LA JOLLA, CA, Aug. 9, 2005 (PRNewswire-FirstCall) -- PICO Holdings Inc. announced today that its wholly-owned subsidiary, Vidler Water Co., has agreed to an extension of up to 45 days for the closing on the previously announced agreement for the Lincoln County Water District and Vidler to sell 2,100 acre-feet of water to a developer for about $15.7 million.
The Lincoln County Water District must also agree to the extension. The developer paid Lincoln/Vidler about $3.2 million, or 20% of the purchase price, in June 2005. The originally scheduled date for the transaction to close and for the balance to be paid was August 9, 2005, and the developer has requested an extension until September 26, 2005.
PICO President and CEO John Hart explained:
"The developer was one of the buyers of about 13,300 acres of land in Lincoln County, Nevada that was recently auctioned by the Bureau of Land Management. The land was sold without a water supply, electricity supply, and other essential infrastructure.
"The purchaser requested a 45-day extension of the originally scheduled closing date in order to complete negotiations with an electricity generation plant developer which intends to construct a new power plant to supply electricity to the planned development and surrounding area of what is anticipated to be a fast-growing part of Lincoln County. The electricity generation plant developer intends to acquire the power plant site currently owned by Vidler for about $4.8 million."
Vidler Water Co., a water resource development business, is a significant private sector owner of water rights and water storage assets in Arizona and Nevada. Further information can be obtained from our websites www.vidlerwater.com and www.picoholdings.com.
###
