Giant solar desalination project plans US$ 10 million public offering
Shares in what would be California's first commercial-scale solar desalination plant issued by WaterFX will this year form a US$ 10 million state-registered direct public offering (DPO) in the state.HydroRevolution - a California subsidiary of WaterFX - has offered the shares to finance the proposed construction of a solar-powered desalination plant in the Central Valley, which is expected to be able to produce fresh water at up to 6,400 Ml/d with virtually zero liquid discharge.
The offering will comprise up to 2 million shares of Series A Preferred stock at US$ 5 a share,with a minimum investment of 400 shares for non-accredited investors and 1000 shares for accredited investors.
The shares will provide a 6% annual dividend from profits from water sales. They will be available to California residents, organizations, and corporations.
HydroRevolution said the plant would show a 90% recovery rate with the remaining brine being treated further to isolate the salt and mineral byproducts for industrial applications.
Instead of desalinating seawater, the plant will pull water from subsurface drainage water generated by agriculture, which is highly saline and can be detrimental to freshwater ecosystems. This new plant is a scaled up and expanded version of the company's demonstration desalination plant.
HydroRevolution said desalinating subsurface drainage with solar energy will enable it to address two serious agricultural issues in California: a lack of a reliable supply of freshwater and restoration of salt-impaired cropland. Both are vital issues in the drought stricken state.
"2015 marked the second year of 0% water allocation for agriculture in the Central Valley. Because of the current drought in California, many farmers have turned to drilling wells for freshwater to irrigate their crops, further decreasing California's natural water reserves and contributing to land subsidence. Other farmers have had to fallow land when a sufficient supply of water could not be found for an economical price." said WaterFX.
Once completed, the plant will be the largest solar desalination plant in North America.
"Being a part of this water revolution will provide more than just a financial return, it will put California on a course towards water independence," said chairman of WaterFX, Aaron Mandell.