SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549

FORM 10-Q

[x]     Quarterly Report Pursuant to Section 13 or 15(d) Securities
Exchange Act of 1934 for Quarterly Period Ended June 30, 2008

-OR-

[ ]     Transition Report Pursuant to Section 13 or 15(d) of the
Securities And Exchange Act of 1934 for the transaction period from
_________ to________

Commission File Number             000-51489

            Earth Energy Reserves, Inc.
     (Exact name of Small Business Issuer in its charter)



Nevada                                         75-3000774
  (State or other jurisdiction of           (I.R.S. Employer
    incorporation or organization           Identification No.)

671 Heinz Parkway
Estes Park, CO                                           80517
 (Address of principal executive offices)            (Zip Code)

(970) 577-8325
Registrant's Telephone number, including area code:


Indicate by check mark whether the issuer (1) 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 registrant 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 a large accelerated
filer, an accelerated filer, a non-accelerate filer, or a small
reporting company as defined by Rule 12b-2 of the Exchange Act):

Large accelerated filer [ ]      Non-accelerated filer [ ]
Accelerated filer  [ ]           Smaller reporting company [x]

Indicate by check mark whether the registrant is a shell company (as
defined in Rule 12b-2 of the Exchange Act).

Yes  [x]      No [ ]

The number of outstanding shares of the registrant's common stock,
August 31, 2008:

  Common Stock  -  10,917,000

<PAGE>2
PART I - FINANCIAL INFORMATION

EARTH ENERGY RESERVES, INC.




ITEM 1. FINANCIAL STATEMENTS

Balance Sheets, December 31, 2007 and June 30, 2008 (unaudited)     F-1

Statements of Operations for the Three Months and Six Months
ended June 30, 2007 and 2008 (unaudited)                            F-2

Statements of Cash Flows for the Six Months ended June 30, 2007
and 2008 (unaudited)                                                F-3

Notes to Financial Statements                                       F-4



<PAGE>3
EARTH ENERGY RESERVES, INC.

BALANCE SHEETS

ASSETS

                                             December 31,     June 30,
                                                2007           2008
                                             -----------      --------
                                                            (Unaudited)

CURRENT ASSETS
  Cash                                       $  45,089      $   58,075
  Accounts receivable                             2,204              -
                                             ----------     ----------
     TOTAL CURRENT ASSETS                        47,293         58,075

PROPERTY
  Leon River Energy leasehold                    53,747         53,747
  Walker Creek Unit leasehold                    73,150              -
                                             ----------     ----------
     TOTAL ASSETS                            $  174,190     $ 111,822
                                             ==========     ==========

LIABILITIES AND STOCKHOLDERS' (DEFICIT)

CURRENT LIABILITIES
  Compensation payable                       $   75,000     $   75,000
  Notes payable to related party                 60,873         69,428
  Advances from majority shareholder             32,450         32,450
  Accrued expenses                               24,605         49,843
                                             ----------     ----------
     TOTAL CURRENT LIABILITIES                  192,928        226,721
                                             ----------     ----------
STOCKHOLDERS' (DEFICIT)
  Series A preferred stock $.0001 par value
    authorized 10,000,000 shares, none issued         -              -
  Common stock, $.0001 par value,
    authorized, 90,000,000 shares, issued and
    outstanding in 10,927,000 and 10,917,000
    respectively                                  1,093          1,092
Additional paid-in capital                    5,482,207      5,477,208
Retained (deficit)                           (5,502,038)    (5,593,199)
                                             ----------     ----------
     TOTAL STOCKHOLDERS' (DEFICIT)              (18,738)      (114,899)
                                             ----------     ----------
     TOTAL LIABILITIES AND
      STOCKHOLDERS' (DEFICIT)                $  174,190     $  111,822
                                             ==========     ==========

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

F-1


<PAGE>4
EARTH ENERGY RESERVES, INC.

