CONTACT: Robert K. Lifton
         (212) 935-8484

KCSA     Joseph A. Mansi
CONTACT: (212) 682-6300, Ext. 205
         Jmansi@kcsa.com
         www.kcsa.com


                                                           FOR IMMEDIATE RELEASE


           MEDIS TECHNOLOGIES COMMON STOCK TO COMMENCE TRADING ON THE
             NASDAQ SMALLCAP MARKET UNDER THE SYMBOL MDTL; MEDIS EL
                        ORDINARY SHARES TO CEASE TRADING

NEW YORK/ISRAEL - June 5, 2000 - Medis Technologies Ltd. announced today that at
the opening of trading on June 6, 2000, its Common Stock will begin trading on
the Nasdaq SmallCap Market under the symbol MDTL.

Medis Technologies' Common Stock will commence trading after the expected
expiration at 5:00 p.m. EDT on June 5, 2000, of Medis Technologies' offer to
exchange its shares for the approximately 36% of the outstanding shares of Medis
El Ltd. (MDSLF) not owned by it. Upon the expiration of the offer, Medis
Technologies intends to deregister Medis El under the requirements of the
Securities Exchange Act of 1934. Medis El's ordinary shares will cease trading
on the Nasdaq SmallCap Market upon the close of trading on June 5, 2000. Medis
El will continue as a subsidiary of Medis Technologies.

Medis El Ltd., founded in 1992, is an Israeli corporation, operating as a
greenhouse for the development of highly advanced, innovative, proprietary
technology products primarily related to sources of clean energy that it seeks
to license, sell, or joint venture with large international corporations. Its
energy related products, in varying stages of development, include fuel cell
technology, toroidal engine and compressor, stirling cycle linear compressor,
reciprocating electrical machine, direct current regulating device, and water
technologies. In addition, it has developed the CellScan, a static cytometer for
sophisticated cell analysis.

"SAFE HARBOR" STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF
1995: STATEMENTS IN THIS PRESS RELEASE REGARDING MEDIS TECHNOLOGIES' BUSINESS,
WHICH ARE NOT HISTORICAL FACTS, ARE "FORWARD-LOOKING STATEMENTS" THAT INVOLVE
RISKS AND UNCERTAINTIES. FOR A DISCUSSION OF SUCH RISKS AND UNCERTAINTIES, WHICH
COULD CAUSE ACTUAL RESULTS TO DIFFER FROM THOSE CONTAINED IN THE FORWARD-LOOKING
STATEMENTS, SEE "RISK FACTORS" IN THE COMPANY'S PROSPECTUS ON FILE WITH THE SEC.