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SEMCO ENERGY GAS COMPANY Reaches 250,000 Customer Milestone

PORT HURON, Mich., April 5 /PRNewswire/ -- SEMCO ENERGY GAS COMPANY has reached its 250,000-customer milestone. The company is celebrating this accomplishment with special activities at each of its five business offices. Pleased with the company's growth, Carl Porter, Senior Vice President and Chief Operating Officer, said, "We have much to celebrate. SEMCO ENERGY GAS COMPANY is adding new customers at over twice the annual rate of the natural gas industry average. In 1998 alone, we installed over 7,200 meters."

The festivities, which will celebrate all SEMCO ENERGY GAS COMPANY customers, will be held tomorrow, April 6. Customers are invited to visit their local office to receive a commemorative souvenir (while supplies last), meet company officials and enjoy light refreshments as part of the celebration.

The business offices are open from 8 to 5 each weekday.

Kraig and Nancy Hohf of Marysville, Michigan were chosen at random as the honorary 250,000th customer. They will participate in the festivities along with company officials at Port Huron's Lapeer Road office. In appreciation for their participation, the Hohf family will receive a natural gas grill, which will be installed by SEMCO ENERGY GAS COMPANY.

SEMCO ENERGY GAS COMPANY, a subsidiary of SEMCO ENERGY, Inc. (Nasdaq: SMGS), distributes natural gas to 250,000 residential, commercial and industrial customers in Michigan's Upper and Lower Peninsulas.

SEMCO ENERGY, Inc., a diversified energy services and infrastructure company, also owns SEMCO ENERGY VENTURES, which acquires and operates business involved in pipeline engineering and quality assurances services, construction services, propane distribution, intrastate pipelines and natural gas storage businesses in Kansas, Louisiana, Michigan, Missouri, New Jersey, Tennessee, Texas and Wisconsin.
CONTACT: Francis R. Lieder, Jr. of SEMCO ENERGY GAS COMPANY, 810-987-2200, ext. 4186, or fax, 810-989-4098

"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.

©2006 SEMCO ENERGY, Inc., All Rights Reserved.