Option Agreement

Oxford Biomedica PLC
18 March 2003

18 March 2003

                                 OXFORD BIOMEDICA

         AGREEMENT WITH VIRAGEN INC RE: LICENCE TO LENTIVECTOR TECHNOLOGY


Oxford, UK: 18 March 2003 - Oxford BioMedica announced that it has signed an
option agreement with the US biotechnology company Viragen Inc that may lead to
a licence for the use of Oxford BioMedica's LentiVector(R) gene transfer
technology for the production of therapeutic proteins from the eggs of
transgenic chickens. The attached announcement by Viragen provides  more
detailed information.

                                     -Ends-



For further information, please contact:

Oxford BioMedica plc
Professor Alan Kingsman, Chief Executive                Tel: [phone]
City/Financial Enquiries:
Mike Wort, James Chandler: Beattie Financial            Tel: [phone]
Scientific/Trade Press Enquiries:
Sue Charles, Katja Stout: Northbank Communications      Tel: [phone]


Notes to Editors

Oxford BioMedica (www.oxfordbiomedica.co.uk)

Established in 1995 as a spin out from Oxford University, Oxford BioMedica plc
specialises in the development of novel gene-based therapeutics for the
treatment of cancer, neuro-degenerative disease and other disorders with major
unmet clinical needs. The development pipeline includes two novel anti-cancer
products in clinical trials and a gene therapy treatment for Parkinson's
disease, which is in late preclinical studies. This is underpinned by a broad
research pipeline and over 70 patent families, about quarter of which are
issued.

Oxford BioMedica's products use genes as the mediators of a therapeutic effect
and/or immune response. The Company's gene therapy products deliver therapeutic
molecules in vivo whilst its gene-based immunotherapy products deliver genes
that recruit the patient's immune system to mediate a therapeutic effect. The
genes are delivered by the Company's highly engineered viruses or cells.

BioMedica's lead product TroVax(R) is an anti-cancer therapeutic vaccine
expected to be useful against a broad range of tumour types. It is entering
Phase II trials in a number of indications including colorectal and renal
cancer, and is expected to be ready for Phase III trials at the end of 2003. The
Company's second cancer product, MetXia(R), is completing Phase I/II studies in
breast cancer.

Oxford BioMedica is headquartered in Oxford, UK and has a wholly-owned
subsidiary in San Diego, USA. BioMedica has corporate collaborations with Wyeth,
IDM, Intervet, Aliga Pharmaceuticals, Amersham and Arius Research.

Oxford BioMedica plc was floated on the Alternative Investment Market of the
London Stock Exchange in December 1996, and was promoted to the United Kingdom
Listing Authority Official List in April 2001 following a successful £35.5
million fund-raising.


Viragen Enters into Transgenics Agreement with Oxford BioMedica


PLANTATION, FLORIDA - March 18, 2003 - Viragen, Inc. (AMEX: 'VRA') today
announced that the Company has entered into an agreement with Oxford BioMedica
plc (LSE: 'OXB') to obtain rights to a technology that may prove key in its
collaboration with Roslin Institute to develop avian transgenic technology as a
novel platform for the efficient, cost-effective manufacturing of protein drugs.
The agreement provides Viragen with an option to acquire an exclusive
worldwide license for proprietary gene transfer vectors, biotechnology tools
designed to transfer genes into cells at high efficiency. Initial studies
evaluating a novel use for these vectors, transfer of genes for therapeutic
proteins into developing chicken embryos, have yielded successful and consistent
results.  Terms of the agreement were not disclosed.

In order to produce human therapeutic proteins in avian eggs, a gene delivery
method must be optimized to transfer genes for therapeutic proteins into
chickens, so that subsequent generations of birds will carry the genes and
express adequate quantities of the target drugs in the whites of their eggs.
Viragen and Roslin utilized Oxford BioMedica's vector technology to conduct a 
'Proof of Principle' study.  The study successfully resulted in production of
transgenic cockerels that pass on the introduced gene to their offspring with
consistent results (germline transmission), a milestone achievement.

