MACH7 TECHNOLOGIES LIMITED — Capital/Financing Update 2007

Dec 9, 2007

®

ASX and Media Announcement

MARKETING UPDATE – SECURETOUCH™ RETRACTABLE SAFETY SYRINGE

10 December 2007

HIGHLIGHTS

• Key sales and marketing activities for the SecureTouch™ safety syringe have commenced.

• Initial target markets have been identified and discussions with decision makers are underway.

• Sales of SecureTouch™ to retail pharmacies via the Company’s wholly owned subsidiary Bagot Press have commenced.

Further to recent announcements regarding the establishment of production for the SecureTouch™ retractable safety syringe, Safety Medical Products Limited (“the Company” or “SafetyMed”) (ASX Code: SFP) advises that it is rapidly moving towards full commercialisation of the SecureTouch™.

Sales of the SecureTouch™ have commenced through the Company’s wholly owned subsidiary Bagot Press to retail pharmacies. Whilst only small volumes have been sold so far, Bagot Press is continuing to work with individual pharmacies and chains to establish the SecureTouch™ in this market.

In 2008 the total worldwide disposable syringe market is estimated to reach over 27 billion units of which Australia/NZ annual consumption is expected to grow to approximately 755 million units. At current growth rates the markets are expected to grow to over 31 billion and 865 million units respectively by 2010.[1]

These markets can be divided into several sectors including Public and Private Health Institutions, Diabetes, Family Practices and Medical Clinics as well as Government Sponsored Needle Programs.

One of the key initial targets for SafetyMed is the Australian Federal Government funded Clean Needle Program which utilises approximately 50 million 1ml syringes per annum.

SafetyMed CEO Mr. John Riemelmoser said, “The Clean Needle Program is a significant market opportunity for the Company and now that we have a commercially available product, we have commenced the process of approaching the relevant State Government agencies around Australia to allow for the SecureTouch™ to be made available for supply into the program”.

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Safety Medical Products Limited 25 Fenden Road, Salisbury Plain, South Australia Australia, 5109 ACN 007 817 192 Phone: (08) 8285 5226 Fax: (08) 8285 3228 Email: info@safetymed.com.au Website: www.safetymed.com.au ASX Code: SFP SafetyMed® is a registered trademark of Safety Medical Products Ltd

“We believe the safety advantages provided by the SecureTouch™ and the fact that it will be competitively priced with standard non-safety syringes, will provide a compelling argument for the relevant agencies to favorably receive this innovative technology”, Mr. Riemelmoser added.

With the Company holding CE mark Certification for supply of the SecureTouch™ into the European Union, this market presents an enormous opportunity for SafetyMed. Europe represents 32% of the world disposable syringe market, second only to the US and is expected to grow to become the largest market within the next 5 years.[1]

The take up of safety devices in Europe however has been disproportionately low in the past, approximately 2.5%, attributed directly to budgetary constraints as a result of the extra costs involved in the implementation of safety products.[1]

SafetyMed currently has capacity to produce approximately 36 million 1ml SecureTouch™ safety syringes per annum. As demand grows for the 1ml SecureTouch™, SafetyMed will introduce 2, 3, 5 and 10ml syringes to its range as well as increasing capacity for the 1ml unit.

In order to generate demand for the SecureTouch™, SafetyMed has a range of significant Australian and International sales and marketing activities planned for the coming months which include:

• Development and implementation of a national awareness campaign with key users and buyers.

• Formal trials with key users in the public and private sector to develop broad product acceptance and awareness.

• Listing on the approved and available products schedule with each State Government procurement office.

• Presentation of the SecureTouch™ to major medical product distributors and wholesalers as well as public and private hospitals.

• Participation in tenders for supply to the State Government Health Departments.

• Implementation of the Strategic Alliance Agreement with Exelint for sales of SecureTouch™ into the four exclusive territories granted to them being the United States, United Kingdom, Germany and Japan. This Agreement includes minimum sales commitments of 25m units in the first year post implementation, 50m units in the second year and the targets continue to grow by 10% each year thereafter.

• Establishing distribution arrangements for sales into overseas markets, not currently covered by the Exelint Agreement. To date a number of inquires have been received from medical product organisations in various parts of the world seeking to purchase product or set up production facilities.

We will provide updates to the market as major milestones are achieved with respect to each of these activities.

Yours Sincerely

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John Riemelmoser Managing Director

1 Disposable Syringe Markets, TriMark Publications, July 2007

About Safety Medical Products Limited

SafetyMed is a company focused on developing and marketing a unique range of Safety Products led by its flagship SecureTouch™ retractable syringe. The company’s strategy of acquiring related companies to more rapidly secure economical development, distribution and sales of its products will see it continue to achieve strong bottom line growth throughout 2007/08.

For further information please contact:

Mr. John Riemelmoser Mr. Duncan Gordon Managing Director Investor Relations Safety Medical Products Limited Adelaide Equity Partners Ltd Ph (08) 8285 5226 Ph (08) 8232 8800 Fax (08) 8285 3228 Fax (08) 8232 8811 Email info@safetymed.com.au Email dgordon@adelaideequity.com.au