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

                                 Form 10-QSB

[x]           QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
              SECURITIES EXCHANGE ACT OF 1934
              For the period ended  - March 31, 1999

          				OR

[ ]           TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
       	      SECURITIES EXCHANGE ACT OF 1934
              For the transition period from

            		Commission file number 0-23947

                                Nu Energy Inc.
              (Name of Small Business Issuer in its charter)



                Indiana                			  35-2035070
    (State or other jurisdiction of                    (I.R.S. Employer
     incorporation or organization                      Identification Number)


      9 Sandpiper Court, Fairview, Queensland, Austrlia         4870
     (Address of principal executive offices)                (Zip Code)

     Registrant's telephone number, including area code: 61-7-40-331-277



     Securities registered under Section 12(b) of the Act: None

     Securities registered under Section 12(g) of the Act:

               Common Stock, $.001 par value per share
                           (Title or class)

     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 [ ]   NO [X]

     As of March 31, 1999, the Registrant has outstanding 9,618,488 shares
     of Common Stock.

<PAGE>

                               Nu Energy Inc.

                                Form 10-QSB

                              Quarterly Report

                               March 31, 1999

PART I.  FINANCIAL INFORMATION

ITEM 1.  FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA.

<TABLE>
<CAPTION>
(1) Financial Statements                                   Page
     <S>                                                    <C>
     Balance Sheet for the three months ended March 31,
     1999, (audited)                                        F-1

     Statements of Operations for the three months ended
     March 31, 1999, (audited)                              F-2

     Statements of Cash Flows for the three months
     ended March 31,1999, (audited)                         F-3

     Statements of Changes in Stockholder's
     Equity for the three months ended March 31, 1999
     (audited)                                              F-4

     Notes to Audited Financial Statements                  F-5
</TABLE>

<PAGE>

                                NU ENERGY INC.
                             FINANCIAL STATEMENTS
                                  (Audited)

                          FOR THE THREE MONTHS ENDED
                                MARCH 31, 1999

<PAGE>

                                 R. O. DILLON
                       ACCOUNTANT - REGISTERED TAX AGENT

1st Floor                                      Phone:	61 7 4051 7588
42 McLeod Street                               Phone:	61 7 4051 8182
P.O. Box 5123                                    Fax:	61 7 4051 0973
Cairns, Queensland 4870

                    Independent Auditor's Report

To the Board of Directors of
Nu Energy Inc.

We have audited the accompanying consolidated balance sheet of
Nu Energy Inc. as of March 31, 1999 and the related statements of
operations, stockholders' equity and cash flows for the period then
ended. These financial statements are the responsibility of Nu Energy
Inc.'s management. Our responsibility is to express an opinion on these
financial statements based on our audit.

Except as discussed in the following paragraph, we conducted our audit
in accordance with generally accepted auditing standards. Those standards
 require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An
audit also includes assessing the accounting principles used and
significant estimates used by management, as well as evaluating the
overall financial statement presentation. We believe that our audit
provides a reasonable basis for our opinion.

We were unable to obtain sufficient information supporting the Company's
Coal Catalyst Technology re-valued by management and stated in the
balance sheet at $15,007,500, nor were we able to determine whether the
Company had accounted for any income to which it may be entitled.

In our opinion, except for the effects of such adjustments, if any, as
might have been determined to be necessary had we been able to examine
evidence regarding the Coal Catalyst Technology, the financial statements
referred to in the first paragraph present fairly, in all material
respects, the financial position of Nu Energy Inc. as of March 31, 1999
and the results of its operations and its cash flows for the initial
period then ended in conformity with generally accepted accounting
principles.



By: /S/ R. O. DILLON

R. O. DILLON - ACCOUNTANT
March 31, 1999

<PAGE>

F-1
                                 NU ENERGY INC.
                          CONSOLIDATED BALANCE SHEET
                      FOR THE PERIOD FROM JANUARY 1, 1999
                                TO MARCH 31, 1999
<TABLE>
<CAPTION>
                                     ASSETS
<S>                                                  <C>
Current Assets
       Cash on Hand                                         $293

       Stock Subscription Receivable                     $10,275

Coal Catalyst Technology                             $15,007,500

Patents                                                   $9,266

Incorporation Costs                                         $354
(net of accumulated amortization of $288)
                                                     -----------
                                                     $15,027,688
                                                     ===========

