Bergen 22 August 2007: The Norwegian Department of Health (Helse og Omsorgsdepartementet) has, in a letter to NorDiag, admitted that it was a mistake that the company was not allowed to give its comments about scientific and economic issues when it was decided to discontinue the reimbursement for its product Genefec from September 1. NorDiag has been informed that reimbursement will be continued awaiting a total evaluation from Sosial- og Helsedirektoratet.

Capio Diagnostik, who is distributing the test, and NorDiag has together decided not to continue to offer Genefec II under the uncertain circumstances related to the reimbursement. NorDiag, will, on the back of this, maintain its previously communicated decision, which implies close-down of service laboratory and discontinuation of sales activities in Scandinavia, and focus the Company`s resources on completion and market introduction of a new generation of the product.

NorDiag`s Genefec test is a genetic test for detection of colorectal cancer which can be used as an alternative to the Faecal Occult Blood Test (FOBT). The product has until now been marketed in Scandinavia. The Company has a targeted activity to further develop the test, both with including new genetic markers and additional clinical documentation. There has been established extensive cooperation with hospitals, laboratories and other diagnostic companies to develop products with necessary documentation and quality. The strategic goal is to design tests for colorectal cancer for use both in the diagnostics market and in the screening market.

Contact person: CEO Mårten Wigstøl, mob. + 47 911 657 75

About NorDiag ASA
NorDiag is a biotechnology company with focus on gene based diagnostics in the fields of cancer and infectious diseases. The Company`s first product in cancer diagnosis is Genefec TM for diagnosis of colorectal cancer. The company has other applications for diagnosis of cancer under development, among others a screening product for colorectal cancer. In addition the company has a product for automated sample preparation of sexually transmitted diseases, as well as applications for other infectious diseases in the product pipeline. NorDiag is listed on the Oslo Stock Exchange with the ticker NORD. www.nordiag.no