**EXHIBIT      10.18**

**HEMOBIOTECH**

**TEXAS      TECH - HEMOBIOTECH JOINT BLOOD SUBSTITUTE**

**PHASE      IV:**

**HEMOTECH(TM)      **
**FDA      IND/PHASE I CLINICAL TRIAL REQUIREMENT IMPLEMENTATION**

**JANUARY      2007 - **
**OPEN      ENDED**

----

| **PROJECT                TITLE:**                                                                              | **Texas                Tech-HemoBioTech Joint Blood Substitute Project.****Phase                IV: HemoTechTM FDA IND/Phase I Clinical Trial Requirement                Implementation**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
|---------------------------------------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                |
| **PROJECT                DIRECTOR**                (at HemoBioTech, Inc.):                                          |
|                                                                                                                | **Arthur                P. Bollon, Ph.D.**Chairman,                President & CEOHemoBioTech,                Inc.14221                Dallas Parkway Suite 1400Dallas,                TX 75254Tel:                214-540-8411; Fax: 214-540-8416e-mail:                arthurb@flash.nethttp://www.hemobiotech.com                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
|                                                                                                                |
| **PROJECT                PRINCIPAL INVESTIGATOR (at TTUHSC):**                                                      |
|                                                                                                                | **Jan                Simoni, DVM, PhD**Co-Inventor                of HemoTechTMAssociate                Research Professor of Surgery and Internal MedicineTexas                Tech University Health Sciences CenterSchool                of Medicine3601                4th Street, Office 3A119ALubbock,                TX 79430-8312Tel:                806-743-2460 x 246; Fax: 806-743-2113e-mail:                jan.simoni@ttuhsc.edu                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
|                                                                                                                |
| **DATES                OF THE PROPOSED PERIOD:**                                                                    |
|                                                                                                                | January                1, 2007 - open ended                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
|                                                                                                                |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
| **TOTAL                DIRECT COSTS REQUESTED FOR THE PROJECT: Initial down payment of                $779,647.36** |
|                                                                                                                | The                first installment of $779,647.36 will initiate Phase IV of the SRA                Project. The residual funds from Phase III of the SRA Project will                be                added to the Phase IV budget and assigned to specific object codes                accordingly. The exact cost of Phase IV will be determined during                its                realization. The                budget will be adjusted as necessary and will represent the dollar                amount                needed to accommodate the costs of HemoTech’s FDA IND/Phase I Clinical                Trial requirement implementation program. Since, as of December 2006,                the                Texas Tech SRA Team and HemoBioTech, Inc. are unaware of any future                FDA                recommendations/ requirements, besides those assigned to date, it                is                difficult to predict the total cost of Phase IV of the Project. This                includes, but is not limited to, the total costs of any consumables,                equipment, services, travel, labor compensation, related overhead                and any                other relevant expenses needed for satisfactory completion of Phase                IV. |
|                                                                                                                |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
| **PERFORMANCE                SITES:**                                                                               | Department                of Surgery, Division of Blood SubstitutesDepartment                of SurgeryTexas                Tech University Health Sciences Center3601                4th Street, 3A119A, 3A131, 3A134, 3A135 & 3A136Lubbock,                TX 79430, andTexas                Tech New Deal FarmEast                of New Deal, TX 79405                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
|                                                                                                                |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
| **APPLICANT                ORGANIZATION:**                                                                          |
|                                                                                                                | Texas                Tech University Health Sciences CenterLubbock,                TX 79430                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
|                                                                                                                |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
| **TYPE                OF ORGANIZATION:**                                                                            | State                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
|                                                                                                                |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |

----

| **ORGANIZATIONAL                COMPONENT TO RECEIVE CREDIT FOR GRANT:**                                                                                                                                                                                                    |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                                                                        | School                of Medicine |
|                                                                                                                                                                                                                                                                        |   |
| **OFFICIAL                SIGNING FOR APPLICANT ORGANIZATION:**                                                                                                                                                                                                             |
|                                                                                                                                                                                                                                                                        | **Barbara                C. Pence**,                PhD, Assoc. Dean/Assoc. VPOffice                of Research and Graduate SchoolTexas                Tech University Health Sciences Center3601                4th                Street, BA 112Lubbock,                TX 79430-6206Tel:                806-743-2556; Fax: 806-742-2656Email:                Barbara.Pence@ttuhsc.eduSignature:     Date**:** |
|                                                                                                                                                                                                                                                                        |   |
| **OFFICIAL                IN BUSINESS OFFICE TO BE NOTIFIED ABOUT THIS                FUNDING:**                                                                                                                                                                            |
|                                                                                                                                                                                                                                                                        | **June                Howard**,                DirectorOffice                of Sponsored Program, TTUHSC3601                4th                Street, Office 2B107Lubbock,                TX 79430-6271Tel:                806-743-2960; Fax: 806-743-2656Signature:     Date: |
|                                                                                                                                                                                                                                                                        |   |
| **PRINCIPAL                INVESTIGATOR SIGNATURE:                                   **Date: |
|                                                                                                                                                                                                                                                                        |   |

