Altair Nanotechnologies to Receive Continue Funding to Supply Advanced Materials for U.S. Navy

With President Bush's signing of the Continuing Resolution (CR) which contains appropriations for the Department of Defense, Altair Nanotechnologies Inc. (Nasdaq: ALTI), a leading provider of advanced materials and products for power and energy systems, and the United States Navy were granted an additional $4 million for the continued funding of a 2.5-Megawatt stationary power supply program. Total funds appropriated by Congress for Altairnano's naval battery program now total $12.5 million.

Altairnano's program with the United States Navy focuses on developing, testing, and deploying an Altairnano battery as an uninterruptible power supply (UPS) on Navy missile destroyers enabling single generator operations. The application, which utilizes the battery's long life cycle and broad temperature operating range, is anticipated to create a safe, less costly, and environmentally sustainable substitute for fuel turbines, resulting in an annual fuel cost savings in excess of $1.5 million per ship.

"By funding this project, Congress and the President recognize how our company can help meet three important objectives," said Terry Copeland, Ph.D., Altairnano's Chief Executive Officer. "It will reduce our dependence on foreign oil, cut greenhouse gas emissions, and ensure Navy ships have power when they most need it."

"The latest appropriation reflects the financial commitment necessary to successfully deploy and commercialize Altairnano's unique battery solutions on Navy vessels," added Copeland. "We are encouraged by the initial results of testing and look forward to sharing these results as soon as they become available."

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