U.S.
      SECURITIES AND EXCHANGE COMMISSION


Washington,
      D.C. 20549





FORM
      10-QSB





x
            QUARTERLY
                REPORT UNDER SECTION 13 OR 15(d) OF THESECURITIES
                EXCHANGE ACT OF 1934


For
      the
      quarter ended June 30, 2007





o
            TRANSITION
                REPORT UNDER SECTION 13 OR 15(d) OF THESECURITIES
                EXCHANGE ACT OF 1934


For
      the
      transition period from _____ to _____





Commission
      File Number: 000-51249





ENERGTEK
                INC.(Exact
                name of registrant as specified in its
                charter)





Nevada
            
            42-1708652State
                or other jurisdiction of incorporation)
            
            (IRS
                Employer Identification No.)








c/o
                David Lubin & Associates, PLLC
              26
                East Hawthorne Avenue
              Valley
                Stream, NY 11580(Address
                of Principal Executive Offices, Zip
                Code)





(516)
                887-8200(Registrant’s
                Telephone Number, Including Area
                Code)





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





Check
      whether the issuer (1) filed all reports required to be filed by Section 13
      or
      15(d) of the 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.


Yes
x
      No o





Indicate
      by check mark whether the registrant is a shell company (as defined in Rule
      12b-2 of the Exchange Act). Yes o No
x





The
      number of shares outstanding of the issuer’s common stock as of August 7, 2007
      was 57,592,211 shares of common stock.





Transitional
      Small Business Format (check one): Yes o No x









**TABLE
      OF CONTENTS**





PART
                I - FINANCIAL INFORMATION
            3Item
                1.
            Financial
                Statements.
            3Note
                1 - Summary of Significant Accounting Policies
            7Note
                2 - Investment in Equity Securities
            9Note
                2 - Investment in Equity Securities (cont.)
            10Note
                4 - Compensation to Directors
            11Note
                5 - Going Concern
            12Note
                6 - Significant Transactions
            13Note
                7 - Subsequent Events
            13Item
                2.
            Management’s
                Discussion and Analysis or Plan of Operations.
            15Item
                3.
            Controls
                and Procedures.
            18PART
                II. OTHER INFORMATION
            19Item
                1.
            Legal
                Proceedings.
            19Item
                2.
            Unregistered
                Sales of Equity Securities and Use of Proceeds.
            19Item
                3.
            Defaults
                Upon Senior Securities.
            21Item
                4.
            Submission
                of Matters to a Vote of Security Holders.
            21Item
                5.
            Other
                Information.
            21Item
                6.
            Exhibits
            22





Page
          2




**PART
      I - FINANCIAL INFORMATION**




**Item** **1.**  **Financial
      Statements.**




ENERGTEK
                INC.(A
                DEVELOPMENT STAGE ENTERPRISE)**CONSOLIDATED
                CONDENSED BALANCE SHEET**




Note
            
            As
                of
              30/06/2007
              (Unaudited)
              $
            
            As
                of
              31/12/2006
              (Audited)
              $**ASSETS**Current
                AssetsCash
                and Cash Equivalents
            
            2,165,699
            
            
            287,301**ACCOUNTS
                RECEIVABLE:**Vat
                Refund Receivable
            
            
            
            
            
            84,328
            
            
            37,879Advances
                paid to suppliers
            
            
            
            
            
            8,000
            
            
            15,38592,328
            
            
            53,264**Total
                current assets**
            
            
            
            
            
            2,258,027
            
            
            340,565**DEPOSITS**
            
            
            
            
            
            15,686
            
            
            -**FIXED
                ASSETS, NET:**
            
            
            
            
            
            216,488
            
            
            2,882**INVESTMENTS:**Investments
                in Shares
            
            
            2
            
            
            24,500
            
            
            -Patent
                rights
            
            
            
            
            
            44,067
            
            
            -68,567
            
            
            -**TOTAL
                ASSETS**
            
            2,558,768
            
            
            343,447





The
      accompanying notes are an integral part of the consolidated financial
      statements




Page
          3




ENERGTEK
                INC.(A
                DEVELOPMENT STAGE ENTERPRISE)**CONSOLIDATED
                CONDENSED BALANCE SHEET**




Note
            
            As
                of
              30/06/2007
              (Unaudited)
              $
            
            As
                of
              31/12/2006
              (Audited)
              $**LIABILITIES
                AND SHAREHOLDER EQUITY**CURRENT
                LIABILITIESRelated
                Party
            
            
            
            
            
            -
            
            
            8,000Minority
                holder in Subsidiary
            
            
            
            
            
            668,452
            
            
            -Account
                payable and Accrued LiabilitiesEmployees
                and Employee institutions
            
            
            
            
            
            63,777
            
            
            9,942Service
                providers
            
            
            
            
            
            59,847
            
            
            13,140Accounts
                payable
            
            
            
            
            
            351,467
            
            
            9,349475,091
            
            
            32,431**TOTAL
                CURRENT LIABILITIES**
            
            
            
            
            
            1,143,543
            
            
            40,431**LONG-TERM
                LIABILITIES**Severance
                pay liability
            
            
            
            
            
            11,295
            
            
            -STOCKHOLDERS'
                EQUITY
            
            
            3Preferred
                  Stock: $0.001 par value;5,000,000
                  authorized, none issued and outstanding
            
            
            
            
            
            0
            
            
            0Common
                Stock: $0.001 par value; 750,000,000 authorized,56,290,211 issued
                and
                outstanding on June 30, 2007, 48,992,500 shares issued and outstanding
                on
                December 31, 2006
            
            
            
            
            
            56,290
            
            
            48,993Additional
                Paid-in Capital
            
            
            
            
            
            4,113,840
            
            
            1,197,007Accumulated
                Deficit
            
            
            
            
            
            (2,766,200
            )
            
            (942,984
            )TOTAL
                STOCKHOLDERS' EQUITY
            
            
            
            
            
            1,403,930
            
            
            303,016Total
                Liabilities and Stockholders' Equity
            
            
            
            
            
            2,558,768
            
            
            343,447




The
      accompanying notes are an integral part of the consolidated financial
      statements




Page
          4




ENERGTEK
                INC.(A
                DEVELOPMENT STAGE ENTERPRISE)**CONSOLIDATED
                CONDENSED STATEMENTS OF
                OPERATIONS**




Three
                Months Ended
            
            Six
                Months Ended
            
            Cumulative
                fromJune-30,
                2007
            
            June-30,
                2006
            
            June-30,
                2007
            
            June-30,
                2006
            
            Inception
                (November 18, 1998)Unaudited
            
            Unaudited
            
            Unaudited
            
            Unaudited
            
            to
                June 30, 2007Unaudited**Revenues**
            
            
            
            
            
            
            
            
            
            
            
            
            
            
            -**Operating
                Expenses:**Consulting
            
            
            108,598
            
            
            
            
            
            310,397
            
            
            -
            
            
            564,098Consulting-Related
                Parties
            
            
            -
            
            
            
            
            
            -
            
            
            -
            
            
            152,450Research
                and Development expenses
            
            
            800,153
            
            
            
            
            
            800,153
            
            
            
            
            
            800,153Market
                Research
            
            
            -
            
            
            
            
            
