8-K

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 8-K
CURRENT REPORT

Pursuant to Section 13 or 15(d) of
the Securities Exchange Act of 1934

Date of Report
April 27, 2005

Commission			IRS Employer
File		State of	Identification
Number	Registrant	Incorporation	Number
1-7810	Energen Corporation	Alabama	63-0757759
2-38960	Alabama Gas Corporation	Alabama	63-0022000

605 Richard Arrington Jr. Boulevard North Birmingham, Alabama	35203
(Address of principal executive offices)	(Zip Code)

(205) 326-2700

(Registrant's telephone number including area code)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the

registrant under any of the following provisions:

[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17CFR 240.14d-2(b))

[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

ITEM 2.02          Results of Operations and Financial Condition.

On April 27, 2005, Energen Corporation and Alabama Gas Corporation issued a press release announcing the first quarter and year-to-date 2005 financial results. The press release reporting these results and the related supplemental financial information are attached hereto as Exhibit 99.1 and Exhibit 99.2.

Energen Corporation announced the declaration of a 2-for-1 stock split for shareholders of record at the close of business

on May 13, 2005. This stock split coincides with the declaration of a quarterly cash dividend of 20 cents per share

(not adjusted to reflect the stock split) to shareholders of record at the close of business on May 13, 2005. The

press release reporting the 2-for-1 stock split and the cash dividend is attached hereto as Exhibit 99.3.

Energen Corporation has also included a reconciliation of a Non-GAAP financial measure to the related GAAP financial

measure which will be disclosed in its upcoming conference call on Thursday, April 28, 2005. This reconciliation is attached

hereto as Exhibit 99.4.

The Exhibits identified above are furnished to, but not filed with, the Commission.

ITEM 9.01          Financial Statements and Exhibits.

(c) Exhibits.

The following exhibits are furnished as part of this Current Report on Form 8-K

Exhibit

Number

99.1 Press Release Reporting First Quarter Results dated April 27, 2005

99.2 Supplemental Financial Information dated April 27, 2005

99.3 Press Release Reporting 2-For-1 Stock Split and Cash Dividend

99.4 Non-GAAP Financial Measure Reconciliation

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report

to be signed on its behalf by the undersigned thereunto duly authorized.

	ENERGEN CORPORATION ALABAMA GAS CORPORATION
April 27, 2005	By G. C. KETCHAM
	G. C. KETCHAM Executive Vice President, Chief Financial Officer and Treasurer of Energen Corporation and Alabama Gas Corporation

EXHIBIT INDEX

EXHIBIT NUMBER		DESCRIPTION
99.1	*	Press Release dated April 27, 2005
99.2 99.3 99.4	* * *	Supplemental Financial Information dated April 27, 2005 Press Release dated April 27, 2005 After-Tax Cash Flow Reconciliation

* This exhibit is furnished to, but not filed with, the Commission by inclusion herein.

EX-99.1

Exhibit 99.1

For Release: 11:30 a.m. ETFor More Information:

Wednesday, April 27, 2005 Julie S. Ryland, (205) 326-8421

ENERGEN REPORTS SOLID FIRST QUARTER RESULTS

Management Affirms 2005 and 2006 Earnings Guidance

Birmingham, Alabama- Energen Corporation (NYSE: EGN) reported today that it earned net income of $59 million, or $1.60 per diluted share, in the first quarter of 2005. Included in these numbers are a non-cash, after-tax loss of $9.4 million, or 26 cents per diluted share, related to the timing of mark-to-market derivatives; these timing losses will reverse by the end of 2005 as the volumes to which the derivatives are associated are produced.

In the first quarter of the prior year, Energen's net income and income from continuing operations totaled $60.2 million, or $1.65 per diluted share, and included a net loss of $1.6 million, or 4 cents per diluted share, related to the timing of mark-to-market derivatives. Income from discontinued operations totaled $105,000 in the current-year first quarter as compared with $24,000 in the first quarter of 2004.

"Absent the non-cash, mark-to-market timing issue, Energen had solid results for the first quarter, and we are pleased to affirm our 2005 earnings guidance range of $4.45 to $4.65 per diluted share," said Mike Warren, Energen's chairman and chief executive officer. "As we look ahead to next year, we also affirm our 2006 earnings guidance range of $5.00 to $5.20 per diluted share."

