<PAGE>

                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                    FORM 10-Q

[X]      QUARTERLY REPORT PUSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
         EXCHANGE ACT OF 1934

For the quarterly period ended June 30, 2001

                                       OR

[ ]      TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES AND
         EXCHANGE ACT OF 1934

For the transition period from.....................to.....................

                          COMMISSION FILE NO. 000-22129

                                 Eurotech, Ltd.
                                 --------------
              (Exact name of registrant as specified in it charter)

District of Columbia                                             33-0662435
--------------------                                             ----------
(State or other jurisdiction of                                I.R.S. Employer
incorporation or organization)                               Identification No.)

                                10306 Eaton Place
                                    Suite 220
                                Fairfax, VA 22030
                                -----------------
                    (Address of principal executive offices)

Registrant's telephone number, including area code:               (703) 352-4399

        -----------------------------------------------------------------
   (Former name, former address and former fiscal year, if changed since last
                                    report)

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 registrant was required
to file such reports), and (2) has been subject to such filing requirements for
the past 90 days. Yes [X] No [ ]


                APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY
                     PROCEEDINGS DURING THE LAST FIVE YEARS

Indicate by check mark whether the registrant has filed all documents and
reports required to be filed by Sections 12, 13 or 15(d) of the Securities
Exchange Act of 1934 subsequent to the distribution of securities under a plan
confirmed by a court. Yes ___________No____________ NOT APPLICABLE

                      APPLICABLE ONLY TO CORPORATE ISSUERS

Indicate the number of shares outstanding of each of the issuer's shares of
common stock, as of the latest practicable date. 41,934,857 shares common stock,
$.00025 par value, as of July 31, 2001





<PAGE>

                       EUROTECH, LTD. AND SUBSIDIARIES
                        (A Development Stage Company)

                             INDEX TO FORM 10-Q

                                JUNE 30, 2001


                                                                       Page Nos.
                                                                       ---------

PART I - FINANCIAL INFORMATION:

   CONSOLIDATED BALANCE SHEETS                                             1
     At December 31, 2000 and June 30, 2001

   CONSOLIDATED STATEMENTS OF OPERATIONS                                 2 - 3
     For the Six Months Ended June 30, 2000 and 2001
     For the Period from Inception (May 26, 1995) to
       June 30, 2001
     For the Three Months Ended June 30, 2000 and 2001

   CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY                       4 - 17
     For the Period from Inception (May 26, 1995) to
       December 31, 2000
     For the Six Months Ended June 30, 2001

   CONSOLIDATED STATEMENTS OF CASH FLOWS                                   18
     For the Six Months Ended June 30, 2000 and 2001
     For the Period from Inception (May 26, 1995) to
       June 30, 2001

   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS                           19 - 27


  ITEM 2 - MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
             CONDITION AND RESULTS OF OPERATIONS                           28


PART II - OTHER INFORMATION                                                36

<PAGE>

<TABLE>
                           EUROTECH, LTD. AND SUBSIDIARIES
                            (A Development Stage Company)

                             CONSOLIDATED BALANCE SHEETS
<CAPTION>

                                        ASSETS
                                        ------

                                                      At December 31,     At June 30,
                                                                 2000            2001
                                                      ---------------   -------------
                                                                         (Unaudited)
<S>                                                     <C>             <C>
CURRENT ASSETS:
  Cash                                                  $  2,932,762    $  2,467,312
  Prepaid expenses and other current assets                   98,619         240,480
  Subscription receivable                                  1,250,000             120
                                                        -------------   -------------
     TOTAL CURRENT ASSETS                                  4,281,381       2,707,912

PROPERTY AND EQUIPMENT - net of accumulated
  depreciation of $63,346 at June 30, 2001                   181,413         221,690

OTHER ASSETS:
  Technology rights - net of accumulated
    amortization of $2,548,434 at June 30, 2001            6,304,022       5,499,253
  Patent costs - net of accumulated amortization
    of $6,135 at June 30, 2001                                22,820          21,943
  Other assets                                               227,627         234,977
                                                        -------------   -------------
     TOTAL ASSETS                                       $ 11,017,263    $  8,685,775
                                                        =============   =============

                        LIABILITIES AND STOCKHOLDERS' EQUITY
                        ------------------------------------

CURRENT LIABILITIES:
  Accounts payable and accrued liabilities              $  1,439,543    $    903,842
  Deferred revenue                                           225,000         225,000
  Current portion of convertible debentures                  500,000       3,000,000
                                                        -------------   -------------
     TOTAL CURRENT LIABILITIES                             2,164,543       4,128,842

CONVERTIBLE DEBENTURES                                     3,000,000               -
                                                        -------------   -------------
     TOTAL LIABILITIES                                     5,164,543       4,128,842
                                                        -------------   -------------

COMMITMENTS AND OTHER MATTERS (Notes 3, 4, 5, 6
  and 7)

STOCKHOLDERS' EQUITY:
  Preferred stock - $0.01 par value; 5,000,000
    shares authorized; -0- shares issued and
    outstanding                                                    -               -
  Common stock - $0.00025 par value; 100,000,000
    shares authorized; 54,933,830 shares issued and
    51,401,854 shares outstanding at December 31,
    2000 and 60,080,586 shares issued and 56,548,610
    shares outstanding at June 30, 2001, respectively         13,734          15,021
  Additional paid-in capital                              55,073,429      58,235,437
  Unearned compensation                                     (146,027)       (121,403)
  Deficit accumulated during the development stage       (40,610,695)    (45,094,401)
  Treasury stock, at cost; 3,531,976 shares at
    December 31, 2000 and June 30, 2001                   (8,477,721)     (8,477,721)
                                                        -------------   -------------
     TOTAL STOCKHOLDERS' EQUITY                            5,852,720       4,556,933
                                                        -------------   -------------
     TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY         $ 11,017,263    $  8,685,775
                                                        =============   =============

See notes to consolidated financial statements.

                                          1
</TABLE>
<PAGE>

<TABLE>
                                 EUROTECH, LTD. AND SUBSIDIARIES
                                  (A Development Stage Company)

                              CONSOLIDATED STATEMENTS OF OPERATIONS
                                           (UNAUDITED)
<CAPTION>

                                                                                  For the Period
                                                      For the Six Months Ended    from Inception
                                                                      June 30,    (May 26, 1995)
                                               -------------------------------       to June 30,
                                                        2000              2001              2001
                                               -------------     -------------     -------------
<S>                                            <C>               <C>               <C>
REVENUES                                       $          -      $          -      $    500,000
                                               -------------     -------------     -------------
OPERATING EXPENSES:
  Research and development                        2,648,526         1,172,967        10,665,571
  Consulting fees                                   488,442         1,183,282         4,177,376
  Compensatory element of stock
    issuances pursuant to consulting
    and other agreements                            678,768           292,800         5,002,423
  Other general and administrative
    expenses                                      1,480,782         1,775,178        10,399,147
                                               -------------     -------------     -------------
    TOTAL OPERATING EXPENSES                      5,296,518         4,424,227        30,244,517
                                               -------------     -------------     -------------
OPERATING LOSS                                   (5,296,518)       (4,424,227)      (29,744,517)
                                               -------------     -------------     -------------
OTHER (INCOME) EXPENSES:
  Interest expense, net of interest income
    of $68,847 and $65,359 for 2000 and
    2001, respectively                              128,263            76,279         1,633,815
  Amortization of deferred and unearned
    financing costs                                       -                 -        13,276,591
  Litigation settlement in shares of stock                -                 -           456,278
  Rental income                                           -           (16,800)          (16,800)
                                               -------------     -------------     -------------
    TOTAL OTHER EXPENSES                            128,263            59,479        15,349,884
                                               -------------     -------------     -------------
NET LOSS                                       $ (5,424,781)     $ (4,483,706)     $(45,094,401)
                                               =============     =============     =============

BASIC AND DILUTED LOSS PER COMMON SHARE        $       (.13)     $       (.10)
                                               =============     =============
WEIGHTED AVERAGE NUMBER OF COMMON
 SHARES OUTSTANDING                              42,271,772        44,998,221
                                               =============     =============

See notes to consolidated financial statements.

                                               2
</TABLE>
<PAGE>

                                 EUROTECH, LTD.
                          (A Development Stage Company)

                      CONSOLIDATED STATEMENTS OF OPERATIONS
                                   (UNAUDITED)


                                                      For the Three Months Ended
                                                                        June 30,
                                                 -------------------------------
                                                          2000              2001
                                                 -------------     -------------

REVENUES                                         $          -      $          -
                                                 -------------     -------------
OPERATING EXPENSES:
  Research and development                            827,222           571,846
  Consulting fees                                     299,317           591,576
  Compensatory element of stock issuances
    pursuant to consulting and other
    agreements                                        310,024           254,905
  Other general and administrative expenses         1,050,481           884,063
                                                 -------------     -------------
    TOTAL OPERATING EXPENSES                        2,487,044         2,302,390
                                                 -------------     -------------
OPERATING LOSS                                     (2,487,044)       (2,302,390)
                                                 -------------     -------------
OTHER (INCOME)/EXPENSES:
  Interest expense, net of interest income
    of $68,847 and $34,549 for 2000 and
    2001, respectively                                 36,469            47,089
  Rental income                                             -           (16,800)
                                                 ------------      ------------
    TOTAL OTHER EXPENSES                               36,469            30,289
                                                 ------------      ------------
NET LOSS                                         $ (2,523,513)     $ (2,332,679)
                                                 ============      ============

BASIC AND DILUTED LOSS PER COMMON SHARE          $       (.06)     $       (.05)
                                                 ============      ============
WEIGHTED AVERAGE NUMBER OF COMMON SHARES
  OUTSTANDING                                      43,243,950        49,236,657
                                                 ============      ============

See notes to consolidated financial statements.

                                       3
<PAGE>

<TABLE>
                                     EUROTECH, LTD. AND SUBSIDIARIES
                                      (A Development Stage Company)

                             CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY
                                               (UNAUDITED)

                    FOR THE PERIOD FROM INCEPTION (MAY 26, 1995) TO DECEMBER 31, 2000
                                 AND THE SIX MONTHS ENDED JUNE 30, 2001
<CAPTION>

                                                                     Common Stock            Additional
                                                   Date of    --------------------------       Paid-in
                                                 Transaction     Shares        Amount          Capital
                                                 -----------  -----------   ------------     -----------
                                                                  (1)
<S>                                              <C>          <C>           <C>              <C>
Period Ended December 31, 1995:
-------------------------------

Founder shares issued
  ($0.00025 per share)                             05/26/95    4,380,800    $     1,095      $   (1,095)
Issuance of stock for offering
  consulting fees
  ($0.0625 per share)                              08/31/95      440,000            110          27,390
Issuance of stock
  ($0.0625 and $0.25 per share)                    Various     4,080,000          1,020         523,980
Issuance of stock for license
  ($0.0625 per share)                              08/31/95      600,000            150          37,350
Issuance of stock options for
  offering legal and consulting fees                                   -              -          75,000
Offering expenses                                                      -              -        (105,398)
Net loss                                                               -              -               -
                                                              -----------   ------------     -----------
Balance - December 31, 1995                                    9,500,800    $     2,375      $  557,227
                                                              ===========   ============     ===========

                                                                              Deficit
                                                                            Accumulated
                                                               Unearned     During the
                                                  Due from     Financing    Development
                                                Stockholders     Costs         Stage            Total
                                                 -----------  -----------   ------------     -----------
Period Ended December 31, 1995:
-------------------------------

Founder shares issued
  ($0.00025 per share)                           $        -   $        -    $         -      $        -
Issuance of stock for offering
  consulting fees                                         -            -              -          27,500
  ($0.0625 per share)
Issuance of stock
  ($0.0625 and $0.25 per share)                      (3,000)           -              -         522,000
Issuance of stock for license
  ($0.0625 per share)                                     -            -              -          37,500
Issuance of stock options for
  offering legal and consulting
  fees                                                    -            -              -          75,000
Offering expenses                                         -            -              -        (105,398)
Net loss                                                  -            -       (513,226)       (513,226)
                                                 -----------  -----------   ------------     -----------
Balance - December 31, 1995                      $   (3,000)  $        -    $  (513,226)     $   43,376
                                                 ===========  ===========   ============     ===========

        (1) Share amounts have been restated to reflect the 4 for 1 stock split on June 1, 1996.

                            See notes to consolidated financial statements.

