Wednesday, January 7, 2015

Bye-Bye SM Energy

SM Energy announced yesterday that it is planning to sell its east Texas and north Louisiana operations along with its Arkoma Basin (Oklahoma) properties.  As part of the process, it will also close its Mid-Continent regional office in Tulsa to focus its efforts on its core holdings in the Eagle Ford and Bakken/Three Forks areas.

SM pulled back in the Haynesville in early 2012, dropping its last rig in March of that year.  It's last completion was recorded in June 2012.  As far back as May 2010, the company signed a carry agreement with another operator for its Haynesville properties to be able to shift its focus westward, so this news comes as no big surprise.

On a side note, as careful readers of this site may have noticed, I don't really care for uninteresting company names, especially those with initials (EP Energy, XTO, NFR, etc.), so I was very disappointed in 2010 when St. Mary Land & Exploration changed its name to SM Energy.  I guess it was only a matter of time before the company, which abandoned its nominal roots in St. Mary Parish, LA, would leave the state altogether.

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