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Bacillus tequilensisstrain CH had been previously shown to produce a biosurfactant. In this study, chemical structure of the purified biosurfactant was determined by using high performance liquid chromatography and liquid chromatography-mass spectroscopy as a 10 amino acid cyclic lipopeptide (CL). The cyclic lipopeptide was found to be active against Anopheles culicifacieslarvae with a LC50of 110 µg/ml in 2 days. 1 ppm cadmium (Cd) which had a profound mutagenic effect on the cell division of onion (Allium cepa) root tip cell resulting in abnormal metaphase, abnormal anaphase and nuclei elongation was partially reversed in the presence of 0.1 mg/ml of CL (52% cells dividing normally and 8% with abnormal division) and was comparable to control experiment where no Cd was present. Thus, the CL described in this report may have applications in eliminating larvae from water repository systems and in reversing the effects of cadmium pollution.