SM Energy Co (SM) 2025 Q2 法說會逐字稿

Good afternoon. This is Pat Lytle, Senior Vice President of Finance. Welcome to SM Energy’s second-quarter 2025 financial and operating results webcast.

午安.這是財務高級副總裁帕特·萊特爾。歡迎參加SM Energy 2025年第二季財務與營運績效網路直播。

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 5 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.

在我們開始發言之前，我提醒各位，我們今天的討論將包含前瞻性陳述。請您參閱隨附投影片的第 2 頁、隨附收益報告的第 5 頁以及我們最新提交的 10-K 文件中的「風險因素」部分，其中描述了與前瞻性陳述相關的風險，這些風險可能導致實際結果出現差異。

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 both the earnings release and slide deck.

我們也將討論非GAAP指標和衡量標準。非GAAP指標和衡量標準的定義和與最直接可比較的GAAP指標的調節，以及對前瞻性非GAAP指標的討論，都可以在盈利報告和幻燈片中找到。

Today’s prepared remarks will be given by our President and Chief Executive Officer, Herb Vogel; our Chief Operating Officer, Beth McDonald; and our Chief Financial Officer, Wade Pursell.

今天，我們的總裁兼執行長赫伯·沃格爾、營運長貝絲·麥克唐納和財務長韋德·珀塞爾將發表準備好的演講。

I will now turn the call over to Herb.

現在我將把通話交給赫伯。

Thank you, Pat, and good afternoon, everyone. We had a truly standout second quarter as record production volumes drove a strong financial beat across many metrics, with the Uinta Basin standing out as a major driver of our success.

謝謝你，帕特，大家下午好。第二季我們取得了非常出色的成績，創紀錄的產量推動了許多指標的強勁成長，其中尤因塔盆地是我們成功的主要驅動力。

We paid off our credit facility and built a cash balance of over $100 million, progressing nicely towards our 1 times leverage target, which we expect to achieve near year-end in the current commodity price environment. Record production volumes totaled 209 thousand barrels of oil equivalent per day, exceeding the mid-point of guidance by 5%, driven by top-tier asset performance and strong execution.

我們償還了信貸額度，並建立了超過 1 億美元的現金餘額，朝著 1 倍槓桿率的目標穩步邁進，我們預計在當前的商品價格環境下，將在年底前實現這一目標。創紀錄的日產量達到 20.9 萬桶油當量，比預期中位數高出 5%，這得益於一流的資產表現和強有力的執行。

Uinta Basin volumes outpaced expectations, and our operations and marketing teams worked effectively to ensure timely sales by streamlining logistics and optimizing takeaway. These operational wins translated to bottom-line strength, with beats versus consensus for adjusted net income, adjusted EBITDAX, and adjusted free cash flow.

Uinta Basin 的產量超出預期，我們的營運和行銷團隊透過簡化物流和優化外送流程，有效地確保了及時銷售。這些營運上的成功轉化為獲利能力的提升，調整後淨收入、調整後 EBITDAX 和調整後自由現金流均超乎預期。

An important milestone was achieved during the second quarter. We successfully completed the integration of our Uinta Basin assets and entered the optimization phase. Our team is actively pursuing margin-enhancing opportunities across the entire value chain, optimizing well design, and deepening their understanding of the 17 prospective intervals across our Uinta Basin acreage position.

第二季取得了一項重要里程碑式的成就。我們已成功完成尤因塔盆地資產的整合，並進入優化階段。我們的團隊正在積極尋求在整個價值鏈中提高利潤率的機會，優化油井設計，並加深對我們在尤因塔盆地區塊的 17 個潛在層段的了解。

We are proud of the results we achieved during the first half of 2025. However, we recognize that the industry still faces challenges for likely the remainder of the year and into 2026, including the potential impacts of OPEC+ supply decisions, sanctions, tariffs, or other geopolitical tensions.

我們為2025年上半年所取得的成果感到自豪。然而，我們認識到，該行業在今年剩餘時間和 2026 年可能仍面臨挑戰，包括 OPEC+ 供應決定、制裁、關稅或其他地緣政治緊張局勢的潛在影響。

While we can’t predict these outcomes, we continue to manage commodity price volatility and risk through our hedging program. Additionally, our supply chain team continues to mitigate tariff-related risks and pursue deflationary savings. We are well-positioned to weather a lower oil price environment, if it materializes, due to our increased scale, low-breakeven program, and a strong balance sheet with ample liquidity.

