shlx-20200630
FALSE2020Q212/310001610466P10YP7YP5YP5Y107555P5YP1YP10YP15YP5YP15YP15Y611100016104662020-01-012020-06-30xbrli:shares00016104662020-07-31iso4217:USD0001610466shlx:TransportationTerminalingandStorageServicesMembershlx:ThirdPartiesMember2020-04-012020-06-300001610466shlx:TransportationTerminalingandStorageServicesMembershlx:ThirdPartiesMember2019-04-012019-06-300001610466shlx:TransportationTerminalingandStorageServicesMembershlx:ThirdPartiesMember2020-01-012020-06-300001610466shlx:TransportationTerminalingandStorageServicesMembershlx:ThirdPartiesMember2019-01-012019-06-300001610466shlx:TransportationTerminalingandStorageServicesMembershlx:RelatedPartiesMember2020-04-012020-06-300001610466shlx:TransportationTerminalingandStorageServicesMembershlx:RelatedPartiesMember2019-04-012019-06-300001610466shlx:TransportationTerminalingandStorageServicesMembershlx:RelatedPartiesMember2020-01-012020-06-300001610466shlx:TransportationTerminalingandStorageServicesMembershlx:RelatedPartiesMember2019-01-012019-06-300001610466shlx:ThirdPartiesMembershlx:ProductRevenueMember2020-04-012020-06-300001610466shlx:ThirdPartiesMembershlx:ProductRevenueMember2019-04-012019-06-300001610466shlx:ThirdPartiesMembershlx:ProductRevenueMember2020-01-012020-06-300001610466shlx:ThirdPartiesMembershlx:ProductRevenueMember2019-01-012019-06-300001610466shlx:RelatedPartiesMembershlx:ProductRevenueMember2020-04-012020-06-300001610466shlx:RelatedPartiesMembershlx:ProductRevenueMember2019-04-012019-06-300001610466shlx:RelatedPartiesMembershlx:ProductRevenueMember2020-01-012020-06-300001610466shlx:RelatedPartiesMembershlx:ProductRevenueMember2019-01-012019-06-3000016104662020-04-012020-06-3000016104662019-04-012019-06-3000016104662019-01-012019-06-30iso4217:USDxbrli:shares0001610466shlx:LimitedPartnersCommonUnitsMember2020-04-012020-06-300001610466shlx:LimitedPartnersCommonUnitsMember2019-04-012019-06-300001610466shlx:LimitedPartnersCommonUnitsMember2020-01-012020-06-300001610466shlx:LimitedPartnersCommonUnitsMember2019-01-012019-06-300001610466shlx:CommonUnitsPublicMember2020-04-012020-06-300001610466shlx:CommonUnitsPublicMember2019-04-012019-06-300001610466shlx:CommonUnitsPublicMember2020-01-012020-06-300001610466shlx:CommonUnitsPublicMember2019-01-012019-06-300001610466shlx:CommonUnitsMembershlx:ShellPipelineCompanyLPMember2020-04-012020-06-300001610466shlx:CommonUnitsMembershlx:ShellPipelineCompanyLPMember2019-04-012019-06-300001610466shlx:CommonUnitsMembershlx:ShellPipelineCompanyLPMember2020-01-012020-06-300001610466shlx:CommonUnitsMembershlx:ShellPipelineCompanyLPMember2019-01-012019-06-3000016104662020-06-3000016104662019-12-310001610466shlx:ShellPipelineCompanyLPMember2020-06-300001610466shlx:ShellPipelineCompanyLPMember2019-12-310001610466shlx:CommonUnitsMember2019-12-310001610466shlx:CommonUnitsMember2020-06-300001610466shlx:CommonUnitsMembershlx:ShellPipelineCompanyLPMember2020-06-300001610466shlx:CommonUnitsMembershlx:ShellPipelineCompanyLPMember2019-12-3100016104662018-12-3100016104662019-06-300001610466shlx:ShellPipelineCompanyLPMemberus-gaap:PreferredPartnerMember2019-12-310001610466shlx:CommonUnitsPublicMember2019-12-310001610466shlx:ShellPipelineCompanyLPMembershlx:CommonUnitsPublicMember2019-12-310001610466shlx:ShellPipelineCompanyLPMemberus-gaap:GeneralPartnerMember2019-12-310001610466us-gaap:ReceivablesFromStockholderMember2019-12-310001610466us-gaap:AccumulatedOtherComprehensiveIncomeMember2019-12-310001610466us-gaap:NoncontrollingInterestMember2019-12-310001610466shlx:CommonUnitsPublicMember2020-01-012020-03-310001610466shlx:ShellPipelineCompanyLPMembershlx:CommonUnitsPublicMember2020-01-012020-03-310001610466shlx:ShellPipelineCompanyLPMemberus-gaap:GeneralPartnerMember2020-01-012020-03-310001610466us-gaap:NoncontrollingInterestMember2020-01-012020-03-3100016104662020-01-012020-03-310001610466shlx:ShellPipelineCompanyLPMemberus-gaap:PreferredPartnerMember2020-03-310001610466shlx:CommonUnitsPublicMember2020-03-310001610466shlx:ShellPipelineCompanyLPMembershlx:CommonUnitsPublicMember2020-03-310001610466shlx:ShellPipelineCompanyLPMemberus-gaap:GeneralPartnerMember2020-03-310001610466us-gaap:ReceivablesFromStockholderMember2020-03-310001610466us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-03-310001610466us-gaap:NoncontrollingInterestMember2020-03-3100016104662020-03-310001610466shlx:ShellPipelineCompanyLPMemberus-gaap:PreferredPartnerMember2020-04-012020-06-300001610466shlx:ShellPipelineCompanyLPMembershlx:CommonUnitsPublicMember2020-04-012020-06-300001610466shlx:ShellPipelineCompanyLPMemberus-gaap:GeneralPartnerMember2020-04-012020-06-300001610466us-gaap:NoncontrollingInterestMember2020-04-012020-06-300001610466us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-04-012020-06-300001610466us-gaap:ReceivablesFromStockholderMember2020-04-012020-06-300001610466shlx:ShellPipelineCompanyLPMemberus-gaap:PreferredPartnerMember2020-06-300001610466shlx:CommonUnitsPublicMember2020-06-300001610466shlx:ShellPipelineCompanyLPMembershlx:CommonUnitsPublicMember2020-06-300001610466shlx:ShellPipelineCompanyLPMemberus-gaap:GeneralPartnerMember2020-06-300001610466us-gaap:ReceivablesFromStockholderMember2020-06-300001610466us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-06-300001610466us-gaap:NoncontrollingInterestMember2020-06-300001610466shlx:CommonUnitsPublicMember2018-12-310001610466shlx:ShellPipelineCompanyLPMembershlx:CommonUnitsPublicMember2018-12-310001610466shlx:ShellPipelineCompanyLPMemberus-gaap:GeneralPartnerMember2018-12-310001610466us-gaap:AccumulatedOtherComprehensiveIncomeMember2018-12-310001610466us-gaap:NoncontrollingInterestMember2018-12-310001610466srt:CumulativeEffectPeriodOfAdoptionAdjustmentMembershlx:CommonUnitsPublicMember2018-12-310001610466srt:CumulativeEffectPeriodOfAdoptionAdjustmentMembershlx:ShellPipelineCompanyLPMembershlx:CommonUnitsPublicMember2018-12-310001610466srt:CumulativeEffectPeriodOfAdoptionAdjustmentMembershlx:ShellPipelineCompanyLPMemberus-gaap:GeneralPartnerMember2018-12-310001610466srt:CumulativeEffectPeriodOfAdoptionAdjustmentMember2018-12-310001610466shlx:CommonUnitsPublicMember2019-01-012019-03-310001610466shlx:ShellPipelineCompanyLPMembershlx:CommonUnitsPublicMember2019-01-012019-03-310001610466shlx:ShellPipelineCompanyLPMemberus-gaap:GeneralPartnerMember2019-01-012019-03-310001610466us-gaap:NoncontrollingInterestMember2019-01-012019-03-3100016104662019-01-012019-03-310001610466shlx:CommonUnitsPublicMember2019-03-310001610466shlx:ShellPipelineCompanyLPMembershlx:CommonUnitsPublicMember2019-03-310001610466shlx:ShellPipelineCompanyLPMemberus-gaap:GeneralPartnerMember2019-03-310001610466us-gaap:AccumulatedOtherComprehensiveIncomeMember2019-03-310001610466us-gaap:NoncontrollingInterestMember2019-03-3100016104662019-03-310001610466shlx:ShellPipelineCompanyLPMembershlx:CommonUnitsPublicMember2019-04-012019-06-300001610466shlx:ShellPipelineCompanyLPMemberus-gaap:GeneralPartnerMember2019-04-012019-06-300001610466us-gaap:NoncontrollingInterestMember2019-04-012019-06-300001610466us-gaap:AccumulatedOtherComprehensiveIncomeMember2019-04-012019-06-300001610466shlx:CommonUnitsPublicMember2019-06-300001610466shlx:ShellPipelineCompanyLPMembershlx:CommonUnitsPublicMember2019-06-300001610466shlx:ShellPipelineCompanyLPMemberus-gaap:GeneralPartnerMember2019-06-300001610466us-gaap:AccumulatedOtherComprehensiveIncomeMember2019-06-300001610466us-gaap:NoncontrollingInterestMember2019-06-30xbrli:pure0001610466shlx:EconomicInterestMemberus-gaap:GeneralPartnerMember2020-03-310001610466us-gaap:LimitedPartnerMembershlx:ShellPipelineCompanyLPMember2020-01-012020-06-300001610466us-gaap:LimitedPartnerMembershlx:ShellPipelineCompanyLPMember2020-06-300001610466us-gaap:LimitedPartnerMembershlx:PartnershipInterestsRestructuringAgreementMembershlx:SeriesAPerpetualConvertiblePreferredUnitsMember2020-06-30shlx:segment0001610466shlx:PectenMidstreamLLCMember2020-06-300001610466shlx:SandDollarMember2020-06-300001610466shlx:TritonWestLLCMember2020-06-300001610466shlx:ZydecoMember2020-06-300001610466shlx:MattoxPipelineCompanyLLCMattoxMember2020-06-300001610466shlx:SeriesAAmberjackPipelineCompanyLLCMember2020-06-300001610466shlx:SeriesBAmberjackPipelineCompanyLLCMember2020-06-300001610466shlx:MarsMember2020-06-300001610466shlx:OdysseyPipelineL.L.C.Member2020-06-300001610466shlx:BengalMember2020-06-300001610466shlx:PermianBasinMember2020-06-300001610466shlx:LOCAPLLCMember2020-06-300001610466shlx:ExplorerMember2020-06-300001610466shlx:PoseidonMember2020-06-300001610466shlx:ColonialMember2020-06-300001610466shlx:ProteusMember2020-06-300001610466shlx:EndymionMember2020-06-300001610466shlx:CleopatraMember2020-06-300001610466shlx:ZydecoMembershlx:ShellPipelineCompanyLPMembershlx:ZydecoMember2020-06-300001610466shlx:PurchaseAndSaleAgreementMembershlx:MattoxPipelineCompanyLLCMattoxMember2020-04-010001610466shlx:EconomicInterestMemberus-gaap:GeneralPartnerMember2020-04-010001610466shlx:PartnershipInterestsRestructuringAgreementMemberus-gaap:GeneralPartnerMember2020-04-01shlx:numberOfQuarters0001610466us-gaap:LimitedPartnerMembershlx:PartnershipInterestsRestructuringAgreementMembershlx:SeriesAPerpetualConvertiblePreferredUnitsMember2020-04-012020-04-010001610466us-gaap:LimitedPartnerMembershlx:PartnershipInterestsRestructuringAgreementMembershlx:CommonUnitsMember2020-04-012020-04-010001610466shlx:MattoxPipelineCompanyLLCMattoxMember2020-04-010001610466shlx:NorcoTransactionMembershlx:April2020TransactionMember2020-04-010001610466shlx:NorcoTransactionMembershlx:April2020TransactionMembersrt:AffiliatedEntityMember2020-04-0100016104662020-04-010001610466shlx:NorcoTransactionMembershlx:TerminalingServicesMembershlx:April2020TransactionMembersrt:AffiliatedEntityMember2020-06-300001610466us-gaap:ValuationTechniqueDiscountedCashFlowMembershlx:MattoxTransactionMembersrt:AffiliatedEntityMember2020-04-010001610466us-gaap:ValuationTechniqueDiscountedCashFlowMembershlx:NorcoTransactionMembersrt:AffiliatedEntityMember2020-04-010001610466us-gaap:ValuationTechniqueDiscountedCashFlowMembershlx:GPIDRRestructuringMembersrt:AffiliatedEntityMember2020-04-010001610466us-gaap:GeneralPartnerMember2020-04-010001610466shlx:PreferredUnitsMember2020-04-012020-04-010001610466shlx:June2019AcquisitionMembershlx:ExplorerMember2019-06-060001610466shlx:June2019AcquisitionMembershlx:ColonialMember2019-06-060001610466shlx:June2019AcquisitionMember2019-06-062019-06-060001610466shlx:June2019AcquisitionMembershlx:ExplorerMember2020-06-300001610466shlx:June2019AcquisitionMembershlx:ColonialMember2020-06-300001610466shlx:June2019AcquisitionMember2019-06-060001610466shlx:June2019AcquisitionMemberus-gaap:RevolvingCreditFacilityMembershlx:TenYearFixedFacilityMembershlx:ShellTreasuryCenterWestIncMember2019-06-062019-06-060001610466shlx:June2019AcquisitionMembershlx:PartnershipOwnershipMemberus-gaap:GeneralPartnerMember2019-06-060001610466shlx:June2019AcquisitionMembersrt:SubsidiariesMembershlx:ShellMidstreamLPHoldingsLLCMember2019-06-060001610466shlx:MattoxPipelineCompanyLLCMembershlx:PurchaseAndSaleAgreementMember2020-04-0100016104662020-02-182020-02-180001610466shlx:ShellPipelineCompanyLPMember2014-11-032014-11-0300016104662014-11-032014-11-0300016104662019-01-012019-12-3100016104662019-07-012019-09-300001610466shlx:ShellPipelineCompanyLPMembershlx:ZydecoMember2019-12-310001610466shlx:ShellPipelineCompanyLPMembershlx:ZydecoMember2020-06-300001610466shlx:OdysseyPipelineL.L.C.Membershlx:GELOffshorePipelineLLCMember2020-06-300001610466shlx:OdysseyPipelineL.L.C.Membershlx:GELOffshorePipelineLLCMember2019-12-310001610466srt:AffiliatedEntityMember2019-12-310001610466srt:AffiliatedEntityMember2020-06-30shlx:credit_facility0001610466shlx:ShellTreasuryCenterWestIncMember2020-06-300001610466us-gaap:RevolvingCreditFacilityMembershlx:TenYearFixedFacilityMembershlx:ShellTreasuryCenterWestIncMember2020-01-012020-06-300001610466us-gaap:RevolvingCreditFacilityMembershlx:SevenYearFixedFacilityDueJuly2025Membershlx:ShellTreasuryCenterWestIncMember2020-01-012020-06-300001610466us-gaap:RevolvingCreditFacilityMembershlx:ShellTreasuryCenterWestIncMembershlx:FiveYearRevolverDueDecember2022Member2020-01-012020-06-300001610466us-gaap:RevolvingCreditFacilityMembershlx:FiveYearFixedFacilityMembershlx:ShellTreasuryCenterWestIncMember2020-01-012020-06-3000016104662017-01-012017-09-300001610466shlx:ShellPipelineCompanyLPMember2020-04-012020-06-300001610466shlx:ShellPipelineCompanyLPMember2020-01-012020-06-300001610466shlx:ShellOilProductsSOPUSMembershlx:TerminalingServicesMembershlx:April2020TransactionMembersrt:AffiliatedEntityMember2020-01-012020-06-300001610466shlx:TerminalingServicesMembershlx:April2020TransactionMembersrt:AffiliatedEntityMembershlx:ShellChemicalMember2020-01-012020-06-300001610466shlx:TerminalingServicesMembershlx:April2020TransactionMembersrt:AffiliatedEntityMember2020-01-012020-06-300001610466shlx:TerminalingServicesMembershlx:April2020TransactionMembersrt:AffiliatedEntityMember2020-04-012020-06-300001610466shlx:MattoxMember2020-06-300001610466shlx:MattoxMember2019-12-310001610466shlx:AmberjackMember2020-06-300001610466shlx:SeriesAAmberjackPipelineCompanyLLCMember2019-12-310001610466shlx:SeriesBAmberjackPipelineCompanyLLCMember2019-12-310001610466shlx:AmberjackMember2019-12-310001610466shlx:MarsMember2019-12-310001610466shlx:BengalMember2019-12-310001610466shlx:PermianBasinMember2019-12-310001610466shlx:LOCAPLLCMember2019-12-310001610466shlx:ExplorerMember2019-12-310001610466shlx:PoseidonMember2019-12-310001610466shlx:ColonialMember2019-12-310001610466shlx:ProteusMember2019-12-310001610466shlx:EndymionMember2019-12-310001610466shlx:MattoxMember2020-01-012020-06-300001610466shlx:MattoxMember2020-04-012020-06-300001610466shlx:PoseidonMember2018-03-310001610466shlx:PoseidonMember2020-04-012020-06-300001610466shlx:PoseidonMember2020-01-012020-06-300001610466shlx:PoseidonMember2019-04-012019-06-300001610466shlx:PoseidonMember2019-01-012019-06-300001610466shlx:MattoxMember2019-04-012019-06-300001610466shlx:MattoxMember2019-01-012019-06-300001610466shlx:AmberjackMember2020-04-012020-06-300001610466shlx:AmberjackMember2019-04-012019-06-300001610466shlx:AmberjackMember2020-01-012020-06-300001610466shlx:AmberjackMember2019-01-012019-06-300001610466shlx:MarsMember2020-04-012020-06-300001610466shlx:MarsMember2019-04-012019-06-300001610466shlx:MarsMember2020-01-012020-06-300001610466shlx:MarsMember2019-01-012019-06-300001610466shlx:BengalMember2020-04-012020-06-300001610466shlx:BengalMember2019-04-012019-06-300001610466shlx:BengalMember2020-01-012020-06-300001610466shlx:BengalMember2019-01-012019-06-300001610466shlx:ExplorerMember2020-04-012020-06-300001610466shlx:ExplorerMember2019-04-012019-06-300001610466shlx:ExplorerMember2020-01-012020-06-300001610466shlx:ExplorerMember2019-01-012019-06-300001610466shlx:ColonialMember2020-04-012020-06-300001610466shlx:ColonialMember2019-04-012019-06-300001610466shlx:ColonialMember2020-01-012020-06-300001610466shlx:ColonialMember2019-01-012019-06-300001610466shlx:OtherInvestmentMember2020-04-012020-06-300001610466shlx:OtherInvestmentMember2019-04-012019-06-300001610466shlx:OtherInvestmentMember2020-01-012020-06-300001610466shlx:OtherInvestmentMember2019-01-012019-06-300001610466srt:CumulativeEffectPeriodOfAdoptionAdjustmentMemberus-gaap:AccountingStandardsUpdate201409Membershlx:AmberjackMember2019-01-010001610466shlx:MattoxMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2020-04-012020-06-300001610466shlx:AmberjackMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2020-04-012020-06-300001610466shlx:MarsMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2020-04-012020-06-300001610466shlx:BengalMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2020-04-012020-06-300001610466shlx:ExplorerMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2020-04-012020-06-300001610466shlx:ColonialMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2020-04-012020-06-300001610466shlx:PoseidonMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2020-04-012020-06-300001610466shlx:OtherInvestmentMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2020-04-012020-06-300001610466shlx:MattoxMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