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                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                   FORM 10-KSB

          [ X ]        ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(D) OF
                       THE SECURITIES EXCHANGE ACT OF 1934

                     For the fiscal year ended June 30, 2006
                                               -------------

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


    For the transition period from _________________ to __________________

                       Commission file number: 333-126504

                               HOST VENTURES, INC.
                               -------------------
                 (Name of small business issuer in its charter)


            Nevada                                            81-0659377
            ------                          ------------------------------------
(State or other jurisdiction of             (I.R.S. Employer Identification No.)
incorporation or organization)


                          9544 South Chesapeake Street
                         Highlands Ranch, Colorado 80126
                         -------------------------------
                    (Address of principal executive offices)

                                 (970)-567-7717
                            -------------------------
                            Issuer's telephone number

Securities to be registered pursuant to Section 12(b) of the Act:

  Title of each class                        Name of each exchange on which
  to be so registered                        each class is to be registered


       None                                               None

Securities to be registered pursuant to Section 12(g) of the Act:

                               Common Stock
                               ------------
                             (Title of Class)

Check  whether the Issuer (1) filed all reports  required to be filed by Section
13 or 15(d) of the  Securities  Exchange  Act  during the past 12 months (or for
such shorter period that the registrant was required to file such reports),  and
(2) has been subject to such filing requirements for the past 90 days.

                Yes    X                               No
                    ---------                             ---------

Check if there is no disclosure of delinquent  filers in response to Item 405 of
Regulation  S-B is not  contained  in  this  form,  and no  disclosure  will  be
contained,  to the  best of  registrant's  knowledge,  in  definitive  proxy  or
information statements incorporated by reference in Part III of this Form 10-KSB
or any amendment to this Form 10-KSB.

<page>


                Yes      X                             No
                                                          -----------

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

                Yes                                    No X


State issuer's revenues for its most recent fiscal year:      Nil
                                                          ------------

State the aggregate market value of the voting and non-voting common equity held
by non-affiliates  computed by reference to the price at which the common equity
was sold,  or the average bid and asked  price of such  common  equity,  as of a
specified  date within the past 60 days.  (See  definition  of affiliate in Rule
12b-2 of the Exchange Act.)

 $156,250 as at September 14, 2006 based on the last sale's price of our common
 ------------------------------------------------------------------------------
                                     stock
                                     -----

State the number of shares outstanding of each of the issuer's classes of common
equity, as of the latest practicable date.

            3,125,000 shares of common stock as at September 14, 2006
            ---------------------------------------------------------

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                               TABLE OF CONTENTS
                               -----------------
                                                                           Page

ITEM 1:  DESCRIPTION OF BUSINESS..............................................4
ITEM 2:  DESCRIPTION OF PROPERTY.............................................10
ITEM 3:  LEGAL PROCEEDINGS...................................................10
ITEM 4:  SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.................10
ITEM 5:  MARKET FOR COMMON EQUITY AND RELATED STOCKHOLDER MATTERS............10
ITEM 6:  MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION...........10
ITEM 7:  FINANCIAL STATEMENTS................................................11
ITEM 8:  CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON
         ACCOUNTING AND FINANCIAL DISCLOSURES................................12
ITEM 8A: CONTROLS AND PROCEDURES............................................ 12
ITEM 9:  DIRECTORS, EXECUTIVE OFFICERS, PROMOTERS AND CONTROL PERSONS........12
ITEM 10: EXECUTIVE COMPENSATION..............................................13
ITEM 11: SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT......14
ITEM 12: CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS......................14
ITEM 13: EXHIBITS AND REPORTS................................................14
ITEM 14: PRINCIPAL ACCOUNTANT FEES AND SERVICES..............................15











<page>

PART I

ITEM 1:  DESCRIPTION OF BUSINESS

In General

We have commenced  operations as an exploration  stage company.  An "exploration
stage company"  includes all issuers engaged in the search for mineral  deposits
(reserves)  which  are  not in  either  the  development  or  production  stage.
Development  stage  companies are engaged in the  preparation  of an established
commercially minable deposit (reserves) for its extraction, which are not in the
production stage.  Production stage companies are engaged in the exploitation of
a mineral deposit (reserve).

We have no revenues or operations,  have achieved losses since our inception and
currently rely upon the sale of our securities to fund operations.

We will be engaged in the acquisition and exploration of mineral properties with
a view to exploiting any mineral deposits we discover. We own a 100% interest in
one mineral  claim known as the  Scadding  West claim.  This  interest  does not
confer any real property rights. We solely own the right to explore the Scadding
West claim for minerals and extract them from the surface and  subsurface of the
property.  The owner of the real  property  interest in the land  covered by the
Scadding West claim is the government of Canada. Because the land covered by our
mineral  claim  is in a  remote,  undeveloped  area,  we do not  anticipate  any
conflict  between  our  proposed  exploration  activities  and the  government's
interest.

In the course of our  exploration  programs,  we will be  required to return the
property  to as  close  as  possible  to its  original  state.  This is known as
reclamation.  Reclamation may include  planting  trees,  moving earth and filing
holes that we create during  exploration.  Due to minimal land  disturbance,  we
will not be required to conduct any reclamation  activities on the Scadding West
claim after the planned phase one and two programs. When our exploration program
proceeds to the  drilling  stage,  we may be required to post small bonds if the
rights of a private land owner may be affected. We anticipate that the cost of a
bond for a phase three drilling program and any required  reclamation  would not
exceed $5,000.

There is no assurance that a commercially  viable mineral  deposit exists on the
Scadding West claim.  We do not have any current  plans to acquire  interests in
additional mineral  properties,  though we may consider such acquisitions in the
future.

