Black Hills Corp. seeks to build gas-fired power plant in Wyoming

Black Hills Corp.'s (NYSE: BKH) units, Black Hills Power and Cheyenne Light, Fuel and Power, filed for a certificate of public convenience and necessity (CPCN) with the Wyoming Public Service Commission to construct and operate a $237 million natural gas-fired power plant in Cheyenne.

The proposed facility will include one simple-cycle combustion turbine unit with a net capacity of approximately 37 MW that will be wholly owned by Cheyenne Light. It will also include one combined-cycle unit with a net capacity of approximately 95 MW that will be jointly owned by Cheyenne Light and Black Hills Power, with Cheyenne Light owning 40 MW and Black Hills Power owning 55 MW.

If approved by the Wyoming Public Service Commission, construction would begin in 2012, and the facility would begin serving customers in 2014.

Cheyenne Light had previously filed a CPCN with the Wyoming Public Service Commission in August to construct three simple-cycle combustion turbine units with a total gross capacity of 120 MW at an estimated cost of $158 million. This application is being withdrawn and replaced with the joint application described in this release.

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