Vancouver, BC, July 17:  VSM MedTech Ltd. (TSX:VSM), the world leader in the emerging clinical market for magnetoencephalography, is pleased to announce that as part of its financing and restructuring program it has appointed Paul Murdoch as President and CEO to replace Jack Price, effective immediately.  Mr. Murdoch has been with the company since 2004 in the position of Vice President, Customer Services, and has over 20 years experience in the medical equipment industry.

Also as part of the Company's financing and restructuring program, effective July 14, 2006 all of the Company's directors, except for Ross Smith, have resigned.  Mr. Smith has appointed Paul Murdoch, James M. Carter and Martin Mueller-Romheld as directors to fill the vacancies.  The Company's board of directors now consists of Ross Smith, Paul Murdoch, James M. Carter and Martin Mueller-Romheld.