FORM 10-Q

                       SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

[X]     Quarterly  report  pursuant  to  section  13  or 15(d) of the Securities
        Exchange  Act  of  1934
        For  the  fiscal  quarter  ended  September  30,  2003  or
[ ]     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 0-8773
                                  CRESTED CORP.
--------------------------------------------------------------------------------
              (Exact Name of Company as Specified in its Charter)

           Colorado                                         84-0608126
-------------------------------                  -------------------------------
(State or other jurisdiction of                           (I.R.S.  Employer
incorporation or organization)                           Identification  No.)

877 North 8th West, Riverton, WY                               82501
-------------------------------                  -------------------------------
(Address of principal executive offices)                    (Zip  Code)

Company's telephone number, including area code:          (307)  856-9271
                                                 -------------------------------

                                      NONE
--------------------------------------------------------------------------------
      (Former name, address and fiscal year, if changed since last report)

     Indicate  by  check  mark  whether  the  Company  (1) has filed all reports
required  to  be  filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the Company
was  required  to  file  such  reports), and (2) has been subject to such filing
requirements  for  the  past  90  days.
                                            YES    X     NO
                                                  ---        ---

     Indicate  by  check mark whether the registrant is an accelerated filer (as
defined  in  Rule  12b-2  of  the  Exchange  Act).
                                            YES          NO   X
                                                  ---        ---

                APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY
                  PROCEEDINGS DURING THE PRECEDING FIVE YEARS

     Indicate  by  check mark whether the registrant has filed all documents and
reports  required  to  be  filed  by  Sections 12, 13 or 15(d) of the Securities
Exchange  Act  of 1934 subsequent to the distribution of securities under a plan
confirmed  by  a  court.

                                            YES          NO
                                                  ---        ---

Indicate  the  number  of  shares outstanding of each of the issuer's classes of
common  stock,  as  of  the  latest  practicable  date.

             Class                              Outstanding at November 13, 2003
-----------------------------------          -----------------------------------
Common stock, $0.001 par value                        17,133,098 Shares


                                        1
<PAGE>
                                  CRESTED CORP.

                                      INDEX

                                                                        Page No.
PART  I.   FINANCIAL  INFORMATION

ITEM  1.   Financial  Statements.

           Condensed Balance Sheets
             September 30, 2003 and December 31, 2002. . . . . . . . . . . . . 3

           Condensed Statements of Operations
             Three and Nine Months Ended September 30, 2003 and 2002. . . . . .4

           Condensed Statements of Cash Flows
             Nine Months Ended September 30, 2003 and 2002. . . . . . . . . . .5

           Notes to Condensed Financial Statements. . . . . . . . . . . . . .6-8

ITEM  2.   Management's Discussion and Analysis of
             Financial Condition and Results of  Operations. . . . . . . . .9-11

ITEM  4.   Controls and Procedures. . . . . . . . . . . . . . . . . . . . .11-12

PART II.   OTHER INFORMATION

ITEM  1.   Legal Proceedings . . . . . . . . . . . . . . . . . . . . . . . . .13

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

           Signatures. . . . . . . . . . . . . . . . . . . . . . . . . . . . .14

           Certifications . . . . . . . . . . . . . . . . . . . . . . . . .15-18


                                        2
<PAGE>
                          PART I. FINANCIAL INFORMATION

ITEM  1.     FINANCIAL  STATEMENTS

                                  CRESTED CORP.
                            CONDENSED BALANCE SHEETS

                                     ASSETS
<TABLE>
<CAPTION>


                                                      September 30, December 31,
<S>                                                         <C>              <C>
                                                           2003         2002
                                                        ----------- ------------
      (Unaudited)
CURRENT ASSETS:
  Cash and cash equivalents                             $     3,300 $     3,300

INVESTMENTS IN AFFILIATES                                 4,896,100   5,876,600

PROPERTIES AND EQUIPMENT                                    896,800     896,800
  Less accumulated depreciation
  depletion and amortization                               (886,800)   (886,800)
                                                        ----------- ------------
                                                             10,000      10,000
                                                        ----------- ------------
                                                        $ 4,909,400 $ 5,889,900
                                                        =========== ============


                      LIABILITIES AND SHAREHOLDERS' EQUITY

CURRENT LIABILITIES:
  Current portion of long-term debt to affiliate        $ 9,465,800 $ 8,553,900

COMMITMENT TO FUND EQUITY INVESTEES                         215,600     215,600

ASSET RETIREMENT OBLIGATION                               1,110,300     748,400

COMMITMENTS AND CONTINGENCIES

FORFEITABLE COMMON STOCK, $.001 par value
  15,000 shares issued, forfeitable until earned             10,100      10,100

SHAREHOLDERS' EQUITY
  Common stock, $.001 par value; unlimited shares authorized;
    17,118,098 and 17,099,276 issued and outstanding         17,200      17,200
  Additional paid-in capital                             11,804,800  11,795,200
  Accumulated deficit                                   (17,714,400)(15,450,500)
                                                        ----------- ------------
TOTAL SHAREHOLDERS' EQUITY                               (5,892,400) (3,638,100)
                                                        ----------- ------------
                                                        $ 4,909,400 $ 5,889,900
                                                        =========== ============
</TABLE>


            See accompanying notes to condensed financial statements.
                                        3
<PAGE>
                                  CRESTED CORP.

