<PAGE>

                     U.S. SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                   FORM 10-QSB

[X]  Quarterly report pursuant to Section 13 or 15(d) of the Securities
     Exchange Act of 1934 for the quarterly period ended March 31, 2001.

[ ]  Transition report pursuant to Section 13 or 15(d) of the Securities
     Exchange Act of 1934

     For the transition period from _____________ to _______________.

Commission File No.  0-23226

                           ROCHEM ENVIRONMENTAL, INC.
               (EXACT NAME OF REGISTRANT AS SPECIFIED IN CHARTER)

               UTAH                                   76-0422968
            (STATE OF                               (IRS EMPLOYER
          INCORPORATION)                        IDENTIFICATION NUMBER)

          15001 WALDEN ROAD #128
             MONTGOMERY, TEXAS                           77356
(ADDRESS OF PRINCIPAL EXECUTIVE OFFICES)              (ZIP CODE)


Registrant's telephone number, including area code: (936) 582-1222

      Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to such
filing requirements for the past 90 days.

                        Yes  [X]       No  [ ]


      As of Feb. 14, 2001, the registrant had 19,184,751 shares of Common Stock,
par value $0.001 per share, issued and outstanding.

      Transitional Small Business Disclosure Format. (Check one):

                        Yes  [ ]       No  [X]

<PAGE>

                           ROCHEM ENVIRONMENTAL, INC.

                            FORM 10-QSB REPORT INDEX


10-QSB PART AND ITEM NO.

      Part I  Financial Information

              Item 1. Financial Statements (Unaudited)

                        Consolidated balance sheet as of
                         March 31, 2001 . . . . . . . . . . . . . . . . . . . 3

                        Consolidated statement of operations for the three
                         months ended March 31, 2001 and 2000 . . . . . . . . 4

                        Consolidated statement of cash flows for the three
                          months ended March 31, 2001 and 2000. . . . . . . . 5

                        Notes to consolidated financial statements  . . . . . 6

              Item 2. Management's Discussion and Analysis of Financial
                        Condition and Results of Operations. . . . . . . . .  7

      Part II  Other Information

            Item 1.     Legal Proceedings. . . . . . . . . . . . . . . . . . 10

            Item 2.     Changes in Securities . . . . . . . . . . . . . . .  10
            Item 3.     Defaults Upon Senior Securities . . . . . . . . . .  10
            Item 4.     Submission of Matters to a Vote of Security Holders. 10
            Item 5.     Other Information . . . . . . . . . . . . . . . . .  10
            Item 6.     Exhibits and Reports on Form 8-K. . . . . . . . . .  10
            Signature. . . . . . . . . . . . . . . . . . . . . . . . . . . . 12



                                       2
<PAGE>

                    ROCHEM ENVIRONMENTAL, INC. AND SUBSIDIARY
                           CONSOLIDATED BALANCE SHEET
                             AS OF DECEMBER 31, 2000
                                   (UNAUDITED)

<TABLE>
<CAPTION>
                                                                     MARCH 31,
                                                                       2001
                                                                   ------------
         ASSETS
<S>                                                                <C>
Current assets:
  Cash and cash equivalents .................................      $      7,333
  Trade accounts receivable .................................             8,914
  Inventory .................................................            18,579
  Prepaid expenses ..........................................             2,723
                                                                   ------------
      Total current assets ..................................            37,549

Inventory ...................................................            47,465
Property and equipment, net .................................           363,946
                                                                   ------------
      Total assets ..........................................      $    448,960
                                                                   ============
  LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
  Accounts payable ..........................................      $    163,856
  Accrued expenses ..........................................                56
  Notes Payable .............................................             6,636
  Payable to related parties ................................            19,702
                                                                   ------------
      Total current liabilities .............................           190,250
Note payable to bank ........................................             6,599
                                                                   ------------
      Total liabilities .....................................           196,849

Stockholders' equity:
  Common stock, $.001 par value, 50,000,000
    shares authorized, 19,184,751 issued ....................            19,185
  Preferred stock, no par value, 10,000,000 shares
    authorized, none outstanding ............................                 0
  Additional paid-in capital ................................        10,306,580
  Accumulated deficit .......................................         9,489,683
  Treasury stock, 5,839,714 shares ..........................          (583,971)
                                                                   ------------
      Total stockholders' equity ............................           252,111
                                                                   ------------
      Total liabilities and stockholders' equity ............      $    448,960
                                                                   ============
</TABLE>

                     The accompanying notes are an integral
                 part of the consolidated financial statements.

