I do feel there might be some validity in the statement.
You see God breathed life into the nostrils of Adam.
Now what does blood do?, it carrys around oxygen to the parts of the body, and when you cut off that blood/oxygen/life supply, the affected body part dies very quickly, so in effect, yes, Life is in the blood and the blood gets that "life" from the lungs which is the very place God put it in the first place.