Cover
Cover | 9 Months Ended |
Sep. 30, 2022 shares | |
Cover [Abstract] | |
Document Type | 10-Q |
Document Quarterly Report | true |
Document Period End Date | Sep. 30, 2022 |
Document Transition Report | false |
Entity File Number | 001-35349 |
Entity Registrant Name | Phillips 66 |
Entity Incorporation, State or Country Code | DE |
Entity Tax Identification Number | 45-3779385 |
Entity Address, Address Line One | 2331 CityWest Blvd |
Entity Address, City or Town | Houston |
Entity Address, State or Province | TX |
Entity Address, Postal Zip Code | 77042 |
City Area Code | 832 |
Local Phone Number | 765-3010 |
Title of 12(b) Security | Common Stock, $0.01 Par Value |
Trading Symbol | PSX |
Security Exchange Name | NYSE |
Entity Current Reporting Status | Yes |
Entity Interactive Data Current | Yes |
Entity Filer Category | Large Accelerated Filer |
Entity Small Business | false |
Entity Emerging Growth Company | false |
Entity Shell Company | false |
Entity Common Stock, Shares Outstanding | 472,632,213 |
Entity Central Index Key | 0001534701 |
Current Fiscal Year End Date | --12-31 |
Document Fiscal Year Focus | 2022 |
Document Fiscal Period Focus | Q3 |
Amendment Flag | false |
Consolidated Statement of Incom
Consolidated Statement of Income - USD ($) shares in Thousands, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Revenues and Other Income | ||||
Sales and other operating revenues | $ 44,955 | $ 30,243 | $ 129,711 | $ 78,872 |
Equity in earnings of affiliates | 782 | 982 | 2,384 | 2,097 |
Net gain on dispositions | 1 | 9 | 2 | 11 |
Other income | 3,026 | 238 | 2,698 | 304 |
Total Revenues and Other Income | 48,764 | 31,472 | 134,795 | 81,284 |
Costs and Expenses | ||||
Purchased crude oil and products | 38,646 | 27,529 | 114,786 | 72,812 |
Operating expenses | 1,612 | 1,166 | 4,383 | 3,721 |
Selling, general and administrative expenses | 617 | 424 | 1,538 | 1,265 |
Depreciation and amortization | 430 | 361 | 1,127 | 1,081 |
Impairments | 0 | 1,298 | 2 | 1,496 |
Taxes other than income taxes | 133 | 85 | 400 | 343 |
Accretion on discounted liabilities | 5 | 6 | 17 | 18 |
Interest and debt expense | 158 | 151 | 426 | 440 |
Foreign currency transaction (gains) losses | 5 | 4 | 24 | (5) |
Total Costs and Expenses | 41,606 | 31,024 | 122,703 | 81,171 |
Income before income taxes | 7,158 | 448 | 12,092 | 113 |
Income tax expense (benefit) | 1,618 | (40) | 2,713 | (110) |
Net Income | 5,540 | 488 | 9,379 | 223 |
Less: net income attributable to noncontrolling interests | 149 | 86 | 239 | 179 |
Net Income Attributable to Phillips 66 | $ 5,391 | $ 402 | $ 9,140 | $ 44 |
Net Income Attributable to Phillips 66 Per Share of Common Stock (dollars) | ||||
Basic (in usd per share) | $ 11.19 | $ 0.91 | $ 19.37 | $ 0.08 |
Diluted (in usd per share) | $ 11.16 | $ 0.91 | $ 19.31 | $ 0.08 |
Weighted-Average Common Shares Outstanding (thousands) | ||||
Basic (in shares) | 481,388 | 440,193 | 471,375 | 439,880 |
Diluted (in shares) | 483,036 | 440,368 | 473,452 | 440,259 |
Consolidated Statement of Compr
Consolidated Statement of Comprehensive Income - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Statement of Comprehensive Income [Abstract] | ||||
Net Income | $ 5,540 | $ 488 | $ 9,379 | $ 223 |
Defined benefit plans | ||||
Net actuarial gain (loss) arising during the period | (4) | 0 | (17) | 210 |
Amortization of net actuarial loss, prior service credit and settlements | 42 | 36 | 93 | 105 |
Plans sponsored by equity affiliates | 9 | 4 | 15 | 33 |
Income taxes on defined benefit plans | (7) | (8) | (15) | (82) |
Defined benefit plans, net of income taxes | 40 | 32 | 76 | 266 |
Foreign currency translation adjustments | (305) | (74) | (632) | (70) |
Income taxes on foreign currency translation adjustments | 4 | 2 | 7 | 2 |
Foreign currency translation adjustments, net of income taxes | (301) | (72) | (625) | (68) |
Cash flow hedges | 0 | 0 | 0 | 3 |
Income taxes on hedging activities | 0 | 0 | 0 | (1) |
Hedging activities, net of income taxes | 0 | 0 | 0 | 2 |
Other Comprehensive Income (Loss), Net of Income Taxes | (261) | (40) | (549) | 200 |
Comprehensive Income | 5,279 | 448 | 8,830 | 423 |
Less: comprehensive income attributable to noncontrolling interests | 149 | 86 | 239 | 179 |
Comprehensive Income Attributable to Phillips 66 | $ 5,130 | $ 362 | $ 8,591 | $ 244 |
Consolidated Balance Sheet
Consolidated Balance Sheet - USD ($) $ in Millions | Sep. 30, 2022 | Dec. 31, 2021 |
Assets | ||
Cash and cash equivalents | $ 3,744 | $ 3,147 |
Accounts and notes receivable (net of allowances of $64 million in 2022 and $44 million in 2021) | 11,606 | 6,138 |
Accounts and notes receivable—related parties | 2,046 | 1,332 |
Inventories | 4,294 | 3,394 |
Prepaid expenses and other current assets | 1,580 | 686 |
Total Current Assets | 23,270 | 14,697 |
Investments and long-term receivables | 14,772 | 14,471 |
Net properties, plants and equipment | 34,962 | 22,435 |
Goodwill | 1,486 | 1,484 |
Intangibles | 845 | 813 |
Other assets | 2,004 | 1,694 |
Total Assets | 77,339 | 55,594 |
Liabilities | ||
Accounts payable | 11,449 | 7,629 |
Accounts payable—related parties | 868 | 832 |
Short-term debt | 1,032 | 1,489 |
Accrued income and other taxes | 1,836 | 1,254 |
Employee benefit obligations | 714 | 638 |
Other accruals | 1,983 | 959 |
Total Current Liabilities | 17,882 | 12,801 |
Long-term debt | 16,625 | 12,959 |
Asset retirement obligations and accrued environmental costs | 862 | 727 |
Deferred income taxes | 6,339 | 5,475 |
Employee benefit obligations | 1,021 | 1,055 |
Other liabilities and deferred credits | 1,301 | 940 |
Total Liabilities | 44,030 | 33,957 |
Equity | ||
Common stock (2,500,000,000 shares authorized at $0.01 par value) Issued (2022—651,844,773 shares; 2021—650,026,318 shares) Par value | 7 | 7 |
Capital in excess of par | 19,738 | 20,504 |
Treasury stock (at cost: 2022—179,212,560 shares; 2021—211,771,827 shares) | (14,526) | (17,116) |
Retained earnings | 24,008 | 16,216 |
Accumulated other comprehensive loss | (994) | (445) |
Total Stockholders’ Equity | 28,233 | 19,166 |
Noncontrolling interests | 5,076 | 2,471 |
Total Equity | 33,309 | 21,637 |
Total Liabilities and Equity | $ 77,339 | $ 55,594 |
Consolidated Balance Sheet (Par
Consolidated Balance Sheet (Parenthetical) - USD ($) $ in Millions | Sep. 30, 2022 | Dec. 31, 2021 |
Statement of Financial Position [Abstract] | ||
Allowance for credit losses | $ 64 | $ 44 |
Common stock authorized (in shares) | 2,500,000,000 | 2,500,000,000 |
Common stock, par value (in usd per share) | $ 0.01 | $ 0.01 |
Common stock issued (in shares) | 651,844,773 | 650,026,318 |
Treasury stock (in shares) | 179,212,560 | 211,771,827 |
Consolidated Statement of Cash
Consolidated Statement of Cash Flows - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2022 | Sep. 30, 2021 | |
Cash Flows From Operating Activities | ||
Net income | $ 9,379 | $ 223 |
Adjustments to reconcile net income to net cash provided by operating activities | ||
Depreciation and amortization | 1,127 | 1,081 |
Impairments | 2 | 1,496 |
Accretion on discounted liabilities | 17 | 18 |
Deferred income taxes | 1,146 | (290) |
Undistributed equity earnings | (985) | (78) |
Net gain on dispositions | (2) | (5) |
Gain related to merger of businesses | (3,013) | 0 |
Unrealized investment (gain) loss | 418 | (224) |
Other | 15 | 289 |
Working capital adjustments | ||
Accounts and notes receivable | (4,430) | (1,465) |
Inventories | (970) | (495) |
Prepaid expenses and other current assets | (462) | (369) |
Accounts payable | 2,656 | 3,723 |
Taxes and other accruals | 1,165 | 313 |
Net Cash Provided by Operating Activities | 6,063 | 4,217 |
Cash Flows From Investing Activities | ||
Capital expenditures and investments | (1,481) | (1,263) |
Return of investments in equity affiliates | 78 | 236 |
Proceeds from asset dispositions | 3 | 26 |
Advances/loans—related parties | (75) | (310) |
Collection of advances/loans—related parties | 236 | 1 |
Other | (17) | (5) |
Net Cash Used in Investing Activities | (1,256) | (1,315) |
Cash Flows From Financing Activities | ||
Issuance of debt | 0 | 450 |
Repayment of debt | (1,957) | (1,485) |
Issuance of common stock | 67 | 24 |
Repurchase of common stock | (760) | 0 |
Dividends paid on common stock | (1,337) | (1,182) |
Distributions to noncontrolling interests | (104) | (239) |
Repurchase of noncontrolling interests | 0 | (24) |
Other | (55) | (36) |
Net Cash Used in Financing Activities | (4,146) | (2,492) |
Effect of Exchange Rate Changes on Cash and Cash Equivalents | (64) | (27) |
Net Change in Cash and Cash Equivalents | 597 | 383 |
Cash and cash equivalents at beginning of period | 3,147 | 2,514 |
Cash and Cash Equivalents at End of Period | $ 3,744 | $ 2,897 |
Consolidated Statement of Chang
Consolidated Statement of Changes in Equity - USD ($) $ in Millions | Total | Par Value | Capital in Excess of Par | Treasury Stock | Retained Earnings | Accum. Other Comprehensive Loss | Noncontrolling Interests |
Beginning balance at Dec. 31, 2020 | $ 21,523 | $ 6 | $ 20,383 | $ (17,116) | $ 16,500 | $ (789) | $ 2,539 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 223 | 44 | 179 | ||||
Other comprehensive loss | 200 | 200 | |||||
Dividends paid on common stock | (1,182) | (1,182) | |||||
Benefit plan activity | 95 | 105 | (10) | ||||
Distributions to noncontrolling interests | (239) | (239) | |||||
Acquisition of noncontrolling interest in Phillips 66 Partners LP and Repurchase of noncontrolling interests | (23) | (2) | (21) | ||||
Ending balance at Sep. 30, 2021 | $ 20,597 | 6 | 20,488 | (17,116) | 15,350 | (589) | 2,458 |
Beginning balance, common stock issued (in shares) at Dec. 31, 2020 | 648,643,223 | ||||||
Beginning balance, treasury stock (in shares) at Dec. 31, 2020 | 211,771,827 | ||||||
Stockholders' Equity, Shares [Roll Forward] | |||||||
Shares issued - share-based compensation (in shares) | 1,228,877 | ||||||
Ending balance, common stock issued (in shares) at Sep. 30, 2021 | 649,872,100 | ||||||
Ending balance, treasury stock (in shares) at Sep. 30, 2021 | 211,771,827 | ||||||
Beginning balance at Jun. 30, 2021 | $ 20,602 | 6 | 20,463 | (17,116) | 15,345 | (549) | 2,453 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 488 | 402 | 86 | ||||
Other comprehensive loss | (40) | (40) | |||||
Dividends paid on common stock | (394) | (394) | |||||
Benefit plan activity | 22 | 25 | (3) | ||||
Distributions to noncontrolling interests | (81) | (81) | |||||
Ending balance at Sep. 30, 2021 | $ 20,597 | 6 | 20,488 | (17,116) | 15,350 | (589) | 2,458 |
Beginning balance, common stock issued (in shares) at Jun. 30, 2021 | 649,761,235 | ||||||
Beginning balance, treasury stock (in shares) at Jun. 30, 2021 | 211,771,827 | ||||||
Stockholders' Equity, Shares [Roll Forward] | |||||||
Shares issued - share-based compensation (in shares) | 110,865 | ||||||
Ending balance, common stock issued (in shares) at Sep. 30, 2021 | 649,872,100 | ||||||
Ending balance, treasury stock (in shares) at Sep. 30, 2021 | 211,771,827 | ||||||
Beginning balance at Dec. 31, 2021 | $ 21,637 | 7 | 20,504 | (17,116) | 16,216 | (445) | 2,471 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 9,379 | 9,140 | 239 | ||||
Other comprehensive loss | (549) | (549) | |||||
Dividends paid on common stock | (1,337) | (1,337) | |||||
Repurchase of common stock | (790) | (790) | |||||
Benefit plan activity | 124 | 135 | (11) | ||||
Distributions to noncontrolling interests | (104) | (104) | |||||
Acquisition of noncontrolling interest in Phillips 66 Partners LP and Repurchase of noncontrolling interests | 316 | (901) | 3,380 | (2,163) | |||
Merger of DCP Midstream, LLC and Gray Oak Holdings LLC | 4,633 | 4,633 | |||||
Ending balance at Sep. 30, 2022 | $ 33,309 | 7 | 19,738 | (14,526) | 24,008 | (994) | 5,076 |
Beginning balance, common stock issued (in shares) at Dec. 31, 2021 | 650,026,318 | ||||||
Beginning balance, treasury stock (in shares) at Dec. 31, 2021 | 211,771,827 | ||||||
Stockholders' Equity, Shares [Roll Forward] | |||||||
Repurchase of common stock (in shares) | 9,265,969 | ||||||
Shares issued - share-based compensation (in shares) | 1,818,455 | ||||||
Shares issued—acquisition of noncontrolling interest in Phillips 66 Partners LP (in shares) | (41,825,236) | ||||||
Ending balance, common stock issued (in shares) at Sep. 30, 2022 | 651,844,773 | ||||||
Ending balance, treasury stock (in shares) at Sep. 30, 2022 | 179,212,560 | ||||||
Beginning balance at Jun. 30, 2022 | $ 24,573 | 7 | 19,717 | (13,802) | 19,087 | (733) | 297 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 5,540 | 5,391 | 149 | ||||
Other comprehensive loss | (261) | (261) | |||||
Dividends paid on common stock | (466) | (466) | |||||
Repurchase of common stock | (724) | (724) | |||||
Benefit plan activity | 17 | 21 | (4) | ||||
Distributions to noncontrolling interests | (3) | (3) | |||||
Merger of DCP Midstream, LLC and Gray Oak Holdings LLC | 4,633 | 4,633 | |||||
Ending balance at Sep. 30, 2022 | $ 33,309 | $ 7 | $ 19,738 | $ (14,526) | $ 24,008 | $ (994) | $ 5,076 |
Beginning balance, common stock issued (in shares) at Jun. 30, 2022 | 651,697,833 | ||||||
Beginning balance, treasury stock (in shares) at Jun. 30, 2022 | 170,646,736 | ||||||
Stockholders' Equity, Shares [Roll Forward] | |||||||
Repurchase of common stock (in shares) | 8,565,824 | ||||||
Shares issued - share-based compensation (in shares) | 146,940 | ||||||
Ending balance, common stock issued (in shares) at Sep. 30, 2022 | 651,844,773 | ||||||
Ending balance, treasury stock (in shares) at Sep. 30, 2022 | 179,212,560 |
Consolidated Statement of Cha_2
Consolidated Statement of Changes in Equity (Parenthetical) - $ / shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Statement of Stockholders' Equity [Abstract] | ||||
Dividends paid per common stock (in usd per share) | $ 0.97 | $ 0.90 | $ 2.86 | $ 2.70 |
Interim Financial Information
Interim Financial Information | 9 Months Ended |
Sep. 30, 2022 | |
Interim Financial Information [Abstract] | |
Interim Financial Information | Interim Financial Information The unaudited interim financial information presented in the financial statements included in this report is prepared in accordance with generally accepted accounting principles in the United States (GAAP) and includes all known accruals and adjustments necessary, in the opinion of management, for a fair presentation of the consolidated financial position of Phillips 66 and its results of operations and cash flows for the periods presented. Unless otherwise specified, all such adjustments are of a normal and recurring nature. Certain notes and other information have been condensed or omitted from the interim financial statements included in this report. Therefore, these interim financial statements should be read in conjunction with the consolidated financial statements and notes included in our 2021 Annual Report on Form 10-K. The results of operations for the three and nine months ended September 30, 2022, are not necessarily indicative of the results expected for the full year. DCP Midstream, LLC (DCP Midstream) and Gray Oak Holdings LLC (Gray Oak Holdings) Merger On August 17, 2022, we and our co-venturer, Enbridge Inc. (Enbridge), agreed to merge DCP Midstream and Gray Oak Holdings, with DCP Midstream as the surviving entity. Prior to the merger, we and Enbridge each held a 50% interest and jointly governed DCP Midstream, whose primary assets are its general partner and limited partner interests in DCP Midstream, LP (DCP LP), and we each held indirect economic interests in DCP LP of 28.26%. DCP LP is a variable interest entity (VIE) because its limited partners do not have the ability to remove its general partner with a simple majority vote, nor do its limited partners have substantive participating rights in the significant decisions made in the ordinary course of business. DCP Midstream ultimately consolidates DCP LP because one of its wholly owned subsidiaries is the primary beneficiary of DCP LP. We and Enbridge also held 65% and 35% interests, respectively, in Gray Oak Holdings, whose only asset was a 65% noncontrolling interest in Gray Oak Pipeline, LLC (Gray Oak Pipeline). Our and Enbridge’s indirect economic interests in Gray Oak Pipeline were 42.25% and 22.75%, respectively. We had voting control over and consolidated Gray Oak Holdings and reported Gray Oak Holdings’ 65% interest in Gray Oak Pipeline as an equity investment and Enbridge’s interest in Gray Oak Holdings as a noncontrolling interest. In connection with the merger, we and Enbridge entered into a Third Amended and Restated Limited Liability Company Agreement of DCP Midstream (Amended and Restated LLC Agreement), which realigned the members’ economic interests and governance responsibilities. Under the Amended and Restated LLC Agreement, two classes of membership interests in DCP Midstream were created, Class A and Class B, that are intended to track the assets, liabilities, revenues and expenses of the following operating segments of DCP Midstream: • Class A Segment comprised of the businesses, activities, assets and liabilities of DCP LP and its subsidiaries and its general partner entities (DCP Midstream Class A Segment). • Class B Segment comprised of the business, activities, assets and liabilities of Gray Oak Pipeline (DCP Midstream Class B Segment). We hold a 76.64% Class A membership interest, which represents an indirect economic interest in DCP LP of 43.31%, and a 10% Class B membership interest, which represents an indirect economic interest in Gray Oak Pipeline of 6.5%. Enbridge holds the remaining Class A and Class B membership interests. We have been designated as the managing member of DCP Midstream Class A Segment and are responsible for conducting, directing and managing all activities associated with this segment, except as limited in certain instances. Enbridge has been designated as the managing member of DCP Midstream Class B Segment. Earnings and distributions from each segment are allocated to the members based on their membership interest in each membership class, except as otherwise provided. DCP Midstream Class A Segment and DCP Midstream Class B Segment were determined to be silos under the variable interest consolidation model. As a result, DCP Midstream was also determined to be a VIE. We determined that we are the primary beneficiary of DCP Midstream Class A Segment because of the governance rights granted to us under the Amended and Restated LLC Agreement as managing member of the segment. We hold a 33.33% direct ownership interest in DCP Sand Hills Pipeline, LLC (DCP Sand Hills) and DCP Southern Hills Pipeline, LLC (DCP Southern Hills). DCP LP holds the remaining 66.67% ownership interest in these entities. As a result of the governance rights granted to us over DCP Midstream Class A Segment and the governance rights we hold through our direct ownership interests, we obtained controlling financial interests in these entities in connection with the merger. As a result, our aggregate direct and indirect economic interests in DCP Sand Hills and DCP Southern Hills increased to 62.21% from 52.17%. Starting on August 18, 2022, we began consolidating the financial results of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills. We also began reporting the direct and indirect economic interests held by Enbridge, DCP LP’s public common unitholders and DCP LP’s preferred unitholders as noncontrolling interests on our financial statements. We continue to account for our remaining indirect economic interest in Gray Oak Pipeline, now held through DCP Midstream Class B Segment, using the equity method of accounting. As a result of the merger, we derecognized Enbridge’s noncontrolling interest in Gray Oak Holdings. We accounted for our consolidation of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills as a business combination using the acquisition method of accounting. See Note 2—Business Combination, for additional information on our accounting for this transaction. See Note 20—DCP Midstream Class A Segment, for additional disclosures regarding our variable interest in DCP Midstream Class A Segment. Merger of Phillips 66 Partners LP (Phillips 66 Partners) On March 9, 2022, we completed the merger between us and Phillips 66 Partners. See Note 21—Phillips 66 Partners LP, for additional information on this merger transaction. |
Business Combination
Business Combination | 9 Months Ended |
Sep. 30, 2022 | |
Business Combination and Asset Acquisition [Abstract] | |
Business Combinations | Note 2—Business Combination On August 17, 2022, we realigned our economic interest in, and governance rights over, DCP Midstream and Gray Oak Holdings through the merger of these existing entities with DCP Midstream as the surviving entity. As part of the merger, we transferred a 35.75% indirect economic interest in Gray Oak Pipeline and contributed $404 million of cash to DCP Midstream, which was then paid to Enbridge, in return for a 15.05% incremental indirect economic ownership interest in DCP LP. As noted above, the additional governance rights we were granted as part of this transaction resulted in us consolidating the Class A Segment of DCP Midstream, as well as DCP Sand Hills and DCP Southern Hills. Given the nature of this transaction, we have accounted for the consolidation of these entities using the acquisition method of accounting. See Note 1—Interim Financial Information, for additional information on the merger and our consolidation of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills. The components of the fair value of the merger consideration are: Millions of Dollars Cash contributed $ 404 Fair value of transferred equity interest 634 Fair value of previously held equity interests 3,853 Total merger consideration $ 4,891 The aggregate purchase consideration noted above was allocated to the assets acquired and liabilities assumed of the entities consolidated based upon a preliminary estimate of their fair values as of the August 17, 2022, merger date. Due to the level of effort required to develop fair value measurements, the valuation information necessary to determine the fair values of assets acquired and liabilities assumed is preliminary, including the underlying cash flows, appraisals and other information used to estimate the fair values of the net assets acquired and noncontrolling interests in those net assets. We continue to evaluate the factors used in establishing the fair values of assets and liabilities as of the acquisition date, including, but not limited to, those factors that could affect the estimated fair values of properties, plants and equipment (PP&E), investments in unconsolidated affiliates accounted for under the equity method, identifiable intangible assets, leases, financial instruments, asset retirement and environmental obligations, legal contingencies, debt and noncontrolling interests. We will complete a final determination of the fair values of assets acquired and liabilities assumed within the one-year measurement period from the date of the merger. Any adjustments made in subsequent periods could be material to the preliminary values. The following table summarizes, based on our preliminary purchase price allocation described above, the fair values of the assets acquired and liabilities assumed of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills as of August 17, 2022: Millions of Dollars Fair value of assets acquired: Cash and cash equivalents $ 98 Accounts and notes receivable 1,003 Inventories 74 Prepaid expenses and other current assets 439 Investments and long-term receivables 2,192 Properties, plants and equipment 12,837 Intangibles 36 Other assets 343 Total assets acquired 17,022 Fair value of liabilities assumed: Accounts payable 912 Short-term debt 625 Accrued income and other taxes 107 Employee benefit obligation - current 50 Other accruals 497 Long-term debt 4,541 Asset retirement obligations and accrued environmental costs 168 Deferred income taxes 40 Employee benefit obligations 54 Other liabilities and deferred credits 227 Total liabilities assumed 7,221 Fair value of net assets 9,801 Less: Fair value of noncontrolling interests 4,910 Total merger consideration $ 4,891 As of August 17, 2022, the preliminary fair value of our previously held equity investments in DCP Midstream, DCP Sand Hills, and DCP Southern Hills totaled $3,853 million, and the preliminary fair value of the equity interest in Gray Oak Pipeline we transferred to our co-venturer was $634 million. In connection with the merger, we recognized gains totaling $2,831 million from remeasuring our previously held equity investments to their fair values and a gain of $182 million related to the transfer of a 35.75% indirect economic interest in Gray Oak Pipeline to our co-venturer. These gains are included in the “Other income” line item in our consolidated statement of income for the three and nine months ended September 30, 2022, and are reported in the Midstream segment. See Note 14—Fair Value Measurements, for additional information on the determination of the fair value of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills. The following “Sales and other operating revenues” and “Net Income Attributable to Phillips 66” of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills were included in our consolidated statement of income from August 18, 2022, forward. Millions of Dollars Sales and other operating revenues $ 1,368 Net Income Attributable to Phillips 66 125 Pro Forma Financial Information The following unaudited pro forma financial information presents consolidated results assuming the acquisition of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills occurred on January 1, 2021. The unaudited pro forma information includes adjustments based on currently available information and we believe the estimates and assumptions are reasonable, and the significant effects of the transactions are properly reflected in the unaudited pro forma information. An aggregate gain of $2,831 million was included in the pro forma financial information for the nine months ended September 30, 2021, which is related to the remeasurement of the previously held equity investments in DCP Midstream, DCP Sand Hills and DCP Southern Hills to their fair values in connection with the merger. Adjustments related to the economic interest change in our equity investment in Gray Oak Pipeline were excluded from the pro forma financial information. The unaudited pro forma information does not give effect to any potential synergies that could be achieved and is not necessarily indicative of the results of future operations. Three Months Ended Nine Months Ended 2022 2021 2022 2021 Sales and other operating revenues (millions) $ 46,892 32,109 136,848 83,878 Net Income Attributable to Phillips 66 (millions) 3,129 405 6,963 2,167 Net Income Attributable to Phillips 66 per share—basic (dollars) 6.50 0.92 14.76 4.91 Net Income Attributable to Phillips 66 per share—diluted (dollars) 6.48 0.92 14.71 4.90 |
