RAPID CITY, S.D., - Jan. 17, 2014 - Black Hills Corp. (NYSE: BKH) subsidiary
Black Hills Power today filed a rate request with the Wyoming Public Service
Commission to increase the electric utility's revenues to recover investments it
has made in its electric infrastructure, including the natural gas-fired
Cheyenne Prairie Generating Station under construction in Cheyenne, Wyo.

If approved as filed, Black Hills Power's new Wyoming electric rates will
generate an estimated $2.8 million per year in additional revenue for the
utility, based on a capital structure of approximately 53 percent equity and 47
percent debt. The filing seeks a return on equity of 10.25 percent for
investments Black Hills Power has made in its Wyoming electric systems.

The primary purpose for Black Hills Power's rate request is to recover operating
expenses and a return on its investment in the new Cheyenne Prairie facility and
associated infrastructure to serve the electric utility's Wyoming customers. The
new facility will replace Black Hills Power's Osage and Neil Simpson I plants in
Wyoming, and the Ben French plant in South Dakota. Those three plants will be
retired in March 2014 to comply with new Environmental Protection Agency air
emissions regulations.

"Natural gas-fired generation has relatively low air emissions and is an
effective solution to meet the increasingly strict EPA air emissions
regulations," said Linn Evans, Black Hills Corp.'s president and chief operating
officer of utilities. "Replacing Black Hills Power's three oldest power plants
is less expensive for customers than retrofitting the coal-fired plants to
comply with the new EPA regulations. Our goal is to provide reliable, safe and
cost-effective energy for our customers while earning an appropriate return on
our capital costs for our investors."

Black Hills Power and another Black Hills Corp. utility, Cheyenne Light, Fuel &
ower, will co-own the $222 million Cheyenne Prairie Generating Station. Black
Hills Power is investing $95 million in its share of the new generating station
and associated infrastructure, and will use electricity from the station to
serve customers in both Wyoming and South Dakota.

Cheyenne Light filed a similar rate request with the Wyoming PSC on Dec.
2, 2013, to recover operating expenses and a return on the approximately $127
million it is investing in its share of the plant.

"The Black Hills Power/Cheyenne Light partnership benefits customers of both
utilities, in part through economies of scale created by sharing construction
and operating costs for the 132-megawatt Cheyenne Prairie Generating Station,"
Evans said.

The rate filing pertains to Black Hills Power's investments and costs for
serving its 2,700 electric customers in Wyoming. Any rate changes associated
with the filing will only apply to the utility's Wyoming customers. By the end
of the first quarter, Black Hills Power plans to file a rate request in South
Dakota to recover investments and costs for serving its 65,300 electric
customers in that state.

Black Hills Power is seeking to implement the electric rate increase when the
plant is placed into service, scheduled for Oct. 1, 2014. The Wyoming PSC and
its staff will conduct an extensive review of the rate plans, a process that
considers public comments and includes testimony from utility representatives,
the Wyoming Office of Consumer Advocate and other interested parties.

Black Hills Power will provide rate request information at www.reliablebhp.com,
and information on the company and its services is always available at
www.blackhillspower.com and www.blackhillscorp.com. Black Hills Power's Facebook
page and Twitter feed also provide helpful information.

Black Hills Power, Inc.
Black Hills Power is the legacy utility business of Black Hills Corp. and has
been delivering energy for more than 130 years. The electric utility serves
68,000 customers in 34 communities in western South Dakota, northeastern
Wyoming, and southeastern Montana.

Cheyenne Light, Fuel & Power Company
Cheyenne Light, Fuel & Power Company, a subsidiary of Black Hills Corp., serves
40,000 electric customers and 35,000 natural gas customers in the greater
Cheyenne, Wyo., area.

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 generates wholesale electricity
and produces natural gas, oil and coal. The 1,925 Black Hills employees partner
to produce results that are improving life with energy. More information is
available at 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, including our ability and the
timing of receiving regulatory approval to recover our operating costs and a
return on our investments. 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, our ability to obtain adequate cost recovery for our utility
operations through regulatory proceedings and the timing in which new rates
would go into effect, 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.
 Investor Relations:

 Jerome E. Nichols          Phone: 605-721-1171


 Media Contact:

 24-hour Media Assistance   Phone: 866-243-9002


 Local Media Contact:

 Mutch Usera                Phone: 605-716-3951

                            Mobile: 605-484-1476


 Digital Media:             Blackhillspower.com

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