NANOSONICS LIMITED — Share Issue/Capital Change 2007

May 14, 2007

14 May 2007

ASX Limited 20 Bridge Street SYDNEY NSW 2000

Attention: Company Announcements

Escrowed Shares and Options

Nanosonics Limited (ACN 095 076 896) ("Company") hereby advises ASX Limited (ACN 088 624 691) that the following fully paid ordinary shares ("Shares") and options to acquire fully paid ordinary shares ("Options") in the Company will be escrowed as follows:

A) Shares

• A total of 3,405,929 Shares will be escrowed for 12 months from the date of issue of those Shares, being 15 January 2007.
• $\AA$ total of 91,688,161 Shares will be escrowed for 24 months from the date of official quotation of the Shares ("Official Quotation Date").

Accordingly, as at Official Quotation Date, a total of 95,094,090 Shares will be escrowed.

B) Options

• A total of 1,500,000 ESOP 2006 Options issued to Geoff Marshall expiring in May 2011 and with an exercise price of \$0.20 per Option will be escrowed for 24 months - from Official Quotation Date.
• A total of 150,000 ESOP 2007 Options issued to Geoff Marshall expiring in May ė 2011 and with an exercise price of \$0.75 per Option will be escrowed for 24 months from Official Quotation Date.
• A total of 278,340 Options issued to Darlington Weir Pty Ltd (ACN 088 098 202) expiring in September 2008 and with an exercise price of \$0.30 per Option will be escrowed for 24 months from Official Quotation Date.
• A total of 547,700 Options issued to Brandon Capital Management Pty Ltd (ACN 089 472 131) expiring in October 2007 and with an exercise price of \$0.20 per Option will be escrowed for 24 months from Official Quotation Date.

Accordingly, as at Official Quotation Date, a total of 2,476,040 Options will be escrowed.

Yours faithfully

Maurie Stang Non-Executive Chairman i y