UNITED STATES SECURITIES AND EXCHANGE COMMISSION
                  Washington, D.C. 20549
                        FORM 10-QSB

[X] Quarterly Report under Section 13 or 15(d) of the Securities
Exchange Act of 1934 for the quarterly period ended June 30, 2002

[ ] Transition report under Section 13 or 15(d) of the Exchange
Act For the transition period from ---- to -----

               Commission File Number 333-79405

                   NATALMA INDUSTRIES, INC.
   --------------------------------------------------
 (Exact name of registrant as specified in its charter)

       Nevada                            88-0409369
--------------------------            -----------------
(State or other jurisdiction         (I.R.S. Employer
of incorporation or organization      Identification No.)


1550 Ostler Court N. Vancouver, B.C., Canada    V7G 2P1
--------------------------------------------    -------
(Address of principal executive offices)       (Zip Code)

Registrant's telephone number, including area code:
604) 990-2072

                          None
---------------------------------------------------------
Former Name, Address and Fiscal Year, if Changed Since
Last Report

Check whether the issuer: (1) filed all reports required to be
filed by Section 13 or 15(d) of the Exchange Act during the
past 12 months (or for such shorter period that the registrant
was required to file such reports), and (2) has been subject
to such filing requirements for the past 90 days. Yes X No

The number of shares outstanding of the registrant's common
stock as of June 30, 2002 was 11,752,500. Registrant's Form
SB-2/A and all exhibits thereto, filed on March 17, 2000 are
incorporated herein by reference.





                                1



<PAGE>



                            PART 1

FINANCIAL INFORMATION

Item 1. Financial Information

The consolidated financial statements for Natalma Industries,
Inc. (the Company) included herein are unaudited but reflect,
in management's opinion, all adjustments, consisting only of
normal recurring adjustments, that are necessary for a fair
presentation of the Company's financial position and results
of operations interim periods presented.  Because of the nature
of the Company's business, the results of operations for the
three and six months ended June 30, 2002 are not necessarily
indicative of the results that may be expected for the full
fiscal year.  The financial statements included herein should
be read in conjunction with the financial statements and notes
thereto included in the Form 10KSB for the year ended
December 31, 2001.































                                 2
<PAGE>








                 REPORT OF INDEPENDENT ACCOUNTANT

To the Board of Directors
Natalma Industries, Inc.
(a Nevada corporation)

                   INDEPENDENT AUDITOR'S REPORT

We have made a review of the balance sheet of Natalma Industries,
Inc. as of June 30, 2002, and the related statement of operations
and cash flows for the three and six months period ended June 30,
2002 and 2001, in accordance with the standards established by
the American Institute of Certified Public Accountants.  These
financial statements are the responsibility of the Company's
management.

A review of interim financial information consists principally of
obtaining an understanding of the system for the preparation of
interim financial information, applying analytical review
procedures to financial date, and making inquires of persons
responsible for financial and accounting matters.,   It is
substantially less in scope than an audit in accordance with
generally accepted auditing standards, the objective of which is
the expression of an opinion regarding the financial statements
taken as a whole.  Accordingly, we do not express such an opinion.

Based on our review, we are not aware of any material modifications
that should be made to the consolidated financial statements
referred to above for them to be in conformity with generally
accepted accounting principles.

We have previously audited, in accordance with generally accepted
auditing standards, the balance sheet as of December 31, 2001, and
the related statements of operation, cash flows and changes in
common shareholders' equity (deficit) for the period then ended;
and in our report dated January 14, 2002, we expressed a qualified
opinion on those financial statements.  In our opinion, the
information set forth in the accompanying balance sheet as of
December 31, 2001, is fairly stated in all material respects
in relation tot he balance sheet from which it has been derived.

