Cancer Report Shows Early Lung Cancer Screening Will Save Lives.

ALBUQUERQUE, N.M. -- A recent report by the American Cancer Society is strong evidence in support of widespread use of early lung cancer diagnostic testing to save lives, according to John Cousins, President of Biomoda, Inc. (www.biomoda.com) of Albuquerque, NM, maker of early lung cancer detection testing and other cancer diagnostic technology. Biomoda, Inc. trades on NASDAQ's OTC Bulletin Board under the ticker symbol "BMOD".

Early screening of breast, colon and prostate cancer has been a significant reason for fewer deaths in 2004 than in 2003 from cancer overall, according to a report published in the latest issue of the American Cancer Society journal: A Cancer Journal for Clinicians.

"Early screening saves lives. The report clearly shows that cancer rates have fallen for those who have available early screening methods. People live longer when the disease is caught in its early stages," said Cousins. "There is every reason to believe that early detection of lung cancer at a stage when treatment is more effective will be a major step towards saving lives."

The Mayo Clinic, one of the premier healthcare and research institutions in the world and Biomoda, Inc. are jointly conducting a broad validation study of Biomoda's patented technology, a non-invasive cytology based lung cancer diagnostic array.

Biomoda's technology is based on a patented porphyrin application that preferentially binds to cancerous or aberrant cells extracted from lung sputum samples. Cancerous cells glow red under fluorescent light to allow detection under a microscope. The patented technology, a non-invasive cytology based assay, is designed for cancer screening at an early stage of large populations at a reasonable cost.

Lung cancer is the leading cause of cancer mortality in the United States, with 160,390 deaths expected in 2007. Rates of lung cancer in women are increasing, according to the report. The expected 5-year survival rate for all patients combined in whom lung cancer is diagnosed is 15 percent and by contrast, the 5-year survival rate for cases detected when the disease is still localized is 50 percent. At the present time, only 16 percent of lung cancer cases are diagnosed at this early stage.

"Safe Harbor" Statement: This press release contains "forward-looking" statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on management's current expectations and are naturally subject to uncertainty and changes in circumstances. Actual results may vary materially from expectations contained herein. Biomoda is under no obligation to (and expressly disclaims any such obligation to) update or alter its forward-looking statements, whether as a result of new information, future events or otherwise.