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

                                    FORM 10-Q

[X]      QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
         SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended            September 30, 2002
                              --------------------------------------------------
[   ]    TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
         SECURITIES EXCHANGE ACT OF 1934

For the transition period from ________________ to _________________

Commission file number     1-4668

                     COASTAL CARIBBEAN OILS & MINERALS, LTD.
.................................................................................
             (Exact name of registrant as specified in its charter)

               BERMUDA                                    NONE
.................................................................................
(State or other jurisdiction of                      (I.R.S. Employer
 incorporation or organization)                     Identification No.)

Clarendon House, Church Street, Hamilton, Bermuda               HM 11
.................................................................................
  (Address of principal executive offices)                    (Zip Code)

                                  441-295-1422
.................................................................................
              (Registrant's telephone number, including area code)


.................................................................................
              (Former name, former address and former fiscal year,
                         if changed since last report)

         Indicate by check mark whether the registrant (l) has filed all reports
required to be filed by Section 13 or 15 (d) of the Securities Exchange Act of
l934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to such
filing requirements for the past 90 days. |X| Yes |_| No

         The number of shares outstanding of the issuer's single class of common
stock as of November 7, 2002 was 46,211,604.



<PAGE>


                     COASTAL CARIBBEAN OILS & MINERALS, LTD.

                                    FORM 10-Q

                               SEPTEMBER 30, 2002

                                Table of Contents


                         PART I - FINANCIAL INFORMATION

ITEM 1   Financial Statements                                               Page

         Consolidated balance sheets at September 30, 2002 and
         December 31, 2001                                                    3


         Consolidated statements of operations for the three and nine month
         periods ended September 30, 2002 and 2001 and for the period from
         January 31, 1953 (inception) to September 30, 2002 4

         Consolidated statements of cash flows for the nine month periods ended
         September 30, 2002 and 2001 and for the period from January 31, 1953
         (inception) to September 30, 2002 5

         Notes to consolidated financial statements                           6

ITEM 2   Management's  Discussion  and  Analysis  of  Financial  Condition
         and Results  of Operations                                           9

ITEM 3   Quantitative and Qualitative Disclosure About Market Risk           12

ITEM 4   Controls and Procedures                                             12


                           PART II - OTHER INFORMATION

ITEM 5   Other Information                                                   13

ITEM 6   Exhibits and Reports on Form 8-K                                    14

         Signatures                                                          15

         Rule 13a-14 Certifications                                       16-17



<PAGE>



                     COASTAL CARIBBEAN OILS & MINERALS, LTD.

                                    FORM 10-Q

                         PART I - FINANCIAL INFORMATION

ITEM 1 - Financial Statements

                           CONSOLIDATED BALANCE SHEETS
                           (Expressed in U.S. dollars)

                             (A Bermuda Corporation)
                           A Development Stage Company

<TABLE>
<CAPTION>
                                                                                  September 30,          December 31,
                                                                                 -------------          ------------
                                                                                     2002                  2001
                                                                                     ----                  ----
                                 ASSETS                                          (unaudited)              (Note)
Current assets:
<S>                                                                            <C>                    <C>
  Cash and cash equivalents                                                    $      534,273         $     609,024
  Interest and accounts receivable                                                      4,081                 8,604
  Notes receivable                                                                          -                15,000
  Prepaid expenses                                                                    476,534               353,596
                                                                                  -------------          ------------
Total current assets                                                                1,014,888               986,224
                                                                                  -------------          ------------

Contingent litigation claim (Notes 2 & 4)                                                   -                     -

Deferred financing costs                                                                    -                90,391
                                                                                 -------------          -------------
Total assets                                                                     $  1,014,888           $ 1,076,615
                                                                                 =============          =============

             LIABILITIES AND SHAREHOLDERS' EQUITY (DEFICIT)

Current liabilities:
  Accounts payable and accrued liabilities                                        $ 1,415,314           $   358,621
                                                                                 -------------          ------------
Minority interests                                                                         -                      -

Shareholders' equity (deficit): Common stock, par value $.12 per share:
    Authorized - 250,000,000 shares
    Outstanding - 46,211,604 and 43,468,329 shares, respectively                    5,545,392             5,216,199
                                                                                 -------------          ------------
  Capital in excess of par value                                                   32,067,811            31,497,362
                                                                                   37,613,203            36,713,561
  Deficit accumulated during the development stage                                (38,013,629)          (35,995,567)
                                                                                -------------          -------------
Total shareholders' equity                                                           (400,426)              717,994
                                                                                -------------          -------------
Total liabilities and shareholders' equity (deficit)                             $  1,014,888           $ 1,076,615
                                                                                =============          =============

       Note: The balance sheet at December 31, 2001 has been derived from
           the audited consolidated financial statements at that date.

