U.S. 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 quarter ended September 30, 2000

--------------------------------------------------------------------------------
[ ] TRANSITION REPORT UNDER SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT
    OF 1934

          For the transition period from          to

Commission File No. 0-30118

DIRECTION TECHNOLOGIES, INC
--------------------------------------------------------------------------------
(Name of Small Business Issuer in its Charter)

     NEVADA                                           88-0413417
-------------------------------                  -------------------------------
(State or Other Jurisdiction of                  (I.R.S. Employer I.D. No.)
incorporation or organization)

                              PMB 723, 250 "H" St.,
                              Blaine, WA 98230
                         -----------------------------
                    (Address of Principle Executive Offices)

                   Issuer's Telephone Number:  (604) 683-6648

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 Company was required to file such reports). And (2) has been
subject to such filing requirements for the past 90 days.
          (1) Yes   X       No          (2)  Yes  X       No
                   ----        ----              ----         ----



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Page 2


                      (APPLICABLE ONLY TO CORPORATE ISSUERS)

State the number of shares outstanding of each Issuer's classes of common
equity, as of the latest practicable date:

                September 30, 2000:  Common Stock - 10,233,000
                       DOCUMENTS INCORPORATED BY REFERENCE

A description of any "Documents Incorporated by Reference" is contained in Item
6 of this report.

Transitional Small Business Issuer Format    Yes           No    X
                                                 -----          -----



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Page 3

                          DIRECTION TECHNOLOGIES, INC.
                               TABLE OF CONTENTS

PART I.     FINANCIAL INFORMATION                                           PAGE

Item 1.  Financial Statements:

Balance Sheets as of September 30, 2000 and
December 31, 1999                                                              5

Statements of Operations for the three months ended
September 30, 2000 and September 30, 1999 and the nine months ended
September 30, 2000 and September 30, 1999 and from Inception through
September 30, 2000                                                             6

Statements of Cash Flow for the three months ended
September 30, 2000 and September 30, 1999 and the nine months ended
September 30, 2000 and September 30, 1999 and from Inception through
September 30, 2000                                                             7


Notes to Financial Statements for the three months ended
September 30, 2000 and September 30, 1999 and the nine months ended
September 30, 2000 and September 30, 1999 and from Inception through
September 30, 2000                                                            11

Item 2.  Management's Plan of Operations                                      12

PART II.     OTHER INFORMATION

Item 1.  Legal Proceedings                                                    13

Item 2.  Changes in Securities                                                13

Item 3.   Defaults upon Senior Securities                                     13

Item 4.   Submission of Matters to a Vote of Securities Holders               13

Item 5.   Other Information                                                   13

Item 6.   Exhibits and Reports on Form 8 - K                                  13

Signatures                                                                    13

Exhibit 27. Financial Data Schedule


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Page 4


PART I - FINANCIAL INFORMATION

Item 1.   Financial Statements

The Financial Statements of the Company required to be filed with this 10-QSB
Quarterly Report were prepared by management and commence on the following page,
together with related Notes.  In the opinion of management, these Financial
Statements fairly present the financial condition of the Company, but should be
read in conjunction with the Financial Statements of the Company for the year
ended December 31, 1999 previously filed with the Securities and Exchange
Commission.

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Page 5

                           DIRECTION TECHNOLOGIES INC.
                          (A Development Stage Company)
                                 BALANCE SHEETS
                    September 30, 2000 and December 31, 1999
                             (Stated in US Dollars)
                                   (Unaudited)
                                    ---------


                    ASSETS                        September 30,     December 31,
                    ------
                                                      2000              1999
                                                      ----              ----
Current
   Cash                                           $       310       $        14
   Prepaid expenses                                    31,000              -
   Inventory                                           24,463              -
   Loan receivable                                      5,000              -
                                                   ----------        ----------
                                                       60,773                14
License fees                                           75,225            50,000
                                                   ----------        ----------
                                                  $   135,998       $    50,014
                                                   ==========        ==========

LIABILITIES
Current
   Accounts payable                               $    84,228       $    53,605
   Loans payable                                        8,885             4,885
                                                   ----------        ----------
                                                       93,113            58,490
                                                   ----------        ----------

STOCKHOLDERS' EQUITY (DEFICIENCY)
Share capital
   Authorized:
     50,000,000 common shares, $0.001 par
      value
     10,000,000 preferred shares, $0.001
      par value
   Issued:
     10,320,000 common shares - Note 2                175,635            25,500

