Quarterly report pursuant to Section 13 or 15(d)

Property, Plant and Equipment

v3.19.1
Property, Plant and Equipment
 3 Months Ended
Mar. 31, 2019
Property, Plant and Equipment [Abstract]  
Property, Plant and Equipment PROPERTY, PLANT AND EQUIPMENT
 
As of March 31, 2019 and December 31, 2018, property, plant and equipment, net consisted of the following (in millions):
 
 
March 31,
 
December 31,
 
 
2019
 
2018
LNG terminal costs
 
 
 
 
LNG terminal and interconnecting pipeline facilities
 
$
16,747

 
$
12,760

LNG terminal construction-in-process
 
263

 
3,913

Accumulated depreciation
 
(1,402
)
 
(1,290
)
Total LNG terminal costs, net
 
15,608

 
15,383

Fixed assets
 
 

 
 

Fixed assets
 
27

 
26

Accumulated depreciation
 
(20
)
 
(19
)
Total fixed assets, net
 
7

 
7

Property, plant and equipment, net
 
$
15,615

 
$
15,390

 

Depreciation expense was $113 million and $102 million during the three months ended March 31, 2019 and 2018, respectively.

We realized offsets to LNG terminal costs of $48 million in the three months ended March 31, 2019 that were related to the sale of commissioning cargoes because these amounts were earned or loaded prior to the start of commercial operations of Train 5 of the Liquefaction Project, during the testing phase for its construction. We did not realize any offsets to LNG terminal costs in the three months ended March 31, 2018.