BWTR Basin Water (MM)

Basin Water, Inc. (Nasdaq:BWTR): A technical research paper on Basin Water's patented "BionExchange(R) Technology" for the removal of perchlorate from ion exchange resins is being presented at the Second International Conference on Environmental Science and Technology, sponsored by the American Academy of Science on Saturday, August 19, 2006 in Houston, Texas. This prestigious conference includes many of the top scientists from around the world who focus on environmental science and technology, presenting new approaches and the latest developments in scientific research focusing on the transfer of technology to products and processes. The co-author of the paper, Dr. Jacimaria Ramos Batista, Associate Professor of Environmental Engineering at University of Nevada Las Vegas, is one of the foremost experts on perchlorate contamination in the environment. The technical paper presents Basin Water's patented BionExchange(R) process, a method whereby ion exchange resins used to remove perchlorate from drinking water are regenerated for reuse through a biological process. Additionally, the perchlorate contaminant in the resin is completely destroyed and removed from the environment. The President and Chief Executive Officer of Basin Water, Peter Jensen, said, "We are very excited about this new technology. The presentation in Houston at the technical conference will describe and demonstrate the success of our newly developed technique. "We believe the commercialization of our patented 'BionExchange(R) Technology' will be a very important development for Basin Water. We are nearing completion of the two phases of this commercialization process, the first being the installation of a one million gallon-per-day perchlorate contamination removal system in Southern California, which will supply the perchlorate-loaded resin to be treated. The second phase is nearing completion as well, which is final design, construction and permitting of the full-scale treatment reactor to both destroy the perchlorate contaminant and provide for the reuse of the ion exchange resin." Mr. Jensen continues, "The reuse of the regenerated resin is expected to provide significant savings and greatly expanded opportunities for Basin Water and its customers. The process is also beneficial in that it completely destroys the contaminant and removes it from the environment to prevent the perchlorate from causing contamination elsewhere. We expect the regeneration facility to be on-line and in operation in the next few quarters." About Basin Water Basin Water, Inc. designs, builds and implements systems for the treatment of contaminated groundwater, providing reliable sources of drinking water for many communities. Basin Water has developed a proprietary, scalable ion-exchange wellhead treatment system that reduces groundwater contamination levels in an efficient, flexible and cost effective manner. Additional information may be found on the company's web site: www.basinwater.com. Forward Looking Statements This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These statements, including expectations relating to future revenues and income, the company's ability to gain new business and control costs, involve risks and uncertainties, as well as assumptions that, if they prove incorrect or never materialize, could cause the results of the company to differ materially from those expressed or implied by such forward-looking statements. Actual results may differ materially from these expectations due to various risks and uncertainties, including: the company's limited operating history, significant fluctuations in its revenues from period to period, its ability to effectively manage its growth, the success of the company's strategic partners, its long sales cycles, market acceptance of its technology, the geographic concentration of its operations and customers, its ability to meet customer demands and compete technologically, the company's ability to protect its intellectual property, regulatory approvals of the company's systems, changes in governmental regulation that may affect the water industry, particularly with respect to environmental laws and the company's ability to manage its capital to meet future liquidity needs. More detailed information about these risks and uncertainties are contained in the company's filings with the Securities and Exchange Commission, including the company's Form S-1 and Quarterly Reports filed on Form 10-Q. The company assumes no obligation to update these forward-looking statements to reflect any change in future events.