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SEMCO ENERGY Reaches an Agreement With United Steelworkers Local 16201; Western District Work Stoppage Ends

PORT HURON, Mich., Nov. 26 /PRNewswire-FirstCall/ -- SEMCO ENERGY, Inc. today announced that the Company has reached an agreement with the members of United Steelworkers Local 16201, ending a 10-day work stoppage by 42 union- represented employees in the Company's Holland, Niles and Three Rivers service areas in southwestern Michigan.

The new contract, agreed to on November 21, has been ratified by the members of the Steelworkers union.

"We are pleased this matter has been resolved," said George A. Schreiber, Jr., Company President and Chief Executive Officer. "And, again, we would like to thank our customers in the Western District for their patience and understanding during this time."

The Company has no comment on the terms of the agreement.

SEMCO ENERGY, Inc. distributes natural gas to more than 400,000 customers combined in Michigan, as SEMCO ENERGY GAS COMPANY, and in Alaska, as ENSTAR Natural Gas Company. It also owns and operates businesses involved in propane distribution, intrastate pipelines and natural gas storage in various regions of the United States.


CONTACT: Timothy Lubbers, Director of Marketing & Corporate
Communications, SEMCO ENERGY, Inc., 810-887-4208

"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: Statements in this press release regarding SEMCO Energy's business which are not historical facts are "forward-looking statements" that involve risks and uncertainties. For a discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see "Risk Factors" in the Company's Annual Report or Form 10-K for the most recently ended fiscal year.

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