2020-01-012020-06-300001610466shlx:AmberjackMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2020-01-012020-06-300001610466shlx:MarsMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2020-01-012020-06-300001610466shlx:BengalMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2020-01-012020-06-300001610466shlx:ExplorerMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2020-01-012020-06-300001610466shlx:ColonialMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2020-01-012020-06-300001610466shlx:PoseidonMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2020-01-012020-06-300001610466shlx:OtherInvestmentMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2020-01-012020-06-300001610466shlx:April2020AcquisitionMember2020-01-012020-06-300001610466shlx:AmberjackMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2019-04-012019-06-300001610466shlx:MarsMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2019-04-012019-06-300001610466shlx:BengalMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2019-04-012019-06-300001610466shlx:ExplorerMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2019-04-012019-06-300001610466shlx:ColonialMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2019-04-012019-06-300001610466shlx:PoseidonMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2019-04-012019-06-300001610466shlx:OtherInvestmentMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2019-04-012019-06-300001610466shlx:June2019AcquisitionMembershlx:ExplorerMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2019-04-012019-06-300001610466shlx:June2019AcquisitionMembershlx:ColonialMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2019-04-012019-06-300001610466shlx:AmberjackMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2019-01-012019-06-300001610466shlx:MarsMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2019-01-012019-06-300001610466shlx:BengalMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2019-01-012019-06-300001610466shlx:ExplorerMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2019-01-012019-06-300001610466shlx:ColonialMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2019-01-012019-06-300001610466shlx:PoseidonMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2019-01-012019-06-300001610466shlx:OtherInvestmentMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2019-01-012019-06-300001610466shlx:June2019AcquisitionMembershlx:ExplorerMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2019-01-012019-06-300001610466shlx:June2019AcquisitionMembershlx:ColonialMemberus-gaap:EquityMethodInvestmentNonconsolidatedInvesteeOtherMember2019-01-012019-06-300001610466shlx:PermianBasinMember2020-04-012020-06-300001610466shlx:PermianBasinMember2020-01-012020-06-300001610466shlx:PermianBasinMember2019-04-012019-06-300001610466shlx:PermianBasinMember2019-01-012019-06-300001610466srt:MinimumMemberus-gaap:BuildingAndBuildingImprovementsMember2020-01-012020-06-300001610466srt:MaximumMemberus-gaap:BuildingAndBuildingImprovementsMember2020-01-012020-06-300001610466us-gaap:MachineryAndEquipmentMembersrt:MinimumMember2020-01-012020-06-300001610466us-gaap:MachineryAndEquipmentMembersrt:MaximumMember2020-01-012020-06-300001610466srt:MinimumMemberus-gaap:PropertyPlantAndEquipmentOtherTypesMember2020-01-012020-06-300001610466us-gaap:PropertyPlantAndEquipmentOtherTypesMembersrt:MaximumMember2020-01-012020-06-300001610466us-gaap:MachineryAndEquipmentMember2020-01-012020-06-300001610466us-gaap:MachineryAndEquipmentMember2019-01-012019-12-310001610466us-gaap:RevolvingCreditFacilityMembershlx:TenYearFixedFacilityMember2020-06-300001610466us-gaap:RevolvingCreditFacilityMembershlx:TenYearFixedFacilityMember2019-12-310001610466us-gaap:RevolvingCreditFacilityMembershlx:SevenYearFixedFacilityDueJuly2025Member2020-06-300001610466us-gaap:RevolvingCreditFacilityMembershlx:SevenYearFixedFacilityDueJuly2025Member2019-12-310001610466us-gaap:RevolvingCreditFacilityMembershlx:FiveYearRevolverDueJuly2023Member2020-06-300001610466us-gaap:RevolvingCreditFacilityMembershlx:FiveYearRevolverDueJuly2023Member2019-12-310001610466us-gaap:RevolvingCreditFacilityMembershlx:FiveYearRevolverdueDecember2022Member2020-06-300001610466us-gaap:RevolvingCreditFacilityMembershlx:FiveYearRevolverdueDecember2022Member2019-12-310001610466us-gaap:RevolvingCreditFacilityMembershlx:FiveYearFixedFacilityMember2020-06-300001610466us-gaap:RevolvingCreditFacilityMembershlx:FiveYearFixedFacilityMember2019-12-310001610466us-gaap:RevolvingCreditFacilityMembershlx:ZydecoRevolverMember2020-06-300001610466us-gaap:RevolvingCreditFacilityMembershlx:ZydecoRevolverMember2019-12-310001610466us-gaap:RevolvingCreditFacilityMembershlx:TenYearFixedFacilityMember2020-01-012020-06-300001610466us-gaap:RevolvingCreditFacilityMembershlx:SevenYearFixedFacilityDueJuly2025Member2020-01-012020-06-300001610466us-gaap:RevolvingCreditFacilityMembershlx:FiveYearRevolverDueJuly2023Member2020-01-012020-06-300001610466us-gaap:RevolvingCreditFacilityMembershlx:FiveYearRevolverDueDecember2022Member2020-01-012020-06-300001610466us-gaap:RevolvingCreditFacilityMembershlx:FiveYearFixedFacilityMember2020-01-012020-06-300001610466shlx:GeneralPartnerInterestMembershlx:ShellPipelineCompanyLPMemberus-gaap:GeneralPartnerMember2020-01-012020-03-310001610466us-gaap:LimitedPartnerMembershlx:LimitedPartnerInterestMembershlx:ShellPipelineCompanyLPMember2020-01-