Diminishing Water Resources Put Pressure on Corpus Christi, Texas

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Written by Will Ploch, Assistant Editor-in-Chief for IIR News Intelligence (Sugar Land, Texas)

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Summary

With reservoir levels dropping to dangerous lows, authorities in Corpus Christi are looking for ways to acquire potable water after a major desalination project was cancelled last year.

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Costs vs. Needs

Corpus Christi is reeling from a historic drought, and it doesn't have much water on hand: The city on Texas' Gulf Coast has seen capacity at two of its main reservoirs drop to just 8.4%. And the political pressure is intensifying, with city council members fielding proposals for a water desalination plant less than a year after rejecting plans to build their own. Altogether, Industrial Info is tracking more than $2.3 billion worth of proposed desalination projects in Corpus Christi and its surrounding area.

As the situation worsened and the public became increasingly aware of the area's water woes, the Corpus Christi City Council voted March 24 to open talks with Corpus Christi Polymers to acquire water from the plastic manufacturer's desalination plant, which is under construction. Subscribers to Industrial Info's Global Market Intelligence (GMI) Plant Database can learn more about this facility from a detailed plant profile.

City manager Peter Zanoni told the Texas Tribune he is "cautiously optimistic" about the project's chances after he and other officials agreed to meet with Pennsylvania-based desalination company Aquatech, which has an agreement with Corpus Christi Polymers to sell drinking water from the plant to Corpus Christi: "Aquatech thinks they can do it, then we're willing to have them present that case to us, and we'll analyze it and bring something to the city council if we think they have a good case."

This decision follows last year's cancellation of the Inner Harbor Desalination Plant, which had been under consideration since 2018 and was designed to produce as much as 36 million gallons per day of potable water by 2028. But after costs spiraled to more than $1.2 billion, according to the Texas Tribune, the city council voted in September to scrap the project. Environmental advocates also voiced concerns about the discharge of salty wastewater, commonly called "brine," into Corpus Christi Bay.

Subscribers can learn more about the canceled project in a detailed project report.

Kiewit Corporation, which was handling the engineering, procurement and construction (EPC) for the project, won the design-build contract. At the time, the city and its engineers were using $757 million as the price estimate, according to Engineering News-Record. But after years of inflationary pressure, Kiewit and Corpus Christi's engineering consultant put the final plant cost at $1.2 billion.

"I just can't wrap my head around $1.2 billion," said Councilman Eric Contu, who voted to ax the project, at the September meeting. "Whoever decided to go design-build, they screwed up."

Andrew Galvan, who manages turnaround projects at desalination and other facilities for Baytown-based FER Inspection, was not impressed with the city council's September decision.

"There was constant reference by city council members in Corpus Christi to the cost of the project," Galvan said in an interview. "I don't agree with killing the project. I don't understand how they will invest millions of dollars in planning and consulting, then dump a bag of cash in the trash. When you get to a point of need--in this case, dire need--it becomes a moot point. The need is there, it has to be done."

Galvan said that because of last year's cancellation of Inner Harbor, Corpus Christi has been spending money on short-term solutions to the water crisis, which he calls "Band-Aids."

"We still have to have good, reliable supplemental resources," Galvan said. "Through all the talks and consultants, how are they failing to see that? The timeline is no longer there. This has to be done yesterday. Any project they start today would take years to complete, and there's not enough water in the ground to hold this in place. There's already talk about restrictions on usage and, possibly, curtailment on 'non-essential businesses' and local industry."

Indeed, the City of Corpus Christi's website says the city presently is under Stage 3 Water Restrictions, which bars lawn watering and restricts the use of water for pools, car washing and even handheld hoses.

Other Possibilities in the Mix

Corpus Christi officials also are considering possible desalination operations near the Barney Davis Substation, an effort spearheaded by San Antonio-based CPS Energy. City Council members on March 17 showed support for official collaboration with CPS, which said its proposed facility could generate between 50 million and 100 million gallons per day, according to the Corpus Christi Caller Times.

Nick Winkelmann, interim chief operating officer of Corpus Christi Water, told the Caller Times and other media outlets that CPS' proposed desalination plant would be operated through a public-private partnership. City Manager Peter Zanoni told reporters that CPS would either sell or lease land south of the power plant.

Subscribers can learn more about CPS' proposed project from a detailed project report.

"I've heard of several different groups looking into Barney Davis, but ultimately somebody's going to get this thing," FER Inspection's Galvan said. "Whether it comes from taxpayers or a private firm, someone's going to build it."

Last year, Corpus Christi officials looked at a proposed desalination plant on the Eshleman--Vogt Ranch in Hebbronville, which is about 70 miles southwest of Corpus Christi. But at a meeting in February 2025, Corpus Christi Water's Chief Operating Officer Drew Molly told attendees that the ranch is "about 46 miles from the nearest major pipeline infrastructure, which is South Texas Water Authority." A pipeline connection would add at least $180 million to the price tag.

Subscribers can learn more about the proposed Eshleman--Vogt project from a detailed project report.

"I don't think there's any true alterative to desalination," Galvan said. "There will be a jump in the cost of water, but it's an age-old question: What's it worth to you to have security in place? It's going to cost whatever it will, but at some point, taxpayers are going to have to pay for their water security. I don't see any investment more important than this one."

Subscribers can click here for a full list of reports for proposed desalination projects in Corpus Christi and its surrounding area.

Key Takeaways

• The Corpus Christi City Council voted to open talks with a private company to acquire potable water from a desalination plant.
• Other projects have been proposed, including one headed by CPS Energy.
• Galvan believes there is no "true alternative" to desalination and necessity will force proposals to become reality.

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About IIR News Intelligence
IIR News Intelligence is a trusted source of news for the industrial process and energy markets, powered by Industrial Info Resources' Global Market Intelligence (GMI).

About Industrial Info Resources
Industrial Info Resources (IIR News Intelligence) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking more than 250,000 current and future projects worth $30.2 trillion (USD).