SM Energy - Bakken/Three Forks Activity

SM Energy acquires 61,000 net acres in the Bakken/Three Forks play for $330 million. SM Energy purchased the acreage from Baytex Energy Corp. bringing SM Energy's holding in Divide County, North Dakota to 97,000 net acres. SM is focusing on the Three Forks and has increased the rate of return by 25% by decreasing drilling time 30% and by increasing the volume of frac sand used per well by 40%.