Bacillus produces an assortment of cyclic lipopeptide surfac- such and fengycins [10-16]. A well-known cyclic biosurfactant is surfactin, which consists of a long-chain B-hydroxy fatty acid of 12-17 carbons joined via an amide linkage to the amino-terminal glutamic aci residue of a heptapeptide (L-Glu/L Leul D-LeulL-Val/L-AsplD-Leu/L-Leu) [17.18]. The carboxy-terminal leucine of the peptide is esterified to the B-hydroxyl group of the fatty acid to form a lactone. Surfactin is a potent surface active agent that reduces the surface tension of water from 72 to 27 mN/m at 20 HM [19-22] Members of the genus Bacillus grow satisfactorily and pro- duce biosurfactants on a variety of organic waste streams such as potato effluents, orange peels, cassava processing