                                                   4
</TABLE>
<PAGE>

<TABLE>
                                     EUROTECH, LTD. AND SUBSIDIARIES
                                      (A Development Stage Company)

                             CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY
                                               (UNAUDITED)

                    FOR THE PERIOD FROM INCEPTION (MAY 26, 1995) TO DECEMBER 31, 2000
                                 AND THE SIX MONTHS ENDED JUNE 30, 2001
<CAPTION>

                                                                     Common Stock            Additional
                                                   Date of    --------------------------       Paid-in
                                                 Transaction     Shares        Amount          Capital
                                                 -----------  -----------   ------------     -----------
                                                                  (1)
<S>                                              <C>          <C>           <C>              <C>
Year Ended December 31, 1996:
-----------------------------

Balance - December 31, 1995                                    9,500,000    $     2,375      $  557,227

Issuance of stock ($0.25 per share)                Various     1,278,000            320         319,180
Exercise of stock options                          01/18/96      600,000            150               -
Issuance of stock for consulting fees
  ($0.34375 per share)                             03/22/96      160,000             40          54,960
Issuance of stock for consulting fees
  ($0.0625 per share)                              05/15/96    2,628,000            657         163,593
Issuance of stock for consulting fees
  ($0.590625 per share)                            06/19/96    1,500,000            375         885,563
Issuance of stock for consulting fees
  ($1.82 per share)                                11/12/96       57,036             14         104,275
Issuance of stock pursuant to bridge
  financing ($1.81325 per share)                      12/96    1,500,000            375       2,719,500
Amortization of unearned financing costs                               -              -               -
Repayment by stockholders                                              -              -               -
Net loss                                                               -              -               -
                                                              -----------   ------------     -----------
Balance - December 31, 1996                                   17,223,836    $     4,306      $4,804,298
                                                              ===========   ============     ===========

                                                                              Deficit
                                                                             Accumulated
                                                               Unearned      During the
                                                  Due from     Financing     Development
                                                Stockholders     Costs          Stage            Total
                                                 -----------  ------------   ------------     -----------
Year Ended December 31, 1996:
-----------------------------

Balance - December 31, 1995                      $   (3,000)  $         -    $  (513,226)     $    43,376

Issuance of stock ($0.25 per share)                       -             -              -          319,500
Exercise of stock options                                 -             -              -              150
Issuance of stock for consulting fees
  ($0.34375 per share)                                    -             -              -           55,000
Issuance of stock for consulting fees
  ($0.0625 per share)                                     -             -              -          164,250
Issuance of stock for consulting fees
  ($0.590625 per share)                                   -             -              -          885,938
Issuance of stock for consulting fees
  ($1.82 per share)                                       -             -              -          104,289
Issuance of stock pursuant to bridge
  financing ($1.81325 per share)                          -    (2,719,875)             -                -
Amortization of unearned financing costs                  -       226,656              -          226,656
Repayment by stockholders                             3,000             -              -            3,000
Net loss                                                  -             -     (3,476,983)      (3,476,983)
                                                 -----------  ------------   ------------     -----------
Balance - December 31, 1996                      $        -   $(2,493,219)   $(3,990,209)     $(1,674,824)
                                                 ===========  ============   ============     ============

        (1) Share amounts have been restated to reflect the 4 for 1 stock split on June 1, 1996.

                            See notes to consolidated financial statements.

                                                   5
</TABLE>
<PAGE>

<TABLE>
                                     EUROTECH, LTD. AND SUBSIDIARIES
                                      (A Development Stage Company)

                             CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY
                                               (UNAUDITED)

                    FOR THE PERIOD FROM INCEPTION (MAY 26, 1995) TO DECEMBER 31, 2000
                                 AND THE SIX MONTHS ENDED JUNE 30, 2001
<CAPTION>

                                                                     Common Stock            Additional
                                                  Date of    ---------------------------       Paid-in
                                                Transaction     Shares         Amount          Capital
                                                -----------  ------------   ------------     ------------
                                                                 (1)
<S>                                             <C>          <C>            <C>              <C>
Year Ended December 31, 1997:
-----------------------------

Balance - December 31, 1996                                   17,223,836    $     4,306      $ 4,804,298

Issuance of stock for consulting fees
  ($2.50 per share)                                  03/97        64,000             16          159,984
Issuance of stock for consulting fees
  ($5.45 per share)                                  06/97        39,000              9          212,540
Issuance of stock for consulting fees
  ($5.00 per share)                                  09/97        59,000             15          294,986
Issuance of stock pursuant to penalty
  provision of bridge financing
  ($5.45 per share)                                  06/97       500,000            125        2,724,875
Value assigned to conversion feature of
  Convertible Debentures                             11/97             -              -        1,337,143
Value assigned to issuance of 127,500
  warrants in consideration for interest and
  placement fees in connection with
  Convertible Debentures                             11/97             -              -          284,480
Value assigned to issuance of 35,000 warrants
  to shareholder for consulting services             11/97             -              -           39,588
Value assigned to issuance of 364,000
  warrants to shareholder as additional
  consideration for financing activities             11/97             -              -          862,680
Issuance of stock for consulting fees
  ($4.00 per share)                                  12/97        43,000             11          171,989
Accrual of stock issued January 1998 pursuant
  to penalty provision of bridge financing
  ($2.00 per share)                                  12/97     1,000,000            250        1,999,750
Amortization of unearned financing costs                               -              -                -
Net loss                                                               -              -                -
                                                             ------------   ------------     ------------
Balance - December 31, 1997                                   18,928,836    $     4,732      $12,892,313
                                                             ============   ============     ============

        (1) Share amounts have been restated to reflect the 4 for 1 stock split on June 1, 1996.

                             See notes to consolidated financial statements.

                                                    6
</TABLE>
<PAGE>

<TABLE>
                                   EUROTECH, LTD. AND SUBSIDIARIES
                                    (A Development Stage Company)

                           CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY
                                             (UNAUDITED)

                  FOR THE PERIOD FROM INCEPTION (MAY 26, 1995) TO DECEMBER 31, 2000
                               AND THE SIX MONTHS ENDED JUNE 30, 2001
<CAPTION>

                                                                           Deficit
                                                                         Accumulated
                                                           Unearned      During the
                                                          Financing      Development
                                                            Costs            Stage           Total
                                                        -------------    -------------   ------------
<S>                                                     <C>              <C>             <C>
Year Ended December 31, 1997:
-----------------------------

Balance - December 31, 1996                             $ (2,493,219)    $ (3,990,209)   $(1,674,824)

Issuance of stock for consulting fees
  ($2.50 per share)                                                -                -        160,000
Issuance of stock for consulting fees
  ($5.45 per share)                                                -                -        212,549
Issuance of stock for consulting fees
  ($5.00 per share)                                                -                -        295,001
Issuance of stock pursuant to penalty
  provision of bridge financing
  ($5.45 per share)                                       (2,725,000)               -              -
Value assigned to conversion feature of
  Convertible Debentures                                  (1,337,143)               -              -
Value assigned to issuance of 127,500
  warrants in consideration for interest and
  placement fees in connection with
  Convertible Debentures                                    (284,480)               -              -
Value assigned to issuance of 35,000
  warrants to shareholder for consulting
  services                                                   (39,588)               -              -
Value assigned to issuance of 364,000
  warrants to shareholder as additional
  consideration for financing activities                    (862,680)               -              -
Issuance of stock for consulting fees
  ($4.00 per share)                                                -                -        172,000
Accrual of stock issued January 1998
  pursuant to penalty provision of bridge
  financing ($2.00 per share)                             (2,000,000)               -              -
Amortization of unearned financing costs                   8,426,793                -      8,426,793
Net loss                                                           -      (12,441,242)   (12,441,242)
                                                        -------------    -------------   ------------
Balance - December 31, 1997                             $ (1,315,317)    $(16,431,451)   $(4,849,723)
                                                        =============    =============   ============

                           See notes to consolidated financial statements.

                                                  7
</TABLE>
<PAGE>

<TABLE>

                                     EUROTECH, LTD. AND SUBSIDIARIES
                                      (A Development Stage Company)

                             CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY
                                              (UNAUDITED)

                    FOR THE PERIOD FROM INCEPTION (MAY 26, 1995) TO DECEMBER 31, 2000
                                 AND THE SIX MONTHS ENDED JUNE 30, 2001
<CAPTION>

                                                                     Common Stock            Additional
                                                  Date of    ---------------------------       Paid-in
                                                Transaction     Shares        Amount           Capital
                                                -----------  ------------   ------------     ------------
                                                                 (1)
<S>                                             <C>          <C>            <C>              <C>
Year Ended December 31, 1998:
-----------------------------

Balance - December 31, 1997                                   18,928,836    $     4,732      $12,892,313
Issuance of stock for consulting fees
  ($2.58 per share)                                03/98          43,000             11          110,930
Issuance of stock for consulting fees
  ($0.85 per share)                                06/98         143,000             35          215,895
Issuance of stock for consulting fees
  ($0.32 per share)                                09/98         126,617             32          107,503
Issuance of stock for consulting fees              12/98         155,427             39           81,505
Issuance of stock pursuant to penalty
  provision of bridge financing
  ($1.0625 per share)                              04/98         500,000            125          531,124
Value assigned to conversion feature of
  Convertible Debentures and 60,000
  warrants issued as additional interest           02/98               -              -        1,100,000
Value assigned to conversion feature of
  Convertible Debentures and 125,000 warrants
  issued as additional interest                    07/98               -              -          475,000
Cancellation of stock issued for consulting
  fees                                             07/98        (375,000)           (94)         (93,656)
Issuance of stock for conversion of debenture
  note payable ($0.32 per share)               09/98, 11/98      100,002             25           32,169
Amortization of unearned financing costs                               -              -                -
Net loss                                                               -              -                -
                                                             ------------   ------------     ------------
Balance - December 31, 1998                                   19,621,882    $     4,905      $15,452,783
                                                             ============   ============     ============

        (1) Share amounts have been restated to reflect the 4 for 1 stock split on June 1, 1996.

                             See notes to consolidated financial statements.
</TABLE>

                                                    8
<PAGE>

<TABLE>
                                   EUROTECH, LTD. AND SUBSIDIARIES
                                    (A Development Stage Company)

                           CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY
                                             (UNAUDITED)

                  FOR THE PERIOD FROM INCEPTION (MAY 26, 1995) TO DECEMBER 31, 2000
                               AND THE SIX MONTHS ENDED JUNE 30, 2001
<CAPTION>

                                                                           Deficit
                                                                         Accumulated
                                                           Unearned      During the
                                                          Financing      Development
                                                            Costs            Stage           Total
                                                        -------------    -------------   ------------
<S>                                                     <C>              <C>             <C>
Year Ended December 31, 1998:
-----------------------------

Balance - December 31, 1997                             $ (1,315,317)    $(16,431,451)   $(4,849,723)
Issuance of stock for consulting fees
  ($2.58 per share)                                                -                -        110,941
Issuance of stock for consulting fees
  ($0.85 per share)                                                -                -        215,930
Issuance of stock for consulting fees
  ($0.32 per share)                                                -                -        107,535
Issuance of stock for consulting fees                              -                -         81,544
Issuance of stock pursuant to penalty
  provision of bridge financing
  ($1.0625 per share)                                       (531,249)               -              -
Value assigned to conversion feature of
  Convertible Debentures and 60,000
  warrants issued as additional interest                  (1,100,000)               -              -
Value assigned to conversion feature of
  Convertible Debentures and 125,000
  warrants issued as additional interest                    (475,000)               -              -
Cancellation of stock issued for consulting
  fees                                                             -                -        (93,750)
Issuance of stock for conversion of
  debenture note payable ($0.32 per share)                         -                -         32,194
Amortization of unearned financing costs                   3,374,066                -      3,374,066
Net loss                                                           -       (7,814,143)    (7,814,143)
                                                        -------------    -------------   ------------
Balance - December 31, 1998                             $    (47,500)    $(24,245,594)   $(8,835,406)
                                                        =============    =============   ============

                           See notes to consolidated financial statements.

                                                  9
</TABLE>
<PAGE>

<TABLE>
                                   EUROTECH, LTD. AND SUBSIDIARIES
                                    (A Development Stage Company)

                           CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY
                                               (UNAUDITED)

                  FOR THE PERIOD FROM INCEPTION (MAY 26, 1995) TO DECEMBER 31, 2000
                               AND THE SIX MONTHS ENDED JUNE 30, 2001
<CAPTION>

                                                                     Common Stock            Additional
                                                  Date of    ---------------------------       Paid-in
                                                Transaction     Shares        Amount           Capital
                                                -----------  ------------   ------------     ------------
                                                                 (1)
<S>                                             <C>          <C>            <C>              <C>
Year Ended December 31, 1999:
-----------------------------

Balance - December 31, 1998                                   19,621,882    $     4,905      $15,452,783
Issuance of stock for consulting fees
  ($0.77 per share)                                  03/99        78,613             20           62,381
Issuance of stock for consulting fees
  ($0.72 per share)                                  06/99       611,572            153          429,035
Issuance of stock for consulting fees
  ($0.98 per share)                                  09/99       496,002            124          520,116
Issuance of stock for conversion of debenture
  note payable ($0.35 per share)                     02/99       987,201            247          341,029
Issuance of stock for finder's fee
  ($1.94 per share)                                  12/99        29,518              7           46,302
Issuance of stock for finder's fee
  ($0.77 per share)                                  09/99        82,580             20           63,727
Issuance of stock for consulting fees
  ($2.04 per share)                                  12/99       100,374             25          190,769
Value assigned to conversion feature of
  Convertible Debentures and 84,750 warrants
  issued as additional interest                      01/99             -              -          175,425
Value assigned to additional consideration
  for financing activities ($0.72 per share)         05/99       100,000             25           71,975
Issuance of stock ($0.25 per share)                  06/99     1,000,000            250          474,750
Issuance of stock ($0.25 per share)                  09/99     2,000,000            500          499,500
Issuance of stock ($0.38 per share)                  12/99     3,035,000            759        1,179,241
Issuance of stock ($0.25 per share)                  12/99       930,000            233          232,267
Issuance of stock ($0.50 per share)                  12/99       240,000             60          119,940
Issuance of stock for settlement of
  litigation ($2.51 per share)                       11/99       181,784             45          456,233

      (1) Share amounts have been restated to reflect the 4 for 1 stock split on June 1, 1996.

