VANCOUVER AND PORTLAND, OR, Sept. 7, 2011 /PRNewswire/ – Naturally Advanced Technologies Inc. (NAT) (OTCBB: NADVF) (TSXV: NAT) today announced that it has entered
into a three year CRAiLAR Flax fiber supply agreement with Georgia-Pacific Consumer Products LP starting Sept. 1, 2011.

The companies recently announced a short-term purchasing agreement using
CRAiLAR Flax fibers, which allowed for Georgia-Pacific Consumer
Products to purchase CRAiLAR Flax fiber from NAT for additional product
testing.

“It is extremely gratifying to conclude this commercialization agreement
for CRAiLAR Flax fibers with Georgia-Pacific Consumer Products,” said
Ken Barker, CEO of NAT. “Our agreement with Georgia-Pacific Consumer
Products holds considerable potential in the fields of use indicated
thus far, and we will be able to continue to explore further uses for
CRAiLAR Flax fiber.”

Naturally Advanced Technologies Inc.
Naturally Advanced Technologies Inc. develops renewable and
environmentally sustainable biomass resources from flax, hemp and other
bast fibers. The Company, through its wholly owned subsidiary, CRAiLAR
Fiber Technologies Inc., has developed proprietary technologies for
production of bast fibers, cellulose pulp, and their resulting
by-products in collaboration with Canada’s National Research Council
and the Alberta Innovates. CRAiLAR technology offers cost-effective and
environmentally sustainable processing and production of natural, bast
fibers resulting in increased performance characteristics for use in
textile, industrial, energy, medical and composite material
applications. The Company was founded in 1998 as a provider of
environmentally friendly, socially responsible clothing. For more
information, visit www.naturallyadvanced.com.

Neither the TSX Venture Exchange Inc. nor its Regulation Services
Provider (as that term is defined in the policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of this
release.

Forward-Looking Statement Disclaimer
This news release includes certain statements that may be deemed
“forward-looking statements”. All statements in this news release,
other than statements of historical facts, are forward-looking
statements. Forward-looking statements or information are subject to a
variety of risks and uncertainties which could cause actual events or
results to differ from those reflected in the forward-looking
statements or information and including, without limitation, risks and
uncertainties relating to: any market interruptions that may delay the
trading of the Company’s shares, technological and operational
challenges, needs for additional capital, changes in consumer
preferences, market acceptance and technological changes, dependence on
manufacturing and material supplies providers, international
operations, competition, regulatory restrictions and the loss of key
employees. In addition, the Company’s business and operations are
subject to the risks set forth in the Company’s most recent Form 10-K,
Form 10-Q and other SEC filings which are available through EDGAR at www.sec.gov. These are among the primary risks we foresee at the present time. The
Company assumes no obligation to update the forward-looking statements.

SOURCE Naturally Advanced Technologies Inc.