                       CONDENSED STATEMENTS OF OPERATIONS
                                  (UNAUDITED)
<TABLE>
<CAPTION>


                                 Three Months Ended       Nine Months Ended
<S>                 <C>                   <C>                  <C>           <C>
                                   September 30,             September 30,
                             ------------------------- -------------------------
                                 2003         2002         2003         2002
                                 ----         ----         ----         ----

REVENUES:                    $       --    $      --   $         -- $       --

COSTS AND EXPENSES:
  Accretion of asset retirement
  obligation                      22,800          --        68,200          --
  General and administrative      41,400       38,500      130,400      114,100
                             ------------ ------------ ------------ ------------
                                  64,200       38,500      198,600      114,100
                             ------------ ------------ ------------ ------------

LOSS BEFORE EQUITY LOSS, PROVISION
  FOR INCOME TAXES AND CUMULATIVE
  EFFECT OF ACCOUNTING CHANGE    (64,200)     (38,500)    (198,600)    (114,100)

EQUITY IN LOSS OF AFFILIATES    (371,200)    (346,500)  (1,771,500)  (1,355,100)
                             ------------ ------------ ------------ ------------

LOSS BEFORE PROVISION FOR INCOME
  TAXES AND CUMULATIVE
  EFFECT OF ACCOUNTING CHANGE   (435,400)    (385,000)  (1,970,100)  (1,469,200)

PROVISION FOR INCOME TAXES           --           --           --           --
                             ------------ ------------ ------------ ------------

LOSS BEFORE CUMULATIVE EFFECT
  OF ACCOUNTING CHANGE          (435,400)    (385,000)  (1,970,100)  (1,469,200)

CUMULATIVE EFFECT OF
  ACCOUNTING CHANGE                  --           --      (293,800)         --
                             ------------ ------------ ------------ ------------

NET LOSS                     $  (435,400)  $ (385,000) $(2,263,900) $(1,469,200)
                             ============ ============ ============ ============

PERSHARE DATA
NET LOSS PER SHARE, BASIC
  AND DILUTED
  FROM CONTINUED OPERATION   $     (0.03)  $    (0.02) $     (0.12) $     (0.09)
  FROM EFFECT OF ACCOUNTING
  CHANGE                             --           --         (0.02)         --
                             ------------ ------------ ------------ ------------
  BASIC AND DILUTED          $     (0.03)  $    (0.02) $     (0.13) $     (0.09)
                             ============ ============ ============ ============

BASIC WEIGHTED AVERAGE
  SHARES OUTSTANDING           17,099,276   17,074,325   17,117,129   17,075,320
                             ============ ============ ============ ============

DILUTED WEIGHTED AVERAGE
  SHARES OUTSTANDING           17,099,276   17,074,325   17,117,129   17,075,320
                             ============ ============ ============ ============
</TABLE>


            See accompanying notes to condensed financial statements.
                                        4
<PAGE>
                                  CRESTED CORP.

                       CONDENSED STATEMENTS OF CASH FLOWS
                                  (UNAUDITED)
<TABLE>
<CAPTION>

                                                     Nine Months Ended
                                                 September 30  September 30
                                                 ------------  ------------

                                                     2003          2002
                                                 ------------  ------------
<S>                                              <C>           <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
  Net loss                                       $(2,263,900)  $(1,469,200)
  Adjustments to reconcile net loss to net cash
    used in operating activities:
      Equity in loss of affiliates                 1,771,500     1,355,100
      Accretion of asset retirement obligation        68,200            --
      Non cash cummulative effect
        of accounting change                         293,700            --
      Non cash compensation                            9,600        11,400
      Net changes in assets and liabilities               --          (100)
                                                 ------------  ------------
NET CASH USED IN OPERATING ACTIVITIES               (120,900)     (102,800)

CASH FLOWS FROM INVESTING ACTIVITIES:
  Investment in affiliates                          (791,000)   (1,225,900)

CASH FLOWS FROM FINANCING ACTIVITES:
  Net activity on debt to affiliate                  911,900     1,328,800
                                                 ------------  ------------

NET DECREASE IN CASH
  AND CASH EQUIVALENTS                                    --           100

CASH AND CASH EQUIVALENTS AT
  BEGINNING OF PERIOD                                  3,300         3,200
                                                 ------------  ------------

CASH AND CASH EQUIVALENTS AT
  END OF PERIOD                                  $     3,300   $     3,300
                                                 ============  ============

SUPPLEMENTAL DISCLOSURES:
  Interest paid                                  $        --   $        --
                                                 ============  ============

  Income tax paid                                $        --   $        --
                                                 ============  ============

NONCASH INVESTING AND FINANCING ACTIVITIES:
  Issuance of stock to outside directors         $     9,600   $        --
                                                 ============  ============
</TABLE>


            See accompanying notes to condensed financial statements.
                                        5
<PAGE>
                                  CRESTED CORP.

