Feds: Lithium developer illegally drained wetlands near Salton Sea
The developer of the nationally lauded but controversial Hell's Kitchen geothermal and lithium extraction project near the Salton Sea illegally drained 1,200 acres of fragile wetlands by dumping dredged fill nearby, according to a settlement agreement announced on Thursday by the U.S. Environmental Protection Agency.
The work was performed on leased Imperial Irrigation District land as part of Controlled Thermal Resources' Hells Kitchen pilot project west of Niland — on hold due to an unrelated lawsuit — which aims to produce 49.9 megawatts of steam power and 20,000 tons of lithium annually. The project is the first stage of much larger planned production of the mineral, which is used in everything from commercial solar projects to to smart phones.
A copy of the signed Oct. 8 consent order obtained by The Desert Sun states that Hells Kitchens' bulldozing and dumping led to the discharge of materials into about 27 acres of wetlands, which in turn "caused the water from these wetlands to flow into the Salton Sea. This led to about 1,200 acres of (adjoining) wetlands lacking sufficient water to sustain their ecological functions and values."
The agreement states the Salton Sea and the wetlands abutting it are protected under the Clean Water Act, and that the company did not obtain a required permit from the Army Corps of Engineers to do such work in an ecologically sensitive area, violating the landmark federal law. The settlement requires Hells Kitchen Geothermal, a subsidiary of Australian and U.S. owned Controlled Thermal Resources, to develop a plan within 90 days to restore the wetlands to their former condition. The company did not admit liability, but its president, Jim Turner, signed the agreement.
"EPA is committed to our responsibility to enforce environmental law, and to play our role in protecting the Salton Sea, associated wetlands, and all waters of the U.S.,” Pacific Southwest Regional Administrator Martha Guzman said in a news release. “The transition to a clean energy future is underway, and we want to see these types of projects move forward in compliance with federal law.”
Company officials did not provide comments on the consent order or provide answers to questions. In response to emailed questions, a water district spokesman said, "IID has been aware of this matter, but is not involved. The matter is appropriately being handled by the regulatory agencies."
The statement added, "Environmental stewardship is a shared responsibility by all stakeholders, and IID recognizes that the development of the geothermal and mineral resources at the Salton Sea must be done in coordination with the appropriate wildlife and permitting agencies."
The land was sold to the company last year, but IID leases underground geothermal and mineral resources to them for undisclosed sums.
Another loss for wildlife at the Salton Sea
The news is the latest blow to the ecology of the Salton Sea, California's largest but fast-drying water body, and also comes atop other woes for CTR and its Hells Kitchen project. Shortly after after winning critical approvals by Imperial County officials to a required environmental impact report and zoning changes, two environmental groups sued to overturn it, saying needed water supply and potential earthquake risks as well as impacts on wildlife and public health had not been adequately studied or mitigated.
At that time, Controlled Thermal Resources CEO Rod Colwell strongly defended the project and its environmental bona fides. If fully built, Colwell has said their Hell’s Kitchen facilities could produce enough lithium to develop 5 million electric vehicle batteries a year — enough to eliminate 1.95 billion gallons of gasoline used and 23 metric tons of greenhouse gas emissions annually.
He noted they had agreed to pave dirt roads, and with help from White House senior clean energy advisor John Podesta's office and the U.S. Army Corps of Engineers, won expedited approvals for a 340-acre wetland on site next to a state-owned wetland to provide critical habitat for rare species. Wetlands also can help contain potentially toxic dust from the rapidly drying edge of the Salton Sea, which has been fed by pesticide- and fertilizer-laden runoff from area farms for more than a century, experts say, as well as a sewage-polluted river from northern Mexico.
After months of motions and other filings, a hearing is scheduled for Oct. 24 in California Superior Court in El Centro.
The wetland losses also come as state natural resources officials push to complete construction of long overdue artificial wetlands along nearby edges of the Salton Sea, which is steadily drying in the blistering desert sun as the Colorado River waters that indirectly feed it have been held back from adjacent farm fields or diverted to thirsty urban areas. Endangered desert pupfish and two species of birds live in and near drainage ditches along the Salton Sea. California Natural Resources Secretary Wade Crowfoot and other officials held a ground-breaking for an expansion of that project on Oct. 16.
Project has been highly praised by White House and Gov. Newsom
The illegal dredging work occurred from November 2021 through "at least April 2022," per the order, even as federal, state and local officials have lavished praise on the "green energy" project and others like it. On Apr. 21, 2022, at the urging of President Joe Biden, U.S. Energy Secretary Jennifer Granholm joined U.S. Rep. Raul Ruiz, D-Indio, to tour the Salton Sea to hear about its lithium potential, and held listening sessions with residents in Calipatria and North Shore. Residents told them they need help with long-running elevated asthma rates and other health risks posed by contaminated, wind-blown dust from the drying sea.
At that point, the company for months had been extending drain channels, berms, banks, and roads on a nearly 2,000-acre parcel of property owned by the irrigation district, extending them closer to the sea. Federal inspectors toured the site on Sept. 16 of that year and emailed the company their findings on Oct. 22. California Gov. Gavin Newsom toured the Hells Kitchen project in March 2023 and White House advisor Podesta saw it in January of this year.
“I have faith that the U.S. Environmental Protection Agency and Hell’s Kitchen Geothermal LLC will work swiftly to address harmed wetlands and further commit to protecting the surrounding environment,” Ruiz said in an email.
In May 2023, the company submitted a proposed wetlands restoration plan to the Army Corps, which was approved and completed, but the Corps then requested more work in March and the company submitted another plan in May. EPA Region 9 spokesman Michael Brogan said on Friday that the company is still working on a full restoration plan. Per the order, they have 90 days to complete it, or until early January.
EPA officials, while making clear that federal statutes must be obeyed, were also careful to praise the project and others like it.
"Geothermal plants like the one under construction by (Hells Kitchen Geothermal) can generate electricity 24 hours a day by tapping into the heated water located thousands of feet below the Salton Sea. In addition, lithium, which is contained in that water, is a key ingredient in batteries that power electric cars and make up storage systems for solar and wind energy," the EPA said in a news release.
This story has been updated with comments from the Imperial Irrigation District and U.S. Rep. Raul Ruiz.
Janet Wilson is senior environment reporter for The Desert Sun, and co-authors USA Today Climate Point, a weekly newsletter on climate, energy and the environment.