Mineral property  exploration is typically  conducted in phases. Each subsequent
phase of exploration  work is  recommended  by a geologist  based on the results
from the most recent phase of exploration. We have not yet commenced the initial
phase of  exploration  on the Scadding West claim.  Once we have  completed each
phase of  exploration,  we will make a decision  as to whether or not we proceed
with each  successive  phase  based  upon the  analysis  of the  results of that
program.  Our director will make this decision based upon the recommendations of
the independent geologist who oversees the program and records the results.

Our plan of operation is to conduct  exploration work on the Scadding West claim
in order to ascertain whether it possesses economic  quantities of gold, copper,
nickel,  platinum  and  palladium.  There can be no  assurance  that an economic
mineral deposit exists on the Scadding West claim until appropriate  exploration
work is  completed.  An  "economic  mineral  deposit"  exists on a claim when an
independent   geologist  or  engineer  determines  that  the  property  contains
sufficient mineralization that mining operations would be profitable.

Even if we complete our proposed exploration programs on the Scadding West claim
and we are  successful in identifying a mineral  deposit,  we will have to spend
substantial  funds on further  drilling and  engineering  studies before we will
know if we have a commercially viable mineral deposit.

If our proposed  exploration programs are not successful in identifying economic
mineralization  on the  Scadding  West  mineral  claim,  we intend to acquire an
interest in an alternative  mineral property in order to assess its potential to
contain a mineral deposit.

                                       4

<page>

Property Purchase Agreement

On April 26, 2005, we entered into a mineral  purchase and sale  agreement  with
Margaret Loney of Sudbury, Ontario whereby she sold to us a 100% undivided right
title and  interest  in one  mineral  claim  located in the  Scadding  Township,
Sudbury  Mining  Division,  Ontario,  Canada.  We acquired  this interest in the
Scadding West claim by paying Margaret Loney $7,500.

Description, Location and Access

The Scadding West claim is located  approximately 33 kilometers northeast of the
city of  Sudbury.  The  property is centered  at  approximately  46(0)39'  north
latitude and 80(0)39'  west  longitude.  The property is accessed by  travelling
west from the  Kukagami  Lake road along  several old trails and logging  roads.
Alternatively,  it can be accessed via the Wanapitei River which passes near the
southwest  corner of the mining claim.  While the existing  roads are sufficient
for any anticipated  exploration on the Scadding West property, we would want to
improve the roads,  at an  approximate  cost of $20,000,  if we proceeded to the
mining stage.

The region of the Scadding West  property is  considered  to have a humid,  high
cool  temperate  ecoclimate  with an average mean annual  temperature  of 3.5(0)
Celsius.  Average  daily  temperature  range in the  summer is from  11.8(0)  to
23.1(0) Celsius,  while in winter, the average range is from -16.8(0) to -6.9(0)
Celsius.  Average  annual  precipitation  is 872  millimeters  and snow cover is
deepest in January and February, with an average depth of 0.40 meters.

The land is dominated by a cover of mixed wood forest that includes sugar maple,
yellow birch,  poplar,  eastern hemlock,  eastern white pine and red pine. Other
species  found in wet regions  include the red maple,  black ash,  white spruce,
tamarack and eastern white cedar. The area is  well-glaciated,  characterized by
ridged to hummocky rock outcrops that may be covered in whole or part by glacial
moraines and till.

Title to the Claim

The  Scadding  West  property  consists  of one  mineral  claim  comprising  192
hectares.  A "mineral  claim" refers to a specific  section of land over which a
title  holder  owns  rights to explore  the ground and  subsurface,  and extract
minerals. The claim is registered with the Ontario government under claim number
S-998541.  The claim expires on January 27, 2007. In order to extend this expiry
date on an annual basis,  we must incur at least $2,400 in  exploration  work on
the claim prior to the expiry date,  which we intend to do.  Otherwise,  we will
lose our ownership of the claim comprising the Scadding West property.

Mineralization

Geologically,  the most prominent feature in the area of the Scadding West claim
is an igneous complex of rocks.  Igneous rocks are formed from molten lava which
has hardened on or below the surface of the earth.  Minerals  contained in these
rocks are dyke-related, that is, they are contained in a tabular body of igneous
rock that cuts across the structure of adjacent rocks,  and are hosted by quartz
diorite,  norite  and gabbro  rocks.  Quartz  diorite is a  medium-gray-colored,
coarse-grained,  igneous rock, often with a "salt-and-pepper" appearance. Norite
is a coarsely crystalline igneous rock containing the mineral labradorite as the
main  component.  Gabbro is a dark,  coarse-textured,  heavy  rock  composed  of
calcium feldspar and augite with a small amount of quartz.

Exploration History, infrastructure and Condition of the Property

No known exploration has been conducted on the Scadding West claim. As such, the
Scadding West claim does not contain any mineral workings.  As well, there is no
equipment,  power  source  or other  infrastructure  facilities  located  on the
property. We will use portable power generators if we require a power source for
exploration of claim.  Proposed  exploration will focus on a northwest  trending
fault that cuts through the northern part of the claim.

                                       5

<page>

Geology Report

We retained Dr. Scott Jobin-Bevans, a professional geoscientist,  to complete an
evaluation  of the  Scadding  West claim and to prepare a geology  report on the
claim.

Based on his review,  Dr.  Jobin-Bevans  concludes  that the Scadding West claim
warrants further exploration due to its potential to contain economic quantities
of gold, copper, nickel, platinum and palladium.

Dr.  Jobin-Bevans  recommends an initial  exploration  program consisting of two
phases.  The first phase  consisted of a review of existing data  concerning the
property,  geological mapping and sampling. Geological mapping involves plotting
previous  exploration data relating to a property on a map in order to determine
the best property  locations to conduct  subsequent  exploration work.  Sampling
involves  gathering  rock and soil  samples  from  property  areas with the most
potential to host economically significant mineralization.  All samples gathered
were sent to a laboratory where they are crushed and analysed for metal content.

The second  phase,  which is currently  underway,  will  consist of  geophysical
surveying, as well as follow-up mapping and sampling.

