BSD Medical Reports on Continued Sales Momentum by Terumo for the MicroThermX® Microwave System

SALT LAKE CITY

BSD Medical Corporation (NASDAQ:BSDM) (Company or BSD) (www.BSDMedical.com), a leading provider of medical systems that treat cancer and benign diseases using heat therapy, today reported continued sales momentum by Terumo on the distribution of the MicroThermX^® Microwave Ablation System (MicroThermX). BSD’s exclusive, multimillion dollar agreement with Terumo Europe NV (Terumo) covers distribution of the MicroThermX in more than 100 countries, including Europe, Western Asia and Africa, with a market potential that exceeds $1 billion.

“Terumo has been an exceptional partner for BSD, making substantial investments in sales and marketing of the MicroThermX,” said Sam Maravich, Vice President of Sales and Marketing of BSD Medical. “We are gaining sales traction in the Western European countries. The next phases of Terumo’s plan are focused on expanding into Eastern European markets, with the Middle East to follow. Since the beginning of BSD’s 2014 fiscal year, Terumo has initiated marketing efforts in countries with the highest revenue potential. Terumo continues to execute on plan and we view this partnership as a model for future distribution collaborations with the MicroThermX system.”

Terumo is implementing a well-planned, comprehensive marketing strategy for the MicroThermX that is aimed at geographic expansion and building credibility within the clinical community. Among key aspects of the marketing strategy, Terumo is using its significant relationships within the clinical community to establish MicroThermX teaching centers of excellence with key opinion leaders. Terumo is also sponsoring several studies with the MicroThermX.

About Terumo Corporation

A world leader in state-of-the-art medical devices and interventional oncology, Tokyo-based Terumo Corporation (TYO: JP:4543) reported 2013 sales of nearly $5 billion and has a market cap in excess of $8 billion. Through the sale and promotion of a high-quality line of devices used for tumor embolization, the closing or blocking of blood vessels, Terumo Europe NV has established itself as a pioneer in the field of interventional oncology.

About the MicroThermX Microwave Ablation System

The MicroThermX is a compact, mobile, state-of-the-art, proprietary system that includes a microwave generator, single-patient-use disposable antennas, and a thermistor-based temperature monitoring system. The innovative design of the MicroThermX is the first of its kind that allows delivery of higher power levels using a single generator.

The MicroThermX utilizes innovative synchronous phased array technology that was developed and patented by MicroThermX BSD to provide a wide range of uniform zones of ablation. The MicroThermX includes innovative, high-end disposables (SynchroWave antennas) that are used in each ablation treatment and will provide a significant ongoing revenue stream.

The soft tissue (tumor) ablation world market potential is estimated to exceed $2.3 billion. The U.S. Food and Drug Administration (FDA) has granted the Company a 510(k) clearance to market the MicroThermX for ablation of soft tissue. BSD has also received CE Marking for the MicroThermX System, which allows BSD to market the MicroThermX in Europe. CE Marking is also recognized in many countries outside of the EU, providing BSD the ability to market the MicroThermX to a number of international markets.

About BSD Medical Corporation

BSD Medical Corporation develops, manufactures, markets and services systems to treat cancer and benign diseases using heat therapy delivered using focused microwave energy and radiofrequency (RF). BSD’s product lines include ablation and hyperthermia treatment systems. BSD’s microwave ablation system has been developed as a stand-alone therapy to ablate and destroy soft tissue. The Company has developed extensive intellectual property, multiple products in the market, and well established distribution in the United States, Europe and Asia. BSD’s hyperthermia cancer treatment systems, which have been in use for several years in the United States, Europe and Asia, are used to treat certain tumors with heat (hyperthermia), while increasing the effectiveness of other therapies such as radiation therapy. Certain of the Company’s products have received regulatory approvals in the United States, Europe and China. For further information visit BSD Medical’s website at www.BSDMedical.com.

Forward-Looking Statements

Statements contained in this press release that are not historical facts, including statements relating to our 2014 plans, are forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995. All forward-looking statements are subject to risks and uncertainties detailed in the Company’s filings with the Securities and Exchange Commission, including the market demand for our MicroThermX® products and the regulatory requirements we face. These forward-looking statements speak only as of the date on which such statements are made, and the Company undertakes no obligation to update such statements to reflect events or circumstances arising after such date, except as required by law.