RENO, Nev., 31 May 2009. Power electronics designers at Altair Nanotechnologies Inc. in Reno, Nev., won a $3.8 million contract award from the U.S. Office of Naval Research (ONR) to research and design a large-scale nano lithium titanate military battery system for possible use as an uninterruptible power supply (UPS) for Navy warship applications.

"The design and development of a 500-kilowatt energy-storage unit paves the way for the Navy to dramatically change how vessels respond to requirements for efficient, redundant, and safe power availability," says Altair Nano President Terry M. Copeland.

On Navy vessels today, two gas-turbine generators are kept online to guarantee military power availability. An Altair Nano battery solution provides the ability to run only one turbine at a more efficient capacity to supply shipboard power.

If there is a problem with the primary generator, the Altair Nano UPS would provide enough power to bring a second generator online. It is estimated the fuel cost savings alone would near $1 million per vessel for a six-month cruise, company officials say.

This contract, the continuation of an earlier award announced in 2008, is for the additional engineering, design, and testing of Altair Nano's advanced battery systems for use on Navy ships.

The second phase of this contract includes construction and delivery of a 500-kilowatt energy-storage unit for operational testing by ONR. During this phase Altair Nano will produce this unit for performance testing, smaller-scale modules for safety testing and conduct other cell, safety and ship integration studies. The engagement starts immediately with contract completion anticipated by July 1, 2010.

To date, Congress has appropriated $12.5 million for Altair Nano's battery program. Money for the third phase of Altair Nano's ongoing engagement are expected to be awarded in 2010.

For more information contact Altair Nano online at www.altairnano.com.