EXHIBIT 10-(aa)


   1997

   BLACK HILLS CORPORATION

   RESULTS

   COMPENSATION

   PROGRAM























      BLACK HILLS POWER AND LIGHT COMPANY
      WYODAK RESOURCES DEVELOPMENT CORP.
      WESTERN PRODUCTION COMPANY

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                  RESULTS COMPENSATION PROGRAM


In  1997, the Results Compensation program initiated in 1994 is being continued
with  some  modifications.  In 1997, participating companies will have the same
goal  based  upon   consolidated   earnings   per   share.   This  program  has
significantly enhanced the Corporation's compensation philosophy and practice.

The  Results  Compensation  program  is designed to recognize  and  reward  the
contribution that group performance makes  to  corporate success when goals are
met.  Results Compensation can pay financial rewards  up  to  8 percent of your
earnings.


GROUP PERFORMANCE

There  are  several  elements  that  go  into  determining the success  of  the
Corporation.  Some of these elements include:  the contributions employees make
to achieve goals; both on an individual basis and  as  part  of a work unit, in
addition  to  the  market, general economic conditions, quality of  management,
strategic plans, and regulatory agencies.

In  general,  the  current   merit/base  pay  system  provides  individual  pay
opportunities that are competitive  in  our  respective industry and geographic
location coupled with the Corporation's ability  to  pay.   The emphasis of the
Results Compensation program is an added incentive to reward  plan participants
based on Corporate performance.


RESULTS COMPENSATION PROGRAM OBJECTIVES

The Results Compensation program is designed to meet the following objectives:

   * Enhance and broaden the current compensation philosophy and pay practice.

   * Share  the results of the Corporation with the people who contribute  to
     that success and who participate in the program.

   * Motivate work  performance  and  behavior  that  supports  the  Corporate
     financial goals.

   * Increase the employee's understanding of the Corporation's business.




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RESULTS COMPENSATION GUIDELINES


   * The  program  encompasses  a  one-year  period;  January 1, 1997, through
     December  31,  1997.  Results Compensation awards, if earned  and 
     approved, will be paid out in the first quarter of the following year.

   * Regular full-time  and  regular  part-time  employees  are  eligible  to
     participate  in  this program.  (Note: ENSERCO employees are not eligible
     to participate and an  employee  who  transfers  to  or  from a bargaining
     unit position will receive a pro-rated Results Compensation award, if
     approved, relative  to  the amount of time worked in the non-bargaining
     unit  position and gross pay earned  in  the  non-bargaining  unit position
     while qualified under the program.)

   * An individual employee's Results Compensation  award, if any, will be paid
     on  gross  pay  as  it  appears on the employee's W-2 form.   This 
     includes regular, overtime, paid time off and other forms of premium pay.

   * The Local 1250, IBEW, has elected not to participate in this program.

   * The maximum Results Compensation  bonus  and award an employee may receive
     is 8 percent.

   * In determining the bonus percentage to be  paid,  calculations  will  be
     rounded  to  one decimal place (e.g., 1.4%) not rounded to the nearest
     whole percentage amount.

   * Any participating  employee  whose  employment  relationship is terminated
     voluntarily or involuntarily prior to the end of the program year will not
     be eligible for any Results Compensation award.  Exceptions would be death,
     long-term disability or retirement.


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DETERMINING RESULTS COMPENSATION AWARDS

The  Results  Compensation  program has a single financial goal.  The financial
goal  consists of a Corporate  Consolidated  Earnings  Per  Share  (EPS)  Goal.
Whether  a program award is paid and how much any award will be, depends on how
well and to  what  degree  the  goal  was obtained as evaluated by the Board of
Directors.

GOAL:       CORPORATE CONSOLIDATED EARNINGS PER SHARE (EPS) GOAL.

Earnings Per Share are equal to the total  consolidated  profit  divided by the
number of shares of Black Hills Corporation common stock owned by shareholders.

The maximum award an employee may receive is 8 percent from the program.  Since
this is a consolidated Corporate goal, all employees in the different  business
units  will have the same goal.  The specific target goal for 1997 is $2.00  as
shown below.

            EARNINGS PER SHARE TARGET AND PAYOUTS


                                          Consolidated
                                               EPS                  BONUS
Earnings Per Share
  Results Compensation Target:                $2.00
                                              $2.02                  0.4%
                                              $2.04                  0.9%
                                              $2.06                  1.5%
                                              $2.08                  2.2%
                                              $2.10                  3.0%
                                              $2.12                  3.9%
                                              $2.14                  4.8%
                                              $2.16                  5.9%
                                              $2.18                  7.0%
                                              $2.19                  8.0%

1997 Results  Compensation  Target  is calculated based upon a 6% annual growth
factor from the 1995 EPS of $1.78.

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BOARD OF DIRECTORS RETAIN DISCRETION


This program is not at any time a contract of employment.  The Company reserves
the  right  to  change  this  program whenever  and  in  any  manner  it  deems
appropriate.  Irrespective of changes  in  the  program,  no rights are vested.
All  awards  are  earned  only  when and if finally approved by  the  Board  of
Directors  notwithstanding anything  contained  in  the  program  that  may  be
construed to be to the contrary.

The Board of  Directors,  in  its  sole and absolute discretion, may decline to
approve  any  award,  though the participant  may  have  achieved  or  exceeded
threshold and target levels  of  performance.  Setting a threshold or target of
performance for any participants does  not constitute a promise to pay an award
even  if the participant meets the threshold  or  target  of  performance.   In
determining  whether to make an award and the amount of the award, the Board of
Directors may  consider criteria other than or in addition to the threshold and
target performance determined under this program.  Nothing in this program is a
promise by the Corporation to continue to employ any participant for any period
of time.