UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C.  20549

_____________



FORM 10-Q



(Mark One)[ X ]Quarterly Report Under Section 13 or 15(d) of the Securities Exchange Act of 1934For the quarterly period ended September 30, 2009[    ]Transition Report Under Section 13 or 15(d) of the Securities Exchange Act of 1934For the transition period from  to




Commission File Number: 0001073262



Golden Spirit Enterprises Ltd.

(Exact name of small business issuer as specified in its charter)



Delaware

(State or other jurisdiction of incorporation or organization)



52-2132622(I.R.S. Employer Identification No.)



719 30TH Ave., Pointe-Calumet

Quebec, Canada, J0N 1G1

(Address of principal executive offices)



514-688-3289

(Issuers telephone number)



Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

[X] Yes  [ ] No



Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).   [  ]Yes[  ]No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company.  See the definitions of large accelerated filer, accelerated filer and smaller reporting company in Rule 12b-2 of the Exchange Act.



Large accelerated filer [ ]Accelerated filer [ ]Non-accelerated filer [ ]
      (Do not check if a smaller reporting company)Smaller reporting company [X]




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





APPLICABLE ONLY TO CORPORATE ISSUERS



On September 30, 2009 there were 18,942,024 shares outstanding of the issuers common stock.





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TABLE OF CONTENTS                                                                                                 PAGE



|Item 1.   Financial Statements.                                                                                                                                                     | F-1
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | ---
|                                                                                                                                                                                    |    
|Balance Sheet as of September 30, 2009 (Unaudited) and December 31, 2008                                                                                                            | F-1
|                                                                                                                                                                                    |    
|Statements of Operations (Unaudited) For the Three and Nine Months
Ended September 30, 2009 and 2008, and the Period from September 13, 1993
(Inception) through September 30, 2009 | F-2
|                                                                                                                                                                                    |    
|Statements of Cash Flows (Unaudited) For the Nine Months
Ended September 30, 2009 and 2008, and the Period from September13, 1993
(Inception) through September 30, 2009            | F-3
|                                                                                                                                                                                    |    
|Notes To Condensed Financial Statements (Unaudited).                                                                                                                                | F-4
|                                                                                                                                                                                    |    
|Item 2.   Management's Discussion and Analysis or Plan of Operation.                                                                                                                | 3  
|                                                                                                                                                                                    |    
|Item 3.   Quantitative and Qualitative Disclosures About Market Risk                                                                                                                | 8  
|                                                                                                                                                                                    |    
|Item 4T  Controls and Procedures                                                                                                                                                    | 8  
|                                                                                                                                                                                    |    
|Part II. OTHER INFORMATION                                                                                                                                                          | 9  
|                                                                                                                                                                                    |    
|Item 1.   Legal Proceedings                                                                                                                                                         | 9  
|                                                                                                                                                                                    |    
|Item 2.   Unregistered Sales of Equity Securities and Use of Proceeds                                                                                                               | 9  
|                                                                                                                                                                                    |    
|Item 3.   Defaults Upon Senior Securities                                                                                                                                           | 10 
|                                                                                                                                                                                    |    
|Item 4.   Submission of Matters to a Vote of Security Holders                                                                                                                       | 11 
|                                                                                                                                                                                    |    
|Item 5.   Other Information                                                                                                                                                         | 11 
|                                                                                                                                                                                    |    
|Item 6.   Exhibits                                                                                                                                                                  | 11 
|                                                                                                                                                                                    |    
|SIGNATURES                                                                                                                                                                          | 11 



-2-



PART I -  FINANCIAL INFORMATION





Item 1. Financial Statements



GOLDEN SPIRIT ENTERPRISES LTD.

(A development stage company)

CONSOLIDATED FINANCIAL STATEMENTS

SEPTEMBER 30, 2009

(UNAUDITED)





CONSOLIDATED BALANCE SHEETS........................................F-1



CONSOLIDATED STATEMENTS OF OPERATIONS..............F-2



CONSOLIDATED STATEMENTS OF CASH FLOWS.............F-3



NOTES TO CONSOLIDATED FINANCIAL STATEMENTS...F-4-13











GOLDEN SPIRIT ENTERPRISES LTD.

(A development stage company)

CONSOLIDATED BALANCE SHEETS



September 30,December 31,2009
      (unaudited)2008ASSETSCURRENT ASSETSCash$                 515$                1,556Accounts Receivable1,47099TOTAL CURRENT ASSETS1,9851,655AVAILABLE FOR SALE SECURITIES  related parties136,138982,468FILM PRODUCTION & DEVELOPMENT COSTS11DUE FROM LEGACY WINE & SPIRITS INTERNATIONAL LTD.71,09131,331DUE FROM ORGANA GARDENS INTERNATIONAL LTD.5,903-TOTAL ASSETS$               215,118$         1,015,455LIABILITIES AND STOCKHOLDERS EQUITY (DEFICIT)CURRENT LIABILITIESAccounts payable and accrued liabilities$               32,165$               43,155Due to Organa Gardens International Ltd.-32,747Due to related parties261,432248,733TOTAL CURRENT LIABILITIES293,597324,635COMMITMENTS AND CONTINGENCIESSTOCKHOLDERS EQUITY (DEFICIT)Common stock, $0.0001 par value, 500,000,000 shares authorizedIssued and outstanding:18,942,024 (2008  18,842,024) common shares1,8931,883Additional paid-in capital17,327,72717,323,737Deferred compensation-(26,529)Deficit accumulated during the development stage(17,666,045)(17,574,507)Accumulated other comprehensive income257,946966,236TOTAL STOCKHOLDERS EQUITY (DEFICIT)(78,479)690,820TOTAL LIABILITIES AND STOCKHOLDERS EQUITY (DEFICIT)$              215,118$          1,015,455






F-1





The accompanying notes are an integral part of these financial statements







GOLDEN SPIRIT ENTERPRISES LTD.

(A development stage company)

CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

Three Months Ended
    September 30,Nine Months Ended
    September 30,September 13, 1993
    (inception) to2009200820092008September 30, 2009REVENUESProcessing fees$                   -$                     -$                    -$                    -$        98,425Gaming Revenue----18,596Sale of oil and gas interest----47,501Interest income----2,927TOTAL REVENUES----167,449COST OF SALES -Poker royalties & processing fees----30,601GROSS PROFIT (LOSS)----136,848GENERAL AND ADMINISTRATIVE EXPENSESAdvertising and marketing----93,895Consulting fees7,31920,54232,03865,1267,417,123Depreciation and amortization32-96132,569Exploration costs---241,754Investor relations---695,153Loss on settlement of debt---302,500Management fees---378,447Office and general11,30019,07634,72840,656628,355Poker Sponsorships---52,500Professional fees2,2329,4509,30815,610615,380Travel and accommodation2,8359,6466,84113,606258,665Wages and salaries1,4091,0001,4094,300250,842Write-off of website development costs-----425,682Write-down (recovery) of URL costs----1,571,657Write-down of technology license----2,055,938Write-down of film production and distribution costs----90,762Write-off of other assets----265,886TOTAL GENERAL AND
    ADMINISTRATIVE EXPENSES25,09559,74684,324139,39415,477,108OTHER INCOME (EXPENSES:)EQUITY LOSS FROM ORGANA----(1,394,280)WRITE-DOWN OF INVESTMENT IN ORGANA----(313,301)GAIN/(LOSS) ON SALE OF SECURITIES-
    RELATED PARTIES1,333(162)(7,214)22,13829,677DILUTION GAIN  LEGACY----334,087PROPERTY OPTION LOSS----(600,000)MINORITY INTEREST IN LEGACY LOSS----479,978TOTAL OTHER INCOME (EXPENSES)1,333(162)(7,214)22,138(1,463,839)Loss before income taxes(23,762)(59,908)(91,538)(117,256)(16,804,099)Income Tax Provision----NET LOSS$ (23,762)$        (59,908)$     (91,538)$         (117,256)$   (16,804,099)BASIC AND DILUTED LOSS PER COMMON SHARE$     (0.00)(0.00)$ (0.01)(0.01)BASIC AND DILUTED WEIGHTED AVERAGE COMMON SHARES OUTSTANDING18,897,45118,784,71118,860,70518,310,321






F-2





The accompanying notes are an integral part of these financial statements

GOLDEN SPIRIT ENTERPRISES LTD.

