**UNITED      STATES**

**SECURITIES      AND EXCHANGE COMMISSION**

**Washington,      D.C. 20549**

**FORM      10-QSB**

| x | **QUARTERLY                REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF                1934** |
|---|---------------------------------------------------------------------------------------------------------------------|

**OR**

| o | **TRANSITION                REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE                ACT OF                1934** |
|---|-------------------------------------------------------------------------------------------------------------------------------------------|

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|  NEVADA                                                                                                      |   |  20-1044677                                                                    |
|-------------------------------------------------------------------------------------------------------------------|--------|-------------------------------------------------------------------------------------|
|  (State                or other jurisdiction of                incorporation or                organization) |   |   (I.R.S.                Employer Identification                No.) |

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**ENERGENX,      INC.**

**INDEX**

**PART      I. FINANCIAL INFORMATION**

| **Item                1.                            Financial                Statements.** |                                                                                                                                      |
|--------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                   |                                                                                                                                      |   |
| PART                I.                                                                                                                                 | FINANCIAL                INFORMATION                                                                                                      |   |
|                                                                                                                                                   |                                                                                                                                      |   |
| Item                1.                                                                                                                                 | Financial                Statements                                                                                                       |   |
|                                                                                                                                                   |                                                                                                                                      |   |
|                                                                                                                                                   | Balance                Sheets as of September 30, 2007 (unaudited) and December 31, 2006                (audited)                         | 1 |
|                                                                                                                                                   |                                                                                                                                      |   |
|                                                                                                                                                   | Statements                of Operations (unaudited) for the three months and nine months ended                September 30, 2007 and 2006 | 2 |
|                                                                                                                                                   |                                                                                                                                      |   |
|                                                                                                                                                   | Statements                of Cash Flows (unaudited) for the nine months ended September 30,                2007 and                2006   | 3 |
|                                                                                                                                                   |                                                                                                                                      |   |
|                                                                                                                                                   | Condensed                Notes to Financial Statements                                                                                    | 4 |
|                                                                                                                                                   |                                                                                                                                      |   |
| Item                2.                                                                                                                                 | Management’s                Discussion and Analysis or Plan of Operations                                                           | 10 |
|                                                                                                                                                   |                                                                                                                                      |   |
| Item                3.                                                                                                                                 | Controls                and Procedures                                                                                                    | 14 |
|                                                                                                                                                   |                                                                                                                                      |   |
| PART                II.                                                                                                                                | OTHER                INFORMATION                                                                                                          | 14 |
|                                                                                                                                                   |                                                                                                                                      |   |
| Item                6.                                                                                                                                 | Exhibits                                                                                                                                  | 14 |

