SM Energy Company
SM
Energy
2
exclusion reasons
2 themes
This page is part of our public exclusion list — a transparency tool that shows which companies we screen out and why. It is not investment advice, and it is not an accusation. But it is subject to change as our understanding of the facts evolves.
SM Energy Company is an independent exploration and production company focused on the acquisition, development, and production of oil, gas, and natural gas liquids. Its operations are concentrated in the Permian Basin in Texas and the South Texas region, which together accounted for 48% of its 2024 production. The company’s business model is centrally dependent on finding and developing new fossil fuel reserves.
Fitch Ratings notes the company faces near-term transition risks from regulatory and market shifts away from fossil fuels, including higher costs driven by environmental policies and the long-term threat of peak oil demand. SM Energy’s corporate purpose and operations remain anchored in the upstream extraction of oil and natural gas, with no evidence of a strategic transition away from fossil fuel production.
SM Energy Company is an independent oil and gas exploration and production company focused on the Permian Basin and South Texas. ViolationTracker documents two environmental enforcement actions against the company: a 2007 EPA violation with a $30,000 penalty and a 2012 U.S. Attorney’s Office violation with a $30,000 penalty. In December 2012, SM Energy pleaded guilty to three violations of the Migratory Bird Treaty Act. The company’s public disclosures also routinely reference potential liabilities for pollution, contamination, or environmental remediation across its operating areas.
Research Sources
4 organizations
Related Exclusions
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Companies appear on our exclusion list based on our investment judgment — not because they've done anything illegal. This is a difference of values and opinion, not an accusation of wrongdoing. Exclusion does not constitute a recommendation against investing in any company, and absence from the list does not constitute a recommendation to invest.
This information is provided for educational and transparency purposes only and should not be relied upon as investment advice. Data is drawn from independent watchdogs, NGOs, government registries, and Ethical Capital's ongoing research — see Research Sources for the full list.
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