<PAGE>

                          LIFE MEDICAL SCIENCES, INC.

                             STOCK OPTION AGREEMENT
             UNDER THE AMENDED AND RESTATED 1992 STOCK OPTION PLAN
                          (NON-QUALIFIED STOCK OPTION)



  AGREEMENT entered into as of the date set forth on the signature page hereto
by and between Life Medical Sciences, Inc., a Delaware corporation, with a
principal place of business at 379 Thornall Street, Edison, New Jersey (together
with its subsidiaries, if any, the "Company"), and the undersigned (the
"Optionee").

  WHEREAS, the Company desires to grant to the Optionee a non-qualified stock
option under the Company's Amended and Restated 1992 Stock Option Plan (the
"Plan") to acquire shares of the Company's Common Stock, $.001 par value (the
"Shares"); and

  WHEREAS, the Plan provides that each option is to be evidenced by an option
agreement, setting forth the terms and conditions of the option.

  NOW THEREFORE, in consideration of the premises and of the mutual covenants
and agreements contained herein, the Company and the Optionee hereby agree as
follows:

  1.  Grant of Option.
      ---------------

  The Company hereby grants to the Optionee a non-qualified stock option under
the Plan (the "Option") to purchase all or any part of an aggregate of the
number of Shares set forth on the signature page to this Agreement on the terms
and conditions hereinafter set forth.  The Option shall NOT be treated as an
incentive stock option under Section 422 of the Internal Revenue Code of 1986,
as amended (the "Code").

  2.  Purchase Price.
      --------------

  The purchase price ("Purchase Price") for the Shares covered by the Option
shall be the dollar amount per share set forth on the signature page to this
Agreement.

  3.  Time of Vesting and Exercise of Option.
      --------------------------------------

  Subject to Section 4 hereof, the Option shall vest and become exercisable on
the dates and as to the installment amounts set forth on the signature page to
this Agreement.  To the extent the Option (or any portion thereof) is not
exercised by the Optionee when it becomes exercisable, it shall not expire, but
shall be carried forward and shall be exercisable, on a cumulative basis, until
the Expiration Date (as hereinafter defined) or until earlier termination as
hereinafter provided.
<PAGE>

  4.  Term; Extent of Exercisability.
      ------------------------------

      (a)  Term.

           (i)    The Option shall expire as to each installment amount on the
                  date set forth next to each such amount on the signature page
                  to this Agreement (the "Expiration Date"), subject to earlier
                  termination as herein provided.

           (ii)   Except as otherwise provided in this Section 4, if the
                  Optionee ceases to perform services for the Company, the
                  Option shall terminate on the earlier of the last day of the
                  third month or ninety days after the date such Optionee ceases
                  to perform services for the Company, or on the date on which
                  the Option expires by its terms, whichever occurs first.

           (iii)  If such termination to perform services is because of
                  dismissal for cause or because the Optionee is in breach of
                  any employment agreement, such Option will terminate on the
                  date the Optionee ceases to perform services for the Company.

           (iv)   If such termination to perform services is because the
                  Optionee has become permanently disabled (within the meaning
                  of Section 22(e)(3) of the Code), such Option shall terminate
                  on the last day of the twelfth month from the date such
                  Optionee ceases to perform services for the Company, or on the
                  date on which the Option expires by its terms, whichever
                  occurs first.

           (v)    In the event of the death of the Optionee, the Option granted
                  to such Optionee shall terminate on the last day of the
                  twelfth month from the date of death, or on the date on which
                  the Option expires by its terms, whichever occurs first.

      (b)  Extent of Exercisability.
           ------------------------

           (i)    Except as provided below, if the Optionee ceases to perform
                  services for the Company, the Option shall be exercisable only
                  to the extent that the right to purchase Shares under such
                  Option has accrued and is in effect on the date such Optionee
                  ceases to perform services for the Company.

           (ii)   If the Optionee ceases to perform services for the Company
                  because he or she has become permanently disabled (within the
                  meaning of Section 22(e)(3) of the Code), the Option shall be
                  exercisable to the full

                                      -2-
<PAGE>

                  number of Shares covered by such Option.

           (iii)  In the event of the death of the Optionee, the Option may be
                  exercised with respect to the full number of Shares covered
                  thereby whether or not under the provisions of Section 3
                  hereof the Optionee was entitled to do so at the date of his
                  or her death, by the estate of such Optionee, or by any person
                  or persons who acquired the right to exercise such Option by
                  bequest or inheritance or by reason of the death of such
                  Optionee.

