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CALGARY, May 5 /PRNewswire-FirstCall/ — Shareholders of Suncor Energy Inc. approved a split of the company’s common shares on a two-for-one basis at the company’s annual and special meeting of shareholders on April 24, 2008.
In accordance with stock exchange rules and subject to regulatory approval, Suncor’s common shares will begin trading at the split-adjusted price on the Toronto Stock Exchange on May 12, 2008 and on the New York Stock Exchange on May 27, 2008.
Shareholders of record at the close of business on May 14, 2008, will keep their current share certificates. Computershare Trust Company of Canada, Suncor’s transfer agent, will mail additional share certificates representing the common shares to which shareholders are entitled as a result of the share split, on May 26, 2008. This is also referred to as the “pay date”.
The previously announced $0.10 quarterly dividend will also be impacted by the share split, with the amount payable on June 25, 2008 to shareholders of record at the close of business on June 4, 2008 now $0.05 per common share.
This news release contains forward-looking statements that address goals, expectations or projections about the future. These statements are based on Suncor’s current goals, expectations, estimates, projections and assumptions, as well as its current budgets and plans for capital expenditures. Some of the forward-looking statements may be identified by the phrase “subject to regulatory approval” and similar expressions. These statements are not guarantees of future performance. Actual results could differ materially, as a result of factors, risks and uncertainties, known and unknown, to which Suncor’s business is subject. Further discussion of the risks, uncertainties and other factors that could affect these plans, and any actual results, is included in Suncor’s annual report to shareholders and other documents filed with regulatory authorities.
Suncor Energy Inc. is an integrated energy company headquartered in Calgary, Alberta. Suncor’s oil sands business, located near Fort McMurray, Alberta, extracts and upgrades oil sands and markets refinery feedstock and diesel fuel, while operations throughout Western Canada produce natural gas. Suncor operates a refining and marketing business in Ontario with retail distribution under the Sunoco brand. U.S.A. downstream assets include pipeline and refining operations in Colorado and Wyoming and retail sales in the Denver area under the Phillips 66(R) brand. Suncor’s common shares (symbol: SU) are listed on the Toronto and New York stock exchanges.
Suncor Energy (U.S.A.) Inc. is an authorized licensee of the Phillips 66(R) brand and marks in the state of Colorado. Sunoco in Canada is separate and unrelated to Sunoco in the United States, which is owned by Sunoco, Inc. of Philadelphia.
Suncor Energy Inc.

NEW ORLEANS, April 25 /PRNewswire-FirstCall/ — Entergy Corporation today reported first quarter 2008 as-reported and operational earnings of $308.7 million, or $1.56 per share, compared with $212.2 million, or $1.03 per share, for first quarter 2007.
Consolidated Earnings - Reconciliation of GAAP to Non-GAAP Measures
First Quarter 2008 vs. 2007
(Per share in U.S. $)
2008 2007 Change
As-Reported Earnings 1.56 1.03 0.53
Less Special Items - - -
Operational Earnings 1.56 1.03 0.53
*GAAP refers to United States generally accepted accounting principles.

Operational Earnings Highlights for First Quarter 2008

— Utility, Parent & Other had higher earnings due primarily to increased
revenues.
— Entergy Nuclear earnings increased as a result of higher power prices
and additional production from the Palisades plant acquired in second
quarter 2007.
— Entergy’s Non-Nuclear Wholesale Assets business reported results
approximately the same as first quarter 2007.

“We have established aggressive goals for 2008 and while it’s early in the year, we are on track for a year of solid accomplishments,” said J. Wayne Leonard, Entergy’s chairman and chief executive officer. “Operating results for the quarter reflect strong business performance even as we resource considerable tasks necessary to create a new public company required by the spin-off of our non-utility nuclear business.”
Other Highlights

— The CRO (Corporate Responsibility Officer) magazine named Entergy
Corporation to its 100 Best Corporate Citizen’s list for 2008 for its
corporate responsibility efforts in eight categories including climate
change, employee relations, environment, financial, governance, human
rights, lobbying and philanthropy.
— Entergy was again among America’s Most Trustworthy Companies,
according to Forbes.com’s annual listing, making the list for its
accounting transparency and governance practices.
— Entergy Gulf States Louisiana, L.L.C. completed the acquisition of the
Calcasieu facility, two simple cycle gas-fired units that add 322
megawatts of quick-start capacity for Entergy’s WOTAB (West of the
Atchafalaya Basin) region.

Entergy’s senior management will host its 2008 Analyst Conference on April 25, 2008, in New Orleans to discuss quarterly results and other business matters with investors. In addition, Entergy will webcast its analyst meeting including a presentation by Chief Financial Officer Leo Denault, who will review quarterly results in his presentation. The analyst meeting webcast is scheduled to begin at 7:30 a.m. CDT, and will conclude with Denault’s presentation scheduled for approximately 11 a.m. CDT. The webcast and presentation slides can be accessed via Entergy’s Web site at .
Utility, Parent & Other
In first quarter 2008, Utility, Parent & Other had earnings of $95.3 million, or 48 cents per share, on as-reported and operational bases, compared to $89.5 million, or 44 cents per share, in as-reported earnings and operational earnings in first quarter 2007. Earnings for Utility, Parent & Other in first quarter 2008 reflect higher revenues from sales growth and the absence of a regulatory charge taken in first quarter 2007, partially offset by higher operation and maintenance expense. The higher expense reflects the timing of fossil outages and storm damages expensed at Entergy Arkansas, Inc.
Megawatt-hour sales in the residential sector in first quarter 2008, on a weather-adjusted basis, showed a 3 percent increase compared to first quarter 2007. Commercial and governmental sales, after adjusting for weather, were up 2 percent compared to first quarter of last year. Industrial sales in the current quarter were up 1 percent compared to the same period one year ago.
The residential sales sector showed an increase quarter-to-quarter with the most significant increase at Entergy New Orleans, Inc., where post-storm recovery continues. An increase in the number of customers also contributed to sales growth in the residential sector as well as the commercial and governmental sectors. Sales in the industrial sector for first quarter 2008 increased compared to the same quarter of 2007. High utilization in the refining and chemical segments is contributing to increased sales while the housing market is putting negative pressure on the building-related industries. Also, efficiency improvement driven by high energy prices is producing declining sales in some areas.
Entergy Nuclear
Entergy Nuclear earned $221.7 million, or $1.12 per share, on as-reported and operational bases in first quarter 2008, compared to $ 128.2 million, or 62 cents per share, in first quarter 2007 for as-reported and operational earnings. Entergy Nuclear’s earnings increased as a result of higher power prices and additional production from the Palisades plant acquired in second quarter 2007 and fewer outage days. These items were partially offset by higher expense primarily associated with including Palisades in the portfolio.
Non-Nuclear Wholesale Assets
Entergy’s Non-Nuclear Wholesale Assets business incurred a loss of $8.2 million, or 4 cents per share, on both as-reported and operational bases in first quarter 2008 compared to a loss of $5.5 million, or 3 cents per share, on as-reported and operational bases in first quarter 2007.
Outlook
Entergy is reaffirming 2008 earnings guidance in the range of $6.50 to $6.90 per share on both as-reported and operational bases on a business-as-usual basis. Guidance for 2008 does not include a special item for expenses anticipated in connection with the plan to pursue separation of Entergy’s non-utility nuclear business and to enter into a nuclear services joint venture, both discussed below.
Business Separation
On Nov. 3, 2007, Entergy’s Board of Directors approved a plan to pursue a separation of the non-utility nuclear business from Entergy’s regulated utility business through a tax-free spin-off of the non-utility nuclear business. Enexus Energy Corporation, formerly referred to as SpinCo, will be a new, independent publicly traded company. In addition, Entergy and Enexus intend to enter into a nuclear services joint venture, with equal ownership. EquaGen L.L.C. has been selected as the name for the joint venture.
Entergy is targeting around third quarter 2008 for completion of the spin- off transaction. Progress achieved during the last quarter includes:
— The steering committee formed last November continues to lead the
overall process and make final recommendations on all major business
and operational issues. The steering committee’s focus shifted from
overall framework setting to spin-off implementation during the first
quarter
— The project management office, with a cross-section of organizational
functions, continues to coordinate detailed activities necessary to
execute the spin-off so that Enexus and EquaGen are fully prepared to
commence independent operations post spin
— Regulatory proceedings continued to advance in connection with filings
at the Nuclear Regulatory Commission, the Federal Energy Regulatory
Commission, the Internal Revenue Service and in the states of Vermont
and New York.

