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.-4 MAR 1 '94 20: 04 00 00 fl"I .0 o FR. AQUA-CHEM INC . PAGE.001 a QquQ.chcm,-, - \ Dill , ; sc \ r ('r. \ r~,.:,v F \ 1\ ',.l.~ R~ GLENWOOD SPRINGS DESALINATION PROJECT SUMMA OVERVIEW: Aqua-Chern, a Milwaukee-based corporation and their joint venture partners have just completed their initial feasibility assessment of building and operating a $60 MM privatized desalination plant in South Canyon near Glenwood Springs. CO, The joint venture partners would be Aqua-Chern, Inc., Jones Capital Corporation and a major salt producer. The propos , will make a significant contribution to Colorado River basin salinity control measures ' .' an annual salt removal capacity equivalent to 28% of all federal salinity control progr ., ' As reported in the Salinity Control Forum's 1993 Review, economic losses due to rivmi estimated to be $750 MM per year throughout the seven-state Colorado River basin, :.~' BENEFITS: . Eliminates -70,000 tons of salt loading into the Colorado River per year' . No federal risk. Private entity develops, finances, builds and operates the plant. Measurable results - Federal dollars would pay ONLY for actual salt removed, . Water quality improvement and dollar savings for downstream users . Economic benefits estimated at $ 23 MM per year (based on BOR 334 $lton estimate) . Provides substantial tax revenues for Gartield County and other local governments, J"' ~ t,.., PROJECT DESCRIPTION: The highly saline geothermal waters from the Glenwood Springs aquifer WOUld be diverted via a piping system to the desalination plant located in a non-urbanized area. The underground pipeline would be routed westward along the 1-70 corridor within the highway right-of.way. Preliminary discussions indicate a multi-purpose easement might help facilitate implementation of a planned bike path west of the city limits. The plant site under primary consideration is located In South Canyon on a remote site owned by the City of Glenwood Springs adjacent to their landfill. The piped water would be processed in a combined membrane and thermal evaporator plant. referred to in the industry as a "hybrid" system. which uses an energy efficient combination of electrical and thermal power. The plant will not produce power for the grid, The recovered salt, averaging nominally 200 tons per day, wili be packaged and transported to commercial salt markets. The plant will be environmentally sound as air emissions will meet strictest standards and there is no wastewater discharge, All of the geothermal water will be returned to the river as pure water, substantially cleaner than required for drinking water. STATE & LOCAL SUPPORT: The Glenwood Springs City Council voted to encourage project development and to negotiate a lease option on city-owned land in South Canyon, Because of the favorable impact on river quality, the project is also supported by the Colorado River Water Conservation District. the Colorado Water Conservation Board. the Colorado Water Quality Control Commission. the Clifton Water District, Club 20 and the seven-state Salin~y Control Forum, CURRENT STATUS: The Salinity Control Forum unanimously passed a Resolution of support for the project on October 27th and recommended the Bureau of Reclamation work with Aqua- Chem to reach a satisfactory contract agreement. Subsequent project authorization and appropriation is required by the Congress to validate the BOR Cooperative Agreement. This action will ensure a revenue stream for salt removal services for thirty years beginning in 1997 and enable the private development process to continue, March 1994