PHILLIPS 66, 10-K filed on 2/22/2023
Annual Report
v3.22.4
Cover - USD ($)
$ in Billions
12 Months Ended
Dec. 31, 2022
Jan. 31, 2023
Jun. 30, 2022
Cover [Abstract]      
Document Type 10-K    
Document Annual Report true    
Document Period End Date Dec. 31, 2022    
Current Fiscal Year End Date --12-31    
Document Transition Report false    
Entity File Number 001-35349    
Entity Registrant Name Phillips 66    
Entity Incorporation, State or Country Code DE    
Entity Tax Identification Number 45-3779385    
Entity Address, Address Line One 2331 CityWest Blvd    
Entity Address, City or Town Houston    
Entity Address, State or Province TX    
Entity Address, Postal Zip Code 77042    
City Area Code 832    
Local Phone Number 765-3010    
Title of 12(b) Security Common Stock, $0.01 Par Value    
Trading Symbol PSX    
Security Exchange Name NYSE    
Entity Well-known Seasoned Issuer Yes    
Entity Voluntary Filers No    
Entity Current Reporting Status Yes    
Entity Interactive Data Current Yes    
Entity Filer Category Large Accelerated Filer    
Entity Small Business false    
Entity Emerging Growth Company false    
ICFR Auditor Attestation Flag true    
Entity Public Float     $ 39.4
Entity Common Stock, Shares Outstanding   463,907,156  
Documents Incorporated by Reference Portions of the Proxy Statement for the Annual Meeting of Stockholders to be held on May 10, 2023 (Part III).    
Entity Central Index Key 0001534701    
Document Fiscal Year Focus 2022    
Document Fiscal Period Focus FY    
Amendment Flag false    
Entity Shell Company false    
v3.22.4
Audit Information
12 Months Ended
Dec. 31, 2022
Auditor [Line Items]  
Auditor Firm ID 42
Auditor Name Ernst & Young LLP
Auditor Location Houston, Texas
DCP Midstream, LP  
Auditor [Line Items]  
Auditor Firm ID 34
Auditor Name Deloitte & Touche LLP
Auditor Location Denver, Colorado
v3.22.4
Consolidated Statement of Operations - USD ($)
shares in Thousands, $ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Revenues and Other Income      
Sales and other operating revenues $ 169,990 $ 111,476 $ 64,129
Equity in earnings of affiliates 2,968 2,904 1,191
Net gain on dispositions 7 18 108
Other income 2,737 454 66
Total Revenues and Other Income 175,702 114,852 65,494
Costs and Expenses      
Purchased crude oil and products 149,932 102,102 57,707
Operating expenses 6,111 5,147 4,563
Selling, general and administrative expenses 2,168 1,744 1,544
Depreciation and amortization 1,629 1,605 1,395
Impairments 60 1,498 4,252
Taxes other than income taxes 530 410 464
Accretion on discounted liabilities 23 24 22
Interest and debt expense 619 581 499
Foreign currency transaction (gains) losses (9) 1 12
Total Costs and Expenses 161,063 113,112 70,458
Income (loss) before income taxes 14,639 1,740 (4,964)
Income tax expense (benefit) 3,248 146 (1,250)
Net Income (Loss) 11,391 1,594 (3,714)
Less: net income attributable to noncontrolling interests 367 277 261
Net Income (Loss) Attributable to Phillips 66 $ 11,024 $ 1,317 $ (3,975)
Net Income (Loss) Attributable to Phillips 66 Per Share of Common Stock (dollars)      
Basic (in dollars per share) $ 23.36 $ 2.97 $ (9.06)
Diluted (in dollars per share) $ 23.27 $ 2.97 $ (9.06)
Weighted-Average Common Shares Outstanding (thousands)      
Basic (in shares) 471,497 440,028 439,530
Diluted (in shares) 473,731 440,364 439,530
v3.22.4
Consolidated Statement of Comprehensive Income (Loss) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Statement of Comprehensive Income [Abstract]      
Net income (loss) $ 11,391 $ 1,594 $ (3,714)
Defined benefit plans      
Net actuarial gain (loss) arising during the period 191 320 (261)
Amortization of net actuarial loss, prior service credit and settlements 90 122 144
Plans sponsored by equity affiliates 80 96 (77)
Income taxes on defined benefit plans (85) (127) 41
Defined benefit plans, net of income taxes 276 411 (153)
Foreign currency translation adjustments (295) (74) 156
Income taxes on foreign currency translation adjustments 4 4 (5)
Foreign currency translation adjustments, net of income taxes (291) (70) 151
Cash flow hedges 0 3 (5)
Income taxes on hedging activities 0 0 1
Hedging activities, net of income taxes 0 3 (4)
Other Comprehensive Income (Loss), Net of Income Taxes (15) 344 (6)
Comprehensive Income (Loss) 11,376 1,938 (3,720)
Less: comprehensive income attributable to noncontrolling interests 367 277 261
Comprehensive Income (Loss) Attributable to Phillips 66 $ 11,009 $ 1,661 $ (3,981)
v3.22.4
Consolidated Balance Sheet - USD ($)
$ in Millions
Dec. 31, 2022
Dec. 31, 2021
Assets    
Cash and cash equivalents $ 6,133 $ 3,147
Accounts and notes receivable (net of allowances of $67 million in 2022 and $44 million in 2021) 9,497 6,138
Accounts and notes receivable—related parties 1,488 1,332
Inventories 3,276 3,394
Prepaid expenses and other current assets 1,528 686
Total Current Assets 21,922 14,697
Investments and long-term receivables 14,950 14,471
Net properties, plants and equipment 35,163 22,435
Goodwill 1,486 1,484
Intangibles 831 813
Other assets 2,090 1,694
Total Assets 76,442 55,594
Liabilities    
Accounts payable 10,748 7,629
Accounts payable—related parties 575 832
Short-term debt 529 1,489
Accrued income and other taxes 1,397 1,254
Employee benefit obligations 764 638
Other accruals 1,876 959
Total Current Liabilities 15,889 12,801
Long-term debt 16,661 12,959
Asset retirement obligations and accrued environmental costs 879 727
Deferred income taxes 6,671 5,475
Employee benefit obligations 937 1,055
Other liabilities and deferred credits 1,299 940
Total Liabilities 42,336 33,957
Equity    
Common stock (2,500,000,000 shares authorized at $0.01 par value) Issued (2022—651,844,773 shares; 2019—650,026,318 shares) Par value 7 7
Capital in excess of par 19,791 20,504
Treasury stock (at cost: 2022—186,529,667 shares; 2021—211,771,827 shares) (15,276) (17,116)
Retained earnings 25,432 16,216
Accumulated other comprehensive loss (460) (445)
Total Stockholders’ Equity 29,494 19,166
Noncontrolling interests 4,612 2,471
Total Equity 34,106 21,637
Total Liabilities and Equity $ 76,442 $ 55,594
v3.22.4
Consolidated Balance Sheet (Parenthetical) - USD ($)
$ in Millions
Dec. 31, 2022
Dec. 31, 2021
Statement of Financial Position [Abstract]    
Allowance for accounts and notes receivable $ 67 $ 44
Common stock, shares authorized (in shares) 2,500,000,000 2,500,000,000
Common stock, par value (in USD per share) $ 0.01 $ 0.01
Common stock, shares issued (in shares) 652,373,645 650,026,318
Treasury stock, shares repurchased (in shares) 186,529,667 211,771,827
v3.22.4
Consolidated Statement of Cash Flows - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Cash Flows From Operating Activities      
Net income (loss) $ 11,391 $ 1,594 $ (3,714)
Adjustments to reconcile net income (loss) to net cash provided by operating activities      
Depreciation and amortization 1,629 1,605 1,395
Impairments 60 1,498 4,252
Accretion on discounted liabilities 23 24 22
Deferred income taxes 1,320 (272) 126
Undistributed equity earnings (1,308) (128) 334
Net gain on dispositions (7) (7) (108)
Gain related to merger of businesses (3,013) 0 0
Unrealized investment (gain) loss 433 (365) 0
Other 217 (51) 130
Working capital adjustments      
Accounts and notes receivable (2,073) (922) 2,023
Inventories 74 511 (71)
Prepaid expenses and other current assets (249) (339) 92
Accounts payable 1,736 2,925 (2,887)
Taxes and other accruals 580 (56) 517
Net Cash Provided by Operating Activities 10,813 6,017 2,111
Cash Flows From Investing Activities      
Capital expenditures and investments (2,194) (1,860) (2,920)
Return of investments in equity affiliates 125 267 192
Proceeds from asset dispositions 4 27 51
Advances/loans—related parties (75) (310) (316)
Collection of advances/loans—related parties 662 2 44
Other (10) 2 (130)
Net Cash Provided by (Used in) Investing Activities (1,488) (1,872) (3,079)
Cash Flows From Financing Activities      
Issuance of debt 453 1,443 5,178
Repayment of debt (2,883) (2,954) (1,051)
Issuance of common stock 103 26 8
Repurchase of common stock (1,513) 0 (443)
Dividends paid on common stock (1,793) (1,585) (1,575)
Distributions to noncontrolling interests (185) (324) (289)
Repurchase of noncontrolling interests (500) (24) 0
Net proceeds from issuance of Phillips 66 Partners LP common and preferred units 0 0 2
Other (70) (52) (39)
Net Cash Provided by (Used in) Financing Activities (6,388) (3,470) 1,791
Effect of Exchange Rate Changes on Cash and Cash Equivalents 49 (42) 77
Net Change in Cash and Cash Equivalents 2,986 633 900
Cash and cash equivalents at beginning of year 3,147 2,514 1,614
Cash and Cash Equivalents at End of Year $ 6,133 $ 3,147 $ 2,514
v3.22.4
Consolidated Statement of Changes in Equity - USD ($)
$ in Millions
Total
Phillips 66 Partners LP
DCP Midstream, LP
Par Value
Capital in Excess of Par
Capital in Excess of Par
Phillips 66 Partners LP
Treasury Stock
Treasury Stock
Phillips 66 Partners LP
Retained Earnings
Accum. Other Comprehensive Loss
Noncontrolling Interests
Noncontrolling Interests
Phillips 66 Partners LP
Noncontrolling Interests
DCP Midstream, LP
Beginning Balance at Dec. 31, 2019 $ 27,169     $ 6 $ 20,301   $ (16,673)   $ 22,064 $ (788) $ 2,259    
Increase (Decrease) in Stockholders' Equity [Roll Forward]                          
Net income (loss) (3,714)               (3,975)   261    
Other comprehensive income (loss) (6)                 (6)      
Dividends paid on common stock (1,575)               (1,575)        
Repurchase of common stock (443)           (443)            
Benefit plan activity 68       80       (12)        
Transfer of equity interest 307       2           305    
Net distributions to noncontrolling interests (285)                   (285)    
Other 2               (2) 5 (1)    
Ending Balance at Dec. 31, 2020 $ 21,523     6 20,383   (17,116)   16,500 (789) 2,539    
Beginning Balance, Common shares (in shares) at Dec. 31, 2019 647,416,633                        
Beginning Balance, Treasury stock (in shares) at Dec. 31, 2019 206,390,806                        
Stockholders' Equity, Shares [Roll Forward]                          
Repurchase of common stock (in shares) 5,381,021                        
Shares issued—share-based compensation (in shares) 1,226,590                        
Ending Balance, Common shares (in shares) at Dec. 31, 2020 648,643,223                        
Ending Balance, Treasury stock (in shares) at Dec. 31, 2020 211,771,827                        
Dividends, Common Stock                          
Dividends Paid Per Share of Common Stock (in usd per share) $ 3.60                        
Net income (loss) $ 1,594               1,317   277    
Other comprehensive income (loss) 344                 344      
Dividends paid on common stock (1,585)               (1,585)        
Benefit plan activity 108     1 121       (14)        
Net distributions to noncontrolling interests (324)                   (324)    
Repurchase of noncontrolling interests and Acquisition of noncontrolling interest (23)               (2)   (21)    
Ending Balance at Dec. 31, 2021 $ 21,637     7 20,504   (17,116)   16,216 (445) 2,471    
Stockholders' Equity, Shares [Roll Forward]                          
Shares issued—share-based compensation (in shares) 1,383,095                        
Ending Balance, Common shares (in shares) at Dec. 31, 2021 650,026,318                        
Ending Balance, Treasury stock (in shares) at Dec. 31, 2021 211,771,827                        
Dividends, Common Stock                          
Dividends Paid Per Share of Common Stock (in usd per share) $ 3.62                        
Net income (loss) $ 11,391               11,024   367    
Other comprehensive income (loss) (15)                 (15)      
Dividends paid on common stock (1,793)               (1,793)        
Repurchase of common stock (1,540)           (1,540)            
Benefit plan activity 173       188       (15)        
Net distributions to noncontrolling interests (185)                   (185)    
Repurchase of noncontrolling interests and Acquisition of noncontrolling interest   $ 316 $ (500)     $ (901)   $ 3,380       $ (2,163) $ (500)
Merger of DCP Midstream, LLC and Gray Oak Holdings LLC 4,622                   4,622    
Ending Balance at Dec. 31, 2022 $ 34,106     $ 7 $ 19,791   $ (15,276)   $ 25,432 $ (460) $ 4,612    
Stockholders' Equity, Shares [Roll Forward]                          
Repurchase of common stock (in shares) 16,583,076                        
Shares issued—share-based compensation (in shares) 2,347,327                        
Shares issued—acquisition of noncontrolling interest in Phillips 66 Partners LP (41,825,236)                        
Ending Balance, Common shares (in shares) at Dec. 31, 2022 652,373,645                        
Ending Balance, Treasury stock (in shares) at Dec. 31, 2022 186,529,667                        
Dividends, Common Stock                          
Dividends Paid Per Share of Common Stock (in usd per share) $ 3.83                        
v3.22.4
Summary of Significant Accounting Policies
12 Months Ended
Dec. 31, 2022
Accounting Policies [Abstract]  
Summary of Significant Accounting Policies Summary of Significant Accounting Policies
Consolidation Principles and Investments
Our consolidated financial statements include the accounts of majority-owned, controlled subsidiaries and variable interest entities (VIEs) where we are the primary beneficiary. Undivided interests in pipelines, natural gas plants and terminals are consolidated on a proportionate basis. See Note 29—DCP Midstream Class A Segment for further discussion about a significant VIE that we began consolidating in August 2022, and Note 30—Phillips 66 Partners LP, for further discussion regarding our merger with Phillips 66 Partners LP (Phillips 66 Partners).

The equity method is used to account for investments in affiliates in which we have the ability to exert significant influence over the affiliates’ operating and financial policies, including VIEs, of which we are not the primary beneficiary. Other securities and investments are generally carried at fair value, or cost less impairments, if any, adjusted up or down for price changes in similar financial instruments issued by the investee, when and if observed. See Note 8—Investments, Loans and Long-Term Receivables, for further discussion on our significant unconsolidated VIEs.

Recasted Financial Information
Certain prior period financial information has been recasted to reflect the current year’s presentation.

Use of Estimates
The preparation of financial statements in conformity with generally accepted accounting principles in the United States (GAAP) requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses, and the disclosure of contingent assets and liabilities. Actual results could differ from these estimates.

Foreign Currency
Adjustments resulting from the process of translating financial statements with foreign functional currencies into U.S. dollars are included in accumulated other comprehensive income (loss) in stockholders’ equity. Foreign currency transaction gains and losses result from remeasuring monetary assets and liabilities denominated in a foreign currency into the functional currency of our subsidiary holding the asset or liability. We include these transaction gains and losses in current earnings (loss). Most of our foreign operations use their local currency as the functional currency.

Cash Equivalents
Cash equivalents are highly liquid, short-term investments that are readily convertible to known amounts of cash and will mature within 90 days or less from the date of acquisition. We carry these investments at cost plus accrued interest.

Inventories
We have several valuation methods for our various types of inventories and consistently use the following methods for each type of inventory. Crude oil and petroleum products inventories are valued at the lower of cost or market in the aggregate, primarily on the last-in, first-out (LIFO) basis. Any necessary lower-of-cost-or-market write-downs at year end are recorded as permanent adjustments to the LIFO cost basis. LIFO is used to better match current inventory costs with current revenues and to meet tax-conformity requirements. Costs include both direct and indirect expenditures incurred in bringing an item or product to its existing condition and location. Materials and supplies inventories are valued using the weighted-average-cost method.
Fair Value Measurements
We categorize assets and liabilities measured at fair value into one of three different levels depending on the observability of the inputs employed in the measurement. Level 1 inputs are quoted prices in active markets for identical assets or liabilities. Level 2 inputs are inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly, through market-corroborated inputs. Level 3 inputs are unobservable inputs for the asset or liability that are used to measure fair value to the extent that relevant observable inputs are not available, and that reflect the assumptions we believe market participants would use when pricing an asset or liability for which there is little, if any, market activity at the measurement date.

Derivative Instruments
Derivative instruments are recorded on the balance sheet at fair value. We have master netting agreements with most of our exchange-cleared instrument counterparties and certain of our counterparties to other commodity instrument contracts (e.g., physical commodity forward contracts). We have elected to net derivative assets and liabilities with the same counterparty on the balance sheet if the legal right of offset exists and certain other criteria are met. When applicable, we also net collateral payables and receivables against derivative assets and derivative liabilities, respectively.

Recognition and classification of the gain or loss that results from recording and adjusting a derivative to fair value depends on the purpose for issuing or holding the derivative. All realized and unrealized gains and losses from derivative instruments for which we do not apply hedge accounting are immediately recognized in our consolidated statement of operations. Unrealized gains or losses from derivative instruments that qualify for and are designated as cash flow hedges are recognized in other comprehensive income (loss) and appear on the balance sheet in accumulated other comprehensive income (loss) until the hedged transactions are recognized in earnings. However, to the extent the change in the fair value of a derivative instrument exceeds the change in the anticipated cash flows of the hedged transaction, the excess gain or loss is recognized immediately in earnings.

Loans and Long-Term Receivables
We enter into agreements with other parties to pursue business opportunities, which may require us to provide loans or advances to certain affiliated and nonaffiliated companies. Loans are recorded when cash is transferred or seller financing is provided to the affiliated or nonaffiliated company pursuant to a loan agreement. The loan balance will increase as interest is earned on the outstanding loan balance and will decrease as interest and principal payments are received. Interest is earned at the loan agreement’s stated interest rate. Loans and long-term receivables are evaluated for impairment based on an expected credit loss assessment.

Impairment of Investments in Nonconsolidated Entities
Investments in nonconsolidated entities accounted for under the equity method are assessed for impairment whenever changes in the facts and circumstances indicate a loss in value has occurred. When indicators exist, the fair value is estimated and compared to the investment carrying value. If any impairment is judgmentally determined to be other than temporary, the carrying value of the investment is written down to fair value. The fair value of the impaired investment is determined based on quoted market prices, if available, or upon the present value of expected future cash flows using discount rates and other assumptions believed to be consistent with those used by principal market participants and observed market earnings multiples of comparable companies.

Depreciation and Amortization
Depreciation and amortization of properties, plants and equipment (PP&E) are determined by either the individual-unit-straight-line method or the group-straight-line method (for those individual units that are highly integrated with other units).

Capitalized Interest
A portion of interest from external borrowings is capitalized on major projects with an expected construction period of one year or longer. Capitalized interest is added to the cost of the related asset, and is amortized over the useful life of the related asset.
Impairment of Properties, Plants and Equipment
PP&E used in operations are assessed for impairment whenever changes in facts and circumstances indicate a possible significant deterioration in the future cash flows expected to be generated by an asset group. If indicators of potential impairment exist, an undiscounted cash flow test is performed. If the sum of the undiscounted expected future before-tax cash flows of an asset group is less than the carrying value of the asset group, including applicable liabilities, the carrying value of the PP&E included in the asset group is written down to estimated fair value and the write down is reported in the “Impairments” line item on our consolidated statement of operations in the period in which the impairment determination is made. Individual assets are grouped for impairment purposes at the lowest level for which identifiable cash flows are available. Because there is usually a lack of quoted market prices for long-lived assets, the fair value of impaired assets is typically determined using one or more of the following methods: the present values of expected future cash flows using discount rates and other assumptions believed to be consistent with those used by principal market participants; a market multiple of earnings for similar assets; historical market transactions including similar assets, adjusted using principal market participant assumptions when necessary; or replacement cost adjusted for physical deterioration and economic obsolescence. Long-lived assets held for sale are accounted for at the lower of amortized cost or fair value, less cost to sell, with fair value determined using a binding negotiated price, if available, estimated replacement cost, or present value of expected future cash flows as previously described.

The expected future cash flows used for impairment reviews and related fair value calculations are based on estimated future volumes, prices, costs, margins and capital project decisions, considering all available evidence at the date of review.

Property Dispositions
When complete units of depreciable property are sold, the asset cost and related accumulated depreciation are eliminated, with any gain or loss reflected in the “Net gain on dispositions” line item on our consolidated statement of operations. When less than complete units of depreciable property are disposed of or retired, the difference between asset cost and salvage value is charged or credited to accumulated depreciation.

Goodwill
Goodwill represents the excess of the purchase price over the estimated fair value of the net assets acquired in a business combination. Goodwill is not amortized, but is assessed for impairment annually and when events or changes in circumstance indicate that the fair value of a reporting unit with goodwill is below its carrying value. The impairment assessment requires allocating goodwill and other assets and liabilities to reporting units. The fair value of each reporting unit is determined and compared to the book value of the reporting unit. If the fair value of the reporting unit is less than the book value, an impairment is recognized for the amount by which the book value exceeds the reporting unit’s fair value. A goodwill impairment cannot exceed the total amount of goodwill allocated to that reporting unit. For purposes of assessing goodwill for impairment, we have two reporting units with goodwill balances at our 2022 testing date: Transportation and Marketing and Specialties (M&S).

Intangible Assets Other Than Goodwill
Intangible assets with finite useful lives are amortized using the straight-line method over their useful lives. Intangible assets with indefinite useful lives are not amortized, but are tested at least annually for impairment. Each reporting period, we evaluate intangible assets with indefinite useful lives to determine whether events and circumstances continue to support this classification. Indefinite-lived intangible assets are considered impaired if their fair value is lower than their net book value. The fair value of intangible assets is determined based on quoted market prices in active markets, if available. If quoted market prices are not available, the fair value of intangible assets is determined based upon the present values of expected future cash flows using discount rates and other assumptions believed to be consistent with those used by principal market participants, or upon estimated replacement cost, if expected future cash flows from the intangible asset are not determinable.
Asset Retirement Obligations
When we have a legal obligation to incur costs to retire an asset, we record a liability in the period in which the obligation was incurred provided that a reasonable estimate of fair value can be made. If a reasonable estimate of fair value cannot be made at the time the obligation arises, we record the liability when sufficient information is available to estimate its fair value. When a liability is initially recorded, we capitalize the costs by increasing the carrying amount of the related PP&E. Over time, the liability is increased for changes in present value, and the capitalized costs in PP&E are depreciated over the useful life of the related assets. If our estimate of the liability changes after initial recognition, we record an adjustment to the liability and PP&E.

Our practice is to keep our refining and other processing assets in good operating condition through routine repair and maintenance of component parts in the ordinary course of business and by continuing to make improvements based on technological advances. As a result, we believe that generally these assets have no expected retirement dates for purposes of estimating asset retirement obligations since the dates or ranges of dates upon which we would retire these assets cannot be reasonably estimated at this time. We will recognize liabilities for these obligations in the period when sufficient information becomes available to estimate a date or range of potential retirement dates.

Environmental Costs
Environmental expenditures are expensed or capitalized, depending upon their future economic benefit. Expenditures relating to an existing condition caused by past operations, and those having no future economic benefit, are expensed. When environmental assessments or cleanups are probable and the costs can be reasonably estimated, environmental expenditures are accrued on an undiscounted basis (unless acquired in a business combination). Recoveries of environmental remediation costs from other parties, such as state reimbursement funds, are recorded as a reduction to environmental expenditures.

Guarantees
The fair value of a guarantee is determined and recorded as a liability at the time the guarantee is given. The initial liability is subsequently reduced as we are released from exposure under the guarantee. We amortize the guarantee liability over the relevant time period, if one exists, based on the facts and circumstances surrounding each type of guarantee. We amortize the guarantee liability to the related statement of operations line item based on the nature of the guarantee. In cases where the guarantee term is indefinite, we reverse the liability when we have information to support the reversal. When the performance on the guarantee becomes probable and the liability can be reasonably estimated, we accrue a separate liability for the excess amount above the guarantee’s book value based on the facts and circumstances at that time. We reverse the fair value liability only when there is no further exposure under the guarantee.

Treasury Stock
We record treasury stock purchases at cost, which includes incremental direct transaction costs. Amounts are recorded as reductions of stockholders’ equity on the consolidated balance sheet. Common stock reissued from treasury stock is valued based on the average cost of historical repurchases.
Revenue Recognition
Our revenues are primarily associated with sales of refined petroleum products, crude oil, natural gas liquids (NGL) and natural gas. Each gallon, or other unit of measure of product, is separately identifiable and represents a distinct performance obligation to which a transaction price is allocated. The transaction prices of our contracts with customers are either fixed or variable, with variable pricing based upon various market indices. For our contracts that include variable consideration, we utilize the variable consideration allocation exception, whereby the variable consideration is only allocated to the performance obligations that are satisfied during the period. The related revenue is recognized at a point in time when control passes to the customer, which is when title and the risk of ownership passes to the customer and physical delivery of goods occurs, either immediately or within a fixed delivery schedule that is reasonable and customary in the industry. The payment terms with our customers vary based on the product or service provided, but usually are 30 days or less.

Revenues associated with pipeline transportation services are recognized at a point in time when the volumes are delivered based on contractual rates. Revenues associated with terminaling and storage services are recognized over time as the services are performed based on throughput volume or capacity utilization at contractual rates.

Revenues associated with transactions commonly called buy/sell contracts, in which the purchase and sale of inventory with the same counterparty are entered into in contemplation of one another, are combined and reported in the “Purchased crude oil and products” line item on our consolidated statement of operations (i.e., these transactions are recorded net).

Taxes Collected from Customers and Remitted to Governmental Authorities
Excise taxes on sales of refined petroleum products charged to our customers are presented net of taxes on sales of refined petroleum products payable to governmental authorities in the “Taxes other than income taxes” line item on our consolidated statement of operations. Other sales and value-added taxes are recorded net in the “Taxes other than income taxes” line item on our consolidated statement of operations.

Shipping and Handling Costs
We have elected to account for shipping and handling costs as fulfillment activities and include these activities in the “Purchased crude oil and products” line item on our consolidated statement of operations. Freight costs billed to customers are recorded in “Sales and other operating revenues.”

Maintenance and Repairs
Costs of maintenance and repairs, which are not significant improvements, are expensed when incurred. Major refinery maintenance turnarounds are expensed as incurred.

Share-Based Compensation
We recognize share-based compensation expense over the shorter of: (1) the service period (i.e., the stated period of time required to earn the award); or (2) the period beginning at the start of the service period and ending when an employee first becomes eligible for retirement, but not less than six months as this is the minimum period of time required for an award not to be subject to forfeiture. Our equity-classified programs generally provide accelerated vesting (i.e., a waiver of the remaining period of service required to earn an award) for awards held by employees at the time they become eligible for retirement (at age 55 with 5 years of service). We have elected to recognize expense on a straight-line basis over the service period for the entire award, irrespective of whether the award was granted with ratable or cliff vesting, and have elected to recognize forfeitures of awards when they occur.

Income Taxes
Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income (loss) in the period that includes the enactment date. Income tax effects are released from accumulated other comprehensive loss to retained earnings, when applicable, on an individual item basis as those items are reclassified into income. Interest related to unrecognized income tax benefits is reflected in the “Interest and debt expense” line item, and penalties in the “Operating expenses” or “Selling, general and administrative expenses” line items on our consolidated statement of operations.
v3.22.4
Changes in Accounting Principles
12 Months Ended
Dec. 31, 2022
Accounting Standards Update and Change in Accounting Principle [Abstract]  
Changes in Accounting Principles Changes in Accounting Principles
Effective January 1, 2022, we early adopted ASU 2021-08, “Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers.” This pronouncement requires application of ASC 606 "Revenue from Contracts with Customers" ("Topic 606") to recognize and measure contract assets and contract liabilities from contracts with customers acquired in a business combination. The adoption of this pronouncement did not have a material impact on our consolidated financial statements.

Effective October 1, 2021, we adopted ASU No. 2020-04, “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting” and ASU 2021-01, “Reference Rate Reform (Topic 848): Scope.” These pronouncements provide temporary optional expedients and exceptions to the current guidance on contracts, hedge relationships, and other transactions that reference the London Interbank Offered Rate (LIBOR) or another reference rate expected to be discontinued because of reference rate reform. Amendments in ASU 2021-01 further clarify that certain optional expedients and exceptions in Topic 848 for contract modifications and hedge accounting apply to derivatives that are affected by the discounting transition. These pronouncements were effective upon issuance and applicable to contract modifications through December 31, 2022. On December 21, 2022, the FASB issued ASU 2022-06, “Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848.” The ASU defers the sunset date of Topic 848 from December 31, 2022, to December 31, 2024, after which entities will no longer be permitted to apply the relief in Topic 848. This pronouncement was also effective upon issuance. The adoption of these pronouncements did not impact our consolidated financial statements.
New Accounting StandardsIn September 2022, the FASB issued ASU 2022-04, “Liabilities—Supplier Finance Programs (Subtopic 405-50): Disclosure of Supplier Finance Program Obligations.” This ASU requires the buyer in a supplier finance program to disclose qualitative and quantitative information about the program. This ASU is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years, except for the amendment on rollforward information, which is effective for fiscal years beginning after December 15, 2023. We do not anticipate the adoption of this ASU having a material impact on our consolidated financial statements.
v3.22.4
DCP Midstream, LLC and Gray Oak Holdings LLC Merger
12 Months Ended
Dec. 31, 2022
Business Combination and Asset Acquisition [Abstract]  
DCP Midstream, LLC and Gray Oak Holdings LLC Merger DCP Midstream, LLC and Gray Oak Holdings LLC Merger
On August 17, 2022, we and our co-venturer, Enbridge Inc. (Enbridge), agreed to merge DCP Midstream, LLC (DCP Midstream) and Gray Oak Holdings LLC (Gray Oak Holdings), with DCP Midstream as the surviving entity.

Prior to the merger, we and Enbridge each held a 50% interest and jointly governed DCP Midstream, whose primary assets are its general partner and limited partner interests in DCP Midstream, LP (DCP LP), and we each held indirect economic interests in DCP LP of 28.26%. DCP LP is a VIE because its limited partners do not have the ability to remove its general partner with a simple majority vote, nor do its limited partners have substantive participating rights in the significant decisions made in the ordinary course of business. DCP Midstream ultimately consolidates DCP LP because one of its wholly owned subsidiaries is the primary beneficiary of DCP LP.

We and Enbridge also held 65% and 35% interests, respectively, in Gray Oak Holdings, whose primary asset was a 65% noncontrolling interest in Gray Oak Pipeline, LLC (Gray Oak Pipeline). Our and Enbridge’s indirect economic interests in Gray Oak Pipeline were 42.25% and 22.75%, respectively. We had voting control over and consolidated Gray Oak Holdings and reported Gray Oak Holdings’ 65% interest in Gray Oak Pipeline as an equity investment and Enbridge’s interest in Gray Oak Holdings as a noncontrolling interest.

In connection with the merger, we and Enbridge entered into a Third Amended and Restated Limited Liability Company Agreement of DCP Midstream (Amended and Restated LLC Agreement), which realigned the members’ economic interests and governance responsibilities. Under the Amended and Restated LLC Agreement, two classes of membership interests in DCP Midstream were created, Class A and Class B, that are intended to track the assets, liabilities, revenues and expenses of the following operating segments of DCP Midstream:

Class A Segment comprised of the businesses, activities, assets and liabilities of DCP LP and its subsidiaries and its general partner entities (DCP Midstream Class A Segment).
Class B Segment comprised of the business, activities, assets and liabilities of Gray Oak Pipeline (DCP Midstream Class B Segment).

We hold a 76.64% Class A membership interest, which represents an indirect economic interest in DCP LP of 43.31%, and a 10% Class B membership interest, which represents an indirect economic interest in Gray Oak Pipeline of 6.5%. Enbridge holds the remaining Class A and Class B membership interests. We have been designated as the managing member of DCP Midstream Class A Segment and are responsible for conducting, directing and managing all activities associated with this segment, except as limited in certain instances. Enbridge has been designated as the managing member of DCP Midstream Class B Segment. Earnings and distributions from each segment are allocated to the members based on their membership interest in each membership class, except as otherwise provided.

DCP Midstream Class A Segment and DCP Midstream Class B Segment were determined to be silos under the variable interest consolidation model. As a result, DCP Midstream was also determined to be a VIE. We determined that we are the primary beneficiary of DCP Midstream Class A Segment because of the governance rights granted to us under the Amended and Restated LLC Agreement as managing member of the segment.

We hold a 33.33% direct ownership interest in DCP Sand Hills Pipeline, LLC (DCP Sand Hills) and DCP Southern Hills Pipeline, LLC (DCP Southern Hills). DCP LP holds the remaining 66.67% ownership interest in these entities. As a result of the governance rights granted to us over DCP Midstream Class A Segment and the governance rights we hold through our direct ownership interests, we obtained controlling financial interests in these entities in connection with the merger. As a result, our aggregate direct and indirect economic interests in DCP Sand Hills and DCP Southern Hills increased to 62.21% from 52.17%.

Starting on August 18, 2022, we began consolidating the financial results of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills. We also began reporting the direct and indirect economic interests held by Enbridge, DCP LP’s public common unitholders and DCP LP’s preferred unitholders as noncontrolling interests on our financial statements.
We continue to account for our remaining indirect economic interest in Gray Oak Pipeline, now held through DCP Midstream Class B Segment, using the equity method of accounting. As a result of the merger, we derecognized Enbridge’s noncontrolling interest in Gray Oak Holdings.We accounted for our consolidation of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills as a business combination using the acquisition method of accounting. See Note 4—Business Combination, for additional information on our accounting for this transaction. See Note 29—DCP Midstream Class A Segment, for additional information regarding our variable interest in DCP Midstream Class A Segment and the definitive agreement we executed on January 5, 2023, to acquire an incremental interest in DCP LP.Business Combination
On August 17, 2022, we realigned our economic interest in, and governance rights over, DCP Midstream and Gray Oak Holdings through the merger of these existing entities with DCP Midstream as the surviving entity. As part of the merger, we transferred a 35.75% indirect economic interest in Gray Oak Pipeline and contributed $404 million of cash to DCP Midstream, which was then paid to Enbridge, in return for a 15.05% incremental indirect economic ownership interest in DCP LP. As noted above, the additional governance rights we were granted as part of this transaction resulted in us consolidating the Class A Segment of DCP Midstream, as well as DCP Sand Hills and DCP Southern Hills. Given the nature of this transaction, we have accounted for the consolidation of these entities using the acquisition method of accounting. See Note 3—DCP Midstream, LLC and Gray Oak Holdings LLC Merger, for additional information on the merger and our consolidation of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills.

The components of the fair value of the merger consideration are:


Millions of Dollars
Cash contributed$404 
Fair value of transferred equity interest634 
Fair value of previously held equity interests3,853 
Total merger consideration$4,891 


The aggregate purchase consideration noted above was allocated to the assets acquired and liabilities assumed of the entities consolidated based upon a preliminary estimate of their fair values as of the August 17, 2022, merger date. Due to the level of effort required to develop fair value measurements, the valuation information necessary to determine the fair values of assets acquired and liabilities assumed is preliminary, including the underlying cash flows, appraisals and other information used to estimate the fair values of the net assets acquired and noncontrolling interests in those net assets. We continue to evaluate the factors used in establishing the fair values of assets and liabilities as of the acquisition date, including, but not limited to, those factors that could affect the estimated fair values of PP&E, investments in unconsolidated affiliates accounted for under the equity method, identifiable intangible assets, leases, financial instruments, asset retirement and environmental obligations, legal contingencies, debt and noncontrolling interests. We will complete a final determination of the fair values of assets acquired and liabilities assumed within the one-year measurement period from the date of the merger. Any adjustments made in subsequent periods could be material to the preliminary values. Adjustments made in the fourth quarter of 2022 were immaterial.
The following table summarizes, based on our preliminary purchase price allocation described above, the fair values of the assets acquired and liabilities assumed of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills as of August 17, 2022:

Millions of Dollars
Fair value of assets acquired:
Cash and cash equivalents$98 
Accounts and notes receivable1,003 
Inventories74 
Prepaid expenses and other current assets439 
Investments and long-term receivables2,198 
Properties, plants and equipment12,838 
Intangibles36 
Other assets343 
Total assets acquired17,029 
Fair value of liabilities assumed:
Accounts payable912 
Short-term debt623 
Accrued income and other taxes96 
Employee benefit obligation—current50 
Other accruals497 
Long-term debt4,553 
Asset retirement obligations and accrued environmental costs168 
Deferred income taxes59 
Employee benefit obligations54 
Other liabilities and deferred credits227 
Total liabilities assumed7,239 
Fair value of net assets9,790 
Less: Fair value of noncontrolling interests4,899 
Total merger consideration$4,891 


As of August 17, 2022, the preliminary fair value of our previously held equity investments in DCP Midstream, DCP Sand Hills, and DCP Southern Hills totaled $3,853 million, and the preliminary fair value of the equity interest in Gray Oak Pipeline we transferred to our co-venturer was $634 million. In connection with the merger, we recognized gains totaling $2,831 million from remeasuring our previously held equity investments to their fair values and a gain of $182 million related to the transfer of a 35.75% indirect economic interest in Gray Oak Pipeline to our co-venturer. These gains are included in the “Other income” line item in our consolidated statement of operations for the year ended December 31, 2022, and are reported in the Midstream segment. See Note 18—Fair Value Measurements, for additional information on the determination of the fair value of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills.
The following “Sales and other operating revenues” and “Net Income Attributable to Phillips 66” of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills were included in our consolidated statement of operations from August 18, 2022, forward.

Millions of Dollars
Sales and other operating revenues$4,531 
Net Income Attributable to Phillips 66216 


Unaudited Pro Forma Financial Information
The following unaudited pro forma financial information presents our consolidated results assuming the acquisition of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills occurred on January 1, 2021. The unaudited pro forma information includes adjustments based on currently available information and we believe the estimates and assumptions are reasonable, and the significant effects of the transactions are properly reflected in the unaudited pro forma information. An aggregate before-tax gain of $2,831 million was included in the pro forma financial information for the year ended December 31, 2021, which is related to the remeasurement of the previously held equity investments in DCP Midstream, DCP Sand Hills and DCP Southern Hills to their fair values in connection with the merger. Adjustments related to the economic interest change in our equity investment in Gray Oak Pipeline were excluded from the pro forma financial information.

The unaudited pro forma information does not give effect to any potential synergies that could be achieved and is not necessarily indicative of the results of future operations.

Year Ended December 31
20222021
Sales and other operating revenues (millions)
$177,127 119,027 
Net Income Attributable to Phillips 66 (millions)
8,847 3,360 
Net Income Attributable to Phillips 66 per share—basic (dollars)
18.74 7.61 
Net Income Attributable to Phillips 66 per share—diluted (dollars)
18.68 7.60 
v3.22.4
Business Combination
12 Months Ended
Dec. 31, 2022
Business Combination and Asset Acquisition [Abstract]  
Business Combination DCP Midstream, LLC and Gray Oak Holdings LLC Merger
On August 17, 2022, we and our co-venturer, Enbridge Inc. (Enbridge), agreed to merge DCP Midstream, LLC (DCP Midstream) and Gray Oak Holdings LLC (Gray Oak Holdings), with DCP Midstream as the surviving entity.

Prior to the merger, we and Enbridge each held a 50% interest and jointly governed DCP Midstream, whose primary assets are its general partner and limited partner interests in DCP Midstream, LP (DCP LP), and we each held indirect economic interests in DCP LP of 28.26%. DCP LP is a VIE because its limited partners do not have the ability to remove its general partner with a simple majority vote, nor do its limited partners have substantive participating rights in the significant decisions made in the ordinary course of business. DCP Midstream ultimately consolidates DCP LP because one of its wholly owned subsidiaries is the primary beneficiary of DCP LP.

We and Enbridge also held 65% and 35% interests, respectively, in Gray Oak Holdings, whose primary asset was a 65% noncontrolling interest in Gray Oak Pipeline, LLC (Gray Oak Pipeline). Our and Enbridge’s indirect economic interests in Gray Oak Pipeline were 42.25% and 22.75%, respectively. We had voting control over and consolidated Gray Oak Holdings and reported Gray Oak Holdings’ 65% interest in Gray Oak Pipeline as an equity investment and Enbridge’s interest in Gray Oak Holdings as a noncontrolling interest.

In connection with the merger, we and Enbridge entered into a Third Amended and Restated Limited Liability Company Agreement of DCP Midstream (Amended and Restated LLC Agreement), which realigned the members’ economic interests and governance responsibilities. Under the Amended and Restated LLC Agreement, two classes of membership interests in DCP Midstream were created, Class A and Class B, that are intended to track the assets, liabilities, revenues and expenses of the following operating segments of DCP Midstream:

Class A Segment comprised of the businesses, activities, assets and liabilities of DCP LP and its subsidiaries and its general partner entities (DCP Midstream Class A Segment).
Class B Segment comprised of the business, activities, assets and liabilities of Gray Oak Pipeline (DCP Midstream Class B Segment).

We hold a 76.64% Class A membership interest, which represents an indirect economic interest in DCP LP of 43.31%, and a 10% Class B membership interest, which represents an indirect economic interest in Gray Oak Pipeline of 6.5%. Enbridge holds the remaining Class A and Class B membership interests. We have been designated as the managing member of DCP Midstream Class A Segment and are responsible for conducting, directing and managing all activities associated with this segment, except as limited in certain instances. Enbridge has been designated as the managing member of DCP Midstream Class B Segment. Earnings and distributions from each segment are allocated to the members based on their membership interest in each membership class, except as otherwise provided.

DCP Midstream Class A Segment and DCP Midstream Class B Segment were determined to be silos under the variable interest consolidation model. As a result, DCP Midstream was also determined to be a VIE. We determined that we are the primary beneficiary of DCP Midstream Class A Segment because of the governance rights granted to us under the Amended and Restated LLC Agreement as managing member of the segment.

We hold a 33.33% direct ownership interest in DCP Sand Hills Pipeline, LLC (DCP Sand Hills) and DCP Southern Hills Pipeline, LLC (DCP Southern Hills). DCP LP holds the remaining 66.67% ownership interest in these entities. As a result of the governance rights granted to us over DCP Midstream Class A Segment and the governance rights we hold through our direct ownership interests, we obtained controlling financial interests in these entities in connection with the merger. As a result, our aggregate direct and indirect economic interests in DCP Sand Hills and DCP Southern Hills increased to 62.21% from 52.17%.

Starting on August 18, 2022, we began consolidating the financial results of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills. We also began reporting the direct and indirect economic interests held by Enbridge, DCP LP’s public common unitholders and DCP LP’s preferred unitholders as noncontrolling interests on our financial statements.
We continue to account for our remaining indirect economic interest in Gray Oak Pipeline, now held through DCP Midstream Class B Segment, using the equity method of accounting. As a result of the merger, we derecognized Enbridge’s noncontrolling interest in Gray Oak Holdings.We accounted for our consolidation of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills as a business combination using the acquisition method of accounting. See Note 4—Business Combination, for additional information on our accounting for this transaction. See Note 29—DCP Midstream Class A Segment, for additional information regarding our variable interest in DCP Midstream Class A Segment and the definitive agreement we executed on January 5, 2023, to acquire an incremental interest in DCP LP.Business Combination
On August 17, 2022, we realigned our economic interest in, and governance rights over, DCP Midstream and Gray Oak Holdings through the merger of these existing entities with DCP Midstream as the surviving entity. As part of the merger, we transferred a 35.75% indirect economic interest in Gray Oak Pipeline and contributed $404 million of cash to DCP Midstream, which was then paid to Enbridge, in return for a 15.05% incremental indirect economic ownership interest in DCP LP. As noted above, the additional governance rights we were granted as part of this transaction resulted in us consolidating the Class A Segment of DCP Midstream, as well as DCP Sand Hills and DCP Southern Hills. Given the nature of this transaction, we have accounted for the consolidation of these entities using the acquisition method of accounting. See Note 3—DCP Midstream, LLC and Gray Oak Holdings LLC Merger, for additional information on the merger and our consolidation of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills.

