---

UNITED STATESSECURITIES AND EXCHANGE COMMISSIONWashington, D.C. 20549

FORM 10-QSB

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

For the quarterly period ended **FEBRUARY 28,
2007**

[   ] TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF
THE EXCHANGE ACT

For the transition period from __________ to __________

Commission file number: **333-127016**

THE CAVALIER GROUP(Exact
name of small business issuer in its charter)

|Wyoming                                                              | 98-0463119                          
|-------------------------------------------------------------------- | ------------------------------------
|(State or other jurisdiction of incorporation or
      organization) | (I.R.S. Employer Identification No.)
|                                                                     |                                     
|5728  125A Street                                                   |                                     
|Surrey, British Columbia                                             | V3X 3G8                             
|(Address of principal executive offices)                             | (Zip Code)                          

Issuers telephone number:**(604)
597-0028**

Securities Registered Under Section 12(b) of the Exchange
Act:******None**

Securities Registered Under Section 12(g) of the Exchange Act:
**Common Stock, $0.001 par value**(Title of class)

Indicate by check mark whether 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 [   ]

Indicate by check mark whether the registrant is an accelerated
filer (as defined by Rule 12b-2 of the Exchange Act) Yes [   ] No
[X]

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

State the number of shares outstanding of each of the issuers
classes of common equity, as of the latest practicable date: 7,490,000
shares of Common Stock as of April 10, 2007.

Transitional Small Business Format. Yes [   ] No [X]

---

PART I  FINANCIAL INFORMATION

Item 1. Financial Statements

---

THE CAVALIER GROUP 
  (An Exploration Stage Company) 
  Condensed Balance Sheet 
  (Unaudited) 
  February 28, 2007

|Assets                                                              |  
|------------------------------------------------------------------- | -
|Current assets:                                                     |  
|Cash                                                                | $
|                                                                    | $
|                                                                    |  
|Liabilities and Shareholders Equity                                |  
|Current liabilities:                                                |  
|Accounts payable and accrued liabilities                            | $
|Total current liabilities                                           |  
|                                                                    |  
|Shareholders equity (Notes 2 and 5):                               |  
|Common stock, $.001 par value; 200,000,000
      shares authorized, |  
|7,490,000
      shares issued and outstanding                       |  
|Additional paid-in capital                                          |  
|Accumulated deficit                                                 |  
|Cumulative translation adjustment                                   |  
|Total shareholders equity                                          |  
|                                                                    | $

See accompanying notes to condensed financial statements

---

THE CAVALIER GROUP 
  (An Exploration Stage Company) 
  Condensed Statements of Operations 
  (Unaudited)

February 11, 2005(Inception)Three Months Ended
      
      
      Nine Months Ended
      
      
      ThroughFebruary
        28,
      
      
      February
        28,
      
      
      February 28,Expenses:
      
      2007
      
      
      2006
      
      
      2007
      
      
      2006
      
      
      2007Contributed rent (Note 2)
      $
      
      
      $
      300
      
      $
      
      
      $
      900
      
      $
      1,400Contributed administrative support (Note 2)
      
      50
      
      
      50
      
      
      150
      
      
      150
      
      
      500Professional fees
      
      1,000
      
      
      800
      
      
      5,730
      
      
      2,850
      
      
      14,630Travel and meals
      
      
      
      
      143
      
      
      1,175
      
      
      499
      
      
      4,619Office
      
      3,854
      
      
      1,237
      
      
      10,210
      
      
      3,359
      
      
      15,984Rent
      
      600
      
      
      
      
      
      1,800
      
      
      
      
      
      1,800Organization costs
      
      
      
      
      
      
      
      
      
      
      
      
      
      250Bank Charges
      
      
      
      
      10
      
      
      68
      
      
      154
      
      
      388Licenses, permits, filing fees
      
      1,306
      
      
      827
      
      
      1,406
      
      
      3,918
      
      
      5,701Mineral interest exploration costs
      
      
      
      
      
      
      
      26,458
      
      
      
      
      
      26,458Public relations
      
      1,663
      
      
      743
      
      
      4,465
      
      
      1,912
      
      
      6,377Total expenses
      
      8,473
      
      
      4,110
      
      
      51,462
      
      
      13,742
      
      
      78,107Loss before income taxes
      
      (8,473
      )
      
      (4,110
      )
      
      (51,462
      )
      
      (13,742
      )
      
      (78,107
      )Income tax provision (Note 4)
      
      
      
      
      
      
      
      
      
      
      
      
      
      Net loss
      $
      (8,473
      )
      $
      (4,110
      )
      $
      (51,462
      )
      $
      (13,742
      )
      $
      (78,107
      )Basic and diluted loss per share
      $
      -0.00
      
      $
      -0.00
      
      $
      -0.01
      
      $
      -0.00Basic and diluted weighted averagecommon shares outstanding
      
      7,490,000
      
      
      6,400,000
      
      
      7,272,000
      
      
      6,400,000


See accompanying notes to condensed financial statements

---

THE CAVALIER GROUP 
  (An Exploration Stage Company) 
  Condensed Statement of Changes in Shareholders' Equity 
  (Unaudited)

CumulativeTranslationAdjustmentAdditional
      
      
      
      
      
      OtherCommon
        Stock
      
      
      Paid-In
      
      
      Accumulated
      
      
      ComprehensiveShares
      
      
      Par Value
      
      
      Capital
      
      
      Deficit
      
      
      Income
      
      
      TotalBalance at May 31, 2006
      
      6,400,000
      
      $
      6,400
      
      $
      23,350
      
      $
      (26,645
      )
      $
      152
      
      $
      3,257July 2006, common stock sold in publicoffering, less $5,000 of offering costs($.05/share) (Note 5)
      
      1,090,000
      
      
      1,090
      
      
      48,410
      
      
      
      
      
      
      
      
      49,500Administrative support contributed byan officer (Note 2)
      
      
      
      
      
      
      
      150
      
      
      
      
      
      
      
      
      150Comprehensive loss:Net loss, for the nine months
        endedFebruary
        28, 2007
      
      
      
      
      
      
      
      
      
      
      (51,462
      )
      
      
      
      
      (51,462
      )Cumulative translation adjustment
      
      
      
      
      
      
      
      
      
      
      
      
      
      (44
      )
      
      (44
      )Comprehensive loss
      
      
      
      
      
      
      
      
      
      
      
      
      
      
      
