Quest PharmaTech Announces Financial Results for 2011

TSX Venture: QPT

EDMONTON, May 23, 2012 /CNW/ - Quest PharmaTech Inc. (TSX-V: QPT) ("Quest" or the "Company"), a pharmaceutical company developing and commercializing products for the treatment of cancer, announces highlights of its audited financial results for the fiscal year ended on January 31, 2012:

Net consolidated loss for the year was $1,368,535 or $0.02 per share as compared to a consolidated loss of $1,353,773 or $0.02 per share for the year ended January 31, 2011.  Total expenditures for fiscal 2012 were $1,317,001 including research and development expenditures of $767,433 and general and administrative expenses of $549,568. The Company secured equity financing of $1,100,000, including $600,000 during the 2012 fiscal year.  Additional information related to the Company's financial statements and management discussion analysis is on SEDAR at www.sedar.com

The Company currently has debt of $1,524,000 comprised of a $500,000 convertible debenture and demand loan financing of $1,024,000.  $874,000 of the demand loan financing is from insiders - from two officers and from one independent director.

The Company announces a change to its demand loan financing that all demand loans from insiders are now due 30 days after demand.  The demand loan financing is unsecured with an annual interest rate of 8%, interest payable monthly.

The Company has granted 940,000 share options to three Officers and three independent Directors of the Company, all at an exercise price of $0.10 per common share subject to TSX Venture Exchange approval

The Company's Annual General Meeting of Shareholders will be held at 3:00 pm on July 26, 2012 at the Company's new corporate headquarters - 8123 Roper Road NW, Edmonton, Alberta, T6E 6S4.

About Quest PharmaTech Inc.
Quest is a publicly traded, Alberta-based biotechnology company committed to the development and commercialization of oncology product candidates. It is developing a series of products for the treatment of cancer based on its pipeline of SonoLight compounds; and monoclonal antibodies which target certain tumor antigens that are presented in a variety of cancers. Quest believes that by combining these antibodies with other cancer therapies such as chemotherapy, photodynamic therapy or radioimmuno therapy, it can potentially further complement and enhance treatment outcomes compared to antibody treatment alone.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Dr. Madi R. Madiyalakan, Chief Executive Officer, Quest PharmaTech Inc., Tel: [phone] Ext. 204, Email: [email protected], Internet: www.questpharmatech.com.