# SM Energy Sets Fourth-Quarter Oil Target at 229,000 to 239,000 Barrels a Day

By John Kim

Canonical URL: https://www.tokenpost.com/news/business/49313
Published: 2026-11-05T13:53:31.000Z
Updated: 2026-11-05T13:53:31.000Z
Section: Business

> Net debt fell to $6 billion, and the company is targeting leverage in the low 1x range by the end of 2026.

SM Energy Company plans fourth-quarter oil output of 229,000 to 239,000 barrels a day while continuing to cut debt and pursue a low 1x leverage ratio by year-end 2026.

Net debt fell to $6 billion from $7.4 billion. The company used proceeds from the Galvan sale to reduce its debt and remains focused on reaching its leverage target by the end of 2026.

SM Energy has put about $400 million in synergies into action, twice its initial $200 million target and above a later goal of $375 million.

The company expects full-year 2026 capital spending of about $2.75 billion. It forecasts cash taxes of $100 million to $120 million for the year.

SM Energy’s 2027 production baseline remains in place as it assesses potential takeaway constraints in the Uinta Basin in early 2027. It is also considering whether to shift activity temporarily to other basins.