**UNITED        STATES**

**SECURITIES        AND EXCHANGE COMMISSION**

**FORM        10-QSB**

**QUARTERLY        REPORT UNDER SECTION 13 OR 15 (d) OF THE**
**SECURITIES        EXCHANGE ACT OF 1934**

**For        the quarterly period ended June 30, 2007**

**o TRANSITION        REPORT        UNDER SECTION 13 OR 15(d) OF THE EXCHANGE ACT**

*Commission        File #0-30503*

**PANGEA        PETROLEUM CORPORATION**

| **COLORADO**                                                                                     |   | **76-0635938**                                     |
|--------------------------------------------------------------------------------------------------|--------|----------------------------------------------------|
| (State                  or other jurisdiction of incorporation                  or organization) |   | (IRS                  Employer Identification No.) |

**9801        Westheimer, Suite 302, Houston, Texas 77042**

**(713)        706-6350**

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**PANGEA        PETROLEUM CORPORATION**

**FORM        10-QSB **

**Table        of Contents**

| PART                  I - FINANCIAL INFORMATION                                                                                    | 4      |
|------------------------------------------------------------------------------------------------------------------------------------|--------|
|                                                                                                                               |   |
| Item                  1 - Financial Statements                                                                                     | 4      |
|                                                                                                                               |   |
| Item                  2 - Management's Discussion and Analysis or Plan of                  Operations                              | 4      |
|                                                                                                                               |   |
| Item                  3 - Controls and Procedures                                                                                  | 7      |
|                                                                                                                               |   |
|                                                                                                                               |   |
| PART                  II - OTHER INFORMATION                                                                                       |   |
|                                                                                                                               |   |
| Item                  2 –                  Unregistered Sales of Equity Securities and Use of                  Proceeds | 7      |
|                                                                                                                               |   |
| Item                  6 - Exhibits                                                                                                 | 7      |
|                                                                                                                               |   |
| SIGNATURES                                                                                                                         | 9      |

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**FORWARD        LOOKING STATEMENT**

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**PART        I - FINANCIAL INFORMATION **

**ITEM        1. FINANCIAL STATEMENTS**

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

**GENERAL**

|   | - | Our                  ability to continue to obtain sources of outside financing to allow                  the                  Company to continue to make strategic investments in new oil and                  gas well                  prospects. |
|--------|---|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | - | Our                  ability to locate attractive development prospects, and coordinate                  with                  timely funding that will allow the Company to continue to increase                  oil and                  gas reserves and production. |
|--------|---|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | - | Our                  ability to increase profitability and sustain a cash flow level                  that will                  ensure support for continuing                  operations. |
|--------|---|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**PROPOSED        TRANSACTION**

**RESULTS        OF OPERATIONS**
** **

**Clay,        Effingham, Shelby, Fayette, and Cumberland Counties **
**        Illinois. **

**Colorado**
**        County, Texas**

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**CRITICAL        ACCOUNTING POLICIES AND ESTIMATES **

**OIL        AND GAS PRODUCING ACTIVITIES**

**COMPARISON        OF THREE MONTHS ENDED JUNE 30, 2007 TO THREE MONTHS ENDED JUNE 30, 2006.        **

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**COMPARISON        OF SIX MONTHS ENDED JUNE 30, 2007 TO SIX MONTHS ENDED JUNE 30,        2006**

**LIQUIDITY        AND CAPITAL RESOURCES **

**OUTLOOK**

**Stueben        County, New York**

**Geneva        Reef**
**Illinois**

**Henderson        County, Texas**

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**ITEM        3. CONTROLS AND PROCEDURES.**

|   | (a) Evaluation                  of disclosure controls and                  procedures. |
|--------|----------------------------------------------------------------------------------------------|

|   | (b) Changes                  in internal control over financial                  reporting. |
|--------|--------------------------------------------------------------------------------------------------|

**PART        II – OTHER INFORMATION**

**ITEM        2. **
**UNREGISTERED        SALES OF EQUITY SECURITIES AND USE OF PROCEEDS.**

**ITEM        6 EXHIBITS.**

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**SIGNATURES        **

| **PANGEA                  PETROLEUM CORPORATION**                    |                                                                                                                                                |
|----------------------------------------------------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                 |                                                                                                                                                |
| *By:*/s/ Charles B. Pollock                                          |                                     Date: August 14, 2007 |
| *                      Charles B. Pollock,*      |                                                                                                                                                |
| *    Chairman                  of the Board and* |                                                                                                                                                |
| *                     Chief Executive Officer*        |                                                                                                                                                |
|                                                                 |                                                                                                                                                |
| *By:*/s/ Scott Duncan                                                |                                                                                                                                                |
| *Scott                  Duncan*                                      |                                                                                                                                                |
| *Chief                  Financial Officer and*                       |                                                                                                                                                |
| *Principal                  Financial Officer*                       |                                                                                                                                                |