            -
            
            
            -
            
            
            32,795Market
                Research-Related parties
            
            
            -
            
            
            
            
            
            -
            
            
            -
            
            
            137,050General
                and administrative expenses
            
            
            307,952
            
            
            3,151
            
            
            696,056
            
            
            3,181
            
            
            916,185**Total
                Operating Expenses**
            
            
            1,216,703
            
            
            3,151
            
            
            1,806,606
            
            
            3,181
            
            
            2,602,731**Net
                loss from operations**
            
            
            (1,216,703
            )
            
            (3,151
            )
            
            (1,806,606
            )
            
            (3,181
            )
            
            (2,602,731
            )**Other
                Income**Interest
                Losses, net
            
            
            (21,291
            )
            
            -
            
            
            (16,610
            )
            
            -
            
            
            (13,469
            )Investments
                impairment
            
            
            -
            
            
            -
            
            
            -
            
            
            -
            
            
            (50,000
            )Patent
                impairment
            
            
            -
            
            
            -
            
            
            -
            
            
            -
            
            
            (100,000
            )**Total
                other income (expenses)**
            
            
            (21,291
            )
            
            -
            
            
            (16,610
            )
            
            -
            
            
            (163,469
            )**Net
                Loss**
            
            
            (1,237,994
            )
            
            (3,151
            )
            
            (1,823,216
            )
            
            (3,181
            )
            
            (2,766,200
            )Weighted
                Average SharesCommon
                Stock Outstanding
            
            
            53,832,288
            
            
            23,512,500
            
            
            52,134,830
            
            
            23,512,500Net
                Loss Per Common Share
            
            
            (0.02
            )
            
            (0.00
            )
            
            (0.03
            )
            
            (0.00
            )





The
      accompanying notes are an integral part of the consolidated financial
      statements




Page
          5




ENERGTEK
                INC.(A
                DEVELOPMENT STAGE ENTERPRISE)**CONSOLIDATED
                CONDENSED STATEMENTS OF CASH
                FLOWS**




Three
                Months Ended
            
            Six
                Months Ended
            
            Cumulative
                fromJune-30,2007
            
            June-30,2006
            
            June-30,2007
            
            June-30,2006
            
            Inception
                (November 18, 1998)Unaudited
            
            Unaudited
            
            Unaudited
            
            Unaudited
            
            to
                June 30, 2007Unaudited**Cash
                Flows from Operating Activities:**Net
                Loss
            
            
            (1,237,994
            )
            
            (3,151
            )
            
            (1,823,216
            )
            
            (3,181
            )
            
            (2,766,200
            )Adjustments
                to reconcile net loss to net cashProvided
                be operating activities:Depreciation
                and Amortization
            
            
            795,931
            
            
            -
            
            
            834,962
            
            
            -
            
            
            835,035Impairment
                of Patent
            
            
            -
            
            
            -
            
            
            -
            
            
            -
            
            
            100,000Impairment
                of Option Investment
            
            
            -
            
            
            -
            
            
            
            
            
            
            
            
            50,000Non-employees'
                share compensation
            
            
            90,100
            
            
            -
            
            
            271,368
            
            
            -
            
            
            415,368Decrease
                (Increase) in accounts receivable
            
            
            (25,954
            )
            
            -
            
            
            (25,584
            )
            
            -
            
            
            (78,848
            )Accounts
                payable and accrued liabilities
            
            
            234,649
            
            
            2,000
            
            
            302,840
            
            
            2,000
            
            
            343,271**Net
                cash used in Operating Activities**
            
            
            (143,268
            )
            
            (1,151
            )
            
            (439,630
            )
            
            (1,181
            )
            
            (1,101,374
            )**Cash
                Flows to Investing Activities:**Payment
                for purchase of PrimeCyl LLC,net of cash acquired
            
            
            -
            
            
            
            
            
            (10,000
            )
            
            -
            
            
            (10,000
            )Payment
                for purchase of Angstore Technologies Ltd, net of cash
                acquired
            
            
            (120,688
            )
            
            
            
            
            (150,688
            )
            
            -
            
            
            (150,688
            )Investment
                in shares
            
            
            (24,500
            )
            
            -
            
            
            (24,500
            )
            
            -
            
            
            (24,500
            )Investment
                in Option
            
            
            -
            
            
            -
            
            
            -
            
            
            -
            
            
            (50,000
            )Deposit
            
            
            (7,240
            )
            
            -
            
            
            (11,995
            )
            
            -
            
            
            (11,995
            )Purchase
                of fixed assets
            
            
            (137,248
            )
            
            -
            
            
            (137,551
            )
            
            -
            
            
            (140,506
            )**Net
                cash used in Investing Activities**
            
            
            (289,676
            )
            
            -
            
            
            (334,734
            )
            
            -
            
            
            (387,689
            )**Cash
                Flows from Financing Activities:**Issuance
                of common stock
            
            
            1,780,000
            
            
            -
            
            
            2,902,762
            
            
            -
            
            
            3,904,762Redemption
                of warrants
            
            
            (250,000
            )
            
            -
            
            
            (250,000
            )
            
            
            
            
            (250,000
            )**Net
                cash from Financing Activities**
            
            
            1,530,000
            
            
            -
            
            
            2,652,762
            
            
            -
            
            
            3,654,762**Net
                Increase (Decrease) in Cash**
            
            
            1,097,056
            
            
            -1,151
            
            
            1,878,398
            
            
            -1,181
            
            
            2,165,699Cash
                at Beginning of Period
            
            
            1,068,643
            
            
            1,151
            
            
            287,301
            
            
            1,181
            
            
            0**Cash
                at End of Period**
            
            
            2,165,699
            
            
            0
            
            
            2,165,699
            
            
            0
            
            
            2,165,699




The
      accompanying notes are an integral part of the consolidated financial
      statements


Page
          6


**ENERGTEK
      INC. ("the Company")**


**NOTES
      TO CONSOLIDATED INTERIM FINANCIAL STATEMENTS**





**Note
      1 - Summary of Significant Accounting Policies** ****





**Basis
      of Presentation**


The
      accompanying unaudited interim consolidated financial statements of Energtek
      Inc. for the three months and six months ended June 30, 2007 have been prepared
      in accordance with the requirements for unaudited interim periods, and
      consequently might not include all disclosures required to be in conformity
      with
      accounting principles generally accepted in the United States of America and
      the
      rules of the Securities and Exchange Commission. These interim consolidated
      financial statements should be read in conjunction with the audited financial
      statements and notes thereto contained in our Annual Report for fiscal year
      2006
      filed with the SEC on Form 10-KSB. In the opinion of management, all
      adjustments, consisting of normal recurring adjustments, necessary for a fair
      presentation of financial position and the results of operations for the interim
      periods presented have been reflected herein. The results of operations for
      interim periods are not necessarily indicative of the results to be expected
      for
      the full year. Notes to the consolidated financial statements which would
      substantially duplicate the disclosure contained in the audited consolidated
      financial statements for fiscal year 2006 as reported in the Form 10-KSB have
      been omitted.





The
      Company is considered to be a development stage company and as such the
      financial statements presented herein are presented in accordance with Statement
      of Financial Accounting Standards (“SFAS”) No. 7 “Accounting and Reporting by
      Development Stage Enterprises”.





