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

October 27, 2010

Commission File Number	Registrant	State of Incorporation	IRS Employer Identification 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 (17 CFR 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 October 27, 2010, Energen Corporation and Alabama Gas Corporation issued a press release announcing the third quarter and year-to-date 2010 financial results. The press release and supplemental financial information are attached hereto as Exhibit 99.1 and 99.2.

ITEM 7.01 Regulation FD Disclosure

Energen Corporation has included reconciliations of certain Non-GAAP financial measures to the related GAAP financial measures. These Non-GAAP financial measures will be disclosed at various investor/analyst meetings in the coming weeks. The reconciliations are attached hereto as exhibit 99.3 and 99.4.

ITEM 9.01 Financial Statements and Exhibits

(d) Exhibits.

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

Exhibit Number:
99.1	Press Release dated October 27, 2010
99.2	Supplemental Financial Information
99.3	Non-GAAP Financial Measures Reconciliation
99.4	Non-GAAP Financial Measures 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
October 27, 2010	By	/s/ Charles W. Porter, Jr.
		Charles W. Porter, Jr. Vice President, Chief Financial Officer and Treasurer of Energen Corporation and Alabama Gas Corporation

EXHIBIT INDEX

EXHIBIT NUMBER	DESCRIPTION
99.1	* Press Release dated October 27, 2010
99.2	* Supplemental Financial Information
99.3	* Non-GAAP Financial Measures Reconciliation
99.4	* Non-GAAP Financial Measures Reconciliation

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

EX-99.1

Exhibit 99.1

For Release: 4:30 p.m. EDT	Contacts:   Julie S. Ryland
Wednesday, October 27, 2010	205.326.8421

Energen Reports Third Quarter Results, Initiates 2011 Guidance

Oil-Focused Capital Spending Plans Top $500 Million in 2011

6% Production Growth Estimated in 2011

BIRMINGHAM, Alabama – Energen Corporation (NYSE: EGN) generated a 12 percent increase in 2010 third quarter earnings after normalizing results for a previously announced non-cash charge related to the company’s Alabama shale acreage. Energen’s oil and gas exploration and production company, Energen Resources Corporation, posted a 13 percent increase in realized sales prices in the third quarter; however, the timing and amount of dry hole expense and decreased production caused largely by drilling delays hampered the energy company’s performance. Energen Resources’ unsuccessful Chattanooga shale well resulted in exploration expense of $6.2 million, or 9 cents per diluted share, in the 2010 third quarter.

Energen’s net income (including the $14.6 million after-tax write-off of capitalized unproved leasehold) totaled $38.3 million, or 53 cents per diluted share, in the third quarter of 2010 as compared with $47.1 million, or 65 cents per diluted share, in the same period a year ago. To better reflect the financial performance of the company’s on-going operations, Energen’s net income excluding the write-off totaled $52.9 million, or 73 cents per diluted share.

• ENERGEN NARROWS 2010 EARNINGS GUIDANCE RANGE

Given Energen’s year-to-date results and the use of strip pricing for the company’s remaining unhedged volumes, Energen is narrowing its earnings guidance range for 2010 to $4.30-$4.40 per diluted share, excluding the two non-cash charges related to its uncapitalized shale leasehold in Alabama. The company does not consider the $24.6 million of non-cash write-offs associated with its Alabama shale leasehold to appropriately reflect its normal, on-going operations; the comparable earnings guidance range including the non-cash charge is $3.96-$4.06 per diluted share.

Energen has an excellent hedge position for the remainder of the year but still has some exposure to changing commodity prices. Oil and natural gas liquids (NGL) prices in the third quarter of 2010 were below the prices assumed in the company’s prior guidance of $4.30-$4.70 per diluted share. In addition, current natural gas prices have dropped significantly in recent weeks to well below $4 per thousand cubic feet (Mcf).

Energen’s new 2010 guidance reflects a 0.7 Bcfe decrease in production to 113.3 Bcfe; this is largely due to drilling delays in the Permian Basin. It also reflects lower estimated lease operating expense (LOE), including marketing and transportation, of $1.65 per Mcfe (prior estimate was $1.70) as well as lower price-driven production taxes of $0.38 per Mcfe (prior estimate was $0.40).

Other assumptions include:

• Depreciation, depletion and amortization (DD&A) expense at Energen Resources of $1.79 per Mcfe;

• General and administrative (G&A) expense at Energen Resources of 48 cents per Mcfe;

• Energen’s natural gas utility, Alabama Gas Corporation (Alagasco), earning within its allowed return on estimated average equity of $331 million; and

• Average diluted shares outstanding of 72.1 million shares.

