Biomagnetics Diagnostics reports positive test results of unique PVA film formulation

Jul 15 2010

Biomagnetics Diagnostics Corp., (PINK SHEETS:BMGP) a developer of revolutionary diagnostic systems and technology for HIV, hepatitis, tuberculosis and malaria detection, and other innovative technologies, today announced the results of recent testing of the unique PVA film formulation produced by Lanzhou Sanhuan New Technology Development Ltd. of Ganzu, China. Earlier this week, Biomagnetics announced its intent to acquire Lanzhou as the first of several planned acquisitions to be done at a $1.00 share price valuation for Biomagnetics Diagnostics' common shares.

“We are excited about the market potential with this superior product and think it makes sense to add Lanzhou and its PVA film to our company portfolio as further enhancement and diversification of our revenue stream in order to drive shareholder value.”

PVA, or polyvinal alcohol film, is an extremely flexible, high tensile strength plastic film with many unique properties. Importantly, PVA is fully biodegradable and dissolves in the natural environment and, for this reason, is considered one of the most environmentally friendly plastic films in the marketplace. Lanzhou's unique formulation and manufacturing process produces a water soluble, low static, highly transparent, and nontoxic PVA formulation enhances ordinary PVA film.

The vast majority of PVA films in the market are not considered suitable for use as wrapping materials because of its brittleness. The Lanzhou PVA formulation offers superior mechanical properties compared to most degradable films and, is as good or better than traditional plastic films. For example, Lanzhou-produced PVA has vastly superior tear strength at 147~334 (KN/M) compared to polyethylene (PE) (30~98), polypropylene (PP) (13~69) and polyvinyl chloride (PVC) (39~78), while still demonstrating undetectable levels of toxicity. The absence of toxicity, determined in tests by the Japan Electric Chemical Corp., makes this unique PVA formulation suitable for use in wrapping items such as cosmetics, food and medicines.

Recent laboratory testing determined the gas barrier properties of the Lanzhou produced PVA film. Under normal atmospheric conditions, its barrier rate to oxygen is approximately 1,000 times that of current PVA mixtures and nearly 300 times that of polypropylene film. The formulation also has favorable properties relative to carbon dioxide, nitrogen, hydrogen, argon and helium gases. A gas permeation analysis relative to other plastics is listed below. This analysis is based on the SALAME indexes of ventilation (cc.20u/m2.24h.atm) of different plastics.

Clayton Hardman, CEO of Biomagnetics Diagnostics commented, "The unique formulation and manufacturing process produces a version of PVA film that has many unmatched properties. If you have ever wrapped an onion in ordinary household plastic film (PVDC), you will have noticed that you can still smell the onion through the plastic wrap. When this new type of PVA film is used, its very low gas permeation qualities make smelling the onion aroma through the plastic wrap almost impossible. This makes it perfect for food, drug and hospital applications where high levels of protection are required. It is no wonder why the Chinese garlic industry has contracted with Lanzhou for up to 600,000 tons of this material as part of a large Chinese government contract." Continued Hardman, "We are excited about the market potential with this superior product and think it makes sense to add Lanzhou and its PVA film to our company portfolio as further enhancement and diversification of our revenue stream in order to drive shareholder value."