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UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, DC 20549



FORM 10QSB



|[X] | Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 FOR THE QUARTERLY PERIOD ENDED SEPTEMBER 30, 2001
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|    | 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 0-30847



OIL AND GAS SEEKERS, INC.





|NEVADA                                                         | 88-0420501                          
|-------------------------------------------------------------- | ------------------------------------
|(State of other jurisdiction of incorporation or organization) | (IRS Employer Identification Number)



2810 South Madison
Spokane, Washington 99203-1361



(509) 455-5681(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 [ ]

Indicate the number of shares outstanding of each of the issuer's classes of common stock, as of September 30, 2001: 38,362,000







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Board of Directors
Oil and Gas Seekers, Inc.
Spokane, WA



Accountant=s Review Report



We have reviewed the accompanying balance sheet of Oil and Gas Seekers, Inc. (an exploration stage enterprise) as of September 30, 2001 and the related statements of operations, stockholders= equity and cash flows for the nine months ended September 30, 2001 and 2000, and for the period from March 19, 1999 (inception) to September 30, 2001.  These financial statements are the responsibility of the Company=s management.



We conducted our review in accordance with standards established by the American Institute of Certified Public Accountants.  A review of interim financial information consists principally of applying analytical procedures to financial data and making inquiries of persons responsible for financial and accounting matters.  It is substantially less in scope than an audit in accordance with auditing standards generally accepted in the United States of America, the objective of which is the expression of an opinion regarding the financial statements taken as a whole.  Accordingly, we do not express such an opinion.



Based on our review, we are not aware of any material modifications that should be made to the accompanying financial statements in order for them to be in conformity with accounting principles generally accepted in the United States of America.



The financial statements for the year ended December 31, 2000 were audited by us and we expressed an unqualified opinion on them in our report dated March 8, 2001, but we have not performed any auditing procedures since that date.



The accompanying financial statements have been prepared assuming that the Company will continue as a going concern.  As discussed in Note 2 to the financial statements, the Company=s significant operating losses raise substantial doubt about its ability to continue as a going concern.  Management=s plans are also discussed in Note 2.  The financial statements do not include any adjustments that might result from the outcome of this uncertainty.



/s/ Williams & Webster, P.S.
Williams & Webster, P.S.Certified Public Accountants
Spokane, Washington
October 9, 2001

F-1



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|OIL & GAS SEEKERS, INC.
(AN EXPLORATION STAGE ENTERPRISE)
BALANCE SHEETS
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|LIABILITIES AND STOCKHOLDERS' EQUITY                                    
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See accompanying notes and accountant

F-2



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|OIL & GAS SEEKERS, INC.
(AN EXPLORATION STAGE ENTERPRISE)
STATEMENTS OF OPERATIONS
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|REVENUES                                                                          
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|GENERAL AND ADMINISTRATIVE EXPENSES                                               
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|LOSS BEFORE INCOME TAXES                                                          
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|INCOME TAXES                                                                      
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|NET LOSS                                                                          
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|BASIC AND DILUTED NET LOSS PER COMMON SHARE                                       
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|WEIGHTED AVERAGE NUMBER OF BASIC AND DILUTED COMMON SHARES OUTSTANDING            



See accompanying notes and accountant

F-3



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|OIL & GAS SEEKERS, INC.
(AN EXPLORATION STAGE ENTERPRISE)
STATEMENT OF STOCKHOLDERS' EQUITY
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|Common Stock                                                                               
|Number of Shares                                                                           
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|Stock issued in March 1999 for an average of $0.003 per share                              
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|Net loss for the period from inception to December 31, 1999                                
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|Balance, December 31, 1999                                                                 
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|Net loss for the year ended December 31, 2000                                              
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|Balance, December 31, 2000                                                                 
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|Net loss for the nine months ended September 30, 2001                                      
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|Balance, September 30, 2001 (Unaudited)                                                    
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See accompanying notes and accountant

F-4



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|OIL & GAS SEEKERS, INC.
(AN EXPLORATION STAGE ENTERPRISE)
STATEMENTS OF CASH FLOWS
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|CASH FLOWS FROM OPERATING ACTIVITIES:                                             
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|CASH FLOWS FROM INVESTING ACTIVITIES:                                             
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|CASH FLOWS FROM FINANCING ACTIVITIES:                                             
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|SUPPLEMENTAL CASH FLOW DISCLOSURES:                                               
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See accompanying notes and accountant

F-5



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OIL AND GAS SEEKERS, INC.
(AN EXPLORATION STAGE ENTERPRISE)
NOTES TO THE FINANCIAL STATEMENTS
September 30, 2001



NOTE 1

Oil and Gas Seekers, Inc. (hereinafter

NOTE 2

This summary of significant accounting policies is presented to assist in understanding the Company

Use of Estimates

The process of preparing financial statements in conformity with accounting principles generally accepted in the United States of America, requires the use of estimates and assumptions regarding certain types of assets, liabilities, revenues, and expenses. Accordingly, upon settlement, actual results may differ from estimated amounts.