/s/  Clyde Bailey P.C.
San Antonio, Texas
July 3, 2002




                                   3
<PAGE>






                 NATALMA INDUSTRIES, INC.
                       Balance Sheet
                        (Unaudited)

                        A S S E T S
                        -----------
                                 ------------   ------------
                                   June 30       December 31
                                     2002           2001
                                 ------------   ------------
Current Assets
--------------
Cash                             $   255,090     $      400
                                 ------------   ------------
     Total Current Assets        $   255,090     $      400
                                 ------------   ------------

     Total Current Assets        $   255,090     $      400
                                 ============   ============

                  L I A B I L I T I E S
                  ---------------------
Current Liabilities
-------------------
Accounts payable                 $     3,454               -
Officer Advances                       9,200           4,200
                                 ------------   ------------
     Total Current Liabilities        12,654           4,200
                                 ------------   ------------
     Total Liabilities                12,654           4,200
                                 ------------   ------------
Commitments and Contingencies             -               -

          S T O C K H O L D E R S' E Q U I T Y
          ------------------------------------
Common Stock                         11,753           11,500
25,000,000 authorized shares, par
value $.001, 11,752,500 shares
issued and outstanding

Additional Paid-In-Capital           306,177          53,930
Accumulated Deficit during the
Development Period                  (75,949)         (69,230)
                                 ------------     -----------
Total Stockholders'Equity(Deficit)   242,436           3,800
                                 ------------     -----------
Total Liabilities and
Shareholders' Equity             $   255,090      $      400
                                 ===========      ==========

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

                               4
<PAGE>

                  NATALMA INDUSTRIES, INC.
           Statement of Operations (Unaudited)

                             ------------------------------------
                             Three Months Ended  Six Months Ended
                                 June 30             June 30
                             ------------------------------------
                              2002      2001      2002      2001
                             ------------------------------------
Revenues:
---------
    Revenues                        -        -         -        -
                             ------------------------------------
      Total Revenues         $      -  $     -  $      - $      -

Expenses:
---------
    Professional Fees           4,644      600     5,962    6,101
    Operating Expenses             25                302        -
                            -------------------------------------
     Total Expenses             4,669      600     6,264    6,101

     Net Income before taxes $(4,669)  $ (600)  $(6,264) $(6,101)

Provision for Income Taxes:
---------------------------
    Income Tax Benefit             -        -         -        -
      Net Income (Loss)      $(4,669)  $ (600)  $(6,264) $(6,101)
                             ====================================
Basic and Diluted Earnings
per Common Share                 -nil     -nil     -nil     -nil
                            -------------------------------------
Weighted Average number of
Common Shares used in per
share calculations        11,752,500 11,500,000 11,668,333 11,500,000
                          ===========================================














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

                                  5
<PAGE>

                 NATALMA INDUSTRIES, INC.
        Statement of Stockholders' Equity As of
                  June 30, 2000 (Unaudited)
                                                     Stock-
                       $0.001   Paid-In Accumulated holders
               Shares Par Value Capital   Deficit    Equity
              ------- --------- ------- ----------- -------
Balance,
July 9,1998         -        -        -         -         -
Issuance of common
stock Par
Value$0.001   3,000,000   3,000        -         -     3,000
Net Income
(Loss)                                          -         -
            -----------------------------------------------
Balance,
December 31,
1998          3,000,000   3,000        -        -     3,000
Issuance of
common stock  8,500,000   8,500   72,000        -    80,500
Expense for
stock offering       -       -  (18,070)        -  (18,070)
Net Income(Loss)     -       -        -  (57,849)  (57,849)
                 ==========================================
Balance,
December 31,
1999          11,500,000  11,500  53,930 (57,849)    7,581
             ---------------------------------------------
Net Income
(Loss)                                    (1,691)  (1,691)
             ---------------------------------------------
Balance,
December 31,
2000          11,500,000  11,500  53,930 (59,540)    5,890
              =============================================
Net Income
(Loss)                                    (9,690)  (9,690)
             ---------------------------------------------
Balance,
December 31,
2001          11,500,000   11,500  53,930  (59,540)  5,890
              ============================================
Issuance of
common stock     252,500    253   252,247       -  252,500
Net Income
(Loss)                                     (6,264)       -
             ---------------------------------------------
Balance,
June 30, 2002  11,752,500  11,753 306,177 (75,494) 248,700
             =============================================
The accompanying notes are integral part of the consolidated
financial statements.



