BSD Medical Launches Successful MicroThermX® Equipment Rental Program in the Salt Lake City Area

BSD Medical Corporation (NASDAQ: BSDM) (Company or BSD) (www.BSDMedical.com), a leading provider of medical systems that utilize heat therapy to treat cancer, announced today the ongoing success of the Company's MicroThermX^® Microwave Ablation System (MicroThermX^®) equipment rental program in the Salt Lake City area. The Company launched a program in Salt Lake City that allowed hospitals to purchase disposable antennas and pay a fee-per-use rental for the treatment of patients using the MicroThermX^®. BSD introduced the equipment rental program to maximize revenues from the MicroThermX^® line of products. The program has been very successful, and BSD currently has rental programs at five hospitals in the Salt Lake City area. These hospitals have used the MicroThermX^® to treat a large number of patients with cancers of the liver, lung and kidneys. This rental program has generated a revenue stream from sales of disposable SynchroWave antennas combined with highly profitable equipment rental fees.

“The Salt Lake City area was used to test market this program, which was designed to accelerate revenues from the MicroThermX^® line of products,” said Harold Wolcott, BSD President and CEO. “We are encouraged by the success of the MicroThermX^® rental program in the Salt Lake City area. The program has resulted in increased purchases of the disposable SynchroWave antennas and increased revenue from equipment rental fees. We are confident it will produce the same successful results throughout the U.S.”

About the MicroThermX^® Microwave Ablation System

The MicroThermX^® is a compact, mobile, state-of-the-art proprietary system that includes a microwave generator, single-patient-use disposable antennas and a thermistor-based temperature monitoring system. The innovative design of the MicroThermX^® is the first of its kind that allows delivery of higher power levels using a single generator. The MicroThermX^® utilizes innovative synchronous phased array technology that was developed and patented by BSD to provide larger and more uniform zones of ablation during a single procedure. The MicroThermX^® introduces into the Company's product line innovative, high-end disposables (SynchroWave antennas) that are used in each ablation treatment and will provide a significant ongoing revenue stream. The soft tissue ablation world market potential is estimated to exceed $2.3 billion. The U.S. Food and Drug Administration (FDA) has granted the Company a 510(k) clearance to market the MicroThermX^® for ablation of soft tissue. BSD has also received CE Marking for the MicroThermX^® System, which allows BSD to market the MicroThermX^® in Europe. CE Marking is also recognized in many countries outside of the EU, providing BSD the ability to market the MicroThermX^® to a number of international markets.

About BSD Medical Corporation

BSD Medical Corporation develops, manufactures, markets and services systems to treat cancer and benign diseases using heat therapy, which is delivered using focused radiofrequency (RF) and microwave energy. BSD's product lines include both hyperthermia and ablation treatment systems. BSD's hyperthermia cancer treatment systems, which have been in use for several years in the United States, Europe and Asia, are used to treat certain tumors with heat (hyperthermia), while increasing the effectiveness of other therapies such as radiation therapy. BSD's microwave ablation system has been developed as a stand-alone therapy to employ precision-guided microwave energy to ablate (destroy) soft tissue. The Company has developed extensive intellectual property, multiple products in the market, and established distribution in the United States, Europe and Asia. Certain of the Company's products have received regulatory approvals and clearances in the United States, Europe and China. For further information visit BSD Medical's website at www.BSDMedical.com.

Statements contained in this press release that are not historical facts are forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995. All forward-looking statements are subject to risks and uncertainties detailed in the Company's filings with the Securities and Exchange Commission. These forward-looking statements speak only as of the date on which such statements are made, and the Company undertakes no obligation to update such statements to reflect events or circumstances arising after such date.