雖然我們無法預測這些結果，但我們將繼續透過避險計畫來管理大宗商品價格波動和風險。此外，我們的供應鏈團隊將持續降低關稅相關風險，並尋求通貨緊縮帶來的成本節約。由於我們規模擴大、損益平衡點低，以及擁有充足流動性的強勁資產負債表，我們有能力應對油價走低的環境（如果這種情況發生）。

As we said in May during our first quarter results webcast, our 2025 plan was developed to optimize the allocation of capital across our three core assets with a plan already in place to slow the pace of development throughout 2025. We had dropped from nine to seven drilling rigs during the first quarter and are now down to six.

正如我們在 5 月第一季業績網路直播中所說，我們的 2025 年計畫旨在優化我們三大核心資產的資本配置，並已製定計劃在 2025 年放緩開發步伐。第一季我們的鑽井平台數量從九個減少到七個，現在又減少到六個。

On the completions side, we ran double-barrel frac operations in the Uinta Basin into the second quarter and reduced to single-barrel during the quarter. Wade will speak to our capital expenditure expectations later in the call, but we are obviously very pleased with our operational execution during the first half of the year.

在完井方面，我們在尤因塔盆地進行了雙管壓裂作業，直到第二季才減少到單管壓裂作業。韋德將在電話會議的稍後部分談到我們的資本支出預期，但我們顯然對今年上半年的營運執行情況感到非常滿意。

Our team continues to drive differentiated performance, which Beth will speak to shortly. The successful integration of our Uinta Basin assets, coupled with strides in capital efficiencies and optimization of takeaway capacity, are just a few examples of how we’re unlocking value across the business.

我們的團隊持續追求差異化業績，貝絲稍後會談到這一點。我們成功整合了 Uinta Basin 的資產，並在資本效率和外輸能力優化方面取得了長足進步，這只是我們如何在整個業務中釋放價值的幾個例子。

We remain focused on executing a multi-year plan to maximize free cash flow, reduce debt to our target leverage, and deliver on our stockholder return commitments. I will now turn the call over to Beth for operational highlights and progress made during the quarter. Beth?

我們將繼續專注於執行多年計劃，以最大限度地提高自由現金流，將債務降低到目標槓桿水平，並履行我們對股東回報的承諾。現在我將把電話交給貝絲，請她介紹本季營運亮點和進度。貝絲？

Thank you, Herb. I’ll begin on slide 6 by stepping back to reflect on how far SM Energy has come over the past five years. Our growth has been intentional and strategic, with the Uinta Basin acquisition serving as a pivotal milestone, delivering a step-change in scale and positioning us for even greater impact.

謝謝你，赫伯。我將在第 6 張投影片中回顧 SM Energy 在過去五年中所取得的成就。我們的發展是有計劃、有策略的，收購 Uinta Basin 是一個關鍵的里程碑，實現了規模的飛躍，並使我們能夠產生更大的影響。

This chart illustrates that since year-end 2020 we have significantly grown estimated net proved reserves and net production each by over 60% with an increase in oil mix contributing to higher production margins. Amazingly over this same period, our share count remained flat andwe cut our leverage ratio by half from 2.3 times at the end of 2020. We believe this to be a clear reflection of our team’s execution and vision, and although we’ve been in business for nearly 120 years, we’re just getting started.

這張圖表顯示，自 2020 年底以來，我們的估計淨探明儲量和淨產量均大幅增加了 60% 以上，石油組合的增加也提高了生產利潤率。令人驚訝的是，在同一時期，我們的股票數量保持不變，我們將槓桿率從 2020 年底的 2.3 倍降低了一半。我們相信這清楚地反映了我們團隊的執行力和遠見，雖然我們已經經營近 120 年，但我們才剛起步。

On slide 7, we highlight many of our technology initiatives. One example is our talented technical team developed and advanced machine learning models to refine SM well designs. And through this workflow, we have realized the benefits of these investments by delivering stronger performing wells and higher cash flows.

