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

                                    FORM 10-Q

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

For the quarterly period ended                          June 30, 2001
                               -------------------------------------------------

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

For the transition period from ________________ to _________________

Commission file number     1-4668
                       --------------

                    COASTAL CARIBBEAN OILS & MINERALS, LTD.
 ................................................................................
             (Exact name of registrant as specified in its charter)

         BERMUDA                                                NONE
 ...............................                       ..........................
(State or other jurisdiction of                            (I.R.S. Employer
 incorporation or organization)                             Identification No.)

Clarendon House, Church Street, Hamilton, Bermuda                       HM 11
 ................................................................................
  (Address of principal executive offices)                            (Zip Code)

                                  441-295-1422
 ................................................................................
              (Registrant's telephone number, including area code)


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

     Indicate by check mark  whether the  registrant  (l) has filed all reports
required to be filed by Section 13 or 15 (d) of the  Securities  Exchange Act of
l934  during  the  preceding  12 months  (or for such  shorter  period  that the
registrant was required to file such reports),  and (2) has been subject to such
filing requirements for the past 90 days.                         |X| Yes |_| No

     The number of shares  outstanding  of the  issuer's  single  class of
common stock as of August 7, 2001 was 43,468,329.


<PAGE>


                    COASTAL CARIBBEAN OILS & MINERALS, LTD.

                                   FORM 10-Q

                                 JUNE 30, 2001

                               Table of Contents

                         PART I - FINANCIAL INFORMATION

ITEM 1   Financial Statements                                              Page
                                                                           -----

         Consolidated balance sheets at June 30, 2001 and
         December 31, 2000                                                    3

         Consolidated statements of operations from January 31, 1953
         (inception) to June 30, 2001 and for the three and six months
         ended June 30, 2001 and 2000                                         4

         Consolidated statements of cash flows from January 31, 1953
         (inception) to June 30, 2001 and for the six months ended
         June 30, 2001 and 2000                                               5

         Notes to consolidated financial statements                           6

ITEM 2   Management's Discussion and Analysis of Financial
         Condition and Results of Operations                                  8

ITEM 3   Quantitative and Qualitative Disclosure About Market Risk            10


                          PART II - OTHER INFORMATION

ITEM 4   Submission of Matters to a Vote of Security Holders                  11

ITEM 6   Exhibits and Reports on Form 8-K                                     11

         Signatures                                                           12


<PAGE>


                     COASTAL CARIBBEAN OILS & MINERALS, LTD.

                                   FORM 10-Q

                         PART I - FINANCIAL INFORMATION

ITEM 1 - Financial Statements

                          CONSOLIDATED BALANCE SHEETS
                           (Expressed in U.S. dollars)

                             (A Bermuda Corporation)
                           A Development Stage Company
<TABLE>
<CAPTION>

                                                                                June 30,          December 31,
                                                                                  2001                2000
                                 ASSETS                                         (Unaudited)          (Note)

Current assets:
<S>                                                                           <C>                    <C>
  Cash and cash equivalents                                                   $   1,791,712          $   2,958,674
  Interest and accounts receivable                                                   19,034                 41,520
  Prepaid expenses                                                                  236,531                323,897
                                                                               ------------              ---------
          Total current assets                                                    2,047,277              3,324,091
                                                                               ------------              ---------


Unproved oil, gas and mineral properties (full cost method)                       4,805,527              4,807,722

Other                                                                                                       27,866
                                                                               ------------           ------------
Total assets                                                                   $  6,852,804           $  8,159,679
                                                                               ============           ============

                   LIABILITIES, MINORITY INTERESTS AND
                          SHAREHOLDERS' EQUITY

Current liabilities:
  Accounts payable and accrued liabilities                                     $    178,002           $    193,176
                                                                               ------------           ------------

Minority interests                                                                        -                      -

Shareholders' equity:
  Common stock, par value $.12 per share:
  Authorized  - 250,000,000 shares
  Outstanding - 43,468,329 shares                                                 5,216,199              5,216,199
  Capital in excess of par value                                                 31,497,362             31,497,362
                                                                               ------------             ----------
                                                                                 36,713,561             36,713,561
  Deficit accumulated during development stage                                  (30,038,759)           (28,747,058)
                                                                               -------------           ------------
  Total shareholders' equity                                                      6,674,802              7,966,503
                                                                               ------------           ------------

Total liabilities, minority interests and shareholders' equity                 $  6,852,804           $  8,159,679
                                                                               ============           ------------

                                  Note: The balance sheet at December 31, 2000 has been derived from
                                      the audited consolidated financial statements at that date.