**Basic
      and Dilutive Net Income (Loss) Per Share**


Basic
      net
      income (loss) per share amounts is computed based on the weighted average number
      of shares actively outstanding in accordance with SFAS NO. 128 “Earnings Per
      Share". All outstanding stock options and warrants have been excluded from
      the
      calculation of the diluted net loss per share since their effect was
      anti-dilutive.





**Cash
      and Cash Equivalents**


The
      Company considers all highly liquid debt securities purchased with original
      or
      remaining maturities of three months or less to be cash equivalents. The
      carrying value of cash equivalents approximates fair value.





**Fair
      Value of Financial Instruments**


The
      carrying value of current assets and liabilities approximated their fair values
      as of June 30, 2007.





**Financial
      and Concentration Risk**


The
      Company does not have any concentration or related financial credit
      risk.





Page
          7


ENERGTEK
      INC.


NOTES
      TO
      CONSOLIDATED FINANCIAL STATEMENTS





**Note
      1 -Summary of Significant Accounting Policies (Cont.)**





**Fixed
      Assets:**


Fixed
      assets are stated at cost.


Cost
      is
      depreciated by the straight-line method on the basis of the estimated useful
      life of the assets. Estimated useful lives are as follows:





Useful
                Life - YearsLeasehold
                improvements
            10Computers
                and peripheral equipment
            3
                -
                10Instruments
                and laboratory equipment
            5Furniture
                and office equipment
            3
                -
                15Motor
                vehicles
            7Patent
            10





**Presentation**





According
      to EITF 06-3, "How Taxes Collected from Customers and Remitted to Governmental
      Authorities Should Be Presented in the Income Statement (That Is, Gross versus
      Net Presentation)", all expense items presented Net in the income
      statement.





**Principles
      of Consolidation**


The
      accompanying condensed consolidated financial statements include the accounts
      of
      Energtek Inc., its wholly owned subsidiaries Energtek Products Ltd., Gatal
      (Natural Gas for Israel) Ltd., MoreGasTech LLC, Primecyl LLC , Ukcyl Ltd. and
      the newly acquired Angstore Technologies Ltd., of which the Company owned
      approximately 55.8%. All significant inter-company transactions have been
      eliminated. These financial statements reflect all adjustments that, in the
      opinion of management, are necessary to present fairly the results of operations
      for the interim periods presented. All adjustments are of a normal recurring
      nature, unless otherwise disclosed.





**Stock
      Issued for Services**


The
      value
      of stock issued for services is based on management’s estimate of the fair value
      of the Company’s stock at the date of issue or the fair value of the services
      received, whichever is more reliably measurable. The fair value of each stock
      option is estimated on the date of balance using the Black-Scholes option
      pricing model that uses the following assumptions: Expected term is based on
      the
      Company’s management estimate for future behavior; Expected volatility is based
      on the historical volatility of share prices for similar companies over a period
      equal to, or greater than, the expected term; The risk free rate is based on
      the
      U.S. Treasury constant maturity for a term consistent with the expected term
      of
      the award (or weighed average of the two closest available bonds), as in effect
      at the date of grant. The fair value of options granted during the quarter
      ended
      June 30, 2007 was estimated using the following assumptions: (a) average
      expected term of the option of 5.74 years (b) average risk free interest rate
      of
      4.69% (c) dividend yield of 0% and (d) volatility of 107%.





Page
          8


ENERGTEK
      INC.


NOTES
      TO
      CONSOLIDATED FINANCIAL STATEMENTS





**Note
      1 - -Summary of Significant Accounting Policies (Cont.)**





**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 disclosure of
      contingent assets and liabilities, at the date of these financial statements,
      and the reported amounts of revenues and expenses during the reporting period.
      Actual results could differ from those estimates.





**Note
      2 - Investment in Equity** **Securities**





On
      June
      24, 2007, the Board of Directors of the Company decided to exercise its option
      to purchase shares of common stock of Angstore Technologies Ltd., (“Angstore”)an
      Israeli company engaged in the development of Adsorbed Natural Gas systems
      and
      other clean energy technologies relating to natural gas vehicles, pursuant
      to,
      and in accordance with, the Letter of Agreement, dated November 8, 2006, between
      the Company and Angstore (the “Agreement”). Pursuant to the Agreement, the
      Company was entitled to purchase up to 7,364 shares representing a maximum
      of
      45% of Angstore’s issued and outstanding common stock. On June 25, 2007, the
      Company purchased an additional 3,820 shares of Angstore common stock for an
      aggregate purchase price of $140,075. Between November 8, 2006 and June 24,
      2007, the Company had purchased an aggregate of 3,544 shares of the common
      stock
      of Angstore through the exercise of its option to purchase such shares in
      accordance with the Agreement.





On
      June
      29, 2007, the Company entered into an Investment Agreement with Angstore.
      Pursuant to, and in accordance with, the Investment Agreement, the Company
      agreed to purchase an aggregate of 16,364 shares of Angstore’s common stock at a
      price per share of $27.50 for an aggregate amount of $450,010 (the “Purchased
      Shares”).





In
      accordance with the Investment Agreement, 4,000 of the Purchased Shares, having
      an aggregate value of $110,000, were purchased and issued contemporaneously
      with
      the execution of the Investment Agreement. Thereafter, an additional 8,000
      of
      the Purchased Shares, having an aggregate value of $220,000, shall be purchased
      and issued on or before July 31, 2007, with the balance of the 4,364 of the
      Purchased Shares, having an aggregate value of $120,010, purchased and issued
      on
      or before August 31, 2007. As of June 30, 2007, the company owned 11,364 out
      of
      the 20,364 issued and outstanding shares of Angstore, which represent
      approximately 55.8% of the total issued and outstanding shares. As of the date
      of this report, the company owns 19,364 out of the 28,364 issued and outstanding
      shares of Angstore, which represent approximately 68.3% of the total issued
      and
      outstanding shares. Upon completion of the acquisition of the Purchased Shares
      in accordance with the Agreement, the Company will own an aggregate of 23,728
      shares of Angstore representing approximately 72.5% of Angstore’s issued
      and outstanding common stock.





Additional
      information is provided in Note 7 - Subsequent Events.





Page
          9




ENERGTEK
      INC.


NOTES
      TO
      CONSOLIDATED FINANCIAL STATEMENTS





**Note
      2 - Investment in Equity Securities (cont.)**





This
      acquisition will be accounted for as a purchase business combination. The
      consideration paid in the Acquisition has been accounted for under FAS141
      "Business Combinations" the Company allocated an amount of 799,417 to IPRD
      and
      expended it immediately in accordance with fin 4. .The purchase price allocation
      is preliminary.





**Note
      3 - Stockholders Equity**





On
      April
      26 and April 27, 2007, we raised $230,000 by selling to purchasers 460,000
      units
      of the Company’s securities. Commissions were due in the amount of $11,500 and
      additional 23,000 shares of our common stock were issued as commission.





On
      May
      21, 2007, we raised $200,000 by selling to a purchaser 400,000 units of the
      Company’s securities. A commission is due in the amount of $10,000 and
      additional 20,000 shares of our common stock were issued as
      commission.