在第 7 張投影片中，我們重點介紹了我們的許多技術舉措。例如，我們才華橫溢的技術團隊開發並改進了機器學習模型，以改進SM井設計。透過這個工作流程，我們實現了這些投資的收益，獲得了性能更佳的油井和更高的現金流。

On a later slide, you will see this illustrated as our Howard County wells perform over 30% better than peer operated wells. Stay tuned as we continue to preview our innovative efforts.

在後面的幻燈片中，您將看到圖示，我們的霍華德縣油井的性能比同行運營的油井高出 30% 以上。請關注，我們將繼續為您帶來創新成果的預覽。

Next week marks our 16th annual Geosciences & Technical Conference, themed, Next Horizons: Honoring our Origins, and Forging Ahead. I’m excited for our employees to gather for three days to learn from each other and collaborate on bold ideas as we build for the future.

下週將舉行第 16 屆年度地球科學與技術大會，主題為「下一個視野：緬懷起源，勇往直前」。我很高興我們的員工能夠齊聚一堂三天，互相學習，共同探討大膽的想法，為未來建設貢獻力量。

Moving on to the next couple of slides, you’ll see familiar graphs plotting average cumulative oil production for our three core assets. What stands out is how each asset consistently delivers strong, competitive results within our portfolio, and how they continue to outperform peer-operated wells.

接下來幾張投影片，您將看到熟悉的圖表，這些圖表繪製了我們三大核心資產的平均累積石油產量。最突出的是，我們投資組合中的每項資產都持續帶來強勁、有競爭力的業績，並且持續優於同行營運的油井。

That’s a direct result of our team’s discipline in capital allocation, the depth of our technical knowledge, which I just referenced, and our unwavering focus on execution. It’s this combination that drives our differentiation – and it shows up clearly in the data.

這直接得益於我們團隊在資本配置上的嚴謹作風、我剛才提到的深厚技術知識，以及我們對執行力的堅定不移的專注。正是這種組合造就了我們的差異化優勢，這點在數據中也得到了清晰的體現。

As highlighted later in this deck, we hosted various federal, state, and local officials on a field tour in Utah and were proud to hear State Senator Ron Winterton comment on our bold leadership in deploying cutting edge technology. We believe that our recent well results on slide 10 showcase just that.

正如本簡報後面重點介紹的那樣，我們接待了多位聯邦、州和地方官員到猶他州進行實地考察，並很榮幸地聽到州參議員羅恩·溫特頓對我們在部署尖端技術方面的大膽領導作用發表評論。我們相信，第 10 頁投影片中所展示的最新油井結果正好證明了這一點。

During the quarter, we benefited from strong well performance in all three of our core assets. The robust performance of these 22 new wells in our Uinta Basin, combined with our marketing team’s outstanding work to improve transportation logistics and optimize takeaway, contributed meaningfully to our second-quarter production beat.

本季，我們三大核心資產的油井表現均十分強勁，從中受益匪淺。我們在尤因塔盆地的這 22 口新井表現出色，加上我們的行銷團隊在改善運輸物流和優化外送方面所做的出色工作，對我們第二季度的產量超預期做出了重要貢獻。

The South Texas Austin Chalk continues to generate exceptional returns. This is an impressive pad that is projected to reach payout in just eight months.

南德克薩斯奧斯汀粉紅牛繼續帶來卓越的回報。這是一項令人印象深刻的投資，預計只需八個月即可收回成本。

Next up on slide 11, we’re highlighting some of our early integration and efficiency wins in the Uinta Basin. The team truly hit the ground running and has shifted into optimization mode. You can expect that story will continue to evolve as we evaluate the results of our first fully designed and executed SM pad development in early 2026.

接下來，在第 11 張投影片中，我們將重點介紹我們在尤因塔盆地早期取得的一些整合和效率提升成果。團隊迅速進入工作狀態，並已轉入最佳化模式。預計隨著我們在 2026 年初評估我們第一個完全設計和執行的 SM 焊盤開發的結果，這個故事將繼續發展。

During the quarter, we achieved a new milestone with a record daily volume transported from Price River Terminal via rail. As a reminder, the waxy crude produced out of the Uinta Basin commands a market premium.