In the study, a 'reporter gene' was used to measure the efficiency of the
vectors. Chick embryos were transfected with the reporter gene carried by the
vectors and analysis showed that 100% of the resulting male birds possessed the
gene in their sperm, meaning that they were successfully transgenic.  The second
stage of the study involved breeding these first generation transgenic cockerels
to determine the frequency of transgenic birds in the next generation.  This
resulted in successful production of transgenic male and female birds, the
frequency far exceeding requirements for commercial viability.

'We continue to develop multiple technology pathways to commercialize avian
transgenics, but we are very optimistic about what this agreement with Oxford
BioMedica may represent,' stated Viragen's President and CEO, Mr. Robert
Salisbury.  'Additional studies are ongoing to further confirm the value of this
particular technology.'

Roslin Institute's Dr. Helen Sang, one of the world's foremost authorities on
avian transgenics research, stated, 'To evaluate the efficiency and consistency
of this vector technology, we introduced the Oxford BioMedica vectors into chick
embryos and raised hatched chicks for breeding. Nine developed into adult
transgenic roosters, indicating that stable transfection had been consistently
achieved.  We then bred from these roosters to determine the frequency of
transgenic offspring produced.  Each rooster successfully produced transgenic
offspring, with frequencies ranging from one percent to 29 percent of the chicks
hatched transgenic.  I believe that these results represent a much higher
frequency of production of transgenic chickens than those presented in
previously published avian transgenics data.  Even at our lowest rate, where one
in 100 offspring are transgenic, we met the criteria necessary for commercial
viability.  These are potentially break-through findings and we are hopeful that
we will reproduce these results with the targeted expression in hens of a
clinically relevant human monoclonal antibody.  These studies are ongoing.'

Oxford BioMedica's CEO, Professor Alan Kingsman, stated, 'We are very pleased to
be associated with Viragen and Roslin in an innovative project to provide an
efficient and cost-effective alternative to present drug manufacturing systems.
The avian application may represent yet another promising commercial opportunity
for our gene delivery technology.  We are very excited by Dr. Sang's initial
results and we look forward to a long and successful relationship.'

Viragen, Inc. Corporate Contacts:
Douglas Calder, Director of Communications (Media & Investor Contact)
Phone: [phone]; Fax: [phone]
E-mail: [e-mail]


About Avian Transgenic Technology

Viragen holds the worldwide exclusive license to commercialize Avian Transgenic
Technology as granted by Roslin Institute.  This project is designed to
substitute chicken eggs for expensive bioreactor vessels presently used in the
manufacture of protein-based drugs. Upon the successful completion of this
project, flocks of specially produced transgenic chickens would lay virtually
unlimited numbers of eggs which would have significant amounts of the target
drug in the egg whites.  The proportion of protein drugs, including monoclonal
antibodies, under development is forecast to be expanding rapidly and
manufacturing constraints including lack of adequate facilities have been
recognized.

About Viragen, Inc.

Viragen is a biotechnology company specializing in the research, development and
commercialization of natural and recombinant protein-based drugs designed to
treat a broad range of viral and malignant diseases.  These protein-based drugs
include human natural alpha interferon, monoclonal antibodies, peptide drugs and
therapeutic vaccines.  Viragen's strategy also includes the development of Avian
Transgenic Technology for the large-scale, cost-effective manufacturing of its
portfolio of protein-based drugs, as well as offering Contract Manufacturing for
the entire biopharmaceutical industry.

Viragen is publicly traded on the American Stock Exchange (VRA).  Viragen's
majority owned subsidiary, Viragen International, Inc., is publicly traded on
the Over-The-Counter Bulletin Board (VGNI).  Viragen's key partners and
licensors include: Roslin Institute, Memorial Sloan-Kettering Cancer Center,
National Institutes of Health, Cancer Research UK, University of Nottingham
(U.K.), University of Miami, America's Blood Centers and the German Red Cross.


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