Entergy Corporation is an integrated energy company engaged primarily in electric power production and retail distribution operations. Entergy owns and operates power plants with approximately 30,000 megawatts of electric generating capacity, and it is the second-largest nuclear generator in the United States. Entergy delivers electricity to 2.7 million utility customers in Arkansas, Louisiana, Mississippi and Texas. Entergy has annual revenues of more than $11 billion and approximately 14,300 employees.
Additional information regarding Entergy’s quarterly results of operations, regulatory proceedings, and other operations is available in Entergy’s investor news release dated April 25, 2008, a copy of which has been filed today with the Securities Exchange Commission on Form 8-K and is available on Entergy’s investor relations Web site at .
In this press release, and from time to time, Entergy Corporation makes certain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Except to the extent required by the federal securities laws, Entergy undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.
Forward-looking statements involve a number of risks and uncertainties. There are factors that could cause actual results to differ materially from those expressed or implied in the forward-looking statements, including (a) those factors discussed in Entergy’s 2007 Annual Report on Form 10-K under (i) Forward-Looking Information, (ii) Item 1A. Risk Factors, (iii) and Item 7. Management’s Financial Discussion and Analysis, and (b) the following transactional factors (in addition to others described elsewhere in this release and in subsequent securities filings): (i) risks inherent in the contemplated spin-off, joint venture and related transactions (including the level of debt incurred by the spun off company and the terms and costs related thereto), (ii) legislative and regulatory actions, and (iii) conditions of the capital markets during the periods covered by the forward-looking statements. Entergy cannot provide any assurances that the spin-off or any of the proposed transactions related thereto will be completed, nor can it give assurances as to the terms on which such transactions will be consummated. The transaction is subject to certain conditions precedent, including regulatory approvals and the final approval by the Board of Directors of Entergy.
Appendix A provides a reconciliation of GAAP as-reported earnings to non-GAAP operational earnings.
Appendix A: Consolidated Earnings - Reconciliation of GAAP to Non-GAAP
Measures
First Quarter 2008 vs. 2007
(Per share in U.S. $)

2008 2007 Change
As-Reported
Utility, Parent & Other 0.48 0.44 0.04
Entergy Nuclear 1.12 0.62 0.50
Non-Nuclear Wholesale Assets (0.04) (0.03) (0.01)
Consolidated As-Reported Earnings 1.56 1.03 0.53

Less Special Items
Utility, Parent & Other - - -
Entergy Nuclear - - -
Non-Nuclear Wholesale Assets - - -
Consolidated Special Items - - -

Operational
Utility, Parent & Other 0.48 0.44 0.04
Entergy Nuclear 1.12 0.62 0.50
Non-Nuclear Wholesale Assets (0.04) (0.03) (0.01)
Consolidated Operational Earnings 1.56 1.03 0.53

Entergy Corporation
Consolidated Income Statement
Three Months Ended March 31
(in thousands)

2008 2007 %Inc/(Dec)
(unaudited)
Operating Revenues:
Domestic electric $2,046,227 $2,111,460 (3.1)
Natural gas 89,395 84,951 5.2
Competitive businesses 729,112 497,649 46.5
Total 2,864,734 2,694,060 6.3
Operating Expenses:
Operation and maintenance:
Fuel, fuel-related expenses,
and gas purchased for resale 540,501 787,412 (31.4)
Purchased power 620,642 444,239 39.7
Nuclear refueling outage expenses 51,258 42,975 19.3
Other operation and maintenance 611,268 564,377 8.3
Decommissioning 45,996 37,830 21.6
Taxes other than income taxes 108,571 122,683 (11.5)
Depreciation and amortization 244,985 232,410 5.4
Other regulatory charges (credits)
- net 35,280 23,540 49.9
Total 2,258,501 2,255,466 0.1
Operating Income 606,233 438,594 38.2
Other Income (Deductions):
Allowance for equity funds used during
construction 9,286 17,258 (46.2)
Interest and dividend income 54,282 57,110 (5.0)
Equity in earnings of unconsolidated
equity affiliates (929) 1,624 (157.2)
Miscellaneous - net (11,556) (5,320) 117.2
Total 51,083 70,672 (27.7)
Interest and Other Charges:
Interest on long-term debt 123,144 123,099 0.0
Other interest - net 32,538 32,215 1.0
Allowance for borrowed funds used
during construction (5,116) (10,529) (51.4)
Preferred dividend requirements of
subsidiaries and other 4,998 6,221 (19.7)
Total 155,564 151,006 3.0

Income Before Income Taxes 501,752 358,260 40.1
Income Taxes 193,003 146,065 32.1
Consolidated Net Income $308,749 $212,195 45.5

Earnings Per Average Common Share
Basic $1.60 $1.06 50.9
Diluted $1.56 $1.03 51.5

Average Number of Common Shares
Outstanding - Basic 192,639,605 200,549,935
Average Number of Common Shares
Outstanding - Diluted 198,300,041 206,133,440

Entergy Corporation
Utility Electric Energy Sales & Customers

Three Months Ended March 31
%
% Weather-
2008 2007 Change Adjusted
(Millions of kwh)
Electric Energy Sales:
Residential 8,011 7,792 2.8 3.3
Commercial 6,238 6,116 2.0 1.8
Governmental 569 549 3.5 3.4
Industrial 9,377 9,323 0.6 0.6
Total to Ultimate Customers 24,195 23,780 1.7 1.9
Wholesale 1,290 1,638 (21.2)
Total Sales 25,485 25,418 0.3

March 31
%
2008 2007 Change
Electric Customers (End of period):
Residential 2,297,765 2,268,152 1.3
Commercial 325,905 321,748 1.3
Governmental 15,161 15,016 1.0
Industrial 40,860 42,628 (4.1)
Total Ultimate Customers 2,679,691 2,647,544 1.2
Wholesale 32 31 3.2
Total Customers 2,679,723 2,647,575 1.2

Customer count data reflects estimates of customers in the hardest hit
areas affected by Hurricane Katrina. Issues associated with temporary
housing and resumption of service at permanent dwellings render precise
counts difficult at this time.