                    NOTES TO CONDENSED FINANCIAL STATEMENTS

     1)     The Condensed Balance  Sheet as of September 30, 2003, the Condensed
Statements  of  Operations for the three and nine months ended June 30, 2003 and
2002,  and  the  Condensed  Statement  of  Cash  Flows for the nine months ended
September  30,  2003  and 2002, have been prepared by the Company without audit.
The  Condensed  Balance  Sheet  at  December 31, 2002, has been derived from the
audited  financial  statements  included  in the Company's Annual Report on Form
10-K/A  for  the  period  then  ended.  In  the  opinion  of  the  Company,  the
accompanying  financial  statements  contain all adjustments (consisting of only
normal  recurring  accruals  except  for  the  cumulative  effect of a change in
accounting principle in 2003) necessary to fairly present the financial position
of  the  Company as of September 30, 2003 and the results of operations and cash
flows  for  the  three  and  nine  months  ended  September  30,  2003 and 2002.

     2)     Certain  information  and footnote disclosures normally  included in
financial statements prepared in accordance with accounting principles generally
accepted  in the United States of America have been condensed or omitted.  It is
suggested  that  these  financial  statements  be  read  in conjunction with the
Company's  December  31,  2002  Form  10-K/A.  The results of operations for the
periods  ended September 30, 2003 and 2002 are not necessarily indicative of the
operating  results  for  the  full  year.

     3)     Debt  at September 30, 2003 and December 31, 2002, consists  of debt
payable  to  the  Company's  parent  U.S. Energy Corp. ("USE") of $9,465,800 and
$8,553,900,  respectively

     4)     The  Company  presents  basic  and  diluted  earnings  per  share in
accordance  with  the  provisions of Statement of Financial Accounting Standards
No.  128, "Earnings per Share."  Basic earnings per common share is based on the
weighted  average  number  of  common  shares  outstanding  during  the  period.
Diluted  earnings per share does not include the dilutive effect of common stock
equivalents  for  the  three  and  nine months ended September 30, 2003 and 2002
because  stock  options  and  warrants  which comprised common stock equivalents
would  have  been  anti-dilutive.

     5)     Certain  reclassifications  have been made in the  December 31, 2002
financial statements to conform to the classifications used in the September 30,
2003  financial  statements.

     6)  Although  the  Company  does not have an incentive stock option plan in
place  as  of  September  30,  2003,  it  will  be proposing one for shareholder
approval  at its next annual meeting.  In October 1995, the FASB issued SFAS No.
123,  "Accounting  for  Stock-Based Compensation", which requires the Company to
record  non-employee  stock-based compensation at fair value.  In December 2002,
the  FASB  issued  SFAS  No.  148,  "Accounting  for  Stock Based Compensation -
Transition and Disclosure".  The Company has adopted the disclosure requirements
of  SFAS  No.  148  and  has  elected  to  record  employee compensation expense
utilizing the intrinsic value method permitted under Accounting Principles Board
(APB)  Opinion  No. 25, "Accounting for Stock Issued to Employees."  The Company
will  account for its employees' stock based compensation plan under APB Opinion
No.  25 and its related interpretations.  Accordingly, any deferred compensation
expense  will  be  recorded  for stock options based on the excess of the market
value  of  the  common  stock  on  the  date  the  options were granted over the
aggregate  exercise  price  of  the options.  This deferred compensation will be
amortized over the vesting period of each option.  There were no options granted
to  employees during either the nine months or quarter ended September 30, 2003.


                                        6
<PAGE>
     7)     The  Company  has  mine  properties  that are in a shut down mode in
central  Wyoming  for  which  it  is responsible for one half of the reclamation
expense.  These  reclamation  activities  are scheduled to be completed over the
next  seven  years.  The  Company cannot predict the exact amount of such future
asset retirement obligations.  Estimated future reclamation costs are based upon
the  Company's  best  engineering  estimates  considering  legal  and regulatory
requirements.

     Effective  January  1,  2003, the Company adopted SFAS No. 143, "Accounting
for Asset Retirement Obligations."  The statement requires the Company to record
the  fair  value of the reclamation liability on its shut down mining properties
as  of  the date that the liability is incurred with a corresponding increase in
the  properties.  The  statement  further  requires  that the Company review the
liability  each  quarter  to  determine  whether its estimates of timing or cash
flows  have  changed as well the accretion of the total liability on a quarterly
basis  for  the  passage  of  time.

     The  Company  will  also deduct from the accrued liability any actual funds
expended  for  reclamation  during  the  quarter  in which it is expended.  As a
result  of the Company taking impairment allowances in prior periods on its shut
down  mining  properties,  it has no remaining book value for the properties and
has  no  economic  benefits  to  be  received in future periods.  All changes in
estimates  will  therefore be charged to operations in the quarter in which they
are  recorded.

         The  following  is  a reconciliation of the total liability  for  asset
         retirement obligations  (unaudited)

         Balance  December  31,  2002                     $  748,400
         Impact  of  adoption  of  SFAS  No.  143            293,700
         Addition  to  Liability                                 --
         Liability  Settled                                      --
         Accretion  Expense  -  8%  discount  rate            68,200
                                                          ----------
         Balance  September  30,  2003                    $1,110,300
                                                          ==========

