UNITED STATES OF AMERICA
                       SECURITIES AND EXCHANGE COMMISSION
                              WASHINGTON, DC 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 DECEMBER 31, 2002.

          or

[  ]  TRANSITION  REPORT  PURSUANT  TO  SECTION  13  OR  15(d) OF THE SECURITIES
      EXCHANGE  ACT OF 1934 FOR THE TRANSITION PERIOD FROM ___-____ TO __-_____.


                      Commission file number: 333-29001-01



                          ENERGY CORPORATION OF AMERICA
             (Exact name of registrant as specified in its charter)



                            WEST VIRGINIA  84-1235822
         (State or other jurisdiction of incorporation or organization)
                        (IRS Employer Identification No.)

                      4643 SOUTH ULSTER STREET, SUITE 1100
                             DENVER, COLORADO 80237
              (Address of principal executive offices and zip code)

                                 (303) 694-2667
              (Registrant's telephone number, including area code)



Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
    the preceding 12 months (or for such shorter period that 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 ___
                                   -----


    The number of shares of the Registrant's common stock, par value $1.00 per
                              share, outstanding at
                      December 31, 2002 was 621,991 shares.

<PAGE>
                          ENERGY CORPORATION OF AMERICA

                                TABLE OF CONTENTS


                                                                          PAGES
PART  I  FINANCIAL  INFORMATION

<TABLE>
<CAPTION>
<S>                                                                        <C>
Item 1. Financial Statements

Condensed Consolidated Balance Sheets
   December 31, 2002 (unaudited) and June 30, 2002. . . . . . . . . . . .   3

Unaudited Condensed Consolidated Statements of Operations
   For the three and six months ended December 31, 2002 and 2001. . . . .   5

Unaudited Condensed Consolidated Statements of Cash Flows
   For the six months ended December 31, 2002 and 2001. . . . . . . . . .   6

Unaudited Condensed Consolidated Statements of Comprehensive Income
   For the three and six months ended December 31, 2002 and 2001. . . . .   7

Notes to Unaudited Condensed Consolidated Financial Statements. . . . . .   8

Item 2. Management's Discussion and Analysis of Results of Operations and
   Financial Condition. . . . . . . . . . . . . . . . . . . . . . . . . .  11

Item 3. Quantitative and Qualitative Disclosures About Market Risk. . . .  17

Item 4. Controls and Procedures . . . . . . . . . . . . . . . . . . . . .  18


PART II  OTHER INFORMATION

Item 1. Legal Proceedings . . . . . . . . . . . . . . . . . . . . . . . .  18

Item 2. Changes in Securities . . . . . . . . . . . . . . . . . . . . . .  19

Item 3. Defaults Upon Senior Securities . . . . . . . . . . . . . . . . .  19

Item 4. Submission of Matters to a Vote of Security Holders . . . . . . .  19

Item 5. Other Information . . . . . . . . . . . . . . . . . . . . . . . .  20

Item 6. Exhibits and Reports on Form 8-K. . . . . . . . . . . . . . . . .  20

Signatures. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  21
</TABLE>

                                     -2-
<PAGE>
PART  I  FINANCIAL  INFORMATION
ITEM  1.  FINANCIAL  STATEMENTS

<TABLE>
<CAPTION>
 ENERGY  CORPORATION  OF  AMERICA
 CONDENSED  CONSOLIDATED  BALANCE  SHEETS
 (AMOUNTS  IN  THOUSANDS)
---------------------------------------------------------------------------------------
<S>                                                              <C>           <C>
                                                                  DECEMBER 31   JUNE 30
                                                                     2002        2002
                                                                  (UNAUDITED)     *
                                                                 ------------  --------
 ASSETS

 CURRENT ASSETS
    Cash and cash equivalents . . . . . . . . . . . . . . . . .  $      7,929  $ 17,775
    Accounts receivable, net of allowance for doubtful
       accounts of $1,362 and $1,366. . . . . . . . . . . . . .        19,367    18,165
    Gas inventory, lower of cost or market. . . . . . . . . . .            83       199
    Deferred income tax asset . . . . . . . . . . . . . . . . .         2,237     2,237
    Prepaid and other current assets. . . . . . . . . . . . . .         3,067     6,085
                                                                 ------------  --------
       Total current assets . . . . . . . . . . . . . . . . . .        32,683    44,461
                                                                 ------------  --------

 Property, plant and equipment, net of accumulated
    depreciation and depletion of $121,611 and $116,294 . . . .       241,702   244,155
                                                                 ------------  --------

 OTHER ASSETS
    Deferred financing costs, net of accumulated
       amortization of $5,207 and $3,722. . . . . . . . . . . .         3,602     3,617
    Notes receivable, related party . . . . . . . . . . . . . .         1,714     1,756
    Other . . . . . . . . . . . . . . . . . . . . . . . . . . .         8,775    10,747
                                                                 ------------  --------
       Total other assets . . . . . . . . . . . . . . . . . . .        14,091    16,120
                                                                 ------------  --------

 TOTAL. . . . . . . . . . . . . . . . . . . . . . . . . . . . .  $    288,476  $304,736
                                                                 ============  ========

 *   Condensed from audited consolidated financial statements.
<FN>

 The  accompanying notes are an integral part of these condensed consolidated financial
statements.
</TABLE>

                                     -3-
<PAGE>
<TABLE>
<CAPTION>

 ENERGY  CORPORATION  OF  AMERICA
 CONDENSED  CONSOLIDATED  BALANCE  SHEETS
 (AMOUNTS  IN  THOUSANDS,  EXCEPT  SHARE  DATA)
-----------------------------------------------------------------------------------------
<S>                                                              <C>            <C>
                                                                  DECEMBER 31    JUNE 30
                                                                     2002         2002
                                                                  (UNAUDITED)       *
                                                                 -------------  ---------
 LIABILITIES AND STOCKHOLDERS' EQUITY

 CURRENT LIABILITIES
    Accounts payable and accrued expenses . . . . . . . . . . .  $     11,475   $ 15,683
    Current portion of long-term debt . . . . . . . . . . . . .           127        121
    Funds held for future distribution. . . . . . . . . . . . .        12,876     11,414
    Taxes payable . . . . . . . . . . . . . . . . . . . . . . .        12,236      8,221
    Other . . . . . . . . . . . . . . . . . . . . . . . . . . .         7,323      7,258
                                                                 -------------  ---------
       Total current liabilities. . . . . . . . . . . . . . . .        44,037     42,697

 LONG-TERM OBLIGATIONS
    Long-term debt. . . . . . . . . . . . . . . . . . . . . . .       173,625    198,701
    Gas delivery obligation and deferred revenue. . . . . . . .         3,128      5,886
    Deferred income tax liability . . . . . . . . . . . . . . .        15,673      9,887
    Other . . . . . . . . . . . . . . . . . . . . . . . . . . .         8,273      8,689
                                                                 -------------  ---------
       Total liabilities. . . . . . . . . . . . . . . . . . . .       244,736    265,860
 Minority Interest. . . . . . . . . . . . . . . . . . . . . . .         1,628      1,732

 STOCKHOLDERS' EQUITY
    Common stock, par value $1.00; 2,000,000 shares
       authorized; 730,039 shares issued. . . . . . . . . . . .           730        730
    Class A stock, no par value; 100,000 shares authorized;
       45,582 shares issued . . . . . . . . . . . . . . . . . .         5,092      5,092
    Additional paid in capital. . . . . . . . . . . . . . . . .         5,503      5,503
    Retained earnings . . . . . . . . . . . . . . . . . . . . .        42,658     36,422
    Treasury stock and notes receivable arising from the
       issuance of common stock . . . . . . . . . . . . . . . .       (11,197)   (10,426)
    Accumulated comprehensive loss. . . . . . . . . . . . . . .          (674)      (177)
                                                                 -------------  ---------
       Total stockholders' equity . . . . . . . . . . . . . . .        42,112     37,144
                                                                 -------------  ---------

 TOTAL. . . . . . . . . . . . . . . . . . . . . . . . . . . . .  $    288,476   $304,736
                                                                 =============  =========

 *   Condensed from audited consolidated financial statements.
<FN>

 The  accompanying  notes  are an integral part of these condensed consolidated financial
statements.
</TABLE>

