Oncolytics Biotech® Inc. Completes Patient Enrollment in U.K. Phase I Clinical Trial Investigating REOLYSIN® in Combination with Cyclophosphamide in Patients with Advanced Malignances

CALGARY, Aug. 16, 2012 /PRNewswire/ – Oncolytics Biotech Inc. (“Oncolytics”)
(TSX:ONC) (NASDAQ:ONCY) today announced that it has completed patient
enrollment in its U.K. Phase I clinical trial using
intravenously-administered REOLYSIN in combination with
cyclophosphamide in patients with advanced malignancies (REO 012).

“We are pleased to complete enrollment of this technical study examining
cyclophosphamide’s potential to modulate the immune system’s response
to REOLYSIN,” said Dr. Matt Coffey, COO of Oncolytics. “Studies of this
type help to advance our understanding of the interaction between the
immune system and our product.”

The primary objective of the open label, dose-escalating,
non-randomized, 36-patient study is to determine the Minimum Effective
Immunomodulatory Dose (MED) of cyclophosphamide necessary to obtain
successful immune modulation. Secondary objectives of the trial include
assessing the safety profile of the combination and gathering any
evidence of antitumor activity.

Eligible patients include those who have been diagnosed with advanced or
metastatic solid tumors, including pancreatic, lung and ovarian cancers
that are refractory to standard therapy, or for which no standard
curative therapy exists.

The principal investigators for the study are Dr. James Spicer of King’s
College, London, Dr. Johann de Bono and Dr. Kevin Harrington of the
Royal Marsden NHS Foundation Trust and the Institute of Cancer
Research, London, and Professor Hardev Pandha of the Royal Surrey
County Hospital NHS Trust, Surrey and Mount Alvernia Hospitals.

About Oncolytics Biotech Inc.

Oncolytics is a Calgary-based biotechnology company focused on the
development of oncolytic viruses as potential cancer therapeutics.
Oncolytics’ clinical program includes a variety of human trials
including a Phase III trial in head and neck cancers using REOLYSIN,
its proprietary formulation of the human reovirus. For further
information about Oncolytics, please visit: www.oncolyticsbiotech.com.

This press release contains forward-looking statements, within the
meaning of Section 21E of the Securities Exchange Act of 1934, as
amended. Forward-looking statements, including the Company’s
expectations related to the U.K. Phase I clinical trial with REOLYSIN
in combination with cyclophosphamide , and the Company’s belief as to
the potential of REOLYSIN as a cancer therapeutic, involve known and
unknown risks and uncertainties, which could cause the Company’s actual
results to differ materially from those in the forward-looking
statements. Such risks and uncertainties include, among others, the
availability of funds and resources to pursue research and development
projects, the efficacy of REOLYSIN as a cancer treatment, the
tolerability of REOLYSIN outside a controlled test, the success and
timely completion of clinical studies and trials, the Company’s ability
to successfully commercialize REOLYSIN, uncertainties related to the
research and development of pharmaceuticals and uncertainties related
to the regulatory process. Investors should consult the Company’s
quarterly and annual filings with the Canadian and U.S. securities
commissions for additional information on risks and uncertainties
relating to the forward-looking statements. Investors are cautioned
against placing undue reliance on forward-looking statements. The
Company does not undertake to update these forward-looking statements,
except as required by applicable laws

SOURCE Oncolytics Biotech Inc.