                             See accompanying notes.
</TABLE>

<PAGE>


                     COASTAL CARIBBEAN OILS & MINERALS, LTD.

                                    FORM 10-Q

                         PART I - FINANCIAL INFORMATION

ITEM 1 - Financial Statements

                      CONSOLIDATED STATEMENTS OF OPERATIONS
                           (Expressed in U.S. dollars)

                             (A Bermuda Corporation)
                           A Development Stage Company

                                   (unaudited)
<TABLE>
<CAPTION>

                                                                                                                         For the
                                                                                                                       period from
                                                                                                                      Jan. 31, 1953
                                               Three months ended                      Nine months ended               (inception)
                                                  September 30,                          September 30,                 to Sept. 30,
                                                  -------------                          -------------                     ----
                                             2002                 2001                 2002              2001              2002
                                             ----                 ----                 ----              ----              ----
<S>                                          <C>                <C>                   <C>              <C>             <C>
Interest and other income                    $ 2,034            $  12,407             $  6,173         $  73,153       $  3,875,728

Expenses:
  Legal fees and costs                       640,029              327,643            1,319,785         1,236,604         16,000,744
  Administrative expenses                    174,228              121,254              506,687           402,530          8,913,927
  Salaries                                    37,950               37,950              113,850           113,850          3,486,278
  Shareholder communications                   8,225               12,170               24,666            98,000          3,910,161
  Write off of unproved properties                 -                    -                    -               480          5,501,247
  Exploration costs                                -                    -               59,247                 -            247,465
  Lawsuit judgments                                -                    -                    -                 -          1,941,916
  Minority interests                               -                    -                    -                 -           (632,974)
  Other                                            -                    -                    -                 -            364,865
  Contractual services                             -                    -                                       -         2,155,728
                                          -----------           ----------          ----------        ----------       ------------
                                             860,432              499,017            2,024,235         1,851,464         41,889,357
                                          -----------           ----------          ----------        ----------       -------------
Net loss                                   $(858,398)           $(486,610)         $(2,018,062)      $(1,778,311)
                                          ===========           ==========          ===========      ============

Deficit accumulated during
  the development stage                                                                                                $(38,013,629)
                                                                                                                       =============

Average number of shares
  outstanding (basic &  diluted)          45,525,329           43,468,329           44,291,312        43,468,329
                                         ===========           ==========          ===========      ============


Net loss per share (basic &                 $(.02)               $(.01)             $(.05)             $(.04)
diluted)
                                         ===========           ==========          ===========      ============


                                                  See accompanying notes.
</TABLE>


<PAGE>



                     COASTAL CARIBBEAN OILS & MINERALS, LTD.
                                    FORM 10-Q
                         PART I - FINANCIAL INFORMATION

ITEM 1 - Financial Statements

                      CONSOLIDATED STATEMENTS OF CASH FLOWS
                           (Expressed in U.S. Dollars)

                             (A Bermuda Corporation)
                           A Development Stage Company
                                   (unaudited)

<TABLE>
<CAPTION>

                                                                                                      For the period from Jan.
                                                                                                              31, 1953
                                                                          Nine months ended                 (inception)
                                                                            September 30,                   To Sept. 30,
                                                                            -------------                   ------------
                                                                         2002              2001                 2002
                                                                         ----              ----                 ----

Operating activities:
<S>                                                                   <C>               <C>               <C>
Net loss                                                              $(2,018,062)      $(1,778,311)      $(38,013,629)
Adjustments to reconcile net loss to net cash
  used in operating activities:
    Minority interest                                                           -                 -           (632,974)
    Write off of unproved properties                                            -                 -          5,501,247
    Common stock issued for services                                            -                 -            119,500
    Compensation recognized for stock option grant                              -                 -             75,000
    Recoveries from previously written off properties                                             -            252,173
  Net change in:
     Interest and accounts receivable                                       4,523            28,855             (4,081)
     Prepaid expenses                                                    (122,938)          (62,712)          (476,534)
     Accounts payable and accrued liabilities                           1,056,693            86,509          1,415,314
     Deferred financing costs                                              90,391            27,866                   -
                                                                        ----------       ----------        -----------
Net cash used in operating activities                                    (989,393)       (1,697,793)       (31,763,984)
                                                                        ----------       ----------        -----------

