America’s Leading Manufacturer of Rare Earth and Advanced Material Products

        U.S. SALES & ADMINISTRATION: SUITE 2000 1093 BROXTON AVE. LOS ANGELES, CALIFORNIA  90024

June 8, 2006

PRESS RELEASE

 FOR IMMEDIATE RELEASE

NANOPARTICLE, NANOPOWDER AND NANOFOIL DIVISIONS OF AMERICAN ELEMENTS TO BE CONSOLIDATED INTO NANOMETAL™ PRODUCT GROUP

[ June 8, 2006, Los Angeles , CA ] American Elements announced plans today to merge four production divisions into a single product group under its tradename Nanometal™. The four effected operations include trademarked Nanometal™ nanofoils and ultra thin foils; branded nanopowders currently marketed under the tradename Z-Mite™, C-Mite™ and T-Mite™; Carbon and Silicon Nanotubes production; and Product Catalogue oxide, carbide and nitride nanopowders and nanoparticles of the following element product groups:

Aluminum, Antimony, Arsenic, Beryllium, Bismuth, Boron, Cadmium, Calcium, Cerium, Cesium, Chromium, Cobalt, Copper, Dysprosium, Erbium, Europium, Gadolinium, Gallium, Germanium, Gold, Hafnium, Holmium, Indium, Iridium, Iron, Lanthanum, Lead, Lithium, Lutetium, Magnesium, Manganese, Molybdenum, Neodymium, Nickel, Niobium, Palladium, Platinum, Praseodymium, Rhenium, Rhodium, Rubidium, Ruthenium, Samarium, Scandium, Selenium, Silicon, Silver, Sodium, Strontium, Tantalum, Tellurium, Terbium, Thallium, Thulium, Tin, Titanium, Tungsten, Vanadium, Ytterbium, Yttrium, Zinc, Zirconium

The consolidation is intended to streamline sales and customer support of nanoscale materials and combine production capabilities where possible for better efficiency. The consolidation will not result in any worker or staffing reductions.

For further technical and pricing information on Nanometal™ products, please contact your local American Elements distributor or American Elements U.S. corporate headquarters at (1)310-208-0551, FAX (1)310-208-0351 or corporate.relations@americanelements.com . American Elements is America’s leading manufacturer and supplier of rare earth and other advanced material products with distribution offices in Europe, Asia and South America.