Entergy Corporation

CALGARY, April 24 /PRNewswire/ — OSUM Oil Sands Corp, the only junior oil sands company with a material position in the established Cold Lake thermal trend, has appointed Steve Spence to its senior leadership team. In his new role as Vice President, Projects, Mr. Spence will provide leadership to OSUM’s business units and direct the development of four distinct projects located in the Cold Lake region and in Alberta’s carbonate reservoirs. Mr. Spence will manage the company’s overall project strategy in these two regions, and foster highly competent teams that will advance the company’s business objectives.
Steve brings deep and broad oil sands experience to OSUM that further enhances its capabilities at Cold Lake and in the emerging giant bitumen resource play found in carbonate reservoirs. Specific thermal oil sands experience includes leading the development and project management for Shell Canada’s proposed 100,000 barrel per day Peace River project, and leading the implementation of the Orion SAGD Project in Cold Lake.
“Throughout his career, Steve has demonstrated outstanding strategic and leadership abilities that will be an incredible asset to OSUM,” said the company’s President and COO Peter Putnam. “His specific experience leading thermal recovery projects in the Cold Lake region will also benefit our company and help us create value as we execute our plans in the years to come.”
In recent months, OSUM has attracted numerous accomplished individuals with significant experience developing thermal projects in the Cold Lake region. Mr. Spence is the company’s fifth key hire in the last six months with Cold Lake experience on existing bitumen projects in the area.
Mr. Spence is an active member of APEGGA, the Canadian Heavy Oil Association, and the Society of Petroleum Engineers.
About OSUM:
OSUM Oil Sands Corp. is a privately held Alberta based company whose mission is to provide secure, safe energy to North Americans though innovative and environmentally responsible business practice.
Cautionary Information and Forward Looking Statements
Certain statements contained in this press release, including the documents incorporated by reference, may contain projections and “forward-looking statements” within the meaning of that phrase under Canadian and U.S. securities laws. When used in this document, the words “may”, “would”, “could”, “will”, “intend”, “plan”, “anticipate”, “believe”, “estimate”, “expect” and similar expressions may be used to identify forward-looking statements. Those statements reflect our current views with respect to future events or conditions, including prospective results of operations, financial position, predictions of future actions or plans or strategies.
Certain material factors and assumptions were applied in drawing our conclusions and making those forward looking statements. By their nature, those statements reflect management’s current views, beliefs and assumptions and are subject to certain risks, uncertainties, known and unknown, and assumptions, including, without limitation, machinery development or production delays, changing environmental regulations, the ability to attract and retain business partners, the ability to exploit hydrocarbon resources with our technology, future levels of government funding, the need to obtain and maintain proprietary rights over our technology, competition from other technologies, the ability to access the capital required for research, technology development, operations and marketing, the need to generate positive cash flow in the foreseeable future, changes in energy prices and currency levels.
Many factors could cause our actual results, performance or achievements to be materially different from any future results, performance or achievements that may be expressed or implied by these forward-looking statements. Should one or more of these risks or uncertainties materialize, or should the assumptions underlying our projections or forward-looking statements prove incorrect, our actual results may vary materially from those described in this press release as intended, planned, anticipated, believed, estimated, or expected. We do not intend and do not assume any obligation to update these forward-looking statements whether as a result of new information, plans, events or otherwise.
Our securities are not traded on any stock exchange in Canada and thus, OSUM is not subject to regulation by any Canadian stock exchange. Our securities are also not registered under the United States Securities Act of 1933 nor are they traded on any securities or stock exchange in the United States. As a result, we are not presently subject to the reporting, certification or other requirements imposed on U.S. registered issuers under, among other things, U.S. Sarbanes-Oxley Act of 2002 (”SOX”).
OSUM Oil Sands Corp.

HOUSTON, June 30 /PRNewswire-FirstCall/ — Dresser-Rand Group Inc. (”Dresser-Rand” or the “Company”) , a global supplier of rotating equipment, announced today that its newly formed UK subsidiary has entered into an agreement to acquire certain assets of Peter Brotherhood Ltd. The acquisition is expected to be completed by July 1, 2008.
Peter Brotherhood specializes in the design and manufacture of steam turbines, reciprocating gas compressors, gas engine packaged combined heat & power systems (CHP), and gearboxes. The company’s primary clients are in the worldwide oil and gas industry, specifically marine and floating production, storage, and offloading (FPSO), refinery, petrochemical, combined cycle/co-generation, and renewable energy industries. Peter Brotherhood, with a manufacturing facility in the United Kingdom, traces its beginnings to 1867. It has an installed equipment base estimated at approximately 750 units.
The Peter Brotherhood business had sales of approximately pounds Sterling 50.5 million (British Pounds) in fiscal year 2007.
This acquisition is consistent with Dresser-Rand’s business strategy, which focuses on acquisitions that strengthen and enhance its core capabilities, add new products, services, and technologies, and provide access to new markets or enhance current market positions. The acquisition is complementary to Dresser-Rand’s products and services strategies, strengthens the company’s position in the European served area (especially for reciprocating compressors), and increases the size of the company’s industry-leading installed base of equipment.
Under the agreement, Dresser-Rand will acquire the Peter Brotherhood assets for approximately pounds 31.1 million net of cash acquired. The agreement includes the potential for additional consideration based on a Earnings Before Interest, Tax, Depreciation, and Amortization (EBITDA) earn-out for the fiscal year ended November 30, 2008. The earn-out is up to a maximum of pounds 16.3 million, which would be achieved if the EBITDA for the fiscal year ended November 30, 2008 is at least pounds 6.0 million. The agreement also includes a price adjustment based on the net operating assets at closing.
The acquisition is expected to be neutral to earnings in the first year and accretive thereafter.
“Dresser-Rand and Peter Brotherhood have decades of experience providing innovative solutions in the energy conversion markets,” said Vincent R. Volpe Jr., President and CEO of Dresser-Rand. “Both companies have maintained solid reputations for quality, efficiency, economy, and reliability.”
Volpe said, “Leveraging these attributes and combining technical expertise, research and development capabilities, and our combined worldwide sales presence will enable us to offer a comprehensive line-up of steam turbine and reciprocating gas compressor products backed by outstanding OEM parts and service.”
Stephen Fitzpatrick, the Managing Director, of Peter Brotherhood commented, “Dresser-Rand recognized the success we have forged by a clear set of values focusing on customer care and satisfaction and the delivery of great products by a highly motivated and successful workforce. We are equally proud to be associated with Dresser-Rand.”
Dresser-Rand is among the largest suppliers of rotating equipment solutions to the worldwide oil, gas, petrochemical, and process industries. The Company operates manufacturing facilities in the United States, France, Germany, Norway, India, and China, and maintains a network of 29 service and support centers covering more than 140 countries.
This news release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements with respect to planned or proposed repurchase of shares of common stock. Forward-looking statements include, without limitation, the Company’s plans, objectives, goals, strategies, future events, future revenue, or performance, capital expenditures, financing needs, plans, or intentions relating to acquisitions, business trends, executive compensation, and other information that is not historical information. The words “anticipate”, “believes”, “expects,”"intends”, and similar expressions identify such forward-looking statements. Although the Company believes that such statements are based on reasonable assumptions, these forward-looking statements are subject to numerous factors, risks, and uncertainties that could cause actual outcomes and results to be materially different from those projected. These factors, risks and uncertainties include, among others, the following: potential for material weaknesses in its internal controls; economic or industry downturns; its inability to implement its business strategy to increase aftermarket parts and services revenue; competition in its markets; failure to complete or achieve the expected benefits from any future acquisitions; economic, political, currency and other risks associated with international sales and operations; fluctuations in currencies and volatility in exchange rates; loss of senior management; environmental compliance costs and liabilities; failure to maintain safety performance acceptable to its clients; failure to negotiate new collective bargaining agreements; unexpected product claims and regulations; infringement on its intellectual property or infringement on others’ intellectual property; difficulty in implementing an information management system; and the Company’s brand name may be confused with others. These and other risks are discussed in detail in the Company’s filings with the Securities and Exchange Commission at . Actual results, performance, or achievements could differ materially from those expressed in, or implied by, the forward-looking statements. The Company can give no assurances that any of the events anticipated by the forward-looking statements will occur or, if any of them does, what impact they will have on results of operations and financial condition. The Company undertakes no obligation to update or revise forward-looking statements, which may be made to reflect events or circumstances that arise after the date made or to reflect the occurrence of unanticipated events. For information about Dresser-Rand, go to its website at .
DRC-FIN
Dresser-Rand Group Inc.

