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02/17/05
-- Xechem International Inc. (OTCBB: XKEM) today announced significant
progress in its development efforts for NICOSAN(TM)/ HEMOXIN(TM), a natural
product extract which shows promise in the treatment of Sickle Cell Disease
(SCD). Xechem has an exclusive world-wide license for the development and
sale of NICOSAN(TM)/ HEMOXIN(TM) from the National Institute for
Pharmaceutical Research and Development (NIPRD), Abuja, government of
Nigeria, which holds the patent.
Through its
subsidiary, Xechem Pharmaceuticals Nigeria Limited, Xechem recently signed a
long-term lease for a production facility on approximately 9 acres of land
at nominal cost within Nigeria's scientific complex on land owned by Sheda
Science and Technology Complex, Abuja, a parastatal of the Federal Ministry
of Science and Technology, Abuja, Nigeria. Xechem Nigeria is in the process
of expanding this into a self-sufficient four-building complex for the
commercial production of NICOSAN(TM) / HEMOXIN(TM). Much of the equipment
necessary for the production has been purchased or is in the process of
fabrication, with a scheduled launch of the project in the second half of
2005, for sale initially in the Nigerian market.
According to
Dr. Ramesh C. Pandey, Chairman & CEO of Xechem, "We are working hard to
bring NICOSAN(TM) / HEMOXIN(TM) to market initially in Nigeria and
subsequently in the United States and other countries. There are
approximately 4,000,000 people afflicted with Sickle Cell Disease in Nigeria
alone, and development of this product is a major initiative of the Nigerian
government, which has shown tremendous support for our efforts. The Nigerian
market alone represents potential revenue in excess of $500,000,000 for the
company. Xechem was prominently mentioned several times in the state of the
union address by the Nigerian President late in 2004. There still remain
additional hurdles in bringing this product to market including the need to
raise additional funding for the full cost of buildout, equipping and start
up of the facility. A number of initiatives are presently underway to
address Xechem's financing needs. The company has developed small-scale
formulations, which have shown efficacy in the treatment of the disease, and
must further refine and standardize this formulation for consistent
production scale quantities sharing uniform active ingredients. We are
encouraged that we will find the resources to overcome remaining hurdles."
About Xechem
Xechem
International, Inc., is a fully integrated biopharmaceutical company
focusing on anticancer, antiviral (including AIDS), antifungal and
antibacterial products from natural sources including microbial and marine
organisms. Some of the key areas of Xechem are development of
phytopharmaceuticals and other proprietary technologies including those used
in the treatment of FDA designated orphan diseases.
For further
information, contact the Company or Stephen Burg at 707-425-8855.
This press
release contains forward looking statements within the meaning of Section
27A of the Securities Act of 1933, as amended, and Section 21E of the
Securities and Exchange Act of 1934, as amended, which are intended to be
covered by safe harbors created hereby. Such forward-looking statements
involve known and unknown risks and uncertainties, including the ability of
the Company to bring NICOSAN(TM) / HEMOXIN(TM) to market which is subject to
numerous challenges, including the risk that it will be unable to fund the
cost of such endeavor and/or dilution to existing investors in such event,
the risk that it will be unable to successfully market the product at a
profit once brought to market, the risks of political and currency
instability in Nigeria, the risk of being able to sustain a consistent
formulation of NICOSAN(TM) / HEMOXIN(TM) for commercial production and the
risk of obtaining regulatory approval for the product in jurisdictions
outside of Nigeria.
Source: Xechem International, Inc. |