                                        3
<PAGE>
                    ROCHEM ENVIRONMENTAL, INC. AND SUBSIDIARY
                      CONSOLIDATED STATEMENT OF OPERATIONS
                                   (UNAUDITED)

<TABLE>
<CAPTION>

                                                SIX MONTHS ENDED MARCH 31,
                                                ---------------------------
                                                    2001            2000
                                                ------------    -----------
<S>                                             <C>             <C>
Revenues:
  Service and lease ..........................  $     16,481    $    49,018
  Product sales ..............................        23,586          3,303
  Product demonstrations .....................             0          5,000
                                                ------------    -----------
      Total revenues .........................        40,067         57,321

Cost of sales:
  Product costs ..............................        12,844         66,544
  Depreciation expense .......................             0         36,531
                                                ------------    -----------
      Total cost of sales ....................        12,844        103,075
                                                ------------    -----------

Gross profit (loss) ..........................        27,223        (45,754)

Selling, general and administrative expenses:
  Depreciation expense .......................        64,418         67,533
  Other expenses .............................       134,924        388,134
                                                ------------    -----------
      Total selling, general and
       administrative expenses ...............       199,342        455,667

Gain (loss) on sale of assets ................        (1,450)             0
Interest income (expense), net ...............          (824)       (34,285)
                                                ------------    -----------

  Loss before extraordinary gain .............      (174,394)      (535,706)

  Extraordinary gain .........................     2,439,987              0
                                                ------------    -----------

  Net income .................................  $  2,265,593    $  (535,706)
                                                ============    ===========

  Loss per share before extraordinary gain ...  $      (0.01)   $     (0.03)
  Extraordinary gain per share ...............  $       0.18    $      0.00
                                                ============    ===========
  Net income per share .......................  $       0.17    $     (0.03)
                                                ============    ===========

Weighted average shares outstanding ..........    13,443,323     19,184,751
                                                ============    ===========
</TABLE>

                     The accompanying notes are an integral
                 part of the consolidated financial statements.

                                       4
<PAGE>

                    ROCHEM ENVIRONMENTAL, INC. AND SUBSIDIARY
                      CONSOLIDATED STATEMENT OF CASH FLOWS
                                   (UNAUDITED)
<TABLE>
<CAPTION>

                                                              SIX MONTHS ENDED MARCH 31,
                                                           -------------------------------
                                                              2001                2000
                                                           -----------         -----------
<S>                                                        <C>                 <C>
Cash flows from operating activities:
Net income (loss) .....................................    $ 2,265,593         $  (535,706)
  Adjustments to reconcile net loss to net
    cash used in operating activities:
      Depreciation ....................................         64,418             104,064
      Accretion of note discount ......................              0               6,796
      Extraordinary gain ..............................     (2,439,987)                  0
      Loss on disposition of asset ....................          1,451                   0
  Changes in assets and liabilities:
      Trade accounts receivable .......................         (3,914)           (309,895)
      Inventory .......................................              0            (778,931)
      Prepaid expenses ................................         24,275               5,301
      Deposits ........................................         13,989                   0
      Accounts payable ................................         46,991              87,386
      Accrued expenses ................................       (106,609)             45,655
      Deferred revenues ...............................              0           1,499,997
      Payable to related party ........................         60,281              17,443
                                                           -----------         -----------
Net cash used in operating activities .................        (73,512)            142,110
                                                           -----------         -----------

Cash flows from investing activities:
      Proceeds on sale of asset .......................          3,094                   0
      Capital expenditures ............................              0              (2,983)
                                                           -----------         -----------
Net cash provided by investing activities .............          3,094              (2,983)
                                                           -----------         -----------

Cash flows from financing activities:
      Proceeds from sale of common stock ..............            250                   0
      Loan Proceeds ...................................         14,517                   0
      Loan Payments ...................................         (3,194)             (3,558)
                                                           -----------         -----------
Net cash provided by financing activities .............         11,573              (3,558)

Net increase (decrease) in cash and cash equivalents ..        (58,845)            135,569
Cash and cash equivalents beginning of period .........         66,178             199,418
                                                           -----------         -----------
Cash and cash equivalents end of period ...............    $     7,333         $   334,987
                                                           ===========         ===========

Supplemental disclosure of cash flow information:
  Interest paid .......................................    $     1,122         $     1,234
  Income tax paid .....................................              0                   0
</TABLE>

                     The accompanying notes are an integral
                 part of the consolidated financial statements.

                                       5
<PAGE>

                   ROCHEM ENVIRONMENTAL, INC. AND SUBSIDIARY
                              SCHEDULE ATTACHMENT
                           TO STATEMENT OF CASH FLOWS
                                  (UNAUDITED)

<TABLE>
<CAPTION>
                                                                      MARCH 31,
                                                                        2001
                                                                    -----------
<S>                                                                 <C>
Extraordinary gain ........................................         $ 2,439,987
   Changes in assets and liabilities:
      Trade accounts receivable ...........................             200,000
      Inventory ...........................................           1,297,821
      Accounts payable ....................................             (22,035)
      Due to Global Environmental LLC .....................             150,000
      Deferred revenues ...................................          (2,000,000)
      Payable to related party ............................          (1,206,802)
      Acquisition of treasury stock .......................            (858,971)
                                                                    -----------
Net cash provided by extraordinary gain ...................                   0
                                                                    ===========
</TABLE>


                     The accompanying notes are an integral
                 part of the consolidated financial statements.

