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| FIRST NATIONAL ENERGY CORPORATION                            |
|--------------------------------------------------------------|
|  (Exact name of registrant as specified in its charter) |

| Nevada                                                           |   | 66-0349372                           |
|----------------------------------------------------------------------------|--------|--------------------------------------|
| (State or other jurisdiction of incorporation or organization)   |   | (I.R.S. Employer Identification No.) |

| Large accelerated filer    | o                             | Accelerated filer    | o      |
|-------------------------------------------|------------------------------------------------------------------|---------------------------|--------|
| Non-accelerated filer                     | o (do not check if a smaller reporting company)   | Smaller reporting company | þ |

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| Consolidated Interim Balance Sheets as at March 31, 2010 (unaudited) and December 31, 2009 (audited)                                                                                          |   |   | 3           |   |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|-------------|--------|
|                                                                                                                                                                                          |   |   |        |   |
| Consolidated  Interim Statements of Operations for the 3 month periods ended  March 31, 2010 and March 31, 2009 for the cumulative period since inception (unaudited)     |   |   | 4           |   |
|                                                                                                                                                                                          |   |   |        |   |
| Consolidated  Interim Statements of Cash Flows for the 3 month periods ended  March 31, 2010 and March 31, 2009 and for the cumulative period since inception (unaudited) |   |   | 5           |   |
|                                                                                                                                                                                          |   |   |        |   |
| Consolidated  Interim Statements of Changes in Stockholders’ Deficiency for the period since inception (unaudited)                                                            |   |   | 6-8         |   |
|                                                                                                                                                                                          |   |   |        |   |
| Condensed Notes to Consolidated Interim Financial Statements (unaudited)                                                                                                                      |   |   | 9 - 12 |   |

----

| FIRST NATIONAL ENERGY CORPORATION           |
|---------------------------------------------|
| (Formerly First National Power Corporation) |
| (A Development Stage Company)               |
| Consolidated Interim Balance Sheets         |
| As of March 31, 2010 and December 31, 2009  |
| (Amounts expressed in US Dollars)           |
|                                        |

|                                          |                                                    |   | March 31 |      |   | December 31 |   |
|-----------------------------------------------|---------------------------------------------------------|--------|----------|-----------|--------|-------------|--------|
|                                          |                                                    |   | 2010     |      |   | 2009        |   |
|                                          |                                                    |   |     |      |   |        |   |
|                                          |                                                    |   |  $  |      |   | $           |   |   |
|  ASSETS                             |                                                    |   |     |      |   |        |   |
|                                          |  CURRENT ASSETS                                    |   |     |      |   |        |   |   |
|                                          |  Cash                                              |   |     | 28,003    |   |        |   | 36,730 |   |
|                                          |                                                    |   |     | 28,003    |   |        |   | 36,730 |   |
|                                          |                                                    |   |     |      |   |        |   |   |   |
|                                          |  License for SWEG technology, net of amortization  |   |     | 2,279,577 |   |        |   | 1,725,967 |   |
|                                          |                                                    |   |     |      |   |        |   |   |   |
|                                          |                                                    |   |     | 2,307,580 |   |        |   | 1,762,697 |   |
|                                          |                                                    |   |     |      |   |        |   |   |   |
|                                          |                                                    |   |     |      |   |        |   |   |   |
|  LIABILITIES                        |                                                    |   |     |      |   |        |   |   |
|                                          |  CURRENT LIABILITIES                               |   |     |      |   |        |   |   |   |
|                                          |  Accounts payable and accrued liabilities          |   |     | 9,500     |   |        |   | 14,568 |   |
|                                          |  Payable to Boreas Research for SWEG license       |   |     | 600,000   |   |        |   |   |   |
|                                          |  Loans from shareholders                           |   |     | 258,313   |   |        |   | 258,313 |   |
|                                          |                                                    |   |     | 867,813   |   |        |   | 272,881 |   |
|                                          |                                                    |   |     |      |   |        |   |   |   |
|  Going Concern (Note 2)                  |                                                    |   |     |      |   |        |   |   |
|                                          |                                                    |   |     |      |   |        |   |   |   |
|  STOCKHOLDERS’ EQUITY (DEFICIENCY) |                                                    |   |     |      |   |        |   |   |
|                                          |                                                    |   |     |      |   |        |   |   |   |
|                                          |  CAPITAL STOCK                                     |   |     | 99,665    |   |        |   | 99,665 |   |
|                                          |  ADDITIONAL PAID-IN-CAPITAL                        |   |     | 2,185,801 |   |        |   | 2,185,801 |   |
|                                          |  DEFICIT, ACCUMULATED DURING THE DEVELOPMENT STAGE |   |     | (845,698  | )      |        |   | (795,650 | ) |
|                                          |                                                    |   |     | 1,439,767 |   |        |   | 1,489,816 |   |
|                                          |                                                    |   |     |      |   |        |   |   |   |
|                                          |                                                    |   |     | 2,307,580 |   |        |   | 1,762,697 |   |

