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

                                FORM 10-QSB


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

                 For Quarterly Period Ended MARCH 31, 2005

                                     OR

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

      For the transition period from                to               .


                        Commission File No. 0-24259


                     AUSTRALIAN-CANADIAN OIL ROYALTIES LTD.
             ------------------------------------------------------
             (Exact Name of Registrant as Specified in its Charter)



    British Columbia, Canada                                 75-2712845
 -------------------------------                         -----------------
 (State or Other Jurisdiction of                         (I.R.S. Employer
 Incorporation or Organization)                          Identification #)


      1304 Avenue M, Cisco, TX                                 76437
 ----------------------------------------                    ----------
 (Address of Principal Executive Offices)                    (Zip Code)

                                 (254) 442-2658
               -------------------------------------------------
               Registrant's Telephone Number Including Area Code


 Indicate the number of shares outstanding of each of the issuer's classes of
 common stock, as of the latest practicable date.

        There were 10,519,944 shares of common stock, No Par Value,
                      outstanding as of April 30, 2005


Transitional Small Business Disclosure Format;  [  ] Yes     [X] No






                                     1


                   AUSTRALIAN-CANADIAN OIL ROYALTIES LTD.


                                FORM 10-QSB

                                   INDEX




                                                                         Page
                                                                         ----
Part I.   Financial Information

   Item 1.   Financial Statements

     Report on Review by Independent Certified Public Accountants  .  .    3

     Balance Sheet .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .    4

     Statement of Operations   .  .  .  .  .  .  .  .  .  .  .  .  .  .    5

     Statement of Stockholders' Equity  .  .  .  .  .  .  .  .  .  .  .    6

     Statement of Cash Flows.  .  .  .  .  .  .  .  .  .  .  .  .  .  .    7

     Selected Information Regarding the Financial Statements .  .  .  .    8

   Item 2.  Management's Discussion and Analysis and Plan of Operations   10

   Item 3:  Controls and Procedures  .  .  .  .  .  .  .  .  .  .  .  .   13


Part II:  Other information

   Item 6:   Exhibits and Reports on Form 8-K .  .  .  .  .  .  .  .  .   13


Signatures.  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .   13


Exhibits






                                      2


                      PART I.   FINANCIAL INFORMATION


Item 1.   Financial Statements




        REPORT ON REVIEW BY INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS


Board of Directors
Australian-Canadian Oil Royalties Ltd.
Cisco, Texas

We have reviewed the accompanying  balance sheet of Australian-Canadian Oil
Royalties Ltd. as of March 31, 2005, and the related statements of
operations, stockholders' equity, and cash flows for the three months ended
March 31, 2005 and 2004.  These financial statements are the responsibility
of the Company's management.

We conducted our review in accordance with the standards of the Public
Company Accounting Oversight Board (United States).  A review of interim
financial information consists principally of applying analytical procedures
and making inquiries of Company personnel responsible for financial and
accounting matters.  It is substantially less in scope than an audit in
accordance with the auditing standards of the Public Company Accounting
Oversight Board (United States), the objective of which is the expression of
an opinion regarding the financial statements taken as a whole.
Accordingly, we do not express such an opinion.

Based on our review, we are not aware of any material modifications that
should be made to the accompanying interim financial statements for them to
be in conformity with accounting principles generally accepted in the United
States.

We have previously audited, in accordance with the auditing standards of the
Public Company Accounting Oversight Board (United States), the balance sheet
of the Company as of December 31, 2004, and the related statements of
operations, changes in stockholders' equity, and cash flows for the year
then ended (not presented herein); and, in our report dated March 24, 2005,
we expressed an opinion on those financial statements that was qualified
with respect to the Company's ability to continue as a going concern.  In
our opinion, the information set forth in the accompanying  balance sheet as
of December 31, 2004 is fairly stated in all material respects in relation
to the balance sheet from which it has been derived.



