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

                                   FORM  10-QSB

              (X)  QUARTERLY  REPORT  UNDER  SECTION  13  OR  15(d)  OF  THE
                         SECURITIES  EXCHANGE  ACT  OF  1934

                For  the  quarterly  period  ended  December  31,  2004

             ( ) TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE
                            SECURITIES EXCHANGE ACT

         For  the  transition  period  from              to
                                             -----------    -------------

                        COMMISSION  FILE  NUMBER  000-50541

                         DRAGON  GOLD  RESOURCES,  INC.
             (Name  of  small  business  issuer  in  its  charter)

                 NEVADA                                   88-0507007
 (State  of  incorporation  or  organization)     (IRS  Identification  No.)

                                 338  Euston  Road
                                 London  NW1  3BT
                                       UK
                    (Address  of  principal  executive  offices)

                              +44  (0)  207  416  4920
                           (Issuer's  telephone  number)

     Check  whether  the  issuer  (1)  filed all reports required to be filed by
Section  13  or 15(d) of the Exchange Act during the past 12 months (or for such
shorter  period  that the registrant was required to file such reports), and (2)
has  been  subject to such filing requirements for the past 90 days. Yes   X
No                                                                       -----
   ----

     51,096,724  shares  of  issuer's  common  stock,  $.001  par  value,  were
outstanding  as  of  February  6, 2005. The Company has no other class of common
equity.

Transitional  Small  Business  Disclosure  Format  (Check  One)  Yes    No  X
                                                                    ----  ----

<PAGE>

                          PART  I.  FINANCIAL  INFORMATION

Dragon  Gold  Resources,  Inc.
(formerly  Folix  Technologies,  Inc.)
(An  Exploration  Stage  Company)
(Unaudited)

                                                                    Index

Consolidated  Balance  Sheets                                         F-1

Consolidated  Statements  of  Operations                              F-2

Consolidated  Statements  of  Cash  Flows                             F-3

Notes  to  the  Consolidated  Financial  Statements                   F-4

<PAGE>

Dragon  Gold  Resources,  Inc.
(formerly  Folix  Technologies,  Inc.)
(An  Exploration  Stage  Company)
Consolidated  Balance  Sheets
(expressed  in  U.S.  dollars)

<TABLE>
<CAPTION>

                                                                December 31,     March 31,
                                                                   2004            2004
                                                                     $               $
                                                                (Unaudited)      (Audited)
<S>                                                                 <C>             <C>
Assets

Current Assets

Cash                                                                   38,303     101,029
Prepaid expenses and deposits                                           4,240           -
------------------------------------------------------------------------------------------
Total Current Asset                                                    42,543     101,029
------------------------------------------------------------------------------------------
Intangible Assets (Note 3)                                             13,751           -
Plant and Equipment (Note 4)                                            4,979

Total Assets                                                           61,273     101,029

Liabilities and Stockholders' Equity

Current Liabilities

Accounts payable                                                        5,626       1,478
Accrued liabilities                                                     4,000      10,176
Due to related parties (Note 6(a))                                      1,813       6,388
------------------------------------------------------------------------------------------
Total Current Liabilities                                              11,439      18,042
------------------------------------------------------------------------------------------
Commitments (Note 1 and 10)

Stockholders' Equity

Common Stock, 500,000,000 common shares authorized with a par value
of $0.001, 50,896,794 and 50,396,794 common shares issued and
outstanding, respectively                                              50,897      50,397

Additional Paid In Capital                                            424,972      60,472

Deficit Accumulated During the Exploration Stage                     (426,035)    (27,882)
------------------------------------------------------------------------------------------
Total Stockholders' Equity                                             49,834      82,987
------------------------------------------------------------------------------------------
Total Liabilities and Stockholders' Equity                             61,273     101,029
------------------------------------------------------------------------------------------

</TABLE>

                                      F-1
    (The accompanying notes are an integral part of the financial statements)

<PAGE>

Dragon  Gold  Resources,  Inc.
(formerly  Folix  Technologies,  Inc.)
(An  Exploration  Stage  Company)
Consolidated  Statements  of  Operations
(expressed  in  U.S.  dollars)
(Unaudited)

<TABLE>
<CAPTION>

                                                                                                  Accumulated
                                                                                                      From
                                                                                                  December 13,
                                                Three Months Ended     Nine Months Ended          2000 (Date of
                                            ----------------------------------------------------   Inception) to
                                             December 31, December 31,  December 31, December 31, December 31,
                                               2004          2003         2004          2003          2004
                                                 $             $            $            $              $
<S>                                             <C>           <C>          <C>          <C>            <C>
Revenue                                             -             -             -             -           -
------------------------------------------------------------------------------------------------------------
Expenses
     Accounting  and  audit                     8,000             -        11,300             -      11,300
     Amortization                               1,286             -         1,598             -       1,598
     Consulting  (Note  6(b))                  53,614             -        93,414             -      93,414
     Foreign  exchange                            330             -           903             -         903
     General  and  administrative                 385             -        10,561             -      10,561
     Legal  and  organizational                 7,767             -        28,374             -      28,374
     Mineral  property  costs                       -             -       184,579             -     184,579
     Rent  and  utilities                      13,021             -        19,141             -      19,141
     Travel  and  promotion                    21,347             -        28,489             -      28,489
------------------------------------------------------------------------------------------------------------
Total Expenses                                105,750             -       378,359             -      378,359
------------------------------------------------------------------------------------------------------------
Net Loss Before Discontinued Operations      (105,750)            -      (378,359)            -     (378,359)

Discontinued operations (Note 9)                    -        (6,089)      (19,794)      (13,952)     (47,676)
------------------------------------------------------------------------------------------------------------
Net Loss for the Period                      (105,750)       (6,089)     (398,153)      (13,952)    (426,035)
------------------------------------------------------------------------------------------------------------
Net Loss Before Discontinued Operations             -             -         (0.01)            -
Net Loss From Discontinued Operations               -             -             -             -
Net Loss Per Share - Basic and Diluted              -             -         (0.01)            -
------------------------------------------------------------------------------------------------------------
Weighted Average Shares Outstanding        50,897,000    46,893,000    53,391,000    46,690,000
------------------------------------------------------------------------------------------------------------

</TABLE>

                                      F-2
    (The accompanying notes are an integral part of the financial statements)

<PAGE>

Dragon  Gold  Resources,  Inc.
(formerly  Folix  Technologies,  Inc.)
(An  Exploration  Stage  Company)
Consolidated  Statements  of  Cash  Flows
(expressed  in  U.S.  dollars)
(Unaudited)

<TABLE>
<CAPTION>

                                                                Nine Months    Nine Months
                                                                   Ended          Ended
                                                                December 31,   December 31,
                                                                   2004           2003
                                                                     $             $
<S>                                                                 <C>           <C>
Cash Flows to Operating Activities

Net loss for the period                                          (398,153)   (13,952)

Adjustments to reconcile net loss to net cash used
In operating activities
Amortization                                                        1,598          -
Mineral property costs                                            165,000          -

Change in operating assets and liabilities
(Increase) in deposits and prepaid expenses                        (4,240)      (765)
(Decrease) in accounts payable and accrued liabilities             (2,028)      (250)
(Decrease) in amounts due to related parties                       (4,575)       709
-------------------------------------------------------------------------------------
Net Cash Used in Operating Activities                            (242,398)   (14,258)
-------------------------------------------------------------------------------------
Cash Flows from Investing Activities

Purchase of property and equipment                                 (5,328)
Purchase of intangible assets                                     (15,000)         -
-------------------------------------------------------------------------------------
Net Cash Used in Investing Activities                             (20,328)         -
-------------------------------------------------------------------------------------
Cash Flows from Financing Activities

Proceeds from related party loan                                        -     10,008
Proceeds from issuance of common shares                           200,000      5,000
-------------------------------------------------------------------------------------
Net Cash Provided by Financing Activities                         200,000     15,008
-------------------------------------------------------------------------------------
Increase (decrease) in cash                                       (62,726)       750

Cash - beginning of period                                        101,029         87
-------------------------------------------------------------------------------------
Cash - end of period                                               38,303        837
-------------------------------------------------------------------------------------

Non-Cash Financing Activities
Issuance of common stock for acquisition of subsidiary            165,000          -
Issuance of common stock for settlement of related party loans          -      7,708
Cancellation of common stock                                      (16,400)         -
-------------------------------------------------------------------------------------
Supplemental Disclosures

Interest paid                                                           -          -
Income tax paid                                                         -          -

</TABLE>

                                       F-3
    (The accompanying notes are an integral part of the financial statements)

<PAGE>

Dragon  Gold  Resources,  Inc.
(formerly  Folix  Technologies,  Inc.)
(An  Exploration  Stage  Company)
Notes  to  the  Consolidated  Financial  Statements
(expressed  in  U.S.  dollars)
(Unaudited)

1.   Development  Stage  Company
     Dragon  Gold  Resources, Inc. (the "Company") was incorporated in the State
     of  Nevada, U.S.A. on December 13, 2000 under the name "Folix Technologies,
     Inc."  Effective June 14, 2004, the Company changed its name to Dragon Gold
     Resources,  Inc.  The Company's principal business was the development of a
     Linux  based  application  server and thin client computing systems. During
     the  nine  month  period  ending December 31, 2004, the Company entered the
     mineral  resource  exploration  business  through the acquisition of a 100%
     interest  in  Dragon  Minerals  Holdings  Inc.  ("DMHI"), a private British
     Virgin Island company. DMHI is involved in mineral property acquisition and
     exploration  in  China.  Refer  to  Note  4.

