RISK-MANAGEMENT AND HEDGING ACTIVITIES USING DERIVATIVES (Tables)

9 Months Ended

Sep. 30, 2026

Derivative Instruments and Hedging Activities Disclosure [Abstract]

The following table sets forth the fair values of our derivative instruments presented on a gross basis as of the dates indicated:


		September 30, 2026				December 31, 2025
	Location in our Consolidated Balance Sheets	Assets		(Liabilities)		Assets		(Liabilities)
		(Millions of dollars)
Derivatives designated as hedging instruments
Commodity contracts (a)(b)	Other current assets	$	232	$	(421)	$	112	$	(50)

Total derivatives designated as hedging instruments		232		(421)		112		(50)
Derivatives not designated as hedging instruments
Commodity contracts (a)(b)	Other current assets	17		(23)		17		(17)


Total derivatives not designated as hedging instruments		17		(23)		17		(17)
Total derivatives		$	249	$	(444)	$	129	$	(67)

(a) - Derivative assets and liabilities are presented in our Consolidated Balance Sheets on a net basis when a legally enforceable master-netting arrangement exists between the counterparty to a derivative contract and us.

(b) - At September 30, 2026, our derivative net liability positions under master-netting arrangements for financial commodity contracts were offset by cash collateral of $195 million.

Schedule of Notional Amounts of Derivative Instruments

The following table sets forth the notional quantities for our derivative instruments, consisting of futures and swaps, held as of the dates indicated:


	September 30, 2026	December 31, 2025
	Net Purchased/Payor (Sold/Receiver)
Derivatives designated as hedging instruments:
Cash flow hedges
Fixed price
- Natural gas (Bcf)	(23.8)	(19.4)
- NGLs, Refined Products and crude oil (MMBbl)	(18.9)	(22.1)

Basis
- Natural gas (Bcf)	(24.2)	(17.9)
- NGLs, Refined Products and crude oil (MMBbl)	2.6	(0.6)


Derivatives not designated as hedging instruments:
Fixed price
- Natural gas (Bcf)	(5.1)	(4.1)
- NGLs, Refined Products and crude oil (MMBbl)	—	0.1
Basis
- Natural gas (Bcf)	(0.3)	(0.2)

Swing Swaps
- Natural gas (Bcf)	2.2	(0.6)

Schedule of Cash Flow Hedging Instruments Effect on Income (Loss)

The following table sets forth the effect of cash flow hedges on income before income taxes for the periods indicated:


Derivatives in Cash Flow Hedging Relationships	Location of Gain (Loss) Reclassified from Accumulated Other Comprehensive Loss into Income before Income Taxes	Three Months Ended		Nine Months Ended
		September 30,		September 30,
		2026		2026
		(Millions of dollars)
Commodity contracts	Commodity sales revenues	$	(123)	$	(501)
	Cost of sales and fuel	81		97
Interest-rate contracts	Interest expense	(4)		(12)
Total change in fair value of cash flow hedges reclassified from accumulated other comprehensive loss into income before income taxes on derivatives		$	(46)	$	(416)