Lithium water dispute ends in settlement

AI generated image of Thacker Pass Lithium Mine
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  • Bartell Ranch and Lithium Nevada reached a settlement.
  • The deal ends a two-year legal battle over water rights.
  • Rancher’s water rights west of Quinn River will be subordinated.
  • Nevada Supreme Court dismissed the appeal on August 14, 2025.

Tuesday, August 19, 2025 — A contentious fight over water use in northern Nevada has come to a close after Bartell Ranch, LLC and Lithium Nevada Corporation reached a settlement agreementOpens in a new tab. approved by the courts in early August. The dispute centered on the Thacker Pass lithium mine project in Humboldt County, where questions over groundwater use had sparked years of legal challenges.

Bartell Ranch, operated by rancher Edward Bartell, had argued that Lithium Nevada’s plans to change and transfer water rights in the Quinn River Valley would impair his ranching operations. The Nevada State Engineer had approved some of the company’s applications, prompting Bartell to file a petition for judicial review in March 2023. The Sixth Judicial District Court partially sided with both parties in April 2025, ordering further review of certain contested water rights.

Settlement Terms

According to court filings, the settlement requires Lithium Nevada to purchase two of Bartell’s vested water rights and includes binding agreements on how the ranch’s remaining rights can be used in the future.

Among the key provisions:

  • Bartell’s water rights west of the Quinn River are now subordinated to Lithium Nevada’s rights, meaning they cannot be used to curtail the company’s pumping for the Thacker Pass project.

  • Bartell and his successors may continue to use their rights but may not challenge the mine’s operations.

  • Bartell retains his property and grazing allotments, but covenants running with the land prevent future owners from disputing Lithium Nevada’s water use.

  • Water rights east of the Quinn River are also barred from being used in future challenges against the mine.

The agreement also resolves a separate complaint Bartell filed with the Nevada Division of Water Resources earlier this summer, alleging the company had pumped water without authorization. That complaint was conditionally withdrawn as part of the deal.

Court Approvals.

On August 4, 2025, the Humboldt County district court approved the joint settlement stipulationOpens in a new tab., vacated its April 2025 order, and dismissed the case with prejudice.

With the litigation dismissed, jurisdiction returned to the district court, and the settlement terms now carry the force of court order.

What Comes Next.

The resolution clears a major legal hurdle for the Thacker Pass lithium project, one of the largest of its kind in the United States. For Bartell Ranch, the agreement secures certain water rights while binding current and future owners to the terms.

While the deal ends one of the most high-profile water rights disputes in Nevada in recent years, questions remain about the broader impacts of large-scale lithium mining on rural water supplies in the state.

State Supreme Court:  Bartell NVSC Appeal Dismissal Order 081425

Deborah

Since 1995, Deborah has owned and operated LegalTech LLC with a focus on water rights. Before moving to Arizona in 1986, she worked as a quality control analyst for Honeywell and in commercial real estate, both in Texas. She learned about Arizona's water rights from the late and great attorney Michael Brophy of Ryley, Carlock & Applewhite. Her side interests are writing (and reading), Wordpress programming and much more.

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