Sales and Other Operating Reven
Sales and Other Operating Revenues | 9 Months Ended |
Sep. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Sales and Other Operating Revenues | Sales and Other Operating Revenues Disaggregated Revenues The following tables present our disaggregated sales and other operating revenues: Millions of Dollars Three Months Ended Nine Months Ended 2022 2021 2022 2021 Product Line and Services Refined petroleum products $ 33,690 24,838 102,482 63,057 Crude oil resales 6,146 3,091 15,694 9,484 Natural gas liquids (NGL) and natural gas 4,217 2,331 10,702 6,048 Services and other * 902 (17) 833 283 Consolidated sales and other operating revenues $ 44,955 30,243 129,711 78,872 Geographic Location** United States $ 36,126 24,011 103,910 61,920 United Kingdom 4,485 2,948 13,168 8,070 Germany 1,769 1,194 4,944 3,049 Other foreign countries 2,575 2,090 7,689 5,833 Consolidated sales and other operating revenues $ 44,955 30,243 129,711 78,872 * Includes derivatives-related activities. See Note 13—Derivatives and Financial Instruments, for additional information. ** Sales and other operating revenues are attributable to countries based on the location of the operations generating the revenues. Contract-Related Assets and Liabilities At September 30, 2022, and December 31, 2021, receivables from contracts with customers were $11,393 million and $6,140 million, respectively. Significant noncustomer balances, such as buy/sell receivables and excise tax receivables, were excluded from these amounts. Our contract-related assets also include payments we make to our marketing customers related to incentive programs. An incentive payment is initially recognized as an asset and subsequently amortized as a reduction to revenue over the contract term, which generally ranges from 5 to 15 years. At September 30, 2022, and December 31, 2021, our asset balances related to such payments were $496 million and $466 million, respectively. Our contract liabilities represent advances from our customers prior to product or service delivery. At September 30, 2022, and December 31, 2021, contract liabilities were $237 million and $90 million, respectively. Remaining Performance Obligations |
Credit Losses
Credit Losses | 9 Months Ended |
Sep. 30, 2022 | |
Credit Loss [Abstract] | |
Credit Losses | Credit Losses We are exposed to credit losses primarily through our sales of refined petroleum products, crude oil, NGL and natural gas. We assess each counterparty’s ability to pay for the products we sell by conducting a credit review. The credit review considers our expected billing exposure and timing for payment and the counterparty’s established credit rating or our assessment of the counterparty’s creditworthiness based on our analysis of their financial statements when a credit rating is not available. We also consider contract terms and conditions, country and political risk, and business strategy in our evaluation. A credit limit is established for each counterparty based on the outcome of this review. We may require collateralized asset support or a prepayment to mitigate credit risk. We monitor our ongoing credit exposure through active review of counterparty balances against contract terms and due dates. Our activities include timely account reconciliations, dispute resolution and payment confirmations. We may employ collection agencies and legal counsel to pursue recovery of defaulted receivables. In addition, when events and circumstances arise that may affect certain counterparties’ abilities to fulfill their obligations, such as Coronavirus Disease 2019 (COVID-19), we enhance our credit monitoring, and we may seek collateral to support some transactions or require prepayments from higher-risk counterparties. At September 30, 2022, and December 31, 2021, we reported $13,652 million and $7,470 million of accounts and notes receivable, respectively, net of allowances of $64 million and $44 million, respectively. Based on an aging analysis at September 30, 2022, more than 95% of our accounts receivable were outstanding less than 60 days. We are also exposed to credit losses from off-balance sheet exposures, such as guarantees of joint venture debt and standby letters of credit. See Note 11—Guarantees, and Note 12—Contingencies and Commitments, for more information on these off-balance sheet exposures. |
Inventories
Inventories | 9 Months Ended |
Sep. 30, 2022 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories Inventories consisted of the following: Millions of Dollars September 30 December 31 Crude oil and petroleum products $ 3,928 3,024 Materials and supplies 366 370 $ 4,294 3,394 Inventories valued on the last-in, first-out (LIFO) basis totaled $3,662 million and $2,792 million at September 30, 2022, and December 31, 2021, respectively. The estimated excess of current replacement cost over LIFO cost of inventories amounted to approximately $7.3 billion and $5.7 billion at September 30, 2022, and December 31, 2021, respectively. Certain planned reductions in inventory that are not expected to be replaced by the end of the year cause liquidations of LIFO inventory values. The impact of LIFO inventory liquidations was immaterial for the three months ended September 30, 2022 and increased our net income by $43 million in the nine months ended September 30, 2022. LIFO inventory liquidations decreased our net income by $17 million and $99 million in the three and nine months ended September 30, 2021, respectively. |
Investments, Loans and Long-Ter
Investments, Loans and Long-Term Receivables | 9 Months Ended |
Sep. 30, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
Investments, Loans and Long-Term Receivables | Investments, Loans and Long-Term Receivables Equity Investments Dakota Access, LLC (Dakota Access) and Energy Transfer Crude Oil Company, LLC (ETCO) In 2020, the trial court presiding over litigation brought by the Standing Rock Sioux Tribe (the Tribe) ordered the U.S. Army Corps of Engineers (USACE) to prepare an Environmental Impact Statement (EIS) addressing an easement under Lake Oahe in North Dakota. The court later vacated the easement. Although the easement is vacated, the USACE has no plans to stop pipeline operations while it proceeds with the EIS, and the Tribe’s request for a shutdown was denied in May of 2021. In June 2021, the trial court dismissed the litigation entirely. Once the EIS is completed, new litigation or challenges may be filed. In February 2022, the U.S. Supreme Court (the Court) denied Dakota Access’s writ of certiorari requesting the Court to review the lower court’s decision to order the EIS and vacate the easement. Therefore, the requirement to prepare the EIS stands. Also in February 2022, the Tribe withdrew as a cooperating agency, causing the USACE to halt the EIS process while the USACE engaged with the Tribe on their reasons for withdrawing. The draft EIS process resumed in August of 2022, and release is expected in Spring of 2023. Dakota Access and ETCO have guaranteed repayment of senior unsecured notes issued by a wholly owned subsidiary of Dakota Access in March 2019. On April 1, 2022, Dakota Access’ wholly owned subsidiary repaid $650 million aggregate principal amount of its outstanding senior notes upon maturity. We funded our 25% share, or $163 million, with a capital contribution of $89 million in March 2022 and $74 million of distributions we elected not to receive from Dakota Access in the first quarter of 2022. At September 30, 2022, the aggregate principal amount outstanding of Dakota Access’ senior unsecured notes was $1.85 billion. In conjunction with the notes offering, Phillips 66 Partners, now a wholly owned subsidiary of Phillips 66, and its co-venturers in Dakota Access also provided a Contingent Equity Contribution Undertaking (CECU). Under the CECU, the co-venturers may be severally required to make proportionate equity contributions to Dakota Access if there is an unfavorable final judgment in the above-mentioned ongoing litigation. At September 30, 2022, our 25% share of the maximum potential equity contributions under the CECU was approximately $467 million. If the pipeline is required to cease operations, and should Dakota Access and ETCO not have sufficient funds to pay ongoing expenses, we could be required to support our 25% share of the ongoing expenses, including scheduled interest payments on the notes of approximately $20 million annually, in addition to the potential obligations under the CECU at September 30, 2022. At September 30, 2022, the aggregate book value of our investments in Dakota Access and ETCO was $691 million. CF United LLC (CF United) We hold a 50% voting interest and a 48% economic interest in CF United, a retail marketing joint venture with operations primarily on the U.S. West Coast. CF United is considered a variable interest entity (VIE) because our co-venturer has an option to require us to purchase its interest based on a fixed multiple. The put option becomes effective July 1, 2023, and expires on March 31, 2024. The put option is viewed as a variable interest as the purchase price on the exercise date may not represent the then-current fair value of CF United. We have determined that we are not the primary beneficiary because we and our co-venturer jointly direct the activities of CF United that most significantly impact economic performance. At September 30, 2022, our maximum exposure to loss was comprised of our $288 million investment in CF United, and any potential future loss resulting from the put option should the purchase price based on a fixed multiple exceed the then-current fair value of CF United. OnCue Holdings, LLC (OnCue) We hold a 50% interest in OnCue, a joint venture that owns and operates retail convenience stores. We fully guaranteed various debt agreements of OnCue and our co-venturer did not participate in the guarantees. This entity is considered a VIE because our debt guarantees resulted in OnCue not being exposed to all potential losses. We have determined we are not the primary beneficiary because we do not have the power to direct the activities that most significantly impact economic performance. At September 30, 2022, our maximum exposure to loss was $213 million, which represented the book value of our investment in OnCue of $142 million and guaranteed debt obligations of $71 million. DCP Midstream and Gray Oak Holdings Merger In connection with the DCP Midstream and Gray Oak Holdings merger, we derecognized our equity method investments in DCP Midstream, DCP Sand Hills and DCP Southern Hills as these entities are consolidated starting on August 18, 2022. In addition, as part of the merger, we transferred a 35.75% indirect economic interest in Gray Oak Pipeline to Enbridge and derecognized Enbridge’s noncontrolling interest in Gray Oak Holdings. After the merger, we continue to account for our remaining 6.5% indirect economic interest in Gray Oak Pipeline, now held through DCP Midstream Class B Segment, using the equity method of accounting. See Note 1—Interim Financial Information, Note 2—Business Combination, and Note 14—Fair Value Measurements, for additional information regarding the merger and the associated fair value measurements. Equity Investments Acquired As a result of the DCP Midstream and Gray Oak Holdings merger, we acquired and recorded equity investments in DCP Midstream Class A Segment at their fair values. See Note 1—Interim Financial Information, Note 2—Business Combination and Note 14—Fair Value Measurements, for additional information regarding the merger and the associated fair value measurements. Other Investments In September 2021, we acquired 78 million ordinary shares, representing a 16% ownership interest, in NOVONIX Limited (NOVONIX), which are traded on the Australian Securities Exchange. NOVONIX is a Brisbane, Australia-based company that develops technology and supplies materials for lithium-ion batteries. Since we do not have significant influence over the operating and financial policies of NOVONIX and the shares we own have a readily determinable fair value, our investment is recorded at fair value at the end of each reporting period. The fair value of our investment is recorded in the “Investments and long-term receivables” line item on our consolidated balance sheet. The change in the fair value of our investment due to fluctuations in NOVONIX’s stock price, or unrealized investment losses, is recorded in the “Other income (loss)” line item of our consolidated statement of income, while changes due to foreign currency fluctuations are recorded in the “Foreign currency transaction (gains) losses” line item on our consolidated statement of income. The fair value of our investment in NOVONIX was $89 million at September 30, 2022. The fair value of our investment in NOVONIX declined by $33 million and $431 million during the three and nine months ended September 30, 2022, respectively, reflecting unrealized investment losses of $28 million and $418 million and unrealized foreign currency losses of $5 million and $13 million, respectively. See Note 14—Fair Value Measurements, for additional information regarding the recurring fair value measurement of our investment in NOVONIX. Related Party Loans |
Properties, Plants and Equipmen
Properties, Plants and Equipment | 9 Months Ended |
Sep. 30, 2022 | |
Property, Plant and Equipment [Abstract] | |
Properties, Plants and Equipment | Properties, Plants and Equipment Our gross investment in PP&E and the associated accumulated depreciation and amortization (Accum. D&A) balances were as follows: Millions of Dollars September 30, 2022 December 31, 2021 Gross Accum. Net Gross Accum. Net Midstream $ 26,140 3,806 22,334 12,524 3,064 9,460 Chemicals — — — — — — Refining 23,274 12,173 11,101 23,878 12,517 11,361 Marketing and Specialties 1,676 980 696 1,819 1,035 784 Corporate and Other 1,534 703 831 1,576 746 830 $ 52,624 17,662 34,962 39,797 17,362 22,435 See Note 1—Interim Financial Information, Note 2—Business Combination and Note 14—Fair Value Measurements, for additional information on the DCP Midstream and Gray Oak Holdings merger and the associated fair value measurements. |
Impairments
Impairments | 9 Months Ended |
Sep. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Impairments | Impairments Millions of Dollars Three Months Ended Nine Months Ended 2022 2021 2022 2021 Midstream $ — 10 1 208 Refining — 1,288 1 1,288 Total impairments $ — 1,298 2 1,496 Equity Investment Liberty In the first quarter of 2021, Phillips 66 Partners decided to exit the Liberty Pipeline project in our Midstream segment, which had previously been deferred due to the challenging business environment caused by the COVID-19 pandemic. As a result, Phillips 66 Partners recorded a $198 million before-tax impairment to reduce the book value of its investment in Liberty at March 31, 2021, to estimated fair value. PP&E Alliance Refinery In the third quarter of 2021, we identified impairment indicators related to our Alliance Refinery as a result of damages sustained from Hurricane Ida and our reassessment of the role this refinery will play in our refining portfolio. Accordingly, we assessed the refinery asset group for impairment by performing an analysis that considered several usage scenarios, including selling or converting the asset group to an alternative use. Based on our analysis, we concluded that the carrying value of the asset group was not recoverable. As a result, we recorded a $1,298 million before-tax impairment to reduce the carrying value of net PP&E in this asset group to its fair value of approximately $200 million. $1,288 million of the impairment charge was recorded in our Refining segment and $10 million was recorded in our Midstream segment. In the fourth quarter of 2021, we shut down our Alliance Refinery and subsequently converted it into a terminal. These impairment charges are included within the “Impairments” line item on our consolidated statement of income. See Note 14—Fair Value Measurements, for additional information on the determination of fair value used to record these impairments. |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Sep. 30, 2022 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share The numerator of basic earnings per share (EPS) is net income attributable to Phillips 66, adjusted for noncancelable dividends paid on unvested share-based employee awards during the vesting period (participating securities) and the premium paid for the repurchase of noncontrolling interests. The denominator of basic EPS is the sum of the daily weighted-average number of common shares outstanding during the periods presented and fully vested stock and unit awards that have not yet been issued as common stock. The numerator of diluted EPS is also based on net income attributable to Phillips 66, which is reduced by dividend equivalents paid on participating securities for which the dividends are more dilutive than the participation of the awards in the earnings of the periods presented, and the premium paid for the repurchase of noncontrolling interests. To the extent unvested stock, unit or option awards and vested unexercised stock options are dilutive, they are included with the weighted-average common shares outstanding in the denominator. Treasury stock is excluded from the denominator in both basic and diluted EPS. Three Months Ended Nine Months Ended 2022 2021 2022 2021 Basic Diluted Basic Diluted Basic Diluted Basic Diluted Amounts Attributed to Phillips 66 Common Stockholders (millions) : Net Income Attributable to Phillips 66 $ 5,391 5,391 402 402 9,140 9,140 44 44 Income allocated to participating securities (3) — (2) (2) (8) — (7) (7) Premium paid for the repurchase of noncontrolling interests — — — — — — (2) (2) Net income available to common stockholders $ 5,388 5,391 400 400 9,132 9,140 35 35 Weighted-average common shares outstanding (thousands) : 479,355 481,388 438,067 440,193 469,339 471,375 437,783 439,880 Effect of share-based compensation 2,033 1,648 2,126 175 2,036 2,077 2,097 379 Weighted-average common shares outstanding—EPS 481,388 483,036 440,193 440,368 471,375 473,452 439,880 440,259 Earnings Per Share of Common Stock (dollars) $ 11.19 11.16 0.91 0.91 19.37 19.31 0.08 0.08 On March 9, 2022, we completed the merger between us and Phillips 66 Partners. The merger resulted in the acquisition of all limited partnership interests in Phillips 66 Partners not already owned by us in exchange for approximately 42 million shares of Phillips 66 common stock issued from treasury stock. See Note 21—Phillips 66 Partners LP, for additional information on this merger transaction. |
Debt
Debt | 9 Months Ended |
Sep. 30, 2022 | |
Debt Disclosure [Abstract] | |
Debt | Debt Short-term and long-term debt consisted of the following: Millions of Dollars September 30, 2022 December 31, 2021 Phillips 66 Phillips 66 Company Phillips 66 Partners DCP LP Total Phillips 66 Phillips 66 Partners Total 4.300% Senior Notes due April 2022 $ — — — — — 1,000 — 1,000 3.875% Senior Notes due March 2023 — — — 500 500 — — — 3.700% Senior Notes due April 2023 500 — — — 500 500 — 500 0.900% Senior Notes due February 2024 800 — — — 800 800 — 800 2.450% Senior Notes due December 2024 — 277 23 — 300 — 300 300 3.605% Senior Notes due February 2025 — 441 59 — 500 — 500 500 3.850% Senior Notes due April 2025 650 — — — 650 650 — 650 5.375% Senior Notes due July 2025 — — — 825 825 — — — 1.300% Senior Notes due February 2026 500 — — — 500 500 — 500 3.550% Senior Notes due October 2026 — 458 42 — 500 — 500 500 5.625% Senior Notes due July 2027 — — — 500 500 — — — 3.750% Senior Notes due March 2028 — 427 73 — 500 — 500 500 3.900% Senior Notes due March 2028 800 — — — 800 800 — 800 5.125% Senior Notes due May 2029 — — — 600 600 — — — 3.150% Senior Notes due December 2029 — 570 30 — 600 — 600 600 8.125% Senior Notes due August 2030 — — — 300 300 — — — 2.150% Senior Notes due December 2030 850 — — — 850 850 — 850 3.250% Senior Notes due February 2032 — — — 400 400 — — — 4.650% Senior Notes due November 2034 1,000 — — — 1,000 1,000 — 1,000 6.450% Senior Notes due November 2036 — — — 300 300 — — — 6.750% Senior Notes due September 2037 — — — 450 450 — — — 5.875% Senior Notes due May 2042 1,500 — — — 1,500 1,500 — 1,500 5.850% Junior Subordinated Notes due May 2043 — — — 550 550 — — — 5.600% Senior Notes due April 2044 — — — 400 400 — — — 4.875% Senior Notes due November 2044 1,700 — — — 1,700 1,700 — 1,700 4.680% Senior Notes due February 2045 — 442 8 — 450 — 450 450 4.900% Senior Notes due October 2046 — 605 20 — 625 — 625 625 3.300% Senior Notes due March 2052 1,000 — — — 1,000 1,000 — 1,000 Floating Rate Term Loan due April 2022 at 0.978% at year-end 2021 — — — — — — 450 450 Floating Rate Advance Term Loan due December 2034 at 3.124% and 0.699% at September 30, 2022 and year-end 2021, respectively—related party 25 — — — 25 25 — 25 Other 1 — — 14 15 1 — 1 Debt at face value 9,326 3,220 255 4,839 17,640 10,326 3,925 14,251 Fair value adjustment to debt acquired (125) Finance leases 269 290 Software obligations 20 16 Net unamortized discounts and debt issuance costs (147) (109) Total debt 17,657 14,448 Short-term debt (1,032) (1,489) Long-term debt $ 16,625 12,959 2022 Activities Credit Facilities Phillips 66 and Phillips 66 Company On June 23, 2022, we entered into a new $5 billion revolving credit facility (the Facility) with Phillips 66 Company as the borrower and Phillips 66 as the guarantor and a scheduled maturity date of June 22, 2027. The Facility replaced our previous $5 billion revolving credit facility with Phillips 66 as the borrower and Phillips 66 Company as the guarantor. The Facility contains usual and customary covenants that are similar to the previous revolving credit facility, including a maximum consolidated net debt-to-capitalization ratio of 65% as of the last day of each fiscal quarter. We have the option to increase the overall capacity to $6 billion, subject to certain conditions. We also have the option to extend the scheduled maturity of the Facility for up to two additional one-year terms, subject to, among other things, the consent of the lenders holding the majority of the commitments and of each lender extending its commitment. Outstanding borrowings under the Facility bear interest at either (a) the Adjusted Term Secured Overnight Financing Rate (SOFR) (as described in the Facility) in effect from time to time plus the applicable margin; or (b) the reference rate (as described in the Facility) plus the applicable margin. The Facility also provides for customary fees, including commitment fees. The pricing levels for the commitment fees and interest-rate margins are determined based on the ratings in effect for our senior unsecured long-term debt from time to time. We may at any time prepay outstanding borrowings, in whole or in part, without premium or penalty. At September 30, 2022, no amount has been drawn under the Facility. DCP Midstream Class A Segment As a result of the merger of DCP Midstream and Gray Oak Holdings, we recorded the fair value of DCP Midstream Class A Segment’s debt to our consolidated balance sheet as of August 17, 2022. See Note 1—Interim Financial Information, Note 2—Business Combination, and Note 14—Fair Value Measurements, for additional information regarding the merger and the associated fair value measurements. All of DCP