Deficit accumulated during the development
  stage                                              (132,740)          (33,976)
                                                   ----------        ----------
                                                       42,885            (8,476)
                                                   ----------        ----------
                                                  $   135,998       $    50,014
                                                   ==========        ==========

   The accompanying notes are an integral part of these financial statements



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Page 6

                           DIRECTION TECHNOLOGIES INC.
                          (A Development Stage Company)
                         STATEMENTS OF LOSS AND DEFICIT
     for the three and nine month periods ended September 30, 2000 and 1999
   and for the period April 30, 1998 (Date of Inception) to September 30, 2000
                             (Stated in US Dollars)
                                   (Unaudited)
                                    ---------
<TABLE>
<CAPTION>
                                                                                                            April 30, 1998
                                       Three               Three              Nine            Nine             (Date of
                                    months ended        months ended       months ended     months ended     Inception) to
                                    September 30,       September 30,      September 30,    September 30,    September 30,
                                        2000                1999               2000             1999             2000
                                        ----                ----               ----             ----             ----
<S>                                 <C>                 <C>               <C>               <C>              <C>
Operating expenses                  $     49,208        $      5,109      $     98,764      $     33,184     $    127,740
                                     -----------         -----------       -----------       -----------      -----------
Loss before other items                  (49,208)             (5,109)          (98,764)          (33,184)        (127,740)
Other items
  Excess value of shares
   issued on investment                     -                   -                 -               (2,500)          (1,048)
  Share of loss of Qiblah
   Tech. Ltd.                               -                   -                 -                 (728)          (3,952)
                                     -----------         -----------       -----------       -----------      -----------
Net loss for the period                  (49,208)             (5,109)          (98,764)          (36,412)        (132,740)

Deficit, beginning of period             (83,532)            (32,153)          (33,976)             (850)            -
                                     -----------         -----------       -----------       -----------      -----------
                                    $   (132,740)       $    (37,262)     $   (132,740)     $    (37,262)    $   (132,740)
                                     ===========         ===========       ===========       ===========      ===========

Loss per share                      $      (0.00)       $      (0.00)     $      (0.01)     $      (0.00)
                                     ===========         ===========       ===========       ===========
</TABLE>

   The accompanying notes are an integral part of these financial statements


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                           DIRECTION TECHNOLOGIES INC.
                          (A Development Stage Company)
                            STATEMENTS OF CASH FLOWS
     for the three and nine month periods ended September 30, 2000 and 1999
   and for the period April 30, 1998 (Date of Inception) to September 30, 2000
                             (Stated in US Dollars)
                                   (Unaudited)
                                    ---------
<TABLE>
<CAPTION>
                                                                                                            April 30, 1998
                                       Three               Three              Nine            Nine             (Date of
                                    months ended        months ended       months ended     months ended     Inception) to
                                    September 30,       September 30,      September 30,    September 30,    September 30,
                                        2000                1999               2000             1999             2000
                                        ----                ----               ----             ----             ----
<S>                                 <C>                 <C>               <C>               <C>              <C>
Cash Flows from Operating
  Activities
   Net (loss)                       $    (49,208)       $     (5,109)     $    (98,764)     $    (33,912)    $   (132,740)
   Add: items not affecting cash
   Share of Qiblah Tech. Ltd.
    (loss)                                  -                   -                 -                  728            3,952
   Excess value of shares
    issued on investment                    -                   -                 -                2,500            1,048
                                     -----------         -----------       -----------       -----------      -----------
                                         (49,208)             (5,109)          (98,764)          (30,684)        (127,740)
Change in non-cash items
   Prepaid expenses                       25,000                (500)          (31,000)              150          (31,000)
   Accounts payable                       15,498                 706            30,623            58,567           84,228
   Loans payable                          (3,500)              4,885             4,000             4,885            8,885
   Inventory                             (10,000)               -              (24,463)             -             (24,463)
   Loan receivable                        (5,000)               -               (5,000)             -              (5,000)
                                     -----------         -----------       -----------       -----------      -----------
Net cash (used by) from
  operating activities                   (27,210)                (18)         (124,604)           32,918          (95,090)
                                     -----------         -----------       -----------       -----------      -----------
</TABLE>

