For the latest fiscal year ending September 30, 2004, the company
recorded Net Sales of EUR 560 Million.

Argonne Scientists Receive Distinguished Performance Awards

Award
winners are: Michael Billone, Stephen Choi, Julius Jellinek, Wah-Keat Lee and
Jin Wang. They have developed a
technique using phase-contrast methods to make images using the Advanced
Photon Source with exposure times on the order of submicroseconds.S.

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, Nanophase Technologies
Corporation (Nasdaq: NANX), a technology leader in nanomaterials and
nanoengineered products, has been working with Carl Zeiss SMT AG in
Oberkochen, Germany to use NanoTek(R) Cerium Oxide Dispersions in EUV
Lithography Optics polishing. In 2003, he led a team of
engineers and technicians to complete the first in-cell tests to
simulate the effects of a hypothetical loss-of-coolant accident on high-
burnup reactor fuel.
The results of his "in-vivo " imaging of breathing insects have been
acclaimed worldwide. Argonne is
operated by the University of Chicago as part of the U.

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The awards were presented at a recent ceremony held at Argonne .

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The small particle size, narrow particle size distribution
and unique crystal morphology of this ceria allow new performance benchmarks
to be achieved with regard to improved surface roughness and lower
defectivity.com. Nanophase delivers commercial quantity and quality
nanoparticles, coated nanoparticles, and nanoparticle dispersions in a variety
of media.smt. Except as required by federal securities laws, the Company
undertakes no obligation to update or revise these forward-looking statements
to reflect new events, uncertainties or other contingencies.
The University of Chicago operates the laboratory for the Department of
Energy. Follow-on studies may make possible revisions of the
regulations on fuel behavior that will provide an improved process for
the licensing of new, better performing, cladding materials.

* Jin Wang and Wah-Keat Lee of the lab's Experimental Facilities Division
are being honored for their success in using X-rays in a wide range of
research. The
technique has many possible applications, and is expected to have a
significant impact on a variety of scientific areas.

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Other information on our website is not incorporated by reference
into, and not be considered a part of, this press release.

The nation's first national laboratory, Argonne National Laboratory
conducts basic and applied scientific research across a wide spectrum of
disciplines, ranging from high-energy physics to climatology and
biotechnology.

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Nanophase and Carl Zeiss SMT will be jointly
presenting the results of this work at Optifab 2005, May 2-5. Information
about Nanophase may be found in the Company 's public filings or on its
website. In addition, the Company's forward-
looking statements could be affected by general industry and market conditions
and growth rates. Nanotechnology-based fluids have potential applications
ranging from transportation to electronics and photonics. Lee, after
many years of developing successful high-heat load X-ray optics,
switched fields and became an expert in phase contrast X-ray imaging.

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The nanosized cerium oxide particles are
produced by Nanophase's patented NanoArc Synthesis(TM) process and dispersed
to form stable polishing dispersions with specific pH and rheology
characteristics. The stock corporation emerged from the
Semiconductor Technology business group of Carl Zeiss as a 100% subsidiary on
October 1, 2001. Choi also directed a theoretical study that led
to the discovery of the mechanisms behind this anomalous thermal
behavior.

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The physics which describes subatomic systems and interactions of elementary particles .

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Since 1990, Argonne has worked with more than 600 companies and
numerous federal agencies and other organizations to help advance America's
scientific leadership and prepare the nation for the future . Department of Energy
Office of Science national laboratory system.

drinfeld selfcontained

Using a
platform of patented and proprietary integrated nanomaterial technologies, the
Company creates products with unique performance attributes from two ISO
9001:2000 facilities.

This press release contains words such as "expects", "shall", "will",
"believes" and similar expressions that are intended to identify forward -
looking statements within the meaning of the Safe Harbor Provisions of the
Private Securities Litigation Reform Act of 1995.S. The data developed are important for
understanding the potential impacts of higher fuel burnup on cladding
integrity. His work has
spanned a broad range of important, fundamental topics with implications
for other fields.