----

**ENERGENX,      INC.**     

**(A      Development Stage Company)**

**BALANCE      SHEETS**

|                                                                                                                                                                           |   |   |   | September                30, |   | December                31, |   |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|--------|------------------------------|--------|-----------------------------|--------|
|                                                                                                                                                                           |   |   |   | 2007                         |   | 2006                        |   |
|                                                                                                                                                                           |   |   |   | (unaudited)                  |   |                        |   |
| **ASSETS**                                                                                                                                                                     |   |   |   |                         |   |
|                                                                                                                                                                           |   |   |   |                         |   |                        |   |
| **CURRENT                ASSETS**                                                                                                                                              |   |   |   |                         |   |                        |   |
| Cash                                                                                                                                                                           |   |   |   |                         | $      | 646,276                     |   | $ | 499,235 |   |
| Notes                receivable- related party                                                                                                                                 |   |   |   |                         |   | 11,559                      |   |   | 11,229 |   |
| Prepaid                expense                                                                                                                                                 |   |   |   |                         |   | 16,565                      |   |   | 38,401 |   |
| Total                Current Assets                                                                                                                                            |   |   |   |                         |   | 674,400                     |   |   | 548,865 |   |
|                                                                                                                                                                           |   |   |   |                         |   |                        |   |   |   |   |
| **PROPERTY                AND EQUIPMENT, NET**                                                                                                                                 |   |   |   |                         |   | 19,953                      |   |   | 20,470 |   |
|                                                                                                                                                                           |   |   |   |                         |   |                        |   |   |   |   |
| **OTHER                ASSETS**                                                                                                                                                |   |   |   |                         |   |                        |   |   |   |   |
| License,                net of accumulated amortization                                                                                                                        |   |   |   |                         |   | 56,200                      |   |   | 61,600 |   |
| Patents,                net of accumulated amortization                                                                                                                        |   |   |   |                         |   | 37,762                      |   |   | 37,117 |   |
| Total                Other Assets                                                                                                                                              |   |   |   |                         |   | 93,962                      |   |   | 98,717 |   |
|                                                                                                                                                                           |   |   |   |                         |   |                        |   |   |   |   |
| **TOTAL                ASSETS**                                                                                                                                                |   |   |   |                         | $      | 788,315                     |   | $ | 668,052 |   |
|                                                                                                                                                                           |   |   |   |                         |   |                        |   |   |   |   |
| **LIABILITIES                AND STOCKHOLDERS' EQUITY (DEFICIT)**                                                                                                              |   |   |   |                         |   |                        |
|                                                                                                                                                                           |   |   |   |                         |   |                        |   |   |   |   |
| **CURRENT                LIABILITIES**                                                                                                                                         |   |   |   |                         |   |                        |   |   |   |   |
| Accounts                payable                                                                                                                                                |   |   |   |                         | $      | 9,290                       |   | $ | 8,890 |   |
| Interest                payable                                                                                                                                                |   |   |   |                         |   | -                           |   |   | 2,674 |   |
| Interest                payable - related parties                                                                                                                              |   |   |   |                         |   | -                           |   |   | 2,607 |   |
| Payroll                taxes payable                                                                                                                                           |   |   |   |                         |   | 12,310                      |   |   | 37,216 |   |
| Deposit                on common stock                                                                                                                                         |   |   |   |                         |   | -                           |   |   | 600,000 |   |
| Deposit                on license                                                                                                                                              |   |   |   |                         |   | 5,000                       |   |   | 5,000 |   |
| Notes                payable                                                                                                                                                   |   |   |   |                         |   | -                           |   |   | 1,660 |   |
| Accrued                payroll                                                                                                                                                 |   |   |   |                         |   | 21,950                      |   |   | 56,950 |   |
| Total                Current Liabilities                                                                                                                                       |   |   |   |                         |   | 48,550                      |   |   | 714,997 |   |
|                                                                                                                                                                           |   |   |   |                         |   |                        |   |   |   |   |
| **COMMITMENTS                AND CONTINGENCIES**                                                                                                                               |   |   |   |                         |   | -                           |   |   | - |   |
|                                                                                                                                                                           |   |   |   |                         |   |                        |   |   |   |   |
| **STOCKHOLDERS'                EQUITY (DEFICIT)**                                                                                                                              |   |   |   |                         |   |                        |   |   |   |   |
|                   Preferred stock, $.001 par value; 5,000,000 shares authorized, no                shares                issued or outstanding                       |   |   |   |                         |   | -                           |   |   | - |   |
|                                                                                                                                                                                |   |   |   |                         |   |                        |   |   |   |   |
| Common                stock, $.001 par value; 55,000,000 shares authorized, 29,697,276                and                27,497,276 shares issued and oustanding, respectively |   |   |   |                         |   | 29,697                      |   |   | 27,497 |   |
| Additional                paid-in capital                                                                                                                                      |        |        |        |                              |        | 3,273,517              |        |  | 2,175,717 |   |
| Deficit                accumulated during development stage                                                                                                                    |   |   |   |                         |   | (2,563,449                  | )      |   | (2,250,159 | ) |
| Total                Stockholders' Equity (Deficit)                                                                                                                            |   |   |   |                         |   | 739,765                     |   |   | (46,945 | ) |
|                                                                                                                                                                           |   |   |   |                         |   |                        |   |   |   |   |
| **TOTAL                LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)**                                                                                                        |   |   |   |                         | $      | 788,315                     |   | $ | 668,052 |   |