Accounting Method

The Company uses the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America.

Exploration Stage Activities

The Company has been in the exploration stage since its formation in March 1999 and has not yet realized any revenues from its planned operations.  It is primarily engaged in the acquisition, exploration and development of natural resource properties.  Upon location of a commercial reserve, the Company expects to actively prepare the site for extraction and enter a development stage.

Cash and Cash Equivalents

For purposes of its statement of cash flows, the Company considers all short-term debt securities purchased with a maturity of three months or less to be cash equivalents.

Fair Value of Financial Instruments

The Company's financial instruments as defined by SFAS No. 107, "Disclosures about Fair Value of Financial Instruments," include cash, accounts payable and accrued expenses.  All instruments are accounted for on a historical cost basis, which, due to the short maturity of these financial instruments, approximates fair value at September 30, 2001 and December 31, 2000.

F-6



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OIL AND GAS SEEKERS, INC.
NOTES TO THE FINANCIAL STATEMENTS
September 30, 2001

NOTE 2

Derivative Instruments

The Financial Accounting Standards Board issued Statement of Financial Accounting Standards (

If certain conditions are met, a derivative may be specifically designated as a hedge, the objective of which is to match the timing of gain or loss recognition on the hedging derivative with the recognition of (i) the changes in the fair value of the hedged asset or liability that are attributable to the hedged risk or (ii) the earnings effect of the hedged forecasted transaction. For a derivative not designated as a hedging instrument, the gain or loss is recognized in income in the period of change.



Historically, the Company has not entered into derivatives contracts to hedge existing risks or for speculative purposes.



At September 30, 2001, the Company has not engaged in any transactions that would be considered derivative instruments or hedging activities.



Oil and Gas Properties

The Company uses the successful efforts method of accounting for oil and gas producing activities.   Costs to acquire mineral interests in oil and gas properties, to drill and equip exploratory wells that find proved reserves, and to drill and equip development wells are capitalized.  Costs to drill exploratory wells that do not find proved reserves, geological and geophysical costs, and costs of carrying and retaining unproved properties are expensed.



Unproved oil and gas properties that are individually significant are periodically assessed for impairment of value, and a loss is recognized at the time of impairment by providing an impairment allowance.  Other unproved properties are amortized based on the Company



F-7



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OIL AND GAS SEEKERS, INC.
(AN EXPLORATION STAGE ENTERPRISE)
NOTES TO THE FINANCIAL STATEMENTS
September 30, 2001



NOTE 2



Oil and Gas Properties (Continued)

On the sale or retirement of a complete unit of a proven property, the cost and related accumulated depreciation, depletion, and amortization are eliminated from the property accounts, and the resultant gain or loss is recognized.  On the retirement or sale of a partial unit of proven property, the cost is charged to accumulated depreciation, depletion, and amortization with a resulting gain or loss recognized in income.



On the sale of an entire interest in an unproved property for cash or cash equivalent, gain or loss on the sale is recognized, taking into consideration the amount of any recorded impairment if the property had been assessed individually.  If a partial interest in an unproved property is sold, the amount received is treated as a reduction of the cost of the interest retained.



Inventories

At the point the Company obtains inventories, they will be valued at the lower of cost or market.  The cost of inventories of crude oil and petroleum products will be determined on the last-in, first-out (LIFO) method.



Impaired Asset Policy

In March 1995, the Financial Accounting Standards Board issued a statement titled



Revenues

As noted in its statement of operations, Oil and Gas Seekers, Inc. has not produced any revenue in the period ended September 30, 2001 or in the year ended December 31, 2000.  When the Company does produce revenue, sales will be recognized at the point of passage of title specified in the contract.



Exploration Costs

In accordance with accounting principles generally accepted in the United States of America, the Company will expense exploration costs as incurred.



Compensated Absences

Currently, the Company has no employees; therefore, no policy regarding compensated absences has been established.  The Company will establish a policy to recognize the costs of compensated absences at the point in time that it has employees.



F-8



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OIL AND GAS SEEKERS, INC.
(AN EXPLORATION STAGE ENTERPRISE)
NOTES TO THE FINANCIAL STATEMENTS
September 30, 2001



NOTE 2

Provision for Taxes

Income taxes are provided based upon the liability method of accounting pursuant to SFAS No. 109

At September 30, 2001, the Company had net deferred tax assets of approximately $7,200, principally arising from net operating loss carryforwards for income tax purposes.  As management of the Company cannot determine that it is more likely than not that the Company will realize the benefit of the net deferred tax asset, a valuation allowance equal to the net deferred tax asset has been established at September 30, 2001.



At September 30, 2001, the Company has net operating loss carryforwards of approximately $48,300, which expire in the years 2020 through 2021.



Loss Per Share

Loss per share was computed by dividing the net loss by the weighted average number of shares outstanding during the period.  The weighted average number of shares was calculated by taking the number of shares outstanding and weighting them by the amount of time that they were outstanding.  Basic and diluted loss per share is the same, as there were no common stock equivalents outstanding.



