North Charleston, South Carolina - June 30, 2005

Argolyn Bioscience announced today that it has been awarded a $1,345,456 Phase II Small Business Innovation Research (SBIR) grant from the National Institutes of Health (NIH). The award is aimed at continuing the preclinical development of Argolyn's lead anti-psychosis drug candidate, ABS201. The award is granted through the National Institute for Mental Health.

"Besides providing financial support to continue advancing our lead compound toward the clinic, this is an important validation of our development program and the underlying technology platform," said Pearce Gilbert, President and CEO of Argolyn Bioscience. "These awards are highly competitive, but we have successfully demonstrated our compound has the potential to address a very high priority area for NIMH."

ABS201 is the most advanced product candidate to emerge from Argolyn's peptide drug development program. It consists of a known peptide that incorporates Argolyn's proprietary amino acid analog chemistry. If approved, ABS201 would be a first-in-class anti-psychotic therapeutic, because it works by a different mechanism than currently available medications.

Argolyn Bioscience Inc.

Argolyn Bioscience Inc. is a peptide product development company headquartered in North Charleston, South Carolina. Argolyn is the exclusive worldwide licensee for a portfolio of patents and patent applications aimed at improving the pharmacology of peptide drug candidates. The company has one product in preclinical development and several other discovery stage product programs. Argolyn Bioscience continues to seek other opportunities to disseminate the technology either through collaboration or out-licensing.

For more information, contact the company or visit the website at www.argolyn.com.

Media:

Pearce Gilbert
Argolyn Bioscience Inc.
Tel: (843) 266-0851
Fax: (843) 266-0894
info@argolyn.com