Investing activities:
  Additions to oil, gas, and mineral properties
     net of assets acquired for common stock and
    reimbursements                                                              -           (57,051)        (3,621,688)
  Proceeds from relinquishment of surface rights                                -                 -            246,733`
  Notes receivable                                                         15,000                 -                  -
  Purchase of fixed assets                                                      -                              (61,649)

                                                                         ----------       ----------        -----------
Net cash provided by (used in) investing activities                        15,000           (57,051)        (3,436,604)
                                                                         ----------       ----------        -----------

Financing activities:
  Sale of common stock net of expenses                                    899,642                 -         30,380,612
  Shares issued upon exercise of options                                        -                 -            884,249
  Sale of shares by subsidiary                                                  -                 -            750,000
  Sale of subsidiary shares                                                                                  3,720,000
                                                                                -                 -
                                                                        ----------       ----------        -----------
Net cash provided by financing activities                                 899,642                 -         35,734,861
                                                                        ----------       ----------        -----------

Net increase (decrease) in cash and cash equivalents                      (74,751)       (1,754,844)           534,273
Cash and cash equivalents at beginning of period                          609,024         2,958,674                  -
                                                                         ----------       ----------        -----------
Cash and cash equivalents at end of period                            $   534,273      $  1,203,830         $  534,273
                                                                         =========       ===========        ===========

                             See accompanying notes.
</TABLE>

<PAGE>


                     COASTAL CARIBBEAN OILS & MINERALS, LTD.

                                    FORM 10-Q

                         PART I - FINANCIAL INFORMATION

ITEM 1        Financial Statements

Note 1.           Basis of Presentation

         The accompanying unaudited consolidated financial statements include
the Company's 59.25% owned subsidiary, Coastal Petroleum Company (Coastal
Petroleum) and have been prepared in accordance with generally accepted
accounting principles for interim financial information and with the
instructions to Form 10-Q and Rule 10-01 of Regulation S-X. Accordingly, they do
not include all of the information and footnotes required by generally accepted
accounting principles for complete financial statements. In the opinion of
management, all adjustments considered necessary for a fair presentation have
been included. All such adjustments are of a normal recurring nature. Operating
results for the three and nine month periods ended September 30, 2002 are not
necessarily indicative of the results that may be expected for the year ending
December 31, 2002. For further information, refer to the consolidated financial
statements and footnotes thereto included in the Company's Annual Report on Form
10-K/A for the year ended December 31, 2001.

Note 2.           Litigation

          Florida Litigation

         Coastal Petroleum has been involved in various lawsuits for many years.
Coastal Petroleum's current litigation (Florida Litigation) now involves one
basic claim: whether the State's policy and denial of a permit constitute a
taking of Coastal Petroleum's property. In addition, Coastal Caribbean is a
party to another action in which Coastal Caribbean claims that certain of its
royalty interests have been confiscated by the State.

          In 1990, the State of Florida enacted legislation that prohibits
drilling or exploration for oil or gas on Florida's offshore acreage. Although
the law does not apply to areas where Coastal Petroleum is entitled to conduct
exploration, the State of Florida has effectively prevented any exploratory
drilling by denying the Company's application for drilling permits. In addition,
in those areas where Coastal Petroleum has only a royalty interest, the law also
effectively prohibits production of oil and gas, rendering it impossible for
Coastal Petroleum to collect royalties from those areas. During 1998, Coastal
Petroleum exhausted its legal remedies in its efforts to obtain compensation for
the drilling prohibition on its royalty interest acreage.

Lease Taking Case (Lease 224-A)

         On June 26, 2000, the First District Court of Appeal affirmed an
earlier ruling that the Florida Department of Environmental Protection (DEP)
could deny Coastal Petroleum a permit to drill an exploratory well about nine
miles south of St. George Island in the Florida Panhandle. While the appeals
court held that the DEP could take such action on the basis of a compelling
public purpose in not allowing offshore oil and gas drilling in Florida, the
court also found that the DEP's action would be unconstitutional "if just
compensation is not paid for what is taken."


<PAGE>


ITEM 1        Financial Statements

The appeals court stated that whether the denial of the permit constituted a
taking of Coastal Petroleum's property should be determined by the Circuit
Court.

         On January 16, 2001, Coastal Petroleum Company filed a complaint in the
Leon County Circuit Court in Florida against the State of Florida seeking
compensation for the State's taking of its property rights to explore for oil
and gas within its Lease 224-A.

