Press Release: Source Biomagnetics Diagnostics Corporation

Biomagnetics Diagnostics Announces the Participation of Dr. Luis Mora and QFP Hector Garcia to Distribute Biomagnetics Diagnostics Products in Mexico Wednesday 29, 9:01 am ET

ORANGEVALE, Calif.--(BUSINESS WIRE)-August 29, 2007--Biomagnetics Diagnostics Corp. (OTC: BMGP - News) announced today that it met with Hector Garcia, owner of Laboratorio De Patologia Clinica Vallarta, a chain of 23 clinics in the state of Jalisco.

Clayton Hardman, President & CEO states that "Laboratorio," a modern chain of 23 clinics, will assist with developing a marketing program for private laboratories throughout Mexico. He further stated that Dr. Luis Manuel Mora, a well known orthopedic surgeon in Mexico, will assist with distribution to laboratories, clinics and Major Hospitals. We are very excited about these new business relationships. Their participation provides a depth of experience in both the public and private markets that will open not only the Mexican market but all other major markets throughout Central and South America.

The Mexican market for medical devices is estimated at US$2.2 billion in 2007. Biomagnetics' revolutionary HTS-MTP system will provide the health industry with substantial savings allowing more health benefits to be provided without increasing the budget for healthcare.

About Biomagnetics Diagnostics Corporation

Biomagnetics Diagnostics Corporation, through its wholly owned subsidiary, Biospectrum Technologies, Inc., a company that has designed and patented revolutionary diagnostic equipment and immunoassays, will identify market inadequacies and fill those needs with new technologies, and highly specific and sensitive assays that are qualitative (yes/no) and quantitative (viral load/degree of infection), easily performed and cost effective.

For more information please visit: www.biomagneticsbmgp.com

Forward-Looking Statement

This release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All forward-looking statements are inherently uncertain as they are based on current expectations and assumptions concerning future events or future performance of the company. Readers are cautioned not to place undue reliance on these forward-looking statements, which are only predictions and speak only as of the date hereof. In evaluating such statements, prospective investors should review carefully various risks and uncertainties identified in this release and matters set in the company's SEC filings. These risks and uncertainties could cause the company's actual results to differ materially from those indicated in the forward-looking statements.

Contact: Paul Hardman, (916) 987-7078
Source: BioMag Corp.