Midstream Class A Segment’s debt is held by DCP LP. Interest on all of DCP LP’s senior notes and junior subordinated notes is paid on a semi-annual basis. DCP LP also has a credit facility that matures on March 18, 2027, under its amended credit agreement (the Credit Agreement), with a borrowing capacity of up to $1.4 billion. The credit facility bears interest at either the term SOFR or the base rate plus, in each case, an applicable margin based on DCP LP’s credit rating. The Credit Agreement also grants DCP LP the option to increase the revolving loan commitment by an aggregate principal amount of up to $500 million and also to extend the term for up to two additional one-year periods, subject to requisite lender approval. Loans under the Credit Agreement may be used for working capital and other general partnership purposes including acquisitions. Indebtedness under the Credit Agreement bears interest at either: (1) an adjusted SOFR (as described in the Credit Agreement) plus the applicable margin; or (2) the base rate (as described in the Credit Agreement) plus an applicable margin. The Credit Agreement also provides for customary fees, including commitment fees. The cost of borrowing under the Credit Agreement is determined by a ratings-based pricing grid based on DCP LP’s credit rating. As of September 30, 2022, DCP LP had unused borrowing capacity of $1,390 million, net of $10 million of letters of credit, under the Credit Agreement, of which $1,390 million was available to borrow for working capital and other general partnership purposes based on the financial covenants set forth in the Credit Agreement. Except in the event of a default, amounts under the Credit Agreement will not become due prior to the March 18, 2027, maturity date. DCP LP has an accounts receivable securitization facility (the Securitization Facility) that provides for up to $350 million of borrowing capacity through August 2024 at an adjusted SOFR that includes an uncommitted option to increase the total commitments under the Securitization Facility by up to an additional $400 million. Under the Securitization Facility, certain of DCP LP’s wholly owned subsidiaries sell or contribute receivables to another of DCP LP’s consolidated subsidiaries, DCP Receivables LLC (DCP Receivables), a bankruptcy-remote special purpose entity created for the sole purpose of the Securitization Facility. As of September 30, 2022, DCP LP had unused borrowing capacity of $350 million under the Securitization Facility, secured by its accounts receivable at DCP Receivables. Phillips 66 Partners In connection with entering into the Facility, we terminated Phillips 66 Partners’ $750 million revolving credit facility. Debt Exchange On May 5, 2022, Phillips 66 Company, a wholly owned subsidiary of Phillips 66, completed offers to exchange (the Exchange Offers) all validly tendered notes of seven different series of notes issued by Phillips 66 Partners (collectively, the Old Notes), with an aggregate principal amount of approximately $3.5 billion, for notes issued by Phillips 66 Company (collectively, the New Notes). The New Notes are fully and unconditionally guaranteed by Phillips 66 and rank equally with Phillips 66 Company’s other unsecured and unsubordinated indebtedness, and the guarantees rank equally with Phillips 66’s other unsecured and unsubordinated indebtedness. Old Notes with an aggregate principal amount of approximately $3.2 billion were tendered in the Exchange Offers. The New Notes have the same interest rates, interest payment dates and maturity dates as the Old Notes. Holders that validly tendered before the end of the early participation period on April 19, 2022 (the Early Participation Date), received New Notes with an aggregate principal amount equivalent to the Old Notes, while holders that validly tendered after the Early Participation Date, but before the Expiration Date, received New Notes with an aggregate principal amount 3% less than the Old Notes. Substantially all of the Old Notes exchanged were tendered during the Early Participation Period. Debt Repayments After the merger, DCP LP repaid $470 million of debt, related to its accounts receivable securitization facility and revolving credit facility. In April 2022, upon maturity, Phillips 66 repaid its 4.300% senior notes with an aggregate principal amount of $1.0 billion and Phillips 66 Partners repaid its $450 million term loan. 2021 Activities In September 2021, Phillips 66 repaid the $500 million of outstanding borrowings under the delayed draw term loan facility due November 2023. In April 2021, Phillips 66 Partners entered into a $450 million term loan agreement with a one-year term and borrowed the full amount. The term loan agreement was repaid upon maturity in April 2022 without premium or penalty. In April 2021, Phillips 66 Partners repaid $50 million of its tax-exempt bonds upon maturity. In February 2021, Phillips 66 repaid $500 million outstanding principal balance of its floating-rate senior notes upon maturity. |
Guarantees
Guarantees | 9 Months Ended |
Sep. 30, 2022 | |
Guarantees [Abstract] | |
Guarantees | Guarantees At September 30, 2022, we were liable for certain contingent obligations under various contractual arrangements as described below. We recognize a liability for the fair value of our obligation as a guarantor for newly issued or modified guarantees. Unless the carrying amount of the liability is noted below, we have not recognized a liability either because the guarantees were issued prior to December 31, 2002, or because the fair value of the obligation is immaterial. In addition, unless otherwise stated, we are not currently performing with any significance under the guarantees and expect future performance to be either immaterial or have only a remote chance of occurrence. Lease Residual Value Guarantees Under the operating lease agreement for our headquarters facility in Houston, Texas, we have the option, at the end of the lease term in September 2025, to request to renew the lease, purchase the facility or assist the lessor in marketing it for resale. We have a residual value guarantee associated with the operating lease agreement with a maximum potential future exposure of $514 million at September 30, 2022. We also have residual value guarantees associated with railcar and airplane leases with maximum potential future exposures totaling $209 million. These leases have remaining terms of up to nine years. Guarantees of Joint Venture Obligations In March 2019, Phillips 66 Partners and its co-venturers in Dakota Access provided a CECU in conjunction with a senior unsecured notes offering. See Note 6—Investments, Loans and Long-Term Receivables, for additional information on Dakota Access and the CECU. At September 30, 2022, we also had other guarantees outstanding primarily for our portion of certain joint venture debt, which have remaining terms of up to three years. The maximum potential future exposures under these guarantees were approximately $85 million. Payment would be required if a joint venture defaults on its obligations. Indemnifications Over the years, we have entered into various agreements to sell ownership interests in certain corporations, joint ventures and assets that gave rise to indemnification. Agreements associated with these sales include indemnifications for taxes, litigation, environmental liabilities, permits and licenses, employee claims, and real estate tenant defaults. The provisions of these indemnifications vary greatly. The majority of these indemnifications are related to environmental issues, which generally have indefinite terms and potentially unlimited exposure. At September 30, 2022, and December 31, 2021, the carrying amount of recorded indemnifications was $133 million and $144 million, respectively. We amortize the indemnification liability over the relevant time period, if one exists, based on the facts and circumstances surrounding each type of indemnity. In cases where the indemnification term is indefinite, we will reverse the liability when we have information to support the reversal. Although it is reasonably possible future payments may exceed amounts recorded, due to the nature of the indemnifications, it is not possible to make a reasonable estimate of the maximum potential amount of future payments. At September 30, 2022, and December 31, 2021, environmental accruals for known contamination of $104 million and $106 million, respectively, were included in the carrying amount of the recorded indemnifications noted above. These environmental accruals were primarily included in the “Asset retirement obligations and accrued environmental costs” line item on our consolidated balance sheet. For additional information about environmental liabilities, see Note 12—Contingencies and Commitments. Indemnification and Release Agreement In 2012, in connection with our separation from ConocoPhillips, we entered into an Indemnification and Release Agreement. This agreement governs the treatment between ConocoPhillips and us of matters relating to indemnification, insurance, litigation responsibility and management, and litigation document sharing and cooperation arising in connection with the separation. Generally, the agreement provides for cross indemnities principally designed to place financial responsibility for the obligations and liabilities of our business with us and financial responsibility for the obligations and liabilities of ConocoPhillips’ business with ConocoPhillips. The agreement also establishes procedures for handling claims subject to indemnification and related matters. |
Contingencies and Commitments
Contingencies and Commitments | 9 Months Ended |
Sep. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Contingencies and Commitments | Contingencies and Commitments A number of lawsuits involving a variety of claims that arose in the ordinary course of business have been filed against us or are subject to indemnifications provided by us. We also may be required to remove or mitigate the effects on the environment of the placement, storage, disposal or release of certain chemical, mineral and petroleum substances at various active and inactive sites. We regularly assess the need for financial recognition or disclosure of these contingencies. In the case of all known contingencies (other than those related to income taxes), we accrue a liability when the loss is probable and the amount is reasonably estimable. If a range of amounts can be reasonably estimated and no amount within the range is a better estimate than any other amount, then the minimum of the range is accrued. We do not reduce these liabilities for potential insurance or third-party recoveries. If applicable, we accrue receivables for probable insurance or other third-party recoveries. In the case of income tax-related contingencies, we use a cumulative probability-weighted loss accrual in cases where sustaining a tax position is uncertain. Based on currently available information, we believe it is remote that future costs related to known contingent liability exposures will exceed current accruals by an amount that would have a material adverse impact on our consolidated financial statements. As we learn new facts concerning contingencies, we reassess our position both with respect to accrued liabilities and other potential exposures. Estimates particularly sensitive to future changes include contingent liabilities recorded for environmental remediation, tax and legal matters. Estimated future environmental remediation costs are subject to change due to such factors as the uncertain magnitude of cleanup costs, the unknown time and extent of such remedial actions that may be required, and the determination of our liability in proportion to that of other potentially responsible parties. Estimated future costs related to tax and legal matters are subject to change as events evolve and as additional information becomes available during the administrative and litigation processes. Environmental We are subject to international, federal, state and local environmental laws and regulations. When we prepare our consolidated financial statements, we record accruals for environmental liabilities based on management’s best estimates, using information available at the time. We measure estimates and base contingent liabilities on currently available facts, existing technology and presently enacted laws and regulations, taking into account stakeholder and business considerations. When measuring contingent environmental liabilities, we also consider our prior experience in remediation of contaminated sites, other companies’ cleanup experience, and data released by the EPA or other organizations. We consider unasserted claims in our determination of environmental liabilities, and we accrue them in the period they are both probable and reasonably estimable. Although liability for environmental remediation costs is generally joint and several for federal sites and frequently so for state sites, we are usually only one of many companies alleged to have liability at a particular site. Due to such joint and several liabilities, we could be responsible for all cleanup costs related to any site at which we have been designated as a potentially responsible party. We have been successful to date in sharing cleanup costs with other financially sound companies. Many of the sites for which we are potentially responsible are still under investigation by the EPA or the state agencies concerned. Prior to actual cleanup, those potentially responsible normally assess the site conditions, apportion responsibility and determine the appropriate remediation. In some instances, we may have no liability or may attain a settlement of liability. Where it appears that other potentially responsible parties may be financially unable to bear their proportional share, we consider this inability in estimating our potential liability, and we adjust our accruals accordingly. As a result of various acquisitions in the past, we assumed certain environmental obligations. Some of these environmental obligations are mitigated by indemnifications made by others for our benefit, although some of the indemnifications are subject to dollar and time limits. We are currently participating in environmental assessments and cleanups at numerous federal Superfund and comparable state sites. After an assessment of environmental exposures for cleanup and other costs, we make accruals on an undiscounted basis (except those pertaining to sites acquired in a business combination, which we record on a discounted basis) for planned investigation and remediation activities for sites where it is probable future costs will be incurred and these costs can be reasonably estimated. At September 30, 2022, and December 31, 2021, our total environmental accruals were $436 million. We expect to incur a substantial amount of these expenditures within the next 30 years. We have not reduced these accruals for possible insurance recoveries. In the future, we may be involved in additional environmental assessments, cleanups and proceedings. Legal Proceedings Our legal organization applies its knowledge, experience and professional judgment to the specific characteristics of our cases, employing a litigation management process to manage and monitor the legal proceedings against us. Our process facilitates the early evaluation and quantification of potential exposures in individual cases and enables the tracking of those cases that have been scheduled for trial and/or mediation. Based on professional judgment and experience in using these litigation management tools and available information about current developments in all our cases, our legal organization regularly assesses the adequacy of current accruals and determines if adjustment of existing accruals, or establishment of new accruals, is required. Other Contingencies We have contingent liabilities resulting from throughput agreements with pipeline and processing companies not associated with financing arrangements. Under these agreements, we may be required to provide any such company with additional funds through advances and penalties for fees related to throughput capacity not utilized. At September 30, 2022, we had performance obligations secured by letters of credit and bank guarantees of $1,355 million related to various purchase and other commitments incident to the ordinary conduct of business. |
Derivatives and Financial Instr
Derivatives and Financial Instruments | 9 Months Ended |
Sep. 30, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives and Financial Instruments | Derivatives and Financial Instruments Derivative Instruments We use financial and commodity-based derivative contracts to manage exposures to fluctuations in commodity prices, interest rates and foreign currency exchange rates, or to capture market opportunities. Because we do not apply hedge accounting for commodity derivative contracts, all realized and unrealized gains and losses from commodity derivative contracts are recognized in our consolidated statement of income. Gains and losses from derivative contracts held for trading not directly related to our physical business are reported net in the “Other income” line item on our consolidated statement of income. Cash flows from all our derivative activity for the periods presented appear in the operating section on our consolidated statement of cash flows. Purchase and sales contracts with firm minimum notional volumes for commodities that are readily convertible to cash are recorded on our consolidated balance sheet as derivatives unless the contracts are eligible for, and we elect, the normal purchases and normal sales exception, whereby the contracts are recorded on an accrual basis. We generally apply the normal purchases and normal sales exception to eligible crude oil, refined petroleum product, NGL, natural gas, renewable feedstock, and power commodity contracts to purchase or sell quantities we expect to use or sell in the normal course of business. All other derivative instruments are recorded at fair value on our consolidated balance sheet. For further information on the fair value of derivatives, see Note 14—Fair Value Measurements. Commodity Derivative Contracts —We sell into or receive supply from the worldwide crude oil, refined petroleum product, NGL, natural gas, renewable feedstock, and electric power markets, exposing our revenues, purchases, cost of operating activities and cash flows to fluctuations in the prices for these commodities. Generally, our policy is to remain exposed to the market prices of commodities; however, we use futures, forwards, swaps and options in various markets to balance physical systems, meet customer needs, manage price exposures on specific transactions, and do a limited amount of trading not directly related to our physical business, all of which may reduce our exposure to fluctuations in market prices. We also use the market knowledge gained from these activities to capture market opportunities such as moving physical commodities to more profitable locations, storing commodities to capture seasonal or time premiums, and blending commodities to capture quality upgrades. DCP Midstream Class A Segment Through DCP LP’s operations, DCP Midstream Class A Segment is exposed to a variety of risks including but not limited to changes in the prices of commodities that DCP LP buys or sells, changes in interest rates, and the creditworthiness of each of DCP LP’s counterparties. DCP LP manages certain of these exposures with either physical or financial transactions. DCP LP has established a comprehensive risk management policy and a risk management committee to monitor and manage market risks associated with commodity prices and counterparty credit. The risk management committee is composed of DCP LP’s senior executives who receive regular briefings on positions and exposures, credit exposures and overall risk management in the context of market activities. The risk management committee is responsible for the overall management of credit risk and commodity price risk, including monitoring exposure limits. Effective from the date of the merger, we include DCP LP’s financial instruments in our financial statements. See Note 1—Interim Financial Information, for additional information regarding the merger and the associated accounting treatment. The following table indicates the consolidated balance sheet line items that include the fair values of commodity derivative assets and liabilities. The balances in the following table are presented on a gross basis, before the effects of counterparty and collateral netting. However, we have elected to present our commodity derivative assets and liabilities with the same counterparty on a net basis on our consolidated balance sheet when the legal right of offset exists. Millions of Dollars September 30, 2022 December 31, 2021 Commodity Derivatives Effect of Collateral Netting Net Carrying Value Presented on the Balance Sheet Commodity Derivatives Effect of Collateral Netting Net Carrying Value Presented on the Balance Sheet Assets Liabilities Assets Liabilities Assets Prepaid expenses and other current assets $ 4,239 (3,841) — 398 99 (20) — 79 Other assets 63 (26) — 37 3 (1) — 2 Liabilities Other accruals 3 (338) 42 (293) 758 (855) 49 (48) Other liabilities and deferred credits 30 (52) 3 (19) — (1) — (1) Total $ 4,335 (4,257) 45 123 860 (877) 49 32 At September 30, 2022, there was $219 million of collateral paid that was not offset on our consolidated balance sheet. At December 31, 2021, there was no material cash collateral received or paid that was not offset on our consolidated balance sheet. The realized and unrealized gains (losses) incurred from commodity derivatives, and the line items where they appear on our consolidated statement of income, were: Millions of Dollars Three Months Ended Nine Months Ended 2022 2021 2022 2021 Sales and other operating revenues $ 432 (214) (123) (530) Other income 22 11 84 30 Purchased crude oil and products 166 66 (315) (282) Net gain (loss) from commodity derivative activity $ 620 (137) (354) (782) The following table summarizes our material net exposures resulting from outstanding commodity derivative contracts. These financial and physical derivative contracts are primarily used to manage price exposure on our underlying operations. The underlying exposures may be from nonderivative positions such as inventory volumes. Financial derivative contracts may also offset physical derivative contracts, such as forward purchase and sales contracts. The percentage of our derivative contract volumes expiring within the next 12 months was more than 90% at September 30, 2022, and December 31, 2021. Open Position September 30 December 31 Commodity Crude oil, refined petroleum products, NGL and renewable feedstocks (millions of barrels) (29) (18) Natural gas (billions of cubic feet) (84) — Credit Risk from Derivative Instruments The credit risk from our derivative contracts, such as forwards and swaps, derives from the counterparty to the transaction. Individual counterparty exposure is managed within predetermined credit limits and includes the use of cash-call margins when appropriate, thereby reducing the risk of significant nonperformance. We also use futures, swaps and option contracts that have a negligible credit risk because these trades are cleared with an exchange clearinghouse and subject to mandatory margin requirements, typically on a daily basis, until settled. Certain of our derivative instruments contain provisions that require us to post collateral if the derivative exposure exceeds a threshold amount. We have contracts with fixed threshold amounts and other contracts with variable threshold amounts that are contingent on our credit rating. The variable threshold amounts typically decline for lower credit ratings, while both the variable and fixed threshold amounts typically revert to zero if our credit ratings fall below investment grade. Cash is the primary collateral in all contracts; however, many contracts also permit us to post letters of credit as collateral. The aggregate fair values of all derivative instruments with such credit-risk-related contingent features that were in a liability position were immaterial at September 30, 2022, and December 31, 2021. |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Sep. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements Recurring Fair Value Measurements We carry certain assets and liabilities at fair value, which we measure at the reporting date using the price that would be received to sell an asset or paid to transfer a liability (i.e., an exit price), and disclose the quality of these fair values based on the valuation inputs used in these measurements under the following hierarchy: • Level 1: Fair value measured with unadjusted quoted prices from an active market for identical assets or liabilities. • Level 2: Fair value measured either with: (1) adjusted quoted prices from an active market for similar assets or liabilities; or (2) other valuation inputs that are directly or indirectly observable. • Level 3: Fair value measured with unobservable inputs that are significant to the measurement. We classify the fair value of an asset or liability based on the significance of its observable or unobservable inputs to the measurement. However, the fair value of an asset or liability initially reported as Level 3 will be subsequently reported as Level 2 if the unobservable inputs become inconsequential to its measurement or corroborating market data becomes available. Conversely, an asset or liability initially reported as Level 2 will be subsequently reported as Level 3 if corroborating market data becomes unavailable. We used the following methods and assumptions to estimate the fair value of financial instruments: • Cash and cash equivalents —The carrying amount reported on our consolidated balance sheet approximates fair value. • Accounts and notes receivable —The carrying amount reported on our consolidated balance sheet approximates fair value. • Derivative instruments —The fair value of our exchange-traded contracts is based on quoted market prices obtained from the New York Mercantile Exchange, the Intercontinental Exchange or other exchanges, and is reported as Level 1 in the fair value hierarchy. When exchange-cleared contracts lack sufficient liquidity, or are valued using either adjusted exchange-provided prices or nonexchange quotes, we classify those contracts as Level 2. Physical commodity forward purchase and sales contracts and over-the-counter (OTC) financial swaps are generally valued using forward quotes provided by brokers and price index developers, such as Platts and Oil Price Information Service. We corroborate these quotes with market data and classify the resulting fair values as Level 2. When forward market prices are not available, we estimate fair value using the forward price of a similar commodity, adjusted for the difference in quality or location. In certain less liquid markets or for longer-term contracts, forward prices are not as readily available. In these circumstances, physical commodity purchase and sales contracts and OTC swaps are valued using internally developed methodologies that consider historical relationships among various commodities that result in management’s best estimate of fair value. We classify these contracts as Level 3. Physical and OTC commodity options are valued using industry-standard models that consider various assumptions, including quoted forward prices for commodities, time value, volatility factors and contractual prices for the underlying instruments, as well as other relevant economic measures. The degree to which these inputs are observable in the forward markets determines whether the options are classified as Level 2 or 3. We use a midmarket pricing convention (the midpoint between bid and ask prices). When appropriate, valuations are adjusted to reflect credit considerations, generally based on available market evidence. We determine the fair value of interest rate swaps based on observable market valuations for interest rate swaps that have notional amounts, terms and pay and reset frequencies similar to ours. • Rabbi trust assets —These deferred compensation investments are measured at fair value using unadjusted quoted prices available from national securities exchanges and are therefore categorized as Level 1 in the fair value hierarchy. • Investment in NOVONIX —Our investment in NOVONIX is measured at fair value using unadjusted quoted prices available from the Australian Securities Exchange and is therefore categorized as Level 1 in the fair value hierarchy. • Other investments —Includes other marketable securities with observable market prices. • Debt —The carrying amount of our floating-rate debt approximates fair value. The fair value of our fixed-rate debt is estimated based on observable market prices. The following tables display the fair value hierarchy for our financial assets and liabilities either accounted for or disclosed at fair value on a recurring basis. These values are determined by treating each contract as the fundamental unit of account; therefore, derivative assets and liabilities with the same counterparty are shown on a gross basis in the hierarchy sections of these tables, before the effects of counterparty and collateral netting. The following tables also reflect the effect of netting derivative assets and liabilities with the same counterparty for which we have the legal right of offset and collateral netting. The carrying values and fair values by hierarchy of our financial assets and liabilities, either carried or disclosed at fair value, including any effects of counterparty and collateral netting, were: Millions of Dollars September 30, 2022 Fair Value Hierarchy Total Fair Value of Gross Assets & Liabilities Effect of Counterparty Netting Effect of Collateral Netting Difference in Carrying Value and Fair Value Net Carrying Value Presented on the Balance Sheet Level 1 Level 2 Level 3 Commodity Derivative Assets Exchange-cleared instruments $ 4,058 103 3 4,164 (3,870) — — 294 OTC instruments — 22 20 42 — — — 42 Physical forward contracts — 127 2 129 (30) — — 99 Rabbi trust assets 121 — — 121 N/A N/A — 121 Investment in NOVONIX 89 — — 89 N/A N/A — 89 Other investments 40 — — 40 N/A N/A — 40 $ 4,308 252 25 4,585 (3,900) — — 685 Commodity Derivative Liabilities Exchange-cleared instruments $ 3,931 246 5 4,182 (3,870) (45) — 267 OTC instruments — 5 — 5 — — — 5 Physical forward contracts — 70 — 70 (30) — — 40 Floating-rate debt — 25 — 25 N/A N/A — 25 Fixed-rate debt, excluding finance leases and software obligations — 15,846 — 15,846 N/A N/A 1,497 17,343 $ 3,931 16,192 5 20,128 (3,900) (45) 1,497 17,680 Millions of Dollars December 31, 2021 Fair Value Hierarchy Total Fair Value of Gross Assets & Liabilities Effect of Counterparty Netting Effect of Collateral Netting Difference in Carrying Value and Fair Value Net Carrying Value Presented on the Balance Sheet Level 1 Level 2 Level 3 Commodity Derivative Assets Exchange-cleared instruments $ 419 368 — 787 (779) — — 8 Physical forward contracts — 73 — 73 — — — 73 Rabbi trust assets 158 — — 158 N/A N/A — 158 Investment in NOVONIX 520 — — 520 N/A N/A — 520 $ 1,097 441 — 1,538 (779) — — 759 Commodity Derivative Liabilities Exchange-cleared instruments $ 463 362 — 825 (779) (49) — (3) OTC instruments — 1 — 1 — — — 1 Physical forward contracts — 51 — 51 — — — 51 Floating-rate debt — 475 — 475 N/A N/A — 475 Fixed-rate debt, excluding finance leases and software obligations — 15,353 — 15,353 N/A N/A (1,686) 13,667 $ 463 16,242 — 16,705 (779) (49) (1,686) 14,191 The rabbi trust assets and investment in NOVONIX are recorded in the “Investments and long-term receivables” line item, and floating-rate and fixed-rate debt are recorded in the “Short-term debt” and “Long-term debt” line items on our consolidated balance sheet. See Note 13—Derivatives and Financial Instruments, for information regarding where the assets and liabilities related to our commodity derivatives are recorded on our consolidated balance sheet. Nonrecurring Fair Value Measurements Equity Investment In the first quarter of 2021, Phillips 66 Partners wrote down the book value of its investment in Liberty to estimated fair value using a Level 3 nonrecurring fair value measurement. This nonrecurring measurement was based on the estimated fair value of Phillips 66 Partners’ share of the joint venture’s pipeline assets and net working capital at March 31, 2021. PP&E In the third quarter of 2021, we remeasured the carrying value of the net PP&E of our Alliance Refinery asset group to fair value. The fair value of PP&E was determined using a combination of the income, cost and sales comparison approaches. The income approach used a discounted cash flow model that requires various observable and non-observable inputs, such as commodity prices, margins, operating rates, sales volumes, operating expenses, capital expenditures, terminal-year values and a risk-adjusted discount rate. The cost approach used assumptions for the current replacement costs of similar plant and equipment assets adjusted for estimated physical deterioration, functional obsolescence and economic obsolescence. The sales comparison approach used the value of similar properties recently sold or currently offered for sale. This valuation resulted in a Level 3 nonrecurring fair value measurement. DCP Midstream and Gray Oak Holdings Merger In the third quarter of 2022, we and Enbridge agreed to merge DCP Midstream and Gray Oak Holdings with DCP Midstream as the surviving entity. As a result, we began consolidating the financial results of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills, and accordingly, accounted for the business combination using the acquisition method of accounting, which requires DCP Midstream Class A Segment’s, DCP Sand Hills’ and DCP Southern Hills’, assets and liabilities to be recorded at fair value as of the acquisition date on our consolidated balance sheet. See Note 2—Business Combination, for additional information on the merger transaction. Equity Investments The preliminary fair value of the investments we acquired that are accounted for under the equity method was $2,192 million. The preliminary fair value of these assets was determined using the income approach. The income approach used discounted cash flow models that require various observable and non-observable inputs, such as margins, tariffs and rates, utilization, volumes, product costs, operating expenses, capital expenditures, terminal-year values and risk-adjusted discount rates. These valuations resulted in Level 3 nonrecurring fair value measurements. PP&E The preliminary fair value of PP&E was $12,837 million. The preliminary fair value of these assets was determined primarily using the cost approach. The cost approach used assumptions for the current replacement costs of similar plant and equipment assets adjusted for estimated physical deterioration, functional obsolescence and economic obsolescence. These valuations resulted in Level 3 nonrecurring fair value measurements. Debt The preliminary fair value of DCP LP’s senior and junior subordinated notes was measured using a market approach, based on the average of quotes for the acquired debt from major financial institutions. These valuations resulted in Level 2 nonrecurring fair value measurements. Gain Related to Merger of Businesses In connection with the merger, we recognized gains totaling $2,831 million from remeasuring our previously held equity investments to their fair values and a gain of $182 million related to the transfer of a 35.75% indirect economic interest in Gray Oak Pipeline to our co-venturer. The preliminary fair values of our previously held equity interest in DCP Midstream and the equity interest in Gray Oak Pipeline we transferred were primarily based on DCP LP’s publicly traded common unit market price on the effective date of the merger, August 17, 2022, the cash consideration contributed and obligations that were deemed to be effectively settled. This valuation resulted in Level 1 nonrecurring fair value measurements. The preliminary fair values of our previously held equity interests in DCP Sand Hills and DCP Southern Hills were determined using the income approach. The income approach used discounted cash flow models that require various observable and non-observable inputs, such as tariffs, volumes, operating expenses, capital expenditures, terminal-year values and risk-adjusted discount rates. These valuations resulted in Level 3 nonrecurring fair value measurements. Noncontrolling Interest As a result of our consolidation of the DCP Midstream Class A Segment, the noncontrolling interests held in the DCP Midstream Class A Segment were recorded at their estimated fair values on the merger date. These noncontrolling interests include Enbridge’s indirect economic interest in DCP LP, the public holders of DCP LP’s common units and the holders of DCP LP’s preferred units. The fair value of the noncontrolling interests in DCP LP’s common units was based on their unit market price as of the date of the merger, August 17, 2022. The fair value of the noncontrolling interests in DCP LP’s publicly traded preferred units was based on their respective market price as of the date of the merger, August 17, 2022. These valuations resulted in Level 1 nonrecurring fair value measurements. The preliminary fair value of the noncontrolling interests in DCP LP’s other preferred units was based on an income approach that used projected distributions that were discounted using an average implied yield of DCP LP’s publicly traded preferred units. This valuation resulted in a Level 2 nonrecurring fair value measurement. |
Pension and Postretirement Plan
Pension and Postretirement Plans | 9 Months Ended |
Sep. 30, 2022 | |
Retirement Benefits [Abstract] | |
Pension and Postretirement Plans | Pension and Postretirement Plans The components of net periodic benefit cost for the three and nine months ended September 30, 2022 and 2021, were as follows: Millions of Dollars Pension Benefits Other Benefits 2022 2021 2022 2021 U.S. Int’l. U.S. Int’l. Components of Net Periodic Benefit Cost Three Months Ended September 30 Service cost $ 28 6 37 9 1 1 Interest cost 28 5 20 5 1 2 Expected return on plan assets (31) (13) (39) (15) — — Amortization of prior service credit — — — — — (1) Amortization of net actuarial loss (gain) 6 3 8 7 (1) — Settlements 20 9 18 — — — Net periodic benefit cost* $ 51 10 44 6 1 2 Nine Months Ended September 30 Service cost $ 98 21 111 26 3 4 Interest cost 70 16 60 14 4 4 Expected return on plan assets (109) (44) (121) (44) — — Amortization of prior service credit — — — — (1) (2) Amortization of net actuarial loss (gain) 18 9 37 19 (2) (1) Settlements 45 9 47 — — — Net periodic benefit cost* $ 122 11 134 15 4 5 * Included in the “Operating expenses” and “Selling, general and administrative expenses” line items on our consolidated statement of income. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 9 Months Ended |
Sep. 30, 2022 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive Loss Changes in the balances of each component of accumulated other comprehensive loss were as follows: Millions of Dollars Defined Benefit Plans Foreign Currency Translation Hedging Accumulated Other Comprehensive Loss December 31, 2021 $ (398) (45) (2) (445) Other comprehensive loss before reclassifications (1) (625) — (626) Amounts reclassified from accumulated other Defined benefit plans* Amortization of net actuarial loss, prior service credit and settlements 77 — — 77 Foreign currency translation — — — — Hedging — — — — Net current period other comprehensive income (loss) 76 (625) — (549) September 30, 2022 $ (322) (670) (2) (994) December 31, 2020 $ (809) 25 (5) (789) Other comprehensive income (loss) before reclassifications 184 (68) 1 117 Amounts reclassified from accumulated other comprehensive loss Defined benefit plans* Amortization of net actuarial loss, prior service credit and settlements 82 — — 82 Foreign currency translation — — — — Hedging — — 1 1 Net current period other comprehensive income (loss) 266 (68) 2 200 September 30, 2021 $ (543) (43) (3) (589) * Included in the computation of net periodic benefit cost. See Note 15—Pension and Postretirement Plans, for additional information. |
Related Party Transactions
Related Party Transactions | 9 Months Ended |
Sep. 30, 2022 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions Significant transactions with related parties were: Millions of Dollars Three Months Ended Nine Months Ended 2022 2021 2022 2021 Operating revenues and other income (a)(d) $ 1,599 1,005 4,914 2,734 Purchases (b)(d) 5,705 3,980 16,589 9,789 Operating expenses and selling, general and administrative expenses (c) 69 80 209 215 (a) We sold NGL, other petrochemical feedstocks and solvents to Chevron Phillips Chemical Company LLC (CPChem), NGL and certain feedstocks to DCP Midstream, gas oil and hydrogen feedstocks to Excel Paralubes LLC (Excel Paralubes), and refined petroleum products to several of our equity affiliates in the Marketing and Specialties segment, including OnCue and CF United. We also sold certain feedstocks and intermediate products to WRB and acted as an agent for WRB in supplying crude oil and other feedstocks for a fee. In addition, we charged several of our equity affiliates, including CPChem, for the use of common facilities, such as steam generators, waste and water treaters and warehouse facilities. (b) We purchased crude oil, refined petroleum products, NGL and solvents from WRB. We also purchased natural gas and NGL from DCP Midstream and CPChem, as well as other feedstocks from various equity affiliates, for use in our refinery and fractionation processes. In addition, we purchased base oils and fuel products from Excel Paralubes for use in our specialty and refining businesses. We paid NGL fractionation fees to CPChem. We also paid fees to various pipeline equity affiliates for transporting crude oil, refined petroleum products and NGL. (c) We paid consignment fees to CF United, and utility and processing fees to various equity affiliates. (d) As a result of the DCP Midstream and Gray Oak Holdings merger, DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills are no longer considered related parties to us after August 17, 2022. Accordingly, any sale and purchase transactions with them are excluded from the above disclosure after the merger. |
Segment Disclosures and Related
Segment Disclosures and Related Information | 9 Months Ended |
Sep. 30, 2022 | |
Segment Reporting [Abstract] | |
Segment Disclosures and Related Information | Segment Disclosures and Related Information Our operating segments are: 1) Midstream— Provides crude oil and refined petroleum product transportation, terminaling and processing services, as well as natural gas and NGL transportation, storage, fractionation, processing and marketing services, mainly in the United States. As a result of the merger on August 17, 2022, we began consolidating DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills. This segment also includes our 16% investment in NOVONIX. On March 9, 2022, we completed the merger between us and Phillips 66 Partners. See Note 1—Interim Financial Information and Note 21—Phillips 66 Partners LP, for additional information on these transactions. 2) Chemicals— Consists of our 50% equity investment in CPChem, which manufactures and markets petrochemicals and plastics on a worldwide basis. 3) Refining— Refines crude oil and other feedstocks into petroleum products, such as gasoline, distillates and aviation fuels, as well as renewable fuels, at 12 refineries in the United States and Europe. 4) Marketing and Specialties— Purchases for resale and markets refined petroleum products and renewable fuels, mainly in the United States and Europe. In addition, this segment includes the manufacturing and marketing of specialty products. Corporate and Other includes general corporate overhead, interest expense, our investment in new technologies and various other corporate activities. Corporate assets include all cash, cash equivalents and income tax-related assets. Intersegment sales are at prices that we believe approximate market. Analysis of Results by Operating Segment Millions of Dollars Three Months Ended Nine Months Ended 2022 2021 2022 2021 Sales and Other Operating Revenues * Midstream Total sales $ 5,035 3,067 12,938 8,049 Intersegment eliminations (777) (802) (2,379) (2,138) Total Midstream 4,258 2,265 10,559 5,911 Chemicals — 1 — 3 Refining Total sales 29,904 20,206 86,905 53,939 Intersegment eliminations (18,250) (12,853) (54,739) (32,826) Total Refining 11,654 7,353 32,166 21,113 Marketing and Specialties Total sales 29,866 21,184 89,595 53,286 Intersegment eliminations (837) (569) (2,635) (1,462) Total Marketing and Specialties 29,029 20,615 86,960 51,824 Corporate and Other 14 9 26 21 Consolidated sales and other operating revenues $ 44,955 30,243 129,711 78,872 * See Note 3—Sales and Other Operating Revenues, for further details on our disaggregated sales and other operating revenues. Income (Loss) Before Income Taxes Midstream $ 3,645 629 4,179 1,017 Chemicals 135 631 804 1,408 Refining 2,851 (1,126) 6,010 (2,895) Marketing and Specialties 847 545 1,928 1,311 Corporate and Other (320) (231) (829) (728) Consolidated income before income taxes $ 7,158 448 12,092 113 Millions of Dollars September 30 December 31 Total Assets Midstream $ 31,129 15,932 Chemicals 6,675 6,453 Refining 22,628 19,952 Marketing and Specialties 11,555 8,505 Corporate and Other 5,352 4,752 Consolidated total assets $ 77,339 55,594 |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes Our effective income tax rate for the three and nine months ended September 30, 2022, was 23% and 22%, respectively, compared with (9)% and (97)%, respectively, for the corresponding periods of 2021. The increase in our effective tax rate for the three and nine months ended September 30, 2022, was primarily attributable to the discrete tax treatment of the Alliance Refinery impairment in 2021. The tax consequences of the impairment were not included in our estimated annual effective tax rate but instead were fully reported in the third quarter of 2021. Additionally, the tax consequences of the gain recognized related to the DCP Midstream and Gray Oak Holdings merger were not included in our estimated annual effective tax rate but instead were fully reported in the third quarter of 2022 as a discrete item. See Note 1—Interim Financial Information, for additional information on this merger. The effective tax rate for the three and nine months ended September 30, 2022, varied from the U.S. federal statutory income tax rate primarily due to state income taxes. On August 16, 2022, the U.S. government enacted the Inflation Reduction Act of 2022 (IRA) that includes, among other provisions, changes to the U.S. corporate income tax system, including a 15% minimum tax based on adjusted financial statement income as defined in the IRA, which is effective after December 31, 2022. We are continuing to evaluate the IRA and its requirements, as well as the application to our business. |
DCP Midstream, LP
DCP Midstream, LP | 9 Months Ended |
Sep. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
DCP Midstream Class A Segment | Note 20—DCP Midstream Class A Segment DCP Midstream Class A Segment is a VIE and we are the primary beneficiary. DCP Midstream Class A Segment is comprised of the businesses, activities, assets and liabilities of DCP LP and its subsidiaries and its general partner entities. Refer to Note 1—Interim Financial Information and Note 2—Business Combination, for more details on the DCP Midstream and Gray Oak Holdings merger transaction and related accounting. DCP LP, headquartered in Denver, Colorado, is a publicly traded MLP whose operations currently include producing and fractionating NGL, gathering, compressing, treating and processing natural gas; recovering condensate; and transporting, trading, marketing and sorting natural gas and NGL. As a result of our consolidation of DCP Midstream Class A Segment, the public common and preferred unitholders’ ownership interests and Enbridge’s indirect economic interest in DCP LP are reflected as noncontrolling interests in our consolidated financial statements. At September 30, 2022, we held a 43.31% indirect economic interest in DCP LP. The most significant assets of DCP Midstream Class A Segment that are available to settle only its obligations, along with its most significant liabilities for which its creditors do not have recourse to Phillips 66’s general credit, were: Millions of Dollars September 30, 2022 Accounts receivable, trade* $ 1,298 Net properties, plants and equipment 9,295 Investments in unconsolidated affiliates** 2,185 Accounts payable 1,351 Short-term debt 506 Long-term debt 4,192 * Included in the “Accounts and notes receivable” line item on the Phillips 66 consolidated balance sheet. ** Included in the “Investments and long-term receivables” line item on the Phillips 66 consolidated balance sheet. Preferred Units DCP LP’s preferred units rank senior to its common units with respect to distribution rights and rights upon liquidations. Holders of DCP LP’s preferred units have no voting rights except for certain limited protective voting rights. Distributions on the preferred units are payable out of DCP LP’s available cash, are accretive and are cumulative from the date of original issuance of the preferred units. Distributions on the Series A preferred units are payable semiannually in arrears in June and December of each year. Distributions on the Series B preferred units are payable quarterly in arrears in March, June, September and December of each year. Distributions on the Series C preferred units are payable quarterly in arrears in January, April, July and October of each year. As of September 30, 2022, DCP LP had 500,000 Series A preferred units outstanding with an aggregate liquidation preference of $500 million, 6,450,000 Series B preferred units outstanding with an aggregate liquidation preference of approximately $161 million, and 4,400,000 Series C preferred units outstanding with an aggregate liquidation preference of $110 million. The Series B and C preferred units are publicly traded. Common Units As of September 30, 2022, DCP LP had approximately 208 million of common units outstanding, of which approximately 90 million were publicly held. In addition, Enbridge holds a 23.36% economic interest in the approximately 118 million common units held by DCP Midstream Class A Segment. Common Unit Acquisition Proposal On August 17, 2022, we announced the submission of a non-binding proposal to the board of the general partner of DCP LP offering to acquire all publicly held common units of DCP LP for cash consideration of $34.75 per unit. The proposed transaction is subject to the negotiation and execution of a definitive agreement, and approval of such definitive agreement and transactions contemplated therein by the board of the general partner of DCP LP and the special committee appointed by the board. There can be no assurance that the definitive agreement will be executed or that any transaction will be consummated on the terms described above, or at all. |