                           See notes to consolidated financial statements.

                                                   10
</TABLE>
<PAGE>

<TABLE>
                                   EUROTECH, LTD. AND SUBSIDIARIES
                                    (A Development Stage Company)

                           CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY
                                             (UNAUDITED)

                  FOR THE PERIOD FROM INCEPTION (MAY 26, 1995) TO DECEMBER 31, 2000
                               AND THE SIX MONTHS ENDED JUNE 30, 2001
<CAPTION>

                                                                           Deficit
                                                                         Accumulated
                                                           Unearned      During the
                                                          Financing      Development
                                                            Costs            Stage           Total
                                                        -------------    -------------   ------------
<S>                                                     <C>              <C>             <C>
Year Ended December 31, 1999:
-----------------------------

Balance - December 31, 1998                             $    (47,500)    $(24,245,594)   $(8,835,406)
Issuance of stock for consulting fees
  ($0.77 per share)                                                -                -         62,401
Issuance of stock for consulting fees
  ($0.72 per share)                                                -                -        429,188
Issuance of stock for consulting fees
  ($0.98 per share)                                                -                -        520,240
Issuance of stock for conversion of
  debenture note payable ($0.35 per share)                         -                -        341,276
Issuance of stock for finder's fee
  ($1.94 per share)                                                -                -         46,309
Issuance of stock for finder's fee
  ($0.77 per share)                                                -                -         63,747
Issuance of stock for consulting fees
  ($2.04 per share)                                                -                -        190,794
Value assigned to conversion feature of
  Convertible Debentures and 84,750 warrants
  issued as additional interest                             (175,425)               -              -
Value assigned to additional consideration
  for financing activities ($0.72 per share)                 (72,000)               -              -
Issuance of stock ($0.25 per share)                                -                -        475,000
Issuance of stock ($0.25 per share)                                -                -        500,000
Issuance of stock ($0.38 per share)                                -                -      1,180,000
Issuance of stock ($0.25 per share)                                -                -        232,500
Issuance of stock ($0.50 per share)                                -                -        120,000
Issuance of stock for settlement of
  litigation ($2.51 per share)                                     -                -        456,278

                           See notes to consolidated financial statements.

                                                 11
</TABLE>
<PAGE>

<TABLE>
                                     EUROTECH, LTD. AND SUBSIDIARIES
                                      (A Development Stage Company)

                             CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY
                                               (UNAUDITED)

                    FOR THE PERIOD FROM INCEPTION (MAY 26, 1995) TO DECEMBER 31, 2000
                                AND THE SIX MONTHS ENDED JUNE 30, 2001
<CAPTION>

                                                                     Common Stock            Additional
                                                  Date of    ---------------------------       Paid-in
                                                Transaction     Shares        Amount           Capital
                                                -----------  ------------   ------------     ------------
                                                                 (1)
<S>                                           <C>            <C>            <C>              <C>
Year Ended December 31, 1999: (Continued)
-----------------------------

Issuance of stock for exercise of warrants
  ($1.50 per share)                           11/99/ 12/99       200,000    $        50      $   299,950
Acquisition of 6,795,000 shares of Kurchatov
  Research Holdings, Ltd. ($1.07 per share)          09/99     4,530,000          1,133        4,840,305
Acquisition from KRHL for Ekor Technology
  interest ($1.069 per share)                        11/99     2,000,000            500        2,137,000
Issuance of stock to retire debt of KRHL
  assumed with purchase of Ekor Technology
  interest ($1.06 per share)                         11/99     1,000,000            250        1,068,500
Issuance of stock for exercise of warrants
  ($0.36 per share)                                  11/99        75,000             19           26,981
Issuance of stock for conversion of debenture
  note payable, interest and penalties
  ($0.36 per share)                                  11/99       217,464             54          230,458
Issuance of stock in private sale
  ($1.59 per share)                                  12/99     1,882,353            471        2,831,529
Modification of warrants issued                                        -              -          123,500
Amortization of unearned financing costs                               -              -                -
Net loss                                                               -              -                -
                                                             ------------   ------------     ------------
Balance - December 31, 1999                                   39,399,343    $     9,850      $31,873,696
                                                             ============   ============     ============

(1) Share amounts have been restated to reflect the 4 for 1 stock split on June 1, 1996.

                           See notes to consolidated financial statements.

                                                   12
</TABLE>
<PAGE>

<TABLE>
                                   EUROTECH, LTD. AND SUBSIDIARIES
                                    (A Development Stage Company)

                           CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY
                                             (UNAUDITED)

                  FOR THE PERIOD FROM INCEPTION (MAY 26, 1995) TO DECEMBER 31, 2000
                               AND THE SIX MONTHS ENDED JUNE 30, 2001
<CAPTION>

                                                                           Deficit
                                                                         Accumulated
                                                           Unearned      During the
                                                          Financing      Development
                                                            Costs            Stage           Total
                                                        -------------    -------------   ------------
<S>                                                     <C>              <C>             <C>
Year Ended December 31, 1999: (Continued)
-----------------------------

Issuance of stock for exercise of warrants
  ($1.50 per share)                                     $          -     $         -     $   300,000
Acquisition of 6,795,000 shares of Kurchatov
  Research Holdings, Ltd. ($1.07 per share)                        -                -      4,841,438
Acquisition from KRHL for Ekor Technology
  interest ($1.069 per share)                                      -                -      2,137,500
Issuance of stock to retire debt of KRHL
  assumed with purchase of Ekor Technology
  interest ($1.06 per share)                                       -                -      1,068,750
Issuance of stock for exercise of warrants
  ($0.36 per share)                                                -                -         27,000
Issuance of stock for conversion of
  debenture note payable, interest and
  penalties ($0.36 per share)                                      -                -        230,512
Issuance of stock in private sale
  ($1.59 per share)                                                -                -      2,832,000
Modification of warrants issued                                    -                -        123,500
Amortization of unearned financing costs                     294,925                -        294,925
Net loss                                                           -       (6,492,312)    (6,492,312)
                                                        -------------    -------------   ------------
Balance - December 31, 1999                             $          -     $(30,737,906)   $ 1,145,640
                                                        =============    =============   ============

                           See notes to consolidated financial statements.

                                                 13
</TABLE>
<PAGE>

<TABLE>
                                EUROTECH, LTD. AND SUBSIDIARIES
                                 (A Development Stage Company)

                        CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY
                                          (UNAUDITED)

               FOR THE PERIOD FROM INCEPTION (MAY 26, 1995) TO DECEMBER 31, 2000
                            AND THE SIX MONTHS ENDED JUNE 30, 2001
<CAPTION>

                                                                            Common Stock
                                                           Date of   --------------------------
                                                       Transaction      Shares        Amount
                                                       -----------   -----------   -----------
                                                                         (1)
<S>                                                  <C>             <C>           <C>

For the Year Ended December 31, 2000
------------------------------------

Balance - December 31, 1999                                     -    39,399,343    $    9,850

Issuance of stock for consulting fees
 ($5.00 per share)                                          03/00        73,672            18
Issuance of stock for consulting fees
 ($4.06 per share)                                          06/00        23,794             6
Issuance of stock for consulting fees
 ($3.67 per share)                                          09/00        21,010             5
Issuance of stock for consulting fees
 ($1.93 per share)                                          12/00        22,198             5
Issuance of stock ($5.00 per share)                         02/00     1,200,000           300
Issuance of stock ($5.37 per share)                         04/00     2,000,000           500
Issuance of stock in payment of note payable and
 related interest ($0.28 per share)                         01/00       200,000            50
Issuance of stock for interest on Convertible
 Debentures ($1.56 per share)                               01/00       289,655            74
Issuance of stock and warrants to settle
 penalties of Convertible Debentures
 ($2.00 per share)                                          03/00       300,000            75
Issuance of stock on conversion of
  debentures and interest ($1.06 per share)                 03/00       965,661           242
Issuance of stock on conversion of debentures and
  interest ($2.75 per share)                                08/00       827,412           207
Accrual of shares under reset provisions                    12/00     8,500,000         2,125
Issuance of stock for price reset                           12/00       741,085           185
Issuance of stock on exercise of warrants
 ($2.00 per share)                                          02/00        60,000            15
Issuance of stock on exercise of warrants
 ($1.06 per share)                                          02/00       125,000            31
Issuance of stock on exercise of warrants
 ($1.50 per share)                                          03/00       100,000            24
Issuance of stock on exercise of warrants
 ($1.00 per share)                                          05/00        35,000             9
Compensatory element of options to purchase
 325,000 shares issued to employee as
 additional compensation                                    05/00             -             -
Compensatory element of options to purchase
 12,500 shares issued to employee as additional
 compensation                                               10/00             -             -
Value assigned to warrants issued to consultants            05/00             -             -
Compensatory element of warrants issued to
 employees                                                  10/00             -             -
Exercise of stock options                                   08/00        50,000            13
Shares repurchased                                   05/00; 06/00             -             -
Amortization of unearned compensation                           -             -             -
Net loss                                                        -             -             -
                                                                     -----------   -----------
Balance - December 31, 2000                                          54,933,830    $   13,734
                                                                     ==========    ==========

   (1) Share amounts have been restated to reflect the 4 for 1 stock split on June 1, 1996.

                        See notes to consolidated financial statements.

                                              14
</TABLE>
<PAGE>

<TABLE>
                                               EUROTECH, LTD. AND SUBSIDIARIES
                                                (A Development Stage Company)

                                       CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY
                                                         (UNAUDITED)

                              FOR THE PERIOD FROM INCEPTION (MAY 26, 1995) TO DECEMBER 31, 2000
                                           AND THE SIX MONTHS ENDED JUNE 30, 2001
<CAPTION>

                                                                    Treasury Stock              Additional
                                                            -----------------------------         Paid-in         Unearned
                                                                Shares           Amount           Capital       Compensation
                                                            ------------      -----------      -----------      ------------
<S>                                                          <C>             <C>               <C>              <C>
For the Year Ended December 31, 2000
------------------------------------

Balance - December 31, 1999                                           -       $        -       $31,873,696      $         -

Issuance of stock for consulting fees
 ($5.00 per share)                                                    -                -           368,727                -
Issuance of stock for consulting fees
 ($4.06 per share)                                                    -                -            94,869                -
Issuance of stock for consulting fees
 ($3.67 per share)                                                    -                -            77,025                -
Issuance of stock for consulting fees
 ($1.93 per share)                                                  174              348            41,573                -
Issuance of stock ($5.00 per share)                                   -                -         5,999,700                -
Issuance of stock ($5.37 per share)                                   -                -        10,749,470                -
Issuance of stock in payment of note payable
 and related interest ($0.28 per share)                               -                -            56,343                -
Issuance of stock for interest on Convertible
 Debentures ($1.56 per share)                                         -                -           451,064                -
Issuance of stock and warrants to settle
 penalties of Convertible Debentures
 ($2.00 per share)                                                    -                -         1,119,925                -
Issuance of stock on conversion of
 debentures and interest ($1.06 per share)                            -                -         1,023,358                -
Issuance of stock on conversion of debentures
 and interest ($2.75 per share)                                       -                -         2,276,913                -
Accrual of shares under reset provisions                              -                -            (2,125)               -
Issuance of stock for price reset                                     -                -              (185)               -
Issuance of stock on exercise of warrants
 ($2.00 per share)                                                    -                -           119,985                -
Issuance of stock on exercise of warrants
 ($1.06 per share)                                                    -                -           132,469                -
Issuance of stock on exercise of warrants
 ($1.50 per share)                                                    -                -           149,976                -
Issuance of stock on exercise of warrants
 ($1.00 per share)                                                    -                -            34,991                -
Compensatory element of options to purchase
 325,000 shares issued to employee as
 additional compensation                                              -                -           187,750         (187,750)
Compensatory element of options to purchase
 12,500 shares issued to employee as additional
 compensation                                                         -                -            18,625                -
Value assigned to warrants issued to
 consultants                                                          -                -           204,718                -
Compensatory element of warrants issued to
 employees                                                            -                -            78,125                -
Exercise of stock options                                             -                -            16,487                -
Shares repurchased                                           (3,532,150)      (8,478,069)                -                -
Amortization of unearned compensation                                 -                -                 -           41,723
Net loss                                                              -                -                 -                -
                                                            ------------     ------------      -----------      ------------
Balance - December 31, 2000                                  (3,531,976)     $(8,477,721)      $55,073,429      $  (146,027)
                                                            ============     ============      ============     ============

                                      See notes to consolidated financial statements.

