FORM 10-QSB.-- QUARTERLY REPORT UNDER SECTION 13
                 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
                     (Last amended by 34-32231, eff. 6/3/93)

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

                                   FORM 10-QSB



[X] Quarterly Report Under Section 13 or 15(d) of the Securities Exchange Act of

1934 For the quarterly period ended March 31, 1999
                                    --------------------------------------------

                                       or

[ ] Transition Report Under Section 13 or 15(d) of the Exchange Act

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

Commission file number  2-54020
                        --------------------------------------------------------

                      American Geological Enterprises, Inc.
--------------------------------------------------------------------------------
             (Exact name of registrant as specified in its charter)

                Utah                                       87-0273300
-------------------------------------         ----------------------------------
   (State or other jurisdiction of                     (I.R.S. Employer
   incorporation or organization)                      Identification No.)

               495 East 4500 South, #102 Salt Lake City, UT 84107
--------------------------------------------------------------------------------
                    (Address of principal executive officers)

                                 (801) 293-8101
--------------------------------------------------------------------------------
                         (Registrant's telephone number)


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



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



As of March 31, 1999, 1,260,997 shares of common stock were outstanding.

<PAGE>

<TABLE>
                      AMERICAN GEOLOGICAL ENTERPRISES, INC.

                                 Balance Sheets
<CAPTION>

                                                                             March 31,
                                                                                1999    December 31,
                                 Assets                                     (unaudited)     1998
                                 ------                                     ----------   ----------
<S>                                                                         <C>             <C>    
Current assets:
    Cash and cash equivalents                                               $  949,208      945,212
    Marketable securities held-for-sale                                        205,574      209,049
    Accounts receivable                                                         22,117       19,874
    Interest receivable                                                          1,723        1,276
    Prepaid lease costs                                                          1,487        2,649
                                                                            ----------   ----------
           Total current assets                                              1,180,109    1,178,060

Investment in geothermal power unit, at cost, less accumulated
   amortization of $172,438 in 1999 and $164,940 in 1998                       654,761      662,259

Marketable securities held-to-maturity                                          70,935       70,968
                                                                            ----------   ----------
                                                                            $1,905,805    1,911,287
                                                                            ==========   ==========
                      Liabilities and Stockholders' Equity
                      ------------------------------------
Current liabilities:
    Accounts payable                                                        $    9,239       12,238
    Income taxes payable                                                         9,881        7,636
    Accrued liabilities                                                          1,331          416
    Deferred income taxes                                                        8,361        9,658
                                                                            ----------   ----------
           Total current liabilities                                            28,812       29,948

Deferred income taxes                                                           84,480       86,657
Deferred revenue                                                               926,822      937,435
Minority interest                                                               11,460       11,460

Stockholders' equity:
    Common stock, $.01 par value; authorized 2,500,000 shares; issued and
      outstanding 1,260,997 shares                                              12,610       12,610
    Additional paid-in capital                                                 557,211      557,211
    Unrealized gain on marketable securities, net of tax                        14,055       16,234
    Retained earnings                                                          270,355      259,732
                                                                            ----------   ----------
                                                                               854,231      845,787
                                                                            ----------   ----------
                                                                            $1,905,805    1,911,287
                                                                            ==========   ==========
</TABLE>



See accompanying notes to financial statements.

<PAGE>

                      AMERICAN GEOLOGICAL ENTERPRISES, INC.

                            Statements of Operations
                                   (Unaudited)


                                                         Three months ended
                                                        ---------------------
                                                        March 31,   March 31,
                                                           1999        1998
                                                         -------     -------

Revenues - gross revenues from geothermal power unit     $44,193      42,560
                                                         -------     -------
Expenses:
    Operating expenses of geothermal power unit           14,364      14,722
    Amortization of geothermal power unit                  7,497       7,498
    Lease costs                                            1,161       1,161
    Other general and administrative                      16,016      12,341
                                                         -------     -------
                                                          39,038      35,772
                                                         -------     -------
           Income from operations                          5,155       6,788

Other income and expenses:
    Interest income                                        7,014       8,694
    Dividend income                                          865         899
    Royalties                                               --            87
                                                         -------     -------
                                                           7,879       9,680
                                                         -------     -------

           Income before income taxes                     13,034      16,468

Income tax expense                                         2,411       3,500
                                                         -------     -------
           Net income                                    $10,623      12,968
                                                         =======     =======

           Net income per share                          $   .01         .01
                                                         =======     =======



See accompanying notes to financial statements.

<PAGE>

<TABLE>
                      AMERICAN GEOLOGICAL ENTERPRISES, INC.