                                     -4-
<PAGE>
<TABLE>
<CAPTION>
 ENERGY  CORPORATION  OF  AMERICA
 CONDENSED  CONSOLIDATED  STATEMENTS  OF  OPERATIONS
 (UNAUDITED  -  AMOUNTS  IN  THOUSANDS,  EXCEPT  PER  SHARE  DATA)
----------------------------------------------------------------------------------------------

                                                       THREE MONTHS ENDED    SIX MONTHS ENDED
                                                          DECEMBER 31           DECEMBER 31
                                                      -------------------  -------------------
<S>                                                   <C>        <C>       <C>        <C>
                                                          2002      2001       2002      2001
                                                      ---------  --------  ---------  --------
 REVENUES:
    Oil and gas sales. . . . . . . . . . . . . . . .  $ 10,841   $ 9,788   $ 20,005   $21,298
    Gas marketing and pipeline sales . . . . . . . .    14,203    10,051     26,124    20,530
    Well operations and service revenues . . . . . .     1,339     1,318      2,806     2,723
    Other. . . . . . . . . . . . . . . . . . . . . .         -         -         36         -
                                                      ---------  --------  ---------  --------
         Total revenues. . . . . . . . . . . . . . .    26,383    21,157     48,971    44,551
 COST AND EXPENSES:
    Field operating expenses . . . . . . . . . . . .     2,477     2,616      4,962     5,124
    Gas marketing and pipeline cost. . . . . . . . .    12,967     9,107     23,723    19,148
    General and administrative . . . . . . . . . . .     3,773     3,503      7,332     7,027
    Taxes, other than income . . . . . . . . . . . .       633       380      1,264       902
    Depletion and depreciation, oil and gas related.     3,038     3,148      6,090     6,479
    Depreciation of pipelines and equipment. . . . .       939       673      1,795     1,419
    Exploration and impairment . . . . . . . . . . .     4,275       611      4,848     1,389
                                                      ---------  --------  ---------  --------
         Total costs and expenses. . . . . . . . . .    28,102    20,038     50,014    41,488
                                                      ---------  --------  ---------  --------
    Income (loss) from operations. . . . . . . . . .    (1,719)    1,119     (1,043)    3,063
 OTHER (INCOME) EXPENSE:
    Interest expense . . . . . . . . . . . . . . . .     4,262     4,940      9,143     9,927
    Interest income and other. . . . . . . . . . . .   (18,763)     (658)   (20,520)   (1,437)
                                                      ---------  --------  ---------  --------
 Income (loss) before income taxes . . . . . . . . .    12,782    (3,163)    10,334    (5,427)
 Income tax expense (benefit). . . . . . . . . . . .     4,512    (1,077)     3,688    (1,824)
                                                      ---------  --------  ---------  --------
 Income (loss) before minority interest. . . . . . .     8,270    (2,086)     6,646    (3,603)
 Minority interest . . . . . . . . . . . . . . . . .       (50)        -       (112)        -
                                                      ---------  --------  ---------  --------
 NET INCOME (LOSS) . . . . . . . . . . . . . . . . .  $  8,320   $(2,086)  $  6,758   $(3,603)
                                                      =========  ========  =========  ========

 Basic and diluted earnings per common share:
 Net income (loss)
      Basic. . . . . . . . . . . . . . . . . . . . .  $  12.77   $ (3.16)  $  10.34   $ (5.46)
                                                      =========  ========  =========  ========
      Diluted (see Note 5) . . . . . . . . . . . . .  $  12.49        N/A  $  10.12        N/A
                                                      =========  ========  =========  ========
<FN>

 The  accompanying  notes  are  an  integral  part  of  these condensed consolidated financial
statements.
</TABLE>

                                     -5-
<PAGE>
<TABLE>
<CAPTION>
 ENERGY  CORPORATION  OF  AMERICA
 CONDENSED  CONSOLIDATED  STATEMENTS  OF  CASH  FLOWS
 (UNAUDITED  -  AMOUNTS  IN  THOUSANDS)
-------------------------------------------------------------------------------------

                                                                    SIX MONTHS ENDED
                                                                       DECEMBER 31
                                                                 --------------------
<S>                                                              <C>        <C>
                                                                     2002       2001
                                                                 ---------  ---------
 CASH FLOWS FROM OPERATING ACTIVITIES
     Net income (loss). . . . . . . . . . . . . . . . . . . . .  $  6,758   $ (3,603)
     Adjustments to reconcile net income (loss) to net cash
          provided (used) by operating activities:
     Depletion, depreciation and amortization . . . . . . . . .     8,217      8,266
     Gain on purchase of senior bonds . . . . . . . . . . . . .   (22,693)         -
     Impairment and exploratory expense . . . . . . . . . . . .     4,714      1,003
     Other. . . . . . . . . . . . . . . . . . . . . . . . . . .     2,335       (884)
                                                                 ---------  ---------
                                                                     (669)     4,782
     Changes in assets and liabilities:
     Accounts receivable. . . . . . . . . . . . . . . . . . . .    (1,197)     4,194
     Gas inventory. . . . . . . . . . . . . . . . . . . . . . .       116        702
     Prepaid and other assets . . . . . . . . . . . . . . . . .    (1,800)      (786)
     Accounts payable . . . . . . . . . . . . . . . . . . . . .    (4,093)    (5,669)
     Income taxes payable . . . . . . . . . . . . . . . . . . .     5,482     (1,822)
     Funds held for future distribution . . . . . . . . . . . .     1,462     (5,482)
     Other. . . . . . . . . . . . . . . . . . . . . . . . . . .     2,465    (17,134)
                                                                 ---------  ---------
     Net cash provided (used) by operating activities . . . . .     1,766    (21,215)

 CASH FLOWS FROM INVESTING ACTIVITIES
     Expenditures for property, plant and equipment . . . . . .   (11,677)   (15,961)
     Proceeds from sale of assets . . . . . . . . . . . . . . .     3,084        307
     Notes receivable and other . . . . . . . . . . . . . . . .      (284)      (150)
                                                                 ---------  ---------
     Net cash used by investing activities. . . . . . . . . . .    (8,877)   (15,804)

 CASH FLOWS FROM FINANCING ACTIVITIES
     Proceeds from long-term debt . . . . . . . . . . . . . . .    42,923          -
     Principal payments on long-term debt . . . . . . . . . . .   (44,308)       (75)
     Purchase of treasury stock and other financing activities.      (825)      (682)
     Dividends paid . . . . . . . . . . . . . . . . . . . . . .      (525)      (528)
                                                                 ---------  ---------
     Net cash used by financing activities. . . . . . . . . . .    (2,735)    (1,285)
                                                                 ---------  ---------
     Net decrease in cash and cash equivalents. . . . . . . . .    (9,846)   (38,304)
     Cash and cash equivalents, beginning of period . . . . . .    17,775     80,336
                                                                 ---------  ---------
     Cash and cash equivalents, end of period . . . . . . . . .  $  7,929   $ 42,032
                                                                 =========  =========
<FN>

 The  accompanying  notes  are  an  integral  part  of  these  condensed consolidated
financial  statements.
</TABLE>

                                     -6-
<PAGE>
<TABLE>
<CAPTION>

 ENERGY  CORPORATION  OF  AMERICA
 CONDENSED  CONSOLIDATED  STATEMENTS  OF  COMPREHENSIVE  INCOME
 (UNAUDITED  -  AMOUNTS  IN  THOUSANDS)
--------------------------------------------------------------------------------------

                                                  THREE MONTHS ENDED  SIX MONTHS ENDED
                                                     DECEMBER 31         DECEMBER 31
                                                  ------------------  ----------------
<S>                                               <C>      <C>       <C>      <C>
                                                    2002      2001     2002      2001
                                                  -------  --------  -------  --------

 Net income (loss) . . . . . . . . . . . . . . .  $8,320   $(2,086)  $6,758   $(3,603)
 Other comprehensive income (loss), net of tax:
    Foreign currency translation adjustment:
       Current period change . . . . . . . . . .     500      (219)     177      (941)
    Marketable securities:
       Current period change . . . . . . . . . .       1        59       (5)       (2)
       Reclassification to earnings. . . . . . .      (9)        -      (25)        -
    Oil and gas derivatives:
       Current period transactions . . . . . . .    (386)       32     (813)    1,622
       Reclassification to earnings. . . . . . .      95    (1,541)     169    (3,475)
                                                  -------  --------  -------  --------
 Other comprehensive income (loss), net of tax .     201    (1,669)    (497)   (2,796)
                                                  -------  --------  -------  --------
 Comprehensive income (loss) . . . . . . . . . .  $8,521   $(3,755)  $6,261   $(6,399)
                                                  =======  ========  =======  ========


<FN>

The  accompanying notes are an integral part of these condensed consolidated financial
statements.
</TABLE>

                                     -7-
<PAGE>

                          ENERGY CORPORATION OF AMERICA
         NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
                                DECEMBER 31, 2002


1.     Nature  of  Organization

Energy Corporation of America (the "Company") was formed in June 1993 through an
exchange  of  shares  with  the  common  stockholders of Eastern American Energy
Corporation ("Eastern American").  The Company is an independent energy company.
All  references  to  the "Company" include Energy Corporation of America and its
consolidated  subsidiaries.