----

| FIRST NATIONAL ENERGY CORPORATION                                                                         |
|-----------------------------------------------------------------------------------------------------------|
| (Formerly First National Power Corporation)                                                               |
| (A Development Stage Company)                                                                             |
| Consolidated Interim Statements of Operations and Comprehensive Loss                                      |
| For the 3 Month periods ended March 31, 2010 and March 31, 2009 and the cumulative period since Inception |

|                                            |   |       |     |       | 3 Months |   |    | 3 Months |   |
|-------------------------------------------------|--------|------------|----------|------------|----------|--------|---------|----------|--------|
|                                            |   | Cumulative |     |       | ended    |   |    | ended    |   |
|                                            |   | Since      |     |       | March 31 |   |    | March 31 |   |
|                                            |   | Inception  |     |       | 2010     |   |    | 2009     |   |
|                                            |   |       | $        |       |     |   | $       |     |   |   | $ |   |
| OPERATING EXPENSES                              |   |       |     |       |     |   |    |     |   |   |   |   |
|                                            |   |       |     |       |     |   |    |     |   |   |   |   |
| Interest Income                                 |   |       | (6,916   | )          |     |   | (12     | )        |   |   | (34 | ) |
|                                            |   |       |     |       |     |   |    |     |   |   |   |   |
|  Forgiveness of accounts payable and loans |   |       | (47,394  | )          |     |   |    |     |   |   |   |   |
|  General and administrative expenses       |   |       | 447,317  |       |     |   | 3,670   |     |   |   | 10,237 |   |
|  Loss on Foreign Exchange                  |   |       | 580      |       |     |   |    |     |   |   |   |   |
|  Amortization                              |   |       | 176,028  |       |     |   | 46,390  |     |   |   | - |   |
|  Project development costs                 |   |       | 272,857  |       |     |   |    |     |   |   |   |   |
|  Interest Expense                          |   |       | 3,226    |       |     |   | -       |     |   |   | - |   |
|                                            |   |       | 845,698  |       |     |   | 50,048  |     |   |   | 10,203 |   |
|                                            |   |       |     |       |     |   |    |     |   |   |   |   |
|                                            |   |       |     |       |     |   |    |     |   |   |   |   |
| NET LOSS AND COMPREHENSIVE LOSS                 |   |       | (845,698 | )          |     |   | (50,048 | )        |   |   | (10,203 | ) |
|                                            |   |       |     |       |     |   |    |     |   |   |   |   |
| Net loss per share, basic and diluted           |   |       |     |       |     | $      | (0.00   | )        |   | $ | (0.01 | ) |
|                                            |   |       |     |       |     |   |    |     |   |   |   |   |
| Weighted average common shares outstanding      |   |       |     | 99,665,228 |     |   |    | 765,228  |   |