                            Statements of Cash Flows
                                   (Unaudited)
<CAPTION>

                                                                        Three months ended
                                                                    -------------------------
                                                                     March 31,      March 31,
                                                                       1999           1998
                                                                    ---------      ---------
<S>                                                                 <C>               <C>   
Cash flows from operating activities:
    Net income                                                      $  10,623         12,968
    Adjustments to reconcile net income to net cash provided by
     (used in) operating activities:
        Amortization of geothermal power unit                           7,497          7,498
        Accretion on marketable securities held to maturity                33            138
        Change in operating assets and liabilities:
           Accounts receivable                                         (2,243)        15,377
           Interest and dividends receivable                             (447)          (447)
           Prepaid lease costs                                          1,162           (509)
           Accounts payable                                            (2,999)         1,744
           Income taxes payable                                         2,245         (6,978)
           Accrued liabilities                                            915        (14,055)
           Deferred income taxes                                       (2,177)        (2,204)
           Deferred revenue                                           (10,613)       (10,613)
                                                                    ---------      ---------
           Net cash provided by operating activities                    3,996          2,919
                                                                    ---------      ---------
Increase in cash and cash equivalents                                   3,996          2,919

Cash and cash equivalents at beginning of period                      945,212        935,431
                                                                    ---------      ---------
Cash and cash equivalents at end of period                          $ 949,208        938,350
                                                                    =========      =========
</TABLE>



See accompanying notes to financial statements.

<PAGE>

                      AMERICAN GEOLOGICAL ENTERPRISES, INC.

                      Notes and Disclosures to Form 10-QSB



1.     Presentation
       ------------

       The financial  statements as of March 31, 1999,  and for the three months
       then ended were prepared by American Geological  Enterprises,  Inc. (AGE)
       without audit pursuant to the rules and regulations of the Securities and
       Exchange Commission (SEC).  Certain information and footnote  disclosures
       normally included in the financial statements prepared in accordance with
       generally accepted  accounting  principles have been condensed or omitted
       pursuant to such rules and regulations. In the opinion of management, all
       necessary  adjustments  to the  financial  statements  have  been made to
       present fairly the financial  position and results of operations and cash
       flows.  The  results of  operations  for the  periods  presented  are not
       necessarily  indicative of the results for the respective complete years.
       AGE has  previously  filed  with the SEC a Form  10-KSB,  which  included
       audited  financial  statements for the two years ending December 31, 1998
       and 1997. It is suggested that the financial statements contained in this
       filing be read in  conjunction  with the  statements  and  notes  thereto
       contained in AGE's Form 10-KSB filing.


2.     Net Income Per Share
       --------------------

       Net income per share is computed by dividing  net income by the  weighted
       average number of shares outstanding during each period.



<PAGE>

                      AMERICAN GEOLOGICAL ENTERPRISES, INC.

           Management's Discussion and Analysis of Financial Condition
                            and Results of Operations



AGE is engaged in the acquisition of geothermal and oil and gas leases.  Revenue
consists of royalties and  interest.  AGE's  financial  condition and results of
operations  fluctuate  from year to year,  depending  upon the  production  from
current leases,  the availability of leases to be acquired,  and the opportunity
to sell lease  rights.  AGE's  ability to obtain  future  leases or to  generate
revenues from the sale of lease rights is not determinable; hence, its financial
condition and operations may fluctuate widely in the future.

Financial Condition & Results of Operations
-------------------------------------------

At March 31, 1999,  AGE's  financial  condition is consistent  with December 31,
1998. Income and expenses for the first quarters of 1999 and 1998 are consistent
except for other general and  administrative  expenses and interest income.  The
increase  in general  and  administrative  expenses in 1999 is mainly due to the
fact that these  expenses,  particularly  professional  fees,  are not  incurred
ratably  during the year.  The  decrease in interest  income in 1999 is due to a
decline in the interest rate for the largest  portion of AGE's  interest-earning
assets.

Liquidity & Commitments
-----------------------

AGE's  liquidity at March 31, 1999,  is considered  adequate with  $1,151,297 in
working  capital.  AGE is  committed  to  furnish  its  share of steam  from its
investment in a geothermal  power unit to PacifiCorp  under a 30-year  agreement
that commenced in 1991. Additionally,  AGE's future commitments consist of lease
payments on the land which lies within the participating  area of the geothermal
power unit.  There are no other  commitments  or anticipated  expenditures  of a
capital nature.

AGE's economic  future will be dependent,  in major part,  upon the value of its
undeveloped   interests  in  the  geothermal  power  unit.  The  value  of  such
undeveloped  interests will, in turn, be dependent upon, among other matters (a)
the then  current  price of  energy;  (b)  governmental  incentives  to  develop
renewable  resources;  (c)  regulatory  incentives;  and (d) the  load  needs of
PacifiCorp.



<PAGE>

                                     Part II

                                Other Information



There is no  information  to be  submitted  under Part II,  and no reports  were
required to be filed under Form 8-K during the period.






                               S I G N A T U R E S


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


                                           AMERICAN GEOLOGICAL ENTERPRISES, INC.
                                           (Registrant)




May 14, 1999                               /s/ Dominic Welch
-----------------------------              -------------------------------------
Date                                       DOMINIC WELCH, President/Treasurer




May 14, 1999                               /s/ Peter W. G. Cayias
-----------------------------              -------------------------------------
Date                                       PETER W.G. CAYIAS, Secretary