      5.   Manner of Exercise of Option.
           ----------------------------

           (a)  To the extent that the right to exercise the Option has accrued
                and is in effect, the Option may be exercised in full or in part
                by giving written notice to the Company stating the number of
                Shares as to which the Option is being exercised and accompanied
                by payment in full for such Shares. No partial exercise may be
                made for less than one hundred (100) full Shares of Common
                Stock. Payment shall be made in accordance with the terms of the
                Plan. Upon such exercise, delivery of a certificate for paid-up,
                non-assessable Shares shall be made at the principal office of
                the Company to the person exercising the Option, not less than
                thirty (30) and not more than ninety (90) days from the date of
                receipt of the notice by the Company.

           (b)  The Company shall at all times during the term of the Option
                reserve and keep available such number of Shares of its Common
                Stock as will be sufficient to satisfy the requirements of the
                Option.

      6.  Non-Transferability.
          -------------------

          The right of the Optionee to exercise the Option shall not be
assignable or transferable by the Optionee otherwise than by will or the laws or
descent and distribution or pursuant to a domestic relations order as defined in
the Code or Title 1 of the Employee Retirement Income Security Act or the rules
thereunder, and the Option may be exercised during the lifetime of the Optionee
only by him or her. The Option shall be null and void and without effect upon
the bankruptcy of the Optionee or upon any attempted assignment or transfer,
except as herein provided, including without limitation any purported
assignment, whether voluntary or by operation of law, pledge, hypothecation or
other disposition contrary to the provisions hereof, or levy of execution,
attachment, trustee process or similar process, whether legal or equitable, upon
the Option.

      7.  Representation Letter and Investment Legend.
          -------------------------------------------

          In the event that for any reason the Shares to be issued upon exercise
of the Option shall not be effectively registered under the Securities Act of
1933 (" 1933 Act"), upon any date on which the Option is exercised in whole or
in part, the person exercising the Option

                                      -3-
<PAGE>

shall give a written representation to the Company in the form attached hereto
as Exhibit 1 and the Company shall place an "investment legend", so-called, as
described in Exhibit 1, upon any certificate for the Shares issued by reason of
such exercise.

      8.  Adjustments on Changes in Capitalization.
          ----------------------------------------

          Adjustments on changes in capitalization and the like shall be made in
accordance with the Plan, as in effect on the date of this Option.

      9.  No Special Employment Rights.
          ----------------------------

          The provisions of this Section 9 are applicable only to Optionee's who
are employees of the Company. Nothing contained in the Plan or this Option shall
be construed or deemed by any person under any circumstances to bind the Company
to continue the employment of the Optionee for the period within which this
Option may be exercised. However, during the period of the Optionee's
employment, the Optionee shall render diligently and faithfully the services
which are assigned to the Optionee from time to time by the Board of Directors
or by the executive officers of the Company and shall at no time take any action
which directly or indirectly would be inconsistent with the best interests of
the Company.

       10. Rights as a Stockholder.
           -----------------------

           The Optionee shall have no rights as a stockholder with respect to
any Shares which may be purchased by exercise of this Option unless and until a
certificate or certificates representing such Shares are duly issued and
delivered to the Optionee. Except as otherwise expressly provided in the Plan,
no adjustment shall be made for dividends or other rights for which the record
date is prior to the date such stock certificate is issued.

       11. Withholding Taxes.
           -----------------

           Whenever Shares are to be issued upon exercise of this Option, the
Company shall have the right to require the Optionee to remit to the Company an
amount sufficient to satisfy all Federal, state and local withholding tax
requirements prior to the delivery of any certificate or certificates for the
Shares. The Company may agree to permit the Optionee to authorize the Company to
withhold Shares of Common Stock purchased upon exercise of the Option to satisfy
the above-mentioned withholding requirement; provided, however, no such
agreement may be made by an Optionee who is an officer or director within the
meaning of Section 16 of the Securities Exchange Act of 1934, as amended, except
pursuant to a standing election to so withhold Shares of Common Stock purchased
upon exercise of the Option, such election to be made in the form set forth in
Exhibit 2 hereto and to be made not less than six (6) months prior to such
exercise. Such election may be revoked only upon providing six (6) months prior
written notice to the Company.