The Company, through its wholly owned subsidiary Eastern American, is engaged in
exploration, development and production, transportation and marketing of natural
gas  primarily  within  the  Appalachian  Basin  states  of  West  Virginia,
Pennsylvania,  Kentucky,  Virginia  and  Ohio.

The  Company,  through  its wholly owned subsidiaries Westech Energy Corporation
and Westech Energy New Zealand, is engaged in the exploration for and production
of  oil  and  natural  gas  primarily  in  Texas,  California  and  New Zealand.

2.     Accounting  Policies

Reference  is  hereby  made  to the Company's Annual Report on Form 10-K for the
fiscal  year  ended  June 30, 2002, which contains a summary of major accounting
policies  followed  in  preparation  of  its  consolidated financial statements.
These  policies  were  also  followed in preparing the quarterly report included
herein.

Management  of  the  Company  believes  that all adjustments, consisting of only
normal  recurring  accruals, necessary for a fair presentation of the results of
such  interim  periods have been made.  The results of operations for the period
ended  December  31,  2002  are  not necessarily indicative of the results to be
expected  for  the  full  year.

Certain  amounts  in  the  financial  statements  of  prior  periods  have  been
reclassified  to  conform  to  the  current  period  presentation.

3.     New  Accounting  Pronouncements

In  December 2002, the FASB approved Statement of Financial Accounting Standards
No.  148, "Accounting for Stock-Based Compensation - Transition and Disclosure -
an  amendment  of  FASB Statement No. 123" (SFAS  No. 148).  SFAS No. 148 amends
Statement of Financial Accounting Standards No. 123, "Accounting for Stock-Based
Compensation"  (SFAS No. 123) to provide alternative methods of transition for a
voluntary  change  to  the fair value based method of accounting for stock-based
employee  compensation.  In  addition,  SFAS  No.  148  amends  the  disclosure
requirements of SFAS No. 123 to require prominent disclosures in both annual and
interim  financial  statements  about  the  method of accounting for stock-based
employee  compensation  and  the  effect of the method used on reported results.
SFAS No. 148 is effective for financial statements for fiscal years ending after
December 15, 2002.  As permitted under SFAS No. 123, "Accounting for Stock-Based
Compensation", the Company has elected to continue to measure compensation costs
for  stock-based employee compensation plans using the intrinsic value method as
prescribed  by Accounting Principles Board Opinion No. 25, "Accounting for Stock
Issued  to  Employees".

                                     -8-
<PAGE>

4.     Note  Repurchases

The  Company  has  purchased  $62.9 million of its 9 % Senior Subordinated Notes
("Notes")  during  the  first six months of the current fiscal year in privately
negotiated  transactions.  Subsequent  to  December  31,  2002,  the Company has
purchased  an  additional  $2.5  million  of  such Notes in privately negotiated
transactions.

5.     Earnings  per  Share

A  reconciliation  of  the components of basic and diluted net income (loss) per
common  share  is  as  follows  for  the  net  income (loss) available to common
shareholders:

<TABLE>
<CAPTION>

<S>                                   <C>                 <C>      <C>
                                      NET INCOME (LOSS)
                                        (IN THOUSANDS)     SHARES   PER SHARE
                                      ------------------  -------  -----------
Three months ended December 31, 2002
      Basic. . . . . . . . . . . . .  $           8,320   651,787  $    12.77
      Diluted. . . . . . . . . . . .  $           8,320   666,053  $    12.49
Six months ended December 31, 2002
      Basic. . . . . . . . . . . . .  $           6,758   653,718  $    10.34
      Diluted. . . . . . . . . . . .  $           6,758   667,984  $    10.12
Three months ended December 31, 2001
      Basic and Diluted. . . . . . .  $          (2,086)  659,615  $    (3.16)
Six months ended December 31, 2001
      Basic and Diluted. . . . . . .  $          (3,603)  659,682  $    (5.46)
</TABLE>

The  effect  of outstanding stock options was not included in the computation of
diluted earnings per share for the periods ended December 31, 2001 because to do
so  would  have  been  antidilutive.

6.     Industry  Segments

The  Company's  reportable  business  segments have been identified based on the
differences  in products and service provided.  Revenues for the exploration and
production  segment  are derived from the production and sale of natural gas and
crude  oil.  Revenues  for  the  marketing  and  pipeline segment arise from the
marketing  of  both Company and third party produced natural gas volumes and the
related  transportation.  The  Company utilizes earnings before interest, taxes,
depreciation,  depletion,  amortization  and  exploration  and  impairment costs
("EBITDAX")  to  evaluate  the  operations  of  each  segment.

                                     -9-
<PAGE>

Summarized  financial  information  for  the  Company's  reportable segments for
operations  is  as  follows  (in  thousands):

<TABLE>
<CAPTION>
<S>                                          <C>              <C>            <C>        <C>
                                              Exploration &    Marketing &
                                              Production       Pipeline        Other     Consolidated
                                             ---------------  -------------  ---------  --------------
 For the six months ended December 31, 2002
-------------------------------------------
   Revenue from unaffiliated customers. . .  $       22,811   $     26,124   $     36   $      48,971
   Depreciation, depletion, amortization. .           6,692            406        787           7,885
   Exploration and impairment costs . . . .           4,848                                     4,848
   Income (loss) from operations. . . . . .          (1,373)           950       (620)         (1,043)
   Interest expense, net. . . . . . . . . .          10,670         (3,033)     1,169           8,806
   EBITDAX. . . . . . . . . . . . . . . . .          11,108          1,284     19,930          32,322
   Total assets . . . . . . . . . . . . . .         182,720         79,547     26,209         288,476
   Capital expenditures . . . . . . . . . .          11,095            174        408          11,677
------------------------------------------------------------------------------------------------------

 For the six months ended December 31, 2001
-------------------------------------------
   Revenue from unaffiliated customers. . .  $       24,021   $     20,530   $      -   $      44,551
   Depreciation, depletion, amortization. .           7,183            442        273           7,898
   Exploration and impairment costs . . . .           1,389                                     1,389
   Income (loss) from operations. . . . . .           3,259           (170)       (26)          3,063
   Interest expense, net. . . . . . . . . .          10,309         (3,630)     1,950           8,629
   EBITDAX. . . . . . . . . . . . . . . . .          12,891            324        572          13,787
   Total assets . . . . . . . . . . . . . .         154,545         74,652    112,694         341,891
   Capital expenditures . . . . . . . . . .          15,439             51        471          15,961
------------------------------------------------------------------------------------------------------

</TABLE>

Income  (loss) from operations represents revenues less costs which are directly
associated  with  such  operations.  Revenues  are  priced  and  accounted  for
consistently  for  both unaffiliated and intersegment sales.  The 'Other' column
includes  corporate-related  items,  including corporate debt and non-reportable
segments.  Included  in  the  total  assets  of  the  exploration and production
segment  are  net  long-lived  assets located in New Zealand of $4.1 million and
$5.2  million  as  of  December  31,  2002  and  2001.

