Altair Nanotechnologies Enters Into In Vivo Testing of RenaZorb With Second Pharmaceutical Company.

Business Editors & Health/Medical Writers

RENO, Nev.--(BUSINESS WIRE)--Jan. 27, 2003

Altair Nanotechnologies Inc. (Nasdaq:ALTI) announced that it has entered into a testing agreement with a second pharmaceutical company for in vivo (animal) evaluation of RenaZorb(TM), its new pharmaceutical candidate for phosphate control in kidney dialysis patients.

Under the terms of the agreement both Altair and the company doing the testing will own data provided from the evaluation.

"It is significant that RenaZorb is now being evaluated by a second pharmaceutical company," commented Altair Nanotechnologies President Dr. Rudi E. Moerck.

"At the conclusion of the testing period, RenaZorb will have been tested in dogs and rats. These data will provide Altair the ability to determine the expected market potential of RenaZorb for the treatment of elevated phosphate levels in human kidney dialysis patients," added Moerck.

Altair has developed three versions of RenaZorb. Because of their inherent molecular composition, versions "B" and "H" afford significantly higher acid binding and phosphate binding capacity than the benchmark drug lanthanum carbonate tetra hydrate ("LCTH"). Laboratory testing has shown that higher acid binding capacity always resulted in significantly less overall lanthanum in solution than observed with LCTH, the benchmark material.

Confirmation of the laboratory observation of lower lanthanum levels is expected with the completion of animal studies with RenaZorb. Lanthanum carbonate tetra hydrate is currently under review by the FDA for approval as a new drug for control of elevated phosphate levels in kidney dialysis patients.

Altair is currently seeking a pharmaceutical partner to advance RenaZorb through the FDA approval cycle with eventual worldwide approval. The market for phosphate binders is currently $400 million- $600 million with the largest potential marketplaces for RenaZorb being the United States, Japan and Europe. Today, the only approved non-calcium-based drug for phosphate control in kidney dialysis patients is Renagel(TM) marketed by Genzyme.

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.