                                                             15
</TABLE>
<PAGE>

<TABLE>
                                      EUROTECH, LTD. AND SUBSIDIARIES
                                       (A Development Stage Company)

                              CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY
                                                (UNAUDITED)

                     FOR THE PERIOD FROM INCEPTION (MAY 26, 1995) TO DECEMBER 31, 2000
                                  AND THE SIX MONTHS ENDED JUNE 30, 2001
<CAPTION>

                                                                             Deficit
                                                                         Accumulated
                                                                          During the
                                                                         Development
                                                                               Stage               Total
                                                                        -------------          ------------
<S>                                                                    <C>                     <C>
For the Year Ended December 31, 2000
------------------------------------

Balance - December 31, 1999                                            $(30,737,906)           $ 1,145,640

Issuance of stock for consulting fees
 ($5.00 per share)                                                                 -               368,745
Issuance of stock for consulting fees
 ($4.06 per share)                                                                 -                94,875
Issuance of stock for consulting fees
 ($3.67 per share)                                                                 -                77,030
Issuance of stock for consulting fees
 ($1.93 per share)                                                                 -                41,876
Issuance of stock ($5.00 per share)                                                -             6,000,000
Issuance of stock ($5.37 per share)                                                -            10,749,970
Issuance of stock in payment of note payable
 and related interest ($0.28 per share)                                            -                56,393
Issuance of stock for interest on Convertible
 Debentures ($1.56 per share)                                                      -               451,138
Issuance of stock and warrants to settle
 penalties of Convertible Debentures
 ($2.00 per share)                                                                 -             1,120,000
Issuance of stock on conversion of
 debentures and interest ($1.06 per share)                                         -             1,023,600
Issuance of stock on conversion of debentures
 and interest ($2.75 per share)                                                    -             2,277,120
Accrual of shares under reset provisions                                           -                     -
Issuance of stock for price reset                                                  -                     -
Issuance of stock on exercise of warrants
 ($2.00 per share)                                                                 -               120,000
Issuance of stock on exercise of warrants
 ($1.06 per share)                                                                 -               132,500
Issuance of stock on exercise of warrants
 ($1.50 per share)                                                                 -               150,000
Issuance of stock on exercise of warrants
 ($1.00 per share)                                                                 -                35,000
Compensatory element of options to purchase
 325,000 shares issued to employee as
 additional compensation                                                           -                     -
Compensatory element of options to purchase
 12,500 shares issued to employee as
 additional compensation                                                           -                18,625
Value assigned to warrants issued to
 consultants                                                                       -               204,718
Compensatory element of warrants issued to
 employees                                                                         -                78,125
Exercise of stock options                                                          -                16,500
Shares repurchased                                                                 -            (8,478,069)
Amortization of unearned compensation                                              -                41,723
Net loss                                                                  (9,872,789)           (9,872,789)
                                                                        -------------          ------------
Balance - December 31, 2000                                             $(40,610,695)          $ 5,852,720
                                                                        =============          ============

                              See notes to consolidated financial statements.

                                                    16
</TABLE>
<PAGE>

<TABLE>
                                                  EUROTECH, LTD. AND SUBSIDIARIES
                                                   (A Development Stage Company)

                                          CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY
                                                            (UNAUDITED)

                                 FOR THE PERIOD FROM INCEPTION (MAY 26, 1995) TO DECEMBER 31, 2000
                                              AND THE SIX MONTHS ENDED JUNE 30, 2001
<CAPTION>

                                                                                      Common Stock                  Treasury Stock
                                                           Date of     ---------------------------    ----------------------------
                                                       Transaction           Shares         Amount           Shares         Amount
                                                       -----------     ------------    -----------    -------------   ------------
                                                                                (1)
<S>                                                          <C>        <C>            <C>              <C>           <C>
Six Months Ended June 30, 2001
------------------------------

Balance - December 31, 2000                                             54,933,830     $   13,734       (3,531,976)   $(8,477,721)

Issuance of stock for consulting fees
  ($1.86 per share)                                          03/01           8,574              2                -               -
Exercise of warrants ($1.10 per share)                       03/01          50,000             13                -               -
Issuance of stock ($2.25 per share)                          03/01       1,333,333            333                -               -
Compensatory element of warrants to purchase
  150,000 shares issued to consultant as
  compensation                                               01/01               -              -                -               -
Compensatory element of warrants to purchase
  60,000 shares issued to consultant as
  additional compensation                                    02/01               -              -                -               -
Issuance of stock for consulting fees
  ($.77 per share)                                           06/01           3,000              1                -               -
Issuance of stock for consulting fees
  ($.73 per share)                                           06/01         120,000             30                -               -
Issuance of stock for price reset                            06/01       3,631,849            908                -               -
Amortization of unearned compensation                        06/01               -              -                -               -
Net loss                                                                         -              -                -               -
                                                                       ------------    -----------    -------------   ------------
Balance - June 30, 2001                                                 60,080,586     $   15,021       (3,531,976)   $(8,477,721)
                                                                       ============    ===========    =============   ============
</TABLE>
<TABLE>
<CAPTION>
                                                                                                           Deficit
                                                                                                       Accumulated
                                                                    Additional                           During the
                                                                       Paid-in          Unearned        Development
                                                                       Capital      Compensation              Stage           Total
                                                                  ------------      ------------     --------------    ------------
<S>                                                               <C>               <C>              <C>               <C>
Six Months Ended June 30, 2001
------------------------------

Balance - December 31, 2000                                       $55,073,429       $  (146,027)     $ (40,610,695)    $ 5,852,720

Issuance of stock for consulting fees
 ($1.86 per share)                                                     16,973                 -                  -          16,975
Exercise of warrants ($1.10 per share)                                 54,987                 -                  -          55,000
Issuance of stock ($2.25 per share)                                 2,839,667                 -                  -       2,840,000
Compensatory element of warrants to purchase
 150,000 shares issued to consultant as
 compensation                                                         141,000          (141,000)                 -               -
Compensatory element of warrants to
 purchase 60,000 shares issued to
 consultant as additional compensation                                 20,400           (20,400)                 -               -
Issuance of stock for consulting fees
 ($.77 per share)                                                       2,319                 -                  -           2,320
Issuance of stock for consulting fees
 ($.73 per share)                                                      87,570                 -                  -          87,600
Issuance of stock for price reset                                        (908)                -                  -               -
Amortization of unearned compensation                                       -           186,024                  -         186,024
Net loss                                                                    -                 -         (4,483,706)     (4,483,706)
                                                                  ------------      ------------     --------------    ------------
Balance - June 30, 2001                                           $58,235,437       $  (121,403)     $ (45,094,401)    $ 4,556,933
                                                                  ============      ============     ==============    ============

                     (1) Share amounts have been restated to reflect the 4 for 1 stock split on June 1, 1996.

                                         See notes to consolidated financial statements.

                                                                17
</TABLE>
<PAGE>

<TABLE>
                                             EUROTECH, LTD. AND SUBSIDIARIES
                                              (A Development Stage Company)

                                          CONSOLIDATED STATEMENTS OF CASH FLOWS
                                                       (UNAUDITED)
<CAPTION>

                                                                        For the Six Months Ended         For the Period
                                                                                        June 30,         from Inception
                                                                    ----------------------------      (May 26, 1995) to
                                                                           2000             2001          June 30, 2001
                                                                    -------------   -------------         --------------
<S>                                                                 <C>             <C>                   <C>
CASH FLOWS FROM OPERATING ACTIVITIES
  Net loss                                                          $ (5,424,781)   $ (4,483,706)         $ (45,094,401)
  Adjustments to reconcile net loss to net cash used
    In operating activities:
      Depreciation and amortization                                      809,744         831,602              2,621,195
      Amortization of deferred and unearned financing costs                    -               -             13,276,619
      Stock issued for license                                                 -               -                 37,500
      Compensatory element of stock issuances                            990,618         292,800              5,002,423
      Modification of warrants issued                                          -               -                123,500
      Issuance of stock in settlement of litigation                            -               -                456,278

      Cash provided by (used in) the change in assets
        and liabilities:
           Decrease (increase) in prepaid expenses                             -        (141,054)              (203,329)
           Increase in other assets                                       (3,000)         (8,158)              (272,129)
           Increase (decrease) in accrued liabilities                   (597,579)       (535,701)             2,530,046
           Increase in deferred revenue                                        -               -                225,000
                                                                    -------------   -------------         --------------
      NET CASH USED IN OPERATING ACTIVITIES                           (4,224,998)     (4,044,217)           (21,297,298)
                                                                    -------------   -------------         --------------
CASH FLOWS FROM INVESTING ACTIVITIES
  Organization and patent costs                                                -               -                (31,358)
  Capital expenditures                                                         -         (66,233)              (285,035)
                                                                    -------------   -------------         --------------
      NET CASH USED IN INVESTING ACTIVITIES                                    -         (66,233)              (316,393)
                                                                    -------------   -------------         --------------
CASH FLOWS FROM FINANCING ACTIVITIES
  Proceeds from exercise of stock options                                      -               -                 16,650
  Proceeds from issuance of common stock                              15,499,970       4,090,000             25,776,970
  Proceeds from exercise of warrants                                     437,500          55,000                819,500
  Offering costs                                                               -               -                 (2,898)
  Repayment by stockholders                                                    -               -                  3,000
  Proceeds from Convertible Debentures                                         -               -              7,000,000
  Repayment of Convertible Debentures                                          -        (500,000)              (500,000)
  Proceeds from notes payable                                                  -               -                450,000
  Repayment of notes payable                                            (400,000)              -               (400,000)
  Proceeds from bridge notes                                                   -               -              2,000,000
  Repayments of bridge notes                                                   -               -             (2,000,000)
  Borrowings from stockholders                                                 -               -                561,140
  Repayment to stockholders                                                    -               -               (561,140)
  Deferred financing costs                                                     -               -               (604,150)
  Purchase of treasury stock                                          (3,405,623)              -             (8,478,069)
                                                                    -------------   -------------         --------------
     NET CASH PROVIDED BY FINANCING ACTIVITIES                        12,131,847       3,645,000             24,081,003
                                                                    -------------   -------------         --------------
INCREASE (DECREASE) IN CASH                                            7,906,849        (465,450)            (2,467,312)

CASH - BEGINNING                                                       3,547,011       2,932,762                      -
                                                                    -------------   -------------         --------------
CASH - ENDING                                                       $ 11,453,860    $  2,467,312          $  (2,467,312)
                                                                    =============   =============         ==============
Supplemental Disclosure of Cash Flow Information:
-------------------------------------------------
  Cash paid during the period for:
      Interest                                                      $    508,244    $     43,889          $     868,580
                                                                    =============   =============         ==============
      Income taxes                                                  $          -    $          -          $           -
                                                                    =============   =============         ==============

                                    See notes to consolidated financial statements.

                                                           18
</TABLE>
<PAGE>

                         EUROTECH, LTD. AND SUBSIDIARIES
                          (A Development Stage Company)

                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (UNAUDITED)


NOTE 1 - BASIS OF PRESENTATION

The accompanying consolidated financial statements are unaudited. These
statements have been prepared in accordance with the rules and regulations of
the Securities and Exchange Commission ( the "SEC"). Certain information and
footnote disclosures normally included in the financial statements prepared in
accordance with generally accepted accounting principles have been condensed or
omitted pursuant to such rules and regulations. In the opinion of management,
the consolidated financial statements reflect all adjustments necessary to state
fairly the financial position and results of operations as of and for the
periods indicated. These consolidated financial statements should be read in
conjunction with the Company's financial statements and notes thereto for the
year ended December 31, 2000, included in the Company's Annual Report on Form
10-K as filed with the SEC.

The preparation of the consolidated financial statements in conformity with
general accepted accounting principles requires management to make estimates and
assumptions that affect the reported amounts of assets and liabilities and
disclosure of contingent assets and liabilities at the date of the consolidated
financial statement and the reported amounts of revenues and expenses during the
reporting period. Actual results could differ from those estimates.

The consolidated financial statements include the accounts of Eurotech, Ltd. and
its subsidiaries (collectively, the "Company"). All significant intercompany
accounts and transactions have been eliminated in consolidation.

Reclassifications
-----------------

Certain reclassifications were made to prior year balances to conform to current
year presentation.

NOTE 2 - BUSINESS

Eurotech, Ltd. (the "Company") was incorporated under the laws of the District
of Columbia on May 26, 1995. The Company is a development stage technology
transfer, holding, marketing and management company formed to commercialize new
or existing but previously unrecognized technologies. The Company's current
emphasis is on technologies developed by prominent research institutes and
individual researchers primarily in the former Soviet Union and Israel. Since
the Company's formation, the Company acquired selected technologies through
investments, assignments and licensing arrangements. To date, the Company has
not generated any significant revenues from operations.

                                       19
<PAGE>

                         EUROTECH, LTD. AND SUBSIDIARIES
                          (A Development Stage Company)

                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (UNAUDITED)


NOTE 3 - 8% CONVERTIBLE DEBENTURES

Convertible debentures consist of the following:

                                              At December 31,       At June 30,
                                                         2000              2001
                                              ---------------       -----------
     November 27, 1997 8% Convertible
       Debentures (Due November 27, 2000)         $  500,000        $        -

     February 23, 1998 8% Convertible
       Debentures (Due February 23, 2002)          3,000,000         3,000,000
                                                  -----------       -----------
            Total                                  3,500,000         3,000,000

     Less: Current maturities                        500,000         3,000,000
                                                  -----------       -----------
             Long-term Portion                    $3,000,000        $        -
                                                  ===========       ===========

During the three months ended March 31, 2001, principal and accrued interest on
the November 1997 Convertible Debentures totaling $543,276 were satisfied by a
cash payment in full.

On February 20, 2001, the Company entered into an agreement with the holders of
the Convertible Debentures dated February 23, 1998 to extend the original due
date of February 23, 2001 by one year to February 23, 2002. All other terms and
conditions of these Convertible Debentures remain as agreed to under the
original agreements.