      
      (51,506
      )Balance at February 28, 2007
      
      7,490,000
      
      $
      7,490
      
      $
      71,910
      
      $
      (78,107
      )
      $
      108
      
      $
      1,401


See accompanying notes to condensed financial statements

---

THE CAVALIER GROUP 
  (An Exploration Stage Company) 
  Condensed Statements of Cash Flows 
  (Unaudited)

|                                                    |   |                    |   |   |              |   |   | February 11, |  
|--------------------------------------------------- | - | ------------------ | - | - | ------------ | - | - | ------------ | -
|                                                    |   |                    |   |   |              |   |   | 2005         |  
|                                                    |   |                    |   |   |              |   |   | (Inception)  |  
|                                                    |   | Nine Months Ended  |   |   | Through      |  
|                                                    |   | February
      28, |   |   | February 28, |  
|                                                    |   | 2007               |   |   | 2006         |   |   | 2007         |  
|Cash flows from operating activities:               |   |                    |   |   |              |   |   |              |  
|Net loss                                            | $ | (51,462            | ) | $ | (13,742      | ) | $ | (78,107      | )
|Adjustments to reconcile
      net loss to net cash |   |                    |   |   |              |   |   |              |  
|used in operating
      activities:                 |   |                    |   |   |              |   |   |              |  
|Office space and administrative support             |   |                    |   |   |              |   |   |              |  
|contributed by an officer (Note 2)                  |   | 150                |   |   | 1,050        |   |   | 1,900        |  
|Changes
      in operating assets and liabilities:  |   |                    |   |   |              |   |   |              |  
|Deferred
      offering costs                       |   | 5,000              |   |   | (5,000       | ) |   |             |  
|Accrued
      liabilities                           |   | 20,776             |   |   | (2,000       | ) |   | 27,358       |  
|Net cash used
      in                              |   |                    |   |   |              |   |   |              |  
|operating activities                                |   | (25,536            | ) |   | (19,692      | ) |   | (48,849      | )
|                                                    |   |                    |   |   |              |   |   |              |  
|Cash flows from financing activities:               |   |                    |   |   |              |   |   |              |  
|Proceeds from the sale of common stock              |   | 54,500             |   |   |             |   |   | 82,500       |  
|Offering costs                                      |   | (5,000             | ) |   |             |   |   | (5,000       | )
|Net
      cash provided by                          |   |                    |   |   |              |   |   |              |  
|financing activities                                |   | 49,500             |   |   |             |   |   | 77,500       |  
|                                                    |   |                    |   |   |              |   |   |              |  
|Net
      change in cash                            |   | 23,964             |   |   | (19,692      | ) |   | 28,651       |  
|                                                    |   |                    |   |   |              |   |   |              |  
|Effect of exchange rate changes on cash             |   | (44                | ) |   | 119          |   |   | 108          |  
|                                                    |   |                    |   |   |              |   |   |              |  
|Cash, beginning of period                           |   | 4,839              |   |   | 26,344       |   |   |             |  
|                                                    |   |                    |   |   |              |   |   |              |  
|Cash, end of period                                 | $ | 28,759             |   | $ | 6,771        |   | $ | 28,759       |  
|                                                    |   |                    |   |   |              |   |   |              |  
|Supplemental disclosure of cash flow information:   |   |                    |   |   |              |   |   |              |  
|Cash paid during the period for:                    |   |                    |   |   |              |   |   |              |  
|Income
      taxes                                  | $ |                   |   | $ |             |   | $ |             |  
|Interest                                            | $ |                   |   | $ |             |   | $ |             |  

See accompanying notes to condensed financial statements

---

THE CAVALIER GROUP 
  (An Exploration Stage Company) 
  Notes to Condensed Financial Statements 
  (Unaudited)

NOTE 1: BASIS OF PRESENTATION

The condensed financial statements presented herein have been
  prepared by the Company in accordance with the accounting policies in its audited
  financial statements for the period ended May 31, 2006 as filed in its Form
  10-KSB and should be read in conjunction with the notes thereto. The Company
  is in the exploration stage in accordance with Industry Guide 7. On April 25,
  2005, the Company entered into an option agreement to acquire 100 percent of
  the right, title and interest in a mineral claim located in northeast Ontario,
  Canada. (see Note 3).

In the opinion of management, all adjustments (consisting only
  of normal recurring adjustments) which are necessary to provide a fair presentation
  of operating results for the interim period presented have been made. The results
  of operations for the periods presented are not necessarily indicative of the
  results to be expected for the year.

Interim financial data presented herein are unaudited.

The Companys functional currency is the Canadian dollar;
  however, the accompanying financial statements and footnotes refer to United
  States (U.S.) dollars unless Canadian dollars are specifically designated
  with CDN.

NOTE 2: RELATED PARTY TRANSACTIONS

The Companys president contributed office space to the
  Company through May 31, 2006. The office space was valued at $100 per month
  based on the market rate in the local area and is included in the accompanying
  financial statements as contributed rent expense with a corresponding credit
  to additional paid-in capital.

The president contributed administrative services to the Company
  for the periods presented. The time and effort was recorded in the accompanying
  financial statements based on the prevailing rates for such services, which
  equaled $50 per hour based on the level of services performed. The services
  are reported as contributed administrative services with a corresponding credit
  to additional paid-in capital.

In February 2005, the Company sold 4,000,000 shares of its restricted
  common stock to its president for $4,000 ($.001/share).

NOTE 3: OPTION ON UNPROVEN MINERAL INTERESTS

Casa Claims Option Agreement (formerly referred to as the
  Mineta Resources Ltd. Option Agreement)

On April 25, 2005, the Company entered into an option agreement
  to acquire 100 percent of the right, title and interest in a mineral claim located
  in northeast Ontario, Canada. On November 30, 2006, the parties amended the
  agreement due to equipment malfunctions encountered during the drilling process.

---

The parties agreed to revise the exploration costs incurred through
  October 31, 2006 and 2007 to CDN$30,000 and CDN$120,000, respectively. The original
  agreement called for exploration costs of CDN$50,000 and CDN$100,000, respectively,
  as of October 31, 2006 and 2007.

Under the terms of the Option Agreement, the Company is required
  to:

| | A. | Make option exploration expenditures as follows:
| | -- | ------------------------------------------------

Exploration**Expenditures**
      
      
      
      
      
      Due DateCDN
      $
      30,000.00
      
      
      *
      
      
      October 31, 2006CDN
      
      120,000.00
      
      
      
      
      
      October 31, 2007$
      150,000.00


| | B. | Make annual payments of CDN$50,000, commencing January
        1, 2009, as long as the Company held any interest in the claim.
| | -- | ------------------------------------------------------------------------------------------------------------------------------

|* | During the three months ended November 30, 2006, the
        Company incurred CDN$30,000 (US$26,458) for exploration expenditures under
        the option agreement.
|- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------

In addition to the above terms, the optionor is to retain a three
  percent net smelter royalty.