The components of the fair value of the merger consideration are:


Millions of Dollars
Cash contributed$404 
Fair value of transferred equity interest634 
Fair value of previously held equity interests3,853 
Total merger consideration$4,891 


The aggregate purchase consideration noted above was allocated to the assets acquired and liabilities assumed of the entities consolidated based upon a preliminary estimate of their fair values as of the August 17, 2022, merger date. Due to the level of effort required to develop fair value measurements, the valuation information necessary to determine the fair values of assets acquired and liabilities assumed is preliminary, including the underlying cash flows, appraisals and other information used to estimate the fair values of the net assets acquired and noncontrolling interests in those net assets. We continue to evaluate the factors used in establishing the fair values of assets and liabilities as of the acquisition date, including, but not limited to, those factors that could affect the estimated fair values of PP&E, investments in unconsolidated affiliates accounted for under the equity method, identifiable intangible assets, leases, financial instruments, asset retirement and environmental obligations, legal contingencies, debt and noncontrolling interests. We will complete a final determination of the fair values of assets acquired and liabilities assumed within the one-year measurement period from the date of the merger. Any adjustments made in subsequent periods could be material to the preliminary values. Adjustments made in the fourth quarter of 2022 were immaterial.
The following table summarizes, based on our preliminary purchase price allocation described above, the fair values of the assets acquired and liabilities assumed of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills as of August 17, 2022:

Millions of Dollars
Fair value of assets acquired:
Cash and cash equivalents$98 
Accounts and notes receivable1,003 
Inventories74 
Prepaid expenses and other current assets439 
Investments and long-term receivables2,198 
Properties, plants and equipment12,838 
Intangibles36 
Other assets343 
Total assets acquired17,029 
Fair value of liabilities assumed:
Accounts payable912 
Short-term debt623 
Accrued income and other taxes96 
Employee benefit obligation—current50 
Other accruals497 
Long-term debt4,553 
Asset retirement obligations and accrued environmental costs168 
Deferred income taxes59 
Employee benefit obligations54 
Other liabilities and deferred credits227 
Total liabilities assumed7,239 
Fair value of net assets9,790 
Less: Fair value of noncontrolling interests4,899 
Total merger consideration$4,891 


As of August 17, 2022, the preliminary fair value of our previously held equity investments in DCP Midstream, DCP Sand Hills, and DCP Southern Hills totaled $3,853 million, and the preliminary fair value of the equity interest in Gray Oak Pipeline we transferred to our co-venturer was $634 million. In connection with the merger, we recognized gains totaling $2,831 million from remeasuring our previously held equity investments to their fair values and a gain of $182 million related to the transfer of a 35.75% indirect economic interest in Gray Oak Pipeline to our co-venturer. These gains are included in the “Other income” line item in our consolidated statement of operations for the year ended December 31, 2022, and are reported in the Midstream segment. See Note 18—Fair Value Measurements, for additional information on the determination of the fair value of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills.
The following “Sales and other operating revenues” and “Net Income Attributable to Phillips 66” of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills were included in our consolidated statement of operations from August 18, 2022, forward.

Millions of Dollars
Sales and other operating revenues$4,531 
Net Income Attributable to Phillips 66216 


Unaudited Pro Forma Financial Information
The following unaudited pro forma financial information presents our consolidated results assuming the acquisition of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills occurred on January 1, 2021. The unaudited pro forma information includes adjustments based on currently available information and we believe the estimates and assumptions are reasonable, and the significant effects of the transactions are properly reflected in the unaudited pro forma information. An aggregate before-tax gain of $2,831 million was included in the pro forma financial information for the year ended December 31, 2021, which is related to the remeasurement of the previously held equity investments in DCP Midstream, DCP Sand Hills and DCP Southern Hills to their fair values in connection with the merger. Adjustments related to the economic interest change in our equity investment in Gray Oak Pipeline were excluded from the pro forma financial information.

The unaudited pro forma information does not give effect to any potential synergies that could be achieved and is not necessarily indicative of the results of future operations.

Year Ended December 31
20222021
Sales and other operating revenues (millions)
$177,127 119,027 
Net Income Attributable to Phillips 66 (millions)
8,847 3,360 
Net Income Attributable to Phillips 66 per share—basic (dollars)
18.74 7.61 
Net Income Attributable to Phillips 66 per share—diluted (dollars)
18.68 7.60 
v3.22.4
Sales and Other Operating Revenues
12 Months Ended
Dec. 31, 2022
Revenue from Contract with Customer [Abstract]  
Sales and Other Operating Revenues Sales and Other Operating Revenues
Disaggregated Revenues
The following tables present our disaggregated sales and other operating revenues:

 Millions of Dollars
 202220212020
Product Line and Services
Refined petroleum products$131,798 89,020 49,768 
Crude oil resales20,574 12,801 9,114 
NGL and natural gas16,174 9,074 4,084 
Services and other*1,444 581 1,163 
Consolidated sales and other operating revenues$169,990 111,476 64,129 
Geographic Location**
United States$136,995 87,973 48,711 
United Kingdom16,741 11,132 7,031 
Germany6,392 4,290 3,034 
Other foreign countries9,862 8,081 5,353 
Consolidated sales and other operating revenues$169,990 111,476 64,129 
* Includes derivatives-related activities. See Note 17—Derivatives and Financial Instruments, for additional information.
** Sales and other operating revenues are attributable to countries based on the location of the operations generating the revenues.


Contract-Related Assets and Liabilities
At December 31, 2022 and 2021, receivables from contracts with customers were $8,749 million and $6,140 million, respectively. Significant noncustomer balances, such as buy/sell receivables and excise tax receivables, were excluded from these amounts.

Our contract-related assets also include payments we make to our marketing customers related to incentive programs. An incentive payment is initially recognized as an asset and subsequently amortized as a reduction to revenue over the contract term, which generally ranges from 5 to 15 years. At December 31, 2022 and 2021, our asset balances related to such payments were $505 million and $466 million, respectively.

Our contract liabilities primarily represent advances from our customers prior to product or service delivery. At December 31, 2022 and 2021, contract liabilities were $156 million and $90 million, respectively.

Remaining Performance Obligations
Most of our contracts with customers are spot contracts or term contracts with only variable consideration. We do not disclose remaining performance obligations for these contracts as the expected duration is one year or less or because the variable consideration has been allocated entirely to an unsatisfied performance obligation. We also have certain contracts in our Midstream segment that include minimum volume commitments with fixed pricing. At December 31, 2022, the remaining performance obligations related to these minimum volume commitment contracts amounted to $445 million. This amount excludes variable consideration and estimates of variable rate escalation clauses in our contracts with customers, and is expected to be recognized through 2031 with a weighted average remaining life of three years as of December 31, 2022.
v3.22.4
Credit Losses
12 Months Ended
Dec. 31, 2022
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]  
Credit Losses Credit Losses
We are exposed to credit losses primarily through our sales of refined petroleum products, crude oil, NGL and natural gas. We assess each counterparty’s ability to pay for the products we sell by conducting a credit review. The credit review considers our expected billing exposure and timing for payment and the counterparty’s established credit rating or our assessment of the counterparty’s creditworthiness based on our analysis of their financial statements when a credit rating is not available. We also consider contract terms and conditions, country and political risk, and business strategy in our evaluation. A credit limit is established for each counterparty based on the outcome of this review. We may require collateralized asset support or a prepayment to mitigate credit risk.

We monitor our ongoing credit exposure through active review of counterparty balances against contract terms and due dates. Our activities include timely account reconciliations, dispute resolution and payment confirmations. We may employ collection agencies and legal counsel to pursue recovery of defaulted receivables. In addition, when events and circumstances arise that may affect certain counterparties’ abilities to fulfill their obligations, we enhance our credit monitoring, and we may seek collateral to support some transactions or require prepayments from higher-risk counterparties.

At December 31, 2022 and 2021, we reported $10,985 million and $7,470 million of accounts and notes receivable, net of allowances of $67 million and $44 million, respectively. Based on an aging analysis at December 31, 2022, more than 95% of our accounts receivable were outstanding less than 60 days.

We are also exposed to credit losses from off-balance sheet exposures, such as guarantees of joint venture debt and standby letters of credit. See Note 15—Guarantees, and Note 16—Contingencies and Commitments, for more information on these off-balance sheet exposures.
v3.22.4
Inventories
12 Months Ended
Dec. 31, 2022
Inventory Disclosure [Abstract]  
Inventories Inventories
Inventories at December 31 consisted of the following:
 
 Millions of Dollars
 20222021
Crude oil and petroleum products$2,914 3,024 
Materials and supplies362 370 
$3,276 3,394 


Inventories valued on the LIFO basis totaled $2,635 million and $2,792 million at December 31, 2022 and 2021, respectively. The estimated excess of current replacement cost over LIFO cost of inventories amounted to approximately $6.3 billion and $5.7 billion at December 31, 2022 and 2021, respectively.

During each of the three years ended December 31, 2022, certain volume reductions in inventory caused liquidations of LIFO inventory values. For the year ended December 31, 2022, LIFO inventory liquidations increased net income by $75 million. For the year ended December 31, 2021, LIFO inventory liquidations decreased net income by $101 million. These liquidations did not have a material impact on our results for the year ended December 31, 2020.
v3.22.4
Investments, Loans and Long-Term Receivables
12 Months Ended
Dec. 31, 2022
Investments, All Other Investments [Abstract]  
Investments, Loans and Long-Term Receivables Investments, Loans and Long-Term Receivables
Components of investments and long-term receivables at December 31 were:
 
 Millions of Dollars
 20222021
Equity investments$14,414 12,832 
Other investments207 680 
Loans and long-term receivables329 959 
$14,950 14,471 

Equity Investments
Significant affiliated companies accounted for under the equity method, including nonconsolidated VIEs, at December 31, 2022 and 2021, included:
 
Chevron Phillips Chemical Company LLC (CPChem)—50 percent-owned joint venture that manufactures and markets petrochemicals and plastics. We have multiple long-term supply and purchase agreements in place with CPChem with extension options. These agreements cover sales and purchases of refined petroleum products, solvents, fuel gas, natural gas, NGL, and other petrochemical feedstocks. All products are purchased and sold under specified pricing formulas based on various published pricing indices. At December 31, 2022 and 2021, the book value of our investment in CPChem was $6,785 million and $6,369 million, respectively.

WRB Refining LP (WRB)—50 percent-owned joint venture that owns the Wood River and Borger refineries located in Roxana, Illinois, and Borger, Texas, respectively, for which we are the operator and managing partner. We have a basis difference for our investment in WRB because the carrying value of our investment is lower than our share of WRB’s recorded net assets. This basis difference was primarily the result of our contribution of these refineries to WRB. On the contribution closing date, a basis difference was created because the fair value of the contributed assets recorded by WRB exceeded our historical book value. The contribution-related basis difference is primarily being amortized and recognized as a benefit to equity earnings over a period of 26 years, which was the estimated remaining useful life of the refineries’ PP&E at the contribution closing date. At December 31, 2022, the aggregate remaining basis difference for this investment was $1,878 million. Equity earnings for the years ended December 31, 2022, 2021 and 2020, were increased by $184 million, $186 million and $180 million, respectively, due to the amortization of our aggregate basis difference. At December 31, 2022 and 2021, the book value of our investment in WRB was $2,411 million and $1,652 million, respectively.

Gulf Coast Express LLC (Gulf Coast Express)—DCP LP 25 percent-owned joint venture that owns an intrastate pipeline that transports natural gas from the Waha area in West Texas to Agua Dulce, in Nueces County, Texas. The pipeline is operated by a co-venturer. This investment was acquired as part of our consolidation of the DCP Midstream Class A Segment starting on August 18, 2022, and was initially recorded at its estimated fair value on this date. The estimated fair value of this investment exceeds our share of Gulf Coast Express’ recorded net assets, which results in a basis difference. At December 31, 2022, the preliminary aggregate remaining basis difference for this investment was $437 million. The estimated fair value of the investment in Gulf Coast Express, the allocation of the basis difference to Gulf Coast Express’ net assets and the basis difference amortization period are based on preliminary estimates and are subject to change until we finalize our acquisition accounting for the DCP Midstream Class A Segment. At December 31, 2022, the book value, including the preliminary fair value adjustment, of the investment in Gulf Coast Express was $844 million. See Note 3—DCP Midstream, LLC and Gray Oak Holdings LLC Merger, Note 4—Business Combination and Note 18—Fair Value Measurements, for additional information on the DCP Midstream and Gray Oak Holdings merger and our accounting for this transaction as a business combination.
Dakota Access, LLC (Dakota Access) and Energy Transfer Crude Oil Company, LLC (ETCO)—Two 25 percent-owned joint ventures. Dakota Access owns a pipeline system that transports crude oil from the Bakken/Three Forks production area in North Dakota to Patoka, Illinois, and ETCO owns a connecting crude oil pipeline system that extends from Patoka to Nederland, Texas. These two pipeline systems collectively form the Bakken Pipeline system, which is operated by a co-venturer.

In 2020, the trial court presiding over litigation brought by the Standing Rock Sioux Tribe (the Tribe) ordered the U.S. Army Corps of Engineers (USACE) to prepare an Environmental Impact Statement (EIS) addressing an easement under Lake Oahe in North Dakota. The court later vacated the easement. Although the easement is vacated, the USACE has no plans to stop pipeline operations while it proceeds with the EIS, and the Tribe’s request for a shutdown was denied in May 2021. In June 2021, the trial court dismissed the litigation entirely. Once the EIS is completed, new litigation or challenges may be filed.

In February 2022, the U.S. Supreme Court (the Court) denied Dakota Access’ writ of certiorari requesting the Court to review the lower court’s decision to order the EIS and vacate the easement. Therefore, the requirement to prepare the EIS stands. Also in February 2022, the Tribe withdrew as a cooperating agency, causing the USACE to halt the EIS process while the USACE engaged with the Tribe on their reasons for withdrawing. The draft EIS process resumed in August 2022, and release is expected in Spring 2023.

Dakota Access and ETCO have guaranteed repayment of senior unsecured notes issued by a wholly owned subsidiary of Dakota Access in March 2019. On April 1, 2022, Dakota Access’ wholly owned subsidiary repaid $650 million aggregate principal amount of its outstanding senior notes upon maturity. We funded our 25% share, or $163 million, with a capital contribution of $89 million in March 2022 and $74 million of distributions we elected not to receive from Dakota Access in the first quarter of 2022. At December 31, 2022, the aggregate principal amount outstanding of Dakota Access’ senior unsecured notes was $1.85 billion.

In conjunction with the notes offering, Phillips 66 Partners, now a wholly owned subsidiary of Phillips 66, and its co-venturers in Dakota Access also provided a Contingent Equity Contribution Undertaking (CECU). Under the CECU, the co-venturers may be severally required to make proportionate equity contributions to Dakota Access if there is an unfavorable final judgment in the above-mentioned ongoing litigation. At December 31, 2022, our 25% share of the maximum potential equity contributions under the CECU was approximately $467 million.

If the pipeline is required to cease operations, and should Dakota Access and ETCO not have sufficient funds to pay ongoing expenses, we could be required to support our 25% share of the ongoing expenses, including scheduled interest payments on the notes of approximately $20 million annually, in addition to the potential obligations under the CECU.

At December 31, 2022 and 2021, the aggregate book value of our investments in Dakota Access and ETCO was $675 million and $574 million, respectively.

Front Range Pipeline LLC (Front Range)—DCP LP 33 percent-owned joint venture that owns an NGL pipeline that originates in the DJ Basin and extends to Skellytown, Texas. The pipeline is operated by a co-venturer. This investment was acquired as part of our consolidation of the DCP Midstream Class A Segment starting on August 18, 2022, and was initially recorded at its estimated fair value on this date. The estimated fair value of this investment exceeds our share of Front Range’s recorded net assets, which results in a basis difference. At December 31, 2022, the preliminary aggregate remaining basis difference for this investment was $308 million. The estimated fair value of the investment in Front Range, the allocation of the basis difference to Front Range’s net assets and the basis difference amortization period are based on preliminary estimates and are subject to change until we finalize our acquisition accounting for the DCP Midstream Class A Segment. At December 31, 2022, the book value, including the fair value adjustment, of the investment in Front Range was $499 million. See Note 3—DCP Midstream, LLC and Gray Oak Holdings LLC Merger, Note 4—Business Combination and Note 18—Fair Value Measurements, for additional information on the DCP Midstream and Gray Oak Holdings merger and our accounting for this transaction as a business combination.
Rockies Express Pipeline LLC (REX)—25 percent-owned joint venture that owns a natural gas pipeline system that extends from Wyoming and Colorado to Ohio with a bidirectional section that extends from Ohio to Illinois. The REX Pipeline system is operated by our co-venturer. We have a basis difference for our investment in REX because the carrying value of our investment is lower than our share of REX’s recorded net assets. This basis difference was created by historical impairment charges we recorded for this investment and is being amortized and recognized as a benefit to equity earnings over a period of 25 years, which was the estimated remaining useful life of REX’s PP&E when the impairment charges were recorded. At December 31, 2022, the remaining basis difference for this investment was $281 million. Equity earnings for each of the years ended December 31, 2022, 2021 and 2020, were increased by $19 million due to the amortization of our basis difference. At December 31, 2022 and 2021, the book value of our investment in REX was $483 million and $510 million, respectively.

CF United LLC (CF United)—A retail marketing joint venture with operations primarily on the U.S. West Coast. We own a 50% voting interest and a 47% economic interest in this joint venture. CF United is considered a VIE, because our co-venturer has an option to require us to purchase its interest based on a fixed multiple. The put option becomes effective July 1, 2023, and expires on March 31, 2024. The put option is viewed as a variable interest as the purchase price on the exercise date may not represent the then-current fair value of CF United. We have determined that we are not the primary beneficiary because we and our co-venturer jointly direct the activities of CF United that most significantly impact economic performance. At December 31, 2022, our maximum exposure to loss was comprised of our $296 million investment in CF United, and any potential future loss resulting from the put option should the purchase price based on a fixed multiple exceed the then-current fair value of CF United. At December 31, 2021, the book value of our investment in CF United was $277 million.

OnCue Holdings, LLC (OnCue)—50 percent-owned joint venture that owns and operates retail convenience stores. We fully guaranteed various debt agreements of OnCue, and our co-venturer did not participate in the guarantees. This entity is considered a VIE because our debt guarantees resulted in OnCue not being exposed to all potential losses. We have determined we are not the primary beneficiary because we do not have the power to direct the activities that most significantly impact economic performance. At December 31, 2022, our maximum exposure to loss was $209 million, which represented the book value of our investment in OnCue of $138 million and guaranteed debt obligations of $71 million. At December 31, 2021, the book value of our investment in OnCue was $114 million.

DCP Midstream, DCP Sand Hills, DCP Southern Hills, and Gray Oak Pipeline—Prior to the merger of DCP Midstream and Gray Oak Holdings on August 17, 2022, we held:

A 50% interest in DCP Midstream a joint venture that owns and operates NGL and gas pipelines, gas plants, gathering systems, storage facilities and fractionation plants, through its subsidiary DCP LP.
A 33.33% direct ownership interest in DCP Sand Hills a joint venture that owns a NGL pipeline system that extends from the Permian Basin and Eagle Ford to facilities on the Texas Gulf Coast and to the Mont Belvieu, Texas, market hub.
A 33.33% direct ownership interest in DCP Southern Hills a joint venture that owns a NGL pipeline system that extends from the Midcontinent region to the Mont Belvieu, Texas, market hub.
A 65% interest in Gray Oak Pipeline, which was held through a consolidated holding company, Gray Oak Holdings. Our indirect interest in Gray Oak Pipeline was 42.25%, after considering a co-venturer’s 35% interest in Gray Oak Holdings. Gray Oak Pipeline is a crude oil pipeline that extends from the Permian and Eagle Ford to Texas Gulf Coast destinations that include Corpus Christi, Texas, and the Sweeny area, including our Sweeny Refinery.

As a result of the merger, effective August 18, 2022, we began consolidating the financial results of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills and our indirect economic interest in Gray Oak Pipeline was reduced to 6.5%. After the merger, our indirect economic interest in Gray Oak Pipeline is held through our economic interest in DCP Midstream Class B Segment. See Note 3—DCP Midstream, LLC and Gray Oak Holdings LLC Merger and Note 4—Business Combination, for additional information regarding the merger and associated accounting treatment.
At December 31, 2021, the book values of our investments in DCP Midstream, DCP Sand Hills, DCP Southern Hills and Gray Oak Pipeline were $391 million, $577 million, $217 million and $812 million, respectively. At December 31, 2022, the book value of our investment in DCP Midstream Class B Segment was $79 million.

Liberty Pipeline LLC (Liberty)—In the first quarter of 2021, Phillips 66 Partners’ decided to exit the Liberty Pipeline project, which resulted in a $198 million before-tax impairment. The impairment is included in the “Impairments” line item on our consolidated statement of operations for the year ended December 31, 2021. In April 2021, Phillips 66 Partners transferred its ownership interest in Liberty to its co-venturer for cash and certain pipeline assets with a value that approximated its book value of $46 million at March 31, 2021. See Note 11—Impairments, and Note 18—Fair Value Measurements, for additional information regarding the impairment and the techniques used to determine the fair value of Phillips 66 Partners’ investment in Liberty.

Other Investments
In September 2021, we acquired 78 million ordinary shares representing a 16% ownership interest, in NOVONIX Limited (NOVONIX), which are traded on the Australian Securities Exchange. NOVONIX is a Brisbane, Australia-based company that develops technology and supplies materials for lithium-ion batteries. Since we do not have significant influence over the operating and financial policies of NOVONIX and the shares we own have a readily determinable fair value, our investment is recorded at fair value at the end of each reporting period. The fair value of our investment is recorded in the “Investments and long-term receivables” line item on our consolidated balance sheet. The change in the fair value of our investment due to fluctuations in NOVONIX’s stock price, or unrealized investment gain (losses), is recorded in the “Other income” line item of our consolidated statement of operations, while changes due to foreign currency fluctuations are recorded in the “Foreign currency transaction (gains) losses” line item on our consolidated statement of operations. At December 31, 2022 and 2021, the fair value of our investment in NOVONIX was $78 million and $520 million, respectively. The fair value of our investment in NOVONIX declined by $442 million during the year ended December 31, 2022, reflecting unrealized investment losses of $433 million and unrealized foreign currency losses of $9 million. The fair value of our investment in NOVONIX increased by $370 million during the year ended December 31, 2021, reflecting unrealized investment gains of $365 million and unrealized foreign currency gains of $5 million. See Note 18—Fair Value Measurements, for additional information regarding the recurring fair value measurement of our investment in NOVONIX.

Related Party Loans
We and our co-venturer have provided member loans to WRB. At December 31, 2022, our share of the outstanding member loan balance was repaid. At December 31, 2021, our 50% share of the outstanding member loan balance, including accrued interest, was $595 million.

Total distributions received from affiliates were $1,832 million, $3,043 million, and $1,717 million for the years ended December 31, 2022, 2021 and 2020, respectively. In addition, at December 31, 2022, retained earnings included approximately $2.9 billion related to the undistributed earnings of affiliated companies.

Summarized 100% financial information for all affiliated companies accounted for under the equity method, on a combined basis, was:

 Millions of Dollars
 202220212020
Revenues$60,981 49,339 30,531 
Income before income taxes7,616 6,346 2,104 
Net income7,414 6,125 1,990 
Current assets7,511 7,866 6,210 
Noncurrent assets46,527 56,040 55,806 
Current liabilities5,592 7,952 5,391 
Noncurrent liabilities11,412 16,906 16,887 
Noncontrolling interests2 3,003 2,997 
See Note 3—DCP Midstream, LLC and Gray Oak Holdings LLC Merger and Note 4—Business Combination, for additional information on the DCP Midstream and Gray Oak Holdings merger and accounting treatment.
v3.22.4
Properties, Plants and Equipment
12 Months Ended
Dec. 31, 2022
Property, Plant and Equipment [Abstract]  
Properties, Plants and Equipment Properties, Plants and Equipment
Our investment in PP&E is recorded at cost. Investments in refining and processing facilities are generally depreciated on a straight-line basis over a 25-year life, pipeline assets over a 45-year life and terminal assets over a 35-year life. The company’s investment in PP&E, with the associated accumulated depreciation and amortization (Accum. D&A), at December 31 was:
 
 Millions of Dollars
 20222021
 Gross
PP&E
Accum.
D&A
Net
PP&E
Gross
PP&E
Accum.
D&A
Net
PP&E
Midstream$25,422 3,524 21,898 12,075 3,000 9,075 
Chemicals   — — — 
Refining24,200 12,523 11,677 24,327 12,581 11,746 
Marketing and Specialties1,800 1,058 742 1,819 1,035 784 
Corporate and Other1,568 722 846 1,576 746 830 
$52,990 17,827 35,163 39,797 17,362 22,435 
See Note 3—DCP Midstream, LLC and Gray Oak Holdings LLC Merger, Note 4—Business Combination and Note 18—Fair Value Measurements, for additional information on the DCP Midstream and Gray Oak Holdings merger, accounting treatment and the associated fair value measurements. See Note 11—Impairments, for information regarding PP&E impairments associated with our Alliance Refinery asset group. See Note 28—Segment Disclosures and Related Information, for information regarding the change in the composition of our operating segments.
v3.22.4
Goodwill and Intangibles
12 Months Ended
Dec. 31, 2022
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Intangibles Goodwill and Intangibles
The carrying amount of goodwill by segment at December 31 was:
 
 Millions of Dollars
 MidstreamMarketing and SpecialtiesTotal
Balance at December 31, 2020$626 799 1,425 
Goodwill assigned to acquisitions— 59 59 
Balance at December 31, 2021626 858 1,484 
Goodwill assigned to acquisitions 2 2 
Balance at December 31, 2022$626 860 1,486 


In December 2021, we acquired a commercial fleet fueling business on the West Coast in our M&S segment and recognized goodwill of $59 million associated with this acquisition.

Intangible Assets
The gross carrying value of indefinite-lived intangible assets at December 31 consisted of the following:
 
Millions of Dollars
 20222021
Trade names and trademarks$503 503 
Refinery air and operating permits200 212 
$703 715 


The net book value of our amortized intangible assets was $128 million and $98 million at December 31, 2022 and 2021, respectively. Acquisitions of amortized intangible assets were not material in 2022 and 2021. For the years ended December 31, 2022, 2021 and 2020, amortization expense was $27 million, $26 million and $27 million, respectively, and is expected to be less than $35 million per year in future years.
v3.22.4
Impairments
12 Months Ended
Dec. 31, 2022
Goodwill and Intangible Assets Disclosure [Abstract]  
Impairments Impairments
Millions of Dollars
 202220212020
Midstream$1 209 1,464 
Refining13 1,288 2,763 
Marketing and Specialties — 
Corporate and Other46 — 25 
Total impairments$60 1,498 4,252 


Equity Investments

Liberty
In the first quarter of 2021, Phillips 66 Partners decided to exit the Liberty Pipeline project in our Midstream segment, which had previously been deferred due to the challenging business environment caused by the COVID-19 pandemic. As a result, Phillips 66 Partners recorded a $198 million before-tax impairment to reduce the book value of its investment in Liberty at March 31, 2021, to estimated fair value.

Red Oak Pipeline LLC (Red Oak)
In the third quarter of 2020, the Red Oak Pipeline project was canceled. As a result, we recorded an $84 million before-tax impairment to reduce the carrying value of our investment to our share of the estimated salvage value of the joint venture’s assets at September 30, 2020.

Other
In the fourth quarter of 2020, Phillips 66 Partners assessed for impairment its equity method investments in two crude oil transportation and terminaling joint ventures, and concluded that the carrying values of these investments at December 31, 2020, were greater than their fair values. Phillips 66 Partners concluded these differences were not temporary, based on its projections of future crude oil production. As a result, Phillips 66 Partners recorded before-tax impairments totaling $96 million.

DCP Midstream
In the first quarter of 2020, the market value of DCP LP common units declined by approximately 85%. As a result, at March 31, 2020, the fair value of our investment in DCP Midstream was significantly lower than its book value. We concluded this difference was not temporary primarily due to its magnitude, and we recorded a $1,161 million before-tax impairment of our investment in the first quarter of 2020.
PP&E and Intangible Assets

Alliance Refinery
In the third quarter of 2021, we identified impairment indicators related to our Alliance Refinery as a result of damages sustained from Hurricane Ida and our reassessment of the role this refinery will play in our refining portfolio. Accordingly, we assessed the refinery asset group for impairment by performing an analysis that considered several usage scenarios, including selling or converting the asset group to an alternative use. Based on our analysis, we concluded that the carrying value of the asset group was not recoverable. As a result, we recorded a $1,298 million before-tax impairment to reduce the carrying value of net PP&E in this asset group to its fair value of approximately $200 million. $1,288 million of the impairment charge was recorded in our Refining segment and $10 million was recorded in our Midstream segment. In the fourth quarter of 2021, we shut down our Alliance Refinery.

San Francisco Refinery
In the third quarter of 2020, we announced a plan to reconfigure our San Francisco Refinery to produce renewable fuels at the Rodeo refining facility in Rodeo, California, starting in early 2024. Consequently, we plan to cease operation of the Santa Maria refining facility in Arroyo Grande, California, certain assets at the Rodeo refining facility, and associated Midstream assets in 2023. We assessed the San Francisco Refinery asset group for impairment and concluded that the carrying value of the asset group was not recoverable. As a result, we recorded a $1,030 million before-tax impairment to reduce the carrying value of the net PP&E and intangible assets in this asset group to its fair value of $940 million. The impairment resulted in a reduction of net PP&E totaling $1,009 million and intangible assets of $21 million. This impairment was primarily related to our Refining segment, with the exception of $120 million that was related to PP&E in our Midstream segment.

Goodwill
Our stock price declined significantly in the first quarter of 2020, mainly due to the disruption in global commodity and equity markets related to the COVID-19 pandemic. We assessed our goodwill for impairment due to the decline in our market capitalization and concluded that the carrying value of our Refining reporting unit at March 31, 2020, was greater than its fair value by an amount in excess of its goodwill balance. Accordingly, we recorded a before-tax goodwill impairment charge of $1,845 million in our Refining segment during the first quarter of 2020.
These impairment charges are included within the “Impairments” line item on our consolidated statement of operations. See Note 18—Fair Value Measurements, for additional information on the determination of fair value used to record these impairments.
v3.22.4
Asset Retirement Obligations and Accrued Environmental Costs
12 Months Ended
Dec. 31, 2022
Asset Retirement Obligation And Accrual For Environmental Cost Disclosure [Abstract]  
Asset Retirement Obligations and Accrued Environmental Costs Asset Retirement Obligations and Accrued Environmental Costs
Asset retirement obligations and accrued environmental costs at December 31 were:
 
 Millions of Dollars
 20222021
Asset retirement obligations$565 395 
Accrued environmental costs434 436 
Total asset retirement obligations and accrued environmental costs999 831 
Asset retirement obligations and accrued environmental costs due within one year*
(120)(104)
Long-term asset retirement obligations and accrued environmental costs$879 727 
* Classified as a current liability on the consolidated balance sheet, under the caption “Other accruals.”


Asset Retirement Obligations
We have asset retirement obligations that we are required to perform under law or contract once an asset is permanently taken out of service. Our recognized asset retirement obligations primarily involve asbestos abatement at our refineries; decommissioning, removal or dismantlement of certain assets at refineries that have or will be shut down; and dismantlement or removal of assets at certain leased international marketing sites. Most of our asset retirement obligations are not expected to be paid until many years in the future and are expected to be funded from general company resources at the time of removal.

During the years ended December 31, 2022 and 2021, our overall asset retirement obligation changed as follows:
 
 Millions of Dollars
 20222021
Balance at January 1$395 309 
Accretion of discount15 14 
New obligations7 22 
Acquisition of DCP Midstream Class A Segment, DCP Sand Hills and DCP
   Southern Hills
168 — 
Changes in estimates of existing obligations17 66 
Spending on existing obligations(32)(12)
Foreign currency translation(5)(4)
Balance at December 31$565 395 


During the year ended December 31, 2022, our asset retirement balance increased $170 million. This increase was primarily due to consolidating DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills after the merger on August 17, 2022. See Note 3—DCP Midstream, LLC and Gray Oak Holdings LLC Merger for additional information on the DCP Midstream and Gray Oak Holdings merger.
Accrued Environmental Costs
Of our total accrued environmental costs at December 31, 2022, $265 million was primarily related to cleanup at domestic refineries and underground storage tanks at U.S. service stations; $119 million was associated with nonoperator sites; and $50 million was related to sites at which we have been named a potentially responsible party under federal or state laws. A large portion of our expected environmental expenditures have been discounted as these obligations were acquired in various business combinations. Expected expenditures for acquired environmental obligations were discounted using a weighted-average discount rate of approximately 5%. At December 31, 2022, the accrued balance for acquired environmental liabilities was $240 million. The expected future undiscounted payments related to the portion of the accrued environmental costs that have been discounted are: $12 million in 2023, $28 million in 2024, $21 million in 2025, $17 million in 2026, $17 million in 2027, and $204 million in the aggregate for all years after 2027.
v3.22.4
Earnings (Loss) Per Share
12 Months Ended
Dec. 31, 2022
Earnings Per Share [Abstract]  
Earnings (Loss) Per Share Earnings (Loss) Per Share
The numerator of basic earnings (loss) per share (EPS) is net income (loss) attributable to Phillips 66, adjusted for noncancelable dividends paid on unvested share-based employee awards during the vesting period (participating securities) and the premium paid for the repurchase of noncontrolling interests. The denominator of basic EPS is the sum of the daily weighted-average number of common shares outstanding during the periods presented and fully vested stock and unit awards that have not yet been issued as common stock. The numerator of diluted EPS is also based on net income (loss) attributable to Phillips 66, which is reduced by dividend equivalents paid on participating securities for which the dividends are more dilutive than the participation of the awards in the earnings (loss) of the periods presented, and the premium paid for the repurchase of noncontrolling interests. To the extent unvested stock, unit or option awards and vested unexercised stock options are dilutive, they are included with the weighted-average common shares outstanding in the denominator. Treasury stock is excluded from the denominator in both basic and diluted EPS.

 202220212020
BasicDilutedBasicDilutedBasicDiluted
Amounts Attributed to Phillips 66 Common Stockholders (millions):
Net income (loss) attributable to Phillips 66$11,024 11,024 1,317 1,317 (3,975)(3,975)
Income allocated to participating securities(10) (9)(9)(8)(8)
Premium paid for the repurchase of noncontrolling
interests
  (2)(2)— — 
Net income (loss) available to common stockholders$11,014 11,024 1,306 1,306 (3,983)(3,983)
Weighted-average common shares outstanding (thousands):
469,436 471,497 437,886 440,028 437,327 439,530 
Effect of share-based compensation2,061 2,234 2,142 336 2,203 — 
Weighted-average common shares outstanding—EPS
471,497 473,731 440,028 440,364 439,530 439,530 
Earnings (Loss) Per Share of Common Stock (dollars)
$23.36 23.27 2.97 2.97 (9.06)(9.06)
v3.22.4
Debt
12 Months Ended
Dec. 31, 2022
Debt Disclosure [Abstract]  
Debt Debt
Short-term and long-term debt at December 31 was:
Millions of Dollars
December 31, 2022December 31, 2021
Phillips 66Phillips 66 CompanyPhillips 66 PartnersDCP LPTotalPhillips 66Phillips 66 PartnersTotal
4.300% Senior Notes due April 2022
$     1,000 — 1,000 
3.875% Senior Notes due March 2023
   500 500 — — — 
3.700% Senior Notes due April 2023
     500 — 500 
0.900% Senior Notes due February 2024
800    800 800 — 800 
2.450% Senior Notes due December 2024
 277 23  300 — 300 300 
3.605% Senior Notes due February 2025
 441 59  500 — 500 500 
3.850% Senior Notes due April 2025
650    650 650 — 650 
5.375% Senior Notes due July 2025
   825 825 — — — 
1.300% Senior Notes due February 2026
500    500 500 — 500 
3.550% Senior Notes due October 2026
 458 34  492 — 500 500 
5.625% Senior Notes due July 2027
   500 500 — — — 
3.750% Senior Notes due March 2028
 427 73  500 — 500 500 
3.900% Senior Notes due March 2028
800    800 800 — 800 
5.125% Senior Notes due May 2029
   600 600 — — — 
3.150% Senior Notes due December 2029
 570 30  600 — 600 600 
8.125% Senior Notes due August 2030
   300 300 — — — 
2.150% Senior Notes due December 2030
850    850 850 — 850 
3.250% Senior Notes due February 2032
   400 400 — — — 
4.650% Senior Notes due November 2034
1,000    1,000 1,000 — 1,000 
6.450% Senior Notes due November 2036
   300 300 — — — 
6.750% Senior Notes due September 2037
   450 450 — — — 
5.875% Senior Notes due May 2042
1,500    1,500 1,500 — 1,500 
5.850% Junior Subordinated Notes due May 2043
   550 550 — — — 
5.600% Senior Notes due April 2044
   400 400 — — — 
4.875% Senior Notes due November 2044
1,700    1,700 1,700 — 1,700 
4.680% Senior Notes due February 2045
 442 8  450 — 450 450 
4.900% Senior Notes due October 2046
 605 20  625 — 625 625 
3.300% Senior Notes due March 2052
1,000    1,000 1,000 — 1,000 
Floating Rate Term Loan due April 2022 at 0.978% at year-end 2021
     — 450 450 
Securitization facility due August 2024   40 40 — — — 
Floating Rate Advance Term Loan due December 2034 at 4.720% and 0.699% at year-end 2022 and 2021, respectively—related party
25    25 25 — 25 
Other1    1 — 
Debt at face value8,826 3,220 247 4,865 17,158 10,326 3,925 14,251 
Finance leases257 290 
Software obligations20 16 
Net unamortized discounts, debt issuance costs and acquisition fair value adjustments(245)(109)
Total debt17,190 14,448 
Short-term debt(529)(1,489)
Long-term debt$16,661 12,959 
Maturities of borrowings outstanding at December 31, 2022, inclusive of net unamortized discounts and debt issuance costs, for each of the years from 2023 through 2027 are $529 million, $1,163 million, $1,991 million, $1,004 million and $505 million, respectively.

2022 Activities

Debt Repayments

In December 2022, Phillips 66 repaid its 3.700% senior notes due April 2023 with an aggregate principal amount of $500 million.

In April 2022, upon maturity, Phillips 66 repaid its 4.300% senior notes with an aggregate principal amount of $1.0 billion and Phillips 66 Partners repaid its $450 million term loan.

DCP Midstream Class A Segment

As a result of the merger of DCP Midstream and Gray Oak Holdings, we recorded the fair value of DCP Midstream Class A Segment’s debt to our consolidated balance sheet as of August 17, 2022. See Note 3—DCP Midstream, LLC and Gray Oak Holdings LLC Merger, Note 4—Business Combination, and Note 18—Fair Value Measurements, for additional information regarding the merger and the associated fair value measurements. All of DCP Midstream Class A Segment’s debt is held by DCP LP. Interest on all of DCP LP’s senior notes and junior subordinated notes is paid on a semi-annual basis.

Debt Exchange

On May 5, 2022, Phillips 66 Company, a wholly owned subsidiary of Phillips 66, completed offers to exchange (the Exchange Offers) all validly tendered notes of seven different series of notes issued by Phillips 66 Partners (collectively, the Old Notes), with an aggregate principal amount of approximately $3.5 billion, for notes issued by Phillips 66 Company (collectively, the New Notes). The New Notes are fully and unconditionally guaranteed by Phillips 66 and rank equally with Phillips 66 Company’s other unsecured and unsubordinated indebtedness, and the guarantees rank equally with Phillips 66’s other unsecured and unsubordinated indebtedness.

Old Notes with an aggregate principal amount of approximately $3.2 billion were tendered in the Exchange Offers. The New Notes have the same interest rates, interest payment dates and maturity dates as the Old Notes. Holders that validly tendered before the end of the early participation period on April 19, 2022 (the Early Participation Date), received New Notes with an aggregate principal amount equivalent to the Old Notes, while holders that validly tendered after the Early Participation Date, but before the Expiration Date, received New Notes with an aggregate principal amount 3% less than the Old Notes. Substantially all of the Old Notes exchanged were tendered during the Early Participation Period.

2021 Activities

In December 2021, Phillips 66 used cash on hand to repay the $450 million outstanding principal balance of its Floating Rate Senior Notes due February 2024. The redemption price of the senior notes was equal to 100% of the principal amount of the senior notes outstanding, plus accrued and unpaid interest.

In November 2021, Phillips 66 closed its public offering of $1 billion aggregate principal amount of 3.300% senior unsecured notes due 2052. Proceeds received from this public offering were $982 million, net of underwriters’ discounts, commissions and issuance costs. In December 2021, Phillips 66 used the proceeds from this offering, together with cash on hand, to repay $1 billion in aggregate principal amount of its $2 billion 4.300% Senior Notes due April 2022.

In September 2021, Phillips 66 repaid the $500 million of outstanding borrowings under the delayed draw term loan facility due November 2023.

In April 2021, Phillips 66 Partners entered into a $450 million term loan agreement with a one-year term and borrowed the full amount. The term loan agreement was repaid upon maturity in April 2022 without premium or penalty.
In April 2021, Phillips 66 Partners repaid $50 million of its tax-exempt bonds upon maturity.

In February 2021, Phillips 66 repaid $500 million outstanding principal balance of its floating-rate senior notes upon maturity.

Credit Facilities and Commercial Paper

Phillips 66 and Phillips 66 Company

On June 23, 2022, we entered into a new $5 billion revolving credit facility (the Facility) with Phillips 66 Company as the borrower and Phillips 66 as the guarantor and a scheduled maturity date of June 22, 2027. The Facility replaced our previous $5 billion revolving credit facility with Phillips 66 as the borrower and Phillips 66 Company as the guarantor. The Facility contains usual and customary covenants that are similar to the previous revolving credit facility, including a maximum consolidated net debt-to-capitalization ratio of 65% as of the last day of each fiscal quarter. We have the option to increase the overall capacity to $6 billion, subject to certain conditions. We also have the option to extend the scheduled maturity of the Facility for up to two additional one-year terms, subject to, among other things, the consent of the lenders holding the majority of the commitments and of each lender extending its commitment. Outstanding borrowings under the Facility bear interest at either (a) the Adjusted Term Secured Overnight Financing Rate (SOFR) (as described in the Facility) in effect from time to time plus the applicable margin; or (b) the reference rate (as described in the Facility) plus the applicable margin. The Facility also provides for customary fees, including commitment fees. The pricing levels for the commitment fees and interest-rate margins are determined based on the ratings in effect for our senior unsecured long-term debt from time to time. We may at any time prepay outstanding borrowings, in whole or in part, without premium or penalty. At December 31, 2022 and 2021, no amount had been drawn under our revolving credit facilities.

Phillips 66 also has a $5 billion uncommitted commercial paper program for short-term working capital needs that is supported by the Facility. Commercial paper maturities are contractually limited to 365 days. At December 31, 2022 and 2021, no borrowings were outstanding under the program.

Phillips 66 Partners

In connection with entering into the Facility, we terminated Phillips 66 Partners’ $750 million revolving credit facility. At December 31, 2021, there were no borrowings outstanding under its revolving credit facility and $1 million in letters of credit had been issued that were supported by its revolving credit facility.

DCP Midstream Class A Segment

DCP LP has a credit facility under its amended credit agreement (the Credit Agreement), with a borrowing capacity of up to $1.4 billion that matures on March 18, 2027. The Credit Agreement grants DCP LP the option to increase the revolving loan commitment by an aggregate principal amount of up to $500 million and to extend the term for up to two additional one-year periods, subject to requisite lender approval. Indebtedness under the Credit Agreement bears interest at either: (a) an adjusted SOFR (as described in the Credit Agreement) plus the applicable margin; or (b) the base rate (as described in the Credit Agreement) plus the applicable margin. The Credit Agreement also provides for customary fees, including commitment fees. The cost of borrowing under the Credit Agreement is determined by a ratings-based pricing grid based on DCP LP’s credit rating. At December 31, 2022, DCP LP had no borrowings outstanding under the Credit Agreement. At December 31, 2022, $10 million in letters of credit had been issued that are supported by the Credit Agreement.

DCP LP has an accounts receivable securitization facility (the Securitization Facility) that provides for up to $350 million of borrowing capacity through August 2024 at an adjusted SOFR and includes an uncommitted option to increase the total commitments under the Securitization Facility by up to an additional $400 million. Under the Securitization Facility, certain of DCP LP’s wholly owned subsidiaries sell or contribute receivables to another of DCP LP’s consolidated subsidiaries, DCP Receivables LLC (DCP Receivables), a bankruptcy-remote special purpose entity created for the sole purpose of the Securitization Facility. At December 31, 2022, $40 million of borrowings were outstanding under the Securitization Facility, which are secured by accounts receivable at DCP Receivables.
After our consolidation of DCP Midstream Class A Segment on August 17, 2022, DCP LP repaid $470 million of borrowing under its accounts receivable securitization and revolving credit facilities that were outstanding on the acquisition date.

Total Committed Capacity Available

At December 31, 2022, we had approximately $6.7 billion of total committed capacity available under the credit facilities described above. At December 31, 2021, we had approximately $5.7 billion of total committed capacity available under our revolving credit facilities.
v3.22.4
Guarantees
12 Months Ended
Dec. 31, 2022
Guarantees [Abstract]  
Guarantees Guarantees
At December 31, 2022, we were liable for certain contingent obligations under various contractual arrangements as described below. We recognize a liability for the fair value of our obligation as a guarantor for newly issued or modified guarantees. Unless the carrying amount of the liability is noted below, we have not recognized a liability either because the guarantees were issued prior to December 31, 2002, or because the fair value of the obligation is immaterial. In addition, unless otherwise stated, we are not currently performing with any significance under the guarantees and expect future performance to be either immaterial or have only a remote chance of occurrence.

