Diagnos Inc.
TSX VENTURE : ADK

Diagnos Inc.

September 28, 2005 15:19 ET

DIAGNOS Signs Agreement with Optosecurity for Baggage Claim Threat Application

BROSSARD, QUEBEC--(CCNMatthews - Sept. 28, 2005) - DIAGNOS inc. ("DIAGNOS" or the "Company") (TSX VENTURE:ADK), a leader in knowledge extraction and artificial intelligence (AI), announced today it has signed a development agreement to integrate its AI engine that will be used in the detection of threat items for carry on luggage.

"We are pleased to announce that we have been selected by Optosecurity Inc to provide our AI technology as part of a new application that they are developing. DIAGNOS will deliver to Optosecurity Inc an integrated version of its AI engine and scoring technology," noted Mr. Andre Larente, President of DIAGNOS. The terms of the agreement are: an integration fee of $180,000 and royalty fees based on a quantity of 10,000 licenses.

Optosecurity is a company developing optic-based security products to automate the detection of weapons or explosive components concealed in luggage and cargo. Optosecurity's technology is based on the groundbreaking and patented INO Optical Correlator (OC); an optical computer specialized in image recognition. INO is Canada's largest R&D center in applied optics, lasers and photonics.

Eric Bergeron, Optosecurity's President and CEO said: "We have been impressed by DIAGNOS' technical capabilities and their customer focus. By integrating DIAGNOS' data mining tools with the processing power of our optical computing engine, we believe we can build the world's first commercial automatic threat detection product for luggage and cargo."

About DIAGNOS

DIAGNOS inc. develops and markets data mining software. The Company designed, developed and markets MCubiX, a data mining software suite capable of extracting knowledge from historical data - in the form of images, text or traditional databases - and making predictions that improve business processes and decision making ability. CARDS (Computer Aided Resource Detection Software) can be applied to several sectors of prospecting, such as diamond, gold, zinc, copper and the oil and gas, and each one of these resources require a distinct methodology endorsed by the application. For further information, please visit our Website at www.diagnos.ca.

The Company's objective is to develop a royalty stream by significantly increasing the exploration success rate of mining and oil and gas companies around the world.

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

This press release contains forward-looking statements, which reflect the Company's current expectations regarding future events. The forward-looking statements involve risks and uncertainties. Actual events could differ materially from those projected herein. Investors should consult the Company's ongoing quarterly filings, annual reports and other filings for additional information on risks and uncertainties relating to these forward-looking statements. The reader is cautioned not to rely on these forward-looking statements. The Company disclaims any obligation to update these forward-looking statements.

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