Denver-based SM Energy said recently it plans to boost drilling and completion activity in 3Q and 4Q as it develops recently acquired acreage in Midland Basin. SM Energy raised total oil and gas production in 2Q to 14.1 million boe (42 percent oil) to top its target of 13.9 million boe. The company drilled 17 wells in 2Q (5 in Midland Basin) and completed 25 (17 in Midland Basin).
SM Energy acquired about 20,000 net acres in Dawson and Martin counties and said it plans to add a drilling rig there in 4Q. It also leased an additional 2,800 net acres in Midland Basin.
Herb Vogel, president and CEO, said Aug. 2, “We recently increased 2023 production guidance and lowered 2023 capital expenditure guidance, and we expect to continue to build inventory in 2023 and grow production by mid-single digits in 2024.”