   The accompanying notes are an integral part of these financial statements


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Page 8

                           DIRECTION TECHNOLOGIES INC.                 Continued
                          (A Development Stage Company)
                            STATEMENTS OF CASH FLOWS
     for the three and nine month periods ended September 30, 2000 and 1999
   and for the period April 30, 1998 (Date of Inception) to September 30, 2000
                             (Stated in US Dollars)
                                   (Unaudited)
                                    ---------
<TABLE>
<CAPTION>
                                                                                                            April 30, 1998
                                       Three               Three              Nine            Nine             (Date of
                                    months ended        months ended       months ended     months ended     Inception) to
                                    September 30,       September 30,      September 30,    September 30,    September 30,
                                        2000                1999               2000             1999             2000
                                        ----                ----               ----             ----             ----
<S>                                 <C>                 <C>               <C>               <C>              <C>
Cash flow from investing
  activities
   Investment in Qiblah Tech Ltd.           -                   -                 -               (5,000)            -
   Acquisition of license fees           (18,600)               -              (18,600)          (50,000)         (68,600)
                                     -----------         -----------       -----------       -----------      -----------

Net cash (used) by investing
  activities                             (18,600)               -              (18,600)          (55,000)         (68,600)
                                     -----------         -----------       -----------       -----------      -----------

Cash flows from financing
  activities
   Proceeds from issuance of
     common shares                        43,500                -              143,500            23,000          164,000
                                     -----------         -----------       -----------       -----------      -----------

Net cash provided by
  financing activities                    43,500                -              143,500            23,000          164,000
                                     -----------         -----------       -----------       -----------      -----------

Net increase (decrease) in cash           (2,310)                (18)              296               918              310

Cash, beginning of period                  2,620                 936                14              -                -
                                     -----------         -----------       -----------       -----------      -----------

Cash, end of period                 $        310        $        918      $        310      $        918     $        310
                                     ===========         ===========       ===========       ===========      ===========
</TABLE>

   The accompanying notes are an integral part of these financial statements

<PAGE>
Page 9

                            DIRECTION TECHNOLOGIES INC.
                          (A Development Stage Company)
                 STATEMENTS OF STOCKHOLDERS' EQUITY (DEFICIENCY)
     for the period April 30, 1998 (Date of Inception) to September 30, 2000
                             (Stated in US Dollars)
                                   (Unaudited)
                                    ---------
<TABLE>
<CAPTION>
                                                                                            Deficit
                                                                                          Accumulated
                                                                          Additional       During the
                                    Common                                  Paid-in        Development
                                    Shares                 Par Value        Capital           Stage              Total
                                    ------                 ---------        -------           -----              -----
<S>                                 <C>                 <C>               <C>               <C>              <C>
Net loss for the period                    -            $       -         $       -         $       (850)    $       (850)
                                     ----------          -----------       -----------       -----------      -----------
Balance, as at December
  31, 1998                                 -                    -                 -                 (850)            (850)
For cash:
Capital stock issued pursuant
  to an offering at - $0.001          5,000,000                5,000              -                 -               5,000
Capital stock issued pursuant
  to an offering memorandum at
  - $0.50                                31,000                   31            15,469              -              15,500
For acquisition of Qiblah
  Technologies Ltd.                   5,000,000                5,000              -                 -               5,000
Net loss for the year                      -                    -                 -              (33,126)         (33,126)
                                     ----------          -----------       -----------       -----------      -----------
Balance, as at December
  31, 1999                           10,031,000               10,031            15,469           (33,976)          (8,476)
For cash:
Capital stock subscribed
  pursuant to a subscription
  agreement at - $0.50                  200,000                  200            99,800              -             100,000
Pursuant to the exercise
  of warrants at - $0.50                 87,000                   87            43,413              -              43,500
Shares issued as partial
  payment of license fee
  at - $3.31                              2,000                    2             6,623              -               6,625
Net loss for the period                    -                    -                 -              (98,764)         (98,764)
                                     ----------          -----------       -----------       -----------      -----------

Balance, as at September
  30, 2000                           10,320,000         $     10,320      $    165,305      $   (132,740)    $     42,885
                                     ==========          ===========       ===========       ===========      ===========
</TABLE>

   The accompanying notes are an integral part of these financial statements

<PAGE>
Page 10

                           DIRECTION TECHNOLOGIES INC.
                          (A Development Stage Company)
                        NOTES TO THE FINANCIAL STATEMENTS
                               September 30, 2000
                             (Stated in US Dollars)
                                   (Unaudited)
                                    ---------


Note 1  Interim Reporting
        -----------------

   While the information presented in the accompanying interim nine months
   financial statements is unaudited it includes all adjustments which are, in
   the opinion of management, necessary to present fairly the financial
   position, results of operations and cash flows for the interim periods
   presented.  All adjustments are of normal recurring nature.  It is suggested
   that these financial statements be read in conjunction with the company's
   December 31, 1999 annual financial statements.

