Cadiz's ATEC Water Systems Secures Three New Sales Contracts Expected to Add $1.5 million in 2024 Revenues

Rhea-AI Summary

Cadiz, Inc. (NASDAQ: CDZI) announced that its subsidiary ATEC Water Systems secured three new sales contracts for iron and manganese filtration systems, expected to generate $1.5 million in sales revenue in 2024. The systems will treat groundwater supplies in Wisconsin, Nevada, and Washington state, serving diverse communities including the University of Wisconsin at Madison, Portland suburbs, and rural Nevada clean energy development.

ATEC's specialized filter systems address the growing global threat of contaminated groundwater, particularly in underserved communities. The company has manufactured and delivered over 400 iron and manganese filter systems in the past three decades. ATEC's technology is positioned as an affordable and effective solution for communities affected by these contaminants throughout North America.

Positive

• ATEC secured three new sales contracts worth $1.5 million in expected revenue for 2024
• Expansion of ATEC's market reach to Wisconsin, Nevada, and Washington state
• ATEC has delivered over 400 iron and manganese filter systems in the past 30 years
• Cadiz is positioned for growth in the water treatment market with ATEC's technology

Negative

• None.

Filters will provide iron and manganese treatment for groundwater in Wisconsin, Nevada and Washington cleaning water supply for a variety of communities

LOS ANGELES, July 18, 2024 /PRNewswire/ -- Cadiz, Inc. (NASDAQ: CDZI / CDZIP) ("Cadiz" or the "Company"), a California water solutions company, today announced the Company's operating subsidiary ATEC Water Systems, LLC ("ATEC") secured three additional sales contracts for iron and manganese filtration systems totaling an expected $1.5 million in sales revenue.

ATEC's specialized filter systems will treat groundwater supplies in Wisconsin, Nevada and Washington state serving a diversity of communities, including the University of Wisconsin at Madison, the Portland suburbs and rural Nevada clean energy development, further expanding the reach and demand for ATEC's market-leading iron and manganese filters.

"The Board and I are extremely pleased by ATEC's rapid progress in delivering clean, affordable water to communities and cities across the nation," said Susan Kennedy, Cadiz Chairman & CEO. "Contaminated groundwater is a growing global threat, including right here in the United States -- especially in underserved communities. ATEC tackles this pressing need with a breakthrough technology that delivers affordable solutions today, and positions Cadiz for continued growth and long-term value well into the future."

Iron and manganese are relatively abundant in the earth's crust and readily find their way into many groundwater and surface water supply sources. These metals can result in discolored water, bacteria growth, and taste and odor concerns for potable drinking water supplies. Recent studies suggest manganese consumption poses potential risks to public health particularly for young children and babies and is currently being considered for regulation by the U.S. EPA.

"Nearly 40% of all groundwater systems in the U.S. exceed iron and manganese secondary drinking water standards and ATEC is tremendously well-positioned to deliver the most effective and affordable option for communities affected by these contaminants throughout North America," said Lee Odell, ATEC's Chief Operating Officer.

The ATEC Iron and Manganese Removal System is an in-line, pressure filter system that uses a filter media to remove iron and manganese by adsorption. Horizontal filters are manufactured to different sizes and specifications depending on the volume of groundwater treated. The three new orders announced today, which are slated to be delivered before the end of the year, will utilize ATEC's 24", 30" and 48" wide filters.

ATEC has manufactured and delivered more than four hundred iron and manganese filter systems over the last three decades successfully providing needed treatment for groundwater supplies. ATEC also manufactures treatment systems for arsenic, hexavalent chromium, nitrates, and other common ground water contaminants of concern.

About ATEC 
ATEC Water Systems, LLC is a wholly owned subsidiary of Cadiz, Inc. (NASDAQ: CDZI) and a leading producer of specialized water filtration solutions for contaminated groundwater sources. ATEC's filtration solutions are affordable, highly scalable, and easy to maintain, making them practical for a variety of applications from small, underserved communities to large municipalities. ATEC's filters have been installed at over 450 locations, including community, municipal, agricultural, and industrial sites and used to successfully reduce and remove iron, manganese, arsenic, chromium-6 and other constituents of concern, solving some of the toughest groundwater treatment challenges. To learn more, visit www.atecwater.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. With 45,000 acres of land in California, 2.5 million acre-feet of water supply, 220 miles of pipeline assets and the most cost-effective water treatment filtration technology in the industry, Cadiz offers a full suite of solutions to address the impacts of climate change on clean water access. For more information, please visit https://www.cadizinc.com.                                              

Forward-Looking Statements 
This release contains "forward-looking statements" within 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 such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. "Forward-looking statements" describe future expectations, plans, results, or strategies and are generally preceded by words such as "anticipates", "expect", "may", "plan", or "will". Forward-looking statements include, without limitation, projections, predictions, expectations, or beliefs about future events or results and are not statements of historical fact, including statements regarding the Company's expectations regarding ATEC segment revenues. You are cautioned that such statements are subject to a multitude of risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements. These and other risks are identified in our filings with the Securities and Exchange Commission (the "Commission"), including without limitation our Annual Report on Form 10-K for the year ended December 31, 2023 and our Quarterly Reports on Form 10-Q and other filings subsequently made by the Company with the Commission. All forward-looking statements contained in this press release speak only as of the date on which they were made and are based on management's assumptions and estimates as of such date.  We do not undertake any obligation to publicly update any forward-looking statements, whether as a result of the receipt of new information, the occurrence of future events or otherwise.

 

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SOURCE Cadiz, Inc.

FAQ

What new contracts did ATEC Water Systems secure in July 2024?

ATEC Water Systems, a subsidiary of Cadiz (NASDAQ: CDZI), secured three new sales contracts for iron and manganese filtration systems, expected to generate $1.5 million in sales revenue in 2024.

Where will ATEC's new filtration systems be installed?

ATEC's new filtration systems will be installed in Wisconsin, Nevada, and Washington state, serving communities including the University of Wisconsin at Madison, Portland suburbs, and rural Nevada clean energy development.

How many iron and manganese filter systems has ATEC delivered to date?

ATEC has manufactured and delivered more than 400 iron and manganese filter systems over the last three decades.

What contaminants does ATEC's filtration technology address?

ATEC's filtration technology addresses iron, manganese, arsenic, hexavalent chromium, nitrates, and other common groundwater contaminants of concern.