                                6
<PAGE>
               NATALMA INDUSTRIES, INC.
               Statement of Cash Flows
                    (Unaudited)
                                  --------------------------
                                  For the Six Months Ended
                                         June 30
                                   -------------------------
                                      2002          2001
                                   -------------------------
Cash Flows from
Operating Activities:
---------------------
Net Income (Loss)                 $   (6,264)    $   (6,101)
Adjustments to reconcile
net loss to net cash
provided (used) for
operating activities:
  Increase (Decrease) in
  Accounts Payable                     3,454
                                  --------------------------
Total Adjustments                      3,454
                                  --------------------------
Net Cash Used in
Operating Activities              $  (2,810)      $   (6,101)
Cash Flows from
Investing Activities:
---------------------
Purchase of Mineral Properties             -                -
                                  ---------------------------
Net Cash Used in
Investing Activities              $        -       $        -
                                  ---------------------------
Cash Flows from
Financing Activities:
--------------------
Stockholder Advance                    5,000              450
Proceeds from
Issuance of Stock                    252,500                -
Costs Incurred to
Raise Capital                              -                -
                                  ---------------------------
Net Cash Provided for
Financing Activities              $  257,500        $     450
                                  ---------------------------
Net Increase (Decrease)
in Cash                           $  254,690        $ (5,651)
Cash Balance, Begin Period               400            5,890
                                  ---------------------------
Cash Balance,End Period           $  255,090        $     239
                                  ===========================
Supplemental Disclosures:
Cash Paid for interest            $        -        $       -
Cash Paid for income taxes        $        -        $       -
Stock Issued for Option to Purchase        -                -
Stock Issued for Repayment
of Shareholder                             -                -
                          7

             NATALMA INDUSTRIES, INC.
       Notes to Financial Statements

Note 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES -
----------------------------------------------------
Organization
------------
Natalma Industries, Inc. ("the Company") was incorporated under
the laws of the State of Nevada on July 9, 1998 for the purpose to
promote and carry on any lawful business for which a corporation
may be incorporated under the laws of the State of Nevada. The
company has a total of 25,000,000 authorized common shares with a
par value of $.001 per share and with 11,500,000 common shares
issued and outstanding as of September 30, 2000 and 1999.

Fixed Assets
------------
The Company has no fixed assets at this time.

Federal Income Tax
------------------
The Company will be taxed under Subchapter C of the Internal
Revenue Code for its US operations. The Company has adopted the
provisions of Financial Accounting Standards Board Statement No.
109, Accounting for Income Taxes. "Accounting for Income
which requires an asset and liability approach to calculating
deferred income taxes. The asset and liability approach requires
the recognition of deferred tax liabilities and assets for the
expected future tax consequences of temporary differences between
the carrying amounts and the tax basis of assets and liabilities.

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

Cash and Cash Equivalents
-------------------------
For purposes of the statement of cash flows, the Company considers
all highly liquid debt instruments purchased with a maturity of
three months or less to be cash equivalents.





                               8
<PAGE>



Accounting Method
-----------------
The Company's financial statements are prepared using the accrual
method of accounting. Revenues are recognized when earned and
expenses when incurred. Fixed assets are stated at cost.
Depreciation and amortization using the straight-line method for
financial reporting purposes and accelerated methods for income tax
purposes.

Earnings per Common Share
-------------------------
The Company adopted Financial Accounting Standards (SFAS) No. 128,
"Earnings Per Share," which simplifies the computation of earnings
per share requiring the restatement of all prior periods. Basic
earnings per share are computed on the basis of the weighted average
number of common shares outstanding during each year. Diluted earnings
per share are computed on the basis of the weighted average number
of common shares and dilutive securities outstanding. Dilutive
securities having an anti-dilutive effect on diluted earnings per
share are excluded from the calculation.

