Deane is not a rancher or a farmer; he’s a hedge-fund manager who had flown in from New York City the previous night. And as he appraised the property, he was less interested in its crop or cattle potential than in a different source of wealth: the water running through its streams and coursing beneath its surface. This tract would come with the rights to large amounts of water from the region’s only major river, the Humboldt. Some of those rights were issued more than 150 years ago, which means they outrank almost all others in the state. Even if drought continues to force ranches and farms elsewhere in Nevada to cut back, the Diamond S will almost certainly get its fill.
Deane looks at the drought, the perennial mismanagement of water in the American West, and the region’s growing population, and believes a reckoning is coming. Rising demand and shrinking supply virtually guarantee that water’s value will increase. Anticipating that day, he’s racing to buy up as much of it as he can.