Cadiz completes acquisition of 220-mile pipeline

Cadiz Inc. recently announced the completed acquisition of an existing 220-mile pipeline from El Paso Natural Gas (“EPNG”).

The Cadiz “Northern Pipeline,” extends southeast from California’s Central Valley near Bakersfield and terminates at the Company’s Cadiz Ranch agricultural operations. The pipeline crosses underserved and disadvantaged communities as well as existing water infrastructure including the State Water Project, Los Angeles Aqueduct, and the Mojave River Pipeline. The existing 30-inch steel pipeline has the can convey up to 30,000 AFY transferred between communities along the route and can bring others together across California through water exchanges.

“Cadiz is deeply committed to enhancing California’s water transportation network to improve water access for underserved communities,” said Scott Slater, Cadiz CEO & President. “For more than a decade we have worked to identify opportunities to put existing pipelines to work delivering water to California communities who desperately need access and look forward to continuing to execute on this vision with this unique pipeline asset.”

The Northern Pipeline was originally part of a 1,250-mile oil pipeline that stretched from Texas to California constructed in 1985 by Plains All American Pipeline Company.  It is located within a 50-foot-wide corridor with few surface features adjacent to existing roads, railroads, and other pipelines.

In December 2020, the U.S. Bureau of Land Management assigned to Cadiz EPNG’s existing right-of-way for the pipeline and granted a separate right-of-way for the route that authorized water as an approved substance to be conveyed in the pipeline.

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