     The Company was previously in the development stage as defined by Statement
     of Financial Accounting Standard ("SFAS") No.7 "Accounting and Reporting by
     Development  Stage  Enterprises"  related  to its Linux based business. The
     Company  changed  to  the  exploration  stage  during  the  period with the
     acquisition  of  its interest in Dragon Minerals Holdings, Inc. The Company
     has  not  presently  determined  whether  its  properties  contain  mineral
     reserves that are economically recoverable. These financial statements have
     been  prepared  on  a  going  concern basis, which implies the Company will
     continue  to realize its assets and discharge its liabilities in the normal
     course  of  business.  The  Company  has  never  generated  revenues  since
     inception and has never paid any dividends and is unlikely to pay dividends
     or  generate  earnings  in  the  immediate  or  foreseeable  future.  The
     continuation  of  the  Company  as  a  going  concern is dependent upon the
     continued  financial  support  from  its  shareholders,  the ability of the
     Company  to obtain necessary equity financing to continue operations and to
     determine  the  existence,  discovery  and  successful  exploitation  of
     economically  recoverable reserves in its resource properties, confirmation
     of the Company's interests in the underlying properties, and the attainment
     of  profitable  operations.  As  at  December  31  2004,  the  Company  has
     accumulated  losses of $426,035 since inception. These financial statements
     do  not include any adjustments to the recoverability and classification of
     recorded  asset  amounts  and  classification  of liabilities that might be
     necessary  should  the  Company  be  unable to continue as a going concern.
     These  factors  raise  substantial doubt regarding the Company's ability to
     continue  as  a  going  concern

     During  the prior fiscal year, the Company raised $100,000 from an offering
     under  an  SB-2 Registration Statement that was declared effective December
     19,  2003.  During  the  three  month period ending September 30, 2004, the
     Company  sold  400,000  common  shares  for  cash  proceeds  of  $200,000.

2.   Summary  of  Significant  Accounting  Policies
     (a)  Basis  of  Presentation
          These  financial  statements  and  related  notes  are  presented  in
          accordance with accounting principles generally accepted in the United
          States, and are expressed in US dollars. The Company's fiscal year end
          is  March  31.  These financial statements include the accounts of the
          Company and its wholly-owned subsidiary, Dragon Minerals Holdings Inc.
          ("DMHI").  Dragon  Minerals Inc. is a wholly owned subsidiary of DMHI.
          During the three months ended December 31, 2004, DMHI formed three new
          wholly  owned  subsidiaries  ("subsidiaries") each incorporated in the
          British Virgin Islands. These subsidiaries are Dragon Minerals-Shiquan
          Inc.,  Dragon Minerals-Taiyu Inc. and Dragon Minerals-Xunyang Inc. All
          intercompany  transactions  and  balances  have  been  eliminated.

     (b)  Use  of  Estimates
          The  preparation of financial statements in conformity with accounting
          principles generally accepted in the United States 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 financial statements and the reported
          amounts  of  revenues  and expenses during the periods. Actual results
          could  differ  from  those  estimates.

                                      F-4
    (The accompanying notes are an integral part of the financial statements)

<PAGE>

Dragon  Gold  Resources,  Inc.
(formerly  Folix  Technologies,  Inc.)
(An  Exploration  Stage  Company)
Notes  to  the  Consolidated  Financial  Statements
(expressed  in  U.S.  dollars)
(Unaudited)

2.   Summary  of  Significant  Accounting  Policies  (continued)

     (c)  Cash  and  Cash  Equivalents

          The Company considers all highly liquid instruments with a maturity of
          three  months  or less at the time of issuance to be cash equivalents.

     (d)  Foreign  Currency  Translation

          The  Company's  functional and reporting currency is the United States
          dollar.  Monetary  assets  and  liabilities  denominated  in  foreign
          currencies  are  translated  using the exchange rate prevailing at the
          balance  sheet  date.  Gains  and  losses  arising  on  translation or
          settlement  of  foreign  currency denominated transactions or balances
          are  included  in  the  determination  of  income.  Foreign  currency
          transactions  are undertaken primarily in Canadian dollars and British
          pounds.  The  Company  has  not,  to  the  date  of  these  financials
          statements,  entered  into derivative instruments to offset the impact
          of  foreign  currency  fluctuations.

     (e)  Basic  and  Diluted  Net  Income  (Loss)  Per  Share

          The  Company  computes  net income (loss) per share in accordance with
          SFAS  No.  128,  "Earnings  per  Share"  (SFAS 128). SFAS 128 requires
          presentation of both basic and diluted earnings per share (EPS) on the
          face  of  the  income statement. Basic EPS is computed by dividing net
          income  (loss)  available  to  common  shareholders (numerator) by the
          weighted average number of shares outstanding (denominator) during the
          period.  Diluted  EPS  gives  effect  to all dilutive potential common
          shares  outstanding  during  the period including stock options, using
          the  treasury stock method, and convertible preferred stock, using the
          if-converted method. In computing Diluted EPS, the average stock price
          for  the period is used in determining the number of shares assumed to
          be  purchased  from the exercise of stock options or warrants. Diluted
          EPS  excludes  all  dilutive  potential shares if their effect is anti
          dilutive.

     (f)  Financial  Instruments

          Financial  instruments  which  include  cash  and equivalents, prepaid
          expenses,  deposits, accounts payable, accrued liabilities, and due to
          related  parties  were  estimated to approximate their carrying values
          due  to  the  immediate  or  short-term  maturity  of  these financial
          instruments. Virtually all of the Company's assets and liabilities are
          giving  rise  to  significant exposure to market risks from changes in
          foreign  currency  rates.  The  financial  risk  is  the  risk  to the
          Company's  operations that arise from fluctuations in foreign exchange
          rates  and  the  degree  of  volatility of these rates. Currently, the
          Company  does not use derivative instruments to reduce its exposure to
          foreign  currency  risk.

     (g)  Comprehensive  Loss

          SFAS  No. 130, "Reporting Comprehensive Income," establishes standards
          for the reporting and display of comprehensive loss and its components
          in  the  financial statements. As of December 31, 2004 the Company has
          no  items  that  represent  comprehensive loss and, therefore, has not
          included a schedule of comprehensive loss in the financial statements.

     (h)  Mineral  Property  Costs

          The Company has been in the exploration stage since its acquisition of
          Dragon  Minerals  Holdings,  Inc.  on  July  15,  2004 and has not yet
          realized  any  revenues  from  its planned operations. It is primarily
          engaged  in  the  acquisition  and  exploration  of mining properties.
          Mineral  property  acquisition  and  exploration costs are expensed as
          incurred.  When  it has been determined that a mineral property can be
          economically developed as a result of establishing proven and probable
          reserves,  the  costs  incurred  to  develop  such  property,  are
          capitalized.  Such  costs  will  be  amortized  using  the
          units-of-production  method  over  the  estimated life of the probable
          reserve.

                                      F-5

<PAGE>

Dragon  Gold  Resources,  Inc.
(formerly  Folix  Technologies,  Inc.)
(An  Exploration  Stage  Company)
Notes  to  the  Consolidated  Financial  Statements
(expressed  in  U.S.  dollars)
(Unaudited)

2.   Summary  of  Significant  Accounting  Policies  (continued)

     (i)  Interim  Financial  Statements  These  interim  unaudited  financial
          statements  have  been  prepared  on  the  same  basis  as  the annual
          financial  statements  and  in  the opinion of management, reflect all
          adjustments,  which  include  only  normal  recurring  adjustments,
          necessary  to present fairly the Company's financial position, results
          of  operations  and  cash  flows for the periods shown. The results of
          operations  for  such  periods  are  not necessarily indicative of the
          results  expected  for  a  full  year  or  for  any  future  period.

