SM Energy Company (NYSE:SM) Q3 2024 Earnings Conference Call October 31, 2024 4:15 PM ET
Company Participants
Jennifer Martin Samuels - Vice President-Investor Relations and ESG Stewardship
Herb Vogel - President and CEO
Wade Pursell - CFO
Conference Call Participants
Jennifer Martin Samuels
Good afternoon and welcome to SM Energy’s Third Quarter 2024 Results Webcast. Before we get started on our prepared remarks, I remind you that our discussion today will include forward-looking statements. I direct you to Slide 2 of the accompanying slide deck, Page 6 of the accompanying earnings release, and the Risk Factors section of our most recently filed 10-K, which describe risks associated with forward-looking statements that could cause actual results to differ. We will also discuss non-GAAP measures and metrics. Definitions and reconciliations of non-GAAP measures and metrics, to the most directly comparable GAAP measures, and discussion of forward-looking non-GAAP measures, can be found in the back of the slide deck and earnings release.
Today’s prepared remarks will be given by our President and CEO, Herb Vogel, and our CFO, Wade Pursell.
I will now turn the call over to Herb.
Herb Vogel
Thank you, Jennifer. Good afternoon and thank you for your interest in SM Energy. We're pleased to report another consecutive quarter of excellent operational execution that delivered financial results exceeding expectations. This was achieved while also closing the Utah acquisitions and completing a number of financial transactions, which combined results in a step change in scale with a very strong balance sheet. Truly excellent performance from all.
Turning to Slide 5. As I do each quarter, I will speak to progress we are making on our core objectives for the year. I'll start with our objective to expand our high quality, low breakeven cost portfolio. With the close of the Uinta acquisitions on October 1st, we have now made a step change in the scale of our operations, which begins here in the fourth quarter.
As a reminder, we have increased core acreage by more than 93,000 net acres or by about 40% over the past year plus. With the close of the Utah acquisitions, we added 63,300 net acres, extended our inventory life by 3 plus years and we will see an increase in net oil production of around 40% sequentially at the midpoint of guidance. In short, we are very excited about our expansion in the Utah and we'll speak more about that in a few minutes.