                                       20
<PAGE>

                         EUROTECH, LTD. AND SUBSIDIARIES
                          (A Development Stage Company)

                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (UNAUDITED)


NOTE 4 - ACCOUNTS PAYABLE AND ACCRUED LIABILITIES

Accrued liabilities consist of the following:

                                            At December 31,        At June 30,
                                                       2000               2001
                                            ---------------        -----------

            Interest                            $   300,146        $   395,486

            Professional fees                       128,738             75,000

            Consulting fees                         351,895             94,400

            Other                                   658,764            338,956
                                                ------------       ------------
                                                $ 1,439,543        $   903,842
                                                ============       ============

NOTE 5 - STOCKHOLDERS' EQUITY

Common Stock Transactions
-------------------------

The Company issued 11,574 shares of common stock as consideration for consulting
services performed by various consultants. Shares issued under these
arrangements were valued in the aggregate at $19,295, which was charged to
operations during the six months ended June 30, 2001.

During June 2001, the Company issued 120,000 restricted shares of its restricted
common stock to three consultants. These shares were valued at $87,600, which
was charged to operations during the six months ended June 30, 2001.

On March 2, 2000 pursuant to an agreement with Woodward LLC, the Company sold
1,200,000 shares of its common stock for net proceeds of $6,000,000. The
agreement pursuant to which these shares were sold provided that the Company
would be required to issue to Woodward LLC additional shares of common stock in
the event that the average bid price in the market for outstanding Eurotech
shares during September and October 2000 was below $6.58.

On September 30, 2000, the parties agreed to amend the March 2000 agreement
solely with respect to the number of repricing periods. It was agreed that there
would be four pricing periods, each of one calendar month duration (20 trading
days) starting September 5, 2000. Each repricing period was to cover 25% of the
shares originally sold. Pursuant to this agreement, the Company issued to
Woodward 741,085 shares in October and November of 2000.

                                       21
<PAGE>

                         EUROTECH, LTD. AND SUBSIDIARIES
                          (A Development Stage Company)

                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (UNAUDITED)


NOTE 5 - STOCKHOLDERS' EQUITY (Continued)

Common Stock Transactions (Continued)
-------------------------

The Company entered into another common stock purchase agreement with Woodward
LLC on April 24, 2000. Pursuant to this agreement, the Company sold to Woodward
LLC an additional 2,000,000 shares, together with a warrant to purchase 500,000
shares at $10 per share, for $10,000,000 and certain other consideration, less
$500,000 related expenses. The parties amended this agreement on June 29, 2000
to provide for the payment by Woodward LLC of a further $1,250,000, less $62,500
related expenses, which was received in March 2001. These shares were subject to
repricing after March 31, 2001 if the bid price of outstanding Eurotech shares
is not then at least $9.375.

The Company entered into an additional common stock purchase agreement with
Woodward LLC on March 31, 2001. Pursuant to this agreement, the Company sold to
Woodward LLC 1,333,333 shares for a payment of $3,000,000, less related expenses
of $160,000. The shares were subject to repricing after March 1, 2002, if the
bid price of outstanding Eurotech shares for any lowest five business days
during the repricing period is not equal or greater than $3.15.

Modification and Extension of Woodward LLC Agreements
-----------------------------------------------------

As of May 18, 2001, the Company and Woodward LLC entered into an agreement to
extend and modify their existing agreements as follows:

o        The repricing terms applicable to the remaining one-half of the
         1,200,000 shares issued pursuant to the March 2000 agreement, to all of
         the 2,000,000 shares issued pursuant to the April 2000 agreement and
         the 1,333,333 shares issued pursuant to the March 2001 agreement, as
         summarized above, were superseded by new repricing terms that reference
         the target price applicable to the new arrangement, which is $3.76 per
         share. The 3,933,333 shares will be subject to repricing in two monthly
         installments of 300,000 shares each, six monthly installments of
         333,333 shares each and three monthly installments of 444,444 shares
         each over eleven monthly repricing periods beginning as of April 1,
         2001, but skipping July and August 2001, as a result of which the
         Company may be required to issue to Woodward LLC additional shares of
         common stock in the proportion to which the outstanding shares trade
         during the specified repricing period below are the $3.76 target price.

o        The exercise price of the two warrants that were previously issued to
         Woodward LLC for 200,000 and 500,000 shares, respectively, was reduced
         to $4.00 per share.

                                       22
<PAGE>

                         EUROTECH, LTD. AND SUBSIDIARIES
                          (A Development Stage Company)

                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (UNAUDITED)


NOTE 5 - STOCKHOLDERS' EQUITY (Continued)

Modification and Extension of Woodward LLC Agreements (Continued)
-----------------------------------------------------

Pursuant to this modification agreement, the Company has issued to Woodward LLC
3,632,029 shares with respect to April, May and June 2001. Based on the current
market price of the Company's shares, the Company estimates that as many as
20,000,000 additional shares may need to be issued on account of the repricing
provisions of the March 2000, the April 2000 and the March 2001 offerings and,
accordingly, has accrued 8,500,000 shares of such additional shares in the
stockholders' equity section of the December 31, 2000 and June 30, 2001 balance
sheets.

Warrants
--------

In January 2001, a consultant was granted warrants to purchase a total of
150,000 common shares at an exercise price of $2.00 per share. The warrants are
exercisable over a five-year period (see Note 6 for consultant agreement).

In February 2001, a consultant was granted warrants to purchase a total of
60,000 common shares at an exercise price of $3.00 per share. The warrants are
exercisable over a five-year period.

At June 30, 2001, the Company had outstanding warrants to purchase 2,153,000
shares of the Company's common stock at prices ranging from $0.71 to $5.00.

Options
-------

In January 2001, pursuant to employment agreements, two employees were issued
options to purchase a total of 375,000 common shares at an exercise price
ranging from $1.50 to $3.50 per share. The options are exercisable over a
five-year period.

A summary of the Company's stock option activity and related information
follows:

                                                                        Weighted
                                                            Range of     Average
                                       Shares Under     Option Price    Exercise
                                             Option      Per   Share       Price
                                       ------------    -------------    --------

      Balance at December 31, 2000:      1,012,500     $0.71 - $5.00      $1.61
         Granted                           375,000     $1.50 - $3.50      $2.72
         Exercised                               -         -       -          -
         Cancelled                               -         -       -          -
                                         ----------    -------------      ------
      Balance at June 30, 2001           1,387,500     $0.71 - $5.00      $1.91
                                         ==========    =============      ======

The weighted-average fair value of options granted during the six months ended
June 30, 2001 was $1.91.

                                       23
<PAGE>

                         EUROTECH, LTD. AND SUBSIDIARIES
                          (A Development Stage Company)

                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (UNAUDITED)


NOTE 5 - STOCKHOLDERS' EQUITY (Continued)

Options (Continued)
-------

In compliance with SFAS No. 123, the Company has elected to provide the pro
forma disclosure of net income (loss) and earnings per share as if the fair
value based method had been applied to the Company's financial statements. The
Company continued its use of APB Opinion No. 25. As such, the Company's net loss
and loss per share for the six months ended June 30, 2001, adjusted to reflect
pro forma amounts, are indicated below:

                                                             Six Months Ended
                                                                June 30, 2001
                                                             ----------------

                Net loss:
                 As reported                                     $(4,483,706)
                 Pro forma                                       $(4,585,206)

                Basic and diluted loss per share:
                 As reported                                           $(.08)
                 Pro forma                                             $(.08)

The fair value of stock options and warrants granted in 2001 were estimated on
the date of grant using the Black-Scholes option-pricing model. The weighted
average fair value and related assumptions were:


                                                                  June 30, 2001
                                                                  -------------

                Weighted average fair value                              $1.91
                Expected volatility                                        36%
                Risk-free interest rate                                     5%
                Expected life                                          5 years

Earnings Per Share
------------------

Securities that could potentially dilute basic earnings per share ("EPS") in the
future, and that were not included in the computation of diluted EPS because to
do so would have been anti-dilutive for the periods presented, consist of the
following:


      Options to purchase common stock                                1,387,500
      Warrants to purchase common stock                               2,153,000
      Convertible Debentures (assumed conversion at June
        30, 2001 market price and at largest discount)                1,560,000
      Reserve for repricing provisions under common stock
        purchase agreements assuming an August 1, 2001 price
        per share of $.45 (8,500,000 accrued as of June 30, 2001)    20,000,000
                                                                     -----------
      Total as of June 30, 2001                                      25,100,500
                                                                     ===========

                                       24
<PAGE>

                         EUROTECH, LTD. AND SUBSIDIARIES
                          (A Development Stage Company)

                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (UNAUDITED)


NOTE 6 - COMMITMENTS, CONTINGENCIES AND OTHER MATTERS

New Consulting Agreements
-------------------------

During January 2001, the Company entered into a two-year agreement with an
investment banking company for financial consulting services and advice
pertaining to the Company's business affairs. The Company agreed to pay a
consulting fee of $5,000 per month. In addition, the Company was to grant to the
consultant five-year warrants to purchase 600,000 shares of the Company's common
stock of escalating prices starting at $2.00 per share, of which warrants to
purchase 150,000 shares were to vest immediately. On March 30, 2001, the other
party cancelled this agreement due to current market conditions. Accordingly,
warrants to purchase 450,000 shares will not be issued.

During January 2001, the Company entered into a one-year consulting agreement
for general strategic consulting services to be rendered. The Company agreed to
pay a fee of $300,000 in four equal quarterly installments. In addition, the
Company subsequently entered into a more specific agreement in which the
consultant will assist the Company in evaluating possibilities for improving its
capital structure and strategic alternatives. For these services, the consultant
will be entitled to a fee of 4% of the value of any transactions arising out of
these services.

During March 2001, the Company entered into a one-year consulting agreement with
an individual for specific professional business services in administration and
management of international public and private entities, international public
product and general marketing. The Company agreed, commencing February 14, 2001,
monthly to pay to the consultant $5,000 and to issue to the consultant a
five-year warrant to purchase 5,000 shares at $3.00 per share.

On April 25, 2001, the Company entered into a financial and strategic consulting
agreement with a consulting company, pursuant to which this entity will assist
the Company evaluating possibilities for improving capital structure and
strategic alternatives. The Company agreed to pay $250,000, of which $124,999
was paid upon execution of the agreement and three installments of $41,667 each
were paid monthly thereafter.

During June 2001, the Company entered into a six-month consulting agreement with
a company for assisting road show presentation in Germany, introductions to
subscription newsletters, television programs, etc. The Company agreed to pay
$20,000 upon the signing of agreement and issued to consultants 120,000 shares
of common stock for $120.

                                       25
<PAGE>

                         EUROTECH, LTD. AND SUBSIDIARIES
                          (A Development Stage Company)

                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (UNAUDITED)


NOTE 6 - COMMITMENTS, CONTINGENCIES AND OTHER MATTERS (Continued)

New Employment Agreement
------------------------

During January 2001, the Company entered into an employment agreement with an
individual to provide services as General Manager of its Nuclear and
Environmental Division. The Company agreed to pay $175,000 annually plus a
five-year option to purchase 275,000 shares of common stock at prices ranging
from $2.50 to $3.50 per share.

New Sublease Agreement
----------------------

During June 2001, the Company entered into a one year sublease agreement of a
portion of its headquarters space for rent receivable of $5,945 per month.

Risk of Environmental Liability; Present Lack of Environmental Liability
------------------------------------------------------------------------
Insurance
---------

The Company's radioactive contaminant technology is subject to numerous national
and local laws and regulations relating to the storage, handling, emission,
transportation and discharge of such materials, and the use of specialized
technical equipment in the processing of such materials. There is always the
risk that such materials might be mishandled, or that there might be equipment
or technology failures, which could result in significant claims for personal
injury, property damage, and clean-up or remediation. Any such claims against
the Company could have a material adverse effect on the Company. The Company
does not presently carry any environmental liability insurance, and may be
required to obtain such insurance in the future in amounts that are not
presently predictable. There can be no assurance that such insurance will
provide coverage against all claims, and claims may be made against the Company
(even if covered by insurance policies) for amounts substantially in excess of
applicable policy limits. Any such event could have a material adverse effect on
the Company.

Concentration of Credit Risk
----------------------------

Financial instruments which potentially subject the Company to concentration of
credit risk consist principally of cash which is at one bank. Future
concentration of credit risk may arise from trade accounts receivable. Ongoing
credit evaluations of customers' financial condition will be performed and,
generally, no collateral will be required.

                                       26
<PAGE>

                         EUROTECH, LTD. AND SUBSIDIARIES
                          (A Development Stage Company)

                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (UNAUDITED)


NOTE 6 - COMMITMENTS, CONTINGENCIES AND OTHER MATTERS (Continued)

Business Risks
--------------

The Company requires additional funds to commercialize its technologies and
continue research and development efforts. Until the commencement of sales, the
Company will have no operating revenues, but will continue to incur substantial
expenses and operating losses. No assurances can be given that the Company can
complete development of any technology not yet completely developed or that,
with respect to any technology that is fully developed, products incorporating
the technology can be manufactured on a large scale basis or at a feasible cost.
Further, no assurance can be given that any technology will receive market
acceptance. Being a start-up stage entity, the Company is subject to all the
risks inherent in the establishment of a new enterprise and the marketing and
manufacturing of a new product, many of which risks are beyond the control of
the Company.

                                       27

<PAGE>

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

         The following is a discussion of our financial condition, results of
our operations and liquidity. This discussion should be read together with our
financial statements and notes included in this report, as well as those
included in our Annual Report on Form 10-K for the year ended December 31, 2000.

