DelMar Pharmaceuticals Inc. and Accurexa Inc. announced a collaboration to develop a novel formulation for the local delivery of combination chemotherapy for the treatment of brain cancer and other solid tumors. Under the terms of the collaboration agreement DelMar will supply VAL-083 (dianhydrogalactitol) to be formulated within Accurexa's proprietary ACX-31 implantable polymer wafer to locally deliver VAL-083 in combination with temozolomide and/or BCNU for the treatment of brain cancer. DelMar has been granted an exclusive option to license or acquire and commercialize product candidates and intellectual property resulting from the research.

DelMar and Accurexa believe that combining VAL-083 with temozolomide and/or BCNU within Accurexa's proprietary drug delivery system may provide treatment advantages while limiting systemic toxicity. DelMar and Accurexa will seek to establish a novel formulation which incorporates VAL-083 into the ACX-31 polymer wafer and to establish non-clinical proof of concept regarding the proposed advantages of the combination therapy. DelMar will supply Accurexa with VAL-083 and the companies will share certain limited costs associated with the research.

DelMar has been granted an exclusive option to license or acquire and commercialize product candidates and intellectual property resulting from the research for a defined period after the completion of the research. DelMar's option to negotiate a license or acquire the technology includes any and all results, research materials, related information and product candidates, including without limitation ACX-31 and related intellectual property and all rights thereto on an exclusive world-wide basis or other such terms as the parties may agree, in order to further develop and commercialize products based on the research project.