Basin Water Launches Envirogen(R) Line of Environmental Treatment Products at WEFTEC 2008

Basin Water, Inc. (NASDAQ:BWTR) unveiled its newly acquired line of Envirogen environmental treatment products at WEFTEC 2008. In the area of water treatment, Envirogen products include fluidized-bed bioreactors, membrane bioreactors and suspended carrier reactor systems. For odor and VOC control applications, Envirogen products include modular and built-in-place systems for a wide range of air flow rates, as well as its BioTower bioscrubber technology for small-footprint applications. Common features of Envirogen products are the low lifecyle costs these systems provide as well as predictable, reliable environmental performance. With over 200 installations in municipal and industrial wastewater, groundwater remediation and odor control/VOC air applications across the United States today, Envirogen products have a track record of proven performance. These systems will be backed by Basin Water’s technology+services business model that combines proprietary or specialized technologies with long-term relationships built through performance-based service agreements to deliver worry-free environmental solutions with lowest lifecycle costs.

According to Mike Stark, President & CEO of Basin Water, Envirogen products are an ideal addition to a Basin Water technology portfolio that focuses on lowest lifecycle cost solutions in environmental applications. "By their very nature, biological treatment systems have the potential to offer the lowest cost treatment alternatives in the applications they serve. What is unique about the Envirogen line – and the team that has developed and implemented these solutions over the past fifteen years – is the ability to handle small to very large volumes of either water or air, and to target high concentration, difficult to remove contaminants, leading to a high quality effluent,” he said. "At Basin Water, we feel that, combined with our technology+services approach to solutions development, these systems provide a new opportunity for industry, municipalities and the consulting engineer to improve environmental performance at the lowest cost possible,” he added.

Biological Water Treatment

Envirogen bioreactor systems are designed to handle a broad range of contaminants, flow rates and contaminant concentrations. On the high-flow end of the spectrum, Envirogen fluidized-bed bioreactors feature a fixed-film reactor column that fosters the growth of microorganisms on a hydraulically fluidized bed of media. The fluidized media can provide a biomass inventory of up to 15,000 mg/L – allowing the treatment of high flow rates and relatively high contaminant loadings. Using different reactor designs, media and contact times Envirogen treatment systems can be specified to deliver cost-effective, high-quality effluent across a wide range of organic compounds and hydraulic loads, with a small footprint and a minimal generation of biosludge. Primary applications for this technology have been groundwater remediation and nitrate removal in wastewater treatment from industry, but we are entering a time when contaminant removal to produce drinking water, municipal wastewater nutrient load reduction (nitrate removal) and the potential to treat oil & gas production waters present new opportunities for putting the technology to work.

Envirogen membrane bioreactor systems combine the benefits of a suspended growth reactor with the solids separation capability of an ultra - or microfilter membrane unit. The membrane bioreactor systems are particularly well-suited to wastewater or groundwater streams with difficult to treat organics, high contaminant concentrations, highly variable influent compositions or for sites where system footprint is a concern. Envirogen membrane bioreactor applications today include batch chemical plant effluents, landfill leachate, chlorinated solvents in manufacturing wastewaters, publicly owned treatment works (POTWs) with space restrictions, phosphorous control, and wastewater from pharmaceutical intermediate manufacture and the food and beverage industries. All of these applications take advantage of the fast system startup, limited operator requirements and low lifecycle costs of Envirogen’s membrane bioreactor technology.

Envirogen suspended carrier reactor systems are integrated, fixed-film moving bed activated sludge biological systems for the treatment of municipal and industrial wastewaters. These systems are particularly well suited for retrofit applications in activated sludge biotreatment installations that are operating at or exceeding design capacity. These systems offer the benefits of low capital, installation, and operating costs and can increase system capacity by as much as 100%, while at the same time, improving removal of contaminants such as nitrogen. They have a ‘net zero’ effect on labor and plant real estate requirements.

Cost-effective Odor and VOC Control

Basin Water’s Envirogen biofilters use naturally occurring microorganisms to treat air containing odorous substances such as reduced sulfur compounds and volatile organic compounds (VOCs). Microorganisms reside on the surface of the biofilter media and only require irrigation water and small quantities of nutrient (for some applications). Microorganisms consume the odorous contaminants for energy and, in the process, cleanse the air - providing cost-effective odor and VOC control.

Envirogen odor and VOC control systems include modular package biofilters (P-Series and H-Series) for small air flow rate applications, built-in-place (BIP) biofilter systems for larger airflow rate applications and BioTower bioscrubbers for space-limited applications. Envirogen odor and VOC control systems offer long media life and low power consumption - meaning low lifecycle costs for an installation. Media types are matched to the treatment challenge and can include inorganic mineral-based media, foam-based media and an organic media composed of aged bark product.

The systems are built from modular, standardized components that can be pre-assembled or quickly installed in place. One of the major advantages of biofiltration in odor and VOC control applications is the fact that chemical storage is not required – minimizing exposure to the public and employees.

According to Dave Enegess, Basin Water’s Vice President for Envirogen Products, the time has come for the Envirogen line of environmental treatment products to step into the limelight. "These biological systems deliver outstanding treatment performance in a very cost-effective manner – by harnessing a natural process. Our systems have a proven track record of performance in a number of very difficult installations. And we think these are the types of solutions that municipalities and manufacturing facilities are looking for right now. We’re looking forward to taking this technology to market in combination with the strong management team and the element of service provided by Basin Water,” he added.

About Basin Water

Basin Water, Inc. designs, builds and implements systems for the treatment of contaminated groundwater, industrial process water and air streams from municipal and industrial sources. It provides reliable sources of drinking water for many communities, and the ability to comply with environmental standards and recover valuable resources from process and waste water streams. Basin Water has developed proprietary, scalable ion-exchange, biological and other treatment systems that effectively process contaminated water and air 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 ability to integrate the bioreactor and biofilter business and operate it on a profitable basis, the Company’s ability to retain the employees associated with the bioreactor and biofilter business, the Company’s ability to successfully and profitably offer the Envirogen line of environmental treatment products, the effect of any potential restatement of the Company’s financial statements, the Company's limited operating history, significant operating losses associated with certain of the Company's contracts, the Company's ability to identify and consummate other acquisition opportunities that improve the Company's revenues and profitability, 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, the Company's ability to attract and retain qualified personnel and management members, the Company's ability to manage its capital to meet future liquidity needs, changes in the board of directors and the timing of the Company's stock repurchases, if any. 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 Annual Report on Form 10-K for the year ended December 31, 2007 and subsequent Quarterly Reports on Form 10-Q. The Company assumes no obligation to update these forward-looking statements to reflect any change in future events.