OTTAWA - PharmaGap Inc. (TSXV:GAP), a small Toronto-based drug developer, says initial testing of its lead cancer drug GAP-107B8 by the U.S. National Cancer Institute show promising results and significant inhibition of cancer cell growth at a low drug concentration across a wide range of human cancer cells.

The company's shares were halted Monday on the TSX Venture Exchange pending news.

PharmaGap said the test demonstrated greater than 50 per cent inhibition in cancer cell growth in 26 of 57 cell lines, "indicating the potential for potent effect of this novel drug compound across a broad range of human cancers."

When trading resumed Monday, PharmaGap shares rose one cent to 37.5 cents, a gain of 2.7 per cent, on the junior venture market.