Groundwater Leases of Metropolitan Water Company, L.P.
Groundwater Development Business
During the past 15 years, Met Water has devoted a significant amount of time and resources acquiring groundwater leases over the most productive areas of the Carrizo-Wilcox Aquifer. The groundwater leases being obtained are similar in nature to an oil and gas lease and contain the following basic terms and conditions:
• Bonus Payment - payable to the owner of the groundwater
rights (most cases being the surface owner) when the lease is executed.
This payment will maintain the lease in force and effect for the first
year of the primary term.
130 Well Field contains 1,603 Groundwater Leases covering 20,000 acres of land. Met Water has assigned the development rights in these leases to Blue Water Systems. This well field has the necessary Permits from POSGCD for the drilling of six (6) wells, which will produce 20,000 ac-ft/annually (18 MGD). The first production well, in this well field, began producing water on July 5, 2011. This water is being delivered to the Manor area of Travis County through a 53 mile long pipeline owned and operated by Cross County Water Supply Corporation.
SAWS/Vista Ridge Well Field contains 1,312 Groundwater Leases covering 50,000 acres of land. Met Water has assigned these leases to the Vista Ridge Project for a thirty (30) year term. This well field has the necessary Permits from POSGCD for the drilling of fourteen (14) wells, which will produce 50,993 ac-ft/annually (45 MGD). The water from these wells will be delivered to San Antonio through a 142 mile pipeline, which is being developed.
Met Water’s Brazos River Lower Basin Project is located in the Eastern portions of Burleson and Milam Counties, Texas. Met Water has devoted a significant amount of time to this Project area during the past two (2) years, having acquired more than 2,000 Groundwater Leases, which cover approximately 32,000 acres of land.
Cade Lakes Subdivision
The Cade Lakes Subdivision is located in Burleson County and adjoins the Porters Chapel Well Field in the Project Area. Met Water has acquired more than 1,143 groundwater leases covering more than 2,740 lots in the Cade Lakes Subdivision. Sections 2 and 3 of the Cade Lakes Subdivision are included in the Porters Branch Production Unit for the water production being produced from PW-1.