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Nanophase makes stable water borne dispersions of cerium oxide
nanoparticles which are suitable for use in highly demanding polishing
processes such as photomask blanks, rigid memory substrates, EUV lithography
optics and semiconductor wafers.com , provides
nanoengineered solutions for multiple industrial product applications.

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The Company owns or licenses 24 United States patents and patent
applications and 50 foreign patents and patent applications., Five scientists from the U.

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Such statements in this
announcement are made based on the Company's current beliefs, known events and
circumstances at the time of publication, and as such, are subject in the
future to unforeseen risks and uncertainties that could cause the Company's
results of operations, performance and achievements to differ materially from
current expectations expressed in, or implied by, these forward-looking
statements. Nanofluids are a new class of heat
transfer fluid engineered by dispersing nanometer-size solid particles
in traditional heat transfer fluids.

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Nanocrystalline Ceria in EUV Lithography Optics Polishing

ROMEOVILLE, Ill.
For additional information contact Ian Roberts, Vice President of Sales,
630-771-6730, or iroberts@nanophase.S.

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With a wide-ranging product portfolio, Carl Zeiss SMT meets the
requirements of the key processes involved in microchip production , making it
one of the leading direct and indirect suppliers to the semiconductor
industry.

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Nanophase to Present at Optifab 2005

His most notable contributions
include his studies of cluster chemical reactivity; explorations of the
size-evolution of structural, dynamical, and electronic properties of
one- and two-component metal clusters; and investigations of thermal
stability, phases, and phase transitions in finite systems.

entanglement deformation

These risk and uncertainties include the following: a decision by
a customer to cancel a purchase order or supply agreement in light of the
Company's dependence on a limited number of key customers; uncertain demand
for, and acceptance of, the Company's nanocrystalline materials; the Company's
manufacturing capacity and product mix flexibility in light of customer
demand; the Company's limited marketing experience; changes in development and
distribution relationships; the impact of competitive products and
technologies; the Company 's dependence on patents and protection of
proprietary information; the resolution of litigation in which the Company may
become involved; and other risks described in the Company's registration
statement on Form 10K filed March 15, 2005 and other filings with the
Securities and Exchange Commission.

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Department of Energy's Argonne National Laboratory have received the 2005
University of Chicago Board of Governors for Argonne Distinguished Performance
Award, which recognizes outstanding scientific or technical achievements or a
distinguished record of achievements.

* Stephen Choi of the laboratory 's Energy Technology Division was
recognized for pioneering scientific achievements and outstanding
leadership in nanofluid research.

zeilinger algebras

com for additional information. ARGONNE, Ill. Experiments conducted by Choi's
group demonstrated that nanofluids conduct heat much faster than
scientists had predicted possible at very low volume fractions of
nanoparticles.

* Julius Jellinek of Argonne's Chemistry Division is a world leader in the
area of atomic and molecular clusters, the scientific basis for the
whole field of nanoscale materials. Wang is a world-renowned expert in the application of X-ray
scattering to a variety of materials science problems.

schroedinger subatomic

Visit http://www. This achievement and the data it generated have
won the praise of program managers at the Nuclear Regulatory Commission
and the Electric Power Research Institute and have brought international
recognition to Argonne. Wang and Lee currently collaborate on projects
that use their combined expertise to great effect.

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zeiss.

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Nanophase Technologies (NANX), http://www.
Together with its subsidiaries at locations in Germany, UK, USA and France,
the international group of companies employs a total workforce of some 1,800
people .

* Michael Billone of Argonne's Energy Technology Division has been a
valued contributor to several U. This unexpected result represents a fundamental discovery
in basic heat transfer .

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nanophase. As an innovation leader in the field of Lithography Optics and
optical and electron beam -based inspection and measuring systems, Carl Zeiss
SMT generates important momentum for further development in the chip industry. Department of Energy programs in both
fusion and fission reactor development . He is best known
for his research into the dynamics of fuel sprays, where he applied an
innovative research approach and achieved unique results.

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