SM Energy Announces Private Offering of $300M of Senior Unsecured Notes Due 2021

SM Energy Company (NYSE: SM) today announced that, subject to market conditions, it intends to offer $300 million of senior unsecured notes due 2021 in a private placement to eligible purchasers. SM Energy intends to use the net proceeds from the offering to repay outstanding borrowings under its credit facility and for general corporate purposes.

General corporate purposes may in the future include funding the redemption of SM Energy's 3.50% Senior Convertible Notes, which are able to be redeemed on or after April 6, 2012. However, SM Energy may choose to use the proceeds for other corporate purposes depending on market conditions and other factors.