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

                          FORM 10-QSB




(Mark One)

[X]     ANNUAL REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT 
OF 1934 (fee required)
For the quarterly period ended March 31, 1998

[   ]     TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES 
EXCHANGE ACT OF 1934 (no fee required)

                     For the transition period___to___




                      Commission file number 33-00215

                     UNITED STATES ANTIMONY CORPORATION

              (Name of small business issuer in its charter)



        Montana                                   81-0305822
(State or other jurisdiction of 
incorporation or organization)      (I.R.S. Employer Identification No.)


     P.O. Box 643, Thompson Falls, Montana          59873

   (Address of principal executive offices)       (Zip code)


 Registrant's telephone number, including area code:  (406) 827-3523



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


At May 11, 1998, the registrant had outstanding 13,290,434 shares of par value 
$.01 common stock.

<PAGE>

PART I-FINANCIAL INFORMATION
ITEM 1. Financial Statements and Supplementary Data

United States Antimony Corporation and Subsidiary
Consolidated Balance Sheets                     
 
<TABLE>                                          (Unaudited)
                                                  March 31,        December 31,
                                                     1998             1997
<S>                                              <C>              <C>    

 ASSETS
Current assets:
     Restricted cash                                 $215           $15,280
     Note receivable                                5,000
     Inventories                                  475,549           463,282      
     Prepaid expenses                              11,480             7,727
                                                  -------           -------
        Total current assets                      492,244           486,289 
          
Properties, plants and equipment, net             617,892           637,022           
Restricted cash, reclamation bonds                178,986           178,986
                                                  -------           -------     
        Total assets                           $1,289,122        $1,302,297
                                                =========         =========
     LIABILITIES AND STOCKHOLDERS' DEFICIT
Current liabilities:
     Checks issued and payable                    $44,138           $42,384
     Accounts payable                             127,075           125,082          
     Accrued payroll and property taxes           127,313           118,801          
     Accrued payroll and other                     71,127            43,707          
     Judgments payable                            143,052           142,937          
     Accrued interest payable                     328,662           320,287          
     Payable to related parties                    35,777            31,707
     Notes payable to bank                        198,962           177,079     
     Note payable to Bobby C. Hamilton, current    28,118            27,626          
     Debentures payable                           335,000           335,000
     Accrued reclamation costs, current           216,700           216,700 
                                                  -------           -------    
        Total current liabilities               1,655,924         1,581,310
                                                ---------         ---------
Notes payable to bank, noncurrent                  73,231            90,269
Note payable to Bobby C. Hamilton, noncurrent   1,609,130         1,616,516          
Accrued reclamation costs, noncurrent             339,844           339,844
                                                ---------         ---------
       Total liabilities                        3,678,129         3,627,939
                                                ---------         ---------
Commitments and contingencies  

Stockholders' deficit:
   Preferred stock, $.01 par value, 
   10,000,000 shares authorized:
   Series A: 4,500 shares issued 
   and outstanding (liquidation preference 
   $96,750)                                            45                45
   Series B: 750,000 shares issued and 
   outstanding (liquidation preference $780,000)    7,500             7,500
   Series C: 2,560,762 shares issued and 
   outstanding(liquidation preference $1,408,419)  25,608            25,608
   Common stock, $.01 par value, 20,000,000 shares
   authorized; 13,290,434 and 13,065,434 shares
   issued and outstanding                         132,904           130,654
   Additional paid-in capital                  14,050,639        13,997,889          
   Accumulated deficit                        (16,605,703)      (16,487,338) 
                                              -----------       ------------   
Total stockholders' deficit                   ( 2,389,007)       (2,325,642)
                                              -----------       ------------
Total liabilities and stockholders'deficit     $1,289,122        $1,302,297     
                                              ===========       ============
</TABLE>
 
The accompanying notes are an integral part of the consolidated financial 
statements.

