Bruce Russell Russell Communications Group 310-559-4955 x101 brucerussell@ruscom.com Cyanotech Receives Notice of Compliance from Nasdaq KAILUA KONA, Hawaii (

Receives Notice of Compliance from Nasdaq

KAILUA KONA, Hawaii (October 9, 2007) Cyanotech

Corporation (Nasdaq Capital Market: CYAN) was notified on October 3, 2007 by

the Nasdaq Listing Qualifications Panel that it has demonstrated compliance

with all Nasdaq Marketplace Rules. Accordingly, Nasdaq determined to

continue the listing of the Company s common stock on The Nasdaq Stock Market.

Corporation, a world leader in microalgae technology, produces BioAstin

Natural Astaxanthin and Hawaiian Spirulina Pacifica all natural, functional

nutrients that enhance human health and nutrition. Cyanotech s spirulina, FDA

reviewed and accepted as Generally Recognized as Safe (GRAS) for use as a food

ingredient, augments energy and immune response. BioAstin s benefits derive

from its superior antioxidant activity and from its ability to support and

maintain natural inflammatory response, enhancing skin, muscle and joint

health. NatuRose Natural Astaxanthin is a natural pigment source that

also promotes animal health and nutrition, primarily in aquaculture.

Phycobiliproteins are fluorescent pigments used in medical diagnostic testing

and research. Cyanotech produces these products from microalgae grown at its

90-acre facility in Hawaii using patented and proprietary technology and

distributes them to nutritional supplement, nutraceutical, cosmeceutical, and

animal feed makers and marketers in more than 40 countries worldwide. Cyanotech

was the first microalgae company in the world to obtain ISO 9001:2000. Visit

www.cyanotech.com for more information.

73-4460 Queen Kaahumanu

Highway, #102 ~ Kailua-Kona, Hawaii 96740

(808) 329-3597 ~ www.cyanotech.com