BioteQ Reports Q1 2015 Financial and Operating Results

VANCOUVER, BC – BioteQ Environmental Technologies, Inc. (TSX : BQE), a leader in the treatment of mine impacted waters, releases its financial and operating results for the period ended March 31, 2015. Further information on the quarterly results can be obtained from the Company’s Q1 2015 Financial Report which includes the Interim Consolidated Financial Statements and Management’s Discussion and Analysis (“MD&A”).

BioteQ will hold a conference call on May 13, 2015 at 11:00 AM EDT to discuss results for the quarter. Participants can dial in as follows:

North America: toll free at 800-505-9573
United Kingdom: toll free at 08002790444
Switzerland: toll free at 0800200345

Participant pass code: 2188508

To ensure clarity and comparability with historic results, certain statements in this news release and in the MD&A are characterized as BioteQ’s “proportional” share, which means the effective portion of results that BioteQ would have reported if each of its joint ventures had been reported in accordance with past accounting standards. For further details, please see “Non-GAAP Financial Measures” in the Company’s Q1 2015 MD&A.

Q1 2015 Financial Results
The Company has reported improved financial results for the quarter. Highlights of results include:

  • Revenues in Q1 2015 as reported under GAAP were $512,000 compared $154,000 in Q1 2014, an increase of 232% compared to the same period in prior year;
  • Proportional revenues for Q1 2015 were $1.3 million compared to $513,000 in Q1 2014, an increase of 158% compared to the same period in prior year;
  • Adjusted loss before interest, tax, depreciation and amortization (“adjusted EBITDA”) for Q1 2015 was $566,000 compared to a loss of $2.0 million in Q1 2014;
  • Net loss for the quarter as reported under GAAP was $650,000 compared to $2.1 million in Q1 2014; and
  • Cash and cash equivalents and short term investments, including our share held in joint ventures, was $1.2 million compared to $2.2 million at December 31, 2014.

Water Treatment Operations
Our joint venture in China with partner Jiangxi Copper Company (“JCC”) treated a total of 3.1 million cubic metres of water and recovered 507,000 pounds of copper in Q1 2015.

  • The two water treatment operations at the Dexing mine site treated 2.6 million cubic metres of water and recovered a total of 361,000 pounds of copper compared to Q1 2014 when we treated 1.3 million cubic metres of water and recovered 212,000 pounds of copper with a single plant.
  • Our new water treatment operation at JCC’s Yinshan mine site treated 541,000 cubic metres of wastewater and recovered 146,000 pounds of copper in Q1 2015. The plant did not operate in Q1 2014.

Sales and New Technology Development
The following is an update on key projects that commenced in 2014 and are currently in progress:

Selenium Removal – Selen-IXTM
In Q2 2014, BioteQ secured a contract with a Canadian gold exploration company to conduct pilot scale testing of its Selen-IX™ technology for selenium removal utilizing its mobile Selen-IXTM pilot plant that was built in 2013. The pilot testing is being used to demonstrate the capacity of the Selen-IX™ process to meet stringent discharge limits for selenium and provide engineering design data required for evaluating the overall capital and operating costs of a full scale plant that would treat up to 43,000 m3/day of wastewater. The current value of the contract is now approximately $1.4 million. Field piloting has now been completed and we are preparing a report of the test results to be reviewed with the customer during Q2.

BioteQ’s outlook for the upcoming year remains in line with estimates previously provided. For 2015, based on current copper prices, foreign exchange rates, and project pipeline, BioteQ anticipates Proportional Revenues to be in the range of $8.0 million to $8.5 million. Adjusted EBITDA loss is expected to be in the range of $400,000 to $700,000.

Although BioteQ remains confident in its full year forecast, a recent event related to its Chinese joint venture will cause a material working capital deficiency in the upcoming months. In BioteQ’s original working capital forecast, BioteQ was expecting to complete an intercompany dividend from its joint venture in China back to its Canadian entity to fund ongoing expenditures outside of its joint venture by July. However, due to new, unforeseen administrative requirements in China, this transaction is expected to be delayed until approximately September of this year.