Between May
      24, 2007 and May 30, 2007, we raised an aggregate of $850,000 by selling to
      three purchasers an aggregate of 1,700,000 units of the Company’s securities.
      Commissions totaling $42,500 were due and additional 85,000 shares of the
      Company’s common stock were issued to a non-U.S. person as
      commission.





On
      June
      19, 2007, the Company raised an additional $500,000 by selling to two purchasers
      a total of 1,000,000 units of the Company’s securities. Commission in the amount
      of $25,000 was paid and additional 50,000 shares of the Company’s common stock
      were issued to a non-U.S. person as commission.





In
      all
      the preceding transactions each unit consisted of one share of common stock
      and
      two warrants, one of which was designated the Class 2007-D Warrant and the
      other
      the Class 2007-E Warrant. Each Class 2007-D Warrant entitles the holder thereof
      to purchase one share of common stock at a purchase price of $0.75 until June
      30, 2008 (extended by the Company to December 31, 2008). Each Class 2007-E
      Warrant entitles the holder thereof to purchase one share of common stock at
      a
      purchase price of $1.05 until December 31, 2009 (extended by the Company to
      June
      30, 2010). The purchase price paid to the Company for each unit was
      $0.50.





On
      June
      20, 2007, the Company decided to redeem the 2,500,000 Class A Series warrants
      it
      had issued in August 2006 by purchasing such warrants from the holders thereof
      at a redemption price of $0.05 per warrant for the aggregate amount of $125,000.
      On the same date, the Company decided to redeem the 2,500,000 Class B Series
      warrants which it had issued in August 2006 by purchasing such warrants from
      the
      holders thereof at a redemption price of $0.05 per warrant for the aggregate
      amount of $125,000. These redemptions were made in accordance with the terms
      of
      the Warrant Agreements previously entered into between the Company and the
      holders of such warrants upon their issuance.





Page
          10


ENERGTEK
      INC.


NOTES
      TO
      CONSOLIDATED FINANCIAL STATEMENTS





**Note
      4 - Compensation to Directors**





1)
              On
                  January 17, 2007, the Board of Directors of Energtek Inc. approved
                  issuing
                  to its directors stock purchase warrants designated as "Class 2007-B
                  Warrants," as compensation for services previously rendered, as
                  follows:
                  (i) Joseph Shefet was issued 55,000 stock purchase warrants in
                  consideration for serving as a director of the Company from June,
                  2006
                  until October 2006, and as a member of the its Advisory Board during
                  November and December, 2006. (ii) Doron Uziel was issued 80,000
                  Class
                  2007-B Warrants in consideration for serving as a director from
                  May 2006
                  until December 2006, and additional 32,000 Class 2007-B Warrants
                  in
                  consideration for serving as Chief Executive Officer of the Company
                  from
                  May 2006 until December 2006. (iii) Yishai Aizik was issued 30,000
                  Class
                  2007-B Warrants in consideration for serving as director from October
                  2006
                  until December 2006. Each Class 2007-B Warrant grants to the holder
                  thereof the right to purchase one share of common stock of the
                  Company,
                  exercisable from January 1, 2008 until December 31, 2011, at the
                  exercise
                  price of $0.05 per share.





On
      January 17, 2007, the Board of Directors of the Company set the terms of
      compensation for the directors of the Company for the period commencing as
      of
      January 1, 2007. Commencing as of such date, each director of the Company shall
      be entitled to the following compensation: (i) $4,200 per year, paid on a
      monthly basis; (ii) $1,000 per participation at each meeting of the Board of
      Directors; and (iii) 150,000 stock purchase warrants designated as "Class 2007-C
      Warrants," which will vest pro-ratably in 24 equal and consecutive monthly
      amounts of 6,250 Class 2007-C warrants, commencing on the last day of January,
      2007 and continuing on the same day of each subsequent month until December
      31,
      2008. Each Class 2007-C Warrant shall grant to the holder thereof the right
      to
      purchase one share of common stock of the Company at an exercise price equal
      to
      $0.36 per share, exercisable from the date such warrant vests until December
      31st of the fifth calendar year following the year in which the warrant vested.





2)
            During
                the three months ended June 30, 2007, the Company recorded stock-based
                compensation of $1,100 related to the compensation to directors.





3)
              The
                  fair value of each of the aforementioned stock option is estimated
                  on the
                  date of balance using the Black-Scholes option pricing model that
                  uses the
                  following assumptions: Expected term is based on the Company’s management
                  estimate for future behavior; Expected volatility is based on the
                  historical volatility of the share price for similar companies
                  over a
                  period equal to, or greater than, the expected term; The risk free
                  rate is
                  based on the U.S. Treasury constant maturity for a term consistent
                  with
                  the expected term of the award (or weighed average of the two closest
                  available bonds), as in effect at the date of grant.





4)
            The
                fair value of options granted during the quarter ended June 30, 2007
                was
                estimated using the following assumptions: (a) average expected term
                of
                the option of 5.59 years (b) average risk free interest rate of 4.91%
                (c)
                dividend yield of 0% and (d) volatility of 107%.





Page
          11




ENERGTEK
      INC.


NOTES
      TO
      CONSOLIDATED FINANCIAL STATEMENTS





**Note
      4 - Compensation to Directors (Cont.)**





5)
            The
                following table summarizes the changes in the above stock options
                for the
                three months ended June 30, 2007:






**Number
                of options**
            
            **Weighted
                Average**
              **Exercise
                Price**$Options
                outstanding at the beginning of the period
            497,000
            
            0.24Changes
                during the period:Granted
            -
            
            -Exercised
            -
            
            -Forfeited
            -
            
            -Options
                outstanding at the end of the period
            497,000
            
            0.24Options
                exercisable at the end of the period
            272,000
            
            0.14Weighted-average
                fair value of options granted during the period
            
            
            0.04




6)
            As
                Of June 30, 2007 the total unrecognized compensation cost related
                to
                unvested options was $ 6,887 which will be recognized over 0.5 years
                period.





7)
            When
                the stock compensations are subject to graded vesting, the company
                recognizes the compensation cost at a straight line basis.




**Note
      5 - Going Concern**





The
      Company's consolidated financial statements are prepared using generally
      accepted accounting principles applicable to a going concern which contemplates
      the realization of assets and liquidation of liabilities in the normal course
      of
      business. The Company is working on the basis of a budget that will enable
      it to
      operate during the coming year. However the Company will need additional working
      capital for its future planned expansion of activities and to service its debt,
      which raises doubt about its ability to continue as a going concern.
      Continuation of the Company as a going concern is dependent upon obtaining
      sufficient working capital to be successful in that effort. The accompanying
      consolidated financial statements do not include any adjustments relating to
      the
      recoverability and classification of asset carrying amounts or the amount and
      classification of liabilities that might result from the outcome of this
      uncertainty.





Page
          12




ENERGTEK
      INC.


NOTES
      TO
      CONSOLIDATED FINANCIAL STATEMENTS




**Note
      6 - Significant Transactions**





On
      April
      16, 2007, Energtek Inc. has determined to lend to its wholly-owned subsidiary,
      Primecyl LLC, approximately $310,000 during April-May 2007.  Such funds
      will be used by Primecyl LLC for the purpose of paying the purchase price of
      the
      machinery purchased by Ukcyl Ltd. pursuant to the purchase agreement described
      hereinafter, for the purchase of additional assets, and for the payment of
      operating expenses and other expenses incurred in the development of the
      business of Primecyl LLC and Ukcyl Ltd. In addition, Energtek Inc. has
      determined to allocate an additional $183,000 to be lent to Primecyl LLC during
      July - December 2007 for the payment of the amounts due under the purchase
      agreement.





