| [X]            | Quarterly      Report pursuant to Section 13 or 15(d) of the Securities Exchange Act of      1934 |
|----------------|---------------------------------------------------------------------------------------------------|
|           |                                                                                              |
|           | For the quarterly period      ended:  JUNE 30,      2007                                     |
|           |                                                                                              |
| [  ] | Transition      Report pursuant to 13 or 15(d) of the Securities Exchange Act of      1934        |
|           |                                                                                              |
|           | For the transition period      _________ to __________                                       |
|           |                                                                                              |
|           | Commission File      Number:  000-31042                                                 |

| NEVADA                               | 33-0843633                  |
|--------------------------------------|-----------------------------|
| (State      of other jurisdiction of | (I.R.S.      Employer       |
| incorporation      or organization)  | Identification      Number) |

| #161      – 936 Peace Portal Dr.        |            |
|-----------------------------------------------|-----------------|
| Blaine,      WA                               | 98230           |
| (Address      of principal executive offices) | (Zip      Code) |

| Registrant's      Phone: | (702)      357-8722 |
|--------------------------|---------------------|

----

Table of Contents

|                                         | TABLE OF      CONTENTS                                           |   Page |
|----------------------------------------------|------------------------------------------------------------------|------------------|
| PART I - FINANCIAL      INFORMATION     |
| Item      1.                                 | Financial      Statements                                        | 3           |
| Item      2.                                 | Plan of      Operation                                           | 4           |
| Item      3.                                 | Controls and      Procedures                                     | 8                |
|  PART II - OTHER      INFORMATION  |
| Item      1.                                 | Legal Proceedings                                                | 9           |
| Item      2.                                 | Unregistered Sales of Equity      Securities and Use of Proceeds | 9           |
| Item      3.                                 | Defaults Upon Senior      Securities                             | 10          |
| Item      4.                                 | Submission of Matters to a Vote of      Security Holders         | 10          |
| Item      5.                                 | Other      Information                                           | 10          |
| Item      6.                                 | Exhibits                                                         | 11               |

----

Table of Contents

ITEM 1.

| Our      unaudited consolidated financial statements included in this Form 10-QSB      are as follows: |       |
|--------------------------------------------------------------------------------------------------------|------------|
|                                                                                                   | Page  |
| Unaudited      Balance Sheets as of June 30, 2007                                                      | F-1        |
|                                                                                                   |       |
| Unaudited      Statements of Operations for June 30, 2007                                              | F-2        |
|                                                                                                   |       |
| Unaudited      Statements of Stockholders’ Equity for June 30, 2007                              | F-3        |
|                                                                                                   |       |
| Unaudited      Statements of Cash Flows for June 30, 2007                                              | F-4        |
|                                                                                                   |       |
| Unaudited      Notes to Financial Statements                                                           | F-5        |