Phillips 66 Partners LP
Phillips 66 Partners LP | 9 Months Ended |
Sep. 30, 2022 | |
Limited Liability Company or Limited Partnership, Business Organization and Operations [Abstract] | |
Phillips 66 Partners LP | Phillips 66 Partners LP On March 9, 2022, we completed the merger between us and Phillips 66 Partners. The merger resulted in the acquisition of all limited partnership interests in Phillips 66 Partners not already owned by us in exchange for approximately 42 million shares of Phillips 66 common stock issued from treasury stock. Phillips 66 Partners common unitholders received 0.50 shares of Phillips 66 common stock for each outstanding Phillips 66 Partners common unit. Phillips 66 Partners’ perpetual convertible preferred units were converted into common units at a premium to the original issuance price prior to being exchanged for Phillips 66 common stock. Upon closing, Phillips 66 Partners became a wholly owned subsidiary of Phillips 66 and its common units are no longer publicly traded. The merger was accounted for as an equity transaction and resulted in decreases to “Treasury stock” of $3,380 million, “Noncontrolling interests” of $2,163 million, “Capital in excess of par” of $901 million, “Deferred income taxes” of $323 million, and “Cash and cash equivalents” of $2 million, and an increase to “Other accruals” of $5 million on our consolidated balance sheet. |
Restructuring
Restructuring | 9 Months Ended |
Sep. 30, 2022 | |
Restructuring and Related Activities [Abstract] | |
Restructuring | RestructuringIn April 2022, we announced that we are progressing a multi-year business transformation focused on enterprise-wide opportunities to improve our cost structure. For the three and nine months ended September 30, 2022, we recorded restructuring costs totaling $74 million and $99 million, respectively, primarily related to consulting fees and severance accruals. These costs are recorded in the “Selling, general and administrative expenses” line item on our consolidated statement of income and are reported in our Corporate segment. |
Earnings Per Share (Policies)
Earnings Per Share (Policies) | 9 Months Ended |
Sep. 30, 2022 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share The numerator of basic earnings per share (EPS) is net income attributable to Phillips 66, adjusted for noncancelable dividends paid on unvested share-based employee awards during the vesting period (participating securities) and the premium paid for the repurchase of noncontrolling interests. The denominator of basic EPS is the sum of the daily weighted-average number of common shares outstanding during the periods presented and fully vested stock and unit awards that have not yet been issued as common stock. The numerator of diluted EPS is also based on net income attributable to Phillips 66, which is reduced by dividend equivalents paid on participating securities for which the dividends are more dilutive than the participation of the awards in the earnings of the periods presented, and the premium paid for the repurchase of noncontrolling interests. To the extent unvested stock, unit or option awards and vested unexercised stock options are dilutive, they are included with the weighted-average common shares outstanding in the denominator. Treasury stock is excluded from the denominator in both basic and diluted EPS. |
Contingencies and Commitments | A number of lawsuits involving a variety of claims that arose in the ordinary course of business have been filed against us or are subject to indemnifications provided by us. We also may be required to remove or mitigate the effects on the environment of the placement, storage, disposal or release of certain chemical, mineral and petroleum substances at various active and inactive sites. We regularly assess the need for financial recognition or disclosure of these contingencies. In the case of all known contingencies (other than those related to income taxes), we accrue a liability when the loss is probable and the amount is reasonably estimable. If a range of amounts can be reasonably estimated and no amount within the range is a better estimate than any other amount, then the minimum of the range is accrued. We do not reduce these liabilities for potential insurance or third-party recoveries. If applicable, we accrue receivables for probable insurance or other third-party recoveries. In the case of income tax-related contingencies, we use a cumulative probability-weighted loss accrual in cases where sustaining a tax position is uncertain. Based on currently available information, we believe it is remote that future costs related to known contingent liability exposures will exceed current accruals by an amount that would have a material adverse impact on our consolidated financial statements. As we learn new facts concerning contingencies, we reassess our position both with respect to accrued liabilities and other potential exposures. Estimates particularly sensitive to future changes include contingent liabilities recorded for environmental remediation, tax and legal matters. Estimated future environmental remediation costs are subject to change due to such factors as the uncertain magnitude of cleanup costs, the unknown time and extent of such remedial actions that may be required, and the determination of our liability in proportion to that of other potentially responsible parties. Estimated future costs related to tax and legal matters are subject to change as events evolve and as additional information becomes available during the administrative and litigation processes. |
Recurring Fair Value Measurements | Recurring Fair Value Measurements We carry certain assets and liabilities at fair value, which we measure at the reporting date using the price that would be received to sell an asset or paid to transfer a liability (i.e., an exit price), and disclose the quality of these fair values based on the valuation inputs used in these measurements under the following hierarchy: • Level 1: Fair value measured with unadjusted quoted prices from an active market for identical assets or liabilities. • Level 2: Fair value measured either with: (1) adjusted quoted prices from an active market for similar assets or liabilities; or (2) other valuation inputs that are directly or indirectly observable. • Level 3: Fair value measured with unobservable inputs that are significant to the measurement. We classify the fair value of an asset or liability based on the significance of its observable or unobservable inputs to the measurement. However, the fair value of an asset or liability initially reported as Level 3 will be subsequently reported as Level 2 if the unobservable inputs become inconsequential to its measurement or corroborating market data becomes available. Conversely, an asset or liability initially reported as Level 2 will be subsequently reported as Level 3 if corroborating market data becomes unavailable. We used the following methods and assumptions to estimate the fair value of financial instruments: • Cash and cash equivalents —The carrying amount reported on our consolidated balance sheet approximates fair value. • Accounts and notes receivable —The carrying amount reported on our consolidated balance sheet approximates fair value. • Derivative instruments —The fair value of our exchange-traded contracts is based on quoted market prices obtained from the New York Mercantile Exchange, the Intercontinental Exchange or other exchanges, and is reported as Level 1 in the fair value hierarchy. When exchange-cleared contracts lack sufficient liquidity, or are valued using either adjusted exchange-provided prices or nonexchange quotes, we classify those contracts as Level 2. Physical commodity forward purchase and sales contracts and over-the-counter (OTC) financial swaps are generally valued using forward quotes provided by brokers and price index developers, such as Platts and Oil Price Information Service. We corroborate these quotes with market data and classify the resulting fair values as Level 2. When forward market prices are not available, we estimate fair value using the forward price of a similar commodity, adjusted for the difference in quality or location. In certain less liquid markets or for longer-term contracts, forward prices are not as readily available. In these circumstances, physical commodity purchase and sales contracts and OTC swaps are valued using internally developed methodologies that consider historical relationships among various commodities that result in management’s best estimate of fair value. We classify these contracts as Level 3. Physical and OTC commodity options are valued using industry-standard models that consider various assumptions, including quoted forward prices for commodities, time value, volatility factors and contractual prices for the underlying instruments, as well as other relevant economic measures. The degree to which these inputs are observable in the forward markets determines whether the options are classified as Level 2 or 3. We use a midmarket pricing convention (the midpoint between bid and ask prices). When appropriate, valuations are adjusted to reflect credit considerations, generally based on available market evidence. We determine the fair value of interest rate swaps based on observable market valuations for interest rate swaps that have notional amounts, terms and pay and reset frequencies similar to ours. • Rabbi trust assets —These deferred compensation investments are measured at fair value using unadjusted quoted prices available from national securities exchanges and are therefore categorized as Level 1 in the fair value hierarchy. • Investment in NOVONIX —Our investment in NOVONIX is measured at fair value using unadjusted quoted prices available from the Australian Securities Exchange and is therefore categorized as Level 1 in the fair value hierarchy. • Other investments —Includes other marketable securities with observable market prices. • Debt —The carrying amount of our floating-rate debt approximates fair value. The fair value of our fixed-rate debt is estimated based on observable market prices. |
Business Combination (Tables)
Business Combination (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Business Combination and Asset Acquisition [Abstract] | |
Schedule of Fair Value of Consideration Transferred and Amounts Included in Operations | The components of the fair value of the merger consideration are: Millions of Dollars Cash contributed $ 404 Fair value of transferred equity interest 634 Fair value of previously held equity interests 3,853 Total merger consideration $ 4,891 The following “Sales and other operating revenues” and “Net Income Attributable to Phillips 66” of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills were included in our consolidated statement of income from August 18, 2022, forward. Millions of Dollars Sales and other operating revenues $ 1,368 Net Income Attributable to Phillips 66 125 |
Schedule of Purchase Price Allocation | The following table summarizes, based on our preliminary purchase price allocation described above, the fair values of the assets acquired and liabilities assumed of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills as of August 17, 2022: Millions of Dollars Fair value of assets acquired: Cash and cash equivalents $ 98 Accounts and notes receivable 1,003 Inventories 74 Prepaid expenses and other current assets 439 Investments and long-term receivables 2,192 Properties, plants and equipment 12,837 Intangibles 36 Other assets 343 Total assets acquired 17,022 Fair value of liabilities assumed: Accounts payable 912 Short-term debt 625 Accrued income and other taxes 107 Employee benefit obligation - current 50 Other accruals 497 Long-term debt 4,541 Asset retirement obligations and accrued environmental costs 168 Deferred income taxes 40 Employee benefit obligations 54 Other liabilities and deferred credits 227 Total liabilities assumed 7,221 Fair value of net assets 9,801 Less: Fair value of noncontrolling interests 4,910 Total merger consideration $ 4,891 |
Schedule of Pro Forma Financial Information | The following unaudited pro forma financial information presents consolidated results assuming the acquisition of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills occurred on January 1, 2021. The unaudited pro forma information includes adjustments based on currently available information and we believe the estimates and assumptions are reasonable, and the significant effects of the transactions are properly reflected in the unaudited pro forma information. An aggregate gain of $2,831 million was included in the pro forma financial information for the nine months ended September 30, 2021, which is related to the remeasurement of the previously held equity investments in DCP Midstream, DCP Sand Hills and DCP Southern Hills to their fair values in connection with the merger. Adjustments related to the economic interest change in our equity investment in Gray Oak Pipeline were excluded from the pro forma financial information. The unaudited pro forma information does not give effect to any potential synergies that could be achieved and is not necessarily indicative of the results of future operations. Three Months Ended Nine Months Ended 2022 2021 2022 2021 Sales and other operating revenues (millions) $ 46,892 32,109 136,848 83,878 Net Income Attributable to Phillips 66 (millions) 3,129 405 6,963 2,167 Net Income Attributable to Phillips 66 per share—basic (dollars) 6.50 0.92 14.76 4.91 Net Income Attributable to Phillips 66 per share—diluted (dollars) 6.48 0.92 14.71 4.90 |
Sales and Other Operating Rev_2
Sales and Other Operating Revenues (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Disaggregation of Revenue | The following tables present our disaggregated sales and other operating revenues: Millions of Dollars Three Months Ended Nine Months Ended 2022 2021 2022 2021 Product Line and Services Refined petroleum products $ 33,690 24,838 102,482 63,057 Crude oil resales 6,146 3,091 15,694 9,484 Natural gas liquids (NGL) and natural gas 4,217 2,331 10,702 6,048 Services and other * 902 (17) 833 283 Consolidated sales and other operating revenues $ 44,955 30,243 129,711 78,872 Geographic Location** United States $ 36,126 24,011 103,910 61,920 United Kingdom 4,485 2,948 13,168 8,070 Germany 1,769 1,194 4,944 3,049 Other foreign countries 2,575 2,090 7,689 5,833 Consolidated sales and other operating revenues $ 44,955 30,243 129,711 78,872 * Includes derivatives-related activities. See Note 13—Derivatives and Financial Instruments, for additional information. ** Sales and other operating revenues are attributable to countries based on the location of the operations generating the revenues. |
Inventories (Tables)
Inventories (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventories | Inventories consisted of the following: Millions of Dollars September 30 December 31 Crude oil and petroleum products $ 3,928 3,024 Materials and supplies 366 370 $ 4,294 3,394 |
Properties, Plants and Equipm_2
Properties, Plants and Equipment (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Properties, Plants and Equipment with Associated Accumulated Depreciation and Amortization | Our gross investment in PP&E and the associated accumulated depreciation and amortization (Accum. D&A) balances were as follows: Millions of Dollars September 30, 2022 December 31, 2021 Gross Accum. Net Gross Accum. Net Midstream $ 26,140 3,806 22,334 12,524 3,064 9,460 Chemicals — — — — — — Refining 23,274 12,173 11,101 23,878 12,517 11,361 Marketing and Specialties 1,676 980 696 1,819 1,035 784 Corporate and Other 1,534 703 831 1,576 746 830 $ 52,624 17,662 34,962 39,797 17,362 22,435 |
Impairments (Tables)
Impairments (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Impairments | Millions of Dollars Three Months Ended Nine Months Ended 2022 2021 2022 2021 Midstream $ — 10 1 208 Refining — 1,288 1 1,288 Total impairments $ — 1,298 2 1,496 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Earnings Per Share [Abstract] | |
Schedule of Reconciliation of Basic and Diluted Earnings Per Share | Three Months Ended Nine Months Ended 2022 2021 2022 2021 Basic Diluted Basic Diluted Basic Diluted Basic Diluted Amounts Attributed to Phillips 66 Common Stockholders (millions) : Net Income Attributable to Phillips 66 $ 5,391 5,391 402 402 9,140 9,140 44 44 Income allocated to participating securities (3) — (2) (2) (8) — (7) (7) Premium paid for the repurchase of noncontrolling interests — — — — — — (2) (2) Net income available to common stockholders $ 5,388 5,391 400 400 9,132 9,140 35 35 Weighted-average common shares outstanding (thousands) : 479,355 481,388 438,067 440,193 469,339 471,375 437,783 439,880 Effect of share-based compensation 2,033 1,648 2,126 175 2,036 2,077 2,097 379 Weighted-average common shares outstanding—EPS 481,388 483,036 440,193 440,368 471,375 473,452 439,880 440,259 Earnings Per Share of Common Stock (dollars) $ 11.19 11.16 0.91 0.91 19.37 19.31 0.08 0.08 |
Debt (Tables)
Debt (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Debt Disclosure [Abstract] | |
Schedule of Long-Term Debt | Short-term and long-term debt consisted of the following: Millions of Dollars September 30, 2022 December 31, 2021 Phillips 66 Phillips 66 Company Phillips 66 Partners DCP LP Total Phillips 66 Phillips 66 Partners Total 4.300% Senior Notes due April 2022 $ — — — — — 1,000 — 1,000 3.875% Senior Notes due March 2023 — — — 500 500 — — — 3.700% Senior Notes due April 2023 500 — — — 500 500 — 500 0.900% Senior Notes due February 2024 800 — — — 800 800 — 800 2.450% Senior Notes due December 2024 — 277 23 — 300 — 300 300 3.605% Senior Notes due February 2025 — 441 59 — 500 — 500 500 3.850% Senior Notes due April 2025 650 — — — 650 650 — 650 5.375% Senior Notes due July 2025 — — — 825 825 — — — 1.300% Senior Notes due February 2026 500 — — — 500 500 — 500 3.550% Senior Notes due October 2026 — 458 42 — 500 — 500 500 5.625% Senior Notes due July 2027 — — — 500 500 — — — 3.750% Senior Notes due March 2028 — 427 73 — 500 — 500 500 3.900% Senior Notes due March 2028 800 — — — 800 800 — 800 5.125% Senior Notes due May 2029 — — — 600 600 — — — 3.150% Senior Notes due December 2029 — 570 30 — 600 — 600 600 8.125% Senior Notes due August 2030 — — — 300 300 — — — 2.150% Senior Notes due December 2030 850 — — — 850 850 — 850 3.250% Senior Notes due February 2032 — — — 400 400 — — — 4.650% Senior Notes due November 2034 1,000 — — — 1,000 1,000 — 1,000 6.450% Senior Notes due November 2036 — — — 300 300 — — — 6.750% Senior Notes due September 2037 — — — 450 450 — — — 5.875% Senior Notes due May 2042 1,500 — — — 1,500 1,500 — 1,500 5.850% Junior Subordinated Notes due May 2043 — — — 550 550 — — — 5.600% Senior Notes due April 2044 — — — 400 400 — — — 4.875% Senior Notes due November 2044 1,700 — — — 1,700 1,700 — 1,700 4.680% Senior Notes due February 2045 — 442 8 — 450 — 450 450 4.900% Senior Notes due October 2046 — 605 20 — 625 — 625 625 3.300% Senior Notes due March 2052 1,000 — — — 1,000 1,000 — 1,000 Floating Rate Term Loan due April 2022 at 0.978% at year-end 2021 — — — — — — 450 450 Floating Rate Advance Term Loan due December 2034 at 3.124% and 0.699% at September 30, 2022 and year-end 2021, respectively—related party 25 — — — 25 25 — 25 Other 1 — — 14 15 1 — 1 Debt at face value 9,326 3,220 255 4,839 17,640 10,326 3,925 14,251 Fair value adjustment to debt acquired (125) Finance leases 269 290 Software obligations 20 16 Net unamortized discounts and debt issuance costs (147) (109) Total debt 17,657 14,448 Short-term debt (1,032) (1,489) Long-term debt $ 16,625 12,959 |
Derivatives and Financial Ins_2
Derivatives and Financial Instruments (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Offsetting Assets | The following table indicates the consolidated balance sheet line items that include the fair values of commodity derivative assets and liabilities. The balances in the following table are presented on a gross basis, before the effects of counterparty and collateral netting. However, we have elected to present our commodity derivative assets and liabilities with the same counterparty on a net basis on our consolidated balance sheet when the legal right of offset exists. Millions of Dollars September 30, 2022 December 31, 2021 Commodity Derivatives Effect of Collateral Netting Net Carrying Value Presented on the Balance Sheet Commodity Derivatives Effect of Collateral Netting Net Carrying Value Presented on the Balance Sheet Assets Liabilities Assets Liabilities Assets Prepaid expenses and other current assets $ 4,239 (3,841) — 398 99 (20) — 79 Other assets 63 (26) — 37 3 (1) — 2 Liabilities Other accruals 3 (338) 42 (293) 758 (855) 49 (48) Other liabilities and deferred credits 30 (52) 3 (19) — (1) — (1) Total $ 4,335 (4,257) 45 123 860 (877) 49 32 |
Schedule of Offsetting Liabilities | The following table indicates the consolidated balance sheet line items that include the fair values of commodity derivative assets and liabilities. The balances in the following table are presented on a gross basis, before the effects of counterparty and collateral netting. However, we have elected to present our commodity derivative assets and liabilities with the same counterparty on a net basis on our consolidated balance sheet when the legal right of offset exists. Millions of Dollars September 30, 2022 December 31, 2021 Commodity Derivatives Effect of Collateral Netting Net Carrying Value Presented on the Balance Sheet Commodity Derivatives Effect of Collateral Netting Net Carrying Value Presented on the Balance Sheet Assets Liabilities Assets Liabilities Assets Prepaid expenses and other current assets $ 4,239 (3,841) — 398 99 (20) — 79 Other assets 63 (26) — 37 3 (1) — 2 Liabilities Other accruals 3 (338) 42 (293) 758 (855) 49 (48) Other liabilities and deferred credits 30 (52) 3 (19) — (1) — (1) Total $ 4,335 (4,257) 45 123 860 (877) 49 32 |
Schedule of Fair Value of Commodity Derivative Assets and Liabilities and Gains (Losses) from Derivative Contracts | The realized and unrealized gains (losses) incurred from commodity derivatives, and the line items where they appear on our consolidated statement of income, were: Millions of Dollars Three Months Ended Nine Months Ended 2022 2021 2022 2021 Sales and other operating revenues $ 432 (214) (123) (530) Other income 22 11 84 30 Purchased crude oil and products 166 66 (315) (282) Net gain (loss) from commodity derivative activity $ 620 (137) (354) (782) |