                                                        See accompanying notes.
</TABLE>

<PAGE>


                    COASTAL CARIBBEAN OILS & MINERALS, LTD.
                                   FORM 10-Q
                         PART I - FINANCIAL INFORMATION

ITEM 1 - Financial Statements

                     CONSOLIDATED STATEMENTS OF OPERATIONS>

                           (Expressed in U.S. dollars)

                             (A Bermuda Corporation)
                           A Development Stage Company

                                   (unaudited)
<TABLE>
<CAPTION>
                                                                                                                          For the
                                                                                                                        period from
                                                                                                                       Jan. 31, 1953
                                                                                                                        (inception)
                                                                                                                         to June 30,
                                         Three months ended June 30,                Six months ended June 30,               2001
                                         ---------------------------               ---------------------------        --------------
                                            2001               2000                  2001                2000
                                            ----               ----                  ----                ----

<S>                                       <C>                <C>                   <C>                 <C>             <C>
Interest and other income                 $  23,466          $   9,925             $  60,746           $  19,472       $  3,851,869
                                          ---------          ---------             ---------           ---------       ------------

Expenses:

  Legal fees and costs                      384,262             87,185               908,961             254,083         13,919,474
  Administrative expenses                   130,872            135,773               281,276             285,904          8,154,937
  Salaries                                   37,950             37,950                75,900              75,900          3,296,528
  Shareholder  communications                70,582             61,320                85,830              88,693          3,865,462
  Exploration costs                               -              3,884                   480               6,427            824,692
  Lawsuit judgments                               -                  -                     -                   -          1,941,916
  Minority interests                              -                  -                     -                   -           (632,974)
  Other                                           -                  -                     -                   -            364,865
  Contractual services                            -                  -                     -                   -          2,155,728
                                          ---------          ---------             ---------           ---------       ------------
                                            623,666            326,112             1,352,447             711,007         33,890,628
                                          ---------          ---------             ---------           ---------        -----------

Net loss                                  $(600,200)         $(316,187)          $(1,291,701)          $(691,535)
                                          ==========         ==========          ============          ==========

Deficit accumulated during
  development stage                                                                                                    $(30,038,759)
                                                                                                                       =============

Average number of shares
  outstanding (basic &
  diluted)                               43,468,329         40,056,358            43,468,329          40,056,358
                                         ==========         ==========            ==========          ==========

Net loss per share (basic &              $(.01)              $(.01)               $(.03)              $(.02)
diluted)                                 ======              ======               ======              ======



                             See accompanying notes.
</TABLE>


<PAGE>



                    COASTAL CARIBBEAN OILS & MINERALS, LTD.
                                   FORM 10-Q
                         PART I - FINANCIAL INFORMATION

ITEM 1 - Financial Statements

                     CONSOLIDATED STATEMENTS OF CASH FLOWS
                           (Expressed in U.S. Dollars)

                             (A Bermuda Corporation)
                           A Development Stage Company

                                   (unaudited)
<TABLE>
<CAPTION>
                                                                                                       For the
                                                                                                      period from
                                                                                                     Jan. 31, 1953
                                                                        Six months ended              (inception)
                                                                            June 30,                  to June 30,
                                                                      2001              2000              2001
                                                                   ------------      ------------    ---------------
Operating activities:
<S>                                                                <C>                 <C>             <C>
Net loss                                                           $(1,291,701)        $(691,535)      $(30,038,759)
Adjustments to reconcile net loss
  to net cash used in operating activities:
    Minority interest                                                        -                 -           (632,974)
    Exploration and other                                                    -                 -            755,974
    Compensation recognized for stock options grant                          -            75,000             75,000
    Net change in:
       Interest and accounts receivable                                 22,486            20,184            (18,431)
       Prepaid expenses                                                 87,366           110,783           (236,531)
       Current liabilities                                             (15,174)           (3,318)           178,002
       Other                                                            27,866           (60,403)           498,303
                                                                   ------------      ------------     --------------
Net cash used in operating activities                               (1,169,157)         (549,289)       (29,419,416)
                                                                   ------------      ------------     --------------