• 2011 E&P CAPITAL SPENDING TO TOP $500 MILLION

Energen’s capital spending plans for 2011 include approximately $510 million for oil and gas exploration and production activities. The bulk of Energen Resources’ capital — $475 million – will be directed towards existing properties; $25 million will be invested in exploration in and around these areas.

Oil and natural gas liquids in the Permian Basin will, once again, be the focus of Energen Resources’ capital plans given the strength of oil prices relative to natural gas. More than 75 percent of Energen Resources’ 2011 development-related capital will be invested in the Permian Basin, one of this country’s oldest and most prolific onshore oil basins.

Capital Spending in Existing Properties By Area ($MM)

Area	2011 (e)		2010 (e)
San Juan Basin	$	83	$	79
Permian Basin	$	368	$	266
Black Warrior Basin	$	14	$	1
N. LA/E. TX/Other	$	10	$	7

Capital Spending on Existing Properties ($MM)

	Permian		San Juan		BWB		Other
Drilling	$	337	$	65	$	14	$	6
Workovers*	$	10	$	3		—	$	4
Facilities/Other	$	21	$	15		—	$	—
TOTAL	$	368	$	83	$	14	$	10

* Includes payadds, refracs, recompletions, etc.

Development Drilling: Net Wells by Area

Area	2011 (e)		2010 (e)
San Juan Basin		45		24
Permian Basin		284		234
Black Warrior Basin		41		1
N. LA/E. TX/Other		3		1

In the Permian Basin, Energen Resources plans to run 6-8 drilling rigs throughout the year. The company’s focus will be on its extensive Wolfberry acreage, its waterflood operations, 3rd Bone Spring horizontal drilling, and continued development of its Fuhrman-Mascho holdings.

In the San Juan Basin, Energen Resources plans to run 2-5 drilling rigs in 2011. Activity will be concentrated in horizontal drilling in the Fruitland Coal.

Activity in the Black Warrior Basin will include new drills and downspacing and/or infill drilling. The Black Warrior Basin is home to Energen Resources’ legacy coalbed methane assets.

• 2011 GUIDANCE INITIATED

Energen today initiated its 2011 earnings guidance with a range of $3.20-$3.60 per diluted share. The company also estimates that it will generate after-tax cash flows in 2011 of $608-$638 million, part of which will be used to fund planned capital spending of approximately $585 million ($510 million at Energen Resources and $75 million at Alagasco).

Among the highlights of the 2011 outlook are a 6 percent increase in 2011 production to 120 billion cubic feet equivalent (Bcfe). Approximately 58 percent of this production is hedged. Energen’s guidance assumes prices for its unhedged production of $4.25 per Mcf for natural gas, $80 per barrel for oil, and $0.83 per gallon for natural gas liquids. Some 40 percent of Energen Resources’ estimated production in 2011 production is oil and NGL.

Commenting on the expected earnings decline from 2010 to 2011, James McManus, Energen’s chairman and chief executive officer, said that the continuation of low natural gas prices will challenge the earnings and cash flows of many gas producers in 2011. “The good news is that Energen has many advantages and, frankly, has significantly minimized the impact of low natural gas prices on our earnings and cash flows,” McManus added.

“Energen’s production has a significant component of higher priced oil and NGLs – 40 percent – and we are looking in 2011 not at growth in natural gas production but rather 17 percent growth in our oil production and 9 percent growth in our NGL production. We’re very well hedged, too, which helps protect our earnings and cash flows,” McManus added.

“We’re also very excited about the capital we plan to invest in our existing oil and gas properties in 2011. It’s a record amount of dollars being invested in high-quality properties. More than 75 percent of this capital is going into the oil-rich Permian Basin. Importantly, too, this is an excellent use of Energen Resources’ substantial after-tax cash flows,” McManus said.

Production Comparison

Commodity	2011 (e)		2010 (e)		Change
Natural Gas (Bcf)		71.6		71.1		1	%
Oil (MBO)		6,075		5,203		17	%
NGL (MMgal)		83.7		76.8		9	%
Total (Bcfe)		120.0		113.3		6	%

Production By Area Comparison (Bcfe)

Area	2011 (e)		2010 (e)		Change
San Juan Basin		57.4		56.4		2	%
Permian Basin		44.1		37.3		18	%
Black Warrior Basin		12.6		13.1		(4	)%
N. LA/E. TX/Other		5.9		6.5		(9	)%

2011 Hedge Position

In recent weeks, Energen Resources hedged an additional 518,000 barrels of its 2011 oil production at a NYMEX price of $86.45 per barrel.