     The  following  table  shows  what  the Company's net loss and net loss per
share  would  have been in the three and nine months ended September 30, 2002 if
the  provisions  of SFAS No. 143 had been applied during those periods, compared
with  a  net  loss  and  a net loss per share recorded during the three and nine
months  ended  September  30,  2003.
                                  Three months ended       Nine months ended
                                     September  30           September  30
                                 --------------------- -------------------------
                                     2003       2002        2003         2002
NET  LOSS:
 Reported net loss               $(435,400) $(385,000) $(2,263,900) $(1,469,200)
 Cumulative effect of adoption
   of  SFAS  No.  143                --         --         293,800       --
 Pro-Forma SFAS No. 143 accretion    --       (22,800)      --          (68,200)
                                  ---------  ---------  -----------  -----------
Adjusted net loss:               $(435,400) $(407,800) $(1,970,100) $(1,537,400)
                                  =========  =========  ===========  ===========

PER  SHARE  OF  COMMON  STOCK:
 Reported net loss               $   (0.03) $   (0.02) $     (0.13) $     (0.09)
 Cumulative effect of adoption
   of  SFAS  No.  143                --         --              .02 $    --
 Pro-Forma SFAS No. 143 accretion    --         *           --           *
                                  ---------  ---------  -----------  -----------
Adjusted  net  loss:             $   (0.03) $   (0.02) $     (0.11) $     (0.09)

                                  =========  =========  ===========  ===========

* Less than $.01 per share


                                        7
<PAGE>
     The  Company  has  reviewed  other  current outstanding statements from the
Financial  Accounting  Standards  Board  and  does not believe that any of those
statements  will  have  a material adverse affect on the financial statements of
the  Company  when  adopted.

     8)  Subsequent  Event  -  On October 31, 2003 USE's wholly owned subsidiary
Plateau  Resources  Limited  (PRL)  received  approval  from  the  U.S.  Nuclear
Regulatory  Commission (NRC) to release about $2.9 Million of excess reclamation
bond  funds  on the Shootaring Canyon Uranium Mill located in southeastern Utah.
In  1993,  when USEG acquired the Mill, PRL had posted a surety reclamation bond
with  the  NRC  of  $2.5  Million  for  the reclamation of the Shootaring Canyon
Uranium  Mill. In fiscal 1997, PRL requested that the status of the Mill license
be  changed  from  standby to operational. As a result of the change of the Mill
license  to operational status, the NRC required that the cash bond be increased
to  $6.7  Million.  Due  to  uranium  market conditions in 2002,  PRL decided to
change the  license  status  from  operational  back  to  reclamation  and filed
a new reclamation  plan.  The  NRC  has  reviewed  the  revised  reclamation and
decommissioning  plan and has agreed to a $6.1 million reclamation plan. The NRC
therefore  approved  the  release of $2.9 Million from the existing cash bond to
PRL  and  retained  $6.1  Million to cover the new reclamation plan. The Company
through  an  agreement with USE will receive the benefit of one-half of the cash
received.


                                        8
<PAGE>
CRESTED  CORP.


ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
         -----------------------------------------------------------------------
OF  OPERATIONS.
--------------

     The  following  is  Management's  Discussion  and  Analysis  of significant
factors,  which  have  affected  the  Company's liquidity, capital resources and
results  of operations during the periods included in the accompanying financial
statements.  For  a  detailed explanation of the Company's Business Overview, it
is  suggested  that  Management's Discussion and Analysis of Financial Condition
and Results of Operations for the three and nine months ended September 30, 2003
be  read  in  conjunction  with  the  Company's  Form  10-K/A for the year ended
December  31,  2002.

OVERVIEW  OF  BUSINESS

     The  Company  has  interests  in  a uranium mine and mill in Southern Utah;
uranium mines in central Wyoming; a gold property in California; coalbed methane
properties  in  southwestern  Wyoming  and the Powder River Basin of Wyoming and
Montana,  and  various  real estate.  The mine properties are all in a shut down
mode.  All  these  businesses  are  operated  in  conjunction with the Company's
parent,  U.S.  Energy  Corp.  ("USE")  through  a  joint venture between the two
companies,  the  USECB  Joint Venture ("USECB").  The Company accounts for USECB
using  the  equity  method  of  accounting.

CRITICAL  ACCOUNTING  POLICIES
------------------------------

     RECLAMATION  LIABILITIES  - The Company's policy is to accrue the liability
for  future  reclamation costs of its mineral properties under SFAS 143 based on
the  current  estimate of the future reclamation costs as determined by internal
and  external  experts.  The  present  value  of the obligation is accreted each
period  as  the  date  of  obligation  settlement  approaches.

RECENT  ACCOUNTING  PRONOUNCEMENTS
----------------------------------

     SFAS  NO.  143  -  The  Company  has  implemented  the Financial Accounting
Standards  Board  issued  SFAS  No.  143   "Accounting  for   Asset   Retirement
Obligations"  effective  January  1, 2003. The statement requires the Company to
record  the  fair value of a liability for legal obligations associated with the
retirement  of  obligations of tangible long-lived assets in the period in which
it  is  incurred. The Company's reclamation liabilities on its mining properties
are  subject to SFAS No. 143. See note 7 of the interim financial statements for
details  of  the  adoption.

