PACIFIC GROVE, Calif.--(BUSINESS WIRE)--After a comprehensive procurement process, California American Water has selected Boart Longyear Company to construct seven to nine source water slant wells that would draw ocean water for the desalination facility proposed as part of California American Water’s $320 million Monterey Peninsula Water Supply Project. Boart Longyear ranked highest and provided the lowest cost among the three respondents to a request for proposals (RFP) that was issued in September. Respondents were evaluated on business, technical and price criteria. Boart Longyear submitted a proposal for approximately $2.8 million per source water slant well, which is slightly lower than California American Water’s engineering estimate.
“All three firms were qualified to construct the project, but Boart Longyear’s proposal scored highest overall based on our ranking criteria and they were the lowest bidder,” said California American Water’s Vice President of Engineering Deana Donohue. “The knowledge we have gained from the test well helped us to create a meaningful RFP that has resulted in quality proposals with well-informed cost estimates and an advanced understanding of the task at hand.”
Boart Longyear is a leading global provider of drilling services, drilling equipment, and performance tooling for mining and drilling companies. Boart Longyear has a 125-year history in the mining and drilling industry with six global manufacturing locations, some of the most advanced drilling technology on the market, and is the first U.S. firm to utilize sonic equipment for environmental drilling.
“This is a fantastic opportunity for Boart Longyear to extend our footprint in the desalination market and be a leader in this industry,” said Boart Longyear’s Territory Contracts Manager Jason Lamb. “Our in-house engineering group is excited with the news and our operations team can’t wait to get started.”
California American Water and Boart Longyear constructed a test slant well earlier this year to assess the feasibility of slant well technology at California American Water’s preferred project site. Water quality results and production capability of the test slant well have so far exceeded expectations.
California American Water will now provide the proposals it received in response to the RFP, along with its evaluation report and draft contract to the Monterey Peninsula Water Supply Project Governance Committee, which will conduct its own review and make further recommendations. The committee is set to discuss the matter in public during a special meeting set for Tuesday, December 1, 10:00 a.m., at the Monterey Peninsula Water Management District office located at 5 Harris Court in Monterey.
The proposals and evaluation report will be posted to the project’s website, www.watersupplyproject.org, where more information on the Monterey Peninsula Water Supply Project can be found, including data from the test slant well and the latest news and updates on the project’s progress. The Monterey Peninsula Water Supply Project is intended to replace the local community’s current reliance on the Carmel River as its primary source of water supply and is expected to be complete in 2019.
California American Water, a subsidiary of American Water Works Company, Inc. (NYSE: AWK), provides high-quality and reliable water and/or wastewater services to approximately 600,000 people.
Founded in 1886, American Water (NYSE: AWK) is the largest and most geographically diverse, publicly traded U.S. water and wastewater utility company. With headquarters in Voorhees, N.J., the company employs 6,400 dedicated professionals who provide regulated and market-based drinking water, wastewater and other related services to an estimated 15 million people in 47 states and Ontario, Canada. More information can be found at www.amwater.com.