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**PANGEA        PETROLEUM CORPORATION**

**TABLE        OF CONTENTS**

|                                                                                                                                                                | Page   |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
|                                                                                                                                                                |   |
| Unaudited                  Consolidated Financial Statements:                                                                                                       |   |
|                                                                                                                                                                |   |
| Unaudited                  Consolidated Balance Sheets as of June 30, 2007 and December 31,                  2006                                                   | F-3    |
|                                                                                                                                                                |   |
| Unaudited                  Consolidated Statements of Operations for the three months and                  six months                  ended June 30, 2007 and 2006 | F-4    |
|                                                                                                                                                                |   |
| Unaudited                  Consolidated Statements of Stockholders' Deficit for the six months                  ended                  June 30, 2007                | F-5    |
|                                                                                                                                                                |   |
| Unaudited                  Consolidated Statements of Cash Flows for the six months ended                  June 30,                  2007 and 2006                  | F-6    |
|                                                                                                                                                                |   |
| Notes                  to Unaudited Consolidated Financial Statements                                                                                               | F-7    |

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**PANGEA        PETROLEUM CORPORATION**

**CONSOLIDATED        BALANCE SHEET**

|                                                                                                                                                                                                                                            |       | **June                  30,**  | ** **  | **December                  31,** | ** ** |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|------------|--------------------------------|-------------|-----------------------------------|------------|
| ** **                                                                                                                                                                                                                                      | ** ** | **2007**                       | ** **  | **2006**                          |       |
|                                                                                                                                                                                                                                            |       | **(Unaudited)**                |        |                              |       |
| **ASSETS**                                                                                                                                                                                                                                      |       |                      |        |                              |       |
|                                                                                                                                                                                                                                            |       |                           |        |                              |       |
| Current                  assets:                                                                                                                                                                                                                |       |                           |        |                              |       |
| Cash                                                                                                                                                                                                                                            |       | $                              | 6,004       |                              | $          | 53,690 |   |
| Accounts                  receivable                                                                                                                                                                                                            |       |                           | 9,759       |                              |       | - |   |
| Payroll                  taxes refundable                                                                                                                                                                                                       |       |                           | -           |                              |       | 7,131 |   |
|                                                                                                                                                                                                                                            |       |                           |        |                              |       |   |   |
| Total                  current assets                                                                                                                                                                                                           |       |                           | 15,763      |                              |       | 60,821 |   |
|                                                                                                                                                                                                                                            |       |                           |        |                              |       |   |   |
| Property                  and equipment:                                                                                                                                                                                                        |       |                           |        |                              |       |   |   |
| Oil                      and gas properties (successful efforts method net of accumulated                      depletion                      of $133,992 and $112,000)                                                                         |       |                           | 246,702     |                              |       | 209,903 |   |
|                                                                                                                                                                                                                                            |       |                           |        |                              |       |   |   |
| Total                  assets                                                                                                                                                                                                                   |       | $                              | 262,465     |                              | $          | 270,724 |   |
|                                                                                                                                                                                                                                            |       |                           |        |                              |       |   |   |
|                                                                                                                                                                                                                                            |       |                           |        |                              |       |   |   |
| **LIABILITIES                  AND STOCKHOLDERS’ DEFICIT**                                                                                                                                                                                |       |                           |        |                              |       |   |   |
|                                                                                                                                                                                                                                            |       |                           |        |                              |       |   |   |
| Current                  liabilities                                                                                                                                                                                                            |       |                           |        |                              |       |   |   |
| Accounts                  payable                                                                                                                                                                                                               |       | $                              | 16,134      |                              | $          | 9,864 |   |
| Accrued                  interest payable to related parties                                                                                                                                                                                    |       |                           | 94,787      |                              |       | 63,365 |   |
| Notes                  payable                                                                                                                                                                                                                  |       |                           | 23,605      |                              |       | - |   |
| Notes                  payable to related parties                                                                                                                                                                                               |       |                           | 528,041     |                              |       | 528,041 |   |
|                                                                                                                                                                                                                                            |       |                           |        |                              |       |   |   |
| Total                  current liabilities                                                                                                                                                                                                      |       |                           | 662,567     |                              |       | 601,270 |   |
|                                                                                                                                                                                                                                            |       |                           |        |                              |       |   |   |
| Obligation                  for dismantlement and disposal activities                                                                                                                                                                           |       |                           | 7,943       |                              |       | 7,943 |   |
|                                                                                                                                                                                                                                            |       |                           |        |                              |       |   |   |
| Total                  liabilities                                                                                                                                                                                                              |       |                           | 670,510     |                              |       | 609,213 |   |
|                                                                                                                                                                                                                                            |       |                           |        |                              |       |   |   |
| Commitments                  and contingencies                                                                                                                                                                                                  |       |                           | -           |                              |       | - |   |
|                                                                                                                                                                                                                                            |       |                           |        |                              |       |   |   |
| Stockholders'                  deficit:                                                                                                                                                                                                         |       |                           |        |                              |       |   |   |
| Preferred                  stock: $.001 par value; 10,000,000 shares authorized                                                                                                                                                                 |       |                           | -           |                              |       | - |   |
|                                                                                                                                                                                                                                            |       |                           |        |                              |       |   |   |
| Common                    stock: $.001 par value; 500,000,000 shares authorized; 303,296,925                    and 281,258,566 shares issued and outstanding at June                    30, 2007 and December 31, 2006, respectively |       |                           | 303,297     |                              |       | 281,259 |   |
| Additional                  paid-in capital                                                                                                                                                                                                     |       |                           | 18,358,858  |                              |       | 18,173,717 |   |
| Deferred                  compensation                                                                                                                                                                                                          |       |                           | -           |                              |       | (4,247 | ) |
| Accumulated                  deficit                                                                                                                                                                                                            |       |                           | (19,070,200 | )                                 |       | (18,789,218 | ) |
|                                                                                                                                                                                                                                            |       |                           |        |                              |       |   |   |
| Total                  stockholders' deficit                                                                                                                                                                                                    |       |                           | (408,045    | )                                 |       | (338,489 | ) |
|                                                                                                                                                                                                                                            |       |                           |        |                              |       |   |   |
| Total                  liabilities and stockholders' deficit                                                                                                                                                                                    |       | $                              | 262,465     |                              | $          | 270,724 |   |