         Certain information in this report, including the following discussion,
may include forward-looking statements. The forward-looking statements are
subject to risks and uncertainties. Therefore, actual results could differ
materially from current expectations. Among the factors that could affect our
actual results and could cause these results to differ from those foreseen in
our forward-looking statements are:

    o    We may run out of money before we begin to generate cash flow from
         operations.
    o    We may not in fact be able to sell significant quantities or profitably
         commercialize EKOR(TM) or any of our other technologies.
    o    We have a limited operating history and, therefore, little history on
         which to base any forecasts.
    o    We have incurred substantial operating losses and risk never making any
         money.
    o    Shareholders face substantial dilution of their equity ownership
         percentage if more of our convertible debentures are converted, if more
         of our outstanding options and warrants are exercised, or if more of
         the shares that we have issued during 2000 and 2001 are repriced or if
         we have to issue more shares to raise capital. The extent of potential
         dilution depends significantly on the market price of our outstanding
         shares.
    o    There is a risk that the market will not accept any or many of our
         products and technologies.
    o    We face unknown environmental liability risks, and we don't carry
         environmental liability insurance.
    o    Environmental regulation in various countries may prevent the
         cost-effective application of some or all of our technologies.
    o    We may be subject to significant competition and the existence or
         development of preferred technologies, which may keep us from selling
         our products and technologies at a profit or at all.
    o    Our proprietary technology and patents may not give us adequate
         protection, therefore others may be able to develop similar
         technologies or may not allow us to apply our technologies, either at
         all or without paying license fees.
    o    The chances of our coming close to our forecasts depend on the efforts
         of a small number of key personnel and consultants who are not bound to
         stay with us.

OVERVIEW

         We are a development stage technology transfer, holding, marketing and
management company formed to commercialize new or existing but previously
unrecognized technologies. Our current emphasis is on technologies developed by
prominent research institutes and individual researchers primarily in the former
Soviet Union and Israel. Since our formation, we have acquired selected
technologies through equity investments, assignments and licensing arrangements.

         In the following paragraphs, we will attempt to provide you with a
picture of where we stand on the various the technologies on which we are
currently working. We described all but one of these technologies, in some
detail, in Part I, Item 1 (Business) of our 2000 Annual Report on Form 10-K.

                                       28
<PAGE>

         One of the things we did in the first quarter was to group for
management purposes most of our technologies other than EKOR(TM) in what we call
our Advanced Performance Materials Division. The approach of this Division is to
concentrate financial and human resources in the first instance on the
commercialization of those technologies that we have determined offer the most
immediate promise in terms of size of market and potential market acceptance. We
comment below on the status of these technologies in accordance with our current
order of priority. By the same token, in the second quarter we organized what we
call our Nuclear and Environmental Technology Solutions (NETS) Division. NETS
aims to acquire and implement technologies needed for global remediation and
monitoring of contaminated areas, including management of hazardous materials,
or for exploration of the environment in search of needed minerals or other
resources. At this time, NETS includes only the EKOR(TM) family of products, but
it is projected in the future to include other technologies.

         We are not a subsidiary of another corporation, entity or other person.
We do not have any subsidiaries except to the extent that Israeli start-up
companies in which we have invested and in the equity of which we hold a greater
than 50% interest, and a not yet activated U.S. company that we control, may be
deemed to be a subsidiary.

EKOR(TM) - During 2000, we successfully completed the transfer to our
California-based manufacturing partner of the technology to produce various
commercial forms of EKOR(TM). We expect to expend in 2001 approximately
$1,800,000 on consulting fees, testing, application procedures, and equipment
development, dedicated staff resources, and other expenses related to the
marketing of EKOR(TM) products, of which we spent about $979,000 in the first
six months. In the second quarter of 2001, we performed bench-scale tests at
three Department of Energy (DOE) sites and received one order ($7,500) for a
full demonstration at a facility being remediated by DOE in New York State. We
also received a small order ($1,000) for EKOR(TM) to be used for repair of a
commercial facility in Virginia. We accepted delivery of the first set of
application equipment in June, and this system is scheduled for demonstrations
of EKOR(TM) at several DOE facilities in August and September. The response to
the capabilitieS of EKOR(TM) products has been extremely positive and
negotiations are in progress for project usage at a number of DOE sites.
Production development of new EKOR(TM) products such as Foam is progressing on
schedule for debut later in 2001. Now in the third quarter, we are beginning to
negotiate drum-quantity sales of EKOR(TM), and we continue to foresee
significant revenue from EKOR(TM) sales in the fourth quarter of 2001.

HNIPU (Hybrid Non-Isocyanate Polyurethane) - Chemonol, Ltd. is one of the
Israeli start-up companies in which we have invested. Chemonol has completed the
development of HNIPU, the basic concept for which is one of the technologies
that we purchased from Prof. Oleg Figovsky, but is continuing to work on the
development of variants of this product. HNIPU can be incorporated into
commercial coatings, paints and adhesives. During 2000, a U.S. patent for HNIPU
was issued to Eurotech, Ltd. Recently we identified in the USA a binder
production facility to which we have begun, under a non-reverse-engineering and
non-competition agreement, the process of transferring the technology for making
HNIPU precursors with a view to sales of the resulting products to paint and
coating manufacturers for incorporation in polyurethane paints, coatings and
adhesives. Recently, test samples of the acid-resistant floor paint version of
HNIPU were subjected to performance testing at the U.S. Army's Yuma Proving
Grounds, with excellent results. Demo quantities of HNIPU paint binder have been
requested by and recently delivered to several major U.S. paint manufacturers
for evaluation as an industrial paint base. Some of these companies have
expressed their interest in obtaining North American and/or worldwide exclusive
rights for incorporating HNIPU into their product lines. Discussions with these
companies are ongoing and some have requested additional samples tailored to
their unique specifications. Criteria for further analysis are being prepared.
One company has expressed interest in incorporation of HNIPU into its product
line. Two multi-national companies in the personal care business have requested
a linear variant of HNIPU, and we are discussing with them ways to facilitate
their analysis of linear HNIPU. Chemonol, at the request of Eurotech, achieved a
major milestone with the production of HNIPU foam, and Chemonol is currently
preparing samples of a rigid version of HNIPU foam that have been requested by
an aerospace manufacturer for lightweight structural applications. This
development effectively doubles the market potential of HNIPU. A European
company dominant in its field has requested worldwide exclusive rights to HNIPU
foam for its specific market segment. We have initiated negotiations with this
company and may conclude an agreement in the next quarter. During the first half
of 2001, we spent considerable management time and effort, but not a material
amount of money, on HNIPU commercialization activity.

                                       29
<PAGE>

FIRESIL(TM) (Intumescent Fire-Stop Coating) - Recently, test samples coated with
this material were subjected to performance testing at the U.S. Army's Yuma
Proving Grounds, with excellent results. Interest in FIRESIL(TM) has been
expressed by several additional Department of Defense (DOD) facilities and
discussions are underway to secure performance testing at these facilities with
the goal of follow-on sales. During 2001, we expect to spend some money on
producing sample quantities of this material for certification testing and on
having standardized American Society for Testing and Material (ASTM) tests
performed. In the meantime, we are actively seeking product sales as well as
licensing partners. We have obtained cost estimates of the ingredients required
to produce FIRESIL(TM) and have determined that the product is cost-competitive
with known alternatives. We have filed for a trademark on FIRESIL(TM) and have
initiated patent activity on interior and exterior formulations. We have begun
discussions with two paint companies on possible manufacturing agreements for
U.S. production of FIRESIL(TM).

SORBTECH SB-1 (High Capacity Adsorbent) - Sorbtech, Ltd., another of the Israeli
start-up companies in which we have invested, has completed the development of
this high capacity sorbent for petroleum products. We have located in Eastern
Europe a low-cost manufacturer of the extremely fine basalt fibers which, when
processed with Sorbtech's proprietary thermal vacuum chemical treatment,
produces this adsorbent material with sorbtive capacity significantly greater
than current polypropylene sorbents on the market. Since the end of 2000, we
have engaged an internationally respected authority in the oil spill remediation
industry to design and implement a comprehensive testing program. The results of
this test campaign quantified that Sorbtech SB-1, when properly used, presents
no health hazards, is landfill disposable in virgin form, evidences superior
sorbtive capability and may be legally sold in all 50 states. These tests and a
minor amount of other costs added up to $45,000. To achieve the necessary
production, we may need to form a joint venture with a manufacturer that would
be interested in installing a dedicated production line with the capability to
product the unique basalt fiber necessary for Sorbtech SB-1. At this time, our
efforts to market Sorbtech are at a low level.

SPCE (Sulfochlorinated Polyethylene Coatings) - During 2001 to date, we paid the
first $15,000 installment of a committed $60,000 initial investment in Corpem,
Ltd., a new Israeli start-up currently housed in the Ofek La'Oleh Jesre'el
Valley Initiative Center under the Israeli incubator program, for which we will
receive the usual 20% of the equity of Corpem. Corpem will investigate the
feasibility of water-based suspensions utilizing innovative cross-linking
agents, which would result in non-toxic environmentally friendly, highly stable,
crack resistant coatings for concrete, metal or rubber. We have received some
initial interest in SPCE as a possible strippable coating for use in industrial
manufacturing industry.

OTHER ISRAELI TECHNOLOGIES - We refer you to the description of our business in
Part I, Item 1 of our 2000 Form 10-K Annual Report for a description of each of
these technologies other than those discussed above; they are there identified
as:

    o    Continuous Combustion Synthesis and Continuous Action Reactor
    o    Rapidly Bio-degradable Hydrophobic Material (RBHM)
    o    Highly stable organomineral polymers based on quarternary ammonium
         silicates (QAS)
    o    Cobalt and nickel powders
    o    Polydiene Urethane Adhesives (Poly-D Adhesives) - Electronic Glues
    o    Kauton

                                       30
<PAGE>

    o    Hypocorr
    o    Anticorrosive Additives for Polymers (AAdd)
    o    Liquid Ebonite Mixtures (LEM)
    o    Rubber Concrete (RubCon)

We had no activity with respect to these technologies in the year-to-date of
2001.

CRYPTO.COM, INC. - During the first six months of 2001, we spent $168,000 on
continued development and evaluation of the technology proposed to be
commercialized by this U.S. subsidiary. The Board of Directors was expanded to
include a member experienced in incorporating security into systems for
government and commercial communications programs.

RESULTS OF OPERATIONS

SIX MONTHS ENDED JUNE 30, 2000 COMPARED WITH SIX MONTHS ENDED JUNE 30, 2001:

         We have not had any revenues from operations since inception and have
recognized no revenues other than $500,000 of recoveries of amounts previously
expensed that we recognized in 1999 and 2000.

         For the six months ended June 30, 2000 and 2001, we incurred operating
losses of $5,297,000 and $4,424,000 respectively. The losses are principally due
to expenses incurred in the development of our technologies, consulting costs,
general and administrative expenses, and the lack of revenues. The smaller loss
in the 2001 period resulted principally from the reduction in research and
development expenditures.

         Research and development expenses decreased by $1,476,000 from
$2,649,000 for the six months ended June 30, 2000 to $1,173,000 for the six
months ended June 31, 2001, of which $805,000 in each period was for the
amortization of acquired EKOR(TM) technology rights. During the first half of
2001, we spent $234,000 on further EKOR(TM) development and $134,000 oN Israeli
and other development. We expect to continue to maintain our reduced rate of
investment in research and development overall for the foreseeable future.

         During 2000, we acquired from Professor Oleg L. Figovsky, Ph.D. three
technologies for $250,000 cash, which we charged to research and development
expenses during the first quarter of 2000. Research and development expenditures
for 2000 also included $760,000 related to our continuing investments in six
Israeli technology companies and $96,000 for continued development work on
EKOR(TM).

         Consulting expenses increased by $695,000 from $488,000 for the six
months ended June 30, 2000 to $1,183,000 for the six months ended June 30, 2001.
The increase in consulting expense resulted principally from an increase in the
number of consultants working in the EKOR(TM) business development area.

          Other general and administrative expenses increased by $294,000 from
$1,481,000 for the six months ended June 30, 2000, to $1,775,000 for the six
months ended June 30, 2001. The increase is attributable principally to
increases in rent and office expenses, to our opening a new office in Hanford,
WA, to increased legal fees, and to an increase in the number of salaried
employees at our Fairfax, VA headquarters.

         Interest expense, consisting of net interest expense, decreased from
$128,000 for the six months ended June 30, 2000, to $76,000 for the six months
ended June 30, 2001. This decrease was due principally to the conversion of
$2,160,000 principal amount and the repayment in cash of $500,000 principal
amount of previously outstanding convertible debentures. We also recognized some
rental income from a sublease of a portion of our headquarters space in Fairfax,
VA.

                                       31
<PAGE>

         We continue to believe that we will begin to earn revenues in 2001, but
such revenues, if recognized, may be offset to a considerable extent by expenses
incurred by us in our continuing efforts to commercialize, sell and market our
technologies, as well as the amortization of intangible assets.

THREE MONTHS ENDED JUNE 30, 2001 VS. THE THREE MONTHS ENDED JUNE 30,2000

         For the three months ended June 30, 2000 and 2001, we incurred
operating losses of $2,487,000 and $2,302,000, respectively. The losses are
principally due to expenses incurred in the acquisition and development of our
technologies, consulting costs, general and administrative expenses,
amortization expense and the lack of revenues.

