UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                            Washington, D.C.  20549
  
                                   FORM 10-Q
  
  Quarterly Report Pursuant to Section 13 or 15(d) of the Securities
  Exchange Act of 1934
  
  (Mark One)
  
  (X) QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES
      EXCHANGE ACT OF 1934
  
  FOR THE QUARTERLY PERIOD ENDED September 30, 1998
  
  ( ) 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 0-1764
  
                          AMERICAN NUCLEAR CORPORATION
             (Exact Name of Registrant as Specified In Its Charter)
  
          Colorado                                     83-0178547
  ------------------------------             --------------------
  (State or other jurisdiction of                (I.R.S. Employer
  incorporation or organization)                Identification No.)
  
                        P. O. Box 2713
                        Casper, Wyoming                       82602
            (Address of principal executive offices)       (Zip code)
  
  Registrant's telephone number, including area code:  (307) 265-7912
  
       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  .
  
       Indicate the number of share outstanding of each of the issuer's
  classes of common stock, as of the close of the period covered by this
  report.
  
      4 cents par value common stock:  7,696,739 shares
  
  This report consists of 9 pages including one page constituting the
  cover page.
  
  PAGE
    <TABLE>
    <CAPTION>                                                     PAGE 2
                               AMERICAN NUCLEAR CORPORATION
                               STATEMENTS OF OPERATION
                          FOR THE THREE AND NINE MONTHS ENDED
                        SEPTEMBER 30, 1998 AND SEPTEMBER 30, 1997
                                     (UNAUDITED)

                                   Three Months Ended            Nine Months Ended
                                     September 30                 September 30,
                                  1998           1997           1998          1997
                                  ------         ------         ----          ----
<S>                               <C>            <C>            <C>           <C>
NET LOSS BEFORE DISCONTINUED
  OPERATIONS                      $      -0-    $      -0-      $      -0-    $      -0-

REVENUE FROM DISCONTINUED
   OPERATIONS 
   Reclamation Reimbursement             -0-           -0-         115,916        21,048
                                  ----------    ----------      ----------    ----------
   Total revenue from 
    discontinued operations              -0-           -0-         115,916        21,048

DISCONTINUED EXPENSES
   General and administrative         10,012        15,517          35,292        44,315
    Reclamation expense               17,045        10,399         141,798        30,121
    Interest income                     <591>         <454>         <2,198>       <2,675>
                                  ----------    ----------      ----------    ----------
    Total discontinued expenses       26,466        25,462         174,892        71,761

NET INCOME (LOSS)                 $  <26,466>   $  <25,462>     $  <58,976>   $  <50,713>


PER SHARE:

NET PROFIT (LOSS) BEFORE
  DISCONTINUED OPERATIONS PER
  SHARE                           $     0.00    $     0.00      $     0.00    $      0.00

DISCONTINUED OPERATIONS PER
  SHARE NET PROFIT (LOSS)         $     0.00    $     0.00           <0.01>   $     <0.01>

WEIGHTED AVERAGE NUMBER OF
  SHARES OUTSTANDING               7,696,739     7,696,739       7,696,739    $ 7,696,739

DIVIDENDS PER SHARE               $     0.00    $     0.00           0.00            0.00
</TABLE>

  
  
  
  
  
  
  
  <PAGE>
                                                                 PAGE 3
  <TABLE>
  
  <CAPTION>
                              AMERICAN NUCLEAR CORPORATION
                                     BALANCE SHEETS
                        September 30, 1998 and December 31, 1997
  
                                             September 30,      Dec. 31,
                                                1998             1997
                                             (Unaudited)      (Unaudited)
                                            --------------    ------------
  <S>                                       <C>               <C>
  ASSETS
  Current assets:
    Cash                                    $   112,119       $    134,096
                                            -----------       ------------
      Total current assets                  $   112,119       $    134,096
  
  Other assets:
    Other                                        75,366            112,366
  
                                            -----------       ------------
      Total other assets                         75,366            112,366
  
  Total assets                              $   187,485       $    246,462
                                            ===========       ============
  
  
  LIABILITIES AND STOCKHOLDERS' EQUITY
  
  Current liabilities:
    Trade accounts payable                          -0-                -0-
    Other current liabilities                       -0-                -0-
                                            -----------       ------------
      Total current liabilities                     -0-                -0-
  