NOTE 4: INCOME TAXES

The Company records its income taxes in accordance with SFAS
  No. 109, Accounting for Income Taxes. The Company incurred net operating
  losses during the periods shown on the condensed financial statements resulting
  in a deferred tax asset, which was fully allowed for; therefore, the net benefit
  and expense result in $-0- income taxes.

NOTE 5: SHAREHOLDERS EQUITY

The Company filed a Form SB-2 registration statement with the
  SEC on July 29, 2005 to offer up to 2,000,000 shares of the Companys common
  stock at a price of $0.05 per share. The registration statement became effective
  on January 31, 2006. During July 2006, the Company sold 1,090,000 common shares
  pursuant to the registration statement for net proceeds of $49,500, after deducting
  $5,000 of offering costs.

Between April 2005 and May 2005, the Company offered for sale
  3,000,000 shares at of its common stock at a price of $0.01 per share. The Company
  closed the offering after selling 2,400,000 shares for gross proceeds of $24,000.
  The offering was made in reliance on an exemption from registration of a trade
  in the United States under Rule 903 of Regulation S of the United States Securities
  Act of 1933, as amended.

---

THE CAVALIER GROUP 
  (An Exploration Stage Company) 
  Balance Sheet 
  May 31, 2006

|Assets                                                              |  
|------------------------------------------------------------------- | -
|Current assets:                                                     |  
|Cash                                                                | $
|Deferred offering costs                                             |  
|                                                                    | $
|                                                                    |  
|Liabilities and Shareholders
      Equity                          |  
|Current liabilities:                                                |  
|Accounts payable                                                    | $
|Accrued liabilities                                                 |  
|Total current liabilities                                           |  
|                                                                    |  
|Shareholders equity (Note 2):                                      |  
|Common stock, $.001 par value; 200,000,000
      shares authorized, |  
|6,400,000
      shares issued and outstanding                       |  
|Additional paid-in capital                                          |  
|Accumulated deficit                                                 |  
|Cumulative translation adjustment                                   |  
|Total shareholders equity                                          |  
|                                                                    | $

See accompanying notes to financial statements

---

2

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

Cautionary Statement Regarding Forward-Looking
Statements

This quarterly report contains forward-looking statements as
that term is defined in the Private Securities Litigation Reform Act of 1995.
These statements relate to future events or our future financial performance.
Some discussions in this report may contain forward-looking statements that
involve risk and uncertainty.

A number of important factors could cause our actual results to
differ materially from those expressed in any forward-looking statements made by
us in this report. Forward-looking statements are often identified by words
like: believe, expect, estimate, anticipate, intend, project and
similar expressions or words which, by their nature, refer to future events.

In some cases, you can also identify forward-looking statements
by terminology such as may, will, should, plans, predicts, potential
or continue or the negative of these terms or other comparable terminology.
These statements are only predictions and involve known and unknown risks,
uncertainties and other factors, including the risks in the section entitled
"Risk Factors", that may cause our or our industry's actual results, levels of
activity, performance or achievements to be materially different from any future
results, levels of activity, performance or achievements expressed or implied by
these forward-looking statements.

Although we believe that the expectations reflected in the
forward-looking statements are reasonable, we cannot guarantee future results,
levels of activity or achievements. Except as required by applicable law,
including the securities laws of the United States, we do not intend to update
any of the forward-looking statements to conform these statements to actual
results.

Our financial statements are stated in United States Dollars
(US$) and are prepared in accordance with United States Generally Accepted
Accounting Principles. All references to "common shares" refer to the common
shares in our capital stock.

As used in this annual report, the terms "we", "us", "our", and
"Cavalier" mean The Cavalier Group, unless otherwise indicated.

Glossary of Exploration Terms

The following terms, when used in this report, have the
respective meanings specified below:

|Development   | Preparation of a mineral deposit for commercial
      production, including installation of plant and machinery and the
      construction of all related facilities. The development of a mineral
      deposit can onlybe made after a commercially viable mineral
      deposit, a reserve, has been appropriately evaluated as economically and
      legally feasible.
|------------- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|              |                                                                                                                                                                                                                                                                                                                                                                            
|Diamond drill | A type of rotary drill in which the cutting is done by
      abrasion rather than percussion. The cutting bit is set with diamonds and
      is attached to the end of long hollow rods through which water is pumped
      to the cutting face. The drill cuts a core of rock, which is recovered in
      long cylindrical sections an inch or more in diameter.         
|              |                                                                                                                                                                                                                                                                                                                                                                            
|Exploration   | The prospecting, trenching, mapping, sampling,
      geochemistry, geophysics, diamond drilling and other work involved in
      searching for mineral bodies.                                                                                                                                                                                                             
|              |                                                                                                                                                                                                                                                                                                                                                                            
|Geochemistry  | Broadly defined as all parts of geology that involve
      chemical changes or narrowly defined as the distribution of the elements
      in the earths crust; the distribution and migration of the individual
      elements in the various parts of the earth.                                                                                                         
|              |                                                                                                                                                                                                                                                                                                                                                                            
|Geology       | The science that deals with the history of the earth and
      its life especially as recorded in the rocks; a chronological account of
      the events in the earths history.                                                                                                                                                                                           
|              |                                                                                                                                                                                                                                                                                                                                                                            
|Geophysics    | The science of the earth with respect to its structure,
      components and development.                                                                                                                                                                                                                                                                                  
|              |                                                                                                                                                                                                                                                                                                                                                                            
|Mineral       | A naturally occurring inorganic
        element or compound having an orderly internal structure and characteristic
        chemical composition, crystal form and physical properties.                                                                                                                                                                                    

---

3

|Mineral Reserve | A mineral reserve is that part
        of a mineral deposit which could be economically and legally extracted
        or produced at the time of the reserve determination.                                                                                                                                                                
|--------------- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|                |                                                                                                                                                                                                                                                                                                                                            
|Mineralization  | Rock containing an undetermined
        amount of minerals or metals.                                                                                                                                                                                                                                                                      
|                |                                                                                                                                                                                                                                                                                                                                            
|Oxide           | Mineralized rock in which some
        of the original minerals, usually sulphide, have been oxidized. Oxidation
        tends to make the mineral more porous and permits a more complete permeation
        of cyanide solutions so that minute particles of gold in the interior
        of the minerals will be more readily dissolved.