Energen Resources in the First Quarter

Energen Resources' first quarter 2005 income from continuing operations totaled $19.5 million and compared with prior-year results of $23.2 million. Included in these numbers are after-tax losses of $9.4 million and $1.6 million, respectively, related to the timing of mark-to-market derivatives.

Energen Resources' production from continuing operations in the first quarter of 2005 totaled 21.9 Bcfe as compared with 21.1 Bcfe in the same period last year. Natural gas production increased 7 percent to 14.7 Bcf, primarily due to the Company's August 2004 acquisition of coalbed methane properties in the San Juan Basin; oil production decreased 6 percent to 819 thousand barrels (MBbl); and NGL production rose 4 percent to 15.8 million gallons (MMgal).

In the current-year first quarter, the Company's average sales price for its natural gas production decreased 3 percent to $4.60 per Mcf from the same period a year ago, while the average sales price of oil rose 19 percent to $32.12 per barrel; the average sales price of NGL production increased 31 percent to 51 cents per gallon. Average sales prices reflect the impact of all hedges, including mark-to-market derivatives, and basis differentials and are not NYMEX-equivalent prices.

Energen Resources' per-unit lease operating expense in the first quarter of 2005 increased 23 percent to $1.51 per Mcf equivalent (Mcfe) due to a 21 percent increase in per-unit production taxes resulting from higher commodity prices as well as to increased expenses associated with greater-than-anticipated work-over and maintenance expenses, higher ad valorem taxes, and increased transportation expense associated with the San Juan Basin acquisition made last year.

Per-unit DD&A expense from oil and gas activities totaled 94 cents per Mcfe in the current-year first quarter, up 7 percent from the same period a year ago primarily due to last year's property acquisition.

Alagasco in the First Quarter

Alagasco's natural gas distribution operations earned net income of $39 million in the first quarter of 2005 as compared with net income of $36.3 million in the same period last year. This increase in earnings reflects the utility's ability to earn on a higher level of equity representing investment in utility plant.

TRAILING 12 MONTHS' EARNINGS

Higher commodity prices and increased production continued to drive Energen's trailing 12 months' results. For the 12 months ended March 31, 2005, Energen's net income totaled $126.3 million, or $3.45 per diluted share, as compared with $116.3 million, or $3.22 per diluted share, for the 12 months ended March 31, 2004.

Income from discontinued operations in the current-year period totaled $254,000, or 1 cent per diluted share, and compared with a loss from discontinued operations of $717,000, or 2 cents per diluted share, in the same period a year ago.

Energen Resources' income from continuing operations in the current-year 12 months' period totaled $90.2 million and compared with the $81.9 million in the same period a year ago. Production from continuing operations totaled 88.2 Bcfe in the 12 months ended March 31, 2005, up 3 percent from the 85.9 Bcfe produced in the same period last year.

Average sales prices for the 12-months' period were:

• Natural gas, up 10 percent to $4.80 per Mcf;
• Oil, up 16 percent to $29.90 per barrel; and
• NGLs, up 26 percent to 48 cents per gallon.

LOE increased 23 percent to $1.40 per unit period-to-period. DD&A expense increased 2 cents to 92 cents per Mcfe.

Alagasco's net income for the 12 months ended March 31, 2005, totaled $36.5 million, up slightly from $35.9 million of net income in the same period a year ago.

2005 EARNINGS GUIDANCE

Energen's 2005 earnings guidance is a range of $4.45 to $4.65 per diluted share. Included in this guidance is an estimated 3 cents per diluted share from an unidentified acquisition of $200 million budgeted to occur in the fourth quarter.

