UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                              Washington, DC 20549

                                  FORM 10-KSB/A
                                  Amendment #2

                   Annual Report Under Section 13 or 15 (d) of
                       the Securities Exchange Act of 1934


                  For the fiscal year ended September 30, 2006

                         Commission file number: 0-12809


                      AMERICAN RESOURCE TECHNOLOGIES, INC.
                  --------------------------------------------
                 (Name of small business issuer in its charter)
                     (Formerly Golden Chief Resources, Inc.)


        State of Kansas                                           48-0846635
 ------------------------------                                ---------------
(State or other jurisdiction of                               (I.R.S. Employer
incorporation or organization)                               Identification No.)

             896 N. Mill Street, Suite 203, Lewisville, Texas 75057
             ------------------------------------------------------
               (Address of principal executive offices)(Zip code)

                    Issuer's telephone number: (972) 219-8585


Securities registered under Section 12 (g) of the Exchange Act: Common stock, no
par value

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

Check if disclosure of delinquent filers in response to Item 405 of Regulation
S-B is not contained in this form, and no disclosure will be contained, to the
best of registrant's knowledge, in definitive proxy or information statements
incorporated by reference in Part III of this Form 10-KSB or any amendment to
this Form 10-KSB. [X]

Indicate by check mark whether the registrant is a shell company Yes [ ] No [X]
(as defined in Rule 12b-2 of the Exchange Act).


        State issuer's revenues for its most recent fiscal year $11,218.

The aggregate market value of the voting stock held by non-affiliates of the
registrant on September 30, 2006, was $1,113,282. The number of shares
outstanding of the registrant's common stock on April 23, 2008, was 12,996,021
shares.



<PAGE>


PART I

Item 1. Description of Business

(a) Business Development

American Resource Technologies, Inc. ("American Resources or the Company") was
originally incorporated as Arts Antique Autos, Ltd., and changed its name to
Golden Chief Resources, Inc. on August 5, 1981. On April 4, 2007 the Company
changed its name to American Resource Technologies, Inc. During the early 1980s,
the Company engaged in oil and gas operating, mining, real estate operations.
During the mid-1980s, Golden Chief lost its asset and revenue base due to
economic conditions, and liquidated assets and ceased operations in 1986, and
the Company operated briefly again in 1999 - 2002 after a change in control.
Accordingly, the Company remained dormant with no activity from 1987 - 1999 and
again from 2002 until December 2004.

During its fiscal year ended September 30, 2006, the Company was not involved in
any bankruptcy, receivership, or similar proceeding and underwent no material
reclassification, merger, or consolidation. We do not anticipate involvement or
participation in any of the above proceedings.

(b) Business of Issuer

On a very small scale the Company has re-entered the oil and gas industry as a
producer but the prospect of growth is limited by the availability of sufficient
funds to pursue this on a more active basis. The Company currently has three
employees.

(c) Reports to Security Holders

The Company does not intend to deliver an annual report to our security holders.
The public may read and copy any materials filed with the SEC, such as this Form
10-KSB and Form 10-QSB reports. We are an electronic filer under the SEC's EDGAR
filing program. Accordingly, our filings are maintained by the SEC in a database
at www.sec.gov and are available to all security holders.

Item 2. Description of Property

As of September 30, 2006, the assets consisted of only the Montgomery County
Pipeline, the Lindley lease, which produces oil, and the non-producing, Ownbey
and Troyer leases.

Oil and gas operations are and will be subject to federal, state and local laws
and regulations and by political developments. The domestic production and sale
of oil and gas are subject to federal regulation by the Department of Energy and
the Federal Energy Regulation Commission. Rates of production of oil and gas
have for many years been subject to federal and state conservation laws and
regulations. In addition, oil and gas operations are subject to extensive
federal and state regulations concerning exploration, development, production,
transportation and pricing, and to interruption or termination by governmental
authorities.

The term "working interest" as used herein means all or a fractional part of the
ownership rights granted by a concession or lease. The working interest or a
part thereof, pays all costs of operation and is entitled to the gross
production less royalties retained by the grantor or lessor and less other
royalties or non-operating interests created and assigned from the working
interest.

There are currently 4 oil wells on the Lindley lease in which the Company owns a
100% working interest.

                                       2
<PAGE>


Market for Oil and Gas Production

The market for oil and gas production is regulated by both the state and Federal
governments. The overall market is mature, and, with the exception of gas, all
producers in a producing region will receive the same price. Purchasers or
gatherers will typically purchase all crude oil offered for sale at posted field
prices which are adjusted for quality difference from the "Benchmark". Benchmark
is the price of Saudi Arabian light crude oil employed as the standard on which
OPEC price changes have been based. Oil pumped from wells is stored in tanks on
site where the purchaser normally picks up the oil at the well site, but in some
instances there may be deductions for transportation from the well head to the
sales point. Either the Company or the purchaser handles payment disbursements
to both the working interest owners and the royalty interest owners.

During the year ended September 30, 2006, the following customers accounted for
greater than 10% of our oil and gas sales:

                  CMT Inc.                        100%

The Company has no other relationship with this customer. This concentration is
a matter of convenience for us rather than necessity since these customers are
active buyers in the areas where our wells are located, and prices between
potential customers vary little or not at all as prices are tied to the going
market rate for the commodity. If the Company lost its largest customer,
management believes the Company could quickly replace the lost customer with
other buyers paying comparable prices. Consequently, management does not believe
the loss of one or more of the Company's major customers would have a material
adverse effect on its business.

Oil and Gas Reserves

The following table summarizes certain information regarding the estimated
proved oil reserves and estimated future net revenues of the Company and
attributable to the Company's net revenue interests in the Lindley lease in
Montgomery County, Kansas. Such estimated reserves are based upon an evaluation
report prepared by William W. Jackson, Petroleum Engineer of Richardson, Texas.
More information is located in Note 9 to the Financial Statements attached
hereto.

PROVED OIL RESERVES

September 30, 2006

                                                          (Barrels)
Proved developed reserves:
     Beginning of year                                        -0-
     Non-producing property moved to producing              6,651
     Purchases of reserves in place                           -0-
     Adjustments                                            (-0-)
     Production                                              (231)
                                                           ------
         End of year                                        6,420
                                                           ======

All of the Company's reserves are located within the United States and consist
of crude oil. No estimates of reserves have been reported to or filed with any
other Federal authority or agency during the year presented.

The reserve data herein represent only estimates that are based on subjective
determinations. Accordingly, the estimates are expected to change, as additional
information becomes available. Further, estimates of gas reserves, of necessity,
are projections based on engineering and economic data. There are uncertainties
inherent in the interpretation of such data, and there can be no assurance that
the proved reserves set forth herein will ultimately be produced.

Proved developed producing reserves are those expected to be recovered from
currently producing zones under continuation of present operating methods.
Proved developed non-producing reserves consist of (i) reserves from wells which


                                       3

<PAGE>


have been completed and tested but are not yet producing due to lack of market
or minor completion problems which are expected to be corrected, and (ii)
reserves currently behind the pipe in existing wells and which are expected to
be productive due to both the well log characteristics and analogous production
in the immediate vicinity of the well. Proved undeveloped reserves are those
reserves which may be expected either from existing wells that will require
major expenditure to develop or from undrilled acreage adjacent to productive
units, which are reasonably certain of production when, drilled.

Impairment

The Company has adopted SFAS No. 144, "Accounting for the Impairment or Disposal
of Long-Lived Assets" and periodically evaluates, using independent appraisals
and projected undiscounted cash flows, the carrying value of its long-lived
assets and proved oil and gas properties whenever events or changes in
circumstances indicate that the carrying amount of an asset may not be
recoverable. In addition, long-lived assets to be disposed of are reported at
the lower of carrying value or fair value less cost to sell. Fair values used
for impairment identification are based on undiscounted cash flow amounts
determined by the reserve reports. During the fiscal year ended September 30,
2006, the Company did not identify any properties requiring impairment. Unproved
oil and gas properties are periodically assessed for impairment following the
guidance provided in SFAS No. 19, "Financial Accounting and Reporting by Oil and
Gas Producing Companies".

