The $800M
groundwater bank will be the largest new water infrastructure
project in the Southwest
LOS
ANGELES, Feb. 25, 2025 /PRNewswire/ -- Cadiz, Inc.
(NASDAQ: CDZI) (the "Company" or "Cadiz") announced today that it
has entered into an agreement with Stantec Inc. (NYSE: STN), a
global leader in sustainable design and engineering, to oversee
development and construction of the Mojave Groundwater Bank
project, the largest new water storage and supply project being
developed in California's Mojave
Desert.
Once complete, the project will provide 2.5 million acre-feet of
new water supply, 1 million acre-feet of underground storage
capacity and a pipeline network spanning more than 350 miles
between the Colorado River and California Aqueducts. The Mojave
Groundwater Bank will be the largest new water infrastructure
project in the Southwest, ensuring affordable water supplies to
communities in California and
Arizona.
"Stantec is unmatched in the engineering industry for its
expertise in water supply infrastructure and has been our trusted
partner for nearly 20 years. We are very pleased to select Stantec
to oversee design, development and construction as we move into
this critical phase in bringing the Mojave Groundwater Bank
online," said Susan Kennedy, CEO
& Chair of Cadiz Inc.
Under the agreement, Stantec will serve as the Owner's Engineer,
assist in the selection of the Contractor under a Construction
Management at Risk delivery model, and lead the engineering,
procurement, and construction management process that is expected
to bring the project online on an accelerated construction
timeline.
"Water supply variability resulting from climate change
threatens long-term water security throughout the Western U.S., and
the water delivery system must be updated and expanded to safely
and reliably meet the needs of our communities," said John Hanula, senior vice president at Stantec.
"Stantec has decades of experience working with utilities
throughout California and the
West. We understand the complexities of bringing new infrastructure
online, and we are honored to be part of the innovative Mojave
Groundwater Bank that will set many firsts in our regional water
infrastructure."
The Mojave Groundwater Bank is located at the base of a 2,000
square mile watershed system approximately 40 miles north of the
Colorado River Aqueduct and 220 miles east of California State
Water Project facilities. The underground aquifer system holds an
estimated 30 to 50 million acre-feet of groundwater in storage
today. That's more water than what is presently stored in Lake Mead
and Lake Powell, the two largest surface reservoirs in the U.S.,
combined.
The project is permitted to deliver 2.5 million acre-feet of new
water supplies to communities in the Mojave River Basin, the
Colorado River Basin and California's Inland Empire and permitted to
store up to 1 million acre-feet of imported supply, relieving
pressure on the stressed State Water Project and Colorado River
systems.
At the end of 2024, Cadiz announced a partnership with Native
American Tribes to construct, own and operate the Mojave
Groundwater Bank. The partnership represents a landmark
collaboration with Native American Tribes to build the first
large-scale water infrastructure project off tribal lands in U.S.
history. The total cost for construction of the project is
currently estimated to be approximately $800
million.
About Cadiz Inc.
Cadiz 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 https://www.cadizinc.com.
About Stantec Inc.
Stantec empowers clients, people,
and communities to rise to the world's greatest challenges at a
time when the world faces more unprecedented concerns than ever
before. We are a global leader in sustainable
architecture, engineering, and environmental consulting. Our
professionals deliver the expertise, technology, and innovation
communities need to manage aging infrastructure, demographic and
population changes, the energy transition, and more. Today's
communities transcend geographic borders. At Stantec, community
means everyone with an interest in the work that we do—from our
project teams and industry colleagues to our clients and the people
our work impacts. The diverse perspectives of our partners and
interested parties drive us to think beyond what's previously been
done on critical issues like climate change, digital
transformation, and future-proofing our cities and infrastructure.
We are designers, engineers, scientists, project managers, and
strategic advisors. We innovate at the intersection of community,
creativity, and client relationships to advance communities
everywhere, so that together we can redefine
what's possible.Stantec trades on the TSX and the NYSE under
the symbol STN. Visit us at stantec.com or find us on social
media.
Forward-Looking Statements
This release contains "forward-looking statements" within the
meaning of Section 27A of the Securities Act of 1933, as amended
(the "Securities Act"), and Section 21E of the Securities Exchange
Act of 1934, as amended (the "Exchange Act"), 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 can be identified by the use of words
such as "will," "intends," "anticipates," "believes," "estimates,"
"projects," "forecasts," "expects," "plans," and "proposes." These
forward-looking statements include, without limitation, statements
regarding the Company's expectations for construction and
implementation of the Mojave Groundwater Bank project, the
anticipated benefits from the engagement of Stantec, and the
prospects of the collaboration with the Native American
Tribes. Management believes that these forward-looking
statements are reasonable as and when made. However, such
forward-looking statements are subject to risks and uncertainties,
and actual results may differ materially from any future results
expressed or implied by the forward-looking statements. Risks and
uncertainties include, without limitation, changes in market
conditions and permitting, risks and uncertainties associated with
the Company's business and finances in general, as well as other
risk factors described from time to time in the Company's filings
with the SEC, including its Annual Report on Form 10-K for the year
ended December 31, 2023, and
subsequent Exchange Act and Securities Act filings. In light of the
significant uncertainties in these forward-looking statements, you
should not rely upon forward-looking statements as predictions of
future events. The Company undertakes no obligation to publicly
update any forward-looking statement, whether written or oral, that
may be made from time to time, whether as a result of new
information, future developments or otherwise, except as required
by law.
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SOURCE Cadiz, Inc.