On
      April
      17, 2007, Ukcyl Ltd. entered into a Purchase Agreement with Pavlograd Plant
      for
      Technological Equipment (Pavlogradkii Zavod Tekhnologicheskogo Oborudovaniya),
      a
      Ukrainian limited liability company (“Pavlograd”). Pursuant to such agreement,
      Pavlograd agreed to sell to Ukcyl Ltd. certain machinery. The aggregate purchase
      price to be paid by Ukcyl Ltd. to Pavlograd for such machinery is approximately
      $343,000. Pursuant to such agreement, Ukcyl Ltd. has also an option to order
      additional machinery at a purchase price equal to $220,000.





On
      May
      15, 2007, Ukcyl Ltd. entered into a Sale-Purchase Agreement with Open
      Joint-Stock Company Steatit , a Ukrainian company (“Steatit”). Pursuant to such
      agreement, Steatit agreed to sell to Ukcyl Ltd. an industrial building located
      at 33 Chervonoarmiyska Street, Perechyn Perechin, Trans-Carpathian region,
      Ukraine. Such building has an area equal to approximately 2,237 square
      meters.The aggregate purchase price to be paid by Ukcyl Ltd. to Steatit for
      the
      building is approximately $85,000. Such purchase price is payable as follows:
      (i) approximately $16,830 within two banking days after the execution of the
      agreement; approximately $32,675 after Steatit performs certain obligations,
      including obtaining certain governmental approvals, improving vehicular access
      to the property, and arranging for the provision of certain utilities for the
      property; and (iii) approximately $34,655 by September 30, 2007.The title to
      the
      building will be transferred to Ukcyl Ltd. within three days after the purchase
      price for the building is paid in full. Ukcyl Ltd. agreed no later than by
      October 1, 2007, to install fencing along the perimeter of the land parcel
      on
      which the building is located.





**Note
      7 - Subsequent Events**





On
      July
      19, 2007, the Company raised an additional $620,000 by selling to one purchaser
      a total of 1,240,000 units of the Company’s securities, each unit consisting of
      one share of common stock and two warrants, one of which was designated the
      Class 2007-D Warrant and the other the Class 2007-E Warrant. The Class 2007-D
      and Class 2007-E Warrants issued with respect to this transaction bear different
      expiration dates than the Class 2007-D and Class 2007-E Warrants referenced
      above. Each Class 2007-D Warrant entitles the holder thereof to purchase one
      share of common stock at a purchase price of $0.75 until December 31, 2008.
      Each
      Class 2007-E Warrant entitles the holder thereof to purchase one share of common
      stock at a purchase price of $1.05 until June 30, 2010. The purchase price
      paid
      to the Company for each unit was $0.50.




Page
          13


ENERGTEK
        INC.
 NOTES
        TO
        CONSOLIDATED FINANCIAL STATEMENTS


On
      July
      29 and July 31, 2007, the Company signed subscription agreements for additional
      $620,500 to be paid to the Company not later than August 17, 2007, by selling
      to
      two purchasers a total of 1,241,000 units of the Company’s securities, each unit
      consisting of one share of common stock and two warrants, one of which was
      designated the Class 2007-D Warrant and the other the Class 2007-E Warrant.
      The
      Class 2007-D and Class 2007-E Warrants issued with respect to this transaction
      bear different expiration dates than the Class 2007-D and Class 2007-E Warrants
      referenced above. Each Class 2007-D Warrant entitles the holder thereof to
      purchase one share of common stock at a purchase price of $0.75 until December
      31, 2008. Each Class 2007-E Warrant entitles the holder thereof to purchase
      one
      share of common stock at a purchase price of $1.05 until June 30, 2010. The
      purchase price paid to the Company for each unit was $0.50.





On
      July
      19, 2007, the Company purchased additional 8,000 shares of Angstore Technologies
      Ltd. ("Angstore"), for a total of $220,000. This purchase was effected pursuant
      to, and in accordance with, the terms and provisions of the Investment Agreement
      the Company signed with Angstore on June 29, 2007. Following this purchase,
      the
      Company owns 19,364 out of the 28,364 of Angstore’s issued and outstanding
      common stock, representing approximately 68.3% of Angstore’s total issued and
      outstanding shares.




Page
          14




**Item
      2.**  **Management’s
      Discussion and Analysis or Plan of Operations.**





As
      used
      in this Form 10-QSB, references to the “Company,” “Energtek,” “we,” “our” or
“us” refer to Energtek Inc. or to Energtek Inc. together with its subsidiaries,
      unless the context otherwise indicates.





This
      Management’s Discussion and Analysis or Plan of Operation should be read in
      conjunction with the financial statements and the notes thereto.





**Forward-Looking
      Statements**





This
      Form
      10-QSB contains forward-looking statements. For this purpose, any statements
      contained in this Form 10-QSB that are not statements of historical fact may
      be
      deemed to be forward-looking statements. You can identify forward-looking
      statements by those that are not historical in nature, particularly those that
      use terminology such as “may,” “will,” “should,” “expects,” “anticipates,”
“contemplates,” “estimates,” “believes,” “plans,” “projected,” “predicts,”
“potential,” or “continue” or the negative of these similar terms. In evaluating
      these forward-looking statements, you should consider various factors, including
      the following: (a) those risks and uncertainties related to general economic
      conditions, (b) whether we are able to manage our planned growth efficiently
      and
      operate profitable operations, (c) whether we are able to generate sufficient
      revenues or obtain financing to sustain and grow our operations, (d) whether
      we
      are able to successfully fulfill our primary requirements for cash. The
      Company’s actual results may differ significantly from the results projected in
      the forward-looking statements. The Company assumes no obligation to update
      forward-looking statements, except as otherwise required under the applicable
      federal securities laws.





**Overview**





We
      were
      incorporated under the laws of the state of Florida on November 18, 1996 under
      the name “Elderwatch, Inc.” On September 20, 2006, we changed our Company’s
      state of incorporation from Florida to Nevada by the merger of Elderwatch,
      Inc.
      with and into our wholly-owned subsidiary, Energtek Inc., a Nevada corporation,
      which we had formed for such purpose. Simultaneously with such merger, we
      changed our Company name from "Elderwatch, Inc." to "Energtek Inc." in order
      to
      better reflect our proposed business operations. We also increased the number
      of
      our shares of authorized common stock from 50,000,000 shares to 250,000,000
      shares, and we decreased the number of our shares of authorized preferred stock
      from 10,000,000 shares to 5,000,000 shares. On October 30, 2006, we implemented
      a one for three forward stock split of our common stock and further increased
      the authorized shares of our common stock to 750,000,000 shares, par value
      $0.001.