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**PANGEA        PETROLEUM CORPORATION**

**CONSOLIDATED        STATEMENTS OF OPERATIONS**

**(unaudited)**

|                                                         |   | **Three                  Months Ended****June                  30,**      |        | **Six                  Months Ended****June                  30,** |       |
|--------------------------------------------------------------|--------|----------------------------------------------------------------------------------------------------|-------------|--------------------------------------------------------------------|------------|
|                                                         |   | **2007   **                                                                         | ** **  | **2006   **                                         | ** ** | **2007                     ** | ** ** | **2006                     ** |   |
|                                                         |   |                                                                                               |        |                                                               |       |   |   |   |   |
| Revenue                                                      |   | $                                                                                                  | 13,214      |                                                               | $          | 13,738 |   | $ | 33,049 |   | $ | 27,329 |   |
|                                                         |   |                                                                                               |        |                                                               |       |   |   |   |   |   |   |   |   |
| Costs                  and expenses:                         |   |                                                                                               |        |                                                               |       |   |   |   |   |   |   |   |   |
| Lease                  operating expenses                    |   |                                                                                               | 3,868       |                                                               |       | 7,055 |   |   | 11,063 |   |   | 13,365 |   |
| Production                  taxes                            |   |                                                                                               | 769         |                                                               |       | 313 |   |   | 1,807 |   |   | 673 |   |
| Selling,                  general and administrative         |   |                                                                                               | 110,061     |                                                               |       | 122,452 |   |   | 247,655 |   |   | 352,139 |   |
| Depreciation,                  depletion and amortization    |   |                                                                                               | 9,752       |                                                               |       | 5,447 |   |   | 21,992 |   |   | 12,430 |   |
|                                                         |   |                                                                                               |        |                                                               |       |   |   |   |   |   |   |   |   |
|                                                         |   |                                                                                               |        |                                                               |       |   |   |   |   |   |   |   |   |
| Total                  costs and expenses                    |   |                                                                                               | 124,450     |                                                               |       | 135,267 |   |   | 282,517 |   |   | 378,607 |   |
|                                                         |   |                                                                                               |        |                                                               |       |   |   |   |   |   |   |   |   |
| Loss                  from operations                        |   |                                                                                               | (111,236    | )                                                                  |       | (121,529 | ) |   | (249,468 | ) |   | (351,278 | ) |
|                                                         |   |                                                                                               |        |                                                               |       |   |   |   |   |   |   |   |   |
| Other                  income and (expenses):                |   |                                                                                               |        |                                                               |       |   |   |   |   |   |   |   |   |
| Other                  income                                |   |                                                                                               | -           |                                                               |       | 15,000 |   |   | - |   |   | 15,000 |   |
| Interest                  expense                            |   |                                                                                               | (14,651     | )                                                                  |       | (15,798 | ) |   | (31,514 | ) |   | (31,422 | ) |
|                                                         |   |                                                                                               |        |                                                               |       |   |   |   |   |   |   |   |   |
| Net                  loss                                    |   | $                                                                                                  | (125,887    | )                                                                  | $          | (122,327 | ) | $ | (280,982 | ) | $ | (367,700 | ) |
|                                                         |   |                                                                                               |        |                                                               |       |   |   |   |   |   |   |   |   |
| Basic                  and diluted net loss per common share |   | $                                                                                                  | (0.00       | )                                                                  | $          | (0.00 | ) | $ | (0.00 | ) | $ | (0.00 | ) |
|                                                         |   |                                                                                               |        |                                                               |       |   |   |   |   |   |   |   |   |
| Weighted                  average common shares              |   |                                                                                               | 297,289,915 |                                                               |       | 223,730,151 |   |   | 291,843,109 |   |   | 269,055,327 |   |