The  second  phase  will cost  approximately  $10,000  and will  consist  of the
following:

         Geophysical survey                                   $ 6,250
         Follow-up Mapping and Sampling                       $ 1,500
         Report writing/consulting                            $ 1,500
         Operating Supplies                                   $   750
         Total                                                $10,000

Compliance with Government Regulation

We will be required to conduct all mineral exploration  activities in accordance
with the Mining Act of Ontario.  While we do not require  any  authorization  to
proceed with the initial two phases of the recommended  exploration  program, we
will be required to obtain work  permits  from the Ontario  Ministry of Northern
Development  and  Mines  for any  subsequent  drilling  program  and  any  other
exploration  work that  results  in a  physical  disturbance  to the land if the
program  calls for the  disturbance  of more than  10,000  square  meters of the
property  surface,  or such areas that would total that amount when combined.  A
work permit is also  required for the erection of  structures  on the  property.
There is no charge to obtain a work permit under the Mining Act.

When our exploration  program proceeds to the drilling stage, we may be required
to post small bonds if the rights of a private  land owner may be  affected.  We
anticipate  that the cost of a bond for the phase three  drilling  program would
not exceed $5,000.

We may also be required to file statements of work with the Ministry of Northern
Development and Mines.  Such statements  would be filed following the completion
of the exploration and would cost  approximately  $500. The filing of statements
of work would not have any impact on the timing or completion of our exploration
program.  We  will  also  be  required  to  undertake  remediation  work  on any
exploration  that  results  in  physical  disturbance  to the land.  The cost of
remediation work will vary according to the degree of physical disturbance.

We will not incur any  regulatory  compliance  costs in the first two  phases of
proposed  exploration.  The  amount of these  costs for  subsequent  exploration
phases is not known at this time as we do not know the extent of the exploration
program that will be undertaken beyond completion of the recommended exploration
programs.  Because  there is presently no  information  on the size,  tenor,  or
quality of any minerals or reserve at this time,  it is impossible to assess the
impact of any capital expenditures on earnings or our competitive position.

Employees

We have no  employees  as of the date of this annual  report other than our sole
director.

                                       6

<page>

Research and Development Expenditures

We have not incurred any other  research or development  expenditures  since our
incorporation.

Subsidiaries

We do not have any subsidiaries.

Patents and Trademarks

We do not own, either legally or beneficially, any patents or trademarks.

Risk Factors

An  investment  in our common stock  involves a high degree of risk.  You should
carefully  consider the risks described below and the other  information in this
annual  report  before  investing in our common  stock.  If any of the following
risks occur, our business,  operating  results and financial  condition could be
seriously harmed. The trading price of our common stock could decline due to any
of these risks, and you may lose all or part of your investment.

IF WE DO NOT OBTAIN ADDITIONAL FINANCING, OUR BUSINESS WILL FAIL.

Our current  operating  funds are less than  necessary  to complete all intended
exploration  of the Scadding  West claim,  and  therefore we will need to obtain
additional financing in order to complete our business plan. We currently do not
have any operations and we have no income.

Our  business  plan  calls  for  significant  expenses  in  connection  with the
exploration  of the  Scadding  West  claim.  While we have  sufficient  funds to
complete the recommended  phase two exploration  program on the claim,  which is
estimated  to cost  $10,000,  we will  need  additional  funds to  complete  any
additional exploration and to cover anticipated  administrative  expenses.  Even
after completing an additional phase of exploration, we will not know if we have
a commercially viable mineral deposit.  We will require additional  financing to
sustain our business  operations if we are not  successful  in earning  revenues
once  exploration  is complete.  We do not currently have any  arrangements  for
financing and may not be able to find such financing if required.

BECAUSE WE ONLY HAVE SUFFICIENT CAPITAL FOR INITIAL  EXPLORATION OF THE SCADDING
WEST CLAIM, WE MAY NEED TO SELL ADDITIONAL SHARES TO FUND OPERATIONS, WHICH WILL
DILUTE THE INTERESTS OF INVESTORS IN THIS OFFERING.

Our  current  capital  is only  sufficient  to cover the  phase two  exploration
program  on the  Scadding  West  claims,  as well as a  portion  of  anticipated
administrative  expenses  over the next 12 months.  We will  likely have to sell
additional  shares of our common stock in order to fund future  operations.  Any
sale of shares will result in dilution to existing shareholders,  which may have
a negative impact on the value of their investment.

BECAUSE WE HAVE ONLY RECENTLY  COMMENCED  BUSINESS  OPERATIONS,  HAVE NOT EARNED
REVENUE AND ARE UNLIKELY TO EARN REVENUE IN THE  FORESEEABLE  FUTURE,  WE FACE A
HIGH RISK OF BUSINESS FAILURE.

We  have  only  recently  commenced  exploration  on the  Scadding  West  claim.
Accordingly, we have no way to evaluate the likelihood that our business will be
successful. We have not earned any revenues as of the date of this annual report
and are unlikely to earn revenue in the foreseeable future.  Potential investors
should  be  aware  of the  difficulties  normally  encountered  by  new  mineral
exploration  companies  and the high rate of  failure of such  enterprises.  The
likelihood of success must be  considered  in light of the  problems,  expenses,
difficulties,  complications  and  delays  encountered  in  connection  with the
exploration of the mineral properties that we plan to undertake. These potential
problems  include,  but are not limited to,  unanticipated  problems relating to
exploration,   and  additional  costs  and  expenses  that  may  exceed  current
estimates.

                                       7

<page>

Prior to completion of our  exploration  stage, we anticipate that we will incur
increased operating expenses without realizing any revenues. We therefore expect
to incur significant losses into the foreseeable future. We recognize that if we
are unable to generate  significant  revenues from  development  of the Scadding
West Property and the production of minerals from the claim, we will not be able
to earn profits or continue operations.