Comprehensive Income
--------------------
Statement of Financial Accounting Standards (SFAS) No. 130,
"Reporting Comprehensive Income," establishes standards for
reporting and display of comprehensive income, its components
and accumulated balances. Comprehensive income is defined to include
all changes in equity except those resulting from investments by
owners and distributions to owners. Among other disclosures, SFAS
No. 130 requires that all items that are required to be recognized
under current accounting standards as components of comprehensive
income be reported in a financial statement that is displayed with
the same prominence as other financial statements. The Company does
not have any assets requiring disclosure of comprehensive income.

Segments of an Enterprise and Related Information
-------------------------------------------------
Statement of Financial Accounting Standards
(SFAS) No. 131, Disclosures about Segments of an Enterprise and
Related Information, supersedes SFAS No. 14, "Financial
Reporting for Segments of a Business Enterprise." SFAS 131
establishes standards for the way that public companies report
information about operating segments in annual financial statements
and requires reporting of selected information about operating
segments in interim financial statements issued to the public. It
also establishes standards for disclosures regarding products and
services, geographic areas and major customers. SFAS 131 defines
perating segments as components of a company about
which separate financial information is available that is
evaluated regularly by the chief operating decision maker in
deciding how to allocate resources and in assessing performance.
The Company has evaluated this SFAS and does not believe it is
applicable at this time.

                              9
<PAGE>

Employers' Disclosure about Pensions and Other Postretirement
Benefits
----------------------------------------------
Statement of Financial Accounting Standards (SFAS) 132, "Employers'
Disclosure about Pensions and Other Postretirement Benefits," revises
standards for disclosures regarding pensions and other postretirement
benefits. It also requires additional information on changes in the
benefit obligations and fair value of plan assets that will
facilitate financial analysis. This statement does not change the
measurement or recognition of the pension and other post-retirement
plans. The financial statements are unaffected by implementation of
this new standard.

Accounting for Derivative Instruments and Hedging Activities
-------------------------------------------------
Statement of Financial Accounting Standards (SFAS) 133, "Accounting
for Derivative Instruments and Hedging Activities," establishes
accounting and reporting standards for derivative instruments,
including certain derivative instruments embedded in other contracts,
(collectively referred to as derivatives) and for hedging activities.
It requires that an entity recognize all derivatives as either assets
or liabilities in the statement of financial position and measure
those instruments at fair value. If certain conditions met, a
derivative may be specifically designated as (a) a hedge of the
exposure to changes in the fair value of a recognized asset or
liability or an unrecognized firm commitment, (b) a hedge of the
exposure to variable cash flows of a forecasted transaction, or
(c) a hedge of the foreign currency exposure of a net
investment in a foreign operation, an unrecognized firm commitment,
an available-for sale security, or a foreign currency-denominated
forecasted transaction. Because the Company has no derivatives, this
accounting pronouncement has no effect on the Company's financial
statements.

Fair Value of Financial Instruments
-----------------------------------
The Financial Accounting Standards Board ("FASB") Statement No. 107.
"Disclosure About Fair Value of Financial Instruments" is a part of a
continuing process by the FASB to improve information on financial
statements. The carrying amounts reported in the balance sheets for
the Company's assets and liabilities approximate their fair values
as of December 31, 2000 and 1999.

Note 2 - COMMON STOCK
---------------------
The Company issued 8,500,000 shares of common stock to various
investors for cash totaling $80,500. The Company issued 500,000
shares of common stock at $.001 per share in accordance with the
Assignment of Option to Purchase Agreement of Mineral Properties.



                        10


<PAGE>

Note 3 - SUPPLEMENTARY SCHEDULE OF NONCASH ACTIVITIES
-----------------------------------------------------
During the year ended December 31, 1999, deferred offering cost of
$12,885 previously included in organization costs, were charged to
additional paid-in- capital in accordance with Staff Accounting
Bulletin 5A. On May 11, 1999 an related third party acquired a total
of 500,000 shares of the Company's common stock as partial payment
for mineral properties.

