FOR IMMEDIATE RELEASE
Contact at Neurocrine Biosciences
Elizabeth Foster or Paul Hawran
(858) 658-7600


          Neurocrine Biosciences Initiates Phase III Clinical Trial for
                    NBI-34060 In Chronic (Primary) Insomnia

San Diego,  CA, November 16,  2001-Neurocrine  Biosciences,  Inc.  (NASDAQ:NBIX)
today announced that it has initiated the first pivotal Phase III clinical trial
of NBI-34060 in approximately 500 patients with chronic (primary) insomnia.  The
Phase  III  clinical  trial  is  a  randomized,  double  blind,  parallel-group,
multi-center  study to evaluate the safety of two doses of  NBI-34060  Immediate
Release  (IR) for the  long-term  treatment  of chronic  (primary)  insomnia  in
adults.  The trial will be conducted in  approximately  40 medical  sites in the
United States and Europe.

"This trial is a major turning point for  Neurocrine as we begin our first Phase
III program in the history of the  Company,"  said Gary A. Lyons,  President and
CEO of Neurocrine Biosciences.

"Two  additional  pivotal  Phase III trials  with  NBI-34060-IR  are  planned to
initiate  shortly.   We  are  implementing  an  aggressive  Phase  III  clinical
evaluation of NBI-34060 to support  registration  of this new sedative  hypnotic
for short-term and long-term  treatment of insomnia," said Henry Pan, M.D. Ph.D,
Executive Vice President of Clinical  Development  and Chief Medical Officer for
Neurocrine Biosciences.

Background on NBI-34060 for Insomnia
------------------------------------
NBI-34060  is a  non-benzodiazepine  that acts on a specific  site of the GABA-A
receptor.  It  is  through  this  same  mechanism  that  the  non-benzodiazepine
therapeutics currently on the market produce their sleep-promoting effects.

Insomnia is a prevalent  neurological  disorder in the United States, with about
one-half of the adult  population  reporting  trouble  sleeping a few nights per
week or more,  according to the National Sleep Foundation  (NSF).  Approximately
29% of the adult population reports that they experience insomnia every night or
almost  every night.  Despite this  widespread  prevalence,  insomnia  remains a
disorder with high unmet medical needs,  including the ability to maintain sleep
throughout the night without next-day residual effects.

Neurocrine  Biosciences,  Inc.  is  a  product-based  biopharmaceutical  company
focused on  neurological  and  endocrine  diseases  and  disorders.  Our product
candidates  address  some of the  largest  pharmaceutical  markets  in the world
including insomnia, anxiety,  depression,  malignant brain tumors and peripheral
cancers,  diabetes,   multiple  sclerosis,   irritable  bowel  syndrome,  eating
disorders,  pain,  stroke,  and  certain  female  health  disorders.  Neurocrine
Biosciences,  Inc. news releases are available through the Company's website via
the Internet at http://www.neurocrine.com.


In addition to historical  facts,  this press release  contains  forward-looking
statements that involve a number of risks and  uncertainties.  Among the factors
that could cause actual results to differ materially from those indicated in the
forward  looking   statements  are  risks  and  uncertainties   associated  with
Neurocrine's  development programs and business and finances including,  but not
limited to, risk that  Neurocrine's  development  programs will not successfully
proceed  through all phases of clinical  trials or that in later stage  clinical
trials will not show that  Neurocrine's  product  candidates  are  effective  in
treating  humans;  determinations  by regulatory and  governmental  authorities;
uncertainties  relating to patent protection and intellectual property rights of
third  parties;  impact  of  competitive  products  and  technological  changes;
availability  of capital and cost of capital;  and other material  risks. A more
complete  description  of these risks can be found in the Company's  Annual Form
10K for the year ended  December 31, 2000, as amended,  the quarterly  report on
form 10Q for the quarter ended September 30, each of which should be read before
making any  investment in  Neurocrine  common  stock.  Neurocrine  undertakes no
obligation  to update the  statements  contained in this press release after the
date hereof.

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