Singapore, May 22, 2009: China Sky One Medical, a fully integrated pharmaceutical company has signed an agreement with Taiwan Golden Biotechnology to begin cooperating on the development of a new anti-cancer drug called Antroquinonol.

Golden Biotechnology is said to specialize in the development of new bio-medicines based on its research in the fields of modern biotechnology and molecular medicine. Antroquinonol is a kind of compound extracted from Antrodia Cinnamomea Chang & Chou, a rare medicinal fungus that grows naturally inside the Cinnamonum kanehirae tree trunk, a native tree species of Taiwan. It can be used in the treatment of liver cancer and lung cancer.

Under the cooperation agreement between the two companies, China Sky One Medical will be Golden Biotechnology Corporation's exclusive partner in the new drug application process and the exclusive sales agent in China. The two parties also signed a letter of intent to jointly develop new drugs and globally expand their sale.

The management expects to receive SFDA approval within three years as the medicinal theoretical research has been completed already. The expenditure for new drug application including clinical study is expected to be around $10 million.

"We are excited to participate in this project, which we believe has a very bright future, especially since it is rare to find a compound that can fight cancer without any side effects," said Mr. Yan-Qing Liu, CEO, China Sky One Medical. "We believe China Sky One will experience very strong growth once this project is successful."

Golden Biotechnology's research department is said to have accidentally discovered Antroquinonol when it was studying the efficacy of the extract from Antrodia Cinnamomea Chang & Chou. In further study, Antroquinonol has been proven to restrain the growth and reproduction of cancer cells, thought the existing extracts take effect slowly due to low concentration of Antroquinonol. Through sophisticated extraction techniques, Golden Biotechnology acquired pure Antroquinonol, which has been granted patents in 60 countries. Pre-clinical research on Antroquinonol has been completed in the United Kingdom and in the United States the compound has been approved by the FDA in United States to enter into first stage clinical trial.

Also called "King of Medical Fungi" and "Ruby of Taiwan's Forest," Antrodia Cinnamomea Chang & Chou is said to be widely used by the Taiwanese since it can eliminate toxins, protect the liver, improve the immune system, fight allergies, and reduce blood fat.