Altair Nanotechnologies' RenaZorb, A Nanotechnology-Based Drug for Phosphate Control in Kidney Dialysis Patients, Advances in Animal Testing.

Business Editors & Health/Medical Writers

RENO, Nev.--(BUSINESS WIRE)--Jan. 23, 2003

Altair Nanotechnologies Inc. (Nasdaq:ALTI) announced that testing of RenaZorb(TM), its new drug for phosphate control in kidney dialysis patients, is progressing in an animal model. The testing is in its second month of a three-month program.

"RenaZorb testing in dogs is expected to be completed in approximately 30 days and we anticipate conclusive data regarding RenaZorb's relative performance in vivo (animal testing) at that time," said Altair Nanotechnologies President Dr. Rudi E. Moerck. "Further, testing of RenaZorb in a rat model is also underway and the results should be received in a 30 to 40 day timeframe."

Altair has developed three versions of RenaZorb designated RenaZorb "A", "B", and "H". The current in vivo testing involves all three versions of RenaZorb.

While lanthanum toxicity is not a concern, low lanthanum solubility and low lanthanum serum levels have been key goals of Altair's RenaZorb development program.

"Altair scientists determined that there were several key properties for lanthanum compounds that assured lower lanthanum levels in laboratory tests that may translate into the same results in animal testing," continued Moerck. "These properties comprise a compound that is low in solubility over a wide pH range, but still highly reactive with food-borne phosphate. RenaZorb "A", "B" and "H" satisfy and exceed these goals."

New in vitro (laboratory) testing by Altair, has shown that RenaZorb "B" and "H" inherently carry a much larger capacity to neutralize stomach acid, potentially affording stomach pH values significantly higher than those reached with lanthanum carbonate tetra hydrate, the benchmark material and RenaZorb "A". As both RenaZorb "B" and "H" and lanthanum carbonate tetra hydrate (benchmark drug) all react with phosphate to eventually result in the formation of insoluble lanthanum orthophosphate in the gut, the ability of each drug to increase pH to levels at which lanthanum orthophosphate is most insoluble may be a highly desirable and useful property.

According to Moerck, Altair continues discussions with four pharmaceutical companies for the licensing of RenaZorb. Recently, under existing confidentiality agreements, Altair shared RenaZorb's proposed cost of goods sold (COGS) data with three of these companies. This data allows pharmaceutical companies to evaluate potential market pricing and margin for comparison with competitive products such as Renagel(TM), the only FDA approved non-calcium phosphate lowering drug on the market.

Altair Nanotechnologies Inc.

Nanotechnology is rapidly emerging as a unique industry sector. Altair Nanotechnologies is positioning itself through product innovation within this emerging industry to become a leading supplier of nanomaterials and technology worldwide. Altair owns a proprietary technology for making nanocrystalline materials of unique quality both economically and in large quantities.

The company is currently developing special nanomaterials with potential applications in pharmaceuticals, fuel cells, solar cells, advanced energy storage devices, thermal spray coatings, catalysts, paints and environmental remediation. For additional information on Altair's nanoparticle materials, visit www.altairnano.com.

Forward-Looking Statements

This release may contain forward-looking statements as well as historical information. Forward-looking statements, which are included in accordance with the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, may involve risks, uncertainties and other factors that may cause the company's actual and future results and to be materially different than suggested by the forward-looking statements in this release. These risks and uncertainties include, without limitation, the successful testing, FDA approval and commercialization of RenaZorb, the company may be unable to attract or form relationships with pharmaceutical companies, or have the funds necessary to development additional products or create product opportunities within the pharmaceutical industry, in addition to other risks identified in the company's most recent Annual Report on Form 10-K, as filed with the SEC. Such forward-looking statements speak only as of the date of this release. The company expressly disclaims any obligation to update or revise any forward-looking statements found herein to reflect any changes in company expectations or results or any change in events.