There is no history upon which to base any assumption as to the likelihood  that
we will prove successful, and it is doubtful that we will generate any operating
revenues  or ever  achieve  profitable  operations.  If we are  unsuccessful  in
addressing these risks, our business will most likely fail.

BECAUSE OF THE SPECULATIVE NATURE OF EXPLORATION OF MINING PROPERTIES,  THERE IS
A SUBSTANTIAL RISK THAT OUR BUSINESS WILL FAIL.

The  search  for  valuable  minerals  as a  business  is  extremely  risky.  The
likelihood of our mineral claim containing  economic  mineralization or reserves
is  extremely  remote.   Exploration  for  minerals  is  a  speculative  venture
necessarily  involving  substantial risk. In all probability,  the Scadding West
claim does not contain any reserves and funds that we spend on exploration  will
be lost. As well,  problems such as unusual or unexpected  formations  and other
conditions are involved in mineral  exploration and often result in unsuccessful
exploration efforts. In such a case, we would be unable to complete our business
plan. In such circumstances,  we intend to acquire an interest in an alternative
mineral property in order to assess its potential to contain a mineral deposit.

BECAUSE OF THE INHERENT DANGERS INVOLVED IN MINERAL EXPLORATION, THERE IS A RISK
THAT WE MAY INCUR LIABILITY OR DAMAGES AS WE CONDUCT OUR BUSINESS.

The search for valuable minerals involves numerous hazards.  As a result, we may
become subject to liability for such hazards, including pollution,  cave-ins and
other  hazards  against which we cannot insure or against which we may elect not
to insure. The payment of such liabilities may have a material adverse effect on
our financial position.

EVEN IF WE DISCOVER COMMERCIAL RESERVES OF METALS ON THE SCADDING WEST CLAIM, WE
MAY NOT BE ABLE TO SUCCESSFULLY COMMENCE COMMERCIAL PRODUCTION.

The Scadding West claim does not contain any known bodies of mineralization.  If
our  exploration  programs are  successful  in  establishing  gold of commercial
tonnage  and  grade,  we will  require  additional  funds in order to place  the
Scadding  West claim into  commercial  production.  We may not be able to obtain
such financing.

BECAUSE  WILLIAM  STEWART ACTS AS OUR SOLE DIRECTOR AND OFFICER,  HE WILL BE THE
ONLY  PERSON  RESPONSIBLE  FOR ALL ASPECTS OF OUR  BUSINESS.  IF HE IS UNABLE TO
ADEQUATELY MAINTAIN PROPER DISCLOSURE,  CONTROLS AND PROCEDURES,  OUR OPERATIONS
WILL SUFFER.

Our sole  director and officer,  Mr.  William  Stewart,  will be the only person
responsible for our managerial responsibilities.  As such, he will have ultimate
authority  with  respect  to our  business  decisions,  our  disclosure  and our
implementation of accounting  controls and procedures.  If Mr. Stewart is unable
to properly  institution  such  procedures and comply with reporting  obligation
requirements, our operations may be adversely impacted.

BECAUSE  OUR  PRESIDENT  HAS  OTHER  BUSINESS  INTERESTS,  HE MAY NOT BE ABLE OR
WILLING  TO  DEVOTE A  SUFFICIENT  AMOUNT  OF TIME TO OUR  BUSINESS  OPERATIONS,
CAUSING OUR BUSINESS TO FAIL.

Our president,  Mr. William Stewart,  intends to devote approximately 15% of his
business  time  providing  his  services  to us.  While  Mr.  Stewart  presently
possesses  adequate  time to attend to our  interests,  it is possible  that the
demands on Mr. Stewart from his other obligations could increase with the result
that he would no longer be able to devote  sufficient  time to the management of
our business.

                                       8

<page>

BECAUSE OUR SOLE DIRECTOR HAS NO TECHNICAL  EXPERIENCE  IN MINERAL  EXPLORATION,
OUR BUSINESS HAS A HIGHER RISK OF FAILURE.

William Stewart,  our sole director,  has no technical  training in the field of
geology and specifically in the areas of exploring for, starting and operating a
mine.  He has not  completed  any  education  in the fields of geology or mining
engineering.

As a result,  we may not be able to  recognize  and take  advantage of potential
acquisition  and  exploration  opportunities  in the sector  without  the aid of
qualified  geological   consultants.   As  well,  with  no  direct  training  or
experience,  our management may not be fully aware of the specific  requirements
related to working in this  industry.  As well,  his decisions may not take into
account standard  engineering or managerial  approaches that mineral exploration
companies  commonly  use. His  decisions and choices may not be well thought out
and  our  operations,   earnings  and  ultimate  financial  success  may  suffer
irreparable harm as a result.

A PURCHASER  IS  PURCHASING  PENNY STOCK WHICH LIMITS HIS OR HER ABILITY TO SELL
THE STOCK.

Our issued  common stock  constitutes  penny stock under the  Exchange  Act. The
shares will remain penny stock for the foreseeable future. The classification of
penny stock makes it more difficult for a broker-dealer to sell the stock into a
secondary market, thus limiting investment liquidity.  Any broker-dealer engaged
by the  purchaser  for the  purpose of selling  his or her shares in our company
will be subject to rules 15g-1 through  15g-10 of the Exchange Act.  Rather than
creating a need to comply with those rules, some  broker-dealers  will refuse to
attempt to sell penny stock.

Please  refer  to  the  "Plan  of  Distribution"  section  for a  more  detailed
discussion of penny stock and related broker-dealer restrictions.

Forward-Looking Statements

This annual report  contains  forward-looking  statements that involve risks and
uncertainties.  We use words such as anticipate,  believe, plan, expect, future,
intend and similar expressions to identify such forward-looking  statements. You
should not place too much  reliance  on these  forward-looking  statements.  Our
actual results are most likely to differ  materially  from those  anticipated in
these forward-looking  statements for many reasons, including the risks faced by
us described in the "Risk Factors" section and elsewhere in this annual report.

