PHOENIX, Ariz., Feb. 28, 2001 (BUSINESS WIRE)—Rhombic Corporation (OTCBB:NUKE) announced today that it plans to commence in March 2001, a development program of its diamond material and diamond electrolyte membrane (DEM).

This groundbreaking technology will potentially replace the polymer electrolyte membrane, a key component of current fuel cells. In addition this program will further the creation of the Rhombic Nanotube hydrogen storage vessel. These two technologies will form integral components of the Rhombic diamond fuel cell system.

Management anticipates that a diamond electrolyte membrane (DEM) will be completed in Columbia, Missouri during the third quarter of this year. Rhombic’s efforts during the next 18 months will be focused on developing its proprietary DEM fuel cell system.

The diamond fuel cell system with all of its proprietary components is designed to offer inherent advantages over current PEM fuel cell stacked systems. Important advantages include dramatic cost reductions, increased life span, weight and size reduction, permitting widespread replacement of internal combustion engines for transportation, power generation and other applications.

In the Freedonia Industrial study (May 2000) it is projected that the U.S. market for fuel cells and related products will rise better than four fold through 2004 to $2.4 billion of which $1.2 billion represents fuel cell stacked systems. Robin Griffiths, chief technical analyst of HSBC Securities Inc. in New York indicates he is “incredibly bullish” on the fuel cell sector (Globe and Mail, February 2001).

After a thorough investigation of its technologies, Rhombic has completed its business plan for 2001. Information on the DEM Fuel Cell Project and other exciting Rhombic technologies will be available shortly on the Company’s updated web page.

Management in an effort to increase and maintain current and future shareholder investor relationships, has appointed with immediate effect Strategic Initiatives, represented by Charles Fabiano with a background in chemical engineering and customer service under SEC guidelines.