----

**ENERGENX,      INC.**

**(A      Development Stage Company)**

**STATEMENTS      OF OPERATIONS**

|                                                                                                                                             |   |  Three                Months Ended September 30,                2007 |                     |  Three                Months Ended September 30,                2006 |   |  Nine                Months Ended September 30,                2007 |   | Nine                Months Ended September 30,                2006 |       |  From                September 29,                1999                (Inception) to                September 30, 2007 |   |
|--------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------------------------------------|--------------------------|--------------------------------------------------------------------------------|--------|-------------------------------------------------------------------------------|--------|-------------------------------------------------------------------------|------------|--------------------------------------------------------------------------------------------------------------------------------------------|--------|
|                                                                                                                                             |   | (unaudited)                                                                    |                          | (unaudited)                                                                    |   | (unaudited)                                                                   |   | (unaudited)                                                             |       | (unaudited)                                                                                                                                |   |
| **REVENUES**                                                                                                                                     |   | $                                                                              | -                        |                                                                           |   | -                                                                             |   | $                                                                       | 3,735      |                                                                                                                                       |   | - |   | $ | 3,735 |   |
|                                                                                                                                             |   |                                                                           |                     |                                                                           |   |                                                                          |   |                                                                    |       |                                                                                                                                       |   |   |   |   |   |   |
| **COST                OF GOODS SOLD**                                                                                                            |   |                                                                           |      |                                                                           |   | -                                                                             |   |                                                                    | 869        |                                                                                                                                       |   | - |   |   | 869 |   |
|                                                                                                                                             |   |                                                                           |                     |                                                                           |   |                                                                          |   |                                                                    |       |                                                                                                                                       |   |   |   |   |   |   |
| **GROSS                PROFIT**                                                                                                                  |   |                                                                           | -                        |                                                                           |   | -                                                                             |   |                                                                    | 2,866      |                                                                                                                                       |   | - |   |   | 2,866 |   |
|                                                                                                                                             |   |                                                                           |                     |                                                                           |   |                                                                          |   |                                                                    |       |                                                                                                                                       |   |   |   |   |   |   |
|                                                                                                                                             |   |                                                                           |                     |                                                                           |   |                                                                          |   |                                                                    |       |                                                                                                                                       |   |   |   |   |   |   |
| **OPERATING                EXPENSES**                                                                                                            |   |                                                                           |                     |                                                                           |   |                                                                          |   |                                                                    |       |                                                                                                                                       |   |   |   |   |   |   |
| Amortization                and depreciation                                                                                                     |   |                                                                           | 5,896                    |                                                                           |   | 5,016                                                                         |   |                                                                    | 17,764     |                                                                                                                                       |   | 15,479 |   |   | 129,782 |   |
| Board                of directors fees                                                                                                           |   |                                                                           | -                        |                                                                           |   | -                                                                             |   |                                                                    | -          |                                                                                                                                       |   | - |   |   | 60,000 |   |
| Consulting                                                                                                                                       |   |                                                                           | -                        |                                                                           |   | 2,000                                                                         |   |                                                                    | -          |                                                                                                                                       |   | 4,500 |   |   | 316,029 |   |
| General                and administrative                                                                                                        |   |                                                                           | 9,861                    |                                                                           |   | 19,052                                                                        |   |                                                                    | 44,453     |                                                                                                                                       |   | 52,192 |   |   | 247,456 |   |
| Legal                and accounting                                                                                                              |   |                                                                           | 8,201                    |                                                                           |   | 13,691                                                                        |   |                                                                    | 44,408     |                                                                                                                                       |   | 34,669 |   |   | 202,816 |   |
| License                and fees                                                                                                                  |   |                                                                           | -                        |                                                                           |   | 1,372                                                                         |   |                                                                    | 15         |                                                                                                                                       |   | - |   |   | 107,539 |   |
| Marketing                                                                                                                                        |   |                                                                           | -                        |                                                                           |   | -                                                                             |   |                                                                    | -          |                                                                                                                                       |   | - |   |   | 19,464 |   |
| Rent                                                                                                                                             |   |                                                                           | 7,200                    |                                                                           |   | 7,200                                                                         |   |                                                                    | 21,600     |                                                                                                                                       |   | 21,000 |   |   | 209,668 |   |
| Research                and development                                                                                                          |   |                                                                           | 40,180                   |                                                                           |   | 44,914                                                                        |   |                                                                    | 119,770    |                                                                                                                                       |   | 151,519 |   |   | 548,016 |   |
| Salaries                and benefits                                                                                                             |   |                                                                           | 16,487                   |                                                                           |   | 35,372                                                                        |   |                                                                    | 69,736     |                                                                                                                                       |   | 95,556 |   |   | 693,591 |   |
| Travel                                                                                                                                           |   |                                                                           | -                        |                                                                           |   | -                                                                             |   |                                                                    | 990        |                                                                                                                                       |   | - |   |   | 2,570 |   |