WASHINGTON, April 22 /PRNewswire-USNewswire/ — Small firms are hardest hit by rising energy costs, according to a study released today by the Office of Advocacy of the U.S. Small business Administration. The small manufacturing and small commercial sectors top the list of burdened industries, on an energy cost per value of industry shipments and an energy cost per sales basis.
“This report shows that, on a disaggregated basis, energy prices can affect different industrial sectors in different ways,” said Dr. Chad Moutray, Chief Economist for the Office of Advocacy. “Previously, most research in this area had focused on the macro level. With this report, the spotlight turns to individual industrial sectors and the small firms within them.”
The report finds that for 10 of 17 manufacturing sectors for which data were available, small firms spent considerably more for energy than large firms did, on a per value of industry shipments basis. For food manufacturers, leather and allied products manufacturers, and computer and electronic products manufacturers, the costs per dollar of output were more than double those of their larger counterparts.
The author also finds that in 26 of 31 commercial industries studied, small firms have higher energy expenditures on a cost per dollar of sales basis. The median commercial sector industry has a small entity energy cost per sales ratio that is 2.7 times the ratio for large entities.
The report, Characterization and Analysis of Small business Energy Costs, written by E.H. Pechan & Associates with funding from the Office of Advocacy, uses available data to analyze the impact of changing energy prices on various sectors of the economy.
For more information, a complete copy of the report and tables of analyzed industry sectors, visit the Office of Advocacy website at .
The Office of Advocacy, the “small business watchdog” of the federal government, examines the role and status of small business in the economy and independently represents the views of small business to federal agencies, Congress, and the President. It is the source for small business statistics presented in user-friendly formats, and it funds research into small business issues.
The Office of Advocacy of the U.S. Small business Administration (SBA) is an independent voice for small business within the federal government. The presidentially appointed Chief Counsel for Advocacy advances the views, concerns, and interests of small business before Congress, the White House, federal agencies, federal courts, and state policy makers. For more information, visit , or call (202) 205-6533.
Office of Advocacy of the U.S. Small business Administration

MONTGOMERY, Ala., April 29 /PRNewswire-USNewswire/ — Consumer and trade groups gathered on the steps of the Alabama Statehouse to urge opposition to Governor Bob Riley’s (R-AL) proposed $200 million tax on natural gas extracted off of the Alabama coast.
The alliance, which includes Manufacture Alabama, the Alabama State Black Chamber of Commerce (ASBCC), Alabama Petroleum Council, 60 Plus, and Americans for Tax Reform (ATR), has joined together in opposition to the proposed legislation and to raise issues it believes have been ignored by Alabama legislators, who are set to vote on the bill this week. The provision would increase energy prices to consumers and industry, damaging Alabama’s economy and costing much needed local jobs.
George Clark, President of Manufacture Alabama said, “Driving up the price of natural gas with new taxes will increase the cost of doing business in our state and prevent companies from being able to expand and add jobs. As businesses struggle to keep their profit margins, these taxes will result in higher prices for manufactured goods and a negative impact on the economy. Any tax measure that causes business and industry in our state to take a hit will also impact local jobs and economic growth. When voting on this issue, the Alabama State Legislature should consider the best interest of Alabama businesses, and vote against this punitive tax on the energy industry.”
ASBCC President Jerry Mitchell said, “Selective and random application of the tax code to punish or reward business and industry on a one-by-one basis will present a serious impediment to the development of new business within our state. Stable tax and regulatory policies are essential to encouraging needed investments, while punitive tax treatment such as this will prove by example that we are not business-friendly. From a consumer standpoint, it is equally important to recognize that our manufacturing sector relies heavily on natural gas to produce goods which we all depend upon daily. Higher natural gas prices brought on by increased taxes would raise the price of many products and services bought and sold by Alabama’s consumers.”
Dean Peeler, Executive Director of the Alabama Petroleum Council said, “The proposed tax rates are more than double the rate of Louisiana’s tax. Severance taxes and royalties are directly related to the amount of gas production. In 2007, the severance taxes on offshore production generated $41.6 million, but royalties generated $259 million, more than six times the amount of severance taxes. If the state discourages production by establishing a punitive severance tax, it risks harming its royalty income. If royalty income is disrupted, all of these funds and entities relying on them will be harmed. The CITF, for example, pays the debt service on $850 million in economic development bonds. Any excess revenues to the CITF are used to supplant debt service payments for the General Fund. Every dollar the CITF loses, costs the General fund a dollar. Cities and counties received $37 million from royalties in 2007.”
60 Plus Representative Bill Shaker said, “If passed, the governor’s plan for a tax on natural gas would cut jobs for working Alabamans and hurt seniors on fixed incomes. I simply cannot understand how anyone could vote for a new energy tax — especially when consumer energy prices are skyrocketing. This unwanted, unnecessary and expensive tax increase will be watched closely by Alabama senior citizens.”
ATR State Government Affairs Manager Karri L. Bragg added, “While any tax increase would cause damage to the state’s economy and place a higher burden on Alabama taxpayers, a tax hike on natural gas is especially onerous. A higher tax on gas wells will ultimately drive up prices, and at a time in which energy costs are already sky-high, taxpayers cannot manage the added expense.”
Alabama already has one of the highest taxes in the nation on natural gas production and those taxes would be doubled by Riley’s bill. The increased costs of doing business in Alabama will discourage development and drive jobs out of state. In these strained economic times, Alabama can ill-afford this politically-driven price hike.
Americans for Tax Reform