     (j)  Website  Development  Costs

          The  Company recognizes the costs associated with developing a website
          in  accordance  with  the  American  Institute  of  Certified  Public
          Accountants  ("AICPA")  Statement  of  Position  ("SOP")  No.  98-1,
          "Accounting  for  the Costs of Computer Software Developed or Obtained
          for  Internal  Use". Relating to website development costs the Company
          follows the guidance pursuant to the Emerging Issues Task Force (EITF)
          No.  00-2,  "Accounting  for  Website  Development  Costs".

          Capitalized  costs  associated  with  the website consist primarily of
          payments  to  a  third  party  for  development  of  web  pages. These
          capitalized  costs  will  be amortized based on their estimated useful
          life  over  four years. Payroll and related costs are not capitalized,
          as  the  amounts  principally  relate  to  maintenance. Internal costs
          related  to  the  development  of  website  content  are  expensed  as
          incurred.

     (k)  Property  and  Equipment

          Property  and  equipment consists of computer hardware and is recorded
          at  cost.  The computer hardware is being amortized on a straight-line
          basis  over  its  estimated  life  of  three  years.

     (l)  Long-Lived  Assets

          In  accordance  with  SFAS  No. 144, "Accounting for the Impairment or
          Disposal  of  Long  Lived  Assets",  the  carrying value of long-lived
          assets  is  reviewed  on a regular basis for the existence of facts or
          circumstances  that  may  suggest  impairment.  The Company recognizes
          impairment when the sum of the expected undiscounted future cash flows
          is  less  than the carrying amount of the asset. Impairment losses, if
          any,  are  measured  as the excess of the carrying amount of the asset
          over  its  estimated  fair  value.

     (m)  Recent  Accounting  Pronouncements

          In  December 2004, FASB issued SFAS No. 153, "Exchanges of Nonmonetary
          Assets  -  An  Amendment  of  APB Opinion No. 29". The guidance in APB
          Opinion No. 29, "Accounting for Nonmonetary Transactions", is based on
          the  principle that exchanges of nonmonetary assets should be measured
          based  on the fair value of the assets exchanged. The guidance in that
          Opinion,  however, included certain exceptions to that principle. SFAS
          No.  153  amends  Opinion  No.  29  to  eliminate  the  exception  for
          nonmonetary  exchanges  of  similar  productive assets and replaces it
          with  a  general exception for exchanges of nonmonetary assets that do
          not  have  commercial substance. A nonmonetary exchange has commercial
          substance  if  the  future  cash  flows  of the entity are expected to
          change  significantly  as  a result of the exchange. The provisions of
          SFAS  No.  153 are effective for nonmonetary asset exchanges occurring
          in  fiscal periods beginning after June 15, 2005. Early application is
          permitted  and  companies  must  apply the standard prospectively. The
          adoption of this standard is not expected to have a material effect on
          the  Company's  results  of  operations  or  financial  position.

                                      F-6

Dragon  Gold  Resources,  Inc.
(formerly  Folix  Technologies,  Inc.)
(An  Exploration  Stage  Company)
Notes  to  the  Consolidated  Financial  Statements
(expressed  in  U.S.  dollars)
(Unaudited)

2.   Summary  of  Significant  Accounting  Policies  (continued)

     (l)  Recent  Accounting  Pronouncements

In  December  2004,  the  Financial  Accounting  Standards  Board  (FASB) issued
Statement  of  Financial  Accounting  Standard  (SFAS)  No.  123R,  "Share Based
Payment".  SFAS  123R  is a revision of SFAS No. 123 "Accounting for Stock-Based
Compensation",  and  supersedes APB Opinion No. 25, "Accounting for Stock Issued
to  Employees"  and  its  related implementation guidance. SFAS 123R establishes
standards  for  the accounting for transactions in which an entity exchanges its
equity  instruments  for  goods  or  services. It also addresses transactions in
which  an  entity  incurs liabilities in exchange for goods or services that are
based  on  the  fair  value  of  the  entity's equity instruments or that may be
settled by the issuance of those equity instruments. SFAS 123R focuses primarily
on  accounting  for transactions in which an entity obtains employee services in
share-based  payment  transactions.  SFAS  123R  does  not change the accounting
guidance  for share-based payment transactions with parties other than employees
provided  in  SFAS 123 as originally issued and Emerging Issues Task Force Issue
No.  96-18,  "Accounting  for  Equity  Instruments That Are Issued to Other Than
Employees  for  Acquiring,  or  in Conjunction with Selling, Goods or Services".
SFAS  123R  does  not address the accounting for employee share ownership plans,
which  are  subject  to AICPA Statement of Position 93-6, "Employers' Accounting
for  Employee  Stock  Ownership  Plans".  SFAS  123R requires a public entity to
measure  the  cost  of  employee  services  received in exchange for an award of
equity instruments based on the grant-date fair value of the award (with limited
exceptions).  That  cost  will  be  recognized  over  the period during which an
employee  is  required  to  provide  service  in  exchange  for  the award - the
requisite  service  period (usually the vesting period). SFAS 123R requires that
the compensation cost relating to share-based payment transactions be recognized
in  financial  statements. That cost will be measured based on the fair value of
the  equity  or  liability instruments issued. The scope of SFAS 123R includes a
wide  range  of  share-based  compensation arrangements including share options,
restricted share plans, performance-based awards, share appreciation rights, and
employee share purchase plans. Public entities (other than those filing as small
business issuers) will be required to apply SFAS 123R as of the first interim or
annual  reporting  period  that begins after June 15, 2005. Public entities that
file  as small business issuers will be required to apply SFAS 123R in the first
interim  or  annual  reporting  period  that begins after December 15, 2005. For
nonpublic  entities,  SFAS 123R must be applied as of the beginning of the first
annual  reporting period beginning after December 15, 2005. The adoption of this
standard  is  not expected to have a material effect on the Company's results of
operations  or  financial  position.

3.     Intangible  Assets

<TABLE>
<CAPTION>

                                                                  December  31,     March  31,
                                                                      2004           2004
                                                 Accumulated     Net Carrying     Net Carrying
                                       Cost     Amortization         Value           Value
                                        $             $                 $               $
<S>                                    <C>           <C>               <C>             <C>
Website development costs            15,000         1,249             13,751             -
-----------------------------------------------------------------------------------------------

</TABLE>

4.     Property  and  Equipment

<TABLE>
<CAPTION>

                                                                        December  31,     March  31,
                                                                            2004             2004
                                                        Accumulated    Net  Carrying     Net  Carrying
                                            Cost        Amortization        Value           Value
                                             $               $                $               $
<S>                                         <C>             <C>              <C>             <C>
Computer equipment                         5,328            349             4,979             -
-------------------------------------------------------------------------------------------------------

</TABLE>

                                      F-7

<PAGE>

Dragon  Gold  Resources,  Inc.
(formerly  Folix  Technologies,  Inc.)
(An  Exploration  Stage  Company)
Notes  to  the  Consolidated  Financial  Statements
(expressed  in  U.S.  dollars)
(Unaudited)

5.   Acquisition  of  Business

     On  July 15, 2004, the Company purchased 100% of the issued and outstanding
     common  shares of Dragon Minerals Holdings Inc. ("DMHI"), a private British
     Virgin Islands company. DMHI owns 100% of the issued and outstanding common
     shares  of  Dragon  Minerals Inc. ("DMI"), a private British Virgin Islands
     company. Accordingly, the results of operations for DMHI have been included
     in  the  accompanying  consolidated  financial  statements from the date of
     acquisition.  DMI  is  involved  in  mineral  property  acquisition  and
     exploration  in  China.  The purchase price was $184,579 which included the
     issue  of 16,500,000 common shares at a fair value of $165,000, acquisition
     costs  of  $12,235  and  negative book value of DMHI of $7,344. The Company
     used  the  purchase  method  of  accounting  for  this  acquisition and the
     purchase  price  was  allocated  to  mineral  property costs and charged to
     operations.

6.   Related  Party  Transactions

     a)   The amount due to related parties represents expenses of $159 (March
          31,  2004 - $6,388) paid on behalf of the Company by a former Director
          and  $1,654  paid  on  behalf of the Company by current directors. The
          amounts  due  are non-interest bearing, unsecured and have no specific
          terms  of  repayment.

     b)   During  the  three  month  period ended December 31, 2004, the Company
          paid  $30,000  (December  31,  2003  -  nil)  for  consulting services
          performed by a director of the Company, $1,200 for consulting services
          performed  by  a  former  director  of  the  Company  and  $14,132 for
          consulting  services  provided  by  a  company  owned by a significant
          shareholder  of  the  Company.  During  the  nine  month  period ended
          December  31,  2004,  the  Company  paid  $65,000 (December 31, 2003 -
          $1,200)  for  consulting  services  performed  by  a  director  of the
          Company,  $8,000  for  consulting  services  performed  by  a  former
          director  of  the Company and $14,132 for consulting services provided
          by  a  company  owned  by a significant shareholder of the Company. Of
          these  amounts,  $2,000  is  included  in  results  from  discontinued
          operations.

     c)   On  July  19,  2004  the Company sold to a former director, all rights
          related  to  the  Linux  based  application  server  and  thin  client
          computing  system  business plan in consideration for $1,000, which is
          included  in  results  from  discontinued  operations.

