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 second quarter and the six-months ended June 30, 2008. All figures are in Canadian dollars and are in accordance with Canadian GAAP.
Second quarter operating and financial highlights include:
- Two new plants located in China and Australia were successfully commissioned, with production ramped up over the quarter.
- Revenues increased by 40% to $1.5 million in Q2 2008, compared to $1.1 million in Q2 2007, primarily due to new revenues from the China operation. Excluded from this revenue was $925,000 in production from Mt. Gordon during Q2 2008, due to transportation delays. This sale has been booked in early 3Q 2008.
- The net loss for the quarter was $747,000, compared to $667,000 in Q2 2007.
- Plant operations generated positive cash flow of $593,000 for Q2, and close to $1 million for the year-to-date.
- BioteQ continues to maintain a strong balance sheet, with $18.6 million in working capital and no debt.
BioteQ’s second quarter 2008 financial performance reflect results from 4 operations – water treatment plants at Bisbee, Raglan, Dexing, and gold plant commissioning at Lluvia de Oro. Production from the Mt. Gordon site is not reflected in the Q2 operating results because the concentrate produced during the quarter was shipped shortly after the quarter end, due to a transportation delay beyond the control of the Company. As a result, revenues of approximately $925,000 from the sale of 274,000 pounds of copper are expected to be recognized in the third quarter, based on current metal prices. The net realizable value of the concentrate has been reflected as inventory.
Brad Marchant, BioteQ’s CEO, stated, “BioteQ’s investments in new plants are beginning to provide returns, and the Company is well positioned for additional growth over the balance of 2008. The Company now has five active operations, with four new plants under construction and a strong development pipeline of new projects to drive future growth.”
BioteQ remained active with new projects and new technology during the second quarter, with capital expenditures of $1.6 million invested in new plants and equipment, primarily for completion of the new water treatment plant at the Lluvia de Oro gold mine site in Mexico, which is presently ramping up production. The Company expects to invest a further $2 million over the balance of 2008 on projects in Chile, China and Canada.
A conference call to discuss the financial results is scheduled for Tuesday August 12, at 11:00 am Eastern. Participants may call 416-695-7806 or 1-888-789-9572 and enter reference number 3268313#. A replay of the call will be available until August 26 by dialing 416-695-5800 or 1-800-408-3053, reference number 3268313. A recording 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.