Cadiz Partners with Lytton Rancheria to Secure Funding for Mojave Groundwater Bank Project

Cadiz Inc. Partners with Lytton Rancheria to Advance Groundwater Bank Initiative

Cadiz Inc. (NASDAQ: CDZI) forges a landmark partnership with Lytton Rancheria, a federally recognized Native American tribe in California, to secure substantial financing for the Mojave Groundwater Bank project. Finalized on October 28, 2025, this partnership allows Cadiz to access up to $51 million in unsecured loans, marking a significant step in the development of what is set to become the largest groundwater bank in the Southwest. The agreement follows a Letter of Intent established in November 2024, underscoring the importance of tribal investment in pivotal infrastructure initiatives.

This collaboration embodies a transformative business model for infrastructure development, as highlighted by Cadiz CEO Susan Kennedy. The partnership signifies a historic milestone not only for Cadiz but also for the broader community involved in water management. Lytton Rancheria Tribal Chairperson Andy Mejia stresses the critical role of tribal leadership in shaping sustainable water management strategies. The project aims to address water scarcity challenges in California and the West, positioning both Cadiz and Lytton Rancheria at the forefront of innovative water solutions.

Under the terms of the partnership, Cadiz plans to allocate initial funds of approximately $15 million to reimburse development expenses and secure essential construction equipment, with construction anticipated to begin in 2026. This financing will be complemented by a broader capital raise of approximately $450 million through Mojave Water Infrastructure Company, LLC, which Cadiz established to oversee the project. Furthermore, discussions with private equity investors to raise an additional $400 million are ongoing, which will enhance the project’s financial foundation along with municipal debt and government grants.

In a strategic move to solidify the partnership, Cadiz will issue 600,000 shares of common stock as a commitment fee, plus additional shares corresponding to each million dollars drawn from the loan. This approach not only strengthens the financial backing for the Mojave Groundwater Bank but also highlights the commitment of both entities to collaborative and innovative water management solutions.

Overall, the partnership between Cadiz and Lytton Rancheria marks a significant advancement in addressing water management issues in the region, setting a precedent for future collaborations between private companies and tribal entities. As the Mojave Groundwater Bank project progresses, it promises to deliver comprehensive water management strategies that could reshape the landscape of resource sustainability in California and beyond.