Environmental Expenditures

The Company will accrue for environmental remediation liabilities when it is probable that such liability exists, based on past events or known conditions, and the amount of such loss can be reasonably estimated.  If the Company can only estimate a range of probable liabilities, the minimum, undiscounted expenditure necessary to satisfy the Company



Going Concern

The accompanying financial statements have been prepared assuming that the Company will continue as a going concern.



F-9



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OIL AND GAS SEEKERS, INC.
(AN EXPLORATION STAGE ENTERPRISE)
NOTES TO THE FINANCIAL STATEMENTS
September 30, 2001



NOTE 2



Going Concern (continued)

As shown in the accompanying financial statements, the Company has an accumulated deficit of $48,306.  The Company has been in exploration stage since inception and has generated no revenues.  These factors raise substantial doubt about the Company



Interim Financial Statements

The interim financial statements as of and for the nine months ended September 30, 2001 included herein have been prepared for the Company without audit.  They reflect all adjustments, which are, in the opinion of management, necessary to present fairly the results of operations for these periods.  All such adjustments are normal recurring adjustments.  The results of operations for the periods presented are not necessarily indicative of the results to be expected for the full fiscal year.



Accounting Pronouncements

In June 1997, the Financial Accounting Standards Board issued Statement of Financial Accounting Standards No. 130, "Reporting Comprehensive Income" ("SFAS No. 130"), and No. 131, "Disclosures about Segments of an Enterprise and Related Information" ("SFAS No. 131"). SFAS 130 establishes standards for reporting and displaying comprehensive income, its components and accumulated balances. SFAS 131 establishes standards for the way that companies report information about operating segments in annual financial statements and requires reporting of selected information about operating segments in interim financial statements. Both SFAS 130 and SFAS 131 are effective for periods beginning after December 15, 1997. The Company adopted these accounting standards, and their adoption had no effect on the Company's financial statements and disclosures.

In September 2000, the FASB issued SFAS No. 140



F-10



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OIL AND GAS SEEKERS, INC.
(AN EXPLORATION STAGE ENTERPRISE)
NOTES TO THE FINANCIAL STATEMENTS
September 30, 2001



NOTE 3



The Company has the authority to issue 100,000,000 shares of common stock, having a par value of $0.00001 per share.   In March 1999, 38,362,000 shares of common stock were issued for cash at an average price of $0.003 per share.  During the year ended December 31, 2000 and the period ended September 30, 2001, the Company had no issuances of common stock.



NOTE 4

The Company occupies office space provided by Mr. Harold Kaufman Jr., the secretary of the Company, at a rate of $1,000 per year.   For the periods ended September 30, 2000 and 2001, rent expense was $750 and $750, respectively.

NOTE 5



On March 31, 2000, the Company acquired for $15,000 a 100% leasehold interest and a 78% net revenue interest in a lease containing oil and gas rights in Stephens County, Texas.  The lease is limited to two years and can be extended under certain circumstances in the event of actual drilling or production.



NOTE 6

The Company



F-11



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ITEM 2.MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION.

The Company intends to spend its existing cash on drilling operations on its existing oil and gas lease.  The Company does not intend to acquire any additional oil and gas leases until it completes drilling operations on its existing lease.  The Company intends to initiate its drilling operations within the next twelve months and believes that it will complete its drilling operations within the next eighteen months.  The Company does not believe it will need additional capital to commence its drilling operations, but will need additional capital to complete its well.

The Company had negative cash flow during the last twelve months. The Company intends to reduce its dependence on new financings by completing its initial drilling operation.  Income from the sale of oil or gas will then be applied to the Company=s plan to acquire additional leases.  There is no assurance, however, the Company=s initial drilling operation will prove successful.  If it does not prove successful, the Company will have to rely upon future new financing in order to continue its operations.

The Company has inadequate cash to maintain operations during the next twelve months.  In order to meet its cash requirements the Company will have to raise additional capital through the sale of securities or loans.  As of the date hereof, the Company has not made sales of additional securities and there is no assurance that it will be able to  raise additional capital through the sale of securities in the future.  Further, the Company has not initiated any negotiations for loans to the Company and there is no assurance that the Company will be able to raise additional capital in the future through loans.  In the event that the Company is unable to raise additional capital, it may have to suspend or cease operations.

The Company does not intend to conduct any research or development during the next twelve months other than as described herein.

The Company does not intend to purchase a plant or significant equipment.   The Company will hire employees on an as needed basis, however, the Company does not expect any significant changes in the number of employees.

The Company does not expect to earn revenues until it begins recovering oil and/or gas.



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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized on this 2nd day of November, 2001.

OIL AND GAS SEEKERS, INC. 
(Registrant)

By:/s/ Harold Kaufman 
Harold Kaufman, Secretary, Treasurer, Chief Financial Officer and a member of the Board of Directors