|  **TOTAL                OPERATING EXPENSES**                                                                                                |   |                                                                           | 87,825                   |                                                                           |   | 128,617                                                                       |   |                                                                    | 318,736    |                                                                                                                                       |   | 374,915 |   |   | 2,536,931 |   |
|                                                                                                                                             |   |                                                                           |                     |                                                                           |   |                                                                          |   |                                                                    |       |                                                                                                                                       |   |   |   |   |   |   |
| **LOSS                FROM OPERATIONS**                                                                                                          |   |                                                                           | (87,825                  | )                                                                              |   | (128,617                                                                      | )      |                                                                    | (315,870   | )                                                                                                                                          |   | (374,915 | ) |   | (2,534,065 | ) |
|                                                                                                                                             |   |                                                                           |                     |                                                                           |   |                                                                          |   |                                                                    |       |                                                                                                                                       |   |   |   |   |   |   |
| **OTHER                INCOME (EXPENSES)**                                                                                                       |   |                                                                           |                     |                                                                           |   |                                                                          |   |                                                                    |       |                                                                                                                                       |   |   |   |   |   |   |
| Interest                income                                                                                                                   |   |                                                                           | 630                      |                                                                           |   |                                                                          |   |                                                                    | 1,602      |                                                                                                                                       |   |   |   |   | 1,794 |   |
| Other                income                                                                                                                      |   |                                                                           |                     |                                                                           |   |                                                                          |   |                                                                    |       |                                                                                                                                       |   |   |   |   | 110 |   |
| Interest                expense                                                                                                                  |   |                                                                           |                     |                                                                           |   |                                                                          |   |                                                                    |       |                                                                                                                                       |   | (110 | ) |   | (34,877 | ) |
| Loss                on disposal of asset                                                                                                         |   |                                                                           |                     |                                                                           |   |                                                                          |   |                                                                    | (21        | )                                                                                                                                          |   |   |   |   | (1,730 | ) |
| Gain                on forgiveness of debt                                                                                                       |   |                                                                           |                     |                                                                           |   |                                                                          |   |                                                                    | 1,000      |                                                                                                                                       |   |       |   |   | 5,319 |   |
|  **TOTAL                OTHER INCOME (EXPENSES)**                                                                                           |   |                                                                           | 630                      |                                                                           |   | -                                                                             |   |                                                                    | 2,581      |                                                                                                                                       |   | (110 | ) |   | (29,384 | ) |
|                                                                                                                                             |   |                                                                           |                     |                                                                           |   |                                                                          |   |                                                                    |       |                                                                                                                                       |   |   |   |   |   |   |
| **LOSS                BEFORE TAXES**                                                                                                             |   |                                                                           | (87,195                  | )                                                                              |   | (128,617                                                                      | )      |                                                                    | (313,289   | )                                                                                                                                          |   | (375,025 | ) |   | (2,563,449 | ) |
|                                                                                                                                             |   |                                                                           |                     |                                                                           |   |                                                                          |   |                                                                    |       |                                                                                                                                       |   |   |   |   |   |   |
| **INCOME                TAXES**                                                                                                                  |   |                                                                           | -                        |                                                                           |   | -                                                                             |   |                                                                    | -          |                                                                                                                                       |   | - |   |   | - |   |
|                                                                                                                                             |   |                                                                           |                     |                                                                           |   |                                                                          |   |                                                                    |       |                                                                                                                                       |   |   |   |   |   |   |
| **NET                LOSS**                                                                                                                      |   | $                                                                              | (87,195                  | )                                                                              |   | (128,617                                                                      | )      | $                                                                       | (313,289   | )                                                                                                                                          |   | (375,025 | ) | $ | (2,563,449 | ) |
|                                                                                                                                                  |   |                                                                           |                     |                                                                           |   |                                                                          |   |                                                                    |       |                                                                                                                                       |   |   |   |   |   |   |
|                  NET                  LOSS PER COMMON SHARE, BASIC                  AND DILUTED                                             |   | $                                                                              | nil                      |                                                                           |   | nil                                                                           |   | $                                                                       | (0.01      | )                                                                                                                                          |   | (0.01 | ) |   |   |   |
|                                                                                                                                             |   |                                                                           |                     |                                                                           |   |                                                                          |   |                                                                    |       |                                                                                                                                       |   |   |   |   |   |   |
|                                                                                                                                             |   |                                                                           |                     |                                                                           |   |                                                                          |   |                                                                    |       |                                                                                                                                       |   |   |   |   |   |   |
| WEIGHTED                  AVERAGE NUMBER OF  COMMON                  STOCK SHARES OUTSTANDING,                  BASIC AND DILUTED |   |                                                                           | 29,697,000               |                                                                           |   | 27,497,276                                                                    |   |                                                                    | 29,697,000 |                                                                                                                                       |   | 27,497,276 |   |   |   |   |