Schedule of Material Net Exposures and Notional Amount of Derivative Contracts | The following table summarizes our material net exposures resulting from outstanding commodity derivative contracts. These financial and physical derivative contracts are primarily used to manage price exposure on our underlying operations. The underlying exposures may be from nonderivative positions such as inventory volumes. Financial derivative contracts may also offset physical derivative contracts, such as forward purchase and sales contracts. The percentage of our derivative contract volumes expiring within the next 12 months was more than 90% at September 30, 2022, and December 31, 2021. Open Position September 30 December 31 Commodity Crude oil, refined petroleum products, NGL and renewable feedstocks (millions of barrels) (29) (18) Natural gas (billions of cubic feet) (84) — |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value Hierarchy for Material Financial Instruments and Derivative Assets and Liabilities, Including the Effect of Counterparty Netting | The carrying values and fair values by hierarchy of our financial assets and liabilities, either carried or disclosed at fair value, including any effects of counterparty and collateral netting, were: Millions of Dollars September 30, 2022 Fair Value Hierarchy Total Fair Value of Gross Assets & Liabilities Effect of Counterparty Netting Effect of Collateral Netting Difference in Carrying Value and Fair Value Net Carrying Value Presented on the Balance Sheet Level 1 Level 2 Level 3 Commodity Derivative Assets Exchange-cleared instruments $ 4,058 103 3 4,164 (3,870) — — 294 OTC instruments — 22 20 42 — — — 42 Physical forward contracts — 127 2 129 (30) — — 99 Rabbi trust assets 121 — — 121 N/A N/A — 121 Investment in NOVONIX 89 — — 89 N/A N/A — 89 Other investments 40 — — 40 N/A N/A — 40 $ 4,308 252 25 4,585 (3,900) — — 685 Commodity Derivative Liabilities Exchange-cleared instruments $ 3,931 246 5 4,182 (3,870) (45) — 267 OTC instruments — 5 — 5 — — — 5 Physical forward contracts — 70 — 70 (30) — — 40 Floating-rate debt — 25 — 25 N/A N/A — 25 Fixed-rate debt, excluding finance leases and software obligations — 15,846 — 15,846 N/A N/A 1,497 17,343 $ 3,931 16,192 5 20,128 (3,900) (45) 1,497 17,680 Millions of Dollars December 31, 2021 Fair Value Hierarchy Total Fair Value of Gross Assets & Liabilities Effect of Counterparty Netting Effect of Collateral Netting Difference in Carrying Value and Fair Value Net Carrying Value Presented on the Balance Sheet Level 1 Level 2 Level 3 Commodity Derivative Assets Exchange-cleared instruments $ 419 368 — 787 (779) — — 8 Physical forward contracts — 73 — 73 — — — 73 Rabbi trust assets 158 — — 158 N/A N/A — 158 Investment in NOVONIX 520 — — 520 N/A N/A — 520 $ 1,097 441 — 1,538 (779) — — 759 Commodity Derivative Liabilities Exchange-cleared instruments $ 463 362 — 825 (779) (49) — (3) OTC instruments — 1 — 1 — — — 1 Physical forward contracts — 51 — 51 — — — 51 Floating-rate debt — 475 — 475 N/A N/A — 475 Fixed-rate debt, excluding finance leases and software obligations — 15,353 — 15,353 N/A N/A (1,686) 13,667 $ 463 16,242 — 16,705 (779) (49) (1,686) 14,191 |
Pension and Postretirement Pl_2
Pension and Postretirement Plans (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Retirement Benefits [Abstract] | |
Schedule of Components of Net Periodic Benefit Cost | The components of net periodic benefit cost for the three and nine months ended September 30, 2022 and 2021, were as follows: Millions of Dollars Pension Benefits Other Benefits 2022 2021 2022 2021 U.S. Int’l. U.S. Int’l. Components of Net Periodic Benefit Cost Three Months Ended September 30 Service cost $ 28 6 37 9 1 1 Interest cost 28 5 20 5 1 2 Expected return on plan assets (31) (13) (39) (15) — — Amortization of prior service credit — — — — — (1) Amortization of net actuarial loss (gain) 6 3 8 7 (1) — Settlements 20 9 18 — — — Net periodic benefit cost* $ 51 10 44 6 1 2 Nine Months Ended September 30 Service cost $ 98 21 111 26 3 4 Interest cost 70 16 60 14 4 4 Expected return on plan assets (109) (44) (121) (44) — — Amortization of prior service credit — — — — (1) (2) Amortization of net actuarial loss (gain) 18 9 37 19 (2) (1) Settlements 45 9 47 — — — Net periodic benefit cost* $ 122 11 134 15 4 5 * Included in the “Operating expenses” and “Selling, general and administrative expenses” line items on our consolidated statement of income. |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive Loss | Changes in the balances of each component of accumulated other comprehensive loss were as follows: Millions of Dollars Defined Benefit Plans Foreign Currency Translation Hedging Accumulated Other Comprehensive Loss December 31, 2021 $ (398) (45) (2) (445) Other comprehensive loss before reclassifications (1) (625) — (626) Amounts reclassified from accumulated other Defined benefit plans* Amortization of net actuarial loss, prior service credit and settlements 77 — — 77 Foreign currency translation — — — — Hedging — — — — Net current period other comprehensive income (loss) 76 (625) — (549) September 30, 2022 $ (322) (670) (2) (994) December 31, 2020 $ (809) 25 (5) (789) Other comprehensive income (loss) before reclassifications 184 (68) 1 117 Amounts reclassified from accumulated other comprehensive loss Defined benefit plans* Amortization of net actuarial loss, prior service credit and settlements 82 — — 82 Foreign currency translation — — — — Hedging — — 1 1 Net current period other comprehensive income (loss) 266 (68) 2 200 September 30, 2021 $ (543) (43) (3) (589) * Included in the computation of net periodic benefit cost. See Note 15—Pension and Postretirement Plans, for additional information. |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Related Party Transactions [Abstract] | |
Schedule of Significant Transactions with Related Parties | Significant transactions with related parties were: Millions of Dollars Three Months Ended Nine Months Ended 2022 2021 2022 2021 Operating revenues and other income (a)(d) $ 1,599 1,005 4,914 2,734 Purchases (b)(d) 5,705 3,980 16,589 9,789 Operating expenses and selling, general and administrative expenses (c) 69 80 209 215 (a) We sold NGL, other petrochemical feedstocks and solvents to Chevron Phillips Chemical Company LLC (CPChem), NGL and certain feedstocks to DCP Midstream, gas oil and hydrogen feedstocks to Excel Paralubes LLC (Excel Paralubes), and refined petroleum products to several of our equity affiliates in the Marketing and Specialties segment, including OnCue and CF United. We also sold certain feedstocks and intermediate products to WRB and acted as an agent for WRB in supplying crude oil and other feedstocks for a fee. In addition, we charged several of our equity affiliates, including CPChem, for the use of common facilities, such as steam generators, waste and water treaters and warehouse facilities. (b) We purchased crude oil, refined petroleum products, NGL and solvents from WRB. We also purchased natural gas and NGL from DCP Midstream and CPChem, as well as other feedstocks from various equity affiliates, for use in our refinery and fractionation processes. In addition, we purchased base oils and fuel products from Excel Paralubes for use in our specialty and refining businesses. We paid NGL fractionation fees to CPChem. We also paid fees to various pipeline equity affiliates for transporting crude oil, refined petroleum products and NGL. (c) We paid consignment fees to CF United, and utility and processing fees to various equity affiliates. (d) As a result of the DCP Midstream and Gray Oak Holdings merger, DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills are no longer considered related parties to us after August 17, 2022. Accordingly, any sale and purchase transactions with them are excluded from the above disclosure after the merger. |
Segment Disclosures and Relat_2
Segment Disclosures and Related Information (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Segment Reporting [Abstract] | |
Schedule of Analysis of Results by Operating Segment | Analysis of Results by Operating Segment Millions of Dollars Three Months Ended Nine Months Ended 2022 2021 2022 2021 Sales and Other Operating Revenues * Midstream Total sales $ 5,035 3,067 12,938 8,049 Intersegment eliminations (777) (802) (2,379) (2,138) Total Midstream 4,258 2,265 10,559 5,911 Chemicals — 1 — 3 Refining Total sales 29,904 20,206 86,905 53,939 Intersegment eliminations (18,250) (12,853) (54,739) (32,826) Total Refining 11,654 7,353 32,166 21,113 Marketing and Specialties Total sales 29,866 21,184 89,595 53,286 Intersegment eliminations (837) (569) (2,635) (1,462) Total Marketing and Specialties 29,029 20,615 86,960 51,824 Corporate and Other 14 9 26 21 Consolidated sales and other operating revenues $ 44,955 30,243 129,711 78,872 * See Note 3—Sales and Other Operating Revenues, for further details on our disaggregated sales and other operating revenues. Income (Loss) Before Income Taxes Midstream $ 3,645 629 4,179 1,017 Chemicals 135 631 804 1,408 Refining 2,851 (1,126) 6,010 (2,895) Marketing and Specialties 847 545 1,928 1,311 Corporate and Other (320) (231) (829) (728) Consolidated income before income taxes $ 7,158 448 12,092 113 |
Schedule of Reconciliation of Assets from Segment to Consolidated | Millions of Dollars September 30 December 31 Total Assets Midstream $ 31,129 15,932 Chemicals 6,675 6,453 Refining 22,628 19,952 Marketing and Specialties 11,555 8,505 Corporate and Other 5,352 4,752 Consolidated total assets $ 77,339 55,594 |
DCP Midstream, LP (Tables)
DCP Midstream, LP (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Variable Interest Entities | The most significant assets of DCP Midstream Class A Segment that are available to settle only its obligations, along with its most significant liabilities for which its creditors do not have recourse to Phillips 66’s general credit, were: Millions of Dollars September 30, 2022 Accounts receivable, trade* $ 1,298 Net properties, plants and equipment 9,295 Investments in unconsolidated affiliates** 2,185 Accounts payable 1,351 Short-term debt 506 Long-term debt 4,192 * Included in the “Accounts and notes receivable” line item on the Phillips 66 consolidated balance sheet. |
Interim Financial Information (
Interim Financial Information (Details) | Aug. 17, 2022 | Aug. 16, 2022 |
Gray Oak Holdings LLC | ||
Schedule of Equity Method Investments [Line Items] | ||
Percentage of ownership | 65% | |
Variable Interest Entity, Primary Beneficiary | DCP LP | ||
Schedule of Equity Method Investments [Line Items] | ||
Indirect economic interests | 43.31% | |
DCP Midstream Class A Segment | DCP LP | ||
Schedule of Equity Method Investments [Line Items] | ||
Percentage of ownership | 76.64% | |
DCP Sand Hills And DCP Southern Hills | ||
Schedule of Equity Method Investments [Line Items] | ||
Percentage of ownership | 62.21% | |
Direct ownership interest | 33.33% | |
DCP Midstream, LLC | ||
Schedule of Equity Method Investments [Line Items] | ||
Percentage of ownership interest | 50% | |
DCP Midstream, LLC | Enbridge Inc | ||
Schedule of Equity Method Investments [Line Items] | ||
Percentage of ownership interest | 50% | |
DCP LP | ||
Schedule of Equity Method Investments [Line Items] | ||
Indirect economic interest | 28.26% | |
Gray Oak Holdings LLC | Enbridge Inc | Gray Oak Holdings LLC | ||
Schedule of Equity Method Investments [Line Items] | ||
Percentage of ownership interest | 35% | |
Gray Oak Pipeline LLC | ||
Schedule of Equity Method Investments [Line Items] | ||
Indirect economic interest | 6.50% | 42.25% |
Gray Oak Pipeline LLC | Class B Membership | ||
Schedule of Equity Method Investments [Line Items] | ||
Indirect economic interest | 6.50% | |
Gray Oak Pipeline LLC | Gray Oak Holdings LLC | ||
Schedule of Equity Method Investments [Line Items] | ||
Percentage of ownership interest | 65% | |
Gray Oak Pipeline LLC | Enbridge Inc | ||
Schedule of Equity Method Investments [Line Items] | ||
Indirect economic interest | 22.75% | |
Gray Oak Pipeline LLC | DCP Midstream Class B Segment | ||
Schedule of Equity Method Investments [Line Items] | ||
Percentage of ownership | 10% | |
DCP Sand Hills and Southern Hills | ||
Schedule of Equity Method Investments [Line Items] | ||
Direct and indirect economic interest | 52.17% | |
DCP Sand Hills and Southern Hills | DCP LP | Variable Interest Entity, Primary Beneficiary | ||
Schedule of Equity Method Investments [Line Items] | ||
Percentage of ownership | 66.67% |
Business Combination - Narrativ
Business Combination - Narrative (Details) - USD ($) $ in Millions | 9 Months Ended | ||
Aug. 17, 2022 | Sep. 30, 2021 | Aug. 16, 2022 | |
Gray Oak Pipeline LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Indirect economic interest | 6.50% | 42.25% | |
Merger of DCP Midstream, LLC and Gray Oak Holdings LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Cash contributed | $ 404 | ||
Fair value of previously held equity interests | 3,853 | ||
Fair value of transferred equity interest | 634 | ||
Gain from remeasuring previously held equity investments to fair value | $ 2,831 | $ 2,831 | |
Merger of DCP Midstream, LLC and Gray Oak Holdings LLC | Variable Interest Entity, Primary Beneficiary | DCP LP | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership interest acquired | 15.05% | ||
Merger of DCP Midstream, LLC and Gray Oak Holdings LLC | Gray Oak Pipeline LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Gain from remeasuring previously held equity investments to fair value | $ 182 | ||
Merger of DCP Midstream, LLC and Gray Oak Holdings LLC | Gray Oak Pipeline LLC | Enbridge Inc | |||
Schedule of Equity Method Investments [Line Items] | |||
Transferred indirect economic interest | 35.75% |
Business Combination - Schedule
Business Combination - Schedule of Fair Value of Consideration Transferred (Details) - Merger of DCP Midstream, LLC and Gray Oak Holdings LLC $ in Millions | Aug. 17, 2022 USD ($) |
Business Acquisition [Line Items] | |
Cash contributed | $ 404 |
Fair value of transferred equity interest | 634 |
Fair value of previously held equity interests | 3,853 |
Total merger consideration | $ 4,891 |
Business Combination - Schedu_2
Business Combination - Schedule of Purchase Price Allocation (Details) - Merger of DCP Midstream, LLC and Gray Oak Holdings LLC $ in Millions | Aug. 17, 2022 USD ($) |
Fair value of assets acquired: | |
Cash and cash equivalents | $ 98 |
Accounts and notes receivable | 1,003 |
Inventories | 74 |
Prepaid expenses and other current assets | 439 |
Investments and long-term receivables | 2,192 |
Properties, plants and equipment | 12,837 |
Net assets | 36 |
Other assets | 343 |
Total assets acquired | 17,022 |
Fair value of liabilities assumed: | |
Accounts payable | 912 |
Short-term debt | 625 |
Accrued income and other taxes | 107 |
Employee benefit obligation - current | 50 |
Other accruals | 497 |
Long-term debt | 4,541 |
Asset retirement obligations and accrued environmental costs | 168 |
Deferred income taxes | 40 |
Employee benefit obligations | 54 |
Other liabilities and deferred credits | 227 |
Total liabilities assumed | 7,221 |
Fair value of net assets | 9,801 |
Less: Fair value of noncontrolling interests | 4,910 |
Total merger consideration | $ 4,891 |
Business Combination - Schedu_3
Business Combination - Schedule of Other Operating Cost and Expense (Details) - Merger of DCP Midstream, LLC and Gray Oak Holdings LLC $ in Millions | 1 Months Ended |
Sep. 30, 2022 USD ($) | |
Schedule of Equity Method Investments [Line Items] | |
Sales and other operating revenues | $ 1,368 |
Net Income Attributable to Phillips 66 | $ 125 |
Business Combination - Schedu_4
Business Combination - Schedule of Pro Forma Financial Information (Details) - Merger of DCP Midstream, LLC and Gray Oak Holdings LLC - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Business Acquisition [Line Items] | ||||
Sales and other operating revenues (millions) | $ 46,892 | $ 32,109 | $ 136,848 | $ 83,878 |
Net Income Attributable to Phillips 66 (millions) | $ 3,129 | $ 405 | $ 6,963 | $ 2,167 |
Net income attributable to Phillips 66 per share—basic (dollars) (in dollars per share) | $ 6.50 | $ 0.92 | $ 14.76 | $ 4.91 |
Net income attributable to Phillips 66 per share—diluted (dollars) (in dollars per share) | $ 6.48 | $ 0.92 | $ 14.71 | $ 4.90 |
Sales and Other Operating Rev_3
Sales and Other Operating Revenues - Disaggregated (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Disaggregation of Revenue [Line Items] | ||||
Sales and other operating revenues | $ 44,955 | $ 30,243 | $ 129,711 | $ 78,872 |
United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales and other operating revenues | 36,126 | 24,011 | 103,910 | 61,920 |
United Kingdom | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales and other operating revenues | 4,485 | 2,948 | 13,168 | 8,070 |
Germany | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales and other operating revenues | 1,769 | 1,194 | 4,944 | 3,049 |
Other foreign countries | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales and other operating revenues | 2,575 | 2,090 | 7,689 | 5,833 |
Refined petroleum products | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales and other operating revenues | 33,690 | 24,838 | 102,482 | 63,057 |
Crude oil resales | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales and other operating revenues | 6,146 | 3,091 | 15,694 | 9,484 |
Natural gas liquids (NGL) and natural gas | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales and other operating revenues | 4,217 | 2,331 | 10,702 | 6,048 |
Services and other | ||||
Disaggregation of Revenue [Line Items] | ||||
Sales and other operating revenues | $ 902 | $ (17) | $ 833 | $ 283 |
Sales and Other Operating Rev_4
Sales and Other Operating Revenues - Narrative (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2022 | Dec. 31, 2021 | |
Revenue from External Customer [Line Items] | ||
Accounts receivable, before allowance for credit loss | $ 11,393 | $ 6,140 |
Contract with customer, asset | 496 | 466 |
Contract with customer, liability | 237 | $ 90 |
Remaining performance obligations | $ 472 | |
Minimum | ||
Revenue from External Customer [Line Items] | ||
Customer contracts, term | 5 years | |
Maximum | ||
Revenue from External Customer [Line Items] | ||
Customer contracts, term | 15 years |
Credit Losses (Details)
Credit Losses (Details) - USD ($) $ in Millions | Sep. 30, 2022 | Dec. 31, 2021 |
Credit Loss [Abstract] | ||
Accounts and notes receivable | $ 13,652 | $ 7,470 |
Allowance for credit losses | $ 64 | $ 44 |
Accounts and notes receivable, percent outstanding less than 60 days | 95% |
Inventories - Schedule of Inven
Inventories - Schedule of Inventories (Details) - USD ($) $ in Millions | Sep. 30, 2022 | Dec. 31, 2021 |
Inventory Disclosure [Abstract] | ||
Crude oil and petroleum products | $ 3,928 | $ 3,024 |
Materials and supplies | 366 | 370 |
Inventories | $ 4,294 | $ 3,394 |
Inventories - Narrative (Detail
Inventories - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Dec. 31, 2021 | |
Inventory Disclosure [Abstract] | ||||
LIFO inventory amount | $ 3,662 | $ 2,792 | ||
Estimated excess of current replacement cost over LIFO cost of inventories | 7,300 | $ 5,700 | ||
Increase (decrease) on net income (loss) from LIFO inventory liquidations | $ (17) | $ 43 | $ (99) |
Investments, Loans and Long-T_2
Investments, Loans and Long-Term Receivables - Dakota Access, LLC and Energy Transfer Crude Oil, Company, LLC (Details) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 9 Months Ended | |
Apr. 01, 2022 | Mar. 31, 2022 | Mar. 31, 2022 | Sep. 30, 2022 | |
Dakota Access and ETCO | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Percentage of ownership interest | 25% | 25% | 25% | |
Capital contribution | $ 89 | |||
Deferred distributions | $ 74 | |||
Maximum exposure, undiscounted | $ 467 | |||
Equity investments | 691 | |||
Dakota Access, LLC | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Scheduled interest payments annually | 20 | |||
Senior Notes | Dakota Access and ETCO | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Share of debt repayment | $ 163 | |||
Senior Notes | Dakota Access, LLC | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Repayments of debt | $ 650 | |||
Debt issued and guaranteed | $ 1,850 |
Investments, Loans and Long-T_3
Investments, Loans and Long-Term Receivables - CF United LLC (Details) - CF United LLC $ in Millions | Sep. 30, 2022 USD ($) |
Schedule of Equity Method Investments [Line Items] | |
Voting interest acquired | 50% |
Economic interest acquired | 48% |
Equity investments | $ 288 |
Investments, Loans and Long-T_4
Investments, Loans and Long-Term Receivables - OnCue Holdings, LLC (Details) - OnCue Holdings, LLC $ in Millions | Sep. 30, 2022 USD ($) |
Schedule of Equity Method Investments [Line Items] | |
Percentage of ownership interest | 50% |
Maximum loss exposure | $ 213 |
Equity investments | 142 |
Maximum potential amount of future payments under the guarantees | $ 71 |
Investments, Loans and Long-T_5
Investments, Loans and Long-Term Receivables - DCP Midstream and Gray Oak Holdings Merger (Details) - Gray Oak Pipeline LLC | Aug. 17, 2022 | Aug. 16, 2022 |
Schedule of Equity Method Investments [Line Items] | ||
Indirect economic interest | 6.50% | 42.25% |
Enbridge Inc | Merger of DCP Midstream, LLC and Gray Oak Holdings LLC | ||
Schedule of Equity Method Investments [Line Items] | ||
Transferred indirect economic interest | 35.75% |
Investments, Loans and Long-T_6
Investments, Loans and Long-Term Receivables - Other Investments (Details) - USD ($) shares in Millions, $ in Millions | 1 Months Ended | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | |
Debt and Equity Securities, FV-NI [Line Items] | |||||
Unrealized investment loss | $ 418 | $ (224) | |||
NOVONIX Limited | |||||
Debt and Equity Securities, FV-NI [Line Items] | |||||
Shares acquired (in shares) | 78 | ||||
Percent ownership of equity securities investment | 16% | ||||
Equity securities | $ 89 | 89 | |||
Unrealized investment loss | 33 | 431 | |||
Equity securities, FV-NI, unrealized loss | 28 | 418 | |||
Unrealized foreign currency loss | $ 5 | $ 13 |
Investments, Loans and Long-T_7
Investments, Loans and Long-Term Receivables - Related Party Loan (Details) - WRB Refining LP - USD ($) $ in Millions | 1 Months Ended | 6 Months Ended |
Apr. 30, 2022 | Sep. 30, 2022 | |
Schedule of Equity Method Investments [Line Items] | ||
Percentage of ownership interest | 50% | |
Loan provided | $ 75 | |
Gross repayment amount | $ 235 | |
Outstanding related party loan balance | $ 433 |
Properties, Plants and Equipm_3
Properties, Plants and Equipment (Details) - USD ($) $ in Millions | Sep. 30, 2022 | Dec. 31, 2021 |
Property, Plant and Equipment [Line Items] | ||
Gross PP&E | $ 52,624 | $ 39,797 |
Accum. D&A | 17,662 | 17,362 |
Net PP&E | 34,962 | 22,435 |
Corporate and Other | ||
Property, Plant and Equipment [Line Items] | ||
Gross PP&E | 1,534 | 1,576 |
Accum. D&A | 703 | 746 |
Net PP&E | 831 | 830 |
Midstream | Operating Segments | ||
Property, Plant and Equipment [Line Items] | ||
Gross PP&E | 26,140 | 12,524 |
Accum. D&A | 3,806 | 3,064 |
Net PP&E | 22,334 | 9,460 |
Chemicals | Operating Segments | ||
Property, Plant and Equipment [Line Items] | ||
Gross PP&E | 0 | 0 |
Accum. D&A | 0 | 0 |
Net PP&E | 0 | 0 |
Refining | Operating Segments | ||
Property, Plant and Equipment [Line Items] | ||
Gross PP&E | 23,274 | 23,878 |
Accum. D&A | 12,173 | 12,517 |
Net PP&E | 11,101 | 11,361 |
Marketing and Specialties | Operating Segments | ||
Property, Plant and Equipment [Line Items] | ||
Gross PP&E | 1,676 | 1,819 |
Accum. D&A | 980 | 1,035 |
Net PP&E | $ 696 | $ 784 |
Impairments - Schedule of Impai
Impairments - Schedule of Impairments (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Goodwill [Line Items] | ||||
Impairments | $ 0 | $ 1,298 | $ 2 | $ 1,496 |
Midstream | Operating Segments | ||||
Goodwill [Line Items] | ||||
Impairments | 0 | 10 | 1 | 208 |
Refining | Operating Segments | ||||
Goodwill [Line Items] | ||||
Impairments | $ 0 | $ 1,288 | $ 1 | $ 1,288 |
Impairments (Details)
Impairments (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2022 | Sep. 30, 2021 | Mar. 31, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Goodwill [Line Items] | |||||
Impairments | $ 0 | $ 1,298 | $ 2 | $ 1,496 | |
Alliance Refinery | |||||
Goodwill [Line Items] | |||||
Impairments | 1,298 | ||||
Fair value of PP&E | 200 | $ 200 | |||
Alliance Refinery | Refining | |||||
Goodwill [Line Items] | |||||
Impairments | 1,288 | ||||
Alliance Refinery | Midstream | |||||
Goodwill [Line Items] | |||||
Impairments | $ 10 | ||||
Liberty Pipeline LLC | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||||
Goodwill [Line Items] | |||||
Impairments | $ 198 |
Earnings Per Share - Schedule o
Earnings Per Share - Schedule of Earnings Per Share Calculation (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Basic | ||||
Net Income Attributable to Phillips 66 | $ 5,391 | $ 402 | $ 9,140 | $ 44 |
Income allocated to participating securities | (3) | (2) | (8) | (7) |
Net income available to common stockholders | $ 5,388 | $ 400 | $ 9,132 | $ 35 |
Weighted-average common shares outstanding (in shares) | 479,355 | 438,067 | 469,339 | 437,783 |
Effect of share-based compensation (in shares) | 2,033 | 2,126 | 2,036 | 2,097 |
Weighted-average commons shares outstanding - EPS (in shares) | 481,388 | 440,193 | 471,375 | 439,880 |
Earnings (Loss) Per Share of Common Stock (in usd per share) | $ 11.19 | $ 0.91 | $ 19.37 | $ 0.08 |
Diluted | ||||
Net Income Attributable to Phillips 66 | $ 5,391 | $ 402 | $ 9,140 | $ 44 |
Income allocated to participating securities | 0 | (2) | 0 | (7) |
Net income available to common stockholders | $ 5,391 | $ 400 | $ 9,140 | $ 35 |
Weighted-average common shares outstanding (in shares) | 481,388 | 440,193 | 471,375 | 439,880 |
Effect of share-based compensation (in shares) | 1,648 | 175 | 2,077 | 379 |
Weighted-average commons shares outstanding - EPS (in shares) | 483,036 | 440,368 | 473,452 | 440,259 |
Earnings (Loss) Per Share of Common Stock (in usd per share) | $ 11.16 | $ 0.91 | $ 19.31 | $ 0.08 |
Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | ||||
Basic | ||||
Premium paid for the repurchase of noncontrolling interests | $ 0 | $ 0 | $ 0 | $ (2) |
Diluted | ||||
Premium paid for the repurchase of noncontrolling interests | $ 0 | $ 0 | $ 0 | $ (2) |
Earnings Per Share - Narrative
Earnings Per Share - Narrative (Details) shares in Millions | Mar. 09, 2022 shares |
Acquisition Of Phillips 66 Partners Common Units Held By Public | |
Business Acquisition [Line Items] | |
Number of shares to be issued (in shares) | 42 |
