Tacy Ltd., Israel
July 25 2004

ADAMAS PLANS 2ND SYNTHETIC DIAMOND LINE

By the end of this year Belarussian state unitary enterprise Adamas
plans to launch a second line for producing synthetic diamonds,
doubling production capacity to 8,000 carats per annum.

In addition, Adamas plans to launch new technology that will double
the potential weight of diamonds produced to 1.5 carats, and may also
double production capacity. This development program is expected to
cost some US$3.25 million.

The company says that demand for its synthetic diamonds currently
exceeds supply. Consumers of Adamas products include Kristall of
Gomel in Belarus, Russia, Armenia, Iran, South Korea and Japan.