  /s/ Robert Early & Company, P.C.
----------------------------------
Robert Early & Company, P.C.
Abilene, Texas

May 3, 2005

                                     3

                    AUSTRALIAN-CANADIAN OIL ROYALTIES LTD.
                                BALANCE SHEETS

                                                      March 31,   December 31,
                                                         2005        2004
                                                     -----------   ----------
                                                     (Unaudited)

                                 ASSETS
CURRENT ASSETS
   Cash and cash equivalents                         $    20,751   $    9,803
   Cash equivalents, restricted                        1,000,000    1,000,000
   Royalties receivable                                    2,885        4,101
   Prepaid expenses and other                                289        2,574
                                                     -----------   ----------
      Total Current Assets                             1,023,925    1,016,478
                                                     -----------   ----------
PROPERTY AND EQUIPMENT
   Oil and gas properties                                887,784      832,439
   Office equipment and software                          18,421       18,421
   Accumulated depreciation and depletion                (42,286)     (39,222)
                                                     -----------   ----------
      Total Property and Equipment                       863,919      811,638
                                                     -----------   ----------
OTHER ASSETS
   Investment in Cooper Basin Oil & Gas, Inc.                154          154
                                                     -----------   ----------

TOTAL ASSETS                                         $ 1,887,998   $1,828,270
                                                     ===========   ==========

                    LIABILITIES AND STOCKHOLDERS' EQUITY

CURRENT LIABILITIES
   Accounts payable, trade                           $    28,667   $    4,025
   Accrued interest payable                                1,705          974
   Loans from officers                                   101,465       20,000
   Notes payable to bank                               1,000,000    1,000,000
                                                     -----------   ----------
      Total Current Liabilities                        1,131,837    1,024,999
                                                     -----------   ----------
STOCKHOLDERS' EQUITY
  Common stock (50,000,000 shares authorized; no
   par value; 10,519,944 and 10,484,944 shares
   issued/outstanding, respectively)                   1,603,372    1,592,572
  Additional paid in capital                              83,347       82,547
  Accumulated deficit                                   (923,477)    (871,850)
  Stock issued for deferred services                      (7,083)          -
  Other comprehensive income:
   Foreign currency translation adjustment                     2            2
                                                     -----------   ----------
      Total Stockholders' Equity                         756,161      803,271
                                                     -----------   ----------

TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY           $ 1,887,998   $1,828,270
                                                     ===========   ==========


See accompanying selected information.
                                      4

                    AUSTRALIAN-CANADIAN OIL ROYALTIES LTD.

                           STATEMENTS OF OPERATIONS
             For the Three Months Ended March 31, 2005 and 2004
                                (Unaudited)


                                                         2005         2004
                                                     -----------   -----------
OIL AND GAS REVENUES                                 $     2,303   $     1,679

COST OF SALES
   Production taxes                                           38            25
   Lease operating expenses                                2,599            -
   Depletion                                               1,529           478
                                                     -----------   -----------
   GROSS PROFIT                                           (1,863)        1,176
                                                     -----------   -----------
OPERATING EXPENSES
   Personnel costs                                        24,527        15,609
   Professional fees                                       3,922           118
   Promotion and advertising                               8,616         1,362
   Excess oil and gas costs                                   -            964
   Office expenses                                         2,575         3,643
   Depreciation                                            1,535            -
   Other                                                   2,479         3,293
                                                     -----------   -----------
      Total Operating Expenses                            43,654        24,989
                                                     -----------   -----------
OPERATING LOSS                                           (45,517)      (23,813)

OTHER INCOME/(EXPENSE)
   Interest and dividends                                  3,331           808
   Interest expense                                       (9,083)       (2,084)
                                                     -----------   -----------
NET LOSS BEFORE INCOME TAXES                             (51,269)      (25,089)

   Australian income taxes                                   358           339
                                                     -----------   -----------
NET LOSS                                             $   (51,627)  $   (25,428)
                                                     ===========   ===========


BASIC (LOSS) PER COMMON SHARE                        $     (0.00)  $     (0.00)
                                                     ===========   ===========

WEIGHTED AVERAGE NUMBER OF COMMON
   SHARES OUTSTANDING:
         Basic                                        10,495,222     7,832,428
                                                     ===========   ===========






See accompanying selected information.
                                    5

<TABLE>
<CAPTION>
                   AUSTRALIAN-CANADIAN OIL ROYALTIES LTD.
                     STATEMENT OF STOCKHOLDERS' EQUITY
                 For the Three Months Ended March 31, 2005
                                (Unuadited)



                                                                                    Accumulated
                                                                                      Other
                                                    Additional                        Compre-
                                    Common Stock      Paid In   Accumulated Deferred   hensive
                                  Shares    Amount    Capital    (Deficit)  Services   Income      Total
                               ---------- ---------- ---------  ----------  --------  ---------  --------
<S>                            <C>        <C>        <C>        <C>         <C>       <C>        <C>

BALANCES, December 31, 2004    10,484,944 $1,592,572 $  82,547  $ (871,850) $     -   $       2  $803,271


