| Delaware                                       | 83-0432182                            |
|------------------------------------------------|---------------------------------------|
| (State                or other jurisdiction of | (I.R.S.                employer       |
| incorporation                or organization)  | identification                number) |

| 300                Colonial Center Parkway              |                      |
|---------------------------------------------------------|---------------------------|
| Suite                260                                |                      |
| Roswell,                Georgia                         | 30076                     |
| (Address                of principal executive offices) | (Zip                Code) |

----

**BLACK      NICKEL ACQUISITION CORP. II**

**-      INDEX -**

|                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                           | Page   |
|---------------------------------------------------------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
| **PART                I- FINANCIAL INFORMATION:**                                                 |                                                                                                                                                                                                                                                                                                                                                                                                                                           |
|                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |
| Item                1. Financial Statements:                                                      |                                                                                                                                                                                                                                                                                                                                                                                                                                           |
|                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |
|                                                                                              | Balance                Sheet - September 30, 2006 (unaudited)                                                                                                                                                                                                                                                                                                                                                                                  | F-1    |
|                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |
|                                                                                              | Statements                  of Operations (unaudited) for the cumulative period during the                  development                  stage May 26, 2005 (inception) through September 30, 2006, the                  three and                  nine months ended September 30, 2006, the period From May 26, 2005                  (inception) through September 30, 2005, and the three months ended                  September 30, 2005 | F-2    |
|                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |
|                                                                                              | Statement                  of Changes in Stockholders’ Equity for the cumulative period during the                  development stage May 26, 2005 (inception) through September 30,                  2006                  (unaudited)                                                                                                                                                                                                  | F-3    |
|                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |
|                                                                                              | Statements                  of Cash Flows (unaudited) for the cumulative period during the                  development                  stage May 26, 2005 (inception) through September 30, 2006, the                  nine months                  ended September 30, 2006, and the period from May 26, 2005 (inception)                  through September 30, 2005                                                                       | F-4    |
|                                                                                                   |                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |
|                                                                                                   | Notes                to Interim Unaudited Financial Statements                                                                                                                                                                                                                                                                                                                                                                                 | F-5    |
|                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |
| Item                2. Management's Discussion and Analysis or Plan of                Operation   | 1                                                                                                                                                                                                                                                                                                                                                                                                                                              |
|                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |
| Item                3. Controls and Procedures                                                    | 1                                                                                                                                                                                                                                                                                                                                                                                                                                              |
|                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |
| **PART                II - OTHER INFORMATION**:                                                   |                                                                                                                                                                                                                                                                                                                                                                                                                                           |
|                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |
| Item                1. Legal Proceedings                                                          | 2                                                                                                                                                                                                                                                                                                                                                                                                                                              |
|                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |
| Item                2. Unregistered Sales of Equity Securities and Use of                Proceeds | 2                                                                                                                                                                                                                                                                                                                                                                                                                                              |
|                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |
| Item                3. Defaults Upon Senior Securities                                            | 2                                                                                                                                                                                                                                                                                                                                                                                                                                              |
|                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |
| Item                4. Submission of Matters to a Vote of Security Holders                        | 2                                                                                                                                                                                                                                                                                                                                                                                                                                              |
|                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |
| Item                5. Other Information                                                          | 2                                                                                                                                                                                                                                                                                                                                                                                                                                              |
|                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |
| Item                6. Exhibits and Reports on Form 8-K                                           | 2                                                                                                                                                                                                                                                                                                                                                                                                                                              |
|                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |
| Signatures                                                                                        | 3                                                                                                                                                                                                                                                                                                                                                                                                                                              |

----

**PART      I - FINANCIAL INFORMATION**

**Item      1. Financial Statements.**

**Black      Nickel Acquisition Corp. II**

**(A      Development Stage Enterprise)**

**Balance      Sheet (Unaudited)**

**September      30, 2006**

| **ASSETS**                                                          |   |   |    |
|---------------------------------------------------------------------|--------|--------|---------|
| Current                Assets                                       |   |   |    |   |
| Cash                and cash equivalents                            |   | $      | 7,190   |   |
|                                                                |   |   |    |   |
|                                                                |   | $      | 7,190   |   |
|                                                                |   |   |    |   |
|                                                                |   |   |    |   |
| **LIABILITIES                AND STOCKHOLDERS’ EQUITY**       |   |   |    |   |
| Current                Liabilities                                  |   |   |    |   |
| Accrued                expenses                                     |   | $      | 4,035   |   |
|                                                                |   |   |    |   |
| Stockholders’                Equity                           |   |   |    |   |
| Preferred                stock, $.0001 par value; 10,000,000 shares |   |   |    |   |
| authorized,                -0- shares issued                        |   |   | — |   |
| Common                stock, $.0001 par value; 75,000,000 shares    |   |   |    |   |
| Authorized,                1,500,000 shares issued and outstanding  |   |   | 150     |   |
| Additional                paid-in capital                           |   |   | 49,850  |   |
| Deficit                accumulated during the development stage     |   |   | (46,845 | ) |
| Total                stockholders’ equity                     |   |   | 3,155   |   |
|                                                                |   |   |    |   |
|                                                                |   | $      | 7,190   |   |

