RAPID CITY, S.D., Oct. 22, 2002 — Black Hills Corp. reported on recent financing activity and the status of power plants under construction in 2002.
A $35 million two-year term credit agreement was completed on September 25, 2002. The corporate-level agreement is with Credit Lyonnais.
The company reported that its 364-day revolving credit facility announced in August 2002 has been increased by $10 million to $195 million with the addition of another participant in the credit facility’s syndication.
The company extended until November 26 a $50 million bridge financing with ABN AMRO Bank. Due to creditworthiness concerns with counterparties, financing arrangements for the Las Vegas cogeneration power plant expansion currently under construction have been delayed.
The company continues to seek non- recourse project-level financing for the Las Vegas project, along with other financing arrangements currently under way.
The Las Vegas expansion is expected to be operational in the fourth quarter of 2002. Another project, a combined-cycle expansion of the Arapahoe, Colorado, power plant, became operational in early October 2002.
The Arapahoe facility is under a long-term tolling contract. In addition, the Wygen 90 MW coal-fired power plant under construction near Gillette, Wyoming, is on schedule and expected to be operational in the first quarter of 2003.
About Black Hills Corporation
Black Hills Corporation (http://www.blackhillscorp.com) is a diverse energy and communications company with three business groups: Black Hills Energy, the integrated energy unit which generates electricity, produces natural gas, oil and coal and markets energy; Black Hills Power, an electric utility serving western South Dakota, northeastern Wyoming and southeastern Montana; and Black Hills FiberCom, a broadband communications company offering bundled telephone, high speed Internet and cable entertainment services.