In an effort to address forthcoming freshwater scarcity, New Mexico water and environment officials on Monday announced the award of three contracts totaling $13 million for mapping, testing and treating brackish water.
In the last two legislative sessions, New Mexico lawmakers earmarked more than $75 million for the Strategic Water Supply, a state program to advance the uses of brackish water, naturally-occurring salty water deep underground. That included funding for grants to explore its uses as-is in manufacturing, dust control or cement-making, as well as further treatment for its use in agriculture or as drinking water.
Water experts across the state estimate that changing climate patterns and groundwater overuse could reduce water supplies by 25% in coming decades. Gov. Michelle Lujan Grisham’s 50-year water action plan places the development of brackish water as a policy centerpiece to address the crisis. New Mexico is estimated to have more than 1 trillion gallons statewide of the underground water, according to the state environment department.
“By advancing brackish water desalination, resource mapping, and real-world demonstration projects, we are building the technical foundation needed to unlock new water sources statewide,” Environment Secretary James Kenney said in a statement. “These investments move New Mexico closer to a future where every community has access to reliable, drought-resilient water supplies.”
The awards announced on Monday follow $26 million awarded in December 2025, and mark the final portion of a $40 million fund established by the Legislature in 2025. Lawmakers earmarked an additional $35 million in funds for 2026, and additional contracts and grant opportunities will open in August.
On Monday, the state announced that two Albuquerque companies, WSP and Indewater, received $9.1 million and $3.7 million, respectively. WSP will use the grant for drilling, testing and mapping the extent of brackish water aquifers, and make recommendations for the best sites for future use, according to a news release.
Indewater will develop a mobile treatment plant to remove salt from brackish water in rural and tribal New Mexico communities. The state will own the plant, according to a news release, which stated the tool will “quickly determine whether desalination is an option for communities that are seeing their water supply become more brackish.”
The final grant of just over $270,000 went to Harmony, a company based in Cambridge, Massachusetts to install a water filtration system at Menefee Farms in Lake Arthur to provide drinking water for cattle there.
“These contracts give us the data, tools, and experience needed to make long-term, science-based decisions about New Mexico’s water future. We are grateful for these new partnerships on this important work,” State Engineer Elizabeth Anderson said in a statement. “Understanding where and how we can responsibly develop brackish water resources is essential to easing pressure on our freshwater systems.”