WASHINGTON, June 10 /PRNewswire-USNewswire/ — Today, the National Black Chamber of Commerce (NBCC) sent letters to members of the U.S. Senate, voicing its opposition to provisions of S. 3044, the Consumers First Energy Act of 2008. The bill would increase taxes on U.S. energy producers, and the NBCC feels this would be a disastrous policy to adopt at a time when rising energy prices are already straining the U.S. economy.
“Raising taxes on U.S. energy producers essentially amounts to a taxpayer-funded subsidy for their foreign competitors. This is the exact opposite of what Congress should be doing today,” said Harry C. Alford, President/CEO of the NBCC.
The NBCC bases its argument on the simple fact that higher taxes on any industry are a disincentive to investment and increased production. The more domestically produced energy that is made available, the lower prices will be. With fuel prices soaring and no end in sight, the NBCC argues that the U.S. energy industry - including oil companies - must be given every incentive possible to increase their output.
In addition to windfall profits taxes on U.S. energy companies, S.3044 would also take away tax credits American producers now utilize related to their foreign oil and gas activities. This is a mistake, as foreign oil and natural gas play a substantial role in maintaining a sufficient energy supply for American business owners and consumers. U.S. energy companies should be given every incentive to maximize their efforts overseas or access to these vital reserves could be jeopardized.
The NBCC points to recent statistics as proof that high energy prices threaten the success of U.S. businesses. May saw the largest one-month job loss for the U.S. in over 20 years. The NBCC challenges Congress to pursue policies offering low levels of taxation and reduced regulatory encumbrances to help stem rising energy prices and help businesses both small and large survive.
The National Black Chamber of Commerce advocates for the more than 1 million black-owned businesses in the United States. It has 190 affiliated chapters throughout the nation as well as international affiliate chapters in the Bahamas, France, Kenya, Ghana and Jamaica.
CONTACT: Kay DeBow,
National Black Chamber of Commerce

PARIS, April 30 /PRNewswire-FirstCall/ —
- 42% increase in business expressed in US$
- 6% increase in Maurel & Prom production share
First quarter 2008 business
SALES

- 25% increase in sales in first quarter 2008 at EUR74.9 million, up from EUR60.1 million for the first quarter of 2007
- Average sale price of USD 72.4/b
PRODUCTION
- 6% increase in Maurel & Prom production share
- Modification of EGOC contracts, effective February 1, 2008
- Exclusion of Venezuelan contribution
- Temporary suspension of long-term test on Banio in Gabon
- Don Pedro comes on stream in May 2008
DEVELOPMENT

- Continued development of Onal in Gabon, encouraging results on production wells (901 and 902)
- Success of Balcon-22 well in Colombia
EXPLORATION - APPRAISAL
- 5 positive wells in exploration-appraisal in Colombia
- 1 abandoned well: Cumbia

- Dividend of EUR1.20/share to be proposed at next Annual General Meeting on June 12, 2008
- 5% ownership threshold crossed
Q1 2008 sales up 25% compared with the same period in 2007.

Sales were generated essentially from oil production in Colombia (70%) and the drilling business of the wholly-owned subsidiary Caroil (28%).
in EUR
million
Q1 2008 Q1 2007 Change

Congo 0.1 0.1 0%
Tilapia 0.1 0.0 100%
Loufika 0.0 0.1 -100%
Gabon 1.0 0.0 100%
Banio 1.0 0.0 100%
Onal 0.0 0.0 N/A
Latin America 52.8 38.5 37%
Colombia 52.8 38.5 37%
Venezuela 0.0 0.0 N/A
Oil production 53.9 38.6 40%

Drilling 21.0 21.5 -2%

Other 0.0 0.0 N/A

TOTAL 74.9 60.1 25%

First quarter 2008 sales totaled EUR74.9 million, up from EUR60.1 million in the first quarter of 2007, a 25% increase.
Sales were favorably impacted by higher oil prices (Brent 67% and WTI 68%) and negatively by the US$/EUR exchange rate (-12%).
Total Group sales for Q1 2008, expressed in US dollars, totaled US$112.2 million in 2008, compared with US$78.9 million in Q1 2007, or an increase of 42%.
Breakdown of sales by activity

EURm %/total
Oil business 53.9 72%
Drilling business 21.0 28%
TOTAL 74.9 100%

Breakdown of sales by country

EURm %/total
Colombia 56.4 76%
Congo 15.7 21%
Tanzania 1.8 2%
Gabon 1.0 1%
TOTAL 74.9 100%

For Q1 2008, Caroil’s contribution to sales was EUR21.0 million compared with EUR21.5 million in Q1 2007, or a slight reduction of 2%. Expressed in US dollars, the Q1 2008 sales contribution increased by 11%, totaling US$31.4 million.
Caroil’s corporate sales for Q1 2008 are up 13% totaling EUR26.8 million, compared with EUR23.7 million in Q1 2007. Expressed in US dollars, Caroil’s corporate sales totaled US$40.2 million, or an increase of 30%, compared with Q1 2007.
Caroil generated 78% of its business with customers other than Maurel & Prom.
Environmental data Q1 2008 Q1 2007 Change
Exchange rate (US$/EUR) 0.67 0.76 -12%
Brent (US$/barrel) 96.8 57.8 67%
WTI (US$/barrel) 97.8 58.1 68%

The Group’s oil business in 2007 was bolstered by the Brent and WTI price increases ( 67% and 68%) The reduction in the US$/EUR exchange rate (-12%) on the other hand had an unfavorable effect on sales.
PRODUCTION
————————————————————————

Maurel & Prom’s working interest production for Q1 2008 was 14,587 bbl/d, including 14,341 bbl/d in Colombia, 49 bbl/d in Congo and 197 bbl/d in Gabon.
Colombia

Colombia Unit Q1 2008 Q1 2007 Change
based on 91 days

Maurel & Prom production share barrels 1,305,038 1,234,295 6%
bbl/d 14,341 13,714
Net Production barrels 1,100,768 1,025,528 7%
(entitlement) bbl/d 12,096 11,395
Production Sold barrels 1,096,238 961,307 14%
bbl/d 12,047 10,681

Taxes in kind* % 15.7% 16.9% -7%
Average selling price US$/b 72.2 52.6 37%

* royalties

Daily production in Colombia, Maurel & Prom share was 14,341 bbl/d in the first quarter of 2008, compared with 13,714 bbl/d in the first quarter of 2007, an increase of 6%.
The average selling price was US$ 72.2/b after the Group’s hedging of sales prices.
In the first quarter of 2008, 63% of the Maurel & Prom share of production came from fields operated by Maurel & Prom (San Francisco, Palermo, Balcon and La Hocha), 33% from fields operated by the Perenco company (EGOC, Casanare and Ortega) and 4% from long-term tests conducted on recent discoveries on Ocelote, Pacande and La Canada Norte. The Doima field (natural gaz) will come on stream early in May 2008 (1,000 bbl/d Maurel & Prom share).
The stagnation in Maurel & Prom’s production in Colombia was the result of the agreements signed following the renegotiation of the EGOC contracts, operated by Perenco, in the Llanos region. Maurel & Prom, which held 31.75% of these contracts now holds 6.98% in the Estero permit, 15.22% in the Garcero permit, 23.47% in the Orocue permit, and 27.91% in the Corocora permit. These new terms took effect on February 1, 2008. Maurel & Prom production share from these fields was reduced to about 3,300 bbl/d from 5,000 bbl/d before the renegotiation. However, this change in the production right was offset by the extension of these agreements until the economic end of life of these fields.
On the Palermo partnership, drilling on the Balcon-22 development well hit a level impregnated with oil in the Caballos formation. The test revealed a flow rate of 950 bbl/d of oil of 31degrees API. The well has been connected to the existing surface facilities. Maurel & Prom, the operator, holds 50% of this field, in partnership with Ecopetrol. The associated royalties are 20%.
Venezuela
Maurel & Prom has expressed its intention to boost its stake (26.35%) in the mixed enterprise Lagopetrol (up to 34%). Production from Q1 2008 is not consolidated pending the final settlement of the agreement entered into with PdVSA on December 12, 2007.
As a reminder, production is currently 8,118 bbl/d, which represents a net share for Maurel & Prom of 1,497 bbl/d after deducting 30% in royalties in kind. The oil represents 60% of the total production, 40% for the gas.
Congo
Following the sale of the operating permits of M’Boundi and Kouakouala and the reduction in its interests in the Kouilou exploration permit, Maurel & Prom’s share in Congo production is now purely symbolic.
Congo Unit Q1 2008 Q1 2007 Change
Based on 91 days