*See      accompanying notes to interim unaudited financial statements.*

----

**Black      Nickel Acquisition Corp. II**

**(A      Development Stage Enterprise)**

**Statements      of Operations (Unaudited)**

|                                             |   | Nine                MonthsEndedSeptember                30,2006 |      | Three                MonthsEndedSeptember                30,2005 |   | Three                MonthsEndedSeptember                30,2006 |   | Period                fromMay                26, 2005 (Inception)throughSeptember                30,2005 |      | CumulativePeriod                fromMay                26, 2005(Inception)throughSeptember                30,2006 |   |
|--------------------------------------------------|--------|-----------------------------------------------------------------|-----------|------------------------------------------------------------------|--------|------------------------------------------------------------------|--------|---------------------------------------------------------------------------------------------------------------|-----------|-------------------------------------------------------------------------------------------------------------------|--------|
| Net                Sales                         |   | $                                                               | —   |                                                             | $      | —                                                          |   | $                                                                                                             | —   |                                                                                                              | $      | — |   | $ | — |   |
|                                             |   |                                                            |      |                                                             |   |                                                             |   |                                                                                                          |      |                                                                                                              |   |   |   |   |   |   |
| Cost                of sales                     |   |                                                            | —   |                                                             |   | —                                                          |   |                                                                                                          | —   |                                                                                                              |   | — |   |   | — |   |
|                                             |   |                                                            |      |                                                             |   |                                                             |   |                                                                                                          |      |                                                                                                              |   |   |   |   |   |   |
| Gross                profit                      |   |                                                            | —   |                                                             |   | —                                                          |   |                                                                                                          | —   |                                                                                                              |   | — |   |   | — |   |
|                                             |   |                                                            |      |                                                             |   |                                                             |   |                                                                                                          |      |                                                                                                              |   |   |   |   |   |   |
| Expenses:                                        |   |                                                            |      |                                                             |   |                                                             |   |                                                                                                          |      |                                                                                                              |   |   |   |   |   |   |
| General                and                       |   |                                                            |      |                                                             |   |                                                             |   |                                                                                                          |      |                                                                                                              |   |   |   |   |   |   |
| Administrative                                   |   |                                                            | 29,012    |                                                             |   | 11,309                                                           |   |                                                                                                          | 3,903     |                                                                                                              |   | 12,559 |   |   | 46,845 |   |
|                                             |   |                                                            |      |                                                             |   |                                                             |   |                                                                                                          |      |                                                                                                              |   |   |   |   |   |   |
| Net                (loss)                        |   | $                                                               | (29,012   | )                                                                | $      | (11,309                                                          | )      | $                                                                                                             | (3,903    | )                                                                                                                 | $      | (12,559 | ) | $ | (46,845 | ) |
|                                             |   |                                                            |      |                                                             |   |                                                             |   |                                                                                                          |      |                                                                                                              |   |   |   |   |   |   |
| Basic                and Diluted                 |   |                                                            |      |                                                             |   |                                                             |   |                                                                                                          |      |                                                                                                              |   |   |   |   |   |   |
| Loss                per Share                    |   | $                                                               | (.02      | )                                                                | $      | (.01                                                             | )      | $                                                                                                             | —   |                                                                                                              | $      | (.01 | ) | $ | (.03 | ) |
|                                             |   |                                                            |      |                                                             |   |                                                             |   |                                                                                                          |      |                                                                                                              |   |   |   |   |   |   |
| Weighted                Average Number of common |   |                                                            |      |                                                             |   |                                                             |   |                                                                                                          |      |                                                                                                              |   |   |   |   |   |   |
| Shares                Outstanding                |   |                                                            | 1,500,000 |                                                             |   | 1,500,000                                                        |   |                                                                                                          | 1,500,000 |                                                                                                              |   | 1,146,554 |   |   | 1,408,765 |   |