----

**1.      Project Description:**

**Phase      I **

| ·   | creation                of a company structure; |
|--------------------|-------------------------------------------------|

| ·   | development                of the business plan; and |
|--------------------|------------------------------------------------------|

| ·   | intellectual/scientific/technical                support during the process of searching for an initial venture capital. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------|

**Phase      II**

| ·   | completion                and submission to the U.S. Patent and Trademark Office of a new patent                on                the method for stimulating erythropoiesis with HemoTechTM                 (*Project                I*), |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | transfer                of the CMC, pre-clinical and clinical research data into digital                pdf                format (*Project                II*), |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | analysis                and summarization of the CMC, pre-clinical and clinical research                data for                IND application (*Project                III*), |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | renovation                and sanitation of the Texas Tech Blood Substitute Production Facility                (*Project                IV*),                and |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | establishment                of the animal blood donor facility (*Project                V*). |
|--------------------|-----------------------------------------------------------------------------------------------|

**Phase      III**

| ·   | continuation                of the necessary activities associated with maintaining the animal                blood                donor facility in cooperation with the Department of Animal Sciences                at                TTU (*Project                I*), |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | participation                in the IND process that included (*Project                II*): |
|--------------------|----------------------------------------------------------------------------------------------|

| 1.   | Scientific                and technical interaction with and support of CRO groups, which will                represent HemoBioTech, Inc. at the FDA                level. |
|----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 2.   | Preparation                for additional [*] studies with HemoTechTM [*] by the                FDA. |
|----------------|-----------------------------------------------------------------------------------------------------------|

| 3.   | Conducting                additional [*] studies with HemoTechTM [*] by the                FDA. |
|----------------|------------------------------------------------------------------------------------------------------|

| 4.   | Conducting                of more studies on the interaction of HemoTechTM with automated analytical                clinical tests, recommended by the                FDA. |
|----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 5.   | Expanding                the intellectual property base for HemoTechTM. |
|----------------|------------------------------------------------------------------------------|

| 6.   | Any                other activities requested by CRO groups, the FDA, or other involved                parties. |
|----------------|-----------------------------------------------------------------------------------------------------------------|

| ·   | Preparation                for                manufacturing of [*] HemoTechTM  (*Project                III*)                that included Creation and partial implementation of the [*] for                the SRA                Team. [*]. |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | additional                R&D on HemoTechTM  (*Project                IV and Project V*)                described in detail in the ongoing monthly progress reports, submitted                by                Dr. Simoni, P.I., to HemoBioTech, Inc. |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

**Phase      IV will include:**

**PROJECT      NO. 1. CONTINUATION OF MAINTENANCE OF THE ANIMAL BLOOD DONOR FACILITY IN      COLLABORATION WITH THE DEPARTMENT OF ANIMAL SCIENCE AT TEXAS TECH      UNIVERSITY.**

**PROJECT      NO. 2. IMPLEMENTATION OF THE IND PROCESS THAT WILL INCLUDE BUT NOT BE LIMITED      TO:**

| 1.   | Scientific                and technical interaction with and support of [*], our regulatory                organization that represents HemoBioTech, Inc. at the FDA                level. |
|----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 2.   | Finalizing                and implementation of the CMC Master Plan (**Attachment                2 is submitted at the end of this document**). |
|----------------|-------------------------------------------------------------------------------------------------------------------------------------------------|

| 3.   | Conducting                [*] studies with HemoTechTM [*]. The type and number of experiments to be                conducted at Texas Tech University Health Sciences Center will be                determined following consultation with the                FDA. |
|----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4.   | Scientific                and technical consulting support to [*] during performance of the                [*]                studies. [*] |
|----------------|--------------------------------------------------------------------------------------------------------------------------------------------|

| 5.   | Continuation                of [*] studies with HemoTechTM, [*].                [*]. |
|----------------|-------------------------------------------------------------------------------------------|

| 6.   | Continuation                of studies on the interaction of HemoTechTM[*]. |
|----------------|----------------------------------------------------------------------------------|

| 7.   | Any                other activities requested by CRO groups, the FDA, or other involved                parties. |
|----------------|-----------------------------------------------------------------------------------------------------------------|

| 8.   | Expanding                the intellectual property base for HemoTechTM. |
|----------------|------------------------------------------------------------------------------|

**PROJECT      NO. 3. MANUFACTURING OF HEMOTECHTM.**

**Attachment      3**

----

----

**PROJECT      NO. 4.**
**ADDITIONAL      R&D ON HEMOTECHTM.**

**Technical      and managerial resources**
**.**

**Funding      requests**
**.**

----

**Submitted      by:**

**Jan      Simoni, DVM, PhD**

**Approved      by:**

**Barbara      C. Pence, Ph.D.**

**Ms.      June Howard**

**Susanne      Moore, RN, JD**

**Approved      by (HemoBioTech, Inc.):**

**Arthur      P. Bollon, Ph.D.**

----