Consolidated Water Announces Settlement of Dispute with Mexico Regarding Playas de Rosarito, Baja California Desalination Project
GEORGE TOWN, Cayman Islands, June 04, 2024 (GLOBE NEWSWIRE) — Consolidated Water Co. Ltd. (NASDAQ Global Select Market: CWCO), a leading designer, builder and operator of advanced water supply and treatment plants, announced today that on May 29, 2024 (the “Settlement Date”) it settled the previously disclosed dispute between the Company’s wholly-owned Dutch subsidiary, Consolidated Water Coöperatief, U.A. (“CW-Coöperatief”) and the United Mexican States (“Mexico”) relating to the termination by Mexican governmental authorities of a public-private partnership agreement (the “APP Contract”), under which CW-Coöperatief’s indirect Mexican subsidiary Aguas de Rosarito, S.A.P.I. de C.V. (“AdR”) was to develop, build and operate a desalination plant and its accompanying pipelines in Playas de Rosarito, Baja California (the “Project”). Under the settlement agreement, CW-Coöperatief’s Mexican subsidiary N.S.C. Agua, S.A. de C.V. (“NSC”) will sell the 20.1 hectares of land on which the Project’s plant was to be constructed, including related rights of way (the “Land”), and certain documentation owned by NSC relating to the Project (“Project Documentation”) for an aggregate price of MXN$616,144,000 (or approximately US$36,351,000 based upon the MXN$-US$ exchange rate published by the Bank of Mexico on the Settlement Date).