7.     Derivative  Instruments  and  Hedging  Activities

The  Company periodically hedges a portion of its gas production through futures
and  swap  agreements.  The  purpose  of  the  hedges is to provide a measure of
stability  in  the  volatile environment of oil and gas prices and to manage its
exposure  to  commodity price risk under existing sales commitments.  All of the
Company's price swap agreements in place are designated as cash flow hedges.  At
December  31, 2002, the Company had recorded a $0.36 million other comprehensive
loss,  $0.04  million  short-term  derivative  asset,  $0.21  million short-term
derivative  tax  asset,  $0.57  million  short-term  derivative liability, $0.16
million  long-term derivative liability, and $0.12 million in recognized expense
due  to ineffectiveness.  The estimated net amount of the existing losses within
other  comprehensive  income  that are expected to be reclassified into earnings
within  the  next twelve months is approximately $0.31 million.  The Company has
partially  hedged  its  exposure to the variability in future cash flows through
October  2004.

                                     -10-
<PAGE>

8.     Contingencies

In  addition  to  the matters discussed in Legal Proceedings at Part II, Item 1,
the Company is involved in various other legal actions and claims arising in the
ordinary  course  of  business.  While  the  outcome of the lawsuits against the
Company  cannot  be  predicted  with certainty, management does not expect these
matters  to  have  a  material  adverse  effect  on  the Company's operations or
financial  position.


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

SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995
--------------------------------------------------------------------------------

     This  discussion  and  analysis  of  financial  condition  and  results  of
operations,  and  other  sections  of  this  Form  10-Q, contain forward-looking
statements  that  are  based  on  management's  beliefs,  assumptions,  current
expectations,  estimates,  intentions  and  projections  about  the  oil and gas
industry,  the  economy  and  about  the  Company  itself.  Words  such  as
"anticipates,"  "believes,"  "estimates," "expects," "forecasts," "intends," "is
likely,"  "plans,"  "predicts," "projects," variations of such words and similar
expressions  are  intended to identify such forward-looking statements under the
Private  Securities  Litigation  Reform  Act of 1995.  The Company cautions that
these  statements  are  not guarantees of future performance and involve certain
risks,  uncertainties  and assumptions that are difficult to predict with regard
to  timing,  extent,  likelihood  and  degree  of occurrence.  Therefore, actual
results  and  outcomes  may  materially  differ  from  what  may be expressed or
forecasted  in  such  forward-looking  statements.  Furthermore,  the  Company
undertakes no obligation to update, amend or clarify forward-looking statements,
whether  as  a  result  of  new  information,  future  events  or  otherwise.

     Important factors that could cause actual results to differ materially from
the  forward-looking  statements  include,  but  are  not  limited  to,  weather
conditions, changes in production volumes, worldwide demand and commodity prices
for  petroleum natural resources, the timing and extent of the Company's success
in  discovering,  acquiring,  developing  and  producing  oil  and  natural  gas
reserves,  risks  incident  to the drilling and operation of oil and natural gas
wells, future production and development costs, foreign currency exchange rates,
the  effect  of  existing  and  future  laws,  governmental  regulations and the
political  and economic climate of the United States and New Zealand, the effect
of  hedging  activities,  and  conditions  in  the  capital  markets.

     The  following  should  be read in conjunction with the Company's Financial
Statements  and  Notes  (including  the  segment information) at Part I, Item 1.

COMPARISON OF RESULTS OF OPERATIONS FOR THE THREE MONTHS ENDED DECEMBER 31, 2002
--------------------------------------------------------------------------------
AND  2001
---------

     The  Company  recorded  net  income  of  $8.3 million for the quarter ended
December  31, 2002 compared to a net loss of $2.1 million in 2001.  The increase
in  net  income  of  $10.4  million is attributable to the net of a $5.2 million
increase  in revenues, $8.1 million increase in costs and expenses, $0.7 million
decrease  in  interest expense, $18.1 million increase in other income, and $5.6
million  increase  in  income  tax  expense.

                                     -11-
<PAGE>

     Production,  marketing  and  pipeline  volumes,  revenue  and average sales
prices  for  the  quarters  ended December 31 and their related variances are as
follows:

<TABLE>
<CAPTION>
                                                   THREE MONTHS ENDED
                                                       DECEMBER 31        VARIANCE
                                                   ------------------ -----------------
<S>                                                  <C>      <C>     <C>      <C>
                                                       2002     2001  AMOUNT   PERCENT
                                                     -------  ------  -------  --------
 Natural Gas
   Production (Mmcf). . . . . . . . . . . . . . . .   2,455    2,548     (93)     -3.6%
   Average sales price received ($/Mcf) . . . . . .    4.21     2.50    1.71      68.4%
                                                     -------  ------  -------  --------
   Sales ($in thousands). . . . . . . . . . . . . .  10,328    6,371   3,957      62.1%
 Oil
   Production (Mbbl). . . . . . . . . . . . . . . .      23       30      (7)    -23.3%
   Average sales price received ($/Bbl) . . . . . .   24.06    18.71    5.35      28.6%
                                                     -------  ------  -------  --------
   Sales ($in thousands). . . . . . . . . . . . . .     547      568     (21)     -3.7%
 Hedging. . . . . . . . . . . . . . . . . . . . . .    (132)   2,679  (2,811)   -104.9%
 Other. . . . . . . . . . . . . . . . . . . . . . .      98      170     (72)    -42.4%
                                                     -------  ------  -------  --------
 Total oil and gas sales ($in thousands). . . . . .  10,841    9,788   1,053      10.8%
                                                     =======  ======  =======  ========
 Marketing Revenue
   Volume (Thousand Mmbtu). . . . . . . . . . . . .   2,482    2,735    (253)     -9.3%
   Average sales price received ($/Mmbtu) . . . . .    4.45     2.82    1.63      57.8%
                                                     -------  ------  -------  --------
   Sales ($in thousands). . . . . . . . . . . . . .  11,044    7,718   3,326      43.1%
 Pipeline Revenue
   Volume (Thousand Mmbtu). . . . . . . . . . . . .   1,459    1,538     (79)     -5.1%
   Average sales price received ($/Mmbtu) . . . . .    2.16     1.52    0.64      42.1%
                                                     -------  ------  -------  --------
   Sales ($in thousands). . . . . . . . . . . . . .   3,159    2,333     826      35.4%
                                                     -------  ------  -------  --------
 Total marketing and pipeline sales ($in thousands)  14,203   10,051   4,152      41.3%
                                                     =======  ======  =======  ========
 Marketing Gas Cost
   Volume (Thousand Mmbtu). . . . . . . . . . . . .   2,482    2,734    (252)     -9.2%
   Average price paid ($/Mmbtu) . . . . . . . . . .    4.20     2.66    1.54      57.9%
                                                     -------  ------  -------  --------
   Cost ($in thousands) . . . . . . . . . . . . . .  10,429    7,273   3,156      43.4%
 Pipeline Gas Cost
   Volume (Thousand Mmbtu). . . . . . . . . . . . .   1,182    1,250     (68)     -5.4%
   Average price paid ($/Mmbtu) . . . . . . . . . .    2.15     1.47    0.68      46.3%
                                                     -------  ------  -------  --------
   Cost ($in thousands) . . . . . . . . . . . . . .   2,538    1,834     704      38.4%
                                                     -------  ------  -------  --------
 Total marketing and pipeline cost ($in thousands).  12,967    9,107   3,860      42.4%
                                                     =======  ======  =======  ========
</TABLE>

     REVENUES.  Total  revenues  increased  $5.2  million  or  24.7% between the
     --------
periods.  The  net increase was due to a 10.8% increase in oil and gas sales and
a  41.3%  increase  in  gas  marketing  and pipeline sales.  Well operations and
service  revenues  remained  relatively  constant.

                                     -12-
<PAGE>

     Revenues  from  oil and gas sales increased a net of $1.0 million from $9.8
million for the quarter ended December 31, 2001 to $10.8 million for the quarter
ended December 31, 2002.  Natural gas sales increased $4.0 million and oil sales
declined  $0.02 million.  The net increase in production revenue is attributable
to  the  increase  in gas prices $4.2 million and the decrease in gas production
$0.2 million.  The price increase is a result of the rise in the related natural
gas indexes. The increased production revenue was offset by recognized losses on
related  hedging  transactions,  which  totaled  a  loss of $0.1 million for the
quarter  ended  December  31,  2002  compared  to a gain of $2.7 million for the
quarter ended December 31, 2001.  The average price per Mcfe, after hedging, was
$4.18 and $3.58 for the quarters ended December 31, 2002 and 2001, respectively.

