VANCOUVER, BC- BioteQ Environmental Technologies, Inc. (TSX:BQE), a leader in the treatment of metal and sulphate contaminated water, today reported financial results for the three months ended March 31, 2008. All figures are in Canadian dollars and are in accordance with Canadian GAAP.
BioteQ reported quarterly revenues of $815,000, with positive cash flow from operating activities of $379,000, prior to general and administrative costs and other expenses, compared to revenues of $1,117,000 and cash flow from operating activities of $461,000 in the first quarter of 2007. After all expenses, cash flow from operating activities for the quarter was $7,000 in 2008, compared to $47,000 in 2007. The overall net loss for the quarter was $460,000 in 2008, compared to $315,000 in 2007. The Company continues to maintain a strong balance sheet, ending the quarter with $20.5 million in cash and short-term investments and $19.3 million in working capital.
Revenues for the first quarter were down compared to the first quarter of 2007, primarily because BioteQ is no longer operating the water treatment facilities at the Caribou mine site. In the first quarter of 2007, the Caribou project contributed $245,000 in revenue, with a contribution of $49,000 to cash flow from net operating activities. In addition, revenues from the Bisbee operation are down in 2008, from $730,000 to $557,000 due to a sale in 2007 of inventory from 2006, and also due to a slightly lower copper grade and volume of water treated in 2008.
BioteQ reports that its new water treatment plants in China and Australia completed commissioning as of April 1, 2008. Both plants produced inventories of saleable copper product totaling approximately 128,000 pounds as of March 31; the revenue from the sale of these inventories is expected to be reported in the second quarter.
Brad Marchant, BioteQ’s CEO, stated, “With final commissioning complete, BioteQ expects increased revenue during the second quarter of 2008 compared to 2007, as the new plants ramp up production and contribute to revenues.”
BioteQ has been very active with new projects in the first quarter, with capital expenditures of $4.1 million invested in new plants and equipment. A further $1.3 million is expected to be incurred in completing existing construction projects, primarily the Lluvia de Oro project in Mexico. The Company has 5 projects in its construction pipeline, at locations in the US, Mexico, and Chile. Additional projects are in development in China, Canada, Mexico, and Chile, including the recently announced Yinshan project with Jiangxi Copper Company.
A conference call to discuss the financial results is scheduled for Thursday May 15, at 11:00 am Eastern. Participants may call 416-695-7806 or 1-888-789-9572 and enter reference number 3260794#. A replay of the call will be available until May 30, by dialing 416-695-5800 or 1-800-408-3053, reference number 3260794. A recording of the call will be available within two days of the call on the BioteQ website at www.bqewater.com.
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.