Foreign Currency and Exchange Rates

Dollar costs of Cavaliers property acquisition and planned
  exploration costs are in Canadian Dollars. For purposes of consistency and to
  express United States Dollars throughout this report, Canadian Dollars have
  been converted into United States currency at the rate of US $1.00 being approximately
  equal to CA $1.15 or CA $1.00 being approximately equal to US $0.86 which is
  the approximate average exchange rate during recent months and which is consistent
  with the incorporated financial statements.

---

THE FOLLOWING ANALYSIS OF THE RESULTS OF OPERATIONS AND FINANCIAL
  CONDITION OF THE CORPORATION FOR THE PERIOD ENDING FEBRUARY 28, 2007 SHOULD
  BE READ IN CONJUNCTION WITH THE CORPORATIONS CONSOLIDATED FINANCIAL STATEMENTS,
  INCLUDING THE NOTES THERETO CONTAINED ELSEWHERE IN THIS FORM 10-QSB.

Overview

We were incorporated in the State of Wyoming on February 11,
2005 as The Cavalier Group with a fiscal year end of May 31. Our statutory
registered agent's office is located at 1620 Central Avenue, Suite 202,
Cheyenne, Wyoming 82001 and our business office is located at 5728 - 125A
Street, Surrey, British Columbia V3X 3G8; telephone (604) 597-0028. There have
been no material reclassifications, mergers, consolidations or purchases or
sales of any significant amount of assets not in the ordinary course of business
since the date of incorporation. We are a start-up, exploration stage company
engaged in the search for gold and related minerals. There is no assurance that
a commercially viable mineral deposit, a reserve, exists in our claim or can be
shown to exist until sufficient and appropriate exploration is done and a
comprehensive evaluation of such work concludes economic and legal feasibility.

On April 25, 2005, we optioned a mineral property containing a
four block mining claim in Ontario, Canada by entering into an Option To
Purchase And Royalty Agreement with L. Gervais, the beneficial owner of the
claims, an arms-length Ontario resident, to acquire the claims by making certain
expenditures and carrying out certain exploration work on the claims. We can
acquire a 100% interest in the claim subject to the expenditure of a total of CA
$150,000 through a two-phase exploration program. In addition, the vendor
retains a 3% net smelter royalty. After January 1, 2009 payments of CA $50,000
per year are to be made as advance royalty to Gervais so long as Cavalier
retains an interest in the claim.

Under the terms of the agreement, Gervais granted to Cavalier
the sole and exclusive right to acquire 100 percent of the right, title and
interest of Gervais in the claims, subject to his receiving annual payments and
a royalty, in accordance with the terms of the agreement, as follows:

| | 1. | Cavalier must incur exploration expenditures on the
      claims of a minimum of CA $30,000, by October 31, 2006;                                                                      
| | -- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | 2. | Cavalier must incur exploration expenditures on the
      claims of a further CA $120,000, for an aggregate minimum exploration
      expense of CA $150,000, by October 31, 2007; and 
| | 3. | Upon exercise of the option, Cavalier is required to pay
      to Gervais, commencing January 1, 2009, the sum of CA $50,000 per annum,
      as prepayment of the net smelter royalty.

---

4

On February 28, 2007, the parties amended the agreement due to
equipment malfunctions encountered during the drilling process. We agreed to
revise the exploration costs incurred through October 31, 2006 and 2007 to CA
$30,000 and CA $120,000, respectively. The original agreement called for
exploration costs of $50,000 and $100,000, respectively, as of October 31, 2006
and 2007. The funds not spent on phase I will be added to the budget for phase
II.

The claims are located approximately 18 miles north of the
Eades railway station north of Lake Abitibi which is 100 miles east of Cochrane,
Ontario. Access is via muskeg tractor road and a gravel road (Road #643) that
extends north to the west boundary of the property.

To date we have completed the first phase of work on the
claims, excluding the diamond drilling phase, and have not spent any money on
research and development activities. Information about the claims was presented
to Mr. Williams for review without any contractual obligations.

We completed all of the work under the proposed phase I
exploration program with the exception of the diamond drilling phase on November
27, 2006. The drill rig that had been contracted ran into unexpected mechanical
problems shortly after commencing work. The problems were not able to be
corrected on site and our engineer was not able to locate another rig in
reasonable time to complete the program. As a result, the diamond drill portion
of the program was not carried out. Instead, we have agreed with Mr. Gervais,
the owner of the claims, to delay the diamond drilling part of the program until
phase II (thus decreasing the required expenditure on phase I and increasing the
required expenditure under phase II by a corresponding amount). It is
anticipated that we will have a report on the work accomplished during April,
2007.

The claims are unencumbered and there are no competitive
conditions which affect the claims. Further, there is no insurance covering the
claims. We believe that no insurance is necessary since the claims are
unimproved and contain no buildings or improvements.

The names, tenure numbers, date of recording and expiration
date of the claims are as follows:

Claim Name
    Number
    Recording Date
    Expiry Date
    Size (acres)Casa 1
    P 3012728
    February 02, 2004
    February 02, 2008
    40Casa 2
    P 3012010
    May 26, 2004
    May 26, 2008
    40Casa 3
    P 3019152
    December 07, 2004
    December 07, 2008
    640Casa 4
    P 3019153
    December 07, 2004
    December 07, 2008
    600


To keep the claims in good standing, such that they do not
expire on the date indicated in the preceding, we must carry out the phase II
exploration program prior to May 26, 2008 or pay $13,200 to prevent the claims
from reverting to the Crown.

Mr. R. S. Middleton, P. Eng., authored the Report On The Casa
Claims Group Property, dated May 19, 2005, in which he recommended a two-phase
exploration program to properly evaluate the potential of the claims; he has now
completed the field work in the first phase of the exploration program and is
preparing a written report on the work. Mr. Middleton is a Professional Engineer
in good standing in the Association of Professional Engineers of Ontario and the
Geological Association of Canada. He is a graduate of the Michigan Technological
University, (B.S., 1968 and M.S., 1969) and he has practiced his profession as
an exploration geologist for more than 35 years.

There are no parks or developments that would interfere with
exploration for or exploitation of any mineral deposits that might be located on
the claim. There are no disputes as to title or liens registered on the claim.

Mr. Gervais holds the mining rights to the claims which thereby
gives him or his designated agent, the rights to mine and recover all of the
minerals contained within the surface boundaries of the lease continued
vertically downward. In the event Gervais were to grant another deed which is
subsequently registered prior to our deed, the third party would obtain good
title and we would have nothing.

