QUEBEC CITY, Sept. 4 /CNW/ - Medicago Inc. (TSX-V : MDG) (the "Company"), today announced that it has granted 140,505 stock options to Andy Sheldon, President and Chief Executive Officer and 83,169 to Louis P. Vézina, Chief Scientific Officer, pursuant to the terms of their employment agreements and conditions of the Company's stock option plan. These stock options were issued at an exercise price of $0.37 and expire in five years.

About Medicago Inc.

Medicago is committed to provide highly effective and affordable vaccines based on proprietary Virus-Like Particle (VLP) and manufacturing technologies. Medicago is developing VLP vaccines to protect against H5N1 pandemic influenza, using a transient expression system which produces recombinant vaccine antigens in non-transgenic plants. This technology has potential to offer advantages of speed and cost over competitive technologies. It could deliver a vaccine for testing in about a month after the identification and reception of genetic sequences from a pandemic strain. This production time frame has the potential to allow vaccination of the population before the first wave of a pandemic strikes and to supply large volumes of vaccine antigens to the world market. Additional information about Medicago is available at www.medicago.com.

Forward-Looking Statements

This press release contains forward-looking statements which reflect the Company's current expectations regarding future events. The forward-looking statements involve risks and uncertainties. Actual results could differ materially from those projected herein. The Company disclaims any obligation to update these forward-looking statements.

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