         Research and development expenses decreased for the three months ended
June 30, 2000 from $827,000 to $572,000 for the three months ended June 30,
2001. Investments in our Israeli technology companies decreased from $170,000
for the three months ended June 30, 2000 to $0 for the three months ended June
30, 2001, although we spent $43,000 on other Israeli expenses.

         Consulting expenses increased from $299,000 for the three months ended
June 30, 2000 to $592,000 for the three months ended June 30, 2000. The increase
in consulting expense resulted principally from an increase in the number of
consultants working in the EKOR(TM) business development area.

         Other general and administrative expenses decreased from $1,050,000 for
the three months ended June 30, 2000, to $884,000 for the three months ended
June 30, 2000. The decrease is attributable to the reduction of outside
accounting services, office expense, and investor and public relations.

         Interest expense, consisting of net interest expense, increased from
$36,000 for the three months ended June 30, 2000 to $47,000 for the three months
ended June 30, 2001, mostly because of lower offsetting interest income as a
result of declining cash balances.

LIQUIDITY AND CAPITAL RESOURCES

SUMMARY OF WORKING CAPITAL AND STOCKHOLDER'S EQUITY

         As of June 30, 2001, we had negative working capital of $1,421,000 and
stockholders' equity of $4,557,000 compared with working capital of $2,117,000
and stockholders' equity of $5,853,000 as of June 30, 2000. Stockholders equity
declined mainly for two reasons. First, our consulting expense increased because
we increased the number of consultants working in the EKOR(TM) business
development area and in the financial consulting area. Second, we were unable to
obtain infusions of additional capital in amounts sufficient to fund our
operating losses and our other uses of cash described in our financial
statements and otherwise discussed below or in our Annual Report.

                                       32
<PAGE>

SOURCES OF WORKING CAPITAL

         Since our inception, our primary sources of working capital have been
the net proceeds of:

    o    $842,000 from a limited offering of our common stock;

    o    $2,000,000 from a bridge financing completed in 1996 and subsequently
         repaid;

    o    $3,000,000, $3,000,000 and $1,000,000 from private placements of our 8%
         convertible debentures completed November, 1997, February, 1998 and
         July, 1998, respectively;

    o    $450,000 from a secured financing obtained in January 1999 and repaid
         in January 2000;

    o    $2,508,000 from a private offerings of 7,205,000 shares of our common
         stock during the year ended 1999 (these shares were sold at deep
         discounts from market quotations for outstanding shares because of the
         large number of shares placed compared with the size of quotations in
         the market; the trading restrictions on the shares placed; and our
         precarious financial condition at the time of the placement);

    o    $2,832,000, net of fees and expenses, from the issuance on December 31,
         1999 of 1,882,353 shares and of a warrant to buy an additional 200,000
         shares of our common stock to Woodward LLC;

    o    $6,000,000 net from the issuance on March 2, 2000 of 1,200,000 shares
         of our common stock to Woodward LLC;

    o    $9,500,000 (later increased to $10,687,500) net from the issuance on
         April 25, 2000 of 2,000,000 shares and of a warrant to buy an
         additional 500,000 shares of our common stock to Woodward LLC; and

    o    $2,840,000 net from the issuance as of March 30, 2001 of 1,333,333
         shares of our common stock to Woodward LLC.

         In the meantime, we are in the final stages of negotiating with another
investor the payment by that investor of $2,500,000 ($2,375,000 net of expenses)
for the issuance to that investor of 5,000,000 shares of our common stock,
subject to repricing.

REPRICING PROVISIONS, CONVERSION OF DEBENTURES AND WARRRANTS, AND EXERCISE OF
OPTIONS

         Holders of our common shares are subject to the risk of additional and
substantial dilution due to the repricing provisions in our several agreements
with Woodward LLC and our contemplated agreement with last above-mentioned
investor. The agreements pursuant to which we raised, net, $6,000,000,
$10,687,500 and $2,840,000 from Woodward LLC in March and April 2000 and March
2001 were modified in February of 2001 and again modified as of May 18, 2001.
All three of these agreements, as modified by the modification agreements, as
well as a contemplated agreement pursuant to which we expect to raise, net,
$2,375,000, contain and will contain repricing provisions that require us to
issue additional shares in the proportion to which the outstanding shares of our
common stock trade during specified time periods at prices below the $3.76
target price specified in the respective agreements as modified to date.

                                       33
<PAGE>

         The Company has initiated discussions regarding restructuring of its
financial relationship with Woodward, LLC. Nevertheless, for the last two
Woodward LLC financings there remain eight monthly repricing periods beginning
in September 2001, Woodward LLC having waived repricing during July and August,
2001 in support of the Company's restructuring of its financial position.
Because the repricing is based on the $3.76 target price compared to actual
market prices of shares, it is impossible to predict exactly how many more
shares we will need to issue to Woodward LLC.

         We have calculated some hypothetical examples of potential dilution,
taking into account the combined impact of the repricing provisions for the
Woodward LLC shares, the shares issuable on conversion of debentures and the
shares issuable on the exercise of warrants or options, but not any shares that
might be issuable pursuant to the repricing provisions in the contemplated
agreement referred to above. Assuming an average market price of $3.00 per share
for the eight remaining monthly repricings, we would need to issue by the end of
April 2002 a total of 4,716,571 shares or 8.58% of the aggregate number of
shares that would then be hypothetically outstanding shares. Assuming an average
market price of $2.00 per share for the eight remaining monthly repricings, we
would need to issue by the end of April 2002 a total of 5,858,000 shares, or
10.43% of the aggregate number of hypothetically then outstanding shares.
Assuming an average market price of $1.00 per share for the eight remaining
monthly repricings, we would need to issue by the end of April 2002 a total of
9,248,000 shares, or 15.53% of the aggregate number of hypothetically then
outstanding shares. Assuming an average market price of $0.45 per share for the
eight remaining monthly repricings, we would need to issue by the end of April
2002 a total of 22,066,667 shares, or 30.5% of the aggregate number of
hypothetically then outstanding shares.

CONVERTIBLE DEBENTURES

         During the years ended December 31, 1999, debenture holders converted
$410,000 of principal and $161,788 of accrued interest into 1,204,665 shares of
common stock.

         During the year ended December 31, 2000, the obligation under
convertible debentures totaling $902,276 was satisfied for cash payment of
$451,138 and issuance of 289,655 shares of common stock valued at $451,138.
Further during that year, the obligation under convertible debentures dated July
1998 of $900,000, plus accrued interest of $123,600, was satisfied by the
issuance of 965,661 shares of common stock.

         During the year ended December 31, 2000, the obligation under
convertible debentures dated November 1997 of $2,160,000, plus accrued interest
of $117,120, was satisfied by the issuance of 827,412 shares of common stock.

         We paid in cash after maturity the remaining $500,000 principal amount
of the November 1997 convertible debenture, together with accrued interest of
$43,000 in the first quarter of 2001.

         The remaining $3,000,000 principal amount of debentures, the maturity
of which has been extended to February 2002, may be converted by the holder into
shares of our common stock at a conversion rate capped at $2.00 or by us based
on the market price of our outstanding shares at the time of conversion. Based
on the last sale price of our common stock at July 31, 2001, the debentures'
principal and accrued, but unpaid, interest currently outstanding could be
converted by us into approximately 9.2 million shares of our common stock.

WARRANTS AND OPTIONS

         We have outstanding warrants and options, held by directors, officers,
consultants, and financing sources, to purchase an aggregate of 3,653,000 shares
of our common stock at exercise prices ranging from $5.00 down to $0.71 per
share. If all of these warrants and options were exercised, we would realize a
hypothetical total of about $9,000,000.

                                       34
<PAGE>

SECURED FINANCING

         On January 6, 1999, the holder of most of our then outstanding
convertible debentures and Dr. David Wilkes, then our Chairman, between them
provided $450,000 of short-term financing to us, evidenced by a $50,000 and a
$400,000 secured promissory notes, respectively. Each secured promissory note
bore interest at 13% per annum and was due January 6, 2000. The promissory notes
were collateralized by our intangible assets and could be exchanged for 8%
convertible debentures under terms similar to the current outstanding
debentures. We repaid the $400,000 note on its due date from the proceeds of the
December 31, 1999, $3,000,000 stock and warrant issue. Dr. Wilkes converted his
$50,000 note plus accrued interest into 200,000 shares of our common stock.

TREASURY STOCK

         During 2000, we expended a total of $8,477,721 to repurchase for the
treasury 3,531,976 previously issued shares of common stock, of which we spent
$4,350,000 to buy 2,500,000 shares in the private transactions described further
in our Annual Report and the balance of which we spent to buy 1,131,976 shares
in the market.

                                       35
<PAGE>

                           PART II - OTHER INFORMATION

ITEM 1.  LEGAL PROCEEDINGS

         The registrant is not currently a party to any material legal
proceedings. The differences between our Board of Directors and Mr. Jeffrey W.
Stephen, who resigned as our Chief Operating Officer on May 4, 2001, regarding
Mr. Stephen's severance arrangements have not yet been resolved.

ITEM 2.  CHANGES IN SECURITIES AND USE OF PROCEEDS

         (a)      Not applicable.

         (b)      Not applicable.

         (c)      During the second quarter 2001, we issued to Woodward LLC a
         total of 3,631,849 shares of our common stock, in addition to 741,085
         shares previously issued, on account of the repicing provisions, as
         modified, in the several agreements between us and Woodward LLC. For
         more information on these issuances, see Part I, Item 2 of this report
         (Management's Discussion and Analysis of Financial Condition and
         Results of Operations).

         (d)      Not applicable.

ITEM 3.  DEFAULTS UPON SENIOR SECURITIES

         Not applicable.

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

         Not applicable.

ITEM 5.  OTHER INFORMATION

         The Annual Meeting of shareholders, for the election of directors and
other business, is now scheduled to be held on November 30, 2001. The Board of
Directors has set the record date for this meeting as October 12, 2001.
Shareholder proposals for inclusion in the proxy statement for this meeting must
be submitted to the Secretary, Eurotech, Ltd., 10306 Eaton Place, Suite 220,
Fairfax, VA 22030, by September 15, 2001.

ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K

         (a)      The Exhibits listed in the attached Exhibit Index are filed
         herewith or incorporated herein by reference, as indicated in therein.

         (b)      Reports on Form 8-K.  None filed during the quarter being
         reported on.




                                       36
<PAGE>

            [The rest of this page has been left blank intentionally]




                                       37
<PAGE>

                                   SIGNATURES

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

August 14, 2001                    EUROTECH, LTD.,



                                   By  /s/ Don V. Hahnfeldt
                                       ----------------------------------------
                                           Don V.  Hahnfeldt
                                           President and Chief Executive Officer


                                       /s/ Jon W. Dowie
                                       ----------------------------------------
                                           Jon W. Dowie
                                           Chief Financial Officer


                                       38
<PAGE>

                                 EUROTECH, LTD.
                                 EXHIBIT INDEX

<TABLE>
<CAPTION>
                                                                                          Location
Exhibit No.                                    Description                                Reference
-----------                                    -----------                                ---------

<S>            <C>                                                                           <C>
3.1.1          Articles of Incorporation of Eurotech, Ltd. and amendment thereto              1

3.1.2          Articles of Amendment adopted June 20, 2000 and corresponding
               Certificate of Amendment dated June 21, 2000                                  10

3.2.1          Bylaws of Eurotech Ltd.                                                        1

3.2.2          Amendment to Bylaws adopted February 23, 2000 to fix the
               number of directors at 5.                                                      9

4.1            Form of Common Stock certificate                                               1

10.1.1         License Agreement dated September 6, 1996 between Euro-Asian Physical
               Society and ERBC Holding, Ltd.                                                 1

10.1.2         Sub-License Agreement dated September 16, 1996 between ERBC Holding,
               Ltd. and Eurotech, Ltd.                                                        1

10.1.2.1       EKOR Agreement dated as of May 15, 2000 between Euro-Asian Physical
               Society and Eurotech, Ltd. Modifying the EKOR license                         12

10.1.3         Agreement dated January 28, 1997 between Eurotech, Ltd. and Kurchatov
               Research Holdings, Ltd.                                                        1

10.1.4         Memorandum of Intent among Chernobyl Nuclear Power Plant, I. V.
               Kurchatov Institute, Ukrstroj and Eurotech, Ltd.                               1

10.1.5         Agreement dated December 6, 1996 between Ukrstroj and Chernobyl Nuclear
               Power Plant                                                                    1

10.1.6         Agreement dated December 11, 1996 among Ukrstroj, Eurotech, Ltd. and
               Euro-Asian Physical Society                                                    1

10.2.1         Technology Purchase Agreement between Eurotech, Ltd. and Oleg L. Figovsky      2

10.2.2         Technology Purchase Agreement between Eurotech, Ltd. and Oleg L. Figovsky      2

10.2.3         Technology Purchase Agreement between the Company and Oleg L. Figovsky         2

10.2.4         Agreement dated February 27, 2000 between Eurotech, Ltd. and Oleg L.
               Figovsky (acquisition of the rights to 49% of net profits)                     8

10.3           Preliminary EKOR (Component A)/Block Copolymer manufacturing licensing
               agreement between Eurotech, Ltd. and NuSil Technology                          9

10.4.1         Agency Contract dated May 19, 2000 between Eurotech, Ltd. and McPhee
               Environmental Supply                                                          10




                                       39
<PAGE>

10.4.2         McPhee Environmental Supply Cancellation dated March 14, 2001                 12

10.5.1         Share Purchase Agreement dated June 29, 2000 between Zohar Gendler and
               Eurotech, Ltd. (Rademate Ltd.)                                                10