Maurel & Prom production share barrels 4,484 4,184 7%
bbl/d 49 46
Net Production barrels 2,107 3,004 -30%
(entitlement) bbl/d 23 33
Production Sold barrels 2,107 2,253 -6%
bbl/d 23 25

Taxes in kind* % 53.0% 28.2% 88%
Average selling price US$/b 99.6 58.6 70%

* royalties oil tax

Average selling price in Congo was 99.6 US$/b for the first quarter 2008.
Gabon

The Banio well, located on the Nyanga Mayombe permit (Maurel & Prom, 100% operator) has been in a long-term test since July 27, 2007.
Gabon Unit Q1 2008 Q1 2007 Change
Based on 91 days

Maurel & Prom production share barrels 17,886 0 N/A
bbl/d 197 0
Net Production barrels 15,775 0 N/A
(entitlement) bbl/d 173 0
Production Sold barrels 17,528 0 N/A
bbl/d 193 0

Taxes in kind* % 11.8% - N/A
Average selling price US$/b 82.9 - N/A

* royalties oil tax

Average selling price in Gabon was 82,9 US$ per barrel for the first quarter 2008.
The Onal-901 development well, located south of the Onal field, showed an oil flow rate much greater than those found on the wells tested to date. The top of the Basal Sandstones reservoir was found some 60 meters higher than projected. The two levels of the reservoir were tested separately: the lower Basal Sandstones produced a flow of 1,100 bbl/d on a 32/64′ choke with a head pressure of 16 bars, and the upper Basal Sandstones produced 2,300 bbl/d on a 48/64′ choke with a head pressure of 17 bars. Following these results, well 902 was drilled and confirmed the extension of the field and the good reservoir properties.
EXPLORATION
————————————————————————
CPI Ortega (Ecopetrol operator with 31%, Maurel & Prom 69%)

The Pacande Sur-2 appraisal well found four levels impregnated with hydrocarbons in the Caballos formation. Three of these levels were reached for the first time. The test produced 800 bbl/d of oil of 28.5degrees API.
Maurel & Prom holds 69% of this contract, on which the royalties are 8%. The well has been connected to the existing surface facilities of Ecopetrol. Two exploration wells will be drilled during the first half of 2008 in structures adjacent to the Pacande Sur-2 well.
San Jacinto & Rio Paez Partnership (Maurel & Prom operator, 36.67%)
The La Canada Norte-2 and La Canada Norte-3 appraisal wells confirmed the discovery made early in 2007 by the LCN-1 ST exploration well. La Canada Norte-2 reached the Caballos formation and revealed a flow rate of 220 bbl/d of oil of 34degrees API. La Canada Norte-3 found the stretch of water. The upper zone produced a flow of 80 bbl/d of oil of 34degrees API.
The Cumbia exploration well was abandoned without oil results.
Maurel & Prom is associated as the operator with Cepcolsa (33.33%) and Petrobras (30%). State-owned Ecopetrol holds an option to raise its interest to 50% upon Declaration of Commerciality of the field. Royalties amount to 8% of the production.
Guarrojo exploration permit (Maurel & Prom 100% operator)
The Ocelote SW-1 well found an oil interval in the Carbonera formation and revealed a flow of 1,278 bbl/d of oil of about 25degrees API.
The Ocelote-2 well found an oil interval in the Carbonera formation and had a flow of 622 bbl/d of oil of about 25degrees API.
Maurel & Prom, the operator, holds 100% of the Ocelote exploration permit, signed in February 2006 with the National Hydrocarbon Agency (ANH). Royalties are 8%. The first positive well, Ocelote-1, was drilled early in 2007. Currently operated in a long-term test, it produces about 580 bbl/d of oil. Following this discovery, 3D seismic over 165 kmsquared was acquired in order to plan appraisal and development wells. The drilling of a new exploration well (Guarrojo SW-1) is planned in June 2008 in order to prospect the southwest section of the permit.
The current facilities of Hocol, a wholly-owned Maurel & Prom subsidiary, on this permit treat up to 3,500 b/d. The production from the three wells is currently evacuated by trucks. Additional surface facilities are under construction to raise the treatment capacity to 5,000 bbl/d.
Omoueyi exploration permit (Maurel & Prom 100% operator)
The work on the Nzamo exploration well was interrupted in February and will restart in July 2008.
———————————–
You will find the updated exploration drilling program on Maurel & Prom’s website (), in the Downloads section from the member area (available on free registration).
———————————–
This press release may contain forward-looking statements with respect to the financial condition, results of operations, business, strategy and plans of Maurel & Prom. By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that will or may occur in the future. These forward-looking statements are based on assumptions which we believe are reasonable but that could ultimately prove inaccurate and are subject to a number of risk factors, including but not limited to price fluctuations in crude oil; exchange rate fluctuations; uncertainties inherent in estimating quantities of oil reserves; actual future production rates and associated costs; operational problems; political stability; changes in laws and governmental regulations; wars and acts of terrorism or sabotage.
Maurel & Prom is listed on Euronext Paris - compartment A - CAC
mid 100 Index

Isin FR0000051070 / Bloomberg MAU.FP / Reuters MAUP.PA

Agenda 2008

Thursday June 12, 2008 Annual General Meeting 2008
Thursday July 24, 2008 First Half Sales 2008
Friday August 29, 2008 Publication First Half Results 2008
Thursday September 11, 2008 Analyst meeting
Tuesday November 4, 2008 Third Quarter Sales 2008

Press releases to be distributed on each of the abovementioned days
before the markets open

Investor Relations Press Relations

Laurence Borbalan Michelle Aubert
Tel. : 33-1-47-03-68-58 Tel. : 33-1-47-03-68-61
Mob. : 33-6-79-44-66-55 Mob. : 33-6-85-34-45-94

Maurel & Prom

RAPID CITY, S.D., April 30 /PRNewswire-FirstCall/ — Black Hills Corporation today announced quarterly financial results for the period ended March 31, 2008.
For the three months ended March 31, 2008, income from continuing operations was $16.6 million, or $0.43 per share, compared to $32.5 million, or $0.91 per share, reported for the same period ended March 31, 2007. Net income for the three months ended March 31, 2008 was $16.8 million, or $0.44 per share, compared to $32.5 million, or $0.91 per share for the same period in 2007. Compared to the first quarter of 2007, income from continuing operations in the first quarter of 2008 primarily was affected by the following factors:
— a $ 1.5 million increase in electric and gas utility earnings;
— a $ 1.0 million decrease in oil and gas earnings;
— a $ 1.1 million decrease in electric utility earnings;
— a $ 12.4 million decrease in energy marketing earnings; and
— a $ 2.3 million increase in unallocated corporate costs.

