Cadiz to provide perchlorate treatment to support Cactus Basins Recharge Program as part of region-wide effort to expand groundwater banking.
SAN BERNARDINO, Calif., Sept. 5, 2025 /PRNewswire/ -- San Bernardino Valley Municipal Water District, Fontana Water Company (FWC), and Cadiz Inc. announced today an innovative partnership to address perchlorate contamination in the Rialto-Colton Groundwater Basin. The agreement launches a bold effort to support San Bernardino Valley's proposed Cactus Basins Recharge Program as part of a regional effort to expand groundwater replenishment, improve water quality, and support long-term water supply reliability in San Bernardino County.
Under the agreement, Cadiz will provide specialized water filtration systems to FWC for the treatment of perchlorates to be located at FWC's facilities. These systems are designed to mitigate any potential migration of perchlorate contamination that may occur when San Bernardino Valley commences operation of the Cactus Basins Recharge Program. Cadiz will provide the treatment through the company's wholly-owned subsidiary, ATEC Water Systems, as part of a 200,000 acre-foot water supply agreement between FWC and Cadiz signed in 2024.
"The Cactus Basins Recharge Program is a critical part of our plan to enhance water supply reliability for San Bernardino Valley," said Heather Dyer, CEO/ General Manager for San Bernardino Valley. "We are looking forward to exploring potential opportunities offered through this unique public-private partnership that could address legacy perchlorate contamination while also providing critical groundwater supply benefits to the communities depending on the Rialto-Colton Groundwater Basin."
"One of the most exciting aspects of this partnership for Cadiz is that by deploying cost-effective advanced treatment technology, we can unlock low-cost water supplies for the whole region," remarked Susan Kennedy, CEO of Cadiz. "San Bernardino Valley's leadership on this is a blueprint for a collaborative approach to sustainable groundwater management across Southern California."
"To maintain affordability for our customers, we have to work together to solve water resource issues cost-effectively at a regional level," FWC Vice President, Marty Zvirbulis said. "This creative approach to addressing water quality in the Rialto-Colton Groundwater Basin opens the door to cost-effective integration of water supply resources and groundwater banks across the whole region."
San Bernardino County faces a growing threat to its long-term water security due to physical and climate-related risks and variability in State Water Project (SWP) deliveries combined with significant challenges related to sustainable replenishment of groundwater resources. To address these challenges, the County is supporting local efforts to develop a coordinated approach to water infrastructure investment in the region to maximize local water reuse, recharge groundwater basins, clean up impaired groundwater and reduce reliance on imported water from the Sacramento-San Joaquin Delta in any given year.
San Bernardino Valley has been investing in local water supply infrastructure including storage and recharge projects as part of a unified, integrated strategy to improve drought resilience, maximize value of imported water during dry years through storage of wet year water, and support sustainable and equitable access to clean water across all parts of its service area.
The Cactus Basins Recharge Program would spread imported State Water Project (SWP) water at the existing Cactus Basins for recharge of the Rialto-Colton groundwater subbasin. Groundwater would then be withdrawn via existing wells to augment potable water supplies in the San Bernardino Valley service area. However, planning to utilize Cactus Basins for groundwater recharge has been delayed due to concerns over the potential for water contaminant migration to FWC existing wells.
About San Bernardino Valley Municipal Water District
San Bernardino Valley Municipal Water District was formed in 1954 as a regional agency to plan a long-range supplemental water supply for the San Bernardino Valley. San Bernardino Valley imports water into the service area through participation in the State Water Project, manages groundwater storage within boundaries and provides roughly 25 percent of the region's water needs through deliveries to retail water agencies that serve the cities and communities of Bloomington, Colton, Fontana, Grand Terrace, Highland, Loma Linda, Mentone, Redlands, Rialto, San Bernardino, and Yucaipa. For more information, please visit https://www.sbvmwd.com/.
About Fontana Water Company
Fontana Water Company, a division of San Gabriel Valley Water Company, is a private water utility which has provided safe, clean and reliable water service to the City of Fontana for over 75 years. For more information, please visit https://www.fontanawater.com/.
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. Cadiz's Mojave Groundwater Bank (MGB) project is a one-million-acre-foot groundwater storage facility and 2.5-million-acre-foot water supply project in the eastern Mojave Desert. For more information, please visit https://www.cadizinc.com
Forward-Looking Statements
This release contains "forward-looking statements" within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934, made under 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 "would," "will," "intends," "anticipates," "believes," "estimates," "projects," "expects," "planned" and "plans". These include statements regarding the planned partnership among Cadiz, San Bernadino Valley and FWC, which is dependent on the parties entering into a definitive binding agreement, and the benefits to be derived from such partnership. Such 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 those described in the Company's filings made with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the year ended December 31, 2024, and subsequent filings. The Company undertakes no obligation to update forward-looking statements except as required by law.
SOURCE Cadiz, Inc.
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