Oil and Gas Property and Equipment

The Company uses the successful efforts method of accounting for its oil and gas
producing activities, which are located in Kansas. Costs to acquire mineral
interests in oil and gas properties, to drill and equip exploratory wells that
find proved reserves, and costs to drill and equip development wells are
capitalized. Costs to drill exploratory wells that do not find proved reserves
and geological and geophysical costs and costs of carrying and retaining
undeveloped properties are expensed.

Unproved oil and gas properties that are individually significant are
periodically assessed for impairment of value, and a loss is recognized at the
time of impairment by providing an impairment allowance. Other unproved
properties are amortized based on the Company's experience of successful
drilling and average holding period. Capitalized costs of producing oil and gas
properties, after considering estimated residual salvage values, are depreciated
and depleted by the unit of production method. Support equipment and other
property and equipment are depreciated over their estimated useful lives.

On the sale or retirement of a complete or partial unit of a proved property,
the cost and related accumulated depreciation, depletion, and amortization are
eliminated from the property accounts, and the resultant gain or loss is
recognized.

On the sale of an entire interest in an unproved property for cash or cash
equivalent, gain or loss on the sale is recognized, taking into consideration
the amount of any recorded impairment if the property had been assessed
individually. If a partial interest in an unproved property is sold, the amount
received is treated as a reduction of the cost of the interest retained.

Accounting for Asset Retirement Obligations

The Company accounts for the asset retirement obligations under the provisions
of FASB No. 143, which requires the fair value of the liability for an asset
retirement obligation be recognized in the period in which it is incurred. When
the liability is initially recorded, the offset is capitalized by increasing the
carrying amount of the long-lived asset. Over time, the liability is accreted to
its present value each period, and the capitalized cost is depreciated over the
useful life of the related asset. To settle the liability, the obligation is
paid, and to the extent there is a difference between the liability and the
amount of cash paid, a gain or loss upon settlement is recognized. No accretion
expense is included in "Depreciation, depletion, and amortization" in the
accompanying consolidated statement of operations for the year ended September
30, 2006 since the Company's estimates reflect that the remaining salvage value
of recoverable property exceeds the liability of the potential retirement
obligations.


                                       4
<PAGE>


Item 3. Legal Proceedings

As of May 26, 2008 there were no legal proceedings to which we were a party, and
no litigation is known to be pending.

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

On December 21, 2006 the Company held a special shareholders meeting at which
the shareholders approved a resolution authorizing the Board of Directors to
evaluate the necessity of a reverse stock split and also to implement a reverse
stock split if they determine it to be necessary. The shareholders also ratified
the actions of the officers and directors since the last special shareholders
meeting on December 17, 2001.

There have been no matters submitted to a vote of securities holders since
December 17, 2001 at which a special meeting of shareholders was held in Dallas,
Texas at which we agreed to effect a reverse split of our common stock at a 1
for 10 ratio. This action was effective as soon as practical and was effected in
the trading of our shares on January 2, 2002. The meeting also approved the
filing of an S-8 registration statement with the Securities and Exchange
Commission to allow the issuance of shares to consultants, advisors and
attorneys. The S-8 statement was filed on December 21, 2001. The meeting also
approved the change of corporate name to be determined at a later date by
management. See Subsequent Events below.


                                     PART II

Item 5. Market for Common Equity and Related Stockholder Matters

(a) Market Information

Our shares have been trading sporadically, in the Pink Sheet market since late
August of 2003, and based on information available directly from the Pink Sheet
data center, share prices have ranged from an annual low of $0.002 per share to
a high of $0.15 per share. The shares have been traded on the over the counter
bulletin board since late November of 2006. Our shares are traded on both
markets under the symbol ARUR.

As of September 30, 2006, certain options have been granted to investors as
follows: 50,000 shares at an exercise price of $0.05 per share with expiration
periods ending in early to mid 2007.

(b) Holders

As of September 30, 2006, there were approximately 2,200 stockholders of record
of our common stock. Additional stockholders hold stock in street names; the
number of street name holders is not available to us.

(c) Dividends

The Company has not declared or paid cash dividends in the past, and does not
anticipate doing so in the immediate future.

Item 6. Management's Discussion and Analysis or Plan of Operations

During the fiscal year ended September 30, 2006 the Company began operating the
Lindley lease located in Montgomery County, Kansas. While production has been
minimal, the Company believes that additional development work on the lease can
be advantageous. The Company also entered into farmout agreements on leases
located in Jefferson County, Kansas and Chautauqua County, Kansas. At year-end a
test well had been drilled on the Jefferson County lease (the Noll lease) and
production casing has been set, and further completion procedures are planned.
The Noll well was completed as a producer and should be put on production
sometime in the Spring of 2007.


                                       5
<PAGE>


The Company continues to seek additional working capital which will allow the
Company to retain larger interests in the properties. Until we acquire this
additional working capital, the Company will be forced to operate using the
farmout method which results in a lower working and net revenue interest to the
Company.

During the current fiscal year the Company continued to raise needed funds
through the sale of common stock to existing shareholders. During the year we
sold 250,840 shares and received $149,000 in proceeds from these sales. In order
to continue operations the Company will need to continue to raise additional
funds from common stock sales or other sources.

Subsequent Events

For the year ended September 30, 2007, the Company issued 663,456 shares of its
common stock for $91,600. The Company also issued 3,340,090 shares of common
stock for services of $245,667 and 580,845 shares of common stock to reduce
accounts payable of $58,085. The Company reduced the number of shares
outstanding by 133 for fractional shares which resulted from the stock split. As
of September 30, 2007, the Company placed $50,000 in long-term debt with a
maturity of three years bearing interest at ten per cent per annum. These notes
are convertible into 400,000 shares of the Company's stock which collateralizes
the notes. The Company continues to seek these and other sources of financing.

On December 21, 2006, the Company held a special shareholders meeting at which
the shareholders approved a resolution authorizing the Board of Directors to
evaluate the necessity of a reverse stock split and also to implement a reverse
stock split if they determine it to be necessary. The shareholders also ratified
the actions of the officers and directors since the last special shareholders
meeting on December 17, 2001.

On April 4, 2007, the Company declared a reverse split of its common shares on
the basis of 1 share for each 50 shares owned at the record date. The effects of
this action are reflected in this filing. Also on April 4, 2007 the Company
changed its name to American Resource Technologies, Inc.

In October of 2007, the Company sold 160,000 of its common shares for $25,000 to
an investor. The investor received options exercisable at $0.15625 per share for
160,000 shares expiring in October 2008. Additionally an additional 403,500
shares were issued for consulting services valued at $79,770. An additional
$10,000 in long-term debt was incurred with the same parameters as the above
discussed long-term debt and the issuance of 80,000 shares as collateral.

On November 1, 2007, the Company's Board of Directors elected to declare a 10%
stock dividend effective for shareholders of record as of November 30, 2007. The
dividend shares have been issued and are in the process of being delivered to
the shareholders. The dividend resulted in the issuance of 1,097,036 new shares.

In the period subsequent to December 31, 2007 the Company issued 200,000 shares
for consulting services valued at $26,000, and sold 562,500 shares for cash of
$45,000. The purchasers of the 562,500 shares also received one-year options for
the purchase of 281,250 shares at $0.08 per share.

Income Taxes

See Note 5 to the Financial Statements.

