SM Energy Provides Operational Update; Shares Surge More Than 5%
Shares in SM Energy Company ( SM ) is up 5.5% in afternoon trading to near $50.40 after it announced that net production from the company's operated Eagle Ford shale program averaged 230 MMCFE/d in July 2012.
For the second quarter of 2012, net production in this program averaged 207 MMCFE/d. SM Energy also announces that it is currently starting up additional tank batteries to allow for continued production growth in its operated Eagle Ford shale program.
Additionally, SM Energy announces the borrowing base on its revolving credit facility has been increased by its bank group to $1.55 billion from $1.4 billion. SM will maintain its current commitment amount at $1 billion, which is sufficient for the company's expected liquidity needs.
SM shares are trading within a 52-week range of $39.44 - $88.50.