*See      accompanying notes to interim unaudited financial statements.*

----

**Black      Nickel Acquisition Corp. II**

**(A      Development Stage Enterprise)**

**Statement      of Changes in Stockholders’ Equity (Unaudited)**

|                                       |   | Preferred                Stock |    | Common                Stock |    | Additional                Paid-in |   | Deficit                Accumulated During the Development |      |    |   |
|--------------------------------------------|--------|--------------------------------|---------|-----------------------------|---------|-----------------------------------|--------|-----------------------------------------------------------|-----------|---------|--------|
|                                       |   | Shares                         |    | Amount                      |    | Shares                            |   | Amount                                                    |      | Capital |   | Stage |   | Total |   |
| Balance,                May 26, 2005       |   |                                | — |                        | $  | —                           |   |                                                           | —   |    | $      | — |   | $ | — |   | $ | — |   | $ | — |   |
|                                       |   |                           |    |                        |    |                              |   |                                                      |      |    |   |   |   |   |   |   |   |   |   |   |   |   |
| Issuance                of common stock    |   |                           |    |                        |    |                              |   |                                                      |      |    |   |   |   |   |   |   |   |   |   |   |   |   |
| on                June 24, 2005            |   |                           | — |                        |    | —                           |   |                                                      | 1,500,000 |    |   | 150 |   |   | 49,850 |   |   | — |   |   | 50,000 |   |
| Net                loss                    |   |                           | — |                        |    | —                           |   |                                                      | —   |    |   | — |   |   | — |   |   | (17,833 | ) |   | (17,833 | ) |
|                                       |   |                           |    |                        |    |                              |   |                                                      |      |    |   |   |   |   |   |   |   |   |   |   |   |   |
| Balance,                December 31, 2005  |   |                           | — |                        |    | —                           |   |                                                      | 1,500,000 |    |   | 150 |   |   | 49,850 |  |   | (17,833 | ) |   | 32,167 |   |
|                                       |   |                           |    |                        |    |                              |   |                                                      |      |    |   |   |   |   |   |   |   |   |   |   |   |   |
| Net                loss                    |   |                           | — |                        |    | —                           |   |                                                      | —   |    |   | — |   |   | — |   |   | (29,012 | ) |   | (29,012 | ) |
|                                       |   |                           |    |                        |    |                              |   |                                                      |      |    |   |   |   |   |   |   |   |   |   |   |   |   |
| Balance,                September 30, 2006 |   |                           |    |                        |    |                              |   |                                                      |      |    |   |   |   |   |   |   |   |   |   |   |   |   |
| (Unaudited)                                |   |                           | — |                        | $       | —                           |   |                                                      | 1,500,000 |    | $      | 150 |   | $ | 49,850 |   | $ | (46,845 | ) | $ | 3,155 |   |

*See      accompanying notes to interim unaudited financial statements.*

----

**Black      Nickel Acquisition Corp. II**

**(A      Development Stage Enterprise)**

**Statements      of Cash Flows (Unaudited)**

|                                                                |   | Nine                MonthsEndedSeptember                30,2006 |    | Period                FromMay                26, 2005(Inception)throughSeptember                30,2005 |   | Cumulative                PeriodFromMay                26, 2005(Inception)throughSeptember                30,2006 |   |
|---------------------------------------------------------------------|--------|-----------------------------------------------------------------|---------|---------------------------------------------------------------------------------------------------------|--------|-------------------------------------------------------------------------------------------------------------------|--------|
| Cash                Flows from Operating Activities                 |   |                                                            |    |                                                                                                    |   |                                                                                                              |   |
| Net                loss                                             |   | $                                                               | (29,012 | )                                                                                                       | $      | (12,559                                                                                                           | )      | $ | (46,845 | ) |
| Adjustments                to reconcile net loss to                 |   |                                                            |    |                                                                                                    |   |                                                                                                              |   |   |   |   |
| net                cash used in operating activities                |   |                                                            |    |                                                                                                    |   |                                                                                                              |   |   |   |   |
| Accrued                expenses                                     |   |                                                            | (1,239  | )                                                                                                       |   | —                                                                                                           |   |   | 4,035 |   |
|                                                                |   |                                                            |    |                                                                                                    |   |                                                                                                              |   |   |   |   |
|                                                                |   |                                                            | (30,251 | )                                                                                                       |   | (12,559                                                                                                           | )      |   | (42,810 | ) |
|                                                                |   |                                                            |    |                                                                                                    |   |                                                                                                              |   |   |   |   |
| Cash                Flows from Financing Activities                 |   |                                                            |    |                                                                                                    |   |                                                                                                              |   |   |   |   |
| Proceeds                from issuance of common stock               |   |                                                            | — |                                                                                                    |   | 50,000                                                                                                            |   |   | 50,000 |   |
|                                                                |   |                                                            |    |                                                                                                    |   |                                                                                                              |   |   |   |   |
|                                                                |   |                                                            | — |                                                                                                    |   | 50,000                                                                                                            |   |   | 50,000 |   |
|                                                                |   |                                                            |    |                                                                                                    |   |                                                                                                              |   |   |   |   |
| Net                Increase (Decrease) in Cash and Cash Equivalents |   |                                                            | (30,251 | )                                                                                                       |   | 37,441                                                                                                            |   |   | 7,190 |   |
|                                                                |   |                                                            |    |                                                                                                    |   |                                                                                                              |   |   |   |   |
| Cash                and cash Equivalents, beginning                 |   |                                                            | 37,441  |                                                                                                    |   | —                                                                                                           |   |   | — |   |
|                                                                |   |                                                            |    |                                                                                                    |   |                                                                                                              |   |   |   |   |
| Cash                and Cash Equivalents, ending                    |   | $                                                               | 7,190   |                                                                                                    | $      | 37,441                                                                                                            |   | $ | 7,190 |   |