     In  November 2002, the FASB issued FASB Interpretation No. 45, "Guarantor's
Accounting  and  Disclosure  Requirements  for  Guarantees,  including  indirect
Guarantees  of   Indebtedness  of   Others"  ("FIN  45").  FIN  45  expands  the
information  disclosures  required  by  guarantors for obligations under certain
types  of  guarantees.  It  also requires initial recognition at fair value of a
liability  for such guarantees.  The initial recognition and initial measurement
provisions  of  this  Interpretation  are  applicable  on a prospective basis to
guarantees  issued  or  modified  after  December  31, 2002, irrespective of the
guarantor's  fiscal year-end.  The disclosure requirements in the Interpretation
are effective for financial statements of interim or annual periods ending after
December  15,  2002.  The  Company  has historically issued guarantees only on a
limited  basis  and  FIN  45 has not had a material effect on its 2003 financial
statements.  Disclosures required by FIN 45 are not required because the Company
does  not  have  any  existing  guarantees  at  September  30,  2003.


                                        9
<PAGE>
     In January 2003, the FASB issued FASB Interpretation No. 46, "Consolidation
of  Variable  Interest  Entities"  ("FIN  46"), which addresses consolidation by
business  enterprises  where  equity investors do not bear the residual economic
risks  and  rewards.  These   entities  have  been   commonly   referred  to  as
"special-purpose  entities".  Companies  are  required to apply the provision of
FIN  46  prospectively  for all variable interest entities created after January
31,  2003.  For  public companies, all interest acquired before February 1, 2003
must  follow  the new rules in accounting periods beginning after June 15, 2003.
The  Company  has  determined that the adoption of the provisions of FIN 46 will
not  have a material impact on its financial condition or results of operations.

     The  Company  has  reviewed  all  current  outstanding  statements from the
Financial  Accounting  Standards  Board  and  does not believe that any of those
statements  will  have  a material adverse effect on the financial statements of
the  Company  when  adopted.

LIQUIDITY  AND  CAPITAL  RESOURCES

     During  the  nine  months  ended  September  30, 2003, the Company incurred
$911,900  in  additional  debt  to its parent, USE.  This debt was incurred as a
result  of  USE  advancing funds on behalf of the Company to fund its portion of
cash  obligations  in  the  various business ventures in which the two companies
jointly  participate.

     The  Company  continues  to have low cash reserves and is unable to pay its
ongoing  administrative  costs  as  well as fund its cash commitments to various
businesses  that  it  and  USE  operate  jointly.  The  Company  must  negotiate
favorable  terms  on  the  debt  due  to  USE  to  continue  to  operate.

     The Company anticipates that the ultimate resolution of the litigation with
Nukem,  Inc.  will  improve  its  liquidity.  The  Company also will participate
equally  in  any  benefits  or  liabilities,  which may come from the outcome of
litigation  that the Company and USE have pending with Phelps Dodge Corporation.

     Operations  during  the  nine  months  ended  September  30, 2003 and 2002,
consumed  $120,900  and  $102,800, respectively.  The uses of cash in operations
was  the  Company's  portion  of  annual  audit  fees,  professional services in
connection  with  the on-going litigation and other administrative expenditures.
Financing  activities  during the nine months ended September 30, 2003 and 2002,
generated  $911,900  and $1,328,800, respectively, as the Company borrowed money
from USE to fund its cash commitments.  Cash consumed in investing activities of
$791,000  at  September  30,  2003 and $1,225,900 at September 30, 2002 was as a
result  of  the  Company using the cash borrowed from USE to fund its portion of
operating  costs  in  investments  jointly  owned  with  USE.

CAPITAL  RESOURCES

     The  Company and USE have a $750,000 line of credit with a commercial  bank
The  line  of  credit  is  secured by various real estate holdings and equipment
belonging  to  the  Company and USE.  At September 30, 2003, the total amount of
the  line of credit was available to the Company and USE and has been renewed to
June  2004.  The  line  of  credit  is used for short term working capital needs
associated  with  operations.

     The  Company's  cash resources at September 30, 2003 will not be sufficient
to  sustain operations during the balance of 2003.  The Company will continue to
rely  upon  funding  from  USE to meet its operating, administration and capital
requirements.  It  is  not anticipated that during 2003 operations will generate
significant  capital  resources.


                                       10
<PAGE>
     On  August 1, 2003, the Company and USE received a judgment from the United
States  District  of  Colorado  in the amount of $20,044,184 against Nukem, Inc.
The  Judgment  was  entered and defendant Nukem posted a supersedeas bond in the
full  amount  of  the Judgment plus interest for one year, which was approved by
the  Court.  Nukem  filed  a motion to alter and amend portions of the Order and
Judgment  and  a  motion  to  remand the case to the Arbitration Panel.  USE and
Crested also filed a motion to alter and amend certain portions of the Order and
Judgment.  In  the event that the Company and USE prevail, one half of the award
belongs  to  the  Company.

     The  Company  and  USE  sold  their  interests  in the Ticaboo town site by
entering  into  a  stock  purchase  agreement on August 14, 2003 with The Cactus
Group.  The  purchase price was $3,470,000 with a cash down payment of $349,250.
The  balance  of  the  amount  due from The Cactus Group will be paid in monthly
payments  ranging  from $5,000 to $24,000 through August of 2008 at which time a
balloon  payment  in  the  amount  of  $2,940,581 is due. As of the date of this
report,  all  payments under the agreement are current. One half of the net cash
proceeds  belong  to  the  Company.

     The  Company  and USE may continue to sell surplus equipment or an interest
in its various mineral properties, which are jointly owned with USE. These sales
would  generate  additional  capital  resources.

