Black Hills Corp. Utilities Advances Commitment to Renewable
Energy with New Wind Agreement
Black Hills Contact Information:
Jason Ketchum 605-721-2765
Media Relations 866-243-9002
CHEYENNE, Wyo., April 1, 2009 – Black Hills Corp. (NYSE: BKH) announced today that its utility subsidiary Cheyenne Light, Fuel & Power Company has entered into an agreement to purchase an additional 30 megawatts of wind energy from Duke Energy through a 20-year purchase power agreement.
“We are pleased to continue our partnership with Duke Energy in developing wind resources,” said David R. Emery, Chairman, President and CEO of Black Hills Corp. “Black Hills Corp. is committed to exploring cost-effective renewable energy opportunities.”
Cheyenne Light will purchase 30 MW of the electricity generated at Duke Energy’s Silver Sage wind site, where construction is set to begin this spring and slated for full commercial operation in late 2009. Silver Sage will be adjacent to Duke Energy’s Happy Jack wind farm located west of Cheyenne, Wyo. Under a separate 20-year purchase power agreement, Cheyenne Light and Black Hills Power, also a Black Hills utility subsidiary, currently purchase all of the output from the 30 MW Happy Jack wind farm that began commercial operation in September 2008. The two Black Hills utilities expect to enter into a similar sharing agreement for the output from the Silver Sage wind farm.
“This agreement adds more renewable energy into our utility generation portfolio,” said Linn Evans, President and COO of Utilities for Black Hills Corp. “Through the Silver Sage and Happy Jack wind power purchase agreements we have secured renewable energy for our customers for the next two decades.”
The Silver Sage project will consist of 20 Suzlon wind turbines, each capable of generating 2.1 MW of electricity. In a separate 20-year purchase power agreement, Colorado-based Platte River Power Authority will purchase 12 MW of electricity generated by the Silver Sage project.
ABOUT BLACK HILLS CORPORATION
Black Hills Corp. — a diversified 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., with corporate offices in Golden, Colo., and Omaha, Neb. The company serves more than 759,000 utility customers in Colorado, Iowa, Kansas, Montana, Nebraska, South Dakota and Wyoming. The company’s non-regulated businesses generate wholesale electricity, produce natural gas, oil and coal, and market energy. We partner to produce results that improve life with energy. More information is available at www.blackhillscorp.com.
ABOUT CHEYENNE LIGHT, FUEL & POWER COMPANY
Cheyenne Light, Fuel & Power Company, a subsidiary of Black Hills Corp. (NYSE: BKH), serves nearly 39,800 electric customers and 33,300 natural gas customers in the greater Cheyenne, Wyo., area.
ABOUT BLACK HILLS POWER
Black Hills Power is the legacy business of Black Hills Corp. and has been delivering energy for more than 125 years. The electric utility serves more than 69,000 customers in 20 communities in western South Dakota, northeastern Wyoming and southeastern Montana.
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