Exhibit 1

HORIZON ENERGY DEVELOPMENT, INC.
BALANCE SHEET
(Unaudited)

	At June 30, 2005
ASSETS
Property Plant & Equipment
Property Plant & Equipment	$	418,672,126
Accumulated D, D & A		(194,917,192	)
Net Property, Plant & Equipment		223,754,934
Current Assets:
Cash and Temporary Cash Investments		7,656,803
Notes Receivable-Intercompany		27,300,000
Receivables - Net		4,476,510
Accounts Receivable-Intercompany		838,082
Unbilled Utility Revenue		0
Materials/Supplies - Average Cost		4,314,053
Prepayments		273,075
Current Assets		44,858,523
Other Assets		310,252
Total Assets	$	268,923,709
CAPITALIZATION & LIABILITIES
Capitalization:
Capital Stock of Subsidiaries	$	4,750
Paid in Capital		38,245,591
Earnings Reinvested in Business		(15,430,500	)
Accumulated Other Comprehensive Income		39,143,440
Total Common Stock Equity		61,963,281
Long-Term Debt Net of Current Portion		1,257,419
Notes Payable - Intercompany - Long Term		89,770,000
Total Capitalization		152,990,700
Minority Interest in Foreign Subsidiaries		27,923,378
Liabilities:
Notes Payable - Bank & Commercial Paper		36,857,459
Notes Payable - Intercompany		0
Long Term Debt Due Current		5,029,675
Accounts Payable - Other		10,143,343
Accounts Payable - Intercompany		2,487,844
Other Accruals & Current Liabilities		5,796,470
Total Current Liabilities		60,314,791
Deferred Credits:
Accumulated Deferred Income Tax		26,267,451
Other Deferred Credit		1,427,389
Total Deferred Credits		27,694,840
Total Capitalization & Liabilities	$	268,923,709