----

Table of Contents

| U.S.      CANADIAN MINERALS, INC.                                                    |
|--------------------------------------------------------------------------------------|
| (A      Development Stage Company)                                                   |
| Balance      Sheets                                                                  |
|                                                                                 |   |   |   |   |   |   |   |   |   |
|                                                                                 |   |   |   |   |   |   |   |   |   |
| ASSETS                                                                               |   |   |   |   |   |
|                                                                                 |   |   |   |   |   |   |   |   |   |
|                                                                                 |   |   |   |   | June      30, |   | December      31, |
|                                                                                 |   |   |   |   | 2007 |   | 2006 |
|                                                                                 |   |   |   |   | (Unaudited) |   |   |   |
|                                                                                 |   |   |   |   |   |   |   |   |   |
| CURRENT      ASSETS                                                                  |   |   |   |   |   |   |   |
|                                                                                 |   |   |   |   |   |   |   |   |   |
|                                                                                 | Cash |   |   |   | $ |              3,905 |   | $ |              7,771 |
|                                                                                 |   |   |   |   |   |   |   |   |   |
|                                                                                 |   | Total      Current Assets |   |   |              3,905 |   |   |              7,771 |
|                                                                                 |   |   |   |   |   |   |   |   |   |
|                                                                                 |   | TOTAL      ASSETS |   | $ |              3,905 |   | $ |              7,771 |
|                                                                                 |   |   |   |   |   |   |   |   |   |
|                                                                                 |   |   |   |   |   |   |   |   |   |
| LIABILITIES AND STOCKHOLDERS' EQUITY      (DEFICIT)                                  |   |   |   |   |   |
|                                                                                 |   |   |   |   |   |   |   |   |   |
| CURRENT      LIABILITIES                                                             |   |   |   |   |   |   |   |
|                                                                                 |   |   |   |   |   |   |   |   |   |
|                                                                                 | Accounts      payable |   |   | $ |            15,218 |   | $ |                      - |
|                                                                                 |   |   |   |   |   |   |   |   |   |
|                                                                                 |   | Total      Current Liabilities |   |   |            15,218 |   |   |                      - |
|                                                                                 |   |   |   |   |   |   |   |   |   |
| STOCKHOLDERS'      EQUITY (DEFICIT)                                                  |   |   |   |   |   |   |
|                                                                                 |   |   |   |   |   |   |   |   |   |
|                                                                                 | Preferred      stock - Series A; $0.001 par value; |   |   |   |   |   |
|                                                                                 |    1,000,000      shares authorized; 527,450 shares |   |   |   |   |   |
|                                                                                 |    issued      and outstanding |   |   |                 226 |   |   |                 226 |
|                                                                                 | Common      stock - Series A; $0.001 par value; |   |   |   |   |   |
|                                                                                 |    200,000,000      shares authorized; 102,581,270 |   |   |   |   |   |
|                                                                                 |    shares      issued and outstanding |   |   |          102,581 |   |   |          102,581 |
|                                                                                 | Treasury      stock |   |   |   |              1,000 |   |   |              1,000 |
|                                                                                 | Additional      paid-in capital |   |   |     21,753,944 |   |   |     21,753,944 |
|                                                                                 | Accumulated      deficit |   |   |   |   (21,869,064) |   |   |    (21,849,980) |
|                                                                                 |   |   |   |   |   |   |   |   |   |
|                                                                                 |   | Total      Stockholders' Equity (Deficit) |   |          (11,313) |   |   |              7,771 |
|                                                                                 |   |   |   |   |   |   |   |   |   |
|                                                                                 |   | TOTAL      LIABILITIES AND STOCKHOLDERS' |   |   |   |   |   |
|                                                                                 |   |   EQUITY      (DEFICIT) |   | $ |              3,905 |   | $ |              7,771 |
|                                                                                 |   |   |   |   |   |   |   |   |   |
|                                                                                 |   |   |   |   |   |   |   |   |   |
|                                                                                 |   |   |   |   |   |   |   |   |   |
|                                                                                 |   |   |   |   |   |   |   |   |   |
|                                                                                 |   |   |   |   |   |   |   |   |   |
|                                                                                 |   |   |   |   |   |   |   |   |   |
|                                                                                 |   |   |   |   |   |   |   |   |   |
|                                                                                 |   |   |   |   |   |   |   |   |   |
|                                                                                 |   |   |   |   |   |   |   |   |   |
|                                                                                 |   |   |   |   |
| The      accompanying notes are an integral part of these financial      statements. |