(A development stage company)

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)



September 13,1993 (inception)Nine months ended September 30,to September 30,200920082009OPERATING ACTIVITIESNet loss$          (91,538)$ (117,256)$  (16,804,099)Adjustments to reconcile net loss to net cash used in operating activities:Depreciation-96132,569Fees and services paid for with shares26,52969,3465,093,218Loss on settlement of debt--302,500Stock-based compensation--2,208,169Non-cash component of URL write-down--1,214,193Resource property acquisition and exploration costs--763,000Film production and development costs--(90,763)Write-down of technology license--2,055,938Write-off of website development costs--206,876Write-down of film production & development costs--90,762Equity loss from Organa--1,394,280Write-down of investment in Organa--313,301(Gain)/Loss on sale of marketable securities7,214(22,138)(29,677)Dilution gain  Legacy-(334,087)Minority interest in Legacy loss-(479,978)Net changes in operating assets and liabilities(12,362)18,548315,062CASH FLOWS USED IN OPERATING ACTIVITIES(70,157)(88,500)(3,648,736)INVESTING ACTIVITIESDeposit--(75,000)Technology license--(135,938)Acquisition of furniture and equipment--(32,696)Website development costs--(306,876)Other intangible assets--(5,189)Purchase of securities  related parties-(19,533)(75,603)Net proceeds from sale of securities  related parties130,82761,740354,508Net cash on disposition of Legacy Wine & Spirits International Ltd.--209,955CASH FLOWS (USED IN) PROVIDED BY INVESTING ACTIVITIES130,82742,207(66,839)FINANCING ACTIVITIESNet advances (to)/ from related parties(61,711)(35,302)590,667Net proceeds on sale of common stock-82,0733,125,423CASH FLOWS (USED IN) PROVIDED BY FINANCING ACTIVITIES(61,711)46,7713,716,090NET (DECREASE) INCREASE IN CASH(1,041)478515CASH, BEGINNING OF PERIOD1,5566,282-CASH , END OF PERIOD$               515$                6,760$              515




F-3



The accompanying notes are an integral part of these financial statements







GOLDEN SPIRIT ENTERPRISES LTD.

(A development stage company)

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

SEPTEMBER 30, 2009
    (unaudited)




NOTE 1  NATURE OF OPERATIONS



The Company was incorporated on September 13, 1993 in the State of Delaware as Power Direct, Inc.  On January 31, 2000 the Company changed its name to 2U Online.com Inc. to reflect managements decision to shift the Companys focus from oil and gas exploration and development to internet-based business development.  On October 8, 2003, the Company changed its name to Golden Spirit Minerals Ltd. to reflect managements decision to shift the Companys focus from internet-based business development to mineral exploration. On October 19, 2004, the Company changed its name to Golden Spirit Mining Ltd. On July 18, 2005, the Company changed its name to Golden Spirit Gaming Ltd. to reflect managements decision to develop an online gaming business.  Effective June 30, 2006, the Company completed a 1 for 18 reverse stock split and changed its name to Golden Spirit Enterprises Ltd. to reflect the Companys plan to expand its operations to include the marketing of other products and venues not related to gaming including the development, production, financing and packaging of innovative film and television programming. In addition, the Company has signed an agreement with Eneco Industries to participate in a series of Municipal Solid Waste (garbage) fueled Recycling and Resource Recovery Plants (refer to Note 5).



The consolidated financial statements have been prepared on the basis of a going concern which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business.  The Company has incurred losses since inception of 16,804,099 and at September 30, 2009 had a working capital deficiency of $ 291,612 The Company and its subsidiaries are in the development stage and further significant losses are expected to be incurred in developing its business.  The recoverability of the carrying value of assets and the ability of the Company to continue as a going concern is dependent on raising additional capital and ultimately on generating future profitable operations.  There can be no assurance that the Company will be able to raise the necessary funds when needed to finance its ongoing costs. Given the Companys limited operating history, lack of sales, and its operating losses, there can be no assurance that it will be able to achieve or maintain profitability. The Company intends to fund the marketing of its business with both equity financing and joint venture opportunities, although there are no assurances these opportunities will be successful. Accordingly, these factors raise substantial doubt regarding the ability of the Company to continue as a going concern.



NOTE 2- BASIS OF PRESENTATION



The financial statements include the accounts of the Company and its subsidiaries, a 100% interest in PD Oil & Gas, Inc. (inactive), and a 100% interest in Cardstakes.com Enterprises Ltd. (inactive).



The foregoing unaudited interim consolidated financial statements have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q and Regulation S-X Article 8 Financial Statements of Smaller Reporting Companies, as promulgated by the Securities and Exchange Commission ("SEC").  Accordingly, these financial statements do not include all of the disclosures required by generally accepted accounting principles for complete financial statements.  These unaudited interim consolidated financial statements should be read in conjunction with the audited consolidated financial statements for the period ended December 31, 2008 referenced in the 10-K.  In the opinion of management, the unaudited interim consolidated financial statements furnished herein include all adjustments, all of which are of a normal recurring nature, necessary for a fair statement of the results for the interim period presented.



The preparation of financial statements in accordance with generally accepted accounting principles requires the use of estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities known to exist as of the date the financial statements are published, and the reported amounts of revenues and expenses during the reporting period.  Uncertainties with respect to such estimates and assumptions are inherent in the preparation of the Company's financial statements; accordingly, it is possible that the actual results could differ from these estimates and assumptions that could have a material effect on the reported amounts of the Company's financial position and results of operations.



Operating results for the nine months ended September 30, 2009 are not necessarily indicative of the results that may be expected for the year ending December 31, 2009.



F-4





GOLDEN SPIRIT ENTERPRISES LTD.

(A development stage company)

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

SEPTEMBER 30, 2009

(unaudited)

NOTE 2- BASIS OF PRESENTATION (continued)



Film Production and Development Costs

Capitalized film production and development costs consist of investments in films which include the unamortized costs of completed films which have been produced by the Company or for which the Company has acquired distribution rights.  For films produced by the Company, capitalized costs include all direct production and financing costs, and production overhead. For acquired films, capitalized costs consist of minimum guarantee payments to acquire the distribution rights.



Costs of acquiring and producing films are amortized using the individual-film-forecast method as defined in SOP 00-2, whereby these are amortized and participation and residual costs are accrued in the proportion that current years revenue bears to managements estimate of ultimate revenue at the beginning of the current year expected to be recognized from the exploitation, exhibition or sale of the films.



Capitalized film costs are stated at the lower of amortized cost or estimated fair value on an individual film basis. The valuation of investment in films is reviewed on a title-by-title basis, when an event or changes in circumstances indicate that the fair value of a film is less than its unamortized cost. The fair value of the film is determined using managements future revenue and cost estimates. Additional amortization is recorded for the amount, if any, by which the unamortized costs exceed the estimated fair value of the film. Estimates of future revenue involve measurement uncertainty and it is therefore possible that reductions in the carrying value of investment in films may be required as a consequence of changes in managements future revenue estimates.