Page
          15




Since
      May
      24, 2006, we have been changed our focus to the field of clean energy
      technologies, with special emphasis being put on the field of Natural Gas
      Vehicles (NGV). We have no business operations or revenues. We are currently
      preparing infrastructures for operations in some of our subsidiaries and we
      are
      also looking at various alternatives in this field. We have four wholly owned
      subsidiaries, Moregastech
      LLC ,
      a
      Nevada limited liability company; Primecyl LLC, a Nevada limited liability
      company; Energtek Products Ltd., an Israeli company; and GATAL
      (Natural Gas for Israel) Ltd., an Israeli company. In addition we have one
      almost fully owned (99.5%) subsidiary, Ukcyl Ltd., a Ukraine company. We
      have
      signed an agreement for a participation of 50% in Moregastech India Private
      Limited, a company registered in India.





On
      June
      29, 2007, we entered into an Investment Agreement with Angstore Technologies
      Ltd. (“Angstore”), an Israeli company engaged in the development of Adsorbed
      Natural Gas systems and other clean energy technologies relating to natural
      gas
      vehicles, for purchasing an aggregate of 16,364 shares of Angstore’s common
      stock. Previous to June 29, 2007 we decided to exercise the option to purchase
      shares of common stock of Angstore, pursuant to, and in accordance with, the
      Letter of Agreement, dated November 8, 2006, between us and Angstore (the
“Agreement”) that enabled. to purchase up to 7,364 shares representing a maximum
      of 45% of Angstore’s issued and outstanding common stock. As of June 30, 2007,
      the company owned 11,364 out of the 20,364 issued and outstanding shares of
      Angstore, which represent approximately 55.8% of the total issued and
      outstanding shares. As of the date of this report, the company owns 19,364
      out
      of the 28,364 issued and outstanding shares of Angstore, which represent
      approximately 68.3% of the total issued and outstanding shares. Upon completion
      of the acquisition of all shares in accordance with the Agreement, we will
      own
      an aggregate of 23,728 shares of Angstore representing approximately 72.5%
      of Angstore’s issued and outstanding common stock.





We
      have
      also acquired a patent application filed in Israel relating to natural-gas
      storage-tanks, and in addition we have entered into agreements with consultants
      for the provision of consulting services related to the identification and
      assessment of clean energy technologies and opportunities and for development.





As
      previously disclosed in the Company’s Current Reports on Form 8-K, between from
      January 1, 2007 and June 30, 2007 we raised $2,902,762. In addition from July
      1,
      2007 until August 7, 2007, we raised 620,000 dollars and we signed subscription
      agreements for further 620,500 dollars, as described in Part II, Item 5
      hereof.





On
      March
      30, 2007, our wholly owned subsidiary MoreGasTech LLC entered into a
      Collaboration Agreement with MoreGasTech (India) Private Limited and Mahinder
      Singh Khatkar. Pursuant to such agreement, MoreGasTech LLC agreed to acquire
      50%
      of the ownership of MoreGasTech India Private Limited. In consideration
      therefore, MoreGasTech LLCagreed to pay such Company a purchase price of
      4,100,000 Indian Rupees (approximately $93,300), payable for the issuance of
      equity capital of MoreGasTech India Private Limited and for unsecured loans
      in
      the amount of such purchase price. MoreGasTech India Private Limited is a
      development stage company and has no current business operations or revenues.
      It
      intends to provide Compressed Natural Gas kits to the Indian Market, to be
      a
      supplier of the aftermarket conversion to Compressed Natural Gas and to Adsorbed
      Natural Gas. As of July 14, 2007, we received the formal confirmation from
      the
      relevant Indian regulatory authorities, required in order to perform the
      transfer of funds to which we have committed pursuant to the Collaboration
      Agreement. following which Upon receipt of such confirmation we transferred
      $24,500 ($12,250 as equity and $12,250 as unsecured loan) to MoregasTech (India)
      Private Limited.




Page
          16




On
      April
      17, 2007, our subsidiary Ukcyl Ltd. entered into a Purchase Agreement with
      Pavlograd Plant for Technological Equipment (Pavlogradkii Zavod
      Tekhnologicheskogo Oborudovaniya), a Ukrainian limited liability company
      (“Pavlograd”). Pursuant to such agreement, Pavlograd agreed to sell to Ukcyl
      Ltd. certain machinery. The aggregate purchase price to be paid by Ukcyl Ltd.
      to
      Pavlograd for such machinery is approximately $343,000. Pursuant to such
      agreement, Ukcyl Ltd. has also an option to order additional machinery at a
      purchase price equal to $220,000.





On
      May
      15, 2007, our subsidiary Ukcyl Ltd. entered into a Sale-Purchase Agreement
      with
      Open Joint-Stock Company Steatit, a Ukrainian company (“Steatit”). Pursuant to
      such agreement, Steatit agreed to sell to Ukcyl Ltd. an industrial building
      located at 33 Chervonoarmiyska Street, Perechyn Perechin, Trans-Carpathian
      region, Ukraine. Such building has an area equal to approximately 2,237 square
      meters. The aggregate purchase price to be paid by Ukcyl Ltd. to Steatit for
      the
      building is approximately $85,000, payable as follows: (i) approximately $16,830
      within two banking days after the execution of the agreement; approximately
      $32,675 after Steatit performs certain obligations, including obtaining certain
      governmental approvals, improving vehicular access to the property, and
      arranging for the provision of certain utilities for the property; and (iii)
      approximately $34,655 by September 30, 2007. The title to the building will be
      transferred to Ukcyl Ltd. within three days after the purchase price for the
      building is paid in full. Ukcyl Ltd. agreed that by no later than October 1,
      2007, it would install fencing along the perimeter of the land parcel on which
      the building is located.





In
      the context of investigating
      and analyzing technologies and other business opportunities, we entered into various consulting agreements. Among
      others, we have signed with P.G. Engineering S.A. an agreement and several
      Task
      Orders related to the development of gas adsorbent materials for the total
      sum
      of $29,500.





**Plan
      of Operation**





Over
      the
      next twelve months, we intend to continue engaging in the field of clean energy
      technologies, with special focus on developing and building our activities
      in
      the natural gas field, and more specifically in the Natural Gas Vehicles field.
      We also intend to continue analyzing a series of issues, markets, projects
      and
      investments proposed to us in areas related to clean energy technologies. We
      anticipate entering into additional agreements with experts and consultants
      in
      the relevant areas, in order to perform evaluations of the proposals. Such
      evaluation process may include in some cases the performance of evaluation
      experiments, which may require entering into subcontracting agreements with
      laboratories and companies capable of performing the same. We expect that once
      a
      proposal/project is identified as being of interest to us, we will enter into
      development activities and/or will purchase a stake in such activities and/or
      will invest in such activities.





**Results
      of Operations for the Three Months Ended June 30, 2007**





The
      consolidated financial statements include the accounts of Energtek, Inc. and
      all
      of its wholly owned and majority-owned subsidiaries. The analysis below does
      not
      relate to comparative figures of 2006, due to the shift of activities into
      the
      filed of clean energies, and the lack of materiality of the period January-June
      2006




Page
          17




**Revenue.** The
      Company generated no revenue for the six months ended June 30,
      2007.





**Consulting
      Expenses.** The
      Company incurred research and development expenses of $311,133 for the six
      months ended June 30, 2007. Consulting expenses consist primarily of expenses
      incurred for the analysis of clean energy technologies, analysis of clean energy
      processes and business opportunities and in depth analysis of natural gas
      storage systems.





