BacTech Mining Corporation
TSX VENTURE : BM

BacTech Mining Corporation

August 01, 2006 16:00 ET

BacTech Announces Private Placement

TORONTO, ONTARIO--(CCNMatthews - Aug. 1, 2006) -

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BacTech Mining Corporation ("BacTech")(TSX VENTURE:BM) today announced a proposed Private Placement of 4,400,000 units at a price of $0.25 per unit for proceeds of $1,100,000. Each unit is comprised of one common share of BacTech and one common share purchase warrant. Each warrant is exercisable for two years and entitles the holder to purchase one common share of BacTech at $0.40 per share during the first year of the exercise period and $0.50 per share in the second year.

The proceeds will be used for general working capital. The private placement is expected to close shortly. The completion of the financing is subject to receipt of all requisite regulatory approvals including the approval of the TSX Venture Exchange.

The Board of Directors also announces that it has approved the issuance of 550,000 options to purchase common shares of the Company to directors, management and consultants. The exercise prices are as follows: 150,000 options at $0.27, 250,000 options at $0.30 and 150,000 options at $0.40. All options have a term of 5 years. The total number of outstanding options under the Company's plan is 3,291,250 or approximately 6.9% of the outstanding shares.

CORPORATE 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 Penoles de C.V. of Mexico. The Company's focus is the acquisition of equity positions in projects amenable to bioleaching.

Shares outstanding 47,606,134

The TSX Venture Exchange has not reviewed and does not accept any responsibility for the adequacy or accuracy of this release

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