 years from May 2016 and thereafter continue in effect from year to year until terminated by either party upon written notice of one year or the term of the agreements, whichever is less. In addition, we have the right to elect to extend the term of the agreements for up to two consecutive terms of 10 years . Maximum rates, charges and fees shall be applicable for the entitlements and quantities delivered pursuant to the agreements unless CTPL has advised us that it has agreed otherwise. Services Agreements As of June 30, 2020 and December 31, 2019 , we had $117 million and $133 million of advances to affiliates, respectively, under the services agreements described below. The non-reimbursement amounts incurred under these agreements are recorded in general and administrative expense—affiliate. Cheniere Investments Information Technology Services Agreement Cheniere Investments has an information technology services agreement with Cheniere, pursuant to which Cheniere Investments’ subsidiaries, including us, receive certain information technology services. On a quarterly basis, the various entities receiving the benefit are invoiced by Cheniere Investments according to the cost allocation percentages set forth in the agreement. In addition, Cheniere is entitled to reimbursement for all costs incurred by Cheniere that are necessary to perform the services under the agreement. Liquefaction O&M Agreement We have an operation and maintenance agreement (the “Liquefaction O&M Agreement”) with Cheniere Investments, a wholly owned subsidiary of Cheniere Partners, pursuant to which we receive all of the necessary services required to construct, operate and maintain the Liquefaction Project . Before each Train of the Liquefaction Project is operational, the services to be provided include, among other services, obtaining governmental approvals on our behalf, preparing an operating plan for certain periods, obtaining insurance, preparing staffing plans and preparing status reports. After each Train is operational, the services include all necessary services required to operate and maintain the Train. Prior to the substantial completion of each Train of the Liquefaction Project , in addition to reimbursement of operating expenses, we are required to pay a monthly fee equal to 0.6% of the capital expenditures incurred in the previous month. After substantial completion of each Train, for services performed while the Train is operational, we will pay, in addition to the reimbursement of operating expenses, a fixed monthly fee of $83,333 (indexed for inflation) for services with respect to the Train. Liquefaction MSA We have a management services agreement (the “Liquefaction MSA”) with Cheniere Terminals pursuant to which Cheniere Terminals manages the construction and operation of the Liquefaction Project , excluding those matters provided for under the Liquefaction O&M Agreement . The services include, among other services, exercising the day-to-day management of our affairs and business, managing our regulatory matters, managing bank and brokerage accounts and financial books and records of our business and operations, entering into financial derivatives on our behalf and providing contract administration services for all contracts associated with the Liquefaction Project . Prior to the substantial completion of each Train of the Liquefaction Project , we pay a monthly fee equal to 2.4% of the capital expenditures incurred in the previous month. After substantial completion of each Train, we will pay a fixed monthly fee of $541,667 (indexed for inflation) for services with respect to such Train. Natural Gas Supply Agreement We have entered into a natural gas supply contract to obtain feed gas for the operation of the Liquefaction Project with a related party in the ordinary course of business. The term of the agreement is for five years, which can commence no earlier than November 1, 2021 and no later than November 1, 2022, following the achievement of contractually-defined conditions precedent. LNG Site Sublease Agreement We have agreements with SPLNG to sublease a portion of the Sabine Pass LNG terminal site for the Liquefaction Project . The aggregate annual sublease payment is $1 million . The initial terms of the subleases expire on December 31, 2034, with options to renew for multiple periods of 10 years with similar terms as the initial terms. The annual sublease payments will be adjusted for inflation every five years based on a consumer price index, as defined in the sublease agreements. Cooperation Agreement We have a cooperation agreement with SPLNG that allows us to retain and acquire certain rights to access the property and facilities that are owned by SPLNG for the purpose of constructing, modifying and operating the Liquefaction Project . In consideration for access given to us, we have agreed to transfer to SPLNG title of certain facilities, equipment and modifications, which SPLNG is obligated to operate and maintain. The term of this agreement is consistent with our TUA described above. We conveyed $5 million in assets to SPLNG under this agreement during the six months ended June 30, 2020 . We did no t convey any assets to SPLNG under this agreement during the three months ended June 30, 2020 and three and six months ended June 30, 2019 . Contracts for Sale and Purchase of Natural Gas and LNG We have agreements with SPLNG, CTPL and CCL that allow us to sell and purchase natural gas and LNG with each party. Natural gas purchased under these agreements is initially recorded as inventory and then to cost of sales—affiliate upon its sale, except for purchases related to commissioning activities which are capitalized as LNG terminal construction-in-process. Natural gas sold under these agreements is recorded as LNG revenues—affiliate. State Tax Sharing Agreement We have a state tax sharing agreement with Cheniere. Under this agreement, Cheniere has agreed to prepare and file all state and local tax returns which we and Cheniere are required to file on a combined basis and to timely pay the combined state and local tax liability. If Cheniere, in its sole discretion, demands payment, we will pay to Cheniere an amount equal to the state and local tax that we would be required to pay if our state and local tax liability were calculated on a separate company basis. There have been no state and local taxes paid by Cheniere for which Cheniere could have demanded payment from us under this agreement; therefore, Cheniere has not demanded any such payments from us. The agreement is effective for tax returns due on or after August 2012. |
Customer Concentration
Customer Concentration | 6 Months Ended |
Jun. 30, 2020 | |
Risks and Uncertainties [Abstract] | |