Films in progress include the accumulated costs of production, which have not yet been completed by the Company.



Films in development include costs of acquiring film rights to original screenplays and costs to adapt such projects. Such costs are capitalized and, upon commencement of production, are transferred to production costs. Projects in development are written off at the earlier of the date determined not to be recoverable or when abandoned, or three years from the date of the initial investment.



Stock-Based Compensation

The Company accounts for all compensation related to stock, options or warrants using a fair value based method whereby compensation cost is measured at the grant date based on the value of the award and is recognized over the service period, which is usually the vesting period. The Company uses the Black-Scholes pricing model to calculate the fair value of options and warrants issued to both employees and non-employees. Stock issued for compensation is valued using the market price of the stock on the date of the related agreement.



Recent Accounting Pronouncements

On July 1, 2009, the FASB officially launched the FASB ASC 105 --  Generally Accepted Accounting Principles, which established the FASB Accounting Standards Codification (the Codification), as the single official source of authoritative, nongovernmental, U.S. GAAP, in addition to guidance issued by the Securities and Exchange Commission.  The Codification is designed to simplify U.S. GAAP into a single, topically ordered structure.  All guidance contained in the Codification carries an equal level of authority.  The Codification is effective for interim and annual periods ending after September 15, 2009.  Accordingly, the Company refers to the Codification in respect of the appropriate accounting standards throughout this document as FASB ASC.  Implementation of the Codification did not have any impact on the Companys consolidated financial statements



On June 30, 2009, the FASB issued Accounting Standard Update (ASU) No. 2009-01 (Topic 105)  Generally Accepted Accounting Principles  amendments based on  Statement of Financial Accounting Standards No. 168  The FASB Accounting and Standards Codification and the Hierarchy of Generally Accepted Accounting Principles. Beginning with this Statement the FASB will no longer issue new standards in the form of Statements, FASB Staff Positions, or Emerging Issues Task Force Abstracts.  Instead, it will issue Accounting Standard Updates.  This ASU includes FASB Statement No. 168 in its entirety.  While ASUs will not be considered authoritative in their own right, they will serve to update the Codification, provide the bases for conclusions and changes in the Codification, and provide background information about the guidance.  The Codification modifies the GAAP hierarchy to include only two levels of GAAP:  authoritative and nonauthoritative.  ASU No. 2009-01 is effective for financial statements issued for the interim and annual periods ending after September 15, 2009, and the Company does not expect any significant financial impact upon adoption.



F-5



NOTE 2- BASIS OF PRESENTATION (continued)



In August 2009, the FASB issued ASU No. 2009-05  Fair Value Measurements and Disclosures (Topic 820)  Measuring Liabilities at Fair Value.  This ASU clarifies the fair market value measurement of liabilities.  In circumstances where a quoted price in an active market for the identical liability is not available, a reporting entity is required to measure fair value using one or more of the following techniques: a technique that uses quoted price of the identical or a similar liability or liabilities when traded as an asset or assets, or another valuation technique that is consistent with the principles of Topic 820 such as an income or market approach.  ASU No. 2009-05 was effective upon issuance and it did not result in any significant financial impact on the Company upon adoption.



In September 2009, the FASB issued Accounting Standard Update (ASU) No. 2009-12  Fair Value Measurements and Disclosures (Topic 820)  Investments in Certain Entities That Calculate Net Asset Value per Share (or its equivalent).  This ASU permits use of a practical expedient, with appropriate disclosures, when measuring the fair value of an alternative investment that does not have a readily determinable fair value.  ASU No. 2009-12 is effective for interim and annual periods ending after December 15, 2009, with early application permitted.  Since the Company does not currently have any such investments, it does not anticipate any impact on its financial statements upon adoption.

.

In May 2009, the FASB issued FASB ASC 855, Subsequent Events..ASC 855 provides authoritative accounting literature related to evaluating subsequent events that was previously addressed only in the auditing literature, and is largely similar to the current guidance in the auditing literature with some exceptions that are not intended to result in significant changes in practice. SFAS 165 defines subsequent events and also requires the disclosure of the date through which an entity has evaluated

subsequent events and the basis for that date.  ASC 855 is effective on a prospective basis for interim or annual financial periods ending after June 15, 2009. The adoption of this standard during the period did not have any impact on the Companys financial position, cash flows or results of operations. The adoption of this standard during the period did not have any impact on the Companys financial position, cash flows or results of operations. The Company has evaluated subsequent events up to and including November 16, 2009 and has determined there were no significant transactions.



In December 2007, the FASB issued an update to FASB ASC 805, Business Combinations which establishes principles and requirements for how an acquirer recognizes and measures in its financial statements the identifiable assets acquired, the liabilities assumed, any noncontrolling interest in the acquiree, and the goodwill acquired. This update also establishes disclosure requirements to enable the evaluation of the nature and financial effects of the business combination. This update is effective for the Company with respect to business combinations for which the acquisition date is on or after January 1, 2009. The Company adopted this update in the first quarter of 2009 without significant financial impact.



In December 2007, the FASB issued an update to FASB ASC 810, Consolidation, which establishes accounting and reporting standards for ownership interests in subsidiaries held by parties other than the parent, the amount of consolidated net income attributable to the parent and to the noncontrolling interest, changes in a parents ownership interest, and the valuation of retained noncontrolling equity investments when a subsidiary is deconsolidated. SFAS 160 also establishes disclosure requirements that clearly identify and distinguish between the interests of the parent and the interests of noncontrolling owners. This update is effective for the Company as of January 1, 2009. The Company adopted this this update in January 2009 without significant impact on the consolidated financial position, results of operations, and disclosures.



In December 2007, the SEC issued Staff Accounting Bulletin (SAB) 110 Share-Based Payment. SAB 110 amends and replaces Question 6 of Section D.2 of Topic 14, Share-Based Payment, of the Staff Accounting Bulletin series. Question 6 of Section D.2 of Topic 14 expresses the views of the staff regarding the use of the simplified method in developing an estimate of the expected term of plain vanilla share options and allows usage of the simplified method for share option grants prior to December 31, 2007. SAB 110 allows public companies which do not have historically sufficient experience to provide a reasonable estimate to continue use of the simplified method for estimating the expected term of plain vanilla share option grants after December 31, 2007. SAB 110 is effective January 1, 2008. The Company currently uses the simplified method to estimate the expected term for share option grants as it does not have enough historical experience to provide a reasonable estimate. The Company will continue to use the simplified method until it has enough historical experience to provide a reasonable estimate of expected term in accordance with SAB 110. The Company does not expect SAB 110 will have a material impact on its balance sheets, statements of operations and cash flows.



F-6



GOLDEN SPIRIT ENTERPRISES LTD.

(A development stage company)

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

SEPTEMBER 30, 2009

(unaudited)



NOTE 2  BASIS OF PRESENTATION (continued)



In June 2009, the FASB issued SFAS No. 167, Amendments to FASB Interpretation No. 46(R).  SFAS No. 167 addresses the effect on FASB Interpretation 46(R), Consolidation of Variable Interest Entities of the elimination of the qualifying special-purpose entity concept of SFAS No. 166, Accounting for Transfers of Financial Assets.  SFAS No. 167 also amends the accounting and disclosure requirements of FASB Interpretation 46(R) to enhance the timeliness and usefulness of information about an enterprises involvement in a variable interest entity. This Statement shall be effective as of the Companys first interim reporting period that begins after November 15, 2009. Earlier application is prohibited.  The Company does not anticipate any significant financial impact from adoption of SFAS No. 167. As of September 30, 2009, SFAS No. 167 has not been added to the Codification.



