Initial Contract Signed - Work Begins at Wellington Oro Site in Colorado

VANCOUVER, Oct. 3 /CNW/ - BioteQ Environmental Technologies Inc.     
(TSX-V:BQE), is pleased to report that the company has signed the initial
contract with Summit County Open Space and Trails Department ("Summit County")
and the Town of Breckenridge (the "Town") in Colorado to provide its
technology to treat water from the Wellington Oro Mine, which is located near
Breckenridge. The selection of the BioteQ technology was approved by the US
Environmental Protection Agency ("EPA") as the preferred technology for the
site. Project work has been initiated which will include operation of one of
BioteQ's mobile plants at the site to confirm plant design criteria and zinc
product quality. BioteQ is providing the technology on a fee basis for the
Wellington Oro site, including design and construction fees as well as ongoing
process fees. The company will invoice the Town on a progress payment basis as
the project proceeds.
The Wellington Oro Mine, which is located 2 miles east of Breckenridge,
operated as a zinc-silver mine and has been closed since the 1970's. Surface
drainage from the mining area produces an acidic wastewater that requires
treatment before discharge to the French Gulch tributary of the Blue River.
The proposed BioteQ plant, with a design capacity of 150 US gallons per
minute, or approximately 300 million litres per year, will be designed to
recover zinc, lead and cadmium into a zinc-rich concentrate product for
shipment off site for final refining, similar to BioteQ's Caribou plant. The
BioteQ process offers significant benefits for this site as it does not
produce any waste metal-laden sludge for long term storage at the site and
produces high quality water for discharge directly to the environment, similar
to BioteQ's Raglan operation.
BioteQ will be responsible for the design, construction and commissioning
of the treatment plant and ongoing process maintenance on a fee basis. Lyntek,
a Denver based engineering and construction company, is BioteQ's partner on
the project and will provide detailed engineering and construction management
services for the proposed plant as well as ongoing operational support. It is
anticipated that the plant will be commissioned in 2006. Final commercial
terms will be released on completion of the final operating contract.

$600,000 HSBC Loan Facility Drawn
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The remaining $600,000 of the HSBC Bank of Canada loan facility, totaling
$800,000 offered by HSBC as previously announced, has been drawn by the
company to provide working capital to initiate the Wellington Oro project. The
loan is for a 39 month term with a fixed interest rate of 6.7% and is secured
on the assets of the company and cash flow from the Raglan operation. The
first $200,000 of the HSBC loan facility has been repaid by the company from
revenues generated at Raglan.

Corporate Profile
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BioteQ is establishing itself as a leader in the treatment of acid
contaminated water through the use of its patented BioSulphide(R) Process.
Focused on the mining industry, BioteQ has partnered with leading metal
producers including Phelps Dodge, Breakwater and Falconbridge as well as
utilities operator EPCOR Water Services, to finance, design, build and operate
mine site water treatment plants which recover saleable metals in addition to
meeting ever stricter environmental regulations. The Wellington Oro project is
the first BioteQ project involving the EPA.

On behalf of the Board of Directors

Brad Marchant
President & CEO