The Company's 2005 guidance also assumes that prices applicable to Energen Resources' unhedged production will average:

• $6.50 per Mcf for gas (May through December);
• $45 per barrel for oil (April through December); and
• 70 cents per gallon for NGL (April through December)

Energen Resources' hedge position with respect to its estimated production for the remainder of 2005 (April through December) is as follows:

Commodity	Hedge Vols.	Estimated 2005 Production		% Hedged		NYMEX-equiv. price
Natural Gas	37.8 Bcf	46.5 Bcf*	45.3 Bcf**	81%*	83%**	$5.95 per Mcf
Oil	2.0 MMBbl	2.8 MMBbl	2.7 MMBbl	71%	74%	$36.00 per barrel
NGL	37.7 MMgal	60.1 MMgal*	58.9 MMgal**	63%*	64%**	$0.542 per gallon

* With unidentified 4th quarter 2005 acquisition

** Without unidentified 4th quarter 2005 acquisition

Realized prices for Energen Resources' production associated with NYMEX contracts as well as for unhedged production will reflect the impact of basis differentials. For production associated with basin-specific contracts, Energen Resources will receive the contracted hedge price, regardless of basis differentials. In the tables above, the basin-specific contract prices were converted for comparability purposes to a NYMEX-equivalent price by adding to them Energen Resources' assumed basis differentials. Realized NGL prices will reflect transportation and fractionation fees.

Energen Resources' assumed basis differentials are:

• San Juan Basin natural gas: 78 cents per Mcf (May through December)
• Permian Basin natural gas: 60 cents per Mcf (May through December)
• West Texas Sour oil: $4.50 per barrel (April through December)

Energen Resources' production for 2005 is estimated to total 93.6 Bcfe, including 1.8 Bcfe associated with a budgeted, 4^th quarter property acquisition. LOE is estimated to be $1.49 per Mcfe, and DD&A is estimated to total 96 cents per Mcfe.

Given Energen Resources' current hedge position for the remainder of 2005, known prices for April gas and assuming prices as outlined above for its unhedged production (excluding volumes from unidentified acquisitions), the sensitivities to pricing changes applicable to Energen's earnings guidance for 2005 are as follows:

• Every 10-cent change in the average NYMEX price of gas from $6.50 per Mcf (May through December) represents an estimated net income impact of approximately $225,000 (0.6 cents per diluted share).
• Every $1.00 change in the average NYMEX price of oil from $45 per barrel (April through December) represents an estimated net income impact of approximately $340,000 (0.9 cents per diluted share).
• Every 1-cent change in average price of NGL from $0.70 per gallon (April through December) represents an estimated net income impact of approximately $75,000 (0.2 cents per diluted share).

Price-related events such as substantial basis differential changes could cause earnings sensitivities to be materially different from those outlined above.

2005 Capital Spending Plans and Other Assumptions

Energen Resources has incorporated into its financial objectives for 2005 an investment late in the year of $200 million in domestic producing properties and $7 million in associated development. Because of the budgeted timing of the acquisition, any such acquisition is estimated to generate only about $1.2 million in net income in 2005. Should one or more acquisitions occur earlier in the 2005 year, they could have a positive impact on Energen Resources' production volumes and earnings.

Energen Resources also is planning to invest in 2005 approximately $135 million in development capital related to its existing properties. Energen Resources' exploration spending in 2005 is estimated to total approximately $4 million.

Capital spending at Alagasco is estimated to be approximately $60 million.

Other key assumptions that support Energen's guidance include:

• Average diluted shares outstanding of 36,850,000.
• Alagasco's earning a return on average equity of approximately 13.15 percent on average equity of approximately $270 million.

2006 EARNINGS GUIDANCE

Energen's management today also affirmed its earnings guidance for 2006 at a range of $5.00 to $5.20 per diluted share. Embedded in Energen's 2006 earnings guidance is an estimated 16 cents per diluted share from unidentified oil and gas property acquisitions of approximately $200 million each in the fourth quarters of 2005 and 2006.

The Company's guidance for 2006 earnings assumes that NYMEX prices applicable to Energen Resources' unhedged production in 2006 will average $6.15 per Mcf for gas and $35 per barrel for oil and that NGL prices will average approximately 58 cents per gallon.