ITEM 2:  DESCRIPTION OF PROPERTY

We own the mineral  exploration  rights  relating to the  Scadding  West mineral
claim.  We do not own any real  property  interest in the Scadding West claim or
any other property.

ITEM 3:  LEGAL PROCEEDINGS

There are no legal proceedings pending or threatened against us.

ITEM 4:  SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

No matters were submitted during the fourth quarter of our fiscal year to a vote
of security holders, through the solicitation of proxies or otherwise.

                                       9

<page>

PART II

ITEM 5: MARKET FOR COMMON EQUITY AND RELATED STOCKHOLDER MATTERS

Market Information

Our  shares of common  stock are quoted for  trading on the OTC  Bulletin  Board
under the symbol  HSTV.  However,  no trades of our shares of common  stock have
occurred  through the  facilities of the OTC Bulletin  Board to the date of this
annual report.

We have 32 shareholders of record as at the date of this annual report.

Dividends

There are no  restrictions  in our  articles  of  incorporation  or bylaws  that
prevent us from declaring  dividends.  The Nevada Revised Statutes,  however, do
prohibit  us  from  declaring  dividends  where,  after  giving  effect  to  the
distribution of the dividend:

1.       we would not be able to pay our debts as they become due in the usual
         course of business; or

2.       our total  assets  would be less than the sum of our total  liabilities
         plus  the  amount  that  would be  needed  to  satisfy  the  rights  of
         shareholders who have  preferential  rights superior to those receiving
         the distribution.

We have not declared any dividends,  and we do not plan to declare any dividends
in the foreseeable future.

ITEM 6: MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION

Our plan of operation for the next twelve months is to complete the  recommended
phase two  exploration  program  on the  Scadding  West  claim  consisting  of a
geological  mapping,  prospecting and geochemical  sampling.  We anticipate that
this exploration program will each cost approximately $10,000  respectively.  We
commenced  this  program  during  the  summer of 2006 and  anticipate  receiving
initial results imminently.

As well, we anticipate  spending an additional  $20,000 on administrative  fees,
including fees payable in with our reporting obligations.

Total expenditures over the next 12 months are therefore expected to be $30,000.

While we have enough  funds to cover the cost of our  exploration  programs,  we
will require  additional  funding in order to cover  anticipated  administrative
fees and to proceed with any additional recommended  exploration on the Scadding
West claim following the completion of the phase two program. We anticipate that
additional  funding will be in the form of equity financing from the sale of our
common stock or from director  loans.  We do not have any  arrangements in place
for any future equity financing or loans.

If our proposed  exploration programs are not successful in identifying economic
mineralization  on the  Scadding  West  mineral  claim,  we intend to acquire an
interest in an alternative  mineral property in order to assess its potential to
contain a mineral  deposit.  It is likely that we would have to raise additional
funding in order to acquire an interest in an additional mineral claim and would
sell shares of our common stock to obtain this financing.

Results Of Operations For Fiscal Year Ended June 30, 2006

We have not earned any revenues from our  incorporation on July 20, 2004 to June
30, 2006. We do not anticipate  earning revenues unless we enter into commercial
production on the Scadding West claim, which is doubtful.  We have only recently
commenced  the  exploration  stage of our  business and can provide no assurance
that we will discover economic  mineralization on the Scadding West claim, or if
such minerals are discovered, that we will enter into commercial production.

We incurred  operating expenses in the amount of $48,972 for the period from our
inception  on July 20, 2004 to June 30,  2006.  These  operating  expenses  were
comprised of mineral property  acquisition costs of $12,500,  administration and
management  expenses of $12,000,  legal and accounting costs of $10,818,  office
expenses of $5,903,  rent of $3,000,  meals and entertainment of $578, travel of
$837,  transfer agent fees of $3,120,  depreciation  of $211 and bank charges of
$5.

                                       10

<page>

We have not attained  profitable  operations  and are dependent  upon  obtaining
financing to pursue exploration activities.


ITEM 7:  FINANCIAL STATEMENTS


















                               HOST VENTURES, INC.
                         (An Exploration Stage Company)


                              FINANCIAL STATEMENTS


                                  JUNE 30, 2006
                            (Stated in U.S. Dollars)














                                       11

<page>


                            RONALD R. CHADWICK, P.C.
                           Certified Public Accountant
                        2851 South Parker Road, Suite 720
                             Aurora, Colorado 80014
                             Telephone (303)306-1967
                                Fax (303)306-1944




REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM


Board of Directors
Host Ventures, Inc.
Highlands Ranch, Colorado

I have  audited  the  accompanying  balance  sheet of Host  Ventures,  Inc.  (an
exploration  stage company) as of June 30, 2006,  and the related  statements of
operations,  stockholders'  equity and cash  flows for the period  from July 24,
2004  (Inception)  through June 30, 2005,  and for the year ended June 30, 2006.
These financial  statements are the responsibility of the Company's  management.
My responsibility  is to express an opinion on these financial  statements based
on my audit.

I conducted my audit in  accordance  with the  standards  of the Public  Company
Accounting Oversight Board (United States).  Those standards require that I plan
and perform the audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement.  An audit includes examining, on a
test basis,  evidence  supporting  the amounts and  disclosures in the financial
statements.  An audit also includes assessing the accounting principles used and
significant  estimates  made by  management,  as well as evaluating  the overall
financial statement presentation.  I believe that my audit provides a reasonable
basis for my opinion.

In my opinion, the financial statements referred to above present fairly, in all
material respects, the financial position of Host Ventures,  Inc. as of June 30,
2006,  and the results of its  operations and its cash flows for the period from
July 24, 2004 (Inception) through June 30, 2005, and for the year ended June 30,
2006 in conformity with accounting  principles  generally accepted in the United
States of America.

Aurora, Colorado                                      Ronald R. Chadwick, P.C.
August 24, 2006                                       RONALD R. CHADWICK, P.C.