Gervais has granted an option to Cavalier to allow us to
explore, mine and recover any minerals on the claims. As with the preceding, if
Gervais were to grant an option to another party, that party would be able

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5

to enter the claims, carry out certain work commitments and
earn right and title to the claims; we would have little recourse as we would be
harmed, would not own any claims and would have to cease operations. However, in
either event, Mr. Gervais would be liable to us for monetary damages for breach
of the agreement. The extent of that liability would be for our out of pocket
costs for expenditures on the claims, if any, in addition to any lost
opportunity costs if the claims proved to be of value in the future. The
agreement does not specifically reference these risks or the recourse. Although
we would have recourse against Gervais in the situations described, there is a
question as to whether that recourse would have specific value.

Under Ontario law, if the ownership of the claims were to be
passed to us and the deed of ownership were to be recorded in our name, we would
have to pay a minimum of $4,000 and file other documents since we are a foreign
company in Canada. We would also be required to form an Ontario company which
would necessitate a board of directors, a majority of which would have to be
Ontario residents, and obtain audited financial statements for that company. We
have decided that if gold is discovered on the claims and it appears that it
might be economical to remove the gold, we will record the deed of ownership,
pay the additional tax and file as a foreign company or establish a corporate
subsidiary in Ontario. The decision to record or not record is ours solely.

Geology

The area is part of the Casa Berardi Berntbush portion of the
Abitibi Greenstone Belt. The rocks in the claim area are ancient in nature,
generally associated with the oldest Precambrian era and are mainly comprised of
iron rock forming silicas. The claim block is situated in a regional iron
formation and, therefore, a favourable base metal and precious metal host rock
series may exist on the property. These factors merely indicate the possibility
of gold being found on the Casa claim group. However, until exploration work is
completed it should be assumed that there is no gold on the property.

History

No previous work has been performed on the property. We have
now completed the field work of the first phase of our planned two-phase
exploration program and expect to have a report on the results of that work in
April, 2007.

Our Proposed Exploration Program  Plan of Operation

Our business plan is to proceed with the initial exploration of
the Casa claims to determine if there are commercially exploitable deposits of
gold and silver. Mr. R. S. Middleton, P. Eng., recommended a two-phase
exploration program to properly evaluate the potential of the claims. We have
now completed the field work of the first phase of our planned two-phase
exploration program and expect to have a report on the results of that work
shortly. If the report indicates that further work is warranted on the claims we
will move forward with the planning of phase II for late 2007.

We do not claim to have any ores or reserves whatsoever at this
time on our optioned claims.

Phase I of the recommended geological exploration program will
cost $26,000 based on the report which is a reflection of local costs for the
specified type of work; our most recent financial statements reflect this sum as
a payable. We had $28,759 in cash reserves as of February 28, 2007.

Prior to making decisions as to phase II we will review the
results of phase I and if the we have been successful in being able to add value
to the claims through the phase I work we will commence funding phase II to be
completed in mid to late 2007. Should phase I prove to have been unsuccessful in
adding value to the claims, the option will be terminated and no further
payments will be made.

Phase II will not be carried out until late 2007 or 2008 and
will be contingent upon favourable results from phase I and any specific
recommendations of Mr. Middleton. It will be directed towards a diamond drilling
program. The second phase may require up to three weeks work and will cost
approximately $90,000 comprised of wages, fees, camp, diamond drilling, assays
and related. The cost estimate is also based on a

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6

reflection of local costs for the specified type of work. A
further three months may be required for analysis, the preparation of a report
and evaluation on the work accomplished.

There is no power available on the property or within a
reasonable distance from the property. All contract work will involve bringing
to the site portable power generation units.

Although it may appear that phase II merely continues phase I,
such is not entirely the case. The work is phased in such a manner as to allow
decision points to ensure that future work has a value and will provide better
or additional information as to the viability of the claims. By utilizing a
multi-phase work program, at the end of each phase a decision can be made as to
whether the phase has provided the necessary information to increase the
viability of the project. If the information obtained as a result of any phase
indicates that there is no increased probability of finding an economically
viable deposit at the end of the project, a determination would be made that the
work should cease at that point. This is a standard procedure in the industry
prior to the commitment of additional funding to move a project forward to the
next phase of exploration and/or development.

Employees

Initially, we intend to use the services of subcontractors for
manual labour exploration work on our claims and an engineer or geologist to
manage the exploration program. Our only employees will be Gerald W. Williams
and Roy D. West our senior officer and directors.

At present, we have no employees, other than Messrs. Williams
& West. Neither has an employment agreement with us. We presently do not
have pension, health, annuity, insurance, stock options, profit sharing or
similar benefit plans; however, we may adopt such plans in the future.

We intend to hire geologists, engineers and excavation
subcontractors on an as needed basis. We have not entered into negotiations or
contracts with any of them although it is our intention to retain Mr. Middleton
as senior geological consultant as each phase of the exploration program
proceeds. We do not intend to initiate negotiations or hire anyone until we
receive proceeds from our offering.

Offices

Our offices are located at 5728 - 125A Street, Surrey, B.C.
Canada V3X 3G8.

Risks

At present we do not know whether or not the claims contain
commercially exploitable reserves of gold or any other valuable mineral.
Additionally, the proposed expenditures to be made by us in the exploration of
the claim may not result in the discovery of commercial quantities of ore.
Problems such as unusual or unexpected formations and other unanticipated
conditions are involved in mineral exploration and often result in unsuccessful
exploration efforts. In that case, we would be unable to complete our business
plan.

We have sufficient financial resources to complete the first
phase of our proposed exploration plan. However, in order to complete future
phases of our proposed exploration program we will need to raise additional
funding. Even if the first phase of our exploration program is deemed to be
successful there is no guarantee that we will be able to raise any additional
capital in order to finance the second or future phases.

Finally, even if our exploration program is successful we may
not be able to obtain commercial production. If our exploration is successful
and commercial quantities of ore are discovered we will require a significant
amount of additional funds to place the claim into commercial production. Should
we be unable to raise the additional funds required, we would be unable to see
the claim evolve into an operating mine and would have to cease operations.

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7

Results of Operations

Cavalier was incorporated on February 11, 2005; comparative
periods for the three and nine month periods ended February 28, 2006, and
February 11, 2005 (inception) through February 28, 2007 are presented in the
following discussion.

Since inception, we have used our common stock to raise money
for our optioned acquisition and for corporate expenses. Net cash provided by
financing activities (less offering costs) from inception on February 11, 2005
to February 28, 2007 was $77,500 as a result of proceeds received from sales of
our common stock.

