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Property, Plant and Equipment, Net of Accumulated Depreciation
 12 Months Ended
Dec. 31, 2023
Property, Plant and Equipment [Abstract]  
Property, Plant and Equipment, Net of Accumulated Depreciation PROPERTY, PLANT AND EQUIPMENT, NET OF ACCUMULATED DEPRECIATION
 
Property, plant and equipment, net of accumulated depreciation consisted of the following (in millions):
December 31,
20232022
LNG terminal  
Terminal and interconnecting pipeline facilities$20,176 $20,072 
Construction-in-process189 140 
Accumulated depreciation(4,173)(3,512)
Total LNG terminal, net of accumulated depreciation16,192 16,700 
Fixed assets 
Fixed assets29 29 
Accumulated depreciation(26)(25)
Total fixed assets, net of accumulated depreciation3 4 
Assets under finance leases
Tug vessels23 23 
Accumulated depreciation(6)(2)
Total assets under finance leases, net of accumulated depreciation17 21 
Property, plant and equipment, net of accumulated depreciation$16,212 $16,725 

The following table shows depreciation expense and offsets to LNG terminal costs (in millions):
Year Ended December 31,
202320222021
Depreciation expense$667 $630 $552 
Offsets to LNG terminal costs (1)— 148 105 
(1)We recognize offsets to LNG terminal costs related to the sale of commissioning cargoes because these amounts were earned or loaded prior to the start of commercial operations of the respective Trains of the Liquefaction Project during the testing phase for its construction.
LNG Terminal Costs

The Sabine Pass LNG Terminal is depreciated using the straight-line depreciation method applied to groups of LNG terminal assets with varying useful lives. The identifiable components of the Sabine Pass LNG Terminal have depreciable lives between 6 and 50 years, as follows:
ComponentsUseful life (years)
LNG storage tanks50
Natural gas pipeline facilities40
Marine berth, electrical, facility and roads35
Water pipelines30
Regasification processing equipment 30
Sendout pumps20
Liquefaction processing equipment
6-50
Other
10-30

Fixed Assets

Our fixed assets are recorded at cost and are depreciated on a straight-line method based on estimated lives of the individual assets or groups of assets.

Assets under Finance Leases

Our assets under finance leases consists of certain tug vessels that meet the classification of a finance lease. These assets are depreciated on a straight-line method over the respective lease term. See Note 12—Leases for additional details of our finance leases.