         On February 13, 2001, certain holders of royalties pertaining to Lease
224-A filed a Motion to Intervene as Additional Plaintiffs. On April 24, 2001,
the Leon County Circuit trial judge granted certain royalty holders with
overriding royalties, which aggregate approximately 4% on State Lease 224-A, the
right to intervene on a limited basis in the takings lawsuit.

         Counsel for the royalty holders has advised Coastal Petroleum that the
royalty holders' position is that their interest is worth substantially more
than 4% of whatever judgment may be awarded to Coastal Petroleum in the
litigation and that they intend to make a claim against any recovery Coastal
Petroleum may obtain in the litigation. Coastal Petroleum has informed the
Circuit Court and counsel for the royalty holders that Coastal Petroleum is not
making any claim in the litigation on behalf of any interest the royalty holders
may have.

         On October 8, 2002, the trial court in the takings litigation orally
ruled from the bench that the State's denial of a permit to drill on Coastal
Petroleum's Lease 224-A did not constitute an unlawful taking of Coastal
Petroleum's property. Coastal Petroleum has the right to appeal the court's
written order to the Florida First District Court of Appeal. As of the date of
the filing of this report, the trial court has not yet issued a written order.
Coastal Petroleum intends to appeal the trial court's decision after the written
order is issued.

Royalty Taking Case

         The offshore areas covered by Coastal Petroleum's original leases
(prior to the 1976 Settlement Agreement) are subject to certain other royalty
interests held by third parties, including Coastal Caribbean. In 1994, several
of those third parties, including Coastal Caribbean which has approximately a
12% interest in any recovery, instituted a separate lawsuit against the State.
That lawsuit claims that the royalty holders' interests have been confiscated as
a result of the State's actions discussed above and that they are entitled to
compensation for that taking.

         The royalty holders were not parties to the 1976 Settlement Agreement,
and the royalty holders contend that the terms of the Settlement Agreement do
not protect the State from taking claims by those royalty holders. The case is
currently pending before the Circuit Court in Tallahassee. On December 2, 1999,
the Circuit Court denied the State's motion to dismiss the plaintiffs' claim of
inverse condemnation but dismissed several other claims.

         On May 10, 2000, the State filed a motion for summary judgment but no
hearing date has been set for the motion.


<PAGE>



ITEM 1            Financial Statements

         Any recovery made in the royalty holders' lawsuit would be shared among
the various plaintiffs in that lawsuit, including Coastal Caribbean, but not
Coastal Petroleum.

Lease Taking Case (Lease 224-B)

         On May 21, 2002, Coastal Petroleum filed a complaint in the Leon County
Circuit Court, Florida against the State of Florida seeking compensation for the
State's alleged taking of its property rights to explore for oil and gas within
its State Lease 224-B. The lease encompasses more than 400,000 acres off the
West Coast of Florida in the Gulf of Mexico. On July 22, 2002, a motion by the
State of Florida to dismiss the case was heard. The court denied the State's
motion to dismiss the case on August 30, 2002. The case is currently pending and
is in the discovery stage.

Note 3.           Loss per share

         Loss per share is based upon the weighted average number of common and
common equivalent shares outstanding during the period. The Company's basic and
diluted calculations of EPS are the same because the exercise of options is not
assumed in calculating diluted EPS, as the result would be anti-dilutive (the
Company has continuing losses).

Note 4.           Going Concern

         The Company's current liabilities exceed its current assets, the
Company has a limited amount of cash and cash equivalents, has incurred
recurring losses and has a deficit accumulated during the development stage. On
January 16, 2001, Coastal Petroleum Company filed a complaint in the Leon County
Circuit Court in Florida against the State of Florida seeking compensation for
the State's taking of its property rights to explore for oil and gas within its
Lease 224-A. On October 8, 2002, the trial court orally ruled from the bench
that the State's denial of a permit to drill on Coastal Petroleum's Lease 224-A
did not constitute an unlawful taking of Coastal Petroleum's property. The cost
of that litigation has been substantial and has required the Company to obtain
additional capital. On June 17, 2002, the Company commenced a rights offering
for the sale of its common stock to its shareholders. The offering was concluded
on July 31, 2002 and Company realized gross proceeds of approximately $1,372,000
($900,000 after expenses of the offering of approximately $472,000) on the sale
of 2,743,000 shares at $.50 per share.