                                       6
<PAGE>
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (Unaudited)

1. GENERAL:
   The accompanying consolidated financial statements are unaudited, but, in the
   opinion of management, include all adjustments necessary for a fair
   presentation of consolidated financial position and results of operations for
   the periods presented. Please refer to the audited financial statements for
   the year ended September 30, 2000, for details of accounting policies and
   accounts.

2. SIGNIFICANT CUSTOMERS AND RELATED PARTY:
   The Company had nominal sales in the second quarter ending March 31, 2001.

3. NOTES PAYABLE:

   Notes payable as of March 31, 2001 are as follows:

      Notes payable to banks

      Citizens Bank*                            $   12,497.18
                                                =============

*  Previously unpaid credit card debt was consolidated into a loan personally
   guaranteed by Philip LeFevre.

                                       7
<PAGE>

ITEM 2  MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
        OF OPERATIONS

This section contains forward-looking statements that are based on current
Company expectations and are subject to a number of factors that could cause
actual results to differ materially. In the opinion of Management, such factors
include, but are not limited to, market demand, competitive pricing
considerations, regulatory approval and market acceptance of new technologies.

RESULTS OF OPERATIONS

Rochem Environmental, Inc., a Utah Corporation (the "Company"), is primarily
engaged in the business of providing commercial wastewater treatment services.

Due to declines in revenues in 2000 and the Company's inability to generate
sufficient income to service debt, it was forced to go through a major
restructuring.

On November 8, 2000, the Company agreed to terminate the distributor agreement
dated September 1, 1993, with Pall Corporation. Pall Corporation agreed to
return 8,589,714 shares of common stock to the Company's treasury, which
comprised their entire stake in Rochem. Pall also forgave $480,137 owed to it
pursuant to a promissory note dated July 17, 2000. In connection with this
transaction, the Company agreed that, for the five years following the date of
the agreement, it would not directly or indirectly engage in any business
related to the sale of reverse osmosis filtration equipment within the marine
market without the written consent of Pall.

Also in November 2000, the Company agreed to assign to Rochem Group, SA all
rights, title and interest in and to all marine activities related to all gray
water and black water projects that have been granted to it by Rochem Group, SA.
In connection with this assignment, Rochem Group SA forgave the $500,000
promissory note dated September 1, 1998 that the Company owed to it. Rochem
Group maintained its right to exercise warrants to purchase 1,250,000 shares of
the Company's common stock $0.25 per share that were granted to Rochem Group in
connection with the promissory note. Rohem Group also forgave their payment on
behalf of $250,000 in installation and operational costs for the two cruise
ships. In connection with this transaction, the Company agreed to change its
name as soon as practicable. The Company also agreed that for the five years
following this agreement it would not directly or indirectly engage in any
business competitive with Rochem Group in the marine gray and black water market
without their express written permission.

In December 2000, the Company agreed to issue 2,500,000 shares of its restricted
common stock to certain accredited investors in exchange for the cancellation of
$250,000 in debt owed to them by as follows: Global Environmental, LLC received
1,500,000 shares of restricted common stock and forgave a $150,000 debt, James
Ward received 400,000 shares of restricted common stock and forgave a $40,000
debt, and Lefco Environmental Technology, Inc. received 600,000 shares of
restricted common stock and forgave a $60,000 debt. This transaction was not
completed until January 2001 and is reflected in the fiscal 2001 2nd
quarter filings. Philip LeFevre CEO of the Company also owns LeFco Environmental
Technology, Inc. James Ward is also a Director of the Company.

In the six months ending March 31, the Company lost ($174,394) compared to a
lost of ($535,706) in the six month ending in March 2000. This was before the
extraordinary gain of $2,265,594 that occurred as a result of the debt
restructuring. Weighted shares outstanding declined from 19,184,751 to
13,443,323. This was also as a result of the restructuring activities. Total
stockholder's equity increased from $75,167 at the close of the first quarter
on December 31, 2000 to $252,113 at the close of the quarter on March 31,
2001. However, total revenues for the period were only $40,067. This reflects
the very nominal activity currently going on.

                                       8
<PAGE>

Testing at the wastewater treatment facility in Houston continues, revenues
remain very nominal due to the slow through put rate of the test unit. The
Company is unable to increase production due to a shortage of funds required
to renovate the equipment needed.

While the picture continues to improve marginally the Company will not be
able to move forward in any significant way without a substantial injection
of operating funds. Attempts to raise investors' funds have so far proved to
be unsuccessful. The Company is reviewing the possibility of selling certain
assets to enable funding a refurbishment of existing equipment in order to
increase through put and thus revenues.


