PSG
Project Summary · 2026
Hayden, Colorado · Yampa Valley

Water, land,
and the beneficial use
of both.

A staged plan to expand ~$80M of audited Colorado water and land assets into a $2.35B portfolio of energy, housing, and agricultural production.

Hayden Water & Land Expansion Project
Confidential · For discussion
01 · Context Colorado River Basin

The Colorado water reality.

Water is at a premium in Colorado — and across the seven Compact States that draw on the River.

Reserves are depleting while demand from agriculture, municipalities, and industry continues to climb. Apportionment is increasingly contentious. Unit values for adjudicated water keep moving in one direction.

Lake Powell · Glen Canyon Dam
−150ft
Surface elevation decline 1999 → 2022
Adjudicated water · immediate market
$33,000/AF
Top-of-market unit value, single acre-foot
Hayden Water & Land Expansion 02 / 13
02 · Position Audited & appraised

Where we stand today.

A consolidated land, water, and infrastructure footprint already in beneficial use — appraised at roughly eighty million dollars.

$80M
Current asset value
4,000AF
Adjudicated water
870ac
Land owned / under contract
8mi
Delivery & storage infrastructure
In place
  • — Decreed water rights with current consumptive use
  • — Perpetual easements across project property
  • — Three rural subdivisions served for 18 years
  • — Irrigation & stock watering across ~2,280 acres
Headroom

Existing uses consume <0.018% of the Company’s current capacity.

The remainder is the springboard — available to be combined, layered, and adjudicated against new beneficial-use projects.

Today 03 / 13
03 · Thesis 5 — 10 year horizon

The expansion thesis.

$80M
$2.35B

Acquire ~50,000 contiguous acres at ~$3,500 per acre. Adjudicate up to 125,000 acre-feet of new water at current $16,000/AF appraisal. Deploy compounding beneficial uses on top.

Estimated cost to deploy
~$175M
Resulting asset value
~$2.35B
Avg net annual revenue
~$25.7M
$80M → $2.35B 04 / 13
04 · Moat Why PSG — not someone else

Most developers can’t deliver workforce housing at scale, and most energy providers can’t deliver hydro-backed solar at scale, for the same reason: water.

FOR ENERGY

Solar at the 250–1,000 MW scale needs redundant nighttime & weather recharge. Hydroelectric backup requires huge water reserves — PSG sits on four aquifers with up to 3,000 years of storage at current consumption rates.

FOR HOUSING

In a resort market with $1.8–2.0M average home prices, water is the chief barrier to entry for affordable development. PSG already owns and controls the necessary water, infrastructure, and a portion of the entitled land.

Answer: water 05 / 13
05 · Portfolio Layered & concurrent

Four beneficial uses, one footprint.

Beneficial uses can be combined and layered — each new use raises the unit value of the underlying water and land.

PRIMARY

Solar & hydro power generation

450 MW → 1,125 MW

Replaces capacity of two decommissioning Yampa Valley coal plants.

SECONDARY

Workforce housing

2,969 units · 830 acres

A 40-year pent-up demand in the Steamboat / Hayden labor shed.

TERTIARY

Regenerative agriculture

Up to $23,887 / ac / yr

Irrigated organic crops — vertically integrated with on-site manufacturing.

TERTIARY

Commercial & industrial

40 ac annexed · HWY 40

X-West campus — build-to-suit, light manufacturing, bottling, SIPs.

All four uses qualify under Colorado Water Law “can and will” criteria. The Company has 18 years of compliance history serving subdivisions, irrigation, and stock watering.

Energy · Housing · Agriculture · Commercial 06 / 13
06 · Stage one Conditional 20-year lease executed

Solar power generation.

Net $96.7M over the 20-year term — passive lease income, with a 3% annual escalator.

PSG (and assignees) remain in title to the underlying water, land, and water-storage created. The Alternative Energy Group funds infrastructure development.

Initial site
4,000 acres
Initial capacity
450 MW
10-year build-out
10,000 acres · 1,125 MW
Lease rate
$4.84M / yr (avg)
AEG capex commitment
~$500M, Phase 1
Replicability
Across upper & lower basin
Passive rental income at full build-out
$12.1M/yr
Replaces

One of two coal-fired plants being decommissioned in the Yampa Valley over the next ~5 years.

Solar · 4,000 → 10,000 ac 07 / 13
07 · Redundancy Negotiations with AEG ongoing

Hydroelectric recharge.