----

| FIRST NATIONAL ENERGY CORPORATION                                                                         |   |
|-----------------------------------------------------------------------------------------------------------|--------|
| (Formerly First National Power Corporation)                                                               |   |
| (A Development Stage Company)                                                                             |   |
| Consolidated Interim Statements of Cash Flows                                                             |   |
| For the 3 Month Periods ended March 31, 2010 and March 31, 2009 and the cumulative period since inception |   |
| (Amounts expressed in US Dollars)                                                                         |   |
|                                                                                                      |   |
|                                                                                                      |   |   |   |   | 3 Months |   |   | 3 Months |   |
|                                                                                                      |   | Cumulative |   |   | ended |   |   | ended |   |
|                                                                                                      |   | Since |   |   | March 31 |   |   | March 31 |   |
|                                                                                                      |   | Inception |   |   | 2010 |   |   | 2009 |   |
|                                                                                                      |   |   | $ |   |   |   | $ |   |   |   | $ |   |
| CASH FLOWS FROM OPERATING ACTIVITIES                                                                      |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                                      |   |   |   |   |   |   |   |   |   |   |   |   |
|  Net loss                                                                                            |   | $ | (845,698 | ) |   | $ | (50,048 | ) |   | $ | (10,203 | ) |
|  Adjustments for items not affecting cash                                                            |   |   |   |   |   |   |   |   |   |   |   |   |
|  Amortization                                                                                        |   |   | 176,028 |   |   |   | 46,390 |   |   |   |   |   |
|  Shares issued for services rendered                                                                 |   |   | 332,390 |   |   |   | - |   |   |   | - |   |
|  Forgiveness of accounts payable and loans                                                           |   |   | (47,394 | ) |   |   |   |   |   |   |   |   |
|  Increase (decrease) in accounts payable                                                             |   |   |   |   |   |   |   |   |   |   |   |   |
|      and accrued liabilities                                                     |   |   | 13,498 |   |   |   | (5,069 | ) |   |   | (9,605 | ) |
|                                                                                                      |   |   |   |   |   |   |   |   |   |   |   |   |
|  Net cash used in operating activities                                                               |   |   | (371,176 | ) |   |   | (8,727 | ) |   |   | (19,808 | ) |
|                                                                                                      |   |   |   |   |   |   |   |   |   |   |   |   |
|  CASH FLOWS FROM FINANCING ACTIVITIES                                                                |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                                      |   |   |   |   |   |   |   |   |   |   |   |   |
|  Loans from Shareholders                                                                             |   |   | 301,708 |   |   |   | - |   |   |   |   |   |
|  Proceeds from sale of capital stock                                                                 |   |   | 97,471 |   |   |   |   |   |   |   |   |   |
|                                                                                                      |   |   |   |   |   |   |   |   |   |   |   |   |
|  Net cash provided by financing activities                                                           |   |   | 399,179 |   |   |   | - |   |   |   | - |   |
|                                                                                                      |   |   |   |   |   |   |   |   |   |   |   |   |
|  NET INCREASE (DECREASE) IN CASH                                                                     |   |   | 28,003 |   |   |   | (8,727 | ) |   |   | (19,808 | ) |
|                                                                                                      |   |   |   |   |   |   |   |   |   |   |   |   |
|  Cash, beginning of period                                                                           |   |   | - |   |   |   | 36,730 |   |   |   | 85,122 |   |
|                                                                                                      |   |   |   |   |   |   |   |   |   |   |   |   |
|  CASH, END OF PERIOD                                                                                 |   |   | 28,003 |   |   |   | 28,003 |   |   |   | 65,314 |   |
|                                                                                                      |   |   |   |   |   |   |   |   |   |   |   |   |
|  INCOME TAXES PAID                                                                                   |   |   | - |   |   |   | - |   |   |   | - |   |
|                                                                                                      |   |   |   |   |   |   |   |   |   |   |   |   |
|  INTEREST PAID                                                                                       |   |   | 3,226 |   |   |   | - |   |   |   | - |   |
|                                                                                                      |   |   |   |   |   |   |   |   |   |   |   |   |
|  NON-CASH TRANSACTIONS - PURCHASE OF SWEG TECHNOLOGY FOR SHARES                                      |   |   | 1,855,605 |   |   |   | - |   |   |   | - |   |
|  PURCHASE OF SWEG TECHNOLOGY BY SUBSIDIARY FOR NOTE PAYABLE                                          |   |   | 600,000 |   |   |   | 600,000 |   |   |   | - |   |