         With the amount of cash and cash equivalents at September 30, 2002, the
Company should be able to fund its operations through March 31, 2003, provided
that the Company continues to defer the payment of amounts due to the directors,
certain of its officers, legal counsel and consultants for the past and current
salaries and fees. As of September 30, 2002, the amount of salaries and fees
deferred totaled approximately $1,184,000. Because the proceeds of the offering
of the Company's common stock are inadequate to fund the Company's capital
needs, the Company is exploring other possible funding sources, particularly
ITEM 1 Financial Statements

the other shareholders of Coastal Petroleum. These situations raise substantial
doubt about the Company's ability to continue as a going concern. The
consolidated financial statements do not include any adjustments to reflect the
possible future effects on the recoverability and classification of assets or
amounts and classification of liabilities that may result from the outcome of
these uncertainties.

<PAGE>

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

Forward Looking Statements

         Statements included in Management's Discussion and Analysis of
Financial Condition and Results of Operations which are not historical in nature
are intended to be forward looking statements. The Company cautions readers that
forward looking statements are subject to certain risks and uncertainties that
could cause actual results to differ materially from those indicated in the
forward looking statements. Among the risks and uncertainties are: the
uncertainty of any decision favorable to Coastal Petroleum in its litigation
against the State of Florida; and the substantial cost of continuing the
litigation.

Critical Accounting Policies

         The Company follows the full cost method of accounting for its oil and
gas properties. All costs associated with property acquisition, exploration and
development activities whether successful or unsuccessful are capitalized. Since
the Company's properties were undeveloped and nonproducing and the subject of
litigation, capitalized costs were not being amortized.

         The Company assesses whether its unproved properties are impaired on a
periodic basis. This assessment is based upon work completed on the properties
to date, the expiration date of its leases and technical data from the
properties and adjacent areas. These properties are subject to extensive
litigation with the State of Florida.


Liquidity and Capital Resources
                              Short Term Liquidity

         At September 30, 2002, Coastal Caribbean had approximately $534,000 of
cash and cash equivalents available. On June 17, 2002, the Company commenced a
rights offering for the sale of its common stock to its shareholders. The
offering was concluded on July 31, 2002 and the Company realized gross proceeds
of approximately $1,372,000 ($900,000 after expenses of the offering of
approximately $472,000) on the sale of 2,743,000 shares at $.50 per share.


         With the amount of cash and cash equivalents at September 30, 2002, the
Company should be able to fund its operations through March 31, 2003, provided
that the Company continues to defer the payment of amounts due to the directors,
certain of its officers, legal counsel and consultants for the past and current
salaries and fees. As of September 30, 2002, the amount of salaries and fees
being deferred totaled approximately $1,184,000. Because the proceeds of the
offering of the Company's common stock are inadequate to fund the Company's
capital needs, the Company is exploring other possible funding sources,
particularly the other shareholders of Coastal Petroleum. These situations raise
substantial doubt about the Company's ability to continue as a going concern.
The consolidated financial statements do not include any adjustments to reflect
the possible future effects on the recoverability and classification of assets
or amounts and classification of liabilities that may result from the outcome of
these uncertainties.
<PAGE>

                               Long Term Liquidity

On January 16, 2001, Coastal Petroleum Company filed a complaint in the Leon
County Circuit Court, Florida against the State of Florida seeking compensation
for the State's taking of its property rights to explore for oil and gas within
its state Lease 224-A. On October 8, 2002, the trial court orally ruled from the
bench that the State's denial of a permit to drill on Coastal Petroleum's Lease
224-A did not constitute an unlawful taking of Coastal Petroleum's property.
Coastal Petroleum intends to appeal the trial court's decision after the written
order is issued.


         On May 21, 2002, Coastal Petroleum filed a complaint in the Leon County
Circuit Court, Florida against the State of Florida seeking compensation for the
State's taking of its property rights to explore for oil and gas within its
State Lease 224-B. The lease encompasses more than 400,000 acres off the West
Coast of Florida in the Gulf of Mexico.

         The Company expects that the cost of the litigation will continue to be
substantial. Because the proceeds of the offering of the Company's common stock
are inadequate to fund the Company's long term capital needs, the Company is
exploring other possible funding sources, particularly the other shareholders of
Coastal Petroleum.

Results of Operations

Three months ended September 30, 2002 vs. September 30, 2001

         The Company incurred a loss of $858,000 for the 2002 quarter, compared
to a loss of $487,000 for the comparable 2001 quarter.

         Interest income and other income decreased 83% from $12,000 in the 2001
quarter to $2,000 in the 2002 quarter because of the decrease in funds to
invest.

