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New Colorado River Developments October 31, 2007 1 <br />The Agreement - Continued <br />• The Parties agree to pursue: <br />— system augmentation including desalination & cloud - seeding. <br />— interim water supply of at least 280.000 of in total for Nevada. <br />• Nevada will fund construction of Drop 2 Reservoir <br />(annual recovery will not exceed 40,000 af). Available <br />during shortages <br />• SNWA will: <br />— Withdraw right -of -way application and will not refile the Virgin <br />River application prior to 2014 so long as Nevada is able to use <br />its pre -BCPA Virgin and Muddy River rights. <br />And will not: <br />— Refile permit after 2014 as long as diligent pursuit of system <br />augmentation water is proceeding that will provide SNWA with <br />75,000 of long -term by 2020. <br />The Agreement - Continued <br />• Consistent with and reaffirms existing law. <br />• Rights are reserved under the Agreement. <br />• Parties agree to consult in good faith to try <br />to resolve any claims or controversies <br />under this Agreement or under the <br />Colorado River Compact and "law of the <br />river' prior to initiating litigation. <br />• No third party beneficiaries. <br />• Effective when 2 parties sign thru 2016 or <br />2025 <br />x r �..uaanw Miaaaual��w•'ns...w r...�.••� �rr.•slro- <br />SEO Forum 2 <br />