----

| FIRST NATIONAL ENERGY CORPORATION                                                     |
|---------------------------------------------------------------------------------------|
| (Formerly First National Power Corporation)                                           |
| (A Development Stage Company)                                                         |
| Consolidated Interim Statements of Changes in Stockholders’ Equity (Deficiency) |
| From Inception until March 31, 2010                                                   |
| (Amounts expressed in US Dollars)                                                     |

|                                    |   |    |   |   |      |   |      |       |   |   |       |   |   | Deficit     |   |   |          |   |
|-----------------------------------------|--------|---------|--------|--------|-----------|--------|-----------|------------|--------|--------|------------|--------|--------|-------------|--------|--------|---------------|--------|
|                                    |   |    |   |   | Common    |   |      |       |   |   | Additional |   |   | accumulated |   |   |          |   |
|                                    |   | Common  |   |   | Stock     |   |      | Common     |   |   | Paid-In    |   |   | during the  |   |   | Total         |   |
|                                    |   | Stock   |   |   | Number of |   |      | Stock      |   |   | Capital    |   |   | development |   |   | Shareholders' |   |
|                                    |   | Amount  |   |   | Shares    |   |      | Subscribed |   |   | (Discount) |   |   | stage       |   |   | Equity        |   |
|                                    |   |  $ |   |   |      |   |      |  $    |   |   |  $    |   |   |  $     |   |   |  $       |   |
|  Balance at November 16, 2000      |   |    |   |   |      |   |      |       |   |   |       |   |   |        |   |   |          |   |   |
|  Issuance of common stock for cash |   |    | 100    |   |      |   | 100,000   |       |   |   |       |   |   | 900         |   |   |          |   |   |   | 1,000 |   |
|  Net Loss for the Period           |   |    |   |   |      |   |      |       |   |   |       |   |   |        |   |   |          | (968   | ) |   |   | (968 | ) |
|                                    |   |    |   |   |      |   |      |       |   |   |       |   |   |        |   |   |          |   |   |   |   |   |   |
|  Balance as of December 31, 2000   |   |    | 100    |   |      |   | 100,000   |       |   |   | -          |   |   |        | 900    |   |          |   | (968 | ) |   |   | 32 |   |
|                                    |   |    |   |   |      |   |      |       |   |   |       |   |   |        |   |   |          |   |   |   |   |   |   |   |
|  Issuance of stock for cash        |   |    | 400    |   |      |   | 400,000   |       |   |   |       |   |   |        | 3,600  |   |          |   |   |   |   |   | 4,000 |   |
|  Issuance of stock for cash        |   |    | 700    |   |      |   | 700,000   |       |   |   |       |   |   |        | 6,300  |   |          |   |   |   |   |   | 7,000 |   |
|  Issuance of stock for cash        |   |    | 850    |   |      |   | 850,000   |       |   |   |       |   |   |        | 7,650  |   |          |   |   |   |   |   | 8,500 |   |
|  Currency Translation              |   |    |   |   |      |   |      |       |   |   |       |   |   |        | 100    |   |          |   |   |   |   |   | 100 |   |
|  Net Loss for the Year             |   |    |   |   |      |   |      |       |   |   |       |   |   |        |   |   |          |   | (23,954 | ) |   |   | (23,954 | ) |
|                                    |   |    |   |   |      |   |      |       |   |   |       |   |   |        |   |   |          |   |   |   |   |   |   |   |
|  Balance as of December 31, 2001   |   |    | 2,050  |   |      |   | 2,050,000 |       |   |   | -          |   |   |        | 18,550 |   |          |   | (24,922 | ) |   |   | (4,322 | ) |
|                                    |   |    |   |   |      |   |      |       |   |   |       |   |   |        |   |   |          |   |   |   |   |   |   |   |
|  Expiration of recission offer for |   |    |   |   |      |   |      |       |   |   |       |   |   |        |   |   |          |   |   |   |   |   |   |   |
|    sale of stock         |   |    | 64     |   |      |   | 63,536    |       |   |   |       |   |   |        | 6,290  |   |          |   |   |   |   |   | 6,354 |   |
|  Net Loss for the Year             |   |    |   |   |      |   |      |       |   |   |       |   |   |        |   |   |          |   | (26,047 | ) |   |   | (26,047 | ) |
|                                    |   |    |   |   |      |   |      |       |   |   |       |   |   |        |   |   |          |   |   |   |   |   |   |   |
|  Balance as of December 31, 2002   |   |    | 2,114  |   |      |   | 2,113,536 |       |   |   | -          |   |   |        | 24,840 |   |          |   | (50,969 | ) |   |   | (24,015 | ) |