<PAGE>

United States Antimony Corporation and Subsidiary
Consolidated Statements of Operations
for the three-month periods ended March 31, 1998 and 1997 (Unaudited)



                                                March 31,          March 31,
                                                 1998                1997
Revenues:
     Sales of antimony products and other     $919,724           $1,113,410
     Cost of antimony production and other     829,896              980,787
                                               -------              -------
       
Gross profit                                    89,828              132,623     

Other operating expenses:
     Exploration and evaluations                30,108               36,249
     Care-and-maintenance - Yellow Jacket       74,302               76,492
     General and administrative                 58,019               74,703 
                                                ------               ------  
                                               162,429              187,444 
                                                ------               ------    
Other (income) expense:
     Interest expense                           48,287               71,866 
     Interest income and other                  (2,523)              (5,812)
                                                ------               ------
                                                45,764               66,054 
                                                ------               ------
Net loss                                      $118,365             $120,875
                                               =======              =======

Basic net loss per share of common stock      $   .01              $   .01  
                                               =======              =======
Diluted net loss per share of common stock    $   .01              $   .01   
                                               =======              =======
Basic weighted average shares outstanding    13,159,865            12,729,523
                                             ----------            ----------   
Diluted weighted average shares outstanding  15,720,627            12,729,523
                                             ----------            ----------



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


<PAGE>
 
United States Antimony Corporation and Subsidiary
Consolidated Statements of Cash Flows
for the three-month periods ended March 31, 1998 and 1997 (Unaudited)
                              
<TABLE>
              
                                                   March 31,       March 31,
                                                     1998            1997
<S>                                               <C>            <C>
Cash flows from operating activities:
     Net loss                                     $(118,365)     $(120,875)
     Adjustments to reconcile net 
     loss  to net cash provided by 
          (used in) operations:
               Depreciation                          39,113         40,732
               Change in:
                 Restricted cash                     15,065       (103,000)
                 Stock subscription receivable                     (20,000)
                 Accounts receivable                                33,837
                 Inventories                        (12,267)        14,252     
                 Prepaid expenses                    (3,753)        19,921
                 Accounts payable                     1,993        (69,333)
                 Accrued payroll and property taxes   8,512        (11,255)
                 Accrued payroll and other           27,420           (378)
                 Judgments payable                      115          2,007
                 Accrued interest payable             8,375         30,393
                 Payable to related parties           4,070        (13,737)
                 Accrued reclamation costs                            (974)
                                                    ---------      ---------
      Net cash used in operating activities         (29,722)      (198,410)
                                                    ---------      ---------
Cash flows from investing activities:
     Purchase of properties, plant and equipment    (19,983)       (25,115)
                                                    ---------      ---------    
Net cash used in investing activities               (19,983)       (25,115)
                                                    ---------      ---------
Cash flows from financing activities:
     Proceeds from issuance of common stock 
     and warrants                                    50,000        208,000          
     Proceeds from notes payable to bank              4,845          
     Payments on notes payable to bank               (4,089)
     Increase in checks issued and payable            1,754         30,274          
     Payments on note payable to Bobby C. Hamilton   (6,894)       (10,660)
                                                    ---------      ---------
Net cash provided by financing activities            49,705        223,525
                                                    ---------      ---------

Net change in cash                                       0             0
                                                    ---------      ---------
Cash, beginning of year                                  0             0 
                                                    ---------      ---------
Cash, end of year                                      $ 0           $ 0
                                                    ---------      ---------
Supplemental disclosures:
 Cash paid for interest                              $39,912         $41,473
                                                    ---------      ---------

     Noncash financing activities:
     Common stock issued in exchange 
     for note receivable                             $5,000 
                                                    ---------

</TABLE>

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

<PAGE>


PART I - FINANCIAL INFORMATION (Continued)

UNITED STATES ANTIMONY CORPORATION and SUBSIDIARY

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(UNAUDITED)

1. Notes to December 31, 1997 consolidated financial statements:

The notes to the consolidated financial statements as of December 31, 1997, as 
set forth in the Company's 1997 Annual Report on Form 10-KSB, substantially 
apply to these interim consolidated financial statements and are not repeated 
here.
     
2. Adjustments to financial statements:
     
The financial statements reflect all adjustments which are, in the opinion of 
management, necessary to a fair statement of the results for the interim 
periods reported.  All such adjustments are of a normal recurring nature.  All 
financial statements presented herein are unaudited.  However, the balance 
sheet as of December 31, 1997, was derived from the audited consolidated 
balance sheet referred to in Note 1 above. Certain consolidated financial 
statement amounts for the three-month period ended March 31, 1997 have been
reclassified to conform to the 1998 presentation.  
These reclassifications had no effect on the net loss or accumulated deficit 
as previously reported.

