  We develop a scheme to generate number squeezing in a Bose-Einstein
condensate by utilizing interference between two hyperfine levels and nonlinear
atomic interactions. We describe the scheme using a multimode quantum field
model and find agreement with a simple analytic model in certain regimes. We
demonstrate that the scheme gives strong squeezing for realistic choices of
parameters and atomic species. The number squeezing can result in noise well
below the quantum limit, even if the initial noise on the system is classical
and much greater than that of a poisson distribution.