Stock issued for services          35,000     10,800        -           -     (7,500)        -      3,300

Additional contributed capital         -          -        800          -         -          -        800

Net loss                               -          -         -      (51,627)      417         -    (51,210)

Other comprehensive income:
  Foreign currency translation
    adjustment                         -          -         -           -         -          -         -
                               ---------- ---------- ---------  ----------  --------  ---------  --------

BALANCES, March 31, 2005       10,519,944 $1,603,372 $  83,347  $ (923,477) $ (7,083) $       2  $756,161
                               ========== ========== =========  ==========  ========  =========  ========













</TABLE>



See accompanying selected information.
                                    6

                  AUSTRALIAN-CANADIAN OIL ROYALTIES LTD.
                         STATEMENTS OF CASH FLOWS
             For the Three Months Ended March 31, 2005 and 2004
                                (Unaudited)


                                                         2005          2004
                                                     -----------   -----------
CASH FLOWS (USED IN) OPERATING ACTIVITIES
  Net (loss)                                         $   (51,627)  $   (25,428)
  Adjustments to reconcile net (loss) to cash
  (used in) operating activities:
    Depreciaton, depletion and amortization                3,064           478
    Excess oil and gas costs                                  -            964
    Expenses contributed by officer                          800           600
    Stock issued for expenses                              3,717         2,290
  Changes in operating assets and liabilities:
    Royalties receivable                                   1,216         1,563
    Prepaids and other                                     2,285          (185)
    Accounts payable and accrued expenses                 25,373        75,195
                                                     -----------   -----------

  Net Cash (Used In) Operating Activities                (15,172)       55,477

CASH FLOWS FROM INVESTING ACTIVITIES
     Purchase of oil and gas interest                    (55,345)      (75,000)

CASH FLOWS FROM FINANCING ACTIVITIES
    Loans from officers                                   81,465        20,000
                                                     -----------   -----------

   NET INCREASE IN CASH                                   10,948           477

      CASH, BEGINNING OF PERIOD                            9,803        16,931
                                                     -----------   -----------

CASH, END OF PERIOD                                  $    20,751   $    17,408
                                                     ===========   ===========


SUPPLEMENTAL CASH FLOW INFORMATION:

Interest and Income Taxes Paid
   Income taxes                                      $        16   $       305
   Interest expense                                        8,352         4,090

Non-Cash Transactions
   Contributed services and office space                     800           600
   Stock issued for oil and gas costs                         -             -
   Stock issued for Notes payable and interest                -        111,340
   Stock issued for services                              10,800            -





See accompanying selected information.
                                      7

                   AUSTRALIAN-CANADIAN OIL ROYALTIES LTD.
               SELECTED INFORMATION FOR FINANCIAL STATEMENTS
                                (Unaudited)

                               March 31, 2005



NOTE 1:   BASIS OF PRESENTATION

The accompanying unaudited consolidated financial statements have been
prepared in accordance with generally accepted accounting principles for
interim financial information and with the instructions of Regulation S-B.
They do not include all information and footnotes required by generally
accepted accounting principles for complete financial statements.  However,
except as disclosed herein, there has been no material change in the
information included in the Company's Report on Form 10-SB for the year
ended December 31, 2004.  In the opinion of Management, all adjustments
(consisting of normal recurring accruals) considered necessary for a fair
presentation have been included.  The report of Robert Early and Company,
P.C. commenting on their review accompanies the  financial statements
included in Item 1 of Part 1.  Operating results for the three-month period
ended March 31, 2005, are not necessarily indicative of the results that may
be expected for the year ending December 31, 2005.


NOTE 2:   GOING CONCERN CONSIDERATIONS

The Company neither has sufficient cash on hand nor is it generating
sufficient revenues to cover its operating overhead.  These facts raise
doubt as to the Company's ability to continue as a going concern.  The
Company has operated over the past year based on loans/stock purchases from
its officers.  There is no guarantee that such officers will continue to
provide operating funds for the Company.  In order to pursue its goals and
commitments under the Australian concession prospects that it has obtained,
the Company will be required to obtain significant funding or to exchange
all or portions of its interests in those concessions to meet the minimum
expenditure requirements underlying the concessions.  Management's plans
include attempting to find a drilling company to farm out the working
interests under the concessions, raising funds from the public through a
stock offering, and attempting to acquire additional producing interests in
exchange for stock.  Management intends to make every effort to identify and
develop sources of funds.  There is no assurance that Management's plans
will be successful.