Customer Concentration | CUSTOMER CONCENTRATION The following table shows customers with revenues of 10% or greater of total revenues from external customers and customers with accounts receivable, net balances of 10% or greater of total accounts receivable, net from external customers: Percentage of Total Revenues from External Customers Percentage of Accounts Receivable, Net from External Customers Three Months Ended June 30, Six Months Ended June 30, June 30, December 31, 2020 2019 2020 2019 2020 2019 Customer A 26% 32% 28% 32% 12% 22% Customer B 15% 21% 16% 21% * 13% Customer C 18% 21% 17% 20% 27% 22% Customer D 17% 24% 17% 24% 17% 13% Customer E * —% * —% 10% 13% Customer F 12% —% 12% —% 15% 14% * Less than 10% |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 6 Months Ended |
Jun. 30, 2020 | |
Supplemental Cash Flow Information [Abstract] | |
Supplemental Cash Flow Information | SUPPLEMENTAL CASH FLOW INFORMATION The following table provides supplemental disclosure of cash flow information (in millions): Six Months Ended June 30, 2020 2019 Cash paid during the period for interest, net of amounts capitalized $ 375 $ 282 Non-cash distributions to affiliates for conveyance of assets 5 348 The balance in property, plant and equipment, net funded with accounts payable and accrued liabilities (including affiliate) was $198 million and $683 million as of June 30, 2020 and 2019 , respectively. |
Nature of Operations and Basi_2
Nature of Operations and Basis of Presentation (Policies) | 6 Months Ended |
Jun. 30, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation, Policy | Basis of Presentation The accompanying unaudited Financial Statements of SPL have been prepared in accordance with GAAP for interim financial information and with Rule 10-01 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements and should be read in conjunction with the Financial Statements and accompanying notes included in our annual report on Form 10-K for the fiscal year ended December 31,2019. Certain reclassifications have been made to conform prior period information to the current presentation. The reclassifications did not have a material effect on our consolidated financial position, results of operations or cash flows. |
Income Taxes, Policy | We are a disregarded entity for federal and state income tax purposes. Our taxable income or loss, which may vary substantially from the net income reported on our Statements of Income, is able to be included in the federal income tax return of Cheniere Partners, a publicly traded partnership which indirectly owns us. Accordingly, no provision or liability for federal or state income taxes is included in the accompanying Financial Statements. |
Recent Accounting Standards | Recent Accounting Standards In March 2020, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting . This guidance primarily provides temporary optional expedients which simplify the accounting for contract modifications to existing debt agreements expected to arise from the market transition from LIBOR to alternative reference rates. The optional expedients were available to be used upon issuance of this guidance but we have not yet applied the guidance because we have not yet modified any of our existing contracts for reference rate reform. Once we apply an optional expedient to a modified contract and adopt this standard, the guidance will be applied to all subsequent applicable contract modifications until December 31, 2022, at which time the optional expedients are no longer available. |
Accounts and Other Receivables
Accounts and Other Receivables (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Receivables [Abstract] | |
Schedule of Accounts and Other Receivables | As of June 30, 2020 and December 31, 2019 , accounts and other receivables, net consisted of the following (in millions): June 30, December 31, 2020 2019 Trade receivable $ 245 $ 283 Other accounts receivable 42 9 Total accounts and other receivables, net $ 287 $ 292 |
Inventory (Tables)
Inventory (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory | As of June 30, 2020 and December 31, 2019 , inventory consisted of the following (in millions): June 30, December 31, 2020 2019 Natural gas $ 12 $ 9 LNG 6 27 Materials and other 70 67 Total inventory $ 88 $ 103 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | As of June 30, 2020 and December 31, 2019 , property, plant and equipment, net consisted of the following (in millions): June 30, December 31, 2020 2019 LNG terminal costs LNG terminal $ 13,729 $ 13,736 LNG terminal construction-in-process 1,685 1,222 Accumulated depreciation (1,333 ) (1,104 ) Total LNG terminal costs, net 14,081 13,854 Fixed assets Fixed assets 19 18 Accumulated depreciation (13 ) (11 ) Total fixed assets, net 6 7 Property, plant and equipment, net $ 14,087 $ 13,861 |
Derivative Instruments (Tables)
Derivative Instruments (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Fair Value of Derivative Assets and Liabilities | The following table shows the fair value of our derivative instruments that are required to be measured at fair value on a recurring basis as of June 30, 2020 and December 31, 2019 , which are classified as derivative assets , non-current derivative assets , derivative liabilities or non-current derivative liabilities in our Balance Sheets (in millions): Fair Value Measurements as of June 30, 2020 December 31, 2019 Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Liquefaction Supply Derivatives asset (liability) $ 3 $ (4 ) $ 51 $ 50 $ 3 $ (3 ) $ 24 $ 24 |
Fair Value Measurement Inputs and Valuation Techniques | The following table includes quantitative information for the unobservable inputs for our Level 3 Physical Liquefaction Supply Derivatives as of June 30, 2020 : Net Fair Value Asset (in millions) Valuation Approach Significant Unobservable Input Range of Significant Unobservable Inputs / Weighted Average (1) Physical Liquefaction Supply Derivatives $51 Market approach incorporating present value techniques Henry Hub basis spread $(0.350) - $0.172 / $0.008 (1) Unobservable inputs were weighted by the relative fair value of the instruments. |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation | The following table shows the changes in the fair value of our Level 3 Physical Liquefaction Supply Derivatives during the three and six months ended June 30, 2020 and 2019 (in millions): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Balance, beginning of period $ 49 $ 29 $ 24 $ (25 ) Realized and mark-to-market gains: Included in cost of sales 4 3 32 16 Purchases and settlements: Purchases (1 ) 1 — — Settlements (1 ) 1 (6 ) 43 Transfers out of Level 3 (1) — — 1 — Balance, end of period $ 51 $ 34 $ 51 $ 34 Change in unrealized gains relating to instruments still held at end of period $ 4 $ 3 $ 32 $ 16 (1) Transferred to Level 2 as a result of observable market for the underlying natural gas purchase agreements. |
