VANCOUVER, BRITISH COLUMBIA – Med BioGene Inc. (TSX Venture: MBI), a life science company developing genetic biomarkers to improve screening, diagnosis, prognosis and treatment decisions for patients suffering from cancer and cardiovascular disease, is pleased to announce that it has engaged Peterson Capital of Vancouver to provide investor and financial relations services to MBI.

Peterson Capital (www.petersoncapital.ca) provides corporate finance advisory, corporate communications and investor relations services to private and early stage public companies in the Canadian capital markets.  Peterson Capital has helped raise more than $38 million for client companies since March 2006.

MBI has engaged Peterson Capital for an initial term of nine months, effective August 7, 2007.  Peterson Capital will receive a monthly fee of $5,000, plus approved reimbursement of expenditures.  MBI has also granted to Peterson Capital effective September 6, 2007, stock options to purchase 100,000 MBI common shares at an exercise price of $0.34 per share.  The stock options will have a term of 12 months from the date of grant; vest in four equal amounts every three months from the date of grant; be subject to a four month hold period; and be subject to acceptance for filing by the TSX Venture Exchange.

Peterson Capital's investor relations services will be governed by Policy 3.4 "Investor Relations, Promotional and Market Making Activities" of the TSX Venture Exchange.

Erinn Broshko, Chief Executive Officer of MBI commented: "Peterson Capital and its principal, Rick Peterson, have a great track record in assisting small cap companies with investor relations and corporate communications.  Rick's work will complement our ongoing relationship with The Howard Group, a Calgary-based investor and financial relations services firm".

Corporate Matters

Effective September 6, 2007, MBI also granted to certain of its directors, officers and consultants stock options to purchase an aggregate of 560,000 MBI common shares at an exercise price of $0.34 per share.  The stock options have a term of 5 years from the date of grant; vest in equal monthly amounts for 18 months from the date of grant; and are subject to a four month hold period.  The foregoing option grants were made pursuant to the Med BioGene Inc. 2006 Incentive Stock Option Plan and in the normal course of business.

About Med BioGene

MBI is a life science company with advanced research and development in gene expression technology. MBI intends to utilize its expertise in gene expression to identifying those genes, known as "biomarkers," which mark the presence of various diseases. These biomarkers will be used as an effective tool for accurate and rapid screening and diagnosis and to unlock innovation in therapeutic development and treatment. With a robust set of qualified biomarkers, disease screening and diagnosis will be quicker, less invasive and more accurate and the safety of new therapeutics will be increased, drug products will get to patients in less time and treatment decisions will be more informed.

MBI is currently focused on developing and validating biomarkers in respect of lymphoma, leukemia and cardiovascular disease through the following products:  LymphExpress Dx™, LeukExpress Dx™ and CardioExpress Dx™.

For more information, please contact:

Erinn B. Broshko
Chief Executive Officer
(604) 306-4969
ebroshko@medbiogene.com
www.medbiogene.com

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

Certain statements in this press release contain forward-looking information under applicable Canadian securities legislation.  Words such as “anticipates,� “believes,� “estimates,� “expects,� “intends,� “may,� “plans,� “projects,� “will,� “would� and similar expressions are intended to identify forward-looking information, although not all forward-looking information contains these identifying words. Forward looking information includes, but are not limited to, those with respect to future profits, future product revenues, future operations and plans, the use of proceeds from financings, the timing of clinical trials and the completion date for clinical trials and the prospects for negotiating partnerships or collaborations and their timing. These forward-looking statements or information are only predictions based upon MBI’s current expectations, and actual events or results may differ materially. MBI may not actually achieve the plans, intentions or expectations disclosed in its forward-looking information. Forward-looking information is subject to known and unknown risks and uncertainties and are based on uncertain assumptions that could cause MBI’s actual results and the timing of events to differ materially from those anticipated in such forward-looking information. You are cautioned not to place undue reliance on this forward-looking information, which speaks only as of the date of this press release. Our forward-looking information does not reflect the potential impact of any future partnerships, collaborations, acquisitions, mergers, dispositions, joint ventures or investments MBI may make. All forward-looking information is qualified in its entirety by this cautionary statement and MBI undertakes no obligation to revise or update any forward-looking information as a result of new information, future events or otherwise after the date of this press release, other than as required by applicable law.