Lyon, France, September 5, 2005 – Flamel Technologies (NASDAQ: FLML) announced today that TAP Pharmaceutical Products Inc. ("TAP") delivered a letter on September 2, 2005 which is a notice of termination of the license of Flamel's Micropump® technology for use in the delivery of lansoprazole, the active ingredient in TAP's product Prevacid®. The license agreement was announced in September, 2004. Pursuant to the license agreement, the termination will take effect in December, 2005.

The letter follows the announcement by TAP on August 30, 2005 that it will begin Phase III studies on an enantiomer of lansoprazole.

Stephen H. Willard, chief executive officer of Flamel Technologies said: "As I discussed on the Flamel second quarter conference call, TAP had an impending decision with regard to their strategy in moving into Phase III trials for a new version of Prevacid®. We regret that they have decided to go forward with trials on a new molecule, rather than our formulation. Our formulation is a strong one. It met the goals for the formulation sufficient for payment of the success milestone in the first quarter of this year. It performed well against currently available products in a number of clinical trials. We will be working actively to determine the best way to achieve further value for our technology with respect to this important class of compounds."

A conference call has been scheduled to be held at 8:30 AM EDT on September 6, 2005 to discuss the matters contained in this release. The dial-in number is 800-374-1498. International callers are invited to dial (1) 706-634-7261. The Conference ID is 9312535.

Flamel Technologies, S.A. is a biopharmaceutical company principally engaged in the development of two unique polymer-based delivery technologies for medical applications. Micropump® is a controlled release and taste-masking technology for the oral administration of small molecule drugs. Flamel's Medusa® technology is designed to deliver controlled-release formulations of therapeutic proteins.

This document contains a number of matters, particularly as related to the status of various research projects and technology platforms, that constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The presentation reflects the current view of management with respect to future events and is subject to risks and uncertainties that could cause actual results to differ materially from those contemplated in such forward-looking statements. These risks include risks that products in the development stage may not achieve scientific objectives or milestones or meet stringent regulatory requirements, uncertainties regarding market acceptance of products in development, the impact of competitive products and pricing, and the risks associated with Flamel's reliance on outside parties and key strategic alliances. These and other risks are described more fully in Flamel's Annual Report on the Securities and Exchange Commission Form 20-F for the year ended December 31, 2004.

Contact:

Flamel Technologies S.A.
Stephen H. Willard, CEO
FRANCE: (33) 4-72-78-34-34
US: (1) 202-862-8400
Fax: (33) 4-72-78-34-35
Willard@flamel.com

or

Charles Marlio, Director of Strategic Planning and Investor Relations
US: (1) 202-862-8400
FRANCE (011) 33-4-7278-3423
Fax: 202-862-3933
Marlio@flamel.com