Vidler Water Resources, Inc. Announces Agreement With Solar Energy Developer for Properties in Arizona
Vidler Water Resources, Inc. announced that it has entered into an agreement to lease up to 1,926 acres of land in Maricopa and La Paz Counties, Arizona, to a subsidiary of one of the world’s largest producers of wind and solar energy. The agreement is structured as an option for up to five years to lease up to 1,926 acres for $ 500 per acre per year for 26 years with two five year options to extend the lease. The agreement also provides for an increase in the leasing rate of 2% per year over the term of the lease. Additionally, Vidler agreed to reserve 2,000 of his Arizona long-term storage credits for construction at a cost of $ 1,630 per LTSC and use Vidler facilities to reclaim the water.
Dorothy Timian-Palmer, President and Chief Executive Officer of Vidler Water Resource, commented:
“We are extremely excited to enter into an agreement to rent certain of our properties in Arizona. We have previously worked with this company on our other properties and have found them to be a great partner for providing world-class innovative and sustainable energy solutions for us. We are excited to have ours To contribute to the improvement of the alternative energy supply in the region. The parent company of the subsidiary is actively involved in the data center and the Green Hydrogen Power Space and is looking forward to the possibilities that our alliance can offer and enable. where they are stored, or in the Phoenix metropolitan area. The mega-drought in the western US is driving companies to look for water supplies that would not have been considered in the past We believe the mega-drought is still positive on the Pr ice design will affect the water supply.
“We are also currently negotiating with Ten West Link as they require relief for several of our properties in Harquahala Valley, Arizona. The Ten West Link transmission project is an electrical link that will provide 500 kV transmission between substations in Tonopah, Arizona and USA enables Riverside County, California. Harquahala energy transmission activity attracts a variety of solar and other alternative energy establishments to propose projects in the Harquahala Basin, and we have long-term storage loans for both operations and construction needs can be used and restored throughout the basin. “
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About Vidler Water Resources, Inc.
As of December 31, 2020, our primary holding was Vidler Water Company, Inc. (“Vidler”), a water resources and storage company whose assets and operations are primarily in the American Southwest
Our business is to source, develop, and deliver sustainable drinking water resources to rapidly growing communities across the Southwest who lack or are becoming scarce.
We conduct our business in close collaboration with many constituents in these communities: regulators, utilities, North American Indian tribes, community leaders, residential and commercial developers, and alternative energy companies. We ensure that the water resources we develop and sell are sustainable and benefit the citizens of the communities and regions we serve.
We currently believe that the highest potential return for shareholders comes from a return on investment. Because we are monetizing our water and real estate assets rather than reinvesting the proceeds, we intend to return capital to shareholders through a share buyback program or other means such as special dividends. Nonetheless, from time to time we may reinvest a portion of the proceeds from asset monetization in further development of existing assets if we believe the returns on such reinvestment outweigh the benefits of a return on capital.
As of December 31, 2020, we had a market cap of $ 173.8 million and 18,583,366 shares outstanding.
CAUTION NOTE ABOUT FUTURE DECLARATIONS
This press release contains statements that may constitute forward-looking statements based on information currently available and typically identified by the words “anticipate,” “believe,” “estimate,” “plan,” “projects,” “expect,” “” hopes, “intends”, “strategy”, “focus”, “outlook”, “will”, “could”, “should”, “can”, “further” or similar expressions that only speak at the time of submission of the Such statements are forward-looking statements and have 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 these statements are subject to that of these Sections and the Private Securities Litigation Reform Act of 1995. All statements, other than historical or current facts, are statements that may be considered forward-looking statements, including, but not limited to Statements about our business goals and our ability to monetize our water resources and the future prices that can be achieved for our water resources, future demand for our water resources, our ability to reduce net operating cash consumption, our ability to generate additional sources of income to tap into our ability to obtain and use NOLs to offset taxable income and reduce our federal income liability and our ability to monetize assets and return capital through share buybacks or through other means. The forward-looking statements are based on current expectations and assumptions and are subject to risks and uncertainties.
A number of other factors could cause actual results to differ materially from our expectations, including: E.g. a slowdown or downturn in the residential real estate or real estate markets in which Vidler operates; Fluctuations in water prices and rights; physical, state, and legal restrictions on water and water rights; a downturn in some sectors of the stock market; general economic conditions; the impact of the global COVID-19 pandemic on real estate demand, the pace of real estate development, and the demand for water resources to support residential and commercial property development; persistent weakness across the US and global economies; the performance of the companies in which Vidler operates; the continued service and availability of key executives; and potential capital requirements and funding alternatives.
For more information about the risks and uncertainties relating to our business, please see the Management Discussion and Analysis of Financial Condition and Results of Operations and Risk Factors sections of our SEC filings, including our Annual Report on Form 10-K and Our Quarterly Reports on Form 10-Q, copies of which can be obtained from us at (775) 885-5000 or at http://vidlerwater.com.
We undertake no obligation (and expressly disclaim any obligation) to update our forward-looking statements, as a result of new information, subsequent events, or otherwise to reflect events or circumstances that may occur after the date of this press release, unless otherwise required by law is. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release.
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President and Chief Executive Officer