Disclosure Regarding Forward-Looking Statements

This Form 10-KSB includes "forward-looking" statements within the meaning of
Section 27A of the Securities Act and the Company desires to take advantage of
the "safe harbor" provisions thereof. Therefore, the Company is including this
statement for the express purpose of availing itself of the protections of such


                                       6

<PAGE>


safe harbor provisions with respect to all of such forward-looking statements.
The forward-looking statements in this Form 10-KSB reflect the Company's current
views with respect to future events and financial performance. These
forward-looking statements are subject to certain risks and uncertainties that
could cause actual results to differ from those anticipated. In the Form 10-KSB,
the words "anticipates", "believes", "expects", "intends", "future" and similar
expressions identify forward-looking statements. The Company undertakes no
obligation to publicly revise these forward-looking statements to reflect events
or circumstances that may arise after the date hereof. All subsequent written
and oral forward-looking statements attributable to the Company or persons
acting on its behalf are expressly qualified in their entirety by this section.

Item 7. Financial Statements

The financial statement information for the Company is set forth immediately
following the signature page of this Form 10-KSB.

Item 8. Changes in and Disagreements with Accountants on Accounting and
        Financial Disclosure

In August of 2006 the Company dismissed Malone-Bailey, PC, of Houston, Texas as
its independent auditor and appointed Turner, Stone, & Company LLP of Dallas,
Texas as its independent auditor. The Company made the change because of the
proximity of Turner, Stone & Company, LLP's location.

In August of 2005 the Company dismissed Bateman & Co., Inc., PC of Houston,
Texas as its independent auditor and appointed Malone-Bailey, PC as its
independent auditor. In March of 2005 Clyde Bailey, P.C. resigned as the firm's
independent auditor. Therefore the Company engaged Bateman & Co., Inc. P. C. of
Houston, Texas to perform the audit of the Company's financial statements as of
September 30, 2004. The Company has had no disagreements on accounting and
financial disclosure with its auditor or the previous auditors.

Item 8A. Controls and Procedures.

(a) Evaluation of Disclosure Controls and Procedures.

The Company maintains disclosure controls and procedures that are designed to
ensure that information required to be disclosed in its Exchange Act reports is
recorded, processed, summarized and reported within the time periods specified
in the SEC's rules and forms, and that such information is accumulated and
communicated to its management, including its Chief Executive Officer, to allow
timely decisions regarding required disclosure based closely on the definition
of "disclosure controls and procedures" in Rule 13a-15(e). In designing and
evaluating the disclosure controls and procedures, management recognized that
any controls and procedures, no matter how well designed and operated, can
provide only reasonable assurance of achieving the desired control objectives,
and management necessarily was required to apply its judgment in evaluating the
cost-benefit relationship of possible controls and procedures.

At the end of the period covered by this Annual Report, we carried out an
evaluation, under the supervision and with the participation of our management,
including its Chief Financial Officer, of the effectiveness of the design and
operation of our disclosure controls and procedures. Based upon the foregoing,
our Chief Executive Officer concluded that, as of September 30, 2006, our
disclosure controls and procedures were not effective to ensure that the
information required to be disclosed in the Company's Exchange Act reports was
recorded, processed, summarized and reported on a timely basis.

In connection with the completion of its audit of, and the issuance of its
report on the financial statements of the Company for the year ended September
30, 2005, Malone & Bailey, PC identified deficiencies in our internal controls
related to the failure to record the value of common stock issued for services
disclosure controls relating to such transactions during the interim periods of
2005. The adjustments to these accounts and the footnote disclosure deficiencies


                                       7

<PAGE>


were detected in the audit process and have been appropriately recorded and
disclosed in this Form 10-KSB. We are in the process of improving our internal
controls by training our new bookkeeper in an effort to remediate these
deficiencies. Additional effort is needed to fully remedy these deficiencies and
we are continuing our efforts to improve and strengthen our control processes
and procedures. Our management and directors will continue to work with our
auditors and other outside advisors to ensure that our controls and procedures
are adequate and effective.

Item 8B. Other Information.

         None.


                                    PART III

Item 9. Directors, Executive Officers, Promoters and Control Persons

Each of the officers and directors hold office for one year terms. None of the
officers or directors have been involved in any material legal proceedings. The
following are the officers and directors of the Company as of September 30,
2006:

         Name              Age             Position               Director Since
         ----              ---             --------               --------------
B. Fred Oden, III          52    President and Director                  2004
Michael H. McIlvain        61    Executive Vice President and Director   1999
Hugh Fowler                51    Secretary and Director                  2004

Management.

B. Fred Oden III, age 52, Lewisville, Texas, has been President since August 1,
2006 and a director of the Company since November 15, 2004. He is also President
and Chief Executive Officer of Sabine Operating Services, Inc., Westminster,
Texas which is a Texas and Kansas licensed petroleum operator. Mr. Oden has more
than twenty years experience in the oil and gas industry. A sociology and law
enforcement graduate of Lamar State University, Beaumont, Texas, Mr. Oden is a
Texas certified peace officer.

Michael H. McIlvain, age 61, Trophy Club, Texas is Executive Vice President and
a director of the Company. Mr. McIlvain holds BS and MBA degrees from the
University of Kansas. He has more than 20 years of experience in the oil and gas
business, mainly with Clinton Oil Co., Wichita, Kansas, and Rickelson Oil and
Gas Company, Tulsa, Oklahoma. Between 1994 and 1997, he was executive vice
president of BeneFund, Inc., a publicly held telecommunications company based in
Tulsa.

Hugh W. Fowler, age 51, Richardson, Texas has been a Vice-President and a
director of the Company since November 15, 2004. He is a business administration
graduate of Stephen F. Austin University, Nacogdoches, Texas and since 1977 has
worked in the oil and gas industry, primarily in Southeastern, Kansas.

Item 10. Executive Compensation

None

Item 11. Security Ownership of Certain Beneficial Owners and Management

The following is certain information regarding the Company's common stock as of
September 30, 2006 with respect to (a) security ownership of each person known
by the Company to own beneficially more than 5% of the Company's common stock,
and (b) security ownership of management.


                                       8
<PAGE>


                         Ownership at September 30, 2006

                   Name and Address      Number of       Percent
Title of Class   of Beneficial Owner    Shares Owned     of Class      Notes
--------------   -------------------    ------------     --------      -----

Common Stock     M. H. McIlvain          746,000        13.54%    See 1 below.
No Par Value     110 Seminole
                 Trophy Club, TX  76262

Common Stock     B. Fred Oden             255,500        4.64%    See 2 below.
No Par Value

Common Stock     Hugh Fowler               54,100         .98%
No Par Value     505 Tiffany Trail
                 Richardson, Texas

All directors and officers
as a group (3 persons)                   1,055,600          19.16%

There are no family relationships between the officers and directors.

     1.       Of Mr. McIlvain's shares 8,000 are held by Elizabeth L. McIlvain,
              his wife; 2,000 held by Elizabeth L. McIlvain as custodian for a
              minor child; and the remaining 736,000 shares are held directly.

     2.       140,000 of Mr. Oden's shares are held by Sabine Operating
              Services, Inc. of which he is the President and majority
              shareholder.


     3.       The directors include M. H. McIlvain, B. Fred Oden, and Hugh
              Fowler.

(c) Changes in Control

None.

Item 12. Certain Relationships and Related Transactions

Sabine Operating Services, Inc. (Sabine), a company of which Mr. Oden is the
majority owner, operates the Kansas properties for the Company pursuant to a
joint operating agreement. See Note 6 to the financial statements.

Item 13. Exhibits and Reports on Form 8-K

On February 15, 2007 a filing on Form 8-K was made informing that an amended
filing of the Company's 10-KSB dated September 30, 2005 was inadvertently made
without the consent of the then independent auditor, and that the financial
statements contained therein should not be relied upon.