Fair Value of Derivative Instruments by Balance Sheet Location | The following table shows the fair value and location of our Liquefaction Supply Derivatives on our Balance Sheets (in millions): Fair Value Measurements as of (1) Balance Sheets Location June 30, 2020 December 31, 2019 Derivative assets $ 20 $ 17 Non-current derivative assets 37 32 Total derivative assets 57 49 Derivative liabilities (6 ) (9 ) Non-current derivative liabilities (1 ) (16 ) Total derivative liabilities (7 ) (25 ) Derivative asset, net $ 50 $ 24 (1) Does not include collateral posted with counterparties by us of $2 million for such contracts, which are included in other current assets in our Balance Sheets as of both June 30, 2020 and December 31, 2019 . Includes a natural gas supply contract that we have with a related party, which had a fair value of zero as of June 30, 2020 . |
Derivative Instruments, Gain (Loss) | The following table shows the changes in the fair value, settlements and location of our Liquefaction Supply Derivatives recorded on our Statements of Income during the three and six months ended June 30, 2020 and 2019 (in millions): Statements of Income Location (1) Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Liquefaction Supply Derivatives gain (loss) LNG revenues $ (4 ) $ — $ (4 ) $ 1 Liquefaction Supply Derivatives gain Cost of sales 12 7 33 83 (1) Does not include the realized value associated with derivative instruments that settle through physical delivery. Fair value fluctuations associated with commodity derivative activities are classified and presented consistently with the item economically hedged and the nature and intent of the derivative instrument. |
Derivative Net Presentation on Balance Sheets | The following table shows the fair value of our derivatives outstanding on a gross and net basis (in millions): Gross Amounts Recognized Gross Amounts Offset in the Balance Sheets Net Amounts Presented in the Balance Sheets Offsetting Derivative Assets (Liabilities) As of June 30, 2020 Liquefaction Supply Derivatives $ 62 $ (5 ) $ 57 Liquefaction Supply Derivatives (10 ) 3 (7 ) As of December 31, 2019 Liquefaction Supply Derivatives $ 51 $ (2 ) $ 49 Liquefaction Supply Derivatives (27 ) 2 (25 ) |
Other Non-Current Assets (Table
Other Non-Current Assets (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Other Assets, Noncurrent [Abstract] | |
Schedule of Other Non-Current Assets | As of June 30, 2020 and December 31, 2019 , other non-current assets, net consisted of the following (in millions): June 30, December 31, 2020 2019 Advances made to municipalities for water system enhancements $ 86 $ 87 Advances and other asset conveyances to third parties to support LNG terminal 34 35 Operating lease assets 20 21 Information technology service prepayments 5 6 Advances made under EPC and non-EPC contracts 6 15 Other 7 1 Total other non-current assets, net $ 158 $ 165 |
Accrued Liabilities (Tables)
Accrued Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Accrued Liabilities, Current [Abstract] | |
Schedule of Accrued Liabilities | As of June 30, 2020 and December 31, 2019 , accrued liabilities consisted of the following (in millions): June 30, December 31, 2020 2019 Interest costs and related debt fees $ 152 $ 186 Accrued natural gas purchases 122 325 Liquefaction Project costs 53 116 Other accrued liabilities 3 2 Total accrued liabilities $ 330 $ 629 |
Debt (Tables)
Debt (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Debt Disclosure [Abstract] | |
Schedule of Debt Instruments | As of June 30, 2020 and December 31, 2019 , our debt consisted of the following (in millions): June 30, December 31, 2020 2019 Long-term debt 5.625% Senior Secured Notes due 2021 (“2021 Senior Notes”) $ — $ 2,000 6.25% Senior Secured Notes due 2022 (“2022 Senior Notes”) 1,000 1,000 5.625% Senior Secured Notes due 2023 (“2023 Senior Notes”) 1,500 1,500 5.75% Senior Secured Notes due 2024 (“2024 Senior Notes”) 2,000 2,000 5.625% Senior Secured Notes due 2025 (“2025 Senior Notes”) 2,000 2,000 5.875% Senior Secured Notes due 2026 (“2026 Senior Notes”) 1,500 1,500 5.00% Senior Secured Notes due 2027 (“2027 Senior Notes”) 1,500 1,500 4.200% Senior Secured Notes due 2028 (“2028 Senior Notes”) 1,350 1,350 4.500% Senior Secured Notes due 2030 (“2030 Senior Notes”) 2,000 — 5.00% Senior Secured Notes due 2037 (“2037 Senior Notes”) 800 800 $1.2 billion Working Capital Facility executed in 2020 (“2020 Working Capital Facility”) — — Unamortized discount, premium and debt issuance costs, net (142 ) (126 ) Total long-term debt, net 13,508 13,524 Current debt $1.2 billion Working Capital Facility executed in 2015 (“2015 Working Capital Facility”) — — Total debt, net $ 13,508 $ 13,524 |
Schedule of Line of Credit Facilities | Below is a summary of our 2020 Working Capital Facility as of June 30, 2020 (in millions): 2020 Working Capital Facility Original facility size $ 1,200 Less: Outstanding balance — Letters of credit issued 409 Available commitment $ 791 Interest rate on available balance LIBOR plus 1.125% - 1.750% or base rate plus 0.125% - 0.750% Weighted average interest rate of outstanding balance n/a Maturity date March 19, 2025 |
Schedule of Interest Expense | Total interest expense, net of capitalized interest consisted of the following (in millions): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Total interest cost $ 202 $ 198 $ 400 $ 395 Capitalized interest (21 ) (7 ) (41 ) (54 ) Total interest expense, net of capitalized interest $ 181 $ 191 $ 359 $ 341 |
Schedule of Carrying Values and Estimated Fair Values of Debt Instruments | The following table shows the carrying amount and estimated fair value of our debt (in millions): June 30, 2020 December 31, 2019 Carrying Amount Estimated Fair Value Carrying Amount Estimated Fair Value Senior notes (1) $ 12,850 $ 14,363 $ 12,850 $ 14,050 2037 Senior Notes (2) 800 948 800 934 Working Capital Facility (3) — — — — (1) Includes the Senior Notes , except the 2037 Senior Notes . The Level 2 estimated fair value was based on quotes obtained from broker-dealers or market makers of these senior notes and other similar instruments. (2) The Level 3 estimated fair value was calculated based on inputs that are observable in the market or that could be derived from, or corroborated with, observable market data, including interest rates based on debt issued by parties with comparable credit ratings to us and inputs that are not observable in the market. (3) Includes 2015 Working Capital Facility and 2020 Working Capital Facility |
Revenues from Contracts with _2