Energen Resources’ hedge position for 2011 is as follows:

Commodity	Hedge Volumes		Estimated Production		Hedge %			NYMEXe Price
Natural Gas		38.8 Bcf		71.6 Bcf		54	%	$	6.76/Mcf
Oil		4.2 MMBbl		6.1 MMBbl		70	%	$	77.63/barrel
NGLs		38.9 MMgal		83.7 MMgal		47	%	$	0.89/gallon

Energen Resources’ natural gas and oil hedge positions by hedge type for 2011 are as follows:

Natural Gas Hedges	Volumes (Bcf)		Assumed Differential		NYMEXe Price
San Juan Basin		25.7	$	0.45 per Mcf	$	6.82 per Mcf
NYMEX		13.1		—	$	6.66 per Mcf
Oil Hedges	Volumes (MBbl)		Assumed Differential		NYMEXe Price
Sour Oil (WTS)		2,076	$	2.50 per barrel	$	72.74 per barrel
NYMEX		2,171		—	$	82.30 per barrel

Key assumptions in Energen’s 2011 guidance include:

• A hedge position that covers approximately 58 percent of estimated production;

• Annual production of approximately 120 Bcfe;

• Capital spending of $585 million, including approximately $510 million by Energen Resources (ERC) and $75 million by Alagasco;

• An average DD&A rate at Energen Resources of $1.86 per Mcfe;

• LOE, including production taxes, at Energen Resources of $2.03 per Mcfe (base LOE and marketing and transportation costs of $1.64 per Mcfe);

• G&A expense at Energen Resources of 48 cents per Mcfe;

• Alagasco earning within its allowed range of return on estimated average equity of $346 million; and

• Average diluted shares outstanding of 72.1 million.

Energen’s earnings guidance does not include the potential impacts of unidentified property acquisitions or stock repurchases.

Sensitivity of 2011 Earnings, Cash Flows to Changes in Commodity Prices

Given Energen Resources’ current hedge position for 2011, changes in commodity prices are estimated to have the following impact on Energen’s 2011 earnings and cash flows:

• Every 10-cent change in the average NYMEX price of gas from $4.25 represents an estimated net income impact of approximately $1.6 million (2.2 cents per diluted share).

• Every $1.00 change in the average NYMEX price of oil from $80 per barrel represents an estimated net income impact of approximately $950,000 (1.3 cents per diluted share).

• Every 1-cent change in the average price of liquids from $0.83 per gallon represents an estimated net income impact of approximately $225,000 (0.3 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.

• HEDGE POSITIONS STRENGTHENED IN 2012-2013

In recent weeks, Energen Resources has sold additional swaps for a portion of its oil production in 2012 and 2013. The company also added to its 2012 NGL hedge position. Energen Resources hedged an additional 244,000 barrels of its 2012 oil production at a NYMEX price of $88.80 per barrel and an additional 18.3 million gallons of NGL at an average price of 80 cents per gallon. Energen Resources currently has no 2012 natural gas hedges. With the addition of its latest oil and NGL swaps, the company’s total 2012 hedge position now stands at 4.4 million BOE.

For 2013, Energen Resources hedged an additional 960,000 barrels of oil at an average NYMEX price of $88.88 per barrel. This brings the company’s total oil hedge position to 2.6 million barrels.

Energen Resources’ hedge position for 2012 is as follows:

Commodity	Hedge Volumes	NYMEXe Price
Oil	3.6 MMBbl	$	81.91/barrel
NGLs	36.4 MMgal	$	0.85/gallon

Energen Resources’ oil hedge position by hedge type for 2012 is as follows:

Oil Hedges	Volumes (MBbl)		Assumed Differential		NYMEXe Price
Sour Oil (WTS)		672	$	2.65 per barrel	$	84.07 per barrel
NYMEX		2,909		—	$	81.41 per barrel

Average realized oil and gas prices for Energen Resources’ production associated with NYMEX contracts as well as for unhedged production will reflect the impact of basis differentials. Average realized NGL prices will be net of transportation and fractionation fees. For production associated with basin-specific contracts, Energen Resources will receive the contracted hedge price. Energen typically hedges basis differentials where applicable. 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.

• NEW CREDIT FACILITIES EXPECTED TO BE FINALIZED BY END OF OCTOBER

Energen and Alagasco are pursuing three-year, senior unsecured, revolving credit facilities to replace their one-year, bilateral lines of credit. An $850 million facility would be available to Energen, while the utility’s credit facility would total $150 million. Credit proceeds could be used by the two companies to finance working capital, capital expenditures (including acquisitions), and other corporate needs. The $1 billion of credit facilities are expected to close by the end of October. The administrative agent is Bank of America Merrill Lynch; co-syndication agents are Regions Bank and Wells Fargo; and the documentation agent is BBVA Compass.