A filing on Form 8-K was made on August 19, 2006 notifying of the dismissal of
Malone & Bailey, PC as its independent auditor and the appointment of Turner,
Stone and Company, LLP of Dallas, Texas as its independent auditor.

A filing on Form 8K was made on June 30, 2005 notifying of the engagement of
Bateman & Co. of Houston, Texas as the Company's independent auditor. On August
15, 2005 a filing on Form 8-K was made notifying of the engagement of Malone &
Bailey, PC, of Houston, Texas as registrant's independent auditor.

On October 19, 2005 a filing on Form 8-K was made notifying that the
Registrant's board of directors voted to appoint Routh Stock Transfer 5700 W.
Plano Parkway #1000 Plano, Texas 75093 as the Company's transfer agent replacing
Fidelity Transfer Company of Salt Lake City, Utah. The change was made to
provide more convenience and accountability for this function and will be
effective October 24, 2005.

                                       9
<PAGE>


                                   SIGNATURES

In accordance with Section 13 or 15 (d) of the Exchange Act, the registrant
caused this report to be signed on its behalf by the undersigned, thereunto duly
authorized.

                                         AMERICAN RESOURCE TECHNOLOGIES, INC.


Date:  June 26, 2008                     /s/  B. FRED ODEN, III
                                             ----------------------------------
                                             By: B. Fred Oden, III, President,
                                             Chief Executive Officer

Date:  June 26, 2008                     /s/  M. H. MCILVAIN
                                             ----------------------------------
                                             By: M. H. McIlvain,
                                             Executive Vice President,
                                             and Principal Accounting Officer

In accordance with the Exchange Act, this report has been signed below by the
following persons on behalf of the registrant and in the capacities and on the
dates indicated:

       Signature                        Title                        Date
       ---------                        -----                        ----

/s/ B. FRED ODEN, III           President & Director              June 26, 2008
-----------------------
B. Fred Oden, III


/s/ M. H. MCILVAIN             Exec. Vice President & Director    June 26, 2008
-----------------------
M. H. McIlvain


/s/ HUGH FOWLER                   Secretary & Director            June 26, 2008
-----------------------
Hugh Fowler


                                       10


<PAGE>


             Report of Independent Registered Public Accounting Firm
             -------------------------------------------------------


Board of Directors and Stockholders
American Resource Technologies, Inc.


We have audited the accompanying balance sheets of American Resource
Technologies, Inc. (the Company) as of September 30, 2006 and 2005, and the
related statements of operations, changes in stockholders' equity, and cash
flows for the years then ended. These financial statements are the
responsibility of the Company's management. Our responsibility is to express an
opinion on these financial statements based on our audits.

We conducted our audits in accordance with the standards of the Public Company
Accounting Oversight Board (United States). Those standards require that we plan
and perform the audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. An audit includes examining, on a
test basis, evidence supporting the amounts and disclosures in the financial
statements. An audit also includes assessing the accounting principles used and
significant estimates made by management, as well as evaluating the overall
financial statement presentation. We believe that our audits provide a
reasonable basis for our opinion.

In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of American Resource Technologies,
Inc. at September 30, 2006 and 2005, and the results of its operations and cash
flows for the years then ended in conformity with accounting principles
generally accepted in the United States of America.

The accompanying financial statements have been prepared assuming that the
Company will continue as a going concern. As discussed in Note 1 to the
financial statements, the Company has a working capital deficiency, and has
incurred substantial operating losses resulting in an accumulated deficit of
$4,134,545. These conditions raise substantial doubt about the Company's ability
to continue as a going concern. Management's plans in regard to these matters
are also described in Note 1. The financial statements do not include any
adjustments that might result from the outcome of this uncertainty.

/s/ Turner, Stone & Company, L.L.P.


Dallas, Texas.
June 25, 2008


                                      F-1
<PAGE>

<TABLE>
<CAPTION>

                                           American Resource Technologies, Inc.
                                                       Balance Sheets

                                                                                    September 30,    September 30,
                                                                                        2006              2005
A S S E T S                                                                          -----------       -----------
-----------
<S>                                                                                 <C>               <C>
Current assets
--------------
  Cash                                                                               $       191       $     7,093
  Advances to related parties                                                               --              20,768
                                                                                     -----------       -----------
              Total current assets                                                           191            27,861

Property & equipment
--------------------
  Producing oil & gas property, net of accumulated depletion of $3,313                   155,991              --
  Furniture & fixtures, net of accumulated depreciation of $1,750                         23,250              --
                                                                                     -----------       -----------
                   Total                                                                 179,241              --
                                                                                     -----------       -----------

Other assets
------------
  Non-producing oil & gas properties                                                      95,000           254,304
  Montgomery pipeline                                                                     34,789            34,789
                                                                                     -----------       -----------
                   Total                                                                 129,789           289,093
                                                                                     -----------       -----------

              Total assets                                                           $   309,221       $   316,954
                                                                                     ===========       ===========


L I A B I L I T I E S and S T O C K H O L D E Q U I T Y
-------------------------------------------------------

Current liabilities
-------------------
  Accounts payable                                                                   $    33,936       $    19,109
  Accounts payable - related party                                                        20,759              --
                                                                                     -----------       -----------

              Total current liabilities                                                   54,695            19,109
                                                                                     -----------       -----------

Stockholders' equity
--------------------
  Common stock, no par value
  authorized 500,000,000 shares; 5,508,727
  and 5,207,887 issued and outstanding                                                 4,389,071         4,215,071
  Accumulated deficit                                                                 (4,134,545)       (3,917,226)
                                                                                     -----------       -----------

              Total stockholders' equity                                                 254,526           297,845
                                                                                     -----------       -----------

              Total liabilities and stockholders' equity                             $   309,221       $   316,954
                                                                                     ===========       ===========


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

                                                              F-2

<PAGE>


                             American Resource Technologies, Inc.
                                   Statements of Operations


                                                         For the Years Ended
                                                           September 30
                                             ----------------------------------------
                                                 2006                        2005
                                             -----------                  -----------


Revenue:
  Oil and gas                                $    11,218                  $      --
                                             -----------                  -----------
  Total revenue                                   11,218                         --
                                             -----------                  -----------

Cost of revenues:
  Lease operating expenses                        51,937                         --
  Depletion                                        3,313                         --
                                             -----------                  -----------
         Total cost of revenues                   55,250                         --
                                             -----------                  -----------

Gross margin                                     (44,032)                        --
                                             -----------                  -----------

Operating expenses:
  Compensation expense                            34,836                         --
  Consulting fees                                 24,500                      123,050
  Computer repairs                                22,800                       12,122
  Depreciation                                     1,750                         --
  Professional fees                               35,243                       34,883
  Public relations                                 4,721                        1,250
  Travel                                           6,368                        6,172
  Rent                                            15,725                       11,290
  General and administrative                      27,344                       30,900

                                             -----------                  -----------
       Total operating expenses                  173,287                      219,667
                                             -----------                  -----------

Net loss                                     $  (217,319)                 $  (219,667)
                                             ===========                  ===========

Basic and diluted loss per share             $     (0.04)                 $     (0.05)
                                             ===========                  ===========

Weighted average shares outstanding            5,363,104                    4,640,056
                                             ===========                  ===========



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

                                      F-3
<PAGE>


                                              American Resource Technologies, Inc.
                                        Statements of Changes in Stockholders' Equity
                                       For the Years Ended September 30, 2006 and 2005


                                                                                                            Total
                                                  Common Stock                    Accumulated            Stockholders'
                                          Shares               Amount                Deficit               Equity
                                       -----------           -----------           -----------           -----------

Balance September 30, 2004               2,665,574           $ 3,658,733           $(3,697,559)          $   (38,826)

Shares issued for:
  Cash                                     320,488               179,610                                     179,610
  Consulting fees                          140,000                70,000                                      70,000
  Property acquisition                   2,060,000               284,903                                     284,903
  Services                                  21,825                21,825                                      21,825

