Cadiz, through Fenner Gap Mutual Water Company, entered two Construction Management At-Risk agreements totaling $273.8 million to advance the Northern Pipeline into service. A $218.9 million GMP with W.M. Lyles covers pump-station facilities, while a $54.9 million GMP with Mike Bubalo Construction funds pipeline replacement and related works to enable water conveyance. The projects include contingencies and place cost overrun risk on the contractors absent permitted adjustments. Once complete, the pipeline is expected to deliver about 21,275 acre-feet per year under existing contracts, with potential capacity of 25,000 acre-feet per year.
Agreement 1: Cadiz Signs $218.9 Million GMP CMAR With W.M. Lyles for Northern Pipeline Pump Stations
- Agreement type: Construction Management At-Risk agreement with guaranteed maximum price ($218.9 million)
- Counterparty: W.M. Lyles
- Signed / Effective: Jul 27 2026 / same
- Duration / Termination: Until project completion
- Reason: Advance Northern Pipeline pump-station construction
Agreement 2: Cadiz Adds $54.9 Million GMP CMAR With Mike Bubalo for Northern Pipeline Replacement
- Agreement type: Construction Management At-Risk agreement with guaranteed maximum price ($54.9 million)
- Counterparty: Mike Bubalo Construction
- Signed / Effective: Jul 27 2026 / same
- Duration / Termination: Until project completion
- Reason: Replace pipeline to enable water conveyance
Original SEC Filing:
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