----

| FIRST NATIONAL ENERGY CORPORATION                                                     |
|---------------------------------------------------------------------------------------|
| (Formerly First National Power Corporation)                                           |
| (A Development Stage Company)                                                         |
| Consolidated Interim Statements of Changes in Stockholders’ Equity (Deficiency) |
| From Inception until March 31, 2010                                                   |
| (Amounts expressed in US Dollars)                                                     |

|  Stock split 5:1                        |   |   | 8,454  |   |   |   | 8,454,144  |   |   |   |   |   |   | (8,454 | )       |   |   |     |     |   | -      |     |
|----------------------------------------------|--------|--------|--------|--------|--------|--------|------------|--------|--------|--------|--------|--------|--------|--------|---------|--------|--------|----------|----------|--------|--------|----------|
|  Shares issued for services rendered    |   |   | 200    |   |   |   | 200,000    |   |   |   |   |   |   | 79,800 |    |   |   |     |     |   | 80,000 |     |
|  Net Loss for the Year                  |   |   |   |   |   |   |       |   |   |   |   |   |   |   |    |   |   | (107,245 | )        |   |   | (107,245 | ) |
|                                         |   |   |   |   |   |   |       |   |   |   |   |   |   |   |    |   |   |     |     |   |   |     |   |
|  Balance as of December 31, 2003        |   |   | 10,768 |   |   |   | 10,767,680 |   |   |   | -      |   |   |   | 96,186  |   |   |     | (158,214 | )      |   |     | (51,260 | ) |
|                                         |   |   |   |   |   |   |       |   |   |   |   |   |   |   |    |   |   |     |     |   |   |     |   |   |
|  Stock split 7:1                        |   |   | 64,606 |   |   |   | 64,606,080 |   |   |   |   |   |   |   | (64,606 | )      |   |     |     |   |   |     | - |   |
|  Shares issued for services rendered    |   |   | 30     |   |   |   | 30,000     |   |   |   |   |   |   |   | 15,870  |   |   |     |     |   |   |     | 15,900 |   |
|  Shares subscribed                      |   |   |   |   |   |   |       |   |   |   | 146    |   |   |   | 70,371  |   |   |     |     |   |   |     | 70,517 |   |
|  Shares issued for services rendered    |   |   | 44     |   |   |   | 43,000     |   |   |   |   |   |   |   | 9,956   |   |   |     |     |   |   |     | 10,000 |   |
|  Net Loss for the Year                  |   |   |   |   |   |   |       |   |   |   |   |   |   |   |    |   |   |     | (75,414  | )      |   |     | (75,414 | ) |
|                                         |   |   |   |   |   |   |       |   |   |   |   |   |   |   |    |   |   |     |     |   |   |     |   |   |
|  Balance as of December 31, 2004        |   |   | 75,448 |   |   |   | 75,446,760 |   |   |   | 146    |   |   |   | 127,777 |   |   |     | (233,628 | )      |   |     | (30,257 | ) |
|                                         |   |   |   |   |   |   |       |   |   |   |   |   |   |   |    |   |   |     |     |   |   |     |   |   |
|  Shares issued for services rendered    |   |   | 830    |   |   |   | 830,000    |   |   |   |   |   |   |   | 193,160 |   |   |     |     |   |   |     | 193,990 |   |
|  Net Loss for the Year                  |   |   |   |   |   |   |       |   |   |   |   |   |   |   |    |   |   |     | (208,886 | )      |   |     | (208,886 | ) |
|                                         |   |   |   |   |   |   |       |   |   |   |   |   |   |   |    |   |   |     |     |   |   |     |   |   |
|  Balance as of December 31, 2005        |   |   | 76,278 |   |   |   | 76,276,760 |   |   |   | 146    |   |   |   | 320,937 |   |   |     | (442,514 | )      |   |     | (45,153 | ) |
|                                         |   |   |   |   |   |   |       |   |   |   |   |   |   |   |    |   |   |     |     |   |   |     |   |   |
|  Net Loss for the Year                  |   |   |   |   |   |   |       |   |   |   |   |   |   |   |    |   |   |     | (32,962  | )      |   |     | (32,962 | ) |
|                                         |   |   |   |   |   |   |       |   |   |   |   |   |   |   |    |   |   |     |     |   |   |     |   |   |
|  Balance as of December 31, 2006        |   |   | 76,278 |   |   |   | 76,276,760 |   |   |   | 146    |   |   |   | 320,937 |   |   |     | (475,476 | )      |   |     | (78,115 | ) |
|                                         |   |   |   |   |   |   |       |   |   |   |   |   |   |   |    |   |   |     |     |   |   |     |   |   |
|  Net Loss for the Year                  |   |   |   |   |   |   |       |   |   |   |   |   |   |   |    |   |   |     | (30,760  | )      |   |     | (30,760 | ) |
|  Issue shares bought under subscription |   |   | 146    |   |   |   | 146,000    |   |   |   | (146   | )      |   |   |    |   |   |     |     |   |   |     | - |   |
|                                         |   |   |   |   |   |   |       |   |   |   |   |   |   |   |    |   |   |     |     |   |   |     |   |   |
|  Balance as of December 31, 2007        |   |   | 76,424 |   |   |   | 76,422,760 |   |   |   | -      |   |   |   | 320,937 |   |   |     | (506,236 | )      |   |     | (108,875 | ) |