----

Table of Contents

| U.S.      CANADIAN MINERALS, INC.                                                    |                            |
|--------------------------------------------------------------------------------------|---------------------------------|
| Statements      of Operations                                                        |                            |
| (Unaudited)                                                                          |                            |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   | From      Inception |   |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   | on      January 1, |   |
|                                                                                 | For      the Three Months Ended |   |   | For      the Six Months Ended |   |   | 2004      Through |   |
|                                                                                 | June      30,                   |   |   | June      30, |   |   | June      30, |   |
|                                                                                 | 2007                            |   |   | 2006 |   |   | 2007 |   |   | 2006 |   |   | 2007 |   |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| REVENUES                                                                             |                            | $ | 16,146 |   |   | $ | - |   |   | $ | 25,524 |   |   | $ | - |   |   | $ | 133,535 |   |
| COST      OF REVENUES                                                                |                            |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |
| GROSS      MARGIN                                                                    |                            |   | 16,146 |   |   |   | - |   |   |   | 25,524 |   |   |   | - |   |   |   | 133,535 |   |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| OPERATING      EXPENSES                                                              |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| General      and administrative                                                      |                            |   | 11,558 |   |   |   | 40,345 |   |   |   | 29,590 |   |   |   | 86,252 |   |   |   | 6,298,964 |   |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total      Operating Expenses                                                        |                            |   | 11,558 |   |   |   | 40,345 |   |   |   | 29,590 |   |   |   | 86,252 |   |   |   | 6,298,964 |   |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| INCOME      (LOSS) FROM OPERATIONS                                                   |                            |   | 4,588 |   |   |   | (40,345 | ) |   |   | (4,066 | ) |   |   | (86,252 | ) |   |   | (6,165,429 | ) |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| OTHER      (INCOME) AND EXPENSE                                                      |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Interest      expense                                                                |                            |   | (7,509 | ) |   |   | (7,509 | ) |   |   | (15,018 | ) |   |   | (15,018 | ) |   |   | (229,933 | ) |
| Gain      on sale of assets                                                          |                            |   | - |   |   |   | 385,604 |   |   |   | - |   |   |   | 385,604 |   |   |   | 41,889 |   |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total      Other Income (Expense)                                                    |                            |   | (7,509 | ) |   |   | 378,095 |   |   |   | (15,018 | ) |   |   | 370,586 |   |   |   | (188,044 | ) |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| LOSS      FROM CONTINUING OPERATIONS                                                 |                            |   | (2,921 | ) |   |   | 337,750 |   |   |   | (19,084 | ) |   |   | 284,334 |   |   |   | (6,353,473 | ) |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Gain      (loss) on discontinued operations                                          |                            |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | (499,096 | ) |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| NET      LOSS                                                                        |                            | $ | (2,921 | ) |   | $ | 337,750 |   |   | $ | (19,084 | ) |   | $ | 284,334 |   |   | $ | (6,852,569 | ) |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| BASIC      LOSS PER SHARE                                                            |                            | $ | (0.00 | ) |   | $ | 0.00 |   |   | $ | (0.00 | ) |   | $ | 0.00 |   |   |   |   |   |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| WEIGHTED      AVERAGE NUMBER                                                         |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|   OF      SHARES OUTSTANDING                                               |                            |   | 102,581,270 |   |   |   | 102,581,270 |   |   |   | 102,581,270 |   |   |   | 102,581,270 |   |   |   |   |   |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                 |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| The      accompanying notes are a integral part of these financials      statements. |