012020-03-310001610466shlx:CommonUnitsMember2020-01-012020-06-300001610466us-gaap:PreferredPartnerMember2019-12-310001610466shlx:CommonUnitsMembershlx:GeneralPublicMember2019-12-310001610466us-gaap:GeneralPartnerMember2019-12-310001610466shlx:PartnershipInterestsRestructuringAgreementMembershlx:SeriesAPerpetualConvertiblePreferredUnitsMemberus-gaap:PreferredPartnerMember2020-01-012020-06-300001610466shlx:CommonUnitsMembershlx:GeneralPublicMember2020-01-012020-06-300001610466us-gaap:GeneralPartnerMember2020-01-012020-06-300001610466us-gaap:PreferredPartnerMember2020-06-300001610466shlx:CommonUnitsMembershlx:GeneralPublicMember2020-06-300001610466us-gaap:GeneralPartnerMember2020-06-300001610466us-gaap:LimitedPartnerMembershlx:LimitedPartnerInterestMembershlx:ShellPipelineCompanyLPMember2020-01-012020-06-300001610466us-gaap:LimitedPartnerMembershlx:LimitedPartnerInterestMembershlx:ShellPipelineCompanyLPMember2020-04-012020-06-300001610466shlx:PartnershipInterestsRestructuringAgreementMembershlx:SeriesAPerpetualConvertiblePreferredUnitsMemberus-gaap:PreferredPartnerMember2020-04-012020-04-010001610466shlx:SeriesAPerpetualConvertiblePreferredUnitsMemberus-gaap:PreferredPartnerMember2020-04-012020-04-010001610466shlx:ShellPipelineCompanyLPMembershlx:SeriesAPerpetualConvertiblePreferredUnitsMember2020-04-012020-04-0100016104662020-04-012020-04-010001610466shlx:ShellMidstreamPartnersLPMember2018-01-012018-09-300001610466shlx:CommonUnitsMembershlx:GeneralPublicMember2018-10-012018-12-310001610466shlx:PreferredUnitsMembershlx:ShellPipelineCompanyLPMember2018-10-012018-12-310001610466shlx:CommonUnitsMembershlx:ShellPipelineCompanyLPMember2018-10-012018-12-310001610466shlx:GeneralPartnerIncentiveMemberus-gaap:GeneralPartnerMember2018-10-012018-12-310001610466us-gaap:GeneralPartnerMember2018-10-012018-12-3100016104662018-10-012018-12-310001610466shlx:CommonUnitsMembershlx:GeneralPublicMember2019-01-012019-03-310001610466shlx:PreferredUnitsMembershlx:ShellPipelineCompanyLPMember2019-01-012019-03-310001610466shlx:CommonUnitsMembershlx:ShellPipelineCompanyLPMember2019-01-012019-03-310001610466shlx:GeneralPartnerIncentiveMemberus-gaap:GeneralPartnerMember2019-01-012019-03-310001610466us-gaap:GeneralPartnerMember2019-01-012019-03-310001610466shlx:CommonUnitsMembershlx:GeneralPublicMember2019-04-012019-06-300001610466shlx:PreferredUnitsMembershlx:ShellPipelineCompanyLPMember2019-04-012019-06-300001610466shlx:GeneralPartnerIncentiveMemberus-gaap:GeneralPartnerMember2019-04-012019-06-300001610466us-gaap:GeneralPartnerMember2019-04-012019-06-300001610466shlx:CommonUnitsMembershlx:GeneralPublicMember2019-07-012019-09-300001610466shlx:PreferredUnitsMembershlx:ShellPipelineCompanyLPMember2019-07-012019-09-300001610466shlx:CommonUnitsMembershlx:ShellPipelineCompanyLPMember2019-07-012019-09-300001610466shlx:GeneralPartnerIncentiveMemberus-gaap:GeneralPartnerMember2019-07-012019-09-300001610466us-gaap:GeneralPartnerMember2019-07-012019-09-300001610466shlx:CommonUnitsMembershlx:GeneralPublicMember2019-10-012019-12-310001610466shlx:PreferredUnitsMembershlx:ShellPipelineCompanyLPMember2019-10-012019-12-310001610466shlx:CommonUnitsMembershlx:ShellPipelineCompanyLPMember2019-10-012019-12-310001610466shlx:GeneralPartnerIncentiveMemberus-gaap:GeneralPartnerMember2019-10-012019-12-310001610466us-gaap:GeneralPartnerMember2019-10-012019-12-3100016104662019-10-012019-12-310001610466shlx:CommonUnitsMembershlx:GeneralPublicMember2020-01-012020-03-310001610466shlx:PreferredUnitsMembershlx:ShellPipelineCompanyLPMember2020-01-012020-03-310001610466shlx:CommonUnitsMembershlx:ShellPipelineCompanyLPMember2020-01-012020-03-310001610466shlx:GeneralPartnerIncentiveMemberus-gaap:GeneralPartnerMember2020-01-012020-03-310001610466us-gaap:GeneralPartnerMember2020-01-012020-03-310001610466shlx:CommonUnitsMembershlx:GeneralPublicMember2020-04-012020-06-300001610466shlx:PreferredUnitsMembershlx:ShellPipelineCompanyLPMember2020-04-012020-06-300001610466shlx:GeneralPartnerIncentiveMemberus-gaap:GeneralPartnerMember2020-04-012020-06-300001610466us-gaap:GeneralPartnerMember2020-04-012020-06-300001610466shlx:ShellMidstreamPartnersLPMember2020-01-012020-03-310001610466shlx:ZydecoMember2020-04-012020-06-300001610466shlx:ZydecoMember2020-01-012020-06-300001610466shlx:ZydecoMember2019-04-012019-06-300001610466shlx:ZydecoMember2019-01-012019-06-300001610466shlx:OdysseyPipelineL.L.C.Member2020-04-012020-06-300001610466shlx:OdysseyPipelineL.L.C.Member2020-01-012020-06-300001610466shlx:OdysseyPipelineL.L.C.Member2019-04-012019-06-300001610466shlx:OdysseyPipelineL.L.C.Member2019-01-012019-06-300001610466shlx:TransportationServicesMembershlx:ThirdPartiesMember2020-04-012020-06-300001610466shlx:TransportationServicesMembershlx:ThirdPartiesMember2019-04-012019-06-300001610466shlx:TransportationServicesMembershlx:ThirdPartiesMember2020-01-012020-06-300001610466shlx:TransportationServicesMembershlx:ThirdPartiesMember2019-01-012019-06-300001610466shlx:TransportationServicesMembershlx:RelatedPartiesMember2020-04-012020-06-300001610466shlx:TransportationServicesMembershlx:RelatedPartiesMember2019-04-012019-06-300001610466shlx:TransportationServicesMembershlx:RelatedPartiesMember2020-01-012020-06-300001610466shlx:TransportationServicesMembershlx:RelatedPartiesMember2019-01-012019-06-300001610466shlx:ThirdPartiesMembershlx:StorageServicesMember2020-04-012020-06-300001610466shlx:ThirdPartiesMembershlx:StorageServicesMember2019-04-012019-06-300001610466shlx:ThirdPartiesMembershlx:StorageServicesMember2020-01-012020-06-300001610466shlx:ThirdPartiesMembershlx:StorageServicesMember2019-01-012019-06-300001610466shlx:RelatedPartiesMembershlx:StorageServicesMember2020-04-012020-06-300001610466shlx:RelatedPartiesMembershlx:StorageServicesMember2019-04-012019-06-300001610466shlx:RelatedPartiesMembershlx:StorageServicesMember2020-01-012020-06-300001610466shlx:RelatedPartiesMembershlx:StorageServicesMember2019-01-012019-06-300001610466shlx:TerminalingServicesMembershlx:RelatedPartiesMember2020-04-012020-06-300001610466shlx:TerminalingServicesMembershlx:RelatedPartiesMember2019-04-012019-06-300001610466shlx:TerminalingServicesMembershlx:RelatedPartiesMember2020-01-012020-06-300001610466shlx:TerminalingServicesMembershlx:RelatedPartiesMember2019-01-012019-06-300001610466shlx:TerminalingServicesMajorMaintenanceMembershlx:RelatedPartiesMember2020-04-012020-06-300001610466shlx:TerminalingServicesMajorMaintenanceMembershlx:RelatedPartiesMember2019-04-012019-06-300001610466shlx:TerminalingServicesMajorMaintenanceMembershlx:RelatedPartiesMember2020-01-012020-06-300001610466shlx:TerminalingServicesMajorMaintenanceMembershlx:RelatedPartiesMember2019-01-012019-06-300001610466shlx:RelatedPartiesMember2020-01-012020-06-300001610466shlx:RelatedPartiesMember2019-01-012019-06-300001610466shlx:RelatedPartiesMembershlx:TransportationServicesNonleaseServiceMember2020-04-012020-06-300001610466shlx:RelatedPartiesMembershlx:TransportationServicesNonleaseServiceMember2020-01-012020-06-300001610466shlx:RelatedPartiesMembershlx:TransportationServicesNonleaseServiceMember2019-04-012019-06-300001610466shlx:RelatedPartiesMembershlx:TransportationServicesNonleaseServiceMember2019-01-012019-06-300001610466shlx:TransportationServicesOperatingLeasesFiveYearTermsMember2020-06-30shlx:term0001610466shlx:TransportationServicesOperatingLeasesFiveYearTermsMember2020-01-012020-06-300001610466shlx:TransportationServicesOperatingLeasesOneYearTermsMember2020-06-300001610466shlx:TransportationServicesOperatingLeasesOneYearTermsMember2020-01-012020-06-300001610466shlx:TransportationServicesOperatingLeasesMember2020-06-300001610466shlx:TerminalingServicesMember2020-01-012020-06-300001610466shlx:ThirdPartiesMember2020-01-010001610466shlx:ThirdPartiesMember2020-06-300001610466shlx:RelatedPartiesMember2020-01-010001610466shlx:RelatedPartiesMember2020-06-3000016104662020-01-010001610466shlx:TerminalingServicesMember2020-04-012020-06-300001610466shlx:April2020TransactionMember2019-12-310001610466shlx:ThirdPartiesMember2019-12-310001610466shlx:ThirdPartiesMember2020-01-012020-06-300001610466shlx:RelatedPartiesMember2019-12-310001610466shlx:CommittedShipperTransportationMember2020-06-300001610466shlx:CommittedShipperTransportationMember2020-07-012020-06-300001610466shlx:CommittedShipperTransportationMember2021-01-012020-06-300001610466shlx:CommittedShipperTransportationMember2022-01-012020-06-3000016104662023-01-01shlx:CommittedShipperTransportationMember2020-06-300001610466shlx:CommittedShipperTransportationMember2024-01-012020-06-300001610466shlx:TransportationServicesMember2020-06-3000016104662020-07-01shlx:TransportationServicesMember2020-06-300001610466shlx:TransportationServicesMember2021-01-012020-06-3000016104662022-01-01shlx:TransportationServicesMember2020-06-3000016104662023-01-01shlx:TransportationServicesMember2020-06-3000016104662024-01-01shlx:TransportationServicesMember2020-06-300001610466shlx:StorageMember2020-06-300001610466shlx:StorageMember2020-07-012020-06-300001610466shlx:StorageMember2021-01-012020-06-3000016104662022-01-01shlx:StorageMember2020-06-3000016104662023-01-01shlx:StorageMember2020-06-300001610466shlx:StorageMember2024-01-012020-06-300001610466shlx:TerminalingServicesMember2020-06-3000016104662020-07-01shlx:TerminalingServicesMember2020-06-300001610466shlx:TerminalingServicesMember2021-01-012020-06-3000016104662022-01-01shlx:TerminalingServicesMember2020-06-3000016104662023-01-01shlx:TerminalingServicesMember2020-06-3000016104662024-01-01shlx:TerminalingServicesMember2020-06-300001610466shlx:OperationAndMajorMaintenanceTerminalingServicesMember2020-06-3000016104662020-07-01shlx:OperationAndMajorMaintenanceTerminalingServicesMember2020-06-3000016104662021-01-01shlx:OperationAndMajorMaintenanceTerminalingServicesMember2020-06-3000016104662022-01-01shlx:OperationAndMajorMaintenanceTerminalingServicesMember2020-06-3000016104662023-01-01shlx:OperationAndMajorMaintenanceTerminalingServicesMember2020-06-3000016104662024-01-01shlx:OperationAndMajorMaintenanceTerminalingServicesMember2020-06-3000016104662020-07-012020-06-3000016104662021-01-012020-06-3000016104662022-01-012020-06-3000016104662023-01-012020-06-3000016104662024-01-012020-06-300001610466us-gaap:GeneralPartnerMember2019-01-012019-06-300001610466us-gaap:PreferredPartnerMember2020-04-012020-06-300001610466us-gaap:PreferredPartnerMember2019-04-012019-06-300001610466us-gaap:PreferredPartnerMember2020-01-012020-06-300001610466us-gaap:PreferredPartnerMember2019-01-012019-06-300001610466us-gaap:SubsequentEventMember2020-07-012020-07-0100016104662016-09-012016-09-010001610466shlx:CommonUnitsMemberus-gaap:SubsequentEventMember2020-07-232020-07-230001610466shlx:PartnershipInterestsRestructuringAgreementMemberus-gaap:GeneralPartnerMember2020-04-012020-04-01



UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
 
FORM 10-Q 
(Mark One)
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 30, 2020
or
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from                      to                         
Commission file number: 001-36710
Shell Midstream Partners, L.P.
(Exact name of registrant as specified in its charter)

Delaware46-5223743
(State or other jurisdiction of
incorporation or organization)
(I.R.S. Employer
Identification No.)
150 N. Dairy Ashford, Houston, Texas 77079
(Address of principal executive offices) (Zip Code)
(832) 337-2034
(Registrant’s telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:

Title of each classTrading Symbol(s)Name of each exchange on which registered
Common Units, Representing Limited Partner InterestsSHLXNew York Stock Exchange

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes  ý    No   ¨

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).    Yes  ý    No  ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer”, “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
Large accelerated filer ý
Accelerated filer ¨
Non-accelerated filer ¨
Smaller reporting company

Emerging growth company
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    Yes      No  ý


The registrant had 393,289,537 common units outstanding as of July 31, 2020.

1



SHELL MIDSTREAM PARTNERS, L.P.
TABLE OF CONTENTS
 
Page
                   Unaudited Consolidated Statements of Income
* SHELL and the SHELL Pecten are registered trademarks of Shell Trademark Management, B.V. used under license.
2


PART I. FINANCIAL INFORMATION
Item 1. Financial Statements (Unaudited)

SHELL MIDSTREAM PARTNERS, L.P.
UNAUDITED CONSOLIDATED STATEMENTS OF INCOME

Three Months Ended
June 30,
Six Months Ended
June 30,
2020201920202019
(in millions of dollars, except per unit data)
Revenue
Transportation, terminaling and storage services – third parties$27  $34  $58  $76  
Transportation, terminaling and storage services – related parties77  64  146  128  
Product revenue – third parties  3    4  
Product revenue – related parties2  6  9  16  
Lease revenue – related parties14  14  28  28  
Total revenue120  121  241  252  
Costs and expenses
Operations and maintenance – third parties10  16  24  29  
Operations and maintenance – related parties32  16  46  30  
Cost of product sold2  7  17  16  
Loss from revision of asset retirement obligation      2  
General and administrative – third parties1  5  4  6  
General and administrative – related parties17  12  29  23  
Depreciation, amortization and accretion13  12  26  24  
Property and other taxes4  5  9  9  
Total costs and expenses79  73  155  139  
Operating income41  48  86  113  
Income from equity method investments109  80  221  150  
Dividend income from other investments      14  
Other income11  12  20  20  
Investment, dividend and other income120  92  241  184  
Interest income7  1  8  2  
Interest expense24  22  49  43  
Income before income taxes144  119  286  256  
Income tax expense        
Net income144  119  286  256  
Less: Net income attributable to noncontrolling interests3  4  7  9  
Net income attributable to the Partnership$141  $115  $279  $247  
Preferred unitholder’s interest in net income attributable to the Partnership12    12    
General partner’s interest in net income attributable to the Partnership  30  55  57  
Limited Partners’ interest in net income attributable to the Partnership’s common unitholders$129  $85  $212  $190  


3


Net income per Limited Partner Unit:
Common - basic$0.33  $0.38  $0.68  $0.84  
Common - diluted$0.32  $0.38  $0.66  $0.84  
Distributions per Limited Partner Unit$0.4600  $0.4300  $0.9200  $0.8450  
Weighted average Limited Partner Units outstanding:
Common units – public - basic123.8  123.8  123.8  123.8  
Common units – SPLC - basic269.5  102.6  189.5  101.3  
Common units – public - diluted123.8  123.8  123.8  123.8  
Common units – SPLC - diluted320.3  102.6  214.8  101.3  


The accompanying notes are an integral part of the consolidated financial statements.
4


SHELL MIDSTREAM PARTNERS, L.P.
UNAUDITED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME


Three Months Ended
June 30,
Six Months Ended
June 30,
2020201920202019
(in millions of dollars)
Net income$144  $119  $286  $256  
Other comprehensive loss, net of tax:
Remeasurements of pension and other postretirement benefits related to equity method investments, net of tax        
Comprehensive income$144  $119  $286  $256  
Less comprehensive income attributable to:
Noncontrolling interests3  4  7  9  
Comprehensive income attributable to the Partnership$141  $115  $279  $247  