Debt - Schedule of Long-Term De
Debt - Schedule of Long-Term Debt (Details) - USD ($) $ in Millions | Sep. 30, 2022 | Apr. 30, 2022 | Dec. 31, 2021 |
Debt Instrument [Line Items] | |||
Debt at face value | $ 17,640 | $ 14,251 | |
Finance leases | 269 | 290 | |
Net unamortized discounts and debt issuance costs | (147) | (109) | |
Total debt | 17,657 | 14,448 | |
Short-term debt | (1,032) | (1,489) | |
Long-term debt | 16,625 | 12,959 | |
Phillips 66 | |||
Debt Instrument [Line Items] | |||
Debt at face value | 9,326 | 10,326 | |
Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Debt at face value | 3,220 | ||
Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt at face value | 255 | ||
DCP LP | |||
Debt Instrument [Line Items] | |||
Debt at face value | 4,839 | ||
Fair value adjustment to debt acquired | (125) | ||
Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt at face value | 3,925 | ||
4.875% Senior Notes due November 2044 | DCP LP | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
4.680% Senior Notes due February 2045 | DCP LP | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
4.900% Senior Notes due October 2046 | DCP LP | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
3.300% Senior Notes due March 2052 | DCP LP | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Floating Rate Term Loan due April 2022 at 0.978% at year-end 2021 | DCP LP | |||
Debt Instrument [Line Items] | |||
Short term debt | 0 | ||
Floating Rate Advance Term Loan due December 2034 at 3.124% and 0.699% at September 30, 2022 and year-end 2021, respectively—related party | Equity Method Investee | WRB Refining LP | DCP LP | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Other | |||
Debt Instrument [Line Items] | |||
Debt | 15 | 1 | |
Other | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Debt | 1 | 1 | |
Other | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Other | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Other | DCP LP | |||
Debt Instrument [Line Items] | |||
Debt | 14 | ||
Other | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Software obligations | |||
Debt Instrument [Line Items] | |||
Finance leases | $ 20 | 16 | |
Senior Notes | 4.300% Senior Notes due April 2022 | |||
Debt Instrument [Line Items] | |||
Debt interest rate | 4.30% | 4.30% | |
Short-term debt | $ 0 | (1,000) | |
Senior Notes | 4.300% Senior Notes due April 2022 | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Short-term debt | 0 | (1,000) | |
Senior Notes | 4.300% Senior Notes due April 2022 | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Short-term debt | 0 | ||
Senior Notes | 4.300% Senior Notes due April 2022 | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Short-term debt | 0 | ||
Senior Notes | 4.300% Senior Notes due April 2022 | DCP LP | |||
Debt Instrument [Line Items] | |||
Short-term debt | $ 0 | ||
Senior Notes | 4.300% Senior Notes due April 2022 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Short-term debt | 0 | ||
Senior Notes | 3.875% Senior Notes due March 2023 | |||
Debt Instrument [Line Items] | |||
Debt interest rate | 3.875% | ||
Debt | $ 500 | 0 | |
Senior Notes | 3.875% Senior Notes due March 2023 | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Debt | 0 | 0 | |
Senior Notes | 3.875% Senior Notes due March 2023 | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 3.875% Senior Notes due March 2023 | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 3.875% Senior Notes due March 2023 | DCP LP | |||
Debt Instrument [Line Items] | |||
Debt | $ 500 | ||
Senior Notes | 3.875% Senior Notes due March 2023 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 3.700% Senior Notes due April 2023 | |||
Debt Instrument [Line Items] | |||
Debt interest rate | 3.70% | ||
Debt | $ 500 | 500 | |
Senior Notes | 3.700% Senior Notes due April 2023 | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Debt | 500 | 500 | |
Senior Notes | 3.700% Senior Notes due April 2023 | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 3.700% Senior Notes due April 2023 | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 3.700% Senior Notes due April 2023 | DCP LP | |||
Debt Instrument [Line Items] | |||
Debt | $ 0 | ||
Senior Notes | 3.700% Senior Notes due April 2023 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 0.900% Senior Notes due February 2024 | |||
Debt Instrument [Line Items] | |||
Debt interest rate | 0.90% | ||
Debt | $ 800 | 800 | |
Senior Notes | 0.900% Senior Notes due February 2024 | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Debt | 800 | 800 | |
Senior Notes | 0.900% Senior Notes due February 2024 | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 0.900% Senior Notes due February 2024 | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 0.900% Senior Notes due February 2024 | DCP LP | |||
Debt Instrument [Line Items] | |||
Debt | $ 0 | ||
Senior Notes | 0.900% Senior Notes due February 2024 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 2.450% Senior Notes due December 2024 | |||
Debt Instrument [Line Items] | |||
Debt interest rate | 2.45% | ||
Debt | $ 300 | 300 | |
Senior Notes | 2.450% Senior Notes due December 2024 | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Debt | 0 | 0 | |
Senior Notes | 2.450% Senior Notes due December 2024 | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Debt | 277 | ||
Senior Notes | 2.450% Senior Notes due December 2024 | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 23 | ||
Senior Notes | 2.450% Senior Notes due December 2024 | DCP LP | |||
Debt Instrument [Line Items] | |||
Debt | $ 0 | ||
Senior Notes | 2.450% Senior Notes due December 2024 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 300 | ||
Senior Notes | 3.605% Senior Notes due February 2025 | |||
Debt Instrument [Line Items] | |||
Debt interest rate | 3.605% | ||
Debt | $ 500 | 500 | |
Senior Notes | 3.605% Senior Notes due February 2025 | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Debt | 0 | 0 | |
Senior Notes | 3.605% Senior Notes due February 2025 | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Debt | 441 | ||
Senior Notes | 3.605% Senior Notes due February 2025 | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 59 | ||
Senior Notes | 3.605% Senior Notes due February 2025 | DCP LP | |||
Debt Instrument [Line Items] | |||
Debt | $ 0 | ||
Senior Notes | 3.605% Senior Notes due February 2025 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 500 | ||
Senior Notes | 3.850% Senior Notes due April 2025 | |||
Debt Instrument [Line Items] | |||
Debt interest rate | 3.85% | ||
Debt | $ 650 | 650 | |
Senior Notes | 3.850% Senior Notes due April 2025 | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Debt | 650 | 650 | |
Senior Notes | 3.850% Senior Notes due April 2025 | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 3.850% Senior Notes due April 2025 | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 3.850% Senior Notes due April 2025 | DCP LP | |||
Debt Instrument [Line Items] | |||
Debt | $ 0 | ||
Senior Notes | 3.850% Senior Notes due April 2025 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 5.375% Senior Notes due July 2025 | |||
Debt Instrument [Line Items] | |||
Debt interest rate | 5.375% | ||
Debt | $ 825 | 0 | |
Senior Notes | 5.375% Senior Notes due July 2025 | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Debt | 0 | 0 | |
Senior Notes | 5.375% Senior Notes due July 2025 | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 5.375% Senior Notes due July 2025 | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 5.375% Senior Notes due July 2025 | DCP LP | |||
Debt Instrument [Line Items] | |||
Debt | $ 825 | ||
Senior Notes | 5.375% Senior Notes due July 2025 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 1.300% Senior Notes due February 2026 | |||
Debt Instrument [Line Items] | |||
Debt interest rate | 1.30% | ||
Debt | $ 500 | 500 | |
Senior Notes | 1.300% Senior Notes due February 2026 | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Debt | 500 | 500 | |
Senior Notes | 1.300% Senior Notes due February 2026 | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 1.300% Senior Notes due February 2026 | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 1.300% Senior Notes due February 2026 | DCP LP | |||
Debt Instrument [Line Items] | |||
Debt | $ 0 | ||
Senior Notes | 1.300% Senior Notes due February 2026 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 3.550% Senior Notes due October 2026 | |||
Debt Instrument [Line Items] | |||
Debt interest rate | 3.55% | ||
Debt | $ 500 | 500 | |
Senior Notes | 3.550% Senior Notes due October 2026 | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Debt | 0 | 0 | |
Senior Notes | 3.550% Senior Notes due October 2026 | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Debt | 458 | ||
Senior Notes | 3.550% Senior Notes due October 2026 | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 42 | ||
Senior Notes | 3.550% Senior Notes due October 2026 | DCP LP | |||
Debt Instrument [Line Items] | |||
Debt | $ 0 | ||
Senior Notes | 3.550% Senior Notes due October 2026 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 500 | ||
Senior Notes | 5.625% Senior Notes due July 2027 | |||
Debt Instrument [Line Items] | |||
Debt interest rate | 5.625% | ||
Debt | $ 500 | 0 | |
Senior Notes | 5.625% Senior Notes due July 2027 | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Debt | 0 | 0 | |
Senior Notes | 5.625% Senior Notes due July 2027 | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 5.625% Senior Notes due July 2027 | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 5.625% Senior Notes due July 2027 | DCP LP | |||
Debt Instrument [Line Items] | |||
Debt | $ 500 | ||
Senior Notes | 5.625% Senior Notes due July 2027 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 3.750% Senior Notes due March 2028 | |||
Debt Instrument [Line Items] | |||
Debt interest rate | 3.75% | ||
Debt | $ 500 | 500 | |
Senior Notes | 3.750% Senior Notes due March 2028 | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Debt | 0 | 0 | |
Senior Notes | 3.750% Senior Notes due March 2028 | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Debt | 427 | ||
Senior Notes | 3.750% Senior Notes due March 2028 | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 73 | ||
Senior Notes | 3.750% Senior Notes due March 2028 | DCP LP | |||
Debt Instrument [Line Items] | |||
Debt | $ 0 | ||
Senior Notes | 3.750% Senior Notes due March 2028 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 500 | ||
Senior Notes | 3.900% Senior Notes due March 2028 | |||
Debt Instrument [Line Items] | |||
Debt interest rate | 3.90% | ||
Debt | $ 800 | 800 | |
Senior Notes | 3.900% Senior Notes due March 2028 | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Debt | 800 | 800 | |
Senior Notes | 3.900% Senior Notes due March 2028 | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 3.900% Senior Notes due March 2028 | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 3.900% Senior Notes due March 2028 | DCP LP | |||
Debt Instrument [Line Items] | |||
Debt | $ 0 | ||
Senior Notes | 3.900% Senior Notes due March 2028 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 5.125% Senior Notes due May 2029 | |||
Debt Instrument [Line Items] | |||
Debt interest rate | 5.125% | ||
Debt | $ 600 | 0 | |
Senior Notes | 5.125% Senior Notes due May 2029 | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Debt | 0 | 0 | |
Senior Notes | 5.125% Senior Notes due May 2029 | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 5.125% Senior Notes due May 2029 | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 5.125% Senior Notes due May 2029 | DCP LP | |||
Debt Instrument [Line Items] | |||
Debt | $ 600 | ||
Senior Notes | 5.125% Senior Notes due May 2029 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 3.150% Senior Notes due December 2029 | |||
Debt Instrument [Line Items] | |||
Debt interest rate | 3.15% | ||
Debt | $ 600 | 600 | |
Senior Notes | 3.150% Senior Notes due December 2029 | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Debt | 0 | 0 | |
Senior Notes | 3.150% Senior Notes due December 2029 | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Debt | 570 | ||
Senior Notes | 3.150% Senior Notes due December 2029 | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 30 | ||
Senior Notes | 3.150% Senior Notes due December 2029 | DCP LP | |||
Debt Instrument [Line Items] | |||
Debt | $ 0 | ||
Senior Notes | 3.150% Senior Notes due December 2029 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 600 | ||
Senior Notes | 8.125% Senior Notes due August 2030 | |||
Debt Instrument [Line Items] | |||
Debt interest rate | 8.125% | ||
Debt | $ 300 | 0 | |
Senior Notes | 8.125% Senior Notes due August 2030 | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Debt | 0 | 0 | |
Senior Notes | 8.125% Senior Notes due August 2030 | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 8.125% Senior Notes due August 2030 | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 8.125% Senior Notes due August 2030 | DCP LP | |||
Debt Instrument [Line Items] | |||
Debt | $ 300 | ||
Senior Notes | 8.125% Senior Notes due August 2030 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 2.150% Senior Notes due December 2030 | |||
Debt Instrument [Line Items] | |||
Debt interest rate | 2.15% | ||
Debt | $ 850 | 850 | |
Senior Notes | 2.150% Senior Notes due December 2030 | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Debt | 850 | 850 | |
Senior Notes | 2.150% Senior Notes due December 2030 | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 2.150% Senior Notes due December 2030 | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 2.150% Senior Notes due December 2030 | DCP LP | |||
Debt Instrument [Line Items] | |||
Debt | $ 0 | ||
Senior Notes | 2.150% Senior Notes due December 2030 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 3.250% Senior Notes due February 2032 | |||
Debt Instrument [Line Items] | |||
Debt interest rate | 3.25% | ||
Debt | $ 400 | 0 | |
Senior Notes | 3.250% Senior Notes due February 2032 | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Debt | 0 | 0 | |
Senior Notes | 3.250% Senior Notes due February 2032 | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 3.250% Senior Notes due February 2032 | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 3.250% Senior Notes due February 2032 | DCP LP | |||
Debt Instrument [Line Items] | |||
Debt | $ 400 | ||
Senior Notes | 3.250% Senior Notes due February 2032 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 4.650% Senior Notes due November 2034 | |||
Debt Instrument [Line Items] | |||
Debt interest rate | 4.65% | ||
Debt | $ 1,000 | 1,000 | |
Senior Notes | 4.650% Senior Notes due November 2034 | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Debt | 1,000 | 1,000 | |
Senior Notes | 4.650% Senior Notes due November 2034 | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 4.650% Senior Notes due November 2034 | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 4.650% Senior Notes due November 2034 | DCP LP | |||
Debt Instrument [Line Items] | |||
Debt | $ 0 | ||
Senior Notes | 4.650% Senior Notes due November 2034 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 6.450% Senior Notes due November 2036 | |||
Debt Instrument [Line Items] | |||
Debt interest rate | 6.45% | ||
Debt | $ 300 | 0 | |
Senior Notes | 6.450% Senior Notes due November 2036 | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Debt | 0 | 0 | |
Senior Notes | 6.450% Senior Notes due November 2036 | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 6.450% Senior Notes due November 2036 | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 6.450% Senior Notes due November 2036 | DCP LP | |||
Debt Instrument [Line Items] | |||
Debt | $ 300 | ||
Senior Notes | 6.450% Senior Notes due November 2036 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 6.750% Senior Notes due September 2037 | |||
Debt Instrument [Line Items] | |||
Debt interest rate | 6.75% | ||
Debt | $ 450 | 0 | |
Senior Notes | 6.750% Senior Notes due September 2037 | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Debt | 0 | 0 | |
Senior Notes | 6.750% Senior Notes due September 2037 | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 6.750% Senior Notes due September 2037 | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 6.750% Senior Notes due September 2037 | DCP LP | |||
Debt Instrument [Line Items] | |||
Debt | $ 450 | ||
Senior Notes | 6.750% Senior Notes due September 2037 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 5.875% Senior Notes due May 2042 | |||
Debt Instrument [Line Items] | |||
Debt interest rate | 5.875% | ||
Debt | $ 1,500 | 1,500 | |
Senior Notes | 5.875% Senior Notes due May 2042 | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Debt | 1,500 | 1,500 | |
Senior Notes | 5.875% Senior Notes due May 2042 | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 5.875% Senior Notes due May 2042 | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 5.875% Senior Notes due May 2042 | DCP LP | |||
Debt Instrument [Line Items] | |||
Debt | $ 0 | ||
Senior Notes | 5.875% Senior Notes due May 2042 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 5.600% Senior Notes due April 2044 | |||
Debt Instrument [Line Items] | |||
Debt interest rate | 5.60% | ||
Debt | $ 400 | 0 | |
Senior Notes | 5.600% Senior Notes due April 2044 | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Debt | 0 | 0 | |
Senior Notes | 5.600% Senior Notes due April 2044 | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 5.600% Senior Notes due April 2044 | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 5.600% Senior Notes due April 2044 | DCP LP | |||
Debt Instrument [Line Items] | |||
Debt | $ 400 | ||
Senior Notes | 5.600% Senior Notes due April 2044 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 4.875% Senior Notes due November 2044 | |||
Debt Instrument [Line Items] | |||
Debt interest rate | 4.875% | ||
Debt | $ 1,700 | 1,700 | |
Senior Notes | 4.875% Senior Notes due November 2044 | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Debt | 1,700 | 1,700 | |
Senior Notes | 4.875% Senior Notes due November 2044 | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 4.875% Senior Notes due November 2044 | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | $ 0 | ||
Senior Notes | 4.875% Senior Notes due November 2044 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 4.680% Senior Notes due February 2045 | |||
Debt Instrument [Line Items] | |||
Debt interest rate | 4.68% | ||
Debt | $ 450 | 450 | |
Senior Notes | 4.680% Senior Notes due February 2045 | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Debt | 0 | 0 | |
Senior Notes | 4.680% Senior Notes due February 2045 | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Debt | 442 | ||
Senior Notes | 4.680% Senior Notes due February 2045 | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | $ 8 | ||
Senior Notes | 4.680% Senior Notes due February 2045 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 450 | ||
Senior Notes | 4.900% Senior Notes due October 2046 | |||
Debt Instrument [Line Items] | |||
Debt interest rate | 4.90% | ||
Debt | $ 625 | 625 | |
Senior Notes | 4.900% Senior Notes due October 2046 | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Debt | 0 | 0 | |
Senior Notes | 4.900% Senior Notes due October 2046 | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Debt | 605 | ||
Senior Notes | 4.900% Senior Notes due October 2046 | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | $ 20 | ||
Senior Notes | 4.900% Senior Notes due October 2046 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 625 | ||
Senior Notes | 3.300% Senior Notes due March 2052 | |||
Debt Instrument [Line Items] | |||
Debt interest rate | 3.30% | ||
Debt | $ 1,000 | 1,000 | |
Senior Notes | 3.300% Senior Notes due March 2052 | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Debt | 1,000 | 1,000 | |
Senior Notes | 3.300% Senior Notes due March 2052 | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Senior Notes | 3.300% Senior Notes due March 2052 | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | $ 0 | ||
Senior Notes | 3.300% Senior Notes due March 2052 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Junior Subordinated Notes | 5.850% Junior Subordinated Notes due May 2043 | |||
Debt Instrument [Line Items] | |||
Debt interest rate | 5.85% | ||
Debt | $ 550 | 0 | |
Junior Subordinated Notes | 5.850% Junior Subordinated Notes due May 2043 | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Debt | 0 | 0 | |
Junior Subordinated Notes | 5.850% Junior Subordinated Notes due May 2043 | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Junior Subordinated Notes | 5.850% Junior Subordinated Notes due May 2043 | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Junior Subordinated Notes | 5.850% Junior Subordinated Notes due May 2043 | DCP LP | |||
Debt Instrument [Line Items] | |||
Debt | 550 | ||
Junior Subordinated Notes | 5.850% Junior Subordinated Notes due May 2043 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | $ 0 | ||
Loans Payable | Floating Rate Term Loan due April 2022 at 0.978% at year-end 2021 | |||
Debt Instrument [Line Items] | |||
Short-term debt, percentage | 0.978% | ||
Short term debt | 0 | $ 450 | |
Loans Payable | Floating Rate Term Loan due April 2022 at 0.978% at year-end 2021 | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Short term debt | 0 | 0 | |
Loans Payable | Floating Rate Term Loan due April 2022 at 0.978% at year-end 2021 | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Short term debt | 0 | ||
Loans Payable | Floating Rate Term Loan due April 2022 at 0.978% at year-end 2021 | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Short term debt | $ 0 | ||
Loans Payable | Floating Rate Term Loan due April 2022 at 0.978% at year-end 2021 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Short term debt | $ 450 | ||
Loans Payable | Floating Rate Advance Term Loan due December 2034 at 3.124% and 0.699% at September 30, 2022 and year-end 2021, respectively—related party | Equity Method Investee | WRB Refining LP | |||
Debt Instrument [Line Items] | |||
Long-term debt, percentage | 3.124% | 0.699% | |
Debt | $ 25 | $ 25 | |
Loans Payable | Floating Rate Advance Term Loan due December 2034 at 3.124% and 0.699% at September 30, 2022 and year-end 2021, respectively—related party | Equity Method Investee | WRB Refining LP | Phillips 66 | |||
Debt Instrument [Line Items] | |||
Debt | 25 | 25 | |
Loans Payable | Floating Rate Advance Term Loan due December 2034 at 3.124% and 0.699% at September 30, 2022 and year-end 2021, respectively—related party | Equity Method Investee | WRB Refining LP | Phillips 66 Company | |||
Debt Instrument [Line Items] | |||
Debt | 0 | ||
Loans Payable | Floating Rate Advance Term Loan due December 2034 at 3.124% and 0.699% at September 30, 2022 and year-end 2021, respectively—related party | Equity Method Investee | WRB Refining LP | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | $ 0 | ||
Loans Payable | Floating Rate Advance Term Loan due December 2034 at 3.124% and 0.699% at September 30, 2022 and year-end 2021, respectively—related party | Equity Method Investee | WRB Refining LP | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||
Debt Instrument [Line Items] | |||
Debt | $ 0 |
Debt - Narrative (Details)
Debt - Narrative (Details) $ in Millions | 1 Months Ended | ||||||||||
Sep. 30, 2022 USD ($) option | Jun. 23, 2022 USD ($) option | May 03, 2022 | Sep. 30, 2022 USD ($) option | Sep. 30, 2022 USD ($) option | Apr. 30, 2022 USD ($) | Apr. 30, 2021 USD ($) | Feb. 28, 2021 USD ($) | May 05, 2022 USD ($) instrument | Apr. 19, 2022 USD ($) | Jul. 30, 2019 USD ($) | |
Variable Interest Entity, Primary Beneficiary | DCP LP | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Long-term debt | $ 4,192 | $ 4,192 | $ 4,192 | ||||||||
Senior Notes | Senior Notes, Old Notes | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Long-term debt | $ 3,500 | ||||||||||
Number of instruments | instrument | 7 | ||||||||||
Aggregate principal early tendered for exchange | $ 3,200 | ||||||||||
Percent discount | 3% | ||||||||||
Senior Notes | 4.300% Senior Notes due April 2022 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Repayments of debt | $ 1,000 | ||||||||||
Debt interest rate | 4.30% | 4.30% | 4.30% | 4.30% | |||||||
Senior Notes | Floating Rate Senior Note Notes Due February 2021 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Repayments of debt | $ 500 | ||||||||||
Loans Payable | Term Loan Due April 2022 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Repayments of debt | $ 450 | ||||||||||
Tax-Exempt Bonds | Tax Exempt Bonds Due 2021 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Repayments of debt | $ 50 | ||||||||||
Revolving Credit Facility | Accounts Receivable Securitization Facility | DCP LP | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Repayments of debt | $ 470 | ||||||||||
Revolving Credit Facility | Floating Rate Term Loan due April 2022 at 0.978% at year-end 2021 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Line of credit facility, maximum borrowing capacity | $ 750 | $ 750 | 750 | ||||||||