                                      F-1

<page>



                               HOST VENTURES, INC.
                         (An Exploration Stage Company)
                                  BALANCE SHEET
                                  June 30, 2006


                                     ASSETS

      Current assets
            Cash                                              $       12,039
                                                             ---------------
                   Total current assets                               12,039
                                                             ---------------

           Fixed assets                                                  950
           Less accumulated depreciation                                (211)
                                                             ----------------
                                                                         739
                                                             ----------------

      Total Assets                                            $       12,778
                                                             ================

                      LIABILITIES & STOCKHOLDERS' EQUITY


      Liabilities                                             $            -
                                                             ----------------


      Stockholders' Equity
            Common stock, $.001 par value;
                75,000,000 shares authorized;
                5,125,000 issued and outstanding                        5,125
            Additional paid in capital                                 56,625
            Deficit accumulated during the exploration stage          (48,972)
                                                             -----------------

      Total Stockholders' Equity                                       12,778
                                                             -----------------

      Total Liabilities and Stockholders' Equity             $         12,778
                                                             =================


















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

                                       F-2


<page>



                              HOST VENTURES, INC.
                         (An Exploration Stage Company)
                             STATEMENT OF OPERATIONS
<table>
<caption>
                                                  July 20, 2004                                               July 20, 2004
                                                   (Inception)                                                  (Inception)
                                                     Through                                                      Through
                                                   Year Ended                  Year Ended                       Year Ended
                                                  June 30, 2005                June 30, 2006                    June 30, 2006
                                              ---------------------     -----------------------        -----------------------

                                             <c>                             <c>                             <c>
     Revenue                                   $                  -           $               -            $                 -
                                              ---------------------     ------------------------       -----------------------

     Expenses:
          Bank charges                                           5                            -                              5
          Legal & accounting                                 3,000                        7,818                         10,818
          Mining property expenses                           7,500                        5,000                         12,500
          Office expense                                     2,500                        3,403                          5,903
          Rent                                                   -                        3,000                          3,000
          Meals and Entertainment                                -                          578                            578
          Travel                                                 -                          837                            837
          Transfer agent                                         -                        3,120                          3,120
          Depreciation                                           -                          211                            211
          Administration and management                      5,000                        7,000                         12,000
                                              ---------------------     ------------------------       -----------------------
                                                            18,005                       30,967                         48,972
                                              ---------------------     ------------------------       -----------------------

     Loss from operations                                  (18,005)                     (30,967)                       (48,972)
                                              ---------------------     ------------------------       -----------------------

     Other income (expense)                                      -                            -                              -
                                              ----------------------    ------------------------       -----------------------

     Income (loss) before provision for income taxes       (18,005)                     (30,967)                       (48,972)

     Provision for income tax                                    -                            -                              -
                                              ----------------------    ------------------------       -----------------------

     Net income (loss)                           $         (18,005)           $         (30,967)           $           (48,972)
                                              ======================    ========================       =======================

     Net income (loss) per share
     (Basic and fully diluted)                   $           (0.01)           $          (0.01)
                                              ======================    ========================

     Weighted average number of
     common shares outstanding                           2,745,909                    5,125,000
                                              ======================    ========================
</table>



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

                                       F-3


<page>

                               HOST VENTURES, INC.
                         (An Exploration Stage Company)
                       STATEMENTS OF STOCKHOLDERS' EQUITY
                                   (Unaudited)
<table>
<caption>
                                                                                                Deficit
                                                                                                 Accum.
                                                                                                During the         Stock-
                                                         Common Stock           Paid In        Exploration        holders'
                                                     Shares       Amount        Capital           Stage            Equity
                                                -------------- ------------  -------------  ----------------    -----------

                                               <c>             <c>           <c>             <c>             <c>
Balances at July 20, 2004                                   -    $       -    $         -    $          -     $         -

December 15, 2004,  2,000,000 shares
     of common stock issued for cash of
     $2,000 to a founder, for
     $.001 per share                                 2,000,000       2,000                                          2,000

January, 2005 - February, 2005, 2,825,000
     shares of common stock issued for cash
     of $28,250 pursuant to a Regulation D offering,
     at .01 per share                                2,825,000       2,825          25,425                          28,250

March, 2005 - April,  2005, 300,000 shares
     of common  stock issued for cash of
     $15,000 pursuant to a Regulation D offering,
     at .05 per share                                  300,000         300          14,700                          15,000

August, 2004 - June, 2005,
     Services and office space
     provided by officer                                                             7,500                           7,500

Gain (loss) for the period from
    July 20, 2004 (Inception)
    through June 30, 2005                                                                         (18,005)         (18,005)
                                                 -------------  -----------  --------------  -------------    --------------

Balances at June 30, 2005                            5,125,000  $    5,125      $   47,625   $    (18,005)     $    34,745

July, 2005 - June 30, 2006,
     Services and office space
     provided by officer                                                             9,000                           9,000

Gain (loss) for the period                                                                        (30,967)         (30,967)
                                                 -------------- ------------  -------------- -------------- ----------------

Balances at June 30, 2006                            5,125,000  $    5,125      $   56,625   $    (48,972)      $   12,778
                                                 ============== ============  ============== =============== ===============
</table>



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

                                       F-4


<page>


                               HOST VENTURES, INC.
                         (An Exploration Stage Company)
                             STATEMENT OF CASH FLOWS

<table>
<caption>

                                                                 July 20, 2004                                July 20, 2004
                                                                   (Inception)                                 (Inception)
                                                                     Through                                     Through
                                                                   Year Ended              Year Ended          Year Ended
                                                                  June 30, 2005          June 30, 2006        June 30, 2006
                                                               ------------------      -----------------      ----------------
    
                                                            <c>                     <c>                  <c>
     Cash Flows From Operating Activities:

          Net income (loss) during the exploration stage          $      (18,005)         $     (30,967)      $      (48,972)

