Mitsubishi Gas Chemical Company and Nanocor, Inc., a wholly owned subsidiary of AMCOL International Corp. (NYSE:ACO) announced that they have executed a definitive agreement forming a strategic alliance, based on a preliminary agreement reached July, 2002. The alliance will manufacture and sell high barrier plastics which combine Nanocor's patented nanocomposite technology and Mitsubishi's MXD6 family of semi-aromatic nylon.

High barrier plastics are used as a key component in consumer and industrial packaging to increase shelf life. The market for high barrier plastics is forecasted to experience double-digit annual growth over the next decade. The alliance will focus promotion on the food and beverage segments. In addition it will supply certain industrial applications such as automobile fuel tanks made from plastics.

Under the alliance, Nanocor will supply its nanoclays to Mitsubishi Gas Chemical, who will manufacture the barrier plastics by incorporating the nanoclays into MXD6, using proprietary technology. Mitsubishi Gas will handle sales and marketing with assistance from Nanocor's sales personnel. For all products Mitsubishi Gas sells that use Nanocor technology, Nanocor will receive a portion of the profits.

“We are pleased to have reached this agreement with Nanocor and are excited to match the strengths of our two companies,” said James Otsuka, global business manager, Mitsubishi Gas Chemical. “The agreement with Nanocor allows us to address nanocomposite MXD6 gas barrier material for the next generation. This is a boost for the gas barrier market and right in line with Mitsubishi Gas Chemical's business strategy to offer a wide range of value to customers”

“This alliance is the product of many months of thoughtful analysis and years of development”, said Peter Maul, Nanocor president. “It melds two powerful technologies into a product that will move packaging to a new level. We see this process as a quintessential example of how sustainable benefits are created to improve the lives of consumers around the world and the companies that serve them. I know I speak for my dedicated team when I say we are delighted to be a part of it.”

Mitsubishi Gas Chemical Company has supplied MXD6 plastics to the packaging market for 15 years. MXD6 features excellent barrier to gases harmful to foods and beverages. MXD6 is preferred over competitive barrier plastics because it is easy to process and yields packages with high transparency. The combination MXD6 and nanotechnology is ideal for foods and beverages supplied through grocery or discount stores and for single-serve products sold in convenience outlets. Additional information may be found via the Internet at www.MXD6.com.

Nanocor, Inc. is a producer of nanoclays suitable for dispersion in plastics. The company has developed patented technology which enhances the barrier of MXD6, while maintaining its processing ease and transparency. The technology improves barrier properties manyfold, providing greater cost efficiency. It also accesses applications for which dramatically extended shelf life is a requirement. For more information about Nanocor visit www.nanocor.com.

In addition to manufacturing and sales activities, the alliance will combine the R&D resources of the respective parties to create new product variations with further improved performance. Development work will be conducted at Mitsubishi Gas's Hiratsuka, Japan Technical Center and Nanocor's Development Laboratories located in Arlington Heights, IL USA .

Nanocor's parent company, AMCOL International Corp., produces and markets specialty mineral products used for industrial, environmental and consumer-related applications. The company operates in three industry segments, minerals, environmental and transportation. During 2002, AMCOL International is celebrating it 75th anniversary. AMCOL's common stock is traded on the New York Stock Exchange under the symbol "ACO." The company's web site is www.amcol.com .