Bio-Extraction Inc.

Bio-Extraction Inc.

June 17, 2008 10:25 ET

BioExx Announces Already Priced Private Placement

TORONTO, ONTARIO--(Marketwire - June 17, 2008) - Bio-Extraction Inc. (TSX VENTURE:BXI) ("BioExx") is pleased to announce it has priced a private placement of 10,000,000 Common Shares at $0.35 per share for gross proceeds of $3,500,000 (the "Private Placement"). Closing of the Private Placement is scheduled for June 25, 2008, subject to the approval of the TSX Venture Exchange and other customary conditions. The Common Shares will be subject to a four month statutory hold period.

Canaccord Capital Corporation acted as lead agent on the Private Placement, and Loewen Ondaatje McCutcheon Limited also participated. In consideration for their services, the agents will receive a cash commission equal to 7% of the gross proceeds, and broker warrants in an amount equal to 7% of the number of securities sold under the Private Placement at an exercise price equal to $0.40 per common share.

The net proceeds from the private placement will be used for upgrading protein separation equipment for the production of human food-use proteins at the BioExx canola and specialty protein extraction facility being constructed in Saskatoon, as added contingency funding, and for working capital and general corporate purposes.

"We were presented with an unsolicited opportunity to accept additional funding into our treasury on what believe are fair terms relative to the terms on our last private placement in January 2008. This capital provides a greater financial cushion for our current construction and ramp up activities, as well as an opportunity to invest in some equipment that could generate substantially higher revenues than the original plan. We also believe that this investment represents a positive validation of our progress to date and the strength of our company as we continue to execute on our business plan", said Chris Carl, Chief Executive Officer of BioExx.

About Bio-Extraction Inc.

The global demand for ever higher food value from agriculture is growing at an unprecedented pace, driven by population growth and economic growth. At the same time, food supply constraints are increasing, due to urban development of arable land, alternate uses of crops for bio-fuel and other industrial purposes, and many crops having already maximized yields. The result is an alarming imbalance between over-demand and under-supply.

BioExx owns patented technology which allows for much lower temperatures to be used for the extraction of active ingredients and oils from biomass. This makes BioExx particularly well suited to process oilseed crops in a manner that allows for the production of much higher value additives to the food chain, in the form of higher yields of high value proteins which tend to be temperature sensitive. While forming just a small, but very valuable part of the solution to prominent global agricultural problems, BioExx has a mandate to rapidly grow the company through the construction and operation of extraction facilities around the world - and because of its much lower energy requirements, to do so in a very environmentally responsible manner.

To find out more about Bio-Extraction Inc. (TSX VENTURE:BXI), please visit our website at

The statements made in this press release include forward-looking statements that involve a number of risks and uncertainties. These statements relate to future events or future performance and reflect management's current expectations and assumptions. A number of factors could cause actual events, performance or results to differ materially from the events, performance and results discussed in the forward-looking statements, such as the economy, generally, the demand for BioExx' products, the availability of funding, and the anticipated costs of BioExx' plant construction and operation. These forward-looking statements are made as of the date hereof and BioExx does not assume any obligation to update or revise them to reflect new events or circumstances. Actual events or results could differ materially from the BioExx' expectations and projections.

The TSX Venture Exchange has not reviewed this press release and neither approved nor disapproved the information contained in this press release.

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