Investing activities:
  Additions to oil, gas, and mineral properties
    net of assets acquired for common stock                              2,195             3,588         (4,805,527)
  Reimbursement of lease rentals and other expenses                          -                 -          1,243,085
  Proceeds from sale of marketable securities                                -           390,941                  -
  Purchase of fixed assets                                                   -                 -            (61,649)
                                                                   ------------      ------------     --------------
Net cash provided by (used in) investing activities                      2,195           394,529         (3,624,091)
                                                                   ------------      ------------     --------------

Financing activities:
  Cash proceeds from sale of
    common stock less expenses                                               -                 -         29,480,970
  Shares issued upon exercise of options                                     -                 -            884,249
  Sale of shares by subsidiary                                               -                 -            750,000
  Sale of subsidiary shares                                                  -                 -          3,720,000
                                                                   ------------      ------------     --------------
Net cash provided by financing activities                                    -                 -         34,835,219
                                                                   ------------      ------------     --------------
Net (decrease) increase in cash and cash equivalents                (1,166,962)         (154,760)         1,791,712
Cash and cash equivalents at beginning of period                     2,958,674           651,124                  -
                                                                   ------------      ------------     --------------
Cash and cash equivalents at end of period                          $1,791,712        $  496,364        $ 1,791,712
                                                                   ============      ============     ==============

                                                        See accompanying notes.
</TABLE>

<PAGE>


                    COASTAL CARIBBEAN OILS & MINERALS, LTD.
                                   FORM 10-Q
                         PART I - FINANCIAL INFORMATION

                                  June 30, 2001


ITEM 1   -    Financial Statements
------        --------------------


Note 1.  Basis of Presentation
         ---------------------

     The accompanying  unaudited  condensed  consolidated  financial  statements
include the  Company's  59.25% owned subsidiary,  Coastal Petroleum Company
("Coastal  Petroleum")  and have  been  prepared  in  accordance  with
generally accepted accounting  principles for interim financial  information and
with  the   instructions  to  Form  10-Q  and  Rule  10-01  of  Regulation  S-X.
Accordingly, they  do not  include  all of the  information  and  footnotes
required by generally  accepted  accounting  principles  for complete  financial
statements.  In the opinion of management,  all adjustments considered necessary
for a fair presentation have been included. All such adjustments are of a normal
recurring nature.  Operating results for the three and six months ended June 30,
2001 are not necessarily  indicative of the results that may be expected for the
year  ending  December  31,  2001.  For  further   information,   refer  to  the
consolidated   financial  statements  and  footnotes  thereto  included  in  the
Company's  Annual Report on Form 10-K for the year ended December 31, 2000.


Note 2.  Litigation
         ----------

     On January 16, 2001,  Coastal  Petroleum  Company filed a complaint in the
Leon  County  Circuit  Court,  Florida  against  the  State of  Florida  seeking
compensation for the  State's  taking of its property rights to explore for
oil and gas within its state Lease 224-A.

     On April 24, 2001,  the Leon County  Circuit  trial judge  granted  certain
royalty holders with overriding  royalties which aggregate  approximately  4% on
State Lease  224-A,  the right to  intervene  on a limited  basis in the takings
lawsuit  which was filed on January  16,  2001.  On May 22,  2001,  the  royalty
holders   appealed  the  Circuit   Court's   order  granting  them  limited
intervention  to the First District  Court of Appeal,  claiming the order denied
them the right to fully  participate  in the case until after final judgment and
that the court  erroneously  found that the royalty  holders  lack an  ownership
interest in Coastal's  lease. On June 12, 2001, the Court of Appeal ordered
the royalty  holders to show cause why the appeal  should not be  dismissed  for
lack of  jurisdiction.  The  royalty  holders  filed a response  to the Court of
Appeal  on June 21,  Coastal  Petroleum  filed its reply on July 2, 2001 and the
State of  Florida  filed  its  reply on July 5,  2001.  The  Court of  Appeal is
currently considering the matter.