David R. Emery, Chairman, President and CEO of Black Hills Corporation, said, “The decrease in earnings in the first quarter of 2008 was mainly the result of a significant decline in energy marketing earnings. Market conditions for natural gas changed dramatically in 2008 compared to the very favorable market conditions prevailing in the first quarter of 2007. The Rockies Express Pipeline was placed into service, contributing to the first quarter 2008 decrease in Rocky Mountain gas price basis differentials. The lower basis differentials and decreased calendar spreads contributed significantly to the earnings decline. Consequently, gross margins on gas marketing transactions fell, as did physical volumes, which decreased 6 percent. In addition, we recorded an unrealized mark-to-market loss of $(5.7) million after-tax in first quarter 2008, compared to an unrealized gain of $4.1 million after-tax in the same period of 2007. We expect to recoup a significant amount of the 2008 period’s unrealized mark-to-market loss during the remainder of this year as marketing transactions are settled.
“Earnings at our electric utility were down despite higher revenues from increased native load demand and off-system power marketing margins,” Emery continued. “Higher expenses eclipsed these increases, primarily due to increased fuel and purchased power costs to cover native load requirements. Overall operating costs were higher as well.”
Emery said, “Oil and gas earnings were negatively affected by a $1.8 million after-tax accrual related to the settlement of ongoing royalty negotiations in New Mexico. Results were also impacted by lower production and higher operating costs offset by the benefit of higher average hedged prices received for crude oil. Production was hampered by severe winter weather conditions in the San Juan Basin, continued delays in federal drilling permit approvals in Colorado, and postponed drilling activity on several of our non-operated properties. Given these factors, in 2008 it will be challenging for us to exceed 2007 production levels. Notwithstanding these production issues, we expect to benefit from higher crude oil and natural gas prices throughout the remainder of 2008. Coal mining earnings were similar in both 2008 and 2007, as increased coal production and higher average prices received per ton of coal were offset by higher mining costs and mineral taxes.
“On a positive note, earnings increased nearly 50 percent at our electric and gas utility, Cheyenne Light, Fuel & Power,” Emery said. “Improved earnings were largely the result of electric and gas rate increases that went into effect January 1, 2008. Much of the earnings benefit resulted from the commercial operations of the Wygen II power plant, which was placed into service on January 1 of this year as a rate base asset. Recently, we celebrated with Wyoming Governor Dave Freudenthal and other dignitaries a dual occasion — the dedication of Wygen II and the groundbreaking for its adjoining facility, Wygen III. These two plants will share a common control room and other infrastructure to save on future costs. Like the other Wygen plants, Wygen III will feature the latest available emissions control systems, including mercury reduction processes. Wygen III is expected to be a rate-base asset of Black Hills Power and to be in service in 2010.”
Emery stated, “During the first quarter of 2008, we completed the remaining regulatory approvals associated with our acquisition of one electric and four natural gas utilities from Aquila, Inc. We now await the final regulatory step to complete this transaction, which is the Missouri Public Service Commission’s approval of the merger of Aquila and Great Plains Energy. In that merger, Great Plains will acquire the Missouri-based electric utility now owned by Aquila. We remain confident that this last approval will be obtained, allowing the deal to close late in the second quarter.”
Emery remarked, “We are very excited about the proposed expansion of our utility operations. Integration activities are proceeding to assure a smooth transition of ownership. The Aquila acquisition, along with today’s announced agreement to sell seven independent power plants, will result in a major transformation of our Company. That said, we still support our longstanding diversified, yet integrated, energy strategy.
“The Aquila acquisition and IPP sale transactions must be completed before we can update our 2008 earnings guidance. We expect to issue revised guidance as soon as we can accurately provide: the effects of the pending sale of IPP assets, earnings estimates for the Aquila utilities which take into account permanent financing plans for the Aquila acquisition, and related impacts on our corporate capital structure. At such time, we also will update our guidance to reflect changes, if any, in expectations for our other businesses.”
Emery concluded, “Our Board of Directors declared a quarterly dividend of $0.35 per share on April 28, 2008, a sign of our continued confidence in our strategy. While the Aquila acquisition remains our current number one corporate goal, we also continue seeking ways to expand and improve the growth potential of other energy business operations.”
DIVIDEND DECLARED
At a meeting held April 28, 2008, our Board of Directors declared quarterly dividends on the common stock. Common shareholders will receive $0.35 per share, or $1.40 per share on an annual equivalent basis. Dividends will be payable June 1, 2008, to all shareholders of record at the close of business on May 16, 2008.
CONSOLIDATED FINANCIAL RESULTS
Black Hills Corporation
(In thousands, except per share amounts)

Three Months ended March 31,
2008 2007

Revenues:
Utilities $99,302 $83,719
Non-regulated energy 79,909 102,813
Corporate - 1

$ 179,211 $ 186,533

Net income (loss) available
for common stock:
Continuing operations -
Utilities $10,167 $9,771
Non-regulated energy 8,795 22,844
Corporate (2,390) (115)

Income from
continuing operations 16,572 32,500

Discontinued operations (a) 219 (47)

Net income $16,791 $32,453

Weighted average common
shares outstanding:
Basic 37,826 35,173
Diluted 38,399 35,577

Earnings per share:
Basic -
Continuing operations $ 0.43 $ 0.92
Discontinued operations 0.01 -
Total $ 0.44 $ 0.92

Diluted -
Continuing operations $ 0.43 $ 0.91
Discontinued operations 0.01 -
Total $ 0.44 $ 0.91

(a) 2008 and 2007 discontinued operations reflect the after-tax results
of operations at the Company’s oil marketing and transportation
business.

business UNIT QUARTERLY PERFORMANCE SUMMARY
(Minor differences in comparative amounts may result due to rounding)

Utilities (formerly Retail Services)

Income from continuing operations from the Utilities business group for the three-month period ended March 31, 2008 was $10.2 million, compared to $9.8 million in 2007. business segment results were as follows:
— Electric utility segment income from continuing operations was
$5.6 million in 2008 and $6.7 million in 2007. Compared to 2007,
results in 2008 reflected a $1.0 million reduction in retail sales
margins as increased revenues from a 5 percent increase in
megawatt-hour sales were more than offset by a significant increase in
fuel and purchased power costs. Margins received on off-system power
marketing increased $0.7 million over the same period in 2007.
Total megawatt-hours marketed increased 70 percent over 2007,
benefiting from the availability of excess generation purchased from
our electric and gas utility’s Wygen II plant. Operating expense also
increased due to higher allocated corporate costs, personnel costs,
consulting fees and maintenance and repair expenses.

— Electric and gas utility segment income from continuing operations
increased to $4.6 million compared to $3.1 million in 2007. Higher
revenues resulted from an 8.2 percent electric rate increase and an
8.8 percent gas increase which went into effect January 1, 2008.
Megawatt-hours sold increased 6 percent and natural gas sales volumes
increased 9 percent. In addition, revenues increased $1.2 million from
surplus energy generated from the Wygen II plant being sold to our
electric utility, Black Hills Power. Due primarily to the commencement
of Wygen II service, operating and depreciation expenses increased
52 percent. Results in 2007 reflected the benefit of allowance for
funds used during construction (AFUDC) during the Wygen II
construction and an associated lower effective tax rate.

