News Release

FOR RELEASE: DECEMBER 17, 2002, 8:00 A.M. EASTERN STANDARD TIME.

CONTACT: John T. Day, President/CEO
Dennis P. Gauger, CFO
Nevada Chemicals, Inc.
801-984-0228

Nevada Chemicals, Inc. Announces Upward Revision of Guidance for 2002

SALT LAKE CITY: UTAH - John T. Day, President and Chief Executive Officer of Nevada Chemicals, Inc. (NASDAQ/NMS:NCEM), today announced that Nevada Chemicals, Inc. (NCI) will exceed the earnings guidance provided for the company earlier this year. Yearly earnings were estimated to fall within $0.22 to $0.26 per share for the fiscal year 2002. With the recent sale of NCI's office building and continued good earnings, Day now estimates the earnings for the year to be 10 to 15% higher than the high end of the previously given guidance. Earnings are now expected to fall in the range of $0.28 to $0.30 per share for the year.

NCI, through its 50% stake in Cyanco, a chemical producer of sodium cyanide located in Winnemucca, Nevada, is the premier producer of strategic chemicals for the gold mining industry of the United States.

Note: The foregoing contains "forward-looking" statements that are pursuant to the safe harbor provisions of the Private Securities Reform Act of 1995. Editors and investors are cautioned that forward-looking statements involve risks and uncertainties that may affect the Company's business prospects and performance. These include, but are not limited to, economic, competitive, governmental, technological and other factors discussed in the Company's reports to shareholders and periodic filings with the Securities and Exchange Commission.

# # #