The Company will now need to access non-operational sources of capital to meet working capital requirements for the short term. Management and the Board are actively pursuing measures to put this financing in place.

While the Company has been successful in securing financing in the past, there is uncertainty whether financing will be available in the future on terms acceptable to the Company. These uncertainties cast significant doubt upon the Company’s ability to continue as a going concern. If the going concern assumption is not appropriate, material adjustments to the financial statements could be required.

Q1 2015 Financial Highlights Summary
For a complete set of Financial Statements and Management Discussion and Analysis, please go to

(unaudited, in $’000 except for per share amounts)

Q1 2015

Q1 2014

$ $
Revenues 512 154
less: Plant and other operating costs (excluding depreciation) 500 151
12 3
General and administration 563 1,103
Sales and development 293 526
Bad debt (recovery) expense (106) 478
Share of results of equity accounted joint venture (80) 30
(658) (2,134)
Depreciation and amortization 55 63
Stock-based compensation 42
Loss before other income (713) (2,239)
Other income – net 63 16
Recovery of NWM settlement 100
Net loss for the period (650) (2,123)
Translation gain on foreign operations 494 174
Comprehensive (loss) for the period (156) (1,949)
Net loss per share (basic and diluted) $(0.01) $(0.02)
Proportional Revenues1 1,326 513
Adjusted EBITDA1 (566)  (1,987)
March 31 December 31



Working capital 566 1,249
Total assets 7,879 8,195
Total long term liabilities 17 20
Shareholders’ equity 6,751 6,891
  • See “Non-GAAP Measures” in MD&A

BioteQ Corporate Profile
BioteQ is a service provider that specializes in treating mining wastewater and specific hydrometallurgical streams with the focus on reducing Life Cycle Costs while achieving compliance and introducing sustainability into water management. We have extensive expertise and operations experience in sulphide precipitation, ion exchange, alkali/lime neutralization and SART process technologies. Over the past decade, BioteQ has designed and commissioned plants at mine sites for leading organizations including Glencore Canada, Freeport McMoRan, Jiangxi Copper and the US EPA and is currently operating six plants under long-term contracts. These plants remove dissolved metals and sulphate to well below the required regulatory discharge limits while reducing or eliminating the production of waste sludge and/or recovering valuable metals from waste streams for sale which reduces the life cycle cost of water treatment. BioteQ is headquartered in Vancouver, Canada and trades on the TSX under the symbol BQE. Please visit our website at for additional information.


The Toronto Stock Exchange has not reviewed and does not accept responsibility for the adequacy or the accuracy of this release.

Certain information contained herein may not be based on historical fact and therefore constitutes “forward-looking information” under applicable Canadian securities legislation. This includes without limitation statements containing the words “plan”, “expect”, “project”, “estimate”, “intend”, “believe”, “anticipate”, “may”, “will” and other similar words or expressions. 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, uncertainties and other factors that may cause actual events or results to differ materially from those expressed or implied by such forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, the Company’s dependence on key personnel and contracts, uncertainty with respect to the profitability of the Company’s technologies, competition, technology risk, the Company’s ability to protect its intellectual property and proprietary information, fluctuations in commodity prices, currency risk, environmental regulation and the Company’s ability to manage growth and other factors described in the Company’s filings with the Canadian securities regulators at (including without limitation the factors described in the section entitled “Risks and Uncertainties” in the Company’s Annual Report for the year ended December 31, 2014 and the section entitled “Risk Factors” in the Company’s Annual Information Form for the year ended December 31, 2014). Given these risks and uncertainties, the reader is cautioned not to place undue reliance on forward-looking statements. All forward-looking information contained herein is based on management’s current expectations and the Company undertakes no obligation to revise or update such forward-looking information to reflect subsequent events or circumstances, except as required by law.