Note 2  Common Stock
        ------------

        Commitments

        Share Purchase Warrants

        At September 30, 2000, 113,000 share purchase warrants are outstanding.
        Each warrant entitles the holder to purchase one additional share of the
        company at $0.50 per share until April 17, 2001.

        Share Purchase Option

At September 30, 2000, 1,300,000 share purchase options are outstanding.  Each
option entitles the holder to purchase one additional share of the company at
$0.75 per above until April 17, 2010.



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                       DIRECTION TECHNOLOGIES, INC
NOTES TO THE FINANCIAL STATEMENTS FOR THE THREE MONTHS AND NINE MONTHS PERIODS
ENDED SEPTEMBER 30, 2000 AND SEPTEMBER 30, 1999 AND FOR THE PERIOD APRIL 30,
1998 (INCEPTION) THROUGH SEPTEMBER 30, 2000.


1. BASIS OF PRESENTATION

   In the opinion of management, the unaudited financial statements reflect all
   normally recurring adjustments necessary to fairly present the Company's
   financial position and results of operations for the periods indicated.  The
   accompanying interim financial statements should be read in conjunction with
   the financial statements and related notes included in the Company's 10-KSB
   for the period ended December 31, 1999, which has been filed with the
   Securities and Exchange Commission. Certain information and footnote
   disclosures normally included in the Company's annual financial statements
   have been omitted from the quarterly financial statements based upon
   Securities and Exchange Commissions rules and regulations.  Net loss per
   common and common equivalent share was computed based on the net loss divided
   by the weighted average number of common and common equivalent shares
   outstanding, unless antidilutive, during the year presented.

2. FINANCING

                                           Common                  Additional
                                           Shares                    Paid-in
                                             #          Par Value    Capital
                                           -------      ---------    -------
   Balance, December 31, 1999                   -      $     -      $    -
   Issuance of shares:
   - pursuant to offering memorandum
     for cash
   - at $0.50 per share                       31,000            31       15,469
   - at $0.001 per share                   5,000,000         5,000         -
   - pursuant to acquisition of Qiblah
     Technologies Limited                  5,000,000         5,000         -

   - pursuant to a Reg. S Investment
     for cash
              - At $0.50 per unit            200,000           200       99,800
   - pursuant to set up of company
     in UAE                                    2,000             2        6,623
              - At $3 5/16 per share
                                          ----------       -------   ----------
   Balance, September 30, 2000            10,233,000      $ 10,233  $   121,892
                                          ==========       =======   ==========

The capital raised was used to fund operations. The Company anticipates needing
additional capital to fund operations during the upcoming year. The Company
intends to raise capital through a combination of the private placement of its
securities, establishing operating lines of credit, and through the sale of
product.

3. RELATED PARTY TRANSACTIONS

   On January 12, 2000, the company acquired the shares of Qiblah International
   Industries Ltd. (Qiblah").  Qiblah was a private company controlled by a
   significant shareholder of the Company.  On January 19, 2000, two directors
   of Qiblah became directors of the company.  Accounts payable at September 30,
   2000 includes $50,000 (1999:  $50,000) owing to E.T.C. Industries Ltd., a
   company with a common director.  Loans payable at September 30, 2000 includes
   $2,500 (1999:  $Nil) owing to directors of the Company

4. DESCRIPTION OF SECURITIES

   The Company has two class of securities authorized; 50,000,000 shares of
   $0.001 par value common voting stock and 10,000,000 of $0.001 par value
   preferred shares. The holders of the Company's Common Stock are entitled to

<PAGE>
Page 12

   one vote per share on each matter submitted to a vote at a meeting of
   stockholders.  The shares of Common Stock carry cumulative voting rights in
   the election of directors.  There are no preferred shares issued.
   Stockholders of the Company have no pre-emptive rights to acquire additional
   shares of Common Stock or other securities. The Common Stock is not subject
   to redemption rights and carries no subscription or conversion rights.  In
   the event of liquidation of the Company, the shares of Common Stock are
   entitled to share equally in corporate assets after satisfaction of all
   liabilities.  All shares of the Common Stock now outstanding are fully paid
   and non-assessable.  The Company has incentive options outstanding.  The
   terms and conditions of the options granted were for the optionee to purchase
   a number of shares of the authorized $0.001 par value Common Stock of the
   Company, at the purchase price of $0.75 per share for a period of 5 years.

