Non-antibiotic product from Chemaphor Inc. enhances innate immunity in fish
Investor Information
Opens possibilities for use as a low risk, non-antibiotic, prophylactic, natural health product for maintaining health and helping protect against infectious diseases

OTTAWA, ON., June 9, 2011 - Recently released research has shown that immunity in fish is enhanced when fed Chemaphor's proprietary mixture of fully oxidized carotenoids.

According to Dr. John Lumsden, one of the researchers involved in the study, the overall objectives were to demonstrate proof of concept for OxC-beta's ability to enhance innate immunity in a fish species using rainbow trout in in vitro and in vivo models.

"Overall, the findings indicate an immune priming effect of OxC-beta when incorporated into the feed of rainbow trout," says Lumsden. "Specifically, increases in two key infection-fighting elements of white blood cells, the respiratory burst and bactericidal activity, were observed in OxC-beta-supplemented versus control fish."

Dr. Graham Burton, president and co-founder of Chemaphor Inc., commented, "We have established for the first time that OxC-beta enhances immune function in fish, opening possibilities for its use as a low risk, non-antibiotic, prophylactic, natural health product for maintaining health and helping protect against infectious diseases. We have designed a follow-up study with fish and are currently considering the best options for supporting this work within an early commercialization context." Burton adds that the project allowed Chemaphor to establish a research relationship with a leading Canadian fish pathologist and it is anticipated conducting further research in collaboration with this laboratory.

The research was conducted by the Fish Pathology Laboratory, Department of Pathobiology, Ontario Veterinary College, University of Guelph and supported financially through a Contribution Agreement with the National Research Council of Canada Industrial Research Assistance Program (IRAP). The study results were presented by Dr. Spencer Russell via poster session at the Canadian Comparative Immunology & Pathology workshop May 24-27, at the University of Alberta in Edmonton.

OxC-beta is Chemaphor's proprietary, concentrated source of oxidized carotenoid, containing oxidation compounds that occur extensively in the plant world. Results of clinical trials in animals and in vitro studies indicate OxC-beta helps support immune function, which can result in general overall health improvement. Specific benefits include better growth, utilization of feed and decreased mortality in poultry and swine.

Chemaphor is currently entering the regulatory phase for OxC-beta in preparation for engagement with major international and Canadian partners to commercialize OxC-beta in Canada, the United States and Europe as a non-antibiotic and non-hormonal feed additive for livestock.

Chemaphor is listed on the TSX Venture Exchange and trades under the symbol CFR.

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For more information:

David Hankinson Graham Burton, PhD

CEO, Chemaphor Inc. President and Co-Founder, Chemaphor Inc.

Phone: 902-825-9270 Phone: 613-990-0969

d.hankinson@chemaphor.com g.burton@chemaphor.com

Investor Relations: Media Group

Evolution Group Inc. McCormick Global Communications Sylvain Archambault Karen Sample 514-448-4887 / Toll free: 866-703-4887 519-475-6378 s.archambault@evolutiongrp.com ksample@mccormickglobal.com www.evolutiongrp.com

Forward Looking Statements

This news release includes certain forward-looking statements that are based upon current expectations, which involve risks and uncertainties associated with the business of Chemaphor Inc. and Avivagen Animal Health Inc. and the environment in which their respective businesses operate. Any statements contained herein that are not statements of historical facts may be deemed to be forward-looking, including those identified by the expressions "will", "anticipate", "believe", "plan", "estimate", "expect", "intend", and similar expressions. The forward-looking statements reflect the current expectations of Chemaphor Inc. regarding future results or events. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations. Chemaphor assumes no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those reflected in the forward-looking statements.

The foregoing is only a brief summary of the methodology and results of the above referenced study. The results discussed above are not a guarantee of future product performance or that any products currently in development will reach the commercialization stage in the near term or at all. Commercialization of any product may require additional studies and/or satisfaction of regulatory and other requirements, some of which may be outside of the control of Chemaphor Inc. and Avivagen Animal Health Inc.

Chemaphor Inc. (Chemaphor) is a Canada-based, development-stage company. The Company is a biotechnology company engaged in the development of small-molecule compound discoveries for commercialization in major markets in several distinct biotechnology sectors. Chemaphor’s focuses on proprietary products developed from the oxidation of carotenoids (OxC-beta). The results of clinical trials in animals and in vitro studies indicate OxC-beta helps support immune function, which can result in general overall health improvement. Chemaphor provides product candidates for the food animal market, companion animal market and various, potential human applications. Its technologies are based on Natural Health Optimizers (NHOs). On June 18, 2010, Chemaphor announced that it gained access to the exclusive marketing rights for a stem cell regenerative therapy for pets and horses in Canada through the acquisition of 7552882 Canada Inc.