Quarterly report pursuant to Section 13 or 15(d)

Property, Plant and Equipment

v3.7.0.1
Property, Plant and Equipment
 3 Months Ended
Mar. 31, 2017
Property, Plant and Equipment [Abstract]  
Property, Plant and Equipment
PROPERTY, PLANT AND EQUIPMENT
 
Property, plant and equipment, net consists of LNG terminal costs and fixed assets and other, as follows (in millions):
 
 
March 31,
 
December 31,
 
 
2017
 
2016
LNG terminal costs
 
 
 
 
LNG terminal
 
$
10,414

 
$
7,978

LNG terminal construction-in-process
 
11,972

 
12,995

LNG site and related costs
 
77

 
41

Accumulated depreciation
 
(618
)
 
(555
)
Total LNG terminal costs, net
 
21,845

 
20,459

Fixed assets and other
 
 

 
 

Computer and office equipment
 
13

 
13

Furniture and fixtures
 
17

 
17

Computer software
 
86

 
85

Leasehold improvements
 
42

 
43

Land
 
61

 
61

Other
 
21

 
22

Accumulated depreciation
 
(69
)
 
(65
)
Total fixed assets and other, net
 
171

 
176

Property, plant and equipment, net
 
$
22,016

 
$
20,635



Depreciation expense during the three months ended March 31, 2017 and 2016 was $70 million and $24 million, respectively.

During the three months ended March 31, 2017 and 2016, we realized offsets to LNG terminal costs of $131 million and $14 million, respectively, that were related to the sale of commissioning cargoes because these amounts were earned prior to the start of commercial operations, during the testing phase for the construction of the SPL Project.