City of Temple says Synergy well is owned by the City, not Rowan
The City of Temple is clarifying the ownership of a groundwater well amid a water conservation project. The well was initially drilled by data center company Rowan as part of an agreement, but Rowan later converted its data center to a warehouse and dedicated the well to the city. The city now plans to use the well for aquifer storage and recovery, requiring an operating permit from the Clearwater Underground Water Conservation District.
The City of Temple is moving forward with a major water conservation project, but taxpayers have raised concerns about data center developers interfering with the city's plans. The city owns a groundwater well in Southeast Temple next to a property previously owned by data center company Rowan.
An economic development agreement from 2022 revealed that Rowan paid upfront to drill the city's groundwater well to secure water for its data center, with the city agreeing to reimburse Rowan $4.8 million. However, Rowan later converted its data center into a warehouse without utilizing the well. As a result, Rowan declined the reimbursement money and dedicated the well to the city.
City officials, including a representative at a public meeting, confirmed that the city owns the well and all associated water rights. Rowan's water rights are limited to domestic use and closed-loop cooling, with specific daily maximums. The City of Temple now intends to use this well as a starting point for its water conservation efforts, aiming to diversify its water resources and storage options.
To proceed, the city must obtain an operating permit from the Clearwater Underground Water Conservation District (CUWCD). Winnie Ingram, CUWCD's general manager, stated that the city will need to define the well's beneficial use and need in its application, providing a full well completion report. The CUWCD's geoscience team will evaluate potential impacts on neighboring wells and the aquifer before the board makes a decision. If approved, the well would become the initial component of Temple's aquifer storage and recovery plan, which could potentially be state-funded.