=======================================================================
BacTech And Gold Bullion Team Up In Cobalt Camp - Study Planned
For Silver/Cobalt/Arsenic Tails' Remediation
=======================================================================
Toronto, Canada, September 2, 2008 - BacTech Mining Corporation
("BacTech" or the "Company", TSX-V: BM) today announced that it has
signed a Memorandum of Understanding with Gold Bullion Development
Corp. ("Gold Bullion", TSX-V: GBB) of Cobalt, Ontario. The basis of the
agreement entails BacTech investigating the use of its proprietary
bioleaching technology to treat certain tailings in the Cobalt Camp in
northeastern Ontario for the recovery of cobalt and silver. In
addition, BacTech will investigate potential environmental remediation
for the associated arsenic in the tailings. In the event of a positive
outcome from the study, both parties will formalize the agreement
through the creation of a Joint Venture ("JV").
Silver and cobalt were first discovered in 1903 in the Cobalt Camp and
by 1922, cumulative production had reached over 333 million ounces of
silver. Given the fact that there were very few applications for cobalt
metal prior to World War II, most of the cobalt was disposed of along
with the tailings on surface or pumped into local lakes. The rush to
mine deposits of silver, combined with a lack of knowledge about
environmental protection, led to very large amounts of waste rock, mine
tailings and refinery waste throughout the area.
What has been left behind potentially offers considerable upside for
BacTech and Gold Bullion. Studies have shown that tailings in the
Cobalt area contain very high amounts of arsenic, as well as nickel and
cobalt. The concentrations of these metals vary between tailings
deposits, but arsenic is found in all of the tailings in the area. Many
of these tailings continue to be the source of water pollution which
leads to high levels of arsenic and other contaminants in the lakes and
streams around Cobalt.
The advantage of BacTech's bioleaching technology is its' ability to
capture cobalt and silver, as well as treat and neutralize arsenic from
concentrates. The release of arsenic through bioleaching and its
subsequent bonding with iron produces a stable ferric arsenate end
product which is classified as benign by the United States
Environmental Protection Agency. In addition to treating the arsenic in
the tailings, BacTech will also be investigating the prospects of
delivering cobalt and nickel into solution for conventional recovery.
Ross Orr, President and CEO of BacTech stated, "This agreement opens up
new avenues for BacTech. The environmental side of mining offers
opportunities to clean up historic problems with the upside of
recovering metals for our own account. We will be introducing ourselves
to fund managers who operate in the environmental arena in addition to
the resource sector."
Gold Bullion will deliver to BacTech a representative sample of
approximately 500 kg for concentration from its Castle Mine tailings
(see Gold Bullion press release dated June 5, 2008) to conduct
preliminary bioleach amenability work. Should positive results be
achieved, BacTech and Gold Bullion will proceed to the construction of
a pilot plant to be sited in the Cobalt Camp under a
still-to-be-determined sharing of obligations.
A proposed flow sheet is expected to show a relatively low grade bulk
concentrate produced from the tailings in which much of the arsenic is
captured together with cobalt and nickel metal. An attribute of
bioleaching is its ability to economically treat low grade concentrates
that would not be accepted by conventional smelters. The concentrate
would be subjected to bioleaching, resulting in arsenic neutralization
and the release of cobalt and nickel metal into solution. A
cobalt/nickel precipitate is the most likely end product, which will
either be shipped offsite for processing, or a study will look into the
possibility of producing metal onsite.
BacTech's ability to work with precious metals has been commercially
proven at three different bioleach plants. In addition, BacTech has
demonstrated its abilities in base metal concentrates with Industrias
Pe�oles de C.V. in Mexico.
BACTECH PROFILE
BacTech has developed and patented bacterial oxidation technology for
the treatment of refractory ores and concentrates to enhance the
recovery of gold, silver and base metals. BacTech has successfully
commissioned three bioleach plants for gold and demonstrated its
technology in the selective recovery of base metals from complex
sulphide concentrates in a joint project with Industrias Pe�oles de
C.V. of Mexico that was completed in 2001. The Company's focus is the
acquisition of equity positions in projects amenable to bioleaching.
The Company recently signed an agreement to acquire Yamana Gold Inc.'s
33% interest in 2 refractory gold deposits in Papua New Guinea.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION
Except for statements of historical fact relating to the Company,
certain information contained herein constitutes "forward-looking
statements". Forward-looking statements are frequently characterized
by words such as "plan," "expect," "project," "intend," "believe,"
"anticipate" and other similar words, or statements that certain events
or conditions "may" or "will" occur.
Forward-looking statements are based on the opinions and estimates of
management at the date the statements are made, and are subject to a
variety of risks and uncertainties and other factors that could cause
actual events or results to differ materially from those projected in
the forward-looking statements. These factors include the inherent
risks involved in the exploration and development of mineral
properties, the uncertainties involved in interpreting drilling results
and other ecological data, fluctuating metal prices, the possibility of
project cost overruns or unanticipated costs and expenses,
uncertainties relating to the availability and costs of financing
needed in the future and other factors described in the section
entitled "Risks" in the Company's Management Discussion and Analysis
for the Year Ended December 31, 2007. Circumstances or management's
estimates or opinions could change. The reader is cautioned not to
place undue reliance on forward-looking statements.
- 30 -
For further information contact:
Ross Orr, President & CEO, 416-813-0303 ext 222
Investor Relations:
Pierre Anglos 1-800-436-2027 Email: capitalgainsco@shaw.ca
Shares outstanding 60,107,206
The TSX Venture Exchange has not reviewed and does not accept any
responsibility for the adequacy or accuracy of this release
=======================================================================
Copyright (c) 2008 BACTECH MINING CORPORATION (BM) All rights
reserved. For more information visit our website at
http://www.bactech.com/ or send mailto:info@bactech.com
=======================================================================
.