10.5.2         Share Purchase Agreement dated June 29, 2000 between Technion
               Entrepreneurial Incubator Co., Ltd. and Eurotech, Ltd. (Rademate Ltd.)        10

10.5.3         Share purchase agreement date July 23, 2000 between Sorbtech Ltd. and
               Eurotech, Ltd.                                                                10

10.5.4         Investment Agreement entered into in May, 2000 between Amsil, Ltd. and
               Eurotech, Ltd.                                                                10

10.6.1         Form of Agreement among Eurotech, Ltd., V. Rosenband and C. Sokolinsky,
               and Ofek Le-Oleh Foundation                                                    2

10.6.2         Equity Sharing Agreement between the Company, V. Rosenband and C.
               Sokolinsky                                                                     2

10.6.3         Voting Agreement among Eurotech, Ltd., V. Rosenband and C. Sokolinsky          2

10.7.1         Investment Agreement between Eurotech, Ltd. and Chemonol, Ltd.                 2

10.7.2         Equity Sharing Agreement between the Company and Leonid Shapovalov             2

10.7.3         Voting Agreement between Eurotech, Ltd. and Leonid Shapovalov                  2

10.8.1         Agreement between Eurotech, Ltd. and Separator, Ltd.                           2

10.8.2         Equity Sharing Agreement between Eurotech, Ltd. and Efim Broide                2

10.8.3         Voting Agreement between Eurotech, Ltd. and Efim Broide                        2

10.9.1         Form of Agreement among Eurotech, Ltd., Ofek Le-Oleh Foundation and Y.
               Kopit                                                                          2

10.9.2         Equity Sharing Agreement among Eurotech, Ltd., Y. Kopit and V. Rosenband       2

10.9.3         Voting Agreement among Eurotech, Ltd., Y. Kopit and V. Rosenband               2

10.10          Form of License Agreement between the Company and ERBC Holdings, Ltd.          2

10.11.1        Cooperation Agreement between Eurotech, Ltd. and Forschungszentrum
               Julich GmbH                                                                    2

10.11.2        Agreement among Eurotech, Ltd., Forschungszentrum Julich and two other
               entities for the testing of EKOR in Germany                                    7

10.11.3        Letters of cancellation of German EKOR testing agreement                      12



                                       40
<PAGE>

10.12.1        Convertible Debenture Purchase Agreement among Eurotech, Ltd., JNC
               Opportunity Fund, Ltd. and Diversified Strategies Fund, L.P.                   2

10.12.2        Escrow Agreement among Eurotech, Ltd., JNC Opportunity Fund, Ltd. and
               Diversified Strategies Fund, L.P. and Robinson, Silverman, Pearce,
               Aronsohn & Berman, LLP                                                         2

10. 2.3        Registration rights Agreement among Eurotech, Ltd., JNC Opportunity
               Fund, Ltd. and Diversified Strategies Fund, L.P.                               2

10.12.4        Form of 8% Convertible Debenture Due November 27, 2000 issued by
               Eurotech, Ltd. to JNC Opportunity Fund, Ltd.                                   2

10.12.5        Form of 8% Convertible Debenture Due November 27, 2000 issued by
               Eurotech, Ltd. to Diversified Strategies Fund, L.P.                            2

10.12.6        Warrant No. 1 issued by Eurotech, Ltd. to JNC Opportunity Fund, Ltd.           2

10.12.7        Warrant No. 2 issued by Eurotech, Ltd. to Diversified Strategies Fund,
               L.P.                                                                           2

10.12.8        Warrant No. 3 issued by Eurotech, Ltd. to Diversified Strategies Fund,
               L.P.                                                                           2

10.13.1        Convertible Debenture Purchase Agreement between Eurotech, Ltd. and JNC
               Opportunity Fund, Ltd.                                                         2

10.13.2        Escrow Agreement among Eurotech, Ltd., JNC Opportunity Fund, Ltd. and
               Robinson, Silverman, Pearce, Aronsohn and Berman, LLP                          2

10.13.3        Registration Rights Agreement between Eurotech, Ltd. and JNC Opportunity
               Fund Ltd.                                                                      2

10.13.4        Form of 8% Convertible Debenture Due February 23, 2001 issued by
               Eurotech, Ltd. to JNC Opportunity Fund, Ltd.                                   2

10.13.5        Warrant No. 3 issued by Eurotech, Ltd. to JNC Opportunity Fund Ltd.            2

10.14.1        Debenture Purchase Agreement between Eurotech, Ltd and JNC Strategic
               Fund Ltd.                                                                      2

10.14.2        Form of 8% Convertible Debenture No.1 Due July 20, 2001 issued by
               Eurotech, Ltd. to JNC Strategic Fund Ltd.                                      3

10.14.3        Form of 8% Convertible Debenture No.2 Due February 23, 2001 issued by
               Eurotech, Ltd. to JNC Opportunity Fund, Ltd.                                   3

10.14.4        Warrant No. 4 issued by Eurotech, Ltd. to JNC Strategic Fund Ltd.              3

10.14.5        Registration Rights Agreement issued by Eurotech, Ltd. to JNC Strategic
               Fund Ltd.                                                                      3

10.14.6        Amended and Revised 8% Convertible Debenture No.1 Due February 23,
               2001issued by Eurotech, Ltd. to JNC Opportunity Fund, Ltd.                     3



                                       41
<PAGE>

10.14.7        Amended and Revised 8% Convertible Debenture No.2 Due July 20, 2001
               issued by Eurotech, Ltd. to JNC Strategic Fund Ltd.                            3

10.14.8        Amended and Revised 8% Convertible Debenture No.13 Due November 27, 2000
               issued by Eurotech, Ltd. to JNC Opportunity Fund, Ltd.                         3

10.14.9        Amended and Revised 8% Convertible Debenture No.14 due November 27, 2000
               issued by Eurotech, Ltd. to Diversified Strategies Fund, L.P.                  3

10.14.10       Agreement dated February 25, 2000 regarding conversion price                   8

10.14.11       Agreement dated February 21, 2001 regarding extension of maturity             12

10.15.1        Agreement between Eurotech, Ltd. and David Wilkes                              3

10.15.2        Secured Promissory Note issued by Eurotech, Ltd. to JNC Strategic Fund
               Ltd.                                                                           3

10.15.3        Secured Promissory Note issued by Eurotech, Ltd. to David Wilkes               3

10.15.4        Secured Promissory Note issued by Eurotech, Ltd. to David Wilkes               3

10.15.5        Escrow Agreement among the Company, JNC Strategic Fund Ltd. and Encore
               Capital Management, L.L.C.                                                     3

10.15.6        Security Agreement by Eurotech, Ltd. in favor of JNC Strategic Fund Ltd.
               and David Wilkes                                                               3

10.15.7        Warrant issued by Eurotech, Ltd. to JNC Strategic Fund Ltd.                    3

10.15.8        Warrant issued by the Company to David Wilkes                                  4

10.15.9        Form of 8% Convertible Debenture Due Three Years from Original Issue
               Date issued by Eurotech, Ltd. to JNC Strategic Fund Ltd.                       4

10.15.10       Employment Agreement between Eurotech, Ltd. and Frank Fawcett                  4

10.15.10       Disengagement Agreement between Eurotech, Ltd. and Frank Fawcett               7

10.16.1        Employment Agreement between Eurotech, Ltd. and Don V. Hahnfeldt               4

10.16.2        Revised employment agreement between Eurotech, Ltd. and Don V. Hahnfeldt       7

10.17          Agreement dated September 9, 1999 between Eurotech, Ltd. and Peter Gulko
               (acquisition of KRHL shares)                                                   5

10.18.1        Agreement dated as of November 30, 1999 between Eurotech, Ltd. and
               Kurchatov Research Holdings, Ltd.                                              7

10.18.2        Agreement dated June 20, 2000 between Eurotech, Ltd. and Advanced
               Technology Industries, Inc. (formerly Kurchatov Research Holdings, Ltd.)      10

10.19          Agreement dated as of December 15, 1999 between Eurotech, Ltd. and
               Spinneret Financial Systems, Inc.                                              7



                                       42
<PAGE>

10.20.1        Common Stock Purchase Agreement dated December 31, 1999 between
               Eurotech, Ltd. and Woodward LLC                                                7

10.20.2        Warrant issued by Eurotech, Ltd. to Woodward LLC on December 31, 1999          7

10.20.3        Registration Rights Agreement dated December 31, 1999 between Eurotech,
               Ltd. and Woodward LLC                                                          7

10.20.4        Commitment Agreement ($22,000,000) between Eurotech, Ltd. and Woodward
               LLC                                                                            7

10.20.5        Escrow Agreement dated December 31, 1999 among Eurotech, Ltd., Woodward
               LLC and Krieger & Prager                                                       7

10.20.6        Common Stock Purchase Agreement dated as of March 1, 2000 between
               Eurotech, Ltd. and Woodward LLC                                                9

10.20.7        Common Stock Purchase Agreement dated as of April 24, 2000 between
               Eurotech, Ltd. and Woodward LLC                                               10

10.20.8        Registration Rights Agreement dated as of April 24, 2000 between
               Eurotech, Ltd. and Woodward LLC                                               10

10.20.9        Warrant issued by Eurotech, Ltd. to Woodward LLC on June 22, 2000             10

10.20.10       Amendment Agreement dated June 29, 2000 between Eurotech, Ltd. and
               Woodward LLC, amending April 24, 2000 Common Stock Purchase Agreement
               and Registration Rights Agreement and December 31, 2000 Commitment
               Agreement                                                                     10

10.20.11       Amendment Agreement dated September 28, 2000 between Eurotech, Ltd. and
               Woodward LLC, amending March 1, 2000 Common Stock Purchase Agreement          11

10.20.12       Modification Agreement dated as of February 28, 2001, amending March 1
               and April 24, 2000 Common Stock Purchase Agreements                           12

10.20.13       Common Stock Purchase Agreement as of March 30, 2001 between Eurotech,
               Ltd. and Woodward LLC                                                         13

10.20.14       Registration Rights Agreement dated as of March 30, 2001 between
               Eurotech, Ltd. and Woodward LLC                                               13

10.20.15       Modification Agreement dated as of May 18, 2001, amending
               March 1, 2000, April 24, 2000, and March 30, 2001 Common
               Stock Purchase Agreements                                                      *

10.21          Technology Acquisition and Development Agreement related to Cypto.Com,
               Inc.                                                                           9

10.22.1        Investment Banking Consulting Agreement dated January 15, 2001 between
               Eurotech, Ltd. and Adolph Komorsky Investments, together with addendum
               thereto                                                                       12



                                       43
<PAGE>

10.22.2        Cancellation of Investment Banking Consulting Agreement dated March 30,
               2001 between Eurotech, Ltd. and Adolph Komorsky Investments                   13

10.23.1        Consulting Agreement as of January 18, 2001 between Eurotech, Ltd. and
               Davis Manafort, Inc.                                                          13

10.23.2        Second Consulting Agreement dated April 25, 2001 between Eurotech, Ltd.
               and Davis Manafort, Inc.                                                      13

10.24          Consulting Agreement dated April 25, 2001 between Eurotech, Ltd. and
               Harborstone Financial Group, Inc.                                             13

10.25          Consulting Agreement dated March 23, 2001 between Eurotech, Ltd. and
               Robert Tarini/ip Partners                                                     13


(for Legend, see next page)



                                       44
<PAGE>

Legend:
-------

*              Filed as an Exhibit to the current filing

1              Incorporated by reference to such Exhibit filed with our
               registration statement on Form 10 on file with the Commission,
               file number 000-22129

2              Incorporated by reference to such Exhibit filed with
               Pre-Effective Amendment No. 2 to our registration statement on
               Form S-1, File No. 333-26673, on file with the Commission

3              Incorporated by reference to such Exhibit filed with our current
               report on Form 8-K as of August 3, 1998, on file with the
               Commission

4              Incorporated by reference to such Exhibit filed with
               Post-Effective Amendment No. 1 to our registration statement on
               Form S-1, File No. 333-26673, on file with the Commission

5              Incorporated by reference to such Exhibit filed by Peter Gulko
               with his Statement on Schedule 13D

6              Incorporated by reference to such Exhibit filed with our current
               report on Form 8-K as of November 30, 1999, on file with the
               Commission

7              Incorporated by reference to such Exhibit filed with
               Post-Effective Amendment No. 2 to our registration statement on
               Form S-1, File No. 333-26673, on file with the Commission

8              Incorporated by reference to such Exhibit filed with our annual
               report on Form 10-K for the year ended December 31, 1999, on file
               with the Commission

9              Incorporated by reference to such Exhibit filed with our
               quarterly report on Form 10-Q for the quarter ended March 31,
               2000, on file with the Commission

10             Incorporated by reference to such Exhibit filed with our
               quarterly report on Form 10-Q for the quarter ended June 30,
               2000, on file with the Commission

11             Incorporated by reference to such Exhibit filed with our
               quarterly report on Form 10-Q for the quarter ended September 30,
               2000, on file with the Commission

12             Incorporated by reference to such Exhibit filed with our annual
               report on Form 10-K for the year ended December 31, 2000, on file
               with the Commission

13             Incorporated by reference to such Exhibit filed with our
               quarterly report on Form 10-Q for the quarter ended March 31,
               2001, on file with the Commission
</TABLE>


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