RE: Water is the reason for ICP optimism Access to water is the single biggest item for ICP to check off on their endeavors to bankable feasibility.
without this the project is a no go
the markets like milestones and key catalysts to be met
ICP will soon have hydrology testing completed
ICP will demonstrate to the state engineer that ICP will not affect other water users
then ICP gets access to the water, which is a HUGE catalyst
Yara believes the water soluble fertilizer market will go gang busters, I for one cannot wait to see the joint marketing initiatives with Yara/ICP take form.
Hydrology
The Permian-age Capitan reef is a confined aquifer that is recognized by the New Mexico Office of the State Engineer and U.S. Geological Survey as a significant brackish water resource with a history of industrial use.
The Capitan aquifer is the most viable water supply option for the Ochoa project because (1) no water rights are needed to develop deep brackish water in New Mexico, (2) the New Mexico Office of the State Engineer and Bureau of Land Management are both supportive of the use of deep brackish groundwater for industrial purposes, (3) there is a track record of previous deep brackish groundwater development from the Capitan Reef, and (4) the hydrogeology of the system is favorable in that there would be no expected impacts on other water-right holders.
The Capitan aquifer is composed of the Capitan Formation, parts of the Goat Sheep Formation, and the Artesia Group (all referred to as the Capitan Reef complex). The Capitan Reef complex is a horseshoe-shaped limestone deposit surrounding the Delaware Basin, and is present in southeastern New Mexico and western Texas. The complex extends over a distance of approximately 200 miles. Within Lea County, the aquifer ranges from 800 to 2,200 feet thick and is approximately 12 miles wide near the Eddy County and Lea County boundary and 6 miles wide near Jal, New Mexico.