  Common Stockholders' equity:
    Common stock                                314,080            314,080
    Additional paid-in capital               13,304,849         13,304,849
    Retained earnings                       <12,802,318>       <12,743,341>
    Less cost of treasury stock                <629,126>          <629,126>
                                            -----------       ------------
      Common stockholders' equity               187,485            246,462
  
  Total liabilities and stockholders'
    equity                                  $   187,485       $    246,462
                                            ===========       ============
  </TABLE>
  
  
  
  
  
  PAGE
                                                             PAGE 4
  <TABLE>
  <CAPTION>
                               AMERICAN NUCLEAR CORPORATION
                                 STATEMENTS OF CASH FLOW
                   FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1998 AND 1997
                                       (UNAUDITED)

                                                  Nine Months Ended
                                                    September 30
                                              1998              1997
                                              ----------        ----------
<S>                                           <C>               <C>
Cash flows from discontinued operations:
  Net loss                                    $   <58,976>      $   <50,713>

Adjustments to reconcile net loss to net
  cash used by operating activities:
  (Increase) Decrease in other assets              37,000            20,794
                                              -----------       -----------
  Total adjustments                                37,000            20,794 
                                              -----------       -----------

  Net cash used in operating activities           <21,976>          <29,919>

Net increase (decrease) in cash during the
  period                                          <21,976>          <29,919>

Cash at the beginning of the period               134,095           154,138

Cash at the end of the period                 $   112,119       $   124,219
                                              ===========       ===========
</TABLE>




















    PAGE
                                                         PAGE 5
    
                              AMERICAN NUCLEAR CORPORATION
                             NOTES TO FINANCIAL STATEMENTS
                       FOR THE THREE MONTHS AND NINE MONTHS ENDED
                             SEPTEMBER 30, 1998 AND 1997
                                      (UNAUDITED)
    
                      SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
    
  Basis of Presentation
  
       Liquidation Basis
  
       The accompanying financial statements have been prepared on a
  liquidation basis, which recognized the realization of assets and the
  satisfaction of a portion of the liabilities.  The Company's current
  assets exceeded its current liabilities by $112,119 and $134,096 at
  September 30, 1998 and December 31, 1997 respectively.  During 1994 the
  Company discontinued operations due to lack of operating capital.  For
  financial reporting purposes, the Company has offset contractual
  liabilities totaling $392,000.  These liabilities were recognized as
  income because the Company has no means of repaying the obligations
  under liquidation basis accounting.  The remaining Company cash
  deposits are being utilized to maintain compliance as long as possible
  with U.S. Nuclear Regulatory Commission (NRC) license requirements
  pertaining to the Company's uranium mining reclamation site.  The
  Company expects to be able to continue in compliance with the licensing
  requirements through 2000.
  
       The state of Wyoming declared the Company in default of its
  reclamation obligations when the Company terminated its business
  operations in May 1994.  Subsequently the reclamation bond fund of
  $3,213,255 was acquired by the Wyoming DEQ through forfeiture
  proceedings.  The state of Wyoming has consented to perform certain
  reclamation obligations, but has declined to assume the NRC license and
  the associated obligations.  The reclamation requirements have changed
  to require more work since the bond forfeiture, and the cash
  requirements to continue reclamation have increased by an undetermined
  amount.  There is the potential of a cost overrun in the range of $3
  million or considerably more.  The Company has not recognized a
  contingent liability for this amount because the Wyoming DEQ and NRC
  have not agreed upon a final reclamation plan upon which to base a cost
  estimate.  By state of Wyoming statute, the Company is liable for any
  cost overruns. 
  
       The Company remains liable for completion of its reclamation
  obligations even though it does not have enough assets with which to
  complete those obligations.  The NRC has served the Company with notice
  
  
  
  
  
  
  PAGE
                                                         PAGE 6
  
  that the Company's deliberate abandonment of its reclamation site would
  constitute an intentional violation of the Atomic Energy Act of 1954
  and could subject the Company to NRC enforcement actions and criminal
  sanctions.  The Company is complying with a NRC order to maintain and
  comply with the terms of its NRC license.  Further, the Company has an
  agreement with the Wyoming DEQ to maintain its corporate existence in
  order to receive Title X reclamation reimbursement funds from the U.S.
  Department of Energy and transfer agreed upon amounts to the Wyoming
  DEQ.  The Company intends to monitor its reclamation site for as long
  as possible in order to comply with the requirements of its license. 
  For these reasons, the Company is unable to dissolve.  The Company has
  no intention of entering into other businesses or continuing its
  limited operations beyond the time when it has fulfilled its
  obligations under the NRC license and those required by the state of
  Wyoming. 
  