**Research
      and Development expenses.** The
      Company recorded research and development expenses of $799,417 for the excedent
      portion of purchase premium which was created as a result of the investment
      in
      Angstore Technologies Ltd.





**General
      and Administrative Expenses.** General
      and administrative expenses consist of management compensation, rent,
      professional fees, telephone, travel and other general corporate expenses.
      General and administrative expenses were $696,056 for the six months ended
      June
      30, 2007





**Interest
      Income, net.** The
      Company recorded net interest expenses of $16,610 for the six months ended
      June
      30, 2007.





**Liquidity
      and Capital Resources**





We
      have
      never had any revenues. Our cash balance at June 30, 2007 was $2,165,699. In
      order to implement our business plans, we may need to raise additional funds
      over the next twelve months. We have no specific plans, understandings or
      agreements with respect to the raising of such funds, and we may seek to raise
      the required capital by the issuance of equity or debt securities or by other
      means. Since we have no such arrangements or plans currently in effect, our
      inability to raise funds may have a severe negative impact on our ability to
      remain a viable company.





**Off
      Balance Sheet Arrangements**





We
      do not
      have any off balance sheet arrangements.





**Item
      3.**  **Controls
      and Procedures.**





**Evaluation
      of Disclosure Controls and Procedures**





Our
      disclosure controls and procedures are designed to ensure that information
      required to be disclosed in reports that we file or submit under the Securities
      Exchange Act of 1934 is recorded, processed, summarized and reported within
      the
      time periods specified in the rules and forms of the United States Securities
      and Exchange Commission. Our principal executive, and financial officers have
      reviewed the effectiveness of our "disclosure controls and procedures" (as
      defined in the Securities Exchange Act of 1934 Rules 13a-14(c) and 15d-14(c))
      within the within
      the end of the period covered by this Quarterly Report on Form 10-QSB and
      have
      concluded that the disclosure controls and procedures are effective to ensure
      that material information relating to the Company is recorded, processed,
      summarized, and reported in a timely manner.




Page
          18




There
      were no significant changes in our internal controls or in other factors that
      could significantly affect these controls subsequent to the last day they were
      evaluated by our principal executive and financial officers.





**Changes
      in Internal Controls over Financial Reporting**





There
      have been no changes in the Company's internal control over financial reporting
      during the last quarterly period covered by this report that have materially
      affected, or are reasonably likely to materially affect, the Company's internal
      control over financial reporting.





As
      previously disclosed on the Company’s Current Report filed with the SEC on July
      26, 2007, the Board of Directors of the Company has decided to create two
      committees of boards of directors ("Board Committees"), an Audit Committee
      and a
      Compensation Committee. The initial charters of these committees are to be
      defined not later than August 15, 2007. The initial members of each such
      committee are to be nominated not later than August 22, 2007.





Further,
      the Board of Directors of the Company amended Article IV - Section 12 of the
      Company’s Bylaws to allow the Board to appoint natural persons who are not
      directors to serve on Board Committees as permitted under Nevada Revised Statute
      Chapter 78, Section 78.125. The Board further determined that each Board
      Committee and any action taken by such Board Committee must include at least
      one
      director.





**PART
      II. OTHER INFORMATION**





**Item
      1.**  **Legal
      Proceedings.**





There
      are
      no pending legal proceedings to which the Company is a party or in which any
      director, officer or affiliate of the Company, any owner of record or
      beneficially of more than 5% of any class of voting securities of the Company,
      or security holder is a party adverse to the Company or has a material interest
      adverse to the Company. The Company’s property is not the subject of any pending
      legal proceedings.





**Item
      2.**  **Unregistered
      Sales of Equity Securities and Use of Proceeds.**





**Unregistered
      Sales of Equity Securities**





On
      April
      26 and April 27, 2007, we raised $230,000 by selling to purchasers 460,000
      units
      of the Company’s securities, each unit consisting of one share of common stock
      and two warrants, one of which was designated the Class 2007-D Warrant and
      the
      other the Class 2007-E Warrant. Each Class 2007-D Warrant entitles the holder
      thereof to purchase one share of common stock at a purchase price of $0.75
      until
      June 30, 2008. Each Class 2007-E Warrant entitles the holder thereof to purchase
      one share of common stock at a purchase price of $1.05 until December 31, 2009.
      The purchase price paid to the Company for each unit was $0.50, amounting in
      the
      aggregate to $230,000. The units were offered and sold pursuant to a placement
      held under Regulation S promulgated under the Securities Act of 1933, as
      amended. The purchasers represented to us that they were not United States
      persons (as defined in Regulation S) and were not acquiring the shares for
      the
      account or benefit of a United States person. The purchasers further represented
      that at the time of the origination of contact concerning the subscription
      for
      the units and the date of the execution and delivery of the subscription
      agreement for such units, such purchasers were outside of the United States.
      We
      did not make any offers in the United States, and there were no selling efforts
      in the United States. There were no underwriters or broker-dealers involved
      in
      the private placement and no underwriting discounts. Commissions were due in
      the
      amount of $11,500 and additional 23,000 shares of our common stock were issued
      as commission.




Page
          19




On
      May
      21, 2007, we raised $200,000 by selling to a purchaser 400,000 units of the
      Company’s securities, each unit consisting of one share of common stock and two
      warrants, one of which was designated the Class 2007-D Warrant and the other
      the
      Class 2007-E Warrant. Each Class 2007-D Warrant entitles the holder thereof
      to
      purchase one share of common stock at a purchase price of $0.75 until June
      30,
      2008. Each Class 2007-E Warrant entitles the holder thereof to purchase one
      share of common stock at a purchase price of $1.05 until December 31, 2009.
      The
      purchase price paid to the Company for each unit was $0.50, amounting in the
      aggregate to $200,000. The units were offered and sold pursuant to a placement
      held under Regulation S promulgated under the Securities Act of 1933, as
      amended. The purchaser represented to us that such purchaser was not a United
      States person (as defined in Regulation S) and was not acquiring the shares
      for
      the account or benefit of a United States person. The purchaser further
      represented that at the time of the origination of contact concerning the
      subscription for the units and the date of the execution and delivery of the
      subscription agreement for such units, such purchaser was outside of the United
      States. We did not make any offers in the United States, and there were no
      selling efforts in the United States. There were no underwriters or
      broker-dealers involved in the private placement and no underwriting discounts.
      A commission was due in the amount of $10,000 and additional 20,000 shares
      of
      our common stock were issued as commission.