<PAGE>



ITEM 1   -        Financial Statements (Cont'd)
------            -----------------------------

Note 2.  Litigation (Cont'd)
         -------------------

     On April 26, 2001,  the Leon County Circuit trial judge denied the State of
Florida's motions to dismiss the takings lawsuit which was filed on January
16, 2001. Discovery in the case is now proceeding.

     At June 30, 2001,  the amount of unproved  oil, gas and mineral  properties
totaled $4.8 million,  which costs the Company expects to recover.  However,  no
assurances can be given that Coastal Petroleum or Coastal Caribbean will prevail
in the Florida  litigation,  or that they will recover  compensation  for any of
their claims.

Note 3.       Earnings (loss) per share
              -------------------------

     Earnings  per common  share is based upon the  weighted  average  number of
common  and  common  equivalent  shares   outstanding  during  the  period.  The
Company's  basic and diluted  calculations  of EPS are the same because the
exercise of options is not  assumed in  calculating  diluted  EPS, as the result
would be anti-dilutive (the Company has continuing losses).


<PAGE>


ITEM 2    -       Management's Discussion and Analysis of Financial Condition
                  and Results of Operation
                  ------------------------------------------------------------

Liquidity and Capital Resources

     Statements  included  in  Management's   Discussion  and  Analysis  of
Financial Condition and Results of Operations which are not historical in nature
are  intended  to be,  and  are  hereby  identified  as,  "forward  looking
statements" for purposes of the "Safe Harbor Statement" under the
Private  Securities  Litigation Reform Act of 1995. The Company cautions readers
that forward looking  statements are subject to certain risks and  uncertainties
that could cause actual results to differ materially from those indicated in the
forward looking statements. Among the risks and uncertainties are:

         1.       the uncertainty of any decision favorable to Coastal Petroleum
                  in its litigation against the State of Florida; and

         2.       the substantial cost of continuing the litigation.


                              Short Term Liquidity

     At June 30 2001,  Coastal Caribbean had approximately  $1.8 million of cash
and cash equivalents  available and this amount should be sufficient to fund the
Company&'s  operations in the year 2001. These funds are expected to be used
for  general  corporate  purposes,   including  any  required   exploration  and
development  and to  continue  the  litigation  against  the  State of  Florida.

                               Long Term Liquidity

     On January 16, 2001,  Coastal  Petroleum  Company  filed a complaint in the
Leon  County  Circuit  Court,  Florida  against  the  State of  Florida  seeking
compensation for the  State's  taking of its property rights to explore for
oil and gas within its state Lease 224-A.  The Company  expects that the cost of
the litigation will be substantial.  If the litigation is prolonged, the Company
may be required to seek additional financing.


<PAGE>


ITEM 2    -       Management's Discussion and Analysis of Financial Condition
                  and Results of Operation (Cont'd)
                  ------------------------------------------------------------

Results of Operations

Three months ended June 30, 2001 vs. June 30, 2000

     The Company incurred a loss of $600,000 for the 2001 quarter, compared to a
loss of $316,000 for the comparable 2000 quarter.

     Interest  income and other income  increased  136% from $10,000 in the 2000
quarter  to  $23,000  in the 2001  quarter  because  of the funds  realized  and
invested   from  the  October  2000  sale  of  common  stock  to  the  Company's
shareholders.

     Legal  fees and costs  increased  341% to  $384,000  for the 2001  quarter,
compared to $87,000 in the prior period.  Legal fees and costs  increased in the
2001 period in connection with Coastal  Petroleum  Company's lawsuit against the
State of Florida  seeking  compensation  for the State's  taking of its property
rights to explore  for oil and gas within its state  Lease  224-A.  The  Company
expects that the cost of the litigation will be substantial.

     Administrative  expenses  decreased  4% during the 2001  period to $131,000
compared to $136,000 in the 2000 period.

     Salaries  did not change  during the periods and remained at $38,000 in the
2001 quarter.

     Shareholder  communications increased 15% during the 2001 period to $71,000
compared to $61,000 in the 2000 period  because of a timing  difference  between
the  periods  in  the  mailing  of the  materials  for  the  annual  meeting  of
shareholders.

     Exploration  costs  decreased  from $4,000 in the 2000 quarter to $0 in the
2001 quarter.


