STOCK TITAN

California American Water Building a Critical New Well in Dunnigan

Rhea-AI Impact
(Neutral)
Rhea-AI Sentiment
(Neutral)
Tags
Rhea-AI Summary

California American Water has commenced construction on a new well in Dunnigan, California, representing a significant upgrade to the water system. The company is investing approximately $1 million to enhance the reliability of water services, ensuring a redundant supply for drinking and fire protection. This new well will replace an offline well due to water quality issues since the 2015 acquisition. With over $3 million invested in local water quality improvements, the project is expected to be completed by the first quarter of 2022.

Positive
  • Investment of approximately $1 million for a new well to enhance water reliability.
  • Replacement of an offline well, providing backup drinking water supply.
  • Over $3 million invested since 2015 in improving Dunnigan's water quality.
Negative
  • None.

California American Water has begun major construction on a critical new well in Dunnigan, California. This well represents a major improvement to the reliability of the current water system. Approximately $1 million will be invested in the new well, which will provide a redundant supply of drinking water and fire protection to increase the reliability of water service for customers.

When California American Water acquired the Dunnigan system in 2015, the existing supply consisted of two wells with relatively high levels of Chromium 6. Treatment was installed for the primary well to remove the Chromium 6 and the second well was taken offline due to water quality and reliability concerns. As a result, only one well has been available for the system.

The new well being developed is intended to replace the well no longer in use. It is expected to have the same capacity as the existing well and will serve as a backup drinking water supply for the Dunnigan system.

“When we became the new water provider for Dunnigan we knew this community needed major investment to improve the reliability and water quality of its drinking water,” said Lacy Carothers, engineering manager for California American Water. “With this new well, and the more than $3 million in investments we’ve made to improve Dunnigan’s water quality, the residents have the safe and reliable water system they deserve.”

Every year, California American Water invests into maintaining and improving its facilities. These improvements continuously provide customers with reliable water and services.

Completion of this project is expected during the first quarter of 2022.

About California American Water: California American Water, a subsidiary of American Water (NYSE: AWK), provides high-quality and reliable water and/or wastewater services to more than 880,000 California residents. Information regarding California American Water’s service areas can be found on the company’s website www.californiaamwater.com.

About American Water: With a history dating back to 1886, American Water is the largest and most geographically diverse U.S. publicly traded water and wastewater utility company. The company employs more than 7,000 dedicated professionals who provide regulated and market-based drinking water, wastewater and other related services to 15 million people in 46 states. American Water provides safe, clean, affordable and reliable water services to our customers to help make sure we keep their lives flowing. For more information, visit amwater.com and follow American Water on Twitter, Facebook and LinkedIn.

FAQ

What is the significance of the new well construction by California American Water in Dunnigan?

The new well will enhance the reliability of the water system, offering a backup supply for drinking water and fire protection.

How much is California American Water investing in the new well project?

Approximately $1 million is being invested in the construction of the new well.

When is the completion date for the new well in Dunnigan?

The project is expected to be completed by the first quarter of 2022.

What improvements have been made to the Dunnigan water system since California American Water's acquisition?

The company has invested over $3 million to enhance water quality since acquiring the system in 2015.

What issues did the previous wells in Dunnigan face?

The existing wells had high levels of Chromium 6, leading to water quality concerns and the offline status of one well.

American Water Works Company, Inc

NYSE:AWK

AWK Rankings

AWK Latest News

AWK Stock Data

26.63B
194.14M
0.12%
93.7%
1.89%
Utilities - Regulated Water
Water Supply
Link
United States of America
CAMDEN