本季度，我們實現了一個新的里程碑，從普萊斯河碼頭通過鐵路運輸的日運輸量創下歷史新高。需要提醒的是，尤因塔盆地生產的蠟質原油享有市場溢價。

And in the second quarter, the Uinta Basin had the highest cash production margin of all three of our operating assets. We also successfully drilled the first three-mile lateral in the Upper Cube in the basin, setting the stage for future development and higher returns.

第二季度，尤因塔盆地的現金生產利潤率在我們三個營運資產中最高。我們也成功鑽探了盆地上部立方體的第一個三英里水平井，為未來的開發和更高的回報奠定了基礎。

Lastly, we safely relocated the centralized remote e-fleet, which will now frac over 30 wells into 2026 using 100% recycled water. We also started up our sand conveyor system, known as the sand slinger 3000, which reduces costs, eliminates sand truck traffic, and improves overall safety.

最後，我們安全地轉移了集中式遠端電子艦隊，該艦隊現在將使用 100% 回收水對 30 多口井進行壓裂作業，直至 2026 年。我們還啟動了我們的沙子輸送系統，即沙子拋射器 3000，該系統降低了成本，消除了沙子卡車的運輸，並提高了整體安全性。

On slide 12, we spotlight our Texas assets, longstanding pillars of consistency and performance within our portfolio. This slide shows that reliable execution, day in and day out, results in efficiency gains. Since 2022, we have reduced our average D&C cost per foot by 15%.

在第 12 張投影片中，我們重點介紹了我們在德州的資產，這些資產是我們投資組合中長期保持穩定和良好績效的支柱。這張投影片顯示，日復一日的可靠執行能帶來效率的提升。自 2022 年以來，我們每英尺的平均設計施工成本降低了 15%。

Notably, we recently drilled the two fastest Woodford wells in the Midland Basin in our history, achieving speeds 25% faster than previous wells. Further, we continue to extend the length of our laterals, successfully completing more four-mile wells in the Midland Basin, while also evolving our well design to further enhance performance and efficiency. In South Texas, we are utilizing lease gas to power frac operations and optimizing sand logistics to reduce non-productive time and save costs.

值得一提的是，我們最近在米德蘭盆地鑽探了歷史上速度最快的兩口伍德福德井，鑽井速度比以前的井快了 25%。此外，我們不斷延長水平井的長度，在米德蘭盆地成功完成了更多四英里長的井，同時不斷改進井的設計，以進一步提高性能和效率。在德州南部，我們正在利用租賃天然氣為壓裂作業提供動力，並優化砂物流，以減少非生產性時間並節省成本。

Finally, turning to slide 13. This summer, we welcomed several groups to Utah for field tours, giving them a firsthand look at the uniqueness and safety of our operations. As part of our outreach, we partnered with the Utah Petroleum Association and the Uintah Basin Technical College to host various federal, state, and local officials. It was a collaborative effort that reflects our commitment to being a responsible operator and an engaged neighbor, one that values transparency, education, and long-term relationships.

最後，請看第 13 張投影片。今年夏天，我們接待了幾個團體到猶他州進行實地考察，讓他們親眼目睹了我們營運的獨特性和安全性。作為我們對外宣傳工作的一部分，我們與猶他州石油協會和尤因塔盆地技術學院合作，接待了多位聯邦、州和地方官員。這是一項協作努力，體現了我們致力於成為負責任的經營者和積極參與的鄰居，重視透明度、教育和長期關係。

And with that, I will turn the call over to Wade to talk about second-quarter financial results. Wade?

接下來，我將把電話交給韋德，讓他談談第二季的財務表現。韋德？

Thank you, Beth. Good afternoon, everyone, and thanks for joining us today. I have three parts to my discussion this afternoon. And the summary is: one, performing at a high level; two, prioritizing debt reduction; and three, plan intact. If that is all you remember from my part, that will be enough.

謝謝你，貝絲。各位下午好，感謝各位今天收看我們的節目。我今天下午的發言分為三個部分。總結起來就是：第一，維持高水準的績效；第二，優先考慮減少債務；第三，計畫保持不變。如果你只記得我講的這些，那就夠了。

Now for some details. First, performing at a high level on slide 14. The team performed at a very high level in the second quarter delivering a record for quarterly net daily equivalent production and beating the mid-point of our guidance by 5%.

