Mr. Ross Orr reports

MIRARCO SECURES GRANT MONEY TO COMPLETE PILOT TESTING BACTECH ENVIRONMENTAL BIOLEACHING IP FOR NICKEL-COBALT RECOVERY FROM TAILINGS

Bactech Environmental Corp. industry partner Mirarco Mining Innovation will receive $280,000 in grant money through the Mining Innovation Commercialization Accelerator (MICA) network, a program focused on developing initiatives for the commercialization of mining technology to increase productivity and sustainability within the mining sector.

The funding will be used to help develop and complete pilot testing of Bactech's novel bioleaching process relevant to the treatment of pyrrhotite to advance the recovery of nickel and cobalt battery metals. Pyrrhotite is a very volatile sulphide mineral containing nickel and cobalt values that oxidizes rapidly and produces large amounts of iron and sulphur components as byproducts, which are typically considered as wastes. Pyrrhotite tailings used in testing will be provided to Mirarco by industry partner Vale.

Dr. Nadia Mykytczuk, a leader in biomining technology, member of Bactech's advisory board, and president and chief executive officer of Mirarco Mining Innovation, is leading the development and building of a bioleach pilot plant to be located in Sudbury, Canada. Working closely with Bactech's scientific team, the plant is for the testing of various bioleaching processes like the company's proposed approach for pyrrhotite treatment.

"Focusing on 'made in Canada' scientific solutions for waste mine management makes sense, and bioleaching is well positioned to complement modern mining practices and help extract critical minerals from waste," said Dr. Mykytczuk. "Partnerships with industry are important in accelerating the scale-up and commercialization of these types of technologies, and the MICA grant will help deliver on these goals."

About Bactech Environmental Corp.

Bactech is a company that specializes in environmental technology. It uses a process called bioleaching to recover metals like gold, silver, cobalt, nickel and copper, while also safely removing harmful contaminants like arsenic. This process is eco-friendly and uses naturally occurring bacteria that are safe for both humans and the environment. By using its proprietary method of bioleaching, the company is able to neutralize toxic concentrates and tailings while also creating profitable opportunities. The company is publicly traded on several stock exchanges, including the Canadian Securities Exchange, OTCQB and Frankfurt Stock Exchange.

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 sulphide gold ore (arsenopyrite). The company's plan is to build a 50-tonne-per-day bioleach plant capable of treating high gold/arsenic material. A 50-tonne-per-day 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 continuing 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. Bactech has signed an agreement with the government to build a phase 2 plant that would see the addition of 150 to 200 tonnes per day of capacity, capable of producing in excess of 100,000 ounces per annum.

Key economic highlights, assuming a base gold price at $1,600 per ounce:

• Pretax NPV (net present value with a discount rate of 5 per cent) of $60.7-million;
• Pretax IRR (internal rate of return) of 57.9 per cent;
• Annual gold production of 30,900 ounces;
• Capital cost of $17.0-million;
• Bioleach operating cost of $212 per tonne;
• Pretax earnings prior to employee bonus of $10.9-million annually;
• Estimated local employee bonus pool of $1.64-million.

In total, there are over 100 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 financing 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 (environmental, social and governance) considerations.

We seek Safe Harbor.