In June 2009, the FASB issued SFAS No. 166, Accounting for Transfers of Financial Assets  an amendment of FASB Statement No. 140.  SFAS No. 166 amends SFAS No. 140, Accounting for Transfers and Servicing of Financial Assets and Extinguishments of Liabilities by eliminating the concept of special-purpose entity, requiring the reporting entity to provide more information about sales of securitized financial assets and similar transactions, particularly if the seller retains some risk to the assets, changes the requirements for the de-recognition of financial assets, and provides for the sellers of the assets to make additional disclosures.  This Statement shall be effective as of the Companys first interim reporting period that begins after November 15, 2009. Earlier application is prohibited.  The Company does not anticipate any significant financial impact from adoption of SFAS No. 166. As of September 30, 2009, SFAS No. 166 has not been added to the Codification.



In March 2008, the FASB issued an update to FASB ASC 815, Derivatives  and Hedging  This update is intended to enhance the current disclosure framework in FASB ASC 815.  Under this update, entities will have to provide disclosures about (a) how and why and entity uses derivative instruments, (b) how derivative instruments and related hedged items are accounted for under FASB ASC 815 and its related interpretations, and (c), how derivative instruments and related hedged items effect an entitys financial position, financial performance and cash flows.  This update is effective for all financial statements issued for fiscal and interim periods beginning after November 15, 2008.  The Company does not currently have any derivative instruments, nor does it engage in hedging activities, therefore, the Companys adoption of this update in the first quarter of 2009 was without significant financial impact.



NOTE 3 AVAILABLEFOR-SALE SECURITIES

Organa

The Company owns common shares of Organa Gardens International Inc. (formerly Shotgun Energy Corporation) (Organa), a public company with directors and significant shareholders in common, that does not represent a position of control of or significant influence over Organa.  During 2007 the Company recorded an unrealized loss in the carrying value of its available-for-sale securities totalling $3,775, which was recorded as other comprehensive income (loss).  During the year ended December 31, 2008, the Company recorded an unrealized loss in the carrying value of its available-for-sale securities totalling $5,612 which was recorded as other comprehensive income (loss).  During the nine months ended September 30, 2009,  the Company sold 50,000 shares resulting in a realized loss of $(780) and recorded an unrealized loss in the carrying value of its available-for-sale securities totalling $52, which was recorded as other comprehensive income. As at September 30, 2009, the Company owns 3,450 shares of Organas common stock with a market value of $103 (December 31, 2008 - $1,604).



Legacy

The Company owns common shares of Legacy Wine & Spirits International Ltd. (Legacy), a public company with directors and significant shareholders in common, that does not represent a position of control of or significant influence over Legacy.  During 2007 the Company recorded an unrealized gain in the carrying value of its available-for-sale securities totalling $590,993. During the year ended December 31, 2008, the Company acquired 23,200 shares valued at $19,532 sold 99,400 shares resulting in a realized gain of $28,645(net of commissions of $2,132) and recorded an unrealized gain in the carrying value of its available-for-sale securities totalling $275,121, which was recorded as other comprehensive income. During the nine months ended September 30, 2009, the Company sold 224,500 shares resulting in a realized loss of $(6,434) and recorded an unrealized loss in the carrying value of its available-for-sale securities totalling $709,040, which was recorded as other comprehensive loss. As at September 30, 2009, the Company owns 971,677 shares of Legacys common stock with a market value of $136,035. (December 31,.2008 - $980,864).



F-7



GOLDEN SPIRIT ENTERPRISES LTD.

(A development stage company)

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

SEPTEMBER 30, 2009

(unaudited)

NOTE 3 AVAILABLEFOR-SALE SECURITIES



Available for sale securities  related parties include the following:



September 30,December 3120092008971,677  (2008-1,196,177) shares of Legacy$      136,035$        980,8643,450  (2008- 53,450) shares of  Organa1031,604$      136,138$        982,468






NOTE 4  FILM PRODUCITON AND DEVELOPMENT COSTS



Film Production and development costs at September 30, 2009 are made up as follows:



Gross CostAccumulated amortization2008 write down of film rights and related costsNet Cost
    September 30, 2009Net Cost
    December 31, 2008Acquired films and film rights$            84,970$                     -$         (84,969)$                     1$                     1Films in progress5,793-(5,793)--$            90,763$                     -$         (90,762)$                     1$                     1






F-8



GOLDEN SPIRIT ENTERPRISES LTD.

(A development stage company)

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

SEPTEMBER 30, 2009

(unaudited)





NOTE 4  FILM PRODUCTION AND DEVELOPMENT COSTS (continued)



Acquired Films and Film Rights



The Company acquired from Beijing Dadu Sunshine Film & Culture Co. Ltd., the exclusive distribution rights worldwide, except for Asia, for the film Tales of Rain and Magic.  Under the terms of the License Agreement dated March 23, 2007, the Company will receive a 25% interest in the gross receipts earned from sales in those countries. Tales of Rain and Magic portrays a young girls coming of age, and of the psycho-logical and physiological changes that she encounters along the way to adulthood. As of December 31, 2008, due to uncertainty of realization, the Company has written down this project to a carrying value of $Nil.

The Company signed an Agreement dated March 15, 2007 with Amazing Super Buddies Productions Inc. to act as the Producer and Distributor for a 3D Television Series for children known as ASB: Power Force. In return for advancing $54,000 to produce the series, the Company will receive a guaranteed 15% interest in the gross receipts earned worldwide, inclusive of all character licensing and merchandise sold from the ASB: Power Force Series. As of December 31, 2008, due to uncertainty of realization, the Company has written down this project to a nominal carrying value of $1.



Films in progress



The Company signed an Agreement dated February 15, 2007  to represent The Cabin, a teen-oriented, horror/thriller feature film.  As distributor of the film, the Company will receive a fee of 25% of the gross amounts of all sales or distribution deals made internationally and 20% of the gross amounts of all sales or distribution deals made in the United States. As of September 30, 2009 and December 31, 2008, due to uncertainty of realization, the Company has written down this project to a carrying value of $Nil.



The Company signed an Agreement dated March 15, 2007  to represent The Brotherhood of the Phoenix, a high concept action drama feature film. As distributor of the film, the Company will receive a fee of 25% of the gross amounts of all sales or distribution deals made internationally and 20% of the gross amounts of all sales or distribution deals made in the United States. As of September 30, 2009 and December 31, 2008, due to uncertainty of realization, the Company has written down this project to a value of $Nil.



The Company signed a Memorandum of Understanding dated March 23, 2007 with Pentafilms, SARL of France and Beijing Dadu Sunshine Film & Culture Co. Ltd. to co-produce and distribute a film called The Mists of Time. The financial contribution for production by each party, the final percentage of distribution rights, final casting and budget will be determined in the final agreement. As of September 30, 2009 and December 31, 2008, the agreement has not been finalized and the Company has incurred $ Nil on this project.





NOTE 5  OTHER PROPERTIES



The Company signed an Agreement dated March 28, 2008 with EnEco Industries Ltd. ("EnEco"), a waste management company that has been in operation for fifteen years, to form an alliance for a renewable energy entity, where the Company will take majority interest in a series of Municipal Solid Waste (garbage) fueled Recycling and Resource Recovery Plants designed by EnEco. These plants will be in strategically located areas diverting tons of garbage from landfills and drastically reducing greenhouse gas outputs. As of  September 30, 2009 and December 31, 2008, the Company has incurred $Nil on this project.