Lease Residual Value Guarantees
Under the operating lease agreement for our headquarters facility in Houston, Texas, we have the option, at the end of the lease term in September 2025, to request to renew the lease, purchase the facility or assist the lessor in marketing it for resale. We have a residual value guarantee associated with the operating lease agreement with a maximum potential future exposure of $514 million at December 31, 2022. We also have residual value guarantees associated with railcar and airplane leases with maximum potential future exposures totaling $156 million. These leases have remaining terms of five to nine years.

Guarantees of Joint Venture Obligations
In March 2019, Phillips 66 Partners and its co-venturers in Dakota Access provided a CECU in conjunction with a senior unsecured notes offering. See Note 8—Investments, Loans and Long-Term Receivables, for additional information on Dakota Access and the CECU.

At December 31, 2022, we also had other guarantees outstanding primarily for our portion of certain joint venture debt, which have remaining terms of up to three years. The maximum potential future exposures under these guarantees were approximately $170 million. Payment would be required if a joint venture defaults on its obligations.

Indemnifications
Over the years, we have entered into various agreements to sell ownership interests in certain corporations, joint ventures and assets that gave rise to indemnifications. Agreements associated with these sales include indemnifications for taxes, litigation, environmental liabilities, permits and licenses, employee claims, and real estate tenant defaults. The provisions of these indemnifications vary greatly. The majority of these indemnifications are related to environmental issues, which generally have indefinite terms and potentially unlimited exposure. At December 31, 2022 and 2021, the carrying amount of recorded indemnifications was $137 million and $144 million, respectively.

We amortize the indemnification liability over the relevant time period, if one exists, based on the facts and circumstances surrounding each type of indemnity. In cases where the indemnification term is indefinite, we will reverse the liability when we have information to support the reversal. Although it is reasonably possible future payments may exceed amounts recorded, due to the nature of the indemnifications, it is not possible to make a reasonable estimate of the maximum potential amount of future payments. At December 31, 2022 and 2021, environmental accruals for known contamination of $108 million and $106 million, respectively, were included in the carrying amount of the recorded indemnifications noted above. These environmental accruals were primarily included in the “Asset retirement obligations and accrued environmental costs” line item on our consolidated balance sheet. For additional information about environmental liabilities, see Note 12—Asset Retirement Obligations and Accrued Environmental Costs and Note 16—Contingencies and Commitments.

Indemnification and Release Agreement
In 2012, in connection with our separation from ConocoPhillips, we entered into an Indemnification and Release Agreement. This agreement governs the treatment between ConocoPhillips and us of matters relating to indemnification, insurance, litigation responsibility and management, and litigation document sharing and cooperation arising in connection with the separation. Generally, the agreement provides for cross indemnities principally designed to place financial responsibility for the obligations and liabilities of our business with us and financial responsibility for the obligations and liabilities of ConocoPhillips’ business with ConocoPhillips. The agreement also establishes procedures for handling claims subject to indemnification and related matters.
v3.22.4
Contingencies and Commitments
12 Months Ended
Dec. 31, 2022
Commitments and Contingencies Disclosure [Abstract]  
Contingencies and Commitments Contingencies and Commitments
A number of lawsuits involving a variety of claims that arose in the ordinary course of business have been filed against us or are subject to indemnifications provided by us. We also may be required to remove or mitigate the effects on the environment of the placement, storage, disposal or release of certain chemical, mineral and petroleum substances at various active and inactive sites. We regularly assess the need for financial recognition or disclosure of these contingencies. In the case of all known contingencies (other than those related to income taxes), we accrue a liability when the loss is probable and the amount is reasonably estimable. If a range of amounts can be reasonably estimated and no amount within the range is a better estimate than any other amount, then the minimum of the range is accrued. We do not reduce these liabilities for potential insurance or third-party recoveries. If applicable, we accrue receivables for probable insurance or other third-party recoveries. In the case of income tax-related contingencies, we use a cumulative probability-weighted loss accrual in cases where sustaining a tax position is uncertain. See Note 23—Income Taxes, for additional information about income-tax-related contingencies.

Based on currently available information, we believe it is remote that future costs related to known contingent liability exposures will exceed current accruals by an amount that would have a material adverse impact on our consolidated financial statements. As we learn new facts concerning contingencies, we reassess our position both with respect to accrued liabilities and other potential exposures. Estimates particularly sensitive to future changes include contingent liabilities recorded for environmental remediation, tax and legal matters. Estimated future environmental remediation costs are subject to change due to such factors as the uncertain magnitude of cleanup costs, the unknown time and extent of such remedial actions that may be required, and the determination of our liability in proportion to that of other potentially responsible parties. Estimated future costs related to tax and legal matters are subject to change as events evolve and as additional information becomes available during the administrative and litigation processes.

Environmental
We are subject to international, federal, state and local environmental laws and regulations. When we prepare our consolidated financial statements, we record accruals for environmental liabilities based on management’s best estimates, using information available at the time. We measure estimates and base contingent liabilities on currently available facts, existing technology and presently enacted laws and regulations, taking into account stakeholder and business considerations. When measuring contingent environmental liabilities, we also consider our prior experience in remediation of contaminated sites, other companies’ cleanup experience, and data released by the EPA or other organizations. We consider unasserted claims in our determination of environmental liabilities, and we accrue them in the period they are both probable and reasonably estimable.

Although liability for environmental remediation costs is generally joint and several for federal sites and frequently so for state sites, we are usually only one of many companies alleged to have liability at a particular site. Due to such joint and several liabilities, we could be responsible for all cleanup costs related to any site at which we have been designated as a potentially responsible party. We have been successful to date in sharing cleanup costs with other financially sound companies. Many of the sites for which we are potentially responsible are still under investigation by the EPA or the state agencies concerned. Prior to actual cleanup, those potentially responsible normally assess the site conditions, apportion responsibility and determine the appropriate remediation. In some instances, we may have no liability or may attain a settlement of liability. Where it appears that other potentially responsible parties may be financially unable to bear their proportional share, we consider this inability in estimating our potential liability, and we adjust our accruals accordingly. As a result of various acquisitions in the past, we assumed certain environmental obligations. Some of these environmental obligations are mitigated by indemnifications made by others for our benefit, although some of the indemnifications are subject to dollar and time limits.

We are currently participating in environmental assessments and cleanups at numerous federal Superfund and comparable state sites. After an assessment of environmental exposures for cleanup and other costs, we make accruals on an undiscounted basis (except those pertaining to sites acquired in a business combination, which we record on a discounted basis) for planned investigation and remediation activities for sites where it is probable future costs will be incurred and these costs can be reasonably estimated. We have not reduced these accruals for possible insurance recoveries. In the future, we may be involved in additional environmental assessments, cleanups and proceedings. See Note 12—Asset Retirement Obligations and Accrued Environmental Costs, for a summary of our accrued environmental liabilities.
Legal Proceedings
Our legal organization applies its knowledge, experience and professional judgment to the specific characteristics of our cases, employing a litigation management process to manage and monitor the legal proceedings against us. Our process facilitates the early evaluation and quantification of potential exposures in individual cases and enables the tracking of those cases that have been scheduled for trial and/or mediation. Based on professional judgment and experience in using these litigation management tools and available information about current developments in all our cases, our legal organization regularly assesses the adequacy of current accruals and determines if adjustment of existing accruals, or establishment of new accruals, is required.

Other Contingencies
We have contingent liabilities resulting from throughput agreements with pipeline and processing companies not associated with financing arrangements. Under these agreements, we may be required to provide any such company with additional funds through advances and penalties for fees related to throughput capacity not utilized.

At December 31, 2022, we had performance obligations secured by letters of credit and bank guarantees of $1,134 million related to various purchase and other commitments incident to the ordinary conduct of business.

Long-Term Throughput Agreements and Take-or-Pay Agreements
We have certain throughput agreements and take-or-pay agreements in support of third-party financing arrangements. The agreements typically provide for crude oil transportation to be used in the ordinary course of our business. At December 31, 2022, the estimated aggregate future payments under these agreements were $319 million per year for each year from 2023 through 2027 and $1,013 million in aggregate for all years after 2027. For the years ended December 31, 2022, 2021 and 2020, total payments under these agreements were $323 million, $327 million and $320 million, respectively.
v3.22.4
Derivatives and Financial Instruments
12 Months Ended
Dec. 31, 2022
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivatives and Financial Instruments Derivatives and Financial Instruments
Derivative Instruments
We use financial and commodity-based derivative contracts to manage exposures to fluctuations in commodity prices, interest rates and foreign currency exchange rates, or to capture market opportunities. Because we do not apply hedge accounting for commodity derivative contracts, all realized and unrealized gains and losses from commodity derivative contracts are recognized in our consolidated statement of operations. Gains and losses from derivative contracts held for trading not directly related to our physical business are reported net in the “Other income” line item on our consolidated statement of operations. Cash flows from all our derivative activity for the periods presented appear in the operating section on our consolidated statement of cash flows.

Purchase and sales contracts with firm minimum notional volumes for commodities that are readily convertible to cash are recorded on our consolidated balance sheet as derivatives unless the contracts are eligible for, and we elect, the normal purchases and normal sales exception, whereby the contracts are recorded on an accrual basis. We generally apply the normal purchases and normal sales exception to eligible crude oil, refined petroleum product, NGL, natural gas, renewable feedstock, and power commodity contracts to purchase or sell quantities we expect to use or sell in the normal course of business. All other derivative instruments are recorded at fair value on our consolidated balance sheet. For further information on the fair value of derivatives, see Note 18—Fair Value Measurements.

Commodity Derivative Contracts—We sell into or receive supply from the worldwide crude oil, refined petroleum product, NGL, natural gas, renewable feedstock, and electric power markets, exposing our revenues, purchases, cost of operating activities and cash flows to fluctuations in the prices for these commodities. Generally, our policy is to remain exposed to the market prices of commodities; however, we use futures, forwards, swaps and options in various markets to balance physical systems, meet customer needs, manage price exposures on specific transactions, and do a limited amount of trading not directly related to our physical business, all of which may reduce our exposure to fluctuations in market prices. We also use the market knowledge gained from these activities to capture market opportunities such as moving physical commodities to more profitable locations, storing commodities to capture seasonal or time premiums, and blending commodities to capture quality upgrades.

DCP Midstream Class A Segment
Through DCP LP’s operations, DCP Midstream Class A Segment is exposed to a variety of risks including but not limited to changes in the prices of commodities that DCP LP buys or sells. Effective from the date of the merger, we include DCP LP’s financial instruments in our financial statements. See Note 3—DCP Midstream, LLC and Gray Oak Holdings LLC Merger, for additional information regarding the merger and the associated accounting treatment.
The following table indicates the consolidated balance sheet line items that include the fair values of commodity derivative assets and liabilities. The balances in the following table are presented on a gross basis, before the effects of counterparty and collateral netting. However, we have elected to present our commodity derivative assets and liabilities with the same counterparty on a net basis on our consolidated balance sheet when the legal right of offset exists.

 Millions of Dollars
 December 31, 2022December 31, 2021
Commodity DerivativesEffect of Collateral NettingNet Carrying Value Presented on the Balance SheetCommodity DerivativesEffect of Collateral NettingNet Carrying Value Presented on the Balance Sheet
 AssetsLiabilitiesAssetsLiabilities
Assets
Prepaid expenses and other current assets$1,331 (1,110) 221 99 (20)— 79 
Other assets46 (1) 45 (1)— 
Liabilities
Other accruals471 (750)90 (189)758 (855)49 (48)
Other liabilities and deferred credits12 (35) (23)— (1)— (1)
Total$1,860 (1,896)90 54 860 (877)49 32 


At December 31, 2022, there was $93 million of collateral paid that was not offset on our consolidated balance sheet. At December 31, 2021, there was no material cash collateral received or paid that was not offset on our consolidated balance sheet.

The realized and unrealized gains (losses) incurred from commodity derivatives, and the line items where they appear on our consolidated statement of operations, were:
 
Millions of Dollars
 202220212020
Sales and other operating revenues$(128)(468)436 
Other income79 34 10 
Purchased crude oil and products(348)(313)174 
Net gain (loss) from commodity derivative activity$(397)(747)620 


The following table summarizes our material net exposures resulting from outstanding commodity derivative contracts. These financial and physical derivative contracts are primarily used to manage price exposure on our underlying operations. The underlying exposures may be from nonderivative positions such as inventory volumes. Financial derivative contracts may also offset physical derivative contracts, such as forward purchase and sales contracts. The percentage of our derivative contract volumes expiring within the next 12 months was more than 90% at December 31, 2022 and 2021.
 
Open Position
Long / (Short)
 20222021
Commodity
Crude oil, refined petroleum products, NGL and renewable feedstocks (millions of barrels)
(25)(18)
Natural gas (billions of cubic feet)
(77)— 
Credit Risk from Derivative and Financial Instruments
Financial instruments potentially exposed to concentrations of credit risk consist primarily of trade receivables and derivative contracts.

Our trade receivables result primarily from the sale of products from, or related to, our refinery operations and reflect a broad national and international customer base, which limits our exposure to concentrations of credit risk. The majority of these receivables have payment terms of 30 days or less. We continually monitor this exposure and the creditworthiness of the counterparties and recognize bad debt expense based on a probability assessment of credit loss. Generally, we do not require collateral to limit the exposure to loss; however, we will sometimes use letters of credit, prepayments or master netting arrangements to mitigate credit risk with counterparties that both buy from and sell to us, as these agreements permit the amounts owed by us to others to be offset against amounts owed to us.

The credit risk from our derivative contracts, such as forwards and swaps, derives from the counterparty to the transaction. Individual counterparty exposure is managed within predetermined credit limits and includes the use of cash-call margins when appropriate, thereby reducing the risk of significant nonperformance. We also use futures, swaps and option contracts that have a negligible credit risk because these trades are cleared with an exchange clearinghouse and subject to mandatory margin requirements, typically on a daily basis, until settled.

Certain of our derivative instruments contain provisions that require us to post collateral if the derivative exposure exceeds a threshold amount. We have contracts with fixed threshold amounts and other contracts with variable threshold amounts that are contingent on our credit ratings. The variable threshold amounts typically decline for lower credit ratings, while both the variable and fixed threshold amounts typically revert to zero if our credit ratings fall below investment grade. Cash is the primary collateral in all contracts; however, many contracts also permit us to post letters of credit as collateral.

The aggregate fair values of all derivative instruments with such credit-risk-related contingent features that were in a liability position were immaterial at December 31, 2022 and 2021.
v3.22.4
Fair Value Measurements
12 Months Ended
Dec. 31, 2022
Fair Value Disclosures [Abstract]  
Fair Value Measurements Fair Value Measurements
Recurring Fair Value Measurements
We carry certain assets and liabilities at fair value, which we measure at the reporting date using the price that would be received to sell an asset or paid to transfer a liability (i.e., an exit price), and disclose the quality of these fair values based on the valuation inputs used in these measurements under the following hierarchy:

Level 1: Fair value measured with unadjusted quoted prices from an active market for identical assets or liabilities.
Level 2: Fair value measured either with: (1) adjusted quoted prices from an active market for similar assets or liabilities; or (2) other valuation inputs that are directly or indirectly observable.
Level 3: Fair value measured with unobservable inputs that are significant to the measurement.

We classify the fair value of an asset or liability based on the significance of its observable or unobservable inputs to the measurement. However, the fair value of an asset or liability initially reported as Level 3 will be subsequently reported as Level 2 if the unobservable inputs become inconsequential to its measurement or corroborating market data becomes available. Conversely, an asset or liability initially reported as Level 2 will be subsequently reported as Level 3 if corroborating market data becomes unavailable.

We used the following methods and assumptions to estimate the fair value of financial instruments:

Cash and cash equivalents—The carrying amount reported on our consolidated balance sheet approximates fair value.
Accounts and notes receivableThe carrying amount reported on our consolidated balance sheet approximates fair value.
Derivative instruments—The fair value of our exchange-traded contracts is based on quoted market prices obtained from the New York Mercantile Exchange, the Intercontinental Exchange or other exchanges, and is reported as Level 1 in the fair value hierarchy. When exchange-cleared contracts lack sufficient liquidity, or are valued using either adjusted exchange-provided prices or nonexchange quotes, we classify those contracts as Level 2 or Level 3 based on the degree to which inputs are observable.
Physical commodity forward purchase and sales contracts and over-the-counter (OTC) financial swaps are generally valued using forward quotes provided by brokers and price index developers, such as Platts and Oil Price Information Service. We corroborate these quotes with market data and classify the resulting fair values as Level 2. When forward market prices are not available, we estimate fair value using the forward price of a similar commodity, adjusted for the difference in quality or location. In certain less liquid markets or for longer-term contracts, forward prices are not as readily available. In these circumstances, physical commodity purchase and sales contracts and OTC swaps are valued using internally developed methodologies that consider historical relationships among various commodities that result in management’s best estimate of fair value. We classify these contracts as Level 3. Physical and OTC commodity options are valued using industry-standard models that consider various assumptions, including quoted forward prices for commodities, time value, volatility factors and contractual prices for the underlying instruments, as well as other relevant economic measures. The degree to which these inputs are observable in the forward markets determines whether the options are classified as Level 2 or 3. We use a midmarket pricing convention (the midpoint between bid and ask prices). When appropriate, valuations are adjusted to reflect credit considerations, generally based on available market evidence.
We determine the fair value of interest rate swaps based on observable market valuations for interest rate swaps that have notional amounts, terms and pay and reset frequencies similar to ours.
Rabbi trust assets—These deferred compensation investments are measured at fair value using unadjusted quoted prices available from national securities exchanges and are therefore categorized as Level 1 in the fair value hierarchy.
Investment in NOVONIX—Our investment in NOVONIX is measured at fair value using unadjusted quoted prices available from the Australian Securities Exchange and is therefore categorized as Level 1 in the fair value hierarchy.
Other investments—Includes other marketable securities with observable market prices.
Debt—The carrying amount of our floating-rate debt approximates fair value. The fair value of our fixed-rate debt is estimated primarily based on observable market prices.

The following tables display the fair value hierarchy for our financial assets and liabilities either accounted for or disclosed at fair value on a recurring basis. These values are determined by treating each contract as the fundamental unit of account; therefore, derivative assets and liabilities with the same counterparty are shown on a gross basis in the hierarchy sections of these tables, before the effects of counterparty and collateral netting. The following tables also reflect the effect of netting derivative assets and liabilities with the same counterparty for which we have the legal right of offset and collateral netting.
The carrying values and fair values by hierarchy of our financial assets and liabilities, either carried or disclosed at fair value, including any effects of counterparty and collateral netting, were:

 Millions of Dollars
 December 31, 2022
Fair Value HierarchyTotal Fair Value of Gross Assets & LiabilitiesEffect of Counterparty NettingEffect of Collateral NettingDifference in Carrying Value and Fair ValueNet Carrying Value Presented on the Balance Sheet
 Level 1Level 2Level 3
Commodity Derivative Assets
Exchange-cleared instruments$1,615 130 3 1,748 (1,582)  166 
OTC instruments 7 16 23    23 
Physical forward contracts 86 3 89 (12)  77 
Rabbi trust assets126   126 N/AN/A 126 
Investment in NOVONIX78   78 N/AN/A 78 
Other investments42 1  43 N/AN/A 43 
$1,861 224 22 2,107 (1,594)  513 
Commodity Derivative Liabilities
Exchange-cleared instruments$1,676 164 5 1,845 (1,582)(90) 173 
OTC instruments 9  9    9 
Physical forward contracts 42  42 (12)  30 
Floating-rate debt 65  65 N/AN/A 65 
Fixed-rate debt, excluding finance leases and software obligations 15,871  15,871 N/AN/A977 16,848 
$1,676 16,151 5 17,832 (1,594)(90)977 17,125 


 Millions of Dollars
 December 31, 2021
Fair Value HierarchyTotal Fair Value of Gross Assets & LiabilitiesEffect of Counterparty NettingEffect of Collateral NettingDifference in Carrying Value and Fair ValueNet Carrying Value Presented on the Balance Sheet
 Level 1Level 2Level 3
Commodity Derivative Assets
Exchange-cleared instruments$419 368 — 787 (779)— — 
Physical forward contracts— 73 — 73 — — — 73 
Rabbi trust assets158 — — 158 N/AN/A— 158 
Investment in NOVONIX520 — — 520 N/AN/A— 520 
$1,097 441 — 1,538 (779)— — 759 
Commodity Derivative Liabilities
Exchange-cleared instruments$463 362 — 825 (779)(49)— (3)
OTC instruments— — — — — 
Physical forward contracts— 51 — 51 — — — 51 
Floating-rate debt— 475 — 475 N/AN/A— 475 
Fixed-rate debt, excluding finance leases and software obligations— 15,353 — 15,353 N/AN/A(1,686)13,667 
$463 16,242 — 16,705 (779)(49)(1,686)14,191 


The rabbi trust assets and investment in NOVONIX are recorded in the “Investments and long-term receivables” line item, and floating-rate and fixed-rate debt are recorded in the “Short-term debt” and “Long-term debt” line items on our consolidated balance sheet. See Note 17—Derivatives and Financial Instruments, for information regarding where the assets and liabilities related to our commodity derivatives are recorded on our consolidated balance sheet.
Nonrecurring Fair Value Measurements

Equity Investments

Liberty
In the first quarter of 2021, Phillips 66 Partners wrote down the book value of its investment in Liberty to estimated fair value using a Level 3 nonrecurring fair value measurement. This nonrecurring measurement was based on the estimated fair value of Phillips 66 Partners’ share of the joint venture’s pipeline assets and net working capital at March 31, 2021. See Note 8—Investments, Loans and Long-Term Receivables, for more information regarding Phillips 66 Partners’ transfer of its ownership in Liberty to its co-venturer in April 2021.

Other
In the fourth quarter of 2020, the nonrecurring fair value measurements used by Phillips 66 Partners to impair its equity method investments in two crude oil transportation and terminaling joint ventures were calculated by weighting the results of different economic scenarios using the income approach. The income approach uses a discounted cash flow model that requires various observable and nonobservable inputs, including volumes, rates/tariffs, expenses and discount rates. These valuations resulted in a Level 3 nonrecurring fair value measurement.

DCP Midstream
In the first quarter of 2020, the nonrecurring fair value measurement used to record an impairment of our DCP Midstream investment was the fair value of our share of DCP Midstream’s limited partner interest in DCP LP, which was estimated based on average market prices of DCP LP’s common units for a multi-day trading period encompassing March 31, 2020. This valuation resulted in a Level 2 nonrecurring fair value measurement.

PP&E and Intangible Assets

Alliance Refinery
In the third quarter of 2021, we remeasured the carrying value of the net PP&E of our Alliance Refinery asset group to fair value. The fair value of PP&E was determined using a combination of the income, cost and sales comparison approaches. The income approach used a discounted cash flow model that requires various observable and non-observable inputs, such as commodity prices, margins, operating rates, sales volumes, operating expenses, capital expenditures, terminal-year values and a risk-adjusted discount rate. The cost approach used assumptions for the current replacement costs of similar plant and equipment assets adjusted for estimated physical deterioration, functional obsolescence and economic obsolescence. The sales comparison approach used the value of similar properties recently sold or currently offered for sale. This valuation resulted in a Level 3 nonrecurring fair value measurement.

San Francisco Refinery
In the third quarter of 2020, we remeasured the carrying value of the net PP&E and intangible assets of our San Francisco Refinery asset group to fair value. The estimated fair value of the plants, equipment and intangible assets was determined using a replacement cost approach adjusted, as applicable, for physical deterioration, functional obsolescence and economic obsolescence. The estimated fair value of the properties was determined using a sales comparison approach. This valuation resulted in a Level 3 nonrecurring fair value measurement.

Goodwill
The carrying value of the Refining reporting unit’s goodwill was remeasured to fair value on a nonrecurring basis in the first quarter of 2020.  The fair value of the Refining reporting unit was calculated by weighting the results from the income approach and the market approach.  The income approach used a discounted cash flow model that included various observable and nonobservable inputs, such as prices, volumes, expenses, capital expenditures, discount rates and projected long-term growth rates and terminal values. The market approach used peer company enterprise values relative to current and future net income (loss) before net interest expense, income taxes, depreciation and amortization (EBITDA) projections to arrive at an average multiple.  This multiple was applied to the reporting unit’s current and projected EBITDA, with consideration for an estimated market participant acquisition premium.  The resulting Level 3 fair value estimate was less than the Refining reporting unit’s carrying value by an amount that exceeded the existing goodwill balance of the reporting unit.  As a result, the Refining reporting unit’s goodwill was impaired to zero. As part of our impairment analysis, the fair value of all reporting units was reconciled to the company’s market capitalization.
DCP Midstream and Gray Oak Holdings Merger
In the third quarter of 2022, we and Enbridge agreed to merge DCP Midstream and Gray Oak Holdings with DCP Midstream as the surviving entity. As a result, we began consolidating the financial results of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills, and accordingly, accounted for the business combination using the acquisition method of accounting, which requires DCP Midstream Class A Segment’s, DCP Sand Hills’ and DCP Southern Hills’, assets and liabilities to be recorded at fair value as of the acquisition date on our consolidated balance sheet. See Note 4—Business Combination, for additional information on the merger transaction.

Equity Investments
The preliminary fair value of the investments we acquired that are accounted for under the equity method was $2,198 million. The preliminary fair value of these assets was determined using the income approach. The income approach used discounted cash flow models that require various observable and non-observable inputs, such as margins, tariffs and rates, utilization, volumes, product costs, operating expenses, capital expenditures, terminal-year values and risk-adjusted discount rates. These valuations resulted in Level 3 nonrecurring fair value measurements.

PP&E
The preliminary fair value of PP&E was $12,838 million. The preliminary fair value of these assets was determined primarily using the cost approach. The cost approach used assumptions for the current replacement costs of similar plant and equipment assets adjusted for estimated physical deterioration, functional obsolescence and economic obsolescence. The estimated fair value of properties was determined using a sales comparison approach. These valuations resulted in Level 3 nonrecurring fair value measurements.

Debt
The preliminary fair value of DCP LP’s senior and junior subordinated notes was measured using a market approach, based on the average of quotes for the acquired debt from major financial institutions. These valuations resulted in Level 2 nonrecurring fair value measurements.

Gain Related to Merger of Businesses
In connection with the merger, we recognized before-tax gains totaling $2,831 million from remeasuring our previously held equity investments to their fair values and a before-tax gain of $182 million related to the transfer of a 35.75% indirect economic interest in Gray Oak Pipeline to our co-venturer. The preliminary fair values of our previously held equity interest in DCP Midstream and the equity interest in Gray Oak Pipeline we transferred were primarily based on DCP LP’s publicly traded common unit market price on the effective date of the merger, August 17, 2022, the cash consideration contributed and obligations that were deemed to be effectively settled. This valuation resulted in Level 1 nonrecurring fair value measurements. The preliminary fair values of our previously held equity interests in DCP Sand Hills and DCP Southern Hills were determined using the income approach. The income approach used discounted cash flow models that require various observable and non-observable inputs, such as tariffs, volumes, operating expenses, capital expenditures, terminal-year values and risk-adjusted discount rates. These valuations resulted in Level 3 nonrecurring fair value measurements.

Noncontrolling Interests
As a result of our consolidation of the DCP Midstream Class A Segment, the noncontrolling interests held in the DCP Midstream Class A Segment were recorded at their estimated fair values on the merger date. These noncontrolling interests primarily include Enbridge’s indirect economic interest in DCP LP, the public holders of DCP LP’s common units and the holders of DCP LP’s preferred units. The fair value of the noncontrolling interests in DCP LP’s common units was based on their unit market price as of the date of the merger, August 17, 2022. The fair value of the noncontrolling interests in DCP LP’s publicly traded preferred units was based on their respective market price as of the date of the merger, August 17, 2022. These valuations resulted in Level 1 nonrecurring fair value measurements. The preliminary fair value of the noncontrolling interests in DCP LP’s other preferred units was based on an income approach that used projected distributions that were discounted using an average implied yield of DCP LP’s publicly traded preferred units and expected redemption dates. This valuation resulted in a Level 2 nonrecurring fair value measurement.
v3.22.4
Equity
12 Months Ended
Dec. 31, 2022
Equity [Abstract]  
Equity Equity
Preferred Stock
Phillips 66 has 500 million shares of preferred stock authorized, with a par value of $0.01 per share, none of which have been issued.

Treasury Stock
In March 2020, we announced that we had temporarily suspended our share repurchases to preserve liquidity in response to the global economic disruption caused by the COVID-19 pandemic. We resumed purchasing shares under our share repurchase program in the second quarter of 2022. On November 7, 2022, our Board of Directors approved a $5 billion increase to our share repurchase program. Since July 2012, our Board of Directors has authorized an aggregate of $20 billion of repurchases of our outstanding common stock. The authorizations do not have expiration dates. Future share repurchases are expected to be funded primarily through available cash. We are not obligated to repurchase any shares of common stock pursuant to these authorizations and may commence, suspend or terminate repurchases at any time. In 2022, we repurchased 16.6 million shares at an aggregate cost of $1.5 billion. Since the inception of our share repurchase program in 2012, we have repurchased 175.9 million shares at an aggregate cost of $14 billion. Shares of stock repurchased are held as treasury shares.

Our Board of Directors separately authorized two transactions in 2014 and 2018, which resulted in the repurchase of 52.4 million shares of Phillips 66 common stock with an aggregate value of $4.6 billion.

In March 2022, in connection with the Phillips 66 Partners merger, we issued 41.8 million shares of common stock from our treasury stock with an aggregate cost of $3.4 billion. See Note 30—Phillips 66 Partners LP, for information on the merger with Phillips 66 Partners.

Common Stock Dividends
On February 8, 2023, our Board of Directors declared a quarterly cash dividend of $1.05 per common share, payable March 1, 2023, to holders of record at the close of business on February 21, 2023.

Noncontrolling Interests
In 2022, our noncontrolling interests primarily represented Enbridge’s indirect economic interest in DCP LP, the public holders of DCP LP’s common units and the holders of DCP LP’s preferred units. In 2021, our noncontrolling interests primarily represented the public holders of Phillips 66 Partners’ common units and the holders of Phillips 66 Partners’ preferred units. See Note 30—Phillips 66 Partners LP, for information on the merger with Phillips 66 Partners.
v3.22.4
Leases
12 Months Ended
Dec. 31, 2022
Leases [Abstract]  
Leases Leases
We lease marine vessels, pipelines, storage tanks, railcars, service station sites, office buildings, corporate aircraft, land and other facilities and equipment. In determining whether an agreement contains a lease, we consider our ability to control the asset and whether third-party participation or vendor substitution rights limit our control. Certain leases include escalation clauses for adjusting rental payments to reflect changes in price indices, as well as renewal options and/or options to purchase the leased property. Renewal options have been included only when reasonably certain of exercise. There are no significant restrictions imposed on us in our lease agreements with regards to dividend payments, asset dispositions or borrowing ability. Certain leases have residual value guarantees, which may require additional payments at the end of the lease term if future fair values decline below contractual lease balances.

In our implementation of ASU No. 2016-02, we elected to discount lease obligations using our incremental borrowing rate. Furthermore, we elected to separate costs for lease and service components for contracts involving marine vessels and consignment service stations. For these contracts, we allocate the consideration payable between the lease and service components using the relative standalone prices of each component. For contracts involving all other asset types, we elected the practical expedient to account for the lease and service components on a combined basis. Our right of way agreements in effect prior to January 1, 2019, were not accounted for as leases as they were not initially determined to be leases at their commencement dates. However, modifications to these agreements or new agreements are assessed and accounted for accordingly under ASU No. 2016-02. For short-term leases, which are leases that, at the commencement date, have a lease term of 12 months or less and do not include an option to purchase the underlying asset that is reasonably certain to be exercised, we elected to not recognize the ROU asset and corresponding lease liability on our consolidated balance sheet.

The following table indicates the consolidated balance sheet line items that include the ROU assets and lease liabilities for our finance and operating leases at December 31:

Millions of Dollars
20222021
Finance
Leases
Operating
Leases
Finance
Leases
Operating
Leases
Right-of-Use Assets
Net properties, plants and equipment$259  259 — 
Other assets 995 — 1,050 
Total right-of-use assets$259 995 259 1,050 
Lease Liabilities
Short-term debt$23  33 — 
Other accruals 282 — 343 
Long-term debt234  257 — 
Other liabilities and deferred credits 745 — 725 
Total lease liabilities$257 1,027 290 1,068 
Future minimum lease payments at December 31, 2022, for finance and operating lease liabilities were:
 
Millions of Dollars
Finance
Leases
Operating
Leases
2023$32 317 
202432 234 
202526 177 
202628 120 
202722 89 
Remaining years182 221 
Future minimum lease payments322 1,158 
Amount representing interest or discounts(65)(131)
Total lease liabilities$257 1,027 


Our finance lease liabilities relate primarily to service station consignment agreements with a marketing joint venture and a crude oil terminal in the United Kingdom. The lease liability for the terminal finance lease is subject to foreign currency translation adjustments each reporting period.

Components of net lease cost for the years ended December 31, 2022, 2021 and 2020, were:

Millions of Dollars
202220212020
Finance lease cost
Amortization of right-of-use assets$24 23 21 
Interest on lease liabilities9 10 
Total finance lease cost33 32 31 
Operating lease cost387 461 527 
Short-term lease cost63 104 108 
Variable lease cost19 39 
Sublease income (13)(15)(22)
Total net lease cost$489 585 683 


Cash paid for amounts included in the measurement of our lease liabilities for the years ended December 31, 2022, 2021 and 2020, was:

Millions of Dollars
202220212020
Operating cash outflows—finance leases$11 10 
Operating cash outflows—operating leases392 438 521 
Financing cash outflows—finance leases32 21 17 


During the years ended December 31, 2022, 2021 and 2020, we recorded additional noncash ROU assets and corresponding operating lease liabilities totaling $269 million, $260 million and $363 million, respectively, related to new and modified lease agreements.
At December 31, 2022 and 2021, the weighted-average remaining lease terms and discount rates for our lease liabilities were:

20222021
Weighted-average remaining lease term—finance leases (years)12.513.0
Weighted-average remaining lease term—operating leases (years)5.85.7
Weighted-average discount rate—finance leases3.3 %3.3 
Weighted-average discount rate—operating leases3.8 %3.2 
Leases Leases
We lease marine vessels, pipelines, storage tanks, railcars, service station sites, office buildings, corporate aircraft, land and other facilities and equipment. In determining whether an agreement contains a lease, we consider our ability to control the asset and whether third-party participation or vendor substitution rights limit our control. Certain leases include escalation clauses for adjusting rental payments to reflect changes in price indices, as well as renewal options and/or options to purchase the leased property. Renewal options have been included only when reasonably certain of exercise. There are no significant restrictions imposed on us in our lease agreements with regards to dividend payments, asset dispositions or borrowing ability. Certain leases have residual value guarantees, which may require additional payments at the end of the lease term if future fair values decline below contractual lease balances.

In our implementation of ASU No. 2016-02, we elected to discount lease obligations using our incremental borrowing rate. Furthermore, we elected to separate costs for lease and service components for contracts involving marine vessels and consignment service stations. For these contracts, we allocate the consideration payable between the lease and service components using the relative standalone prices of each component. For contracts involving all other asset types, we elected the practical expedient to account for the lease and service components on a combined basis. Our right of way agreements in effect prior to January 1, 2019, were not accounted for as leases as they were not initially determined to be leases at their commencement dates. However, modifications to these agreements or new agreements are assessed and accounted for accordingly under ASU No. 2016-02. For short-term leases, which are leases that, at the commencement date, have a lease term of 12 months or less and do not include an option to purchase the underlying asset that is reasonably certain to be exercised, we elected to not recognize the ROU asset and corresponding lease liability on our consolidated balance sheet.

The following table indicates the consolidated balance sheet line items that include the ROU assets and lease liabilities for our finance and operating leases at December 31:

Millions of Dollars
20222021
Finance
Leases
Operating
Leases
Finance
Leases
Operating
Leases
Right-of-Use Assets
Net properties, plants and equipment$259  259 — 
Other assets 995 — 1,050 
Total right-of-use assets$259 995 259 1,050 
Lease Liabilities
Short-term debt$23  33 — 
Other accruals 282 — 343 
Long-term debt234  257 — 
Other liabilities and deferred credits 745 — 725 
Total lease liabilities$257 1,027 290 1,068 
Future minimum lease payments at December 31, 2022, for finance and operating lease liabilities were:
 
Millions of Dollars
Finance
Leases
Operating
Leases
2023$32 317 
202432 234 
202526 177 
202628 120 
202722 89 
Remaining years182 221 
Future minimum lease payments322 1,158 
Amount representing interest or discounts(65)(131)
Total lease liabilities$257 1,027 


Our finance lease liabilities relate primarily to service station consignment agreements with a marketing joint venture and a crude oil terminal in the United Kingdom. The lease liability for the terminal finance lease is subject to foreign currency translation adjustments each reporting period.

Components of net lease cost for the years ended December 31, 2022, 2021 and 2020, were:

Millions of Dollars
202220212020
Finance lease cost
Amortization of right-of-use assets$24 23 21 
Interest on lease liabilities9 10 
Total finance lease cost33 32 31 
Operating lease cost387 461 527 
Short-term lease cost63 104 108 
Variable lease cost19 39 
Sublease income (13)(15)(22)
Total net lease cost$489 585 683 


Cash paid for amounts included in the measurement of our lease liabilities for the years ended December 31, 2022, 2021 and 2020, was:

Millions of Dollars
202220212020
Operating cash outflows—finance leases$11 10 
Operating cash outflows—operating leases392 438 521 
Financing cash outflows—finance leases32 21 17 


During the years ended December 31, 2022, 2021 and 2020, we recorded additional noncash ROU assets and corresponding operating lease liabilities totaling $269 million, $260 million and $363 million, respectively, related to new and modified lease agreements.
At December 31, 2022 and 2021, the weighted-average remaining lease terms and discount rates for our lease liabilities were:

20222021
Weighted-average remaining lease term—finance leases (years)12.513.0
Weighted-average remaining lease term—operating leases (years)5.85.7
Weighted-average discount rate—finance leases3.3 %3.3 
Weighted-average discount rate—operating leases3.8 %3.2 
v3.22.4
Pension and Postretirement Plans
12 Months Ended
Dec. 31, 2022
Retirement Benefits [Abstract]  
Pension and Postretirement Plans Pension and Postretirement Plans
The following table provides a reconciliation of the projected benefit obligations and plan assets for our pension plans and accumulated benefit obligations for our other postretirement benefit plans:

 Millions of Dollars
Pension BenefitsOther Benefits
 2022202120222021
U.S.Int’l.U.S.Int’l.
Change in Benefit Obligations
Benefit obligations at January 1$3,033 1,409 3,405 1,480 197 213 
Service cost123 28 146 36 4 
Interest cost100 21 81 19 5 
Plan participant contributions 2 — 6 
Net actuarial gain(528)(502)(82)(37)(37)(13)
Benefits paid(519)(44)(517)(44)(19)(19)
Settlements (101)— —  — 
Foreign currency exchange rate change (138)— (47) — 
Benefit obligations at December 31$2,209 675 3,033 1,409 156 197 
Change in Fair Value of Plan Assets
Fair value of plan assets at January 1$2,547 1,280 2,738 1,212  — 
Actual return on plan assets(375)(329)289 114  — 
Company contributions125 23 37 27 13 13 
Plan participant contributions 2 — 6 
Benefits paid(519)(44)(517)(44)(19)(19)
Settlements (101)— —  — 
Foreign currency exchange rate change (124)— (31) — 
Fair value of plan assets at December 31$1,778 707 2,547 1,280  — 
Funded Status at December 31$(431)32 (486)(129)(156)(197)
Amounts recognized in the consolidated balance sheet for our pension and other postretirement benefit plans at December 31 include:
Millions of Dollars
Pension BenefitsOther Benefits
2022202120222021
U.S.Int’l.U.S.Int’l.
Amounts Recognized in the Consolidated Balance Sheet
Noncurrent assets$ 140 — 51  — 
Current liabilities(50) (25)— (15)(15)
Noncurrent liabilities(381)(108)(461)(180)(141)(182)
Total recognized$(431)32 (486)(129)(156)(197)


Included in accumulated other comprehensive loss at December 31 were the following before-tax amounts that had not been recognized in net periodic benefit cost:

Millions of Dollars
Pension BenefitsOther Benefits
2022202120222021
U.S.Int’l.U.S.Int’l.
Unrecognized net actuarial loss (gain)
$159 (27)251 130 (59)(24)
Unrecognized prior service credit
  — (1) (2)


Other changes in plan assets and benefit obligations recognized in other comprehensive income (loss):

Millions of Dollars
Pension BenefitsOther Benefits
2022202120222021
U.S.Int’l.U.S.Int’l.
Sources of Change in Other Comprehensive Income
Net actuarial gain arising during the period$18 136 211 92 37 13 
Amortization of net actuarial loss (gain) and settlements
74 21 101 25 (2)(1)
Amortization of prior service credit (1)— (1)(2)(2)
Total recognized in other comprehensive income$92 156 312 116 33 10 


The accumulated benefit obligations for all U.S. and international pension plans were $2,055 million and $593 million, respectively, at December 31, 2022, and $2,770 million and $1,236 million, respectively, at December 31, 2021.
Information for U.S. and international pension plans with an accumulated benefit obligation in excess of plan assets at December 31 was:

Millions of Dollars
Pension Benefits
20222021
U.S.Int’l.U.S.Int’l.
Accumulated benefit obligations$2,055 114 2,770 410 
Fair value of plan assets
1,778 13 2,547 248 


Information for U.S. and international pension plans with a projected benefit obligation in excess of plan assets at December 31 was:

Millions of Dollars
Pension Benefits
20222021
U.S.Int’l.U.S.Int’l.
Projected benefit obligations$2,209 121 3,033 428 
Fair value of plan assets
1,778 13 2,547 248 


Components of net periodic benefit cost for all defined benefit plans are presented in the table below:

Millions of Dollars
Pension BenefitsOther Benefits
202220212020202220212020
U.S.Int’l.U.S.Int’l.U.S.Int’l.
Components of Net Periodic Benefit Cost
Service cost$123 28 146 36 138 28 4 
Interest cost100 21 81 19 91 22 5 
Expected return on plan assets
(135)(56)(160)(59)(159)(50) — — 
Amortization of prior service credit (1)— (1)— (1)(2)(2)(2)
Amortization of net actuarial loss (gain)
21 12 46 25 70 16 (2)(1)— 
Settlements
53 9 55 — 61 —  — — 
Net periodic benefit cost*$162 13 168 20 201 15 5 10 
* Included in the “Operating expenses” and “Selling, general and administrative expenses” line items on our consolidated statement of operations.
In determining net periodic benefit cost, we amortize prior service costs on a straight-line basis over the average remaining service period of employees expected to receive benefits under the plan. For net actuarial gains and losses, we amortize 10% of the unamortized balance each year. The amount subject to amortization is determined on a plan-by-plan basis.

The following weighted-average assumptions were used to determine benefit obligations and net periodic benefit costs for years ended December 31:

Pension BenefitsOther Benefits
 2022202120222021
 U.S.Int’l.U.S.Int’l.
Assumptions Used to Determine Benefit Obligations:
Discount rate5.70 %4.64 2.95 1.60 5.70 2.90 
Rate of compensation increase4.30 3.32 4.30 3.05  — 
Interest crediting rate on cash balance plan
3.88  2.05 —  — 
Assumptions Used to Determine Net Periodic Benefit Cost:
Discount rate3.94 %1.65 2.70 1.27 2.90 2.30 
Expected return on plan assets6.50 4.90 6.50 4.86  — 
Rate of compensation increase4.30 3.05 4.27 3.01  — 
Interest crediting rate on cash balance plan
2.59  2.05 —  — 


For both U.S. and international pension plans, the overall expected long-term rate of return is developed from the expected future return of each asset class, weighted by the expected allocation of pension assets to that asset class. We rely on a variety of independent market forecasts in developing the expected rate of return for each class of assets.

For the year ended December 31, 2022, actuarial gains resulted in decreases in our U.S. and international pension benefit obligations of $528 million and $502 million, respectively. For the year ended December 31, 2021, actuarial gains resulted in decreases in our U.S. and international pension benefit obligations of $82 million and $37 million, respectively. The primary driver for the actuarial gains in 2022 and 2021 was increases in the discount rates.

For the year ended December 31, 2022, the weighted-average actual return on plan assets was negative 20%, which resulted in a decrease in our U.S. and international plan assets of $375 million and $329 million, respectively. For the year ended December 31, 2021, the weighted-average actual return on plan assets was 10%, which resulted in an increase in our U.S. and international plan assets of $289 million and $114 million, respectively. The primary driver of the return on plan assets in 2022 and 2021 was fluctuations in the equity and fixed income markets.