     David Sheridan has been accepted to the Board of Directors. Mr. Sheridan
     is a principal of Global Environmental with whom the Company has a
     marketing arrangement. Global Environmental recently accepted 1,500,000
     shares of Company stock in lieu of commissions that the Company had been
     unable to pay it. Mr. Sheridan completed a successful 16-year marketing
     and management career with Texaco Inc. and at the time of his retirement
     from Texaco was serving as a Regional Retail Supervisor responsible for
     the performance of 2,500 employees. He was voted Salesman of the year on
     numerous occasions for exceeding Texaco's targeted sales quotes of
     petroleum and petroleum products.

In addition to the need to raise funds to operate property, there are
expenses associated with public notifications not least of which is the
Annual Shareholders meeting. These expenses primarily relate to legal,
printing and accounting activities. The Company does not at present have
these funds. Management continues to review alternative but there are no
assurances that the plans contemplated herein will be adopted and that if
adopted that they will be successful.

                                       9
<PAGE>


LIQUIDITY AND CAPITAL RESOURCES

As of March 31, 2001 the Company had current assets of $37,549. Revenues will
continue to be minimal without a significant influx of operating funds and
the Company's future as an ongoing concern will continue to remain in doubt
without an infusion of cash. Philip Lefevre continues to serve as unpaid
President and CEO but will not necessarily continue to do so in the future.







                                       10

<PAGE>
PART II - OTHER INFORMATION


ITEM 1.     LEGAL PROCEEDINGS

            A claim by a vendor has been filed in Small Claims Court for
            $1,599.96. The Company does not dispute this debt and intends to
            pay it.

ITEM 2.     CHANGES IN SECURITIES

            None

ITEM 3.     DEFAULTS UPON SENIOR SECURITIES

            None

ITEM 4.     SUBMISSION OF MATTERS TO A VOTE OF SECURITY
            HOLDERS

            None

ITEM 5.     OTHER INFORMATION

            None

ITEM 6.     EXHIBITS AND REPORTS ON FORM 8-K

      (a)   The following exhibits are incorporated by reference thereto:

            EXHIBIT
            NUMBER      IDENTIFICATION OF EXHIBIT

            2.1(1)      -     Reorganization Agreement
            3.1(2)      -     Amended and Restated Articles of Incorporation
            3.2(5)      -     Bylaws
            4.1(5)      -     Common Stock Specimen
            4.2(4)      -     Certificate of Designation of Preferences, Rights
                              and Limitations of Series A Preferred Stock
            4.3(4)      -     Certificate of Designation of Preferences, Rights
                              and Limitations of Series B Preferred Stock
            10.1(2)     -     Distributor Agreement
            10.2(4)     -     Asset Purchase Agreement
            10.3(2)     -     Term Sheet
            10.4(6)     -     Facilities Lease Agreement
            10.5(6)     -     Termination Agreement Between Company and GH
                              Venture Group
            10.6(6)     -     Agreement Between Company and Lefco Environmental
                              Technology, Inc.
            10.7(6)     -     Agreement Between Company and Rochem Separation
                              Systems, Inc.
            10.8(6)     -     Agreement Between Company and Rochem AG
            10.9(6)     -     Employment Agreement With Erick Neuman
            16.1(7)     -     Letter regarding change in certifying accountant
            16.2(7)     -     Letter regarding change in certifying accountant
      --------------------

            (1) Previously filed as an exhibit on Form 8-K dated July 20, 1993.

                                       11
<PAGE>

            (2) Previously filed as an exhibit on Form 8-K dated September 30,
                1993.

            (3) Previously filed as an exhibit on Form 8-K dated November 5,
                1993.

            (4) Previously filed as an exhibit on Form 8-K dated November 19,
                1993.

            (5) Previously filed as an exhibit on Form 8-K dated January 13,
                1994.

            (6) Previously filed as an exhibit on Form 10-KSB for the fiscal
                year ended September 30, 1995.

            (7) Previously filed as an exhibit on Form 8-K dated October 24,
                1997.

     (b)    Reports on Form 8-K
                None.

                                       12
<PAGE>

                                    SIGNATURE


Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has caused this report to be signed on its behalf by the undersigned,
thereunto duly authorized.


                                     ROCHEM ENVIRONMENTAL, INC.
                                     --------------------------
                                            (Registrant)

Date: May 14, 2001                   By: /s/ PHILIP LEFEVRE
                                             Philip LeFevre, President,
                                             Secretary, Treasurer,
                                             Chief Executive Officer,
                                             and Chairman of the Board

Date: May 14, 2001                   By: /s/ WILLIAM E. BRACKEN
                                             William E. Bracken, Vice President




                                       13