         Legal fees and costs increased 95% to $640,000 for the 2002 quarter,
compared to $328,000 in the prior period. Legal fees and costs were higher in
the 2002 period as a result of Coastal Petroleum Company's lawsuit against the
State of Florida seeking compensation for the State's taking of its property
rights to explore for oil and gas within its state Lease 224-A, particularly the
preparation for the trial in the litigation which commenced on September 30,,
2002. The Company expects that the cost of the litigation will continue to be
substantial for the remainder of 2002 and throughout the appeal process in 2003.

         Administrative expenses increased 44% during the 2002 period to
$174,000 compared to $121,000 in the 2001 period. Accounting and administrative
expenses increased during the 2002 period to $42,000 from $24,000 in the 2001
period because of the costs associated with various filings with the Securities
and Exchange Commission. In addition, the cost of Directors' and Officers'
liability insurance increased to $76,000 in 2002 from $55,000 in the 2001
quarter.The monthly cost of Directors' and Officers' liability insurance through
July 31, 2003 is estimated to be  approximately  $26,000 compared to $17,000 per
month for the prior period.

         Salaries did not change during the periods and remained at $38,000 in
the 2002 quarter.

         Shareholder communications decreased 33% during the 2002 period to
$8,000 from $12,000 in the 2001 period because the Company reduced its
shareholder communications expenses to conserve its cash resources.

Nine months ended September 30, 2002 vs. September 30, 2001

         The Company incurred a loss of $2,018,000 for the 2002 period, compared
to a loss of $1,778,000 for the comparable 2001 period.

         Interest income and other income decreased 92% from $73,000 in 2001 to
$6,000 in 2002 because of the decrease in funds to invest.

         Legal fees and costs increased 7% to 1,320,000 for 2002 from $1,237,000
in the prior period. Legal fees and costs were higher in the 2002 period as a
result of Coastal Petroleum Company's lawsuit against the State of Florida
seeking compensation for the State's taking of its property rights to explore
for oil and gas within its state Lease 224-A, particularly the preparation for
the trial in the litigation which commenced on September 30, 2002. The Company
expects that the cost of the litigation will continue to be substantial for the
remainder of 2002 and throughout the appeal process in 2003.

         Administrative expenses increased 26% in 2002 to $507,000 from $403,000
in the 2001 period. Accounting and administrative expenses increased during the
2002 period to $149,000 from $103,000 in the 2001 period because of the costs
associated with various filings with the Securities and Exchange Commission. In
addition, the cost of Directors' and Officers' liability insurance increased to
$194,000  in  2002  from  $150,000  in the  2001  period.  The  monthly  cost of
Directors' and Officers'  liability insurance through July 31, 2003 is estimated
to be approximately $26,000 compared to $17,000 per month for the prior period.
<PAGE>

ITEM 2          Management's Discussion and Analysis of Financial Condition and
                Results of Operations (Cont'd)

         Salaries did not change during the periods and remained at $114,000 in
2002.

         Shareholder communications decreased 74% during the 2002 period to
$25,000 compared to $98,000 in the 2001 period because the Company has not yet
held its 2002 Annual General Meeting of Shareholders.

         Exploration costs increased from $500 in the 2001 period to $59,000 in
2002. The $59,000 in exploration costs in 2002 represents the lease rentals paid
to the State of Florida to maintain Coastal Petroleum Company's offshore leases.
During the 2001 period, the $59,000 of lease rentals were capitalized and
included in unproved oil gas and mineral properties. During the year 2001, the
Company concluded that the value of its leases has been taken and its property
interests were impaired by the actions taken by the State of Florida and
therefore, recorded an impairment charge to reflect the write off of the costs
of unproved oil, gas and minerals properties to reflect the write off of these
costs. All future costs incurred in connection with the Company's Florida leases
are being expensed as incurred.

ITEM 3        Quantitative and Qualitative Disclosure About Market Risk

         The Company does not have any significant exposure to market risk as
the only market risk sensitive instruments are its investments in marketable
securities classified as cash and cash equivalents. At September 30, 2002, the
carrying value of such investments was approximately $398,600, the fair value
was $399,500 and the face value was $400,000. Since the Company expects to hold
the investments to maturity, the maturity value should be realized.

ITEM 4        Controls and Procedures

         We, Benjamin W. Heath, the principal executive officer and James R.
  Joyce, the principal financial officer have evaluated the Company's disclosure
  controls and procedures (as defined in Rules 13a-14(c) and 15d-14(c) adopted
  under the Securities Act of 1934) within the ninety (90) day period prior to
  the date of this report and have concluded:

         1. That the Company's disclosure controls and procedures are adequately
         designed to ensure that material information relating to the Company,
         including its consolidated subsidiary, is timely made known to such
         officers by others within the Company and its subsidiary, particularly
         during the period in which this quarterly report is being prepared; and

         2. That there were no significant changes in the Company's internal
         controls or in other factors that could significantly affect these
         controls subsequent to the date of our evaluation, including any
         corrective actions with regard to significant deficiencies and material
         weaknesses.


