Full-scale trial of Birch Mountain's Reagent limestone

    CALGARY, July 10 /CNW/ - Birch Mountain Resources Ltd. ("Birch Mountain"
or the "Company") (BMD: TSX and AMEX) announces that it has received an order
from a major oil sands producer to conduct a 4-month, full-scale trial of
Birch Mountain's reagent limestone for treating air emissions from a
coke-fired power plant. Throughout the trial period, which begins immediately,
Birch Mountain will supply the reagent limestone requirements for this
    "The primary use for our reagent limestone is to purify air emissions
when fuels that contain sulphur are burned," explains Hugh Abercrombie, Vice
President Business Development. In the air emissions purification process,
sulphur in the combustion gases reacts with the limestone to produce gypsum, a
naturally occurring environmentally benign mineral. Birch Mountain's proposed
Hammerstone Project will include a facility to permanently store this gypsum.
"Our customers are excited with the opportunity to return the gypsum to us and
we are pleased that they are recognizing the advantages of our full life-cycle
approach to by-product management," adds Hugh.
    Birch Mountain sold limited quantities of reagent limestone beginning
late in 2007. The full-scale trial is the next step in demonstrating to our
customers the superior quality of our reagent products. Based on inquiries
from oil sands proponents, Birch Mountain believes that reagent limestone,
along with quicklime and hydrated lime, will become increasingly important to
the oil sands industry for air emissions purification. In addition, quicklime
and hydrated lime are used by the power and oil sands industries to purify
water for steam generation.

    Forward Looking Statements: This news release contains certain
forward-looking statements. All statements, other than statements of
historical fact, included herein, including without limitation, statements
regarding resources and reserves, exploration and development plans and
results, anticipated capital expenditures and financing thereof, anticipated
outcomes and timing of regulatory applications and approvals and the future
plans and objectives of Birch Mountain are forward-looking statements that
involve various risks and uncertainties. There can be no assurance that such
statements will prove to be accurate and actual results and future events
could differ materially from those anticipated in such statements. Certain
amounts in the financial statements are based on estimates using the best
currently available information and assumptions of management. Important
factors that could cause actual results to differ materially from Birch
Mountain's expectations are disclosed elsewhere in documents that are
available to the public at www.sedar.com and www.sec.gov.

    %SEDAR: 00003909E

For further information:

For further information: Company Contacts: Birch Mountain: Tel. (403)
262-1838, Fax (403) 263-9888; Steve Chizzik, Equity Communication, Tel. (908)
688-9111, Website: www.birchmountain.com

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