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BKH - Black Hills News Story

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Sector
Utilities
Size
Large Cap
Market Cap £2.99bn
Enterprise Value £6.13bn
Revenue £1.27bn
Position in Universe 1542nd / 6853

BLACK HILLS CORP.'S COLORADO ELECTRIC UTILITY RECEIVES APPROVAL FOR ELECTRIC RESOURCE PLAN AND CONSTRUCTION OF NEW GAS TURBINE

Thu 19th December, 2013 11:43pm

http://pdf.reuters.com/htmlnews/8knews.asp?i=43059c3bf0e37541&u=urn:newsml:reuters.com:20131220:nHUGdrJ9 
 
RAPID CITY, S.D. - Dec. 19, 2013 - Black Hills Corp. (NYSE: BKH) today announced that the Colorado
Public Utilities Commission verbally approved a settlement between its utility subsidiary Black
Hills Energy - Colorado Electric, Commission Staff and intervening parties for the electric
resource plan filed on May 1, 2013. The plan identifies how the company will meet its customers'
needs for safe, reliable and cost effective electricity, and comply with evolving state and
federal environmental requirements, as well as Colorado's mandate for energy efficiency and
renewable energy. Notably, the commission also approved the construction of a 40 megawatt
gas-fired combustion turbine to replace the retirement of a small coal-fired power plant. 

"We are committed to producing cost-effective electricity by controlling costs and making
responsible investments," said David R. Emery, chairman, president and chief executive officer of
BHC. "It is in our customers' best interest for us to retire the older, coal-fired W.N. Clark
power plant rather than retrofit it to comply with increasingly stringent environmental standards.
Replacing it with a cleaner, more efficient utility owned alternative will provide long-term rate
stability and system reliability for our customers."

To comply with Colorado's Clean Air-Clean Jobs Act of 2010, the resource plan addresses the
replacement generation needed due to the previously approved retirement of the coal-fired, 42
megawatt W.N. Clark generating station in Cañon City, Colo. The W.N. Clark plant suspended
operations in December 2012.This plant  will be retired on Dec. 31, 2013 and will be replaced in
2017 by a new 40 megawatt, simple-cycle, natural gas-fired turbine at the Pueblo Airport
Generating Station. Estimated costs for the new turbine are $60 to $70 million. The plan also
includes retirement of the aging Pueblo 5 and 6 natural gas-fired steam units, located in downtown
Pueblo, Colo. These units are in excess of 60-years old. Certificates of public convenience and
necessity for the retirement and new generation were approved as a part of the settlement. 

The resource plan also discusses the company's approach to integrating renewable energy resources,
namely wind and solar, into its future energy supply portfolio.

The Colorado PUC is expected to issue a written final order in the first quarter of 2014. 
 
 Investor Relations:                         
 Jerome E. Nichols             605-721-1171  
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BLACK HILLS CORPORATION
Black Hills Corp. (NYSE: BKH), a growth-oriented, vertically-integrated energy company with a
tradition of exemplary service and a vision to be the energy partner of choice, is based in Rapid
City, S.D. The company serves 769,000 natural gas and electric utility customers in Colorado,
Iowa, Kansas, Montana, Nebraska, South Dakota and Wyoming. The company also generates wholesale
electricity and produces natural gas, oil and coal. Black Hills' 1,925 employees partner to
produce results that are improving life with energy. More information is available at
www.blackhillscorp.com.

BLACK HILLS ENERGY - COLORADO ELECTRIC
Black Hills/Colorado Electric Utility Company, LP d/b/a Black Hills Energy serves 94,000 electric
customers in 21 southeastern Colorado communities. Black Hills Energy is a subsidiary of Black
Hills Corp., a growth-oriented, vertically-integrated company with a tradition of exemplary
service and a vision to be the energy partner of choice. Black Hills Corp. is based in Rapid City,
S.D. The company serves 769,000 natural gas and electric utility customers in Colorado, Iowa,
Kansas, Montana, Nebraska, South Dakota and Wyoming. The company also generates wholesale
electricity and produces natural gas, oil and coal. Black Hills' 1,925 employees partner to
produce results that are improving life with energy. More information is available at
www.blackhillscorp.com http://www.blackhillscorp.com/ .

CAUTION REGARDING FORWARD-LOOKING STATEMENTS

This news release includes "forward-looking statements" as defined by the Securities and Exchange
Commission, or SEC. We make these forward-looking statements in reliance on the safe harbor
protections provided under the Private Securities Litigation Reform Act of 1995. All statements,
other than statements of historical facts, included in this news release that address activities,
events or developments that we expect, believe or anticipate will or may occur in the future are
forward looking statements. These include, without limitation, the Company's plans for addressing
state and federal environmental requirements and Colorado mandates for energy efficiency and
renewable energy, the need for additional generating capacity, and customers cost of electricity.
These forward-looking statements are based on assumptions which we believe are reasonable based on
current expectations and projections about future events and industry conditions and trends
affecting our business. However, whether actual results and developments will conform to our
expectations and predictions is subject to a number of risks and uncertainties that, among other
things, could cause actual results to differ materially from those contained in the
forward-looking statements, including the factors discussed above, the risk factors described in
Item 1A of Part I of our 2012 Annual Report on Form 10-K filed with the SEC, and other reports
that we file with the SEC from time to time.

New factors that could cause actual results to differ materially from those described in forward
looking statements emerge from time-to-time, and it is not possible for us to predict all such
factors, or the extent to which any such
factor or combination of factors may cause actual results to differ from those contained in any
forward-looking statement. We assume no obligation to update publicly any such forward-looking
statements, whether as a result of new information, future events or otherwise. 
 

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This announcement is distributed by NASDAQ OMX Corporate Solutions on behalf of NASDAQ OMX
Corporate Solutions clients.
The issuer of this announcement warrants that they are solely responsible for the content,
accuracy and originality of the information contained therein.
Source: Black Hills Corporation via Globenewswire


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