STATEMENTS OF OPERATIONS
(UNAUDITED)
<TABLE>
<CAPTION>
                                        Three Months Ended      Six Months Ended
                                            June 30,                 June 30,
                                       ------------------      ----------------
                                       2007          2008    2007           2008
                                       ----          ----    ----           ----

                                     <c>           <c>      <c>          <c>
INCOME
  Oil & gas income                  $       -    $   1,674    $      -     $    3,592
                                    ---------    ---------    --------     ----------
EXPENSES
  Production taxes                          -          (67)           -          (143)
  General and administrative expenses (90,883)     (28,194)    (229,213)      (77,149)
                                    ---------    ---------    ---------    -----------
NET OPERATING LOSS                    (90,883)     (26,587)    (229,213)      (73,700)

OTHER INCOME (EXPENSE)
  Interest income                         753            2          961             5
  Interest expense                       (993)      (3,826)      (1,917)       (7,519)
  Loss on sale of asset                     -            -            -        (9,948)
                                    ---------    ---------    ---------    ----------
                                         (240)      (3,824)        (956)      (17,462)
                                    ---------    ---------    ---------    ----------
LOSS BEFORE INCOME TAXES              (91,123)     (30,411)    (230,169)      (91,162)
                                    ---------    ---------    ---------    ----------
INCOME TAXES                                -            -            -             -
                                    ---------    ---------    ---------    ----------
NET LOSS FROM CONTINUING
  OPERATIONS                        $ (91,123)   $ (30,411)   $(230,169)   $  (91,162)
                                    =========    =========    =========    ==========
BASIC AND DILUTED LOSS
  PER SHARE                         $   (0.01)   $   (0.00)   $   (0.02)   $    (0.01)
                                    =========    =========    =========    ==========
WEIGHTED AVERAGE NUMBER
  OF COMMON SHARES OUTSTANDING -
  BASIC AND DILUTED                 10,777,000   10,922,000   10,745,750   10,924,143
                                    ==========   ==========   ==========   ==========
</TABLE>





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

F-2




<PAGE>5
EARTH ENERGY RESERVES, INC.

STATEMENTS OF CASH FLOWS
(UNAUDITED)
<TABLE>
                                                                 Six Months Ended
                                                                      June 30,
                                                                 ----------------
                                                                 2007        2008
                                                                 ----        ----

                                                               <c>         <c>
CASH FLOWS FROM OPERATING ACTIVITIES
  Net loss from continuing operations                         $(230,169) $ (91,162)
  Adjustments to reconcile net loss to net cash used by
    operating activities
  Loss on disposal of asset                                           -      9,948
  Change in note payable to related party                         7,917          -
  Change in accounts receivable                                       -      2,204
  Change in accrued expenses                                     (2,497)    25,239
                                                              ---------  ---------
      NET CASH FLOWS (USED) BY
        OPERATING ACTIVITIES                                   (224,749)   (53,771)
                                                              ---------  ---------
CASH FLOWS FROM INVESTING ACTIVITIES
  Disposal of lease                                                   -     63,202
                                                              ---------  ---------
      NET CASH FLOWS PROVIDED BY
        INVESTING ACTIVITIES                                          -     63,202
                                                              ---------  ---------
CASH FLOWS FROM FINANCING ACTIVITES
  Common stock sold for cash                                     80,000          -
  Note payable to related party                                       -      8,555
  Common stock purchased with cash                                    -     (5,000)
                                                              ---------  ---------
      NET CASH FLOWS PROVIDED BY
        FINANCING ACTICIVITIES                                   80,000      3,555
                                                              ---------  ---------
NET INCREASE (DECREASE) IN CASH                                (144,749)    12,986

CASH AT BEGINNING OF PERIOD                                     291,752     45,089
                                                              ---------  ---------
CASH AT THE END OF PERIOD                                     $ 147,003  $  58,075
                                                              =========  =========
SUPPLEMENTAL CASH FLOWS DISCLOSURES
  Cash paid during period for:
    Interest                                                  $       -  $       -
                                                              ---------  ---------
    Income taxes                                              $       -  $       -
                                                              ---------  ---------
</TABLE>

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

F-3



<PAGE>6
EARTH ENERGY RESERVES, INC.