現在來說說細節。首先，第 14 張投影片表現良好。第二季度，團隊表現非常出色，季度淨日當量產量創歷史新高，比我們預期的中位數高出 5%。

Oil production was even stronger at 115.7 thousand barrels per day, or over 55% of total production. Financially, we delivered huge beats to consensus estimates, including adjusted net income, adjusted EBITDAX, and adjusted free cash flow.

石油產量更強勁，達到每天 11.57 萬桶，佔總產量的 55% 以上。財務方面，我們大幅超越了普遍預期，包括調整後的淨收入、調整後的 EBITDAX 和調整後的自由現金流。

Production outperformance was driven by a few factors. We successfully pulled forward some of our activity into the second quarter because of more efficient drilling and completion operations in the Midland and Uinta basins. Importantly, with these higher-than-expected volumes, our team’s efforts to streamline transportation logistics and optimize takeaway were key to selling the incremental barrels.

生產業績優異是由以下幾個因素推動的。由於米德蘭盆地和尤因塔盆地的鑽井和完井作業效率更高，我們成功地將部分業務提前到了第二季。重要的是，由於銷售量高於預期，我們團隊為簡化運輸物流和優化提貨流程所做的努力，是銷售外桶裝原油的關鍵。

In addition, our base production in Texas outperformed our expectations. Commodity prices were more challenged during the quarter than in the first quarter but our hedges offset some of the weakness.

此外，我們在德克薩斯州的基地生產也超出了預期。本季大宗商品價格面臨的挑戰比第一季更大，但我們的對沖措施抵消了部分疲軟的影響。

On the cost side, operating costs were down 7% per BOE sequentially, driven by lower LOE and lower production taxes. We experienced lower LOE during Q2 due to the deferral of certain workover activities until the second half of the year and higher production volumes resulting in fixed costs being lower on a per BOE basis.

成本方面，每桶油當量營運成本較上月下降 7%，主要原因是營運成本降低和生產稅降低。由於某些修井活動推遲到下半年進行，以及產量增加，導致第二季度營運成本降低，因此每桶油當量 (BOE) 的固定成本也降低。

Lower production taxes resulted from lower realized commodity prices. Transportation expense per BOE was 5% higher sequentially due to the Uinta Basin becoming a greater part of our total production mix.

生產稅降低是由於商品實際價格下降所致。由於尤因塔盆地在我們總產量中所佔比例增大，每桶油當量運輸費用較上季增加 5%。

As you will see on slide 20, our cash production margin was resilient in a lower commodity price environment. Importantly, our Uinta Basin cash production margin exceeded our Midland Basin margin for the second quarter. We expect each of our operating areas to generate strong margins through the end of the year.

正如您將在第 20 頁幻燈片中看到的那樣，在商品價格走低的環境下，我們的現金生產利潤率仍然保持穩定。值得注意的是，我們第二季的尤因塔盆地現金生產利潤率超過了米德蘭盆地的利潤率。我們預計到年底，我們各個業務領域都將產生強勁的利潤率。

Turning to capital, our second quarter CapEx came in slightly higher than guidance, as a result of accelerated drilling and completions. Operational efficiencies pulled forward two net drills and six net completions in the quarter; more on how this impacts our full year capital estimates in a moment

就資本而言，由於鑽井和完井速度加快，我們第二季的資本支出略高於預期。營運效率的提升使得本季提前完成了兩口淨鑽井和六口淨完井；稍後我們將詳細分析這對我們全年資本支出預測的影響。

Bottom line, adjusted free cash flow for the quarter funded our fixed quarterly dividend of $0.20 per share, an annualized yield of 3%, provided for the repayment of the remaining outstanding balance under our credit facility, and resulted in cash on hand of over $100 million at June 30, which is a nice segue to the balance sheet on slide 15, which I summarized as prioritizing debt reduction. That describes our general philosophy while our leverage is above 1 times.