----

Table of Contents

| U.S.      CANADIAN MINERALS, INC.                                                    |
|--------------------------------------------------------------------------------------|
|  (A      Development Stage Company)                                             |
| Statements      of Stockholders' Equity (Deficit)                                    |
| (unaudited)                                                                          |
|                                                                                 |   |   |   |   |   |   |   |   |   |   | Additional |   |   |   |   |   |   |   |   |   |
|                                                                                 | Preferred      Stock |   | Common      Stock |   |   | Paid-In |   | Treasury |   | Accumulated |   |   |
|                                                                                 | Shares |   | Amount |   | Shares |   | Amount |   | Capital |   | Stock |   | Deficit |   | Total |
|                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Balance      at January 1, 2004                                                      |     477,500 |   |  $ |        477 |   |        1,335,448 |   |  $ |        1,336 |   |  $ |   13,808,025 |   |  $ |                 - |   |  $ |   (15,016,484) |   |  $ |   (1,206,646) |
|                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Issuance      of preferred shares                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    for      services                                                  |     114,000 |   |   |        114 |   |                       - |   |   |                - |   |   |          57,342 |   |   |                 - |   |   |                     - |   |   |          57,456 |
|                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Issuance      of common shares                                                       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    for      services                                                  |                - |   |   |             - |   |        2,838,811 |   |   |        2,839 |   |   |     1,581,658 |   |   |                 - |   |   |                     - |   |   |     1,584,497 |
|                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Issuance      of common shares for                                                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    conversion      of preferred shares                                |   (254,050) |   |   |      (254) |   |      12,985,000 |   |   |      12,985 |   |   |          (5,182) |   |   |                 - |   |   |                     - |   |   |            7,549 |
|                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Cancellation      of shares                                                          |   (140,000) |   |   |      (140) |   |            (94,500) |   |   |           (95) |   |   |               235 |   |   |                 - |   |   |                     - |   |   |                    - |
|                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Issuance      of preferred stock                                                     |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    for      acquisition of mineral rights                             |     330,000 |   |   |        330 |   |                       - |   |   |                - |   |   |      (156,746) |   |   |                 - |   |   |                     - |   |   |      (156,416) |
|                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Fractional      shares issued                                                        |                - |   |   |             - |   |                  555 |   |   |                - |   |   |            1,038 |   |   |                 - |   |   |                     - |   |   |            1,038 |
|                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Issuance      of common stock for cash                                               |                - |   |   |             - |   |        9,277,508 |   |   |        9,277 |   |   |     3,274,424 |   |   |                 - |   |   |                     - |   |   |     3,283,701 |
|                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Issuance      of common shares                                                       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    for      acquisition of mineral rights                             |                - |   |   |             - |   |      42,062,460 |   |   |      42,063 |   |   |     3,099,724 |   |   |          1,000 |   |   |                     - |   |   |     3,142,787 |
|                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Netloss      for the year ended                                                      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|   through      December 31, 2004                                           |                - |   |   |             - |   |                       - |   |   |                - |   |   |                    - |   |   |                 - |   |   |     (5,226,338) |   |   |   (5,226,338) |
|                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Balance,      December 31, 2004                                                      |     527,450 |   |   |        527 |   |      68,405,282 |   |   |      68,405 |   |   |   21,660,518 |   |   |          1,000 |   |   |   (20,242,822) |   |   |     1,487,628 |
|                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Fractional      shares issued                                                        |                - |   |   |             - |   |             53,920 |   |   |             53 |   |   |               (53) |   |   |                 - |   |   |                     - |   |   |                    - |
|                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Issuance      of common shares for                                                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    conversion      of preferred shares                                |   (301,700) |   |   |      (301) |   |      30,470,000 |   |   |      30,470 |   |   |        (30,169) |   |   |                 - |   |   |                     - |   |   |                    - |
|                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Recission      of common stock                                                       |                - |   |   |             - |   |          (850,000) |   |   |         (850) |   |   |      (878,650) |   |   |                 - |   |   |                     - |   |   |      (879,500) |
|                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Issuance      of common stock                                                        |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    for      services                                                  |                - |   |   |             - |   |             50,000 |   |   |             50 |   |   |          40,450 |   |   |                 - |   |   |                     - |   |   |          40,500 |
|                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Issuance      of common stock for cash                                               |                - |   |   |             - |   |        4,312,534 |   |   |        4,313 |   |   |        916,988 |   |   |                 - |   |   |                     - |   |   |        921,301 |
|                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Issuance      of common shares                                                       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    for      acquisition of mineral rights                             |                - |   |   |             - |   |           139,534 |   |   |           140 |   |   |          44,860 |   |   |                 - |   |   |                     - |   |   |          45,000 |
|                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      loss for the year                                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|   ended      December 31, 2005                                             |                - |   |   |             - |   |                       - |   |   |                - |   |   |                    - |   |   |                 - |   |   |        (990,715) |   |   |      (990,715) |
|                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Balance,      December 31, 2005                                                      |     225,750 |   |   |        226 |   |    102,581,270 |   |   |    102,581 |   |   |   21,753,944 |   |   |          1,000 |   |   |   (21,233,537) |   |   |        624,214 |
|                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      loss for the year                                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|   ended      December 31, 2006                                             |                - |   |   |             - |   |                       - |   |   |                - |   |   |                    - |   |   |                 - |   |   |        (616,443) |   |   |      (616,443) |
|                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Balance,      December 31, 2006                                                      |     225,750 |   |   |        226 |   |    102,581,270 |   |   |    102,581 |   |   |   21,753,944 |   |   |          1,000 |   |   |   (21,849,980) |   |   |            7,771 |
|                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      loss for the six months                                                     |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|   ended      June 30, 2007                                                 |                - |   |   |             - |   |                       - |   |   |                - |   |   |                    - |   |   |                 - |   |   |          (19,084) |   |   |        (19,084) |
|                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Balance,      June 30, 2007                                                          |     225,750 |   |  $ |        226 |   |    102,581,270 |   |  $ |    102,581 |   |  $ |   21,753,944 |   |  $ |          1,000 |   |  $ |   (21,869,064) |   |  $ |        (11,313) |
|                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| The      accompanying notes are an integral part of these financial      statements. |