*See      accompanying notes to interim unaudited financial statements.*

----

**Black      Nickel Acquisition Corp. II**

**(A      Development Stage Enterprise)**

**Notes      to Interim Unaudited Financial Statements**

| **1.  ** | **Development                Stage Enterprise** |
|--------------------|-------------------------------------------------|

| **2.  ** | **Basis                of Presentation for Interim Financial                Statements** |
|--------------------|------------------------------------------------------------------------------------------|

*Management’s      Discussion and Analysis*

| **3.  ** | **Summary                of Significant Accounting                Policies** |
|--------------------|------------------------------------------------------------------------------|

**Use      of Estimates**

**Loss      Per Common Share**

----

**Black      Nickel Acquisition Corp. II**

**(A      Development Stage Enterprise)**

**Notes      to Interim Unaudited Financial Statements**

**Fair      Value of Financial Instruments**

**Cash      and Cash Equivalents**

**Income      Taxes**

| **4.  ** | **Related                Party Transaction** |
|--------------------|----------------------------------------------|

| **5.  ** | **Recent                Accounting Pronouncements** |
|--------------------|-----------------------------------------------------|

----

**Item      2. Management’s Discussion and Analysis or Plan of Operation.**

**Item      3. Controls and Procedures.**

----

**PART      II — OTHER INFORMATION**

**Item      1. Legal Proceedings.**

**Item      2. Unregistered Sales of Equity Securities and Use of      Proceeds.**

**Item      3. Defaults Upon Senior Securities. **

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

**Item      5. Other Information. **

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

| Exhibit                No. |   | Description                                                                                                                                                                                                                                                                                              |
|----------------------------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                       |   |                                                                                                                                                                                                                                                                                                     |
| *3.1                       |   | Certificate                of Incorporation, as filed with the Delaware Secretary of State on                May 26,                2005.                                                                                                                                                                |
|                       |   |                                                                                                                                                                                                                                                                                                     |
| *3.2                       |   | By-Laws                                                                                                                                                                                                                                                                                                  |
|                       |   |                                                                                                                                                                                                                                                                                                     |
| 31.1                       |   | Certification                of the Company’s Principal Executive Officer pursuant to Section 302 of                the Sarbanes-Oxley Act of 2002, with respect to the registrant’s Quarterly                Report on Form 10-QSB for the quarter ended September 30,                2006. |
|                       |   |                                                                                                                                                                                                                                                                                                     |
| 31.2                       |   | Certification                of the Company’s Principal Financial Officer pursuant to Section 302 of                the Sarbanes-Oxley Act of 2002, with respect to the registrant’s Quarterly                Report on Form 10-QSB for the quarter ended September 30,                2006. |
|                       |   |                                                                                                                                                                                                                                                                                                     |
| 32.1                       |   | Certification                of the Company’s Principal Executive Officer pursuant to18 U.S.C. Section                1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act                of                2002.                                                                    |
|                       |   |                                                                                                                                                                                                                                                                                                     |
| 32.2                       |   | Certification                of the Company’s Principal Financial Officer pursuant to18 U.S.C. Section                1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act                of                2002.                                                                    |

----

**SIGNATURES**

|                                 |                                         |                                  |
|--------------------------------------|----------------------------------------------|---------------------------------------|
| Date:              November 13, 2006 | BLACK NICKEL ACQUISITION CORP. II            |
|                            |                                    |                             |
|                                      | By:                                | /s/              Paul T. Mannion, Jr. |
|                                 | Paul              T. Mannion, Jr., President |
|                                 |                                         |

----