Our other postretirement benefit plans for health insurance are contributory. Effective December 31, 2012, we terminated the subsidy for retiree medical plans. Since January 1, 2013, eligible employees have been able to utilize notional amounts credited to an account during their period of service with the company to pay all, or a portion, of their cost to participate in postretirement health insurance. In general, employees hired after December 31, 2012, will not receive credits to an account, but will have unsubsidized access to health insurance through the plan. The cost of health insurance will be adjusted annually by the company’s actuary to reflect actual experience and expected health care cost trends. The measurement of the accumulated benefit obligation assumes a health care cost trend rate of 6.50% in 2023 that declines to 5.00% by 2029.
Plan Assets
The investment strategy for managing pension plan assets is to seek a reasonable rate of return relative to an appropriate level of risk and provide adequate liquidity for benefit payments and portfolio management. We follow a policy of diversifying pension plan assets across asset classes, investment managers, and individual holdings. As a result, our plan assets have no significant concentrations of credit risk. Asset classes that are considered appropriate include equities, fixed income, cash, real estate and infrastructure investments and insurance contracts. Plan fiduciaries may consider and add other asset classes to the investment program from time to time. The target allocations for plan assets are approximately 47% equity securities, 37% debt securities, 8% real estate investments and 8% in all other types of investments as of December 31, 2022. Generally, the investments in the plans are publicly traded, therefore minimizing the liquidity risk in the portfolio.

The following is a description of the valuation methodologies used for the pension plan assets.
 
Fair values of equity securities and government debt securities are based on quoted market prices.

Fair values of corporate debt securities are estimated using recently executed transactions and market price quotations. If there have been no market transactions in a particular fixed income security, its fair value is calculated by pricing models that benchmark the security against other securities with actual market prices.

Fair values of cash and cash equivalents approximate their carrying amounts.

Fair values of insurance contracts are valued at the present value of the future benefit payments owed by the insurance company to the plans’ participants.

Fair values of investments in common/collective trusts and real estate and infrastructure investments are valued at the net asset value (NAV) as a practical expedient. The NAV is based on the underlying net assets owned by the fund and the relative interest of each participating investor in the fair value of the underlying assets. These investments valued at NAV are not classified within the fair value hierarchy, but are presented in the fair value table to permit reconciliation of total plan assets to the amounts presented in the fair value table.

The fair values of our pension plan assets at December 31, by asset class, were:

 Millions of Dollars
U.S.International
 Level 1Level 2Level 3TotalLevel 1Level 2Level 3Total
2022
Equity securities$239   239     
Government debt securities268   268     
Corporate debt securities 89  89     
Cash and cash equivalents19   19 64   64 
Insurance contracts      13 13 
Total assets in the fair value hierarchy
526 89  615 64  13 77 
Common/collective trusts measured at NAV
841 567 
Real estate and infrastructure investments measured at NAV322 63 
Total$526 89  1,778 64  13 707 
 
 Millions of Dollars
U.S.International
 Level 1Level 2Level 3TotalLevel 1Level 2Level 3Total
2021
Equity securities$385 — — 385 — — — — 
Government debt securities427 — — 427 — — — — 
Corporate debt securities
— 131 — 131 — — — — 
Cash and cash equivalents20 — — 20 — — 
Insurance contracts— — — — — — 13 13 
Total assets in the fair value hierarchy
832 131 — 963 — 13 19 
Common/collective trusts measured at NAV
1,266 1,158 
Real estate and infrastructure investments measured at NAV318 103 
Total$832 131 — 2,547 — 13 1,280 


Our funding policy for U.S. plans is to contribute at least the minimum required by the Employee Retirement Income Security Act of 1974 and the Internal Revenue Code of 1986, as amended. Contributions to international plans are subject to local laws and tax regulations. Actual contribution amounts are dependent upon plan asset returns, changes in pension obligations, regulatory environments, and other economic factors. In 2023, we expect to contribute approximately $70 million to our U.S. pension plans and other postretirement benefit plans and $20 million to our international pension plans.

The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid to plan participants in the years indicated:
 
 Millions of Dollars
Pension BenefitsOther Benefits
U.S.Int’l.
2023$266 21 17 
2024218 23 17 
2025217 25 17 
2026220 27 17 
2027231 28 17 
2028-20321,087 170 78 


Defined Contribution Plans
Most U.S. employees are eligible to participate in the Phillips 66 Savings Plan (Savings Plan). Employees can contribute up to 75% of their eligible pay, subject to certain statutory limits, in the Savings Plan to a choice of investment funds. For the year ended December 31, 2022, Phillips 66 provided a company match of participant contributions up to 8% of eligible pay, with an additional Success Share contribution ranging from 0% to 4% of eligible pay based on management discretion. For the years ended December 31, 2021 and 2020, Phillips 66 provided a company match of participant contributions up to 6% of eligible pay, with an additional Success Share contribution ranging from 0% to 6% of eligible pay based on management discretion.

For the years ended December 31, 2022, 2021 and 2020, we recorded expense of $210 million, $142 million and $145 million, respectively, related to our contributions to the Savings Plan.
v3.22.4
Share-Based Compensation Plans
12 Months Ended
Dec. 31, 2022
Share-Based Payment Arrangement [Abstract]  
Share-Based Compensation Plans Share-Based Compensation Plans
Share-based payment awards, including stock options, stock appreciation rights, stock awards (including restricted stock and RSU awards), cash awards, and performance awards, are granted to our employees, nonemployee directors and other plan participants by the Human Resources and Compensation Committee (HRCC) of our Board of Directors under the applicable Omnibus Stock and Performance Incentive Plan of Phillips 66. Prior to May 11, 2022, share-based awards were granted under the 2013 Omnibus Stock and Performance Incentive Plan of Phillips 66 (the 2013 P66 Omnibus Plan). On May 11, 2022, Phillips 66’s shareholders approved the 2022 Omnibus Stock and Performance Incentive Plan of Phillips 66 (the 2022 P66 Omnibus Plan), which replaced the 2013 P66 Omnibus Plan. No future awards will be made under the 2013 P66 Omnibus Plan. As of December 31, 2022, approximately 15 million shares of Phillips 66’s common stock remained available to be issued to settle share-based awards under the 2022 P66 Omnibus Plan.

We recognize share-based compensation expense over the shorter of: (1) the service period (i.e., the stated period of time required to earn the award); or (2) the period beginning at the start of the service period and ending when an employee first becomes eligible for retirement, but not less than six months as this is the minimum period of time required for an award not to be subject to forfeiture. Our equity-classified programs generally provide accelerated vesting (i.e., a waiver of the remaining period of service required to earn an award) for awards held by employees at the time they become eligible for retirement (at age 55 with 5 years of service). We have elected to recognize expense on a straight-line basis over the service period for the entire award, irrespective of whether the award was granted with ratable or cliff vesting, and have elected to recognize forfeitures of awards when they occur.

Total share-based compensation expense recognized in income and the associated income tax benefit for the years ended December 31 were:
 
 Millions of Dollars
 202220212020
Restricted stock units$101 100 91 
Performance share units68 23 17 
Stock options17 19 17 
Other24 
Total share-based compensation expense$210 144 127 
Income tax benefit$(55)(33)(35)
Restricted Stock Units
Generally, RSUs are granted annually under the provisions of the applicable Phillips 66 incentive plan and cliff vest at the end of three years. The grant date fair value is equal to the average of the high and low market price of our stock on the grant date. The recipients receive a quarterly dividend equivalent cash payment until the RSU is settled by issuing one share of our common stock for each RSU at the end of the service period. RSUs granted to retirement-eligible employees are not subject to forfeiture six months after the grant date. Special RSUs are granted to attract or retain key personnel and the terms and conditions may vary by award.

The following table summarizes our RSU activity from January 1, 2022, to December 31, 2022:

Millions of Dollars
Stock UnitsWeighted-Average
Grant-Date
Fair Value
Total Fair Value
Outstanding at January 1, 20223,310,590 $83.20 
Granted1,303,336 88.16 
Forfeited(184,733)83.16 
Issued(1,162,718)90.00 $102 
Outstanding at December 31, 20223,266,475 $82.76 
Not Vested at December 31, 20222,250,626 $82.49 


At December 31, 2022, the remaining unrecognized compensation cost from unvested RSU awards was $75 million, which will be recognized over a weighted-average period of 21 months, the longest period being 35 months.

During 2021 and 2020, we granted RSUs with a weighted-average grant-date fair value of $75.91 and $83.48, respectively. During 2021 and 2020, we issued shares with an aggregate fair value of $61 million and $69 million, respectively, to settle RSUs.

Performance Share Units
Under the applicable Phillips 66 incentive plan, senior management is annually awarded restricted performance share units (PSUs) with three-year performance periods. These awards vest when the HRCC approves the three-year performance results, which represents the grant date. PSUs granted under Phillips 66’s incentive plans are classified as liability awards and compensation expense is recognized beginning on the authorization date and ending on the vesting date.

PSUs granted under the applicable Phillips 66 incentive plan are settled by cash payments equal to the fair value of the awards, which is based on the market prices of our stock near the end of the performance periods. The HRCC must approve the three-year performance results prior to payout. Dividend equivalents are not paid on these awards.

PSUs granted under prior incentive compensation plans were classified as equity awards. These equity awards are settled upon an employee’s retirement by issuing one share of our common stock for each PSU held. Dividend equivalents are paid on these awards.
The following table summarizes our PSU activity from January 1, 2022, to December 31, 2022:
 
Millions of Dollars
Performance
Share Units
Weighted-Average
Grant-Date 
Fair Value
Total Fair Value
Outstanding at January 1, 2022811,786 $37.90 
Granted245,957 71.82 
Forfeited  
Issued(108,617)33.81 $9 
Cash settled(245,957)71.82 18 
Outstanding at December 31, 2022703,169 $38.54 
Not Vested at December 31, 2022 $ 


At December 31, 2022, there was no remaining unrecognized compensation cost from unvested PSU awards.

During 2021 and 2020, we granted PSUs with a weighted-average grant-date fair value of $68.18 and $112.73, respectively. During 2021 and 2020, we issued shares with an aggregate fair value of $12 million and $41 million, respectively, to settle PSUs. During 2021 and 2020, we cash settled PSUs with an aggregate fair value of $27 million and $63 million, respectively.

Stock Options
Stock options granted under the provisions of the applicable Phillips 66 incentive plan and earlier plans permit purchases of our common stock at exercise prices equivalent to the average of the high and low market price of our stock on the date the options were granted. The options have terms of 10 years and vest ratably, with one-third of the options becoming exercisable on each anniversary date for the three years following the date of grant. Options awarded to employees eligible for retirement are not subject to forfeiture six months after the grant date.

The following table summarizes our stock option activity from January 1, 2022, to December 31, 2022:

Millions of Dollars 
OptionsWeighted-Average
Exercise Price
Weighted-Average
Grant-Date
Fair Value
 Aggregate
Intrinsic Value
Outstanding at January 1, 20226,264,206 $81.25 
Granted1,043,300 88.89 $17.02 
Forfeited(28,123)86.19 
Exercised(1,436,468)71.57 $42 
Outstanding at December 31, 20225,842,915 $84.97 
Vested at December 31, 20225,291,211 $85.09 $101 
Exercisable at December 31, 20223,534,630 $86.08 $64 
The weighted-average remaining contractual terms of vested options and exercisable options at December 31, 2022, were 6.47 years and 5.5 years, respectively. During 2022, we received $103 million in cash and realized an income tax benefit of $8 million from the exercise of options. At December 31, 2022, the remaining unrecognized compensation expense from unvested options was $5 million, which will be recognized over a weighted-average period of 22 months, the longest period being 30 months.

During 2021 and 2020, we granted options with a weighted-average grant-date fair value of $12.06 and $15.80, respectively. During 2021 and 2020, employees exercised options with an aggregate intrinsic value of $24 million and $21 million, respectively.

The following table provides the significant assumptions used to calculate the grant-date fair values of options granted over the years shown below, as calculated using the Black-Scholes-Merton option-pricing model:
 
202220212020
Risk-free interest rate1.97 %0.93 1.58 
Dividend yield5.10 %5.30 3.20 
Volatility factor33.67 %32.11 25.23 
Expected life (years)6.616.766.96


We calculate the volatility factor using historical Phillips 66 end-of-week closing stock prices. We periodically calculate the average period of time elapsed between grant dates and exercise dates of past grants to estimate the expected life of new option grants.

Other
Other share-based compensation expense is primarily associated with the consolidation of DCP Midstream Class A Segment following the August 18, 2022, merger of DCP Midstream and Gray Oak Holdings. Under DCP Midstream Class A Segment’s Long-Term Incentive Plan, phantom units, performance units and distribution equivalent rights are rewarded to key employees. Equity-based compensation expense was $23 million for the period from August 18, 2022, through December 31, 2022. At December 31, 2022, the remaining unrecognized compensation cost was $15 million, which will be recognized over a weighted-average period of 19 months, with the longest period being 33 months.
See Note 3—DCP Midstream, LLC and Gray Oak Holdings LLC Merger and Note 4—Business Combination for additional information regarding the merger and associated accounting treatment.
v3.22.4
Income Taxes
12 Months Ended
Dec. 31, 2022
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
Components of income tax expense (benefit) were:
 Millions of Dollars
 202220212020
Income Tax Expense (Benefit)
Federal
Current$1,263 363 (1,324)
Deferred1,171 (85)171 
Foreign
Current492 50 
Deferred(109)(39)67 
State and local
Current173 (61)
Deferred258 (148)(112)
$3,248 146 (1,250)


During the year ended December 31, 2020, in accordance with the Coronavirus Aid, Relief, and Economic Security (CARES) Act, we recorded a tax benefit reflecting the carryback of a significant portion of our 2020 net operating loss to a year that had a 35% federal statutory income tax rate.

On August 16, 2022, the U.S. government enacted the Inflation Reduction Act of 2022 (IRA) that includes, among other provisions, changes to the U.S. corporate income tax system, including a 15% minimum tax based on adjusted financial statement income as defined in the IRA, which is effective after December 31, 2022. We are continuing to evaluate the IRA and its requirements, as well as the application to our business.
Deferred income taxes reflect the net tax effect of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for tax purposes. Major components of deferred tax liabilities and assets at December 31 were:

 Millions of Dollars
 20222021
Deferred Tax Liabilities
Properties, plants and equipment, and intangibles$3,309 3,135 
Investment in joint ventures1,854 2,065 
Investment in subsidiaries1,974 969 
Other238 267 
Total deferred tax liabilities7,375 6,436 
Deferred Tax Assets
Benefit plan accruals307 431 
Loss and credit carryforwards 113 173 
Asset retirement obligations and accrued environmental costs137 120 
Other financial accruals and deferrals51 82 
Inventory62 — 
Other220 262 
Total deferred tax assets890 1,068 
Less: valuation allowance97 74 
Net deferred tax assets793 994 
Net deferred tax liabilities$6,582 5,442 


At December 31, 2022, the loss and credit carryforward deferred tax assets were primarily related to a foreign tax credit carryforward in the United States of $90 million; a state tax net operating loss carryforward of $16 million; and a capital loss and net operating loss carryforwards in the United Kingdom of $6 million. State net operating loss carryforwards begin to expire in 2040. Foreign tax credit carryforwards, which have a full valuation allowance against them, begin to expire in 2029. The other loss and credit carryforwards, all of which relate to foreign operations, and have a full valuation allowance against them, have indefinite lives.

Valuation allowances have been established to reduce deferred tax assets to an amount that will, more likely than not, be realized. During the year ended December 31, 2022, our total valuation allowance balance increased by $23 million. Based on our historical taxable income, expectations for the future and available tax planning strategies, management expects the remaining net deferred tax assets will be realized as offsets to reversing deferred tax liabilities and the tax consequences of future taxable income.

Earnings of our foreign subsidiaries and foreign joint ventures after December 31, 2017, are generally not subject to incremental income taxes in the United States or withholding taxes in foreign countries upon repatriation. As such, we only assert that the earnings of one of our foreign subsidiaries are permanently reinvested. At December 31, 2022 and 2021, the unrecorded deferred tax liability related to the undistributed earnings of this foreign subsidiary was not material.
We file tax returns in the U.S. federal jurisdiction and in many foreign and state jurisdictions. Unrecognized tax benefits reflect the difference between positions taken on income tax returns and the amounts recognized in the financial statements. The following table is a reconciliation of the changes in our unrecognized income tax benefits balance:

 Millions of Dollars
 202220212020
Balance at January 1$54 56 40 
Additions for tax positions of current year1 — — 
Additions for tax positions of prior years2 — 44 
Reductions for tax positions of prior years(3)(2)(28)
Balance at December 31$54 54 56 


Included in the balance of unrecognized income tax benefits at December 31, 2022, 2021 and 2020, were $37 million, $35 million and $37 million, respectively, which, if recognized, would affect our effective income tax rate. With respect to various unrecognized income tax benefits and the related accrued liabilities, we do not expect any to be recognized or paid within the next twelve months.

At December 31, 2022, 2021 and 2020, accrued liabilities for interest and penalties, net of accrued income taxes, totaled $7 million, $6 million and $5 million, respectively. These accruals decreased our results by $3 million for each of the years ended December 31, 2022, 2021 and 2020.

Audits in significant jurisdictions are generally complete as follows: United Kingdom (2020), Germany (2017) and United States (2013). Certain issues remain in dispute for audited years, and unrecognized income tax benefits for years still subject to or currently undergoing an audit are subject to change. As a consequence, the balance in unrecognized income tax benefits can be expected to fluctuate from period to period. Although it is reasonably possible such changes could be significant when compared with our total unrecognized income tax benefits, the amount of change is not estimable.
The amounts of U.S. and foreign income (loss) before income taxes, with a reconciliation of income tax at the federal statutory rate to the recorded income tax expense (benefit), were:
 
 Millions of DollarsPercentage of
Income (Loss) Before Income Taxes
 202220212020202220212020
Income (loss) before income taxes
United States$12,628 1,737 (5,292)86.3 %99.8 106.6 
Foreign2,011 328 13.7 0.2 (6.6)
$14,639 1,740 (4,964)100.0 %100.0 100.0 
Federal statutory income tax$3,074 365 (1,043)21.0 %21.0 21.0 
State income tax, net of federal income tax benefit341 (65)(139)2.3 (3.7)2.8 
Net operating loss carryback — (398) — 8.0 
Goodwill impairment — 387  — (7.8)
Noncontrolling interests(74)(57)(54)(0.5)(3.3)1.1 
Non-taxable equity earnings(33)(53)(18)(0.2)(3.0)0.4 
Tax law changes(25)(26)— (0.2)(1.5)— 
Other*(35)(18)15 (0.2)(1.1)(0.3)
$3,248 146 (1,250)22.2 %8.4 25.2 
* Other includes individually immaterial items but is primarily attributable to foreign operations and change in valuation allowance.


For the year ended December 31, 2021, state income tax, net of federal income tax benefit, includes a $58 million benefit, primarily to reflect the impact of updated apportionment factors.

There is $323 million income tax benefit reflected for the year ended December 31, 2022 in “Capital in Excess of Par” in the consolidated statement of changes in equity. There is no income tax reflected in “Capital in Excess of Par” for the year ended December 31, 2021, and income tax benefit of $1 million for the year ended December 31, 2020, is reflected in “Capital in Excess of Par.”
v3.22.4
Accumulated Other Comprehensive Loss
12 Months Ended
Dec. 31, 2022
Equity [Abstract]  
Accumulated Other Comprehensive Loss Accumulated Other Comprehensive Loss
Changes in the balances of each component of accumulated other comprehensive loss were as follows:

 Millions of Dollars
 Defined
Benefit
Plans
Foreign
Currency
Translation
HedgingAccumulated
Other
Comprehensive Loss
December 31, 2019$(656)(131)(1)(788)
Other comprehensive income (loss) before reclassifications(262)151 (110)
Amounts reclassified from accumulated other comprehensive loss
Defined benefit plans*
Amortization of net actuarial loss, prior service credit and settlements109 — — 109 
Foreign currency translation— — — — 
Hedging— — (5)(5)
Net current period other comprehensive income (loss)(153)151 (4)(6)
Other— — 
December 31, 2020(809)25 (5)(789)
Other comprehensive income (loss) before reclassifications318 (70)250 
Amounts reclassified from accumulated other comprehensive loss
Defined benefit plans*
Amortization of net actuarial loss, prior service credit and settlements93 — — 93 
Foreign currency translation— — — — 
Hedging— — 
Net current period other comprehensive income (loss)411 (70)344 
December 31, 2021(398)(45)(2)(445)
Other comprehensive income (loss) before reclassifications204 (291) (87)
Amounts reclassified from accumulated other comprehensive loss
Defined benefit plans*
Amortization of net actuarial loss, prior service credit and settlements72   72 
Foreign currency translation    
Hedging    
Net current period other comprehensive income (loss)276 (291) (15)
December 31, 2022$(122)(336)(2)(460)
* Included in the computation of net periodic benefit cost. See Note 21—Pension and Postretirement Plans, for additional information.
v3.22.4
Cash Flow Information
12 Months Ended
Dec. 31, 2022
Supplemental Cash Flow Information [Abstract]  
Cash Flow Information Cash Flow Information
Supplemental Cash Flow Information
Millions of Dollars
202220212020
Cash Payments (Receipts)
Interest$572 549 478 
Income taxes*2,071 (1,065)103 
* 2021 reflects a net cash refund position. Cash payments for income taxes were $110 million in 2021.
v3.22.4
Other Financial Information
12 Months Ended
Dec. 31, 2022
Other Income and Expenses [Abstract]  
Other Financial Information Other Financial Information
 
 Millions of Dollars
 202220212020
Interest and Debt Expense
Incurred
Debt
$611 567 550 
Other
41 41 24 
652 608 574 
Capitalized(33)(27)(75)
Expensed$619 581 499 
Other Income
Interest income$82 11 14 
Unrealized investment gain (loss)—NOVONIX(433)365 — 
Gain related to merger of businesses3,013 — — 
Other, net*75 78 52 
$2,737 454 66 
* Includes derivatives-related activities. See Note 17—Derivatives and Financial Instruments, for additional information.
Research and Development Expenses$42 47 48 
Advertising Expenses$56 52 51 
Foreign Currency Transaction (Gains) Losses
Midstream$9 (5)— 
Chemicals — — 
Refining(7)
Marketing and Specialties(10)— — 
Corporate and Other(1)
$(9)12 
v3.22.4
Related Party Transactions
12 Months Ended
Dec. 31, 2022
Related Party Transactions [Abstract]  
Related Party Transactions Related Party Transactions
Significant transactions with related parties were:
 
 Millions of Dollars
 202220212020
Operating revenues and other income (a)(d)$6,111 3,759 1,932 
Purchases (b)(d)21,244 14,645 6,536 
Operating expenses and selling, general and administrative expenses (c)281 284 247 


(a)We sold NGL, other petrochemical feedstocks and solvents to CPChem, NGL and certain feedstocks to DCP Midstream, gas oil and hydrogen feedstocks to Excel Paralubes LLC (Excel Paralubes), and refined petroleum products to several of our equity affiliates in the M&S segment, including OnCue and CF United. We also sold certain feedstocks and intermediate products to WRB and acted as an agent for WRB in supplying crude oil and other feedstocks for a fee. In addition, we charged several of our equity affiliates, including CPChem, for the use of common facilities, such as steam generators, waste and water treaters and warehouse facilities.

(b)We purchased crude oil, refined petroleum products, NGL and solvents from WRB. We also purchased natural gas and NGL from DCP Midstream and CPChem, as well as other feedstocks from various equity affiliates, for use in our refinery and fractionation processes. In addition, we purchased base oils and fuel products from Excel Paralubes for use in our specialty and refining businesses. We paid NGL fractionation fees to CPChem. We also paid fees to various pipeline equity affiliates for transporting crude oil, refined petroleum products and NGL.

(c)We paid consignment fees to CF United, and utility and processing fees to various equity affiliates.

(d)As a result of the DCP Midstream and Gray Oak Holdings merger, we began consolidating DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills. As a result, transactions with these parties after August 17, 2022, are not presented in the table above.
v3.22.4
Segment Disclosures and Related Information
12 Months Ended
Dec. 31, 2022
Segment Reporting [Abstract]  
Segment Disclosures and Related Information Segment Disclosures and Related Information
Effective October 1, 2022, we changed the organizational structure of the internal financial information reviewed by our President and Chief Executive Officer, and determined this resulted in a change in the composition of our operating segments. As part of the realignment, we moved the results and net assets of our Merey Sweeny vacuum distillation and delayed coker units at our Sweeny Refinery and the isomerization unit at our Lake Charles Refinery from our Midstream segment to our Refining segment. Additionally, commissions charged to the Refining segment by the M&S segment related to sales of specialty products were eliminated and the costs of the sales organization were reclassified from the M&S segment to the Refining segment.

The segment realignment is presented for the year ended December 31, 2022, with prior periods recast for comparability.

Our operating segments are:

1)Midstream—Provides crude oil and refined petroleum product transportation, terminaling and processing services, as well as natural gas and NGL transportation, storage, fractionation, gathering, processing and marketing services, mainly in the United States. As a result of the merger on August 17, 2022, we began consolidating DCP Midstream Class A Segment; DCP Sand Hills and DCP Southern Hills. On March 9, 2022, we also completed a merger between us and Phillips 66 Partners. See Note 3—DCP Midstream, LLC and Gray Oak Holdings LLC Merger and Note 30—Phillips 66 Partners LP for additional information on these transactions. This segment also includes our 16% investment in NOVONIX.

2)Chemicals—Consists of our 50% equity investment in CPChem, which manufactures and markets petrochemicals and plastics on a worldwide basis.

3)Refining—Refines crude oil and other feedstocks into petroleum products, such as gasoline, distillates and aviation fuels, as well as renewable fuels, at 12 refineries in the United States and Europe.

4)Marketing and Specialties—Purchases for resale and markets refined petroleum products and renewable fuels, mainly in the United States and Europe. In addition, this segment includes the manufacturing and marketing of base oils and lubricants.

Corporate and Other includes general corporate overhead, interest expense, our investment in research of new technologies and various other corporate activities. Corporate assets include all cash, cash equivalents and income tax-related assets. Corporate and Other also includes restructuring costs related to our business transformation. See Note 31—Restructuring for additional information regarding restructuring costs.

Intersegment sales are at prices that we believe approximate market.
Analysis of Results by Operating Segment
 Millions of Dollars
 202220212020
Sales and Other Operating Revenues*
Midstream
Total sales$19,121 11,714 5,855 
Intersegment eliminations(2,932)(2,901)(1,681)
Total Midstream16,189 8,813 4,174 
Chemicals 
Refining
Total sales112,725 75,096 42,181 
Intersegment eliminations(71,127)(46,122)(24,151)
Total Refining41,598 28,974 18,030 
Marketing and Specialties
Total sales115,622 75,583 43,130 
Intersegment eliminations(3,453)(1,929)(1,238)
Total Marketing and Specialties112,169 73,654 41,892 
Corporate and Other34 32 30 
Consolidated sales and other operating revenues$169,990 111,476 64,129 
* See Note 5—Sales and Other Operating Revenues, for further details on our disaggregated sales and other operating revenues.
Equity in Earnings (Losses) of Affiliates
Midstream$916 877 761 
Chemicals842 1,832 625 
Refining747 (184)(376)
Marketing and Specialties463 379 181 
Corporate and Other — — 
Consolidated equity in earnings of affiliates$2,968 2,904 1,191 
Depreciation, Amortization and Impairments*
Midstream$569 634 1,778 
Chemicals — — 
Refining879 2,272 3,659 
Marketing and Specialties110 114 103 
Corporate and Other131 83 107 
Consolidated depreciation, amortization and impairments$1,689 3,103 5,647 
* See Note 11—Impairments, for further details on impairments by segment.
 Millions of Dollars
 202220212020
Interest Income and Expense
Interest income
Corporate and Other$82 11 14 
Interest and debt expense
Corporate and Other$619 581 499 
Income (Loss) Before Income Taxes
Midstream$4,734 1,500 (116)
Chemicals856 1,844 635 
Refining7,816 (2,353)(6,023)
Marketing and Specialties2,402 1,723 1,421 
Corporate and Other(1,169)(974)(881)
Consolidated income (loss) before income taxes$14,639 1,740 (4,964)
Investments In and Advances To Affiliates
Midstream$4,271 3,978 4,255 
Chemicals6,785 6,369 6,126 
Refining2,484 2,340 2,202 
Marketing and Specialties883 750 744 
Corporate and Other2 — 
Consolidated investments in and advances to affiliates$14,425 13,439 13,327 
Total Assets
Midstream$30,273 15,546 15,196 
Chemicals6,785 6,453 6,183 
Refining21,581 20,338 20,804 
Marketing and Specialties9,939 8,505 7,180 
Corporate and Other7,864 4,752 5,358 
Consolidated total assets$76,442 55,594 54,721 
 Millions of Dollars
 202220212020
Capital Expenditures and Investments
Midstream$1,043 733 1,735 
Chemicals — — 
Refining928 784 828 
Marketing and Specialties89 202 173 
Corporate and Other134 141 184 
Consolidated capital expenditures and investments$2,194 1,860 2,920 


Geographic Information

Long-lived assets, defined as net PP&E plus investments and long-term receivables, by geographic location at December 31 were: 

 Millions of Dollars
 202220212020
United States$48,286 34,882 35,273 
United Kingdom1,349 1,323 1,313 
Germany391 605 653 
Other foreign countries87 96 101 
Worldwide consolidated$50,113 36,906 37,340 
v3.22.4
DCP Midstream Class A Segment
12 Months Ended
Dec. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
DCP Midstream Class A Segment DCP Midstream Class A Segment
DCP Midstream Class A Segment is a VIE and we are the primary beneficiary. DCP Midstream Class A Segment is comprised of the businesses, activities, assets and liabilities of DCP LP and its subsidiaries and its general partner entities. Refer to Note 3—DCP Midstream, LLC and Gray Oak Holdings LLC Merger and Note 4—Business Combination, for more details on the DCP Midstream and Gray Oak Holdings merger transaction and related accounting.

DCP LP, headquartered in Denver, Colorado, is a publicly traded MLP whose operations currently include producing and fractionating NGL, gathering, compressing, treating and processing natural gas; recovering condensate; and transporting, trading, marketing and storing natural gas and NGL.

As a result of our consolidation of DCP Midstream Class A Segment, the public common and preferred unitholders’ ownership interests and Enbridge’s indirect economic interest in DCP LP are reflected as noncontrolling interests in our consolidated financial statements. At December 31, 2022, we held a 43.31% indirect economic interest in DCP LP.
The most significant assets of DCP Midstream Class A Segment that are available to settle only its obligations, along with its most significant liabilities for which its creditors do not have recourse to Phillips 66’s general credit, were:

Millions of Dollars
December 31, 2022
Accounts receivable, trade*$988 
Net properties, plants and equipment9,297 
Investments in unconsolidated affiliates**2,161 
Accounts payable1,239 
Short-term debt504 
Long-term debt4,248 
* Included in the “Accounts and notes receivable” line item on the Phillips 66 consolidated balance sheet.
** Included in the “Investments and long-term receivables” line item on the Phillips 66 consolidated balance sheet.


Preferred Units
DCP LP’s preferred units rank senior to its common units with respect to distribution rights and rights upon liquidations. Holders of DCP LP’s preferred units have no voting rights except for certain limited protective voting rights. Distributions on the preferred units are payable out of DCP LP’s available cash, are accretive and are cumulative from the date of original issuance of the preferred units.

DCP LP redeemed its Series A preferred units with an aggregate liquidation preference of $500 million in December 2022.

Distributions on the Series B preferred units are payable quarterly in arrears in March, June, September and December of each year. Distributions on the Series C preferred units are payable quarterly in arrears in January, April, July and October of each year. Since August 18, 2022, DCP LP made cash distributions of $19 million to Series A preferred unitholders, $6 million to Series B preferred unitholders and $2 million to Series C preferred unitholders.

As of December 31, 2022, DCP LP had 6,450,000 Series B preferred units outstanding with an aggregate liquidation preference of approximately $161 million and 4,400,000 Series C preferred units outstanding with an aggregate liquidation preference of $110 million. The Series B and C preferred units are publicly traded.

Common Units
As of December 31, 2022, DCP LP had approximately 208 million of common units outstanding, of which approximately 90 million were publicly held. In addition, Enbridge holds a 23.36% economic interest in the approximately 118 million common units held by DCP Midstream Class A Segment. Since August 18, 2022, DCP LP made cash distributions of $51 million to common unit holders other than Phillips 66.

DCP LP Public Common Unit Acquisition Agreement
On January 5, 2023, we entered into a definitive agreement with DCP LP, its subsidiaries and its general partner entities, pursuant to which one of our wholly owned subsidiaries will merge with and into DCP LP, with DCP LP surviving as a Delaware limited partnership. Under the terms of the agreement, at the effective time of the merger, each publicly held common unit representing a limited partner interest in DCP LP (other than the common units owned by DCP LP and DCP Midstream GP, LP) issued and outstanding as of immediately prior to the effective time will be converted into the right to receive $41.75 per common unit in cash, without interest. The merger will increase our economic interest in DCP LP from 43.31% to 86.8%. The transaction is expected to close in the second quarter of 2023, subject to customary closing conditions.

If the merger is successfully completed, we will pay approximately $3.8 billion in cash consideration, which we expect to fund through a combination of cash generated from operating activities and debt.
The transaction was unanimously approved by the board of the general partner of DCP LP, based on the unanimous approval and recommendation of its special committee comprised entirely of independent directors after evaluation of the transaction by the special committee in consultation with independent financial and legal advisors. Concurrently with the execution of the agreement, affiliates of Phillips 66, which together own greater than a majority of the outstanding DCP LP common units, delivered their consent to approve the transaction. As a result, DCP LP has not solicited and is not soliciting approval of the transaction by any other holders of DCP LP common units.
v3.22.4
Phillips 66 Partners LP
12 Months Ended
Dec. 31, 2022
Limited Liability Company or Limited Partnership, Business Organization and Operations [Abstract]  
Phillips 66 Partners LP Phillips 66 Partners LP
On March 9, 2022, we completed a merger between us and Phillips 66 Partners. The merger resulted in the acquisition of all limited partnership interests in Phillips 66 Partners not already owned by us in exchange for 41.8 million shares of Phillips 66 common stock issued from treasury stock. Phillips 66 Partners common unitholders received 0.50 shares of Phillips 66 common stock for each outstanding Phillips 66 Partners common unit. Phillips 66 Partners’ perpetual convertible preferred units were converted into common units at a premium to the original issuance price prior to being exchanged for Phillips 66 common stock. Upon closing, Phillips 66 Partners became a wholly owned subsidiary of Phillips 66 and its common units are no longer publicly traded.

The merger was accounted for as an equity transaction and resulted in decreases to “Treasury stock” of $3,380 million, “Noncontrolling interests” of $2,163 million, “Capital in excess of par” of $901 million, “Deferred income taxes” of $323 million, and “Cash and cash equivalents” of $2 million, and an increase to “Other accruals” of $5 million on our consolidated balance sheet.
Gray Oak Pipeline was formed to develop and construct a pipeline, which transports crude oil from the Permian and Eagle Ford to Texas Gulf Coast destinations that include Corpus Christi, Texas, and the Sweeny area, including our Sweeny Refinery. Phillips 66 Partners had a consolidated holding company that owned 65% of Gray Oak Pipeline. In December 2018, a third party acquired a 35% interest in the holding company. Because the holding company’s sole asset was its ownership interest in Gray Oak Pipeline, which was considered a financial asset, and because certain restrictions were placed on the third party’s ability to transfer or sell its interest in the holding company during construction of the pipeline, the legal sale of the 35% interest did not qualify as a sale under GAAP at that time. The pipeline commenced full operations in the second quarter of 2020, and the restrictions placed on the co-venturer were lifted on June 30, 2020, resulting in the recognition of the sale under GAAP. Accordingly, at June 30, 2020, the co-venturer’s 35% interest in the holding company was recharacterized from a long-term obligation to a noncontrolling interest on our consolidated balance sheet, and the premium of $84 million previously paid by the co-venturer in 2019 was recharacterized from a long-term obligation to a gain in our consolidated statement of operations.
v3.22.4
Restructuring
12 Months Ended
Dec. 31, 2022
Restructuring and Related Activities [Abstract]  
Restructuring Restructuring
In April 2022, we announced that we are progressing a multi-year business transformation focused on enterprise-wide opportunities to improve our cost structure. For the year ended December 31, 2022, we recorded restructuring costs totaling $160 million, primarily related to consulting fees, severance and an impairment related to assets held for sale. These costs are primarily recorded in the “Selling, general and administrative expenses” and “Impairments” line items on our consolidated statement of operations and are reported in our Corporate segment.

In addition, in the fourth quarter of 2022, we recorded severance-related restructuring costs of $18 million associated with the integration of DCP Midstream Class A Segment. These costs are primarily recorded in the “Selling, general and administrative expenses” line item on our consolidated statement of operations and are reported in our Midstream segment.
v3.22.4
New Accounting Standards
12 Months Ended
Dec. 31, 2022
Accounting Changes and Error Corrections [Abstract]  
New Accounting Standards Changes in Accounting Principles
Effective January 1, 2022, we early adopted ASU 2021-08, “Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers.” This pronouncement requires application of ASC 606 "Revenue from Contracts with Customers" ("Topic 606") to recognize and measure contract assets and contract liabilities from contracts with customers acquired in a business combination. The adoption of this pronouncement did not have a material impact on our consolidated financial statements.

Effective October 1, 2021, we adopted ASU No. 2020-04, “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting” and ASU 2021-01, “Reference Rate Reform (Topic 848): Scope.” These pronouncements provide temporary optional expedients and exceptions to the current guidance on contracts, hedge relationships, and other transactions that reference the London Interbank Offered Rate (LIBOR) or another reference rate expected to be discontinued because of reference rate reform. Amendments in ASU 2021-01 further clarify that certain optional expedients and exceptions in Topic 848 for contract modifications and hedge accounting apply to derivatives that are affected by the discounting transition. These pronouncements were effective upon issuance and applicable to contract modifications through December 31, 2022. On December 21, 2022, the FASB issued ASU 2022-06, “Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848.” The ASU defers the sunset date of Topic 848 from December 31, 2022, to December 31, 2024, after which entities will no longer be permitted to apply the relief in Topic 848. This pronouncement was also effective upon issuance. The adoption of these pronouncements did not impact our consolidated financial statements.
New Accounting StandardsIn September 2022, the FASB issued ASU 2022-04, “Liabilities—Supplier Finance Programs (Subtopic 405-50): Disclosure of Supplier Finance Program Obligations.” This ASU requires the buyer in a supplier finance program to disclose qualitative and quantitative information about the program. This ASU is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years, except for the amendment on rollforward information, which is effective for fiscal years beginning after December 15, 2023. We do not anticipate the adoption of this ASU having a material impact on our consolidated financial statements.
v3.22.4
Summary of Significant Accounting Policies (Policies)
12 Months Ended
Dec. 31, 2022
Accounting Policies [Abstract]  
Consolidation Principles and Investments
Consolidation Principles and Investments
Our consolidated financial statements include the accounts of majority-owned, controlled subsidiaries and variable interest entities (VIEs) where we are the primary beneficiary. Undivided interests in pipelines, natural gas plants and terminals are consolidated on a proportionate basis. See Note 29—DCP Midstream Class A Segment for further discussion about a significant VIE that we began consolidating in August 2022, and Note 30—Phillips 66 Partners LP, for further discussion regarding our merger with Phillips 66 Partners LP (Phillips 66 Partners).

The equity method is used to account for investments in affiliates in which we have the ability to exert significant influence over the affiliates’ operating and financial policies, including VIEs, of which we are not the primary beneficiary. Other securities and investments are generally carried at fair value, or cost less impairments, if any, adjusted up or down for price changes in similar financial instruments issued by the investee, when and if observed. See Note 8—Investments, Loans and Long-Term Receivables, for further discussion on our significant unconsolidated VIEs.
Recast Financial Information
Recasted Financial Information
Certain prior period financial information has been recasted to reflect the current year’s presentation.
Use of Estimates
Use of Estimates
The preparation of financial statements in conformity with generally accepted accounting principles in the United States (GAAP) requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses, and the disclosure of contingent assets and liabilities. Actual results could differ from these estimates.
Foreign Currency
Foreign Currency
Adjustments resulting from the process of translating financial statements with foreign functional currencies into U.S. dollars are included in accumulated other comprehensive income (loss) in stockholders’ equity. Foreign currency transaction gains and losses result from remeasuring monetary assets and liabilities denominated in a foreign currency into the functional currency of our subsidiary holding the asset or liability. We include these transaction gains and losses in current earnings (loss). Most of our foreign operations use their local currency as the functional currency.
Cash Equivalents
Cash Equivalents
Cash equivalents are highly liquid, short-term investments that are readily convertible to known amounts of cash and will mature within 90 days or less from the date of acquisition. We carry these investments at cost plus accrued interest.
Inventories InventoriesWe have several valuation methods for our various types of inventories and consistently use the following methods for each type of inventory. Crude oil and petroleum products inventories are valued at the lower of cost or market in the aggregate, primarily on the last-in, first-out (LIFO) basis. Any necessary lower-of-cost-or-market write-downs at year end are recorded as permanent adjustments to the LIFO cost basis. LIFO is used to better match current inventory costs with current revenues and to meet tax-conformity requirements. Costs include both direct and indirect expenditures incurred in bringing an item or product to its existing condition and location. Materials and supplies inventories are valued using the weighted-average-cost method.
Fair Value Measurements Fair Value MeasurementsWe categorize assets and liabilities measured at fair value into one of three different levels depending on the observability of the inputs employed in the measurement. Level 1 inputs are quoted prices in active markets for identical assets or liabilities. Level 2 inputs are inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly, through market-corroborated inputs. Level 3 inputs are unobservable inputs for the asset or liability that are used to measure fair value to the extent that relevant observable inputs are not available, and that reflect the assumptions we believe market participants would use when pricing an asset or liability for which there is little, if any, market activity at the measurement date.
Recurring Fair Value Measurements
We carry certain assets and liabilities at fair value, which we measure at the reporting date using the price that would be received to sell an asset or paid to transfer a liability (i.e., an exit price), and disclose the quality of these fair values based on the valuation inputs used in these measurements under the following hierarchy:

Level 1: Fair value measured with unadjusted quoted prices from an active market for identical assets or liabilities.
Level 2: Fair value measured either with: (1) adjusted quoted prices from an active market for similar assets or liabilities; or (2) other valuation inputs that are directly or indirectly observable.
Level 3: Fair value measured with unobservable inputs that are significant to the measurement.

We classify the fair value of an asset or liability based on the significance of its observable or unobservable inputs to the measurement. However, the fair value of an asset or liability initially reported as Level 3 will be subsequently reported as Level 2 if the unobservable inputs become inconsequential to its measurement or corroborating market data becomes available. Conversely, an asset or liability initially reported as Level 2 will be subsequently reported as Level 3 if corroborating market data becomes unavailable.

We used the following methods and assumptions to estimate the fair value of financial instruments:

Cash and cash equivalents—The carrying amount reported on our consolidated balance sheet approximates fair value.
Accounts and notes receivableThe carrying amount reported on our consolidated balance sheet approximates fair value.
Derivative instruments—The fair value of our exchange-traded contracts is based on quoted market prices obtained from the New York Mercantile Exchange, the Intercontinental Exchange or other exchanges, and is reported as Level 1 in the fair value hierarchy. When exchange-cleared contracts lack sufficient liquidity, or are valued using either adjusted exchange-provided prices or nonexchange quotes, we classify those contracts as Level 2 or Level 3 based on the degree to which inputs are observable.
Physical commodity forward purchase and sales contracts and over-the-counter (OTC) financial swaps are generally valued using forward quotes provided by brokers and price index developers, such as Platts and Oil Price Information Service. We corroborate these quotes with market data and classify the resulting fair values as Level 2. When forward market prices are not available, we estimate fair value using the forward price of a similar commodity, adjusted for the difference in quality or location. In certain less liquid markets or for longer-term contracts, forward prices are not as readily available. In these circumstances, physical commodity purchase and sales contracts and OTC swaps are valued using internally developed methodologies that consider historical relationships among various commodities that result in management’s best estimate of fair value. We classify these contracts as Level 3. Physical and OTC commodity options are valued using industry-standard models that consider various assumptions, including quoted forward prices for commodities, time value, volatility factors and contractual prices for the underlying instruments, as well as other relevant economic measures. The degree to which these inputs are observable in the forward markets determines whether the options are classified as Level 2 or 3. We use a midmarket pricing convention (the midpoint between bid and ask prices). When appropriate, valuations are adjusted to reflect credit considerations, generally based on available market evidence.
We determine the fair value of interest rate swaps based on observable market valuations for interest rate swaps that have notional amounts, terms and pay and reset frequencies similar to ours.
Rabbi trust assets—These deferred compensation investments are measured at fair value using unadjusted quoted prices available from national securities exchanges and are therefore categorized as Level 1 in the fair value hierarchy.
Investment in NOVONIX—Our investment in NOVONIX is measured at fair value using unadjusted quoted prices available from the Australian Securities Exchange and is therefore categorized as Level 1 in the fair value hierarchy.
Other investments—Includes other marketable securities with observable market prices.
Debt—The carrying amount of our floating-rate debt approximates fair value. The fair value of our fixed-rate debt is estimated primarily based on observable market prices.
Derivative Instruments
Derivative Instruments
Derivative instruments are recorded on the balance sheet at fair value. We have master netting agreements with most of our exchange-cleared instrument counterparties and certain of our counterparties to other commodity instrument contracts (e.g., physical commodity forward contracts). We have elected to net derivative assets and liabilities with the same counterparty on the balance sheet if the legal right of offset exists and certain other criteria are met. When applicable, we also net collateral payables and receivables against derivative assets and derivative liabilities, respectively.