Third Quarter 2010 Results

Energen’s consolidated net income for the three months ended September 30, 2010, totaled $38.3 million, or 53 cents per diluted share, and compared with $47.1 million, or 65 cents per diluted share, in the third quarter of 2009. Included in the 2010 numbers is a non-cash, $14.6 million, after-tax write-off for capitalized unproved leasehold associated with the company’s remaining Alabama shale acreage. Included in the prior year-to-date results is a one-time gain of $3.1 million, or 4 cents per diluted share, generated by the sale of a small, non-operated Permian Basin property.

Energen Resources’ net income for the third quarter of 2010 totaled $46.3 million ($60.9 million excluding the write-off) as compared with $59.0 million in the same period a year ago. Alagasco recorded a net loss of $7.1 million, up from a net loss of $10.7 million in the prior-year third quarter.

Energen Resources Corporation

Energen Resources’ third quarter 2010 net income benefited from the impact of higher realized sales prices for its natural gas and oil production and decreased G&A expense. In addition to the non-cash charge, Energen Resources’ third quarter 2010 net income was negatively affected by a $6.2 million after-tax expense for its unsuccessful Chattanooga shale well, increased LOE (including production taxes), decreased production, and increased DD&A expense.

Average Realized Sales Prices, Third Quarter Comparison

Commodity	3Q10		3Q09		Change
Natural Gas (per Mcf)	$	6.73	$	6.10		10	%
Oil (per barrel)	$	76.80	$	64.03		20	%
NGL (per gallon)	$	0.78	$	0.88		(11	)%

Production, Third Quarter Comparison

Commodity	3Q10		3Q09		Change
Natural Gas (Bcf)		17.7		18.9		(6	)%
Oil (MBbl)		1,290		1,253		3	%
NGL (MMgal)		19.8		20.0		(1	)%
Total (Bcfe)		28.3		29.3		(3	)%

Production By Area (Bcfe), Third Quarter Comparison

Area	3Q10		3Q09		Change
San Juan Basin		14.3		14.3		0	%
Permian Basin		9.1		9.2		0	%
Black Warrior Basin		3.3		3.6		(8	)%
N. LA/E. TX/Other		1.6		2.1		(24	)%

In the Permian Basin, new waterflood development in the North Westbrook unit was offset primarily by drilling delays. In the San Juan Basin, improved performance in certain Fruitland Coal wells due to increased compression offset largely by the timing of plant maintenance and shut-ins due to sidetrack operations.

Total per-unit LOE in the third quarter of 2010 increased approximately 10 percent from the prior-year third quarter to $2.05 per Mcfe. Base LOE and marketing and transportation expenses increased approximately 8 percent largely due to higher ad valorem taxes partially offset by lower workover and repair expenses. Commodity price-driven production taxes increased 19 percent on a per-unit basis.

DD&A expense per unit in the third quarter of 2010 increased 9 percent over the same period last year to $1.78 per Mcfe largely due to higher development costs and the impact of lower prices for year-end 2009 reserves.

Per-unit net G&A expense in the third quarter of 2010 declined 19 percent over the same period in 2009 to 43 cents per Mcfe largely due to certain legal expenses and benefits-related expenses.

Alabama Gas Corporation

Energen’s natural gas utility generated a third quarter net loss of $7.1 million in 2010 as compared with a net loss of $10.7 million in the same period a year ago. This improvement largely reflects the timing of rate recovery and the utility’s ability to earn on a higher level of equity. The prior-year third quarter net income included a $0.9 million after-tax reduction in revenues designed to keep the utility earning within its allowed range of return on equity.

YEAR-TO-DATE RESULTS

For the nine months ended September 30, 2010, Energen’s net income totaled $210.6 million, or $2.92 per diluted share. This compares with net income of $197.7 million, or $2.75 per diluted share, in the first nine months of 2009. Current-period results included $24.6 million (34 cents per diluted share) of non-cash, after-tax write-offs for capitalized unproved leasehold. Included in the prior year-to-date results is a one-time gain of $3.1 million, or 4 cents per diluted share, generated by the sale of a small, non-operated Permian Basin property.

Energen Resources’ net income for the year-to-date period totaled $174.7 million ($199.3 million excluding the write-off) as compared with net income of $161.0 million in the first nine months of 2009. Alagasco’s net income totaled $36.8 million as compared with $37.6 million in the same period last year.

Energen Resources Corporation

Energen Resources’ increase in year-to-date 2010 net income reflected the impact of higher realized sales prices, increased oil and NGL production partially offset by the non-cash charges, increased DD&A expense, and a rise in commodity price-driven production taxes.