The accompanying notes are an integral part of the consolidated financial statements.
5



SHELL MIDSTREAM PARTNERS, L.P.
UNAUDITED CONSOLIDATED BALANCE SHEETS
June 30, 2020December 31, 2019
(in millions of dollars)
ASSETS
Current assets 
Cash and cash equivalents$332  $290  
Accounts receivable – third parties, net10  12  
Accounts receivable – related parties36  29  
Allowance oil5  12  
Prepaid expenses6  16  
Total current assets389  359  
Equity method investments1,069  926  
Property, plant and equipment, net710  726  
Operating lease right-of-use assets 4  4  
Other investments2  2  
Contract assets – related parties240    
Other assets – related parties2  2  
Total assets$2,416  $2,019  
LIABILITIES
Current liabilities
Accounts payable – third parties$5  $5  
Accounts payable – related parties21  10  
Deferred revenue – third parties5    
Deferred revenue – related party4    
Accrued liabilities – third parties17  12  
Accrued liabilities – related parties20  19  
Total current liabilities72  46  
Noncurrent liabilities
Debt payable – related party2,692  2,692  
Operating lease liabilities4  4  
Finance lease liabilities24  24  
Deferred revenue and other unearned income3  2  
Total noncurrent liabilities2,723  2,722  
Total liabilities2,795  2,768  
Commitments and Contingencies (Note 12)
(DEFICIT) EQUITY
Preferred unitholders (50,782,904 units issued and outstanding as of June 30, 2020 and 0 units issued and outstanding as of December 31, 2019)
(1,059)   
Common unitholders – public (123,832,233 units issued and outstanding as of both June 30, 2020 and December 31, 2019)
3,421  3,450  
Common unitholder – SPLC (269,457,304 and 109,457,304 units issued and outstanding as of June 30, 2020 and December 31, 2019)
(2,456) (203) 
General partner – SPLC (0 and 4,761,012 units issued and outstanding as of June 30, 2020 and December 31, 2019)
  (4,014) 
Financing receivables – related parties(301)   
Accumulated other comprehensive loss(8) (8) 
Total partners’ deficit(403) (775) 
Noncontrolling interests24  26  
Total deficit(379) (749) 
Total liabilities and deficit$2,416  $2,019  

The accompanying notes are an integral part of the consolidated financial statements.
6


SHELL MIDSTREAM PARTNERS, L.P.
UNAUDITED CONSOLIDATED STATEMENTS OF CASH FLOWS 

Six Months Ended June 30,
20202019
(in millions of dollars)
Cash flows from operating activities
Net income$286  $256  
Adjustments to reconcile net income to net cash provided by operating activities
Depreciation, amortization and accretion26  24  
Amortization of contract assets - related parties4    
Loss from revision of asset retirement obligation  2  
Allowance oil reduction to net realizable value8    
Undistributed equity earnings(1) (3) 
Changes in operating assets and liabilities
Accounts receivable(4) (3) 
Allowance oil(1)   
Prepaid expenses and other assets10  10  
Accounts payable13  1  
Deferred revenue and other unearned income9  (11) 
Accrued liabilities4  7  
Net cash provided by operating activities354  283  
Cash flows from investing activities
Capital expenditures(9) (24) 
Acquisitions from Parent  (90) 
Contributions to investment  (10) 
Return of investment32  47  
Net cash provided by (used in) investing activities23  (77) 
Cash flows from financing activities
Payment of equity issuance costs(2)   
Borrowings under credit facilities  600  
Capital distributions to general partner  (510) 
Distributions to noncontrolling interests(9) (9) 
Distributions to unitholders and general partner(325) (248) 
Other contributions from Parent  10  
Receipt of principal payments on financing receivables1    
Net cash used in financing activities(335) (157) 
Net increase in cash and cash equivalents42  49  
Cash and cash equivalents at beginning of the period290  208  
Cash and cash equivalents at end of the period$332  $257  
Supplemental cash flow information
Non-cash investing and financing transactions:
Change in accrued capital expenditures$  $(2) 
Other non-cash contributions from Parent1    
The accompanying notes are an integral part of the consolidated financial statements.
7


SHELL MIDSTREAM PARTNERS, L.P.
UNAUDITED CONSOLIDATED STATEMENT OF CHANGES IN (DEFICIT) EQUITY
Partnership
(in millions of dollars)Preferred Unitholder SPLCCommon Unitholders PublicCommon Unitholder SPLCGeneral Partner SPLCFinancing ReceivableAccumulated Other Comprehensive LossNoncontrolling InterestsTotal
Balance as of December 31, 2019$  $3,450  $(203) $(4,014) $  $(8) $26  $(749) 
Net income—  44  39  55  —  —  4  142  
Distributions to unitholders and general partner—  (57) (50) (55) —  —  —  (162) 
Distributions to noncontrolling interests—  —  —  —  —  —  (5) (5) 
Balance as of March 31, 2020$  $3,437  $(214) $(4,014) $  $(8) $25  $(774) 
Net income12  41  88    —  —  3  144  
Other contributions from Parent—  —  1    —    —  1  
Distributions to unitholders and general partner—  (57) (51) (55) —  —  —  (163) 
Distributions to noncontrolling interests—  —  —  —  —  —  (4) (4) 
Principal repayments on financing receivables—  —  —  —  1  —  —  1  
April 2020 Transaction(1,071) —  (2,280) 4,069  (302) —  —  416  
Balance as of June 30, 2020$(1,059) $3,421  $(2,456) $  $(301) $(8) $24  $(379) 


Partnership
(in millions of dollars)Common Unitholders PublicCommon Unitholder SPLCGeneral Partner SPLCAccumulated Other Comprehensive LossNoncontrolling InterestsTotal
Balance as of December 31, 2018$3,459  $(198) $(3,543) $  $25  $(257) 
Impact of change in accounting policy (Note 4)(4) (5)   —  —  (9) 
Net income58  47  27  —  5  137  
Other contributions from Parent—  —  7  —  —  7  
Distributions to unitholders and general partner(49) (40) (40) —  —  (129) 
Distributions to noncontrolling interests—  —  —  —  (3) (3) 
Balance as of March 31, 2019$3,464  $(196) $(3,549) $  $27  $(254) 
Net income