Revenues from Contracts with Customers (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The following table represents a disaggregation of revenue earned from contracts with customers during the three and six months ended June 30, 2020 and 2019 (in millions): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 LNG revenues (1) $ 1,336 $ 1,171 $ 2,785 $ 2,537 LNG revenues—affiliate 61 455 249 760 Total revenues from customers 1,397 1,626 3,034 3,297 Net derivative gains (losses) (2) (4 ) — (4 ) 1 Total revenues $ 1,393 $ 1,626 $ 3,030 $ 3,298 (1) LNG revenues include revenues for LNG cargoes in which our customers exercised their contractual right to not take delivery but remained obligated to pay fixed fees irrespective of such election. LNG revenues during the three and six months ended June 30, 2020 included $388 million and $404 million , respectively, in revenues associated with LNG cargoes for which customers have notified us that they will not take delivery , of which $244 million would have otherwise been recognized subsequent to June 30, 2020, if the cargoes were lifted pursuant to the delivery schedules with the customers. LNG revenues during the three months ended June 30, 2020 excluded $16 million that would have otherwise been recognized during the quarter if the cargoes were lifted pursuant to the delivery schedules with the customers. Revenue is generally recognized upon receipt of irrevocable notice that a customer will not take delivery because our customers have no contractual right to take delivery of such LNG cargo in future periods and our performance obligations with respect to such LNG cargo have been satisfied. (2) See Note 6—Derivative Instruments for additional information about our derivatives. |
Contract Balances Reconciliation | The following table reflects the changes in our contract liabilities, which we classify as deferred revenue on our Balance Sheets (in millions): Six Months Ended June 30, 2020 Deferred revenues, beginning of period $ 132 Cash received but not yet recognized — Revenue recognized from prior period deferral (132 ) Deferred revenues, end of period $ — |
Transaction Price Allocated to Future Performance Obligations | The following table discloses the aggregate amount of the transaction price that is allocated to performance obligations that have not yet been satisfied as of June 30, 2020 and December 31, 2019 : June 30, 2020 December 31, 2019 Unsatisfied Transaction Price (in billions) Weighted Average Recognition Timing (years) (1) Unsatisfied Weighted Average Recognition Timing (years) (1) LNG revenues $ 53.3 9 $ 55.0 10 (1) The weighted average recognition timing represents an estimate of the number of years during which we shall have recognized half of the unsatisfied transaction price. |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Related Party Transactions [Abstract] | |
Schedule of Related Party Transactions | Below is a summary of our related party transactions as reported on our Statements of Income for the three and six months ended June 30, 2020 and 2019 (in millions): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 LNG revenues—affiliate Cheniere Marketing Agreements $ 59 $ 455 $ 241 $ 760 Contracts for Sale and Purchase of Natural Gas and LNG 2 — 8 — Total LNG revenues—affiliate 61 455 249 760 Cost of sales—affiliate Cargo loading fees under TUA 7 9 18 18 Contracts for Sale and Purchase of Natural Gas and LNG 4 — 5 — Total cost of sales—affiliate 11 9 23 18 Operating and maintenance expense—affiliate TUA 66 67 133 131 Natural Gas Transportation Agreement 21 21 41 40 Services Agreements 37 27 63 51 LNG Site Sublease Agreement 1 — 1 — Total operating and maintenance expense—affiliate 125 115 238 222 General and administrative expense—affiliate Services Agreements 19 21 37 36 |
Customer Concentration (Tables)
Customer Concentration (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Risks and Uncertainties [Abstract] | |
Schedule of Revenue and Accounts Receivable by Major Customers | The following table shows customers with revenues of 10% or greater of total revenues from external customers and customers with accounts receivable, net balances of 10% or greater of total accounts receivable, net from external customers: Percentage of Total Revenues from External Customers Percentage of Accounts Receivable, Net from External Customers Three Months Ended June 30, Six Months Ended June 30, June 30, December 31, 2020 2019 2020 2019 2020 2019 Customer A 26% 32% 28% 32% 12% 22% Customer B 15% 21% 16% 21% * 13% Customer C 18% 21% 17% 20% 27% 22% Customer D 17% 24% 17% 24% 17% 13% Customer E * —% * —% 10% 13% Customer F 12% —% 12% —% 15% 14% * Less than 10% |
Supplemental Cash Flow Inform_2
Supplemental Cash Flow Information (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Supplemental Cash Flow Information [Abstract] | |
Schedule of Cash Flow, Supplemental Disclosures | The following table provides supplemental disclosure of cash flow information (in millions): Six Months Ended June 30, 2020 2019 Cash paid during the period for interest, net of amounts capitalized $ 375 $ 282 Non-cash distributions to affiliates for conveyance of assets 5 348 |
Nature of Operations and Basi_3
Nature of Operations and Basis of Presentation (Details) | 6 Months Ended |
Jun. 30, 2020USD ($)milliontonnes / yrtrains | |
Nature of Operations and Basis of Presentation [Line Items] | |
Income Tax Expense (Benefit) | $ | $ 0 |
Sabine Pass LNG Terminal [Member] | |
Nature of Operations and Basis of Presentation [Line Items] | |
Number of Liquefaction LNG Trains Operating | 5 |
Number of Liquefaction LNG Trains Constructing | 1 |
Total Production Capability | milliontonnes / yr | 30 |
Restricted Cash (Details)
Restricted Cash (Details) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Restricted Cash and Cash Equivalents Items [Line Items] | ||
Restricted cash | $ 167 | $ 181 |
SPL Project [Member] | ||
Restricted Cash and Cash Equivalents Items [Line Items] | ||
Restricted cash | $ 167 | $ 181 |
Accounts and Other Receivable_2
Accounts and Other Receivables (Details) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Receivables [Abstract] | ||
Trade receivable | $ 245 | $ 283 |
Other accounts receivable | 42 | 9 |
Total accounts and other receivables, net | $ 287 | $ 292 |
Inventory (Details)
Inventory (Details) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Inventory [Line Items] | ||
Inventory | $ 88 | $ 103 |
Natural gas [Member] | ||
Inventory [Line Items] | ||
Inventory | 12 | 9 |
LNG [Member] | ||
Inventory [Line Items] | ||
Inventory | 6 | 27 |
Materials and other [Member] | ||
Inventory [Line Items] | ||
Inventory | $ 70 | $ 67 |
Property, Plant and Equipment -
Property, Plant and Equipment - Schedule of Property, Plant and Equipment (Details) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, net | $ 14,087 | $ 13,861 |
LNG terminal costs [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Accumulated depreciation | (1,333) | (1,104) |