F-9



GOLDEN SPIRIT ENTERPRISES LTD.

(A development stage company)

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

SEPTEMBER 30, 2009

(unaudited)

NOTE 6 DEFERRED COMPENSATION



The Company has recorded as deferred compensation prepaid amounts for consulting and management services contracts paid for by issuance of shares of common stock as follows:



a)

On June 2, 2006, the Company entered into an agreement with a consultant, for a three-year term, whereby the consultant provides consulting services to the Company (valued at $110,000) in exchange for 555,556 shares of the Companys common stock.  To September 30, 2009, a total of $110,000 has been expensed (December 31, 2008 - $94,726).



b)

On June 2, 2006, the Company signed an agreement with an effective date of October 1, 2005 with a consultant, for a three-year term, whereby the consultant provides services to the Company (valued at $82,500) in exchange for 416,667 shares of the Companys common stock.  To September 30, 2009, a total of $82,500 has been expensed (December 31,2008 - $82,500).



c)

On August 15, 2007, the Company entered into an agreement with Palisades Financial Ltd. (Palisades), a private company controlled by a significant shareholder, with a two-year term, whereby Palisades provides investment-banking services to the Company (valued at $36,000) in exchange for 200,000 restricted shares of the Companys common stock.  As at  September 30, 2009, a total of $36,000 has been expensed (December 31, 2008 - $24,750)



As at September 30, 2009, the unamortized portion of the deferred compensation totaled $Nil (December 31, 2008 - $26,529).





NOTE 7  CAPITAL STOCK

The Companys capitalization is 500,000,000 common shares with a par value of $0.0001 per share.  No preferred shares have been authorized.



(1)

2009 Stock Transactions:



During the nine month period ended September 30, 2009, 100,000 incentive stock options were granted and immediately  exercised at $0.04 per share to satisfy a debt to a related party in the amount of $4,000. Accordjngly, no compensation expense was recorded.



(2)

2008 Stock Transactions:



During the nine months ended September 30, 2008:



(a)

On February 27, 2008 the Company issued 30,000 restricted common shares valued at $3,300 to a director for his current services



(b)

On June 18, 2008 the Company issued 25,000 restricted common shares valued at $3,500 to a consultant for his current services



(c)

820,730 incentive stock options were exercised at $0.10 per share for proceeds of $82,073



(d)

On September 16, 2008 the Company issued 25,000 restricted common shares valued at $1,000 to a director for her current services





F-10



GOLDEN SPIRIT ENTERPRISES LTD.

(A development stage company)

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

SEPTEMBER 30, 2009

(unaudited)



NOTE 7  CAPITAL STOCK (continued)





(3)

2009 Stock Options

During the nine months ended September 30, 2009, the Company granted 100,000 stock options to a related party

and these options were immediately  exercised at $0.04 per share to satisfy a debt to a related party in the amount of $4,000.



The Companys stock option activity is as follows:

Number of optionsWeighted Average Exercise PriceWeighted Average Remaining Contractual LifeBalance, December 31, 20073,172,517$                   0.183.80 yearsGranted during 2008--Exercised during 2008(845,730)0.10Balance, December 31, 20082,351,7870.202.67 yearsGranted during 2008--Exercised during 2008--Granted during 2009100,000-Exercised during 2009(100,000)-Balance, September 30, 20092,351,787$                    0.202.17 years




On June 29, 2009, the Company filed Registration Statements on Form S-8 to register 8,000,000 to be issued pursuant to the Companys 2009 Stock Incentive and Option Plan. 100,000 of these options were granted at   $0.04 per   share during the period.



(4)          2008 Stock Options



During the nine months ended September 30, 2008, the Company did not grant any stock options.



NOTE 8  RELATED PARTY TRANSACTIONS



During the nine months ended September 30, 2009, companies controlled by significant shareholders earned $6,755 (2008 - $13,500) pursuant to investment banking services contracts (refer to Note 6).



During the nine months ended September 30, 2009, the Company paid $1,409 (2008 -$4,300) to directors for management fees.



During the nine months ended September 30, 2009, the Company incurred expenses for office rent of $15,225 (2008 - $18,750) to a private company controlled by a significant shareholder.





F-11



GOLDEN SPIRIT ENTERPRISES LTD.

(A development stage company)

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

SEPTEMBER 30, 2009

(unaudited)



At September 30, 2009, a total of $5,903 (December 31, 2008  $(32,747)) was due from  Organa Gardens International Inc., a public company with common directors and officers, for cash advances. This amount is unsecured, non-interest bearing and has no specified terms of repayment.



NOTE 8  RELATED PARTY TRANSACTIONS (continued)



At September 30, 2009, a total of $71,091 (December 31, 2008  $31,331) was due from Legacy Wine & Spirits International Ltd., a company with common directors and officers, for cash advances. This amount is unsecured, non-interest bearing and has no specified terms of repayment.



The following amounts are due to related parties at:

|                         |                        |                  
|------------------------ | ---------------------- | -----------------
|                         | September 30, 2009     | December 31, 2008
|                         |                        |                  
|Significant shareholders | $              261,432 | $         248,733



All related party transactions are measured at the exchange amount, which is the amount of consideration established and agreed to by the related parties.





NOTE 9  COMMITMENTS AND CONTINGENCIES



On May 2, 2003, the Company issued 25,000 common shares valued at $9,000 to a consultant pursuant to a stock option incentive plan.  The consultant failed to meet the terms of the stock option agreement by not paying the exercise price and as a result, the Company requested the return of the 25,000 post reverse-split shares.  The consultant refused to return the shares; therefore, the Company issued a stop transfer and commenced legal proceedings to recover the shares.  The consultant subsequently filed a Statement of Claim against the Company for damages of $53,000 Cdn.  On April 29, 2005, the Supreme Court of British Columbia issued a judgment awarding the plaintiff $15,000 Cdn in damages and $7,180 Cdn in costs; however, the 25,000 common shares were to be returned to the Company (not yet received).In September 2005, the Company and the plaintiff agreed to payment terms to settle this damage award by a payment of $6,080 Cdn (paid) and a payment schedule of $1,000 Cdn per month for the remaining balance of the judgment commencing December 1, 2005.  The $6,080 Cdn payment was made as the result of a bailiffs executed court order on September 28, 2005, which seized the Companys bank account.  No further payments have been made towards the settlement agreement due to the Plaintiffs refusal to sign the order.



On September 28,2005, the Company received notice of a lawsuit from Thomas L. Franklin, a professional poker player formerly under contract with 4KE, for an alleged breach of contract for services rendered based on the original contract between the Company and 4KE dated July 18, 2005.  The Company, 4KE, and certain individuals, are being sued for $967,500, plus interest at the rate of 8% per annum from August 22, 2005, and all costs pertaining to this legal matter.  An attorney in Mississippi has been retained to defend this action and to apply for a dismissal of the case, based on Mississippi being the wrong jurisdiction for this suit and to defend the Company from the claims made by the plaintiff.  The court case was dismissed in favour of the Company in the second quarter of 2008.



As of August 1, 2002, the Company has leased 1250 sq. ft of office space from Holm Investments Ltd. at $1,000 per month for a period of 3 years and was renewed for an additional 3 years at $2,050 per month. The current tenancy agreement expires August 1, 2008 pursuant to a renewal for an additional 3 years at $2,200.



F-12



GOLDEN SPIRIT ENTERPRISES LTD.