     Revenues  from gas marketing and pipeline sales increased $4.1 million from
$10.1  million during the period ended December 31, 2001 to $14.2 million in the
period  ended  December  31,  2002. Gas marketing revenue increased $3.3 million
primarily  as  a  result  of  a  57.8% increase in the average sales price which
corresponds to the rise in the related natural gas price indexes for this period
compared  to  the  prior period. Marketing volumes declined 9.3% compared to the
prior  period primarily due to certain contracts that expired. Pipeline revenue,
which has a sales and transportation component, increased $0.8 million. Pipeline
volumes  are  down  5.1%  primarily  due  to  natural production declines on the
system.

     COSTS AND EXPENSES. The Company's costs and expenses increased $8.1 million
     -------------------
or 40.2% between the periods primarily as a net result of a 42.4% increase in
gas marketing and pipeline costs, a 66.6% increase in taxes other than income, a
4.1%  increase  in  depreciation, depletion and amortization expenses and a 600%
increase  in  exploration  and  impairment costs.  Field and lease operating and
general  and  administrative  expenses  were  comparable  between  periods.

     Gas  marketing  and  pipeline  costs increased $3.9 million.  Gas marketing
costs  increased  $3.2  million  and pipeline costs increased $0.7 million.  The
increase  in costs is primarily attributable to the increase in average price of
gas  which  corresponds  to the rise in the related natural gas indexes for this
period  compared  to  the  prior  period.

     Taxes  other  than  income  increased  $0.3  million due to the increase in
average  sales  price  received  for  oil  and  gas  production.

     Depreciation,  depletion  and amortization expenses increased primarily due
to  the  amortization  of  loan  closing  costs  and  depreciation  related to a
consolidated  subsidiary  that  owns  drilling  equipment.

     Exploration  and  impairment expenses increased $3.7 million.  The increase
is  primarily  due  to  dry  hole  expense  for  three exploratory wells and the
impairment  of  land  costs.

     OTHER  INCOME.  Other  income  increased  $18.1  million when comparing the
     -------------
periods.  This  is primarily the result of a gain of $20.9 million recognized on
the purchase of a portion of the Company's Notes.  The gain was partially offset
by  a  loss  of  $2.1  million  related to an unconsolidated entity in which the
Company has an investment and $0.4 million less interest income primarily due to
decreased  cash  balances.

COMPARISON  OF  RESULTS OF OPERATIONS FOR THE SIX MONTHS ENDED DECEMBER 31, 2002
--------------------------------------------------------------------------------
AND  2001
---------

     The  Company  recorded  net income of $6.8 million for the six-month period
ended  December  31,  2002  compared  to a net loss of $3.6 million for the same
period  in  2001.  The  increase  in  net  income  of $10.4 million is primarily
attributable  to  the  net  of  $4.4  million  increase in revenue, $8.5 million
increase in costs and expenses, $0.8 million decrease in interest expense, $19.1
million  increase  in  other  income  and  $5.5  million  increase in income tax
expense.

                                     -13-
<PAGE>

     Production,  marketing  and  pipeline  volumes,  revenue  and average sales
prices  for  the six months ended December 31 and their related variances are as
follows:

<TABLE>
<CAPTION>

                                                  SIX  MONTHS  ENDED
                                                        DECEMBER 31       VARIANCE
                                                  ------------------  -----------------
<S>                                                  <C>      <C>     <C>      <C>
                                                       2002     2001  AMOUNT   PERCENT
                                                     -------  ------  -------  --------
 Natural Gas
   Production (Mmcf). . . . . . . . . . . . . . . .   4,986    5,115    (129)     -2.5%
   Average sales price received ($/Mcf) . . . . . .    3.76     2.69    1.07      39.8%
                                                     -------  ------  -------  --------
   Sales ($in thousands). . . . . . . . . . . . . .  18,763   13,763   5,000      36.3%
 Oil
   Production (Mbbl). . . . . . . . . . . . . . . .      52       70     (18)    -25.7%
   Average sales price received ($/Bbl) . . . . . .   23.73    21.03    2.70      12.8%
                                                     -------  ------  -------  --------
   Sales ($in thousands). . . . . . . . . . . . . .   1,242    1,465    (223)    -15.2%
 Hedging (loss) gain. . . . . . . . . . . . . . . .    (194)   5,802  (5,996)   -103.3%
 Other. . . . . . . . . . . . . . . . . . . . . . .     194      268     (74)    -27.6%
                                                     -------  ------  -------  --------
 Total oil and gas sales ($in thousands). . . . . .  20,005   21,298  (1,293)     -6.1%
                                                     =======  ======  =======  ========
 Marketing Revenue
   Volume (Thousand Mmbtu). . . . . . . . . . . . .   4,914    5,178    (264)     -5.1%
   Average sales price received ($/Mmbtu) . . . . .    4.08     3.02    1.06      35.1%
                                                     -------  ------  -------  --------
   Sales ($in thousands). . . . . . . . . . . . . .  20,046   15,652   4,394      28.1%
 Pipeline Revenue
   Volume (Thousand Mmbtu). . . . . . . . . . . . .   2,938    3,002     (64)     -2.1%
   Average sales price received ($/Mmbtu) . . . . .    2.07     1.62    0.45      27.8%
                                                     -------  ------  -------  --------
   Sales ($in thousands). . . . . . . . . . . . . .   6,078    4,878   1,200      24.6%
                                                     -------  ------  -------  --------
 Total marketing and pipeline sales ($in thousands)  26,124   20,530   5,594      27.2%
                                                     =======  ======  =======  ========
 Marketing Gas Cost
   Volume (Thousand Mmbtu). . . . . . . . . . . . .   4,914    5,177    (263)     -5.1%
   Average price paid ($/Mmbtu) . . . . . . . . . .    3.84     2.93    0.91      31.1%
                                                     -------  ------  -------  --------
   Cost ($in thousands) . . . . . . . . . . . . . .  18,847   15,179   3,668      24.2%
 Pipeline Gas Cost
   Volume (Thousand Mmbtu). . . . . . . . . . . . .   2,365    2,480    (115)     -4.6%
   Average price paid ($/Mmbtu) . . . . . . . . . .    2.06     1.60    0.46      28.8%
                                                     -------  ------  -------  --------
   Cost ($in thousands) . . . . . . . . . . . . . .   4,876    3,969     907      22.9%
                                                     -------  ------  -------  --------
 Total marketing and pipeline cost ($in thousands).  23,723   19,148   4,575      23.9%
                                                     =======  ======  =======  ========
</TABLE>

     REVENUES.  Total  revenues  increased  $4.4  million  or  9.9%  between the
     --------
periods.  The net increase was due to a 6.1% decrease in oil and gas sales and a
27.2%  increase in gas marketing and pipeline sales. Well operations and service
revenues  remained  relatively  constant.

                                     -14-
<PAGE>

     Revenues  from  oil and gas sales decreased $1.3 million from $21.3 million
for  the  period  ended  December 31, 2001 to $20.0 million for the period ended
December  31, 2002.  The Company's net gas production decreased 129 Mmcf or 2.5%
between the periods and oil production decreased by 18 Mbbl or 25.7%. Offsetting
the  decrease  in volumes sold is an increase in average sales price for gas and
oil.  The  average  price  per  Mcf increased from $2.69 for the prior period to
$3.76  for  the  current period, and the average price per barrel increased from
$21.03 for the prior period to $23.73 for the current period.  The net effect of
the  increase in price and decrease in production between periods is an increase
of  $4.8 million in oil and gas sales before hedging activity. This increase was
offset  by  recognized  losses  related  to  hedging  transactions totaling $0.2
million  for  the  period  ended  December  31, 2002, compared to a gain of $5.8
million for the period ended December 31, 2001. The average price per Mcf, after
hedging,  was  $3.78 and $3.85 for the periods ended December 31, 2002 and 2001,
respectively.