Between May
      24, 2007 and May 30, 2007, we raised an aggregate of $850,000 by selling to
      three purchasers an aggregate of 1,700,000 units of the Company’s
      securities, each unit consisting of one share of common stock and two warrants,
      one of which was designated the Class 2007-D Warrant and the other the Class
      2007-E Warrant. Each Class 2007-D Warrant entitles the holder thereof to
      purchase one share of common stock at a purchase price of $0.75 until June
      30,
      2008. Each Class 2007-E Warrant entitles the holder thereof to purchase one
      share of common stock at a purchase price of $1.05 until December 31, 2009.
      The
      purchase price paid to the Company for each unit was $0.50. The units were
      offered and sold pursuant to a placement held under Regulation S promulgated
      under the Securities Act of 1933, as amended. Each of the purchasers represented
      to the Company that such purchaser was not a United States person (as defined
      in
      Regulation S) and was not acquiring the shares for the account or benefit of
      a
      United States person. The purchasers further represented that at the time of
      the
      origination of contact concerning the subscription for the units and the date
      of
      the execution and delivery of the subscription agreement for such units, such
      purchaser was outside of the United States. We did not make any offers in the
      United States, and there were no selling efforts in the United States. There
      were no underwriters or broker-dealers involved in the private placement and
      no
      underwriting discounts. Commissions totaling $42,500 were due and additional
      85,000 shares of the Company’s common stock were issued to a non-U.S. person as
      commission.





On
      June
      19, 2007, the Company raised an additional $500,000 by selling to two purchasers
      a total of 1,000,000 units of the Company’s securities, each unit consisting of
      one share of common stock and two warrants, one of which was designated the
      Class 2007-D Warrant and the other the Class 2007-E Warrant. The Class 2007-D
      and Class 2007-E Warrants issued with respect to this transaction bear different
      expiration dates than the Class 2007-D and Class 2007-E Warrants referenced
      above. Each Class 2007-D Warrant entitles the holder thereof to purchase one
      share of common stock at a purchase price of $0.75 until December 31, 2008.
      Each
      Class 2007-E Warrant entitles the holder thereof to purchase one share of common
      stock at a purchase price of $1.05 until June 30, 2010. The purchase price
      paid
      to the Company for each unit was $0.50. The units were offered and sold pursuant
      to a placement held under Regulation S promulgated under the Securities Act
      of
      1933, as amended. Each of the purchasers represented to the Company that such
      purchaser was not a United States person (as defined in Regulation S) and was
      not acquiring the shares for the account or benefit of a United States person.
      The purchasers further represented that at the time of the origination of
      contact concerning the subscription for the units and the date of the execution
      and delivery of the subscription agreement for such units, such purchaser was
      outside of the United States. We did not make any offers in the United States,
      and there were no selling efforts in the United States. There were no
      underwriters or broker-dealers involved in the private placement and no
      underwriting discounts. Commissions in the amount of $25,000 were paid and
      additional 50,000 shares of the Company’s common stock were issued to a non-U.S.
      person as commission.




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          20




**Purchases
      of Equity Securities by the Issuer and Affiliated
      Purchasers**





As
      previously disclosed, on June 20, 2007, the Company decided to redeem the
      2,500,000 Class A Series warrants it had issued in August 2006 by purchasing
      such warrants from the holders thereof at a redemption price of $0.05 per
      warrant for the aggregate amount of $125,000. On the same date, the Company
      decided to redeem the 2,500,000 Class B Series warrants which it had issued
      in
      August 2006 by purchasing such warrants from the holders thereof at a redemption
      price of $0.05 per warrant for the aggregate amount of $125,000. These
      redemptions were made in accordance with the terms of the Warrant Agreements
      previously entered into between the Company and the holders of such warrants
      upon their issuance.





Other
      than the redemption of warrants discussed above, the Company had made a series
      of purchases of equity securities in Angstore during the quarter ended June
      30,
      2007. Each of these purchases were disclosed by the Company in its Current
      Reports on Form 8-K which it filed with the SEC on May 25, 2007, June 26, 2007
      and July 6, 2007.





**Item
      3.**  **Defaults
      Upon Senior Securities.**





None.





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





None.





**Item
      5.**  **Other
      Information.**





On
      July
      19, 2007, the Company raised an additional $620,000 by selling to one purchasers
      a total of 1,240,000 units of the Company’s securities, each unit consisting of
      one share of common stock and two warrants, one of which was designated the
      Class 2007-D Warrant and the other the Class 2007-E Warrant. The Class 2007-D
      and Class 2007-E Warrants issued with respect to this transaction bear different
      expiration dates than the Class 2007-D and Class 2007-E Warrants referenced
      above. Each Class 2007-D Warrant entitles the holder thereof to purchase one
      share of common stock at a purchase price of $0.75 until December 31, 2008.
      Each
      Class 2007-E Warrant entitles the holder thereof to purchase one share of common
      stock at a purchase price of $1.05 until June 30, 2010. The purchase price
      paid
      to the Company for each unit was $0.50. The units were offered and sold pursuant
      to a placement held under Regulation S promulgated under the Securities Act
      of
      1933, as amended. The purchaser represented to the Company that such purchaser
      was not a United States person (as defined in Regulation S) and was not
      acquiring the shares for the account or benefit of a United States person.
      The
      purchaser further represented that at the time of the origination of contact
      concerning the subscription for the units and the date of the execution and
      delivery of the subscription agreement for such units, such purchaser was
      outside of the United States. We did not make any offers in the United States,
      and there were no selling efforts in the United States. There were no
      underwriters or broker-dealers involved in the private placement and no
      underwriting discounts. Commissions in the amount of $31,000 are due and
      additional 62,000 shares of the Company’s common stock were issued to a non-U.S.
      person as commission.




Page
          21




On
      July
      29 and July 31, 2007, the Company accepted subscription agreements for an
      aggregate of an additional $620,500 to be paid to the Company not later than
      August 17, 2007, by selling to two purchasers a total of 1,241,000 units of
      the
      Company’s securities. The units subscribed for in these transactions bear the
      same terms and conditions as the units described immediately above. , The units
      were offered and sold pursuant to a placement held under Regulation S
      promulgated under the Securities Act of 1933, as amended. Each of the purchasers
      represented to the Company that such purchaser was not a United States person
      (as defined in Regulation S) and was not acquiring the shares for the account
      or
      benefit of a United States person. The purchaser further represented that at
      the
      time of the origination of contact concerning the subscription for the units
      and
      the date of the execution and delivery of the subscription agreement for such
      units, such purchaser was outside of the United States. We did not make any
      offers in the United States, and there were no selling efforts in the United
      States. There were no underwriters or broker-dealers involved in the private
      placement and no underwriting discounts. Commissions in the amount of $31,075
      will be due and additional 62,050 shares of the Company’s common stock are to be
      issued to a non-U.S. person as commission.





**Item
      6.**  **Exhibits**





**Exhibit
      No.** **Description**





**31.1**
            **Rule
                13a-14(a)/15d14(a) Certification of Doron Uziel (Attached
                Hereto)**





**31.2**
            **Rule
                13a-14(a)/15d14(a) Certification of Constantine Stukalin (Attached
                Hereto)**





**32.1**
            **Section
                1350 Certifications (Attached
                Hereto)**





Page
          22




**SIGNATURES**





In
      accordance with the requirements of the Exchange Act, the registrant caused
      this
      report to be signed on its behalf by the undersigned, thereunto duly
      authorized.





Dated:
      August 10, 2007





ENERGTEK
      INC.




By:/s/
                Doron Uziel
            By:/s/
                Constantine StukalinName:Doron
                Uziel
            Name:Constantine
                StukalinTitle:Chief
                Executive Officer and Director
            Title:Treasurer
                and Chief Accounting Officer(Principal
                Executive Officer)
            (Principal
                Financial and Accounting Officer)








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          23