Kailua-Kona, Hawaii (May 7, 2002) — Cyanotech Corporation (Nasdaq NMS: CYAN) reported today that a double-blind, placebo-controlled clinical study of its BioAstin natural astaxanthin product by an outside research group showed improvement in the condition of patients with Carpal Tunnel Syndrome. Patients in the study using BioAstin reported a reduction in both the severity and duration of pain.

This is the second clinical investigation of BioAstin for Carpal Tunnel Syndrome and it produced better results than the first study as patients using BioAstin in this study were given a higher daily dosage. Cyanotech said the researchers are preparing the results for publication. In July 2001, Cyanotech was awarded U.S. Patent 6,258,855, “Method of Retarding and Ameliorating Carpal Tunnel Syndrome,” based on the protective properties of BioAstin natural astaxanthin.

Carpal Tunnel Syndrome (CTS), also known as repetitive stress injury, causes a painful, numbing condition of the wrist and hand often associated with the operation of computers and cash registers. Treatment options include physical therapy, wrist braces and surgery. More than 200,000 CTS surgeries are performed annually in the United States, making this the most common surgery of the hand. According to a recent Occupational Safety and Health Administration (OSHA) study, an estimated three million Americans suffer from Carpal Tunnel Syndrome with total costs to the economy, including workplace disruption, estimated to exceed $15 billion annually.

“This study suggests that BioAstin offers a viable natural alternative for many who suffer from Carpal Tunnel Syndrome,” said Gerald Cysewski, PhD., CEO of Cyanotech. “We are pleased to see this clinical study affirm the health benefits our customers have reported from the use of BioAstin.”

“We are working with several major dietary supplement companies who currently include, or plan to include, natural astaxanthin in their products,” Dr. Cysewski noted. “The combination of positive clinical results, patent protection and strong marketing partners follows our strategy of developing proprietary positions in the dietary supplement industry.”

— Cyanotech Corporation, the world’s leader in microalgae technology, produces high-value natural products from microalgae, and is the world’s largest commercial producer of natural astaxanthin (pronounced “asta-zan-thin”) from microalgae. Products include BioAstin® natural astaxanthin, a powerful antioxidant with expanding applications as a human nutraceutical; NatuRose® natural astaxanthin for the aquaculture and animal feed industries; Spirulina Pacifica®, a nutrient-rich dietary supplement; and phycobiliproteins, which are fluorescent pigments used in the immunological diagnostics market. Spirulina and BioAstin are sold directly online through www.nutrex-hawaii.com and through resellers worldwide. Corporate and product information is available at www.cyanotech.com

Contacts:
Ronald P. Scott
EVP-Finance & Administration
(808) 326-1353
rscott@cyanotech.com

Bruce Russell
Investor Relations
310-559-4955 x 101
brucerussell@ruscom.com