Energen Resources' total current hedge position with respect to its estimated 2006 production is as follows:

Commodity	Hedge Vols.	Estimated 2006 Production		% Hedged		NYMEX-equiv. price
Natural Gas	17.6 Bcf	65.3 Bcf1	58.4 Bcf2	27%1	30%2	$6.84 per Mcf
Oil	1,440 MBbl	3,800 MBbl1	3,450 MBbl2	38%1	42%2	$46.01 per barrel
NGL	30.2 MMgal	86.6 MMgal1	79.7 MMgal2	35%1	38%2	$0.56 per gallon

1 With unidentified 4th quarter acquisition in 2005 and 2006

2 Without unidentified 4th quarter acquisition in 2005 and 2006

Given Energen Resources' current hedge position for 2006 and assuming prices as outlined above for its unhedged production (excluding volumes from unidentified acquisitions), sensitivities to pricing changes applicable to Energen's 2006 earnings guidance are as follows:

• Every 10-cent change in the average NYMEX price of gas from $6.15 per Mcf represents an estimated net income impact of approximately $2,100,000 (5.7 cents per diluted share).
• Every $1.00 change in the average NYMEX price of oil from $35 per barrel represents an estimated net income impact of approximately $1,100,000 (2.9 cents per diluted share).
• Every 1-cent change in average price of NGL from $0.58 per gallon represents an estimated net income impact of approximately $250,000 (0.6 cents per diluted share).

Price-related events such as substantial basis differential changes could cause earnings sensitivities to be materially different from those outlined above.

Energen Resources' 2006 production is estimated to total approximately 100.4 Bcfe, including 9.9 Bcfe from unidentified acquisitions in 2005 and 2006:

• Natural gas: 65.3 Bcf, including 6.9 Bcf from unidentified acquisitions in 2005 and 2006
• Oil: 3.8 MMBbl, including 0.3 MMBbl from unidentified acquisitions in 2005 and 2006
• NGL: 86.6 MMgal, including 6.9 MMgal from unidentified acquisitions in 2005 and 2006

2006 Capital Spending Plans and Other Assumptions

Energen Resources' 2006 capital spending plans include a $215 million, fourth quarter acquisition of producing properties. Energen Resources also expects to invest some $85 million in development activities, including $35 million associated with property acquisitions. Energen Resources' exploration spending in 2006 is estimated at about $3 million. Capital spending at Alagasco is estimated to be approximately $57 million.

Other key assumptions that support Energen's 2006 earnings guidance include:

• Average diluted shares outstanding of 37 million
• Alagasco's earning a return on average equity of approximately 13.2 percent on average equity of approximately $285 million.
• A DD&A rate at Energen Resources of approximately $1.01 per Mcfe, and LOE (including production taxes) of approximately $1.48 per Mcfe.

Energen Corporation is a diversified energy holding company with headquarters in Birmingham, Alabama. Its two lines of business are the acquisition and development of onshore domestic oil and gas properties and natural gas distribution in central and north Alabama. Additional information on Energen is available at www.energen.com.

FORWARD-LOOKING STATEMENTS

This release contains statements expressing expectations of future plans, objectives and performance that constitute forward-looking statements made pursuant to the Safe Harbor provision of the Private Securities Litigation Reform Act of 1995. Except as otherwise disclosed, the Company's forward-looking statements do not reflect the impact of possible or pending acquisitions, divestitures or restructurings. We undertake no obligation to correct or update any forward-looking statements, whether as a result of new information, future events or otherwise. All statements based on future expectations rather than on historical facts are forward-looking statements that are dependent on certain events, risks and uncertainties that could cause actual results to differ materially from those anticipated. These include, but are not limited to, the amount and timing of oil, gas and natural gas liquids production and market prices, utility customer growth, retention and usage per customer, inflation rat es, legislative and regulatory changes, and financial market conditions, all of which are difficult to predict. In addition, the Company cannot guarantee the absence of errors in input data, calculations and formulas used in its estimates, assumptions and forecasts. A complete discussion of risks and uncertainties that could affect future results of Energen and its subsidiaries is included in the Company's periodic reports filed with the Securities and Exchange Commission.