                   LIABILITIES AND STOCKHOLDERS' EQUITY

Current Liabilities
       Accounts Payable                                 $317,924
       Loan Payable                                      $59,823
                                                     -----------
          Total Current Liabilities                     $377,747
                                                     ===========

Stockholders' Equity

       Preferred Stock, $0.001 par value
          20,000,000 Shares Authorized

       Common Stock, $0.001 par value
          80,000,000 Shares Authorized
          9,618,488 Shares Issued and Fully Paid         $12,134

       Accumulated Reserves                          $14,637,807
                                                     -----------
          Total Stockholders' Equity                 $14,649,941
                                                     ===========

                                                     $15,027,688
                                                     ===========
</TABLE>

The accompanying notes and independent auditor's report are an
integral part of these statements.

<PAGE>

F-2
                                NU ENERGY INC.
                     CONSOLIDATED STATEMENT OF OPERATIONS
                      FOR THE PERIOD FROM JANUARY 1, 1999
                              TO MARCH 31, 1999
<TABLE>
<CAPTION>
<S>                                                  <C>
Revenues                                                   $0
                                                     --------
Expenses
       Amortization                                       $33
       Bank Service Charges                               $20
       Consultants                                     $4,210
       Decrease Goodwill on Consolidation              $1,302
       Salaries                                       $20,000
                                                      -------
             Total Expenses                           $25,565
                                                      -------
Net Loss                                             ($25,565)
                                                      =======
</TABLE>

The accompanying notes and independent auditor's report are an
integral part of these statements.

<PAGE>

F-3
                                NU ENERGY INC.
                 STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY
            FOR THE PERIOD FROM JANUARY 1, 1999 TO MARCH 31, 1999
<TABLE>
<CAPTION>
                                 Common Stock

                      Number of      Par Value    Accumulated       Total
                       Shares         $0.001       Reserve
                      ________________________________________________________
<S>                   <C>            <C>          <C>              <C>
Balance at            1,006,670          $97      $14,663,372      $14,663,469
January 1, 1999
  Compensation of
  Consultants
  January 1999 @
  $0.001  per share   1,106,670         $100                       $14,663,569

  Share Issue         6,850,000      $10,275                       $14,673,844
  February 1999 @
  $0.001 per share

  Share Issue         1,301,823       $1,302                       $14,675,146
  CoalCorp Pty. Ltd.
  1:18   March 1999 @
  $0.001 per share

  Compensation of       359,995         $360                       $14,675,506
  Directors March 1999
  @ $0.001 per share

  Net Loss for                0        $0.00         ($25,565)     $14,649,941
  the period
                      ---------      -------      -----------      -----------
Totals                9,618,488      $12,134      $14,637,807      $14,649,941
                      =========      =======      ===========      ===========
</TABLE>

The accompanying notes and independent auditor's report are an
integral part of these statements.

<PAGE>

F-4
                                NU ENERGY INC.
                      CONSOLIDATED STATEMENT OF CASH FLOWS
                       FOR THE PERIOD FROM JANUARY 1, 1999
                              TO MARCH 31, 1999
<TABLE>
<CAPTION>

CASH FLOWS FROM OPERATING ACTIVITIES
<S>                                                <C>
Net Loss                                           ($25,565)

Adjustments to Reconcile Net
Loss to Net Cash Provided by
       Operating Activities:
               Amortization                             $33
               Shares Issued for Services              $460
               Decrease Goodwill on Consolidation    $1,302

Increase in Accounts Payable                        $23,750
                                                    -------

NET CASH USED BY OPERATING ACTIVITIES                  ($20)

CASH FLOWS FROM INVESTING ACTIVITIES

Increase in Stock Subscription Receivable          ($10,275)
                                                    -------
NET CASH USED BY INVESTING ACITIVITIES             ($10,275)

CASHFLOWS FROM FINANCING ACTIVITIES

Proceeds from Issuance of Common Stock              $10,275
                                                    -------
NET CASH PROVIDED BY FINANCING ACTIVITIES           $10,275

NET INCREASE (DECREASE) IN CASH                        ($20)

CASH AT THE BEGINNING OF THE PERIOD                    $313
                                                    -------
CASH AT THE END OF THE PERIOD                          $293
                                                    =======
</TABLE>

The accompanying notes and independent auditor's report are an
integral part of these statements.