3. Commitments and contingencies:

Until 1989, the Company mined, milled and leached gold and silver in the 
Yankee Fork Mining District in Custer County, Idaho. The metals were recovered 
by a 150-ton per day gravity and flotation mill, and the concentrates were 
leached with cyanide to produce a bullion product at the Preachers Cove mill, 
which is located nine miles north of Sunbeam, Idaho on the Yankee Fork of the 
Salmon River. In 1994, the U.S. Forest Service, under the provisions of the 
Comprehensive Environmental Response Liability Act of 1980 (CERCLA), 
designated the cyanide leach plant as a contaminated site requiring cleanup of 
the cyanide solution. In 1996, the Company signed a consent decree with the 
Idaho Department of Environmental Quality  relating to completing the 
reclamation and remediation at the Preachers Cove mill. The Company 
anticipates having the cleanup complete sometime in 1999.

4. Significant accounting policies:

          Loss Per Common Share

In February 1997, the Financial Accounting Standards Board issued SFAS No. 
128, "Earnings Per Share," which became effective for the Company for 
reporting periods ending after December 15, 1997.  Under the provisions of 
SFAS No. 128, primary and full-diluted earnings per share were replaced with 
basic and diluted earnings per share.  Basic earnings per share is arrived at 
by dividing net income (loss) available to common stockholders by the 
weighted-average number of common shares outstanding and does not include the 
impact of any potentially dilutive common stock equivalents.  The diluted 
earnings per share calculation is arrived at by dividing net income (loss) by 
the weighted-average number of shares outstanding, adjusted for the dilutive 
effect of outstanding stock options, the conversion impact of convertible 
preferred stock, and shares issuable under other contracts.

<PAGE>

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS, CONTINUED

4. Significant accounting policies, Continued:

During 1998 and 1997 the Company had outstanding common stock warrants 
that were exercisable at prices higher than the trading value of the Company's 
stock and, therefore, antidilutive.  Accordingly, the warrants have no affect 
on the calculation of basic or diluted weighted-average number of shares.  In 
1998, the Company had 2,560,762 shares of Series C preferred stock that were 
outstanding during the period.  The Series C preferred stock is 
convertible into common stock of the Company and considered in the calculation 
of diluted weighted-average number of  shares outstanding.

The following table presents a reconciliation of the numerators and 
denominators of the basic and diluted earnings per share ("EPS") computations 
for the three-month periods ended March 31, 1998 and 1997.

<TABLE>
                                                                                
                                             March 31, 
                                               1998                                                                            
<S>                            <C>              <C>         <C>                                                                    
                                                                        
                                Loss             Shares      Per Share  
                                                             Amounts

Basic EPS:
Loss                          $(118,365)      13,159,865        $(0.01)                       
 Common stock warrants(1)
 Series C preferred stock(2)                   2,560,762
                              ---------       ----------         -----                          
Diluted EPS:
Loss                          $(118,365)      15,720,627        $(0.01) 
                              ---------       ----------         -----                                                             
                                                  
 
                                             March 31, 
                                               1997                                                                            
                                                                                
                                                             Per share                
                                Loss             Shares        Amounts

Basic EPS:
Loss                          $(120,875)      12,729,525        $(0.01)                       
 Common stock warrants(1)
 Series C preferred stock(2)                   
                              ---------       ----------         -----                          
Diluted EPS:
Loss                          $(120,875)      12,729,525        $(0.01) 
                              ---------       ----------         -----                                                             
                                                   
(1) Common stock warrants totaling 994,356 and 641,000 outstanding during 
1998 and 1997,respectively,were not included in the computation of diluted
EPS at March 31, 1998 or 1997 because the various exercise prices of the
warrants were greater than the average market price of the Company's common
stock.

(2) Series C preferred stock is convertible into common stock of the company 
on a share-for-share   basis.  The effect on the computation of diluted 
weighted average shares outstanding is based upon the potential conversion of 
the shares into common stock for the period of time the preferred shares were 
outstanding.

</TABLE>


<PAGE>

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS, CONTINUED

4. Significant accounting policies, Continued  

In June 1997, the Financial Accounting Standards Board issued SFAS No. 130, 
"Reporting Comprehensive Income."  This statement establishes standards for
reporting the components of comprehensive income prominently within the 
financial statements.  Comprehensive income includes net income plus certain 
transactions that are reported directly within stockholders' equity. 
The provisions of this statement are effective with the first quarter of 1998 
financial statements and  have no material impact on financial position or 
results of operations of the Company.

