Press Release: Cadiz Inc. Enters Strategic Groundwater Storage Development Agreement with Semitropic Water Bank
LOS ANGELES, CA (BusinessWire) — Today Cadiz Inc. (NASDAQ: CDZI) (“Cadiz”, the “Company”), principal of the Cadiz Valley Water Conservation, Recovery & Storage Project (“Cadiz Water Project”), is pleased to announce that it has executed a strategic development agreement (“ Master Agreement”) with Semitropic Water Storage District, the manager of one of the largest groundwater banking operations in the world. The Master Agreement sets forth principals for collaboration towards strategic opportunities to operate each party’s respective groundwater storage programs for mutual benefit either though exchanges or transfers of water supplies. Through the strategic relationship, the parties will strive to identify opportunities to meet delivery or storage demands of each other’s members and participating partners. The initial term of the Master Agreement is three years.
Established in 1958, Semitropic Water Storage District is the largest water storage district in Kern County, California and delivers water to nearly 300 customers for the irrigation of approximately 140,000 acres for agricultural uses. Semitropic also supplies energy to a variety of users and provides groundwater banking and storage services through its Semitropic Groundwater Storage Bank. The Semitropic Bank is a proven, effective water storage system that began operation in the early 1990s and is now one of the largest, groundwater banking programs in the world. The Semitropic Bank currently has six banking partners who have delivered approximately 700,000 acre-feet of water for storage. The capacity of the Semitropic Bank is 1.65 million acre-feet. Currently, the Semitropic groundwater banking program contributes to meeting the drought-year needs of more than 20 million people at 15 to 20 gallons per day. To learn more, visit: http://www.semitropic.com/GroundwaterBanking.htm