Company: PAGP
Filing Date: 2025-02-28
Form Type: 10-K
Source: 0001581990-25-000006
Chunk: 486

Company: PLAINS GP HOLDINGS LP
Filing Date: 2025-02-28
Form: 10-K
Item: Item 7
Chunk 486
---
 is governed by our risk management policies.

80

Table of ContentsIndex to Financial Statements

Generally, our segment results are impacted by (i) increases or decreases in our NGL sales volumes, (ii) volatility in commodity price differentials, primarily the differential between the price of natural gas and the extracted NGL (“frac spread”), as well as location differentials and time spreads, (iii) the quality and volume of natural gas transported on third-party assets through our Empress straddle plant and (iv) our share of the NGL received from a third-party straddle plant.

Our NGL operations are sensitive to weather-related demand, particularly during the approximate five-month peak heating season of November through March, and temperature differences from period-to-period may have a significant effect on NGL demand, and thus our financial performance, as well as the impact of comparative performance between financial reporting periods that bisect the five-month peak heating season.

The following tables set forth our operating results from our NGL segment:

Operating Results (1)(in millions)Year Ended December 31,Variance20242023$%Revenues$1,724 $1,935 $(211)(11)%Purchases and related costs (2)(898)(1,123)225 20 %Field operating costs (2)(328)(372)44 12 %Segment general and administrative expenses (2) (3)(83)(79)(4)(5)%Other segment items (4):Derivative activities80 142 (62)**Long-term inventory costing adjustments(10)13 (23)**Equity-indexed compensation expense— 1 (1)**Foreign currency revaluation(5)5 (10)**Segment Adjusted EBITDA$480 $522 $(42)(8)%Maintenance capital expenditures$78 $86 $(8)(9)%

Year Ended December 31,VarianceAverage Volumes (in thousands of barrels per day) (5)20242023Volumes%NGL fractionation132 115 17 15 %NGL pipeline tariff213 180 33 18 %Propane and butane sales92 86 6 7 %

**    Indicates that variance as a percentage is not meaningful.

(1)Revenues and costs and expenses include intersegment amounts.

(2)Represents components of significant segment expenses.

(3)Segment general and administrative expenses reflect direct costs attributable to each segment