SM Energy Company (NYSE:SM) entered into a purchase and sale agreement to acquire certain oil and gas leases in Upton county from American Standard Energy Corp. for $12 million.

SM Energy Company (NYSE:SM) entered into a purchase and sale agreement to acquire certain oil and gas leases in Upton county from American Standard Energy Corp. for $12 million in a bankruptcy sale on January 21, 2016. As part of consideration, SM Energy Company shall deposit within one day from the establishment of escrow account with Wells Fargo Bank, $0.6 million which will be held invested and disbursed.

An additional $0.6 million is payable into the escrow accounts at the time of closing. The transaction is subject to customary closing conditions including approval by the bankruptcy court. The transaction is expected to close in 7 days from the receipt of approval by the bankruptcy court.

Bernard R. Given of Loeb & Loeb L.L.P. acted as legal advisor to American Standard Energy Corp.