7.   Mineral  Properties

     (a)  On  February  24,  2004,  the Company's wholly-owned subsidiary Dragon
          Minerals  Inc. ("DMI") entered into a Letter of Intent with the Bureau
          of  Geology  and Mineral Exploration & Development of Shaanxi Province
          ("Bureau")  in  China to form a Sino-Foreign cooperative joint venture
          company  ("JVC1")  for the exploration and development of up to twelve
          properties  (the  "Permits") located in the Southern Shaanxi Province.
          Pursuant to the Letter of Intent, the Company would contribute cash to
          the  joint  venture  and Bureau would contribute the Permits and their
          previous  exploratory  findings.

     (b)  On  March  1,  2004,  DMI  entered  into  a  Letter of Intent with the
          Northwest  Geology  and Exploration Bureau for Nonferrous Metals Party
          ("Party")  in  China  to form a Sino-Foreign cooperative joint venture
          company  ("JVC2")  for  the  exploration and development of a property
          (the  "Permit")  located in Southern Shaanxi Province. Pursuant to the
          Letter  of  Intent,  the  Company  would  contribute cash to the joint
          venture  and  Party  would  contribute  the  Permit and their previous
          exploratory  findings.

8.   Common  shares

     (a)  On  September  6, 2004, the Company cancelled 16,400,000 common shares
          owned  by  a  former  Director.

                                      F-8

<PAGE>

Dragon  Gold  Resources,  Inc.
(formerly  Folix  Technologies,  Inc.)
(An  Exploration  Stage  Company)
Notes  to  the  Consolidated  Financial  Statements
(expressed  in  U.S.  dollars)
(Unaudited)

8.   Common  shares  (continued)

     (b)  On  August 16, 2004, the Company issued 400,000 common shares at $0.50
          per  share  for  cash  proceeds  of  $200,000.

     (c)  On  July  15,  2004,  the  Company  acquired  100%  of  the issued and
          outstanding  shares  of Dragon Minerals Holdings Inc., in exchange for
          16,500,000  common  shares  of  the  Company.  Refer  to  Note  4.

     (d)  On  June 14, 2004, the Company completed a forward split of its common
          stock  on  a  seven  for  one  basis whereas every share of fully paid
          common  stock  issued and outstanding immediately prior to the forward
          split  was  changed  into  seven  new shares of the Company. All share
          amounts  have  been  retroactively adjusted for all periods presented.
          The  increase  in  common  shares  was accounted for as a reduction in
          Additional  Paid  in  Capital for all periods presented. Additionally,
          the  authorized  common shares were increased to 500,000,000 shares of
          common  stock and the par value was re-authorized at $0.001 per common
          share.

9.   Discontinued  Operations

     Discontinued  operations  consist of the Company's former operations in the
     development  of  a Linux based application server and thin client computing
     systems.  In  July  2004, the Company sold all rights to certain intangible
     assets related to the Linux business to a former director for consideration
     of  $1,000.  The  results  of  discontinued  operations  are  summarized as
     follows:

<TABLE>
<CAPTION>

                                                                                                              Accumulated
                                                                                                             From December
                                          Three Months    Three Months     Nine Months     Nine Months      13, 2000 (Date of
                                             Ended           Ended            Ended           Ended          Inception) to
                                          December 31,    December 31,     December 31,     December 31,      December 31,
                                             2004            2003             2004             2003              2004
                                              $                $                $                $                 $
<S>                                          <C>              <C>              <C>              <C>               <C>
Revenue                                       -                  -                 -                -                 -
--------------------------------------------------------------------------------------------------------------------------------
Net Operating Loss                            -             (6,089)          (20,794)         (13,952)          (48,676)
Gain on disposal                              -                  -             1,000                -             1,000
--------------------------------------------------------------------------------------------------------------------------------
Loss From Discontinued Operations             -             (6,089)          (19,794)         (13,952)          (47,676)
--------------------------------------------------------------------------------------------------------------------------------

</TABLE>

10.     Commitments

     (a)  During  the  three  months ended December 31,2004, the Company entered
          into  a consulting agreement ("the Agreement") with a company owned by
          a  significant  shareholder  of  the  Company,  for  management  and
          geological  services.  The  Agreement  is  for  a  period  of one year
          commencing  October  1,  2004  at $5,625CND per month. Either side can
          terminate  the  Agreement  with  60  days  written  notice.

     (b)  During  the  three months ended December 31, 2004, the Company entered
          into  a  consulting  agreement  ("the  Agreement")  with  an  investor
          relations  company.  The  Agreement  is  for  a period of three months
          commencing  December  1,  2004  at  $10,000CND  per  month.

                                      F-9

<PAGE>

10.  Commitments  (continued)

     (c)  On January 20, 2005, the Company entered into an option agreement (the
          "Agreement")  to  acquire a 100% interest, subject to a 2% net smelter
          royalty,  in  certain mining claims located in Mongolia. Refer to Note
          11.

11.  Subsequent  Event

     (a)  On January 20, 2005, the Company entered into an option agreement (the
          "Agreement")  to  acquire a 100% interest, subject to a 2% net smelter
          royalty,  in certain mining claims located in Mongolia. To acquire its
          interest,  the  Company  must  pay  CDN$20,000  upon  execution of the
          Agreement  (paid),  CDN$30,000  on  or  before January 20, 2006, and a
          further  CDN$50,000 on or before January 20, 2007. The Company has the
          right  to purchase the first two-thirds of the royalty interest at any
          time  in  consideration  of payments of CDN$300,000 for each one-third
          portion.  The  Company  also  has  the  right of first refusal for the
          remaining  one-third  royalty  interest.

     (b)  On January 31, 2005, the Company issued a private placement of 199,930
          common  shares  at  $0.50  per  shares  for total proceeds of $99,965.

                                      F-10

<PAGE>

ITEM  2.  MANAGEMENT'S  DISCUSSION  AND  ANALYSIS.

FORWARD  LOOKING  STATEMENTS

THIS  REPORT  CONTAINS  FORWARD  LOOKING  STATEMENTS  WITHIN  THE  MEANING  OF
SECTION  27A  OF  THE  SECURITIES ACT OF 1933, AS AMENDED AND SECTION 21E OF THE
SECURITIES  EXCHANGE ACT OF 1934, AS AMENDED. THE COMPANY'S ACTUAL RESULTS COULD
DIFFER  MATERIALLY  FROM  THOSE SET FORTH ON THE FORWARD LOOKING STATEMENTS AS A
RESULT  OF  THE RISKS SET FORTH IN THE COMPANY'S FILINGS WITH THE SECURITIES AND
EXCHANGE COMMISSION, GENERAL ECONOMIC CONDITIONS, AND CHANGES IN THE ASSUMPTIONS
USED  IN  MAKING  SUCH  FORWARD  LOOKING  STATEMENTS.

As  used  in  this quarterly report, the terms "we", "us", "our", "our company",
and  "Company"  mean  Dragon  Gold  Resources, Inc., unless otherwise indicated.

GENERAL

     Dragon  Gold  Resources,  Inc.  is a corporation originally formed as Folix
Technologies  Inc.,  under the laws of the State of Nevada on December 13, 2000.
We  were  formed  as  a high technology development stage company engaged in the
development  of  an  initial  product.  We have since changed our business focus
pursuant  to  an exchange agreement entered into on  July  15,  2004,  where the
Company  acquired  100%  of  the  issued  and  outstanding  common  stock  of
Dragon Minerals Holdings, Inc. ("Dragon").  The Company is a holding company for
Dragon  which in turn holds all of the  common  stock  of  Dragon Minerals Inc.,
an  international  business company incorporated  under  the laws of the British
Virgin  Islands  ("Dragon  Minerals").