----

Table of Contents

| U.S.      CANADIAN MINERALS, INC.                                                    |                          |
|--------------------------------------------------------------------------------------|-------------------------------|
| (A      Development Stage Company)                                                   |                          |
| Statements      of Cash Flows                                                        |                          |
| (unaudited)                                                                          |                          |
|                                                                                 |                          |   |   |   |   |   |   |   |   |
|                                                                                 |                          |   |   |   |   |   |   |   |   |
|                                                                                 |                          |   |   |   |   |   |   | From      Inception |   |
|                                                                                 |                          |   |   |   |   |   |   | on      January 1, |   |
|                                                                                 | For      the Six Months Ended |   |   | 2004      Through |   |
|                                                                                 | June      30,                 |   |   | June      30, |   |
|                                                                                 | 2007                          |   |   | 2006 |   |   | 2007 |   |
| CASH      FLOWS FROM   OPERATING ACTIVITIES                           |                          |   |   |   |   |   |   |   |   |
| Net      loss                                                                        |                          | $ | (19,084 | ) |   | $ | 284,334 |   |   | $ | (6,852,580 | ) |
| Discontinued      operations                                                         |                          |   | - |   |   |   | - |   |   |   | (116,663 | ) |
| Adjustments      to reconcile net loss to                                            |                          |   |   |   |   |   |   |   |   |   |   |   |
|   net      cash used by operating activities:                              |                          |   |   |   |   |   |   |   |   |   |   |   |
| Depreciation      expense                                                            |                          |   | - |   |   |   | 475 |   |   |   | 14,976 |   |
| Stock  issued      for services                                            |                          |   | - |   |   |   | - |   |   |   | 1,000,632 |   |
| Stock      based compensation                                                        |                          |   | - |   |   |   | - |   |   |   | 531,781 |   |
| Changes      in operating assets and liabilities                                     |                          |   |   |   |   |   |   |   |   |   |   |   |
| (Increase)      decrease in deposits                                                 |                          |   | - |   |   |   | (5,934 | ) |   |   | (5,227 | ) |
| Increase      (decrease) in accounts payable                                         |                          |   |   |   |   |   |   |   |   |   |   |   |
|   and      accrued expenses                                                |                          |   | 15,218 |   |   |   | (283,139 | ) |   |   | 402,118 |   |
|                                                                                 |                          |   |   |   |   |   |   |   |   |   |   |   |
| Net      Cash Used by                                                                |                          |   |   |   |   |   |   |   |   |   |   |   |
|    Operating      Activities                                          |                          |   | (3,866 | ) |   |   | (4,264 | ) |   |   | (5,024,963 | ) |
|                                                                                 |                          |   |   |   |   |   |   |   |   |   |   |   |
| CASH      FLOWS FROM INVESTING ACTIVITIES                                            |                          |   |   |   |   |   |   |   |   |   |   |   |
| Additions      to property and equipment                                             |                          |   | - |   |   |   | - |   |   |   | (1,785,299 | ) |
| Loans      made                                                                      |                          |   | - |   |   |   | - |   |   |   | (915,239 | ) |
| Proceeds      from mineral properties                                                |                          |   | - |   |   |   | - |   |   |   | 551,227 |   |
| Proceeds      from investments                                                       |                          |   | - |   |   |   | - |   |   |   | 704,783 |   |
| Additions      to investments                                                        |                          |   | - |   |   |   | - |   |   |   | (1,517,163 | ) |
|                                                                                 |                          |   |   |   |   |   |   |   |   |   |   |   |
| Net      Cash Used by Investing Activities                                           |                          |   | - |   |   |   | - |   |   |   | (2,961,691 | ) |
|                                                                                 |                          |   |   |   |   |   |   |   |   |   |   |   |
| CASH      FLOWS FROM FINANCING ACTIVITIES                                            |                          |   |   |   |   |   |   |   |   |   |   |   |
| Proceeds      from loans                                                             |                          |   | - |   |   |   | - |   |   |   | 1,664,947 |   |
| Repayment      of loans                                                              |                          |   | - |   |   |   | - |   |   |   | (140,936 | ) |
| Recission      of common stock                                                       |                          |   | - |   |   |   | - |   |   |   | (879,500 | ) |
| Proceeds      from common stock and preferred stock                                  |                          |   | - |   |   |   | - |   |   |   | 7,346,048 |   |
|                                                                                 |                          |   |   |   |   |   |   |   |   |   |   |   |
| Net      Cash Provided by                                                            |                          |   |   |   |   |   |   |   |   |   |   |   |
|    Financing      Activities                                          |                          |   | - |   |   |   | - |   |   |   | 7,990,559 |   |
|                                                                                 |                          |   |   |   |   |   |   |   |   |   |   |   |
| NET      DECREASE IN CASH                                                            |                          |   | (3,866 | ) |   |   | (4,264 | ) |   |   | 3,905 |   |
| CASH      AT BEGINNING OF PERIOD                                                     |                          |   | 7,771 |   |   |   | 6,825 |   |   |   | - |   |
|                                                                                 |                          |   |   |   |   |   |   |   |   |   |   |   |
| CASH      AT END OF PERIOD                                                           |                          | $ | 3,905 |   |   | $ | 2,561 |   |   | $ | 3,905 |   |
|                                                                                 |                          |   |   |   |   |   |   |   |   |   |   |   |
| SUPPLIMENTAL      DISCLOSURES OF                                                     |                          |   |   |   |   |   |   |   |   |   |   |   |
| CASH      FLOW INFORMATION                                                           |                          |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                 |                          |   |   |   |   |   |   |   |   |   |   |   |
| CASH      PAID FOR:                                                                  |                          |   |   |   |   |   |   |   |   |   |   |   |
| Interest                                                                             |                          | $ | - |   |   | $ | - |   |   | $ | - |   |
| Income      Taxes                                                                    |                          | $ | - |   |   | $ | - |   |   | $ | - |   |
|                                                                                 |                          |   |   |   |   |   |   |   |   |   |   |   |
| NON      CASH FINANCING ACTIVITIES                                                   |                          |   |   |   |   |   |   |   |   |   |   |   |
| Stock      issued for mineral properties                                             |                          | $ | - |   |   | $ | - |   |   | $ | 45,000 |   |
|                                                                                 |                          |   |   |   |   |   |   |   |   |   |   |   |
| The      accompanying notes are an integral part of these financial      statements. |