          Adjustments to reconcile net loss to
          net cash provided by (used for)
          operating
          activities:

               Donated office space and services                           7,500                  9,000               16,500

               Depreciation and amortization                                   -                    211                  211
                                                               ------------------      -----------------      ----------------
                    Net cash provided by (used for)
                    operating
     activities                                                          (10,505)               (21,756)             (32,261)
                                                               ------------------      -----------------      ----------------


     Cash Flows From Investing Activities:

              Fixed asset purchases                                            -                   (950)                (950)
                                                               ------------------      -----------------      ----------------
                    Net cash provided by (used for)
                    investing activities
                                                                               -                   (950)                (950)
                                                               ------------------      -----------------      ----------------
</table>



                          (Continued On Following Page)



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

                                       F-5

<page>


                               HOST VENTURES, INC.
                         (An Exploration Stage Company)
                             STATEMENT OF CASH FLOWS

                         (Continued From Previous Page)

<table>
<caption>
                                                        July 20, 2004                                        July 20, 2004
                                                         (Inception)                                          (Inception)
                                                           Through                                               Through
                                                         Year Ended                  Year Ended                Year Ended
                                                        June 30, 2005               June 30, 2006            June 30, 2006
                                                    -------------------          -------------------    --------------------
    
                                             <c>                           <c>                    <c>
     Cash Flows From Financing Activities:
          Sale of common stock                                   45,250                            -                 45,250
                                                    -------------------          -------------------    --------------------
     Net cash provided by (used
     for) financing activities                                   45,250                            -                 45,250
                                                    -------------------          -------------------    --------------------

     Net Increase (Decrease) In Cash                             34,745                      (22,706)                12,039

     Cash At The Beginning Of The Period                              -                       34,745                      -
                                                    -------------------          --------------------    -------------------

     Cash At The End Of The Period                    $          34,745            $          12,039      $          12,039
                                                    ===================          ====================    ===================


     Schedule Of Non-Cash Investing And Financing Activities
     -------------------------------------------------------
     None

     Supplemental Disclosure
     -----------------------
     Cash paid for interest                          $               -            $                -      $               -
     Cash paid for income taxes                      $               -            $                -      $               -
</table>












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

                                        F-6


<page>

                               HOST VENTURES, INC.
                         (An Exploration Stage Company)
                          NOTES TO FINANCIAL STATEMENTS


NOTE 1. ORGANIZATION, OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES:

Host Ventures, Inc. (the "Company"),  was incorporated in the State of Nevada on
July 20, 2004. The Company was formed to engage in the acquisition, exploration,
and  production of precious  minerals.  The Company may also engage in any other
business  permitted  by law,  as  designated  by the Board of  Directors  of the
Company.

Exploration Stage

The  Company  is  currently  in the  exploration  stage  and has no  significant
operations to date.

Cash and cash equivalents
-------------------------

The Company considers all highly liquid investments with an original maturity of
three months or less as cash equivalents.

Use of Estimates
----------------

The preparation of financial  statements in conformity  with generally  accepted
accounting principles requires management to make estimates and assumptions that
affect  reported  amounts of assets and liabilities and disclosure of contingent
assets and liabilities at the date of the financial  statements and the reported
amounts of revenues and expenses  during the reporting  period.  Actual  results
could differ from those estimates.

Income tax
----------

The Company  accounts for income taxes under  Statement of Financial  Accounting
Standards No. 109 ("SFAS 109").  Under SFAS 109 deferred taxes are provided on a
liability  method  whereby  deferred tax assets are  recognized  for  deductible
temporary   differences  and  operating  loss  carryforwards  and  deferred  tax
liabilities  are  recognized  for  taxable  temporary   differences.   Temporary
differences  are the  differences  between  the  reported  amounts of assets and
liabilities and their tax bases.  Deferred tax assets are reduced by a valuation
allowance  when, in the opinion of  management,  it is more likely than not that
some portion or all of the  deferred  tax assets will not be realized.  Deferred
tax assets and  liabilities  are adjusted for the effects of changes in tax laws
and rates on the date of enactment.

Fiscal year
-----------

The Company employs a fiscal year ending June 30.

                                      F-7

<page>

                               HOST VENTURES, INC.
                         (An Exploration Stage Company)
                          NOTES TO FINANCIAL STATEMENTS


NOTE 1. ORGANIZATION, OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
(Continued):


Net income (loss) per share
---------------------------

The net income (loss) per share is computed by dividing the net income (loss) by
the weighted  average number of shares of common  outstanding.  Warrants,  stock
options,  and  common  stock  issuable  upon  the  conversion  of the  Company's
preferred  stock (if any),  are not  included in the  computation  if the effect
would be  anti-dilutive  and would  increase the  earnings or decrease  loss per
share.

Revenue recognition
-------------------

Revenue is recognized on an accrual basis as earned under  contract  terms.  The
Company has had no revenue to date.

Mineral Properties
------------------

Costs of acquiring  specific mineral properties are capitalized on a property by
property basis.  Mineral properties are periodically  assessed for impairment of
value and any  impairments  are charged to operations at the time of impairment.
Should a property be sold or  abandoned,  its  capitalized  costs are charged to
operations  and gain or loss  recognized.  The  Company  recorded  an expense of
$7,500 in fiscal year 2005 for amounts  expended to acquire a mining lease,  and
$5,000 for property maintenance in 2006.

Financial Instruments

The carrying value of the Company's  financial  instruments,  including cash and
cash equivalents,  as reported in the accompanying  balance sheet,  approximates
fair value.

Recent Accounting Pronouncements
--------------------------------
In March  2005,  the FASB  issued  SFAS No.  123  (revised  2004),  "Share-Based
Payment".  SFAS 123(r)  requires that the cost  resulting  from all  share-based
payment transactions be recognized in the financial statements.  The Company has
adopted the  provisions  of SFAS No.  123(r) which are  effective in general for
transactions  entered into or modified after June 15, 2005. The adoption did not
have a material effect on the results of operations of the Company.