In June 1997, the Financial Accounting Standards Board issued SFAS No. 131, 
"Disclosures about Segments of an Enterprise and Related Information."  The 
provisions of this statement require the disclosure of financial information 
about a company's operating segments in interim and annual financial 
statements.  The definition of operating segments is to be based upon internal 
management practices of the company.  The statement is effective in 1998 and 
its adoption has no material impact on the financial condition or results of 
operations of the Company

ITEM 2. Management's Discussion and Analysis of Results of
       Operations and Financial Condition

     General

Certain matters discussed are forward-looking statements that involve risks 
and uncertainties, including the impact of gold and antimony prices and 
production volatility, changing market conditions and the regulatory 
environment and other risks. Actual results may differ materially from those 
projected. These forward-looking statements represent the Company's judgment 
as of the date of this filing. The Company disclaims, however, any intent or 
obligation to update these forward-looking statements.

     Results of Operations

The Company's operations resulted in a net loss of $118,365 for the 
three-month period ended March  31, 1998 compared with a net loss of $120,875 
for the three-month period ended March 31, 1997.

Total revenues from antimony product sales  for the first three months of 1998 
were $919,724 compared with $1,113,410 for the comparable period in 1997, a 
decrease of $193,686.   The decrease in revenues during 1998 was due to a 
decrease in antimony product prices in the first quarter of 1998 compared to
the first quarter of 1997. Sales of antimony products during the first three 
months of 1998 consisted  781,793 pounds at an average sale price of $1.18 per 
pound.  During the first quarter of 1997 sales of antimony products consisted 
of 761,657 pounds at average sale price of $1.46 per pound.   The decrease in 
sale prices of antimony products from the  first quarter of 1997 to the first 
quarter of  1998 is the result of a corresponding decrease in antimony metal 
prices.  Gross profit from antimony sales during the first three months of 
1998 was $89,828, compared with gross profit of  $132,623 during the first 
three months of 1997. The decrease in gross profit during the first quarter of 
1998 compared to the comparable quarter of 1997, is primarily due to decreased 
antimony product sale prices. 

The Company reports 50% of total antimony sales made by HoltraChem and the 
Company.  Total sales of antimony products by both companies was 
$1,839,447 or 1,563,585 pounds during the first three months of 1998.  
Substantially all of the antimony products sold were produced at the Company's 
plant near Thompson Falls, Montana.

<PAGE>

ITEM 2. Management's Discussion and Analysis of Results of
     Operations and Financial Condition, Continued     
     
In August 1996, the Company discontinued mining operations at Yellow Jacket 
due to recurring operating losses, and placed the property on a 
care-and-maintenance basis.  Concurrently, the Company began an underground 
exploration program in an effort to discover mineralized material that could 
be economically mined and processed.  
     
Costs related to the care-and-maintenance of Yellow Jacket were $74,302 for 
the three-month period ended March 31, 1998, compared with comparable costs 
of $76,492 during the three-month period ended March 31, 1997. Costs related
to exploration and evaluation at Yellow Jacket were $30,108 for the three month
period ended March 31, 1998, compared with comparable costs of $36,249 
during the three-month period ended March 31, 1997.

General and administrative expenses decreased $16,684 during the first three 
months of 1998 as compared to the first three months of 1997. The decrease was 
principally due to decreased accounting and professional fees incurred during 
the first quarter of 1998 compared to the first quarter of 1997.

Interest expense was $48,287 during three-month period ended March 31,1998 
compared to $71,866 for the first quarter of 1997. The reduction was due to
a decrease in  outstanding debenture and director debt payable, which was
converted into Series C preferred stock during the fourth quarter of 1997.

Interest  income was $2,523 during the three-month period ended March 31, 
1998, compared to $5,812 for the same period in 1997.  The decrease in 
interest income was attributable to a corresponding decrease in restricted 
cash held during the first quarter of 1998 compared to the first quarter of 
1997.

Financial Condition and Liquidity
        
At March 31, 1998,  the Company's assets totaled $1,289,122, and there was a 
stockholders' deficit of $2,389,007. The stockholders' deficit increased  
$118,365 from December 31, 1997 due to the net  loss recognized from the 
Company's operations during the first three months of 1998.