----

| FIRST NATIONAL ENERGY CORPORATION                                                     |
|---------------------------------------------------------------------------------------|
| (Formerly First National Power Corporation)                                           |
| (A Development Stage Company)                                                         |
| Consolidated Interim Statements of Changes in Stockholders’ Equity (Deficiency) |
| From Inception until March 31, 2010                                                   |
| (Amounts expressed in US Dollars)                                                     |

|  Shares issued for services rendered |   |   | 100     |   |   |   | 100,000     |   |   |   |   |   |   | 400    |      |   |   |    |     |   | 500    |    |
|-------------------------------------------|--------|--------|---------|--------|--------|--------|-------------|--------|--------|--------|--------|--------|--------|--------|-----------|--------|--------|---------|----------|--------|--------|---------|
|  Net Loss for the period             |   |   |    |   |   |   |        |   |   |   |   |   |   |   |      |   |   | (78,645 | )        |   |   | (78,645 | ) |
|                                      |   |   |    |   |   |   |        |   |   |   |   |   |   |   |      |   |   |    |     |   |   |    |   |
|  Balance as of December 31, 2008     |   |   | 76,524  |   |   |   | 76,522,760  |   |   |   | -      |   |   |   | 321,337   |   |   |    | (584,881 | )      |   |    | (187,020 | ) |
|                                      |   |   |    |   |   |   |        |   |   |   |   |   |   |   |      |   |   |    |     |   |   |    |   |   |
|                                      |   |   |    |   |   |   |        |   |   |   |   |   |   |   |      |   |   |    |     |   |   |    |   |   |
|  Reverse Stock split 1:100           |   |   | (75,759 | )      |   |   | (75,757,532 | )      |   |   |   |   |   |   | 75,759    |   |   |    |     |   |   |    | - |   |
|  Shares issued for services rendered |   |   | 100     |   |   |   | 100,000     |   |   |   |   |   |   |   | 31,900    |   |   |    |     |   |   |    | 32,000 |   |
|  Purchase of SWEG license for shares |   |   | 98,800  |   |   |   | 98,800,000  |   |   |   |   |   |   |   | 1,756,805 |   |   |    |     |   |   |    | 1,855,605 |   |
|  Net Loss for the Year               |   |   |    |   |   |   |        |   |   |   |   |   |   |   |      |   |   |    | (210,769 | )      |   |    | (210,769 | ) |
|                                      |   |   |    |   |   |   |        |   |   |   |   |   |   |   |      |   |   |    |     |   |   |    |   |   |
|  Balance as of December 31, 2009     |   |   | 99,665  |   |   |   | 99,665,228  |   |   |   | -      |   |   |   | 2,185,801 |   |   |    | (795,650 | )      |   |    | 1,489,816 |   |
|                                      |   |   |    |   |   |   |        |   |   |   |   |   |   |   |      |   |   |    |     |   |   |    |   |   |
|  Net Loss for the Year               |   |   |    |   |   |   |        |   |   |   |   |   |   |   |      |   |   |    | (50,048  | )      |   |    | (50,048 | ) |