Property, plant and equipment, net | 14,081 | 13,854 |
LNG terminal [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 13,729 | 13,736 |
LNG terminal construction-in-process [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 1,685 | 1,222 |
Fixed assets [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 19 | 18 |
Accumulated depreciation | (13) | (11) |
Property, plant and equipment, net | $ 6 | $ 7 |
Property, Plant and Equipment_2
Property, Plant and Equipment - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Property, Plant and Equipment [Abstract] | ||||
Depreciation expense | $ 115 | $ 118 | $ 231 | $ 212 |
Offsets to LNG terminal costs | $ 0 | $ 0 | $ 0 | $ 48 |
Derivative Instruments - Narrat
Derivative Instruments - Narrative (Details) - tbtu | 6 Months Ended | |
Jun. 30, 2020 | Dec. 31, 2019 | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Nonmonetary Notional Amount | 4,808 | 3,663 |
Natural Gas Supply Agreement [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Nonmonetary Notional Amount | 91 | 0 |
Physical Liquefaction Supply Derivatives [Member] | Maximum [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative, Term of Contract | 9 years |
Derivative Instruments - Fair V
Derivative Instruments - Fair Value of Derivative Assets and Liabilities (Details) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Assets (Liabilities), at Fair Value, Net | $ 50 | $ 24 |
Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Assets (Liabilities), at Fair Value, Net | 3 | 3 |
Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Assets (Liabilities), at Fair Value, Net | (4) | (3) |
Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Assets (Liabilities), at Fair Value, Net | $ 51 | $ 24 |
Derivative Instruments - Fair_2
Derivative Instruments - Fair Value Inputs - Quantitative Information (Details) - USD ($) | 6 Months Ended | ||
Jun. 30, 2020 | Dec. 31, 2019 | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Net Fair Value Asset | $ 50,000,000 | $ 24,000,000 | |
Fair Value, Inputs, Level 3 [Member] | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Net Fair Value Asset | 51,000,000 | $ 24,000,000 | |
Physical Liquefaction Supply Derivatives [Member] | Fair Value, Inputs, Level 3 [Member] | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Net Fair Value Asset | 51,000,000 | ||
Physical Liquefaction Supply Derivatives [Member] | Minimum [Member] | Fair Value, Inputs, Level 3 [Member] | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Significant Unobservable Inputs Range | [1] | (0.350) | |
Physical Liquefaction Supply Derivatives [Member] | Maximum [Member] | Fair Value, Inputs, Level 3 [Member] | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Significant Unobservable Inputs Range | [1] | 0.172 | |
Physical Liquefaction Supply Derivatives [Member] | Weighted Average [Member] | Fair Value, Inputs, Level 3 [Member] | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Significant Unobservable Inputs Range | [1] | $ 0.008 | |
[1] | Unobservable inputs were weighted by the relative fair value of the instruments. |
Derivative Instruments - Schedu
Derivative Instruments - Schedule of Level 3 Activity (Details) - Physical Liquefaction Supply Derivatives [Member] - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||||
Balance, beginning of period | $ 49 | $ 29 | $ 24 | $ (25) | |
Realized and mark-to-market gains: | |||||
Included in cost of sales | 4 | 3 | 32 | 16 | |
Purchases and settlements: | |||||
Purchases | (1) | 1 | 0 | 0 | |
Settlements | (1) | 1 | (6) | 43 | |
Transfers out of Level 3 | [1] | 0 | 0 | 1 | 0 |
Balance, end of period | 51 | 34 | 51 | 34 | |
Change in unrealized gains relating to instruments still held at end of period | $ 4 | $ 3 | $ 32 | $ 16 | |
[1] | Transferred to Level 2 as a result of observable market for the underlying natural gas purchase agreements. |
Derivative Instruments - Fair_3
Derivative Instruments - Fair Value of Derivative Instruments by Balance Sheet Location (Details) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 | |
Derivatives, Fair Value [Line Items] | |||
Derivative assets | $ 20 | $ 17 | |
Non-current derivative assets | 37 | 32 | |
Total derivative assets | [1] | 57 | 49 |
Derivative liabilities | (6) | (9) | |
Non-current derivative liabilities | (1) | (16) | |
Total derivative liabilities | [1] | (7) | (25) |
Derivative asset (liability), net | [1] | 50 | 24 |
Derivative, collateral posted by us | 2 | 2 | |
Natural Gas Supply Agreement [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Derivative asset (liability), net | 0 | ||
Derivative assets [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Derivative assets | [1] | 20 | 17 |
Non-current derivative assets [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Non-current derivative assets | [1] | 37 | 32 |
Derivative liabilities [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Derivative liabilities | [1] | (6) | (9) |
Non-current derivative liabilities [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Non-current derivative liabilities | [1] | $ (1) | $ (16) |
[1] | Does not include collateral posted with counterparties by us of $2 million for such contracts, which are included in other current assets in our Balance Sheets as of both June 30, 2020 and December 31, 2019 . Includes a natural gas supply contract that we have with a related party, which had a fair value of zero as of June 30, 2020 . |
Derivative Instruments - Deriva
Derivative Instruments - Derivative Gain (Loss) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | ||
LNG revenues [Member] | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Derivative gain (loss), net | [1] | $ (4) | $ 0 | $ (4) | $ 1 |
Cost of sales [Member] | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Derivative gain (loss), net | [1] | $ 12 | $ 7 | $ 33 | $ 83 |
[1] | Does not include the realized value associated with derivative instruments that settle through physical delivery. Fair value fluctuations associated with commodity derivative activities are classified and presented consistently with the item economically hedged and the nature and intent of the derivative instrument. |
Derivative Instruments - Deri_2
Derivative Instruments - Derivative Net Presentation on Balance Sheets (Details) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Derivative [Line Items] | ||
Net Amounts Presented in our Balance Sheets | $ 50 | $ 24 |
Liquefaction Supply Derivatives Asset [Member] | ||
Derivative [Line Items] | ||
Derivative Asset, Gross Amounts Recognized | 62 | 51 |
Derivative Asset, Gross Amounts Offset in the Balance Sheets | (5) | (2) |
Net Amounts Presented in our Balance Sheets | 57 | 49 |
Liquefaction Supply Derivatives Liability [Member] | ||
Derivative [Line Items] | ||
