v3.19.3.a.u2
Fair Value Measurement (Tables)
12 Months Ended
Dec. 31, 2019
Fair Value Measurement [Abstract]  
Fair value hierarchy for gross financial assets and liabilities
The following table summarizes the fair value
 
hierarchy for gross financial assets and
 
liabilities (i.e.,
unadjusted where the right of setoff exists for commodity
 
derivatives accounted for at fair value on a recurring
basis):
 
Millions of Dollars
December 31, 2019
December 31, 2018
Level 1
Level 2
Level 3
Total
Level 1
Level 2
Level 3
Total
Assets
Investment in Cenovus Energy
$
2,111
-
-
2,111
1,462
-
-
1,462
Investments in debt securities
25
216
-
241
Commodity derivatives
172
114
36
322
236
181
33
450
Total assets
$
2,308
330
36
2,674
1,698
181
33
1,912
Liabilities
Commodity derivatives
$
174
115
22
311
225
145
30
400
Total liabilities
$
174
115
22
311
225
145
30
400
Commodity derivative balances subject to right of setoff
The following table summarizes those commodity
 
derivative balances subject to the right of setoff as
presented on our consolidated balance sheet.
 
We have elected to offset the recognized fair value amounts for
multiple derivative instruments executed with the same
 
counterparty in our financial statements
 
when a legal
right of setoff exists.
Millions of Dollars
Amounts Subject to Right of Setoff
Gross
Amounts Not
Gross
Net
Amounts
Subject to
Gross
Amounts
Amounts
Cash
Net
Recognized
Right of Setoff
Amounts
Offset
Presented
Collateral
Amounts
December 31, 2019
Assets
$
322
3
319
193
126
4
122
Liabilities
311
4
307
193
114
12
102
December 31, 2018
Assets
$
450
9
441
280
161
-
161
Liabilities
400
4
396
280
116
10
106
At December 31, 2019 and December 31, 2018,
 
we did not present any amounts gross on our consolidated
balance sheet where we had the right of setoff.
Values of assets, by major category, measured at fair value on a nonrecurring basis
Non-Recurring Fair Value Measurement
The following table summarizes the fair value
 
hierarchy by major category and date of
 
remeasurement for
assets accounted for at fair value on a non-recurring
 
basis:
Millions of Dollars
Fair Value Measurements Using
Fair Value
Level 1
Inputs
Level 2
Inputs
Level 3
Inputs
Before-Tax
Loss
Year
 
ended December 31, 2019
Net PP&E (held for sale)
 
November 30, 2019
$
194
194
-
-
351
 
December 31, 2019
166
166
-
-
28
Equity Method Investments
 
March 31, 2019
171
171
-
-
60
 
May 31, 2019
30
-
30
-
95
Year
 
ended December 31, 2018
Net PP&E (held for sale)
 
March 31, 2018
$
250
-
-
250
44
 
September 30, 2018
201
201
-
-
43
Commodity derivative and financial instruments
The following table summarizes the net fair
 
value of financial instruments (i.e., adjusted
 
where the right of
setoff exists for commodity derivatives):
Millions of Dollars
Carrying Amount
Fair Value
2019
2018
2019
2018
Financial assets
Investment in Cenovus Energy
$
2,111
1,462
2,111
1,462
Commodity derivatives
125
170
125
170
Investments in debt securities
241
-
241
-
Total loans and advances—related parties
339
468
339
468
Financial liabilities
Total debt, excluding finance leases
14,175
14,191
18,108
16,147
Commodity derivatives
106
110
106
110