|                                      |   |   |    |   |   |   |        |   |   |   |   |   |   |   |      |   |   |    |     |   |   |    |   |   |
|  Balance as of March 31, 2010        |   |   | 99,665  |   |   |   | 99,665,228  |   |   |   | -      |   |   |   | 2,185,801 |   |   |    | (845,698 | )      |   |    | 1,439,768 |   |

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|                              |   | 2010   |      |   | 2009                     |   |
|-----------------------------------|--------|--------|-----------|--------|--------------------------|--------|
|                              |   | Cost   |      |   | Accumulated Amortization |   |   | Net Book Value |   |   | Net Book Value |   |
|                              |   |   |      |   |                     |   |   |   |   |   |   |   |
| North American Technology License |   | $      | 1,855,605 |   |                     | $      | 176,028 |   |   | $ | 1,679,577 |   |   | $ | 1,725,967 |   |
| Indian Technology License         |   | $      | 600,000   |   |                     | $      | - |   |   | $ | 600,000 |   |   | $ | - |   |
|                              |   | $      | 2,455,605 |   |                     | $      | 176,028 |   |   | $ | 2,279,577 |   |   | $ | 1,725,967 |   |

| 2010   |   | $      | 230,561   |   |
|--------|--------|--------|-----------|--------|
| 2011   |   |   | 245,561   |   |
| 2012   |   |   | 245,561   |   |
| 2013   |   |   | 245,561   |   |
| 2014   |   |   | 245,561   |   |
|   |   | $      | 1,212,805 |   |

----

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| 2010   |   | $      | 230,561   |   |
|--------|--------|--------|-----------|--------|
| 2011   |   |   | 245,561   |   |
| 2012   |   |   | 245,561   |   |
| 2013   |   |   | 245,561   |   |
| 2014   |   |   | 245,561   |   |
|   |   | $      | 1,212,805 |   |

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| Exhibit No. |   | Document |
|-------------|--------|----------|
|        |   |     |   |
|        | 31*    |     | Sect. 302 Certification Statement of the Chief Executive Officer and Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 |
|        |   |     |   |
|        | 32*    |     | Sect. 906 Certification Statement of the Principal Executive Officer and Principal Accounting 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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|                             | FIRST NATIONAL ENERGY CORPORATION |                                    |
|----------------------------------|-----------------------------------|-----------------------------------------|
|                             |                              |                                    |   |
| Dated: May 20 , 2010   | By:                               | /s/ Doug Lindeblom                 |   |
|                             |                              | Doug Lindeblom, Chief Executive Officer |   |
|                             |                              |                                    |   |
|                             |                              |                                    |   |

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