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Colorado oil company increases production forecast after success of new wells in Texas

Greg Avery
Colorado oil company increases production forecast after success of new wells in Texas

Oil and gas company SM Energy is increasing its yearlong production outlook after test wells it drilled in the Permian Basin and Austin Chalk areas of Texas surpassed company expectations. The Denver-based company (NYSE: SM) on Tuesday upped its second-quarter and full-year guidance, hiking its forecast for oil and gas pumped in the second quarter as much as 4% and its 2019 yearlong production forecast by nearly 1%. “Higher than expected production volumes in the Permian reflect strong early performance from a number of new wells including the Wolfcamp D and Dean tests, as well as completion timing.