Net loss                                                                              (219,667)             (219,667)
                                       -----------           -----------           -----------           -----------

Balance September 30, 2005               5,207,887             4,215,071            (3,917,226)              297,845

Shares issued for:
  Cash                                     250,840               149,000                                     149,000
  Furniture                                 50,000                25,000                                      25,000
Net loss                                                                              (217,319)             (217,319)
                                       -----------           -----------           -----------           -----------

Balances September 30, 2006              5,508,727           $ 4,389,071           $(4,134,545)          $   254,526
                                       ===========           ===========           ===========           ===========



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

                                                               F-4

<PAGE>


                                         American Resource Technologies, Inc.
                                             Statements of Cash Flows
                               For the Years Ended September 30, 2006 and 2005


Cash Flows from Operating Activities:                                    2006                 2005
-------------------------------------                                 ---------              ---------

            Net Loss                                                  $(217,319)             $(219,667)
            Adjustments to reconcile net loss to net cash
              used in operating activities:
              Depreciation                                                1,750                   --
              Depletion                                                   3,313                   --
              Stock issued for services                                    --                   91,825
            Changes in:
              Accounts payable                                           14,827                 (3,772)
              Accrued expenses                                             --                   (6,000)
                                                                      ---------              ---------


Net Cash Used in Operating Activities                                  (197,429)              (137,614)
                                                                      ---------              ---------

Cash Flows from Investing Activities:
-------------------------------------
            Purchase of equipment for oil and gas properties               --                   (4,190)
                                                                      ---------              ---------
Net Cash Used In Investing Activities                                      --                   (4,190)
                                                                      ---------              ---------

Cash Flows from Financing Activities:
-------------------------------------

            Proceeds of stock sales                                     149,000                179,610
            Advances (to) from related parties                           41,527                (30,938)
                                                                      ---------              ---------

Net Cash Provided By Financing Activities                               190,527                148,672
                                                                      ---------              ---------

Net Increase (Decrease) in Cash                                          (6,902)                 6,868

Cash
            Beginning of year                                             7,093                    225
                                                                      ---------              ---------

            End of year                                               $     191              $   7,093
                                                                      =========              =========

Supplementary Disclosure:
-------------------------
            Cash Paid for Interest                                    $    --                $    --
            Cash Paid for Taxes                                            --                     --

Non-cash transactions:
----------------------
            Shares issued:
              For oil and gas properties                                   --                  284,903
              For services                                                 --                   91,825
              For furniture and equipment                                25,000                   --


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

                                                  F-5
</TABLE>

<PAGE>


                      American Resource Technologies, Inc.
                          Notes to Financial Statements


NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

NATURE OF BUSINESS

The Company was incorporated as Arts Antique Autos, Ltd. in November 1976 in
Kansas. During the early 1980's the Company engaged in oil and gas operating,
mining, real estate operations. During the mid 1980's, economic conditions
caused the Company to lose its asset and revenue base. Management decided to
discontinue any further business operations and completed the liquidation of the
few remaining assets during 1986. The Company did not operate a line of business
until the year ended September 30, 2000. During the fiscal year ended September
30, 1998, new assets were contributed in an attempt to revive the Company. In
October 1999, interests in oil and gas properties were contributed by third
parties in exchange for newly issued stock. This resulted in a change in control
of the Company. In July of 2002, the Company abandoned the oil assets by
transferring the assets to one of the shareholders in exchange for the debt
associated with the property. Management's plans include efforts to raise
operating and development capital followed by further acquisition and
development of oil and gas properties. On April 4, 2007 the Company changed its
name to American Resource Technologies, Inc.

USE OF ESTIMATES

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

CASH AND CASH EQUIVALENTS

The Company considers all highly liquid investments with an original maturity of
three months or less to be cash equivalents for purposes of preparing its
Statement of Cash Flows.

PROPERTY & EQUIPMENT

Property and equipment are carried at cost. Depreciation of property and
equipment is provided using the straight-line method for financial reporting
purposes at rates based on their estimated useful lives (5-10 years). The cost
of asset additions and improvements that extend the useful lives of property and
equipment are capitalized. Routine maintenance and repair items are charged to
current operations. The original cost and accumulated depreciation of asset
dispositions are removed from the accounts and any gain or loss is reflected in
the statement of operations in the period of disposition.

The Company follows the policy of beginning to depreciate property & equipment
on the date the asset is available for use, which is when the asset is in the
location and condition necessary to operate as intended. The Montgomery pipeline
is not in condition to operate as intended as it requires testing and inspection
before it will be available for use. Accordingly, no depreciation has been
recorded on this asset as of September 30, 2006.

OIL AND GAS PROPERTIES

Method of Accounting for Oil and Gas Properties

The Company uses the successful efforts method of accounting for oil and gas
producing activities, as set forth in the Statement of Financial Accounting
Standards (SFAS) No. 19 "Financial Accounting and Reporting by Oil and Gas
Producing Companies." Costs to acquire mineral interests in oil and gas
properties, to drill and equip exploratory wells that find proved reserves, and


                                      F-6

<PAGE>


to drill and equip development wells are capitalized. Costs to drill exploratory
wells that do not find proved reserves, geological and geophysical costs and
costs of carrying and retaining unproved properties are expensed as incurred.

Unproved oil and gas properties that are individually significant are assessed
annually for impairment of value, and a loss is recognized at the time of
impairment by providing an impairment valuation allowance (See "Impairment"
below). Other unproved properties are amortized based on the Company's
experience of successful drilling and average holding period. Capitalized costs
of producing oil and gas properties, after considering estimated dismantlement
and abandonment costs and estimated residual salvage values, are depreciated and
depleted by the units-of-production method. For the year ended September 30,
2006, the Company recorded depletion expense totaling $3,313. All of the
Company's reserves are located within the United States.

On the sale or retirement of a complete unit of proved property, the cost and
related accumulated depreciation, depletion, and amortization are eliminated
from the property accounts, and the resultant gain or loss is recognized. On the
retirement or sale of a partial unit of proved property, the cost is charged to
accumulated depreciation, depletion, and amortization with a resulting gain or
loss recognized in income.

On the sale of an entire interest in an unproved property for cash or cash
equivalent, gain or loss on the sale is recognized, taking into consideration
the amount of any recorded impairment if the property had been assessed
individually. If a partial interest in an unproved property is sold, the amount
received is treated as a reduction of the cost of the interest retained.

LONG-LIVED ASSETS

Long-lived assets consist primarily of property and equipment, excess of cost
over net assets of acquired businesses, and other intangible assets. The
recoverability of long-lived assets is evaluated at the operating unit level by
an analysis of operating results and consideration of other significant events
or changes in the business environment. If an operating unit has indications of
impairment, such as current operating losses, the Company will evaluate whether
impairment exists on the basis of undiscounted expected future cash flows from
operations before interest for the remaining amortization period. If impairment
exists, the carrying amount of the long-lived asset is reduced to its estimated
fair value, less any costs associated with any final settlement. As of September
30, 2006, there was no impairment of the Company's long-lived assets.

IMPAIRMENT

The Company has adopted SFAS No. 144, "Accounting for the Impairment or Disposal
of Long-Lived Assets" and periodically evaluates, using independent appraisals
and projected undiscounted cash flows, the carrying value of its long-lived
assets and proved oil and gas properties whenever events or changes in
circumstances indicate that the carrying amount of an asset may not be
recoverable. In addition, long-lived assets to be disposed of are reported at
the lower of carrying value or fair value less cost to sell. Fair values used
for impairment identification are based on discounted cash flow amounts
determined by the reserve reports. There were no impairment charges for the year
ended September 30, 2006. Unproved oil and gas properties are periodically
assessed for impairment following the guidance provided in SFAS No. 19,
"Financial Accounting and Reporting by Oil and Gas Producing Companies".

