BPH ENERGY LTD — Capital/Financing Update 2007

Jul 15, 2007

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16 July 2007

Companies Announcements Office Australian Stock Exchange Limited 10[th] Floor, 20 Bond Street SYDNEY NSW 2000

Dear Sir/Madam,

RE: EXERCISE OF BPHO OPTIONS

Further to the Appendix 3B lodged on 29 June 2007, the Company advises that final option exercise applications were accepted for a total of 3,318,228 BPHO options prior to expiry of these options on 30 June 2007. The Company received $663,646 from the conversion of the options.

Yours Sincerely

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David Breeze Managing Director

BioPharmica Limited ACN 95 912 002 PO Box 317, North Perth 6906, Western Australia 14 View Street, North Perth, Western Australia 6006 admin@biopharmica.com.au www.biopharmica.com.au

T: +61 8 9328 8366 F: +61 8 9328 8733