(TheNewswire)
Company Initiates Green/Social Bond Offering to Help Finance Project as Ministry of theEnvironment Approves Last Major Permit and Contemplates an EquityRaise
TORONTO, ON – TheNewswire - November 20, 2023 – BacTech Environmental Corporation (CSE: BAC ) , ( OTC: BCCEF ) , ( FSE: 0BT1 ), an establishedenvironmental technology company specializing in eco-friendlybioleaching and remediation solutions for precious metal and criticalmineral recovery, is pleased to announce the official granting of theEnvironmental License by Ecuador's Ministry of the Environment. Thisapproval allows BacTech to move forward with plans to develop aworld-class bioleach processing facility in Tenguel and follows thesuccessful completion of the community consultation process andsubsequent sign off by the Minister of the Environment.
With all major permits now secured and in place,BacTech will finalize the terms with Analytica Securities to launch the previouslyannounced Green/Social bond issue to finance the constructionof the bioleach plant at Tenguel . Ofthe total funds raised, approximately $17 million will be allocated tothe capital portion of the bioleaching facility construction, with theremaining $3 million dedicated to financing the purchase ofconcentrates from local miners and supporting the local economy. Avideo summary of today’s news release is available by clicking thefollowing link:
Ross Orr, President, and CEO of BacTech, expressed hisenthusiasm: " Ourshareholders are aware that this significant project has been years inthe making, and we are very happy to announce the approval of ourpermits. We would like to commend Minister Davilos (Environment) forhis efforts in achieving this milestone for BacTech. With the fullsupport of the local community and government stakeholders, we canconfidently proceed with the plant financin g."
The company has also indicated its deliberation on aprivate placement of common shares with the aim of securing extraequity for the project and bolstering its working capital.
Once completed, the facility is expected to becomeSouth America's largest and most efficient bioleaching plant. It willutilize naturally occurring bacteria that are harmless to both humansand the environment for treating gold and silver-containing materialswith high arsenic levels.
To ensure transparency and adhere to global bestpractices, BacTech has launched its Sustainable Bond Framework forissuing Green and Social bonds, aligning with the InternationalCapital market Association's (ICMA) Green Bond Principles (GBP) 2021and Social Bond Principles (SBP) 2023. Additionally, the companyproudly received an independent Second Party Opinion (SPO) from Moody’s Investors Service, granting BacTech aSustainability Quality Score of SQS2 (Very Good), recognizing thecompany's significant contribution to sustainability.
BacTech remains steadfast in its commitment toachieving environmental and social objectives while deliveringlong-term value to shareholders and stakeholders. The Green/SocialBond offering marks a significant step in this direction.
About the Tenguel – Ponce EnriquezBioleaching Project
BacTech plans to construct an owner-operatedbioleaching facility in Tenguel, Ecuador, a region known for itsassociation with arsenic in sulphide gold ore (Arsenopyrite). Thecompany intends to build a 50 tpd bioleach plant capable of treatinghigh gold/arsenic material. Such a plant, processing feed with 1.75ounces of gold per tonne, similar to what local miners provide, wouldyield approximately 31,000 ounces per year. The modular plant designsallow for expansion without disrupting ongoing production. BacTech hasalso signed an agreement with the government for a Phase 2 plant thatwould add 150-200 tpd of capacity, producing more than 100,000 ouncesper annum.
Key economic highlights, assuming a base gold price of$1,600 per ounce, include:
• Pre-tax NPV (Net Present Value with a 5% discountrate) of $60.7 million
• Pre-tax IRR (Internal Rate of Return) of 57.9%
• Annual Gold Production of 30,900 ounces • CapitalCost of $17.0 million
• Bioleach Operating Cost of $212 per tonne
• Pre-tax Earnings Prior to Employee Bonus – $10.9million annually
• Estimated local employee bonus pool – $1.64million
The area hosts over 100 small mines, and BacTech isactively exploring the possibility of establishing modern bioleachingfacilities in other regions of Ecuador, Peru, and Colombia. Thecompany aims to collaborate with national and local governments,non-governmental organizations (NGOs), and other stakeholders to fundthese projects and ensure adherence to high environmental and ESG(Environmental, Social, and Governance) standards.
About BacTech EnvironmentalCorporation
BacTech Environmental Corporation is a company thatspecializes in environmental technology. We use a process calledbioleaching to recover metals like gold, silver, cobalt, nickel, andcopper, while also safely removing harmful contaminants like arsenic.This process is eco-friendly and uses naturally occurring bacteriathat are safe for both humans and the environment. By using ourproprietary method of bioleaching, we can neutralize toxicconcentrates and tailings while also creatingprofitable opportunities. The company is publicly traded on severalstock exchanges, including the CSE, OTCQB, and Frankfurt StockExchange.
For further information contact:
Ross Orr
President & CEO, BacTechEnvironmental Corporation
416-813-0303 ext. 222
Vimeo http://vimeo.com/bactechgreen
Special Note Regarding Forward-Looking Statements
This news release contains “forward-lookinginformation”, which may include, but is not limited to, statementswith respect to future tailings sites, sampling or otherinvestigations of tailing sites, the Company’s ability to make useof infrastructure around tailings sites or operating performance ofthe Company and its projects. Often, but not always, forward-lookingstatements can be identified using words such as “plans”,“expects”, “is expected”, “budget”, “scheduled”,“estimates”, “forecasts”, “intends”, “anticipates”, orbelieves” or variations (including negative variations) of suchwords and phrases, or state that certain actions, events or results“may”, “could”, “would”, “ might ” or “will” be taken, occuror be achieved. Forward-looking statements involve known and unknownrisks, uncertainties and other factors which may cause the actualresults, performance, or achievements of the Company to be materiallydifferent from any future results, performance or achievementsexpressed or implied by the forward-looking statements.Forward-looking statements contained herein are made as of the date ofthis news release and the Company disclaims, other than as required bylaw, any obligation to update any forward-looking statements whetherbecause of new information, results, future events, circumstances, orif management’s estimates or opinions should change, or otherwise.There can be no assurance that forward-looking statements will proveto be accurate, as actual results and future events could differmaterially from those anticipated in such statements. Accordingly, thereader is cautioned not to place undue reliance on forward-lookingstatements.
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This press release does not constitute an offer to sellor a solicitation of an offer to buy any of the shares, nor is it asolicitation of interest from a prospective investor.
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