75,000 acre-feet of water supply will
support sustainable growth and groundwater recharge in the Mojave
River Basin.
LOS
ANGELES and HESPERIA,
Calif., June 10, 2024 /PRNewswire/ -- Cadiz, Inc.
(NASDAQ: CDZI / CDZIP) ("Cadiz" or the "Company"), announced that
on June 5th the Company signed a
Letter of Intent ("LOI") to provide 75,000 acre-feet of water
supply to the City of Hesperia as
part of the Company's commitment to the "One Water" Initiative in
San Bernardino County's Mojave
River Basin.
Cadiz' participation in the One Water initiative with
Victor Valley water agencies was
announced in January. Under the "One Water" initiative,
regional water agencies will develop a coordinated strategy for
financing and building water infrastructure in San Bernardino County's Mojave River
region. As part of its commitment, Cadiz, through its
non-profit affiliate Fenner Gap Mutual Water Company, will supply
surplus water to participating agencies from the Cadiz water supply
and storage project in the eastern Mojave on an "at cost" basis. Participating
agencies will jointly develop an infrastructure plan to conserve
and efficiently utilize all water resources in the Mojave River
Basin – including groundwater, recycled water, wastewater and
imported water resources from the State Water Project.
"Implementing the One Water initiative is crucial for High
Desert communities," said Susan
Kennedy, CEO of Cadiz. "Nowhere is water more
precious. Cadiz is incredibly proud to help communities like
Hesperia plan for robust growth
with a conservation focus that preserves desert groundwater and
improves the quality of life for families who live, work and play
here."
"As part of an adjudicated water basin, the City of Hesperia is committed to responsible
water management strategies to address our replacement water
obligations," said Hesperia Mayor
Larry Bird. "To support our growing
community, we are exploring opportunities like the Fenner Gap Water
Project, which offers new avenues for water supply and
sustainability. By participating in the Mojave-San Bernardino One
Water Project, we aim to secure a sustainable water supply,
ensuring water security and resilience for our City's future."
In accordance with the LOI, Hesperia and Fenner Gap will enter a
definitive agreement reserving 75,000 AF of supplemental water
supply from the Cadiz project through its Northern Pipeline. That
pipeline runs 220 miles from Cadiz in the eastern Mojave through High Desert communities
including Barstow, Yermo, Daggett, Newberry
Springs and the Antelope Valley. Cadiz water would
recharge groundwater basins in the Mojave River Basin reducing the
need for imported water from the State Water Project. The cost of
the water will be limited to the actual incremental expense of
pumping, delivery and exchange.
The Mojave-San Bernardino County One Water Project was launched
by the Victor Valley Wastewater Reclamation Authority (VVWRA) in
2024 as a collaboration among public agencies and water providers
in San Bernardino County's High
Desert region. The goal is to develop a regional, integrated and
sustainably managed water system that considers the current and
future needs of all its users, meets human needs with environmental
best practices, and makes cost-effective investments in
infrastructure to preserve access and affordability for
all.
Earlier this year, Cadiz announced that the Company has
agreements in place for 65% of the Northern Pipeline capacity. The
majority of the water transported via the Northern Pipeline will
benefit communities in San Bernardino
County, including the Cities of Barstow, Adelanto and Fontana. Several additional agreements are
expected to be announced in the near future.
About Cadiz, Inc.
Founded in 1983, Cadiz, Inc.
(NASDAQ: CDZI) is a California
water solutions company dedicated to providing access to clean,
reliable and affordable water for people through a unique
combination of water supply, storage, pipeline and treatment
solutions. With 45,000 acres of land in California, 2.5 million acre-feet of water
supply, 220 miles of pipeline assets and the most cost-effective
water treatment filtration technology in the industry, Cadiz offers
a full suite of solutions to address the impacts of climate change
on clean water access.
For more information, please visit www.cadizinc.com.
Forward-Looking
Statements
This release contains
"forward-looking statements" within the meaning of Section 27A of
the Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended, and such
forward-looking statements are made pursuant to the safe harbor
provisions of the Private Securities Litigation Reform Act of 1995.
"Forward-looking statements" describe future expectations, plans,
results, or strategies and are generally preceded by words such as
"anticipates", "expect", "may", "plan", or "will". Forward-looking
statements include, without limitation, projections, predictions,
expectations, or beliefs about future events or results and are not
statements of historical fact, and such statements include, but are
not limited to, statements relating to the progress and plans of
the water development project, the expected pricing, value and
terms for water supply and storage, necessary permits required to
construct facilities, and projected financial performance. You are
cautioned that such statements are subject to a multitude of risks
and uncertainties that could cause future circumstances, events, or
results to differ materially from those projected in the
forward-looking statements. These and other risks are identified in
our filings with the Securities and Exchange Commission (the
"Commission"), including without limitation our Annual Report on
Form 10-K for the year ended December 31,
2023 and our Quarterly Reports on Form 10-Q and other
filings subsequently made by the Company with the Commission. All
forward-looking statements contained in this press release speak
only as of the date on which they were made and are based on
management's assumptions and estimates as of such date. We do
not undertake any obligation to publicly update any forward-looking
statements, whether as a result of the receipt of new information,
the occurrence of future events or otherwise.
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SOURCE Cadiz, Inc.