----

Table of Contents

----

Table of Contents

ITEM 2. 

----

Table of Contents

----

Table of Contents

----

Table of Contents

----

Table of Contents

Item 3.    

----

Table of Contents

ITEM 1.  

ITEM 2. 

----

Table of Contents

ITEM 3.

ITEM 4.

ITEM 5.   

----

Table of Contents

ITEM 6. 

| ExhibitNumber |  Description                                                                                                                                                                                |
|---------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 31.1          | Certification of Chief      Executive Officer pursuant to Securities Exchange Act Rule      13a-14(a)/15d-14(a), as adopted pursuant to Section 302 of the      Sarbanes-Oxley Act of 2002  |
| 31.2          | Certification of Chief      Financial Officer pursuant to Securities Exchange Act Rule      13a-14(a)/15d-14(a), as adopted pursuant to Section 302 of the      Sarbanes-Oxley Act of 2002  |
| 32.1          | Certification of Chief      Executive Officer and Chief Financial      pursuant to 18 U.S.C. Section 1350,      as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of      2002   |

----

Table of Contents

|   | U.S. Canadian      Minerals, Inc.                                                                                                                                                                                                                               |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   | Registrant                                                                                                                                                                                                                                                      |
|   |                                                                                                                                                                                                                                                            |
|   |                                                                                                                                                                                                                                                            |
|   | By: /s/Adam      Jenn                                        |
|   | Adam      JennChief      Executive Officer and Director                                                                                                                                                                                                         |

----

Table of Contents