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November 1, 2006

PRESS RELEASE

AMERICAN ELEMENTS ANNOUNCES LAUNCH OF NEW AE ISOTOPES™ LINE OF ISOTOPIC MATERIALS

[November 1, 2006, Los Angeles , CA] American Elements announced today the launch of a new product line dedicated to manufacturing isotopic forms of the elements.

The new production capability will be sold under the tradename AE Isotopes™. Isotopes from American Elements are non-radioactive materials with numerous applications and properties. Oxygen-18 has been used extensively to study human metabolism by measuring metabolic energy output in research involving obesity, heart disease, osteoporosis and diabetes. Other human metabolism studies to determine the absorption patterns of nutrients have involved tracing a stable isotope of that mineral or element though the body. Iron (Using Iron-54, Iron-57 and Iron-58), Copper (Using Copper-63 and Copper-65), Zinc (Using Zinc-64, Zinc-67, Zinc-68 and Zinc-70), Magnesium (Using Magnesium-25 and Magnesium-26) and many others are used for this application.

AE Isotopes™ are valuable in environmental and human exposure research. Chlorine-37 and Chlorine-37 are used to study environmental pollutants. Carbon-13 has application in the study of global warming and air pollution control. Lead-204, Lead-206 and Lead-207 can be used to measure human lead poisoning. Similarly, Chromium-53 and Chromium-54 can be used to study these effects with respect to Chromium.

Other biomedical applications for American Elements' stable isotopes, include using Nickel-58, Nickel-60, Nickel-61 and Nickel-64 to study nitrogen absorption in the blood, Copper-63 and Copper-65 to study gastro-intestinal disorders, Molybdenum 94, Molybdenum-96 and Molybdenum-97 as a label on nutrients to trace metabolism of the labeled nutrient, Lithium-6 for research in kidney function, Vanadium-51 to study brain metabolism and Rubidium-85 and Rubidium 87 to study potassium absorption in the blood.

Isotopic products expand on American Elements line of Ultra High Purity Materials.

For further technical and pricing information on American Elements' full line of advanced ceramic, electronic, glass and structural advanced materials products, please contact your local American Elements distributor or American Elements U.S. corporate headquarters. American Elements is a Los Angeles based global manufacturer and developer of engineered and advanced materials with the world's largest industrial catalogue of rare earth materials accessible electronically at www.americanelements.com. For further information on the new Chinese rare earth tax rates, 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 customerservice@americanelements.com.