Enterprise Products Partners L.P.

SEC Filings

10-K
ENTERPRISE PRODUCTS PARTNERS L P filed this Form 10-K on 02/28/2018
Entire Document
 

ENTERPRISE PRODUCTS PARTNERS L.P.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

The following table information regarding our consolidated revenues by business segment for the periods indicated:

 
 
For the Year Ended December 31,
 
 
 
2017
   
2016
   
2015
 
NGL Pipelines & Services:
                 
Sales of NGLs and related products
 
$
10,521.3
   
$
8,380.5
   
$
8,044.8
 
Midstream services
   
1,946.7
     
1,862.0
     
1,743.2
 
Total
   
12,468.0
     
10,242.5
     
9,788.0
 
Crude Oil Pipelines & Services:
                       
    Sales of crude oil
   
7,365.2
     
5,802.5
     
9,732.9
 
    Midstream services
   
791.6
     
712.5
     
573.0
 
        Total
   
8,156.8
     
6,515.0
     
10,305.9
 
Natural Gas Pipelines & Services:
                       
    Sales of natural gas
   
2,238.5
     
1,591.9
     
1,722.6
 
    Midstream services
   
907.1
     
951.1
     
1,020.7
 
       Total
   
3,145.6
     
2,543.0
     
2,743.3
 
Petrochemical & Refined Products Services:
                       
    Sales of petrochemicals and refined products
   
4,696.3
     
2,921.9
     
3,333.5
 
    Midstream services
   
774.8
     
799.9
     
778.4
 
       Total
   
5,471.1
     
3,721.8
     
4,111.9
 
Offshore Pipelines & Services:
                       
Sales of crude oil
   
--
     
--
     
3.2
 
Midstream services
   
--
     
--
     
75.6
 
Total
   
--
     
--
     
78.8
 
Total consolidated revenues
 
$
29,241.5
   
$
23,022.3
   
$
27,027.9
 

NGL Pipelines & Services

Sales of NGLs and related products
NGL marketing activities generate revenues from merchant activities such as spot and term sales of NGLs and related products, which we take title to through our natural gas processing activities (i.e., our equity NGL production), and open market and long-term contract purchases.  Revenue from these sales contracts is recognized when the NGLs are sold and delivered to customers at market-based prices.  

Midstream services
Natural gas processing utilizes contracts that are either fee-based, commodity-based or a combination of the two.   Our commodity-based contracts include keepwhole, margin-band, percent-of-liquids, percent-of-proceeds and contracts featuring a combination of commodity and fee-based terms.  We recognize revenue when the extracted NGLs are delivered and sold to customers under NGL marketing sales contracts.  When a cash fee for natural gas processing services is stipulated by a contract, we record revenue when a producer’s natural gas has been processed and redelivered.  

NGL pipeline transportation contracts and tariffs generally generate revenue based upon a fixed fee per gallon of liquids multiplied by the volume transported and delivered (or capacity reserved).  Transportation fees charged to shippers are based on either tariffs regulated by governmental agencies or contractual arrangements.  Under certain agreements customers are required to ship a minimum volume over an agreed-upon period with a provision that allows the shipper to make-up any volume shortfalls over an agreed-upon period (referred to as shipper “make-up rights”).  Revenue pursuant to such agreements is initially deferred and subsequently recognized at the earlier of when the deficiency volume is shipped, when the shipper’s ability to meet the minimum volume commitment has expired, or when the pipeline is otherwise released from its performance obligation.

NGL fractionation primarily generates revenue under fee-based arrangements.  These fees are contractually subject to adjustment for changes in certain fractionation expenses (e.g., natural gas fuel costs) and are recognized in the period services are provided.   
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