Derivative Liability, Gross Amounts Recognized | (10) | (27) |
Derivative Liability, Gross Amounts Offset in the Balance Sheets | 3 | 2 |
Net Amounts Presented in our Balance Sheets | $ (7) | $ (25) |
Other Non-Current Assets (Detai
Other Non-Current Assets (Details) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Other Assets, Noncurrent [Abstract] | ||
Advances made to municipalities for water system enhancements | $ 86 | $ 87 |
Advances and other asset conveyances to third parties to support LNG terminal | 34 | 35 |
Operating lease assets | 20 | 21 |
Information technology service prepayments | 5 | 6 |
Advances made under EPC and non-EPC contracts | 6 | 15 |
Other | 7 | 1 |
Other non-current assets, net | $ 158 | $ 165 |
Accrued Liabilities (Details)
Accrued Liabilities (Details) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Accrued Liabilities, Current [Abstract] | ||
Interest costs and related debt fees | $ 152 | $ 186 |
Accrued natural gas purchases | 122 | 325 |
Liquefaction Project costs | 53 | 116 |
Other accrued liabilities | 3 | 2 |
Total accrued liabilities | $ 330 | $ 629 |
Debt - Schedule of Debt Instrum
Debt - Schedule of Debt Instruments (Details) - USD ($) | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 |
Debt Instrument [Line Items] | |||
Long-term Debt, Net | $ 13,508,000,000 | $ 13,524,000,000 | |
Total Debt, Net | 13,508,000,000 | 13,524,000,000 | |
Long-term Debt [Member] | |||
Debt Instrument [Line Items] | |||
Unamortized discount, premium and debt issuance costs, net | (142,000,000) | (126,000,000) | |
2021 Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Long-term Debt, Gross | $ 0 | 2,000,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 5.625% | ||
2022 Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Long-term Debt, Gross | $ 1,000,000,000 | 1,000,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 6.25% | ||
2023 Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Long-term Debt, Gross | $ 1,500,000,000 | 1,500,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 5.625% | ||
2024 Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Long-term Debt, Gross | $ 2,000,000,000 | 2,000,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 5.75% | ||
2025 Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Long-term Debt, Gross | $ 2,000,000,000 | 2,000,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 5.625% | ||
2026 Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Long-term Debt, Gross | $ 1,500,000,000 | 1,500,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 5.875% | ||
2027 Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Long-term Debt, Gross | $ 1,500,000,000 | 1,500,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 5.00% | ||
2028 Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Long-term Debt, Gross | $ 1,350,000,000 | 1,350,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 4.20% | ||
2030 Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Long-term Debt, Gross | $ 2,000,000,000 | 0 | |
Debt Instrument, Interest Rate, Stated Percentage | 4.50% | ||
2037 Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Long-term Debt, Gross | $ 800,000,000 | 800,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 5.00% | ||
2020 Working Capital Facility [Member] | |||
Debt Instrument [Line Items] | |||
Long-term Debt, Gross | $ 0 | 0 | |
Line of Credit Facility, Maximum Borrowing Capacity | 1,200,000,000 | $ 1,200,000,000 | |
2015 Working Capital Facility [Member] | |||
Debt Instrument [Line Items] | |||
Current debt | 0 | $ 0 | |
Line of Credit Facility, Maximum Borrowing Capacity | $ 1,200,000,000 |
Debt Debt - Material Debt Activ
Debt Debt - Material Debt Activities (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | May 31, 2020 | |
Debt Instrument [Line Items] | |||||
Loss on modification or extinguishment of debt | $ (42) | $ 0 | $ (43) | $ 0 | |
2030 Senior Notes [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, Face Amount | $ 2,000 | ||||
Loss on modification or extinguishment of debt | $ 43 | $ 43 | |||
Debt Instrument, Interest Rate, Stated Percentage | 4.50% | 4.50% | |||
Debt Instrument, Redemption Price, Percentage | 100.00% | ||||
Debt Instrument Registration Period | 360 days |
Debt - Credit Facilities (Detai
Debt - Credit Facilities (Details) - USD ($) | 6 Months Ended | |||||
Jun. 30, 2020 | Jun. 30, 2020 | Jun. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | |
2020 Working Capital Facility [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 1,200,000,000 | $ 1,200,000,000 | $ 1,200,000,000 | $ 1,200,000,000 | $ 1,200,000,000 | |
Original facility size | 1,200,000,000 | 1,200,000,000 | 1,200,000,000 | 1,200,000,000 | ||
Outstanding balance | 0 | 0 | 0 | 0 | $ 0 | |
Letters of credit issued | 409,000,000 | 409,000,000 | 409,000,000 | 409,000,000 | ||
Available commitment | $ 791,000,000 | $ 791,000,000 | 791,000,000 | $ 791,000,000 | ||
Debt Instrument, Description of Variable Rate Basis | LIBOR or base rate | |||||
Debt Instrument, Maturity Date | Mar. 19, 2025 | |||||
2020 Working Capital Facility [Member] | Minimum [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of Credit Facility, Commitment Fee Percentage | 0.10% | |||||
Debt Instrument, Debt Service Reserve Ratio | 1.25 | |||||
2020 Working Capital Facility [Member] | Maximum [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of Credit Facility Additional Permitted Increase | 800,000,000 | |||||
Line of Credit Facility, Commitment Fee Percentage | 0.30% | |||||
2020 Working Capital Facility [Member] | London Interbank Offered Rate (LIBOR) [Member] | Minimum [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Debt Instrument, Basis Spread on Variable Rate | 1.125% | 1.125% | ||||
2020 Working Capital Facility [Member] | London Interbank Offered Rate (LIBOR) [Member] | Maximum [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Debt Instrument, Basis Spread on Variable Rate | 1.75% | 1.75% | ||||
2020 Working Capital Facility [Member] | Base Rate [Member] | Minimum [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Debt Instrument, Basis Spread on Variable Rate | 0.125% | 0.125% | ||||
2020 Working Capital Facility [Member] | Base Rate [Member] | Maximum [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Debt Instrument, Basis Spread on Variable Rate | 0.75% | 0.75% | ||||
2020 Working Capital Facility [Member] | Base Rate Determination Federal Funds Rate [Member] | Base Rate [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Debt Instrument, Basis Spread on Variable Rate | 0.50% | |||||
2020 Working Capital Facility [Member] | Base Rate Determination LIBOR [Member] | Base Rate [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Debt Instrument, Basis Spread on Variable Rate | 1.00% | |||||