   The terms and conditions of the options granted were for the optionee to
   purchase a number of shares of the authorized $0.001 par value Common Stock
   of the Company, at the purchase price of $0.75 per share for a period of 5
   years.

   The following options were granted:   Rolf Papsdorf            200,000
                                         Dieter Schindelhauer     200,000
                                         Ken Liebscher            200,000
                                         Dharcarium Ltda.         200,000
                                         Sundance Capital Group   200,000
                                         Bruce Haglund            200,000
                                         Maurice Jacquesson       100,000

   There is no provision in the Company's Articles of Incorporation, as amended,
   or Bylaws that would delay, defer, or prevent a change in control of the
   Company.

Item 2.  Management's Plan of Operations

The Company is in its initial stages of development with no revenues or income
and is subject to all the risks inherent in the creation of a new business.
Since the Company's principal activities to date have been limited to
organizational activities, prospect development, and acquisition of interests,
it has no record of any revenue-producing operations.  Consequently, there is no
operating history upon which to base an assumption that the Company will be able
to achieve its business plans.

During the second quarter the Company  entered into negotiations to acquire two
high tech security industry companies based in Colorado.  They are engaged in
the hardware and software aspects of providing electronic security and fire
protection systems to large public and industrial complexes worldwide. At
September 30, 2000 financing had not been accomplished and the negotiations were
extended to October 15, 2000.

During the quarter the Company entered into an agreement with Eurolink Emirites,
a company representing the Royal Family of the United Arab Emirites, to form a
marketing alliance in the UAE .  A company designated as Qiblah Emirites will
exclusively market, import and export the Qiblah Locator in the Mid-East.

PRINCIPAL PRODUCT.

One of the specific reasons the Company was founded is for the purpose of
entering into a world-wide license agreement with E.T.C. Industries Ltd. of
Vancouver, British Columbia, Canada to license certain technology, and obtain
advice in facilitating the production of electric vehicles using certain
technology developed by the licensor.

The other specific reason for formation of the Company is to purchase certain
assets of Qiblah International Industries Ltd. a British Columbia corporation,
of Vancouver, British Columbia, Canada (a non-operational holding company).
Qiblah International Industries Ltd. owns 50% of Qiblah Technologies Ltd. a duly
registered non-reporting, non-listed South African public corporation.This firm
has developed a state-of-the art electronic device called the Qiblah Locator, a
battery-operated hand-held device that indicates the direction of the Muslim
religious center Mecca from any location in the world. The Qiblah Locator is
designed to be of assistance to the more than 1.5 billion adherents of the
Muslim faith in the performance of their religious observations.

<PAGE>
Page 13

LIQUIDITY.

During the next 12 months, the Company will need significant working capital to
fund its marketing efforts and to manufacture product.  The Company intends to
obtain working capital from the sale of product and through private investments
made by third parties.  During the quarter, the Company approved the issuance
of 2,000 shares at a price of US $3.3125 per share as part of the cost of
establishing a marketing presence in Dubai UAE.  This Agreement was executed by
the parties in reliance upon the exemption from the registration requirements
under the Securities Act of 1933, as amended ("1933 Act"), afforded by
Regulation S ("Regulation S") as promulgated by the Securities and Exchange
Commission ("SEC") under the Act.

PART II - OTHER INFORMATION

Item 1. Legal Proceedings.

        None;

Item 2. Changes in Securities and Use of Proceeds.

        During the third quarter of 2000, the Company issued 2,000 restricted
        shares of common stock to Eurolink Emirites in reliance upon the
        exemption from the registration requirements under the Securities Act of
        1933, as amended ("1933 Act"), afforded by Regulation S ("Regulation S")
        as promulgated by the Securities and Exchange Commission ("SEC") under
        the Act.

Item 3. Defaults Upon Senior Securities.

        None;

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

        None;

Item 5. Other Information.

        On March 3, 2000 the Company was cleared by the NASD for trading on the
        OTC Bulletin Board.  The symbol is DRCG.

Item 6. Exhibits and Reports on Form 8-K.

        (a)     Exhibits

                None

        (b)     Reports on Form 8-K.

                None



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.

                                      DIRECTION TECHNOLOGIES, INC

Date:     11/06/00                    By: /s/ Rolf Papsdorf
                                                President and Director


Date:     11/06/00                    By: /s/ Dieter Schindelhauer
                                                Secretary/Treasurer and Director


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