EX-99.2

Exhibit 99.2

Consolidated Statements of Income (Unaudited)
For the 3 months ending March 31, 2005 and 2004

	1st Quarter
(in thousands, except per share data)		2005		2004		Change
Operating Revenues
Oil and gas operations	$	102,880	$	96,080	$	6,800
Natural gas distribution		258,128		255,202		2,926
Total operating revenues		361,008		351,282		9,726
Operating Expenses
Cost of gas		136,855		138,738		(1,883)
Operations & maintenance		60,407		53,122		7,285
DD&A		31,425		28,684		2,741
Taxes, other than income taxes		26,550		24,266		2,284
Accretion expense		643		490		153
Total operating expenses		255,880		245,300		10,580
Operating Income		105,128		105,982		(854)
Other Income (Expense)
Interest expense		(11,670)		(10,318)		(1,352)
Other income		353		862		(509)
Other expense		(268)		(1,025)		757
Total other expense		(11,585)		(10,481)		(1,104)
Income Before Income Taxes		93,543		95,501		(1,958)
Income tax expense		34,602		35,340		(738)
Income From Continuing Operations		58,941		60,161		(1,220)
Discontinued Operations, Net of Taxes
Income (loss) from discontinued operations		(18)		37		(55)
Gain (loss) on disposal		123		(13)		136
Income From Discontinued Operations		105		24		81
Net Income	$	59,046	$	60,185	$	(1,139)
Diluted Earnings Per Share
Continuing operations	$	1.60	$	1.65	$	(0.05)
Discontinued operations		-		-		-
Net Income	$	1.60	$	1.65	$	(0.05)
Basic Earnings Per Share
Continuing operations	$	1.62	$	1.66	$	(0.04)
Discontinued operations		-		-		-
Net Income	$	1.62	$	1.66	$	(0.04)
Diluted Avg. Common Shares Outstanding		36,828		36,566		262
Basic Avg. Common Shares Outstanding		36,476		36,173		303
Dividends Per Share	$	0.20	$	0.185	$	0.015

Consolidated Statements of Income (Unaudited)
For the 12 months ending March 31, 2005 and 2004

	Trailing 12 Months
(in thousands, except per share data)		2005		2004		Change
Operating Revenues
Oil and gas operations	$	416,911	$	360,245	$	56,666
Natural gas distribution		529,666		523,162		6,504
Total operating revenues		946,577		883,407		63,170
Operating Expenses
Cost of gas		258,006		260,589		(2,583)
Operations & maintenance		241,457		210,474		30,983
DD&A		123,518		116,664		6,854
Taxes, other than income taxes		77,215		66,256		10,959
Accretion expense		2,418		1,886		532
Total operating expenses		702,614		655,869		46,745
Operating Income		243,963		227,538		16,425
Other Income (Expense)
Interest expense		(44,095)		(41,758)		(2,337)
Other income		2,436		6,487		(4,051)
Other expense		(1,458)		(7,913)		6,455
Total other expense		(43,117)		(43,184)		67
Income Before Income Taxes		200,846		184,354		16,492
Income tax expense		74,776		67,378		7,398
Income From Continuing Operations		126,070		116,976		9,094
Discontinued Operations, Net of Taxes
Income from discontinued operations		123		465		(342)
Gain (loss) on disposal		131		(1,182)		1,313
Income (Loss) From Discontinued Operations		254		(717)		971
Net Income	$	126,324	$	116,259	$	10,065
Diluted Earnings Per Share
Continuing operations	$	3.44	$	3.24	$	0.20
Discontinued operations		0.01		(0.02)		0.03
Net Income	$	3.45	$	3.22	$	0.23
Basic Earnings Per Share
Continuing operations	$	3.47	$	3.27	$	0.20
Discontinued operations		0.01		(0.02)		0.03
Net Income	$	3.48	$	3.25	$	0.23
Diluted Avg. Common Shares Outstanding		36,626		36,075		551
Basic Avg. Common Shares Outstanding		36,330		35,743		587
Dividends Per Share	$	0.77	$	0.735	$	0.035

Selected Business Segment Data (Unaudited)