       Interim Financial Statements
  
       The accompanying unaudited consolidated financial statements have
  been prepared in accordance with generally accepted accounting
  principles for interim financial information and with the instructions
  for 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.  The
  accompanying statements should be read in conjunction with the
  unaudited financial statements included in the Company's Report on Form
  10-K for the year ended December 31, 1997.  In the opinion of
  management, all adjustments (consisting only of normal recurring
  accruals) considered necessary for a fair presentation have been
  included.
  
  Per Share Amounts
  
       Earnings per share calculations are computed on the weighted
  average number of common shares outstanding during the respective
  periods.  Shares under option and warrants have been disregarded
  because their effect is anti-dilutive.
  
  Discontinuance of Operations
  
       Management began seeking a purchaser for its mining properties in
  the third quarter of 1993.  While potential purchasers continued to
  express interest, the Company did not receive any offer greater than
  the amount of the debt that was secured by the mortgage against the
  properties.  Inability to sell the mining properties, depletion of
  capital and lack of revenues deprived the Company of operating capital. 
  The Company determined to discontinue operations during May 1994 and to
  liquidate its miscellaneous property and to pay and discharge its
  current liabilities and other expenses associated with an orderly
  closing of business operations.  
  
  
  PAGE
                                                       PAGE 7
  
  
  Marketability of Common Stock on NASDAQ Small Cap Market
  
       Effective May 9, 1994 the Company's common stock was removed from
  listing on the NASDAQ Small Cap Market.  There are no trading markets
  for the Company's common stock.  Salt Ridge Energy, Inc., a corporation
  owned by Mr. Salisbury, President, acquired 2,893,072 shares of common
  stock during June 1998 and now owns 37.6% of the Company's
  outstanding stock. 
  
  
                     MANAGEMENTS DISCUSSION AND ANALYSIS OF
                 FINANCIAL CONDITION AND RESULTS OF OPERATIONS
  
  Results of Operations
  
       The Company discontinued operations during May 1994.  There were
  no operating revenues or operating losses reported during the first
  three quarters of 1998 or 1997.  See the "Discontinuance of Operations"
  and the "Liquidity and Capital Resources" sections in this report
  regarding additional information about the Company's cessation of
  operations.
  
       General and administrative expenses were $35,292 and $10,012 for
  the nine months and three months ended September 30, 1998 compared to
  $44,315 and $15,517 for the comparable periods ended September 30,
  1997.  This represents a 20% and 35% decrease for the nine and three
  months ended September 30, 1998 from the comparable periods ended
  September 30, 1997.  The decrease was due to the reduced activity
  between the Company, the NRC and Wyoming DEQ.
  
       Reclamation expenses were $141,798 and $17,045 for the nine and
  three months ended September 30, 1998 and $30,121 and $10,399 for the
  comparable 1997 periods.  These costs represent the ongoing costs of
  monitoring the Company's mill site and related activities during 
  reclamation.  In the previous quarter the Company received a $115,916
  reimbursement from the Department of Energy and paid $101,820 to the
  Wyoming Department of Environmental Quality. 
  
       There was $2,198 interest income for the first three quarters of
  1998, compared to $2,675 for the comparable period ending September 30,
  1997.  The interest is due to the reimbursement of DOE funds to the
  Company.  These funds will be used to monitor the reclamation site. 
  
       A net loss of $58,976 was recognized during the first three
  quarters of 1998 compared to a loss of $50,713 for the same period in
  1997.  The losses are expected to remain in the range of $15,000 per
  quarter as long as the Company continues to receive some of the
  reclamation reimbursements for continued monitoring of the reclamation
  site. 
  