----

**ENERGENX,      INC.** 

**(A      Development Stage Company)**

**STATEMENTS      OF CASH FLOWS**

|                                                                                                                   |   | Nine                Months Ended                September                30, 2007                (unaudited) |     |  Nine                Months Ended                September                30, 2006                (unaudited) |   |  From                September                29, 1999                (Inception)                to September 30, 2007                (unaudited) |   |
|------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------------------------------------------------------------------|----------|--------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
| **CASH                FLOWS FROM OPERATING ACTIVITIES:**                                                               |   |                                                                                                         |     |                                                                                                               |   |                                                                                                                                                   |   |   |   |   |
| Net                loss                                                                                                |   | $                                                                                                            | (313,289 | )                                                                                                                  | $      | (374,805                                                                                                                                               | )      | $ | (2,563,448 | ) |
| Stock                issued for directors fees                                                                         |   |                                                                                                         | -        |                                                                                                               |   | -                                                                                                                                                      |   |   | 50,000 |   |
| Stock                issued for consulting fees                                                                        |   |                                                                                                         | -        |                                                                                                               |   | -                                                                                                                                                      |   |   | 110,000 |   |
| Stock                issued for services                                                                               |   |                                                                                                         | -        |                                                                                                               |   | -                                                                                                                                                      |   |   | 55,366 |   |
| Stock                issued for licensing fees                                                                         |   |                                                                                                         | -        |                                                                                                               |   | -                                                                                                                                                      |   |   | 100,000 |   |
| Stock                issued for payment of interest                                                                    |   |                                                                                                         | -        |                                                                                                               |   | -                                                                                                                                                      |   |   | 8,300 |   |
| Gain                on debt forgiveness                                                                                |   |                                                                                                         | (1,000   | )                                                                                                                  |   | -                                                                                                                                                      |   |   | (5,319 | ) |
| Loss                on disposal of asset                                                                               |   |                                                                                                         | 21       |                                                                                                               |   | -                                                                                                                                                      |   |   | 1,827 |   |
| Amortization                and depreciation                                                                           |   |                                                                                                         | 17,764   |                                                                                                               |   | 15,479                                                                                                                                                 |   |   | 129,786 |   |
| Adjustments                to reconcile net (loss) to net cash provided (used) by operating                activities: |   |                                                                                                         |     |                                                                                                               |   |                                                                                                                                                   |   |   |   |   |
| Decrease                (increase) in note receivable                                                                  |   |                                                                                                         | (990     | )                                                                                                                  |   | 220                                                                                                                                                    |   |   | (12,219 | ) |
| Decrease                (increase) in prepaids                                                                         |   |                                                                                                         | 21,836   |                                                                                                               |   | (39,364                                                                                                                                                | )      |   | 21,837 |   |
| Decrease                in deposits                                                                                    |   |                                                                                                         |     |                                                                                                               |   | -                                                                                                                                                      |   |   | (38,402 | ) |
| Increase                in deposit liability                                                                           |   |                                                                                                         |     |                                                                                                               |   | 5,000                                                                                                                                                  |   |   | 5,000 |   |
| Increase                (decrease) in interest payable                                                                 |   |                                                                                                         | (5,281   | )                                                                                                                  |   | -                                                                                                                                                      |   |   | - |   |
| Increase                (decrease) in accounts payable                                                                 |   |                                                                                                         | 399      |                                                                                                               |   | 901                                                                                                                                                    |   |   | 13,603 |   |
| Increase                (decrease) in accrued payroll                                                                  |   |                                                                                                         | (35,000  | )                                                                                                                  |   | 24,350                                                                                                                                                 |   |   | 21,950 |   |
| Increase                (decrease) in payroll taxes payable                                                            |   |                                                                                                         | (24,905  | )                                                                                                                  |   | 26,335                                                                                                                                                 |   |   | 12,311 |   |
| Increase                (decrease) in inventory                                                                        |   |                                                                                                         |     |                                                                                                               |   | (7,483                                                                                                                                                 | )      |   | - |   |
| Net                cash used by operating activities                                                                   |   |                                                                                                         | (340,445 | )                                                                                                                  |   | (349,367                                                                                                                                               | )      |   | (2,089,408 | ) |
|                                                                                                                   |   |                                                                                                         |     |                                                                                                               |   |                                                                                                                                                   |   |   |   |   |
| **CASH                FLOWS FROM INVESTING ACTIVITIES:**                                                               |   |                                                                                                         |     |                                                                                                               |   |                                                                                                                                                   |   |   |   |   |
| Cash                paid for patent                                                                                    |   |                                                                                                         | (6,374   | )                                                                                                                  |   | (1,450                                                                                                                                                 | )      |   | (76,324 | ) |
| Cash                paid for equipment purchased                                                                       |   |                                                                                                         | (6,140   | )                                                                                                                  |   | (5,371                                                                                                                                                 | )      |   | (50,873 | ) |
| Cash                paid for leasehold improvements                                                                    |   |                                                                                                         | -        |                                                                                                               |   | -                                                                                                                                                      |   |   | (6,733 | ) |
| Net                cash used by investing activities                                                                   |   |                                                                                                         | (12,514  | )                                                                                                                  |   | (6,821                                                                                                                                                 | )      |   | (133,930 | ) |