NOTE 3:   CONTRIBUTED EXPENSES

Officers of the Company have not been paid for their services. Additionally,
the Company has not established an office separate from that of its
officers.  The value of the officers' unpaid services has been estimated at
$400 and $300 for the first quarter of 2004 and 2003, respectively.  The
value of office space utilization has also been estimated at $400 and $300
for the first quarter of 2004 and 2003.  These costs have been recorded as
expenses and as additional capital.



                                      8

NOTE 4:   STOCK TRANSACTIONS

During February and March 2005, the Company issued 35,000 restricted common
shares to two unrelated persons in payment for a promotional services valued
at a total of $10,800.  One of these transactions, valued at $7,500, called
for the provision of these services over a three-year period.  As a result,
deferred services has been recognized for the remaining balance which will
be amortized over the remaining period of the services. In addition, the
Board of Directors has approved a contract for management services being
provided to the Company.  Compensation under this contract is to be paid
with restricted shares equal to 1% of the outstanding shares.  One-fourth of
the estimated value of this contract has been accrued in the first quarter.


NOTE 5:   AUSTRALIAN CONCESSIONS

During the first quarter of 2005, the Company paid its portion of leasing
fees on VIC/P60 and its portion of initial seismic costs related to starting
the seismic programs on PELs 108 and 112.


NOTE 6:   RELATED PARTY TRANSACTIONS

As noted in the Company's Form 10-KSB for the year ended December 31, 2003,
the Company acquires personnel services from and reimburses related parties
for administrative and other general operating expenses on an ongoing basis.

During the first quarter of 2005, the Company paid $13,844 for personnel
costs and other expenses to related parties, primarily Secretarial Services,
Inc. and Tensleep Oil and Production, Inc.  In addition, the Company
reimbursed Australian Grazing & Pastoral Pty., Ltd. for Australian legal
fees and licensing costs incurred on the Company's behalf.  Robert Kamon,
the Company's Secretary controls these entities.

The Company borrowed $81,465 from its President and Secretary during the
first quarter of 2005 to meet its operating expenses and its exploration
obligations.


NOTE 7:   SUBSEQUENT EVENTS

During April 2005, the Company sold 8.5% working interest out of its 50% in
PELs 108, 109, and 112 for a total of $338,500 to Robert Kamon, Jan
Soleimani, and Cheri Pink, Inc.  These funds were in turn used to pay the
Company's portion of seismic exploration costs on PELs 108 and 112.











                                     9

Item 2.   Management's Discussion and Analysis and Plan of Operations

General Discussion:

Management is pleased to report that ACOR is being transformed into an oil
exploration Company because of several exciting events.  These include the
giant oil discoveries adjoining PEL 112 to the East producing approximately
$68 million per year in settled production, the price of crude oil being
above $US50 per barrel, and the 52% success rate for "Wildcat" exploration
drilling by new junior oil companies in the Cooper/Eromanga Basin.

ACOR holds approximately 7,650,352 net working interest acres in the most
prolific basins in Australia.  These are  located onshore in the
Cooper/Eromanga Basin and offshore in the Gippsland Basin.  ACOR's
President, instructed management to hire the best available seismic and
geophysical team in the Cooper/Eromanga Basin in order to begin a detailed
exploration program on PELs 108 and 112.  ACOR hired Andy McGee, a highly
respected geophysicist and Steven Tobin of Terrex Seismic.  A crew of
approximately 35 personnel will be working this spring and summer to perform
the shooting and interpreting of 190 kilometers of seismic on PELs 108 and
112.  ACOR is very excited about the current prospects mapped on PEL 112 and
Mr. McGee and Mr. Tobin had valuable suggestions to help ACOR shoot seismic
on the best prospects on PELs 108 and 112.

ACOR management has been granted a variance that will allow ACOR to take the
seismic money pledged on all three areas and spend the majority to shoot 155
kilometers of seismic on PEL 112 and 35 kilometers of seismic on PEL 108.
Because of the excellent talent that ACOR has hired to explore PEL 108 and
112, the South Australian Government has also agreed to allow ACOR to keep
PEL 109 for possible exploration at a later date.

Adjoining PEL 112 to the North, the Christies Oil Field has produced
approximately 1,554 barrels of oil per day from three wells and the Sellicks
well is producing approximately $2.1 million per year.  Adjoining PEL 112 to
the east, the Worrior Oil Field is producing approximately $5,690,200 per
month or approximately $68,270,400 per year.

