Valence Technology Presents at 5th International Advanced Automotive Battery Conference

AUSTIN, Texas--June 15, 2005--Valence Technology, Inc. , developers of Saphion(R) technology, the industry's first commercially available, safe, large-format lithium-ion battery technology, announced it is presenting at the 7th edition of the Batteries Congress on June 16, 2005, in Paris, France.

At the conference, Dr. Yazid Saidi of Valence Technology will discuss the phosphate chemistries the company currently uses, as well as new battery chemistries Valence is researching for future generations of its Saphion battery technology. The company is also exhibiting at the tradeshow in booth 109.

"Valence was the first company to commercialize phosphate-based Lithium-ion batteries, making it possible for large-format applications to gain the performance benefits that lithium-ion technology offers along with unsurpassed safety," said Stephan Godevais, CEO for Valence Technology, Inc. "Our next generation Saphion material will allow us to expand our presence in the marketplace to address new applications and it will have a lower average cost per Watt hour."

Valence's Peter Guggenheim also presented on June 14 at the 5th International Advanced Automotive Battery Conference (AABC) in Waikiki, Hawaii. His presentation included a comprehensive characterization of energy density, rate capability, storage characteristics and safety tests for the company's new Saphion power cells, introduced last month. Valence is also exhibiting at the tradeshow through June 16 in booth #15.

The cathode material used in Saphion technology replaces toxic heavy metals with phosphates, creating batteries that are more chemically stable, safer and more environmentally friendly than traditional oxide-based Lithium-ion batteries.

For more information on Batteries Congress 2005, visit their Web site at: www.batteriescongress.com. For more information on AABC, please visit their Web site at: www.advancedautobat.com.

About Valence Technology, Inc.

Valence Technology is a leader in the development and commercialization of Saphion(R) technology, the industry's first commercially available, safe, large-format Lithium-ion rechargeable battery technology. Valence holds an extensive, worldwide portfolio of issued and pending patents relating to its Saphion technology and Lithium-ion rechargeable batteries. The company has facilities in Austin, Texas, Henderson, Nevada and Suzhou and Shanghai, China. Valence is traded on the Nasdaq SmallCap Market under the symbol VLNC and can be found on the Internet at www.valence.com.

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