FOR IMMEDIATE RELEASE
Technical Contact: Jack Harrod, email harrod@airmail.net
Executive Contact: Marvin Maslow,(212) 752-0505. Mobile: (917) 923-3300. Email: maslow@ix.netcom.com
IR Contact: Frank Hawkins,(305) 852-2383. Email: info@hawkassociates.com

Los Alamos, NM, August 3, 2000 - Manhattan Scientifics Inc. (OTC BB: MHTX) announced today that it successfully tested and delivered a fuel cell power supply to the U.S. Army last week. The system was delivered on schedule with four times the power performance and half the weight required in the Army specification. The effort was in fulfillment of a contract MHTX received three months ago to design and build a prototype hydrogen powered fuel cell system using its unique NovArs technology. The requirement included all the peripherals needed for its operation including control electronics, cooling fan, and input/output valves.

The power system will be tested by the Army as part of its program to evaluate the feasibility of supplementing batteries in portable communication equipment now in use. The tests are scheduled to be completed by the end of the year.

The fuel cell is based on Manhattan Scientifics' proprietary mid range power technology (two watts to three kilowatts) developed by the company's NovArs unit in Passau, Germany. The cylindrical shaped fuel cell system is capable of delivering 60 to 70 watts of continuous power, under peak load conditions, at ambient pressure with minimum ancillary equipment. The total system is approximately 2.7 inches in diameter, 3.3 inches high, and weighs 8 ounces. These figures include integrated fan, control electronics and two input/output control valves.

Dr. Arthur Koschany, president of NovArs said, "This unit represents the state of the art in power density giving the U. S. Army the lightest weight, most compact power source for their evaluation."

Jack Harrod, Manhattan Scientifics' chief operating officer, said, "We are looking forward to the tests this fall. Our technology provides the U.S. Army with an excellent value proposition in terms of life cycle cost and performance/size/weight in support of the U.S. Army's new millennium's electronically-enhanced land warrior program. If we look at the current U.S. Army inventory and assume a successful test program, this could mean purchase orders for Manhattan Scientifics of some 50,000 to 100,000 units, for starters. If successful, this could lead to other applications within the Defense Department system."

The fuel cell's unique design uses advanced composite materials and sealing technology to minimize size and weight. This provides an approach optimized for use with portable electronic and electrical equipment requiring lightweight, compact features. This includes motorized bicycles, scooters, wheelchairs, and golf carts; portable appliances such as cordless power tools and kitchen utensils and lightweight portable power packs for remote use. It utilizes hydrogen and air as fuel and combines them in the cell to generate electricity. The company also is exploring alternative fuels that would enable its fuel cells to power portable electronics such as laptop computers, PDA's, cellular phones, toys and games and other portable electronics.

Manhattan Scientifics, Inc. is developing and commercializing proprietary technologies in the advancement of consumer and commercial electronics including micro and mid range fuel cell technologies, holographic media for data storage, Internet-based image management and water filtering technologies. Manhattan Scientifics' research headquarters are located in Los Alamos, NM. Executive offices are in New York City. Copies of Manhattan Scientifics press releases, current quotes, stock charts and other information for investors may be found on the websites www.mhtx.com and www.hawkassociates.com. For further information, contact Manhattan Scientifics CEO Marvin Maslow (212) 752-0505. For investor relations information, contact Frank Hawkins (305) 852-2383. Manhattan Scientifics' business address is 641 Fifth Avenue, Suite 36f, New York, N.Y. 10022.

The foregoing press release contains forward-looking statements, including statements regarding the company's expectation of its future business. These forward-looking statements are based largely on the company's expectations and are subject to a number of risks and uncertainties, certain of which are beyond the company's control. Actual results could differ materially from these forward-looking statements as a result of a variety of factors. These include but are not limited to, successfully completing the research and development with respect to the micro fuel cells and other technologies, successfully commercializing the fuel cells and holographic storage devices for mass production, successfully protecting the company's patents, and effective significant industry competition from various entities whose capabilities far exceeds the company's. NovArs GmbH and ERDI are independent contractors to Manhattan Scientifics, Inc., which acquired and owns certain intellectual property of these companies. In light of these risks and uncertainties there can be no assurances that the forward-looking statements in this press release will in fact transpire or prove to be accurate.