<PAGE>


ITEM 2    -       Management's Discussion and Analysis of Financial Condition
                  and Results of Operation (Cont'd)
                  ------------------------------------------------------------

Six months ended June 30, 2001 vs. June 30, 2000

     The Company incurred a loss of $1,292,000 for the 2001 period,  compared to
a loss of $692,000 for the comparable 2000 period.

     Interest  income and other  income  increased  212% from $19,000 in 2000 to
$61,000 in 2001 because of the funds realized and invested from the October 2000
sale of common stock to the Company's shareholders.

     Legal fees and costs  increased  258% to  $909,000  for 2001,  compared  to
$254,000 in the prior period.  Legal fees and costs increased in the 2001 period
in connection  with Coastal  Petroleum  Company's  lawsuit  against the State of
Florida  seeking  compensation  for the State's taking of its property rights to
explore for oil and gas within its state Lease 224-A.  The Company  expects that
the cost of the litigation will be substantial.

     Administrative  expenses  decreased 2% in 2001 to $281,000 from $286,000 in
the 2000 period.

     Salaries did not change during the periods and remained at $76,000 in 2001.

     Shareholder  communications  decreased 3% during the 2001 period to $86,000
compared to $89,000 in the 2000 period.

     Exploration costs decreased from $6,000 in the 2000 period to $500 in 2001.


ITEM 3   -    Quantitative and Qualitative Disclosure About Market Risk
------        ---------------------------------------------------------

     The Company  does not have any  significant  exposure to market risk as the
only  market  risk  sensitive  instruments  are its  investments  in  marketable
securities  classified  as cash and cash  equivalents.  At June  30,  2001,  the
carrying value of such  investments was  approximately  $1.63 million,  the fair
value was $1.78 million and the face value was $1.8  million.  Since the Company
expects to hold the  investments  to  maturity,  the  maturity  value  should be
realized.


<PAGE>



                    COASTAL CARIBBEAN OILS & MINERALS, LTD.

                          PART II - OTHER INFORMATION

                                 June 30, 2001

ITEM 4   -    Submission of Matters to a Vote of Security Holders
------        ---------------------------------------------------

     (a)      On May 17, 2001, the Company held its Annual Meeting of
              Shareholders.

     (b)      Directors  Nicholas  B. Dill and Timothy L.  Largay  were  elected
              for three year terms  expiring at the 2004 Annual General Meeting.
              The results of the votes cast by the Company's shareholders were
              as follows:

<TABLE>
<CAPTION>
                                          Number of Shares Voted                  Number of Shareholders Voting
                                          ----------------------                  -----------------------------
                                        For                 Withheld                For                Withheld
                                        ---                 --------                ---                --------

<S>                                    <C>                    <C>                    <C>                   <C>
Nicholas B. Dill                       38,559,960             1,134,195              2,316                 108
Timothy L. Largay                      38,409,616             1,284,539              2,325                  99
</TABLE>

     (c)
The firm of Ernst & Young LLP was approved as the Company's independent
auditors for the fiscal year ending December 31, 2001. The results of the votes
cast by the Company's shareholders were as follows:
<TABLE>
<CAPTION>

                  Number of Shares Voted                                  Number of Shareholders Voting
                  ----------------------                                  -----------------------------
        For                Against            Abstain               For              Against             Abstain
        ---                -------            -------               ---              -------             -------

<S>  <C>                  <C>                 <C>                  <C>                  <C>                <C>
     38,438,234           1,125,759           130,162              2,318                40                 66
</TABLE>


ITEM 6   -    Exhibits and Reports on Form 8-K
------        --------------------------------

         (a)      Exhibits
                  --------

                  None.

         (b)      Reports on Form 8-K
                  -------------------

                  None

<PAGE>


                    COASTAL CARIBBEAN OILS & MINERALS, LTD.

                                   FORM 10-Q

                                 June 30, 2001



                                   SIGNATURES
                                   ----------


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



                                         COASTAL CARIBBEAN OILS & MINERALS, LTD.
                                         ---------------------------------------
                                                       Registrant




Date:  August 8, 2001                      By/s/ James R. Joyce
                                          -------------------------------------
                                           James R. Joyce
                                           Treasurer and Chief Accounting and
                                           Financial Officer