Advance Nanotech Partners with Alps and Dow Corning Corporation to Finance New Wireless Research; Partnership with the CAPE Center at the University of Cambridge Could Yield New Technology to Enhance Reception Capacity of Mobile Devices.

NEW YORK -- Advance Nanotech, Inc., (OTCBB: AVNA), the premier provider of financing and support services to expedite the commercialization of disruptive nanotechnology discoveries, in partnership with Alps Electric Company Limited and Dow Corning Corporation, today announced financing for RANTED, a new research project based out of the Center for Advanced Photonics and Electronics (CAPE) at the University of Cambridge, UK. The RANTED project is the latest milestone in the CAPE alliance's collaborative mission to invent and develop through multidisciplinary research, materials, processes, components and systems.

"The RANTED project is an excellent example of collaboration at work between industry leaders at the CAPE center," said Prof. Bill Crossland. "Each of our partners brings a host of unparalleled expertise to the table: Alps Electric in optoelectronic components, Dow Corning in materials research, and Advance Nanotech in nanotechnology. This is one of many success stories to come."

The RANTED project will explore a new class of materials with unique dielectric properties in the microwave range, suitable for applications in mobile phones and other wireless systems. The successful development of these novel materials will enable new wireless antenna technologies that substantially reduce the footprint required for multiple antenna systems, while simultaneously reducing background noise and increasing the capacity of mobile wireless systems. The RANTED project will deliver proof-of-concept demonstrators after two years, and the development of components ready for market applications will begin after three years.

"By 2009 mobile devices will be required to support a myriad of wireless frequencies and protocols, including 2, 2.5 and 3G telephony, Bluetooth (802.15), WiFi (802.11), ZigBee (802.15.4) and DVB-H (mobile TV) in order to be competitive. This poses a significant challenge to designers and developers of RF antennas and subsystems," said Dr. Peter L. Gammel, Senior Vice President, Electronics at Advance Nanotech. "The RANTED technology will demonstrate antennas which support all these applications in a compact footprint with improved performance."

In addition to mobile phones and wireless devices, the novel materials developed by the RANTED project are expected to benefit a broad range of microwave applications: from medical imaging to antennas, filters, receivers and transmitters for microwave and terahertz systems; from radar to satellite and mobile phone applications.

"Together Advance Nanotech, Alps, Dow Corning Corporation and the University of Cambridge are working to define the future and set the industry agenda for the convergence of photonic and electronic technology," said Magnus Gittins, CEO of Advance Nanotech. "The RANTED project represents a significant step in our progress towards these goals. We look forward to working with our partners moving forward to ensure that we achieve our mission together."

The investment in RANTED was made in partnership with Alps Electric Company Limited, Dow Corning and the CAPE Center at the University of Cambridge. CAPE (http://www-cape.eng.cam.ac.uk/) is part of the Department of Engineering of the University of Cambridge and forms an integrated Research Facility for Electrical Engineering with a staff of 20 academics, 70 post-doctoral researchers and 170 research students. CAPE is funded by Advance Nanotech, Alps Electric Company Limited, Dow Corning Corporation plc, and is designed to encourage research activities to proceed to development and exploitation in close collaboration with industry. The program enables designers and engineers within academia and industry to benefit from the burgeoning developments in advanced photonics and electronics. In the past five years, numerous patents have been filed and ten spin-out companies have been formed from projects which began in the Electrical Division within the Department of Engineering of the University of Cambridge.

Advance Nanotech is currently funding 21 portfolio companies in the electronics, biopharma, and materials industries. The firm provides services ranging from funding, to human capital and research equipment essential to ensuring that the most promising companies can accelerate the path to rapid commercialization. In this way, investor exposure to any particular technology is mitigated with Advance Nanotech retaining the option to increase investment in those technologies that successfully mature.

About Dow Corning Corporation.

Dow Corning (www.dowcorning.com) develops, manufactures and markets diverse silicon-based products and services, and currently offers more than 7,000 products to customers around the world. Through its Business & Technology Incubator, Dow Corning has a focused commitment to market-driven innovation across the spectrum of silicon-based technologies. Dow Corning is a global leader in silicon-based materials with shares equally owned by The Dow Chemical Company and Corning, Incorporated. More than half of Dow Corning's sales are outside the United States.

About Alps Electric Co., Ltd.

Founded in 1948, Alps Electric is a Japanese corporation that uses innovative proprietary technology to provide cutting-edge electronic components that contribute to the advancement of a multimedia society in its five business fields, Mechatronic Devices, Automotive Electronics, Communications, Peripheral Products and Magnetic Devices. Based on a business structure of Japan, America, Europe and countries around Asia, the Alps group has 80 companies that include mobile electronics manufacturer ALPINE and the specialized company for logistics of electronic components ALPS Logistics.

About Advance Nanotech, Inc.

Advance Nanotech Inc. is dedicated to ensuring nanotechnology discoveries reach maximum market potential through successful commercialization. Advance is the trusted guide to commercial success for nanotech entrepreneurs spanning the globe, partnering with leading universities to provide scientists and researchers with mission critical infrastructure support to transform their discoveries to marketable solutions. The organization provides a range of services and support including financing, leadership assets and counsel on intellectual property, licensing and regulatory issues. With a portfolio of 21 companies developing technologies which offer potentially breakthrough nanotechnology discoveries in the electronics, biopharma and materials sectors, Advance's goal is to transform the potential for nanotechnology discoveries into innovative products that further evolve existing industries and enable new markets.

About the Department of Engineering, University of Cambridge.

The Department of Engineering is the largest department in the University of Cambridge, representing approximately 10% of the University's activities by the majority of common metrics, and is one of Europe's largest integrated engineering departments. It achieves the highest standards in both research and teaching. Its international reputation attracts the best students, academics, sponsors and partners from around the world. More details about the Department and the latest news can be found on its website at www.eng.cam.ac.uk.

This document contains forward-looking statements by Advance Nanotech regarding its expectations as to its business, and involves risks and uncertainties and may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995.

Such statements are based on management's current expectations and are subject to a number of risks and uncertainties that could cause actual results to differ materially from those addressed in the forward-looking statements.

Factors that may cause such a difference include, but are not limited to, problems and risks associated with developments in the nanotechnology industry in general and in Advance Nanotech's products under development in particular; the potential failure of Advance Nanotech's products under development to prove safe and effective in application; uncertainties inherent in the early stage of Advance Nanotech's products under development; failure to successfully implement or complete research programmes; failure to receive marketing clearance from regulatory agencies for our products under development; acquisitions, divestitures, mergers, licenses or strategic initiatives that change Advance Nanotech's business, structure or projections; the development of competing products; uncertainties related to Advance Nanotech's dependence on third parties and partners; and those risks described Advance Nanotech's filings with the SEC. Advance Nanotech disclaims any obligation to update these forward-looking statements.

Further information about these and other relevant risks and uncertainties may be found in the Advance Nanotech's findings with the Securities and Exchange Commission, all of which are available from the Commission as well as other sources.