DESCRIPTION  OF  THE  PRINCIPAL  PRODUCTS  AND  SERVICES

     The  Company does not currently offer any products or services. The Company
has  signed  two letters of intent (the "Letters of Intent") to enter into joint
ventures for gold exploration and potential development of properties located in
Shaanxi,  China,  discussed  in more detail below. Additionally, the Company has
entered  into an option agreement for the right to purchase five (5) licenses to
mining  claims  in  Mongolia,  discussed  below  under  "subsequent events." The
Letters  of Intent anticipate that the Company will contribute cash to the joint
ventures.  The  other parties to the joint ventures would contribute permits for
exploration  and  development  on an aggregate of up to thirteen (13) properties
(the "Permits"). The Company has also been studying another property in the same
region as the Permits, but has not entered into any agreements or joint ventures
in  connection  with  that  property.

     The  Company has also completed the review of fifteen (15) other properties
in  several  Chinese  provinces  and  has  discarded them for the purpose of any
future  joint  venture  formation  because  they failed to satisfy the Company's
investment  criteria.

     The  Company anticipates forming a separate joint venture for each property
the  Company  decides to develop. The government of China owns the properties to
which  the  Permits relate. The Permits grant the right to the mineral resources
found  below  the  surface  of  the  properties.

     The  Company has performed a due diligence review of the Permits, and plans
to  proceed  in  establishing  sino-foreign  joint-ventures  for  the purpose of
developing  one  (1)  of  the  properties covered by the Permits and one (1) new
property  offered  in  Shaanxi  province,  China,  which  is  not covered by the
Permits. However, as of the date of this report, neither of these joint-ventures
have  been  established,  and  the Company can make no assurances one or both of
them ever will. The due diligence review involved hiring external consultants to
visit  the  properties  and trips to China by both the Company's Chief Executive
Officer,  Johannes  Petersen  and  the  Company's Director, Albert Cui, who both
determined  that  the two (2) properties meet the Company's investment criteria.
The  Company  anticipates  the  need  for  a  substantial  amount  of additional
financing,  if the Company decides to proceed with the licensing and exploration
of  these  properties,  of  which  there  can be no assurance. Additionally, the
Company  can  give  no  assurance  that  this  substantial  amount of additional
financing  will  be  available  on  favorable  terms,  if  at  all.

<PAGE>

     The Letters of Intent contemplate two phases of activities: the exploration
phase  and  the development phase. The development phase is contingent upon, and
will  not proceed unless there are, positive results from the exploration phase.
At  this  time, the Company has not entered into any joint ventures, contributed
any cash to any joint ventures, selected any properties for gold exploration and
potential  development, or started exploration  phase  activities.  However,  on
August  30,  2004,  the Company sold 400,000 shares of common stock for $200,000
and  on  January  31,  2005, the Company sold 199,930 shares of common stock for
$99,965.  There can be no assurance that these funds will be able to sustain our
business  operations  until more money is be raised, provided that we will raise
any  additional  funds  at  all.

     In addition, the Company has entered into an option agreement for the right
to  purchase  five  (5)  licenses  to mining claims in Mongolia, discussed below
under  "Subsequent Events." The Company is also reviewing geological information
on  other  mineral properties in other Chinese provinces. We expect these events
to  expand  the  Company's  intended  area  of  operations  throughout  China.

MARKET  OVERVIEW

     Most  multi-metallic and gold deposits in the Shaanxi Province of China are
located in the Qinling Mountain belt and surrounding regions.  The gold deposits
can be divided into three (3) gold provinces: Xiao Qinling, Qinling and Southern
Shaanxi  gold provinces.  The Xiao Qinling gold province is currently the second
largest  gold producing area in China.  The Qinling gold province is west of the
Xiao  Qinling  gold  province.  Explorers unrelated to the Company have recently
discovered  gold deposits in the Qinling gold province.  The Company has entered
into  two  (2)  agreements whereby the Company  will enter into  joint  ventures
for  the  exploration  and  development  of  up  to  thirteen  (13)  properties.

     One  (1)  of  the  properties covered by the agreements to enter into joint
ventures  is  located  within  the Xiao Qinling gold province.  Seven (7) of the
properties  are  located  within  the  Qinling  gold  province.  Four (4) of the
properties are located within the Southern Shaanxi gold province.  A fifth (5th)
property  is  also  located  within the Southern Shaanxi gold province, but more
specifically,  in  an  area  called  Chuan-Shaan-Gan  gold  triangular zone.

The  newest  property  the  Company  has  been  looking at is located in Shaanxi
Province,  but  is  not  covered  by  the  agreements.

RESEARCH  &  DEVELOPMENT

     The Company has not conducted any research and development activities since
inception.  The  Company  does  not  have  plans  to  conduct  any  research and
development  during  the  next  twelve  months.  However,  the  Company  is  in
negotiations  in  connection  with  two  properties in Shaanxi, China, which the
Company  may  pursue  licenses  on  during  the  next  twelve  months, financing
permitting.  The  Company can give no assurances that the Company's negotiations
will  be  successful,  that  the  Company  will be able to raise the substantial
financing  needed  to obtain licenses on these properties, that the Company will
be able to obtain these licenses if the financing is raised, if the licenses are
obtained  that  the Company will explore the properties covered by the licenses,
or  if  explored  that  the  properties  will  contain  any  gold  reserves.

     The  Company  has  also  entered  into an option agreement for the right to
purchase  five  (5)  licenses to mining claims in Mongolia, and is developing an
exploration  plan  to start exploring some or all of these areas within the next
twelve  months. The Company can give no assurances that the Company will be able
to  raise  sufficient  funding to carry out the exploration activities in any of
these  areas,  that  the  Company  will  explore  the  properties covered by the
licenses,  or  if  explored  that the properties will contain any gold reserves.

EMPLOYEES

     The  Company does not currently have any employees on either a part-time or
full-time  basis.  The  Company  intends  to  use consultants and other forms of
contract  or  outsourced  labor  during the next twelve months (see "Agreements"
below).

<PAGE>

AGREEMENTS

     Effective  October 1, 2004, the Company entered into a consulting agreement
with  Sagit  Investment  Management  Ltd,  a  company  owned  by Raoul Tsakok, a
significant  shareholder  of the Company for management and geological services.
The  agreement  is for a period of one year at a cost of $5,625 (CDN) per month.
Either the Company or the consultant may terminate the agreement with sixty (60)
days  written  notice  to  the  other  party.

     Effective  December 1, 2004, the Company entered into an investor relations
agreement  with  Skyline  Marketing,  Inc.  ("Skyline"),  an  investor relations
company.  The  agreement  is  for  a period of three months at a cost of $10,000
(CDN)  per  month.  The services provided to the Company by Skyline will include
contacting  persons  registered to trade in securities and informing them of the
development  of  the  Company's  projects  and  business  and  circulating  them
quarterly  reports and other material financial and other information, acting as
a  liaison  between  directors  and  senior  officers of the Company, as well as
assisting  in  arranging  equity  financing  for  the  Company.

                                SUBSEQUENT EVENTS
OPTION  AGREEMENT

     On January  20, 2005, the Company entered into  an  Option  Agreement  with
Jaroslav  Ruza  (the  "Optionor"),  to  purchase an option  to  acquire  a  100%
right,  title  and  interest  in  the  Optionor's  mining  claims  (the  "Option
Agreement").  The  Optionor  owns  five licenses to mining claims,  representing
approximately  47,848  hectares  or  approximately  118,235  acres,  in Mongolia
(the "Properties").  Under the Option Agreement, the Company paid  the  Optionor
$20,000  (CDN) on January 20, 2005, upon the execution of the Option  Agreement,
and  is  required  to  pay the Optionor an additional $30,000 (CDN) on or before
January 20, 2006, and $50,000 (CDN) on or before January 20, 2007  (collectively
the  "Purchase  Price").  However,  the  Option  Agreement  represents  only  an
option  and  the Company is under no obligation to make any additional  payments
under  the  Option  Agreement,  other  than  the  $20,000  (CDN)  already  paid.

     If  the  Company chooses to pay the entire Purchase Price, the Company will
be  deemed  to  have  exercised  the  option and will own 100% of the Optionor's
right,  title  and  interest  to  the  Properties, except for a two percent (2%)
royalty  which  the Optionor will retain on any proceeds received by the Company
from  any  smelter  from the sale of any ores, concentrates or minerals produced
from  the  Properties  after  deducting  certain  expenses  (the  "Royalty").

     Under the Option Agreement, the Company has the right to purchase one-third
(1/3)  of  the  Royalty  from  the  Optionor at any time for the sum of $300,000
(CDN),  an  additional  one-third  (1/3) of the Royalty from the Optionor at any
time  for  the sum of $300,000 (CDN), and the right of first refusal to purchase
the remaining one-third (1/3) of the Royalty from the Optionor, in the event the
Optionor  wishes  to  sell  his  remaining  interest  in  the  Royalty.