INCOME TAXES

The Company recognizes deferred tax assets and liabilities based on differences
between the financial reporting and tax bases of assets and liabilities using
the enacted tax rates and laws that are expected to be in effect when the
differences are expected to be recovered. The Company provides a valuation
allowance for deferred tax assets for which it does not consider realization of
such assets to be more likely than not.


                                      F-7
<PAGE>


The Company's differences arise principally from the difference in the way oil
and gas assets are deducted and from the deducibility of accrued salaries for
financial statement and income tax purposes.

EARNINGS PER SHARE

Generally accepted accounting principles provide for the calculation of "Basic"
and "Diluted" earnings per share. Basic earnings per common share excludes
dilutive securities and is computed by dividing net income available to common
stockholders by the weighted average number of common shares outstanding for the
period. Diluted earnings per common share reflect the potential dilution of
securities that could share in the earnings of the entity on an "as if converted
basis. This is done by dividing net income available to common shareholders, as
adjusted if necessary, by the weighted average number of common shares
outstanding plus potential dilutive securities. The Company had no dilutive
securities during 2005 or 2006.

CONCENTRATIONS

The Company's operations are all in the oil and gas industry. As such, revenues,
costs, etc. are subject to changes due to national and international inventory
levels, variations in consumption, and other discrete factors. The Company
currently owns interests in only two properties and deals with a single operator
on each property. Should anything happen to the operator of either property, it
is believed that a substitute operator would be available. The Company's
producing oil and gas wells are all located in Chautauqua and Montgomery
counties, Kansas.

During the year ended September 30, 2006, the following customers accounted for
greater than 10% of our oil and gas sales:

                  CMT Inc.                          100%

The Company has no other relationship with this customer. This concentration is
a matter of convenience for us rather than necessity since these customers are
active buyers in the areas where our wells are located, and prices between
potential customers vary little or not at all as prices are tied to the going
market rate for the commodity. If the Company lost its largest customer,
management believes the Company could quickly replace the lost customer with
other buyers paying comparable prices. Consequently, management does not believe
the loss of one or more of the Company's major customers would have a material
adverse effect on its business.

RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS

The Company does not expect the adoption of recently issued accounting
pronouncements to have a significant impact on its results of operations,
financial position or cash flow.

FAIR VALUE OF FINANCIAL INSTRUMENTS

In accordance with the reporting requirements of SFAS No. 107, Disclosures About
Fair Value of Financial Instruments, the Company calculates the fair value of
its assets and liabilities which qualify as financial instruments under this
statement and includes this additional information in the notes to the financial
statements when the fair value is different than the carrying value of those
financial instruments.

STOCK-BASED COMPENSATION

In December 2004, the FSAB issued SFAS No. 123R, Share-Based Payment, revising
SFAS No. 123, Accounting for Stock-Based Compensation, and superseding
Accounting Principles Board (APB) Opinion No. 25, "Accounting for Stock Issued
to Employees". SFAS No. 123R establishes standards for the accounting for
transactions in which an entity exchanges its equity instruments for goods or
services, including obtaining employee services in share-based payment
transactions. SFAS No. 123R applies to all awards granted after the required
effective date and to awards modified, purchased or canceled after that date.
During the year ended September 30, 2005, there have been no such awards
granted, modified, purchased, or canceled. During the year ended September 30,
2006, the Company granted 50,000 stock options, none to employees. See Note 4.


                                      F-8
<PAGE>


GOING CONCERN

As shown in the accompanying financial statements, the Company incurred
recurring net losses of $217,319 and $219,667 in years ended September 30, 2006
and 2005, respectively, has an accumulated deficit of $4,134,545 and has
negative working capital. These conditions raise substantial doubt as to the
Company's ability to continue as a going concern. Management is trying to raise
additional capital through sales of common stock. The financial statements do
not include any adjustments that might be necessary if the Company is unable to
continue as a going concern.

NOTE 2:  OIL AND GAS PROPERTIES

The Company acquired an interest in a non-producing lease during fiscal year
2005, and put it in production late in calendar year 2005. Disclosures of
unaudited information regarding reserves are presented at Note 9.

Asset Retirement Obligations

Effective January 1, 2003, the Company adopted SFAS No. 143, "Accounting for
Asset Retirement Obligations". Pursuant to this accounting standard, the Company
did not recognize additional net liabilities at September 30, 2006, or September
30, 2005 for asset retirement obligations related to the future costs of
plugging and abandoning its oil and gas properties, the removal of equipment and
facilities from lease acreage and returning such land to its original condition.
These costs reflect the legal obligations associated with the normal operation
of oil and gas properties and were capitalized by increasing the carrying
amounts of the related long-lived assets by the fair value of these obligations,
discounted to their present value.

No accretion expense is included in "Depreciation, depletion, and amortization"
in the accompanying statement of operations for the year ended September 30,
2006 since the Company's estimates reflect that the remaining salvage value of
recoverable property exceeds the liability of the potential retirement
obligations. The Company estimates that due to the shallow depths of the wells
involved the average "plugging" or abandonment cost per well will average just
under $1,500 per well while the salvage value per well should average over
$2,300 per well.

NOTE 3 - STOCK TRANSACTIONS

During the fiscal year ended September 30, 2006 the Company sold 250,840 shares
and received $149,000 in proceeds from these sales.

At September 30, 2006, the Company reserved 50,000 shares of its authorized but
un-issued common stock for possible future issuance in connection with the
potential exercise of stock options.

NOTE 4 - STOCK OPTIONS

The following table lists the options outstanding at September 30, 2006.

                               Date of
Grantee                         Grant         Exp. Date       Price     # Shares
-------                         -----         ---------       -----     --------

Lampe Family Partnership      1/15/2006       2/28/2007       $0.05      20,000
Jai Gaur                       3/3/2006       4/15/2007       $0.05      10,000
Mark Clement                  4/27/2006       6/1/2007        $0.05      20,000


The following table is an analysis of options for the purchased of the Company's
common stock outstanding as of September 30, 2006 & 2005.

                                    2006                      2005
                           -----------------------    ---------------------
                                          Weighted                 Weighted
                                          Average                   Average
                                          Exercise                 Exercise
                            Shares        Price        Shares       Price
                            -------      --------     -------      --------
Outstanding, beginning
  of year                     4,000      $   0.12       5,000      $   0.12
Granted                      50,000           .05        --            --
Expired/Cancelled            (4,000)         0.12      (1,000)         0.20
Exercised                      --            --          --            --
                            -------      --------     -------      --------
Outstanding end of year      50,000      $   0.05       4,000      $   0.10
                            =======      ========     =======      ========
Exercisable                  50,000      $   0.05       4,000      $   0.10
                            =======      ========     =======      ========


                                      F-9
<PAGE>


                               Outstanding                     Exercisable
                     --------------------------------     ---------------------
                                   Weighted
                       Number      Average     Weighted    Number       Weighted
                     Outstanding   Remaining   Average   Exercisable    Average
Range of             at Sept. 30, Contractual  Exercise   at Sept. 30,  Exercise
Exercise Prices         2006        Life        Price       2006         Price
-------------------  ----------  ----------  --------  -----------      --------
  $ 0.05                50,000     7 Months  $  0.05       50,000       $ 0.05
                     ----------  ----------  --------  -----------     --------
   Total                 4,000     7 Months  $  0.10       50,000       $ 0.10
                     ==========  ==========  ========  ===========     ========

The outstanding options were purchased by the holders as part of their purchase
of restricted common shares on or about the issue date of the options. The only
change in outstanding options during the fiscal year 2006 was the expiration of
4,000 options and the awarding of 50,000 exercisable at $.05. Additionally, no
options were granted, modified or awarded for the year ended September 30, 2005.