CAPITAL  REQUIREMENTS

     The  Company  and  USE jointly fund the holding costs of the Sheep Mountain
uranium  mines;  the  Plateau uranium mine and mill; costs associated with their
joint  real  estate;  commercial  operations,  and  the development of the Rocky
Mountain  Gas,  Inc.  ("RMG")  natural  gas  properties.

     The  Company  and  USE,  through RMG, have obligations to make delay rental
payments  on  RMG's portion of natural gas leases.  RMG has entered into various
agreements  with  industry  partners  where  a  portion  or  all of its drilling
commitments  on  the  natural  gas  properties are carried.  The Company and USE
through  RMG continue to seek additional funding sources to expand their natural
gas  business.

     The  Company  owes  USE $9,465,800 as a result of USE funding operating and
capital  expansion  expenses.  The  Company does not have the resources to repay
this debt and must continue to negotiate terms with USE or find some other means
of  retiring  the debt.  To date, USE has not called the debt and has agreed not
to  call the debt.  Should the Company and USE prevail in the Nukem litigation a
significant  portion of the Company's portion of the award may be used to retire
a  portion  or  all  of  this  indebtedness.

     It  is  anticipated  that  approximately  $70,000  of the Company's working
capital  will  be  used  for  the reclamation of any of its interests in uranium
properties  in Wyoming during 2003.  The Company and USE are required to provide
the  necessary capital to perform the reclamation work on these properties.  The
estimated reclamation costs on these Wyoming uranium properties are covered by a
reclamation  bond,  which  is  secured by a pledge of certain of the Company and
USE's  real  estate assets.  The reclamation bond amount is reviewed annually by
State  of  Wyoming  regulatory  agencies.

RESULTS  OF  OPERATIONS

     The  Company  had  no  revenues  during  the  three  and  nine months ended
September  30,  2003  and  2002.


                                       11
<PAGE>
     Costs  and  expenses for the quarter ended September 30, 2003, increased by
$25,700  from  those  reported during the same quarter of the previous year. The
main  reason  for the increase was the accretion of reclamation costs of $22,800
during  the  quarter  ended September 30, 2003. This expense was a result of the
Company  adopting  SFAS  No.  143  on  January  1,  2003.

     Costs  and  expenses for the nine months ended September 30, 2003 increased
by  $84,500  over  the costs of $114,100 recognized during the nine months ended
September 30, 2002.  The primary cause again for this increase was the accretion
of  an  asset  retirement  obligation during the nine months ended September 30,
2003  of  $68,200.  The  Company  recorded  equity  losses from USECC and RMG of
$1,771,500  and  $1,355,100  during the nine months ended September 30, 2003 and
2002,  respectively.  The  primary  reason for the increase in the equity losses
from  USECC  and  RMG are legal costs associated with the Phelps Dodge and Nukem
litigations  and  the  costs  associated  with  the  formation  of  Pinnacle Gas
Resources,  Inc.,  a  minority  owned  affiliate  of  RMG.

     The  Company  recorded  a  loss  of $2,263,900 during the nine months ended
September 30, 2003, as compared to a net loss of  $1,469,200 for the nine months
ended  September  30,  2002.

ITEM  4.  CONTROLS  AND  PROCEDURES
          -------------------------

     In  the 90 day period before the filing of this Report, the chief executive
and  chief financial officers of the Company have evaluated the effectiveness of
the Company's disclosure controls and procedures.  These disclosure controls and
procedures  are  those  controls  and  other  procedures  we maintain, which are
designed  to  insure that all of the information required to be disclosed by the
Company  in  all its periodic reports filed with the SEC is recorded, processed,
summarized  and  reported,  within the time periods specified in the SEC's rules
and  forms.  Disclosure  controls  and  procedures  include, without limitation,
controls  and  procedures  designed  to  ensure  that information required to be
disclosed  by the Company in its reports filed or submitted under the Securities
Exchange  Act  of  1934  is  accumulated and communicated to Company management,
including  the  chief  executive and chief financial officers of the Company, as
appropriate  to  allow those persons to make timely decisions regarding required
disclosure.

     Subsequent  to  the  date  when the disclosure controls and procedures were
evaluated,  there  have  not  been  any  significant  changes  in  the Company's
disclosure  controls  or procedures or in other factors that could significantly
affect  such  controls  or  procedures.  No significant deficiencies or material
weaknesses in the controls or procedures were detected, so no corrective actions
needed  to  be  taken.

FORWARD  LOOKING  STATEMENTS
----------------------------

     This  Report  on  Form 10Q includes "forward-looking statements" within the
meaning  of Section 21E of the Securities Exchange Act of 1934, as amended ("the
Exchange  Act").  All  statements  other  than  statements  of  historical  fact
included in this Report, are forward-looking statements.  In addition, when ever
words  like  "expect", "anticipate: or "believe" are used, we are making forward
looking  statements.