The following tables provide certain Utilities business group operating
statistics:

Three months ended
Electric Utility (Black Hills Power) March 31,
2008 2007

Retail sales - MWh 447,370 425,504
Contracted wholesale sales - MWh 171,620 165,110
Off-system sales - MWh 227,741 133,849
846,731 724,463

Electric utility power
plant availability:
Coal-fired plants 93.9% 95.3%
Other plants 93.9% 99.9%
Total availability 93.9% 97.3%

Electric and Gas Utility Three months ended
(Cheyenne Light, Fuel & Power) March 31,
2008 2007

Electric sales - MWh 255,430 241,830
Gas sales - Dekatherm (Dth) 2,156,320 1,969,585

Electric and gas utility
power plant availability:
Coal-fired plant* 92.2% NA

*Placed into service January 1, 2008

Non-regulated Energy (formerly Wholesale Energy)

Income from continuing operations from the Non-regulated Energy business group for the three-month period ended March 31, 2008 was $8.8 million, compared to $22.8 million in 2007. business segment results were as follows:
— Energy marketing income from continuing operations was $0.3 million,
compared to $12.7 million in 2007. Realized marketing margins
decreased $4.5 million after-tax as prevailing conditions in natural
gas markets affected both transportation and storage strategies,
partially offset by increased crude oil marketing margins that
benefited from increased volumes and higher margins per barrel
marketed. The unrealized mark-to-market margin was $(5.7) million
after-tax, compared to a gain of $4.1 million after-tax in 2007.
Physical volumes marketed decreased 6 percent for natural gas and
increased 17 percent for crude oil. The negative effect from decreased
margins was partially offset by a decrease in incentive compensation.
A significant portion of the 2008 first quarter’s unrealized
mark-to-market loss is expected to be recovered during the
remainder of 2008.

— Power generation income from continuing operations decreased to
$4.3 million, compared to $5.0 million in 2007. Results were affected
primarily by lower contract termination payments received, unplanned
maintenance costs at our Harbor facility, and higher corporate costs
reflecting legal fees associated with the settlement of the
earn-out litigation.

— Oil and gas income from continuing operations was $2.6 million in
2008, compared to $3.6 million in 2007. Revenues increased 1 percent,
as a 46 percent increase in average hedged crude oil price received
and higher revenues from our interest in a gas processing plant were
offset by an additional $2.1 million pre-tax accrual for a royalty
settlement with the Jicarilla Apache Nation, a 3 percent decrease in
average hedged price received for natural gas and a 4 percent decrease
in overall production on an Mcf-equivalent basis. Natural gas volumes
sold decreased 4 percent, primarily due to weather impacts in the San
Juan Basin, ongoing permitting delays primarily in the Piceance Basin,
and also due to lower production from our non-operated properties.
Crude oil volumes sold decreased 3 percent primarily due to normal
production decline and weather impacts. Total operating expenses
increased 11 percent primarily due to industry-wide higher field
service costs, weather impacts and additional wells; and depletion
expense increased due to an increased rate per Mcfe with the addition
of higher average cost reserves. Including penalties and interest, the
royalty settlement noted above had a $1.8 million after-tax negative
impact on 2008 income from continuing operations.

— Coal mining income from continuing operations was $1.6 million in both
2008 and 2007. Increased tons sold resulted from sales to the Wygen II
plant and increased contractual volumes for our train load-out
customer. Revenues increased 36 percent primarily due to increased
prices received and a 27 percent increase in tons of coal sold.
Operating expense increased 43 percent due to increased mining and
overburden removal costs related to higher overburden ratios and
production levels.

The following tables contain certain Non-regulated Energy operating
statistics:

Three months ended March 31,
2008 2007
Coal mining:
Tons of coal sold 1,545,000 1,212,300

Oil and gas production:
Mcf equivalent sales 3,163,040 3,298,780

Energy marketing
average daily volumes:

Natural gas physical - MMBtus 1,794,090 1,898,630
Crude oil physical - barrels 7,080 6,050

Three months ended March 31,
Power generation: 2008 2007

Contracted fleet power
plant availability:
Coal-fired plant 95.0% 98.8%
Natural gas-fired plants 98.9% 95.5%
Total availability 98.6% 96.1%

Corporate

Corporate loss for the three month period ended March 31, 2008 was $2.4 million, compared to a loss of $0.1 million for the same period in 2007. The increase in unallocated costs was due primarily to increased transition and integration costs related to the pending purchase of certain Aquila utility assets. For the three months ended March 31, 2008, we expensed $2.7 million after tax, or $0.07 per share, in costs related to the Aquila transaction. In addition to these expensed costs, we capitalized an additional $8.3 million in transaction-related costs during the three month period ended March 31, 2008. Partially offsetting the increase in unallocated costs was the receipt of $1.1 million after-tax from the contingent sale proceeds for rights to a power plant development project.
QUARTERLY CONFERENCE CALL
The Company will conduct a conference call tomorrow, Thursday, May 1, 2008 beginning at 11:00 a.m. Eastern Time to discuss recent events and financial and operating performance. The conference call will be open to the public. The call can be accessed by dialing, toll-free, (888) 639-6205. When prompted, indicate that you wish to participate in the “Black Hills Conference Call.” A replay of the conference call will be available through May 8, 2008 by dialing (800) 475-6701 (USA) or (320) 365-3844 (international). The access code is 919871.
ABOUT BLACK HILLS CORPORATION
Black Hills Corporation is a diversified energy company. Our utilities are Black Hills Power, an electric utility serving western South Dakota, northeastern Wyoming and southeastern Montana; and Cheyenne Light, Fuel & Power, an electric and gas distribution utility serving the Cheyenne, Wyoming vicinity. Black Hills Energy, the non-regulated energy business unit, generates electricity, produces natural gas, oil and coal, and markets energy. More information is available at our Internet web site: .
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 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 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 risk factors described in Item 1A of Part I of our 2007 Annual Report on Form 10-K filed with the SEC and other reports that we file with the SEC from time to time, and the following:
— Our ability to obtain favorable regulatory rulings when we seek to
secure cost recovery for utility operations; when we make periodic
applications to recover costs for fuel and purchased power; and when
we seek to add power generation assets into our rate base;
— Our ability to complete divestitures or acquisitions for which
definitive agreements have been executed;
— Our ability to obtain regulatory approval of acquisitions which, even
if approved, could impose financial and operating conditions or
restrictions that could impact our expected results;
— Our ability to successfully integrate and profitably operate any
future acquisitions;
— The amount and timing of capital deployment in new investment
opportunities or for the repurchase of debt or stock;
— Our ability to successfully maintain or improve our corporate
credit rating;
— Our ability to complete the planning, permitting, construction, start
up and operation of power generating facilities in a cost-effective
and timely manner;
— Our ability to meet production targets for our oil and gas properties,
which may be dependent upon issuance by federal, state, and tribal
governments, or agencies thereof, of drilling, environmental and other
permits, and the cost and availability of specialized contractors,
work force, and equipment;
— The timing, volatility and extent of changes in energy-related and
commodity prices, interest rates, energy and commodity supply or
volume, the cost and availability of transportation of commodities,
and demand for our services, all of which can affect our earnings,
liquidity position and the underlying value of our assets;
— Industry and market changes, including the impact of consolidations
and changes in competition;
— The outcome of any ongoing or future litigation or similar disputes
and the impact on any such outcome or related settlements;
— Capital market conditions and market uncertainties related to interest
rates, which may affect our ability to raise capital on favorable
terms;
— Other factors discussed from time to time in our filings with the SEC.

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.
Black Hills Corporation