Note 5.  INCOME TAXES

The Company accounts for corporate income taxes in accordance with Statements of
Financial Accounting Standards (SFAS) No. 109. Under SFAS No. 109, deferred tax
assets and liabilities are recognized for the estimated future tax consequences
attributable to differences between the financial statements carrying amounts of
existing assets and liabilities and their respective tax bases. In addition,
future tax benefits, such as those from net operating loss carry forwards, are
recognized to the extent that realization of such benefits is more likely than
not. Deferred tax assets and liabilities are measured using enacted tax rates
expected to apply to taxable income in the years in which those temporary
differences are expected to be recovered or settled. The effect on deferred tax
assets and liabilities of a change in tax rates is recognized in income in the
period that includes the enactment date.

Since 1999, the Company has not filed any federal tax returns. When such filings
are made, the Company may be subject to failure to file penalties. The Company
periodically assesses the liabilities and contingencies in connection with this
matter based upon the latest information available. The Company estimates that
the amount of penalties, if any, will not have a material effect on the results
of operations, cash flows or financial position. No provisions have been made in
the financials statements for such penalties, if any.

A reconciliation of income tax (expense) benefit at the statutory federal rate
of 34% to income tax (expense) benefit at the Company's effective tax rate for
the years ended September 30, 2006 and 2005 is as follows:

                                                          2006           2005
                                                       --------        --------

Tax benefit computed at statutory rate                 $ 74,000        $ 74,700
Less valuation allowance                                (74,000)        (74,700)
                                                       --------        --------
Income tax benefit                                     $   --          $   --
                                                       ========        ========


                                      F-10

<PAGE>


The significant components of the Company's deferred tax assets at September 30,
2006 are summarized as follows:

Deferred tax asset:
     Net operating loss carry forward                               $ 1,067,000
     Less valuation allowance                                        (1,067,000)
                                                                    -----------
     Income tax benefit                                             $      --
                                                                    ===========
At September 30, 2006, the Company had approximately $3,138,000 of estimated net
operating losses available to offset future taxable income. These carry forwards
expire between the years 2018 and 2026. There are no deferred tax liabilities.

NOTE 6 - RELATED PARTY TRANSACTIONS

During the fiscal year ending September 30, 2006 the Company paid Sabine
Operating Services, Inc., a related party, $51,937 for lease operating expenses
on the oil and gas properties. The Company has a payable to Sabine Operating
Services, Inc, of $15,952 at September 30, 2006 included in accounts payable
related parties and a receivable of $8,500 at September 30, 2005. At September
30, 2006 the Company had a payable to Striker One Resources, Inc, of $1,926, and
a payable to M. H. McIlvain of $2,881.

On September 29, 2006 the Company entered into a farmout agreement with Sabine
Operating Services, Inc., a company controlled by Fred Oden, the Company's
president. This agreement allows Sabine to seek funds and investors to begin the
development and exploitation of the Ownbey and Troyer leases located in
Chautauqua County, Kansas. The Company had sought investors for this project
without success, but Sabine has provided the Company assurances that they will
be able to provide investors and industry partners who can assist in the
development of the leases. The Company will receive a carried twenty-five per
cent working interest in all except four wells to be drilled in which the
Company will receive a twelve and one-half per cent carried working interest.
The Company felt that activity on the leases was extremely important and did not
feel the necessity to receive any compensation for the farmout agreement other
than the increased activity and development of the leases.

During the fiscal year ending September 30, 2005 the Company paid Sabine
Operating Services, Inc., a related party, consulting fees of $34,650 for
activities relating to the start-up of oil and gas producing operations which
began in fiscal year 2006. At September 30, 2005 the Company had a receivable
from Sabine of $8,500, and a receivable from M. H. McIlvain of $12,268.

In December of 2004 the Company issued 1,920,000 shares of common stock to a
company controlled by two directors of the Company for the purchase of two oil
and gas leases. The properties were recorded at the carry-over basis of the
former owner totaling $95,000.

In January 2005, the Company issued 40,000 shares of common stock to a company
controlled by two directors of the Company for the purchase of a gas gathering
system. The system was recorded at the carry-over basis of the former owner
totaling $34,789. The shares were valued at $36,000 resulting in an asset of
$34,789 and compensation of $1,211.

In September 2005, the Company purchased a non-producing oil and gas property
located in Montgomery County, Kansas from a related party for 100,000 shares.
The previous owner had a carrying value of $155,114 which approximates the fair
market value of the shares issued and is the recorded purchase amount.

NOTE 7 - LEASE OBLIGATION

The Company leased its office space from a non-related party under a six-month
lease ending December 31, 2005. Rent expense totaled $15,725 for the year ended
September 30, 2006 and $11,290 for the year ended September 30, 2005. The
Company continues to lease the space on a month to month basis.


                                      F-11
<PAGE>


NOTE 8 - SUBSEQUENT EVENTS

For the year ended September 30, 2007, the Company issued 663,456 shares of its
common stock for $91,600. The Company also issued 3,340,090 shares of common
stock for services of $245,667 and 580,845 shares of common stock to reduce
accounts payable of $58,085. The Company reduced the number of shares
outstanding by 133 for fractional shares which resulted from the stock split. As
of September 30, 2007, the Company placed $50,000 in long-term debt with a
maturity of three years bearing interest at ten per cent per annum. These notes
are convertible into 400,000 shares of the Company's stock which collateralizes
the notes. The Company continues to seek these and other sources of financing.

On December 21, 2006, the Company held a special shareholders meeting at which
the shareholders approved a resolution authorizing the Board of Directors to
evaluate the necessity of a reverse stock split and also to implement a reverse
stock split if they determine it to be necessary. The shareholders also ratified
the actions of the officers and directors since the last special shareholders
meeting on December 17, 2001.

On April 4, 2007, the Company declared a reverse split of its common shares on
the basis of 1 share for each 50 shares owned at the record date. The effects of
this action are reflected in this filing. Also on April 4, 2007 the Company
changed its name to American Resource Technologies, Inc.

In October of 2007, the Company sold 160,000 of its common shares for $25,000 to
an investor. The investor received options exercisable at $0.15625 per share for
160,000 shares expiring in October 2008. Additionally an additional 403,500
shares were issued for consulting services valued at $79,770. An additional
$10,000 in long-term debt was incurred with the same parameters as the above
discussed long-term debt and the issuance of 80,000 shares as collateral.

On November 1, 2007, the Company's Board of Directors elected to declare a 10%
stock dividend effective for shareholders of record as of November 30, 2007. The
dividend shares have been issued and are in the process of being delivered to
the shareholders. The dividend resulted in the issuance of 1,097,036 new shares.

In the period subsequent to December 31, 2007 the Company issued 200,000 shares
for consulting services valued at $26,000, and sold 562,500 shares for cash of
$45,000. The purchasers of the 562,500 shares also received one-year options for
the purchase of 281,250 shares at $0.08 per share.

NOTE 9:  DISCLOSURES REGARDING OIL AND GAS PRODUCING ACTIVITIES (UNAUDITED)

The Company acquired its main oil producing interest during the year ended
September 30, 2006.

The following table sets forth information as to the net proved and proved
developed reserves as of September 30, 2006. "Proved reserves" are estimated
quantities of crude oil, natural gas, and natural gas liquids that geological
and engineering data demonstrate with reasonable certainty to be recoverable in
future years from known reservoirs under existing economic and operating
conditions. "Proved developed reserves" are those reserves that are expected to
be recovered through existing wells with existing equipment and operating
methods. "Proved undeveloped reserves" are those reserves that are expected to
be recovered from new wells on un-drilled acreage or from existing wells where a
relatively major expenditure is required for re-completion.