<PAGE>

F-5
                                 NU ENERGY INC.
                         NOTES TO FINANCIAL STATEMENTS
                      FOR THE PERIOD FROM JANUARY 1, 1999
                               TO MARCH 31, 1999

NOTE ONE - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Nature of Operations and Relationship of the Consolidated Companies

Nu Energy Inc. was incorporated on October 7, 1996 in the State of
Indiana with the intention to locate suitable business ventures to
acquire. CoalCorp Pty. Ltd., an Australian corporation, was organized
for the purpose of acquiring the exclusive right (license) to develop
and market a propriety coal catalyst that was invented, an is currently
utilized in The People's Republic of China.

Use of Estimates

The preparation of financial statements in conformity with generally
accepted accounting principles requires management to make estimates and
assumptions that affect the reported amounts of assets and liabilities
and the disclosure of contingent assets and liabilities at the date of
the financial statements and the reported amounts of revenues and
expenses during the reporting period. Actual results could differ from
those estimates.

Amortization

Amortization is computed using the straight-line method over a period
of five years.

Concentration of Revenue Risk

CoalCorp Pty. Ltd. derives its revenue entirely from the development
and marketing of a proprietary coal catalyst technology.

NOTE TWO - DEVELOPMENT STAGE OPERATIONS

The operations of CoalCorp Pty. Ltd. since the date of its inception
have consisted primarily of raising capital and acquiring rights to a
proprietary technology and the testing and proving of the technology.
The Company's Patent Attorney has applied for a full patent in India and
the Company has a current PCT Patent which gives the Company the
protection and the right to take out full patents in most countries
which are signatories to the Paris and Bonn Conventions.

NOTE THREE - INCOME TAXES

CoalCorp Pty Ltd tax assets relate to a current year net operating loss,
therefore a provision for current year federal income taxes has not been
recorded. A benefit from income taxes of has not been recorded as the
balance of tax assets has been offset by a valuation allowance reserve
of an equal amount.

<PAGE>

                                NU ENERGY INC.
                        NOTES TO FINANCIAL STATEMENTS
                     FOR THE PERIOD FROM JANUARY 1, 1999
                              TO MARCH 31, 1999

NOTE FOUR - RELATED PARTY TRANSACTIONS

During the period, the following transactions occurred between Nu Energy
Inc. and related parties:-

Expense                Relationship            Amount
--------------------------------------------------------------
Consultant             Officer/Shareholder      $3,750
Consultant             Officer/Shareholder        $100
Salaries               Directors/Shareholders  $20,000

NOTE FIVE - GOING CONCERN

The accompanying financial statements have been prepared in conformity
with generally accepted accounting principles which contemplate
continuation of the Company as a going concern.

<PAGE>

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

The following discussion of the financial condition and results of
operations of the Company should be read in conjunction with the
consolidated financial statements and notes thereto included elsewhere
in this Quarterly Report. This discussion contains forward-looking
statements, including statements regarding the Company's strategy,
financial performance and revenue sources which involve risks and
uncertainties. The Company's actual results may differ materially from
those anticipated in these forward-looking statements as a result of
certain factors, including, but not limited to, those set forth elsewhere
in this Quarterly Report.

Overview

The core business for Nu Energy Inc. will be marketing and developing
renewable energy technologies and pollution reduction technologies,
with a focus on building the organisations technology portfolio by
acquiring other pollution reduction and renewable energy technologies.

Nu Energy Inc. has successfully completed the acquisition of 88.65% of
CoalCorp Pty. Ltd., and the CoalCorp Coal Technology. Nu Energy Inc.
will begin marketing and developing the CoalCorp Coal Technology during
the first and second quarter of 2000.

The CoalCorp Coal Technology is a revolutionary additive for reducing
the gas pollution outputted during coal combustion. The technology has
both the properties of an additive and a catalyst, when added to coal prior
to the combustion cycle it reduces SO2 gas emissions by up to 89% and NOx
gas emissions by up to 44%. Its application in older boilers increases their
thermal efficiency, resulting in coal savings of up to 25%. It is
inexpensive to implement, costing less than $0.40 per ton of coal (burned)
to produce, and is simply dispensed (powdered) directly onto the coal using
a spreading agitator.

The CoalCorp Coal Technology is very versatile, its application is not
restricted it can be applied to both wet and dry coals. The additive can
be formulated to specific samples of coal, allowing it to achieve the best
results possible. The production of the additive is very simple, requiring
no expensive specialized equipment or production facilities.