2020 Working Capital Facility, Letter of Credit [Member] | Drawn Portion [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Long-term Line of Credit | $ 0 | $ 0 | $ 0 | $ 0 |
Debt - Interest Expense (Detail
Debt - Interest Expense (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Debt Disclosure [Abstract] | ||||
Total interest cost | $ 202 | $ 198 | $ 400 | $ 395 |
Capitalized interest | (21) | (7) | (41) | (54) |
Total interest expense, net of capitalized interest | $ 181 | $ 191 | $ 359 | $ 341 |
Debt - Schedule of Carrying Val
Debt - Schedule of Carrying Values and Estimated Fair Values of Debt Instruments (Details) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Debt, Carrying Value | $ 13,508 | $ 13,524 | |
Senior Notes [Member] | Carrying Amount [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Debt, Carrying Value | [1] | 12,850 | 12,850 |
Senior Notes [Member] | Estimated Fair Value [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Senior Notes, Estimated Fair Value | [1] | 14,363 | 14,050 |
2037 Senior Notes [Member] | Carrying Amount [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Debt, Carrying Value | [2] | 800 | 800 |
2037 Senior Notes [Member] | Estimated Fair Value [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Senior Notes, Estimated Fair Value | [2] | 948 | 934 |
Working Capital Facility [Member] | Carrying Amount [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Debt, Carrying Value | [3] | 0 | 0 |
Working Capital Facility [Member] | Estimated Fair Value [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Lines of Credit, Fair Value Disclosure | [3] | $ 0 | $ 0 |
[1] | Includes the Senior Notes , except the 2037 Senior Notes . The Level 2 estimated fair value was based on quotes obtained from broker-dealers or market makers of these senior notes and other similar instruments. | ||
[2] | The Level 3 estimated fair value was calculated based on inputs that are observable in the market or that could be derived from, or corroborated with, observable market data, including interest rates based on debt issued by parties with comparable credit ratings to us and inputs that are not observable in the market. | ||
[3] | Includes 2015 Working Capital Facility and 2020 Working Capital Facility |
Revenues from Contracts with _3
Revenues from Contracts with Customers - Narrative (Details) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
LNG [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue, Variable Consideration Received From Customers, Percentage | 29.00% | 53.00% | 37.00% | 55.00% |
Revenues from Contracts with _4
Revenues from Contracts with Customers - Schedule of Disaggregation of Revenue (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | ||
Disaggregation of Revenue [Line Items] | |||||
Revenues from contracts with customers | $ 1,397 | $ 1,626 | $ 3,034 | $ 3,297 | |
Net derivative gains (losses) | [1] | (4) | 0 | (4) | 1 |
Revenues | 1,393 | 1,626 | 3,030 | 3,298 | |
LNG [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Revenues from contracts with customers | [2] | 1,336 | 1,171 | 2,785 | 2,537 |
Revenues | 1,332 | 1,171 | 2,781 | 2,538 | |
Suspension Fees and LNG Cover Damages Revenue [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Revenues from contracts with customers | 388 | 404 | |||
Suspension Fees and LNG Cover Damages Revenue [Member] | Subsequent Period [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Revenues from contracts with customers | 244 | 244 | |||
Suspension Fees and LNG Cover Damages Revenue [Member] | Current Period [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Accelerated Revenue From Contract With Customers, Recognized in Prior Period | 16 | ||||
LNG—affiliate [Member] | |||||
Disaggregation of Revenue [Line Items] | |||||
Revenues from contracts with customers | $ 61 | $ 455 | $ 249 | $ 760 | |
[1] | See Note 6—Derivative Instruments for additional information about our derivatives. | ||||
[2] | LNG revenues include revenues for LNG cargoes in which our customers exercised their contractual right to not take delivery but remained obligated to pay fixed fees irrespective of such election. LNG revenues during the three and six months ended June 30, 2020 included $388 million and $404 million , respectively, in revenues associated with LNG cargoes for which customers have notified us that they will not take delivery , of which $244 million would have otherwise been recognized subsequent to June 30, 2020, if the cargoes were lifted pursuant to the delivery schedules with the customers. LNG revenues during the three months ended June 30, 2020 excluded $16 million that would have otherwise been recognized during the quarter if the cargoes were lifted pursuant to the delivery schedules with the customers. Revenue is generally recognized upon receipt of irrevocable notice that a customer will not take delivery because our customers have no contractual right to take delivery of such LNG cargo in future periods and our performance obligations with respect to such LNG cargo have been satisfied. |
Revenues from Contracts with _5
Revenues from Contracts with Customers - Schedule of Deferred Revenue Reconciliation (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2020USD ($) | |
Change In Contract With Customer, Liability [Roll Forward] | |
Deferred revenues, beginning of period | $ 132 |
Cash received but not yet recognized | 0 |
Revenue recognized from prior period deferral | (132) |
Deferred revenues, end of period | $ 0 |
Revenues from Contracts with _6
Revenues from Contracts with Customers - Schedule of Transaction Price Allocated to Future Performance Obligations (Details) - LNG [Member] - USD ($) $ in Billions | Jun. 30, 2020 | Dec. 31, 2019 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-01-01 | |||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |||
Unsatisfied Transaction Price | $ 55 | ||
Weighted Average Recognition Timing | [1] | 10 years | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-07-01 | |||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |||
Unsatisfied Transaction Price | $ 53.3 | ||
Weighted Average Recognition Timing | [1] | 9 years | |
[1] | The weighted average recognition timing represents an estimate of the number of years during which we shall have recognized half of the unsatisfied transaction price. |
Related Party Transactions - Sc
Related Party Transactions - Schedule of Related Party Transactions (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Related Party Transaction [Line Items] | ||||
LNG revenues—affiliate | $ 61 | $ 455 | $ 249 | $ 760 |
Cost of sales—affiliate | 11 | 9 | 23 | 18 |
Operating and maintenance expense—affiliate | 125 | 115 | 238 | 222 |
General and administrative expense—affiliate | 19 | 21 | 37 | 36 |
Cheniere Marketing Agreements [Member] | ||||