Average Realized Sales Prices, Year-to-Date Comparison

Commodity	YTD10		YTD09		Change
Natural Gas (per Mcf)	$	6.92	$	6.30		10	%
Oil (per barrel)	$	78.09	$	59.19		32	%
NGL (per gallon)	$	0.81	$	0.86		(6	)%

Production, Year-to-Date Comparison

Commodity	YTD10		YTD09		Change
Natural Gas (Bcf)		52.8		54.5		(3	)%
Oil (MBbl)		3,734		3,456		8	%
NGL (MMgal)		57.6		55.9		3	%
Total (Bcfe)		83.4		83.3		0	%

Production By Area (Bcfe), Year-to-Date Comparison

Area	YTD10		YTD09		Change
San Juan Basin		41.7		41.3		1	%
Permian Basin		26.8		24.9		8	%
Black Warrior Basin		9.8		10.8		(9	)%
N. LA/E. TX/Other		5.1		6.3		(19	)%

The year-to-date 2010 production increase in the Permian Basin reflected the June 2009 acquisition of Range Resources Corporation’s interests in the Fuhrman-Mascho field and new waterflood development in the North Westbrook unit. The slight increase in San Juan Basin production largely reflected the impact of new well development and better-than-expected performance from some wells in the over-pressured Fruitland Coal, partially offset by delays from adverse weather conditions, the timing of plant maintenance, and wells shut-in due to sidetrack operations.

Total LOE per unit in the first nine months of 2010 increased 5 percent from the same period a year ago to $2.00 per Mcfe. Base LOE and marketing and transportation expenses increased about 1 percent while production taxes rose 28 percent on a per-unit basis.

DD&A expense per unit in the first nine months of 2010 increased 12 percent over the same period in 2009 to $1.77 per Mcfe largely due to higher development costs and price-related reserve revisions at year-end 2009.

Per-unit net G&A expense in the first nine months of 2010 increased 7 percent to 48 cents per Mcfe largely due to labor and benefits-related expenses.

Alabama Gas Corporation

Energen’s natural gas utility generated net income of $36.8 million in the first nine months of 2010 as compared with $37.6 million in the same period a year ago. This slight decrease largely reflected the utility’s ability to earn on a higher level of equity largely offset by the timing of rate recovery and revenue reductions under Alagasco’s rate-setting mechanism.

TRAILING 12 MONTHS’ FINANCIAL RESULTS

For the 12 months ended September 30, 2010, Energen’s net income totaled $269.2 million, or $3.74 per diluted share, and compared with net income of $263.0 million, or $3.66 per diluted share, for the same period last year. Current-period results included non-cash charges of $24.6 million for capitalized unproved leasehold associated with the company’s Alabama shale acreage.

Energen Resources Corporation

Energen Resources’ net income in the trailing 12 months totaled $225.9 million ($250.5 million excluding the write-downs) and compared with $221.0 million in the same period last year; included in prior 12-months’ results is a one-time gain of $3.1 million, or 4 cents per diluted share, generated by the sale of a small, non-operated Permian Basin property.

Average Realized Sales Prices, T12M Comparison

Commodity	2010		2009		Change
Natural Gas (per Mcf)	$	6.83	$	6.50		5	%
Oil (per barrel)	$	74.83	$	60.48		24	%
NGL (per gallon)	$	0.85	$	0.82		4	%

Production, T12M Comparison

Commodity	2010		2009		Change
Natural Gas (Bcf)		70.6		72.0		(2	)%
Oil (MBbl)		4,967		4,565		9	%
NGL (MMgal)		76.9		73.9		4	%
Total (Bcfe)		111.4		110.0		1	%

Alabama Gas Corporation

Energen’s natural gas utility generated net income of $44.6 million in the 12 months ending September 30, 2010, as compared with $43.0 million in the same period last year. This modest increase in the utility’s rate-year 2010 earnings largely reflected Alagasco’s ability to earn within its allowed range of return on a higher level of equity.

Energen Corporation is a diversified energy holding company with headquarters in Birmingham, AL. Its two lines of business are the acquisition, development and exploration of domestic, onshore natural gas, oil and NGL reserves and natural gas distribution in central and north Alabama. Energen Resources has approximately 3.5 trillion cubic feet equivalent of proved, probable, and possible reserves in the San Juan, Permian, and Black Warrior basins. Alabama Gas Corporation is the largest distributor of natural gas in Alabama. More information is available at http://www.energen.com.

