SM Energy (SM) is active in the Permian Basin and reported 114 Bcfe of proved reserves as of the end of 2010. The company reported production of 41 million cubic feet of natural gas equivalents per day in the fourth quarter of 2010.
SM Energy is operating one rig in the Permian Basin in the first quarter of 2011 and is working to develop tight oil assets in the Wolfberry formation. The company plans to spend $42 million, or 5% of its total 2011 capital budget in the Permian Basin.
In the Wolfberry, SM Energy operates the Sweetie Peck Field, and also participates on a non operated basis at the Halff East field. The company also operates two large waterflood operations in the Delaware Basin in New Mexico.