                                       12
<PAGE>
                           PART II. OTHER INFORMATION

ITEM  1.  LEGAL  PROCEEDINGS
          ------------------

     On  July  30, 2003, U.S. Energy Corp. ("USE") and Crested Corp. ("Crested")
received  an  Order  and  thereafter  a Judgment on August 1, 2003 from the U.S.
District Court of Colorado wherein Chief Judge Lewis T. Babcock entered an Order
that  Judgment  be  entered  against  Nukem/CRIC  ("Nukem")  in favor of USE and
Crested  in  the  total  amount  of  $20,044,184.  The  Judgment was entered and
defendant  Nukem  posted  a  supersedeas bond in the full amount of the Judgment
plus  interest  for  one  year,  which was approved by the Court.  Nukem filed a
motion  to  alter  and  amend portions of the Order and Judgment and a motion to
remand  the  case to the Arbitration Panel.  USE and Crested also filed a motion
to  alter  and  amend certain portions of the Order and Judgment.  These motions
were  filed  under  seal and on September 10, 2003, the District Court overruled
Nukem's  motions and on September 11, 2003 the Court overruled the motion of USE
and Crested.  On October 3, 2003, Nukem, as Appellants, filed a Notice of Appeal
to the 10th Circuit Court of Appeals and thereafter on October 15, 2003, USE and
Crested filed a Notice of Cross-Appeal to the 10th Circuit.  Appellants' opening
brief  is  due  in  December  2003  and Appellees' (USE/Crested) brief is due in
January  2004.

     No  other material developments in the other pending Legal Proceedings have
occurred since they were last reported by the Company in Item 1 of its Form 10-Q
for  the  quarter  ended  June  30,  2003.

ITEM  2.  CHANGES  IN  SECURITIES  AND  USE  OF  PROCEEDS          NONE
          -----------------------------------------------

ITEM  6.  EXHIBITS  AND  REPORTS  ON  FORM  8-K
          -------------------------------------

     (a)  Exhibits.

          31     Certification  Pursuant  to  Rule  13a-14(a) and Rule 15d-14(a)

          32     Certification  Pursuant  to  Section  1350  of  Chapter  63
                 of  title  18  of  the  United  States  Code

     (b)  REPORTS  ON  FORM  8-K. The Company filed five reports on Form 8-K for
the quarter ended September 30, 2003.  The events reported were as follows:

               1.   The report filed on July 22, 2003, under Item 5, referred to
                    the  Company's  subsidiary, Rocky Mountain Gas, Inc. and the
                    formation  of  Pinnacle  Gas  Resources,  Inc.;

               2.   The  report  filed on August 1, 2003, under Item 5, referred
                    to  the  Order  received  form the U.S. District Court which
                    ordered  Nukem, Inc. to pay the Company and USE $20,044,184;

               3.   The  report filed on August 21, 2003, under Item 5, referred
                    to  the sale of the Ticaboo Townsite in southern Utah to the
                    Cactus  Group,  LLC;

               4.   The  report filed on August 26, 2003, under Item 5, referred
                    to  a  motion filed by Nukem to approve supersedeas bonds in
                    the  amount  of  $20,275,600;

               5.   The  report  filed  on  September  19,  2003,  under Item 5,
                    referred to orders from the U.S. District Court in the Nukem
                    Litigation.


                                       13
<PAGE>
                                   SIGNATURES


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

                                          CRESTED  CORP.
                                          (Company)



Date:  November  13,  2003           By:     /s/John  L.  Larsen
                                             -----------------------------------
                                              JOHN  L.  LARSEN,
                                              CHAIRMAN  and  CEO




Date:  November  13,  2003           By:     /s/Robert  Scott  Lorimer
                                             -----------------------------------
                                              ROBERT  SCOTT  LORIMER
                                              Principal  Financial  Officer  and
                                              Chief  Accounting  Officer


                                       14
<PAGE>
                                  CERTIFICATION
                                  -------------

     I,  John  L.  Larsen,  certify  that:

1.     I  have  reviewed  this  quarterly  report on Form 10-Q of Crested Corp.;

2.     Based  on my knowledge, this 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 report;

3.     Based  on  my  knowledge,  the  financial statements, and other financial
information included in this 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  report;

4.     The  registrant's  other  certifying  officer  and  I are responsible for
establishing  and  maintaining disclosure controls and procedures (as defined in
Exchange  Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial
reporting  (as  defined  in  Exchange Act Rules 13a-15(f) and 15d-15(f)) for the
registrant  and  have:

     (a)  Designed  such  disclosure  controls  and  procedures,  or caused such
          disclosure  controls  and  procedures  to  be  designed  under  our
          supervision,  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  report  is  being  prepared;
     (b)  (Paragraph  omitted  in  accordance  with  SEC transition instructions
          contained  in  SEC  Release  34-47986);
     (c)  Evaluated  the  effectiveness  of the registrant's disclosure controls
          and  procedures and presented in this report our conclusions about the
          effectiveness of the disclosure controls and procedures, as of the end
          of  the  period  covered  by this report based on such evaluation; and
     (d)  Disclosed  in  this  report  any  change  in the registrant's internal
          control over financial reporting that occurred during the registrant's
          most  recent fiscal quarter (the registrant's fourth fiscal quarter in
          the  case  of  an  annual  report) that has materially affected, or is
          reasonably  likely  to  materially  affect,  the registrant's internal
          control  over  financial  reporting;  and

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

     (a)  All  significant deficiencies and material weaknesses in the design or
          operation  of  internal  control  over  financial  reporting which are
          reasonably  likely  to  adversely  affect  the registrant's ability to
          record,  process,  summarize  and  report  financial  information; and
     (b)  Any  fraud, whether or not material, that involves management or other
          employees  who  have  a  significant role in the registrant's internal
          control  over  financial  reporting.