                                      F-12

<PAGE>


The following table also shows present value of the reserves as of September 30,
2006, (based on an annual discount rate of 10 percent) of the estimated future
net revenues from the production and sales of the reserves. The future prices
received on sales of production from the properties may be higher or lower than
the prices used in calculating the estimates of future net revenues, and the
operating costs and other costs relating to such production may also increase or
decrease from existing levels.
<TABLE>
<CAPTION>

                            Reserve Quantities of Oil

              September 30, 2006                               09/30/06            90/30/05
              ------------------                               --------            --------
Total Proved Reserves:

<S>                                                              <C>
Oil, condensate and natural gas liquids (Bbls)                   6,420                --

Natural gas (Mcf)                                                  --                 --

Total Proved Developed Reserves:

Oil, condensate and natural as liquids (Bbls)                    6,420                --

Natural gas (Mcf)                                                  --                 --

              September 30, 2006
              ------------------

Future cash flows                                             $369,290            $   --
Future production costs                                        149,110                --
Future develo9pment costs                                          --                 --
Future asset retirement costs                                      --                 --
Future income tax expense                                          --                 --
Future net cash flows                                          220,180                --
10% annual discount                                             67,000                --
                                                              --------            --------
Standardized mesure of discounted future net
cash flows related to proved oil and gas reserves             $153,180            $   --
                                                              ========            ========

</TABLE>

Reserve estimates are presented in the Supplementary Information Regarding Oil
and Gas Production Activities accompanying the financial statements included
herein. Reserve estimates for 2006, were prepared by an independent engineering
firm. Original reserve estimates used for depletion purposes and for the
Ownbey/Troyer lease (which are not listed above due to the short time they have
been in production) were made using internal estimates by the Company.

Oil and Gas Reserves

The process of estimating quantities of oil and gas reserves is complex,
requiring significant decisions in the evaluation of all available geological,
geophysical, engineering and economic data. The data for a given field may also
change substantially over time as a result of numerous factors including, but
not limited to, additional development activity, evolving production history and
continual reassessment of the viability of production under varying economic
conditions. As a result, material revisions to existing reserve estimates may
occur from time to time. Although every reasonable effort is made to ensure that
reserve estimates reported represent the most accurate assessments possible, the
subjective decisions and variances in available data for various fields make
these estimates generally less precise than other estimates included in the
financial statement disclosures.

American Resource Technologies, Inc. uses the unit-of-production method to
depreciate and deplete the capitalized costs of our producing oil and gas
properties. Changes in proved developed reserve quantities will cause
corresponding changes in depletion expense in periods subsequent to the quantity
revision.

The following supplemental oil and gas information is provided in accordance
with Statement of Financial Accounting Standards No. 69 " Disclosures about Oil
and Gas Producing Activities (SFAS 69). The Company has properties in the United
States.

Capitalied Costs Relating to Oil and Gas Produing Activities at September 30,
2006 and 2005

                                                           2006           2005
                                                           ----           ----

Unproved oil and gas properties                         $  95,000      $ 254,304

Proved oil and gas properties                             159,304          --

Gas pipeline                                               34,789         34,789

Support equipment and facilities                             --            --
                                                        ---------      ---------

                                                          289,093        289,093
Less accumulated depreciation,
  depletion, and amortization                               3,313          --
                                                        ---------      ---------

Net capitalized cost                                    $ 289,780      $ 289,093
                                                        ---------      ---------

All of the Company's reserves are located within the United States. No estimates
of reserves have been reported to or filed with any other Federal authority or
agency during the year presented.

Costs Incurred in Oil and Gas Producing Activities for the Year Ended September
30, 2006:

                                                           2006           2005
                                                           ----           ----
Property acquisition costs:
  Proved                                                $ 159,304
  Unproved                                                             $ 254,304
Exploration costs
Development costs

Results of Operations for Oil and Gas Producing Activities For the Year Ended
September 30, 2006

                                                           2006
                                                           ----

Oil and gas sales                                       $  11,218
Production costs                                          (51,937)
Depreciation, depletion and amortization                   (5,063)
                                                        ---------
Results of operations for oil and gas
  producing activities (excluding corporate
  overhead and financing costs                          $ (45,782)
                                                        =========

Reserve Information
-------------------

The following estimates of proved and proved developed reserve quantities and
related standardized measure of discounted net cash flows are estimates only,
and do not purport to reflect realizable values or fair market values of the
Company's reserves. The Company emphasizes that reserve estimates are inherently
imprecise and that estimates of new discoveries are more imprecise than those of
producing oil and gas properties. Accordingly, these estimates are expected to
change as future information becomes available. All of the Company's reserves
are located in the United States.

Proved reserves are estimated reserves of crude oil (including condensate and
natural gas liquids) and natural gas that geological and engineering data
demonstrate with reasonable certainty to be recoverable in future years from
known reservoirs under existing economic and operating conditions. Proved
developed reserves are those expected to be recovered through existing wells,
equipment, and operating methods.


                                      F-13
<PAGE>


The standardized measure of discounted future net cash flows is computed by
applying year-end prices of oil and gas (with consideration of price changes
only to the extent provided by contractual arrangements) to the estimated future
production of proved oil and gas reserves, less estimated future expenditures
(based on year-end costs) to be incurred in developing and producing the proved
reserves, less estimated future income tax expenses (based on year-end statutory
rates, with consideration of future tax rates already legislated) to be incurred
on pretax net cash flows less the tax basis of the properties and available
credits, and assuming continuation of existing economic conditions. The
estimated future net cash flows are then discounted using a rate of ten percent
a year to reflect the estimated timing of the future cash flows.
<TABLE>
<CAPTION>
                                                              2006 Total                2005 Total
                                                       Oil (bbls)     Gas (Mcf)    Oil (bbls)    Gas (Mcf)
                                                      ---------------------------------------------------
<S>                                                       <C>            <C>         <C>         <C>
Proved Developed and Undeveloped Reserves
Beginning of year                                           6,651          --         --            --
Revisions of previous estimates                               --           --         --            --
Improved recovery                                             --           --         --            --
Purchases of minerals in place                                --           --         --            --
Extensions and discoveries                                    --           --         --            --
Production                                                   (231)         --         --            --
Sales of minerals in place                                    --           --         --            --
End of year                                                 6,420          --         --            --

Standardized Measure of Discounted Future Net Cash Flows at September 30, 2006
and 2005.

                                                   2006             2005
                                                   ----             ----

Future cash inflows                             $ 369,290         $    --
Future production costs                          (149,110)             --
Future development costs                             --                --
Future rasset retirement obligations                 --                --
Future income tax expenses                        220,180              --
  10% annual discount for estimated
    timing of cash flows                          (67,000)             --
                                                ---------         ----------
Standardized measures of discounted
  future net cash flows related to proved
  oil and gas reserves                          $ 153,180         $    --
                                                ---------         ----------


                                      F-14

<PAGE>


The following reconciles the change in the standardized measure of discounted
future net cash flows for the years ended September 30, 2006 and 2005.

                                                                           2006                      2005
                                                                           ----                      ----

Beginning balance, October 2005 and 2004                                 $    --                  $   --
Sales of oil and gas produced, net of production costs                     (45,782)                   --
Development costs incurred during the year which
  were previously estimated                                                   --                      --
Net change due to extensions, discoveries, and improved
  recovery                                                                    --                      --
Net change in estimated future development costs                              --                      --
Net change in estimated retirement obligations                                --                      --
Revisions of previous quantity estimates                                      --                      --
Net change from purchases and sales of minerals
  in place                                                                 159,304                    --
Accretion of discount                                                       39,658                    --
Net change in income taxes                                                    --                      --
Other                                                                         --                      --
                                                                         ---------                --------
Ending balance, September 30, 2006 and 2005                              $ 153,180                $   --
                                                                         =========                ========
</TABLE>


                                      F-15