Revolving Credit Facility | Line of Credit | The Facility | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Line of credit facility, maximum borrowing capacity | $ 5,000 | $ 5,000 | |||||||||
Debt instrument covenant, debt to capitalization ratio | 65% | ||||||||||
Line of credit facility, accordion feature, increase limit | $ 6,000 | ||||||||||
Number of options to extend | option | 2 | ||||||||||
Extension term | 1 year | ||||||||||
Amount borrowed | $ 0 | $ 0 | $ 0 | ||||||||
Secured Debt | Line of Credit | DCP LP | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Number of options to extend | option | 2 | 2 | 2 | ||||||||
Extension term | 1 year | ||||||||||
Secured Debt | Line of Credit | The Credit Agreement | DCP LP | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Line of credit facility, maximum borrowing capacity | $ 1,400 | $ 1,400 | $ 1,400 | ||||||||
Line of credit facility, accordion feature, increase limit | 500 | 500 | 500 | ||||||||
Debt instrument, unused borrowing capacity, amount | 1,390 | 1,390 | 1,390 | ||||||||
Remaining outstanding borrowing capacity | 1,390 | 1,390 | 1,390 | ||||||||
Secured Debt | Line of Credit | Accounts Receivable Securitization Facility | DCP LP | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Line of credit facility, maximum borrowing capacity | 350 | 350 | 350 | ||||||||
Line of credit facility, accordion feature, increase limit | 400 | 400 | 400 | ||||||||
Debt instrument, unused borrowing capacity, amount | 350 | 350 | 350 | ||||||||
Letter of Credit | Line of Credit | The Credit Agreement | DCP LP | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Line of credit facility, maximum borrowing capacity | $ 10 | 10 | $ 10 | ||||||||
Term Loan | Line of Credit | Floating Rate Term Loan due April 2022 at 0.978% at year-end 2021 | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Line of credit facility, maximum borrowing capacity | $ 450 | ||||||||||
Debt instrument, term | 1 year | ||||||||||
Term Loan | Line of Credit | Term Loan Due November 2023 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Repayments of debt | $ 500 |
Guarantees (Details)
Guarantees (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2022 | Dec. 31, 2021 | |
Guarantor Obligations [Line Items] | ||
Environmental accruals for known contaminations | $ 436 | $ 436 |
Joint Venture Debt Obligation Guarantees | Other joint ventures and entities | ||
Guarantor Obligations [Line Items] | ||
Maximum potential amount of future payments under the guarantees | $ 85 | |
Joint venture debt obligations, period (up to) | 3 years | |
Indemnifications | ||
Guarantor Obligations [Line Items] | ||
Carrying amount of indemnifications | $ 133 | 144 |
Environmental accruals for known contaminations | 104 | $ 106 |
Facilities | Residual Value Guarantees | ||
Guarantor Obligations [Line Items] | ||
Maximum potential amount of future payments under the guarantees | 514 | |
Railcar and Airplane | Residual Value Guarantees | ||
Guarantor Obligations [Line Items] | ||
Maximum potential amount of future payments under the guarantees | $ 209 | |
Lessee operating lease remaining lease term (up to) | 9 years |
Contingencies and Commitments (
Contingencies and Commitments (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2022 | Dec. 31, 2021 | |
Debt Instrument [Line Items] | ||
Total environmental accrual | $ 436 | $ 436 |
Expected period to incur a substantial amount of expenditures | 30 years | |
Performance Guarantee | ||
Debt Instrument [Line Items] | ||
Performance obligations secured by letters of credit and bank guarantees | $ 1,355 |
Derivatives and Financial Ins_3
Derivatives and Financial Instruments - Summary of Commodity Derivative Assets and Liabilities (Details) - USD ($) $ in Millions | Sep. 30, 2022 | Dec. 31, 2021 |
Assets | ||
Liabilities | $ (3,900) | $ (779) |
Effect of Collateral Netting | 0 | 0 |
Liabilities | ||
Assets | 3,900 | 779 |
Effect of Collateral Netting | 45 | 49 |
Not Designated as Hedging Instrument | Commodity Derivatives | ||
Liabilities | ||
Effect of Collateral Netting | 45 | 49 |
Total | ||
Assets | 4,335 | 860 |
Liabilities | (4,257) | (877) |
Net Carrying Value Presented on the Balance Sheet | 123 | 32 |
Not Designated as Hedging Instrument | Commodity Derivatives | Prepaid expenses and other current assets | ||
Assets | ||
Assets | 4,239 | 99 |
Liabilities | (3,841) | (20) |
Effect of Collateral Netting | 0 | 0 |
Net Carrying Value Presented on the Balance Sheet | 398 | 79 |
Not Designated as Hedging Instrument | Commodity Derivatives | Other assets | ||
Assets | ||
Assets | 63 | 3 |
Liabilities | (26) | (1) |
Effect of Collateral Netting | 0 | 0 |
Net Carrying Value Presented on the Balance Sheet | 37 | 2 |
Not Designated as Hedging Instrument | Commodity Derivatives | Other accruals | ||
Liabilities | ||
Assets | 3 | 758 |
Liabilities | (338) | (855) |
Effect of Collateral Netting | 42 | 49 |
Net Carrying Value Presented on the Balance Sheet | (293) | (48) |
Not Designated as Hedging Instrument | Commodity Derivatives | Other liabilities and deferred credits | ||
Liabilities | ||
Assets | 30 | 0 |
Liabilities | (52) | (1) |
Effect of Collateral Netting | 3 | 0 |
Net Carrying Value Presented on the Balance Sheet | $ (19) | $ (1) |
Derivatives and Financial Ins_4
Derivatives and Financial Instruments - Summary of Gains/(Losses) From Commodity Derivatives (Details) - Commodity derivatives - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net gain (loss) from commodity derivative activity | $ 620 | $ (137) | $ (354) | $ (782) |
Sales and other operating revenues | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net gain (loss) from commodity derivative activity | 432 | (214) | (123) | (530) |
Other income | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net gain (loss) from commodity derivative activity | 22 | 11 | 84 | 30 |
Purchased crude oil and products | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net gain (loss) from commodity derivative activity | $ 166 | $ 66 | $ (315) | $ (282) |
Derivatives and Financial Ins_5
Derivatives and Financial Instruments - Narrative (Details) - USD ($) $ in Millions | Sep. 30, 2022 | Dec. 31, 2021 |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||
Cash collateral paid | $ 219 | $ 0 |
Percentage of derivative contract volume expiring within twelve months | 90% | 90% |
Derivatives and Financial Ins_6
Derivatives and Financial Instruments - Summary of Outstanding Commodity Derivative Contracts (Details) - Short - Commodity Derivative Assets bbl in Millions, Bcf in Millions | Sep. 30, 2022 Bcf bbl | Dec. 31, 2021 Bcf bbl |
Crude oil, refined petroleum products, NGL and renewable feedstocks (millions of barrels) | ||
Derivative [Line Items] | ||
Commodity | bbl | (29) | (18) |
Natural gas (billions of cubic feet) | ||
Derivative [Line Items] | ||
Commodity | Bcf | (84,000) | 0 |
Fair Value Measurements - Summa
Fair Value Measurements - Summary of Fair Value of Derivative Assets and Liabilities and Effect of Counterparty Netting (Details) - USD ($) $ in Millions | Sep. 30, 2022 | Dec. 31, 2021 |
Assets | ||
Total fair value of gross assets | $ 4,585 | $ 1,538 |
Effect of Counterparty Netting | (3,900) | (779) |
Effect of Collateral Netting | 0 | 0 |
Difference in Carrying Value and Fair Value | 0 | 0 |
Net Carrying Value Presented on the Balance Sheet | 685 | 759 |
Liabilities | ||
Total fair value gross liabilities | 20,128 | 16,705 |
Effect of Counterparty Netting | (3,900) | (779) |
Effect of Collateral Netting | (45) | (49) |
Difference in Carrying Value and Fair Value | 1,497 | (1,686) |
Net Carrying Value Presented on the Balance Sheet | 17,680 | 14,191 |
Level 1 | ||
Assets | ||
Total fair value of gross assets | 4,308 | 1,097 |
Liabilities | ||
Total fair value gross liabilities | 3,931 | 463 |
Level 2 | ||
Assets | ||
Total fair value of gross assets | 252 | 441 |
Liabilities | ||
Total fair value gross liabilities | 16,192 | 16,242 |
Level 3 | ||
Assets | ||
Total fair value of gross assets | 25 | 0 |
Liabilities | ||
Total fair value gross liabilities | 5 | 0 |
Commodity Derivative Assets | Exchange-cleared instruments | ||
Assets | ||
Commodity Derivative Assets | 4,164 | 787 |
Effect of Counterparty Netting | (3,870) | (779) |
Effect of Collateral Netting | 0 | 0 |
Difference in Carrying Value and Fair Value | 0 | 0 |
Net Carrying Value Presented on the Balance Sheet | 294 | 8 |
Liabilities | ||
Commodity Derivative Liabilities | 4,182 | 825 |
Effect of Counterparty Netting | (3,870) | (779) |
Effect of Collateral Netting | (45) | (49) |
Difference in Carrying Value and Fair Value | 0 | 0 |
Net Carrying Value Presented on the Balance Sheet | 267 | (3) |
Commodity Derivative Assets | OTC instruments | ||
Assets | ||
Commodity Derivative Assets | 42 | |
Effect of Counterparty Netting | 0 | |
Effect of Collateral Netting | 0 | |
Difference in Carrying Value and Fair Value | 0 | |
Net Carrying Value Presented on the Balance Sheet | 42 | |
Liabilities | ||
Commodity Derivative Liabilities | 5 | 1 |
Effect of Counterparty Netting | 0 | 0 |
Effect of Collateral Netting | 0 | 0 |
Difference in Carrying Value and Fair Value | 0 | 0 |
Net Carrying Value Presented on the Balance Sheet | 5 | 1 |
Commodity Derivative Assets | Physical forward contracts | ||
Assets | ||
Commodity Derivative Assets | 129 | 73 |
Effect of Counterparty Netting | (30) | 0 |
Effect of Collateral Netting | 0 | 0 |
Difference in Carrying Value and Fair Value | 0 | 0 |
Net Carrying Value Presented on the Balance Sheet | 99 | 73 |
Liabilities | ||
Commodity Derivative Liabilities | 70 | 51 |
Effect of Counterparty Netting | (30) | 0 |
Effect of Collateral Netting | 0 | 0 |
Difference in Carrying Value and Fair Value | 0 | 0 |
Net Carrying Value Presented on the Balance Sheet | 40 | 51 |
Commodity Derivative Assets | Level 1 | Exchange-cleared instruments | ||
Assets | ||
Commodity Derivative Assets | 4,058 | 419 |
Liabilities | ||
Commodity Derivative Liabilities | 3,931 | 463 |
Commodity Derivative Assets | Level 1 | OTC instruments | ||
Assets | ||
Commodity Derivative Assets | 0 | |
Liabilities | ||
Commodity Derivative Liabilities | 0 | 0 |
Commodity Derivative Assets | Level 1 | Physical forward contracts | ||
Assets | ||
Commodity Derivative Assets | 0 | 0 |
Liabilities | ||
Commodity Derivative Liabilities | 0 | 0 |
Commodity Derivative Assets | Level 2 | Exchange-cleared instruments | ||
Assets | ||
Commodity Derivative Assets | 103 | 368 |
Liabilities | ||
Commodity Derivative Liabilities | 246 | 362 |
Commodity Derivative Assets | Level 2 | OTC instruments | ||
Assets | ||
Commodity Derivative Assets | 22 | |
Liabilities | ||
Commodity Derivative Liabilities | 5 | 1 |
Commodity Derivative Assets | Level 2 | Physical forward contracts | ||
Assets | ||
Commodity Derivative Assets | 127 | 73 |
Liabilities | ||
Commodity Derivative Liabilities | 70 | 51 |
Commodity Derivative Assets | Level 3 | Exchange-cleared instruments | ||
Assets | ||
Commodity Derivative Assets | 3 | 0 |
Liabilities | ||
Commodity Derivative Liabilities | 5 | 0 |
Commodity Derivative Assets | Level 3 | OTC instruments | ||
Assets | ||
Commodity Derivative Assets | 20 | |
Liabilities | ||
Commodity Derivative Liabilities | 0 | 0 |
Commodity Derivative Assets | Level 3 | Physical forward contracts | ||
Assets | ||
Commodity Derivative Assets | 2 | 0 |
Liabilities | ||
Commodity Derivative Liabilities | 0 | 0 |
Rabbi trust assets | ||
Assets | ||
Investments fair value | 121 | 158 |
Difference in Carrying Value and Fair Value | 0 | 0 |
Rabbi trust assets | Level 1 | ||
Assets | ||
Investments fair value | 121 | 158 |
Rabbi trust assets | Level 2 | ||
Assets | ||
Investments fair value | 0 | 0 |
Rabbi trust assets | Level 3 | ||
Assets | ||
Investments fair value | 0 | 0 |
Investment in NOVONIX | ||
Assets | ||
Investments fair value | 89 | 520 |
Difference in Carrying Value and Fair Value | 0 | 0 |
Investment in NOVONIX | Level 1 | ||
Assets | ||
Investments fair value | 89 | 520 |
Investment in NOVONIX | Level 2 | ||
Assets | ||
Investments fair value | 0 | 0 |
Investment in NOVONIX | Level 3 | ||
Assets | ||
Investments fair value | 0 | 0 |
Other investments | ||
Assets | ||
Investments fair value | 40 | |
Difference in Carrying Value and Fair Value | 0 | |
Other investments | Level 1 | ||
Assets | ||
Investments fair value | 40 | |
Other investments | Level 2 | ||
Assets | ||
Investments fair value | 0 | |
Other investments | Level 3 | ||
Assets | ||
Investments fair value | 0 | |
Floating-rate debt | ||
Liabilities | ||
Debt | 25 | 475 |
Difference in Carrying Value and Fair Value | 0 | 0 |
Floating-rate debt | Net Carrying Value Presented on the Balance Sheet | ||
Liabilities | ||
Debt | 25 | 475 |
Floating-rate debt | Level 1 | ||
Liabilities | ||
Debt | 0 | 0 |
Floating-rate debt | Level 2 | ||
Liabilities | ||
Debt | 25 | 475 |
Floating-rate debt | Level 3 | ||
Liabilities | ||
Debt | 0 | 0 |
Fixed-rate debt, excluding finance leases and software obligations | ||
Liabilities | ||
Debt | 15,846 | 15,353 |
Difference in Carrying Value and Fair Value | 1,497 | (1,686) |
Fixed-rate debt, excluding finance leases and software obligations | Net Carrying Value Presented on the Balance Sheet | ||
Liabilities | ||
Debt | 17,343 | 13,667 |
Fixed-rate debt, excluding finance leases and software obligations | Level 1 | ||
Liabilities | ||
Debt | 0 | 0 |
Fixed-rate debt, excluding finance leases and software obligations | Level 2 | ||
Liabilities | ||
Debt | 15,846 | 15,353 |
Fixed-rate debt, excluding finance leases and software obligations | Level 3 | ||
Liabilities | ||
Debt | $ 0 | $ 0 |
Fair Value Measurements - Narra
Fair Value Measurements - Narrative (Details) - USD ($) $ in Millions | 9 Months Ended | ||
Aug. 17, 2022 | Sep. 30, 2022 | Sep. 30, 2021 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Gain related to merger of businesses | $ 3,013 | $ 0 | |
Merger of DCP Midstream, LLC and Gray Oak Holdings LLC | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Equity method investments | $ 2,192 | ||
Properties, plants and equipment | 12,837 | ||
Gain from remeasuring previously held equity investments to fair value | 2,831 | $ 2,831 | |
Merger of DCP Midstream, LLC and Gray Oak Holdings LLC | Gray Oak Pipeline LLC | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Gain from remeasuring previously held equity investments to fair value | $ 182 | ||
Merger of DCP Midstream, LLC and Gray Oak Holdings LLC | Gray Oak Pipeline LLC | Enbridge Inc | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Transferred indirect economic interest | 35.75% |
Pension and Postretirement Pl_3
Pension and Postretirement Plans - Summary of Components of Net Periodic Benefit Cost (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Pension Benefits | U.S. | ||||
Components of Net Periodic Benefit Cost | ||||
Service cost | $ 28 | $ 37 | $ 98 | $ 111 |
Interest cost | 28 | 20 | 70 | 60 |
Expected return on plan assets | (31) | (39) | (109) | (121) |
Amortization of prior service credit | 0 | 0 | 0 | 0 |
Amortization of net actuarial loss (gain) | 6 | 8 | 18 | 37 |
Settlements | 20 | 18 | 45 | 47 |
Net periodic benefit cost | 51 | 44 | 122 | 134 |
Pension Benefits | Int’l. | ||||
Components of Net Periodic Benefit Cost | ||||
Service cost | 6 | 9 | 21 | 26 |
Interest cost | 5 | 5 | 16 | 14 |
Expected return on plan assets | (13) | (15) | (44) | (44) |
Amortization of prior service credit | 0 | 0 | 0 | 0 |
Amortization of net actuarial loss (gain) | 3 | 7 | 9 | 19 |
Settlements | 9 | 0 | 9 | 0 |
Net periodic benefit cost | 10 | 6 | 11 | 15 |
Other Benefits | ||||
Components of Net Periodic Benefit Cost | ||||
Service cost | 1 | 1 | 3 | 4 |
Interest cost | 1 | 2 | 4 | 4 |
Expected return on plan assets | 0 | 0 | 0 | 0 |
Amortization of prior service credit | 0 | (1) | (1) | (2) |
Amortization of net actuarial loss (gain) | (1) | 0 | (2) | (1) |
Settlements | 0 | 0 | 0 | 0 |
Net periodic benefit cost | $ 1 | $ 2 | $ 4 | $ 5 |
Pension and Postretirement Pl_4
Pension and Postretirement Plans - Narrative (Details) $ in Millions | 9 Months Ended |
Sep. 30, 2022 USD ($) | |
U.S. | |
Defined Benefit Plan Disclosure [Line Items] | |
Company contributions to plans | $ 122 |
Additional contributions expected to be made during remainder of fiscal year | 16 |
Int’l. | Pension Benefits | |
Defined Benefit Plan Disclosure [Line Items] | |
Company contributions to plans | 18 |
Additional contributions expected to be made during remainder of fiscal year | $ 5 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Accumulated other comprehensive income (loss) | ||||
Beginning balance | $ 24,573 | $ 20,602 | $ 21,637 | $ 21,523 |
Other comprehensive income (loss) before reclassifications | (626) | 117 | ||
Other Comprehensive Income (Loss), Net of Income Taxes | (261) | (40) | (549) | 200 |
Ending balance | 33,309 | 20,597 | 33,309 | 20,597 |
Accumulated Other Comprehensive Loss | ||||
Accumulated other comprehensive income (loss) | ||||
Beginning balance | (733) | (549) | (445) | (789) |
Other Comprehensive Income (Loss), Net of Income Taxes | (261) | (40) | (549) | 200 |
Ending balance | (994) | (589) | (994) | (589) |
Defined Benefit Plans | ||||
Accumulated other comprehensive income (loss) | ||||
Beginning balance | (398) | (809) | ||
Other comprehensive income (loss) before reclassifications | (1) | 184 | ||
Amounts reclassified from accumulated other comprehensive loss | 77 | 82 | ||
Other Comprehensive Income (Loss), Net of Income Taxes | 76 | 266 | ||
Ending balance | (322) | (543) | (322) | (543) |
Foreign Currency Translation | ||||
Accumulated other comprehensive income (loss) | ||||
Beginning balance | (45) | 25 | ||
Other comprehensive income (loss) before reclassifications | (625) | (68) | ||
Amounts reclassified from accumulated other comprehensive loss | 0 | 0 | ||
Other Comprehensive Income (Loss), Net of Income Taxes | (625) | (68) | ||
Ending balance | (670) | (43) | (670) | (43) |
Hedging | ||||
Accumulated other comprehensive income (loss) | ||||
Beginning balance | (2) | (5) | ||
Other comprehensive income (loss) before reclassifications | 0 | 1 | ||
Amounts reclassified from accumulated other comprehensive loss | 0 | 1 | ||
Other Comprehensive Income (Loss), Net of Income Taxes | 0 | 2 | ||
Ending balance | $ (2) | $ (3) | $ (2) | $ (3) |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Related Party Transactions [Abstract] | ||||
Operating revenues and other income | $ 1,599 | $ 1,005 | $ 4,914 | $ 2,734 |
Purchases | 5,705 | 3,980 | 16,589 | 9,789 |
Operating expenses and selling, general and administrative expenses | $ 69 | $ 80 | $ 209 | $ 215 |
Segment Disclosures and Relat_3
Segment Disclosures and Related Information - Narrative (Details) | 9 Months Ended |
Sep. 30, 2022 refinery | |
Midstream | NOVONIX Limited | |
Segment Reporting Information [Line Items] | |
Percent ownership of equity securities investment | 16% |
Chemicals | CPChem | |
Segment Reporting Information [Line Items] | |
Equity investment | 50% |
Refining | Mainly United States And Europe | |
Segment Reporting Information [Line Items] | |
Number of refineries | 12 |
Segment Disclosures and Relat_4
Segment Disclosures and Related Information - Analysis by Segment (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Dec. 31, 2021 | |
Segment Reporting Information [Line Items] | |||||
Sales and other operating revenues | $ 44,955 | $ 30,243 | $ 129,711 | $ 78,872 | |
Income (Loss) Before Income Taxes | 7,158 | 448 | 12,092 | 113 | |
Total Assets | 77,339 | 77,339 | $ 55,594 | ||
Midstream | |||||
Segment Reporting Information [Line Items] | |||||
Sales and other operating revenues | 4,258 | 2,265 | 10,559 | 5,911 | |
Refining | |||||
Segment Reporting Information [Line Items] | |||||
Sales and other operating revenues | 11,654 | 7,353 | 32,166 | 21,113 | |
Marketing and Specialties | |||||
Segment Reporting Information [Line Items] | |||||
Sales and other operating revenues | 29,029 | 20,615 | 86,960 | 51,824 | |
Operating Segments | Midstream | |||||
Segment Reporting Information [Line Items] | |||||
Sales and other operating revenues | 5,035 | 3,067 | 12,938 | 8,049 | |
Income (Loss) Before Income Taxes | 3,645 | 629 | 4,179 | 1,017 | |
Total Assets | 31,129 | 31,129 | 15,932 | ||
Operating Segments | Chemicals | |||||
Segment Reporting Information [Line Items] | |||||
Sales and other operating revenues | 0 | 1 | 0 | 3 | |
Income (Loss) Before Income Taxes | 135 | 631 | 804 | 1,408 | |
Total Assets | 6,675 | 6,675 | 6,453 | ||
Operating Segments | Refining | |||||
Segment Reporting Information [Line Items] | |||||
Sales and other operating revenues | 29,904 | 20,206 | 86,905 | 53,939 | |
Income (Loss) Before Income Taxes | 2,851 | (1,126) | 6,010 | (2,895) | |
Total Assets | 22,628 | 22,628 | 19,952 | ||
Operating Segments | Marketing and Specialties | |||||
Segment Reporting Information [Line Items] | |||||
Sales and other operating revenues | 29,866 | 21,184 | 89,595 | 53,286 | |
Income (Loss) Before Income Taxes | 847 | 545 | 1,928 | 1,311 | |
Total Assets | 11,555 | 11,555 | 8,505 | ||
Intersegment eliminations | Midstream | |||||
Segment Reporting Information [Line Items] | |||||
Sales and other operating revenues | (777) | (802) | (2,379) | (2,138) | |
Intersegment eliminations | Refining | |||||
Segment Reporting Information [Line Items] | |||||
Sales and other operating revenues | (18,250) | (12,853) | (54,739) | (32,826) | |
Intersegment eliminations | Marketing and Specialties | |||||
Segment Reporting Information [Line Items] | |||||
Sales and other operating revenues | (837) | (569) | (2,635) | (1,462) | |
Corporate and Other | |||||
Segment Reporting Information [Line Items] | |||||
Sales and other operating revenues | 14 | 9 | 26 | 21 | |
Income (Loss) Before Income Taxes | (320) | $ (231) | (829) | $ (728) | |
Total Assets | $ 5,352 | $ 5,352 | $ 4,752 |
Income Taxes (Details)
Income Taxes (Details) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Income Tax Disclosure [Abstract] | ||||
Effective tax rate, percent | 23% | (9.00%) | 22% | (97.00%) |
DCP Midstream, LP - Narrative (
DCP Midstream, LP - Narrative (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | Sep. 30, 2022 | Aug. 17, 2022 |
Common Unit Acquisition Proposal Of DCP LP | ||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||
Cash consideration (in dollars per share) | $ 34.75 | |
DCP LP | Variable Interest Entity, Primary Beneficiary | ||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||
Economic interest | 43.31% | |
Common unit, outstanding (in shares) | 208,000 | |
Number of shares to be issued (in shares) | 90,000 | |
DCP LP | Enbridge Inc | Variable Interest Entity, Primary Beneficiary | ||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||
Economic interest acquired | 23.36% | |
DCP LP | Series A Preferred Stock | Variable Interest Entity, Primary Beneficiary | ||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||
Preferred units, outstanding (in shares) | 500 | |
Preferred units, liquidation preference | $ 500 | |
DCP LP | Series B Preferred Stock | Variable Interest Entity, Primary Beneficiary | ||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||
Preferred units, outstanding (in shares) | 6,450 | |
Preferred units, liquidation preference | $ 161 | |
DCP LP | Series C Preferred Stock | Variable Interest Entity, Primary Beneficiary | ||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||
Preferred units, outstanding (in shares) | 4,400 | |
Preferred units, liquidation preference | $ 110 | |
DCP Midstream Class A Segment | Variable Interest Entity, Primary Beneficiary | ||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||
Number of shares held by LLC (in shares) | 118,000 |
DCP Midstream, LP - Schedule of
DCP Midstream, LP - Schedule of Assets and Liabilities (Details) - USD ($) $ in Millions | Sep. 30, 2022 | Dec. 31, 2021 |
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||
Accounts and notes receivable | $ 13,652 | $ 7,470 |
DCP LP | Variable Interest Entity, Primary Beneficiary | ||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||
Accounts and notes receivable | 1,298 | |
Net properties, plants and equipment | 9,295 | |
Equity investments | 2,185 | |
Accounts payable | 1,351 | |
Short-term debt | 506 | |
Long-term debt | $ 4,192 |
Phillips 66 Partners LP (Detail
Phillips 66 Partners LP (Details) - Acquisition Of Phillips 66 Partners Common Units Held By Public $ in Millions | Mar. 09, 2022 USD ($) shares |
Subsidiary or Equity Method Investee [Line Items] | |
Number of shares to be issued (in shares) | shares | 42,000,000 |
Number of shares issued per acquiree share (in shares) | shares | 0.50 |
Increase of treasury stock | $ 3,380 |
Decrease of noncontrolling interests | 2,163 |
Decrease of capital in excess of par | 901 |
Decrease of deferred income taxes | 323 |
Decrease of cash and cash equivalents | 2 |
Increase of other accruals | $ 5 |
Restructuring (Details)
Restructuring (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended |
Sep. 30, 2022 | Sep. 30, 2022 | |
Restructuring and Related Activities [Abstract] | ||
Restructuring costs | $ 74 | $ 99 |