Related Party Transaction [Line Items] | ||||
LNG revenues—affiliate | 59 | 455 | 241 | 760 |
Contracts for Sale and Purchase of Natural Gas And LNG [Member] | ||||
Related Party Transaction [Line Items] | ||||
LNG revenues—affiliate | 2 | 0 | 8 | 0 |
Cost of sales—affiliate | 4 | 0 | 5 | 0 |
Terminal Use Agreement [Member] | ||||
Related Party Transaction [Line Items] | ||||
Cost of sales—affiliate | 7 | 9 | 18 | 18 |
Operating and maintenance expense—affiliate | 66 | 67 | 133 | 131 |
Natural Gas Transportation Agreement [Member] | ||||
Related Party Transaction [Line Items] | ||||
Operating and maintenance expense—affiliate | 21 | 21 | 41 | 40 |
Service Agreements [Member] | ||||
Related Party Transaction [Line Items] | ||||
Operating and maintenance expense—affiliate | 37 | 27 | 63 | 51 |
General and administrative expense—affiliate | 19 | 21 | 37 | 36 |
LNG Site Sublease Agreement [Member] | ||||
Related Party Transaction [Line Items] | ||||
Operating and maintenance expense—affiliate | $ 1 | $ 0 | $ 1 | $ 0 |
Related Party Transactions - Na
Related Party Transactions - Narrative (Details) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020USD ($) | Jun. 30, 2019USD ($) | Jun. 30, 2020USD ($)bcf / ditemCargo | Jun. 30, 2019USD ($) | Dec. 31, 2019USD ($) | |
Related Party Transaction [Line Items] | |||||
Accounts receivable—affiliate | $ 2,000,000 | $ 2,000,000 | $ 104,000,000 | ||
Advances to affiliate | 117,000,000 | 117,000,000 | 133,000,000 | ||
Service Agreements [Member] | |||||
Related Party Transaction [Line Items] | |||||
Advances to affiliate | $ 117,000,000 | $ 117,000,000 | $ 133,000,000 | ||
SPLNG [Member] | Terminal Use Agreement [Member] | |||||
Related Party Transaction [Line Items] | |||||
Regasification Capacity | bcf / d | 2 | ||||
Related Party Transaction, Committed Annual Fee | $ 250,000,000 | ||||
SPLNG [Member] | LNG Site Sublease Agreement [Member] | |||||
Related Party Transaction [Line Items] | |||||
Annual Sublease Payment | $ 1,000,000 | ||||
Term of available extension | 10 years | 10 years | |||
Review Period for Inflation Adjustment | 5 years | ||||
SPLNG [Member] | Cooperation Agreement [Member] | |||||
Related Party Transaction [Line Items] | |||||
Assets conveyed under the agreement | $ 0 | $ 0 | $ 5,000,000 | $ 0 | |
Cheniere Investments [Member] | Operation and Maintenance Agreement [Member] | |||||
Related Party Transaction [Line Items] | |||||
Monthly fee as a percentage of capital expenditures incurred in the previous month | 0.60% | ||||
Related Party Transaction, Committed Monthly Fee | 83,333 | $ 83,333 | |||
Cheniere Marketing [Member] | Cheniere Marketing SPA [Member] | |||||
Related Party Transaction [Line Items] | |||||
LNG Volume, Purchase Price Percentage of Henry Hub | 115.00% | ||||
LNG Volume, Purchase Price | $ 3 | ||||
Cheniere Marketing [Member] | 2020 Letter Agreement [Member] | |||||
Related Party Transaction [Line Items] | |||||
LNG Volume, Purchase Price Percentage of Henry Hub | 115.00% | ||||
LNG Volume, Purchase Price | $ 1.67 | ||||
Cheniere Marketing [Member] | 2020 Letter Agreement [Member] | Maximum [Member] | |||||
Related Party Transaction [Line Items] | |||||
Contract Cargoes | Cargo | 43 | ||||
Cheniere Terminals [Member] | Management Services Agreement [Member] | |||||
Related Party Transaction [Line Items] | |||||
Monthly fee as a percentage of capital expenditures incurred in the previous month | 2.40% | ||||
Related Party Transaction, Committed Monthly Fee | $ 541,667 | $ 541,667 | |||
Cheniere [Member] | Tax Sharing Agreement [Member] | |||||
Related Party Transaction [Line Items] | |||||
Income Taxes Paid, Net | $ 0 | ||||
CTPL [Member] | Natural Gas Transportation Agreement [Member] | |||||
Related Party Transaction [Line Items] | |||||
Related Party Agreement Term | 20 years | ||||
Related Party Agreement, Termination Notice Period | 1 year | ||||
Related Party Agreement, Number Of Available Extensions | item | 2 | ||||
Related Party Agreement, Term Of Available Extension | 10 years |
Customer Concentration (Details
Customer Concentration (Details) | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | |
Customer A [Member] | Total Revenues from External Customers [Member] | |||||
Concentration Risk [Line Items] | |||||
Concentration Risk, Percentage | 26.00% | 32.00% | 28.00% | 32.00% | |
Customer A [Member] | Accounts Receivable, Net from External Customers [Member] | |||||
Concentration Risk [Line Items] | |||||
Concentration Risk, Percentage | 12.00% | 22.00% | |||
Customer B [Member] | Total Revenues from External Customers [Member] | |||||
Concentration Risk [Line Items] | |||||
Concentration Risk, Percentage | 15.00% | 21.00% | 16.00% | 21.00% | |
Customer B [Member] | Accounts Receivable, Net from External Customers [Member] | |||||
Concentration Risk [Line Items] | |||||
Concentration Risk, Percentage | 13.00% | ||||
Customer C [Member] | Total Revenues from External Customers [Member] | |||||
Concentration Risk [Line Items] | |||||
Concentration Risk, Percentage | 18.00% | 21.00% | 17.00% | 20.00% | |
Customer C [Member] | Accounts Receivable, Net from External Customers [Member] | |||||
Concentration Risk [Line Items] | |||||
Concentration Risk, Percentage | 27.00% | 22.00% | |||
Customer D [Member] | Total Revenues from External Customers [Member] | |||||
Concentration Risk [Line Items] | |||||
Concentration Risk, Percentage | 17.00% | 24.00% | 17.00% | 24.00% | |
Customer D [Member] | Accounts Receivable, Net from External Customers [Member] | |||||
Concentration Risk [Line Items] | |||||
Concentration Risk, Percentage | 17.00% | 13.00% | |||
Customer E [Member] | Total Revenues from External Customers [Member] | |||||
Concentration Risk [Line Items] | |||||
Concentration Risk, Percentage | 0.00% | 0.00% | |||
Customer E [Member] | Accounts Receivable, Net from External Customers [Member] | |||||
Concentration Risk [Line Items] | |||||
Concentration Risk, Percentage | 10.00% | 13.00% | |||
Customer F [Member] | Total Revenues from External Customers [Member] | |||||
Concentration Risk [Line Items] | |||||
Concentration Risk, Percentage | 12.00% | 0.00% | 12.00% | 0.00% | |
Customer F [Member] | Accounts Receivable, Net from External Customers [Member] | |||||
Concentration Risk [Line Items] | |||||
Concentration Risk, Percentage | 15.00% | 14.00% |
Supplemental Cash Flow Inform_3
Supplemental Cash Flow Information (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Supplemental Cash Flow Information [Abstract] | ||
Cash paid during the period for interest, net of amounts capitalized | $ 375 | $ 282 |
Non-cash distributions to affiliates for conveyance of assets | 5 | 348 |
Balance in property, plant and equipment, net funded with accounts payable and accrued liabilities (including affiliate) | $ 198 | $ 683 |