BacTech Environmental Introduces Shared Land Management Program to Tenguel Farmers
BacTech Environmental Introduces Shared Land Management Program
to Tenguel Farmers
TORONTO, ON, September 7, 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 that further to its acquisition and closing
of the 100-acre (40 ha) land package for its proposed processing plant in Tenguel, Ecuador, the
Company has introduced a unique shared land management program that will see on- site cocoa
farming continue with proceeds from all cocoa sales being retained by
the former employees of the purchased land.
Strategically situated to meet the processing needs of 130+ area gold mining cooperatives and
companies, the property was recently reclassified from agricultural to industrial in order to serve
as a regional gold and silver processing hub. However, understanding the sensitivity of this
transaction with former employees and noting that approximately 80% of the farm’s 1,500
producing cocoa trees will remain untouched during Phase 1 plant development, BacTech created
and signed an agreement with the workers to allow them to continue operating the farm.
“When we init ially visited this site, we quickly realized that ther e was more than just our own
business interests at stake. The rights of the local workers to earn a living were essentially staring
us in the face, ” said Ross Orr, President and CEO of BacTech. “We saw an opportunity to
harmonize the goals of providing environmental, economic , and social opportunities that benefit
the community, and decided to incorporate a plan that would minimize disruption and make
optimal use of the land resources available. This agreement illustrates our commitment to operate
as a socially conscious company that can c o-exist with a local community and contribute to
sustainable rural development.”
The farmers will remain independent from BacTech and will not be employees of the Company
at this time. BacTech and the workers will agree to a series of six month contracts that will be
subject to review after each period. In the event BacTech opts to expand the plant footprint to
process considerably more concentrate, the workers would be offered future employment with the
Company.
The Ponce Enriquez mining area is characterized by very high grades of refractory arsenopyrite -
rich material. BacTech will continue to selectively negotiate for the purchase of additional high
gold/arsenic concentrates. The int ent is to return local miner compensation back to previous
payment levels prior to severe price declines resulting from Chinese government -directed import
taxes placed on inbound arsenic gold concentrates. Presently, area miners have no choice but to
sell their production at reduced prices to offshore buyers. BacTech intends to eliminate financial
penalties charged for arsenic and consequently pay better prices for the miners’ material.
About the Tenguel – Ponce Enriquez Bioleaching Project
BacTech is planning to build a new owner-operated bioleaching facility in Tenguel, 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, assuming a base gold price @ $1,600 per ounce:
• 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
In total, there are over 90 small mines operating in the area. 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, delivering effective and eco -friendly
bioleaching and remediation solutions to commercial operations to process and recover preferred
metals (gold, silver, cobalt, nickel 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/
Follow us on:
Facebook http://www.facebook.com/BacTechGreen
Twitter http://twitter.com/BacTechGreen
LinkedIn http://www.linkedin.com/company/1613873
Vimeo http://vimeo.com/bactechgreen
YouTube https://www.youtube.com/channel/UCBgXr3ej2_BMOtoeFoKIgEg
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 anticipated in such statements. Accordingly, the reader is cautioned
not to place undue reliance on forward-looking statements.
Shares outstanding: 172,025,558
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.