Atlanta Gold Corp (AGC) is currently installing proprietary upgrades to its pilot water treatment facility (PWTF) which are expected to be operating by October 31. These upgrades are in accordance with the ‘Final Filter’ plans and specifications which have been approved by the U.S. Forest Service (USFS). The upgraded PWTF is designed to treat water containing elevated levels of naturally-occurring arsenic. This is because AGC was ordered to achieve compliance with the NPDES Permit regulated under US Federal Water Pollution Control Act by October 31, with respect to treatment of water discharge at the historic 900 level adit which is located on property owned by the Bureau of Land Management (BLM) and administered by the USFS near Atlanta, in Elmore County, Idaho. Ernie Simmons, President and CEO of the Company commented: “It has been a challenge to develop and implement an effective water treatment facility within the required timeframe. Like our neighbours, we have been concerned about the devastation and delays caused by the forest fires that have rolled across the State. Even though fire safety concerns kept us off the project site for seven weeks, I am now pleased to report that we expect that our upgraded pilot water treatment facility will meet compliance by October 31. This demonstrates our commitment to operate the Atlanta project in an environmentally responsible manner that meets all applicable standards.”As prescribed in the government approved Supplemental Plan of Operations (SPOO) and the Final Filter plans and specifications for the Atlanta mine project, the new and proprietary passive water treatment system is expected to treat and capture 99.8% or more of the arsenic, enabling compliance with the Clean Water Act. The Clean Water Act NPDES Permit requires that no more than 10 micrograms/litre or ppb arsenic be discharged into Montezuma Creek. Personnel are currently installing two Zero Valent Iron Filter tanks on-site which house the last stage of the treatment system. The customized 11.6 m long tanks have a total capacity of 36,000 gallons, and provide a resident exposure time (for the arsenic to bond with the zero valent iron) equivalent to that which would be provided by a 200,000-gallon open air pond.Arsenic readings will continue to be monitored on a weekly basis and reported monthly to the USFS, the Idaho Department of Environmental Quality (IDEQ) and the US Environmental Protection Agency.AGC did not construct the adit or cause the discharge that flows from it. AGC has treated discharge from the adit since 2006 to remove 85% of the naturally-occurring arsenic before it flows into Montezuma Creek. The company’s proprietary pilot passive water treatment system is illustrated in the attached image.