BacTech Closes Second Tranche
BacTech Environmental Completes Closing of Second Tranche
TORONTO, ON, May10 , 2022 – BacTech Environmental Corporation (CSE: BAC, OTC:
BCCEF, FSE: 0BT1) (“ BacTech” or the “Company”), a commercially proven , environmental
technology company delivering eco -friendly bioleaching and remediation solutions for precious
metal and critical mineral recovery , is pleased to announce the completion of a 2 nd tranche of its
private placement, further to the Company’s April 21 news release.
In the second tranche, the Company issued 4,500,000 Units a t a price of $0.20 per Unit for
aggregate gross proceeds of $900,000. Additionally, a $1M convertible debenture was also closed
with an existing strategic investor at $0.15 per share.
Prior to this, gross proceeds of $1.21M were announced closed by the Company in its initial
tranche. The Company is offering a $.20 unit comprised of one common share and one common
share purchase warrant at $.30 for two years. The financing includes a 0.5% royalty for every $1M
raised under the offering. The financing offers investors the chance to participate in a royalty
directly as opposed to through the purchase of a royalty company’s shares.
For illustration purposes, using $1900 gold price and 31,000 ounces gold per annum, a royalty
would be $294,500 per $1M investment. After the investor has received a 200% after -tax return
(based on a Canadian 25% tax on the payment) the royalty will be cancelled, and the investor will
retain their common shares.
About the Tenguel – Ponce Enriquez Bioleaching Project
BacTech is planning to build a new owner -operated bioleaching facility in Tenguel, near Ponce
Enriquez, Ecuador, in a region where arsenic is associated with gold ore (Arsenopyrite). The
Company’s plan is to build a 50 tpd bioleach plant capable of treating high gold/arsenic material.
A 50 tpd plant, processing feed of 1.75 ounces of gold per tonne, similar to feeds available to the
Company from local miners, would produce approximately 31,000 ounces per year. Plant designs
are modular and can be expanded without affecting ongoing production. The total concentrate
market in the Ponce Enriquez area is estimated to be between 200 and 250 tonnes per day, allowing
for increased throughput potential with a larger plant.
Key economic highlights:
● Pre-tax NPV (Net Present Value with 5% discount rate) of $60.7M
● Pre-tax IRR (Internal Rate of Return) of 57.9%
● Annual Gold Production of 30, 900 ounces
● Capital Cost of $17M
● Bioleach Operating Cost of $212 per tonne
● Assumed Purchase Prices of Concentrate – 65% of the contained gold value
● Pre-tax Earnings Prior to Employee Bonus – $10.9M annually
● Estimated local employee bonus pool – $1.64M
● Payback (70% DEBT) – 2 years
In total, there are over 90 small mines operating in the area. BacTech intends to return local miner
compensation back to previous payment levels, prior to a sweeping price reduction imposed by
Chinese buyers due to recent import levies on arsenic/gold concentrates entering China. BacTech
continues to investigate the prospects of establishing additional modern bioleaching facilities
across other areas of Ecuador, Peru, and Colombia. Where possible, the Company will partner
with national and local governments, non-governmental organizations (NGOs) and others to assist
with the funding of these projects and ensure that they meet the Company’s high expectations not
only for environmental standards, but also for the highest standards in all ESG considerations.
About BacTech Environmental Corporation
BacTech is a proven environmental technology company, de livering effective and eco -friendly
bioleaching and remediation solutions to commercial operations to process and recover preferred
metals (gold, silver, cobalt, and copper) smartly and safely remove and transform harmful
contaminants like arsenic into benign EPA-approved products for landfill. Tapping into numerous
environmental and economic advantages of its proprietary method of bioleaching, BacTech uses
naturally occurring bacteria, harmless to both humans and the environment, to neutralize toxic
mining sites with high -pay potential. BacTech is publicly traded on the CSE under the symbol
“BAC”; on the OTC as “BCCEF”; and the Frankfurt Stock Exchange as “0BT1”.
For further information contact:
Ross Orr
President & CEO, BacTech Environmental Corporation
416-813-0303 ext. 222,
Email: [email protected]
Website: https://bactechgreen.com/
Investor Presentation: https://bactechgreen.com/investors/
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Special Note Regarding Forward-Looking Statements
This news release contains “forward -looking information”, which may include, but is not limited to, statements with
respect to future tailings sites, sampling or other investigations of tailing sites, the Company’s ability to make use of
infrastructure around tailings sites or operating performance of the Company and its projects. Often, but not always,
forward-looking statements can be identified using words such as “plans”, “expects”, “is expected”, “budget”,
“scheduled”, “estimates”, “forecasts”, “intends”, “anticipates”, or believes” or variations (including negative
variations) of such words and phrases, or state that certain actions, events or results “may”, “could”, “would”, “might”
or “will” be taken, occur or be achieved. Forward-looking statements involve known and unknown risks, uncertainties
and other factors which may cause the actual results, performance, or achievements of the Company to be materially
different from any future results, performance or achievements expressed or implied by the forward- looking
statements. Forward-looking statements contained herein are made as of the date of this news release and the Company
disclaims, other than as required by law, any obligation to update any forward-looking statements whether because of
new information, results, future events, circumstances, or if management’s estimates or opinions should change, or
otherwise. There can be no assurance that forward -looking statements will prove to be accurate, as actual results and
future events could differ materially from those anticipate d in such statements. Accordingly, the reader is cautioned
not to place undue reliance on forward-looking statements.
Shares outstanding: 163,805,558
The Canadian Securities Exchange (CSE) has not reviewed and does not accept responsibility for the adequacy or the
accuracy of the contents of this release.
This press release does not constitute an offer to sell or a solicitation of an offer to buy any of the shares, nor is it a
solicitation of interest from a prospective investor.