<PAGE>



                     COASTAL CARIBBEAN OILS & MINERALS, LTD.
                                    FORM 10-Q
                           PART II - OTHER INFORMATION

                               September 30, 2002

ITEM 5        Other Information

              On October 8, 2002, the trial court in the takings litigation of
the Company's majority owned subsidiary, Coastal Petroleum Company, against the
State of Florida orally ruled from the bench that the State's denial of a permit
to drill on Coastal Petroleum's Lease 224-A did not constitute an unlawful
taking of Coastal Petroleum's property. Coastal Petroleum has the right to
appeal the court's written order to the Florida First District Court of Appeal.
As of the filing of this report, the trial court has not yet issued a written
order.

         Coastal Caribbean is currently a passive foreign investment company, or
PFIC, for United States federal income tax purposes, which could result in
negative tax consequences to a shareholder. If, for any taxable year, the
Company's passive income or assets that produce passive income exceed levels
provided by U.S. law, the Company would be a "passive foreign investment
company," or PFIC, for U.S. federal income tax purposes. For the years 1987
through 2001, Coastal Caribbean's passive income and assets that produce passive
income exceeded those levels and for those years Coastal Caribbean constituted a
PFIC. If Coastal Caribbean is a PFIC for any taxable year, then the Company's
U.S. shareholders potentially would be subject to adverse U.S. tax consequences
of holding and disposing of shares of our common stock for that year and for
future tax years. Any gain from the sale of, and certain distributions with
respect to, shares of the Company's common stock, would cause a U.S. holder to
become liable for U.S. federal income tax under section 1291 of the Internal
Revenue Code (the interest charge regime). The tax is computed by allocating the
amount of the gain on the sale or the amount of the distribution, as the case
may be, to each day in the U.S. shareholder's holding period. To the extent that
the amount is allocated to a year, other than the year of the disposition or
distribution, in which the corporation was treated as a PFIC with respect to the
U.S. holder, the income will be taxed as ordinary income at the highest rate in
effect for that year, plus an interest charge.





<PAGE>


                     COASTAL CARIBBEAN OILS & MINERALS, LTD.
                                    FORM 10-Q
                           PART II - OTHER INFORMATION

                               September 30, 2002


         For further information, refer to the consolidated financial statements
and footnotes thereto included in the Company's Annual Report on Form 10-K/A for
the year ended December 31, 2001.


ITEM 6        Exhibits and Reports on Form 8-K

         (a)      Exhibits

                  99 (1)  Certification  pursuant  to 18 U.S.C.  Section  1350,
                          as adopted  pursuant  to Section  906 of the
                          Sarbanes-Oxley Act of 2002 executed by Benjamin W.
                          Heath.

                  99 (2)  Certification  pursuant  to 18 U.S.C.  Section  1350,
                          as adopted  pursuant  to Section  906 of the
                          Sarbanes-Oxley Act of 2002 executed by
                          James R. Joyce.


         (b)      Reports on Form 8-K

                  On September 9, 2002, the Company filed a Current Report on
          Form 8-K to report that on August 30, 2002, the Leon County Circuit
          Court trial judge denied the State of Florida`s motion to dismiss the
          lawsuit filed on May 21, 2002 by the Registrant's 59% owned
          subsidiary, Coastal Petroleum Company. On May 21, 2002, Coastal
          Petroleum filed a lawsuit against the State of Florida seeking
          compensation for the State's alleged taking of its property rights to
          explore for oil and gas within its state lease 224-B in the Gulf of
          Mexico.





<PAGE>



                     COASTAL CARIBBEAN OILS & MINERALS, LTD.

                                    FORM 10-Q

                               September 30, 2002



                                   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.




                                 COASTAL CARIBBEAN OILS & MINERALS, LTD.
                                            Registrant




Date:  November 7 , 2002             By  /s/ James R. Joyce
                                             James R. Joyce
                                             Treasurer and Chief Accounting and
                                             Financial Officer


<PAGE>


                                    Form 10-Q

                     Coastal Caribbean Oils & Minerals, Ltd.