NOTES TO FINANCIAL STATEMENTS

JUNE 30, 2008


NOTE 1: ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Organization

Earth Energy Reserves, Inc. (formerly Asian American Business
Development Company) ("Company") was incorporated in the State of
Nevada on February 12, 2002 as Wiltex First, Inc.  On March 10, 2005,
the Company filed a certificate of amendment with the State of Nevada
changing its name to Asian American Business Development Company and,
on March 13, 2006 the Company's name was changed to Earth Energy
Reserves, Inc.  The Company has elected to prepare its financial
statements in accordance with generally accepted accounting principles
(United States) and has selected December 31, as its year end.

Galaxy Partners, LTD Corp. (a company owned by the majority shareholder
of the Company) has managed and financed the Company since inception.

Basis of Presentation

The accompanying financial statements have been prepared in accordance
with generally accepted accounting principles for interim financial
information and with the instructions to Form 10-Q and Article 10 of
Regulation S-X.  Accordingly, they do not include all of the
information and footnotes required by generally accepted accounting
principles for complete consolidated financial statements.  In the
opinion of management, all adjustments considered necessary for a fair
presentation have been included.  All such adjustments are of a normal
and recurring nature.  These financial statements should be read in
conjunction with the audited financial statements at December 31, 2007.
Operating results for the six months ended June 30, 2008 are not
necessarily indicative of the results that may be expected for the
fiscal year ending December 31, 2008.

Use of Estimates and Assumptions

Management uses estimates and assumptions in preparing financial
statements in accordance with generally accepted accounting principles.
Those estimates and assumptions affect the reported amounts of assets
and liabilities, the disclosure of contingent assets and liabilities,
and the reported amounts of revenue and expenses.  Actual results could
vary from the estimates used.







F-4


<PAGE>7

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

Trends and Uncertainties.  We intend to be an independent oil and
natural gas company engaged in the acquisition, drilling and production
of oil and natural gas in the United States.  Our future operations may
be adversely affected by our competitors, fluctuating oil prices,
changing foreign political environments and any prolonged recessionary
periods.

Capital and Source of Liquidity.  We currently has no material
commitments for capital expenditures and no plans for future capital
expenditures at this time.

We believe that there will be sufficient capital from revenues to
conduct operations for the next twelve(12) months.

Presently, Earth Energy's revenue and cash comprises one hundred(100)
percent of the total cash necessary to conduct operations.  Future
revenues from our oil and gas operations will determine the amount of
additional financing necessary to continue operations.

The board of directors has no immediate offering plans in place.  The
board of directors shall determine the amount and type of financing as
our financial situation dictates.

For the six months ended June 30, 2008, we disposed of a lease for
$63,202 resulting in net cash provided by investing activities of
$$63,202.

Comparatively, for the six months ended June 30, 2007, we did not
pursue any investing activities.

For the six months ended June 30, 2008, we received funds from a note
payable to related party of $8,555 and purchased common stock with cash
of $5,000.  As a result, we had net cash provided by financing
activities of $3,555 for the six months ended June 30, 2008.

Comparatively, for the six months ended June 30, 2007, we sold common
stock for cash of $80,000.  As a result, we had net cash provided by
financing activities of $80,000 for the six months ended June 30, 2007.

On a long term basis, liquidity is dependent on continuation of
operation and receipt of revenues.

Results of Operations.  We have had only minimal revenue since
inception.  All of our expenses have been paid by Galaxy Partners Ltd.
Corp, a company controlled by James Hogue, an officer, director and
principal shareholder of Earth Energy and through the sale of our
common stock.

For the three months ended June 30, 2008, Earth Energy received
revenues of only $1,674.  For the three months ended June 30, 2008,
Earth Energy had general and administrative expenses of $28,194
compared to $90,883 for the same period in 2007.  These expenses for

<PAGE>8

the three months ended June 30, 2008 consisted of basic operating
expenses and expenses relating to filing the required reports with the
Securities and Exchange Commission under the Exchange Act of 1934.  The
significant decrease was due to the completion of the registration
process with the SEC.