Recognition and classification of the gain or loss that results from recording and adjusting a derivative to fair value depends on the purpose for issuing or holding the derivative. All realized and unrealized gains and losses from derivative instruments for which we do not apply hedge accounting are immediately recognized in our consolidated statement of operations. Unrealized gains or losses from derivative instruments that qualify for and are designated as cash flow hedges are recognized in other comprehensive income (loss) and appear on the balance sheet in accumulated other comprehensive income (loss) until the hedged transactions are recognized in earnings. However, to the extent the change in the fair value of a derivative instrument exceeds the change in the anticipated cash flows of the hedged transaction, the excess gain or loss is recognized immediately in earnings.
Loans and Long-Term Receivables
Loans and Long-Term Receivables
We enter into agreements with other parties to pursue business opportunities, which may require us to provide loans or advances to certain affiliated and nonaffiliated companies. Loans are recorded when cash is transferred or seller financing is provided to the affiliated or nonaffiliated company pursuant to a loan agreement. The loan balance will increase as interest is earned on the outstanding loan balance and will decrease as interest and principal payments are received. Interest is earned at the loan agreement’s stated interest rate. Loans and long-term receivables are evaluated for impairment based on an expected credit loss assessment.
Impairment of Investments in Nonconsolidated Entities
Impairment of Investments in Nonconsolidated Entities
Investments in nonconsolidated entities accounted for under the equity method are assessed for impairment whenever changes in the facts and circumstances indicate a loss in value has occurred. When indicators exist, the fair value is estimated and compared to the investment carrying value. If any impairment is judgmentally determined to be other than temporary, the carrying value of the investment is written down to fair value. The fair value of the impaired investment is determined based on quoted market prices, if available, or upon the present value of expected future cash flows using discount rates and other assumptions believed to be consistent with those used by principal market participants and observed market earnings multiples of comparable companies.
Depreciation and Amortization
Depreciation and Amortization
Depreciation and amortization of properties, plants and equipment (PP&E) are determined by either the individual-unit-straight-line method or the group-straight-line method (for those individual units that are highly integrated with other units).
Capitalized Interest
Capitalized Interest
A portion of interest from external borrowings is capitalized on major projects with an expected construction period of one year or longer. Capitalized interest is added to the cost of the related asset, and is amortized over the useful life of the related asset.
Impairment of Properties, Plants and Equipment
Impairment of Properties, Plants and Equipment
PP&E used in operations are assessed for impairment whenever changes in facts and circumstances indicate a possible significant deterioration in the future cash flows expected to be generated by an asset group. If indicators of potential impairment exist, an undiscounted cash flow test is performed. If the sum of the undiscounted expected future before-tax cash flows of an asset group is less than the carrying value of the asset group, including applicable liabilities, the carrying value of the PP&E included in the asset group is written down to estimated fair value and the write down is reported in the “Impairments” line item on our consolidated statement of operations in the period in which the impairment determination is made. Individual assets are grouped for impairment purposes at the lowest level for which identifiable cash flows are available. Because there is usually a lack of quoted market prices for long-lived assets, the fair value of impaired assets is typically determined using one or more of the following methods: the present values of expected future cash flows using discount rates and other assumptions believed to be consistent with those used by principal market participants; a market multiple of earnings for similar assets; historical market transactions including similar assets, adjusted using principal market participant assumptions when necessary; or replacement cost adjusted for physical deterioration and economic obsolescence. Long-lived assets held for sale are accounted for at the lower of amortized cost or fair value, less cost to sell, with fair value determined using a binding negotiated price, if available, estimated replacement cost, or present value of expected future cash flows as previously described.

The expected future cash flows used for impairment reviews and related fair value calculations are based on estimated future volumes, prices, costs, margins and capital project decisions, considering all available evidence at the date of review.
Property Dispositions
Property Dispositions
When complete units of depreciable property are sold, the asset cost and related accumulated depreciation are eliminated, with any gain or loss reflected in the “Net gain on dispositions” line item on our consolidated statement of operations. When less than complete units of depreciable property are disposed of or retired, the difference between asset cost and salvage value is charged or credited to accumulated depreciation.
Goodwill
Goodwill
Goodwill represents the excess of the purchase price over the estimated fair value of the net assets acquired in a business combination. Goodwill is not amortized, but is assessed for impairment annually and when events or changes in circumstance indicate that the fair value of a reporting unit with goodwill is below its carrying value. The impairment assessment requires allocating goodwill and other assets and liabilities to reporting units. The fair value of each reporting unit is determined and compared to the book value of the reporting unit. If the fair value of the reporting unit is less than the book value, an impairment is recognized for the amount by which the book value exceeds the reporting unit’s fair value. A goodwill impairment cannot exceed the total amount of goodwill allocated to that reporting unit. For purposes of assessing goodwill for impairment, we have two reporting units with goodwill balances at our 2022 testing date: Transportation and Marketing and Specialties (M&S).
Intangible Assets Other Than Goodwill
Intangible Assets Other Than Goodwill
Intangible assets with finite useful lives are amortized using the straight-line method over their useful lives. Intangible assets with indefinite useful lives are not amortized, but are tested at least annually for impairment. Each reporting period, we evaluate intangible assets with indefinite useful lives to determine whether events and circumstances continue to support this classification. Indefinite-lived intangible assets are considered impaired if their fair value is lower than their net book value. The fair value of intangible assets is determined based on quoted market prices in active markets, if available. If quoted market prices are not available, the fair value of intangible assets is determined based upon the present values of expected future cash flows using discount rates and other assumptions believed to be consistent with those used by principal market participants, or upon estimated replacement cost, if expected future cash flows from the intangible asset are not determinable.
Asset Retirement Obligations
Asset Retirement Obligations
When we have a legal obligation to incur costs to retire an asset, we record a liability in the period in which the obligation was incurred provided that a reasonable estimate of fair value can be made. If a reasonable estimate of fair value cannot be made at the time the obligation arises, we record the liability when sufficient information is available to estimate its fair value. When a liability is initially recorded, we capitalize the costs by increasing the carrying amount of the related PP&E. Over time, the liability is increased for changes in present value, and the capitalized costs in PP&E are depreciated over the useful life of the related assets. If our estimate of the liability changes after initial recognition, we record an adjustment to the liability and PP&E.
Our practice is to keep our refining and other processing assets in good operating condition through routine repair and maintenance of component parts in the ordinary course of business and by continuing to make improvements based on technological advances. As a result, we believe that generally these assets have no expected retirement dates for purposes of estimating asset retirement obligations since the dates or ranges of dates upon which we would retire these assets cannot be reasonably estimated at this time. We will recognize liabilities for these obligations in the period when sufficient information becomes available to estimate a date or range of potential retirement dates.
Environmental Costs
Environmental Costs
Environmental expenditures are expensed or capitalized, depending upon their future economic benefit. Expenditures relating to an existing condition caused by past operations, and those having no future economic benefit, are expensed. When environmental assessments or cleanups are probable and the costs can be reasonably estimated, environmental expenditures are accrued on an undiscounted basis (unless acquired in a business combination). Recoveries of environmental remediation costs from other parties, such as state reimbursement funds, are recorded as a reduction to environmental expenditures.
Guarantees
Guarantees
The fair value of a guarantee is determined and recorded as a liability at the time the guarantee is given. The initial liability is subsequently reduced as we are released from exposure under the guarantee. We amortize the guarantee liability over the relevant time period, if one exists, based on the facts and circumstances surrounding each type of guarantee. We amortize the guarantee liability to the related statement of operations line item based on the nature of the guarantee. In cases where the guarantee term is indefinite, we reverse the liability when we have information to support the reversal. When the performance on the guarantee becomes probable and the liability can be reasonably estimated, we accrue a separate liability for the excess amount above the guarantee’s book value based on the facts and circumstances at that time. We reverse the fair value liability only when there is no further exposure under the guarantee.
Treasury Stock
Treasury Stock
We record treasury stock purchases at cost, which includes incremental direct transaction costs. Amounts are recorded as reductions of stockholders’ equity on the consolidated balance sheet. Common stock reissued from treasury stock is valued based on the average cost of historical repurchases.
Revenue Recognition
Revenue Recognition
Our revenues are primarily associated with sales of refined petroleum products, crude oil, natural gas liquids (NGL) and natural gas. Each gallon, or other unit of measure of product, is separately identifiable and represents a distinct performance obligation to which a transaction price is allocated. The transaction prices of our contracts with customers are either fixed or variable, with variable pricing based upon various market indices. For our contracts that include variable consideration, we utilize the variable consideration allocation exception, whereby the variable consideration is only allocated to the performance obligations that are satisfied during the period. The related revenue is recognized at a point in time when control passes to the customer, which is when title and the risk of ownership passes to the customer and physical delivery of goods occurs, either immediately or within a fixed delivery schedule that is reasonable and customary in the industry. The payment terms with our customers vary based on the product or service provided, but usually are 30 days or less.

Revenues associated with pipeline transportation services are recognized at a point in time when the volumes are delivered based on contractual rates. Revenues associated with terminaling and storage services are recognized over time as the services are performed based on throughput volume or capacity utilization at contractual rates.

Revenues associated with transactions commonly called buy/sell contracts, in which the purchase and sale of inventory with the same counterparty are entered into in contemplation of one another, are combined and reported in the “Purchased crude oil and products” line item on our consolidated statement of operations (i.e., these transactions are recorded net).
Taxes Collected from Customers and Remitted to Government Authorities Taxes Collected from Customers and Remitted to Governmental AuthoritiesExcise taxes on sales of refined petroleum products charged to our customers are presented net of taxes on sales of refined petroleum products payable to governmental authorities in the “Taxes other than income taxes” line item on our consolidated statement of operations. Other sales and value-added taxes are recorded net in the “Taxes other than income taxes” line item on our consolidated statement of operations.
Shipping and Handling Costs
Shipping and Handling Costs
We have elected to account for shipping and handling costs as fulfillment activities and include these activities in the “Purchased crude oil and products” line item on our consolidated statement of operations. Freight costs billed to customers are recorded in “Sales and other operating revenues.”
Maintenance and Repairs
Maintenance and Repairs
Costs of maintenance and repairs, which are not significant improvements, are expensed when incurred. Major refinery maintenance turnarounds are expensed as incurred.
Stock-Based Compensation Share-Based CompensationWe recognize share-based compensation expense over the shorter of: (1) the service period (i.e., the stated period of time required to earn the award); or (2) the period beginning at the start of the service period and ending when an employee first becomes eligible for retirement, but not less than six months as this is the minimum period of time required for an award not to be subject to forfeiture. Our equity-classified programs generally provide accelerated vesting (i.e., a waiver of the remaining period of service required to earn an award) for awards held by employees at the time they become eligible for retirement (at age 55 with 5 years of service). We have elected to recognize expense on a straight-line basis over the service period for the entire award, irrespective of whether the award was granted with ratable or cliff vesting, and have elected to recognize forfeitures of awards when they occur.
Income Taxes
Income Taxes
Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income (loss) in the period that includes the enactment date. Income tax effects are released from accumulated other comprehensive loss to retained earnings, when applicable, on an individual item basis as those items are reclassified into income. Interest related to unrecognized income tax benefits is reflected in the “Interest and debt expense” line item, and penalties in the “Operating expenses” or “Selling, general and administrative expenses” line items on our consolidated statement of operations.
Earnings Per Share Earnings (Loss) Per Share The numerator of basic earnings (loss) per share (EPS) is net income (loss) attributable to Phillips 66, adjusted for noncancelable dividends paid on unvested share-based employee awards during the vesting period (participating securities) and the premium paid for the repurchase of noncontrolling interests. The denominator of basic EPS is the sum of the daily weighted-average number of common shares outstanding during the periods presented and fully vested stock and unit awards that have not yet been issued as common stock. The numerator of diluted EPS is also based on net income (loss) attributable to Phillips 66, which is reduced by dividend equivalents paid on participating securities for which the dividends are more dilutive than the participation of the awards in the earnings (loss) of the periods presented, and the premium paid for the repurchase of noncontrolling interests. To the extent unvested stock, unit or option awards and vested unexercised stock options are dilutive, they are included with the weighted-average common shares outstanding in the denominator. Treasury stock is excluded from the denominator in both basic and diluted EPS.
Commitments and Contingencies Contingencies and Commitments
A number of lawsuits involving a variety of claims that arose in the ordinary course of business have been filed against us or are subject to indemnifications provided by us. We also may be required to remove or mitigate the effects on the environment of the placement, storage, disposal or release of certain chemical, mineral and petroleum substances at various active and inactive sites. We regularly assess the need for financial recognition or disclosure of these contingencies. In the case of all known contingencies (other than those related to income taxes), we accrue a liability when the loss is probable and the amount is reasonably estimable. If a range of amounts can be reasonably estimated and no amount within the range is a better estimate than any other amount, then the minimum of the range is accrued. We do not reduce these liabilities for potential insurance or third-party recoveries. If applicable, we accrue receivables for probable insurance or other third-party recoveries. In the case of income tax-related contingencies, we use a cumulative probability-weighted loss accrual in cases where sustaining a tax position is uncertain. See Note 23—Income Taxes, for additional information about income-tax-related contingencies.

Based on currently available information, we believe it is remote that future costs related to known contingent liability exposures will exceed current accruals by an amount that would have a material adverse impact on our consolidated financial statements. As we learn new facts concerning contingencies, we reassess our position both with respect to accrued liabilities and other potential exposures. Estimates particularly sensitive to future changes include contingent liabilities recorded for environmental remediation, tax and legal matters. Estimated future environmental remediation costs are subject to change due to such factors as the uncertain magnitude of cleanup costs, the unknown time and extent of such remedial actions that may be required, and the determination of our liability in proportion to that of other potentially responsible parties. Estimated future costs related to tax and legal matters are subject to change as events evolve and as additional information becomes available during the administrative and litigation processes.
New Accounting Standards New Accounting StandardsIn September 2022, the FASB issued ASU 2022-04, “Liabilities—Supplier Finance Programs (Subtopic 405-50): Disclosure of Supplier Finance Program Obligations.” This ASU requires the buyer in a supplier finance program to disclose qualitative and quantitative information about the program. This ASU is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years, except for the amendment on rollforward information, which is effective for fiscal years beginning after December 15, 2023. We do not anticipate the adoption of this ASU having a material impact on our consolidated financial statements.
v3.22.4
Business Combination (Tables)
12 Months Ended
Dec. 31, 2022
Business Combination and Asset Acquisition [Abstract]  
Schedule of Fair Value of Consideration Transferred and Amounts Included in Operations
The components of the fair value of the merger consideration are:


Millions of Dollars
Cash contributed$404 
Fair value of transferred equity interest634 
Fair value of previously held equity interests3,853 
Total merger consideration$4,891 
The following “Sales and other operating revenues” and “Net Income Attributable to Phillips 66” of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills were included in our consolidated statement of operations from August 18, 2022, forward.

Millions of Dollars
Sales and other operating revenues$4,531 
Net Income Attributable to Phillips 66216 
Schedule of Purchase Price Allocation
The following table summarizes, based on our preliminary purchase price allocation described above, the fair values of the assets acquired and liabilities assumed of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills as of August 17, 2022:

Millions of Dollars
Fair value of assets acquired:
Cash and cash equivalents$98 
Accounts and notes receivable1,003 
Inventories74 
Prepaid expenses and other current assets439 
Investments and long-term receivables2,198 
Properties, plants and equipment12,838 
Intangibles36 
Other assets343 
Total assets acquired17,029 
Fair value of liabilities assumed:
Accounts payable912 
Short-term debt623 
Accrued income and other taxes96 
Employee benefit obligation—current50 
Other accruals497 
Long-term debt4,553 
Asset retirement obligations and accrued environmental costs168 
Deferred income taxes59 
Employee benefit obligations54 
Other liabilities and deferred credits227 
Total liabilities assumed7,239 
Fair value of net assets9,790 
Less: Fair value of noncontrolling interests4,899 
Total merger consideration$4,891 
Schedule of Unaudited Pro Forma Financial Information
The following unaudited pro forma financial information presents our consolidated results assuming the acquisition of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills occurred on January 1, 2021. The unaudited pro forma information includes adjustments based on currently available information and we believe the estimates and assumptions are reasonable, and the significant effects of the transactions are properly reflected in the unaudited pro forma information. An aggregate before-tax gain of $2,831 million was included in the pro forma financial information for the year ended December 31, 2021, which is related to the remeasurement of the previously held equity investments in DCP Midstream, DCP Sand Hills and DCP Southern Hills to their fair values in connection with the merger. Adjustments related to the economic interest change in our equity investment in Gray Oak Pipeline were excluded from the pro forma financial information.

The unaudited pro forma information does not give effect to any potential synergies that could be achieved and is not necessarily indicative of the results of future operations.

Year Ended December 31
20222021
Sales and other operating revenues (millions)
$177,127 119,027 
Net Income Attributable to Phillips 66 (millions)
8,847 3,360 
Net Income Attributable to Phillips 66 per share—basic (dollars)
18.74 7.61 
Net Income Attributable to Phillips 66 per share—diluted (dollars)
18.68 7.60 
v3.22.4
Sales and Other Operating Revenues (Tables)
12 Months Ended
Dec. 31, 2022
Revenue from Contract with Customer [Abstract]  
Schedule of Disaggregation of Revenue
The following tables present our disaggregated sales and other operating revenues:

 Millions of Dollars
 202220212020
Product Line and Services
Refined petroleum products$131,798 89,020 49,768 
Crude oil resales20,574 12,801 9,114 
NGL and natural gas16,174 9,074 4,084 
Services and other*1,444 581 1,163 
Consolidated sales and other operating revenues$169,990 111,476 64,129 
Geographic Location**
United States$136,995 87,973 48,711 
United Kingdom16,741 11,132 7,031 
Germany6,392 4,290 3,034 
Other foreign countries9,862 8,081 5,353 
Consolidated sales and other operating revenues$169,990 111,476 64,129 
* Includes derivatives-related activities. See Note 17—Derivatives and Financial Instruments, for additional information.
** Sales and other operating revenues are attributable to countries based on the location of the operations generating the revenues.
v3.22.4
Inventories (Tables)
12 Months Ended
Dec. 31, 2022
Inventory Disclosure [Abstract]  
Schedule of Inventories
Inventories at December 31 consisted of the following:
 
 Millions of Dollars
 20222021
Crude oil and petroleum products$2,914 3,024 
Materials and supplies362 370 
$3,276 3,394 
v3.22.4
Investments, Loans and Long-Term Receivables (Tables)
12 Months Ended
Dec. 31, 2022
Investments, All Other Investments [Abstract]  
Schedule of Long Term Investments and Receivables
Components of investments and long-term receivables at December 31 were:
 
 Millions of Dollars
 20222021
Equity investments$14,414 12,832 
Other investments207 680 
Loans and long-term receivables329 959 
$14,950 14,471 
Schedule of Financial Information for Equity Method Investments in Affiliated Companies
Summarized 100% financial information for all affiliated companies accounted for under the equity method, on a combined basis, was:

 Millions of Dollars
 202220212020
Revenues$60,981 49,339 30,531 
Income before income taxes7,616 6,346 2,104 
Net income7,414 6,125 1,990 
Current assets7,511 7,866 6,210 
Noncurrent assets46,527 56,040 55,806 
Current liabilities5,592 7,952 5,391 
Noncurrent liabilities11,412 16,906 16,887 
Noncontrolling interests2 3,003 2,997 
v3.22.4
Properties, Plants and Equipment (Tables)
12 Months Ended
Dec. 31, 2022
Property, Plant and Equipment [Abstract]  
Schedule of Properties, Plants and Equipment with Associated Accumulated Depreciation and Amortization The company’s investment in PP&E, with the associated accumulated depreciation and amortization (Accum. D&A), at December 31 was:
 
 Millions of Dollars
 20222021
 Gross
PP&E
Accum.
D&A
Net
PP&E
Gross
PP&E
Accum.
D&A
Net
PP&E
Midstream$25,422 3,524 21,898 12,075 3,000 9,075 
Chemicals   — — — 
Refining24,200 12,523 11,677 24,327 12,581 11,746 
Marketing and Specialties1,800 1,058 742 1,819 1,035 784 
Corporate and Other1,568 722 846 1,576 746 830 
$52,990 17,827 35,163 39,797 17,362 22,435 
v3.22.4
Goodwill and Intangibles (Tables)
12 Months Ended
Dec. 31, 2022
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Changes in Carrying Amount of Goodwill
The carrying amount of goodwill by segment at December 31 was:
 
 Millions of Dollars
 MidstreamMarketing and SpecialtiesTotal
Balance at December 31, 2020$626 799 1,425 
Goodwill assigned to acquisitions— 59 59 
Balance at December 31, 2021626 858 1,484 
Goodwill assigned to acquisitions 2 2 
Balance at December 31, 2022$626 860 1,486 
Schedule of Changes in Carrying Value of Intangible Assets
The gross carrying value of indefinite-lived intangible assets at December 31 consisted of the following:
 
Millions of Dollars
 20222021
Trade names and trademarks$503 503 
Refinery air and operating permits200 212 
$703 715 
v3.22.4
Impairments (Tables)
12 Months Ended
Dec. 31, 2022
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Impairments
Millions of Dollars
 202220212020
Midstream$1 209 1,464 
Refining13 1,288 2,763 
Marketing and Specialties — 
Corporate and Other46 — 25 
Total impairments$60 1,498 4,252 
v3.22.4
Asset Retirement Obligations and Accrued Environmental Costs (Tables)
12 Months Ended
Dec. 31, 2022
Asset Retirement Obligation And Accrual For Environmental Cost Disclosure [Abstract]  
Schedule of Asset Retirement Obligations and Accrual for Environmental Costs
Asset retirement obligations and accrued environmental costs at December 31 were:
 
 Millions of Dollars
 20222021
Asset retirement obligations$565 395 
Accrued environmental costs434 436 
Total asset retirement obligations and accrued environmental costs999 831 
Asset retirement obligations and accrued environmental costs due within one year*
(120)(104)
Long-term asset retirement obligations and accrued environmental costs$879 727 
* Classified as a current liability on the consolidated balance sheet, under the caption “Other accruals.”
Schedule of Change in Asset Retirement Obligation
During the years ended December 31, 2022 and 2021, our overall asset retirement obligation changed as follows:
 
 Millions of Dollars
 20222021
Balance at January 1$395 309 
Accretion of discount15 14 
New obligations7 22 
Acquisition of DCP Midstream Class A Segment, DCP Sand Hills and DCP
   Southern Hills
168 — 
Changes in estimates of existing obligations17 66 
Spending on existing obligations(32)(12)
Foreign currency translation(5)(4)
Balance at December 31$565 395 
v3.22.4
Earnings (Loss) Per Share (Tables)
12 Months Ended
Dec. 31, 2022
Earnings Per Share [Abstract]  
Schedule of Reconciliation of Basic and Diluted Earnings Per Share
 202220212020
BasicDilutedBasicDilutedBasicDiluted
Amounts Attributed to Phillips 66 Common Stockholders (millions):
Net income (loss) attributable to Phillips 66$11,024 11,024 1,317 1,317 (3,975)(3,975)
Income allocated to participating securities(10) (9)(9)(8)(8)
Premium paid for the repurchase of noncontrolling
interests
  (2)(2)— — 
Net income (loss) available to common stockholders$11,014 11,024 1,306 1,306 (3,983)(3,983)
Weighted-average common shares outstanding (thousands):
469,436 471,497 437,886 440,028 437,327 439,530 
Effect of share-based compensation2,061 2,234 2,142 336 2,203 — 
Weighted-average common shares outstanding—EPS
471,497 473,731 440,028 440,364 439,530 439,530 
Earnings (Loss) Per Share of Common Stock (dollars)
$23.36 23.27 2.97 2.97 (9.06)(9.06)
v3.22.4
Debt (Tables)
12 Months Ended
Dec. 31, 2022
Debt Disclosure [Abstract]  
Schedule of Long Term Debt
Short-term and long-term debt at December 31 was:
Millions of Dollars
December 31, 2022December 31, 2021
Phillips 66Phillips 66 CompanyPhillips 66 PartnersDCP LPTotalPhillips 66Phillips 66 PartnersTotal
4.300% Senior Notes due April 2022
$     1,000 — 1,000 
3.875% Senior Notes due March 2023
   500 500 — — — 
3.700% Senior Notes due April 2023
     500 — 500 
0.900% Senior Notes due February 2024
800    800 800 — 800 
2.450% Senior Notes due December 2024
 277 23  300 — 300 300 
3.605% Senior Notes due February 2025
 441 59  500 — 500 500 
3.850% Senior Notes due April 2025
650    650 650 — 650 
5.375% Senior Notes due July 2025
   825 825 — — — 
1.300% Senior Notes due February 2026
500    500 500 — 500 
3.550% Senior Notes due October 2026
 458 34  492 — 500 500 
5.625% Senior Notes due July 2027
   500 500 — — — 
3.750% Senior Notes due March 2028
 427 73  500 — 500 500 
3.900% Senior Notes due March 2028
800    800 800 — 800 
5.125% Senior Notes due May 2029
   600 600 — — — 
3.150% Senior Notes due December 2029
 570 30  600 — 600 600 
8.125% Senior Notes due August 2030
   300 300 — — — 
2.150% Senior Notes due December 2030
850    850 850 — 850 
3.250% Senior Notes due February 2032
   400 400 — — — 
4.650% Senior Notes due November 2034
1,000    1,000 1,000 — 1,000 
6.450% Senior Notes due November 2036
   300 300 — — — 
6.750% Senior Notes due September 2037
   450 450 — — — 
5.875% Senior Notes due May 2042
1,500    1,500 1,500 — 1,500 
5.850% Junior Subordinated Notes due May 2043
   550 550 — — — 
5.600% Senior Notes due April 2044
   400 400 — — — 
4.875% Senior Notes due November 2044
1,700    1,700 1,700 — 1,700 
4.680% Senior Notes due February 2045
 442 8  450 — 450 450 
4.900% Senior Notes due October 2046
 605 20  625 — 625 625 
3.300% Senior Notes due March 2052
1,000    1,000 1,000 — 1,000 
Floating Rate Term Loan due April 2022 at 0.978% at year-end 2021
     — 450 450 
Securitization facility due August 2024   40 40 — — — 
Floating Rate Advance Term Loan due December 2034 at 4.720% and 0.699% at year-end 2022 and 2021, respectively—related party
25    25 25 — 25 
Other1    1 — 
Debt at face value8,826 3,220 247 4,865 17,158 10,326 3,925 14,251 
Finance leases257 290 
Software obligations20 16 
Net unamortized discounts, debt issuance costs and acquisition fair value adjustments(245)(109)
Total debt17,190 14,448 
Short-term debt(529)(1,489)
Long-term debt$16,661 12,959 
v3.22.4
Derivatives and Financial Instruments (Tables)
12 Months Ended
Dec. 31, 2022
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Offsetting Assets
The following table indicates the consolidated balance sheet line items that include the fair values of commodity derivative assets and liabilities. The balances in the following table are presented on a gross basis, before the effects of counterparty and collateral netting. However, we have elected to present our commodity derivative assets and liabilities with the same counterparty on a net basis on our consolidated balance sheet when the legal right of offset exists.

 Millions of Dollars
 December 31, 2022December 31, 2021
Commodity DerivativesEffect of Collateral NettingNet Carrying Value Presented on the Balance SheetCommodity DerivativesEffect of Collateral NettingNet Carrying Value Presented on the Balance Sheet
 AssetsLiabilitiesAssetsLiabilities
Assets
Prepaid expenses and other current assets$1,331 (1,110) 221 99 (20)— 79 
Other assets46 (1) 45 (1)— 
Liabilities
Other accruals471 (750)90 (189)758 (855)49 (48)
Other liabilities and deferred credits12 (35) (23)— (1)— (1)
Total$1,860 (1,896)90 54 860 (877)49 32 
Schedule of Offsetting Liabilities
The following table indicates the consolidated balance sheet line items that include the fair values of commodity derivative assets and liabilities. The balances in the following table are presented on a gross basis, before the effects of counterparty and collateral netting. However, we have elected to present our commodity derivative assets and liabilities with the same counterparty on a net basis on our consolidated balance sheet when the legal right of offset exists.

 Millions of Dollars
 December 31, 2022December 31, 2021
Commodity DerivativesEffect of Collateral NettingNet Carrying Value Presented on the Balance SheetCommodity DerivativesEffect of Collateral NettingNet Carrying Value Presented on the Balance Sheet
 AssetsLiabilitiesAssetsLiabilities
Assets
Prepaid expenses and other current assets$1,331 (1,110) 221 99 (20)— 79 
Other assets46 (1) 45 (1)— 
Liabilities
Other accruals471 (750)90 (189)758 (855)49 (48)
Other liabilities and deferred credits12 (35) (23)— (1)— (1)
Total$1,860 (1,896)90 54 860 (877)49 32 
Schedule of Fair Value of Commodity Derivative Assets and Liabilities and Gains (Losses) From Derivative Contracts
The realized and unrealized gains (losses) incurred from commodity derivatives, and the line items where they appear on our consolidated statement of operations, were:
 
Millions of Dollars
 202220212020
Sales and other operating revenues$(128)(468)436 
Other income79 34 10 
Purchased crude oil and products(348)(313)174 
Net gain (loss) from commodity derivative activity$(397)(747)620 
Schedule of Material Net Exposures from Outstanding Commodity Derivative Contracts
The following table summarizes our material net exposures resulting from outstanding commodity derivative contracts. These financial and physical derivative contracts are primarily used to manage price exposure on our underlying operations. The underlying exposures may be from nonderivative positions such as inventory volumes. Financial derivative contracts may also offset physical derivative contracts, such as forward purchase and sales contracts. The percentage of our derivative contract volumes expiring within the next 12 months was more than 90% at December 31, 2022 and 2021.
 
Open Position
Long / (Short)
 20222021
Commodity
Crude oil, refined petroleum products, NGL and renewable feedstocks (millions of barrels)
(25)(18)
Natural gas (billions of cubic feet)
(77)— 
v3.22.4
Fair Value Measurements (Tables)
12 Months Ended
Dec. 31, 2022
Fair Value Disclosures [Abstract]  
Schedule of Fair Value Hierarchy for Material Financial Instruments and Derivative Assets and Liabilities, Including the Effect of Counterparty Netting
The carrying values and fair values by hierarchy of our financial assets and liabilities, either carried or disclosed at fair value, including any effects of counterparty and collateral netting, were:

 Millions of Dollars
 December 31, 2022
Fair Value HierarchyTotal Fair Value of Gross Assets & LiabilitiesEffect of Counterparty NettingEffect of Collateral NettingDifference in Carrying Value and Fair ValueNet Carrying Value Presented on the Balance Sheet
 Level 1Level 2Level 3
Commodity Derivative Assets
Exchange-cleared instruments$1,615 130 3 1,748 (1,582)  166 
OTC instruments 7 16 23    23 
Physical forward contracts 86 3 89 (12)  77 
Rabbi trust assets126   126 N/AN/A 126 
Investment in NOVONIX78   78 N/AN/A 78 
Other investments42 1  43 N/AN/A 43 
$1,861 224 22 2,107 (1,594)  513 
Commodity Derivative Liabilities
Exchange-cleared instruments$1,676 164 5 1,845 (1,582)(90) 173 
OTC instruments 9  9    9 
Physical forward contracts 42  42 (12)  30 
Floating-rate debt 65  65 N/AN/A 65 
Fixed-rate debt, excluding finance leases and software obligations 15,871  15,871 N/AN/A977 16,848 
$1,676 16,151 5 17,832 (1,594)(90)977 17,125 


 Millions of Dollars
 December 31, 2021
Fair Value HierarchyTotal Fair Value of Gross Assets & LiabilitiesEffect of Counterparty NettingEffect of Collateral NettingDifference in Carrying Value and Fair ValueNet Carrying Value Presented on the Balance Sheet
 Level 1Level 2Level 3
Commodity Derivative Assets
Exchange-cleared instruments$419 368 — 787 (779)— — 
Physical forward contracts— 73 — 73 — — — 73 
Rabbi trust assets158 — — 158 N/AN/A— 158 
Investment in NOVONIX520 — — 520 N/AN/A— 520 
$1,097 441 — 1,538 (779)— — 759 
Commodity Derivative Liabilities
Exchange-cleared instruments$463 362 — 825 (779)(49)— (3)
OTC instruments— — — — — 
Physical forward contracts— 51 — 51 — — — 51 
Floating-rate debt— 475 — 475 N/AN/A— 475 
Fixed-rate debt, excluding finance leases and software obligations— 15,353 — 15,353 N/AN/A(1,686)13,667 
$463 16,242 — 16,705 (779)(49)(1,686)14,191 
v3.22.4
Leases (Tables)
12 Months Ended
Dec. 31, 2022
Leases [Abstract]  
Schedule of ROU Assets and Lease Liabilities
The following table indicates the consolidated balance sheet line items that include the ROU assets and lease liabilities for our finance and operating leases at December 31:

Millions of Dollars
20222021
Finance
Leases
Operating
Leases
Finance
Leases
Operating
Leases
Right-of-Use Assets
Net properties, plants and equipment$259  259 — 
Other assets 995 — 1,050 
Total right-of-use assets$259 995 259 1,050 
Lease Liabilities
Short-term debt$23  33 — 
Other accruals 282 — 343 
Long-term debt234  257 — 
Other liabilities and deferred credits 745 — 725 
Total lease liabilities$257 1,027 290 1,068 
Schedule of Finance Lease Liability
Future minimum lease payments at December 31, 2022, for finance and operating lease liabilities were:
 
Millions of Dollars
Finance
Leases
Operating
Leases
2023$32 317 
202432 234 
202526 177 
202628 120 
202722 89 
Remaining years182 221 
Future minimum lease payments322 1,158 
Amount representing interest or discounts(65)(131)
Total lease liabilities$257 1,027 
Schedule of Operating Lease Liability
Future minimum lease payments at December 31, 2022, for finance and operating lease liabilities were:
 
Millions of Dollars
Finance
Leases
Operating
Leases
2023$32 317 
202432 234 
202526 177 
202628 120 
202722 89 
Remaining years182 221 
Future minimum lease payments322 1,158 
Amount representing interest or discounts(65)(131)
Total lease liabilities$257 1,027 
Schedule of Lease Cost
Components of net lease cost for the years ended December 31, 2022, 2021 and 2020, were:

Millions of Dollars
202220212020
Finance lease cost
Amortization of right-of-use assets$24 23 21 
Interest on lease liabilities9 10 
Total finance lease cost33 32 31 
Operating lease cost387 461 527 
Short-term lease cost63 104 108 
Variable lease cost19 39 
Sublease income (13)(15)(22)
Total net lease cost$489 585 683 


Cash paid for amounts included in the measurement of our lease liabilities for the years ended December 31, 2022, 2021 and 2020, was:

Millions of Dollars
202220212020
Operating cash outflows—finance leases$11 10 
Operating cash outflows—operating leases392 438 521 
Financing cash outflows—finance leases32 21 17 
At December 31, 2022 and 2021, the weighted-average remaining lease terms and discount rates for our lease liabilities were:

20222021
Weighted-average remaining lease term—finance leases (years)12.513.0
Weighted-average remaining lease term—operating leases (years)5.85.7
Weighted-average discount rate—finance leases3.3 %3.3 
Weighted-average discount rate—operating leases3.8 %3.2 
v3.22.4
Pension and Postretirement Plans (Tables)
12 Months Ended
Dec. 31, 2022
Retirement Benefits [Abstract]  
Schedule of Reconciliation of Projected Benefit Obligations and Plan Assets
The following table provides a reconciliation of the projected benefit obligations and plan assets for our pension plans and accumulated benefit obligations for our other postretirement benefit plans:

 Millions of Dollars
Pension BenefitsOther Benefits
 2022202120222021
U.S.Int’l.U.S.Int’l.
Change in Benefit Obligations
Benefit obligations at January 1$3,033 1,409 3,405 1,480 197 213 
Service cost123 28 146 36 4 
Interest cost100 21 81 19 5 
Plan participant contributions 2 — 6 
Net actuarial gain(528)(502)(82)(37)(37)(13)
Benefits paid(519)(44)(517)(44)(19)(19)
Settlements (101)— —  — 
Foreign currency exchange rate change (138)— (47) — 
Benefit obligations at December 31$2,209 675 3,033 1,409 156 197 
Change in Fair Value of Plan Assets
Fair value of plan assets at January 1$2,547 1,280 2,738 1,212  — 
Actual return on plan assets(375)(329)289 114  — 
Company contributions125 23 37 27 13 13 
Plan participant contributions 2 — 6 
Benefits paid(519)(44)(517)(44)(19)(19)
Settlements (101)— —  — 
Foreign currency exchange rate change (124)— (31) — 
Fair value of plan assets at December 31$1,778 707 2,547 1,280  — 
Funded Status at December 31$(431)32 (486)(129)(156)(197)
Schedule of Amounts Recognized in the Consolidated Balance Sheet
Amounts recognized in the consolidated balance sheet for our pension and other postretirement benefit plans at December 31 include:
Millions of Dollars
Pension BenefitsOther Benefits
2022202120222021
U.S.Int’l.U.S.Int’l.
Amounts Recognized in the Consolidated Balance Sheet
Noncurrent assets$ 140 — 51  — 
Current liabilities(50) (25)— (15)(15)
Noncurrent liabilities(381)(108)(461)(180)(141)(182)
Total recognized$(431)32 (486)(129)(156)(197)
Schedule of Before Tax Amounts Unrecognized in Net Periodic Benefit Cost Included in Accumulated Other Comprehensive Income
Included in accumulated other comprehensive loss at December 31 were the following before-tax amounts that had not been recognized in net periodic benefit cost:

Millions of Dollars
Pension BenefitsOther Benefits
2022202120222021
U.S.Int’l.U.S.Int’l.
Unrecognized net actuarial loss (gain)
$159 (27)251 130 (59)(24)
Unrecognized prior service credit
  — (1) (2)
Schedule of Sources of Change in Other Comprehensive Income (Loss)
Other changes in plan assets and benefit obligations recognized in other comprehensive income (loss):

Millions of Dollars
Pension BenefitsOther Benefits
2022202120222021
U.S.Int’l.U.S.Int’l.
Sources of Change in Other Comprehensive Income
Net actuarial gain arising during the period$18 136 211 92 37 13 
Amortization of net actuarial loss (gain) and settlements
74 21 101 25 (2)(1)
Amortization of prior service credit (1)— (1)(2)(2)
Total recognized in other comprehensive income$92 156 312 116 33 10 
Schedule of Accumulated Benefit Obligations in Excess of Fair Value of Plan Assets
Information for U.S. and international pension plans with an accumulated benefit obligation in excess of plan assets at December 31 was:

Millions of Dollars
Pension Benefits
20222021
U.S.Int’l.U.S.Int’l.
Accumulated benefit obligations$2,055 114 2,770 410 
Fair value of plan assets
1,778 13 2,547 248 
Schedule of Benefit Obligations in Excess of Fair Value of Plan Assets
Information for U.S. and international pension plans with a projected benefit obligation in excess of plan assets at December 31 was:

Millions of Dollars
Pension Benefits
20222021
U.S.Int’l.U.S.Int’l.
Projected benefit obligations$2,209 121 3,033 428 
Fair value of plan assets
1,778 13 2,547 248 
Schedule of Components of Net Periodic Benefit Cost
Components of net periodic benefit cost for all defined benefit plans are presented in the table below:

Millions of Dollars
Pension BenefitsOther Benefits
202220212020202220212020
U.S.Int’l.U.S.Int’l.U.S.Int’l.
Components of Net Periodic Benefit Cost
Service cost$123 28 146 36 138 28 4 
Interest cost100 21 81 19 91 22 5 
Expected return on plan assets
(135)(56)(160)(59)(159)(50) — — 
Amortization of prior service credit (1)— (1)— (1)(2)(2)(2)
Amortization of net actuarial loss (gain)
21 12 46 25 70 16 (2)(1)— 
Settlements
53 9 55 — 61 —  — — 
Net periodic benefit cost*$162 13 168 20 201 15 5 10 
* Included in the “Operating expenses” and “Selling, general and administrative expenses” line items on our consolidated statement of operations.
Schedule of Weighted-Average Assumptions Used to Determine Benefit Obligations and Net Periodic Benefit Costs
The following weighted-average assumptions were used to determine benefit obligations and net periodic benefit costs for years ended December 31:

Pension BenefitsOther Benefits
 2022202120222021
 U.S.Int’l.U.S.Int’l.
Assumptions Used to Determine Benefit Obligations:
Discount rate5.70 %4.64 2.95 1.60 5.70 2.90 
Rate of compensation increase4.30 3.32 4.30 3.05  — 
Interest crediting rate on cash balance plan
3.88  2.05 —  — 
Assumptions Used to Determine Net Periodic Benefit Cost:
Discount rate3.94 %1.65 2.70 1.27 2.90 2.30 
Expected return on plan assets6.50 4.90 6.50 4.86  — 
Rate of compensation increase4.30 3.05 4.27 3.01  — 
Interest crediting rate on cash balance plan
2.59  2.05 —  — 
Schedule of Fair Values of Pension Plan Assets
The fair values of our pension plan assets at December 31, by asset class, were:

 Millions of Dollars
U.S.International
 Level 1Level 2Level 3TotalLevel 1Level 2Level 3Total
2022
Equity securities$239   239     
Government debt securities268   268     
Corporate debt securities 89  89     
Cash and cash equivalents19   19 64   64 
Insurance contracts      13 13 
Total assets in the fair value hierarchy
526 89  615 64  13 77 
Common/collective trusts measured at NAV
841 567 
Real estate and infrastructure investments measured at NAV322 63 
Total$526 89  1,778 64  13 707 
 
 Millions of Dollars
U.S.International
 Level 1Level 2Level 3TotalLevel 1Level 2Level 3Total
2021
Equity securities$385 — — 385 — — — — 
Government debt securities427 — — 427 — — — — 
Corporate debt securities
— 131 — 131 — — — — 
Cash and cash equivalents20 — — 20 — — 
Insurance contracts— — — — — — 13 13 
Total assets in the fair value hierarchy
832 131 — 963 — 13 19 
Common/collective trusts measured at NAV
1,266 1,158 
Real estate and infrastructure investments measured at NAV318 103 
Total$832 131 — 2,547 — 13 1,280 
Expected Benefit Payments
The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid to plan participants in the years indicated:
 
 Millions of Dollars
Pension BenefitsOther Benefits
U.S.Int’l.
2023$266 21 17 
2024218 23 17 
2025217 25 17 
2026220 27 17 
2027231 28 17 
2028-20321,087 170 78 
v3.22.4
Share-Based Compensation Plans (Tables)
12 Months Ended
Dec. 31, 2022
Share-Based Payment Arrangement [Abstract]  
Schedule of Share-Based Compensation Expense Recognized in Income and the Associated Tax Benefit
Total share-based compensation expense recognized in income and the associated income tax benefit for the years ended December 31 were:
 
 Millions of Dollars
 202220212020
Restricted stock units$101 100 91 
Performance share units68 23 17 
Stock options17 19 17 
Other24 
Total share-based compensation expense$210 144 127 
Income tax benefit$(55)(33)(35)
Schedule of Stock Unit Activity
The following table summarizes our RSU activity from January 1, 2022, to December 31, 2022:

Millions of Dollars
Stock UnitsWeighted-Average
Grant-Date
Fair Value
Total Fair Value
Outstanding at January 1, 20223,310,590 $83.20 
Granted1,303,336 88.16 
Forfeited(184,733)83.16 
Issued(1,162,718)90.00 $102 
Outstanding at December 31, 20223,266,475 $82.76 
Not Vested at December 31, 20222,250,626 $82.49 
Schedule of Performance Share Program Activity
The following table summarizes our PSU activity from January 1, 2022, to December 31, 2022:
 
Millions of Dollars
Performance
Share Units
Weighted-Average
Grant-Date 
Fair Value
Total Fair Value
Outstanding at January 1, 2022811,786 $37.90 
Granted245,957 71.82 
Forfeited  
Issued(108,617)33.81 $9 
Cash settled(245,957)71.82 18 
Outstanding at December 31, 2022703,169 $38.54 
Not Vested at December 31, 2022 $ 
Schedule of Stock Option Activity
The following table summarizes our stock option activity from January 1, 2022, to December 31, 2022:

Millions of Dollars 
OptionsWeighted-Average
Exercise Price
Weighted-Average
Grant-Date
Fair Value
 Aggregate
Intrinsic Value
Outstanding at January 1, 20226,264,206 $81.25 
Granted1,043,300 88.89 $17.02 
Forfeited(28,123)86.19 
Exercised(1,436,468)71.57 $42 
Outstanding at December 31, 20225,842,915 $84.97 
Vested at December 31, 20225,291,211 $85.09 $101 
Exercisable at December 31, 20223,534,630 $86.08 $64 
Schedule of Significant Assumptions Used to Calculate Grant Date Fair Market Values of Options Granted
The following table provides the significant assumptions used to calculate the grant-date fair values of options granted over the years shown below, as calculated using the Black-Scholes-Merton option-pricing model:
 
202220212020
Risk-free interest rate1.97 %0.93 1.58 
Dividend yield5.10 %5.30 3.20 
Volatility factor33.67 %32.11 25.23 
Expected life (years)6.616.766.96
v3.22.4
Income Taxes (Tables)
12 Months Ended
Dec. 31, 2022
Income Tax Disclosure [Abstract]  
Schedule of Components of Income Tax Expense
Components of income tax expense (benefit) were:
 Millions of Dollars
 202220212020
Income Tax Expense (Benefit)
Federal
Current$1,263 363 (1,324)
Deferred1,171 (85)171 
Foreign
Current492 50 
Deferred(109)(39)67 
State and local
Current173 (61)
Deferred258 (148)(112)
$3,248 146 (1,250)
Schedule of Deferred Tax Assets and Liabilities Major components of deferred tax liabilities and assets at December 31 were:
 Millions of Dollars
 20222021
Deferred Tax Liabilities
Properties, plants and equipment, and intangibles$3,309 3,135 
Investment in joint ventures1,854 2,065 
Investment in subsidiaries1,974 969 
Other238 267 
Total deferred tax liabilities7,375 6,436 
Deferred Tax Assets
Benefit plan accruals307 431 
Loss and credit carryforwards 113 173 
Asset retirement obligations and accrued environmental costs137 120 
Other financial accruals and deferrals51 82 
Inventory62 — 
Other220 262 
Total deferred tax assets890 1,068 
Less: valuation allowance97 74 
Net deferred tax assets793 994 
Net deferred tax liabilities$6,582 5,442 
Schedule of Unrecognized Tax Benefits Roll Forward The following table is a reconciliation of the changes in our unrecognized income tax benefits balance:
 Millions of Dollars
 202220212020
Balance at January 1$54 56 40 
Additions for tax positions of current year1 — — 
Additions for tax positions of prior years2 — 44 
Reductions for tax positions of prior years(3)(2)(28)
Balance at December 31$54 54 56 
Schedule of Effective Income Tax Rate Reconciliation
The amounts of U.S. and foreign income (loss) before income taxes, with a reconciliation of income tax at the federal statutory rate to the recorded income tax expense (benefit), were:
 
 Millions of DollarsPercentage of
Income (Loss) Before Income Taxes
 202220212020202220212020
Income (loss) before income taxes
United States$12,628 1,737 (5,292)86.3 %99.8 106.6 
Foreign2,011 328 13.7 0.2 (6.6)
$14,639 1,740 (4,964)100.0 %100.0 100.0 
Federal statutory income tax$3,074 365 (1,043)21.0 %21.0 21.0 
State income tax, net of federal income tax benefit341 (65)(139)2.3 (3.7)2.8 
Net operating loss carryback — (398) — 8.0 
Goodwill impairment — 387  — (7.8)
Noncontrolling interests(74)(57)(54)(0.5)(3.3)1.1 
Non-taxable equity earnings(33)(53)(18)(0.2)(3.0)0.4 
Tax law changes(25)(26)— (0.2)(1.5)— 
Other*(35)(18)15 (0.2)(1.1)(0.3)
$3,248 146 (1,250)22.2 %8.4 25.2 
* Other includes individually immaterial items but is primarily attributable to foreign operations and change in valuation allowance.
v3.22.4
Accumulated Other Comprehensive Loss (Tables)
12 Months Ended
Dec. 31, 2022
Equity [Abstract]  
Schedule of Accumulated Other Comprehensive Loss
Changes in the balances of each component of accumulated other comprehensive loss were as follows:

 Millions of Dollars
 Defined
Benefit
Plans
Foreign
Currency
Translation
HedgingAccumulated
Other
Comprehensive Loss
December 31, 2019$(656)(131)(1)(788)
Other comprehensive income (loss) before reclassifications(262)151 (110)
Amounts reclassified from accumulated other comprehensive loss
Defined benefit plans*
Amortization of net actuarial loss, prior service credit and settlements109 — — 109 
Foreign currency translation— — — — 
Hedging— — (5)(5)
Net current period other comprehensive income (loss)(153)151 (4)(6)
Other— — 
December 31, 2020(809)25 (5)(789)
Other comprehensive income (loss) before reclassifications318 (70)250 
Amounts reclassified from accumulated other comprehensive loss
Defined benefit plans*
Amortization of net actuarial loss, prior service credit and settlements93 — — 93 
Foreign currency translation— — — — 
Hedging— — 
Net current period other comprehensive income (loss)411 (70)344 
December 31, 2021(398)(45)(2)(445)
Other comprehensive income (loss) before reclassifications204 (291) (87)
Amounts reclassified from accumulated other comprehensive loss
Defined benefit plans*
Amortization of net actuarial loss, prior service credit and settlements72   72 
Foreign currency translation    
Hedging    
Net current period other comprehensive income (loss)276 (291) (15)
December 31, 2022$(122)(336)(2)(460)
* Included in the computation of net periodic benefit cost. See Note 21—Pension and Postretirement Plans, for additional information.
v3.22.4
Cash Flow Information (Tables)
12 Months Ended
Dec. 31, 2022
Supplemental Cash Flow Information [Abstract]  
Schedule of Cash Flow Information
Supplemental Cash Flow Information
Millions of Dollars
202220212020
Cash Payments (Receipts)
Interest$572 549 478 
Income taxes*2,071 (1,065)103 
* 2021 reflects a net cash refund position. Cash payments for income taxes were $110 million in 2021.
v3.22.4
Other Financial Information (Tables)
12 Months Ended
Dec. 31, 2022
Other Income and Expenses [Abstract]  
Schedule of Other Financial Information
 Millions of Dollars
 202220212020
Interest and Debt Expense
Incurred
Debt
$611 567 550 
Other
41 41 24 
652 608 574 
Capitalized(33)(27)(75)
Expensed$619 581 499 
Other Income
Interest income$82 11 14 
Unrealized investment gain (loss)—NOVONIX(433)365 — 
Gain related to merger of businesses3,013 — — 
Other, net*75 78 52 
$2,737 454 66 
* Includes derivatives-related activities. See Note 17—Derivatives and Financial Instruments, for additional information.
Research and Development Expenses$42 47 48 
Advertising Expenses$56 52 51 
Foreign Currency Transaction (Gains) Losses
Midstream$9 (5)— 
Chemicals — — 
Refining(7)
Marketing and Specialties(10)— — 
Corporate and Other(1)
$(9)12 
v3.22.4
Related Party Transactions (Tables)
12 Months Ended
Dec. 31, 2022
Related Party Transactions [Abstract]  
Schedule of Significant Transactions with Related Parties
Significant transactions with related parties were:
 
 Millions of Dollars
 202220212020
Operating revenues and other income (a)(d)$6,111 3,759 1,932 
Purchases (b)(d)21,244 14,645 6,536 
Operating expenses and selling, general and administrative expenses (c)281 284 247 


(a)We sold NGL, other petrochemical feedstocks and solvents to CPChem, NGL and certain feedstocks to DCP Midstream, gas oil and hydrogen feedstocks to Excel Paralubes LLC (Excel Paralubes), and refined petroleum products to several of our equity affiliates in the M&S segment, including OnCue and CF United. We also sold certain feedstocks and intermediate products to WRB and acted as an agent for WRB in supplying crude oil and other feedstocks for a fee. In addition, we charged several of our equity affiliates, including CPChem, for the use of common facilities, such as steam generators, waste and water treaters and warehouse facilities.

(b)We purchased crude oil, refined petroleum products, NGL and solvents from WRB. We also purchased natural gas and NGL from DCP Midstream and CPChem, as well as other feedstocks from various equity affiliates, for use in our refinery and fractionation processes. In addition, we purchased base oils and fuel products from Excel Paralubes for use in our specialty and refining businesses. We paid NGL fractionation fees to CPChem. We also paid fees to various pipeline equity affiliates for transporting crude oil, refined petroleum products and NGL.

(c)We paid consignment fees to CF United, and utility and processing fees to various equity affiliates.

(d)As a result of the DCP Midstream and Gray Oak Holdings merger, we began consolidating DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills. As a result, transactions with these parties after August 17, 2022, are not presented in the table above.
v3.22.4
Segment Disclosures and Related Information (Tables)
12 Months Ended
Dec. 31, 2022
Segment Reporting [Abstract]  
Schedule of Analysis of Results by Operating Segment
 Millions of Dollars
 202220212020
Sales and Other Operating Revenues*
Midstream
Total sales$19,121 11,714 5,855 
Intersegment eliminations(2,932)(2,901)(1,681)
Total Midstream16,189 8,813 4,174 
Chemicals 
Refining
Total sales112,725 75,096 42,181 
Intersegment eliminations(71,127)(46,122)(24,151)
Total Refining41,598 28,974 18,030 
Marketing and Specialties
Total sales115,622 75,583 43,130 
Intersegment eliminations(3,453)(1,929)(1,238)
Total Marketing and Specialties112,169 73,654 41,892 
Corporate and Other34 32 30 
Consolidated sales and other operating revenues$169,990 111,476 64,129 
* See Note 5—Sales and Other Operating Revenues, for further details on our disaggregated sales and other operating revenues.
Equity in Earnings (Losses) of Affiliates
Midstream$916 877 761 
Chemicals842 1,832 625 
Refining747 (184)(376)
Marketing and Specialties463 379 181 
Corporate and Other — — 
Consolidated equity in earnings of affiliates$2,968 2,904 1,191 
Depreciation, Amortization and Impairments*
Midstream$569 634 1,778 
Chemicals — — 
Refining879 2,272 3,659 
Marketing and Specialties110 114 103 
Corporate and Other131 83 107 
Consolidated depreciation, amortization and impairments$1,689 3,103 5,647 
* See Note 11—Impairments, for further details on impairments by segment.
 Millions of Dollars
 202220212020
Interest Income and Expense
Interest income
Corporate and Other$82 11 14 
Interest and debt expense
Corporate and Other$619 581 499 
Income (Loss) Before Income Taxes
Midstream$4,734 1,500 (116)
Chemicals856 1,844 635 
Refining7,816 (2,353)(6,023)
Marketing and Specialties2,402 1,723 1,421 
Corporate and Other(1,169)(974)(881)
Consolidated income (loss) before income taxes$14,639 1,740 (4,964)
Investments In and Advances To Affiliates
Midstream$4,271 3,978 4,255 
Chemicals6,785 6,369 6,126 
Refining2,484 2,340 2,202 
Marketing and Specialties883 750 744 
Corporate and Other2 — 
Consolidated investments in and advances to affiliates$14,425 13,439 13,327 
Total Assets
Midstream$30,273 15,546 15,196 
Chemicals6,785 6,453 6,183 
Refining21,581 20,338 20,804 
Marketing and Specialties9,939 8,505 7,180 
Corporate and Other7,864 4,752 5,358 
Consolidated total assets$76,442 55,594 54,721 
 Millions of Dollars
 202220212020
Capital Expenditures and Investments
Midstream$1,043 733 1,735 
Chemicals — — 
Refining928 784 828 
Marketing and Specialties89 202 173 
Corporate and Other134 141 184 
Consolidated capital expenditures and investments$2,194 1,860 2,920 
Schedule of Reconciliation of Assets from Segment to Consolidated
Long-lived assets, defined as net PP&E plus investments and long-term receivables, by geographic location at December 31 were: 

 Millions of Dollars
 202220212020
United States$48,286 34,882 35,273 
United Kingdom1,349 1,323 1,313 
Germany391 605 653 
Other foreign countries87 96 101 
Worldwide consolidated$50,113 36,906 37,340 
v3.22.4
DCP Midstream Class A Segment (Tables)
12 Months Ended
Dec. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Schedule of Variable Interest Entities
The most significant assets of DCP Midstream Class A Segment that are available to settle only its obligations, along with its most significant liabilities for which its creditors do not have recourse to Phillips 66’s general credit, were:

Millions of Dollars
December 31, 2022
Accounts receivable, trade*$988 
Net properties, plants and equipment9,297 
Investments in unconsolidated affiliates**2,161 
Accounts payable1,239 
Short-term debt504 
Long-term debt4,248 
* Included in the “Accounts and notes receivable” line item on the Phillips 66 consolidated balance sheet.
** Included in the “Investments and long-term receivables” line item on the Phillips 66 consolidated balance sheet.
v3.22.4
Summary of Significant Accounting Policies (Details)
12 Months Ended
Dec. 31, 2022
reporting_unit
Summary of Significant Accounting Policies [Line Items]  
Number of reporting units for purposes of testing goodwill for impairment 2
Payment term (in days) 30 days
2013 Omnibus Stock And Performance Incentive Plan Of Phillips 66  
Summary of Significant Accounting Policies [Line Items]  
Minimum time required for an award not to be subject to forfeiture (in months) 6 months
Eligible retirement age 55
Years of service (in years) 5 years
Minimum  
Summary of Significant Accounting Policies [Line Items]  
Length of construction period for interest capitalization (in years) 1 year
v3.22.4
DCP Midstream, LLC and Gray Oak Holdings LLC Merger (Details) - class
Aug. 17, 2022
Aug. 16, 2022
Merger of DCP Midstream, LLC and Gray Oak Holdings LLC    
Schedule of Equity Method Investments [Line Items]    
Number of classes of membership created 2  
Gray Oak Holdings LLC    
Schedule of Equity Method Investments [Line Items]    
Percentage of ownership   65.00%
DCP Midstream, LP | Variable Interest Entity, Primary Beneficiary    
Schedule of Equity Method Investments [Line Items]    
Indirect economic interests 43.31%  
DCP Midstream Class A Segment | DCP Midstream, LP    
Schedule of Equity Method Investments [Line Items]    
Percentage of ownership 76.64%  
DCP Sand Hills And DCP Southern Hills    
Schedule of Equity Method Investments [Line Items]    
Percentage of ownership 62.21%  
Direct and indirect economic interest 33.33%  
DCP Midstream, LLC    
Schedule of Equity Method Investments [Line Items]    
Percentage of ownership interest   50.00%
DCP Midstream, LLC | Enbridge Inc    
Schedule of Equity Method Investments [Line Items]    
Percentage of ownership interest   50.00%
DCP Midstream, LP    
Schedule of Equity Method Investments [Line Items]    
Indirect economic interest   28.26%
Gray Oak Holdings LLC | Enbridge Inc | Gray Oak Holdings LLC    
Schedule of Equity Method Investments [Line Items]    
Percentage of ownership interest   35.00%
Gray Oak Pipeline LLC    
Schedule of Equity Method Investments [Line Items]    
Indirect economic interest   42.25%
Gray Oak Pipeline LLC | Class B Membership    
Schedule of Equity Method Investments [Line Items]    
Indirect economic interest 6.50%  
Gray Oak Pipeline LLC | Gray Oak Holdings LLC    
Schedule of Equity Method Investments [Line Items]    
Percentage of ownership interest   65.00%
Gray Oak Pipeline LLC | Enbridge Inc    
Schedule of Equity Method Investments [Line Items]    
Indirect economic interest   22.75%
Gray Oak Pipeline LLC | DCP Midstream Class B Segment    
Schedule of Equity Method Investments [Line Items]    
Percentage of ownership 10.00%  
DCP Sand Hills and Southern Hills    
Schedule of Equity Method Investments [Line Items]    
Direct ownership interest   52.17%
DCP Sand Hills and Southern Hills | DCP Midstream, LP | Variable Interest Entity, Primary Beneficiary    
Schedule of Equity Method Investments [Line Items]    
Percentage of ownership 66.67%  
v3.22.4
Business Combination - Narrative (Details) - Merger of DCP Midstream, LLC and Gray Oak Holdings LLC - USD ($)
$ in Millions
12 Months Ended
Aug. 17, 2022
Dec. 31, 2021
Schedule of Equity Method Investments [Line Items]    
Cash contributed $ 404  
Fair value of previously held equity interests 3,853  
Fair value of transferred equity interest 634  
Gain from remeasuring previously held equity investments to fair value $ 2,831 $ 2,831
Variable Interest Entity, Primary Beneficiary | DCP Midstream, LP    
Schedule of Equity Method Investments [Line Items]    
Ownership interest acquired (as a percent) 15.05%  
Gray Oak Pipeline LLC    
Schedule of Equity Method Investments [Line Items]    
Gain from remeasuring previously held equity investments to fair value $ 182  
Enbridge Inc | Gray Oak Pipeline LLC    
Schedule of Equity Method Investments [Line Items]    
Transferred indirect economic interest (as a percent) 35.75%  
v3.22.4
Business Combination - Schedule of Fair Value of Consideration Transferred (Details) - Merger of DCP Midstream, LLC and Gray Oak Holdings LLC
$ in Millions
Aug. 17, 2022
USD ($)
Business Acquisition [Line Items]  
Cash contributed $ 404
Fair value of transferred equity interest 634
Fair value of previously held equity interests 3,853
Total merger consideration $ 4,891
v3.22.4
Business Combination - Schedule of Purchase Price Allocation (Details) - Merger of DCP Midstream, LLC and Gray Oak Holdings LLC
$ in Millions
Aug. 17, 2022
USD ($)
Fair value of assets acquired:  
Cash and cash equivalents $ 98
Accounts and notes receivable 1,003
Inventories 74
Prepaid expenses and other current assets 439
Investments and long-term receivables 2,198
Properties, plants and equipment 12,838
Intangibles 36
Other assets 343
Total assets acquired 17,029
Fair value of liabilities assumed:  
Accounts payable 912
Short-term debt 623
Accrued income and other taxes 96
Employee benefit obligation—current 50
Other accruals 497
Long-term debt 4,553
Asset retirement obligations and accrued environmental costs 168
Deferred income taxes 59
Employee benefit obligations 54
Other liabilities and deferred credits 227
Total liabilities assumed 7,239
Fair value of net assets 9,790
Less: Fair value of noncontrolling interests 4,899
Total merger consideration $ 4,891
v3.22.4
Business Combination - Schedule of Other Operating Cost and Expense (Details) - Merger of DCP Midstream, LLC and Gray Oak Holdings LLC
$ in Millions
4 Months Ended
Dec. 31, 2022
USD ($)
Schedule of Equity Method Investments [Line Items]  
Sales and other operating revenues $ 4,531
Net Income Attributable to Phillips 66 $ 216
v3.22.4
Business Combination - Schedule of Unaudited Pro Forma Financial Information (Details) - Merger of DCP Midstream, LLC and Gray Oak Holdings LLC - USD ($)
$ / shares in Units, $ in Millions
3 Months Ended 12 Months Ended
Dec. 31, 2021
Dec. 31, 2022
Dec. 31, 2021
Business Acquisition [Line Items]      
Sales and other operating revenues (millions) $ 177,127 $ 119,027
Net Income Attributable to Phillips 66 (millions) $ 8,847 $ 3,360
Net Income Attributable to Phillips 66 per share—basic (in dollars per share) $ 18.74 $ 7.61
Net Income Attributable to Phillips 66 per share—diluted (in dollars per share) $ 18.68 $ 7.60
v3.22.4
Sales and Other Operating Revenues - Disaggregated (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Revenue from External Customer [Line Items]      
Sales and Other Operating Revenues $ 169,990 $ 111,476 $ 64,129
United States      
Revenue from External Customer [Line Items]      
Sales and Other Operating Revenues 136,995 87,973 48,711
United Kingdom      
Revenue from External Customer [Line Items]      
Sales and Other Operating Revenues 16,741 11,132 7,031
Germany      
Revenue from External Customer [Line Items]      
Sales and Other Operating Revenues 6,392 4,290 3,034
Other foreign countries      
Revenue from External Customer [Line Items]      
Sales and Other Operating Revenues 9,862 8,081 5,353
Refined petroleum products      
Revenue from External Customer [Line Items]      
Sales and Other Operating Revenues 131,798 89,020 49,768
Crude oil resales      
Revenue from External Customer [Line Items]      
Sales and Other Operating Revenues 20,574 12,801 9,114
NGL and natural gas      
Revenue from External Customer [Line Items]      
Sales and Other Operating Revenues 16,174 9,074 4,084
Services and other      
Revenue from External Customer [Line Items]      
Sales and Other Operating Revenues $ 1,444 $ 581 $ 1,163
v3.22.4
Sales and Other Operating Revenues - Narrative (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Revenue from External Customer [Line Items]    
Accounts receivable, before allowance for credit loss $ 8,749 $ 6,140
Contract with customer 505 466
Contract with customer, liability 156 $ 90
Remaining performance obligations $ 445  
Minimum    
Revenue from External Customer [Line Items]    
Customer contracts, term (in years) 5 years  
Maximum    
Revenue from External Customer [Line Items]    
Customer contracts, term (in years) 15 years  
Weighted Average    
Revenue from External Customer [Line Items]    
Weighted average remaining life (in years) 3 years  
v3.22.4
Credit Losses (Details) - USD ($)
$ in Millions
Dec. 31, 2022
Dec. 31, 2021
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract]    
Accounts and notes receivable $ 10,985 $ 7,470
Allowance for accounts and notes receivable $ 67 $ 44
Accounts and notes receivable, percent outstanding less than 60 days (as a percent) 95.00%  
v3.22.4
Inventories - Schedule of Inventory (Details) - USD ($)
$ in Millions
Dec. 31, 2022
Dec. 31, 2021
Inventory Disclosure [Abstract]    
Crude oil and petroleum products $ 2,914 $ 3,024
Materials and supplies 362 370
Inventories $ 3,276 $ 3,394
v3.22.4
Inventories - Narrative (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Inventory Disclosure [Abstract]    
LIFO inventory amount $ 2,635 $ 2,792
Estimated excess of current replacement cost over LIFO cost of inventories 6,300 5,700
Increase (decrease) on net income (loss) from LIFO inventory liquidations $ 75 $ 101
v3.22.4
Investments, Loans and Long-Term Receivables - Schedule of Components of Investments, Loans, and Long-Term Receivables (Details) - USD ($)
$ in Millions
Dec. 31, 2022
Dec. 31, 2021
Investments, All Other Investments [Abstract]    
Equity investments $ 14,414 $ 12,832
Other investments 207 680
Loans and long-term receivables 329 959
Total $ 14,950 $ 14,471
v3.22.4
Investments, Loans and Long-Term Receivables - Chevron Phillips Chemical Company LLC (CPChem) (Details) - USD ($)
$ in Millions
Dec. 31, 2022
Dec. 31, 2021
Schedule of Equity Method Investments [Line Items]    
Equity investments $ 14,414 $ 12,832
Chevron Phillips Chemical Company LLC    
Schedule of Equity Method Investments [Line Items]    
Percentage of ownership interest 50.00%  
Equity investments $ 6,785 $ 6,369
v3.22.4
Investments, Loans and Long-Term Receivables - WRB Refining LP (WRB) (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Schedule of Equity Method Investments [Line Items]      
Equity investments $ 14,414 $ 12,832  
WRB Refining LP      
Schedule of Equity Method Investments [Line Items]      
Percentage of ownership interest 50.00% 50.00%  
Amortization period (in years) 26 years    
Equity investments, basis difference $ 1,878    
Equity investment, amortization of basis difference 184 $ 186 $ 180
Equity investments $ 2,411 $ 1,652  
v3.22.4
Investments, Loans and Long-Term Receivables - Gulf Coast Express LLC (Details) - Variable Interest Entity, Primary Beneficiary - DCP Midstream, LP
$ in Millions
12 Months Ended
Dec. 31, 2022
USD ($)
Gulf Coast Express LLC  
Schedule of Equity Method Investments [Line Items]  
Equity investments, basis difference $ 437
Fair value of investment $ 844
Gulf Coast Express LLC  
Schedule of Equity Method Investments [Line Items]  
Percentage of ownership interest 25.00%
v3.22.4
Investments, Loans and Long-Term Receivables - Dakota Access, LLC (Dakota Access) and Energy Transfer Crude Oil Company, LLC (ETCO) (Details)
$ in Millions
1 Months Ended 3 Months Ended 12 Months Ended
Apr. 01, 2022
USD ($)
Mar. 31, 2022
USD ($)
Mar. 31, 2022
USD ($)
Dec. 31, 2022
USD ($)
pipeline
joint_venture
Dec. 31, 2021
USD ($)
Schedule of Equity Method Investments [Line Items]          
Equity investments       $ 14,414 $ 12,832
Dakota Access, LLC          
Schedule of Equity Method Investments [Line Items]          
Scheduled interest payments annually       20  
Dakota Access, LLC | Senior Notes          
Schedule of Equity Method Investments [Line Items]          
Repayments of debt $ 650        
Debt issued and guaranteed       $ 1,850  
DAPL and ETCOP          
Schedule of Equity Method Investments [Line Items]          
Percentage of ownership interest   25.00% 25.00% 25.00%  
Capital contribution   $ 89      
Deferred distributions     $ 74    
Maximum exposure, undiscounted       $ 467  
Equity investments       $ 675 $ 574
DAPL and ETCOP | Senior Notes          
Schedule of Equity Method Investments [Line Items]          
Share of debt repayment   $ 163      
Variable Interest Entity, Primary Beneficiary | DAPL and ETCOP | Phillips 66 Partners LP          
Schedule of Equity Method Investments [Line Items]          
Number of joint ventures | joint_venture       2  
Percentage of ownership interest       25.00%  
Number of pipelines | pipeline       2  
v3.22.4
Investments, Loans and Long-Term Receivables - Front Range Pipeline LLC (Front Range) (Details) - Variable Interest Entity, Primary Beneficiary - DCP Midstream, LP
$ in Millions
12 Months Ended
Dec. 31, 2022
USD ($)
Front Range Pipeline LLC  
Schedule of Equity Method Investments [Line Items]  
Equity investments, basis difference $ 308
Fair value of previously held equity interests $ 499
Front Range Pipeline LLC  
Schedule of Equity Method Investments [Line Items]  
Percentage of ownership interest 33.00%
v3.22.4
Investments, Loans and Long-Term Receivables - Rockies Express Pipeline LLC (REX) (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Schedule of Equity Method Investments [Line Items]      
Equity investments $ 14,414 $ 12,832  
Rockies Express Pipeline LLC      
Schedule of Equity Method Investments [Line Items]      
Percentage of ownership interest 25.00%    
Amortization period (in years) 25 years    
Equity investments, basis difference $ 281    
Equity investment, amortization of basis difference 19 19 $ 19
Equity investments $ 483 $ 510  
v3.22.4
Investments, Loans and Long-Term Receivables - CF United LLC (CF United) (Details) - USD ($)
$ in Millions
Dec. 31, 2022
Dec. 31, 2021
Schedule of Equity Method Investments [Line Items]    
Equity investments $ 14,414 $ 12,832
CF United LLC    
Schedule of Equity Method Investments [Line Items]    
Voting interest acquired (as a percent) 50.00%  
Economic interest acquired 47.00%  
Equity investments $ 296 $ 277
v3.22.4
Investments, Loans and Long-Term Receivables - OnCue Holdings, LLC (OnCue) (Details) - USD ($)
$ in Millions
Dec. 31, 2022
Dec. 31, 2021
Schedule of Equity Method Investments [Line Items]    
Equity investments $ 14,414 $ 12,832
OnCue Holdings LLC    
Schedule of Equity Method Investments [Line Items]    
Percentage of ownership interest 50.00%  
Maximum loss exposure $ 209  
Equity investments 138 $ 114
Maximum exposure of loss/potential amount of future payments $ 71  
v3.22.4
Investments, Loans and Long-Term Receivables - DCP Midstream, DCP Sand Hills, DCP Southern Hills, and Gray Oak Pipeline (Details) - USD ($)
$ in Millions
Aug. 17, 2022
Dec. 31, 2022
Aug. 16, 2022
Dec. 31, 2021
Schedule of Equity Method Investments [Line Items]        
Equity investments   $ 14,414   $ 12,832
Gray Oak Holdings LLC        
Schedule of Equity Method Investments [Line Items]        
Percentage of ownership     65.00%  
DCP Sand Hills Pipeline, LLC        
Schedule of Equity Method Investments [Line Items]        
Direct and indirect economic interest 33.33%      
DCP Southern Hills Pipeline, LLC        
Schedule of Equity Method Investments [Line Items]        
Direct and indirect economic interest 33.33%      
DCP Midstream, LLC        
Schedule of Equity Method Investments [Line Items]        
Percentage of ownership interest     50.00%  
Equity investments       391
DCP Midstream, LLC | Enbridge Inc        
Schedule of Equity Method Investments [Line Items]        
Percentage of ownership interest     50.00%  
Gray Oak Pipeline LLC        
Schedule of Equity Method Investments [Line Items]        
Indirect economic interest     42.25%  
Gray Oak Pipeline LLC | DCP Midstream Class B Segment        
Schedule of Equity Method Investments [Line Items]        
Decrease in indirect economic interest 6.50%      
Gray Oak Pipeline LLC | Gray Oak Holdings LLC        
Schedule of Equity Method Investments [Line Items]        
Percentage of ownership interest     65.00%  
Gray Oak Pipeline LLC | Enbridge Inc        
Schedule of Equity Method Investments [Line Items]        
Indirect economic interest     22.75%  
Gray Oak Pipeline LLC | Phillips 66 Partners LP        
Schedule of Equity Method Investments [Line Items]        
Equity investments   $ 79    
Gray Oak Pipeline LLC | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary        
Schedule of Equity Method Investments [Line Items]        
Equity investments       812
Gray Oak Pipeline LLC | Phillips 66 Partners LP | Gray Oak Holdings LLC | Variable Interest Entity, Primary Beneficiary        
Schedule of Equity Method Investments [Line Items]        
Percentage of ownership   65.00%    
Gray Oak Holdings LLC | Enbridge Inc | Gray Oak Holdings LLC        
Schedule of Equity Method Investments [Line Items]        
Percentage of ownership interest     35.00%  
DCP Sand Hills Pipeline, LLC | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary        
Schedule of Equity Method Investments [Line Items]        
Equity investments       577
DCP Southern Hills Pipeline, LLC | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary        
Schedule of Equity Method Investments [Line Items]        
Equity investments       $ 217
v3.22.4
Investments, Loans and Long-Term Receivables - Liberty Pipeline LLC (Liberty) (Details) - USD ($)
$ in Millions
3 Months Ended 12 Months Ended
Mar. 31, 2021
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Schedule of Equity Method Investments [Line Items]        
Impairment charges   $ 60 $ 1,498 $ 4,252
Equity investments   $ 14,414 $ 12,832  
Liberty Pipeline, LLC | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners LP        
Schedule of Equity Method Investments [Line Items]        
Impairment charges $ 198      
Equity investments $ 46      
v3.22.4
Investments, Loans and Long-Term Receivables - Other Investments (Details) - USD ($)
shares in Millions, $ in Millions
1 Months Ended 12 Months Ended
Sep. 30, 2021
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Schedule of Equity Method Investments [Line Items]        
Unrealized investment (gain) loss   $ (433) $ 365 $ 0
NOVONIX Limited        
Schedule of Equity Method Investments [Line Items]        
Shares acquired (in shares) 78      
Percent ownership of equity securities investment (as a percent) 16.00%      
Equity securities   78 520  
Unrealized investment (gain) loss   442 370  
Equity securities, FV-NI, unrealized loss   433    
Unrealized foreign currency gain (loss)   $ 9 5  
Equity securities, FV-NI, unrealized gain     $ 365  
v3.22.4
Investments, Loans and Long-Term Receivables - Related Party Loan (Details) - WRB Refining LP - USD ($)
$ in Millions
Dec. 31, 2022
Dec. 31, 2021
Schedule of Equity Method Investments [Line Items]    
Percentage of ownership interest 50.00% 50.00%
Outstanding related party loan balance   $ 595
v3.22.4
Investments, Loans and Long-Term Receivables - Additional Information (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Investments, All Other Investments [Abstract]      
Total distributions received from affiliates $ 1,832 $ 3,043 $ 1,717
Retained earnings related to undistributed earnings of affiliated companies $ 2,900    
v3.22.4
Investments, Loans and Long-Term Receivables - Summary of Financial Information for Equity Method Investments (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Schedule of Equity Method Investments [Line Items]      
Income (loss) before income taxes $ 14,639 $ 1,740 $ (4,964)
Net income 11,391 1,594 (3,714)
Current assets 21,922 14,697  
Current liabilities 15,889 12,801  
Noncontrolling interests 4,612 2,471  
Equity Method Investment, Nonconsolidated Investee or Group of Investees      
Schedule of Equity Method Investments [Line Items]      
Revenues 60,981 49,339 30,531
Income (loss) before income taxes 7,616 6,346 2,104
Net income 7,414 6,125 1,990
Current assets 7,511 7,866 6,210
Noncurrent assets 46,527 56,040 55,806
Current liabilities 5,592 7,952 5,391
Noncurrent liabilities 11,412 16,906 16,887
Noncontrolling interests $ 2 $ 3,003 $ 2,997
v3.22.4
Properties, Plants and Equipment - Narrative (Details)
12 Months Ended
Dec. 31, 2022
Refining and Processing Facilities  
Property, Plant and Equipment [Line Items]  
Useful life (in years) 25 years
Pipeline Assets  
Property, Plant and Equipment [Line Items]  
Useful life (in years) 45 years
Terminal Assets  
Property, Plant and Equipment [Line Items]  
Useful life (in years) 35 years
v3.22.4
Properties, Plants and Equipment - Schedule of Property Plant And Equipment (Details) - USD ($)
$ in Millions
Dec. 31, 2022
Dec. 31, 2021
Property, Plant and Equipment [Line Items]    
Gross PP&E $ 52,990 $ 39,797
Accum. D&A 17,827 17,362
Net PP&E 35,163 22,435
Corporate and Other    
Property, Plant and Equipment [Line Items]    
Gross PP&E 1,568 1,576
Accum. D&A 722 746
Net PP&E 846 830
Midstream | Operating Segments    
Property, Plant and Equipment [Line Items]    
Gross PP&E 25,422 12,075
Accum. D&A 3,524 3,000
Net PP&E 21,898 9,075
Chemicals | Operating Segments    
Property, Plant and Equipment [Line Items]    
Gross PP&E 0 0
Accum. D&A 0 0
Net PP&E 0 0
Refining | Operating Segments    
Property, Plant and Equipment [Line Items]    
Gross PP&E 24,200 24,327
Accum. D&A 12,523 12,581
Net PP&E 11,677 11,746
Marketing and Specialties | Operating Segments    
Property, Plant and Equipment [Line Items]    
Gross PP&E 1,800 1,819
Accum. D&A 1,058 1,035
Net PP&E $ 742 $ 784
v3.22.4
Goodwill and Intangibles - Carrying Amount of Goodwill by Segment (Details) - USD ($)
$ in Millions
1 Months Ended 12 Months Ended
Dec. 31, 2021
Dec. 31, 2022
Dec. 31, 2021
Goodwill [Roll Forward]      
Beginning balance   $ 1,484 $ 1,425
Goodwill assigned to acquisitions   2 59
Ending balance $ 1,484 1,486 1,484
Midstream      
Goodwill [Roll Forward]      
Beginning balance   626 626
Goodwill assigned to acquisitions   0 0
Ending balance 626 626 626
Marketing and Specialties      
Goodwill [Roll Forward]      
Beginning balance   858 799
Goodwill assigned to acquisitions 59 2 59
Ending balance $ 858 $ 860 $ 858
v3.22.4
Goodwill and Intangibles - Narrative (Details) - USD ($)
$ in Millions
1 Months Ended 12 Months Ended
Dec. 31, 2021
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Goodwill [Line Items]        
Goodwill assigned to acquisitions   $ 2 $ 59  
Net amortized intangible asset balance $ 98 128 98  
Amortization of intangible assets   27 26 $ 27
Estimated future amortization expense (less than)   35    
Marketing and Specialties        
Goodwill [Line Items]        
Goodwill assigned to acquisitions $ 59 $ 2 $ 59  
v3.22.4
Goodwill and Intangibles - Intangible Assets (Details) - USD ($)
$ in Millions
Dec. 31, 2022
Dec. 31, 2021
Indefinite-lived Intangible Assets [Line Items]    
Indefinite-lived intangible assets $ 703 $ 715
Trade names and trademarks    
Indefinite-lived Intangible Assets [Line Items]    
Indefinite-lived intangible assets 503 503
Refinery air and operating permits    
Indefinite-lived Intangible Assets [Line Items]    
Indefinite-lived intangible assets $ 200 $ 212
v3.22.4
Impairments - Schedule of Impairments (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Impaired Long-Lived Assets Held and Used [Line Items]      
Impairments $ 60 $ 1,498 $ 4,252
Corporate and Other      
Impaired Long-Lived Assets Held and Used [Line Items]      
Impairments 46 0 25
Midstream | Operating Segments      
Impaired Long-Lived Assets Held and Used [Line Items]      
Impairments 1 209 1,464
Refining | Operating Segments      
Impaired Long-Lived Assets Held and Used [Line Items]      
Impairments 13 1,288 2,763
Marketing and Specialties | Operating Segments      
Impaired Long-Lived Assets Held and Used [Line Items]      
Impairments $ 0 $ 1 $ 0
v3.22.4
Impairments - Narrative (Details)
$ in Millions
3 Months Ended 12 Months Ended
Sep. 30, 2021
USD ($)
Mar. 31, 2021
USD ($)
Dec. 31, 2020
USD ($)
joint_venture
Sep. 30, 2020
USD ($)
Mar. 31, 2020
USD ($)
Dec. 31, 2022
USD ($)
Dec. 31, 2021
USD ($)
Dec. 31, 2020
USD ($)
Impaired Long-Lived Assets Held and Used [Line Items]                
Impairment charges           $ 60 $ 1,498 $ 4,252
Refining                
Impaired Long-Lived Assets Held and Used [Line Items]                
Goodwill impairment         $ 1,845      
Alliance Refinery                
Impaired Long-Lived Assets Held and Used [Line Items]                
Impairment charges $ 1,298              
Fair value of PP&E 200              
Alliance Refinery | Refining                
Impaired Long-Lived Assets Held and Used [Line Items]                
Impairment charges 1,288              
Alliance Refinery | Midstream                
Impaired Long-Lived Assets Held and Used [Line Items]                
Impairment charges $ 10              
San Francisco Refinery Asset Group                
Impaired Long-Lived Assets Held and Used [Line Items]                
Impairment charges       $ 1,030        
Fair value of PP&E       $ 940        
Impairment, Long-Lived Asset, Held-for-Use, Statement of Income or Comprehensive Income [Extensible Enumeration]       Impairment charges        
PP&E impairment       $ 1,009        
Impairment, Intangible Asset, Indefinite-Lived (Excluding Goodwill), Statement of Income or Comprehensive Income [Extensible Enumeration]       Impairment charges        
San Francisco Refinery Asset Group | Refining                
Impaired Long-Lived Assets Held and Used [Line Items]                
Intangible assets impairment, excluding goodwill       $ 21        
San Francisco Refinery Asset Group | Midstream                
Impaired Long-Lived Assets Held and Used [Line Items]                
PP&E impairment       120        
Liberty Pipeline, LLC | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary                
Impaired Long-Lived Assets Held and Used [Line Items]                
Impairment charges   $ 198            
Red Oak Pipeline, LLC                
Impaired Long-Lived Assets Held and Used [Line Items]                
Equity method investment impairment       $ 84        
Phillips 66 Partners Terminal And STACK Pipeline | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary                
Impaired Long-Lived Assets Held and Used [Line Items]                
Equity method investment impairment     $ 96          
Number of joint ventures impaired | joint_venture     2          
DCP Midstream, LLC                
Impaired Long-Lived Assets Held and Used [Line Items]                
Equity method investment impairment         $ 1,161      
Equity method investment, decline in market value (as a percent)         85.00%      
v3.22.4
Asset Retirement Obligations and Accrued Environmental Costs - Summary of Asset Retirement Obligations and Accrued Environmental Costs (Details) - USD ($)
$ in Millions
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Asset Retirement Obligation And Accrual For Environmental Cost Disclosure [Abstract]      
Asset retirement obligations $ 565 $ 395 $ 309
Accrued environmental costs 434 436  
Total asset retirement obligations and accrued environmental costs 999 831  
Asset retirement obligations and accrued environmental costs due within one year* (120) (104)  
Long-term asset retirement obligations and accrued environmental costs $ 879 $ 727  
Environmental Loss Contingency, Statement of Financial Position [Extensible Enumeration] Other Liabilities, Current Other Liabilities, Current  
v3.22.4
Asset Retirement Obligations and Accrued Environmental Costs - Schedule of Change in Overall Asset Retirement Obligation (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward]    
Balance at January 1 $ 395 $ 309
Accretion of discount 15 14
New obligations 7 22
Acquisition of DCP Midstream Class A Segment, DCP Sand Hills and DCP Southern Hills 168 0
Changes in estimates of existing obligations 17 66
Spending on existing obligations (32) (12)
Foreign currency translation (5) (4)
Balance at December 31 $ 565 $ 395
v3.22.4
Asset Retirement Obligations and Accrued Environmental Costs - Narrative (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Site Contingency [Line Items]    
Asset retirement balance increase for the period $ 170  
Accrued environmental costs 434 $ 436
Acquired through Business Combination    
Site Contingency [Line Items]    
Accrued environmental costs 240  
Expected future undiscounted payments related to the portion of the accrued environmental costs that have been discounted    
Expected future undiscounted payments, due in 2023 12  
Expected future undiscounted payments, due in 2024 28  
Expected future undiscounted payments, due in 2025 21  
Expected future undiscounted payments, due in 2026 17  
Expected future undiscounted payments, due in 2027 17  
Expected future undiscounted payments, due for all future years after 2027 $ 204  
Weighted Average | Acquired through Business Combination    
Site Contingency [Line Items]    
Accrued environmental costs, discount rate, percent 5.00%  
Domestic Refineries and Underground Sites    
Site Contingency [Line Items]    
Accrued environmental costs $ 265  
Nonoperator sites    
Site Contingency [Line Items]    
Accrued environmental costs 119  
Other sites    
Site Contingency [Line Items]    
Accrued environmental costs $ 50  
v3.22.4
Earnings (Loss) Per Share (Details) - USD ($)
$ / shares in Units, shares in Thousands, $ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Basic      
Net income (loss) attributable to Phillips 66 $ 11,024 $ 1,317 $ (3,975)
Income allocated to participating securities (10) (9) (8)
Net income (loss) available to common stockholders $ 11,014 $ 1,306 $ (3,983)
Weighted-average common shares outstanding (in shares) 469,436 437,886 437,327
Effect of share-based compensation (in shares) 2,061 2,142 2,203
Weighted-average commons shares outstanding (in shares) 471,497 440,028 439,530
Earnings (Loss) Per Share of Common Stock (in dollars per share) $ 23.36 $ 2.97 $ (9.06)
Diluted      
Net income (loss) attributable to Phillips 66 $ 11,024 $ 1,317 $ (3,975)
Income allocated to participating securities 0 (9) (8)
Net income (loss) available to common stockholders $ 11,024 $ 1,306 $ (3,983)
Weighted-average commons shares outstanding (in shares) 471,497 440,028 439,530
Effect of share-based compensation (in shares) 2,234 336 0
Weighted-average common shares outstanding—EPS (in shares) 473,731 440,364 439,530
Earnings (Loss) Per Share of Common Stock (in dollars per share) $ 23.27 $ 2.97 $ (9.06)
Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Basic      
Premium paid for the repurchase of noncontrolling interests $ 0 $ (2) $ 0
Diluted      
Premium paid for the repurchase of noncontrolling interests $ 0 $ (2) $ 0
v3.22.4
Debt - Schedule of Long-Term Debt (Details) - USD ($)
$ in Millions
Dec. 31, 2022
Apr. 30, 2022
Dec. 31, 2021
Debt Instrument [Line Items]      
Debt at face value $ 17,158   $ 14,251
Finance leases 257   290
Software obligations 20   16
Net unamortized discounts, debt issuance costs and acquisition fair value adjustments (245)   (109)
Total debt 17,190   14,448
Short-term debt (529)   (1,489)
Long-term debt 16,661   12,959
Phillips 66      
Debt Instrument [Line Items]      
Debt at face value 8,826   10,326
Phillips 66 Company      
Debt Instrument [Line Items]      
Debt at face value 3,220    
Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Debt at face value 247    
Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Debt at face value     $ 3,925
DCP Midstream, LP      
Debt Instrument [Line Items]      
Debt at face value 4,865    
4.300% Senior Notes due April 2022 | Senior Notes      
Debt Instrument [Line Items]      
Debt interest rate (as a percent)   4.30% 4.30%
Short-term debt 0   $ (1,000)
4.300% Senior Notes due April 2022 | Senior Notes | Phillips 66      
Debt Instrument [Line Items]      
Short-term debt 0   (1,000)
4.300% Senior Notes due April 2022 | Senior Notes | Phillips 66 Company      
Debt Instrument [Line Items]      
Short-term debt 0    
4.300% Senior Notes due April 2022 | Senior Notes | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Short-term debt 0    
4.300% Senior Notes due April 2022 | Senior Notes | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Short-term debt     0
4.300% Senior Notes due April 2022 | Senior Notes | DCP Midstream, LP      
Debt Instrument [Line Items]      
Short-term debt $ 0    
3.875% Senior Notes due March 2023 | Senior Notes      
Debt Instrument [Line Items]      
Debt interest rate (as a percent) 3.875%    
Debt $ 500   0
3.875% Senior Notes due March 2023 | Senior Notes | Phillips 66      
Debt Instrument [Line Items]      
Debt 0   0
3.875% Senior Notes due March 2023 | Senior Notes | Phillips 66 Company      
Debt Instrument [Line Items]      
Debt 0    
3.875% Senior Notes due March 2023 | Senior Notes | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Debt 0    
3.875% Senior Notes due March 2023 | Senior Notes | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Debt     $ 0
3.875% Senior Notes due March 2023 | Senior Notes | DCP Midstream, LP      
Debt Instrument [Line Items]      
Debt $ 500    
3.700% Senior Notes due April 2023 | Senior Notes      
Debt Instrument [Line Items]      
Debt interest rate (as a percent) 3.70%   3.70%
Debt $ 0   $ 500
3.700% Senior Notes due April 2023 | Senior Notes | Phillips 66      
Debt Instrument [Line Items]      
Debt 0   500
3.700% Senior Notes due April 2023 | Senior Notes | Phillips 66 Company      
Debt Instrument [Line Items]      
Debt 0    
3.700% Senior Notes due April 2023 | Senior Notes | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Debt 0    
3.700% Senior Notes due April 2023 | Senior Notes | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Debt     0
3.700% Senior Notes due April 2023 | Senior Notes | DCP Midstream, LP      
Debt Instrument [Line Items]      
Debt $ 0    
0.900% Senior Notes due February 2024 | Senior Notes      
Debt Instrument [Line Items]      
Debt interest rate (as a percent) 0.90%    
Debt $ 800   800
0.900% Senior Notes due February 2024 | Senior Notes | Phillips 66      
Debt Instrument [Line Items]      
Debt 800   800
0.900% Senior Notes due February 2024 | Senior Notes | Phillips 66 Company      
Debt Instrument [Line Items]      
Debt 0    
0.900% Senior Notes due February 2024 | Senior Notes | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Debt 0    
0.900% Senior Notes due February 2024 | Senior Notes | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Debt     0
0.900% Senior Notes due February 2024 | Senior Notes | DCP Midstream, LP      
Debt Instrument [Line Items]      
Debt $ 0    
2.450% Senior Notes due December 2024 | Senior Notes      
Debt Instrument [Line Items]      
Debt interest rate (as a percent) 2.45%    
Debt $ 300   300
2.450% Senior Notes due December 2024 | Senior Notes | Phillips 66      
Debt Instrument [Line Items]      
Debt 0   0
2.450% Senior Notes due December 2024 | Senior Notes | Phillips 66 Company      
Debt Instrument [Line Items]      
Debt 277    
2.450% Senior Notes due December 2024 | Senior Notes | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Debt 23    
2.450% Senior Notes due December 2024 | Senior Notes | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Debt     300
2.450% Senior Notes due December 2024 | Senior Notes | DCP Midstream, LP      
Debt Instrument [Line Items]      
Debt $ 0    
3.605% Senior Notes due February 2025 | Senior Notes      
Debt Instrument [Line Items]      
Debt interest rate (as a percent) 3.605%    
Debt $ 500   500
3.605% Senior Notes due February 2025 | Senior Notes | Phillips 66      
Debt Instrument [Line Items]      
Debt 0   0
3.605% Senior Notes due February 2025 | Senior Notes | Phillips 66 Company      
Debt Instrument [Line Items]      
Debt 441    
3.605% Senior Notes due February 2025 | Senior Notes | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Debt 59    
3.605% Senior Notes due February 2025 | Senior Notes | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Debt     500
3.605% Senior Notes due February 2025 | Senior Notes | DCP Midstream, LP      
Debt Instrument [Line Items]      
Debt $ 0    
3.850% Senior Notes due April 2025 | Senior Notes      
Debt Instrument [Line Items]      
Debt interest rate (as a percent) 3.85%    
Debt $ 650   650
3.850% Senior Notes due April 2025 | Senior Notes | Phillips 66      
Debt Instrument [Line Items]      
Debt 650   650
3.850% Senior Notes due April 2025 | Senior Notes | Phillips 66 Company      
Debt Instrument [Line Items]      
Debt 0    
3.850% Senior Notes due April 2025 | Senior Notes | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Debt 0    
3.850% Senior Notes due April 2025 | Senior Notes | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Debt     0
3.850% Senior Notes due April 2025 | Senior Notes | DCP Midstream, LP      
Debt Instrument [Line Items]      
Debt $ 0    
5.375% Senior Notes due July 2025 | Senior Notes      
Debt Instrument [Line Items]      
Debt interest rate (as a percent) 5.375%    
Debt $ 825   0
5.375% Senior Notes due July 2025 | Senior Notes | Phillips 66      
Debt Instrument [Line Items]      
Debt 0   0
5.375% Senior Notes due July 2025 | Senior Notes | Phillips 66 Company      
Debt Instrument [Line Items]      
Debt 0    
5.375% Senior Notes due July 2025 | Senior Notes | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Debt 0    
5.375% Senior Notes due July 2025 | Senior Notes | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Debt     0
5.375% Senior Notes due July 2025 | Senior Notes | DCP Midstream, LP      
Debt Instrument [Line Items]      
Debt $ 825    
1.300% Senior Notes due February 2026 | Senior Notes      
Debt Instrument [Line Items]      
Debt interest rate (as a percent) 1.30%    
Debt $ 500   500
1.300% Senior Notes due February 2026 | Senior Notes | Phillips 66      
Debt Instrument [Line Items]      
Debt 500   500
1.300% Senior Notes due February 2026 | Senior Notes | Phillips 66 Company      
Debt Instrument [Line Items]      
Debt 0    
1.300% Senior Notes due February 2026 | Senior Notes | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Debt 0    
1.300% Senior Notes due February 2026 | Senior Notes | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Debt     0
1.300% Senior Notes due February 2026 | Senior Notes | DCP Midstream, LP      
Debt Instrument [Line Items]      
Debt $ 0    
3.550% Senior Notes due October 2026 | Senior Notes      
Debt Instrument [Line Items]      
Debt interest rate (as a percent) 3.55%    
Debt $ 492   500
3.550% Senior Notes due October 2026 | Senior Notes | Phillips 66      
Debt Instrument [Line Items]      
Debt 0   0
3.550% Senior Notes due October 2026 | Senior Notes | Phillips 66 Company      
Debt Instrument [Line Items]      
Debt 458    
3.550% Senior Notes due October 2026 | Senior Notes | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Debt 34    
3.550% Senior Notes due October 2026 | Senior Notes | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Debt     500
3.550% Senior Notes due October 2026 | Senior Notes | DCP Midstream, LP      
Debt Instrument [Line Items]      
Debt $ 0    
5.625% Senior Notes due July 2027 | Senior Notes      
Debt Instrument [Line Items]      
Debt interest rate (as a percent) 5.625%    
Debt $ 500   0
5.625% Senior Notes due July 2027 | Senior Notes | Phillips 66      
Debt Instrument [Line Items]      
Debt 0   0
5.625% Senior Notes due July 2027 | Senior Notes | Phillips 66 Company      
Debt Instrument [Line Items]      
Debt 0    
5.625% Senior Notes due July 2027 | Senior Notes | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Debt 0    
5.625% Senior Notes due July 2027 | Senior Notes | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Debt     0
5.625% Senior Notes due July 2027 | Senior Notes | DCP Midstream, LP      
Debt Instrument [Line Items]      
Debt $ 500    
3.750% Senior Notes due March 2028 | Senior Notes      
Debt Instrument [Line Items]      
Debt interest rate (as a percent) 3.75%    
Debt $ 500   500
3.750% Senior Notes due March 2028 | Senior Notes | Phillips 66      
Debt Instrument [Line Items]      
Debt 0   0
3.750% Senior Notes due March 2028 | Senior Notes | Phillips 66 Company      
Debt Instrument [Line Items]      
Debt 427    
3.750% Senior Notes due March 2028 | Senior Notes | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Debt 73    
3.750% Senior Notes due March 2028 | Senior Notes | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Debt     500
3.750% Senior Notes due March 2028 | Senior Notes | DCP Midstream, LP      
Debt Instrument [Line Items]      
Debt $ 0    
3.900% Senior Notes due March 2028 | Senior Notes      
Debt Instrument [Line Items]      
Debt interest rate (as a percent) 3.90%    
Debt $ 800   800
3.900% Senior Notes due March 2028 | Senior Notes | Phillips 66      
Debt Instrument [Line Items]      
Debt 800   800
3.900% Senior Notes due March 2028 | Senior Notes | Phillips 66 Company      
Debt Instrument [Line Items]      
Debt 0    
3.900% Senior Notes due March 2028 | Senior Notes | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Debt 0    
3.900% Senior Notes due March 2028 | Senior Notes | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Debt     0
3.900% Senior Notes due March 2028 | Senior Notes | DCP Midstream, LP      
Debt Instrument [Line Items]      
Debt $ 0    
5.125% Senior Notes due May 2029 | Senior Notes      
Debt Instrument [Line Items]      
Debt interest rate (as a percent) 5.125%    
Debt $ 600   0
5.125% Senior Notes due May 2029 | Senior Notes | Phillips 66      
Debt Instrument [Line Items]      
Debt 0   0
5.125% Senior Notes due May 2029 | Senior Notes | Phillips 66 Company      
Debt Instrument [Line Items]      
Debt 0    
5.125% Senior Notes due May 2029 | Senior Notes | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Debt 0    
5.125% Senior Notes due May 2029 | Senior Notes | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Debt     0
5.125% Senior Notes due May 2029 | Senior Notes | DCP Midstream, LP      
Debt Instrument [Line Items]      
Debt $ 600    
3.150% Senior Notes due December 2029 | Senior Notes      
Debt Instrument [Line Items]      
Debt interest rate (as a percent) 3.15%    
Debt $ 600   600
3.150% Senior Notes due December 2029 | Senior Notes | Phillips 66      
Debt Instrument [Line Items]      
Debt 0   0
3.150% Senior Notes due December 2029 | Senior Notes | Phillips 66 Company      
Debt Instrument [Line Items]      
Debt 570    
3.150% Senior Notes due December 2029 | Senior Notes | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Debt 30    
3.150% Senior Notes due December 2029 | Senior Notes | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Debt     600
3.150% Senior Notes due December 2029 | Senior Notes | DCP Midstream, LP      
Debt Instrument [Line Items]      
Debt $ 0    
8.125% Senior Notes due August 2030 | Senior Notes      
Debt Instrument [Line Items]      
Debt interest rate (as a percent) 8.125%    
Debt $ 300   0
8.125% Senior Notes due August 2030 | Senior Notes | Phillips 66      
Debt Instrument [Line Items]      
Debt 0   0
8.125% Senior Notes due August 2030 | Senior Notes | Phillips 66 Company      
Debt Instrument [Line Items]      
Debt 0    
8.125% Senior Notes due August 2030 | Senior Notes | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Debt 0    
8.125% Senior Notes due August 2030 | Senior Notes | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Debt     0
8.125% Senior Notes due August 2030 | Senior Notes | DCP Midstream, LP      
Debt Instrument [Line Items]      
Debt $ 300    
2.150% Senior Notes due December 2030 | Senior Notes      
Debt Instrument [Line Items]      
Debt interest rate (as a percent) 2.15%    
Debt $ 850   850
2.150% Senior Notes due December 2030 | Senior Notes | Phillips 66      
Debt Instrument [Line Items]      
Debt 850   850
2.150% Senior Notes due December 2030 | Senior Notes | Phillips 66 Company      
Debt Instrument [Line Items]      
Debt 0    
2.150% Senior Notes due December 2030 | Senior Notes | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Debt 0    
2.150% Senior Notes due December 2030 | Senior Notes | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Debt     0
2.150% Senior Notes due December 2030 | Senior Notes | DCP Midstream, LP      
Debt Instrument [Line Items]      
Debt $ 0    
3.250% Senior Notes due February 2032 | Senior Notes      
Debt Instrument [Line Items]      
Debt interest rate (as a percent) 3.25%    
Debt $ 400   0
3.250% Senior Notes due February 2032 | Senior Notes | Phillips 66      
Debt Instrument [Line Items]      
Debt 0   0
3.250% Senior Notes due February 2032 | Senior Notes | Phillips 66 Company      
Debt Instrument [Line Items]      
Debt 0    
3.250% Senior Notes due February 2032 | Senior Notes | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Debt 0    
3.250% Senior Notes due February 2032 | Senior Notes | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Debt     0
3.250% Senior Notes due February 2032 | Senior Notes | DCP Midstream, LP      
Debt Instrument [Line Items]      
Debt $ 400    
4.650% Senior Notes due November 2034 | Senior Notes      
Debt Instrument [Line Items]      
Debt interest rate (as a percent) 4.65%    
Debt $ 1,000   1,000
4.650% Senior Notes due November 2034 | Senior Notes | Phillips 66      
Debt Instrument [Line Items]      
Debt 1,000   1,000
4.650% Senior Notes due November 2034 | Senior Notes | Phillips 66 Company      
Debt Instrument [Line Items]      
Debt 0    
4.650% Senior Notes due November 2034 | Senior Notes | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Debt 0    
4.650% Senior Notes due November 2034 | Senior Notes | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Debt     0
4.650% Senior Notes due November 2034 | Senior Notes | DCP Midstream, LP      
Debt Instrument [Line Items]      
Debt $ 0    
6.450% Senior Notes due November 2036 | Senior Notes      
Debt Instrument [Line Items]      
Debt interest rate (as a percent) 6.45%    
Debt $ 300   0
6.450% Senior Notes due November 2036 | Senior Notes | Phillips 66      
Debt Instrument [Line Items]      
Debt 0   0
6.450% Senior Notes due November 2036 | Senior Notes | Phillips 66 Company      
Debt Instrument [Line Items]      
Debt 0    
6.450% Senior Notes due November 2036 | Senior Notes | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Debt 0    
6.450% Senior Notes due November 2036 | Senior Notes | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Debt     0
6.450% Senior Notes due November 2036 | Senior Notes | DCP Midstream, LP      
Debt Instrument [Line Items]      
Debt $ 300    
6.750% Senior Notes due September 2037 | Senior Notes      
Debt Instrument [Line Items]      
Debt interest rate (as a percent) 6.75%    
Debt $ 450   0
6.750% Senior Notes due September 2037 | Senior Notes | Phillips 66      
Debt Instrument [Line Items]      
Debt 0   0
6.750% Senior Notes due September 2037 | Senior Notes | Phillips 66 Company      
Debt Instrument [Line Items]      
Debt 0    
6.750% Senior Notes due September 2037 | Senior Notes | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Debt 0    
6.750% Senior Notes due September 2037 | Senior Notes | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Debt     0
6.750% Senior Notes due September 2037 | Senior Notes | DCP Midstream, LP      
Debt Instrument [Line Items]      
Debt $ 450    
5.875% Senior Notes due May 2042 | Senior Notes      
Debt Instrument [Line Items]      
Debt interest rate (as a percent) 5.875%    
Debt $ 1,500   1,500
5.875% Senior Notes due May 2042 | Senior Notes | Phillips 66      
Debt Instrument [Line Items]      
Debt 1,500   1,500
5.875% Senior Notes due May 2042 | Senior Notes | Phillips 66 Company      
Debt Instrument [Line Items]      
Debt 0    
5.875% Senior Notes due May 2042 | Senior Notes | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Debt 0    
5.875% Senior Notes due May 2042 | Senior Notes | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Debt     0
5.875% Senior Notes due May 2042 | Senior Notes | DCP Midstream, LP      
Debt Instrument [Line Items]      
Debt $ 0    
5.850% Junior Subordinated Notes due May 2043 | Junior Subordinated Notes      
Debt Instrument [Line Items]      
Debt interest rate (as a percent) 5.85%    
Debt $ 550   0
5.850% Junior Subordinated Notes due May 2043 | Junior Subordinated Notes | Phillips 66      
Debt Instrument [Line Items]      
Debt 0   0
5.850% Junior Subordinated Notes due May 2043 | Junior Subordinated Notes | Phillips 66 Company      
Debt Instrument [Line Items]      
Debt 0    
5.850% Junior Subordinated Notes due May 2043 | Junior Subordinated Notes | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Debt 0    
5.850% Junior Subordinated Notes due May 2043 | Junior Subordinated Notes | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Debt     0
5.850% Junior Subordinated Notes due May 2043 | Junior Subordinated Notes | DCP Midstream, LP      
Debt Instrument [Line Items]      
Debt $ 550    
5.600% Senior Notes due April 2044 | Senior Notes      
Debt Instrument [Line Items]      
Debt interest rate (as a percent) 5.60%    
Debt $ 400   0
5.600% Senior Notes due April 2044 | Senior Notes | Phillips 66      
Debt Instrument [Line Items]      
Debt 0   0
5.600% Senior Notes due April 2044 | Senior Notes | Phillips 66 Company      
Debt Instrument [Line Items]      
Debt 0    
5.600% Senior Notes due April 2044 | Senior Notes | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Debt 0    
5.600% Senior Notes due April 2044 | Senior Notes | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Debt     0
5.600% Senior Notes due April 2044 | Senior Notes | DCP Midstream, LP      
Debt Instrument [Line Items]      
Debt $ 400    
4.875% Senior Notes due November 2044 | Senior Notes      
Debt Instrument [Line Items]      
Debt interest rate (as a percent) 4.875%    
Debt $ 1,700   1,700
4.875% Senior Notes due November 2044 | Senior Notes | Phillips 66      
Debt Instrument [Line Items]      
Debt 1,700   1,700
4.875% Senior Notes due November 2044 | Senior Notes | Phillips 66 Company      
Debt Instrument [Line Items]      
Debt 0    
4.875% Senior Notes due November 2044 | Senior Notes | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Debt 0    
4.875% Senior Notes due November 2044 | Senior Notes | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Debt     0
4.875% Senior Notes due November 2044 | Senior Notes | DCP Midstream, LP      
Debt Instrument [Line Items]      
Debt $ 0    
4.680% Senior Notes due February 2045 | Senior Notes      
Debt Instrument [Line Items]      
Debt interest rate (as a percent) 4.68%    
Debt $ 450   450
4.680% Senior Notes due February 2045 | Senior Notes | Phillips 66      
Debt Instrument [Line Items]      
Debt 0   0
4.680% Senior Notes due February 2045 | Senior Notes | Phillips 66 Company      
Debt Instrument [Line Items]      
Debt 442    
4.680% Senior Notes due February 2045 | Senior Notes | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Debt 8    
4.680% Senior Notes due February 2045 | Senior Notes | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Debt     450
4.680% Senior Notes due February 2045 | Senior Notes | DCP Midstream, LP      
Debt Instrument [Line Items]      
Debt $ 0    
4.900% Senior Notes due October 2046 | Senior Notes      
Debt Instrument [Line Items]      
Debt interest rate (as a percent) 4.90%    
Debt $ 625   625
4.900% Senior Notes due October 2046 | Senior Notes | Phillips 66      
Debt Instrument [Line Items]      
Debt 0   0
4.900% Senior Notes due October 2046 | Senior Notes | Phillips 66 Company      
Debt Instrument [Line Items]      
Debt 605    
4.900% Senior Notes due October 2046 | Senior Notes | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Debt 20    
4.900% Senior Notes due October 2046 | Senior Notes | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Debt     625
4.900% Senior Notes due October 2046 | Senior Notes | DCP Midstream, LP      
Debt Instrument [Line Items]      
Debt $ 0    
3.300% Senior Notes due March 2052 | Senior Notes      
Debt Instrument [Line Items]      
Debt interest rate (as a percent) 3.30%    
Debt $ 1,000   1,000
3.300% Senior Notes due March 2052 | Senior Notes | Phillips 66      
Debt Instrument [Line Items]      
Debt 1,000   1,000
3.300% Senior Notes due March 2052 | Senior Notes | Phillips 66 Company      
Debt Instrument [Line Items]      
Debt 0    
3.300% Senior Notes due March 2052 | Senior Notes | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Debt 0    
3.300% Senior Notes due March 2052 | Senior Notes | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Debt     $ 0
3.300% Senior Notes due March 2052 | Senior Notes | DCP Midstream, LP      
Debt Instrument [Line Items]      
Debt 0    
Floating Rate Term Loan due April 2022 at 0.978% at year-end 2021 | Loans Payable      
Debt Instrument [Line Items]      
Short-term debt (as a percent)     0.978%
Short term debt 0   $ 450
Floating Rate Term Loan due April 2022 at 0.978% at year-end 2021 | Loans Payable | Phillips 66      
Debt Instrument [Line Items]      
Short term debt 0   0
Floating Rate Term Loan due April 2022 at 0.978% at year-end 2021 | Loans Payable | Phillips 66 Company      
Debt Instrument [Line Items]      
Short term debt 0    
Floating Rate Term Loan due April 2022 at 0.978% at year-end 2021 | Loans Payable | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Short term debt 0    
Floating Rate Term Loan due April 2022 at 0.978% at year-end 2021 | Loans Payable | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Short term debt     450
Floating Rate Term Loan due April 2022 at 0.978% at year-end 2021 | Loans Payable | DCP Midstream, LP      
Debt Instrument [Line Items]      
Short term debt 0    
Securitization facility due August 2024 | Line of Credit      
Debt Instrument [Line Items]      
Debt 40   0
Securitization facility due August 2024 | Line of Credit | Phillips 66      
Debt Instrument [Line Items]      
Debt 0   0
Securitization facility due August 2024 | Line of Credit | Phillips 66 Company      
Debt Instrument [Line Items]      
Debt 0    
Securitization facility due August 2024 | Line of Credit | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Debt 0    
Securitization facility due August 2024 | Line of Credit | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Debt     $ 0
Securitization facility due August 2024 | Line of Credit | DCP Midstream, LP      
Debt Instrument [Line Items]      
Debt $ 40    
Floating Rate Advance Term Loan due December 2034 at 4.720% and 0.699% at year-end 2022 and 2021, respectively—related party | Loans Payable | WRB Refining LP | Equity Method Investee      
Debt Instrument [Line Items]      
Long-term debt (as a percent) 4.72%   0.699%
Debt $ 25   $ 25
Floating Rate Advance Term Loan due December 2034 at 4.720% and 0.699% at year-end 2022 and 2021, respectively—related party | Loans Payable | Phillips 66 | WRB Refining LP | Equity Method Investee      
Debt Instrument [Line Items]      
Debt 25   25
Floating Rate Advance Term Loan due December 2034 at 4.720% and 0.699% at year-end 2022 and 2021, respectively—related party | Loans Payable | Phillips 66 Company | WRB Refining LP | Equity Method Investee      
Debt Instrument [Line Items]      
Debt 0    
Floating Rate Advance Term Loan due December 2034 at 4.720% and 0.699% at year-end 2022 and 2021, respectively—related party | Loans Payable | Phillips 66 Partners LP | WRB Refining LP | Equity Method Investee      
Debt Instrument [Line Items]      
Debt 0    
Floating Rate Advance Term Loan due December 2034 at 4.720% and 0.699% at year-end 2022 and 2021, respectively—related party | Loans Payable | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary | WRB Refining LP | Equity Method Investee      
Debt Instrument [Line Items]      
Debt     0
Floating Rate Advance Term Loan due December 2034 at 4.720% and 0.699% at year-end 2022 and 2021, respectively—related party | Loans Payable | DCP Midstream, LP | WRB Refining LP | Equity Method Investee      
Debt Instrument [Line Items]      
Debt 0    
Other      
Debt Instrument [Line Items]      
Debt 1   1
Other | Phillips 66      
Debt Instrument [Line Items]      
Debt 1   1
Other | Phillips 66 Company      
Debt Instrument [Line Items]      
Debt 0    
Other | Phillips 66 Partners LP      
Debt Instrument [Line Items]      
Debt 0    
Other | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary      
Debt Instrument [Line Items]      
Debt     $ 0
Other | DCP Midstream, LP      
Debt Instrument [Line Items]      
Debt $ 0    
v3.22.4
Debt - Narrative (Details)
$ in Millions
1 Months Ended 12 Months Ended
Sep. 30, 2022
Aug. 17, 2022
USD ($)
Jun. 23, 2022
USD ($)
option
May 03, 2022
Dec. 16, 2021
USD ($)
Nov. 15, 2021
USD ($)
Apr. 30, 2022
USD ($)
Dec. 31, 2021
USD ($)
Sep. 30, 2021
USD ($)
Apr. 30, 2021
USD ($)
Feb. 28, 2021
USD ($)
Dec. 31, 2022
USD ($)
option
Dec. 31, 2021
USD ($)
Jun. 22, 2022
USD ($)
May 05, 2022
USD ($)
instrument
Apr. 19, 2022
USD ($)
Jul. 30, 2019
USD ($)
Debt Instrument [Line Items]                                  
Long-term borrowing maturities, 2023                       $ 529          
Long-term borrowing maturities, 2024                       1,163          
Long-term borrowing maturities, 2025                       1,991          
Long-term borrowing maturities, 2026                       1,004          
Long-term borrowing maturities, 2027                       505          
Commercial Paper                                  
Debt Instrument [Line Items]                                  
Line of credit facility, maximum borrowing capacity                       5,000          
Amount borrowed               $ 0       $ 0 $ 0        
Commercial Paper | Maximum                                  
Debt Instrument [Line Items]                                  
Debt term                       365 days          
DCP Midstream, LP | Variable Interest Entity, Primary Beneficiary                                  
Debt Instrument [Line Items]                                  
Long-term debt                       $ 4,248          
Senior Notes                                  
Debt Instrument [Line Items]                                  
Proceeds from senior notes           $ 982                      
3.700% Senior Notes due April 2023 | Senior Notes                                  
Debt Instrument [Line Items]                                  
Debt interest rate (as a percent)               3.70%       3.70% 3.70%        
Repayments of debt                       $ 500          
Debt               $ 500       0 $ 500        
3.700% Senior Notes due April 2023 | Senior Notes | Phillips 66 Partners LP                                  
Debt Instrument [Line Items]                                  
Debt                       0          
3.700% Senior Notes due April 2023 | Senior Notes | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary                                  
Debt Instrument [Line Items]                                  
Debt               $ 0         $ 0        
3.700% Senior Notes due April 2023 | Senior Notes | DCP Midstream, LP                                  
Debt Instrument [Line Items]                                  
Debt                       0          
4.300% Senior Notes due April 2022 | Senior Notes                                  
Debt Instrument [Line Items]                                  
Debt interest rate (as a percent)             4.30% 4.30%         4.30%        
Repayments of debt             $ 1,000                    
Term Loan Due April 2022 | Loans Payable                                  
Debt Instrument [Line Items]                                  
Repayments of debt             $ 450                    
Senior Notes, Old Notes | Senior Notes                                  
Debt Instrument [Line Items]                                  
Number of instruments | instrument                             7    
Long-term debt                             $ 3,500    
Aggregate principal early tendered for exchange                               $ 3,200  
Percent discount (as a percent)       3.00%                          
Floating Rate Senior Notes Due February 2024 | Senior Notes                                  
Debt Instrument [Line Items]                                  
Repayments of debt                         $ 450        
Redemption price, percent of principal (as a percent)               100.00%                  
3.300% Senior Notes due March 2052 | Senior Notes                                  
Debt Instrument [Line Items]                                  
Debt interest rate (as a percent)           3.30%                      
Debt issued and guaranteed           $ 1,000                      
4.300% Senior Notes due April 2022 | Senior Notes                                  
Debt Instrument [Line Items]                                  
Debt interest rate (as a percent)         4.30%                        
Repayments of debt         $ 1,000                        
Debt issued and guaranteed         $ 2,000                        
Tax Exempt Bonds Due 2021 | Tax-Exempt Bonds | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary                                  
Debt Instrument [Line Items]                                  
Repayments of debt                   $ 50              
Floating Rate Senior Note Notes Due February 2021 | Senior Notes                                  
Debt Instrument [Line Items]                                  
Repayments of debt                     $ 500            
Securitization Facility | Line of Credit                                  
Debt Instrument [Line Items]                                  
Debt               $ 0       40 0        
Securitization Facility | Line of Credit | Phillips 66 Partners LP                                  
Debt Instrument [Line Items]                                  
Debt                       0          
Securitization Facility | Line of Credit | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary                                  
Debt Instrument [Line Items]                                  
Debt               0         0        
Securitization Facility | Line of Credit | DCP Midstream, LP                                  
Debt Instrument [Line Items]                                  
Debt                       40          
Long-term Debt | Term Loan Due November 2023 | Line of Credit                                  
Debt Instrument [Line Items]                                  
Repayments of debt                 $ 500                
Short-term Debt | Floating Rate Term Loan due April 2022 at 0.978% at year-end 2021 | Line of Credit | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary                                  
Debt Instrument [Line Items]                                  
Line of credit facility, maximum borrowing capacity                   $ 450              
Debt term                   1 year              
Revolving Credit Facility | Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary                                  
Debt Instrument [Line Items]                                  
Line of credit facility, maximum borrowing capacity                           $ 750      
Amount borrowed               0         0        
Performance obligations secured by letters of credit and bank guarantees               1         1        