(A development stage company)

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

SEPTEMBER 30, 2009

(unaudited)

NOTE 10  INCOME TAXES



As of September 30, 2009, the Company had net operating loss carry forwards of approximately $16,808,000 that may be available to reduce future years' taxable income and will expire between the years 2010 - 2029.  Availability of tax losses is subject to change of ownership limitations under Internal Revenue Code 382.  Future tax benefits which may arise as a result of these losses have not been recognized in these financial statements, as their realization is determined not likely to occur and accordingly, the Company has recorded a valuation allowance for the deferred tax asset relating to these tax loss carryforwards.





NOTE 11  SUPPLEMENTAL CASH FLOW INFORMATION AND NON-CASH INVESTING AND FINANCING ACTIVITIES



|                                                                        |  |                     |  |                    
|----------------------------------------------------------------------- |  | ------------------- |  | -------------------
|Cash paid during the nine months ended September 30, 2009 and 2008 for: |  | 2009                |  | 2008               
|                                                                        |  |                     |  |                    
|Interest                                                                |  | $                 - |  | $                 -
|                                                                        |  |                     |  |                    
|Income taxes                                                            |  | $                 - |  | $                 -



The Company issued 100,000 shares of common stock with a value of $4,000 for satisfaction of debt to related

parties during the nine month period ended September 30, 2009. No stock was issued for this purpose during the nine months

ended September 30, 2008.



The Company paid no cash for interest and income taxes for the nine months ended September 30, 2009 and 2008.





NOTE 12  SUBSEQUENT EVENTS



In October ,the Company issued a total of 2,550,000 common shares pursuant to the exercise of options under the Companys 2009 Stock Incentive and Option Plan at $0.02 per share to satisfy debt to related parties in the amount of $50,500.



On October 29, 2009, the Company signed an agreement to acquire 32 BLM gold mineral lease claims in the newly discovered Long Canyon Trend of east central Nevada. The Company will acquire a 75% undivided interest in these 32 claims. The vendor

will maintain a 25% interest in the claims until the Company has spent a minimum of $150,000 in exploration costs within 24 months from the date of this Agreement on the properties. The Company agreed to spend up to $25,000 for a geological report before December 15th 2009 and an additional $50,000 during the months of March through July 2010. The balance of $75,000 can be spent over the following 15 months at the Companys discretion to earn the full 100% interest. The Company is required to pay $10,000 cash and issue up to 5,000,000 restricted common shares to acquire the interest. (not yet paid or issued).



F-13



Item 2. Managements Discussion and Analysis or Plan of Operation.

The following should be read in conjunction with our financial statements and the related notes that appear elsewhere in this quarterly report. The discussion contains forward-looking statements that reflect our plans, estimates and beliefs. Our actual results could differ materially from those discussed in the forward-looking statements.



We changed our name from Power Direct, Inc., to 2UOnline.com, Inc. by filing a Certificate of Amendment to our Certificate of Incorporation on January 31, 2000. We also changed our trading symbol from "PWDR" to "TWOU" in order to reflect our decision to shift our focus from oil and gas production to Internet- related activities. Our symbol was then changed to "TWOUE".  On or about April 18, 2000, we were removed from the Over-the-Counter Bulletin Board ("OTCBB") for failure to comply with NASD Rule 6530, which requires any company listed on the OTCBB to be current in its public reporting obligations pursuant to the Securities and Exchange Act of 1934. The Company was re-instated on the OTCBB on October 7, 2002 under the symbol "TWOU". The Company filed a certificate of amendment to its Articles of Incorporation with the State of Delaware on October 1, 2003 to change its name to Golden Spirit Minerals Ltd. The name change reflects management's decision to shift the Company's focus from internet-based business development to mineral exploration. On October 8, 2003, the trading symbol for the Company became "GSPM". On October 19, 2004, the Company changed its name to Golden Spirit Mining Ltd. and the trading symbol was "GSML". On July 18, 2005 the Company changed its name to Golden Spirit Gaming Ltd. and the trading symbol was GSGL. On June 30, 2006, the Company changed its name to Golden Spirit Enterprises Ltd. and the trading symbol is currently GSPT.



On August 17, 2005, the Company incorporated Golden Spirit Poker Company Limited, a British Virgin Islands Corporation.  Golden Spirit Gaming Ltd. was issued 10 shares of this Company for consideration of $10.00, representing 100% of the issued capital of Golden Spirit Poker Company Limited.

On September 30, 2006, Congress passed the Unlawful Internet Gambling Enforcement Act of 2006.  The new proposed legislation prohibits banks, credit card companies, money transmitting businesses, and other third-party payment providers from knowingly processing online gaming transactions. Due to this ruling and the negative impact it would have on the Golden Spirit poker website, management decided to discontinue its online gaming operations in 2006.

The Company will be involved in the development, production, financing and packaging of innovative film and television programming. In addition, the Company has signed an agreement with Eneco Industries to participate in a series of Municipal Solid Waste (garbage) fueled Recycling and Resource Recovery Plants. The Agreement calls for a joint venture utilizing EnEco's expertise and technology to develop a municipal solid waste (garbage) recycling and biomass derived renewable energy facility. Golden Spirit and EnEco will build and operate a series of solid waste recycling and biomass derived renewable energy facility with greenhouse and algae subsystems that will utilize our Thermal Oxidation Process System (TOPS) technology to generate electricity for sale to the local power grid. Further details on the new Golden Spirit - Eneco project can be viewed on our website www.goldenspirit.ws.



-3-



Our Investment in Available for sale securities  related parties

Organa

The Company owns common shares of Organa Gardens International Inc. (formerly Shotgun Energy Corporation) (Organa), a public company with directors and significant shareholders in common, that does not represent a position of control of or significant influence over Organa.  During 2007 the Company recorded an unrealized loss in the carrying value of its available-for-sale securities totalling $3,775, which was recorded as other comprehensive income (loss).  During the year ended December 31, 2008, the Company recorded an unrealized loss in the carrying value of its available-for-sale securities totalling $5,612 which was recorded as other comprehensive income (loss).  During the nine months ended September 30, 2009,  the Company sold 50,000 shares resulting in a realized loss of $(780) and recorded an unrealized loss in the carrying value of its available-for-sale securities totalling $52, which was recorded as other comprehensive income. As at September 30, 2009, the Company owns 3,450 shares of Organas common stock with a market value of $103 (December 31, 2008 - $1,604).



Legacy

The Company owns common shares of Legacy Wine & Spirits International Ltd. (Legacy), a public company with directors and significant shareholders in common, that does not represent a position of control of or significant influence over Legacy.  During 2007 the Company recorded an unrealized gain in the carrying value of its available-for-sale securities totalling $590,993. During the year ended December 31, 2008, the Company acquired 23,200 shares valued at $19,532 sold 99,400 shares resulting in a realized gain of $28,645(net of commissions of $2,132) and recorded an unrealized gain in the carrying value of its available-for-sale securities totalling $275,121, which was recorded as other comprehensive income. During the nine months ended September 30, 2009, the Company sold 224,500 shares resulting in a realized loss of $(6,434) and recorded an unrealized loss in the carrying value of its available-for-sale securities totalling $709,040, which was recorded as other comprehensive loss. As at September 30, 2009, the Company owns 971,677 shares of Legacys common stock with a market value of $136,035. (December 31,.2008 - $980,864).



