FARGO (AP) - A biotechnology company has received $2.45 million from the government to continue developing vaccines, and it plans to bring a subsidiary to North Dakota, company officials say.

Aldevron, L.LC. president, Michael Chambers, and Sen. Byron Dorgan, D-N.D., said the latest funding comes from the Defense Department to help develop avian influenza vaccine. Aldevron has received $5.7 million from federal agencies over the past two years.

Aldevron will bring a subsidiary company, Genovac, to the state in coming months, Chambers said.

Genovac will start with two employees and will work on developing new drugs linked to a particular class of proteins that are involved in everything from "pain to hearing to sight," he said.

Aldevron acquired Genovac, a firm based in Freiburg, Germany, three years ago. Opening a Genovac office in North Dakota will advance biotechnology research in the state, Chambers said. A location for the office is still undetermined, he said.

Chambers and business partner John Ballantyne founded Aldevron in 1998, while attending North Dakota State University. They wanted to focus on the production of plasmid, small circles of DNA used in everything from vaccine research to drug discovery. Within five years, Aldevron became a leading supplier to clinical research arenas and grew to 45 employees.

Chambers said the company is working to develop egg-based vaccine technology, though it is too preliminary to discuss. "The idea behind this would be instead of getting a shot you would eat an egg and be vaccinated," he said.

Dorgan said Aldevron is an example of how North Dakota's economy continues to attract more high tech businesses.

"When we look back in the rearview mirror 10 years from now and see what has been built in this region, it is going to be extraordinary," he said.