PRESTON, Idaho (AP) -- Officials with an eastern Idaho canal company are asking state water officials to reverse a July ruling that doomed a proposal to build a dam on the Bear River.

The Twin Lakes Canal Co. appealed earlier this month a decision by the Idaho Department of Water Resources on plans to build a 108-foot-high dam in the Oneida Narrows near Preston. An agency administrator ruled the dam would interfere with downstream water rights and conflict with a state water compact with Utah.

In their appeal, canal officials say the ruling has factual errors.

Idaho Department of Water Resources Director Gary Spackman will make a final decision the appeal.

Environmental groups have long opposed the project, saying it's important to protect the free-flowing nature of that stretch of the Bear River.

Copyright 2012 The AP.