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BASF and Cibus announce collaboration for herbicide tolerant crops

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Limburgerhof, Germany and San Diego, California
July 10, 2007

- BASF to expand weed management portfolio with Cibus’ RTDS™ (Rapid Trait Development System)
- Innovative new technology speeds up conventional breeding process
- First project in winter oil seed rape and canola

BASF and Cibus, a US plant breeding technology company, today announced that they have reached a collaborative agreement to develop and commercialize non-GM herbicide tolerance in oilseed rape and canola. Cibus’ proprietary gene conversion technology, known as the Rapid Trait Development System (RTDS™), will be used to enhance the CLEARFIELD® Production System in oilseed rape and canola. The agreement provides an opportunity for enhanced value to be deliv-ered to BASF customers and to increase revenue for both companies. The companies did not disclose the terms of the agreement.

“RTDS™ is a novel plant breeding technology that enables seed producers to develop plants with commercially valuable characteristics such as herbicide tolerance,” said Cibus President Keith Walker. “RTDS™ introduces the required genetic trait through a natural process of gene repair within the same plant species.”

The technology operates exclusively within the genome of the plant, just like conventional plant breeding, but with shorter development times. Traits developed with RTDS™ technology will give growers a greater selection of non-genetically modified herbicide-tolerance solutions to choose from. This is particularly important in Europe, where very few genetically modified products have been approved for commercial use by the regulatory authorities. BASF also develops genetically modified herbicide tolerant crops.

The joint project will enhance the value provided to the market by BASF’s unique herbicide tolerant cropping system, the CLEARFIELD® Production System. The CLEARFIELD Production System combines agronomically advanced seed varieties and custom-designed imidazolinone herbicides to provide extended grass and broadleaf weed control.

Alyson Emanuel, BASF Director, Global Strategic Marketing Herbicides said, “We believe that Cibus has developed a step-change improvement in technology. Cibus’ plant breeding technology will enhance BASF’s powerful pipeline of active ingredients and value added traits for crop protection. It is ideally suited to meet the needs of our customers and presents a unique value proposition in key markets.”

“Cibus’ RTDS™ plant breeding technology constitutes a genuine break-through for agriculture. Cibus has established that advanced traits can be achieved in crops using the plant’s natural processes. We are especially pleased to work with BASF on winter oilseed rape and canola in as much as these crops are now among the fastest growing commercial crops in terms of hectares under production in Europe and North America. Biodiesel demand along with the quest for healthier food oils are driving the expansion of these important crops on both continents,” said Cibus Chairman Stephen Evans-Freke.

About CLEARFIELD®

The CLEARFIELD® Production System has been used extensively since 1995. The system matches carefully selected advanced seed varieties/hybrids with custom-designed imidazolinone herbicides. All CLEARFIELD varieties and hybrids are recog-nized as non-genetically modified by international authorities. At the present time, BASF possesses the world’s largest portfolio of non-genetically modified herbicide tolerant traits and has established relationships with over 100 seed companies throughout the world. This strategy of worldwide alliances supports the program with an unmatched offering of seed alternatives to meet the specific local needs and preferences of individ-ual growers.

With sales of €3,298 million in 2005, BASF’s Agricultural Products division is a leader in crop protection and a strong partner to the farming industry providing well-established and innovative fungicides, insecticides and herbicides. Farmers use these products and services to improve crop yields and crop quality. Other uses include public health, structural/urban pest control, turf and ornamental plants, vegetation management, and for-estry. BASF aims to turn knowledge rapidly into market success. The vision of BASF’s Agricultural Products division is to be the world’s leading innovator, optimizing agricultural production, improving nutrition, and thus enhancing the quality of life for a growing world population. Further information can be found on the web at www.agro.basf.com.

BASF uses biotechnology to optimize plants with the following objectives: more efficient agriculture, renewable raw materials for specialty products and healthier nutrition.

BASF is the world’s leading chemical company: The Chemical Company. Its portfolio ranges from chemicals, plastics, performance products, agricultural products and fine chemicals to crude oil and natural gas. As a reliable partner to virtually all industries, BASF’s intelligent system solutions and high-value products help its customers to be more successful. BASF develops new technologies and uses them to open up additional market opportunities. It combines economic success with environmental protection and social responsibility, thus contributing to a better future. BASF has over 95,000 employees and posted sales of more than €42.7 billion (approximately $50.4 billion) in 2005. Further information on BASF is available on the Internet at www.basf.com.

About RTDS™

RTDS™ technology produces changes within a plant species that could only occur in nature, but does so in a directed way. Thanks in part to recent developments in genome mapping, RTDSTM is, like plant biotechnology, significantly more precise and much faster than conventional hit-and-miss plant breeding.

The RTDS™ process, known as directed mutagenesis, works through the cell’s natural process of gene repair. Every time a cell copies DNA, it makes “scrivener” errors or spelling mistakes. These variations happen all the time, which is how natural variation occurs. Cibus’ technology harnesses the cell’s own natural DNA repair machinery to correct such spelling mistakes, thus directing DNA repair enzymes to correct and repair the targeted gene in a specific way in order to produce a desired trait. The process, in its precision, is similar to altering a single letter in a word contained within a large book.

Cibus LLC is a privately held San Diego-based trait development company. Cibus produces environmentally friendly crop traits for the agricultural community that do not carry the regulatory burden of plant biotechnology. The Company accomplishes this through the application of a new and proprietary technology called the Rapid Trait Development System (RTDS), which has proven itself in the laboratory with several different crops, and in initial field trials of Cibus’ first commercial crop. Further information on Cibus can be found on the Web at www.cibusllc.com.

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