SOURCE: Altair Nanotechnologies, Inc.

March 08, 2006 10:15 ET

Altair Nanotechnologies Partners With Electro Energy to Develop and Manufacture New Generation, High Power Lithium Ion Batteries

Targeting Portable Devices and Hand Held Power Tool Markets

RENO, NV and DANBURY, CT -- (MARKET WIRE) -- March 8, 2006 -- Altair Nanotechnologies Inc. (NASDAQ: ALTI) and Electro Energy, Inc. (NASDAQ: EEEI) today announced that they have entered into a four-year Joint Development Agreement for the design, manufacture and marketing of high power lithium ion batteries and battery systems. Initial target markets consist of a variety of portable devices, including hand-held power tool applications.

Under the terms of the agreement, Altairnano and Electro Energy will jointly develop a new generation of rechargeable batteries based on Altairnano's advanced nano-structured electrode materials and Electro Energy's patented bipolar cell design. Both companies believe that the combined technologies will create a range of new lithium ion batteries that are expected to enable, for example, hand-held power tool manufacturers to deliver end user products with improved functionality and cost performance. If the companies are successful in developing these new lithium ion battery products, power tools using these batteries are expected to weigh less, recharge in minutes versus hours, and have a significantly improved cycle life.

Sales of the new battery products will be governed by a marketing and sales agreement, the terms of which will be agreed upon by the parties.

"Altairnano's nano-structured lithium ion electrode materials provide an outstanding combination of performance properties including rapid charge, increased power, long life and safety," commented Altairnano President and CEO Alan J. Gotcher, Ph.D. "The Joint Development Agreement with Electro Energy presents both companies with considerable opportunities to capture markets demanding battery performance with significantly more power and energy in extreme environments. Electro Energy has strong relationships with leading manufacturers of cordless power tools as well as organizations within the military and aerospace industry. The battery performance requirements within these markets may provide excellent commercial opportunities for Altairnano's battery materials and products," added Gotcher.

"We currently manufacture and market batteries and battery packs for complex applications with high power battery requirements," said Electro Energy's President Michael E. Reed. "Over the last two years we have been developing lithium ion rechargeable batteries and we believe that Altairnano's innovative battery materials technology, integrated with our bipolar battery design, can provide a new generation of high power rechargeable batteries with highly desirable price and performance."

ABOUT ELECTRO ENERGY INC.

Electro Energy Inc., headquartered in Danbury, Connecticut, was founded in 1992 to develop, manufacture and commercialize high-powered, rechargeable bipolar nickel-metal hydride batteries for use in a wide range of applications. Its Colorado Springs operation supplies aerospace-grade high quality nickel cadmium batteries and components for satellites, aircraft and other specialty applications. Electro Energy Inc. is developing high power lithium rechargeable batteries utilizing the Company's proprietary design. Electro Energy has announced plans to acquire significant manufacturing assets near Gainesville, FL, in early 2006 to accelerate commercialization of its battery technology. For additional information on Electro Energy visit www.electroenergyinc.com

ABOUT ALTAIR NANOTECHNOLOGIES INC.

Altairnano is a leading supplier and innovator of advanced ceramic nanomaterial technology. Based in Reno, Nevada, Altairnano has assembled a unique team of materials scientists who, coupled in collaborative ventures with industry partners and leading academic centers, have pioneered an array of intellectual property and products.

Altairnano's robust proprietary technology platforms produce a variety of crystalline and non-crystalline nanomaterials of unique structure, performance, quality and cost. Altairnano's two divisions, Life Sciences and Performance Materials, are focused on applications where its nanotechnology may enable new high growth markets. The Life Sciences Division is pursuing market applications in pharmaceuticals, drug delivery, dental materials and other medical markets. The Performance Materials Division is focused on market applications in advanced materials for paints and coatings, air and water treatment, and alternative energy including new Li Ion battery electrode materials. For additional information on Altairnano and its nanomaterials, 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 results and performance in future periods to be materially different from any future results or performance suggested by the forward-looking statements in this release. These risks and uncertainties include, without limitation, the risks that commercialization of Altairnano's battery materials through a Joint Development Agreement with Electro Energy may not occur for various reasons, including adverse test results with Electro Energy's battery technology when utilizing Altairnano's battery materials or positive developments of competing companies; that one of the parties decide not to go forward with the joint development and that, even if commercialization occurs, revenues from Altairnano's battery materials may not be significant for various reasons, including absence of market demand and low royalty or wholesale materials rates. In addition, other risks are 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.

Contact Information

  • For Additional Information:

    Investor and Financial Relations:
    Marty Tullio
    McCloud Communications, LLC
    949-553-9748
    Email Contact

    Altair Nanotechnologies Contact:
    Robert Pedraza
    VP of Strategy and Business Development
    775-856-2500
    Email Contact

    Investor and Financial Relations:
    Daniel Stepanek, EVP
    Consulting for Strategic Growth 1
    212-896-1202
    212-337-8089 (FAX)
    Email Contact

    Electro Energy Contact:
    Michael E. Reed
    President and COO
    203-797-2699
    203-797-2697 (FAX)
    Email Contact