1. Cadiz Valley Water Conservation, Recovery & Storage Project July 2013

2. CADIZ CRA DANBY PIUTE Cadiz Inc. o California company founded in 1983. o Land and water rights at 3 locations in San Bernardino County. o 20-year organic farming operation. o Developing water supply and groundwater storage projects. 2

3. o 1,300 sq. mile watershed - size of Rhode Island o Approx. 20 million AF stored in the alluvial aquifers, comparable to Lake Mead o Estimated average natural recharge 32,500 AF/year o Cadiz-owned land at base of watershed. The Cadiz Valley Cadiz Dry Lake Bristol Dry Lake 5 Miles 66 Fenner Valley Orange Blossom Wash Granite Mountains Providence Mountains New York Mountains 3

4. Loss of Water at Dry Lakes Dry Lake CrustBeneath Dry Lake Surface Groundwater in the watershed currently flows to local dry lakes, where it is lost to evaporation. 4

5. Cadiz Valley Property o 34,000 acres with 9,600 acres zoned for permanent agricultural development. o 1,600 Acres developed for ag: grapes, lemons and seasonal vegetables. o Network of 8 large-scale production wells and 10 monitoring wells. o 3,000 – 5,000 AF/year used for irrigation. o Site of Cadiz Valley Water Conservation Project. 5

6. Project Design o Intercept and conserve groundwater before it reaches dry lakes. o Put conserved water to beneficial use in So. California water system. o Without intervention, billions of gallons of water lost 6

7. Conservation & Recovery (CEQA Approved) o Deliver average of 50,000 AF/year to water providers over 50-year project term, subject to management plan. o Reliable supply for 100,000 families. o Facilities – 20-32 wells and supporting wellfield manifold Natural gas power source and ancillary facilities 43-mile buried pipeline to Colorado River Aqueduct within Arizona & California Railroad right-of-way. Project Description – Phase 1 7

8. Project Participants o Six water providers with customers in LA, Orange, Riverside and San Bernardino Counties. Santa Margarita Water District Three Valleys Municipal Water District Suburban Water Systems Golden State Water Company California Water Service Company Jurupa Community Services District o Arizona & California Railroad will receive water and power for critical railroad purposes. 8

9. Environmental Analysis and Approvals o 2009 – 2011: Analysis of water and environmental resources conducted, CEQA review process led by SMWD. o July 31, 2012: SMWD Board unanimously certified the Final EIR. o October 1, 2012: San Bernardino County Supervisors approved Groundwater Management, Mitigation and Monitoring Plan and withdrawal of 50,000 AF/yr. 9

10. o Over 40 monitoring features including – Measured water levels in private wells Air quality monitoring installations Subsidence monitoring devices o Plan includes action triggers designed to identify potential impacts in advance and authorizes strict corrective actions. o Regular monitoring reports prepared by technical experts will be reviewed and posted online. o Independent enforcement by San Bernardino County & Santa Margarita Water District. Groundwater Management Plan 10

11. o Subject to further permitting, import water when available for storage in the aquifer system at Project area ; return to agencies when needed in dry years. o Facilities: Convert existing buried 30 pipeline from Cadiz to Barstow to water conveyance Recharge basins on Cadiz Property to accept storage water, and Pump station. o Total storage capacity = 1 million acre-feet. Phase 2 – Imported Water Storage 11

12. Map – So Cal Water System 12 Phase 1 & 2 would link Cadiz to main water transportation routes in California.

13. o Capital Cost (approx.): Phase 1 Conservation and Recovery - $275 M. Phase 2 Imported Water Storage - $250 M. o 18 months construction for Phase 1 could begin as early as next year. o Economist John Husing estimated construction benefit for Phase 1 & 2: Total economic impact of approx. $878M over 4 yrs. Create and support average of 1,500 jobs/yr. Economic Impact 13

14. o Economic impact will benefit many sectors including: Construction (heavy, industrial) Construction Materials & Supplies Planning & Engineering Transportation o Construction–related jobs to be across various specialties: Construction Benefits Well drillers, pipe-fitters & fabricatorsGeneral facilities construction labor Construction plannersLegal, operations & project mgmt. Materials supply purchase & deliveryTransportation (trucking, rail) Surveyors, land managementEngineers, science & technical Land preparation (machinery)Hospitality, retail 14

15. Local Support Building Industry Association of Southern California Inland Empire Economic Partnership The Morongo Basin Regional Economic Development Consortium Adelanto Chamber of Commerce Needles Chamber of Commerce 29 Palms Chamber of Commerce Rancho Cucamonga Chamber of Commerce Fontana Chamber of Commerce Redlands Chamber of Commerce South Orange County Regional Chamber of Commerce Orange County Taxpayers Association San Bernardino Railroad Historical Society 15

16. Timeline /Next Steps 2013 Resolve outstanding litigation, BLM. Consider sales agreements with current option holders. 2014 Finalize agreements with Metropolitan Water District for CRA tie-in and exchange terms. Begin additional permitting for Phase 2. Project financing, final design and start construction of Phase 1 facilities. 16

17. For more information, visit www.cadizinc.com email: ir@cadizinc.com