Metered water from on-site reservoirs drives generators that recharge battery storage at night and through inclement weather — or sells directly into the grid.

Daily flow
5–15AF

Up to 4.89M gallons / 24 hr

Direct grid sale
$40–50/MWh

When not recharging on-site batteries

Reservoir capacity
up to 6res.

~10,000+ AF combined storage

Wells & delivery systems recharge reservoirs · reservoirs recharge batteries · or hydroelectric power is sold into the grid. The JV retains ownership of reservoirs, delivery systems, and water stored.

Hydro backup · same footprint 08 / 13
08 · Stage two PUD · 6 phases · 20-year term

Workforce housing.

A 40-year pent-up demand in the Steamboat / Hayden labor shed — FHA, VA, and CHFA price points where private developers can’t profitably compete.

Total units
2,969 homes
Land
830 acres · annexed PUD
Phase 1, Filings 2–6
375 units · 166 acres
Net per unit
$73,596
Net revenue
$218.5M over 20 years
Avg sales pace
~150 units / yr

Prevailing average home values in the immediate market: $1.8M–$2.0M. Workforce target band: $400K–$700K.

Net revenue · 2,969 units
$218.5M
Annualized

$10.92M / yr

Self-funding after Phase 1, Filings 1–2. Steamboat Resort expansion under Alterra (KSL Capital + Henry Crown) recently capitalized $3B for growth — expanding the demand curve, not flattening it.

2,969 units · $218.5M net 09 / 13
09 · Tertiary uses Embedded & contiguous

X-West & regenerative agriculture.

X-WEST · 40 ACRES

Annexed, zoned, entitled commercial / industrial campus.

Frontage
US Highway 40
Land & ditch value
~$15M
Build-out potential
1.74M sq ft
Add'l water rights
$8M (separate)

Build-to-suit for sale or lease — or retained for warehouse, staging, SIP fabrication, bottling, “green” building materials.

REGENERATIVE AG

Vertically integrated water-to-revenue.

Crop blend tuned to maximize adjudicable acre-feet per surface acre — irrigated organic hay, livestock, hemp feedstock, greenhouse, aquaculture.

Dry land grass hay
$207 / ac net
Irrigated & processed hemp
$23,887 / ac yr
Tertiary beneficial uses 10 / 13
10 · Trajectory Compounded by adjudication

The five-to-ten year build.

Yr 1 — 3
First assemblage

~12,870 acres · 35,000 AF water assets · solar lease in operation, PUD Phase 1 underway.

$673M
Yr 3 — 5
Offsite assemblage option

Add ~10,000 acres + 72,000 AF undeveloped water rights for long-term hold & augmentation.

$1.40B
Yr 5 — 10
Mature portfolio

Up to ~50,000 acres · up to 125,000 AF adjudicated water · ~$25.7M average net annual revenue.

$2.35B

Stages may be grouped to run concurrently as capital and beneficial-use implementation allow — compressing the timeline without changing the math.

Trajectory · 10-year 11 / 13
11 · Returns Annualized at maturity, 2025 dollars

Net revenue at maturity.

Beneficial use Annual net Mechanism
Solar lease — 4,000 ac initial $4.84M Passive · 3% escalator
Solar lease — 10,000 ac built-out $12.10M Passive · same terms
Workforce housing — 2,969 units $10.92M Sales · 20-year program
Hydroelectric & ag · combined ~$2.7M Active & passive
Average net annual revenue at maturity
$25.7M
On portfolio asset value of
~$2.35B
Returns at maturity 12 / 13
12 · Team Leadership

Leadership.

Operators with track records across mountain-west real estate, global energy, growth-stage finance, and international business.

CEO

Dillon Morehead

Strategy · Real estate · Capital

A career bridging institutional capital and community-centric development in the mountain-west real estate and financial markets. Long-standing engagement with the Aspen Ideas Festival and Aspen Food & Wine Classic.

CIO

Dr. Lisa Palleson, PhD

International business · Cyber · Mining

Serial entrepreneur with a PhD in International Business and senior leadership across global cybersecurity, health, technology, and mining.

COO

David E. Orton

Operations · Commercialization

Thirty years of operations and commercialization leadership at Bell, Rogers, and Clean Energy — with deep experience scaling global businesses.

CFO

Xiulan Huang, CPA

Audit · M&A · Growth finance

Fifteen-plus years in audit, M&A, and finance across growth-stage technology and manufacturing companies.

Leadership 13 / 13