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. In addition, the Company cannot guarantee the absence of errors in input data, calculations and formulas used in its estimates, assumptions and forecasts. A more 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 September 30, 2010 and 2009

	3rd Quarter
(in thousands, except per share data)	2010			2009			Change
Operating Revenues
Oil and gas operations	$	234,111		$	218,501		$	15,610
Natural gas distribution		61,693			68,788			(7,095	)
Total operating revenues		295,804			287,289			8,515
Operating Expenses
Cost of gas		22,560			29,377			(6,817	)
Operations and maintenance		127,934			97,963			29,971
Depreciation, depletion and amortization		60,814			61,323			(509	)
Taxes, other than income taxes		15,615			15,471			144
Accretion expense		1,561			1,306			255
Total operating expenses		228,484			205,440			23,044
Operating Income		67,320			81,849			(14,529	)
Other Income (Expense)
Interest expense		(9,591	)		(10,017	)		426
Other income		2,222			2,536			(314	)
Other expense		(61	)		(229	)		168
Total other expense		(7,430	)		(7,710	)		280
Income Before Income Taxes		59,890			74,139			(14,249	)
Income tax expense		21,586			27,018			(5,432	)
Net Income	$	38,304		$	47,121		$	(8,817	)
Diluted Earnings Per Average Common Share	$	0.53		$	0.65		$	(0.12	)
Basic Earnings Per Average Common Share	$	0.53		$	0.66		$	(0.13	)
Diluted Avg. Common Shares Outstanding		72,070			71,996			74
Basic Avg. Common Shares Outstanding		71,854			71,651			203
Dividends Per Common Share	$	0.13		$	0.125		$	0.005

CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)

For the 9 months ending September 30, 2010 and 2009

	Year-to-date
(in thousands, except per share data)	2010			2009			Change
Operating Revenues
Oil and gas operations	$	706,311		$	606,158		$	100,153
Natural gas distribution		498,132			471,457			26,675
Total operating revenues		1,204,443			1,077,615			126,828
Operating Expenses
Cost of gas		262,950			232,283			30,667
Operations and maintenance		329,581			274,850			54,731
Depreciation, depletion and amortization		185,025			172,308			12,717
Taxes, other than income taxes		64,508			57,099			7,409
Accretion expense		4,568			3,605			963
Total operating expenses		846,632			740,145			106,487
Operating Income		357,811			337,470			20,341
Other Income (Expense)
Interest expense		(29,395	)		(29,586	)		191
Other income		2,555			4,058			(1,503	)
Other expense		(541	)		(589	)		48
Total other expense		(27,381	)		(26,117	)		(1,264	)
Income Before Income Taxes		330,430			311,353			19,077
Income tax expense		119,873			113,649			6,224
Net Income	$	210,557		$	197,704		$	12,853
Diluted Earnings Per Average Common Share	$	2.92		$	2.75		$	0.17
Basic Earnings Per Average Common Share	$	2.93		$	2.76		$	0.17
Diluted Avg. Common Shares Outstanding		72,061			71,878			183
Basic Avg. Common Shares Outstanding		71,838			71,641			197
Dividends Per Common Share	$	0.39		$	0.375		$	0.015

CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)

For the 12 months ending September 30, 2010 and 2009

	Trailing 12 Months						Change
(in thousands, except per share data)	2010			2009
Operating Revenues
Oil and gas operations	$	922,699		$	815,862		$	106,837
Natural gas distribution		644,549			637,546			7,003
Total operating revenues		1,567,248			1,453,408			113,840
Operating Expenses
Cost of gas		336,721			330,898			5,823
Operations and maintenance		435,356			361,463			73,893
Depreciation, depletion and amortization		247,801			227,080			20,721
Taxes, other than income taxes		85,738			72,665			13,073
Accretion expense		5,898			4,714			1,184
Total operating expenses		1,111,514			996,820			114,694
Operating Income		455,734			456,588			(854	)
Other Income (Expense)
Interest expense		(39,186	)		(39,866	)		680
Other income		3,467			2,394			1,073
Other expense		(642	)		(2,454	)		1,812
Total other expense		(36,361	)		(39,926	)		3,565
Income Before Income Taxes		419,373			416,662			2,711
Income tax expense		150,195			153,673			(3,478	)
Net Income	$	269,178		$	262,989		$	6,189
Diluted Earnings Per Average Common Share	$	3.74		$	3.66		$	0.08
Basic Earnings Per Average Common Share	$	3.75		$	3.67		$	0.08
Diluted Avg. Common Shares Outstanding		72,020			71,874			146
Basic Avg. Common Shares Outstanding		71,811			71,640			171
Dividends Per Common Share	$	0.515		$	0.495		$	0.02

SELECTED BUSINESS SEGMENT DATA (UNAUDITED)