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**PANGEA        PETROLEUM CORPORATION**

**CONSOLIDATED        STATEMENT OF STOCKHOLDERS’ DEFICIT**

**for        the six months ended June 30, 2007**

**(Unaudited)**

|                                                                         |   |   | Common                  Stock  |   | Additional |                     |   |   |                                         |   |   |               |   | Stockholders’  |                       |
|------------------------------------------------------------------------------|--------|--------|-------------------------------------|--------|------------|--------------------------|--------|--------|----------------------------------------------|--------|--------|--------------------|--------|---------------------------|----------------------------|
|                                                                         |   |   | Shares                         |   |       | Amount    |   |   | Paid-In                  Capital   |   |   | AccumulatedDeficit |   |                      | Deferred Compensation |   |   | Equity                  (Deficit)  |   |
| Balance                  at December 31, 2006                                |   |   | 281,258,566                         |   | $          | 281,259                  |   | $      | 18,173,717                                   |   | $      | (18,789,218        | )      | $                         | (4,247                     | ) | $ | (338,489 | ) |
|                                                                         |   |   |                                |   |       |                     |   |   |                                         |   |   |               |   |                      |                       |   |   |   |   |
| Common                  stock issued to compensate employees and consultants |   |   | 22,038,359                          |   |       | 22,038                   |   |   | 185,141                                      |   |   | -                  |   |                      | 4,247                      |   |   | 211,426 |   |
|                                                                         |   |   |                                |   |       |                     |   |   |                                         |   |   |               |   |                      |                       |   |   |   |   |
| Net                  loss                                                    |   |   | -                                   |   |       | -                        |   |   | -                                            |   |   | (280,982           | )      |                      | -                          |   |   | (280,982 | ) |
|                                                                         |   |   |                                |   |       |                     |   |   |                                         |   |   |               |   |                      |                       |   |   |   |   |
| Balance                  at June 30, 2007                                    |   |   | 303,296,925                         |   | $          | 303,297                  |   | $      | 18,358,858                                   |   | $      | (19,070,200        | )      | $                         | -                          |   |   |  (408,045 | ) |

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**PANGEA        PETROLEUM CORPORATION**

