Oncolytics Biotech Inc announced that the agreement with Pfizer Inc to develop the reovirus as an animal health care product has been terminated and that pivotal clinical studies in animals for potential veterinary use will not be initiated.

"Oncolytics has been pleased to work with Pfizer Inc. on the animal health care program," said Dr. Brad Thompson, President and CEO of Oncolytics. "Oncolytics primary focus has been and will continue to be the development of Reolysin as a human therapeutic. Following our recent announcement of positive interim Phase I results in humans, Oncolytics will be initiating a series of follow up Clinical studies, the first one being a T2 prostate cancer trial."

Oncolytics is focused on the development of the human reovirus (Reolysin), as a potential cancer therapeutic. Oncolytics researchers have demonstrated that the reovirus is able to selectively kill cancer cells and, in vitro, kill human cancer cells derived from many types of cancer including breast, prostate, pancreatic and brain tumours.

Research studying the reovirus as a potential human cancer therapy has also yielded successful cancer treatment results in a number of animal models. Interim Phase I clinical trial results in people have indicated that there were no toxicology related issues with the administration of the reovirus, and that the reovirus demonstrated activity in human tumours injected with Reolysin.