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Thursday, 06/16/2011 8:23:01 PM

Thursday, June 16, 2011 8:23:01 PM

Post# of 278741
UPCOMING NEWS: We know that last year Kim announced the success of the genetic modifications (GMs)as they occurred and did not wait until determining whether or not they produced spider silk. The success of the GMs was, in and of itself, major news and of greatest importance to Notre Dame and its scientists and they would have been highly dissatisfied with Kim (to put it mildly) had he not released the news.

This time it is SIAL to whom the news is of the utmost importance. SIAL has made a very big deal of the KBLB-SIAL deal as it is the first use of its new custom zinc finger service and if the GMs do what is expected, KBLB's spider silk will be the first product incorporating ZFs to reach the market (because, as I discussed at great length before:

1) no FDA approval is required because no drugs are involved
2) no lengthy regulatory approvals are required because i)no genetically modified organisms (GMOs) are to be released into the environment and ii)silkworms, after thousands of years of domestication, are so dependant on man that they could not survive in the wild even if accidentally released).
3) no lengthy "scale up" of production methods is required: silk manufacturing has been practiced for thousands of years and the only thing required is to just use KBLB's worms for existing processes.
4) manufacturing facilities already exist so no wait for their construction.
This will all be very fast compared to the usual pace.

The new custom zinc finger service is so important to SIAL that it has highlighted it at each and every presentation since it was initiated. The KBLB deal is so important to SIAL that it is one of only four news items listed on the home page at SIALs website even more than 9 weeks after it was announced:
http://www.sigmaaldrich.com/united-states.html

It would therefore, be absurd to suggest that Kim would fail to announce a successful genetic modification using the zinc fingers.
In addition, because it is unquestionably a "material event" it would be a SEC violation to fail to do so.

There are many other reasons I have already given why Kim is sure to release the news immediately but in the light of the above they are entirely redundant.

We also know, but from Kim and SIAL, that it takes about a week to do GMs with the zinc fingers and that it takes only 48 hours to test them (and that SIAL includes the materials needed to do the test along with the zinc fingers) (Which can be confirmed at the SIAL link above (although I posted the proof very recently here). And, of course, Kim today us at the CC that they had just received the zinc fingers that day (10 June)

So early next week is when we could and should hear (unless someone leaves the cap off the hydrogen peroxide or some equivalent - highly unlikely, just pointing out, as usual, that nothing is ever certain in biotech.)

If the GMs work, Kim will announce it. He did it before to keep ND happy and he will do it this time to keep SIAL happy
- not even considering that he is very highly motivated to do it for his own reasons.

There are many other things in process that will likely generate significant news and PRs in the upcoming months:

1) the success of the GMs:
exceedingly likely given SIAL and SGMO's track record (worked every time in a wide range of animals INCLUDING THE SILKWORM. WARNING! They do not always work on the first attempt. In a very small percentage of tries they have to be "tweaked" and redone. But they have always worked eventually. Worst case scenario: they won't work the first time and have to be repeated. Highly probable outcome: wait a few weeks for "tweaked" ZFs and redo, about 4 to 8 weeks, after tweaking they would be almost certain to work (any potential problems would have shown up the first time).

2) learning that the modified worms have produced silk containing only spider silk protein and no worm silk protein. (NOTE: at this point there may be slight differences still from natural spider silk but, as I discussed before, the silk will almost certainly be close enough to the qualities of pure spider silk to meet that market's needs until KBLB works out the remaining problems (and, as I also discussed, there are very likely to be workarounds for such problems)

3)Kim said he is under discussions about a product "resulting from the ramping up of the Monster Hybrid population As discussed before that will be use of the cocoons from the breeding cycles of the Monster Hybrids for chopped and swirled strand type uses. Note that cocoons from breeding cycles (when the worms have to be allowed to cut their way out) are not usable for normal silk products as the stands are shortened by the worms cutting their way out) Kim mentioned the security and structures market. A PR related to that is possible anytime before the end of the year.

4) A deal or other news related to the commercialization of Monster Silk is possible at any time. My prediction would be that the first deal (other than in 3 above) would probably be for silk thread with a manufacturer of silk products.

5)Spider silk protein as a product (deals, specific plans, etc.)
(which could be economically produced from unreeled silk (still in cocoons) from pure spider silk producing worms is a huge potential market and KBLB's product would be both far superior (current versions of "spider silk protein' are only poor analogues of the lessor of the two major proteins in spider silk. The spider silk protein produced in goat's milk would be far too expensive to extract to be competitive.

6) News about the "platform" worm
may come early next year. We can only speculate as to what exactly it may be. (I have some ideas but not enough time of that right now).

NOTE: If you want to refer to my past posts just click on my screen name above and then click on "recent posts" I am in the process of organizing the tech explanation ones and will see if I can get some of them sticky noted (if someone will explain how to do that or if I can find it in the handbook)

If the GMs are successful, in a few weeks we will know about it (NO WAY would Kim fail to announce THAT.
The ramping up of the Monster Hyrid to production levels will be finished in about 4 to six months.

IMHO those who expect a long extended period of no news are just completely out of touch with what KBLB is doing (maybe due to focusing on day to day price movements).
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