Revolving Credit Facility | Line of Credit                                  
Debt Instrument [Line Items]                                  
Remaining outstanding borrowing capacity               $ 5,700       6,700 $ 5,700        
Revolving Credit Facility | The Facility | Line of Credit                                  
Debt Instrument [Line Items]                                  
Line of credit facility, maximum borrowing capacity     $ 5,000                           $ 5,000
Debt instrument covenant, debt to capitalization ratio (as a percent)     65.00%                            
Line of credit facility, accordion feature, increase limit     $ 6,000                            
Number of options to extend | option     2                            
Extension term (in years)     1 year                            
Amount borrowed                       $ 0          
Secured Debt | Line of Credit | DCP Midstream, LP                                  
Debt Instrument [Line Items]                                  
Number of options to extend | option                       2          
Extension term (in years) 1 year                                
Secured Debt | The Credit Agreement | Line of Credit | DCP Midstream, LP                                  
Debt Instrument [Line Items]                                  
Line of credit facility, maximum borrowing capacity                       $ 1,400          
Line of credit facility, accordion feature, increase limit                       500          
Amount borrowed                       0          
Performance obligations secured by letters of credit and bank guarantees                       10          
Secured Debt | Securitization Facility | Line of Credit | DCP Midstream, LP                                  
Debt Instrument [Line Items]                                  
Repayments of debt   $ 470                              
Line of credit facility, maximum borrowing capacity                       350          
Line of credit facility, accordion feature, increase limit                       400          
Debt                       $ 40          
v3.22.4
Guarantees (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Guarantor Obligations [Line Items]    
Environmental accruals for known contaminations $ 434 $ 436
Joint Venture Debt Obligation Guarantees | Other Joint Ventures    
Guarantor Obligations [Line Items]    
Maximum exposure of loss/potential amount of future payments $ 170  
Joint venture debt obligations, period (in years) (up to) 3 years  
Indemnifications    
Guarantor Obligations [Line Items]    
Carrying amount of indemnifications $ 137 144
Environmental accruals for known contaminations 108 $ 106
Facilities | Residual Value Guarantees    
Guarantor Obligations [Line Items]    
Maximum exposure of loss/potential amount of future payments 514  
Railcar and Airplane | Residual Value Guarantees    
Guarantor Obligations [Line Items]    
Maximum exposure of loss/potential amount of future payments $ 156  
Railcar and Airplane | Residual Value Guarantees | Minimum    
Guarantor Obligations [Line Items]    
Lessee operating lease remaining lease term (in years) (up to) 5 years  
Railcar and Airplane | Residual Value Guarantees | Maximum    
Guarantor Obligations [Line Items]    
Lessee operating lease remaining lease term (in years) (up to) 9 years  
v3.22.4
Contingencies and Commitments (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Debt Instrument [Line Items]      
Aggregate amounts of estimated payments under long-term throughput and take-or-pay agreements - 2023 $ 319    
Aggregate amounts of estimated payments under long-term throughput and take-or-pay agreements - 2024 319    
Aggregate amounts of estimated payments under long-term throughput and take-or-pay agreements - 2025 319    
Aggregate amounts of estimated payments under long-term throughput and take-or-pay agreements - 2026 319    
Aggregate amounts of estimated payments under long-term throughput and take-or-pay agreements - 2027 319    
Aggregate amounts of estimated payments under long-term throughput and take-or-pay agreements - 2027 and after 1,013    
Total payments under long-term throughput and take-or-pay agreements 323 $ 327 $ 320
Performance Guarantee      
Debt Instrument [Line Items]      
Performance obligations secured by letters of credit and bank guarantees $ 1,134    
v3.22.4
Derivatives and Financial Instruments - Schedule of Commodity Derivative Assets and Liabilities (Details) - USD ($)
$ in Millions
Dec. 31, 2022
Dec. 31, 2021
Assets    
Liabilities $ (1,594) $ (779)
Effect of Collateral Netting 0 0
Liabilities    
Assets 1,594 779
Effect of Collateral Netting 90 49
Not Designated as Hedging Instrument | Commodity Derivatives    
Liabilities    
Effect of Collateral Netting 90 49
Total    
Assets 1,860 860
Liabilities (1,896) (877)
Net Carrying Value Presented on the Balance Sheet 54 32
Not Designated as Hedging Instrument | Commodity Derivatives | Prepaid expenses and other current assets    
Assets    
Assets 1,331 99
Liabilities (1,110) (20)
Effect of Collateral Netting 0 0
Net Carrying Value Presented on the Balance Sheet 221 79
Not Designated as Hedging Instrument | Commodity Derivatives | Other assets    
Assets    
Assets 46 3
Liabilities (1) (1)
Effect of Collateral Netting 0 0
Net Carrying Value Presented on the Balance Sheet 45 2
Not Designated as Hedging Instrument | Commodity Derivatives | Other accruals    
Liabilities    
Assets 471 758
Liabilities (750) (855)
Effect of Collateral Netting 90 49
Net Carrying Value Presented on the Balance Sheet (189) (48)
Not Designated as Hedging Instrument | Commodity Derivatives | Other liabilities and deferred credits    
Liabilities    
Assets 12 0
Liabilities (35) (1)
Effect of Collateral Netting 0 0
Net Carrying Value Presented on the Balance Sheet $ (23) $ (1)
v3.22.4
Derivatives and Financial Instruments - Schedule of Gains/(Losses) From Commodity Derivatives (Details) - Commodity derivatives - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Derivative Instruments, Gain (Loss) [Line Items]      
Net gain (loss) from commodity derivative activity $ (397) $ (747) $ 620
Sales and other operating revenues      
Derivative Instruments, Gain (Loss) [Line Items]      
Net gain (loss) from commodity derivative activity (128) (468) 436
Other income      
Derivative Instruments, Gain (Loss) [Line Items]      
Net gain (loss) from commodity derivative activity 79 34 10
Purchased crude oil and products      
Derivative Instruments, Gain (Loss) [Line Items]      
Net gain (loss) from commodity derivative activity $ (348) $ (313) $ 174
v3.22.4
Derivatives and Financial Instruments - Narrative (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Derivative Instruments and Hedging Activities Disclosure [Abstract]    
Cash collateral paid $ 93 $ 0
Estimated percentage of derivative contract volume expiring within twelve months (as a percent) 90.00% 90.00%
Payment term of receivables (in days) 30 days or less  
v3.22.4
Derivatives and Financial Instruments - Schedule of Outstanding Commodity Derivative Contracts (Details) - Commodity Derivative Assets - Short
bbl in Millions, Bcf in Millions
Dec. 31, 2022
Bcf
bbl
Dec. 31, 2021
bbl
Bcf
Crude oil, refined petroleum products, NGL and renewable feedstocks (millions of barrels)    
Derivative [Line Items]    
Commodity | bbl (25) (18)
Natural gas (billions of cubic feet)    
Derivative [Line Items]    
Commodity | Bcf (77) 0
v3.22.4
Fair Value Measurements - Summary of Fair Value of Derivative Assets and Liabilities and Effect of Counterparty Netting (Details) - USD ($)
$ in Millions
Dec. 31, 2022
Dec. 31, 2021
Assets    
Total Fair Value of Gross Assets & Liabilities $ 2,107 $ 1,538
Effect of Counterparty Netting (1,594) (779)
Effect of Collateral Netting 0 0
Difference in Carrying Value and Fair Value 0 0
Net Carrying Value Presented on the Balance Sheet 513 759
Liabilities    
Total Fair Value Gross Liabilities 17,832 16,705
Effect of Counterparty Netting (1,594) (779)
Effect of Collateral Netting (90) (49)
Difference in Carrying Value and Fair Value 977 (1,686)
Net Carrying Value Presented on the Balance Sheet 17,125 14,191
Level 1    
Assets    
Total Fair Value of Gross Assets & Liabilities 1,861 1,097
Liabilities    
Total Fair Value Gross Liabilities 1,676 463
Level 2    
Assets    
Total Fair Value of Gross Assets & Liabilities 224 441
Liabilities    
Total Fair Value Gross Liabilities 16,151 16,242
Level 3    
Assets    
Total Fair Value of Gross Assets & Liabilities 22 0
Liabilities    
Total Fair Value Gross Liabilities 5 0
Commodity Derivative Assets | Exchange-cleared instruments    
Assets    
Total Fair Value of Gross Assets & Liabilities 1,748 787
Effect of Counterparty Netting (1,582) (779)
Effect of Collateral Netting 0 0
Difference in Carrying Value and Fair Value 0 0
Net Carrying Value Presented on the Balance Sheet 166 8
Liabilities    
Total Fair Value of Gross Assets & Liabilities 1,845 825
Effect of Counterparty Netting (1,582) (779)
Effect of Collateral Netting (90) (49)
Difference in Carrying Value and Fair Value 0 0
Net Carrying Value Presented on the Balance Sheet 173 (3)
Commodity Derivative Assets | OTC instruments    
Assets    
Total Fair Value of Gross Assets & Liabilities 23  
Effect of Counterparty Netting 0  
Effect of Collateral Netting 0  
Difference in Carrying Value and Fair Value 0  
Net Carrying Value Presented on the Balance Sheet 23  
Liabilities    
Total Fair Value of Gross Assets & Liabilities 9 1
Effect of Counterparty Netting 0 0
Effect of Collateral Netting 0 0
Difference in Carrying Value and Fair Value 0 0
Net Carrying Value Presented on the Balance Sheet 9 1
Commodity Derivative Assets | Physical forward contracts    
Assets    
Total Fair Value of Gross Assets & Liabilities 89 73
Effect of Counterparty Netting (12) 0
Effect of Collateral Netting 0 0
Difference in Carrying Value and Fair Value 0 0
Net Carrying Value Presented on the Balance Sheet 77 73
Liabilities    
Total Fair Value of Gross Assets & Liabilities 42 51
Effect of Counterparty Netting (12) 0
Effect of Collateral Netting 0 0
Difference in Carrying Value and Fair Value 0 0
Net Carrying Value Presented on the Balance Sheet 30 51
Commodity Derivative Assets | Level 1 | Exchange-cleared instruments    
Assets    
Total Fair Value of Gross Assets & Liabilities 1,615 419
Liabilities    
Total Fair Value of Gross Assets & Liabilities 1,676 463
Commodity Derivative Assets | Level 1 | OTC instruments    
Assets    
Total Fair Value of Gross Assets & Liabilities 0  
Liabilities    
Total Fair Value of Gross Assets & Liabilities 0 0
Commodity Derivative Assets | Level 1 | Physical forward contracts    
Assets    
Total Fair Value of Gross Assets & Liabilities 0 0
Liabilities    
Total Fair Value of Gross Assets & Liabilities 0 0
Commodity Derivative Assets | Level 2 | Exchange-cleared instruments    
Assets    
Total Fair Value of Gross Assets & Liabilities 130 368
Liabilities    
Total Fair Value of Gross Assets & Liabilities 164 362
Commodity Derivative Assets | Level 2 | OTC instruments    
Assets    
Total Fair Value of Gross Assets & Liabilities 7  
Liabilities    
Total Fair Value of Gross Assets & Liabilities 9 1
Commodity Derivative Assets | Level 2 | Physical forward contracts    
Assets    
Total Fair Value of Gross Assets & Liabilities 86 73
Liabilities    
Total Fair Value of Gross Assets & Liabilities 42 51
Commodity Derivative Assets | Level 3 | Exchange-cleared instruments    
Assets    
Total Fair Value of Gross Assets & Liabilities 3 0
Liabilities    
Total Fair Value of Gross Assets & Liabilities 5 0
Commodity Derivative Assets | Level 3 | OTC instruments    
Assets    
Total Fair Value of Gross Assets & Liabilities 16  
Liabilities    
Total Fair Value of Gross Assets & Liabilities 0 0
Commodity Derivative Assets | Level 3 | Physical forward contracts    
Assets    
Total Fair Value of Gross Assets & Liabilities 3 0
Liabilities    
Total Fair Value of Gross Assets & Liabilities 0 0
Rabbi trust assets    
Assets    
Rabbi trust assets 126 158
Difference in Carrying Value and Fair Value 0 0
Rabbi trust assets | Level 1    
Assets    
Rabbi trust assets 126 158
Rabbi trust assets | Level 2    
Assets    
Rabbi trust assets 0 0
Rabbi trust assets | Level 3    
Assets    
Rabbi trust assets 0 0
Investment in NOVONIX    
Assets    
Rabbi trust assets 78 520
Difference in Carrying Value and Fair Value 0 0
Investment in NOVONIX | Level 1    
Assets    
Rabbi trust assets 78 520
Investment in NOVONIX | Level 2    
Assets    
Rabbi trust assets 0 0
Investment in NOVONIX | Level 3    
Assets    
Rabbi trust assets 0 0
Floating-rate debt    
Liabilities    
Debt 65 475
Difference in Carrying Value and Fair Value 0 0
Floating-rate debt | Level 1    
Liabilities    
Debt 0 0
Floating-rate debt | Level 2    
Liabilities    
Debt 65 475
Floating-rate debt | Level 3    
Liabilities    
Debt 0 0
Fixed-rate debt, excluding finance leases and software obligations    
Liabilities    
Debt 15,871 15,353
Difference in Carrying Value and Fair Value 977 (1,686)
Fixed-rate debt, excluding finance leases and software obligations | Level 1    
Liabilities    
Debt 0 0
Fixed-rate debt, excluding finance leases and software obligations | Level 2    
Liabilities    
Debt 15,871 15,353
Fixed-rate debt, excluding finance leases and software obligations | Level 3    
Liabilities    
Debt 0 0
Other investments    
Assets    
Rabbi trust assets 43  
Difference in Carrying Value and Fair Value 0  
Other investments | Level 1    
Assets    
Rabbi trust assets 42  
Other investments | Level 2    
Assets    
Rabbi trust assets 1  
Other investments | Level 3    
Assets    
Rabbi trust assets 0  
Reported Value Measurement | Floating-rate debt    
Liabilities    
Debt 65 475
Reported Value Measurement | Fixed-rate debt, excluding finance leases and software obligations    
Liabilities    
Debt $ 16,848 $ 13,667
v3.22.4
Fair Value Measurements - Narrative (Details)
3 Months Ended 12 Months Ended
Aug. 17, 2022
USD ($)
Dec. 31, 2020
USD ($)
joint_venture
Dec. 31, 2021
USD ($)
Dec. 31, 2022
USD ($)
Mar. 31, 2020
USD ($)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]          
Goodwill   $ 1,425,000,000 $ 1,484,000,000 $ 1,486,000,000  
Merger of DCP Midstream, LLC and Gray Oak Holdings LLC          
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]          
Equity method investments $ 2,198,000,000        
Properties, plants and equipment 12,838,000,000        
Gain from remeasuring previously held equity investments to fair value 2,831,000,000   $ 2,831,000,000    
Refining          
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]          
Goodwill         $ 0
Gray Oak Pipeline LLC | Merger of DCP Midstream, LLC and Gray Oak Holdings LLC          
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]          
Gain from remeasuring previously held equity investments to fair value $ 182,000,000        
Gray Oak Pipeline LLC | Merger of DCP Midstream, LLC and Gray Oak Holdings LLC | Enbridge Inc          
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]          
Transferred indirect economic interest (as a percent) 35.75%        
Phillips 66 Partners LP | Variable Interest Entity, Primary Beneficiary | Phillips 66 Partners Terminal And STACK Pipeline          
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]          
Number of joint ventures impaired | joint_venture   2      
v3.22.4
Equity (Details)
$ / shares in Units, $ in Millions
12 Months Ended 126 Months Ended
Feb. 08, 2023
$ / shares
Mar. 09, 2022
USD ($)
shares
Dec. 31, 2022
USD ($)
$ / shares
shares
Dec. 31, 2021
USD ($)
Dec. 31, 2020
USD ($)
shares
Dec. 31, 2018
USD ($)
transaction
shares
Dec. 31, 2022
USD ($)
$ / shares
shares
Nov. 07, 2022
USD ($)
Class of Stock [Line Items]                
Preferred stock authorized, shares (in shares) | shares     500,000,000       500,000,000  
Par value of preferred stock, per share (in dollars per share) | $ / shares     $ 0.01       $ 0.01  
Preferred stock outstanding, shares (in shares) | shares     0       0  
Amount authorized for stock repurchase               $ 5,000
Repurchase of common stock, shares (in shares) | shares     16,583,076   5,381,021      
Repurchase of common stock     $ 1,513 $ 0 $ 443      
Cost of shares repurchased     $ 1,540   $ 443      
Acquisition Of Phillips 66 Partners Common Units Held By Public                
Class of Stock [Line Items]                
Number of shares to be issued (in shares) | shares   41,800,000            
Decrease of treasury stock   $ 3,380            
Subsequent Event                
Class of Stock [Line Items]                
Quarterly cash dividend declared (in dollars per share) | $ / shares $ 1.05              
July 2012 Repurchase Plan                
Class of Stock [Line Items]                
Cumulative authorized amount             $ 20,000  
Repurchase of common stock, shares (in shares) | shares             175,900,000  
Cost of shares repurchased             $ 14,000  
Separately Authorized Share Repurchases In 2014 And 2018                
Class of Stock [Line Items]                
Repurchase of common stock, shares (in shares) | shares           52,400,000    
Cost of shares repurchased           $ 4,600    
Number of transactions | transaction           2    
v3.22.4
Leases - Balance Sheet (Details) - USD ($)
$ in Millions
Dec. 31, 2022
Dec. 31, 2021
Leases [Abstract]    
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] Net properties, plants and equipment Net properties, plants and equipment
Finance leases, Total right-of-use assets $ 259 $ 259
Finance Lease, Liability, Current, Statement of Financial Position [Extensible List] Debt, Current Debt, Current
Short-term debt $ 23 $ 33
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] Long-term debt Long-term debt
Long-term debt $ 234 $ 257
Finance leases, Total lease liabilities $ 257 $ 290
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] Other Assets, Noncurrent Other Assets, Noncurrent
Operating leases, Total right-of-use assets $ 995 $ 1,050
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] Other Liabilities, Current Other Liabilities, Current
Other accruals $ 282 $ 343
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] Deferred Credits and Other Liabilities, Noncurrent Deferred Credits and Other Liabilities, Noncurrent
Other liabilities and deferred credits $ 745 $ 725
Operating leases, Total lease liabilities $ 1,027 $ 1,068
v3.22.4
Leases - Summary of Leases (Details) - USD ($)
$ in Millions
Dec. 31, 2022
Dec. 31, 2021
Finance Leases    
2023 $ 32  
2024 32  
2025 26  
2026 28  
2027 22  
Remaining years 182  
Future minimum lease payments 322  
Amount representing interest or discounts (65)  
Total lease liabilities 257 $ 290
Operating Leases    
2023 317  
2024 234  
2025 177  
2026 120  
2027 89  
Remaining years 221  
Future minimum lease payments 1,158  
Amount representing interest or discounts (131)  
Total lease liabilities $ 1,027 $ 1,068
v3.22.4
Leases - Lease Costs (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Leases [Abstract]      
Amortization of right-of-use assets $ 24 $ 23 $ 21
Interest on lease liabilities 9 9 10
Total finance lease cost 33 32 31
Operating lease cost 387 461 527
Short-term lease cost 63 104 108
Variable lease cost 19 3 39
Sublease income (13) (15) (22)
Total net lease cost $ 489 $ 585 $ 683
v3.22.4
Leases - Cash Paid for Leases (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Leases [Abstract]      
Operating cash outflows—finance leases $ 11 $ 9 $ 10
Operating cash outflows—operating leases 392 438 521
Financing cash outflows—finance leases $ 32 $ 21 $ 17
v3.22.4
Leases - Narrative (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Leases [Abstract]      
Right-of-use asset obtained in exchange for operating lease liability $ 269 $ 260 $ 363
v3.22.4
Leases - Lease Term and Discount Rate (Details)
Dec. 31, 2022
Dec. 31, 2021
Leases [Abstract]    
Weighted-average remaining lease term—finance leases (years) 12 years 6 months 13 years
Weighted-average remaining lease term—operating leases (years) 5 years 9 months 18 days 5 years 8 months 12 days
Weighted-average discount rate—finance leases (as a percent) 3.30% 3.30%
Weighted-average discount rate—operating leases (as a percent) 3.80% 3.20%
v3.22.4
Pension and Postretirement Plans - Reconciliation of Projected Benefit Obligations and Plan Assets (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Pension Benefits | United States      
Change in Benefit Obligations      
Benefit obligations at January 1 $ 3,033 $ 3,405  
Service cost 123 146 $ 138
Interest cost 100 81 91
Plan participant contributions 0 0  
Net actuarial gain (528) (82)  
Benefits paid (519) (517)  
Settlements 0 0  
Foreign currency exchange rate change 0 0  
Benefit obligations at December 31 2,209 3,033 3,405
Change in Fair Value of Plan Assets      
Fair value of plan assets at January 1 2,547 2,738  
Actual return on plan assets (375) 289  
Company contributions 125 37  
Plan participant contributions 0 0  
Benefits paid (519) (517)  
Settlements 0 0  
Foreign currency exchange rate change 0 0  
Fair value of plan assets at December 31 1,778 2,547 2,738
Funded Status at December 31 (431) (486)  
Pension Benefits | Int’l.      
Change in Benefit Obligations      
Benefit obligations at January 1 1,409 1,480  
Service cost 28 36 28
Interest cost 21 19 22
Plan participant contributions 2 2  
Net actuarial gain (502) (37)  
Benefits paid (44) (44)  
Settlements (101) 0  
Foreign currency exchange rate change (138) (47)  
Benefit obligations at December 31 675 1,409 1,480
Change in Fair Value of Plan Assets      
Fair value of plan assets at January 1 1,280 1,212  
Actual return on plan assets (329) 114  
Company contributions 23 27  
Plan participant contributions 2 2  
Benefits paid (44) (44)  
Settlements (101) 0  
Foreign currency exchange rate change (124) (31)  
Fair value of plan assets at December 31 707 1,280 1,212
Funded Status at December 31 32 (129)  
Other Benefits      
Change in Benefit Obligations      
Benefit obligations at January 1 197 213  
Service cost 4 5 5
Interest cost 5 5 7
Plan participant contributions 6 6  
Net actuarial gain (37) (13)  
Benefits paid (19) (19)  
Settlements 0 0  
Foreign currency exchange rate change 0 0  
Benefit obligations at December 31 156 197 213
Change in Fair Value of Plan Assets      
Fair value of plan assets at January 1 0 0  
Actual return on plan assets 0 0  
Company contributions 13 13  
Plan participant contributions 6 6  
Benefits paid (19) (19)  
Settlements 0 0  
Foreign currency exchange rate change 0 0  
Fair value of plan assets at December 31 0 0 $ 0
Funded Status at December 31 $ (156) $ (197)  
v3.22.4
Pension and Postretirement Plans - Summary of Amounts Recognized in the Consolidated Balance Sheet (Details) - USD ($)
$ in Millions
Dec. 31, 2022
Dec. 31, 2021
Defined Benefit Plan Disclosure [Line Items]    
Noncurrent liabilities $ (937) $ (1,055)
Pension Benefits | United States    
Defined Benefit Plan Disclosure [Line Items]    
Noncurrent assets 0 0
Current liabilities (50) (25)
Noncurrent liabilities (381) (461)
Total recognized (431) (486)
Pension Benefits | Int’l.    
Defined Benefit Plan Disclosure [Line Items]    
Noncurrent assets 140 51
Current liabilities 0 0
Noncurrent liabilities (108) (180)
Total recognized 32 (129)
Other Benefits    
Defined Benefit Plan Disclosure [Line Items]    
Noncurrent assets 0 0
Current liabilities (15) (15)
Noncurrent liabilities (141) (182)
Total recognized $ (156) $ (197)
v3.22.4
Pension and Postretirement Plans - Summary of Amounts Recognized in Other Comprehensive Income (Loss) (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Defined Benefit Plan Disclosure [Line Items]      
Net actuarial gain arising during the period $ 191 $ 320 $ (261)
Pension Benefits | United States      
Defined Benefit Plan Disclosure [Line Items]      
Unrecognized net actuarial loss (gain) 159 251  
Unrecognized prior service credit 0 0  
Net actuarial gain arising during the period 18 211  
Amortization of net actuarial loss (gain) and settlements 74 101  
Amortization of prior service credit 0 0  
Total recognized in other comprehensive income 92 312  
Pension Benefits | Int’l.      
Defined Benefit Plan Disclosure [Line Items]      
Unrecognized net actuarial loss (gain) (27) 130  
Unrecognized prior service credit 0 (1)  
Net actuarial gain arising during the period 136 92  
Amortization of net actuarial loss (gain) and settlements 21 25  
Amortization of prior service credit (1) (1)  
Total recognized in other comprehensive income 156 116  
Other Benefits      
Defined Benefit Plan Disclosure [Line Items]      
Unrecognized net actuarial loss (gain) (59) (24)  
Unrecognized prior service credit 0 (2)  
Net actuarial gain arising during the period 37 13  
Amortization of net actuarial loss (gain) and settlements (2) (1)  
Amortization of prior service credit (2) (2)  
Total recognized in other comprehensive income $ 33 $ 10  
v3.22.4
Pension and Postretirement Plans - Narrative (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Defined Benefit Plan Disclosure [Line Items]      
Defined benefit plan, amortization percentage 10.00%    
Maximum employee contribution of eligible pay (as a percent) 75.00%    
Total expense related to participants in the savings plan $ 210 $ 142 $ 145
Equity securities      
Defined Benefit Plan Disclosure [Line Items]      
Target allocations for plan assets (as a percent) 47.00%    
Debt Securities      
Defined Benefit Plan Disclosure [Line Items]      
Target allocations for plan assets (as a percent) 37.00%    
Real Estate Investment      
Defined Benefit Plan Disclosure [Line Items]      
Target allocations for plan assets (as a percent) 8.00%    
Other Types of Investments      
Defined Benefit Plan Disclosure [Line Items]      
Target allocations for plan assets (as a percent) 8.00%    
Minimum      
Defined Benefit Plan Disclosure [Line Items]      
Semi-annual discretionary company contribution target (as a percent) 0.00% 0.00% 0.00%
Maximum      
Defined Benefit Plan Disclosure [Line Items]      
Company match of participant's contributions of eligible pay (as a percent) 8.00% 6.00% 6.00%
Semi-annual discretionary company contribution target (as a percent) 4.00% 6.00% 6.00%
United States      
Defined Benefit Plan Disclosure [Line Items]      
Expected future employer contributions next fiscal year $ 70    
Pension Benefits | United States      
Defined Benefit Plan Disclosure [Line Items]      
Accumulated benefit obligations 2,055 $ 2,770  
Net actuarial gain (loss) 528 82  
Actual (decrease) increase in plan assets $ (375) $ 289  
Weighted-average actual return on plan assets, (negative) positive return (20.00%) 10.00%  
Pension Benefits | Int’l.      
Defined Benefit Plan Disclosure [Line Items]      
Accumulated benefit obligations $ 593 $ 1,236  
Net actuarial gain (loss) 502 37  
Actual (decrease) increase in plan assets (329) 114  
Expected future employer contributions next fiscal year 20    
Other Benefits      
Defined Benefit Plan Disclosure [Line Items]      
Net actuarial gain (loss) 37 13  
Actual (decrease) increase in plan assets $ 0 $ 0  
Health care cost trend rate (as a percent) 6.50%    
Health care cost trend rate, ultimate (as a percent) 5.00%    
v3.22.4
Pension and Postretirement Plans - Accumulated Benefit Obligation in Excess of Plan Assets (Details) - Pension Benefits - USD ($)
$ in Millions
Dec. 31, 2022
Dec. 31, 2021
United States    
Defined Benefit Plan Disclosure [Line Items]    
Accumulated benefit obligations $ 2,055 $ 2,770
Fair value of plan assets 1,778 2,547
Int’l.    
Defined Benefit Plan Disclosure [Line Items]    
Accumulated benefit obligations 114 410
Fair value of plan assets $ 13 $ 248
v3.22.4
Pension and Postretirement Plans - Projected Benefit Obligation in Excess of Plan Assets (Details) - Pension Benefits - USD ($)
$ in Millions
Dec. 31, 2022
Dec. 31, 2021
United States    
Defined Benefit Plan Disclosure [Line Items]    
Projected benefit obligations $ 2,209 $ 3,033
Fair value of plan assets 1,778 2,547
Int’l.    
Defined Benefit Plan Disclosure [Line Items]    
Projected benefit obligations 121 428
Fair value of plan assets $ 13 $ 248
v3.22.4
Pension and Postretirement Plans - Summary of Components of Net Periodic Benefit Cost (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Pension Benefits | United States      
Defined Benefit Plan Disclosure [Line Items]      
Service cost $ 123 $ 146 $ 138
Interest cost 100 81 91
Expected return on plan assets (135) (160) (159)
Amortization of prior service credit 0 0 0
Amortization of net actuarial loss (gain) 21 46 70
Settlements 53 55 61
Net periodic benefit cost 162 168 201
Pension Benefits | Int’l.      
Defined Benefit Plan Disclosure [Line Items]      
Service cost 28 36 28
Interest cost 21 19 22
Expected return on plan assets (56) (59) (50)
Amortization of prior service credit (1) (1) (1)
Amortization of net actuarial loss (gain) 12 25 16
Settlements 9 0 0
Net periodic benefit cost 13 20 15
Other Benefits      
Defined Benefit Plan Disclosure [Line Items]      
Service cost 4 5 5
Interest cost 5 5 7
Expected return on plan assets 0 0 0
Amortization of prior service credit (2) (2) (2)
Amortization of net actuarial loss (gain) (2) (1) 0
Settlements 0 0 0
Net periodic benefit cost $ 5 $ 7 $ 10
v3.22.4
Pension and Postretirement Plans - Summary of Weighted-Average Assumptions (Details)
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Pension Benefits | United States    
Assumptions Used to Determine Benefit Obligations:    
Discount rate 5.70% 2.95%
Rate of compensation increase 4.30% 4.30%
Interest crediting rate on cash balance plan 3.88% 2.05%
Assumptions Used to Determine Net Periodic Benefit Cost:    
Discount rate 3.94% 2.70%
Expected return on plan assets 6.50% 6.50%
Rate of compensation increase 4.30% 4.27%
Interest crediting rate on cash balance plan 2.59% 2.05%
Pension Benefits | Int’l.    
Assumptions Used to Determine Benefit Obligations:    
Discount rate 4.64% 1.60%
Rate of compensation increase 3.32% 3.05%
Interest crediting rate on cash balance plan 0.00% 0.00%
Assumptions Used to Determine Net Periodic Benefit Cost:    
Discount rate 1.65% 1.27%
Expected return on plan assets 4.90% 4.86%
Rate of compensation increase 3.05% 3.01%
Interest crediting rate on cash balance plan 0.00% 0.00%
Other Benefits    
Assumptions Used to Determine Benefit Obligations:    
Discount rate 5.70% 2.90%
Rate of compensation increase 0.00% 0.00%
Interest crediting rate on cash balance plan 0.00% 0.00%
Assumptions Used to Determine Net Periodic Benefit Cost:    
Discount rate 2.90% 2.30%
Expected return on plan assets 0.00% 0.00%
Rate of compensation increase 0.00% 0.00%
Interest crediting rate on cash balance plan 0.00% 0.00%
v3.22.4
Pension and Postretirement Plans - Summary of Pension Plan Asset Fair Values (Details) - Pension Benefits - USD ($)
$ in Millions
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
United States      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets $ 1,778 $ 2,547 $ 2,738
United States | Level 1, 2 and 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 615 963  
United States | Level 1      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 526 832  
United States | Level 2      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 89 131  
United States | Level 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 0 0  
United States | Equity securities | Level 1, 2 and 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 239 385  
United States | Equity securities | Level 1      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 239 385  
United States | Equity securities | Level 2      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 0 0  
United States | Equity securities | Level 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 0 0  
United States | Government debt securities | Level 1, 2 and 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 268 427  
United States | Government debt securities | Level 1      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 268 427  
United States | Government debt securities | Level 2      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 0 0  
United States | Government debt securities | Level 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 0 0  
United States | Corporate debt securities | Level 1, 2 and 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 89 131  
United States | Corporate debt securities | Level 1      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 0 0  
United States | Corporate debt securities | Level 2      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 89 131  
United States | Corporate debt securities | Level 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 0 0  
United States | Cash and cash equivalents | Level 1, 2 and 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 19 20  
United States | Cash and cash equivalents | Level 1      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 19 20  
United States | Cash and cash equivalents | Level 2      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 0 0  
United States | Cash and cash equivalents | Level 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 0 0  
United States | Insurance contracts | Level 1, 2 and 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 0 0  
United States | Insurance contracts | Level 1      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 0 0  
United States | Insurance contracts | Level 2      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 0 0  
United States | Insurance contracts | Level 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 0 0  
United States | Common/collective trusts measured at NAV | NAV      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 841 1,266  
United States | Real estate and infrastructure investments measured at NAV | NAV      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 322 318  
Int’l.      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 707 1,280 $ 1,212
Int’l. | Level 1, 2 and 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 77 19  
Int’l. | Level 1      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 64 6  
Int’l. | Level 2      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 0 0  
Int’l. | Level 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 13 13  
Int’l. | Equity securities | Level 1, 2 and 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 0 0  
Int’l. | Equity securities | Level 1      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 0 0  
Int’l. | Equity securities | Level 2      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 0 0  
Int’l. | Equity securities | Level 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 0 0  
Int’l. | Government debt securities | Level 1, 2 and 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 0 0  
Int’l. | Government debt securities | Level 1      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 0 0  
Int’l. | Government debt securities | Level 2      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 0 0  
Int’l. | Government debt securities | Level 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 0 0  
Int’l. | Corporate debt securities | Level 1, 2 and 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 0 0  
Int’l. | Corporate debt securities | Level 1      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 0 0  
Int’l. | Corporate debt securities | Level 2      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 0 0  
Int’l. | Corporate debt securities | Level 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 0 0  
Int’l. | Cash and cash equivalents | Level 1, 2 and 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 64 6  
Int’l. | Cash and cash equivalents | Level 1      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 64 6  
Int’l. | Cash and cash equivalents | Level 2      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 0 0  
Int’l. | Cash and cash equivalents | Level 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 0 0  
Int’l. | Insurance contracts | Level 1, 2 and 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 13 13  
Int’l. | Insurance contracts | Level 1      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 0 0  
Int’l. | Insurance contracts | Level 2      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 0 0  
Int’l. | Insurance contracts | Level 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 13 13  
Int’l. | Common/collective trusts measured at NAV | NAV      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets 567 1,158  
Int’l. | Real estate and infrastructure investments measured at NAV | NAV      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of plan assets $ 63 $ 103  
v3.22.4
Pension and Postretirement Plans - Summary of Future Service Benefit Payments (Details)
$ in Millions
Dec. 31, 2022
USD ($)
Pension Benefits | United States  
Defined Benefit Plan Disclosure [Line Items]  
2023 $ 266
2024 218
2025 217
2026 220
2027 231
2028-2032 1,087
Pension Benefits | Int’l.  
Defined Benefit Plan Disclosure [Line Items]  
2023 21
2024 23
2025 25
2026 27
2027 28
2028-2032 170
Other Benefits  
Defined Benefit Plan Disclosure [Line Items]  
2023 17
2024 17
2025 17
2026 17
2027 17
2028-2032 $ 78
v3.22.4
Share-Based Compensation Plans - Narrative (Details)
$ / shares in Units, $ in Millions
4 Months Ended 12 Months Ended
Dec. 31, 2022
USD ($)
shares
Dec. 31, 2022
USD ($)
$ / shares
shares
Dec. 31, 2021
USD ($)
$ / shares
Dec. 31, 2020
USD ($)
$ / shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Vesting percentage (as a percent)   33.33%    
Weighted-Average grant date fair value of options granted (in dollars per share) | $ / shares   $ 17.02 $ 12.06 $ 15.80
Aggregate intrinsic value, exercised   $ 42 $ 24 $ 21
Total share-based compensation expense   $ 210 $ 144 $ 127
Restricted stock units        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Number of shares of common stock to be issued per stock unit (in shares) | shares   1    
Unrecognized compensation expense from unvested awards held by employees $ 75 $ 75    
Weighted-average period for recognition of unrecognized compensation expense from unvested awards (in months)   21 months    
Longest period for recognition of unrecognized compensation expense from unvested awards (in months)   35 months    
Granted (in dollars per share) | $ / shares   $ 88.16 $ 75.91 $ 83.48
Aggregate fair value, Issued shares   $ 102 $ 61 $ 69
Total share-based compensation expense   $ 101 $ 100 $ 91
Restricted stock units | Employees Eligible for Retirement        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Award vesting period   6 months    
Performance share units        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Number of shares of common stock to be issued per stock unit (in shares) | shares   1    
Unrecognized compensation expense from unvested awards held by employees 0 $ 0    
Granted (in dollars per share) | $ / shares   $ 71.82 $ 68.18 $ 112.73
Aggregate fair value, Issued shares   $ 9 $ 12 $ 41
Performance measurement period (in years)   3 years    
Fair value of cash settled units   $ 18 27 63
Total share-based compensation expense   68 23 17
Stock options        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Unrecognized compensation expense from unvested awards held by employees 5 $ 5    
Weighted-average period for recognition of unrecognized compensation expense from unvested awards (in months)   22 months    
Longest period for recognition of unrecognized compensation expense from unvested awards (in months)   30 months    
Stock option terms (in years)   10 years    
Weighted-average remaining contractual terms of vested options (in years)   6 years 5 months 19 days    
Weighted-average remaining contractual terms of exercisable options (in years)   5 years 6 months    
Cash received from the exercise of options   $ 103    
Tax benefit from the exercise of options   8    
Total share-based compensation expense   $ 17 19 17
Stock options | Employees Eligible for Retirement        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Award vesting period   6 months    
Stock options | Awards Vesting Ratably Over Three Years On Anniversary Of Grant Date        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Award vesting period   3 years    
Other        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Unrecognized compensation expense from unvested awards held by employees 15 $ 15    
Weighted-average period for recognition of unrecognized compensation expense from unvested awards (in months)   19 months    
Longest period for recognition of unrecognized compensation expense from unvested awards (in months)   33 months    
Total share-based compensation expense $ 23 $ 24 $ 2 $ 2
2013 Omnibus Stock And Performance Incentive Plan Of Phillips 66        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Common stock issuable under P66 Omnibus Plan, maximum (in shares) | shares 15,000,000 15,000,000    
Minimum time required for an award not to be subject to forfeiture (in months)   6 months    
Eligible retirement age 55 55    
Years of service (in years)   5 years    
2013 Omnibus Stock And Performance Incentive Plan Of Phillips 66 | Restricted stock units | Cliff Vesting        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Award vesting period   3 years    
v3.22.4
Share-Based Compensation Plans - Schedule of Compensation Expense and Tax Benefit (Details) - USD ($)
$ in Millions
4 Months Ended 12 Months Ended
Dec. 31, 2022
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]        
Total share-based compensation expense   $ 210 $ 144 $ 127
Income tax benefit   (55) (33) (35)
Restricted stock units        
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]        
Total share-based compensation expense   101 100 91
Performance share units        
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]        
Total share-based compensation expense   68 23 17
Stock options        
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]        
Total share-based compensation expense   17 19 17
Other        
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]        
Total share-based compensation expense $ 23 $ 24 $ 2 $ 2
v3.22.4
Share-Based Compensation Plans - Schedule of Stock Unit Activity (Details) - Restricted stock units - USD ($)
$ / shares in Units, $ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Stock Units      
Outstanding, beginning of period (in shares) 3,310,590    
Granted (in shares) 1,303,336    
Forfeited (in shares) (184,733)    
Issued (in shares) (1,162,718)    
Outstanding, end of period (in shares) 3,266,475 3,310,590  
Stock units, not vested, end of period (in shares) 2,250,626    
Weighted-Average Grant-Date Fair Value      
Outstanding, beginning of period (in dollars per share) $ 83.20    
Granted (in dollars per share) 88.16 $ 75.91 $ 83.48
Forfeited (in dollars per share) 83.16    
Issued (in dollars per share) 90.00    
Outstanding, end of period (in dollars per share) 82.76 $ 83.20  
Weighted-average grant date fair value, not vested, end of period (in dollars per share) $ 82.49    
Total fair value, issued $ 102 $ 61 $ 69
v3.22.4
Share-Based Compensation Plans - Schedule of Performance Share Activity (Details) - Performance share units - USD ($)
$ / shares in Units, $ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Performance Share Units      
Outstanding, beginning of period (in shares) 811,786    
Granted (in shares) 245,957    
Forfeited (in shares) 0    
Issued (in shares) (108,617)    
Cash settled (in shares) (245,957)    
Outstanding, end of period (in shares) 703,169 811,786  
Stock units, not vested, end of period (in shares) 0    
Weighted-Average Grant-Date Fair Value      
Outstanding, beginning of period (in dollars per share) $ 37.90    
Granted (in dollars per share) 71.82 $ 68.18 $ 112.73
Forfeited (in dollars per share) 0    
Issued (in dollars per share) 33.81    
Cash settled (in dollars per share) 71.82    
Outstanding, end of period (in dollars per share) 38.54 $ 37.90  
Weighted-average grant date fair value, not vested, end of period (in dollars per share) $ 0    
Total fair value, issued $ 9 $ 12 $ 41
Fair value of cash settled units $ 18 $ 27 $ 63
v3.22.4
Share-Based Compensation Plans - Schedule of Stock Option Activity (Details) - USD ($)
$ / shares in Units, $ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Options      
Outstanding at beginning balance (in shares) 6,264,206    
Granted (in shares) 1,043,300    
Forfeited (in shares) (28,123)    
Exercised (in shares) (1,436,468)    
Outstanding at ending balance (in shares) 5,842,915 6,264,206  
Option, vested at ending balance (in shares) 5,291,211    
Option, exercisable at ending balance (in shares) 3,534,630    
Weighted-Average Exercise Price      
Outstanding at beginning balance (in dollars per share) $ 81.25    
Granted (in dollars per share) 88.89    
Forfeited (in dollars per share) 86.19    
Exercised (in dollars per share) 71.57    
Outstanding at ending balance (in dollars per share) 84.97 $ 81.25  
Weighted-average exercise price, vested at ending balance (in dollars per share) 85.09    
Weighted-average exercise price, exercisable at ending balance (in dollars per share) 86.08    
Weighted-average grant date fair value, granted (in dollars per share) $ 17.02 $ 12.06 $ 15.80
Aggregate intrinsic value, exercised $ 42 $ 24 $ 21
Aggregate intrinsic value, exercisable 101    
Aggregate intrinsic value, vested $ 64    
v3.22.4
Share-Based Compensation Plans - Fair Value Assumptions (Details) - Stock options
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Risk-free interest rate 1.97% 0.93% 1.58%
Dividend yield 5.10% 5.30% 3.20%
Volatility factor 33.67% 32.11% 25.23%
Expected life (years) 6 years 7 months 9 days 6 years 9 months 3 days 6 years 11 months 15 days
v3.22.4
Income Taxes - Components of Income Tax Expense (Benefits) (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Federal      
Current $ 1,263 $ 363 $ (1,324)
Deferred 1,171 (85) 171
Foreign      
Current 492 50 9
Deferred (109) (39) 67
State and local      
Current 173 5 (61)
Deferred 258 (148) (112)
Income tax expense $ 3,248 $ 146 $ (1,250)
v3.22.4
Income Taxes - Narrative (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Income Tax Contingency [Line Items]      
Deferred tax assets, operating loss carryforwards, state $ 16    
Increase in valuation allowance 23    
Unrecognized tax benefits that if recognized would affect our effective tax rate 37 $ 35 $ 37
Accrued liabilities for interest and penalties 7 6 5
Decrease in net income (loss) related to income tax penalties and interests accrued 3 3 3
State income tax benefit, impact from updated apportionment factors   58  
Income tax (benefit) expense reflected in the capital in excess of par column of the consolidated statement of equity (323) $ 0 $ (1)
United States      
Income Tax Contingency [Line Items]      
Deferred tax assets, tax credit carryforwards, foreign 90    
United Kingdom      
Income Tax Contingency [Line Items]      
Deferred tax assets, operating loss carryforwards, foreign $ 6    
v3.22.4
Income Taxes - Deferred Income Tax Liabilities and Assets (Details) - USD ($)
$ in Millions
Dec. 31, 2022
Dec. 31, 2021
Deferred Tax Liabilities    
Properties, plants and equipment, and intangibles $ 3,309 $ 3,135
Investment in joint ventures 1,854 2,065
Investment in subsidiaries 1,974 969
Other 238 267
Total deferred tax liabilities 7,375 6,436
Deferred Tax Assets    
Benefit plan accruals 307 431
Loss and credit carryforwards 113 173
Asset retirement obligations and accrued environmental costs 137 120
Other financial accruals and deferrals 51 82
Inventory 62 0
Other 220 262
Total deferred tax assets 890 1,068
Less: valuation allowance 97 74
Net deferred tax assets 793 994
Net deferred tax liabilities $ 6,582 $ 5,442
v3.22.4
Income Taxes - Unrecognized Tax Benefits (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Reconciliation of Unrecognized Tax Benefits [Roll Forward]      
Balance at January 1 $ 54 $ 56 $ 40
Additions for tax positions of current year 1 0 0
Additions for tax positions of prior years 2 0 44
Reductions for tax positions of prior years (3) (2) (28)
Balance at December 31 $ 54 $ 54 $ 56
v3.22.4
Income Taxes - Income Tax Reconciliation (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Income (loss) before income taxes      
United States $ 12,628 $ 1,737 $ (5,292)
Foreign 2,011 3 328
Income (loss) before income taxes 14,639 1,740 (4,964)
Income Tax Expense (Benefit), Income Tax Reconciliation      
Federal statutory income tax 3,074 365 (1,043)
State income tax, net of federal income tax benefit 341 (65) (139)
Net operating loss carryback 0 0 (398)
Goodwill impairment 0 0 387
Noncontrolling interests (74) (57) (54)
Non-taxable equity earnings (33) (53) (18)
Tax law changes (25) (26) 0
Other (35) (18) 15
Income tax expense $ 3,248 $ 146 $ (1,250)
Percentage of Income (Loss) Before Income Taxes      
United States 86.30% 99.80% 106.60%
Foreign 13.70% 0.20% (6.60%)
Income (loss) before income taxes 100.00% 100.00% 100.00%
Effective Income Tax Rate, Tax Rate Reconciliation      
Federal statutory income tax 21.00% 21.00% 21.00%
State income tax, net of federal income tax benefit 2.30% (3.70%) 2.80%
Net operating loss carryback 0.00% 0.00% 8.00%
Goodwill impairment 0.00% 0.00% (7.80%)
Noncontrolling interests (0.50%) (3.30%) 1.10%
Non-taxable equity earnings (0.20%) (3.00%) 0.40%
Tax law changes (0.20%) (1.50%) 0.00%
Other (0.20%) (1.10%) (0.30%)
Effective income tax rate 22.20% 8.40% 25.20%
v3.22.4
Accumulated Other Comprehensive Loss (Details) - USD ($)
$ in Millions
12 Months Ended
Jan. 01, 2020
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Accumulated other comprehensive income (loss)        
Beginning Balance $ 27,169 $ 21,637 $ 21,523 $ 27,169
Other Comprehensive Income (Loss), Net of Income Taxes   (15) 344 (6)
Other 5      
Ending Balance   34,106 21,637 21,523
Defined Benefit Plans        
Accumulated other comprehensive income (loss)        
Beginning Balance (656) (398) (809) (656)
Other comprehensive income (loss) before reclassifications   204 318 (262)
Amounts reclassified from accumulated other comprehensive loss   72 93 109
Other Comprehensive Income (Loss), Net of Income Taxes   276 411 (153)
Other 0      
Ending Balance   (122) (398) (809)
Foreign Currency Translation        
Accumulated other comprehensive income (loss)        
Beginning Balance (131) (45) 25 (131)
Other comprehensive income (loss) before reclassifications   (291) (70) 151
Amounts reclassified from accumulated other comprehensive loss   0 0 0
Other Comprehensive Income (Loss), Net of Income Taxes   (291) (70) 151
Other 5      
Ending Balance   (336) (45) 25
Hedging        
Accumulated other comprehensive income (loss)        
Beginning Balance (1) (2) (5) (1)
Other comprehensive income (loss) before reclassifications   0 2 1
Amounts reclassified from accumulated other comprehensive loss   0 1 (5)
Other Comprehensive Income (Loss), Net of Income Taxes   0 3 (4)
Other 0      
Ending Balance   (2) (2) (5)
Accumulated Other Comprehensive Loss        
Accumulated other comprehensive income (loss)        
Beginning Balance $ (788) (445) (789) (788)
Other comprehensive income (loss) before reclassifications   (87) 250 (110)
Other Comprehensive Income (Loss), Net of Income Taxes   (15) 344 (6)
Ending Balance   $ (460) $ (445) $ (789)
v3.22.4
Cash Flow Information - Cash Payments (Receipts) (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Cash Payments (Receipts)      
Interest $ 572 $ 549 $ 478
Income taxes $ 2,071 (1,065) $ 103
Cash payments for income taxes   $ 110  
v3.22.4
Other Financial Information (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Incurred      
Debt $ 611 $ 567 $ 550
Other 41 41 24
Total incurred 652 608 574
Capitalized (33) (27) (75)
Interest and debt expense 619 581 499
Other Income      
Interest income 82 11 14
Unrealized investment gain (loss)—NOVONIX (433) 365 0
Gain related to merger of businesses 3,013 0 0
Other, net 75 78 52
Other Income 2,737 454 66
Research and Development Expenses 42 47 48
Advertising Expenses 56 52 51
Segment Reporting Information [Line Items]      
Foreign Currency Transaction (Gains) Losses (9) 1 12
Corporate and Other      
Incurred      
Interest and debt expense 619 581 499
Other Income      
Interest income 82 11 14
Segment Reporting Information [Line Items]      
Foreign Currency Transaction (Gains) Losses (1) 2 8
Midstream      
Segment Reporting Information [Line Items]      
Foreign Currency Transaction (Gains) Losses 9 (5) 0
Chemicals      
Segment Reporting Information [Line Items]      
Foreign Currency Transaction (Gains) Losses 0 0 0
Refining      
Segment Reporting Information [Line Items]      
Foreign Currency Transaction (Gains) Losses (7) 4 4
Marketing and Specialties      
Segment Reporting Information [Line Items]      
Foreign Currency Transaction (Gains) Losses $ (10) $ 0 $ 0
v3.22.4
Related Party Transactions (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Related Party Transactions [Abstract]      
Operating revenues and other income $ 6,111 $ 3,759 $ 1,932
Purchases 21,244 14,645 6,536
Operating expenses and selling, general and administrative expenses $ 281 $ 284 $ 247
v3.22.4
Segment Disclosures and Related Information - Narrative (Details) - refinery
1 Months Ended 12 Months Ended
Sep. 30, 2021
Dec. 31, 2022
NOVONIX Limited    
Segment Reporting Information [Line Items]    
Percent ownership of equity securities investment (as a percent) 16.00%  
Midstream | NOVONIX Limited    
Segment Reporting Information [Line Items]    
Percent ownership of equity securities investment (as a percent)   16.00%
Chemicals | CPChem    
Segment Reporting Information [Line Items]    
Equity investment (as a percent)   50.00%
Refining | Mainly United States And Europe    
Segment Reporting Information [Line Items]    
Number of refineries   12
v3.22.4
Segment Disclosures and Related Information - Analysis by Segment (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Segment Reporting Information [Line Items]      
Sales and Other Operating Revenues $ 169,990 $ 111,476 $ 64,129
Equity in Earnings (Losses) of Affiliates 2,968 2,904 1,191
Consolidated depreciation, amortization and impairments 1,689 3,103 5,647
Interest income 82 11 14
Interest and debt expense 619 581 499
Income (Loss) Before Income Taxes 14,639 1,740 (4,964)
Investments In and Advances To Affiliates 14,425 13,439 13,327
Total Assets 76,442 55,594 54,721
Capital expenditures and investments 2,194 1,860 2,920
Midstream      
Segment Reporting Information [Line Items]      
Sales and Other Operating Revenues 16,189 8,813 4,174
Consolidated depreciation, amortization and impairments 569 634 1,778
Chemicals      
Segment Reporting Information [Line Items]      
Consolidated depreciation, amortization and impairments 0 0 0
Refining      
Segment Reporting Information [Line Items]      
Sales and Other Operating Revenues 41,598 28,974 18,030
Consolidated depreciation, amortization and impairments 879 2,272 3,659
Marketing and Specialties      
Segment Reporting Information [Line Items]      
Sales and Other Operating Revenues 112,169 73,654 41,892
Consolidated depreciation, amortization and impairments 110 114 103
Operating Segments | Midstream      
Segment Reporting Information [Line Items]      
Sales and Other Operating Revenues 19,121 11,714 5,855
Equity in Earnings (Losses) of Affiliates 916 877 761
Income (Loss) Before Income Taxes 4,734 1,500 (116)
Investments In and Advances To Affiliates 4,271 3,978 4,255
Total Assets 30,273 15,546 15,196
Capital expenditures and investments 1,043 733 1,735
Operating Segments | Chemicals      
Segment Reporting Information [Line Items]      
Sales and Other Operating Revenues 0 3 3
Equity in Earnings (Losses) of Affiliates 842 1,832 625
Income (Loss) Before Income Taxes 856 1,844 635
Investments In and Advances To Affiliates 6,785 6,369 6,126
Total Assets 6,785 6,453 6,183
Capital expenditures and investments 0 0 0
Operating Segments | Refining      
Segment Reporting Information [Line Items]      
Sales and Other Operating Revenues 112,725 75,096 42,181
Equity in Earnings (Losses) of Affiliates 747 (184) (376)
Income (Loss) Before Income Taxes 7,816 (2,353) (6,023)
Investments In and Advances To Affiliates 2,484 2,340 2,202
Total Assets 21,581 20,338 20,804
Capital expenditures and investments 928 784 828
Operating Segments | Marketing and Specialties      
Segment Reporting Information [Line Items]      
Sales and Other Operating Revenues 115,622 75,583 43,130
Equity in Earnings (Losses) of Affiliates 463 379 181
Income (Loss) Before Income Taxes 2,402 1,723 1,421
Investments In and Advances To Affiliates 883 750 744
Total Assets 9,939 8,505 7,180
Capital expenditures and investments 89 202 173
Intersegment eliminations | Midstream      
Segment Reporting Information [Line Items]      
Sales and Other Operating Revenues (2,932) (2,901) (1,681)
Intersegment eliminations | Refining      
Segment Reporting Information [Line Items]      
Sales and Other Operating Revenues (71,127) (46,122) (24,151)
Intersegment eliminations | Marketing and Specialties      
Segment Reporting Information [Line Items]      
Sales and Other Operating Revenues (3,453) (1,929) (1,238)
Corporate and Other      
Segment Reporting Information [Line Items]      
Sales and Other Operating Revenues 34 32 30
Equity in Earnings (Losses) of Affiliates 0 0 0
Consolidated depreciation, amortization and impairments 131 83 107
Interest income 82 11 14
Interest and debt expense 619 581 499
Income (Loss) Before Income Taxes (1,169) (974) (881)
Investments In and Advances To Affiliates 2 2 0
Total Assets 7,864 4,752 5,358
Capital expenditures and investments $ 134 $ 141 $ 184
v3.22.4
Segment Disclosures and Related Information - Summary of Geographic Information (Details) - USD ($)
$ in Millions
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Segment Reporting Information [Line Items]      
Worldwide consolidated $ 50,113 $ 36,906 $ 37,340
United States      
Segment Reporting Information [Line Items]      
Worldwide consolidated 48,286 34,882 35,273
United Kingdom      
Segment Reporting Information [Line Items]      
Worldwide consolidated 1,349 1,323 1,313
Germany      
Segment Reporting Information [Line Items]      
Worldwide consolidated 391 605 653
Other foreign countries      
Segment Reporting Information [Line Items]      
Worldwide consolidated $ 87 $ 96 $ 101
v3.22.4
DCP Midstream Class A Segment - Narrative (Details) - USD ($)
$ / shares in Units, $ in Millions
3 Months Ended 4 Months Ended
Dec. 31, 2022
Jun. 30, 2023
Dec. 31, 2022
Jan. 05, 2023
Merger With DCP LP | Subsequent Event        
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]        
Cash consideration (in dollars per share)       $ 41.75
Merger With DCP LP | Subsequent Event | Forecast        
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]        
Cash contributed   $ 3,800    
Variable Interest Entity, Primary Beneficiary | DCP Midstream, LP        
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]        
Economic interest (as a percent) 43.31%      
Common unit, outstanding (in shares) 208,000,000   208,000,000  
Number of shares to be issued (in shares) 90,000,000   90,000,000  
Common units, distribution     $ 51  
Variable Interest Entity, Primary Beneficiary | DCP Midstream, LP | Merger With DCP LP | Subsequent Event | Minimum        
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]        
Economic interest percent after merger       43.31%
Variable Interest Entity, Primary Beneficiary | DCP Midstream, LP | Merger With DCP LP | Subsequent Event | Maximum        
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]        
Economic interest percent after merger       86.80%
Variable Interest Entity, Primary Beneficiary | DCP Midstream, LP | Enbridge Inc        
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]        
Economic interest acquired 23.36%   23.36%  
Variable Interest Entity, Primary Beneficiary | DCP Midstream, LP | Series A Preferred Stock        
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]        
Preferred units, liquidation preference $ 500   $ 500  
Preferred units, distribution     19  
Variable Interest Entity, Primary Beneficiary | DCP Midstream, LP | Series B Preferred Stock        
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]        
Preferred units, liquidation preference $ 161   161  
Preferred units, distribution     $ 6  
Preferred units, outstanding (in shares) 6,450,000   6,450,000  
Variable Interest Entity, Primary Beneficiary | DCP Midstream, LP | Series C Preferred Stock        
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]        
Preferred units, liquidation preference $ 110   $ 110  
Preferred units, distribution     $ 2  
Preferred units, outstanding (in shares) 4,400,000   4,400,000  
Variable Interest Entity, Primary Beneficiary | DCP Midstream Class A Segment        
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]        
Number of shares held by LLC (in shares) 118,000,000   118,000,000  
v3.22.4
DCP Midstream Class A Segment - Schedule of Assets and Liabilities (Details) - USD ($)
$ in Millions
Dec. 31, 2022
Dec. 31, 2021
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]    
Accounts and notes receivable $ 10,985 $ 7,470
Investments in unconsolidated affiliates 14,414 $ 12,832
Variable Interest Entity, Primary Beneficiary | DCP Midstream, LP    
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]    
Accounts and notes receivable 988  
Net properties, plants and equipment 9,297  
Investments in unconsolidated affiliates 2,161  
Accounts payable 1,239  
Short-term debt 504  
Long-term debt $ 4,248  
v3.22.4
Phillips 66 Partners LP - Narrative (Details) - USD ($)
$ in Millions
1 Months Ended 12 Months Ended
Mar. 09, 2022
Jun. 30, 2020
Dec. 31, 2018
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Aug. 16, 2022
Subsidiary or Equity Method Investee [Line Items]              
Net gain on dispositions       $ 7 $ 18 $ 108  
Gray Oak Holdings LLC              
Subsidiary or Equity Method Investee [Line Items]              
Percentage of ownership             65.00%
Gray Oak Holdings LLC | Third Party              
Subsidiary or Equity Method Investee [Line Items]              
Percentage of ownership   35.00%          
Ownership percentage acquired by third party (as a percent)     35.00%        
Net gain on dispositions   $ 84          
Variable Interest Entity, Primary Beneficiary | Gray Oak Holdings LLC | Gray Oak Pipeline LLC | Phillips 66 Partners LP              
Subsidiary or Equity Method Investee [Line Items]              
Percentage of ownership       65.00%      
Acquisition Of Phillips 66 Partners Common Units Held By Public              
Subsidiary or Equity Method Investee [Line Items]              
Number of shares to be issued (in shares) 41,800,000            
Number of shares issued per acquiree share (in shares) 0.50            
Decrease of treasury stock $ 3,380            
Decrease of noncontrolling interests 2,163            
Decrease of capital in excess of par 901            
Decrease of deferred income taxes 323            
Decrease of cash and cash equivalents 2            
Increase of other accruals $ 5            
v3.22.4
Restructuring (Details) - USD ($)
$ in Millions
3 Months Ended 12 Months Ended
Dec. 31, 2022
Dec. 31, 2022
Restructuring Cost and Reserve [Line Items]    
Restructuring costs   $ 160
Variable Interest Entity, Primary Beneficiary | DCP Midstream, LP    
Restructuring Cost and Reserve [Line Items]    
Restructuring costs $ 18