<PAGE>

     Under the Option Agreement, the Optionor agreed to provide the Company with
all  of  the necessary geological information on the Properties, provide up to a
maximum  of  fifteen  (15)  working days of his time to the Company to assist in
matters  related  to  the Properties, and the Company agreed to pay the Optionor
$300  (CDN)  for  each  day  of  assistance  provided  to  the  Company.

     If  the Company fails to make any payments toward the Purchase Price, which
are required by the Option Agreement, the Optionor may give the Company a notice
of  default  and  if  the Company does not cure the default within ten (10) days
following  delivery  of  the  notice,  the  Optionor  may  terminate  the Option
Agreement.  The  Company then will have six (6) months from the termination date
of  the Option Agreement to leave the Properties in good standing, and three (3)
months to return copies of all of the reports, maps and other relevant documents
in  the  possession  of  the  Company  at  the  time  the  option is terminated.

THREE MONTHS ENDED DECEMBER 31, 2004 COMPARED TO THREE MONTHS ENDED DECEMBER 31,
2003

     The  Company earned no revenue for the three months ended December 31, 2004
or  the  three  months  ended  December  31,  2003.

     Expenses  increased $105,750 from $0 during the three months ended December
31,  2003, to $105,750 for the three months ended December 31, 2004. The Company
had  $0  in  expenses  for  the three months ended December 31, 2003 because the
Company  discontinued its operations related to the development of a Linux based
application  server  and thin client computing systems. As a result, expenses in
the  comparable prior year period have been recorded as a loss from discontinued
operations  of $6,089. The increase in expenses was attributable to increases of
$0  in  mineral property costs, $53,614 in consulting expenses, $7,767 legal and
organizational  expenses,  $8,000 in accounting and auditing expenses, $1,286 of
amortization  expense,  $330  of  foreign  exchange expense, $385 of general and
administrative  expense,  $13,021  of rent and utilities expense, and $21,347 of
travel  and  promotional  expenses. The consulting expenses included $30,000 for
consulting  services  performed  by  a  director  of  the  Company,  $1,200  for
consulting  services  performed  by a former director of the Company and $14,132
for  management  and  geological  services  provided  by  a  company  owned by a
significant  shareholder  of  the  Company.

     The  Company had a net loss of $105,750 for the three months ended December
31,  2004,  as  compared  to  a  net  loss  of $6,089 for the three months ended
December  31,  2003, from the Company's discontinued operations. The increase in
net  loss  from  the  three  months  ended December 31, 2004, was $99,661.   The
increase  in net loss was due to the increase in expenses in connection with the
fact  that  the  Company  had no revenue for the three months ended December 31,
2004.

<PAGE>

NINE  MONTHS  ENDED DECEMBER 31, 2004 COMPARED TO NINE MONTHS ENDED DECEMBER 31,
2003

     The  Company  earned no revenue for the nine months ended December 31, 2004
or  the  nine  months  ended  December  31,  2003.

     Expenses  increased  $378,359 from $0 during the nine months ended December
31,  2003,  to $378,359 for the nine months ended December 31, 2004. The Company
had  $0  in  expenses  for  the  nine months ended December 31, 2003 because the
Company  discontinued its operations related to the development of a Linux based
application  server  and thin client computing systems. As a result, expenses in
the  comparable prior year period have been recorded as a loss from discontinued
operations of $13,952. The increase in expenses was attributable to increases of
$184,579  in  mineral  property  costs,  $93,414 in consulting expenses, $28,374
legal  and organizational expenses, $11,300 in accounting and auditing expenses,
$1,598  of  amortization  expense,  $903 of foreign exchange expense, $10,561 of
general  and  administrative expense, $19,141 of rent and utilities expense, and
$28,489  of  travel  and  promotional expenses. The consulting expenses included
$65,000  in  consulting services performed by a director of the Company, $14,132
for  management  and  geological  services  provided  by  a  company  owned by a
significant  shareholder  of  the  Company,  and  $8,000 for consulting services
provided  by  a  former  director  of  the  Company. Of these amounts, $2,000 is
included  in  results  from  discontinued  operations.

     The  Company  had a net loss of $378,359 for the nine months ended December
31,  2004,  before  discontinued  operations,  and  a net loss of $398,153 after
taking  into  account  a  loss  of  $19,794  due  to  the Company's discontinued
operations, which includes $1,000 received from a former director for all rights
related  to  the Linux based application server,  as  compared  to  a  net  loss
of  $13,952  for  the  nine  months  ended  December 31, 2003.  The results from
discontinued  operations  includes   $2,000,   which   was  paid  to  a  current
director   and   former   director   for   consulting  services  concerning  the
Company's  discontinued operations.  The increase in net loss  compared  to  the
earlier  nine  month  period  was  $384,201,  which  was  due  to  increases  in
expenses and the fact that the Company had no revenues for the nine month period
ended  December  31,  2004.

LIQUIDITY  AND  CAPITAL  RESOURCES

     We  have not earned any revenue since inception on December 13, 2000 and we
are  presently  in  the  development  stage  of  our  business.

     As  of  December 31, 2004, the Company had total current assets of $42,543,
which  consisted of $38,303 in cash and $4,240 of prepaid expenses and deposits.
The  Company  also  had $13,751 of intangible assets, which consisted of the net
carrying  value  of  the  Company's  website  development  costs,  and $4,979 of
plant  and equipment, which consisted of the net carrying value of the Company's
computer  equipment.  The Company had total assets of $61,273 as of December 31,
2004.

     As  of  December  31,  2004,  the  Company had total current liabilities of
$11,439,  consisting  of  accounts  payable  of  $5,626,  accrued liabilities of
$4,000  and  an  amount  due to related parties of $1,813,  which  includes $159
paid  on behalf of the Company by a former director and $1,654 paid on behalf of
the  Company  by  a  current  director.  The amount due is non-interest bearing,
unsecured  and  has  no  specific  terms  of  repayment.

<PAGE>

     As  of  December 31, 2004, the Company had $31,104 of working capital and a
ratio  of  current  assets  to  current  liabilities  of  3.72.

     For  the nine months ended December 31, 2004, the Company spent $242,398 in
its  operating activities, which included a  net loss  of $398,153, amortization
adjustments  of $1,598,  mineral  property  costs  of  $165,000, an increase  in
deposits  and  prepaid  expenses of $4,240, a  decrease  in  accounts payable of
$2,028,  and  a  decrease  in  amounts  due  to  related  parties  of  $4,575.

     The  Company  had  ($20,328)  in net cash used in investing activities, due
to  a  purchase  of  intangible assets of $15,000 and a purchase of property and
equipment  of  $5,328,  for  the  nine  months  ended  December  31,  2004.

     The  Company  had $200,000 in net cash provided by financing activities for
the  nine  months  ended December 31, 2004, which was from the proceeds from the
sale  of  400,000  shares  of  the  Company's  common  stock.

     The Company had accumulated losses as of December 31, 2004 of $426,035.

     Subsequent  to  the  three  months  ended December 31, 2004, on January 31,
2005,  the  Company  entered  into  an  offshore  subscription agreement with an
unrelated party for the sale of 199,930 shares of the Company's common stock for
$99,965.

     However,  the  Company  cannot  make  any  assurance that financing will be
available  on  terms  favorable  to  the Company, or at all.  The Company has no
commitments  from  officers,  directors or affiliates to provide funding.  There
can  be  no assurance that any  new  capital will be available to the Company or
that adequate funds will  be sufficient for Company operations, whether from the
Company's  financial  markets  or  private  sources,  or that other arrangements
will be available when needed  or  on  terms  satisfactory  to  the Company.  If
adequate  funds  are  not  available  to  the  Company  on acceptable terms, the
Company  will  have  to  delay, curtail  or  scale  back  some  or  all  of  its
operations.

RISK  FACTORS

     We  are  subject  to all the risks inherent to a development stage company.
These  risks  include,  but  are  not  limited to, a limited  operating history,
dependency  on  key  personnel,  limited  resources,  possible  failure  of  our
research  and  development  efforts, failure to complete adequate financings and
failure to meet contractual obligations. Our operating results may be materially
affected  by  the  "RISK  FACTORS"  discussed  below  as well as other risks and
uncertainties  not  discussed  herein:

<PAGE>

RISKS  RELATED  TO  OUR  BUSINESS

     NEED  FOR  ADDITIONAL FINANCING. The Company will be required to contribute
cash  to  the joint ventures on a continuing basis, however, the exact amount of
continued  capital commitment required by the Company is not known at this time.
The  Company  believes  it  can  continue for approximately six (6) months if no
additional  financing  is  raised,  due  to  the $299,965 the Company has raised
throughout  the  last  six  (6)  months in connection with offshore subscription
agreements,  and  will require approximately $200,000 of additional financing to
continue  administrative  activities for the next twelve (12) months, which does
not  include  any  additional  amounts  which  will  be required for exploration
activities  or  the  formation  of joint ventures, which the Company anticipates
being  substantial.