總而言之，本季的調整後自由現金流支付了每股 0.20 美元的固定季度股息，年化收益率為 3%，償還了信貸安排下的剩餘未償餘額，並在 6 月 30 日實現了超過 1 億美元的現金儲備。這很好地引出了第 15 頁的資產負債表，我將其總結為優先考慮減少債務。這描述了我們槓桿率高於 1 倍時的整體理念。

Our balance sheet continues to be in very good shape. With cash on hand and an undrawn revolver, we finished the quarter with substantial available liquidity of $2.1 billion and net debt to adjusted EBITDAX at 1.2 times.

我們的資產負債表狀況依然非常良好。憑藉手頭現金和未提取的循環信貸額度，我們本季末擁有 21 億美元的充足可用流動資金，淨債務與調整後 EBITDAX 的比率為 1.2 倍。

Remember, this leverage ratio only includes Uinta EBITDAX since the October 1 close date. Pro-forma, if we include an estimate of XCL EBITDAX in the trailing 12-month number for the full 12 months, the leverage ratio would be just under 1.1 times.

請注意，此槓桿率僅包含自 10 月 1 日收盤以來的 Uinta EBITDAX。依備考情況，如果我們將 XCL EBITDAX 的估計值計入過去 12 個月的表現中，槓桿率將略低於 1.1 倍。

Our priority of reducing leverage to the 1 times level remains on track and we expect to meet this target near year-end, assuming current commodity prices. Until then, we will generally prioritize debt reduction before directing free cash flow towards additional share buybacks.

我們降低槓桿率至 1 倍的目標仍然按計劃進行，假設大宗商品價格保持當前水平，我們預計將在年底前實現這一目標。在此之前，我們通常會優先考慮減少債務，然後再將自由現金流用於額外的股票回購。

Moving now to slide 16, we have continued to layer on hedges for a portion of our expected oil and gas production in 2025 and 2026, and a portion of our expected gas production in 2027. We are now hedged at 46% of expected remaining 2025 oil production and 45% of expected remaining 2025 natural gas production. You can see the appendix for a full summary of our hedges.

現在來看第 16 張投影片，我們繼續對 2025 年和 2026 年預期石油和天然氣產量的一部分以及 2027 年預期天然氣產量的一部分進行避險。我們目前已對沖了 2025 年剩餘預期石油產量的 46% 和 2025 年剩餘預期天然氣產量的 45%。您可以查看附錄以取得我們所有對沖策略的完整摘要。

Finally, I will move on to the third topic, which I summarized as plan intact. Slide 17 provides an update on our expectations for the rest of the year.

最後，我將進入第三個主題，我將其概括為計劃完好無損。第 17 張投影片更新了我們對今年剩餘時間的預期。

As a reminder, our 2025 plan, as described in February, provided for 20% production growth and 30% oil production growth, which now looks more like 38%. We are making a few updates to our guidance as a result of first half performance and expectations for the second half.

提醒一下，我們在 2 月提出的 2025 年計畫中，規定產量增加 20%，石油產量增加 30%，而現在看來更像是 38%。根據上半年業績表現和對下半年的預期，我們對業績指引進行了一些調整。

Production and we are reiterating our total net production of 200,000 to 215,000 BOE per day while increasing the oil contribution to 53% to 54%, or approximately 106,000 to 116,000 barrels per day at the mid-point. This reflects the greater contribution from our Uinta Basin assets.

我們重申，總淨產量為每天 20 萬至 21.5 萬桶油當量，同時將石油產量佔比提高到 53% 至 54%，或中點約為每天 10.6 萬至 11.6 萬桶。這反映了我們尤因塔盆地資產的更大貢獻。

Capital expenditures. We are updating our full-year total capital expenditures guidance to approximately $1.375 billion, as well as increasing our expected number of net drilled wells to 115 with no change in expected net completions.

資本支出。我們將全年總資本支出預期更新至約 13.75 億美元，同時將淨鑽井數量預期增加至 115 口，淨完井數量預期維持不變。

This increase in guidance primarily reflects expected capital expenditures for non-operated projects, which we now have a clearer line of sight to. Given the planned timing of turn-in-lines, these non-operated projects will not contribute to production until 2026.

此次業績指引的上調主要反映了非營運項目的預期資本支出，我們現在對此有了更清晰的了解。根據計畫的投產時間，這些未營運的項目要到 2026 年才會開始投產。

DD&A expense. We are increasing our full-year DD&A expense to approximately $16 per BOE, due to the increase in expected full-year oil production. Projected cash taxes have changed with the One Big Beautiful Bill Act signed into law on July 4.