                                      -4-
<PAGE>

       12. Plan Provisions Control.
           -----------------------

           In the event of any inconsistency between the provisions of this
Agreement and the provisions of the Plan, the inconsistent provision(s) of this
Agreement shall be superseded by the Plan provision(s) to the extent necessary
to reconcile the inconsistency.

           IN WITNESS WHEREOF, the Company has caused this Agreement to be
executed, and the Optionee has hereunto set his or her hand, all as of the 3rd
day of June, 1997.

                              LIFE MEDICAL SCIENCES, INC.



                              By: ____________________________________________
                                     Title:


                              OPTIONEE

                              Print Name:    Joel Gold

                              Sign Name:______________________________________

                              Address:________________________________________

                              ________________________________________________

                              Social Security Number:_________________________


                              OPTION INFORMATION
                              ------------------

TOTAL NUMBER OF SHARES UNDERLYING OPTION:  50,000
                                           ------
PURCHASE PRICE PER SHARE:        $ 4.75


                         VESTING & EXPIRATION SCHEDULE
                         -----------------------------

VESTING DATE            NUMBER OF SHARES                EXPIRATION DATE
------------            ----------------                ---------------
June 18, 1997               50,000                      June 18, 2002

                                      -5-
<PAGE>

                                 EXHIBIT 1
                           TO STOCK OPTION AGREEMENT
                           -------------------------

Gentlemen:

        In connection with the exercise by me of an option to purchase shares of
Common Stock, $.001 par value, of Life Medical Sciences, Inc. (the "Company"), I
hereby acknowledge that I have been informed as follows:

        1. The shares of Common Stock of the Company to be issued to me pursuant
to the exercise of said option (the "Shares") have not been registered under the
Securities Act of 1933, as amended (the "Securities Act") and, accordingly, must
be held indefinitely unless the Shares are subsequently registered under the
Securities Act, or an exemption from such registration is available.

        2. Routine sales of securities made in reliance upon Rule 144 under the
Securities Act can be made only after the holding period provided by that Rule
has been satisfied, and, in any sale to which that Rule is not applicable,
registration or compliance with some other exemption under the Securities Act
will be required.

        3. The availability of Rule 144 is dependent upon adequate current
public information with respect to the Company being available and, at the time
that I may desire to make a sale pursuant to the Rule, the Company may neither
wish nor be able to comply with such requirement.

        In consideration of the issuance of certificates for the Shares to me, I
hereby represent and warrant that I am acquiring the Shares for my own account
for investment, and that I will not sell, pledge or transfer the Shares in the
absence of an effective registration statement covering the same, except as
permitted by the provisions of Rule 144, if applicable, or some other applicable
exemption under the Securities Act. In view of this representation and warranty,
I agree that there may be affixed to the certificates for the Shares to be
issued to me, and to all certificates issued hereafter representing the Shares
(until in the opinion of counsel, which opinion must be reasonably satisfactory
in form and substance to counsel for the Company, it is no longer necessary or
required) a legend as follows:

        "The securities represented by this certificate have not been registered
        under the Securities Act of 1933, as amended, and were acquired by the
        registered holder pursuant to a representation and warranty that such
        holder was acquiring the Shares for his own account and for investment,
        with no intention of transfer or disposition of the same in violation of
        the registration requirements of that Act. These securities may not be
        sold, pledged, or transferred in the absence of an effective
        registration statement under such Act, or an opinion of counsel, which
        opinion is reasonably satisfactory to counsel to the Company, to the
        effect that registration is not required under such Act."

                                      -6-
<PAGE>

        I further agree that the Company may place a stop transfer order with
its transfer agent, prohibiting the transfer of the Shares, so long as the
legend remains on the certificates representing the Shares.


                              Very truly yours,



Dated: _____________

                                      -7-
<PAGE>

                                 EXHIBIT 2
                           TO STOCK OPTION AGREEMENT
                           -------------------------

Gentlemen:

        The undersigned Optionee hereby elects and agrees that, whenever the
undersigned exercises a stock option (including any options which now or may
hereafter be granted), Life Medical Sciences, Inc. (the "Company") shall
withhold from that exercise such number of Shares equal in value to the federal
and state withholding taxes due upon such exercise. The undersigned further
acknowledges and agrees that this election may not be revoked without six (6)
months' prior written notice to the Company.

                              OPTIONEE:


                              -----------------------------------------------
                                                (Signature)


                              -----------------------------------------------
                                                (Print Name)



                              -----------------------------------------------

                                      -8-