|                                                                                                                   |   |                                                                                                         |     |                                                                                                               |   |                                                                                                                                                   |   |   |   |   |
| **CASH                FLOWS FROM FINANCING ACTIVITIES:**                                                               |   |                                                                                                         |     |                                                                                                               |   |                                                                                                                                                   |   |   |   |   |
| Cash                paid for stock offering costs                                                                      |   |                                                                                                         |     |                                                                                                               |   |                                                                                                                                                   |   |   | (62,130 | ) |
| Merger                and recapitalization costs                                                                       |   |                                                                                                         | -        |                                                                                                               |   | -                                                                                                                                                      |   |   | (4,300 | ) |
| Proceeds                from issuance of convertible debt                                                              |   |                                                                                                         | -        |                                                                                                               |   | -                                                                                                                                                      |   |   | 60,010 |   |
| Proceeds                from notes payable                                                                             |   |                                                                                                         | -        |                                                                                                               |   | -                                                                                                                                                      |   |   | 199,610 |   |
| Payment                of notes payable                                                                                |   |                                                                                                         | -        |                                                                                                               |   | -                                                                                                                                                      |   |   | (109,882 | ) |
| Increase                in deposit on common stock                                                                     |   |                                                                                                         | -        |                                                                                                               |   | -                                                                                                                                                      |   |   | 600,000 |   |
| Proceeds                from sale of common stock                                                                      |   |                                                                                                         | 500,000  |                                                                                                               |   | 200,000                                                                                                                                                |   |   | 2,186,306 |   |
| Net                cash provided by financing activities                                                               |   |                                                                                                         | 500,000  |                                                                                                               |   | 200,000                                                                                                                                                |   |   | 2,869,614 |   |
|                                                                                                                   |   |                                                                                                         |     |                                                                                                               |   |                                                                                                                                                   |   |   |   |   |
| Change                in cash                                                                                          |   |                                                                                                         | 147,041  |                                                                                                               |   | (156,188                                                                                                                                               | )      |   | 646,276 |   |
|                                                                                                                   |   |                                                                                                         |     |                                                                                                               |   |                                                                                                                                                   |   |   |   |   |
| **Cash,                beginning of period**                                                                           |   |                                                                                                         | 499,235  |                                                                                                               |   | 169,451                                                                                                                                                |   |   | - |   |
|                                                                                                                   |   |                                                                                                         |     |                                                                                                               |   |                                                                                                                                                   |   |   |   |   |
| **Cash,                end of period**                                                                                 |   | $                                                                                                            | 646,276  |                                                                                                               | $      | 13,263                                                                                                                                                 |   | $ | 646,276 |   |
|                                                                                                                   |   |                                                                                                         |     |                                                                                                               |   |                                                                                                                                                   |   |   |   |   |
| **SUPPLEMENTAL                CASH FLOW INFORMATION:**                                                                 |   |                                                                                                         |     |                                                                                                               |   |                                                                                                                                                   |   |   |   |   |
| Interest                paid                                                                                           |   | $                                                                                                            | 2,607    |                                                                                                               | $      | -                                                                                                                                                      |   | $ | 17,862 |   |
| Income                taxes paid                                                                                       |   | $                                                                                                            | -        |                                                                                                               | $      | -                                                                                                                                                      |   | $ | - |   |
|                                                                                                                   |   |                                                                                                         |     |                                                                                                               |   |                                                                                                                                                   |   |   |   |   |
| **NON-CASH                INVESTING AND FINANCING ACTIVITIES:**                                                        |   |                                                                                                         |     |                                                                                                               |   |                                                                                                                                                   |
| Common                stock issued for equipment                                                                       |   | $                                                                                                            | -        |                                                                                                               | $      | -                                                                                                                                                      |   | $ | 3,612 |   |
| Common                stock issued for debt                                                                            |   | $                                                                                                            | -        |                                                                                                               | $      | -                                                                                                                                                      |   | $ | 198,060 |   |
| Common                stock issued for technology license                                                              |   | $                                                                                                            | -        |                                                                                                               | $      | -                                                                                                                                                      |   | $ | 58,000 |   |
| Common                stock issued for deposit                                                                         |   | $                                                                                                            | 600,000  |                                                                                                               | $      | -                                                                                                                                                      |   | $ | 600,000 |   |
| Purchased                patent included in accounts payable                                                           |   | $                                                                                                            | 6,374    |                                                                                                               | $      | -                                                                                                                                                      |   | $ | 6,374 |   |
| Satisfaction                of debt through note receivable decrease                                                   |   | $                                                                                                            | 660      |                                                                                                               | $      | -                                                                                                                                                      |   | $ | 660 |   |

