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SM Energy's Commitment to Sustainability

On August 14, 2025, SM Energy Company (NYSE: SM) unveiled its latest sustainability disclosures, emphasizing its dedication to environmental stewardship and technical innovation. The disclosures are now accessible on the company’s official website, outlining extensive efforts made in recent years to enhance both operational excellence and social responsibility.

CEO's Perspective

Herb Vogel, the Chief Executive Officer, stated, "SM Energy is recognized as a leader in sustainability and stewardship among peers. As a premier operator of top-tier assets, we prioritize safety, technical innovation, and environmental stewardship. We believe investing in our people fosters a culture of integrity and collaboration essential for our success."

The announcement not only highlights the company's achievements but also reinforces SM Energy's position as an industry leader amid evolving market dynamics.

Recent Sustainability Achievements

The updated sustainability disclosures include:

• - A letter from the CEO addressed to stakeholders
• - Performance highlights and quick reference metrics, reporting 2024 data
• - 2025 Task Force on Climate-Related Financial Disclosures and Sustainability Accounting Standards Board Disclosures, also reflecting 2024 data

Key Highlights

1. Flaring and Methane Intensity Reduction: SM Energy has successfully achieved Texas flaring and methane intensity targets with a 74% reduction in flaring percentage and a significant 61% improvement in methane intensity compared to the base year of 2019. The company remains committed to its stated goal of a 50% reduction in Texas GHG emissions by 2030.
2. Advanced Emission Reduction Technologies: The firm has implemented cutting-edge technologies like continuous methane detection systems, dynamic gas blending, and electrified fleets in its completion operations. SM Energy is also converting some of its devices to solar power, demonstrating practical applications of renewable energy sources.
3. Water Stewardship: SM Energy shows a robust commitment to water conservation, having increased its produced water recycling rate to 40%, which represents a 25% improvement relative to the previous year.
4. Safety Initiatives and Training: The company has launched new safety initiatives and enhanced leadership training programs to reinforce its Safety-First Culture, empowering employees and contractors to prioritize safety.
5. Leadership Development Awards: SM Energy has been recognized with two distinguished awards from the Brandon Hall Group™—a Gold Award for innovations in building competencies and a Bronze Award for excellence in overall leadership development.
6. Board Enhancement: With the induction of two new board members bringing valuable expertise, particularly in Technology and Artificial Intelligence, SM Energy strengthens its governance and capability in navigating the advancing technology landscape.

Future Goals

For those interested in detailed insights, further information on SM Energy's sustainability achievements can be found in the Performance Highlights section of their public disclosures. With plans to update public emissions targets in the upcoming years, SM Energy aims to reflect the full scope of its expanded portfolio and continued commitment to sustainable practices.

As SM Energy embarks on its journey of growth and innovation, it invites all stakeholders to engage with its sustainability initiatives by reviewing the comprehensive disclosures available.

Conclusion

The publication of updated sustainability disclosures by SM Energy is a significant step in fostering transparency and accountability in the energy sector. The company’s focus on environmental stewardship, safety, and social responsibility is paving the way for a more sustainable energy future, highlighting the critical balance between operational success and ecological preservation.

For more information, visit SM Energy's Sustainability Page.