This study evaluated a novel immunoisolating membrane system for transplanting rat pancreatic islets (xenografts) into diabetic minipigs without immunosuppressive therapy. Rat islets were encapsulated in alginate and placed in a macrochamber covered by a poly-membrane. The chamber had a gas system to supply oxygen to the islets. Diabetic minipigs received the transplants and were monitored for up to 90 days. The rat islets functioned persistently and restored normoglycemia in the minipigs without immunosuppressants, demonstrating the potential of this system for treating diabetes with xenogeneic islet transplantation without drug-based immunosuppression.