SM Energy Company (NYSE:SM) Files An 8-K Triggering Events That Accelerate or Increase a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement

SM Energy Company (NYSE:SM) Files An 8-K Triggering Events That Accelerate or Increase a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement
Item 2.04 Triggering Events That Accelerate or Increase a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement.

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On June15, 2018, SM Energy Company (the “Company”) called for redemption all of the approximately $344.6 million aggregate principal amount outstanding of its 6.500% Senior Notes due 2021 (CUSIP Nos. 78454L AC4, 78454L AD2 and U83067AB1) (the “2021 Notes”), in accordance with the optional redemption provisions applicable thereto, as set forth in ArticleThree of the Indenture dated as of November8, 2011 (the “Indenture”) by and between the Company and U.S. Bank National Association, as trustee (the “Trustee”). The Indenture was filed as Exhibit4.1 to the Company’s Current Report on Form8-K filed on November10, 2011.

The redemption price for the 2021 Notes will be equal to 102.167% of the principal amount, plus accrued and unpaid interest on the principal amount of the 2021 Notes to be redeemed up to but excluding the redemption date. The Company expects to pay the redemption price for the Notes with cash on hand.

A notice of redemption has been sent by the Trustee to the registered holders of the 2021 Notes. The redemption date for the 2021 Notes will be July16, 2018 (the “Redemption Date”). Upon the deposit by the Company with the Trustee or the paying agent prior to 1:00 p.m.New York time on the Redemption Date of money sufficient to pay the redemption price and accrued interest on all 2021 Notes to be redeemed, interest shall cease to accrue on the 2021 Notes. Upon redemption by the Company of the 2021 Notes, none of the 2021 Notes will remain outstanding.

This Current Report on Form8-K does not constitute a notice of redemption under the Indenture.


About SM Energy Company (NYSE:SM)

SM Energy Company is an independent energy company. The Company is engaged in the acquisition, exploration, development and production of crude oil and condensate, natural gas and natural gas liquids (NGLs) in onshore North America. The Company operates in the exploration and production segment of the oil and gas industry within the United States. Its operations are concentrated in onshore operating areas in the United States: South Texas & Gulf Coast Region, Rocky Mountain Region and Permian Region. It has working interests in approximately 1,460 gross (approximately 870 net) productive oil wells and approximately 1,770 gross (approximately 650 net) productive gas wells. Within South Texas & Gulf Coast Region, the Company has both operated and non-operated Eagle Ford shale programs on approximately 200,000 net acres. It has approximately 162,000 net acres being developed in the Bakken and Three Forks formations. It has approximately 23,000 net acres in its Permian Region.

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