     Additionally,  if  the  Company  does  enter  into  joint  ventures  or the
Company's  management  decides  to acquire licenses to the Mongolian Properties,
the  Company  will  need a substantial amount of additional financing, which the
Company will determine if the joint ventures are entered into. The  Company does
not  have  any commitments or  identified sources of capital from third  parties
or   from  the  Company's officers, directors  or  majority shareholders.  There
is no assurance  that financing  will  be  available on favorable  terms,  if at
all.  If  the  Company is unable to raise such financing, it will not be able to
enter into  the  joint ventures, complete the purchase of the Mongolian licenses
or  continue  business  operations  and  its  business  will  fail.

     LETTERS  OF  INTENT. The Company has entered into two (2) letters of intent
whereby  the  Company  will  enter  into  joint ventures for the exploration and
development of up to thirteen (13) properties in Shaanxi, China. Pursuant to one
letter  of  intent,  the  Company will enter in a Sino-Foreign cooperative joint
venture  company  with  the  Bureau for the exploration and development of up to
twelve (12) properties. Pursuant to the other letter of intent, the Company will
enter  into  a Sino-Foreign cooperative joint venture company with Northwest for
exploration  and  development  of  one  (1) property. Pursuant to the letters of
intent,  the  Company  will  contribute  cash  to  the joint ventures. The other
parties  to the joint ventures will contribute up to thirteen (13) properties on
which  the  gold  exploration  and  potential development will be conducted. The
Company  has  not  currently  entered  into  any  definitive agreements or joint
ventures.

     The  Company  is  in  continued  negotiations with the other parties to the
letters  of  intent  regarding contributions of the properties and the Company's
contribution  of  cash.  Currently, the joint ventures have not been formed, the
Company  has  not  contributed  any  cash,  none  of  the  properties  have been
contributed,  and  there is no program of exploration and development. There can
be  no  assurance  that the Company will enter into any definitive agreements or
joint  ventures,  or  that  the Company will make any cash contributions or that
other  parties  to  the  letters  of intent will contribute any property. In the
event that any of the foregoing events do not occur, the Company's business will
fail.

<PAGE>

     TITLE  TO  THE  PROPERTIES.  The government of China owns the land on which
the  Company  intends  to  conduct  exploration  and development through a joint
venture  with  the  Bureau  and  a joint venture with Northwest.  The Bureau and
Northwest  are  local  government departments.  They have permits that give them
the  right  to  the mineral resources found under the surface of the properties.
Pursuant  to  the  letters  of  intent, the Bureau and Northwest will contribute
Permits  for up to an aggregate of thirteen (13) properties and the Company will
contribute  cash  to  the  joint venture.  The Company has not currently entered
into  any  definitive agreements or joint ventures.  The Company is in continued
negotiations  with  the  Bureau  and  Northwest  regarding  contributions of the
properties  and  the  Company's  contribution  of  cash.  Currently,  the  joint
ventures  have  not  been  formed, the Company has not raised or contributed any
cash,  none  of the properties have been contributed, and there is no program of
exploration  and  development.  However,  after  a  due  diligence review of the
prospective  properties, the Company has determined that one (1) of the thirteen
(13)  properties and one (1) additional property meet the Company's criteria for
investment,  and the Company plans to proceed in establishing joint ventures for
the  purpose  of  developing  these  two  (2) properties, which the Company can
make no assurances that it will be successful in establishing.  If  the Company,
the Bureau  or  Northwest  do  not make  the  contributions  contemplated  under
the letters  of  intent, the Company will  not  have  any  rights  with  respect
to the  properties.

     RELIANCE ON KEY MANAGEMENT. The Company's success depends upon the personal
efforts  and  abilities  of Johannes Petersen, a Director of the Company and the
Company's  Chief  Executive Officer and President, and Xiaojun ("Albert") Cui, a
Director  of  the  Company.  The  Company's ability to operate and implement its
business  plan is heavily dependent on the continued service of Messrs. Petersen
and  Cui,  and  the  Company's ability to attract, retain and motivate qualified
consultants  and  other  outsourced  labor,  particularly  in  the  area of gold
exploration  and  development.  The  Company  faces  aggressive  and  continued
competition  for  such  personnel,  qualified  consultants  and other outsourced
labor. The Company cannot be certain that it will be able to attract, retain and
motivate  such  personnel, qualified consultants and other outsourced labor. The
loss  of Mr. Petersen or Mr. Cui, or the Company's inability attract, retain and
motivate  such personnel, qualified consultants and other outsourced labor would
have  a  material  adverse  effect  on  the  Company's  business and operations.

     BECAUSE MR. TSAKOK OWNS 22.5% OF THE COMPANY'S OUTSTANDING COMMON STOCK, HE
WILL  EXERCISE  SIGNIFICANT CONTROL OVER CORPORATE DECISIONS THAT MAY BE ADVERSE
TO  OTHER  MINORITY  SHAREHOLDERS.  Raoul  Tsakok beneficially owns 22.5% of the
issued  and  outstanding  shares  of the Company's common stock. Accordingly, he
will  exercise  significant  control in determining the outcome of all corporate
transactions  or other matters including mergers, consolidations and the sale of
all or substantially all of our assets, and also the power to prevent or cause a
change  in  control. The interest of Mr. Tsakok may differ from the interests of
the  other  stockholders and thus result in corporate decisions that are adverse
to  other  shareholders.

     OUR AUDITORS HAVE EXPRESSED SUBSTANTIAL DOUBT AS TO WHETHER OUR COMPANY CAN
CONTINUE  AS  A GOING CONCERN. Our Company is in its early development stage, as
the  Company  does  not  currently  offer  any  products or services and planned
principal  activities  have  not begun. We have not generated any revenues since
inception  and  have  incurred  substantial  losses. The Company had accumulated
losses  of  $426,035,  as of December 31, 2004. Additionally, the Company has no
current  prospects for future revenues. These factors among others indicate that
the  Company  may  be unable to continue as a going concern, particularly in the
event  that  it cannot raise capital through debt or equity financing to conduct
its  operations.

<PAGE>

RISKS  RELATED  TO  OUR  COMMON  STOCK

     WE HAVE NOT CREATED A MARKET TO SUSTAIN THE SIGNIFICANT AMOUNT OF SHARES IN
OUR PUBLIC FLOAT.  We have a substantial amount of shares of common stock in our
public  float that were issued prior to the acquisition of Dragon and our change
in  business  focus, however, we have not created a market for our common stock.
We  may  not  have  adequate  time to create such a market prior to the time our
shareholders  resell  their  shares.  If  our  shareholders  resell their shares
before  we  can  create a market, it may exert downward pressure on the price of
our  common  stock.

     IF  THERE'S A MARKET FOR OUR COMMON STOCK, OUR STOCK PRICE MAY BE VOLATILE.
If  there  is a market for our common stock, we anticipate that such market will
be  subject  to wide fluctuations in response to several factors, including, but
not  limited  to:
     (1)     actual  or  anticipated  variations  in  our  results  of
             operations;
     (2)     our  ability  or  inability  to  generate  new  revenues;
     (3)     increased  competition;  and
     (4)     conditions  and  trends  in  the  gold  exploration,
             development  and  production  industry.

Furthermore,  because  our  common  stock  is  traded  on  the  NASD  over  the
counter  bulletin  board,  our  stock  price may be impacted by factors that are
unrelated  or  disproportionate  to  our  operating  performance.  These  market
fluctuations,  as  well  as  general  economic, political and market conditions,
such  as recessions, interest  rates  or international currency fluctuations may
adversely  affect  the  market  price  of  our  common  stock.

CRITICAL  ACCOUNTING  POLICIES

     Our  discussion  and  analysis  of  our  financial condition and results of
operations  is  based  upon  our unaudited financial statements, which have been
prepared  in  accordance  with  accounting  principals generally accepted in the
United States. The preparation of these financial statements requires us to make
estimates and judgments that affect the reported amounts of assets, liabilities,
revenues  and  expenses,  and  related  disclosure  of any contingent assets and
liabilities.  On  an  on-going  basis,  we  evaluate  our estimates. We base our
estimates  on  various  assumptions  that  we believe to be reasonable under the
circumstances,  the  results  of which form the basis for making judgments about
carrying  values  of  assets  and liabilities that are not readily apparent from
other  sources.  Actual  results may differ from these estimates under different
assumptions  or  conditions.

