BacTech Environmental Corporation

BacTech Environmental Corporation

April 19, 2012 15:07 ET

BacTech Environmental Announces Proposed Private Placement

TORONTO, CANADA--(Marketwire - April 19, 2012) - BacTech Environmental Corporation ("BacTech" or the "Company") (CNSX:BAC)(WKN:A1H4TY) announces that it intends to raise up to $500,000 by way of a private placement of up to 50 units at a price of $10,000 per unit.

Each unit consists of a $10,000 principal amount redeemable convertible unsecured debenture (each a "Debenture") and 50,000 Series E common share purchase warrants ("Series E Warrants"). The Debentures will bear interest at 12% per annum, payable quarterly, with the principal due at maturity two years after closing. BacTech has the option to redeem the Debentures at par at any time which is at least 120 days after the date of issuance. At any time prior to maturity or redemption, the Debentures are convertible at the option of the holder into common shares at a conversion price of $0.20 per share. Each Series E warrant will entitle the holder to purchase one common share at a price of $0.20 for a period of two years from the closing date. The Debentures and warrants, and the common shares issuable upon conversion of the Debentures and exercise of the warrants, will be subject to a four-month hold period from the date of closing of the private placement.

In connection with the private placement finder's fees of 8% cash and 8% finder's warrants may be paid to arm's length parties who introduce subscribers for the units. Each finder's warrant will be exercisable for one common share at $0.20 for a period of one year from closing.

The proceeds of the private placement will be used for working capital, bioleach test work on new projects under evaluation, and expenses related to the Snow Lake economic study project in Manitoba.

BacTech profile

BacTech Environmental holds the perpetual, exclusive, royalty-free rights to use the patented BACOX bioleaching technology for the reclamation of tailings and mining waste materials. In November, BacTech signed a contract with the Mines Branch of the Manitoba Department of Innovation, Energy and Mines, to remediate an arsenopyrite gold stockpile situated at the Snow Lake Mine in Snow Lake, Manitoba. The Company continues to field enquiries globally with respect to additional opportunities for remediation.

Shares outstanding 39,088,361

The Canadian National Stock Exchange (CNSX) has not reviewed and does not accept responsibility for the adequacy or the accuracy of the contents of this release.

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