SemBioSys announces 2007 financial and operation...(ilities of our technology could address ...)

Operational Highlights

Pharmaceutical Products

- Successfully developed commercially viable levels of both

apolipoprotein AI (Apo AI) and apolipoprotein AI Milano

(Apo AI(Milano)) in safflower seed.

- Demonstrated the functional equivalence of the Company's proprietary

safflower-produced insulin to U.S. pharma grade human insulin in

animal models.

- Demonstrated with in vitro and in vivo assay studies that the

Company's safflower-produced insulin is chemically, structurally and

physiologically indistinguishable from U.S. pharma grade human

insulin.

- Confirmed the Company is eligible to pursue a Section 505(b)(2)

regulatory path for safflower-produced insulin after meeting with the

U.S. Food and Drug Administration (FDA).

- Continued the necessary preclinical work, including preparations for

an animal toxicology study, to submit an Investigational New Drug

application (IND) to the FDA in order to initiate a Phase I/II trial

for safflower-produced insulin in the second half of 2008.

Non-pharmaceutical Products

- Established Botaneco, a subsidiary dedicated to the commercialization

of SemBioSys' non-transgenic oilbody products for the cosmetics,

personal care and prescription topical dermatology markets.

- Commissioned Botaneco's 10,000 square foot, state-of-the-art,

commercial scale manufacturing facility located in Calgary.

- Launched Hydresia(TM), Botaneco's first branded line of natural

oilbody-based ingredients, and subsequently signed the Company's first

national brand customer, Burt's Bees, the largest natural personal

care company in North America. Subsequent to the end of the year,

Burt's Bees launched three pr
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