VANCOUVER, BC – BioteQ Environmental Technologies Inc. (TSX:BQE), a leader in the treatment of metal and sulphate contaminated water, has announced that it is initiating the second of six potential water treatment projects identified in its November 2006 joint venture agreement with Jiangxi Copper Company (“JCC”), China’s largest copper producer. With the first joint venture plant at JCC’s Dexing site now operational, the joint venture company, JCC-BioteQ Environmental Technologies Co. Ltd., has initiated work on the second project, located at JCC’s Yinshan mine site in Jiangxi Province.
The joint venture has approved the first stage of the new project, which is a design report to be conducted jointly by BioteQ and JCC that will define the scope of the Yinshan project, including plant capacity and cost estimates. The design report is in progress and is expected to be completed during the second quarter for review by the joint venture. The timing of the project is subject to approval of the design report, detailed engineering, and permit requirements for a planned expansion of the Yinshan Mine site by JCC.
The joint venture agreement with JCC includes a license contract whereby BioteQ provides its patented technology on a royalty-free basis to the joint venture company for use at the Dexing project as well as five additional sites owned and operated by JCC, including Yinshan. JCC is the first mining company in China to use the BioteQ technology to enhance the environmental performance of its mining operations.
Project Description – Yinshan Mine
The Yinshan Mine, located near Dexing City in Jiangxi Province, China, currently produces 1,700 tonnes of lead, 2,000 tonnes of zinc, and 3,000 tonnes of copper annually. Current resource estimates provide for 50 years of operation at present production rates. Mine drainage from waste dumps and low grade stockpiles is acidic and contains copper and zinc. The resulting water is toxic to the environment and must be treated.
In addition to highly favourable project economics that meet BioteQ’s 3 year pay-back criteria based on the anticipated recovery of saleable metal products, the water treatment plant will provide significant environmental benefit to the Yinshan Mine, improve the overall ability to manage acid water at the mine and extend the life of the existing tailings pond.
The Yinshan project will be developed within the existing joint venture company on the same commercial terms as the Dexing project. The joint venture agreement provides for a sharing of engineering and construction activities for each project and the joint venture partners will fund the plant equally and share in plant operating costs and revenues on the same basis. BioteQ will provide the Operating & Technical Manager for the joint venture and day-to-day plant operation supervision, while JCC will provide the General Manager and administrative support to the joint venture. JCC will arrange for local permit requirements.
Jiangxi Copper Company Profile
Jiangxi Copper Company Limited is China’s largest copper company, and is an important producer of sulphur, gold, and silver. The company is a state supported key enterprise involved in all aspects of mining including exploration, mining, milling, smelting and refining. The company owns five large copper mines in China (including the Dexing Copper Mine, the largest open pit mine in the country), employs 30,000 people, and trades on stock exchanges in Shanghai, Hong Kong, and London.
BioteQ Corporate Profile
BioteQ builds, owns and operates water treatment plants for the world’s mining companies and utility operators, reducing environmental liabilities while generating revenue from waste. The Company’s commercially proven technology treats acid mine drainage and other metal-laden waste water by sequentially removing metals and sulphate, producing saleable metal products and clean water that can be discharged safely to the environment. BioteQ is headquartered in Vancouver, Canada, and trades on the TSX under the symbol BQE. For additional information, go to www.bqewater.com.
On behalf of the Board of Directors
The Toronto Stock Exchange has not reviewed and does not accept responsibility for the adequacy or the accuracy of this release.