FeTi intermetallic powders are very promising media for reversible hydrogen storage. However, difficult activation treatments including annealing at elevated temperatures in high pressure H2 gas atmosphere are mandatory. In the present work nanostructured FeTi powders were produced and activated in situ at room temperature using mechanical alloying/milling (MA/MM) of pure metallic constituents, Fe and Ti, added with sodium borohydride. The resultant powders, FeTiHx, already H2 pre-charged, absorbed a significant amount of H2 but require optimization for reversible absorption/desorption. This system has one of the highest volumetric storage capacities and can be produced at low cost. Several parameters of the as-milled powders were controlled. The phase constitution of the reaction products was characterized by X-ray diffraction and scanning electron microscopy and the absorption isotherms of the activated powders were determined.