Theralase Identifies the First Cancer Target for its Advanced Photo Dynamic Therapy

Theralase to Focus Research on Bladder Cancer in Clinical Trials

Toronto, Ontario – July 18, 2012, Theralase Technologies Inc. (TSX-V: TLT) announced today that it has selected bladder cancer as the first clinical target in its Novel Photo Dynamic Compound (PDC) research. Theralase now has a clear direction with which to proceed with FDA Clinical Trials.

Bladder cancer is the fifth most common cancer in North America being the fourth most common in men and the eighth most common in woman. In North America, it is estimated that there will be over 77,000 new cases and over 15,000 deaths annually. "With a recurrence rate of nearly 80%, bladder cancer is the most expensive cancer to treat on a per patient basis," says Dr. Michael Jewett, a specialist in uro-oncology and member of Bladder Cancer Canada's Medical Advisory Board. "The high recurrence rate raises many issues affecting quality of life."

Dr Arkady Mandel, Chief Scientific Officer of Theralase said, “We have successfully continued development of the innovative anticancer platform technology that will be first tested in the models of bladder cancer in our labs.  Besides the strong scientific and clinical rationale for successful therapeutic application of Theralase’s advanced phototherapy in this patient population”, continued Dr. Mandel, “there have been no significant advances in bladder cancer treatment in several decades.  We are hopeful that the highly promising results of our research will move the field forward. Bladder cancer is a significant health concern. It is estimated that $2.9 billion is spent in the United States alone each year on the treatment of bladder cancer. We feel our technology will prove as effective in bladder cancer preclinical trials that will eventually lead to FDA clinical approval.”

July has been designated as “Bladder Cancer Awareness Month” in North America and we pray that our announcement is both timely and provides hope for the patients stricken with this devastating disease,” said Roger Dumoulin-White, President and CEO of Theralase. He added, “The Theralase light activated PDC drug has been proven to be superior to any currently approved FDA PDC drug on the market, tested in our lab and we are working hard to help eliminate this devastating disease that can dramatically affect so many families. Theralase plans to aggressively pursue commercialization of our ground-breaking PDC technology through the accelerated FDA regulatory approval process.  This FDA process is able to "fast-track" approval when a treatment is shown, through proven success rate, to have a positive impact on a serious, life-threatening medical conditions for which no other drug or treatment exists or is as effective.”

About Theralase Technologies Inc.

Theralase Technologies Inc., founded in 1995, designs, develops, manufactures and markets patented, superpulsed laser technology utilized in biostimulation and biodestruction applications. Theralase technology is safe and effective in treating pain, inflammation and for tissue regeneration of neural muscular skeletal conditions and wound healing in both humans and animals. Theralase complies with all FDA, Health Canada, CE and international regulatory approvals to ensure effective, safe and high quality products. Theralase also develops patented Photo Dynamic Compound (PDC) technology focused at targeting and destroying cancers, bacteria and viruses when light activated by Theralase’s proprietary and patented laser technologies.

For further information please visit www.theralase.com  , regulatory filings may be viewed by visiting www.sedar.com.

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 results could differ materially from those projected herein. The Company disclaims any obligation to update these forward-looking statements.

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