Available for sale securities  related parties include the following:



|                                           |                |               
|------------------------------------------ | -------------- | --------------
|                                           | September 30,  | December 31   
|                                           | 2009           | 2008          
|                                           |                |               
|971,677  (2008-1,196,177) shares of Legacy | $      136,035 | $      980,864
|3,450  (2008- 53,450) shares of  Organa    | 103            | 1,604         
|                                           |                |               
|                                           | $      136,138 | $      982,468



Film Production and development costs at September 30, 2009 are made up as follows:



|                               |  |                  |                          |                                                 |                             |                           
|------------------------------ |  | ---------------- | ------------------------ | ----------------------------------------------- | --------------------------- | --------------------------
|                               |  | Gross Cost       | Accumulated amortization | 2008 writedown of film rights and related costs | Net Cost
September 30, 2009 | Net Cost
December 31, 2008
|                               |  |                  |                          |                                                 |                             |                           
|Acquired films and film rights |  | $         84,970 | $                     -  | (84,969)                                        | $                  1        | $                  1      
|Films in progress              |  | 5,793            | -                        | (5,793)                                         | -                           | -                         
|                               |  |                  |                          |                                                 |                             |                           
|                               |  | $         90,763 | $                     -  | $ (90,762)                                      | $                  1        | $                 1       





-4-







Acquired Films and Film Rights



The Company has acquired from Beijing Dadu Sunshine Film & Culture Co. Ltd., the exclusive distribution rights worldwide, except for Asia, for the film Tales of Rain and Magic.  Under the terms of the License Agreement dated March 23, 2007, the Company will receive twenty-five (25) percent interest of the gross receipts earned from sales in those countries. Tales of Rain and Magic portrays a young girls coming of age, and of the psycho-logical and physiological changes that she encounters along the way to adulthood. As of September 30, 2009, due to uncertainty of realization, the Company has written down this project to a value of $Nil. (2008 - $28,535)

The Company has signed an Agreement dated March 15, 2007 with Amazing Super Buddies Productions Inc. to act as the Producer and Distributor for a 3D Television Series for children known as ASB: Power Force. In return for advancing $54,000 U.S. to produce the series, the Company will receive a guaranteed fifteen (15) percent interest of gross receipts earned worldwide, inclusive of all character licensing and merchandise sold from the ASB: Power Force Series. As of September 30, 2009, due to uncertainty of realization, the Company has written down this project to a nominal value of  $1. (2008 - $56,434)



Films in progress



The Company has signed an Agreement dated February 15, 2007  to represent The Cabin, a teen-oriented, horror/thriller feature film . As distributor of the film, Golden Spirit will receive a fee of twenty-five percent (25%) from the gross amounts of all sales or distribution deals made internationally and twenty percent (20%) from the gross amounts of all sales or distribution deals made in the United States. As of September 30, 2009, due to uncertainty of realization, the Company has written down this project to a value of  $Nil. (2008 - $3,301)



The Company has signed an Agreement dated March 15, 2007  to represent The Brotherhood of the Phoenix, a high concept action drama feature film. As distributor of the film, Golden Spirit will receive a fee of twenty-five percent (25%) from the gross amounts of all sales or distribution deals made internationally and twenty percent (20%) from the gross amounts of all sales or distribution deals made in the United States. As of Septembre 30, 2009, due to uncertainty of realization, the Company has written down this project to a value of  $Nil. (2008 - $2,942)



The Company has signed a Memorandum of Understanding dated March 23, 2007 with Pentafilms, SARL of France and Beijing Dadu Sunshine Film & Culture Co. Ltd. to co-produce and distribute a film called The Mists of Time. The financial contribution for production by each party, the final percentage of distribution rights, final casting and budget will be determined in the final agreement. As of September 30, 2009, the Company has spent $ Nil on this project.





-5-

WASTE ENERGY SECTOR



The Thermal Oxidation Process System (TOPS) Greencycle Gasification plants decompose organic matter (with heat and air) and recover non-organics by utilizing specialized equipment and is a proven alternative to landfills. Greencycle uses low heat (500-600 Celsius) to convert all the carbon locked up in unsorted garbage into a form where it produces high quality heat through a second stage gas oxidizer running at around 1,100 Celsius. This process creates energy, enough to make electrical energy and support district heating / greenhouses. The Greencycle system provides controlled conditions to utilize Carbon Dioxide (CO2) for accelerated plant growth in greenhouses and algae farms.  The other non-carbon materials in garbage, such as aluminum, tin, copper and stainless steel, and can be easily separated after all the carbon has been removed without melting or slagging. Micron sized metals, silica, calcium etc, are also sorted out for re-use by using the Ash Recycling and Recovery Equipment (ARRE) sub-system.

As of September 30, 2009, the Company has not secured any facilities to construct the Gasification Plant, nor has it incurred any other expenditures for the three month period ended September 30, 2009.(2008 - $Nil)



Liquidity and Capital Resources.



At September 30, 2009, we had total assets of $215,118, including current assets in cash of $515 and accounts receivable of $1,470. We have film production & development costs of $1. available for sale securities of $136,138, an amount due from Legacy Wine & Spirits International Ltd. of $71,091 and an amount due from Organa Gardens International Inc. of $5,903. As of December 31, 2008, we had total assets of $1,015,455. The decrease in assets is primarily due to a decrease in the carrying value of available for sale securities.



At September 30, 2009, we had current liabilities of $293,597, which was represented by accounts payable and accrued liabilities of $32,165 and due to related parties in the amount of $261,432. As of December 31, 2008 we had total current liabilities of $324,635. The decrease in liabilities was a result of paying an amount due to Organa Gardens International Inc.  At September 30, 2009, we had a working capital deficiency of $291,612. (December 31, 2008 - $322,980).



We do not believe that our current cash resources will be able to maintain our current operations for an extended period of time.  We will be required to raise additional funds or arrange for additional financing over the next 12 months to adhere to our development schedule.  No assurance can be given, however, that we will have access to additional cash in the future, or that funds will be available on acceptable terms to satisfy our working capital requirements. If we are not able to arrange for additional funding or if our officers, directors and shareholders stop advancing funds to us, we may be forced to make other arrangements for financing such as loans or entering into strategic alliances. We have not identified any alternative sources of financing.





-6-



Results of Operations



We have  realized minimal  revenues from operations to date. Loss from operations for the three month period ended September 30, 2009 was $25,095 (2008 - $59,746). This decrease in loss was due to a decrease in consulting fees and office and general expenses.



From inception to September 30, 2009, we have incurred cumulative net losses of $16,804,099 resulting primarily from a write-down and equity loss in Organa Gardens International Inc. (a related party) of $1,394,280, a $600,000 property option loss as a recorded value of certain restricted shares issued to Legacy Wine & Spirits International Ltd. (a related party  see our Investment in Available for sale securities - Legacy Wine & Spirits International Ltd. above) and general and administrative expenses of $15,477,108, the majority of which is made up of consulting fees and stock based compensation expense totaling $7,417,123, write-down of URL costs of $1,571,657 and write-down of technology license of $2,055,938.



The cash and equivalents constitute our present internal sources of liquidity. Because we are not generating any significant revenues, our only external source of liquidity is the sale of our capital stock and any advances from officers, directors or shareholders.



To address the going concern problem discussed in our financial statements, we will require additional working capital.  We will also require additional funds to implement our business strategies, including funds for:

·

payment of increased operating expenses, and further implementation of film industry business strategies.

·

payment of undetermined expenses relating to the Eneco venture (see above)



No assurance can be given; however, that we will have access to the capital markets in the future, or that financing will be available on acceptable terms to satisfy our cash requirements needed to implement our business strategies. Our inability to access the capital markets or obtain acceptable financing could have a material adverse effect on our results of operations and financial condition and could severely threaten our ability to operate as a going concern.