     We  believe  the  following  critical  accounting  policies affect our more
significant  judgments  and  estimates  used in the preparation of our financial
statements:

<PAGE>

     Going  Concern.  The  Company  is  in  its  early  development stage as the
Company's  management devotes most of its activities developing a market for its
products  and  services  and  planned  principal activities have not begun.  The
Company  has  not  generated  any  revenues  since  inception  and  has incurred
substantial losses.  These factors among others indicate that the Company may be
unable  to continue as a going concern, particularly in the event that it cannot
obtain  additional financing and/or acquire profitable operations. The Company's
continuation  as a going concern depends upon its ability to generate sufficient
cash flow to conduct its operations and its ability to obtain additional sources
of  capital and financing.  The accompanying financial statements do not include
any  adjustments  that  might  result  from  the  outcome  of  this uncertainty.

     Foreign  Currency Translation. The Company's primary functional currency is
the United States Dollar. Monetary assets and liabilities denominated in foreign
currencies  are  translated  using  the  exchange rate prevailing at the balance
sheet  date.  Gains  and  losses arising on translation or settlement of foreign
currency  denominated transactions or balances are included in the determination
of  income.  The change in location of the Company's headquarters to London will
result in the Company transacting business in British Pounds which may result in
foreign  currency  translation  risks.  The Company has not, to the date of this
filling, entered into any derivative instruments to offset the impact of foreign
currency  fluctuations.  Significant fluctuations in the price of British Pounds
relative  to  the  U.S.  Dollar would have a substantial impact on the Company's
account  balances  that  will  be  converted  into  U.S.  Dollars.

     Mineral Property Costs. The Company has been in the exploration stage since
its  acquisition  of Dragon Minerals Holdings, Inc. on July 15, 2004 and has not
yet  realized  any revenues from its planned operations. It is primarily engaged
in  the  acquisition  and  exploration  of  mining  properties. Mineral property
acquisition  and  exploration  costs  are expensed as incurred. When it has been
determined  that a mineral property can be economically developed as a result of
establishing  proven  and  probable reserves, the costs incurred to develop such
property,  are  capitalized.  Such  costs  will  be  amortized  using  the
units-of-production  method  over  the  estimated  life  of  the  probable
reserve.

     Long-Lived  Assets.  In  accordance  with SFAS No. 144, "Accounting for the
Impairment  or  Disposal of Long Lived Assets", the carrying value of long-lived
Assets  is  reviewed  on  a  regular  basis  for  the  existence  of  facts  or
Circumstances  that  may  suggest  impairment. The Company recognizes impairment
when  the  sum  of  the expected undiscounted future cash flows is less than the
carrying  amount  of  the  asset.  Impairment  losses,  if any, are  measured as
the  excess  of  the  carrying  amount  of  the  asset  over  its estimated fair
value.

ITEM  3.   CONTROLS  AND  PROCEDURES

     (a)  Evaluation of disclosure controls and procedures.  Our chief executive
officer  and  principal financial officer, after evaluating the effectiveness of
the Company's "disclosure controls and procedures" (as defined in the Securities
Exchange  Act of 1934 Rules 13a-15(e) and 15d-15(e)) as of the end of the period
covered  by this quarterly report (the "Evaluation Date"), has concluded that as
of the Evaluation Date, our disclosure controls and procedures were adequate and
designed  to  ensure  that  material information required to be disclosed by the
Company  in  the reports that it files or submits under the Exchange Act of 1934
is  1)  recorded,  processed,  summarized  and reported, within the time periods
specified  in  the  Commission's  rules  and  forms;  and  2)  accumulated  and
communicated  to him as appropriate to allow timely decisions regarding required
disclosure.

<PAGE>

     (b)  Changes  in  internal  control over financial reporting. There were no
significant  changes in our internal control over financial reporting during our
most  recent  fiscal quarter that materially affected, or were reasonably likely
to  materially  affect,  our  internal  control  over  financial  reporting.

                           PART  II  -  OTHER  INFORMATION

ITEM  1.  LEGAL  PROCEEDINGS.

     The Company currently is not a party to any material legal proceedings and,
to  the Company's knowledge, no such proceedings are threatened or contemplated.

ITEM  2.  UNREGISTERED  SALES  OF  EQUITY  SECURITIES  AND  USE  OF  PROCEEDS.

     The Company had no unregistered sales of equity securities during the three
month  period  ended  December  31,  2004.

SUBSEQUENT  EVENTS

     On  January  31,  2005, pursuant to an Offshore Subscription Agreement, the
Company  agreed to issue 199,930 restricted shares of the Company's common stock
to  Paramount  Trading  Company  Inc,  in a transaction not registered under the
Securities  Act  of  1933  (the  "Act").  The  Company  claims an exemption from
registration  afforded  by  Regulation  S of the Act ("Regulation S"), since the
foregoing  issuance will be made to a non-U.S. person (as defined under Rule 902
section  (k)(2)(i) of Regulation S), pursuant to an offshore transaction, and no
directed  selling  efforts  were  made  in  the  United  States by the issuer, a
distributor,  any of their respective affiliates, or any person acting on behalf
of  any  of  the  foregoing.

ITEM  3.  DEFAULT  UPON  SENIOR  SECURITIES.

None.

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

None.

ITEM  5.  OTHER  INFORMATION.

None.

<PAGE>

ITEM  6.  EXHIBITS  AND  REPORTS  ON  FORM  8-K.

     a.   Exhibits

Exhibit  Number              Description  of  Exhibit
--------------              ----------------------

     2.1        Exchange  Agreement  (1)

     3.1        Articles  of  Incorporation   (2)

     3.2        Certificate  of  Amendment  (3)

     3.3        By-Laws  (2)

    10.1        Business  Plan  Purchase  Agreement     (2)

    10.2        Option  Agreement  (4)

    10.3        Consulting  Agreement  with  Sagit  Investment  Management
                Ltd.  (*)

    31.1        Certification  of  Chief  Executive  Officer  and  Chief
                Financial  Officer  pursuant  to  18  U.S.C.  Section  1350,
                as  adopted  pursuant  to  Section  302  of  the  Sarbanes-
                Oxley  Act  of  2002  (*)

    32.1        Certification  of  Chief  Executive  Officer  and  Chief
                Financial  Officer  pursuant  to  18  U.S.C.  Section  1350,
                as  adopted  pursuant  to  Section  906  of  the  Sarbanes-
                Oxley  Act  of  2002  (*)

(1)  Filed  as Exhibit 2.1 to our report on Form 8-K filed on July 30, 2004, and
incorporated  herein  by  reference.

(2)  Filed  as  Exhibits  3.1, 3.2 and 10.1 to our SB-2 Registration Statement
filed  on  August  13,  2003,  and  incorporated  herein  by  reference.

(3)  Filed  as  Exhibit  3.1  to  our  report  on  Form  8-K  filed  on June 14,
2004,  and  incorporated  herein  by  reference.

(4)  Filed  as  Exhibit  10.1  to  our  report  on  Form  8-K  filed  on January
25,  2005,  and  incorporated  herein  by  reference.

(*)  Filed  as  an  Exhibit  to  this  Quarterly  Report  on  Form  10-QSB

     b.   Reports  on  Form  8-K

     (1)  The  Company  filed  a  Form  8-K/A on November 17, 2004, to amend the
report of the acquisition of Dragon Minerals Holdings Inc., to take into account
the  audited  financial statements of Dragon Mineral Holdings Inc. as well as to
reflect  a  change  in  control  of  the  Company.

<PAGE>

            THE COMPANY FILED THE FOLLOWING REPORTS ON 8-K SUBSEQUENT
                     TO THE QUARTER ENDED DECEMBER 31, 2004:

     (1)  The  Company  filed a Form 8-K on January 25, 2005, to report that the
Company  entered into  an  Option  Agreement  with Jaroslav Ruza, to purchase an
option  to  acquire  a  100%  right,  title  and interest in five mining claims,
representing  approximately  47,848  hectares  or  approximately  118,235 acres,
in  Mongolia.

     (2)  The  Company  filed a Form 8-K on February 4, 2005, to report that the
Company  issued  199,930  restricted  shares of the Company's common stock in  a
transaction  that  was  not registered under the Securities  Act  of  1933 to an
entity  unrelated  to  the  Registrant  in  exchange  for  $  $99,965.

                                   SIGNATURES

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

                                          DRAGON  GOLD  RESOURCES,  INC.

                                          By:  /s/  Johannes  Petersen
                                              ----------------------------
                                              Johannes  Petersen
Dated:  February 14,  2004                    Chief  Executive  Officer
                                              and  Chief  Financial  Officer

<PAGE>