Dated  this  13th  day  of  November,  2003.



                                             /s/  John  L.  Larsen
                                           -------------------------------------
                                           John  L.  Larsen,
                                           Chief  Executive  Officer


                                       15
<PAGE>
                                  CERTIFICATION
                                  -------------

     I,  Robert  Scott  Lorimer,  certify  that:

1.     I  have  reviewed  this  quarterly  report on Form 10-Q of Crested Corp.;

2.     Based  on my knowledge, this 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 report;

3.     Based  on  my  knowledge,  the  financial statements, and other financial
information included in this 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  report;

4.     The  registrant's  other  certifying  officer  and  I are responsible for
establishing  and  maintaining disclosure controls and procedures (as defined in
Exchange  Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial
reporting  (as  defined  in  Exchange Act Rules 13a-15(f) and 15d-15(f)) for the
registrant  and  have:

     (a)  Designed  such  disclosure  controls  and  procedures,  or caused such
          disclosure  controls  and  procedures  to  be  designed  under  our
          supervision,  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  report  is  being  prepared;
     (b)  (Paragraph  omitted  in  accordance  with  SEC transition instructions
          contained  in  SEC  Release  34-47986);
     (c)  Evaluated  the  effectiveness  of the registrant's disclosure controls
          and  procedures and presented in this report our conclusions about the
          effectiveness of the disclosure controls and procedures, as of the end
          of  the  period  covered  by this report based on such evaluation; and
     (d)  Disclosed  in  this  report  any  change  in the registrant's internal
          control over financial reporting that occurred during the registrant's
          most  recent fiscal quarter (the registrant's fourth fiscal quarter in
          the  case  of  an  annual  report) that has materially affected, or is
          reasonably  likely  to  materially  affect,  the registrant's internal
          control  over  financial  reporting;  and

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

     (a)  All  significant deficiencies and material weaknesses in the design or
          operation  of  internal  control  over  financial  reporting which are
          reasonably  likely  to  adversely  affect  the registrant's ability to
          record,  process,  summarize  and  report  financial  information; and
     (b)  Any  fraud, whether or not material, that involves management or other
          employees  who  have  a  significant role in the registrant's internal
          control  over  financial  reporting.

Dated  this  13th  day  of  November,  2003.



                                             /s/  Robert  Scott  Lorimer
                                           -------------------------------------
                                           Robert  Scott  Lorimer,
                                           Chief  Financial  Officer


                                       16
<PAGE>
                                                                      EXHIBIT 32

              Certification Pursuant to Section 1350 of Chapter 63
                      of Title 18 of the United States Code

                             as adopted pursuant to

                  SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002


     I,  John  L.  Larsen, the Chief Executive Officer of Crested Corp., certify
that  (i)  the  Quarterly Report on Form 10-Q for the period ended September 30,
2003,  as  filed  by the Company with the Securities and Exchange Commission, to
which  this Certification is an Exhibit, fully complies with the requirements of
Section  13(a)  of the Securities Exchange Act of 1934, as amended; and (ii) the
information  contained in the Quarterly financial statements fairly presents, in
all  material  respects,  the  financial  condition and results of operations of
Crested  Corp.



                                        /s/  John  L.  Larsen
                                       -----------------------------------------
                                       John  L.  Larsen
                                       Chief  Executive  Officer
                                       Date:  November  13,  2003


This  certification  accompanies  this  Report  pursuant  to  Section 906 of the
Sarbanes-Oxley  Act  of  2002  and  shall not be deemed filed by the Company for
purposes  of  Section  18  of  the  Securities Exchange Act of 1934, as amended.

A  signed  original  of  this written statement required by Section 906 has been
provided to Crested Corp. and will be retained by Crested Corp. and furnished to
the  Securities  and  Exchange  Commission  or  its  staff  upon  request.


                                       17
<PAGE>
                                                                      EXHIBIT 32

              Certification Pursuant to Section 1350 of Chapter 63
                      of Title 18 of the United States Code

                             as adopted pursuant to

                  SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002


     I,  Robert  Scott  Lorimer,  the  Chief Financial Officer of Crested Corp.,
certify  that  (i)  the  Quarterly  Report  on  Form  10-Q  for the period ended
September  30,  2003  as  filed  by the Company with the Securities and Exchange
Commission,  to  which this Certification is an Exhibit, fully complies with the
requirements  of  Section  13(a)  of  the  Securities  Exchange  Act of 1934, as
amended;  and  (ii)  the  information  contained  in  the  Quarterly  financial
statements  fairly  presents,  in all material respects, the financial condition
and  results  of  operations  of  Crested  Corp.



                                        /s/Robert  Scott  Lorimer
                                       -----------------------------------------
                                       Robert  Scott  Lorimer
                                       Chief  Financial  Officer
                                       Date:  November  13,  2003


This  certification  accompanies  this  Report  pursuant  to  Section 906 of the
Sarbanes-Oxley  Act  of  2002  and  shall not be deemed filed by the Company for
purposes  of  Section  18  of  the  Securities Exchange Act of 1934, as amended.

A  signed  original  of  this written statement required by Section 906 has been
provided to Crested Corp. and will be retained by Crested Corp. and furnished to
the  Securities  and  Exchange  Commission  or  its  staff  upon  request.


                                       18
<PAGE>