Black Hills : Investor Presentation

Investor Meetings

March 2024

Forward-looking Statements

COMPANY

INFORMATION

Black Hills Corporation

P.O. Box 1400

Rapid City, SD 57709-1400

NYSE Ticker: BKHwww.blackhillscorp.com

Company Contacts

Kimberly Nooney

Senior Vice President and CFO 605-721-2370

[e-mail]

Jerome E. Nichols

Director of Investor Relations 605-721-1171

[e-mail]

This presentation includes "forward-looking statements" as defined by the Securities and Exchange Commission. 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 presentation that address activities, events or developments that we expect, believe or anticipate will or may occur in the future are forward-looking statements. This includes, without limitations, our 2024 earnings guidance and long-term growth target. 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 without limitation, the risk factors described in Item 1A of Part I of our 2023 Annual Report on Form 10-K and other reports that we file with the SEC from time to time, and the following:

• The accuracy of our assumptions on which our 2024 earnings guidance and long-term growth target is based;
• Our ability to obtain adequate cost recovery for our utility operations through regulatory proceedings and favorable rulings on periodic applications to recover costs for capital additions, plant retirements and decommissioning, fuel, transmission, purchased power and other operating costs, and the timing in which new rates would go into effect;
• Our ability to complete our capital program in a cost-effective and timely manner;
• Our ability to execute on our strategy;
• Our ability to successfully execute our financing plans;
• The effects of changing interest rates;
• Our ability to achieve our greenhouse gas emissions intensity reduction goals;
• Board of Directors' approval of any future quarterly dividends;
• The impact of future governmental regulation;
• Our ability to overcome the impacts of supply chain disruptions on availability and cost of materials;
• The effects of inflation and volatile energy prices; and
• 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.

BKH | Investor Meetings | March 2024 | 2

Black Hills Corp. Overview

Integrated Pure-Play Utility with Strategic Diversity

Electric Utilities

Transmission, distribution and generation

Gas Utilities

Transmission, distribution, sourcing and storage

8 stable and growing states

1.34 million utility customers

1.4 gigawatts* generation

9,000 miles electric lines

47,000 miles natural gas lines

$9.6 billion assets $5.6 billion rate base

Note: information from 2023 Form 10-K Annual Report

• Generation total includes 49.9 percent ownership in Colorado IPP owned by a third party, representing approximately 100 megawatts

BKH | Investor Meetings | March 2024 | 3

Low-risk Utility Investment

Regulated and Integrated	Diverse and Balanced
Utility Businesses	Business Mix

			WY
		NE	8%
		14%
			SD
99%	6%		19%
58% Gas
	IA
Assets owned by or	KS	42% Electric
contracted to our
5%	Utility Rate Base*
regulated utilities*
		WY
			10%
	AR
	14%
			CO
		CO	13%
		11%

* As of Dec. 31, 2023

Clean Energy Profile

92%

Natural Gas and

Renewables

Total Revenue

(Full Year 2023)

BKH | Investor Meetings | March 2024 | 4

Strong Long-term Growth Outlook

$4.3billion	4% to 6%	55% to 65%
Capital Investment 2024-2028	Dividend payout target
+ Capital-light opportunities	Long-term EPS growth target 1	• Long-term growth rate
		in line with EPS 2

• Integrated pure-play utility profile	•	Constructive regulatory jurisdictions
•	Diversified mix of electric and gas businesses	• Solid financial position and liquidity
•	Stable and growing service territories	•	Robust capital plan with timely recovery

1 Average annual compound growth rate off 2023 base of $3.75 per share 2 Future dividends subject to board approval

BKH | Investor Meetings | March 2024 | 5

Delivering Results for Stakeholders

✓

✓

Excellent operational performance, including industry-leading reliability

Improved net debt to capitalization 350 basis points to 57.3% in 2023 through strong

cashflows, capital discipline and financing strategy

• $4.3 billion capital plan 2024-2028 (~$800 million increase compared to 2023-2027)
• • Ready Wyoming 260-mile electric transmission project under construction in multiple phases in 2024-2025
  • 100 MW utility-owned renewable generation to be in service by mid-2026 for South Dakota
  • ~400 MW renewable resources to be in service by 2030 for Colorado; 50% utility ownership expected
• Serving capital-light growth opportunities for data centers and blockchain customers
• Achieved constructive rate review settlements in 2023 reflecting $50 million of new annual revenue; filing at least three rate reviews annually

BKH | Investor Meetings | March 2024 | 6

Investing for Customer Needs Drives Growth

$4.3 billion Capital Investment Forecast 2024-2028*

(millions)

$1,400

$1,200

$1,000

$800

$600

$400

$200

$0

Anticipating incremental opportunities

2023A	2024	2025	2026	2027	2028
	Capital Investment		Depreciation

• Customer growth
• Safety and system integrity projects
• Replacement and modernization programs
• Electric generation and transmission
• Natural gas pipelines and storage
• Renewable natural gas

* Forecasted capital is subject to changes in timing and costs of projects and other factors

BKH | Investor Meetings | March 2024 | 7

Recovering Costs to Serve Customers

• Completed four rate reviews in 2023 representing $50 million of new annual revenue recovery
• Filed rate review for Arkansas Gas; preparing to file for Iowa Gas and Colorado Electric in Q2 2024

		Annual			New
	Filing	Revenue		Debt /	Rates
Jurisdiction	Date	Increase	ROE	Equity	Effective	Comments / Status
Wyoming Electric	June 1,	$8.7 million	9.75%	48% / 52%	March 1,	Settlement approved for new rates and
Docket 20003-214-ER-22	2022	2023	transmission investment and expense rider
Rocky Mountain	Oct. 7,		9.50%	48% to 50% to	July 15,
Natural Gas	$8.2 million	to	Settlement approved; WACC of 6.93%
2022	50% to 52%	2023
Docket 22AL-0426G		9.70%
Wyoming Gas	May 18,	$13.9 million	9.85%	49% / 51%	Feb. 1,	Settlement approved providing new rates
Docket 30026-78-GR-23	2023	2024	and renewal of Wyoming Integrity Rider
Colorado Gas	May 8,	$20.2	9.30%*	49.13% /	Feb. 13,	Settlement filed with provisional rates in
Docket 23AL-0231G	2023	__million*	50.87% *	2024 *	effect; expecting final approval by Q2 2024
Arkansas Gas	Dec. 4,	$44.1 million**	10.5%**	52% / 48%**	Q4 2024	Requesting new rates by Q4 2024
Docket 23-074-U	2023
Iowa Gas	Q2 2024	tbd	tbd	tbd	tbd	Interim rates effective 10 days after filing
Colorado Electric	Q2 2024	tbd	tbd	tbd	tbd	Last rate review in 2016

• Settlement agreement terms pending final approval by commission
• As requested in filing; excludes ongoing rider recovery requested to be included in base rates

BKH | Investor Meetings | March 2024 | 8

Operational Excellence

Delivering Safe, Reliable and Cost-Effective Energy

Industry-Leading Electric Reliability	Dependable Natural Gas Service
	In mid-January, we reliably served our customers during
EEI 2022 Overall System SAIDI (Excluding Major Events)	subzero conditions across our service territory
Black Hills' Electric Utilities

Black Hills'

Service

Region

U.S. Dept. of Labor Platinum HIRE Vets Medallion Award

BKH | Investor Meetings | March 2024 | 9

Strategic Growth Initiatives