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IMUGENE LIMITED

2007 ANNUAL GENERAL MEETING

CHAIRMAN’S ADDRESS

27 NOVEMBER 2007

Introduction

I am delighted to report to you that 2007 was a very successful year for Imugene. We met a number of key objectives both in the laboratory development of our pig and poultry vaccines and in our various animal trials conducted internationally.

Our two platform technologies continue to deliver additional products needed by the pig and poultry industries. The success of the poultry vaccines in ovo has prompted increased interest in our products as well as the addition of two new vaccines to our development program.

Successful Bird Flu vaccine

We were very pleased with the positive results of our development work in creating a viable H5N1 Avian Influenza vaccine for broiler chickens. Our trial work has proved that broilers can be effectively and efficiently vaccinated on mass to provide immunity to the highly contagious ‘bird flu’. Additionally, these results provided further evidence of the versatility of Imugene’s platform ‘adenoviral vector’ technology with efficacy via different methods of vaccine administration.

Work continues with the Avian Influenza project to provide an effective diagnostic test to complement the vaccines as well as extending the range of bird flu vaccines to include other prevalent forms of flu – the H7 & H9 varieties. We look forward to completing this work in the current year and then progressing to global licensing arrangements for the commercialisation of this suite of vaccines.

Productive year at the La Trobe Laboratory

I reported this time last year that our laboratory at la Trobe had become operational. A year on and Dr’s Mike Sheppard and Sui Lay have undertaken a massive workload of vaccine construction, optimisation and testing projects.

Perth Office Sydney Office

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www.imugene.com

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All these projects have delivered on all major objectives and have provided the vaccine candidates for our expanded product range.

With our poultry vaccines, the Lab finalised all construction and testing of the Coccidiosis prevention vaccine candidates. These have now being produced in sufficient quantity for the proof of concept animal trial that is to be undertaken by collaboration partner, Abic Biologic Laboratories Teva Ltd. We understand this trial should commence in early 2008 in Australia.

In addition to the Avian Influenza vaccine projects mentioned earlier, the Lab has begun constructing two other poultry vaccines targeting prevention of two damaging diseases that occur in broilers, layers and breeding birds. Vaccines to prevent Chicken Aneamia and Infectious Bursal disease are now mid-way through the construction phase. Following completion of the construction phase and finalisation of lab testing, the candidates will begin animal trials during 2008.

Lab work on our pig vaccines included finalisation of the various PRRS constructs. The PRRS vaccine has two components. The first of these two components was chosen from three candidates based on the results of our recent US based trial. The second component is currently being modified to incorporate additional scientific information that was released recently. Once completed, the optimised second component will be thoroughly lab tested. We anticipate that this vaccine work will be in animal trials by mid 2008.

The Poultry Productivity Enhancer

One area of our activity during the year that didn’t fully meet our expectations was the progress with the Poultry Productivity Enhancer (PPE). The commercialisation of this vaccine is under the control of our global licensee partner, Merial Limited - the animal health JV between the two large pharmaceutical companies – Merck and Sanofi Aventis.

Merial has been active in several areas with the PPE since becoming the global licensee. During 2007 a further milestone payment was received by Imugene reflecting progression of the products commercialisation. An area of Merial’s focus is the optimisation of the vaccines production process to ensure mass production can be achieved efficiently.

We have jointly identified areas of the commercialisation process that Imugene may be able to assist Merial, in particular, with certain third party approvals.

We look forward to 2008 as a year in which the PPE makes important advancements in both the commercialisation activities under the control of Merial and gaining relevant regulatory approvals.

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Corporate

We continue to be frugal with our finances and maintain focus on shareholder return. We are very appreciative of the Federal Governments Commercial Ready Grant that has assisted in funding the Avian Influenza vaccine development.

We appreciate that the share price weakness has created concern for shareholders as it has with the board. Difficult stock market conditions in the US, and the flow on effects to Australia, as well as the desire in Australia for more speculative investment dollars to pursue mining projects has taken some of the shine away from junior industrial and biotechnology companies such as Imugene.

Having said that, Imugene continues to focus and deliver on its business plan of developing required vaccines for the production animal industries. We remain confident of our course.

Conclusion

On behalf of the board I thank shareholders for their continued support of Imugene. We look forward to a successful 2008. To our management team and close advisors, I thank you for your hard work and successes achieved throughout the year.

Graham Dowland Chairman

27 November 2007

END

About Imugene

Imugene specialises in commercialising animal health products for production animals including pigs and poultry.

Imugene owns the worldwide rights to the Fowl Adenoviral Vector Delivery System for poultry and the Porcine Adenoviral Vector Delivery System for pigs. Imugene has successfully licensed the first product based on the Fowl Adenoviral Vector Delivery System – the Poultry Productivity Enhancer.

Imugene's poultry and pig portfolio is targeting a worldwide US$3 billion annual market with four lead vaccine products under development and a strong product pipeline. Consumer demands for disease free and residue free food will bolster Imugene's prospects.

Imugene's products safely prevent disease and reduce or eliminate antibiotics and harmful chemicals in animals. Animal antibiotics and chemicals in the human food

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chain have been linked to the emergence of dangerous resistant bacteria in people and food residues.

For more information please visit the Imugene Website www.imugene.com

For more information:

Dr Warwick Lamb Mr Graham Dowland Mr Rudi Michelson Managing Director Executive Chairman Monsoon Communications +61 2 9870 7330 +61 8 9440 2660 +61 3 9620 3333

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IMUGENE Animal Health Biological Products Annual General Meeting Presentation November 2007

Dr Warwick Lamb

Managing Director

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