The Corporation did not generate any revenues from operations
for the quarter ended February 28, 2007. To date, we have not generated any
revenues from our mineral exploration business.

REVENUES

REVENUE  Gross revenue for the quarter ended February 28, 2007
was $0 ($0 for the quarter ended February 28, 2006 $0 for the period from
inception to February 28, 2007). For the nine month periods ended February 28,
2007 and February 28, 2006, the comparative numbers were $0 and $0.

COMMON STOCK  Since inception, we have used our common stock
to raise money for our optioned acquisition and for corporate expenses. Net cash
provided by financing activities during the nine months ended February 28, 2007
was $49,500 compared to $0 for the nine months ended February 28, 2006 and
$77,500 received for the period from inception on February 11, 2005 through to
and including February 28, 2007. 1,090,000 common shares were issued at a price
of $0.05 per share during the past nine months pursuant to our SB-2 registration
statement whereby a minimum of 1,000,000 shares were being offered for sale. The
offering closed on July 31, 2006. No options or warrants were issued to issue
shares at a later date in the most recent quarter.

EXPENSES

SUMMARY  Total expenses were $8,473 in the quarter ended
February 28, 2007 compared to $4,110 in the previous quarter ended February 28,
2006 as the result of the commencement of Cavaliers business plan through the
completion of the field work of phase of our exploration program which was
largely conceptual at this period last year. For the nine month periods ended
February 28, 2007 and February 28, 2006, the comparative values were $51,462 and
$13,742 respectively. The change in costs this quarter occurred as the result of
our having completed the field work on phase I of the exploration program on our
optioned claim and having accrued the expected cost as a payable. A total of
$78,107 in expenses has been incurred since inception on February 11, 2005
through February 28, 2007. The costs can be subdivided into the following
categories.

CONTRIBUTED EXPENSES: $50 in contributed expenses (for
contributed administrative costs) were incurred for the quarter ended February
28, 2007 as compared to $350 for the period ended February 28, 2006 (for
contributed rent and contributed administrative costs) while a total of $1,900
was incurred in the period from inception on February 11, 2005 to February 28,
2007. For the nine month periods ended February 28, 2007 and February 28, 2006,
the comparative values were $150 and $1,050 respectively. The previous period
and inception to date figures include contributed rent which was provided by an
officer until May 31, 2006. Effective June 01, 2006, we are paying our share of
the rent of our premises. Contributed support costs are expected to run
consistent from period to period in the future. All contributed expenses are
reported as contributed costs with a corresponding credit to additional paid-in
capital.

PROFESSIONAL FEES: Cavalier incurred $1,000 in professional
fees for the quarter ended on February 28, 2007 as compared to $800 for the
quarter ended February 28, 2006. For the nine month periods ended February 28,
2007 and February 28, 2006, the comparative values were $5,730 and $2,850
respectively. From inception to February 11, 2005, we have incurred a total of
$14,630 in professional fees mainly spent on legal and accounting matters. This
cost category will have frequent swings in spending depending on our legal and
accounting requirements.

---

8

COMPENSATION: No compensation costs were incurred for the
quarter ended February 28, 2007 and no direct compensation costs have been
incurred since inception.

OFFICE EXPENSES: $3,854 in office costs were incurred in the
most recent quarter which ended on February 28, 2007 while $1,237 was incurred
for the quarter ended February 28, 2006. For the nine month periods ended
February 28, 2007 and February 28, 2006, the comparative values were $10,210 and
$3,359 respectively. Costs were higher for the current year as we entered the
first stage of our exploration program whereas in the previous year Cavalier had
not commenced operations. For the period February 11, 2005 (inception) through
February 28, 2007 a total of $15,984 has been spent on office related expenses.

TRAVEL AND MEAL EXPENSES: No travel or meal costs were incurred
in the most recent quarter which ended on February 28, 2007 and $143 was
incurred for the quarter ended February 28, 2006. For the nine month periods
ended February 28, 2007 and February 28, 2006, the comparative values were
$1,175 and $499 respectively. For the period February 11, 2005 (inception)
through February 28, 2007 a total of $4,619 has been spent on travel and meal
expenses.

BUSINESS PROMOTION & PUBLIC RELATIONS EXPENSES: $1,664 in
business promotion and public relations costs were incurred in the most recent
quarter which ended on February 28, 2007 while $743 was incurred for the quarter
ended February 28, 2006. For the nine month periods ended February 28, 2007 and
February 28, 2006, the comparative values were $4,465 and $1,912 respectively.
For the period February 11, 2005 (inception) through February 28, 2007 a total
of $6,377 has been spent on business, promotion and related expenses.

INCORPORATION OR ORGANIZATION EXPENSES: $0 in incorporation
costs were incurred in the most recent quarter and nine-month period which ended
on February 28, 2007. By comparison, $0 was incurred for the similar periods in
the previous fiscal year. For the period February 11, 2005 (inception) through
February 28, 2007 a total of $250 has been spent on incorporation costs related
to establishing our business.

OTHER GENERAL AND ADMINISTRATIVE COSTS: No other costs were
incurred in the current quarter under review while $10 was incurred for the
quarter ended February 28, 2006. For the nine month periods ended February 28,
2007 and February 28, 2006, the comparative values were $68 and $154
respectively. For the period February 11, 2005 (inception) through February 28,
2007, Cavalier has spent a total of $388 on other or miscellaneous expenses.

LICENCES, PERMITS AND FILING FEES: $1,306 in licences, permits
and filing costs were incurred in the current quarter under review while $827
was incurred for the quarter ended February 28, 2006. For the six month periods
ended February 28, 2007 and February 28, 2006, the comparative values were
$1,406 and $3,918 respectively. For the period February 11, 2005 (inception)
through February 28, 2007, Cavalier has spent a total of $5,701 on licences,
permits and filing fees.

MINERAL EXPLORATION AND FILING FEES: No mineral exploration or
related filing costs were incurred in the current quarter under review while $0
was incurred for the quarter ended February 28, 2006. For the nine month periods
ended February 28, 2007 and February 28, 2006, the comparative numbers were
$26,458 and $0 respectively. For the period February 11, 2005 (inception)
through February 28, 2007, Cavalier has spent a total of $26,458 on mineral
exploration and filing fees in exploring its optioned mineral property.

