TORONTO, ONTARIO--(Marketwire - March 4, 2011) - BacTech Environmental Corporation ("BacTech Environmental" or the "Company"), (CNSX:BAC) today announced the issuance of 1,221,356 shares to Yamana Gold Inc. ("Yamana").
BacTech Environmental and REBgold Corporation ("REBgold", formerly BacTech Mining Corporation) (TSX VENTURE:RBG) completed a plan of arrangement on December 2, 2010 (the "Arrangement"). As more fully described in REBgold's management information circular issued pursuant to the Arrangement and dated October 14, 2010, BacTech Environmental is required to issue 1,221,356 shares to Yamana. Furthermore, Yamana holds 13,333,333 warrants originally issued by BacTech Mining Corporation to Yamana (the "BacTech Mining Warrants"). Also pursuant to the Arrangement, upon exercise of the BacTech Mining Warrants, REBgold is required to issue 13,333,333 shares to Yamana and BacTech Environmental is required to issue 2,666,666 shares to Yamana. After the issuance of 1,221,356 BacTech Environmental shares to Yamana, Yamana will own approximately 12.76% of BacTech Environmental's outstanding common shares, on an undiluted basis, and approximately 19.78% assuming only Yamana exercises its BacTech Mining Warrants. Yamana currently owns 9.12% of BacTech Environmental's outstanding common shares, on an undiluted basis, and 16.71% assuming only Yamana exercises its BacTech Mining Warrants. The shares are held by Yamana for investment purposes only.
REBgold and Yamana have agreed to extend certain obligations to issue additional shares until April 30, 2011. In the event that certain conditions are not met on or before April 30, 2011, REBgold and BacTech Environmental may be required to issue to Yamana a number of additional shares having an aggregate market value of $487,500, based on the average closing price of REBgold and BacTech Environmental shares for the 20 trading days preceding the date of issuance. In such case, pursuant to the Arrangement, BacTech Environmental would be required to issue shares to Yamana equal to 20% of the number of REBgold shares that would be issued to Yamana.
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.
Shares outstanding 29,246,673