Covalon significantly increases sales orders for fourth quarter 2005

October 03, 2005

Mississauga, Ontario – October 03, 2005: Covalon Technologies Ltd. (Covalon) (TSX Venture: COV) is extremely pleased to announce a significant increase in sales orders for $402,707 for the fourth quarter ending September 30, 2005 and $541,606 for the year ending September 30, 2005. These numbers are management account numbers.

The sales orders consist of orders from Covalon’s distributors for ColActive and ColActive Ag wound dressings and for medical device coating services.
The customer response continues to be positive and management expects sales orders will continue to build.

Covalon Technologies Ltd. is an advanced medical biosystems company that has developed and patented advanced therapeutic biomaterials for wound care and surgical applications and coatings.  Polymer chemistry and surface coating technology have been combined to create a range of time-release drug delivery platforms that are applied to many medical devices to treat many critical conditions. A variety of applications for these technologies have been identified and specific products have been developed. The products offer features and benefits providing solutions to many of the problems caused by current devices and their material properties which are used by most medical device manufacturers and suppliers. The problems include infection, poor biocompatibility, and microbial attachment.

For further information please contact:
William Jackson, CFO & COO
Covalon Technologies Ltd.
T: (905) 568-8400
F: (905) 568-5200
www.covalon.com

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.  The TSX Venture Exchange has in no way passed upon the merits of the proposed transaction and has neither approved nor disapproved of the contents of this release.
This document contains forward-looking statements. These statements relate to future events or future performance. In some cases, forward-looking statements can be identified by terminology such as “may”, “will”, “should”, “expect”, “plan”, “anticipate”, “believe”, “estimate”, “predict”, “potential”, “continue” or the negative of any of these terms or comparable terminology. Such statements reflect the current views of management of the Company with respect to future events. Actual events or results may differ materially. Given these uncertainties, readers are cautioned not to place undue reliance on such forward-looking statements. The Company disclaims any obligation to update any such factors or to publicly announce the result of any revisions to any of the forward-looking statements contained herein to reflect future results, events or developments.