For the 3 months ending March 31, 2005 and 2004

	1st Quarter
(in thousands, except sales price data)		2005		2004		Change
Oil and Gas Operations
Operating revenues
Natural gas	$	67,600	$	65,329	$	2,271
Oil		26,305		23,687		2,618
Natural gas liquids		8,145		6,020		2,125
Other		830		1,044		(214)
Total	$	102,880	$	96,080	$	6,800
Production volumes from continuing operations
Natural gas (MMcf)		14,682		13,708		974
Oil (MBbl)		819		874		(55)
Natural gas liquids (Mgal)		15,827		15,281		546
Production volumes from continuing ops. (Mmcfe)		21,856		21,132		724
Total sales volume (Mmcfe)		21,906		21,161		745
Average sales price from continuing ops.
Natural gas (Mcf)	$	4.60	$	4.77	$	(0.17)
Oil (barrel)	$	32.12	$	27.12	$	5.00
Natural gas liquids (gallon)	$	0.51	$	0.39	$	0.12
Other data
Lease operating expense (LOE)
LOE and other	$	22,751	$	17,805	$	4,946
Production taxes		10,204		8,236		1,968
Total	$	32,955	$	26,041	$	6,914
DD&A	$	21,012	$	19,074	$	1,938
Capital expenditures	$	40,485	$	21,444	$	19,041
Exploration expense	$	324	$	48	$	276
Operating income	$	38,975	$	44,075	$	(5,100)
Natural Gas Distribution
Operating revenues
Residential	$	178,154	$	176,660	$	1,494
Commercial and industrial - small		65,300		64,601		699
Transportation		13,029		11,376		1,653
Other		1,645		2,565		(920)
Total	$	258,128	$	255,202	$	2,926
Gas delivery volumes (MMcf)
Residential		13,013		15,109		(2,096)
Commercial		5,295		6,049		(754)
Transportation		13,741		14,598		(857)
Total		32,049		35,756		(3,707)
Other data
Depreciation and amortization	$	10,413	$	9,610	$	803
Capital expenditures	$	14,802	$	13,811	$	991
Operating income	$	66,404	$	62,014	$	4,390
Selected Business Segment Data (Unaudited) For the 12 months ending March 31, 2005 and 2004

	Trailing 12 Months
(in thousands, except sales price data)		2005		2004		Change
Oil and Gas Operations
Operating revenues
Natural gas	$	278,743	$	242,445	$	36,298
Oil		101,031		88,784		12,247
Natural gas liquids		33,027		25,237		7,790
Other		4,110		3,779		331
Total	$	416,911	$	360,245	$	56,666
Production volume from continuing operations
Natural gas (MMcf)		58,129		55,791		2,338
Oil (MBbl)		3,380		3,434		(54)
Natural gas liquids (Mgal)		68,754		66,192		2,562
Production volumes from continuing ops. (Mmcfe)		88,228		85,851		2,377
Total sales volume (Mmcfe)		88,351		86,123		2,228
Average sales price from continuing ops.
Natural gas (Mcf)	$	4.80	$	4.35	$	0.45
Oil (barrel)	$	29.90	$	25.85	$	4.05
Natural gas liquids (gallon)	$	0.48	$	0.38	$	0.10
Other data
Lease operating expense (LOE)
LOE and other	$	84,159	$	68,862	$	15,297
Production taxes		39,251		28,687		10,564
Total	$	123,410	$	97,549	$	25,861
DD&A	$	82,834	$	78,808	$	4,026
Capital expenditures	$	422,977	$	130,961	$	292,016
Exploration expense	$	2,376	$	961	$	1,415
Operating income	$	175,253	$	158,279	$	16,974
Natural Gas Distribution
Operating revenues
Residential	$	341,723	$	343,659	$	(1,936)
Commercial and industrial - small		139,385		136,301		3,084
Transportation		41,875		38,494		3,381
Other		6,683		4,708		1,975
Total	$	529,666	$	523,162	$	6,504
Gas delivery volumes (MMcf)
Residential		23,286		26,297		(3,011)
Commercial		11,570		12,368		(798)
Transportation		53,527		55,828		(2,301)
Total		88,383		94,493		(6,110)
Other data
Depreciation and amortization	$	40,684	$	37,856	$	2,828
Capital expenditures	$	59,199	$	56,755	$	2,444
Operating income	$	70,589	$	71,662	$	(1,073)

EX-99.3

Exhibit 99.-3

For Immediate Release: For More Information:

