DENVER, Jan. 10, 2017 /PRNewswire/ -- SM Energy
Company (NYSE: SM) today announced that it has engaged Tudor,
Pickering, Holt & Co. to run a formal bid process for sale of
the Company's Divide County area assets in the Williston
Basin. Assuming an acceptable offer is received, the
Company expects to close the sale transaction around mid-year of
2017. Associated December 2016
production for the Divide County assets was 10,700 Boe/d.
President and Chief Executive Officer Jay Ottoson comments: "This sale process
continues our drive to generate differential shareholder value
through concentrating our capital spending on top tier asset
development. Over the next few years, we intend to focus
on generating significant high margin production growth from our
operated acreage positions in the Midland Basin and Eagle
Ford. We expect that the sale proceeds from this planned
exit of the Williston Basin and from the pending sale of our
non-operated Eagle Ford assets will allow us to fully fund our
drilling program, while providing us with significant liquidity and
the ability to reduce our outstanding debt."
FORWARD LOOKING STATEMENTS
This release contains forward-looking statements within the
meaning of securities laws. These statements involve known and
unknown risks, which may cause SM Energy's actual results to differ
materially from results expressed or implied by the forward-looking
statements. Forward-looking statements in this release include,
among other things, timing and expected use of funds from pending
asset sales. General risk factors include the availability,
proximity and capacity of gathering, processing and transportation
facilities; the volatility and level of oil, natural gas, and
natural gas liquids prices, including any impact on the Company's
asset carrying values or reserves arising from price declines;
uncertainties inherent in projecting future rates of production or
other results from drilling and completion activities; the
imprecise nature of estimating oil and gas reserves; uncertainties
inherent in projecting future drilling and completion activities,
costs or results, including from pilot tests; the uncertainty of
negotiations to result in an agreement or a completed transaction;
the uncertain nature of divestiture, joint venture, farm down or
similar efforts and the ability to complete any such transactions;
the uncertain nature of expected benefits from the actual or
expected divestiture, joint venture, farm down or similar efforts;
the availability of additional economically attractive exploration,
development, and acquisition opportunities for future growth and
any necessary financings; unexpected drilling conditions and
results; unsuccessful exploration and development drilling results;
the availability of drilling, completion, and operating equipment
and services; the risks associated with the Company's commodity
price risk management strategy; uncertainty regarding the ultimate
impact of potentially dilutive securities; and other such matters
discussed in the "Risk Factors" section of SM Energy's 2015 Annual
Report on Form 10-K, as such risk factors may be updated from time
to time in the Company's other periodic reports filed with the
Securities and Exchange Commission. The forward-looking statements
contained herein speak as of the date of this announcement.
Although SM Energy may from time to time voluntarily update its
prior forward-looking statements, it disclaims any commitment to do
so except as required by securities laws.
ABOUT THE COMPANY
SM Energy Company is an independent energy company engaged in
the acquisition, exploration, development, and production of crude
oil, natural gas, and natural gas liquids in onshore North
America. SM Energy routinely posts important information
about the Company on its website. For more information about SM
Energy, please visit its website at www.sm‑energy.com.
SM ENERGY CONTACTS
INVESTORS - Jennifer Martin
Samuels, jsamuels@sm-energy.com, 303-864-2507
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SOURCE SM Energy Company