  
  
    PAGE
                                                         PAGE 8
  
       Based upon a recent assessment, the Company believes the software
  it uses would present limited Year 2000 Issues.  The Year 2000 Issue is
  the result of computer programs that are written using two digits rather
  than four to define the applicable year.  Any computer programs that
  affect the Company's activities and that have date-sensitive software may
  recognize a date using "00" as the year 1900 rather than the year 2000. 
  This could result in a system failure or miscalculations causing
  disruptions of operations that depend upon such date sensitive software
  or computer hardware, including, among other things, a temporary
  inability to process transactions, send invoices and transfer funds, or
  engage in similar normal business activities. 
  
       The Company's activities are limited and it does not rely upon
  complex computer software or hardware for its own activities.  The
  Company has been unable to evaluate as of this date whether the software
  and computer equipment that the Company's banks and other contract
  parties rely upon, including the State of Wyoming and the U.S. Department
  of Energy, are Year 2000 compliant.  If they are not, and to the extent
  that the Company is conducting activities after December 31, 1999, the
  Company may experience delays and difficulties in receiving funds from
  the Department of Energy, if any remain due after that time, and in
  paying funds necessary to satisfy the Company's various financial and
  legal obligations.  These and related difficulties could have material
  adverse consequences for the Company and its financial condition. 
  
  Liquidity and Capital Resources
  
       The Company's working capital at September 30, 1998 was $112,119
  while at December 31, 1997 it was $134,096.  The decrease in working
  capital at September 30, 1998 was due to the ongoing cost of limited
  operations.  During May 1994, the Company discontinued operations
  because of its lack of funds.  Before that decision was made, the
  Company attempted to obtain additional loans, raise equity funds
  through a private placement of its common stock, secure byproduct
  disposal contracts, or sell its mineral properties.  None of these
  efforts were successful.  In addition, the Wyoming Department of
  Environmental Quality (DEQ) declared forfeiture of the $3.2 million
  reclamation bond fund to the DEQ to be used by the DEQ for completing
  reclamation of the Company's Gas Hills mill site.  The total cost of
  the reclamation work will not be known for many years, and the funds
  held by the DEQ are not expected to cover all the expenses.  The
  Company remains the licensee and owner of the reclamation site, and 
  the Company will not be released from the obligations of reclamation
  that are imposed by the license until reclamation work is completed and
  accepted by the regulatory agencies.  The Company has applied, under
  the federal program administered by the U.S. Department of Energy
  (DOE), for reimbursement of some of the reclamation work it has
  previously performed to clean up its mining and milling site.  The DOE
  
  
  
  
  PAGE
                                                       PAGE 9
  
  program has been funded by Congress and money has been allocated for
  the reimbursements.  The Company received approximately $116,000 from
  this program during 1998.  If Congress continues funding this Title X
  program, of which there is no assurance, the Company may receive
  additional DOE reimbursements during 1999.  Under the prevailing law
  and the terms of the order of  the U.S. Nuclear Regulatory Commission
  that directs the Company to continue to reclaim and monitor its
  reclamation site, the funds and any future funds that could be received
  under this program will be applied to ongoing monitoring and
  reclamation obligations over the next several years, including payments
  
  to the Company's independent contractors to perform such services. 
  None of the money will be applied to claims of creditors, and no funds
  will be available for distribution to shareholders because the
  reclamation obligations are projected to substantially exceed the funds
  that become available.  The DEQ has entered into an agreement with the
  Company providing that the state will not bring a deficiency action in
  court if the Company transfers Title X funds to the state to be applied
  to the deficiency for use by the state to perform reclamation.  The
  Tennessee Valley Authority (TVA), which had asserted a right to the
  funds based on its 1984 contract with the Company, released the Company
  from such claims due to an agreement between TVA and the state.  The
  agreement between the Company and DEQ provides that the Company and DEQ
  will use the DOE Title X funds toward monitoring and reclamation of the
  mill site in accordance with the NRC license.
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
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                                                        PAGE 10
  
                                  SIGNATURES
  
  
  Pursuant to the requirements of the Securities Exchange Act of 1934,
  the registrant has duly caused this report to be signed on their behalf
  by the undersigned thereunto being authorized.
  
                                     AMERICAN NUCLEAR CORPORATION
                                     Registrant
  
  
  
                                      (signature)
  November 10, 1998            By:  -----------------------------------
                                     William C. Salisbury
                                     President
  
  
  
                                      (signature)
  November 10, 1998            By:  -----------------------------------
                                     Dennis A. Eckerdt
                                     Secretary and Treasurer