RENT: $600 in rental expenses were incurred in the current
quarter under review while $0 was incurred for the quarter ended February 28,
2006. For the six month periods ended February 28, 2007 and February 28, 2006,
the comparative values were $1,800 and $0 respectively. For the period February
11, 2005 (inception) through February 28, 2007, Cavalier has spent a total of
$1,800 on rental expenses. Until May 31, 2006, rent was provided by an officer
and director on the basis of contributed rent which was at no direct cost to
Cavalier but which was previously included as part of the contributed expenses
category. As of June 01, 2006, we are paying our share of the office rental at a
rate of $200 per month which will remain constant for the foreseeable future.

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9

NET CASH USED IN OPERATING ACTIVITIES: For the nine month period
  ended on February 28, 2007, $25,536 in net cash was used as compared to
  $19,692 having been used in the quarter ended February 28, 2006. A total
  of $48,849 in net cash has been used for the period from Inception on February
  11, 2005 to February 28, 2007.

INCOME TAX PROVISION: As a result of operating losses, there has been no provision for the payment of income taxes to date in 2006 or from the date of inception.

During the nine month period under review, Cavalier sold 1,090,000 shares of its common stock at a price of $0.05 pursuant to our SB-2 registration statement offering. As of the date of this report Cavalier has 7,490,000 common shares issued and
outstanding.

Cavalier continues to carefully control its expenses and overall costs as it moves forward with the development of its business plan. Cavalier does not have any employees and engages personnel through outside consulting contracts or agreements or
other such arrangements, including for legal, accounting and technical consultants.

EXPLORATION RESULTS

We planned a two-phase exploration program to properly evaluate the potential of the claims. Initially, we ran a grid over the entire property and reviewed maps of the results of past geological and geochemical programs and correlated all past
information to our grid. Our map essentially generated a drawing of the physical features of the claims as well as a depiction of what may have been found in relation to the boundaries of the property. We actually drew a scale map of the area and
made notes on it as to the location where anything was found that was of interest or not.

Geophysical surveying involves the measurement of various physical properties of the rocks at the site as well as interpreting that information in terms of the structure and nature of the rock. This work gives a general understanding of the location
and extent of mineralization at depth that are unreachable by surface excavations and provides a target for more extensive trenching and core drilling. The geologist took different surface and airborne measurements of the various physical properties
of the rocks and will interpret the results in terms of what we are seeking in his report. These methods include magnetic, electrical and seismic measurements. In addition, soil, stream sediment and rock samples were taken that appeared to be of
interest or which may have been markers indicating the possible presence of gold bearing rock in the area. Our engineer will then interpret all the data obtained, plot it on the map he generated and provide his best estimate of the chances of
finding gold and what additional efforts we must undertake in a follow-up phase. We expect to have that final report on the first phase of exploration work in April.

We completed all of the work under the phase I exploration program with the exception of the diamond drilling phase on November 27, 2006. The drill rig that had been contracted ran into unexpected mechanical problems shortly after commencing work.
The problems were not able to be corrected on site and our engineer was not able to locate another rig in reasonable time to complete the program. We have agreed with Mr. Gervais, the owner of the claims, to delay the diamond drilling part of the
program until phase II. It is anticipated that we will have a report on the work accomplished in phase shortly.

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10

Plan of Operation

Cavalier believes we can satisfy our cash requirements for the
current fiscal year end of May 31, 2007 with available cash on hand. As of
February 28, 2007, we had $1,401 in unallocated working capital.

For the balance of the current fiscal year to May 31, 2007 we
will concentrate our efforts on the evaluation of the phase I work program on
our optioned mineral property and seeking funding for the currently planned
phase II in late 2007 or 2008. Following industry trends and demands, we are
also considering the acquisition of other properties of merit. In either
situation, a new public offering might be needed and completed during a
subsequent period.

We have completed the field work of phase I of our exploration
program at an estimated cost of $26,000, based on the recommendations of Mr.
Middletons report, which costs are a reflection of local costs for the type of
work program planned. We will proceed to phase II only if we are also successful
in being able to secure the capital funding required to complete phase II and if
phase I has proven to be successful. Similarly, if phase II is not successful,
we will terminate the option on the claims.

If it turns out that we have not raised enough money to
complete our secondary exploration program, we will try to raise the funds from
a second public offering, a private placement, loans or the establishment of a
joint venture whereby a third party would pay the costs associated with phase II
and we would retain a carried interest. At the present time, we have not made
any plans to raise additional funds and there is no assurance that we would be
able to raise money in the future.

We do not expect any changes or more hiring of employees since
contracts are given on an as needed basis to consultants and sub-contractor
specialists in specific fields of expertise for the exploration works.

Presently, our revenues are not sufficient to meet operating
and capital expenses. We have incurred operating losses since inception, and
this is likely to continue through fiscal 2007 and 2008. Management projects
that we may require a total of $100,000 to $185,000 to fund our ongoing
operating expenses and working capital requirements for the next twelve months,
broken down as follows:

Operating expenses
    $35,000Phase II exploration program
    105,000Working Capital
    45,000Total
    $185,000


As at February 28, 2007, we had a working capital surplus of
$1,401. We do not anticipate that we will be able to satisfy any of these
funding requirements internally until we significantly increase our revenues.

Due to the uncertainty of our ability to meet our current
operating and capital expenses, in their report on the annual financial
statements for the year ended May 31, 2006, our independent auditors included an
explanatory paragraph regarding concerns about our ability to continue as a
going concern. Our financial statements contain additional note disclosures
describing the circumstances that lead to this disclosure by our independent
auditors.

There is substantial doubt about our ability to continue as a
going concern as the continuation of our business is dependent upon obtaining
further financing. The issuance of additional equity securities by us could
result in a significant dilution in the equity interests of our current
stockholders. Obtaining commercial loans, assuming those loans would be
available, will increase our liabilities and future cash commitments.

There are no assurances that we will be able to obtain further
funds required for our continued operations. We are pursuing various financing
alternatives to meet our financial requirements. There can be no assurance that
additional financing will be available to us when needed or, if available, that
it can be obtained on commercially reasonable terms. If we are not able to
obtain the additional financing on a timely basis, we will not be able to meet
our other obligations as they become due.

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11

Liquidity and Capital Resources

As of end of the last quarter on February 28, 2007, we have yet
to generate any revenues from our business operations.

Since inception, we have used our common stock to raise money
for our optioned acquisition and for corporate expenses. Net cash provided by
financing activities from inception on February 11, 2005 to February 28, 2007
was $77,500 as a result of gross proceeds received from sales of our common
stock (less offering costs). We issued 4,000,000 shares of common stock through
a Section 4(2) offering in February, 2005 for cash consideration of $4,000. We
issued 2,400,000 shares of common stock through a Regulation S offering in
April, 2005 for cash consideration of $24,000 to a total of 10 placees. Finally,
we issued 1,090,000 shares of common stock through a Regulation SB offering in
June and July, 2006 for cash consideration of $54,500 to a total of 42
placees.