For the 3 months ending September 30, 2010 and 2009

	3rd Quarter						Change
(in thousands, except sales price data)	2010			2009
Oil and Gas Operations
Operating revenues
Natural gas	$	119,287		$	115,227		$	4,060
Oil		99,045			80,225			18,820
Natural gas liquids		15,388			17,496			(2,108	)
Other		391			5,553			(5,162	)
Total	$	234,111		$	218,501		$	15,610
Production volumes
Natural gas (MMcf)		17,723			18,881			(1,158	)
Oil (MBbl)		1,290			1,253			37
Natural gas liquids (MMgal)		19.8			20.0			(0.2	)
Total production volumes (MMcfe)		28,295			29,253			(958	)
Revenue per unit of production including effects of all derivative instruments
Natural gas (Mcf)	$	6.73		$	6.10		$	0.63
Oil (barrel)	$	76.80		$	64.03		$	12.77
Natural gas liquids (gallon)	$	0.78		$	0.88		$	(0.10	)
Other data
Lease operating expense (LOE)
LOE and other	$	47,405		$	45,480		$	1,925
Production taxes		10,475			9,050			1,425
Total	$	57,880		$	54,530		$	3,350
Depreciation, depletion and amortization	$	51,363		$	48,473		$	2,890
General and administrative expense	$	12,157		$	15,390		$	(3,233	)
Capital expenditures	$	275,895		$	37,596		$	238,299
Exploration expenditures	$	34,506		$	1,120		$	33,386
Operating income	$	76,644		$	97,682		$	(21,038	)
Natural Gas Distribution
Operating revenues
Residential	$	25,714		$	36,371		$	(10,657	)
Commercial and industrial		15,224			20,834			(5,610	)
Transportation		10,025			12,043			(2,018	)
Other		10,730			(460	)		11,190
Total	$	61,693		$	68,788		$	(7,095	)
Gas delivery volumes (MMcf)
Residential		1,401			1,498			(97	)
Commercial and industrial		1,155			1,235			(80	)
Transportation		10,783			10,504			279
Total		13,339			13,237			102
Other data
Depreciation and amortization	$	9,451		$	12,850		$	(3,399	)
Capital expenditures	$	38,283		$	21,133		$	17,150
Operating income	$	(9,015	)	$	(15,237	)	$	6,222

SELECTED BUSINESS SEGMENT DATA (UNAUDITED)

For the 9 months ending September 30, 2010 and 2009

	Year-to-date
(in thousands, except sales price data)	2010		2009		Change
Oil and Gas Operations
Operating revenues
Natural gas	$	365,302	$	343,684	$	21,618
Oil		291,543		204,587		86,956
Natural gas liquids		46,535		48,212		(1,677	)
Other		2,931		9,675		(6,744	)
Total	$	706,311	$	606,158	$	100,153
Production volumes
Natural gas (MMcf)		52,768		54,532		(1,764	)
Oil (MBbl)		3,734		3,456		278
Natural gas liquids (MMgal)		57.6		55.9		1.7
Total production volumes (MMcfe)		83,401		83,259		142
Revenue per unit of production including effects of all derivative instruments
Natural gas (Mcf)	$	6.92	$	6.30	$	0.62
Oil (barrel)	$	78.09	$	59.19	$	18.90
Natural gas liquids (gallon)	$	0.81	$	0.86	$	(0.05	)
Other data
Lease operating expense (LOE)
LOE and other	$	135,965	$	134,723	$	1,242
Production taxes		31,062		24,160		6,902
Total	$	167,027	$	158,883	$	8,144
Depreciation, depletion and amortization	$	150,645	$	134,189	$	16,456
General and administrative expense	$	40,319	$	37,830	$	2,489
Capital expenditures	$	386,810	$	353,424	$	33,386
Exploration expenditures	$	54,367	$	1,374	$	52,993
Operating income	$	289,385	$	270,277	$	19,108
Natural Gas Distribution
Operating revenues
Residential	$	326,796	$	305,663	$	21,133
Commercial and industrial		125,704		126,128		(424	)
Transportation		39,541		39,268		273
Other		6,091		398		5,693
Total	$	498,132	$	471,457	$	26,675
Gas delivery volumes (MMcf)
Residential		19,673		15,784		3,889
Commercial and industrial		8,735		7,613		1,122
Transportation		33,988		29,775		4,213
Total		62,396		53,172		9,224
Other data
Depreciation and amortization	$	34,380	$	38,119	$	(3,739	)
Capital expenditures	$	75,810	$	57,107	$	18,703
Operating income	$	69,378	$	68,844	$	534

SELECTED BUSINESS SEGMENT DATA (UNAUDITED)