The CoalCorp Coal Technology arrives on the market at time when world
pressure is mounting on coal burning industries to reduce their emissions.
Coal pollution has been identified as one of the biggest contributing
factors to acid rain and photochemical smog. Some solutions currently
being implemented include refitting existing facilities with scrubbers
and filters, this is prohibitively expensive costing hundreds of millions
of dollars. The most common solution is the importation of expensive low
sulphur coals, inexpensive local coals with higher sulphur content are not
utilized resulting in wasted resources. The CoalCorp Coal Technology will
allow industries the ability to continue operating their existing coal fired
facilities cost effectively and within environmental standards.

CoalCorp's Technology is protected by international patent law, it is
covered by a broad based patent giving it the best protection from
infringement. CoalCorp Pty. Ltd. has been issued PCT's for its technology
and is in the final stage of completing the patent process.

Coal is one of the most important fuels, it is used in hundreds of industries
and is the largest source of heat and electricity production. Last year coal
consumption was in excess of 5.5 Billion tons, with consumption growing at
70 million tons per year.

Nu Energy Inc. will begin production of its CoalCorp Coal Technology in the
2nd Quarter of 2000, with sales to begin in the same period. Nu Energy Inc.
will also sell licenses to its CoalCorp Coal Technology in certain countries.
Sales for 2000 are forecast at $6.6 million, increasing to $13.35 million by
the year 2001. Nu Energy Inc. forecasts are based on sales of the CoalCorp
Coal Technology to 0.5% of the total coal consumption market (world).

CoalCorp has raised and expended $500,000 in the development, testing and
patenting of the CoalCorp Coal Technology. The technology is now at the stage
of commercialization, further capital is to be raised to begin production,
marketing, distribution and sales. Nu Energy Inc. will establish agreements
with larger, experienced corporations with production facilities,
marketing/sales teams and distribution networks to undertake the production,
marketing, sales and distribution. Nu Energy Inc. will also seek to merge
with a global partner to facilitate and grow the corporation and the CoalCorp
Coal Technology.

The CoalCorp Coal Technology is a revolutionary product that comes onto the
market at a time when Coal Burning Industries are under the greatest pressure
to reduce their emissions. Coal is one of the most used fuels in the world,
it is also responsible for the production of damaging acid rain and dangerous
smog, the CoalCorp Coal Technology reduces the emissions outputted during coal
combustion and can even increase combustion efficiency, most of all it can be
performed inexpensively and immediately. With more than 5.5 Billion tons of
coal burned per year this is an excellent growth market for Nu Energy Inc. to
position its CoalCorp Coal Technology into. It is also excellent news for
environmentalists, the coal industry and the concerned citizens of the world.

Results of Operation

Nu Energy Inc. had a net loss of $25,565 for the first quarter, the first
quarter 1999 results of operation reflect the current position of the
corporation with regards to its recent acquisition of CoalCorp Pty. Ltd. and
the CoalCorp Coal Technology. Nu Energy Inc.'s focus is on the development and
marketing of the CoalCorp Coal Technology. With the completion of the
development program and commencement of the marketing program, it is
predicted the CoalCorp Coal Technology will become the primary revenue stream.

The revenue stream will be derived through either the development of strategic
partnerships with Global Chemical Corporations to produce, distribute and
market the technology on a global basis or the sale of Country Specific
Licenses to the CoalCorp Coal Technology on a Fee and Royalty basis.

Liquidity and Capital Resources

First quarter, 1999 net cash decreased by $20. The corporation's limited cash
resources will be addressed by raising additional funds via private placements
during the fourth quarter 1999 and first quarter 2000. The corporation
anticipates that any shortage of cash will be covered by capital contribution
by shareholders. The funds raised from the corporation's capital raising
program will be sufficient to meet its working capital and capital equipment
needs at least through the next twelve months from the first quarter, 2000.

Part II.  OTHER INFORMATION

ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K

  The Company filed a current report on Form 8-K dated March 9, 1999.

<PAGE>


SIGNATURES

	 Pursuant to the requirements of Section 13 or 15(d) of the
Securities and Exchange Act of 1934, the Registrant has duly caused this
report to be signed on its behalf by the undersigned, thereunto duly
authorized.



Nu Energy, Inc.



Date: November 18, 1999

                           By: /s/ Gordon N. Subloo
                               ----------------------------------
                               Gordon N. Subloo, President and
                               Chairman of the Board of Directors

<PAGE>