Black Hills Corp. (BKH) today announced that its oil and gas subsidiary, Black Hills Exploration & Production, Inc., signed a definitive agreement to sell approximately 85 percent of its Bakken and Three Forks shale assets in the Williston Basin for approximately $243 million, subject to customary pre-closing and post-closing adjustments. The sale has an effective date of July 1, 2012, with an estimated closing date on or before Sept. 30, 2012.

Quote:Sale of South Antelope Field Represents a Significant Crystallisation of Value for Sundance • Sale price of US$44,200 per acre demonstrates strong buyer interest in quality Bakken assets • Generated a profit of US$150m, or 3x our total investment, and approximately a 75% internal rate of return over the 5 year investment period • Sundance retains its other holdings in the Bakken play – Phoenix, Goliath and Manitou • Frees up significant funding able to be used for debt repayment, redeployment into existing development projects and investment into new high interest Company operated projects Sundance Energy Australia Limited (ASX: SEA, Sundance) is pleased to announce the divestment of its working interest in the South Antelope field in the Williston Basin, as part of the sale process undertaken by the Operator of the field, Helis Oil & Gas. Sundance retains its other holdings in the Bakken. The sale price for Sundance’s working interest including approximately 3,900 acres is US$172.4 million in cash which is approximately 130% of the Company’s South Antelope Field 30 June 2011 PV10 of 3P reserves1 as calculated by Netherland Sewell. The transaction is highly value accretive for the Company and compares favourably to recent similar transactions in the Bakken. The sale equates to an implied price ofapproximately US$49.00 per barrel of proved reserves, US$14.20 per barrel of 3P reserves and US$344,000 per barrel of oil equivalent produced per day. Importantly, the Company expects to be able to defer the majority of the tax impact of this transaction. The funds generated from the sale of South Antelope will be initially used to pay down the Company’s senior debt facility and are able to be redeployed into existing core development projects. However, the funding also provides the Company with the financial flexibility to pursue a number of new opportunities which are currently under review. Sundance’s Managing Director, Eric McCrady said, “The Operator’s decision to sell its working interest in the South Antelope field provided us with an excellent opportunity to join the sale process and monetise our interest in a non-operated asset at an attractive price. The cash consideration from the sale significantly bolsters Sundance’s funding capacity to repay debt, redeploy capital into existing projects and pursue new value accretive project acquisition opportunities. In line with our stated strategy, the sale of South Antelope accelerates our shift towards redeploying capital into high interest Company operated projects. This strategy will enable Sundance to control the pace and cost of development in its projects.” Transaction Details The South Antelope field divestment was part of the sales process undertaken by Helis Oil & Gas (Helis). Helis is a privately held US focused oil and gas exploration and production company. The purchaser of the South Antelope field, QEP Energy Company, a subsidiary of QEP Resources, Inc. (NYSE: QEP), is a leading independent natural gas and oil exploration and production company focused in the Rocky Mountains and Midcontinent regions of the United States, with an enterprise value of approximately $6.8 billion and cash and undrawn credit facilities of approximately $1.5 billion. A binding and conditional Purchase and Sale Agreement (PSA) was executed in the US on 23 August 2012. The PSA, which is effective as of 1 July 2012, is subject to several common closing conditions such as confirmatory due diligence and closing of the Helis transaction but is not subject to any financing contingencies for QEP. QEP has placed a 10% deposit in escrow to secure its obligations under the PSA. Depending on timing of the satisfaction of the various conditions, we expect the transaction to close in September of this year.