asx announcement

A new study has been completed to review the effect of SBP002 on an
expanded range of human mesothelioma cell lines. This study was
carried out at the University of Western Australia, Department of
Medicine. The new study was undertaken in three parts:

1) to determine the effect of SBP002 on 5 human mesothelioma cell
lines.

2) to compare SBP002 against current drugs in the treatment of
mesothelioma.

3) the third section of the study is subject to a new patent
application and will be reported to the market at a later date.

Previously Solbec Pharmaceuticals Ltd (Solbec) lead cancer compound
SBP002 (BEC-2S) had been shown to be effective against mesothelioma
(an incurable form of Asbestos related cancer) cells in-vitro and in
a mouse model. These studies were carried out using only two types of
mesothelioma cells.

The results of the new study confirm that SBP002 has a high level of
activity against all 5 human mesothelioma cell lines tested. The
study also showed that SBP002 was more effective in killing the
mesothelioma cells than the other compounds tested (Gemcitabine and
Docetaxel which are therapeutic compounds used clinically to try and
treat mesothelioma).

The conclusions from the researchers are very encouraging. The
researchers reported that the data "suggests that SBP002 is a more
potent drug that those previously investigated by our (UWA) research
group" and "SBP002 may offer some advantages over current first line
treatment options".

Last week Perth hosted the biannual conference of The International
Mesothelioma Interest Group. One of the overriding conclusions from
this conference was that the current treatments for Mesothelioma need
to be substantially improved.

It is the goal of Solbec to continue with its focus on the clinical
trial program.

S Carter
MANAGING DIRECTOR