Mr. Ross Orr reports

BACTECH ENVIRONMENTAL LAUNCHES PERU INITIATIVE FOR TAILINGS REPROCESSING

Bactech Environmental Corp. has launched its Peru initiative for the reprocessing of historic mine tailings using bioleaching.

The company has established a wholly owned Peruvian subsidiary, Bactech Verde Peru S.A.C., through which it intends to review the government's inventory of historic mine tailings and to identify potential reprocessing opportunities. Many of these tailings were inherited by the state through the bankruptcy of the entities that produced them and a number carry elevated arsenic content, which can make them amenable to bioleaching. The metals of interest are gold, silver and copper. To date, the company has not entered into any agreement or other formal arrangement with the government or any other party in respect of any specific tailings project, and has not secured access to any specific project or commercial opportunity. There can be no assurance that any such arrangement will be entered into, or that any specific project or opportunity will be secured.

BACOX is Bactech's proprietary bioleaching process and has been used at four commercial plants built under licence by Bactech. Where tailings have already passed through crushing and grinding, they may be refloated to produce a sulphide concentrate that can then be bioleached to recover gold and silver as a dore. The technical or economic viability for any particular tailings in Peru has not been determined and would depend on the results of test work and studies that have not yet been undertaken.

Bactech is also developing its patent-pending Zero Tailings technology. If it is successfully developed and commercialized, the company believes Zero Tailings could, in addition to recovering precious and base metals, produce marketable byproducts such as magnetite, an ammonium sulphate fertilizer and silica (sand). Zero Tailings has not been commercially proven, and there is no assurance that it can be successfully developed, commercialized or applied to any tailings in Peru. The company announced a separate, staged tailings program in Kazakhstan on Sept. 1, 2026.

Presently, most of the arsenopyrite concentrates produced in Peru are sent to China for processing. One of the company's longer-term objectives is to help establish a domestic processing option for high-arsenic material, which could retain that value within the country.

The initial stage of the initiative involves a review of the government's inventory of tailings in need of remediation. If one or more suitable targets are identified, Bactech would seek to engage the relevant authorities regarding a possible commercial arrangement that could include a royalty payable to the government or the local community on any metals or products produced. There can be no assurance that any target will be identified or that any agreement will be reached.

Bactech has engaged Neil Tito Acosta Marinos as the company's country manager. Mr. Acosta is based in Trujillo in northern Peru and brings an extensive background in the field.

The Peru initiative is at an early and exploratory stage, and is subject to a number of significant risks and uncertainties. These include the risk: that suitable tailings projects may not be identified or accessed; that the necessary governmental, regulatory and community approvals may not be obtained; that commercial arrangements may not be successfully negotiated on acceptable terms or at all; that testwork may not demonstrate acceptable technical or economic results; and that any project ultimately pursued may not prove economically viable. Investors are cautioned not to place undue reliance on the potential of the initiative.

About Bactech Environmental Corp.

Bactech Environmental is a leader in commercial bioleaching, utilizing naturally occurring bacteria to recover valuable metals while stabilizing harmful elements such as arsenic. The company is advancing a fully permitted 50-tonne-per-day bioleach facility in Tenguel-Ponce Enriquez, Ecuador, and is developing its proprietary Zero Tailings critical minerals recovery technology in Sudbury, Canada.

Bactech trades on the Canadian Securities Exchange, the OTCQB and the Frankfurt Stock Exchange.

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