                            Rule 13a-14 Certification


I, Benjamin W. Heath, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Coastal Caribbean Oils
& Minerals, Ltd.

2. Based on my knowledge, this quarterly report does not contain any untrue
statement of a material fact or omit to state a material fact necessary to make
the statements made, in light of the circumstances under which such statements
were made, not misleading with respect to the period covered by this quarterly
report;

3. Based on my knowledge, the financial statements, and other financial
information included in this quarterly report, fairly present in all material
respects the financial condition, results of operations and cash flows of the
registrant as of, and for, the periods presented in this quarterly report;

4. The registrant's other certifying officers and I are responsible for
establishing and maintaining disclosure controls and procedures (as defined in
Exchange Act Rules 13a-14 and 15d-14) for the registrant and we have:

         a) designed such disclosure controls and procedures to ensure that
         material information relating to the registrant, including its
         consolidated subsidiaries, is made known to us by others within those
         entities, particularly during the period in which this quarterly report
         is being prepared;

         b) evaluated the effectiveness of the registrant's disclosure controls
         and procedures as of a date within 90 days prior to the filing date of
         this quarterly report (the "Evaluation Date"); and

         c) presented in this quarterly report our conclusions about the
         effectiveness of the disclosure  controls and procedures based on our
         evaluation as of the Evaluation Date;

5. The registrant's other certifying officers and I have disclosed, based on our
most recent evaluation, to the registrant's auditors and the audit committee of
registrant's board of directors (or persons performing the equivalent
functions):

         a) all significant deficiencies in the design or operation of internal
         controls which could adversely affect the registrant's ability to
         record, process, summarize and report financial data and have
         identified for the registrant's auditors any material weaknesses in
         internal controls; and

         b) any fraud,  whether or not material,  that involves  management or
         other employees who have a significant role in the registrant's
         internal controls; and

6. The registrant's other certifying officers and I have indicated in this
quarterly report whether or not there were significant changes in internal
controls or in other factors that could significantly affect internal controls
subsequent to the date of our most recent evaluation, including any corrective
actions with regard to significant deficiencies and material weaknesses.

Date: November 7, 2002

                                                      /s/ Benjamin W. Heath
                                                          Benjamin W. Heath
                                                          President



<PAGE>


                                    Form 10-Q

                     Coastal Caribbean Oils & Minerals, Ltd.

                            Rule 13a-14 Certification


I, James R. Joyce, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Coastal Caribbean Oils
& Minerals, Ltd.

2. Based on my knowledge, this quarterly report does not contain any untrue
statement of a material fact or omit to state a material fact necessary to make
the statements made, in light of the circumstances under which such statements
were made, not misleading with respect to the period covered by this quarterly
report;

3. Based on my knowledge, the financial statements, and other financial
information included in this quarterly report, fairly present in all material
respects the financial condition, results of operations and cash flows of the
registrant as of, and for, the periods presented in this quarterly report;

4. The registrant's other certifying officers and I are responsible for
establishing and maintaining disclosure controls and procedures (as defined in
Exchange Act Rules 13a-14 and 15d-14) for the registrant and we have:

         a) designed such disclosure controls and procedures to ensure that
         material information relating to the registrant, including its
         consolidated subsidiaries, is made known to us by others within those
         entities, particularly during the period in which this quarterly report
         is being prepared;

         b) evaluated the effectiveness of the registrant's disclosure controls
         and procedures as of a date within 90 days prior to the filing date of
         this quarterly report (the "Evaluation Date"); and

         c) presented in this quarterly report our conclusions about the
         effectiveness of the disclosure  controls and procedures based on our
         evaluation as of the Evaluation Date;

5. The registrant's other certifying officers and I have disclosed, based on our
most recent evaluation, to the registrant's auditors and the audit committee of
registrant's board of directors (or persons performing the equivalent
functions):

         a) all significant deficiencies in the design or operation of internal
         controls which could adversely affect the registrant's ability to
         record, process, summarize and report financial data and have
         identified for the registrant's auditors any material weaknesses in
         internal controls; and

         b) any fraud,  whether or not material,  that involves  management or
         other employees who have a significant role in the registrant's
         internal controls; and

6. The registrant's other certifying officers and I have indicated in this
quarterly report whether or not there were significant changes in internal
controls or in other factors that could significantly affect internal controls
subsequent to the date of our most recent evaluation, including any corrective
actions with regard to significant deficiencies and material weaknesses.

Date: November 7, 2002

                                         /s/ James R. Joyce
                                             James R. Joyce
                                             Treasurer and Chief Accounting and
                                             Financial Officer