     Revenues  from gas marketing and pipeline sales increased $5.6 million from
$20.5  million during the period ended December 31, 2001 to $26.1 million in the
period  ended December 31, 2002. Gas marketing revenue increased by $4.4 million
primarily  due  to  a 35.1% increase in average sales price per Mmbtu from $3.02
for  the  six  months  ended December 31, 2001 to $4.08 for the six months ended
December  31,  2002.  Offsetting this increase in average sales price was a 5.1%
decrease  in  gas  volumes  sold from 5.2 million Mmbtu for the six months ended
December  31,  2001  to  4.9 million Mmbtu for the six months ended December 31,
2002.  Pipeline  revenue  increased  by  $1.2  million  primarily due to a 27.8%
increase in the average sales price per Mmbtu. Offsetting this increase in price
was  a  2.1%  decline  in  gas volumes from 3.0 million Mmbtu for the six months
ended  December  31, 2001 to 2.9 million Mmbtu for the six months ended December
31,  2002. The increase in the average price was a result of the rise in natural
gas  index  prices  for  this  period  compared  to  the  prior  period.

     COSTS AND EXPENSES. The Company's costs and expenses increased $8.5 million
     --------------------
or  20.6%  between  the periods primarily as a net result of a 23.9% increase in
gas  marketing  and pipeline costs, a 40.1% increase in taxes other than income,
and  a  249.0%  increase  in  exploration  and impairment costs. Field and lease
operating,  together  with  general  and  administrative,  and  depreciation,
depletion,  and  amortization  expenses  were  comparable  between  periods.

     Gas  marketing  and  pipeline  costs  increased $4.6 million. Gas marketing
costs  increased  $3.7  million primarily due to a 31.1% increase in the average
price  paid per Mmbtu from $2.93 for the period ended December 31, 2001 to $3.84
for  the  period ended December 31, 2002. Offsetting the increase in the average
price  paid  was  a 5.1% decline in purchased gas volumes from 5.2 million Mmbtu
for  the  six  month  ended  December  31, 2001 to 4.9 million Mmbtu for the six
months  ended December 31, 2002. Pipeline costs increased $0.9 million primarily
due  to  a 28.8% increase in the average price paid for gas purchased from $1.60
per  Mmbtu  for the period ended December 31, 2001 to $2.06 for the period ended
December  31,  2002.  Offsetting  the increase in the average price paid for gas
purchased was a 4.6% decline in purchased gas volumes from 2.5 million Mmbtu for
the  period  ended  December  31, 2001 to 2.4 million Mmbtu for the period ended
December  31,  2002.  The increase in the average price paid was a result of the
rise  in  natural gas index prices for this period compared to the prior period.

     Taxes  other  than  income  increased  $0.4  million due to the increase in
average  sales  price  received  for  oil  and  gas  production.

     Exploration  and impairment expenses increased $3.5 million due to dry hole
expense  related  to  three  exploratory wells and the impairment of land costs.

     OTHER  INCOME. Other income increased $19.1 million when comparing periods.
     -------------
This  is  primarily  the  result  of  a  gain of $22.7 million recognized on the
purchase of a portion of the Company's Notes. The gain was partially offset by a
loss  of  $2.1  million related to an unconsolidated entity in which the Company
has an investment and a $1.0 million decline in interest income primarily due to
decreased  cash  balances.

                                     -15-
<PAGE>

LIQUIDITY  AND  CAPITAL  RESOURCES
----------------------------------

     The  Company's  financial  condition has improved since September 30, 2002,
but  at  the  same  time,  there has been a decrease in the Company's liquidity.
Stockholders'  equity  has increased from $34.4 million at September 30, 2002 to
$42.1  million  at  December  31,  2002.  The  Company's working capital of $1.7
million  at September 30, 2002 decreased to a negative $11.4 million at December
31, 2002.  The Company's cash decreased from $20.7 million at September 30, 2002
to  $7.9  million at December 31, 2002.  The Company's cash at February 10, 2003
was  $2.0 million.  The change in cash during the quarter of approximately $12.8
million  resulted  from various operating, investing and financing activities of
the  Company.  The  activities  were  primarily  comprised  of: the borrowing of
approximately  $27.9  million  under  the Company's $50 million revolving Credit
Agreement (the "Agreement"); the net investment of approximately $7.0 million in
property,  plant  and equipment; payments of approximately $35.4 million for the
purchase  of  a  portion  of  the  Company's  outstanding  Notes;  payments  of
approximately  $0.9 million for the acquisition of treasury stock and dividends;
and  approximately  $2.0 million of cash provided by operations and $0.6 million
of  cash  proceeds  from  sale  of  assets  during  the  quarter.

     On  December  13,  2002,  Standard & Poor's Rating Services ("S&P"), with a
negative  outlook,  lowered  its  corporate credit rating on the Company to CCC+
from  B,  and  its  rating on the Notes to CCC- from CCC+.  S&P stated that "the
ratings  downgrade  reflects  ECA's  burdensome  debt  leverage  with  limited,
near-term  prospects  for  significant  deleveraging  and  a  likely  decline in
liquidity  through  2003 as S&P expects ECA to outspend its internally generated
cash  flow.  Given the probable cash flow generation of ECA's properties, it may
be  very  challenging  for  the  company  to  continue  servicing its debt while
averting  depletion."

     At December 31, 2002, the Company's principal source of liquidity consisted
of  $7.9  million  of  cash,  plus  amounts  available  under the Agreement.  At
December  31,  2002,  $37.9  million  was  outstanding  under  the  Agreement.

     On  July  10,  2002,  the  Company entered into the Agreement with Foothill
Capital Corporation ("Foothill").  Depending on its level of borrowing under the
Agreement,  the  applicable interest rates are based on Wells Fargo's prime rate
plus  0.50% to 2.50%.  The Agreement expires on July 10, 2005.  The Agreement is
secured  by  certain  of the existing proved producing oil and gas assets of the
Company.  The  Agreement,  among  other  things,  restricts  the  ability of the
Company  and  its  subsidiaries  to  incur  new  debt, grant additional security
interests  in  its  collateral,  engage  in  certain  merger  or  reorganization
activities,  or  dispose  of certain assets.  Upon the occurrence of an event of
default,  the  lenders  may  terminate the Agreement and declare all obligations
thereunder  immediately  due  and  payable.  As  of February 10, 2003, there are
$34.0  million  in  outstanding  borrowings  under  the  Agreement.  Under  the
Indenture  for  the  Company's  Notes,  the Company is restricted from incurring
additional  debt  in  excess  of  the  $50 million available under the Agreement
unless  the  Company's fixed charge coverage ratio, as defined in the Indenture,
is  at  least 2.5 to 1.  Currently, the Company's fixed charge coverage ratio is
less  than  2.5  to  1.

     The  Company's net cash requirements will fluctuate based on timing and the
extent  of  the  interplay of capital expenditures, cash generated by continuing
operations,  cash  generated by the sale of assets and interest expense. EBITDAX
for  fiscal  years 2002, 2001 and 2000 was $19.7 million, $33.7 million and $4.1
million,  respectively. Management anticipates that EBITDAX, before inclusion of
anticipated  gain  on the sale of assets and anticipated gain on the purchase of
the Company's Notes, for fiscal year 2003 will approximate $33 million; however,
such  results  will  not  be  sufficient  to  fully  fund

                                     -16-
<PAGE>

fiscal  year  2003  projected  interest charges of over $17 million and fund the
Company's  anticipated  fiscal  year  2003  capital  expenditures program of $29
million.  Although  cash  provided  from  oil  and  gas  operations  will not be
sufficient  to  fully  fund  the  Company's  fiscal year 2003 projected interest
charges,  capital expenditures program, and other uses, management believes that
cash  generated  from  continuing  oil  and  gas  operations,  together with the
liquidity  provided by existing cash balances, permitted borrowings and the cash
proceeds  resulting  from  the  sale  of  certain  assets, will be sufficient to
satisfy  commitments for capital expenditures, debt service obligations, working
capital  needs  and  other  cash  requirements  for  the  current  fiscal  year.