ACOR owns a 41.5% working interest under PEL's 108, 109 and 112.

ACOR owns a 25% working interest in VIC/P60 ("Permit 60").  Permit 60 is
located in the Gippsland Basin and consists of 339,769 acres.  In excess of
four billion barrels oil/condensate and 12 TCF gas reserves have been
discovered in the basin since exploration drilling began in 1964.  Mr. Roy
Whiting, an expert geophysicist is now working full time on seismic
interpretation for Permit 60.  Mr. Whiting has reported to ACOR management
that he has already identified several structures on Permit 60 that were
possibly overlooked by the Australian Government.

ACOR owns a 1/20th of 1% overriding royalty interest under VIC/P54.  The
drilling of the Longtom #3 as an appraisal well is expected in September
2005 using the Ocean Patriot drilling rig.  The drilling program will ensure
the rapid appraisal of the field which, if successful, will lead to its
early development.  The well will be designed such that it can be suspended
as a future commercial gas producer that can be rapidly brought into
production. Final permeability results from the core recovered from the
Longtom #2 appraisal well were very positive.  Nexus Energy Ltd.'s analysis
indicates that the upper sands at Longtom should flow at commercial rates in

                                     10

an appropriately drilled and completed well.  Mapping and engineering
studies indicate that the Longtom Field contains commercial quantities of
gas with large potential for reserves.

Nexus has revised the estimated recoverable gas volume based on geological
data obtained from the Longtom #2 well (including the core data recovered
from the sidetrack).  Current indications (based on the successful Longtom
#2 appraisal well) are that estimated potential proved + probable
recoverable gas volumes in the Longtom field could be in excess of 300 BCF,
with estimated potential proved, probable and possible gas volumes of up to
500 BCF.  The objectives of the Longtom #3 well are to confirm the
commercial gas flow and reserve potential of the upper sands of the
reservoir and the lateral extent of the lower sands by drilling horizontally
through the reservoir.

ACOR owns a 3/10th of 1% overriding royalty interest in PEL 88.  Cooper
Energy, the operator of PEL 88, is scheduled to spud the Kitson-1 well
approximately May 15th.  It is expected to take 18 days to reach the planned
total depth of 2,205 meters.  The well is projected to cost $1.8 million.
The Kitson-1 exploration well has estimated undiscovered mean reserves of 5
million barrels of oil.  The Kitson-1 is located approximately 200 km north-
northeast of Moomba in South Australia.  The Kitson prospect consists of a
large two fault closed structure. At its crest, it contains two four-way dip
closed structures.  Five zones, the Namur, Birkhead, Hutton, Poolowanna and
Tinchoo formations, have been identified by seismic analysis as potential
production and are targeted. Should a reservoir be discovered in the Namur,
then the fault closed structure is estimated to contain recoverable oil
reserves in the range between 5 to 42 million barrels, with an estimated
mean of 20 million barrels.  Cooper Energy CEO, Mike Scott, said the
company's exploration portfolio always has room for a few high-risk/reward
wells like the Kitson which have the possibility of discovering up to an
estimated 42 million recoverable barrels in a single reservoir plus the
enormous upside of discovering multiple reservoir zones.  This undoubtedly
has to be classed as a possible company-making target.  Should a discovery
be made at Kitson, there is an even larger target on PEL 88 - the Lancier
Prospect.  The Lancier lies 15 km to the west of the Kitson and Cooper
intends to follow up on it as soon as feasibly possible following a success
on Kitson.

ACOR owns a 1/10th of 1% overriding royalty interest in PEL 115.  The
Mirage-1 in South Australia's Cooper Basin has stabilized at a flow rate of
275 barrels of oil per day.  Spudding of the Mirage-2 development well is
expected in July.  The interpreted recoverable oil reserves for the Mirage
Oil Field is estimated at between 1.3 million to 2.3 million barrels.
Mirage-1 flowed clean oil at a rate of 372 barrels of oil per day on a 1/2
inch choke during the "clean-up" production test phase.

Australia is a "hot spot" for oil and gas exploration and is positioned for
possible "Company-Maker" discoveries.