As of February 28, 2007, our total assets which consist
entirely of cash and prepaid expenses amounted to $28,759 and our total
liabilities were $27,358. Working capital stood at $1,401.

For the quarter ended February 28, 2007, the net loss was
$8,473 ($0.0011 per share). The loss per share was based on a weighted average
of 7,490,000 common shares outstanding. For the same period ended February 28,
2006, the corresponding number was a loss of $4,110 ($0.0006 per share) based on
6,400,000 shares outstanding. The net loss from Inception to February 28, 2007
is $78,107.

Inflation / Currency Fluctuations

Inflation has not been a factor during the recent quarter ended
February 28, 2007. Inflation is moderately higher than it was during 2006 but
the actual rate of inflation is not material and is not considered a factor in
our contemplated capital expenditure program.

Controls and Procedures

A. Disclosure

Our principal executive and financial officer has, as of the
date of this report, evaluated the effectiveness of our disclosure controls and
procedures and has concluded that our procedures and controls are effective.
There have been no changes in the our internal controls or in other factors that
could affect these controls, including any corrective actions with regard to
deficiencies and material weaknesses.

B. Internal Control over Financial Reporting

Our certifying officers (principal executive and financial
officer are responsible for establishing and maintaining disclosure controls and
procedures (as defined in Exchange Act Rules 13a-14 and 15d-14) for Arkanova.
Our Chief Executive Officer and Chief Financial Officer have:

| | a) | designed a framework to evaluate the effectiveness of our
      internal control over our financial reporting as required by paragraph (c)
      of Rule 13a-15 or Rule 15d-15 through the use of ongoing review and checks
      and balances for all transactions and decisions; we have designed
      disclosure controls and procedures to ensure that material information
      relating to our affairs, including our consolidated subsidiaries, is made
      known to us by others within those entities, particularly during the
      period in which this quarterly report is being prepared;
| | -- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | b) | evaluated the effectiveness of our disclosure controls
      and procedures as of the filing date of this quarterly report (the
      "Evaluation Date"); and                                                                                                                                                                                                                                                                                                                                                                                                                                             
| | c) | presented in this quarterly report our conclusions about
      the effectiveness of the disclosure controls and procedures based on our
      evaluation as of the Evaluation Date; and                                                                                                                                                                                                                                                                                                                                                                                                                   

There have been no changes in the our internal controls or in
  other factors that could affect these controls including any corrective actions
  with regard to deficiencies and material weaknesses.

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12

PART II  OTHER INFORMATION

Item 1. Legal Proceedings

The Corporation is and has not been party to any legal
proceedings in the preceeding quarter.

Item 2. Changes in Securities

Cavalier had 7,490,000 shares of common stock issued and
outstanding as of April 10, 2007. Of these shares, approximately 4,000,000
shares are held by an affiliate of the Corporation; none of those shares can be
resold in compliance with the limitations of Rule 144 as adopted by the
Securities Act of 1933, as amended (the Securities Act).

In general, under Rule 144, a person who has beneficially owned
shares privately acquired directly or indirectly from us or from one of our
affiliates, for at least one year, or who is an affiliate, is entitled to sell,
within any three-month period, a number of shares that do not exceed the greater
of 1% of the then outstanding shares or the average weekly trading volume in our
shares during the four calendar weeks immediately preceding such sale. Sales
under Rule 144 are also subject to certain manner of sale provisions, notice
requirements and the availability of current public information about us. A
person who is not deemed to have been an affiliate at any time during the 90
days preceding the sale, and who has beneficially owned restricted shares for at
least two years, is entitled to sell all such shares under Rule 144 without
regard to the volume limitations, current public information requirements,
manner of sale provisions or notice requirements.

The issuances discussed under this section are exempted from
registration under Rule 903 of Regulation S of the Securities Act (Reg. S) or
Section 4(2) of the Securities Act (Section 4(2)), as provided. All purchasers
of our securities acquired the shares for investment purposes only and all stock
certificates reflect the appropriate legends as appropriate. No underwriters
were involved in connection with the sale of securities referred to in this
report.

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

No matter has been submitted to a vote of security holders
during the preceeding quarter.

Item 5. Other Information

Use of Proceeds

Net cash provided by financing activities from inception on
February 11, 2005 to February 28, 2007 was $77,500 as a result of proceeds
received from sales of our common stock. During that same period, the following
table indicates how the proceeds have been spent to date:

Professional Fees
    14,630Mineral Interest Exploration Costs
    26,458Office Expenses
    15,984Licenses, Permits and Filing Fees
    5,701Organizational Costs
    250Business Promotion & Public Relations
    6,377Travel and Meals
    4,619Rent
    1,800Other Costs
    388Total Use of
      Proceeds to February 28, 2007
    76,207


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13

Common Stock

During the six month period ended February 28, 2007, 1,090,000
shares of common stock were issued at a price of $0.05 per share pursuant to our
SB-2 registration statement which became effective on January 31, 2006. As of
February 28, 2007, there were 7,490,000 shares issued and outstanding and as of
April 10, 2007 there were 7,490,000 shares outstanding.

Options

No options were granted during the nine-month period ending
February 28, 2007.

Item 6. Exhibits and Reports on Form 8-K

Reports on Form 8-K filed during the quarter ended February 28,
2007: NONE

Exhibits

|31.1 | Certification of Chief Executive
        Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section
        302 of the Sarbanes-Oxley Act of 2002.
|---- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------
|     |                                                                                                                                                                   
|31.2 | Certification of Chief Financial
        Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section
        302 of the Sarbanes-Oxley Act of 2002.
|     |                                                                                                                                                                   
|32.1 | Certification of Chief Executive
        Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section
        906 of the Sarbanes-Oxley Act of 2002.
|     |                                                                                                                                                                   
|32.2 | Certification of Chief Financial
        Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section
        906 of the Sarbanes-Oxley Act of 2002.

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14

SIGNATURES

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

The Cavalier Group (Registrant)

Date: April 12, 2007

BY: /s/ Gerald W. Williams

Gerald W. Williams, President, Chief
Executive Officer, Principal Executive Officer, Secretary, Treasurer, Chief
Financial Officer, Principal Financial Officer and a Member of the Board of
Directors

BY: /s/ Roy D. West

Roy D. West, Member of the Board of
Directors

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