Wednesday, January 26April 27, 2005Julie S. Ryland, (205) 326-8421

Energen Corporation Board Declares Quarterly Cash Dividend 2-for-1 Stock Split

Shareholders Re-Elect Three to Energen Board

Shareholders Elect Three to Board of Directors and

Approves Increase of shares to be Issued

Energen Raises Cash Dividend 3.9%

Birmingham, Alabama -The Board of Directors of Energen Corporation (NYSE: EGN) today declared a two-for-one split of the Company's common stock, effected in the form of a. The 100 percent stock dividend, that will be payable June 1, 2005, to shareholders of record at the close of business on May 13, 2005.

The Board also declared a quarterly cash dividend of 20 cents per share payable June 1, 2005, to shareholders of record at the close of business on May 13, 2005.

The Board voted to split the common stock at its regular meeting that followed Wednesday's Annual Meeting of Shareholders. At the Annual Meeting, shareholders paved the way for the split by voting overwhelmingly to increase the number of shares of common stock authorized for issuance from 75 million to 150 million.

"We believe this action sends a clear signal to our shareholders that Energen's leadership has confidence in the Company's strategic growth plan as well as management's ability to execute that plan," said Mike Warren, Energen's chairman and chief executive officer.

In The Board of Directors of Energen Corporation (NYSE: EGN) today increased the quarterly cash dividend 3.9 percent to 20 cents per share. This marks the 23rd consecutive year that Energen's cash dividend has been increased. On an annualized basis, the Company's new dividend rate is 80 cents per share. The dividend is payable March 1, 2005, to shareholders of record on February 15, 2005.other business at the Annual Meeting, Energen shareholders re-elected three members of the Board to three-year terms. They are J. Mason Davis, Jr., partner, Sirote & Permutt, P.C., Birmingham, Alabama; James S. M. French, Chairman of the Board, Dunn Investment Company, Birmingham, Alabama; and David W. Wilson, independent energy consultant, Kingwood, Texas.

The Board voted also to amend the Company's Restated Certificate of Incorporation to increase the number of shares of common stock we are authorized to issue from 75,000,000 to 150,000,000.

Energen Corporation is a diversified energy holding company with headquarters in Birmingham, Alabama. Its two lines of business are the acquisition and development of natural gas, oil and natural gas liquids onshore in North America and natural gas distribution in central and north Alabama. Additional information on Energen is available at www.energen.com.

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EX-99.4

Exhibit 99.4

Non-GAAP Financial Measures Reconciliation

The United States Securities and Exchange Commission requires public companies such as Energen to reconcile Non-GAAP (GAAP refers to generally accepted accounting principles) financial measures to related GAAP measures. After-tax Cash Flow is a Non-GAAP financial measure. Energen believes after-tax cash flow is relevant because it is a measure of cash available to fund the Company's capital expenditures and dividends and to service its debt.

RECONCILIATION TO GAAP INFORMATION

($ in millions)

	Year Ended December 31,
	2005 (a)			2004	2003
Net Income (GAAP)	$164	-	$171	$128	$111
Depreciation, depletion and amortization	134	-	137	121	118
Deferred income taxes, net	52	-	57	67	54
After-tax Cash Flow (Non-GAAP)	$350	-	$365	$316	$283
Changes in assets and liabilities and other adjustments	(21)	-	(25)	(25)	(40)
Net Cash Provided by Operating Activities (GAAP)	$329	-	$340	$291	$243

(a) 2005 estimates are based on public earnings guidance provided by Energen for 2005 and include approximately $1.2 million of net income from an estimated $200 million property acquisition budgeted to take place in the 4^th quarter. This estimate is a "forward-looking statement" as defined by the Securities and Exchange Commission. All statements based on future expectations rather than on historical facts are forward-looking statements that are dependent on certain events, risks and uncertainties that could cause actual results to differ materially from those anticipated. In addition, the Company cannot guarantee the absence of errors in input data, calculations and formulas used in its estimates, assumptions and forecasts. A discussion of risks and uncertainties, which could affect future results of Energen and its subsidiaries, is included in the Company's periodic reports filed with the Securities and Exchange Commission.