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**ENERGENX,      INC.**

**(A      Development Stage Company)**

**CONDENSED      NOTES TO INTERIM FINANCIAL STATEMENTS**

**SEPTEMBER      30, 2007**

**NOTE      1 - BASIS OF PRESENTATION**

**NOTE      2 - SIGNIFICANT ACCOUNTING POLICIES**

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**ENERGENX,      INC.**

**(A      Development Stage Company)**

**CONDENSED      NOTES TO FINANCIAL STATEMENTS**

**SEPTEMBER      30, 2007**

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**ENERGENX,      INC.**

**(A      Development Stage Company)**

**CONDENSED      NOTES TO FINANCIAL STATEMENTS**

**SEPTEMBER      30, 2007**

**NOTE      3 - PREPAID EXPENSE**

**NOTE      4 - PROPERTY AND EQUIPMENT**

|                                            |   | September                  30,2007 |    | December                  31, 2006 |   |
|-------------------------------------------------|--------|------------------------------------|---------|-----------------------------------------|--------|
| Machinery                                       |   | $                                  | 35,136  |                                    | $      | 34,085 |   |
| Office                  Furniture and Equipment |   |                               | 18,963  |                                    |   | 13,896 |   |
| Leasehold                  Improvements         |   |                               | 5,292   |                                    |   | 5,292 |   |
|                                            |   |                               | 59,232  |                                    |   | 53,273 |   |
| Less                  Accumulated Depreciation  |   |                               | (39,438 | )                                       |   | (32,803 | ) |
| Property                  and Equipment - Net   |   | $                                  | 19,953  |                                    | $      | 20,470 |   |

**NOTE      5 - PATENTS**

|                                         |   |                    Cost |    | Accumulated                  Amortization |   |                    Net Amount |   |
|----------------------------------------------|--------|------------------------------|---------|-------------------------------------------|--------|------------------------------------|--------|
| Balance,                  December 31, 2004  |   | $                            | 68,500  |                                      | $      | 19,076                             |   | $ | 49,424 |   |
| 2005                  Activity               |   |                         | — |                                      |   | 6,850                              |   |   | — |   |
| Balance,                  December 31, 2005  |   |                         | 68,500  |                                      |   | 25,926                             |   |   | 42,574 |   |
| 2006                  Activity               |   |                         | 1,451   |                                      |   | 6,908                              |   |   | — |   |
| Balance,                  December 31, 2006  |   |                         | 69,951  |                                      |   | 32,834                             |   |   | 37,117 |   |
| 2007                  Activity               |   |                         | 6,374   |                                      |   | 5,728                              |   |   | 645 |   |
| Balance,                  September 30, 2007 |   |                         | 76,325  |                                      |   | 38,562                             |   |   | 37,762 |   |

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**ENERGENX,      INC.**

**(A      Development Stage Company)**

**CONDENSED      NOTES TO FINANCIAL STATEMENTS**

**SEPTEMBER      30, 2007**

**NOTE      6 - LICENSES**

**NOTE      7 - RELATED PARTY TRANSACTIONS**

**NOTE      8 - NOTE PAYABLE**

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**ENERGENX,      INC.**

**(A      Development Stage Company)**

**CONDENSED      NOTES TO FINANCIAL STATEMENTS**

**SEPTEMBER      30, 2007**

**NOTE      9 - COMMON STOCK**

----

**ENERGENX,      INC.**

**(A      Development Stage Company)**

**CONDENSED      NOTES TO FINANCIAL STATEMENTS**

**SEPTEMBER      30, 2007**

**NOTE      10 - SUBSEQUENT EVENT**

----

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

*THIS      QUARTERLY REPORT ON FORM 10-QSB CONTAINS “FORWARD-LOOKING STATEMENTS” WITHIN THE      MEANING OF THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995 AND INVOLVE      A      HIGH DEGREE OF RISK AND UNCERTAINTY. ALL STATEMENTS, OTHER THAN STATEMENTS      OF      HISTORICAL FACTS, INCLUDED IN OR INCORPORATED BY REFERENCE INTO THIS FORM 10-QSB      ARE FORWARD-LOOKING STATEMENTS. IN ADDITION, WHEN USED IN THIS DOCUMENT, THE      WORDS “ANTICIPATE,” “ESTIMATE,” “PROJECT,” AND SIMILAR EXPRESSIONS ARE INTENDED      TO IDENTIFY FORWARD-LOOKING STATEMENTS. OUR ACTUAL RESULTS MAY DIFFER MATERIALLY      FROM THOSE PROJECTED IN THE FORWARD-LOOKING STATEMENTS DUE TO RISKS AND      UNCERTAINTIES THAT EXIST IN OUR OPERATIONS. THESE FORWARD-LOOKING STATEMENTS      ARE      SUBJECT TO CERTAIN RISKS, UNCERTAINTIES AND ASSUMPTIONS INCLUDING AMONG OTHERS,      THE RISK THAT OUR PRODUCT DEVELOPMENT PROGRAMS WILL NOT PROVE SUCCESSFUL, THAT      WE WILL NOT BE ABLE TO OBTAIN FINANCING TO COMPLETE ANY FUTURE PRODUCT      DEVELOPMENT, THAT OUR PRODUCTS WILL NOT PROVE COMPETITVE IN THEIR MARKETS.      THESE      RISKS AND OTHERS ARE MORE FULLY DESCRIBED IN OUR ANNUAL REPORT ON FORM 10-KSB.      SHOULD ONE OR MORE OF THESE RISKS OR UNCERTAINTIES MATERIALIZE, OR SHOULD      UNDERLYING ASSUMPTIONS PROVE INCORRECT, ACTUAL RESULTS MAY VARY MATERIALLY      FROM      THOSE ANTICIPATED, ESTIMATED OR PROJECTED. *