For the 12 months ending September 30, 2010 and 2009

	Trailing 12 Months
(in thousands, except sales price data)	2010		2009		Change
Oil and Gas Operations
Operating revenues
Natural gas	$	481,988	$	468,514	$	13,474
Oil		371,706		276,093		95,613
Natural gas liquids		65,577		60,513		5,064
Other		3,428		10,742		(7,314	)
Total	$	922,699	$	815,862	$	106,837
Production volumes
Natural gas (MMcf)		70,573		72,024		(1,451	)
Oil (MBbl)		4,967		4,565		402
Natural gas liquids (MMgal)		76.9		73.9		3.0
Total production volumes (MMcfe)		111,366		109,974		1,392
Revenue per unit of production including effects of all derivative instruments
Natural gas (Mcf)	$	6.83	$	6.50	$	0.33
Oil (barrel)	$	74.83	$	60.48	$	14.35
Natural gas liquids (gallon)	$	0.85	$	0.82	$	0.03
Other data
Lease operating expense (LOE)
LOE and other	$	183,019	$	180,223	$	2,796
Production taxes		42,554		27,973		14,581
Total	$	225,573	$	208,196	$	17,377
Depreciation, depletion and amortization	$	200,545	$	176,488	$	24,057
General and administrative expense	$	54,703	$	44,996	$	9,707
Capital expenditures	$	460,785	$	507,488	$	(46,703	)
Exploration expenditures	$	63,227	$	6,455	$	56,772
Operating income	$	372,753	$	375,013	$	(2,260	)
Natural Gas Distribution
Operating revenues
Residential	$	420,893	$	412,310	$	8,583
Commercial and industrial		161,717		170,843		(9,126	)
Transportation		54,585		52,559		2,026
Other		7,354		1,834		5,520
Total	$	644,549	$	637,546	$	7,003
Gas delivery volumes (MMcf)
Residential		24,810		21,169		3,641
Commercial and industrial		11,055		10,198		857
Transportation		45,117		40,297		4,820
Total		80,982		71,664		9,318
Other data
Depreciation and amortization	$	47,256	$	50,592	$	(3,336	)
Capital expenditures	$	96,512	$	75,472	$	21,040
Operating income	$	84,518	$	83,675	$	843

EX-99.3

Exhibit 99.3

Non-GAAP Financial Measures

The United States Securities and Exchange Commission requires public companies, such as Energen Corporation (the Company), to reconcile Non-GAAP (GAAP refers to generally accepted accounting principles) financial measures to related GAAP measures. After-tax Cash Flows are Non-GAAP financial measures. Energen believes after-tax cash flows are relevant because they are a measure of cash available to fund the Company's capital expenditures, dividends, debt reduction, and other investments.

Reconciliation To GAAP Information

($ in millions)

	Years Ended 12/31
	2009 Actual		2010 Estimate (e)				2011 Estimate (e)
Net Income (GAAP)		256		286	—	293		230	—	260
Depreciation, depletion and amortization		235		250	—	250		268	—	268
Deferred income taxes, net		85		127	—	127		110	—	110
After-tax Cash Flows (Non-GAAP)		576		663	—	670		608	—	638
Changes in assets and liabilities and other adjustments*		103		33	—	33		—	—	—
Net Cash Provided by Operating Activities (GAAP)		679		696	—	703		608	—	638

* Not projected for 2011

(e) 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.

EX-99.4

Exhibit 99.4

Non-GAAP Financial Measures

The United States Securities and Exchange Commission requires public companies, such as Energen Corporation (the Company), to reconcile Non-GAAP (GAAP refers to generally accepted accounting principles) financial measures to related GAAP measures. Net Income excluding the non-cash after-tax unproved leasehold write-off is a Non-GAAP financial measure. Energen believes that excluding it for comparative purposes better reflects financial performance of the company’s on-going operations.

	Quarter Ended 9/30/2010				Nine Months Ended 9/30/2010
Consolidated Net Income ($ in millions except per share data)	Net Income		Per Diluted Share		Net Income		Per Diluted Share
Net Income (GAAP)		38.3	$	0.53		210.6	$	2.92
Non-cash leasehold write-off*		14.6		0.20		24.6		0.34
Net Income (Non-GAAP)		52.9	$	0.73		235.2	$	3.26
2010 Earnings Guidance Range	12/31/2010 Estimate (e)
Net Income (GAAP)	$	3.96 – $4.06
Non-cash leasehold write-off		0.34 – 0.34
Net Income (Non-GAAP)	$	4.30 – $4.40
Energen Resources Net Income ($ in millions)	Quarter Ended  9/30/2010		Nine Months Ended 9/30/2010		Twelve Months Ended 9/30/2010
Net Income (GAAP)		46.3		174.7		225.9
Non-cash leasehold write-off*		14.6		24.6		24.6
Net Income (Non-GAAP)		60.9		199.3		250.5

* Net of $8.8 million tax for quarter ended 9/3/2010 and $14.9 million tax for nine months and twelve months ended 9/30/2010

(e) 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.