For the six months ended June 30, 2008, Earth Energy received revenues
of only $3,592.  For the six months ended June 30, 2008, Earth Energy
had general and administrative expenses of $77,149 compared to $229,213
for the same period in 2007.  These expenses for the six months ended
June 30, 2008 consisted of basic operating expenses and expenses
relating to filing the required reports with the Securities and
Exchange Commission under the Exchange Act of 1934.  The significant
decrease was due to the completion of the registration process with the
SEC.

Plan of Operation.  We have developed an operating strategy that is
based on our participation in exploration prospects as a non-operator
for the foreseeable future.  We intend to use the services of
independent consultants and contractors to perform various professional
services, including reservoir engineering, land, legal, environmental
and tax services.  We will also pursue alliances with partners in the
areas of geological and geophysical services and prospect generation,
evaluation and prospect leasing.  As a non-operator working interest
owner, we intend to rely on outside operators to drill, produce and
market our natural gas and oil.  We believe that by limiting our
management and employee costs, we may be able to better control total
costs and retain flexibility in terms of project management.

Earth Energy may experience problems; delays, expenses and difficulties
sometimes encountered by an enterprise in Earth Energy's stage, many of
which are beyond Earth Energy's control.  These include, but are not
limited to, unanticipated problems relating to additional costs and
expenses that may exceed current estimates and competition.

Earth Energy is not delinquent in any of its obligations even though
Earth Energy has generated no operating revenues.  Earth Energy intends
to pursue our business plan utilizing cash made available from the
additional advances from Galaxy, the private sale of our securities and
future operations.  Our management is of the opinion that the
additional advances, proceeds of the sales of its securities and future
revenues will be sufficient to pay our expenses for the next twelve
months.

Earth Energy is pursuing financing for its operations and seeking
additional private investments.  In addition, Earth Energy is seeking to
expand its revenue base.  Failure to secure such financing or to raise
additional equity capital and to expand its revenue base may result in
the Corporation not being able pay its obligations.




<PAGE>9

Item 3.  Quantitative and Qualitative Disclosures About Market Risk

We do not consider the effects of interest rate movements to be a
material risk to our financial condition.  We do not hold any
derivative instruments and do not engage in any hedging activities.


Item 4T.  Controls and Procedures.

During the three months ended June 30, 2008, there were no changes in
our internal controls over financial reporting (as defined in Rule 13a-
15(f) and 15d-15(f) under the Exchange Act) that have materially
affected, or are reasonably likely to materially affect, our internal
control over financial reporting.

Evaluation of Disclosure Controls and Procedures

Under the supervision and with the participation of our management,
including our chief executive officer and chief financial officer, we
conducted an evaluation of our disclosure controls and procedures, as
such term is defined under Rule 13a-15(e) and Rule 15d-15(e)
promulgated under the Securities Exchange Act of 1934, as amended, as
of March 31, 2008.  Based on this evaluation, our chief executive
officer and chief principal financial officers have concluded such
controls and procedures to be effective as of March 31, 2008 to ensure
that information required to be disclosed by the issuer in the reports
that it files or submits under the Act is recorded, processed,
summarized and reported, within the time periods specified in the
Commission's rules and forms and to ensure that information required to
be disclosed by an issuer in the reports that it files or submits under
the Act is accumulated and communicated to the issuer's management,
including its principal executive and principal financial officers, or
persons performing similar functions, as appropriate to allow timely
decisions regarding required disclosure.



<PAGE>10

PART II - OTHER INFORMATION

Item 1. Legal Proceedings. None.

Item 1A. Risk Factors.  Not applicable to smaller reporting companies.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.
          None.

Item 3. Defaults Upon Senior Securities.
          None.

Item 4. Submission of Matters to a Vote of Security Holders.
          None.

Item 5. Other Information. None.

Item 6. Exhibits

       Exhibit 31 - Certifications pursuant to Section 302 of the
Sarbanes-Oxley Act of 2002
       Exhibit 32 - Certifications pursuant to Section 906 of the
Sarbanes-Oxley Act of 2002

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934,
the Registrant has duly caused this Report to be signed on its behalf
by the undersigned thereunto duly authorized.

Dated: September 2, 2008

Earth Energy Reserves, Inc.

By: /s/James E. Hogue
---------------------------
James E. Hogue, Chief Executive Officer