*ALTHOUGH      WE BELIEVE THAT THE EXPECTATIONS INCLUDED IN SUCH FORWARD-LOOKING STATEMENTS      ARE      REASONABLE, WE CANNOT GIVE ANY ASSURANCES THAT THESE EXPECTATIONS WILL PROVE      TO      BE CORRECT. WE UNDERTAKE NO OBLIGATION TO PUBLICLY RELEASE THE RESULT OF ANY      REVISIONS TO SUCH FORWARD-LOOKING STATEMENTS THAT MAY BE MADE TO REFLECT EVENTS      OR CIRCUMSTANCES AFTER THE DATE HEREOF OR TO REFLECT THE OCCURRENCE OF      UNANTICIPATED EVENTS. *

| **A.** | **General.** |
|--------|--------------|

| **B.** | **Product                Research and Development                Plans** |
|--------|--------------------------------------------------------------------------|

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** **
** **

** **

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| **C.** | **Liquidity                and Capital Resources.** |
|--------|-----------------------------------------------------|

| · | our                existing capital resources and interest earned on that                capital; |
|--------|---------------------------------------------------------------------------------------------------|

| · | revenues                from purchase of Potential modules by GTG Corp., if                any; |
|--------|-------------------------------------------------------------------------------------------------|

| · | royalty                income, if any, from product sales by GTG                Corp.; |
|--------|----------------------------------------------------------------------------------------|

| · | through                future private placement financing. |
|--------|------------------------------------------------------------|

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**Critical      Accounting Policies and Estimates.**

**Revenue      recognition**
*:*

**Research,      development costs: **

**Estimates.      **

**Intangible      Assets.**

**Item      3.**
**Controls      and Procedures.**

**Evaluation      of disclosure controls and procedures.**

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**PART      II – OTHER      INFORMATION**

**Item      1. Legal Proceedings.**

**Item      2. Unregistered Sales of 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**

| (a)    | Exhibits                                                                                                                                                                                                                |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                                                                    |
| 31.1   | Certification                of Principal Executive Officer pursuant to rule 13a-14(a)/15d-14(a),                as                adopted pursuant to Section 302 of the Sarbannes-Oxley Act of                2002.   |
|   |                                                                                                                                                                                                                    |
|   |                                                                                                                                                                                                                    |
| 31.2   | Certification                of Principal Financial Officer pursuant to rule 13a-14(a)/15d-14(a),                as                adopted pursuant to Section 302 of the Sarbannes-Oxley Act of                2002.   |
|   |                                                                                                                                                                                                                    |
| 32.1   | Certification                of the Principal Executive Officer pursuant to 18 U.S.C. Section                1350, as                adopted pursuant to Section 906 of the Sarbannes-Oxley Act of                2002. |
|   |                                                                                                                                                                                                                    |
| 32.2   | Certification                of the Principal Financial Officer pursuant to 18 U.S.C. Section                1350, as                adopted pursuant to Section 906 of the Sarbannes-Oxley Act of                2002. |

**SIGNATURE**

|   | ENERGENX,                  INC.                                                                                                                   |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                              |
|   | By:                                                                                                                                               | /s/                  Gary A. Bedini  |
|   | Gary                  A. Bedini                                                                                                                   |
|   | President                  and Chief Executive Officer                                                                                            |
|   |                                                                                                                                              |
|   | By:                                                                                                                                               | /s/                  Rick M. Street  |
|   | Rick                  M. Street                                                                                                                   |
|   | Chief                  Financial Officer, Secretary, and Treasurer                  (Principal Financial and Accounting                  Officer) |

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