Texas and a private company have agreed to explore building a seawater desalination plant in the San Patricio-Nueces County region.

The Corpus Christi Caller-Times reported Tuesday that the memo of understanding involves the Texas General Land Office and Seven Seas Water Corporation. The privately financed plant, using water from the Gulf of Mexico, is projected to cost up to $150 million.

State Rep. Todd Hunter of Corpus Christi says the plant would be a huge boost for the area.

Company CEO Doug Brown says the plant would sell water exclusively to industrial customers, with projected output of up to 20 million gallons of freshwater daily. Tampa, Florida-based Seven Seas Water would be operator and majority owner.

The General Land Office plans to seek public and business input.