FOR IMMEDIATE RELEASE                                CONTACT: Scott Maloni

                                                                                     619-231-0996 ext. 323; 858-663-8838 (cell)

San Diego – Poseidon Resources Corporation today announced that the Environmental Impact Report (EIR) for the Carlsbad desalination plant has been released by the City of Carlsbad for public comment. The publication of the EIR marks an important milestone for the project and opens a 45-day period for the community to review and comment on one of the most important water infrastructure projects in San Diego history. 

 “The desalination plant will provide the City of Carlsbad and the greater San Diego region with a reliable, local supply of high-quality, affordable water that will be a key component in helping the City achieve its water reliability goals,” said Peter MacLaggan, Senior Vice President for Poseidon Resources.  “The publication of the project EIR is an important milestone.  We have made a significant investment in this project, which will now undergo rigorous public review period.  The community will get a comprehensive look at what we believe is an environmentally responsible solution to the region’s water needs,” he said.

Poseidon has been working with the City of Carlsbad since 1998 on a public-private partnership to construct a 50 Million gallon per day (MGD) plant at the site of the Encina Power Station. The plant is scheduled to be completed by 2008, and will produce enough drinking water to serve 300,000 residents annually. 

Over the course of the last four years, sufficient information has been developed to conclude that the proposed project could be constructed and operated in an environmentally responsible manner.  For both the construction and on-going operation of the plant, the EIR does not identify any significant, unavoidable impacts related to thirteen different areas studied including noise, traffic, growth-inducement, air and water quality, land use, public utilities and natural resources.  The EIR was independently prepared by consulting firm Dudek & Associates, Inc. for the City of Carlsbad.

-MORE-

The desalination plant will occupy a 4-acre parcel in an area currently containing an out-of-commission oil tank, which will be demolished.  Co-locating the desalination facility next to the Encina power plant is environmentally attractive in many ways: 

• The proposed site allows Carlsbad to minimize impacts and maximize efficiency by sharing the power plant’s existing ocean water intake and outfall;
• Construction of the desalination plant will not require any modification of the Encina power plant, which the state has designated as a “must run facility” to meet the region’s energy needs;
• The plant is being configured to allow for the future modernization of the power plant, and;
• The desalination plant will ensure continued stewardship of the Agua Hedionda Lagoon and surrounding watershed.

In September 2004, Poseidon and the City of Carlsbad reached a water purchase agreement that provides Carlsbad with a cost-certain, locally-controlled, drought-proof supply of water guaranteed by the private sector experience and expertise of Poseidon. Poseidon will provide the City of Carlsbad with its entire daily requirement for water, up to 25 MGD, and assume all risks associated with the financing, development, construction and operation of the project.  A key component of the agreement is that Carlsbad’s cost for the water will never exceed what it would otherwise pay to purchase imported water.  Poseidon is also working with the San Diego County Water Authority and various local water agencies regarding their interest in purchasing the remaining 25 MGD capacity from the plant.

As part of their comprehensive public outreach process, Poseidon Resources has produced an informative eight-minute video about the proposed Carlsbad desalination facility that features 3D animation of the desalination process and an explanation of the project’s benefits. 

“The environmental review process offers an opportunity for the public to become informed and to get involved,” said MacLaggan.  “As part of our efforts to involve the public, we are also making presentations to community groups throughout the region and making our project video available to the public,” he said.

A copy of the EIR and project video are posted on Poseidon’s website (www.carlsbad-desal.com).  It is also available as part of a presentation that can be scheduled for community groups.  Members of the community interested in scheduling a presentation or receiving a DVD copy of the video, please call 619-595-7802.

Poseidon Resources specializes in developing and financing water infrastructure projects, primarily seawater desalination and water treatment plants.  These projects are implemented through innovative public-private partnerships in which private enterprise assumes the developmental and financial risks.  For more information on Poseidon Resources and the Carlsbad desalination plant visit our website at www.carlsbad-desal.com.

-END-