Liquidity and Capital Resources

The principal assets of ACOR are oil and gas properties, reported at
$887,784 on March 31, 2005.  The Total Current Assets increased from March
31, 2004 to March 31, 2005.  The Company's Total Current Assets as of March
31, 2005, was $1,887,988 with Total Current Liabilities of $1,131,837,

                                     11

giving a liquidity ratio of 1.67 to 1.0. The Company's cash position was
$1,020,751 on March 31, 2005 compared to $1,009,803 and $770,604 on December
31, 2004 and March 31, 2004, respectively, although a portion of the cash
was restricted as to use at each of these dates.  The Company continues to
have no long-term debt.

Stockholders' Equity decreased when comparing March 31, 2005 ($756,477) to
December 31, 2004 ($803,271) and March 31, 2004 ($770,604).

Management believes that its current cash balance is sufficient to fund
immediate administrative needs. However, long-term plans are will require
significant additional capital and there is no assurance that the Company
will be able to obtain such funds or to obtain the required capital on terms
acceptable to the Company. In late April, the Company sold 8.5% of its 50%
working interest under PELs 108, 109 and 112 to three stockholders to pay
their portion of seismic costs ($338,500).

The Company plans to farm out interests in oil and gas concessions that it
acquires in order to pay for exploration costs such as seismic and drilling.
The Company may also satisfy its future capital requirements by selling the
Company's common stock.  If unable to obtain financing from the sale of its
securities or some other source, the Company may not be able to achieve some
of its future goals.


Results of Operations

Oil and gas revenues increased when comparing the three months ended March
31, 2005 ($2,303) to the three months ended  March 31, 2004 ($1,679).  These
fluctuations in revenues are primarily due to changes in production, the
price of oil, and production expenses.  Total Operating Expenses were
$43,654 for the three months ended March 31, 2005 compared to $24,989 for
the quarter ended March 31, 2004.  The principal reasons for the increase is
due to personnel, advertising and associated costs.

The Company's operating loss was $45,517 for the quarter ended March 31,
2005 compared to an operating loss of $23,813 for the same period in 2004.
The net loss for the three months ended March 31, 2005 was $51,627 compared
to a net loss of $25,428 for the quarter ended March 31, 2004.  The increase
in net loss is attributable, as described in the paragraph above, as
principally personnel, advertising and associated costs.


Disclosure Regarding Forward-Looking Statements

The forward-looking statements in this Form 10-QSB reflect the Company's
current views with respect to future events and financial performance.
These forward-looking statements are subject to certain risks and
uncertainties that could cause actual results to differ from those
anticipated.  In the Form 10-QSB, the wordsS"anticipates," "believes,"
"expects," "intends," "future" and similar expressions identify forward-
looking statements.  The Company undertakes no obligation to publicly revise
these forward-looking statements to reflect events or circumstances that may
arise after the date hereof.  All subsequent written or oral forward-looking
statements attributable to the Company or persons acting on its behalf are
expressly qualified in their entirety by this section.


                                     12

Item 3:   Controls and Procedures

  (a) Within the 90-day period prior to the date of this report, the
      Corporation carried out an evaluation, under the supervision and with
      the participation of the Company's management, including the
      Corporation's Chief Executive Officer and Chief Financial Officer, of
      the effectiveness of the design and operation of the Company's
      disclosure controls and procedures pursuant to Rule 13a-14 of the
      Securities Exchange Act of 1934, as amended (the "Exchange Act").
      Based on that evaluation, the Chief Executive Officer and the Chief
      Financial Officer concluded that the Corporation's disclosure controls
      and procedures are effective in timely alerting them to material
      information relating to the Corporation required to be included in the
      Corporation's Exchange Act filings.

  (b) There have been no significant changes in the Corporation's internal
      controls or in other factors that could significantly affect its
      internal controls subsequent to the date the Corporation carried out
      its evaluation.


                        PART II.  OTHER INFORMATION

Item 6.  Exhibits and Reports on Form 8-K

  Exhibit 31.1 -- Certification of President and Chief Executive Officer
                  pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

  Exhibit 31.2 -- Certification of Secretary and Chief Financial Officer
                  pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

  Exhibit 32   -- Certification of Chief Executive Officer and Chief
                  Financial Officer pursuant to Section 906 of the Sarbanes-
                  Oxley Act of 2002


  Reports on Form 8-K --     None



                                 SIGNATURES

In accordance with the requirements of the Exchange Act, the registrant
caused this report to be signed on its behalf by the undersigned, thereunto
duly authorized.

                                 Australian-Canadian Oil Royalties Ltd.


Date: May 13, 2005                /s/  ROBERT KAMON
                                 -------------------------------
                                 By: Robert Kamon, Secretary and
                                 Principal Financial Officer






                                     13