**UNAUDITED        CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS**

**for        the six months ended June 30, 2007 and 2006**

**(Unaudited)**

|                                                                                                         |   | 2007   |     | 2006   |   |
|--------------------------------------------------------------------------------------------------------------|--------|--------|----------|--------|--------|
|                                                                                                         |   |   |     |   |   |
|                                                                                                         |   |   |     |   |   |
| Cash                  flows from operating activities:                                                       |   |   |     |   |   |
| Net                  loss                                                                                    |   | $      | (280,982 | )      | $      | (367,700 | ) |
| Adjustments                  to reconcile net loss to net cash used in operating                  activities |   |   | 257,359  |   |   | 325,141 |   |
|                                                                                                         |   |   |     |   |   |   |   |
| Net                  cash used in operating activities                                                       |   |   | (23,623  | )      |   | (42,559 | ) |
|                                                                                                         |   |   |     |   |   |   |   |
| Cash                  flows from investing activities:                                                       |   |   |     |   |   |   |   |
| Capital                  and exploratory expenditures                                                        |   |   | (17,082  | )      |   | (62,428 | ) |
|                                                                                                         |   |   |     |   |   |   |   |
| Cash                  flows from financing activities:                                                       |   |   |     |   |   |   |   |
| Repayment                  of debt                                                                           |   |   | (6,981   | )      |   | - |   |
| Proceeds                  from the sale of common stock                                                      |   |   | -        |   |   | 185,000 |   |
|                                                                                                         |   |   |     |   |   |   |   |
| Net                  cash provided by (used in) financing activities                                         |   |   | (6,981   | )      |   | 185,000 |   |
|                                                                                                         |   |   |     |   |   |   |   |
| Net                  increase/(decrease) in cash and cash equivalents                                        |   |   | (47,686  | )      |   | 80,013 |   |
|                                                                                                         |   |   |     |   |   |   |   |
| Cash                  and cash equivalents at beginning of period                                            |   |   | 53,690   |   |   | 56,377 |   |
|                                                                                                         |   |   |     |   |   |   |   |
| Cash                  and cash equivalents at end of period                                                  |   | $      | 6,004    |   | $      | 136,390 |   |
|                                                                                                         |   |   |     |   |   |   |   |
| Supplemental                  Disclosures                                                                    |   |   |     |   |   |   |   |
| Cash                  paid for interest                                                                      |   | $      | -        |   | $      | - |   |
| Cash                  paid for income taxes                                                                  |   |   |     |   |   |   |   |
| Non                  Cash Disclosures                                                                        |   |   |     |   |   |   |   |
| Assumptions                  of debt associated with Oil & Gas Property                                  |   |   | 33,961   |   |   | - |   |
| Seller                  Financed purchase of O&G properties                                              |   |   | 7,515    |   |   | - |   |

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**PANGEA        PETROLEUM CORPORATION**

**NOTES        TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS**

| 1. | **Basis                  of Presentation**  |
|----|--------------------------------------------------|

| **2.** | **Going                  Concern Considerations** |
|--------|---------------------------------------------------|

|  | · | Pangea’s                  ability to obtain adequate sources of outside financing to support                  near                  term operations and to allow the Company to continue forward with                  current                  strategic plans. |
|--|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | · | Pangea’s                  ability to locate, prove and produce from economically viable oil                  and gas                  reserves. |
|--|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | · | Pangea’s                  ability to ultimately achieve adequate profitability and cash flows                  to                  sustain continuing operations. |
|--|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| **3.** | **Stockholders’                  Equity** |
|--------|-------------------------------------------------|

|  | · | 21,838,359                    shares of common stock were issued to employees and consultants.                    Compensation expense of $204,919 was recorded based on market                    value on                    date of issuance. $4,247 was also expensed out of deferred compensation                    in                    connection with a 12 month service agreement for EDGAR services                    with a                    third party vendor. |
|--|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | · | 200,000                  shares of restricted common stock were issued to an independent                  director                  valued at $2,260. |
|--|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------|

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**4.**
**Related        Party Transactions**

| Notes                  payable to Mary Pollock, daughter of the chief executive officer.                  This                  note bears interest at rates of 12% per year and is due in a one                  time                  payment of principal and interest on December 31, 2007. These notes                  are                  not collateralized.       |   | $      | 118,299 |   |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|---------|--------|
|                                                                                                                                                                                                                                                                                                                                                                        |   |   |    |   |
| Notes                  payable to Charles Pollock, the Chief Executive Officer and a significant                  stockholder of the Company. This note bears interest of 12% per                  year, and                  due in one time payment of principal and interest on December 31,                  2007.                  These notes are not collateralized. |   |   | 323,315 |   |
|                                                                                                                                                                                                                                                                                                                                                                        |   |   |    |   |
| Notes                  payable to Mark Weller, the Chief Operating Officer and a significant                  stockholder of the Company. This note bears interest of 12% per                  year, and                  due in one time payments of principal and interest on December                  31, 2007.                  These notes are not collateralized.    |   |   | 86,427  |   |
|                                                                                                                                                                                                                                                                                                                                                                        |   |   |    |   |
|                                                                                                                                                                                                                                                                                                                                                                        |   | $      | 528,041 |   |

| 5. | **Ft.                  Bend County, Texas Note                  Payable** |
|----|---------------------------------------------------------------------------|

**Fort        Bend County, Texas **

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