Advance Nanotech Subsidiary Launches Lonestar Product Line Offering Innovative, New Chemical Detection Solutions for Industry.

NEW YORK -- Advance Nanotech, Inc., (OTCBB: AVNA), a leading provider of financing and support services to drive the commercialization of nanotechnology related products for homeland security and display technologies, today announced that its Owlstone Nanotech subsidiary has launched its new Lonestar(TM) product line at the 16th Annual International Society for Ion Mobility Spectrometry conference held July 22-27, 2007 in Mikkeli, Finland.

The Lonestar product line provides a powerful and adaptable chemical monitor in a self-contained, compact portable unit that can be easily integrated into industrial settings. Incorporating Owlstone's proprietary Field Asymmetric Ion Mobility Spectrometry (FAIMS) technology, the instrument offers the flexibility to provide rapid alerts and detailed sample analysis. Lonestar units can be "trained" by users for different applications by "teaching" the unit normal operating parameters against which Lonestar can detect anomalous events. It can be easily integrated with other sensors and third party systems to provide a complete monitoring solution, and is suitable for a broad variety of applications ranging from online/at line process monitoring to laboratory based research and development.

Owlstone's core FAIMS technology platform is a versatile detector with the ability to simultaneously analyze a wide range of chemicals. The platform is suitable for many applications and industries, including: condition-based monitoring, reaction and end-point process monitoring, food and beverage taints, and gas purity. The Lonestar product line supplies a cost-effective, easy-to-use instrument providing real-time, online, granular monitoring for rapid identification of anomalous events. Lonestar units are extremely sensitive with detection levels as low as one part per billion and can be supplied with network and wireless connectivity for remote monitoring and operation.

Commenting on the launch of Lonestar, Tony Goncalves, CEO of Advance Nanotech, Inc., said, "The Lonestar product launch represents great progress in the continued growth of the Owlstone business with the company now selling three product lines. We are extremely pleased and expect continued business success through new, and repeat, orders."

About Advance Nanotech, Inc.

Advance Nanotech identifies patented, patent-pending and proprietary technologies at leading universities and funds the additional development of such technologies in exchange for the exclusive rights to commercialize any resulting products. Advance Nanotech has interests in over 20 nanotechnologies, grouped into two operating subsidiaries: Advance Display Technologies PLC, which is listed on the PLUS-Quoted market in London (ADTP) and Advance Homeland Security PLC. By partnering with universities and leveraging the infrastructure and multi-disciplinary human resources of its university partners, Advance Nanotech reduces its cost base and mitigates risk. After prototypes are proven within the lab and the Company develops a product roadmap and business plan, it forms majority-owned subsidiaries around the specific technology. It seeks to return value to our shareholders through the sale or licensing of the technology, by securing additional financing for the subsidiary from either the venture capital community or the capital markets, or by successfully executing its business plan and consolidating its income as the majority shareholder. For more information on Advance Nanotech, please visit www.advancenanotech.com.

About Owlstone Nanotech, Inc.

Owlstone Nanotech is a pioneer in the commercialization of nanotechnology-based chemical detection products. Its initial commercial product is a revolutionary microchip spectrometer that can be programmed to detect a wide range of chemical agents that may be present in extremely small quantities. There are numerous applications -- across industries from security and defense to automotive and healthcare -- that depend on the rapid, accurate detection and measurement of chemical compounds. Owlstone works with market leaders within these applications to integrate the detector into next generation chemical sensing products and solutions. Owlstone's technology offers a unique combination of benefits, including small size, low manufacturing costs, minimal power consumption, reduced false-positives, and a customizable platform. For more information on Owlstone Nanotech, please visit www.owlstonenanotech.com.

Safe Harbor statement: This news release contains forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These statements are based upon our current expectations and speak only as of the date hereof. Our actual results may differ materially and adversely from those expressed in any forward-looking statements as a result of various factors and uncertainties, including market acceptance of the Lonestar product line, the recent economic slowdown affecting technology companies, the future success of our scientific studies, our ability to successfully develop products, rapid technological change in our markets, changes in demand for our future products, legislative, regulatory and competitive developments and general economic conditions. Our Annual Report on Form 10-K and 10-K/A, recent and forthcoming Quarterly Reports on Form 10-Q and 10-Q/A, recent Current Reports and other SEC filings discuss some of the important risk factors that may affect our business, results of operations and financial condition. We undertake no obligation to revise or update publicly any forward-looking statements for any reason.