     In order to reduce future cash interest payments, as well as future amounts
due at maturity or upon redemption, the Company may, from time to time, purchase
its  outstanding  Notes  in  open  market  purchases and/or privately negotiated
transactions.  The  Company will evaluate any such transactions in light of then
existing  market  conditions, taking into account its liquidity, uses of capital
and  prospects  for  future access to capital.  The amounts involved in any such
transaction,  individually  or  in  the  aggregate,  may  be  material.

     The  Company  believes that its existing capital resources and its expected
fiscal  year 2003 results of operations and cash flows from operating activities
will be sufficient for the Company to remain in compliance with the requirements
of  its  Notes.  However,  since  future  results  of operations, cash flow from
operating  activities,  debt  service  capability,  levels  and  availability of
capital  resources  and  continuing  liquidity  are  dependent on future weather
patterns,  oil  and  gas  commodity  prices and production volume levels, future
exploration  and  development  drilling  success  and  successful  acquisition
transactions,  no  assurance  can  be  given  that  the  Company  will remain in
compliance  with  the  requirements  of  its  Notes.  See  Part II Item 1 "Legal
Proceedings"  for  a  discussion  related  to the Company's receipt of Notice of
Default  from  certain  holders  of  the  Notes.


ITEM  3.  QUANTITATIVE  AND  QUALITATIVE  DISCLOSURES  ABOUT  MARKET  RISK
--------------------------------------------------------------------------

COMMODITY  RISK
---------------

     The  Company's  operations  consist  primarily of exploring for, producing,
aggregating  and  selling  natural  gas  and  oil.  Contracts  to deliver gas at
pre-established prices mitigate the risk to the Company of falling prices but at
the  same time limit the Company's ability to benefit from the effects of rising
prices.  The Company occasionally uses derivative instruments to hedge commodity
price  risk.  The  Company  hedges  a  portion  of  its  projected  natural  gas
production  through a variety of financial and physical arrangements intended to
support  natural  gas  prices  at  targeted levels and to manage its exposure to
price  fluctuations.  The  Company may use futures contracts, swaps, options and
fixed  price  physical  contracts to hedge commodity prices.  Realized gains and
losses from the Company's price risk management activities are recognized in oil
and  gas  sales  when  the associated production occurs.  Unrecognized gains and
losses  are  included  as  a  component  of  other  comprehensive  income.
Ineffectiveness  is  recorded  in current earnings. The Company does not hold or
issue  derivative  instruments  for trading purposes.  The Company currently has
elected  to  enter  into  hedge  transactions  through  derivative  and physical
delivery  contracts,  covering  approximately  64.1% of its estimated production
through  October  2004.

     Notwithstanding the above, the Company's future cash flows from gas and oil
production  are  exposed  to  significant volatility as commodity prices change.
Assuming  total  oil  and  gas  production  and the percentage of gas production
hedged  under  physical  delivery contracts and derivative instruments remain at
December 2002 levels, a 10% change in the average unhedged prices realized would
change  the  Company's  gas and oil revenues by approximately $0.51 million on a
quarterly  basis.

                                     -17-
<PAGE>

INTEREST  RATE  RISK
--------------------

     Interest  rate  risk  is  attributable  to the Company's debt.  The Company
utilizes United States dollar denominated borrowings to fund working capital and
investment  needs.  As  of  December  31,  2002,  all  but  $37.9 million of the
Company's  debt  has  fixed interest rates.  There is inherent rollover risk for
borrowings  as  they mature and are renewed at current market rates.  The extent
of  this  risk  is not predictable because of the variability of future interest
rates  and the Company's future financing needs.  Assuming the variable interest
debt remained at the December 31, 2002 level, a 10% change in rates would have a
$0.25  million  impact  on interest expense on an annual basis.  The Company has
not  attempted  to  hedge  the  interest  rate  risk  associated  with its debt.

FOREIGN  CURRENCY  EXCHANGE  RISK
---------------------------------

     Some  of the Company's transactions are denominated in New Zealand dollars.
For  foreign  operations  with  the  local  currency as the functional currency,
assets  and  liabilities  are  translated  at the period end exchange rates, and
statements  of  income  are  translated at the average exchange rates during the
period.  Gains  and  losses  resulting  from  foreign  currency  translation are
included  as  a  component  of  other  comprehensive  income.


ITEM  4.  CONTROLS  AND  PROCEDURES
-----------------------------------

     Under  the  supervision  and  with  the  participation  of  our management,
including  our  principal executive officer and principal financial officer, the
Company  has  evaluated  the  effectiveness  of  the design and operation of our
disclosure  controls  and  procedures  within 90 days of the filing date of this
quarterly report and, based on their evaluation, our principal executive officer
and  principal  financial  officer  have  concluded  that  these  controls  and
procedures  are  effective.  There  were  no significant changes in our internal
controls  or  in  other  factors  that could significantly affect these controls
subsequent  to the date of their evaluation.  Disclosure controls and procedures
are  our  controls  and  other  procedures  that  are  designed  to  ensure that
information required to be disclosed by us in the reports that we file or submit
under  the  Securities Exchange Act of 1934, as amended, is recorded, processed,
summarized and reported, within the time periods specified in the Securities and
Exchange  Commission's  rules  and  forms.  Disclosure  controls  and procedures
include,  without  limitation,  controls  and procedures designed to ensure that
information required to be disclosed by us in the reports that we file under the
Securities  Exchange  Act  is  accumulated  and  communicated to our management,
including  our  principal  executive officer and principal financial officer, as
appropriate  to  allow  timely  decisions  regarding  required  disclosure.

PART  II.  OTHER  INFORMATION

ITEM  1.  LEGAL  PROCEEDINGS

     As  previously disclosed, in June 2001, the Company filed a lawsuit against
Oracle  Corporation  for  breach  of contract, breach of warranty and rescission
with  respect  to  a  software  package  purchased  from  Oracle  and the failed
implementation  thereof.  The  Complaint  was  later  amended to add a claim for
fraud.  Oracle  answered  the  complaint,  substantially  denying  all  of  the
Company's  allegations,  and  filed a counterclaim against the Company. The case
was  scheduled  for trial in January 2003; however, prior to the commencement of
the  trial,  the  case  was  settled  on  terms  satisfactory  to  the  Company.

                                     -18-
<PAGE>

     As  previously  disclosed,  on  December  27,  2001, the Company received a
Notice  of  Default  from  certain  holders  of  its  $200  million 91/2% Senior
Subordinate Notes due 2007 (the "Notes") alleging a default under Section 4.9 of
the  Indenture  pursuant  to  which  the Notes were issued.  The alleged default
related to the proper calculation of Net Proceeds of an Asset Sale, particularly
with  respect  to  the  deduction  for taxes paid or payable as a result of such
sale.  On  December 28, 2001, the Company filed a declaratory judgment action in
the United States District Court for the Southern District of West Virginia (the
"Court")  against the holders of the Notes who issued the Notice of Default (the
"Noteholders"),  asking  the  Court  to  confirm  the  proper calculation of Net
Proceeds  of  an Asset Sale under the Indenture.  On January 25, 2002, the Court
entered  an  order  denying  the Noteholders' Motion to Dismiss and granting the
Company's  Motion  for  Partial  Summary  Judgment,  which  order  approved  the
Company's methodology in calculating taxes paid or payable in connection with an
Asset  Sale.  On  February  28,  2002,  the  Noteholders  filed  an  answer  and
counterclaim  in the declaratory judgment action.  The counterclaim alleged that
the  Company's  sale  of  Mountaineer  in  August  of 2000 constituted a sale of
substantially  all  assets  of  the  Company,  as  opposed to an Asset Sale, and
invoked  certain  obligations  under the Indenture to repurchase the outstanding
Notes.  On  March  25,  2002,  the  Company  filed its Second Motion for Partial
Summary  Judgment, asserting that the Noteholders were barred from asserting the
counterclaim.  On  June  3,  2002,  the  United  States  District  Court for the
Southern  District  of  West  Virginia  entered  an order granting the Company's
Second  Motion  for  Partial  Summary  Judgment,  which  order  dismissed  the
Noteholders'  claim  on the basis of judicial admissions and equitable estoppel.
On  May  22,  2002,  the  Noteholders filed a "Motion for Reconsideration of the
Court's  January  25,  2002,  Order  and Permission to Take Limited Discovery in
Order  to  Supplement  the  Record".  The  Court entered an Order dated July 19,
2002,  denying  the  Noteholders' Motion for Reconsideration.  On July 27, 2002,
the  Noteholders  filed a Notice of Appeal in the United States Court of Appeals
for  the  Fourth  Circuit.  The  Noteholders  subsequently  filed  a  motion  to
voluntarily  dismiss  the appeal without prejudice.  This motion was granted and
the  matter  was  remanded  to  the District Court. The District Court entered a
Stipulation  and  Final Judgment on December 3, 2002, and a Judgment Order dated
December  4, 2002. This discussion is qualified in its entirety by the foregoing
Stipulation  and  Final  Judgment  dated December 3, 2002 and the Judgment Order
dated  December  4,  2002,  which  are  attached as exhibits 99.01 and 99.02 and
incorporated  herein  by  reference.