折舊和攤銷費用。由於預計全年石油產量增加，我們將全年折舊和攤提費用增加到每桶油當量約 16 美元。隨著《一項偉大的法案》於 7 月 4 日簽署成為法律，預計現金稅收發生了變化。

While we’re still evaluating, we expect to benefit from certain key provisions and, as a result, have reduced our expected cash taxes to approximately $10 million for 2025, down from a range of $75 million to $95 million. You can expect to see the financial impact from the OBBBA to be reflected in our third quarter financial statements

雖然我們仍在評估，但我們預計將受益於某些關鍵條款，因此，我們將 2025 年的預期現金稅款從 7,500 萬美元至 9,500 萬美元的範圍減少到約 1,000 萬美元。預計OBBBA帶來的財務影響將反映在我們第三季的財務報表中。

For those of you that model quarterly, a few points regarding the third quarter. Production for the third quarter is expected to range from 209,000 to 215,000 BOE per day, at approximately 53% to 54% oil, or 111,000 to 116,000 barrels per day. CapEx is expected to range from $300 million to $320 million and is expected to include approximately 25 net drills and approximately 30 net completions.

對於那些按季度進行建模的人來說，關於第三季度有幾點需要說明。第三季產量預計在每天 209,000 至 215,000 桶油當量之間，其中石油約佔 53% 至 54%，即每天 111,000 至 116,000 桶。預計資本支出將在 3 億美元至 3.2 億美元之間，預計將包括約 25 次淨鑽井和約 30 次淨完井。

We’re regularly asked about our plans for 2026, I’m on slide 18 now. Given the uncertainty in the commodity price environment, we don’t expect to discuss our plans for 2026 until early next year. We have significant optionality across our three core areas.

我們常被問到 2026 年的計劃，我現在講到第 18 張投影片了。鑑於大宗商品價格環境的不確定性，我們預計要到明年年初才會討論我們 2026 年的計劃。我們在三大核心領域擁有很大的選擇權。

We remain steadfast in our pursuit of innovation, improving capital efficiency, operational excellence, and expanding our portfolio of top-tier inventory. As a premier operator, we continue to demonstrate environmental stewardship and deliver a sustainable return of capital program comprised of fixed dividends and debt reduction to a target level of 1 times to enable us to return to our stock buyback program.

我們將繼續堅定不移地追求創新、提高資本效率、卓越運營，並擴大我們的一流庫存組合。作為一家領先的營運商，我們將繼續展現對環境的管理，並實施可持續的資本回報計劃，該計劃包括固定股息和將債務減少到 1 倍的目標水平，以便我們能夠恢復股票回購計劃。

In closing, we are very pleased with our results through the first half of the year. Completing the integration of our newly acquired Uinta Basin assets and moving into optimization mode is an exciting achievement.

最後，我們對上半年的業績非常滿意。完成新收購的尤因塔盆地資產的整合並進入最佳化模式是一項令人振奮的成就。

A special shout-out and thank you to all members of team SM for the very high level of performance during the first half of the year. This performance once again highlights our excellent team and our top-tier, low break-even, assets.

特別要向SM團隊的所有成員致以崇高的敬意和感謝，感謝他們在上半年所展現出的出色表現。這項業績再次凸顯了我們優秀的團隊和我們一流的、損益平衡點低的資產。

With the balance sheet already in a strong position, our prioritization of free cash flow toward debt reduction has it poised to become even stronger. With the plan intact for the second half of the year, we are excited to have line of sight to returning additional capital to our stockholders in the near-term through our Board-approved stock repurchase program.

公司資產負債表狀況已經十分穩健，我們優先利用自由現金流來減少債務，這將使公司資產負債表變得更加強勁。鑑於下半年的計劃依然有效，我們很高興能夠透過董事會批准的股票回購計劃，在近期內向股東返還更多資金。

Thank you for listening today and we look forward to answering your questions on the live Q&A webcast and call tomorrow morning. Have a great evening

感謝您今天的收聽，我們期待在明天上午的線上問答直播和電話會議中回答您的問題。祝你有個美好的夜晚