Toronto, Canada, June 6, 2011 – BacTech Environmental Corporation (“BacTech” or the “Company”, CNSX: BAC) today announced that it has signed a Memorandum of Understanding (“MOU”) for a tailings project in Chihuahua, Mexico, with TW SEOP, S.C., doing business as “Teamwork” (“Teamwork”). This is BacTech’s second tailings related transaction since becoming a stand-alone company as a result of the Plan of Arrangement completed with REBgold this past December.

The tailings are located at the closed Avalos smelter in the city of Chihuahua. Teamwork was recently engaged by the State Government of Chihuahua through the Avalos Trust (Fideicomiso Avalos) to remove all the surface material from the site. Included in the material to be removed is a yet to be quantified amount of tailings containing up to 250 g/t silver, 10% zinc and 3.5% lead, slag produced from the smelting operation and concentrates that were left behind at the time of closing. BacTech cautions the reader that the potential quantity and grade of the tailings are conceptual in nature, as insufficient test work has been carried out on the tailings to define a mineral resource at this time. It is uncertain if the test work to be conducted by BacTech/Teamwork will result in the tailings being delineated as a mineral resource.

In 2007, a limited study was conducted by the state-run Mexican Geological Service on the mineralogy of the tailings. The following results were generated from samples taken at the time. The test work was completed by the Chihuahua office of the Mexican Geologic Service.

Element
Unit
Ag
g/t
Au
g/t
Cu
%
Pb
%
Zn
%
Detection Limits 0.01 g/t 0.001 g/t 0.001 % 0.001 % 0.001 %
Lab Sample ID Field Sample ID
38089 1007 31.01 N.D 0.188 1.93 3.52
38090 1008 N.D N.D 0.191 1.15 9.34
38091 1009 70.21 N.D 0.359 2.29 9.12
38092 1010 246.31 N.D 0.721 4.92 10.1
38093 1011 15.51 N.D 0.034 3.23 1.09
38094 1012 27.51 N.D 0.227 1.74 10.1
38095 1013 N.D N.D 0.272 0.861 10.9
38096 1014 N.D N.D 0.229 1.08 10.2
38097 1009-DPL 70.11 N.D 0.359 2.3 9.06
% Precision (by duplicates) 99.9 100 99.6 99.3

From the table above, the reader will note the high grade of zinc in some of the samples. This is due to the fact that the zinc recovery was suppressed at the original time of concentration to separate it from the silver/lead concentrate that was floated. At the time of production (>80 years ago), there were significantly fewer uses for zinc than today.

The MOU outlines the steps to be taken by both companies as they work towards signing a definitive joint venture agreement. Last week, Teamwork began using an excavator to dig to 3 – 5 meters below surface to obtain fresh, un-oxidized samples that will be concentrated at the Mexican Geological Service laboratory in Chihuahua. The generated concentrates will then be shipped to BacTech’s lab in Canada where a diagnostic test and a bioleach study will be undertaken. The test work should be completed within 4-5 months.

Should the bacteria test work prove to be positive, the MOU provides that BacTech and Teamwork will negotiate, in good faith, a definitive joint venture agreement. Under the contemplated joint venture agreement, BacTech will be the operator and would own a 50% interest in the project. In addition, BacTech and Teamwork would own together, on a 50/50 basis, a bioleach facility to process concentrates from the Avalos tailings as well as other concentrates from tailings that the JV is able to secure in northern Mexico.

Adjacent to the tailings is an active rail line that will be considered to transport the Avalos tailings from the site to a new property that will be selected for the concentrator and bioleach plant. Trucking of the tailings material to the new site will also be considered.

Completion of the transaction is subject to obtaining satisfactory results from the initial test work, negotiation of a mutually acceptable definitive joint venture agreement, and receipt of board and any required regulatory approvals.

BacTech continues to investigate additional prospective projects as it strives to build an inventory of gold and base metals hosted in historic problematic mine tailings. The Company has targeted an aggressive growth strategy and hopes to advance, at a minimum, two projects to a production decision within the next twelve months. The mining industry’s legacy of environmental liability, coupled with bioleaching’s ability to stabilize arsenic, is proving to be a substantial business opportunity for BacTech. The Company’s goal is to be the leader in the mine tailings reclamation business.

Ross Orr, President and CEO of BacTech said, “We are pleased to learn of the opportunities that exist in the state of Chihuahua with respect to tailings reclamation. Our relationship with Teamwork will allow us to have access to other opportunities in the area as well. This is a great fit for BacTech and we are pleased to be working with a local partner who has an interest in developing future business in the State of Chihuahua for this joint venture.”

Carlos Arzola, President of Teamwork, added, “We are excited about this opportunity to partner with BacTech for a potential venture that could bring many benefits to our region. Not only would it represent an important foreign investment, but it would be so for an innovative, environment-friendly technology, which is important for us and the local government.”

Finally, the Company has been notified that its shares are now trading on the Berlin Stock Exchange (www.boerse-berlin.com) under the symbol “0BT”. The market maker is Baader Bank AG.

Special Note Regarding Forward-Looking Statements: Certain statements included or incorporated by reference in this news release, including information as to the future financial or operating performance of the Company, its subsidiaries and its projects, constitute forward-looking statements. The words “believe,” “expect,” “anticipate,” “contemplate,” “target,” “plan,” “intends,” “continue,” “budget,” “estimate,” “may,” “schedule” and similar expressions identify forward-looking statements. Forward-looking statements include, among other things, statements regarding targets, estimates and assumptions in respect of gold production and prices, operating costs, results and capital expenditures, mineral reserves and mineral resources and anticipated grades and recovery rates. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by the Company, are inherently subject to significant business, economic, competitive, political and social uncertainties and contingencies. Many factors could cause the Company’s actual results to differ materially from those expressed or implied in any forward-looking statements made by, or on behalf of, the Company. Investors are cautioned that forward-looking statements are not guarantees of future performance and, accordingly, investors are cautioned not to put undue reliance on forward-looking statements due to the inherent uncertainty therein. Forward-looking statements are made as of the date of this press release and the Company disclaims any intent or obligation to update publicly such forward-looking statements, whether as a result of new information, future events or results or otherwise.

BacTech Environmental profile

BacTech Environmental Corporation was created through a Plan of Arrangement completed on December 2, 2010, whereby shareholders of the former BacTech Mining Corporation (“BMC”), renamed REBgold Corporation, were issued, in exchange for their BMC shares, 1 share of REBgold Corporation and 1/5th of one share of BacTech Environmental. BacTech Environmental holds the exclusive rights to use the patented BACOX bioleaching technology for reclamation of tailings and mining waste materials. On April 25th BacTech was awarded a contract by 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. This is the Company’s first project since the Plan of Arrangement was completed. See http://www.bactechgreen.com/s/SnowLake.asp.

For further information contact:

Ross Orr, President & CEO:
416-813-0303 ext 222
Email: info@bactechgreen.com
Shares outstanding 34,978,361

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.