     On  December  9,  2002, some of the Noteholders filed a Notice of Appeal to
the  United  States Court of Appeals for the Fourth Circuit from the Stipulation
and  Final Judgment Order dated December 3, 2002, and the Judgment Order entered
on  December  4,  2002.  The  appealing  Noteholders must file their brief on or
before  February  28,  2003.

     The  Company  is involved in various other legal actions and claims arising
in  the  ordinary course of business.  While the outcome of these other lawsuits
against  the  Company  cannot  be  predicted with certainty, management does not
expect  these  matters  to  have  a  material  adverse  effect  on the Company's
operations  or  financial  position.

ITEM  2.  CHANGES  IN  SECURITIES

          None

ITEM  3.  DEFAULTS  UPON  SENIOR  SECURITIES

          None

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

          None

                                     -19-
<PAGE>

ITEM  5.  OTHER  INFORMATION

          None

ITEM  6.  EXHIBITS  AND  REPORTS  ON  FORM  8-K

          a)     Exhibits:

                 99.01       Stipulation  and  Final  Judgment
                 99.02       Judgment  Order

                                     -20-
<PAGE>

                                   SIGNATURES


     Pursuant  to  the  requirements of the Securities Exchange Act of 1934, the
registrant  has  duly caused this report to be signed on its behalf by the under
signed  thereunto, duly authorized, in the City of Denver, State of Colorado, on
the  12th  day  of  February  2003.



     ENERGY  CORPORATION  OF  AMERICA




                                     By:     /s/John  Mork
                                        ----------------------------------------
                                        John  Mork
                                        Chief  Executive  Officer  and  Director




                                     By:     /s/Michael  S.  Fletcher
                                        ----------------------------------------
                                        Chief  Financial  Officer

                                     -21-
<PAGE>
CERTIFICATION  PURSUANT  TO  SECTION  302  UNDER  THE  SECURITIES  ACT  OF  1934
FORM  OF  302  CERTIFICATION  (10-Q)


I,  John  Mork,  certify  that:

1.     I  have reviewed this quarterly report on Form 10-Q of Energy Corporation
of  America;

2.     Based  on my knowledge, this quarterly report does not contain any untrue
statement  of a material fact or omit to state a material fact necessary to make
the  statements  made, in light of the circumstances under which such statements
were  made,  not misleading with respect to the period covered by this quarterly
report;

3.     Based  on  my  knowledge,  the  financial statements, and other financial
information  included  in  this quarterly report, fairly present in all material
respects  the  financial  condition, results of operations and cash flows of the
registrant  as  of,  and  for,  the  periods presented in this quarterly report;

4.     The  registrant's  other  certifying  officer  and  I are responsible for
establishing  and  maintaining disclosure controls and procedures (as defined in
Exchange  Act  Rules  13a-14  and  15d-14)  for  the  registrant  and  we  have:

a.     designed  such disclosure controls and procedures to ensure that material
information relating to the registrant, including its consolidated subsidiaries,
is  made  known  to  us by others within those entities, particularly during the
period  in  which  this  quarterly  report  is  being  prepared;

b.     evaluated  the  effectiveness of the registrant's disclosure controls and
procedures  as  of  a  date  within  90  days  prior  to the filing date of this
quarterly  report  (the  "Evaluation  Date");  and

c.     presented  in  this  quarterly  report  our  conclusions  about  the
effectiveness  of the disclosure controls and procedures based on our evaluation
as  of  the  Evaluation  Date;

5.     The  registrant's other certifying officer and I have disclosed, based on
our most recent evaluation, to the registrant's auditors and the audit committee
of  registrant's  board  of  directors  (or  persons  performing  the equivalent
function):

a.     all  significant  deficiencies  in  the  design  or operation of internal
controls  which  could  adversely  affect  the  registrant's  ability to record,
process,  summarize  and  report  financial  data  and  have  identified for the
registrant's  auditors  any  material  weaknesses  in  internal  controls;  and

b.     any  fraud,  whether  or  not material, that involves management or other
employees who have a significant role in the registrant's internal controls; and

6.     The  registrant's  other  certifying officer and I have indicated in this
quarterly  report  whether  or  not  there  were significant changes in internal
controls  or  in other factors that could significantly affect internal controls
subsequent  to  the date of our most recent evaluation, including any corrective
actions  with  regard  to  significant  deficiencies  and  material  weaknesses.


Dated:  February  12,  2003                      /s/John  Mork
                                            ------------------------------
                                            John  Mork
                                            Chief  Executive  Officer

                                     -22-
<PAGE>

CERTIFICATION  PURSUANT  TO  SECTION  302  UNDER  THE  SECURITIES  ACT  OF  1934
FORM  OF  302  CERTIFICATION  (10-Q)


I,  Michael  S.  Fletcher,  certify  that:

1.     I  have reviewed this quarterly report on Form 10-Q of Energy Corporation
of  America;

2.     Based  on my knowledge, this quarterly report does not contain any untrue
statement  of a material fact or omit to state a material fact necessary to make
the  statements  made, in light of the circumstances under which such statements
were  made,  not misleading with respect to the period covered by this quarterly
report;

3.     Based  on  my  knowledge,  the  financial statements, and other financial
information  included  in  this quarterly report, fairly present in all material
respects  the  financial  condition, results of operations and cash flows of the
registrant  as  of,  and  for,  the  periods presented in this quarterly report;

4.     The  registrant's  other  certifying  officer  and  I are responsible for
establishing  and  maintaining disclosure controls and procedures (as defined in
Exchange  Act  Rules  13a-14  and  15d-14)  for  the  registrant  and  we  have:
a.     designed  such disclosure controls and procedures to ensure that material
information relating to the registrant, including its consolidated subsidiaries,
is  made  known  to  us by others within those entities, particularly during the
period  in  which  this  quarterly  report  is  being  prepared;
b.     evaluated  the  effectiveness of the registrant's disclosure controls and
procedures  as  of  a  date  within  90  days  prior  to the filing date of this
quarterly  report  (the  "Evaluation  Date");  and
c.     presented  in  this  quarterly  report  our  conclusions  about  the
effectiveness  of the disclosure controls and procedures based on our evaluation
as  of  the  Evaluation  Date;

5.     The  registrant's other certifying officer and I have disclosed, based on
our most recent evaluation, to the registrant's auditors and the audit committee
of  registrant's  board  of  directors  (or  persons  performing  the equivalent
function):
d.     all  significant  deficiencies  in  the  design  or operation of internal
controls  which  could  adversely  affect  the  registrant's  ability to record,
process,  summarize  and  report  financial  data  and  have  identified for the
registrant's  auditors  any  material  weaknesses  in  internal  controls;  and
e.     any  fraud,  whether  or  not material, that involves management or other
employees who have a significant role in the registrant's internal controls; and

6.     The  registrant's  other  certifying officer and I have indicated in this
quarterly  report  whether  or  not  there  were significant changes in internal
controls  or  in other factors that could significantly affect internal controls
subsequent  to  the date of our most recent evaluation, including any corrective
actions  with  regard  to  significant  deficiencies  and  material  weaknesses.


Dated:  February  12,  2003                     /s/Michael  S.  Fletcher
                                            --------------------------------
                                            Michael  S.  Fletcher
                                            Chief  Financial  Officer

                                     -23-
<PAGE>