SOLESENCE, INC. — Director's Dealing 2005

Sep 29, 2005

SEC Form 4 — Statement of Changes in Beneficial Ownership

Issuer: NANOPHASE TECHNOLOGIES CORPORATION (NANX)
CIK: 0000883107
Period of Report: 2005-09-27

Reporting Person: LUDWIG EDWARD G JR (VP Business Development)

Non-Derivative Transactions

Date	Security	Code	Shares	Price	A/D	Holdings After	Ownership
2005-09-27	Common Stock	A	1200	—	Acquired	1200	Direct

Derivative Transactions

Date	Security	Exercise Price	Code	Shares	A/D	Expiration	Underlying	Ownership
2005-09-27	Stock Option (right to buy)	$6.03	A	9000	Acquired	2015-09-27	Common Stock (9000)	Direct

Holdings (Non-Derivative)

Security	Shares	Ownership
Common Stock	2700	Direct

Holdings (Derivative)

Security	Exercise Price	Expiration	Underlying	Shares	Ownership
Stock Option (right to buy)	$5.55	2014-10-11	Common Stock (10000)	10000	Direct
Stock Option (right to buy)	$3.66	2013-03-24	Common Stock (10000)	10000	Direct

Footnotes

F1: Subject to certain restrictions, beginning on this date, options vest in five equal annual installments.

F2: Issued pursuant to a restricted share grant under the Company's 2004 Equity Compensation Plan.

F3: Subject to certain restrictions, beginning on this date, options vest in three equal annual installments.