Note 4 - MINERAL PROPERTIES
---------------------------
On December 11, 1998, the Company entered into an Option to Purchase
Agreement with an unrelated third party, ("Seller) wherein the Company
would acquire 100% of the rights, title and interests in and to a
total of 10 unpatented mining claims in the Whitehorse Mining District,
Yukon Territory, Canada. The Agreement called for the Company to pay
$55,000 U.S. in cash and to issue 500,000 shares of its common stock.
On March 16, 1999, the Company consummated the Agreement by paying the
Seller $55,000 in cash. On May 11, 1999, the Company issued 500,000
shares of its common stock. In addition, the Company has agreed to
pay a 2% net smelter return on all minerals produced by the
properties to the Seller, and to complete a minimum of $80,000,
Canadian, exploration and development work on the properties on or
before September 1, 2001.

Note 5 - ORGANIZATION COSTS
---------------------------
The Company has incurred legal, accounting and other formation costs.
During the year ended December 31, 1999, these costs were charged to
operations in accordance with the American Institute of Certified
Public Accountants' Statement of Position 98-5. During the year
ended December 31, 1998, the Company also incurred $12,885 in
expenses related to an offering of shares of its common stock. At
December 31, 1999 these costs were included in organization
costs, as no proceeds had yet been received from the offering. During
the year ended December 31, 1999, these expenses, plus additional
offering costs incurred, were charged against the gross proceeds
received from the offering in accordance with the Securities and
Exchange Commissions' Staff Accounting Bulletin 5A.

Note 6 - RELATED PARTIES
------------------------
During 1999, the Company paid the major shareholder a total of
$14,483, which had been advanced previously to the Company.

Note 7 - INCOME TAXES
---------------------
Deferred tax benefits and liabilities are calculated using enacted
tax rates in effect for the year in which the differences are
expected to reverse. The following is a schedule of the composition
of the provision for income taxes:

                                11

<PAGE>


                             2000	      1999
                             ----          ----
            Current          $ -0-        $ -0-
            Deferred           -0-          -0-
                             -----        -----
Total provisions for
income taxes                 $ -0-        $ -0-
                             =====        =====

Deferred federal income taxes consist of future tax benefits and
liabilities attributed to:

2000	1999
                             ----          ----
Net operating loss
carryforward                $ 690         $ 799
Valuation allowance          (690)         (799)
                            -----         -----
Total provisions for
income taxes                $ -0-         $ -0-
                            =====         ======

The net operating loss carryforward will expire if not applied
by 2020.

Note 8 - SUBSEQUENT EVENTS
--------------------------
There were no other material subsequent events that have
occurred since the balance sheet date that warrants disclosure
in these financial statements.























                                    12
<PAGE>


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

Plan of Operation
-----------------
Registrant expects its current cash in the bank to satisfy its cash
requirements for business operations for at least the next 12 months
without having to raise additional funds or seek bank loans.

For the three and six months ended June 30, 2002, Registrant had not
yet generated any revenues or expended any significant amount of
money for research and development. During the next 12 months,
Registrant does not intend to purchase any significant property or
equipment. Please see the "Use of Proceeds" section of the
Form SB-2/A Registration Statement filed by Registrant
and incorporated herein by reference for the intended use of the
proceeds to be received from the sale of Registrant's equity
securities under the offering. As of the date of this filing, a
total of 252,500 shares have been sold and the offering has closed.


Results of Operations
---------------------
For the three and six months ended June 30, 2002, Registrant had
no revenues and incurred net operating losses of $4,669 and 6,264,
respectively, all of which comprised general and administrative
expenses.


                    PART II - OTHER INFORMATION

ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K

A)   All exhibits required to be filed herein are incorporated by
reference to Registrant's Form SB-2/A, previously filed with the
Commission on March 17, 2000.

B) There were no reports on Form 8-K filed during the quarter.









                               13
<PAGE>





                         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 the undersigned thereunto duly authorized.

                           NATALMA INDUSTRIES, INC.

Dated: August 10, 2002    By:/s/ Derick Sinclair, President,
                          Secretary, Treasurer and Director

Dated: August 10, 2002    By:/s/ Rex Pegg, Vice President



























                           14

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