Water Purchase Agreement
The water purchase agreement (WPA) between Poseidon and the San Diego County Water Authority is a 30-year take-if-delivered contact with a term beginning at financial close. The WPA commits the Authority to purchase a minimum 48,000 AF/year of product water and provides the option to demand a maximum 56,000 AF/year.
The O&M agreement between Poseidon and IDE Americas (Operator) is for a 30-year term and is guaranteed by IDE Technologies, Ltd. The contract commits IDE to running the plant as requested at a capacity of up to 56,000 AF/year, with Poseidon able to request above this annual commitment. The contract provides performance-level guarantees which transfer much of the risk to the Operator from the project company.
Engineering Procurement and Construction Contracts
The Plant and Pipeline will be built under fully-wrapped, turn-key, fixed price, date-certain EPC contracts with Kiewit Shea. The contracts cover the building of the 60,488 AF/year-capacity plant meeting pre-specified performance guarantees and a 10-mile pipeline to connect the plant to San Diego County Water Authority’s existing distribution network.