International Atomic Energy Agency to Microchip Llamas in Peru

SO. ST. PAUL, Minn.-- Digital Angel Corporation (Amex:DOC), an advanced technology company in the field of rapid and accurate identification, location tracking and condition monitoring of high-value assets, announced today that the International Atomic Energy Agency (IAEA), which is an agency of the United Nations, has awarded Digital Angel a tender to microchip llamas in Peru. The IAEA wants to ensure the llama population remains unaffected from nearby nuclear power plants. The initial order calls for 1,000 microchips and two readers.

Barry M. Edelstein, interim President and CEO of Digital Angel, said, “We are proud to receive this prestigious tender, which is indicative of the broad-based use of our microchip technology as well as the steady progress we have made growing our business in Latin America. We will work to leverage this order, to market our products and obtain new orders throughout the Americas and other parts of the world.”

About Digital Angel Corporation

Digital Angel Corporation (www.DigitalAngelCorp.com) develops and deploys sensor and communications technologies that enable rapid and accurate identification, location tracking, and condition monitoring of high-value assets. Applications for the Company’s products include identification and monitoring of humans, pets, fish, poultry and livestock through its patented implantable microchips; location tracking and message monitoring of vehicles and aircraft in remote locations through systems that integrate GPS and geosynchronous satellite communications; and monitoring of asset conditions such as temperature and movement, through advanced miniature sensors. Digital Angel Corporation is majority-owned by Applied Digital Inc. (NASDAQ:ADSX), which also owns a majority position in VeriChip Corporation (NASDAQ:CHIP).

This press release includes forward-looking statements, including but not limited to statements regarding the expected performance of the products described, the range of benefits the product offers to users, and the Company's business prospects in Latin America. This information is also qualified in its entirety by cautionary statements and risk factor disclosures contained in the Company’s Securities and Exchange Commission filings, including the Company’s annual report on Form 10-K for the fiscal year ended December 31, 2006 and its quarterly reports. The Company can offer no assurances that any projections, assumptions or forecasts made or discussed in this release will be met, and investors should understand the risks of investing solely due to such projections. The Company undertakes no obligation to revise any forward-looking statements in order to reflect events or circumstances that may arise after the date of this press release.