Cash used by operating activities during the first three months of 1998 was 
$29,722 compared with $198,410 during the first three months of 1997.  During 
the first quarters of 1998 and 1997, the Company's net loss from operations 
contributed most to cash used by operations.  Cash used in investing 
activities was $19,983 during the first quarter of 1998 and $25,115 during the 
first quarter in 1997. Cash used during both periods of 1998 and 1997 related 
to cash investment in antimony plant and equipment.

Cash provided by financing activities totaled $49,705 during the first 
quarter of 1998 compared to $223,525 during the comparable period of 1997.  
During both 1998 and 1997, proceeds from the issuance of common stock 
and warrants contributed most of the cash provided from financing activities.

At March 31, 1998, the Company had completed its investment in its 50% share of 
antimony inventory. Correspondingly, the Company began receiving a greater 
percentage of profits from antimony sales with HoltraChem. These resources 
will be available to meet the Company's obligations and fund operations. 

The Company has been able to avoid bankruptcy and a termination of operations 
through borrowings from stockholders and directors, common stock sales, lack 
of creditor action and net income produced from operations in 1994 and 1995. 
There can be no assurance, however, that the Company will be able to continue 
to meet its obligations and continue in existence as a going concern.

ITEM 2. Management's Discussion and Analysis of Results of
     Operations and Financial Condition, Continued     

To continue as a going concern the company must continue to generate cash from 
operations and financing activities sufficient to address the following 
financial commitments.

               . Providing $5,000 per month for a "sinking fund" to pay 
                 accrued interest related to debentures converted in 1997.

               . Servicing borrowings from the bank.

               . Servicing the Hamilton note payable at a minimum of 
                 $150,000 annually. 

               . Keeping current on property, payroll, and income tax 
                 liabilities and accounts payable.

               . Fulfilling responsibilities with environmental, labor 
                 safety and securities regulatory agencies.

               . Paying annual care-and-maintenance costs at the Yellow 
                 Jacket mine.

               . Funding minimum annual royalty payments to Geosearch and 
                 Yellow Jacket, Inc.

               . Providing funding of the Company's antimony inventory 
                 from antimony profits when the Company's share of antimony 
                 inventory amountsto $750,000 or more or when its share of 
                 inventory is less than 50% of total inventory.

               . Funding legal fees and other costs incurred in resolving the 
                 lawsuit brought against the Company, requesting payment of 
                 defaulted debenture principal, related accrued interest, and
                 attorney's fees. 

PART II- OTHER INFORMATION

ITEM 1. Legal Proceedings

On April 8, 1998, Ronald Michael Meneo, Trustee of the Walter L. Maguire 
1935-1 Trust ("The Trust"), filed an action in the Twentieth Judicial District 
Court of Sanders County, Montana against the registrant. The action seeks to 
recover principal amounts totaling $335,000 due on defaulted convertible and 
subordinated convertible debentures held by The Trust.  The action also seeks 
to recover accrued interest on the principal amounts of the debentures at the 
rate of ten percent per annum that was due on the maturity dates of the 
debentures, interest at ten percent on all principal and interest due on the 
debentures accruing from the dates of maturity to the present, and all amounts 
relating to The Trust's legal and attorney's fees incurred in bringing the 
action. 

On March 31, 1998, the Company had recorded $305,523 of accrued 
interest on debentures held by The Trust. The Walter L. Maguire 1935-1 Trust 
is a stockholder, and its beneficiaries include Walter L. Maguire Sr.,  
a director and stockholder, and Walter L Maguire Jr., a stockholder.



ITEMS 2, 3, 4, and 5 are omitted from this report as inapplicable.




PART II- OTHER INFORMATION, CONTINUED

 ITEM 6. Exhibits and Reports on Form 8-K


     Documents filed with this report:


Exhibit No.                 Item                                    Dated       
 
10.29           SUMMONS and VERIFIED COMPLAINT                  April 8, 1998
                from Montana Twentieth Judicial      
                District Court, Sanders County       
          
          
     No reports were filed on Form 8-K during the period     








SIGNATURES
   

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


UNITED STATES ANTIMONY CORPORATION
(Registrant)



By:/s/ John C. Lawrence Date: May 14, 1998
John C. Lawrence, Director and President
(Principal Executive, Financial and Accounting
Officer)