Our forecast of the period of time through which our financial resources will be adequate to support our operations is a forward-looking statement that involves risks and uncertainties, and actual results could vary as a result of a number of factors.



Our Plan of Operation for the Next 12 Months.  We anticipate that we will need to raise additional capital within the next 12 months in order to continue as a going concern.     Therefore, additional capital may be raised through additional public or private financings, as well as borrowings and other resources.  To the extent that additional capital is raised through the sale of equity or equity-related securities, the issuance of such securities could result in dilution of our stockholders.  There can be no assurance that additional funding will be available on favorable terms, if at all.  If adequate funds are not available within the next 12 months, we may be required to curtail our operations significantly or to obtain funds through entering into arrangements with collaborative partners or others that may require us to relinquish rights to certain of our assets that we would not otherwise relinquish.



We do anticipate certain expenditures within the next 12 months for our film production and distribution.   We do not anticipate any significant research and development within the next 12 months, nor do we anticipate that we will lease or purchase any significant equipment within the next 12 months. We do not anticipate a significant change in the number of our employees within the next 12 months. We are not aware of any material commitment or condition that may affect our liquidity within the next 12 months.





-7-







Off-Balance Sheet Arrangements



Our company has not entered into any off balance sheet arrangements.



Item 3. Quantitative and Qualitative Disclosures About Market Risk



As of September 30, 2009, we had cash in the amount of $515. We have not generated any significant revenues since inception and have incurred a net loss of $16,804,099 from our inception on September 13, 1999 to September 30, 2009. Our current operating funds are insufficient to cover any additional costs for our film production & distribution sector or our waste energy sector. Golden Spirit Enterprises does not expect significant start up costs to complete the installation of Gasification Plants for its waste energy project, nor does it expect significant cost relating to the distribution of its films inventory. It will have to obtain funds through entering into arrangements with collaborative partners or others to accomplish these expenditures. However, we do not have any specific plans for raising the required funds. There is no assurance that we will be able to raise sufficient funding from the sale of our common stock to fund our projects.

Item 4T Controls and Procedures.

An evaluation was conducted by our Chief Executive Officer (CEO) and Chief Financial Officer (CFO) of the effectiveness of the design and operation of our disclosure controls and procedures as of September 30, 2009. Based on that evaluation, the CEO and CFO concluded that our controls and procedures were effective as of such date to ensure that information required to be disclosed in the 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 Securities and Exchange Commission rules and forms.

There was no change in our internal control over financial reporting that occurred during the fiscal quarter ended September 30, 2009 that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.

This quarterly report does not include a report of managements assessment regarding internal control over financial reporting or an attestation report of our registered public accounting firm due to a transition period established by rules of the Securities and Exchange Commission for newly public companies.





-8-





PART II - OTHER INFORMATION



ITEM 1. Legal Proceedings



None



ITEM 1A. Risk Factors



Not applicable



ITEM 1B.    UNRESOLVED STAFF COMMENTS



The Division of Investment Management has reviewed Golden Spirits filings and based on its review of our investment is available securities  related parties (See discussion above), needs clarification that Golden Spirit may fall into the category of investment company in Section 3(a)(1)(c) of the Investment Company Act of 1940.



The Companys initial response to the staff was that it may rely on the exemption from the definition of investment company provided in Section 3(b)(1) of the Act because the current operations of the Company are in the film production and distribution industry, as well as the municipal solid waste (garbage) recycling industry. The staff is citing that we have not provided sufficient information or analysis for a proper evaluation whether we can rely on Section 3(b)(1) of the Act.



The Company forwarded the staff comment letter to legal counsel. The response was filed in May 2009 and a subsequent additional response was filed in July, 2009. In September, 2009, the Division of Investment Management responded that it had no further comments on the filing provided that Golden Spirit continue to liquidate its holdings of Legacy Wine & Spirits and Organa Gardens International by

December 31, 2009.



ITEM 2. Unregistered Sales of Equity Securities and Use of Proceeds



The Companys capitalization is 500,000,000 common shares with a par value of $0.0001 per share.  No preferred shares have been authorized.



(1)

2009 Stock Transactions:



During the nine month period ended September 30, 2009, 100,000 incentive stock options were granted and immediately  exercised at $0.04 per to satisfy a debt to a related party in the amount of $4,000. Accordingly, no compensation expense was recorded.



(2)

2008 Stock Transactions:



During the nine months ended September30, 2008:



(a)

On February 27, 2008 the Company issued 30,000 restricted common shares valued at $3,300 to a director for his current services



(b)

On June 18, 2008 the Company issued 25,000 restricted common shares valued at $3,500 to a consultant for his current services



(c)

820,730 incentive stock options were exercised at $0.10 per share for proceeds of $82,073.



(d)

On September 16, 2008 the Company issued 25,000 restricted common shares valued at $1,000 to a director for her current services







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(3)

2009 Stock Options

During the nine month period ended September 30, 2009, 100,000 incentive stock options were granted andimmediately exercised at $0.04 per share to satisfy a debt to a related party in the amount of $4,000. Accordingly, no compensation expense was recorded.



The Companys stock option activity is as follows:

|                            |                   |                                 |                                            
|--------------------------- | ----------------- | ------------------------------- | -------------------------------------------
|                            | Number of options | Weighted Average Exercise Price | Weighted Average Remaining Contractual Life
|                            |                   |                                 |                                            
|Balance, December 31, 2007  | 3,172,517         | $                   0.18        | 3.80 years                                 
|Granted during 2008         | -                 | -                               |                                            
|Exercised during 2008       | (845,730)         | 0.10                            |                                            
|                            |                   |                                 |                                            
|Balance, December 31, 2008  | 2,351,787         | 0.20                            | 2.67 years                                 
|Granted during 2008         | -                 | -                               |                                            
|Exercised during 2008       | -                 | -                               |                                            
|                            |                   |                                 |                                            
|                            |                   |                                 |                                            
|Granted during 2009         | 100,000           | -                               |                                            
|Exercised during 2009       | (100,000)         | -                               |                                            
|                            |                   |                                 |                                            
|Balance, September 30, 2009 | 2,351,787         | $                    0.20       | 2.17 years                                 



On June 29, 2009, the Company filed Registration Statements on Form S-8 to register 8,000,000 to be issued pursuant to the Companys 2009 Stock Incentive and Option Plan. 100,000 of these options were granted at $0.04 per share during the period.



(4)          2008 Stock Options



During the nine months ended September 30, 2008, the Company did not grant any stock options.



ITEM 3.  Defaults Upon Senior Securities



None.



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ITEM 4. Submission of Matters to Vote of Security Holders



None.



ITEM 5.  Other Information



None





ITEM 6. EXHIBITS



Exhibit 31.1 - Section 906 Certification of Periodic Report of the Chief Executive Officer.



Exhibit 31.2 - Section 906 Certification of Periodic Report of the Chief Financial Officer.



Exhibit 32.1 - Section 302 Certification of Periodic Report of the Chief Executive Officer.



Exhibit 32.2 - Section 302 Certification of Periodic Report of the Chief Financial Officer.





SIGNATURES



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



|                        |                                
|----------------------- | -------------------------------
|                        |                                
|                        | GOLDEN SPIRIT ENTERPRISES LTD. 
|                        |                                
|                        |                                
|Date: November 16, 2009 | By:   /s/ C. Scheive           
|                        | Christopher Scheive            
|                        | President and a Director.      
|                        |                                
|Date: November 16, 2009 | By:   /s/J. Cruz               
|                        | Jaclyn Cruz                    
|                        | Director, Secretary & Treasurer







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