                                      F-8

<page>



                               HOST VENTURES, INC.
                         (An Exploration Stage Company)
                          NOTES TO FINANCIAL STATEMENTS


NOTE 1. ORGANIZATION, OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
(Continued):

In August  2005,  the  Financial  Accounting  Standards  Board  ("FASB")  issued
Statement of Financial Accounting Standard ("SFAS") No. 154, "Accounting Changes
and Error Corrections." SFAS 154 changes the requirements for the accounting for
and  reporting  of a  change  in  accounting  principle,  requiring  in  general
retrospective  application to prior periods' financial  statements of changes in
accounting  principle.  The Company has adopted the  provisions  of SFAS No. 154
which are effective for accounting  changes and corrections of errors  beginning
after  December  15, 2005.  The  adoption did not have a material  effect on the
results of operations of the Company.

In  March  2006,  the  Financial  Accounting  Standards  Board  ("FASB")  issued
Statement of Financial  Accounting  Standard  ("SFAS") No. 155,  "Accounting for
Certain Hybrid  Financial  Instruments."  SFAS 155 resolves  certain  accounting
issues related to various hybrid financial instruments.  The Company has adopted
the  provisions of SFAS No. 155 which are  effective for fiscal years  beginning
after  September  15, 2006.  The adoption did not have a material  effect on the
results of operations of the Company.

In June 2006, the Financial Accounting Standards Board ("FASB") issued Statement
of Financial  Accounting Standard ("SFAS") No. 156, "Accounting for Servicing of
Financial  Assets." SFAS 156 addresses  accounting  issues related to separately
recognized servicing assets and servicing  liabilities.  The Company has adopted
the  provisions of SFAS No. 156 which are  effective for fiscal years  beginning
after  September  15, 2006.  The adoption did not have a material  effect on the
results of operations of the Company.


NOTE 2.  RELATED PARTY TRANSACTIONS

The Company recorded rent expense of $250 per month in 2005 and 2006 for the use
of office space  donated to the Company by an officer.  Total rent expense under
this  arrangement  in 2005 and 2006 was  $2,750 and  $3,000.  The  Company  also
recorded   compensation  expense  of  $500  per  month  in  2005  and  2006  for
administrative  and  management  services  donated to the Company by an officer.
Total compensation expense in 2005 and 2006 was $5,000 and $6,000.

NOTE 3.  INCOME TAXES

At June 30, 2005 and 2006 the Company had a net operating loss  carryforward for
tax purposes of approximately  $10,000 and $32,000 which will begin to expire in
2025.  The  deferred  tax asset at June 30,  2005 and 2006 of $2,101  and $6,437
created by the net operating loss has been offset by a 100% valuation allowance.
The change in the valuation allowance in 2005 and 2006 was $2,101 and $4,336.

                                      F-9

<page>

ITEM 8:  CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND
         FINANCIAL DISCLOSURE

None.

ITEM 8A:  CONTROLS AND PROCEDURES

Evaluation of Disclosure Controls

We evaluated the  effectiveness of our disclosure  controls and procedures as of
the end of the  2006  fiscal  year.  This  evaluation  was  conducted  with  the
participation  of our  chief  executive  officer  and our  principal  accounting
officer.

Disclosure  controls  are  controls  and other  procedures  that are designed to
ensure that  information that we are required to disclose in the reports we file
pursuant  to  the  Securities  Exchange  Act of  1934  is  recorded,  processed,
summarized and reported.

Limitations on the Effective of Controls

Our  management  does not expect that our  disclosure  controls or our  internal
controls over  financial  reporting  will prevent all error and fraud. A control
system, no matter how well conceived and operated,  can provide only reasonable,
but no absolute,  assurance  that the  objectives  of a control  system are met.
Further, any control system reflects limitations on resources,  and the benefits
of a control system must be considered  relative to its costs. These limitations
also include the realities that judgments in  decision-making  can be faulty and
that  breakdowns  can occur  because of simple  error or mistake.  Additionally,
controls  can be  circumvented  by the  individual  acts  of  some  persons,  by
collusion of two or more people or by management override of a control. A design
of a control  system is also  based upon  certain  assumptions  about  potential
future conditions;  over time, controls may become inadequate because of changes
in conditions,  or the degree of compliance  with the policies or procedures may
deteriorate.  Because of the inherent  limitations in a  cost-effective  control
system, misstatements due to error or fraud may occur and may not be detected.

Conclusions

Based upon their  evaluation of our controls,  the chief  executive  officer and
principal  accounting  officer have concluded  that,  subject to the limitations
noted  above,  the  disclosure  controls  are  effective  providing   reasonable
assurance that material  information  relating to us is made known to management
on a timely basis during the period when our reports are being  prepared.  There
were no  changes in our  internal  controls  that  occurred  during the  quarter
covered by this report that have materially  affected,  or are reasonably likely
to materially affect our internal controls.

PART III

ITEM 9:  DIRECTORS, EXECUTIVE OFFICERS, PROMOTERS AND CONTROL PERSONS

Our  executive  officer and  director  and his age as of the date of this annual
report is as follows:

Directors:

Name of Director                         Age
--------------------------------------------------------------------------------
William Stewart                          45





Executive Officers:

Name of Officer                          Age              Office
--------------------------------------------------------------------------------
William Stewart                          45               President, Secretary,
                                                          Treasurer and Chief
                                                          Executive Officer

                                       12

<page>

Biographical Information

Set forth below is a brief description of the background and business experience
of our executive officer and director for the past five years.

Mr. William  Stewart has acted as our  president,  secretary,  treasurer,  chief
executive officer and as a director since our incorporation on July 20, 2004. In
1983, he graduated  from the  University  of Denver with a bachelor's  degree in
business administration.  From December 2001 to present Mr. Stewart has acted as
a director and  secretary of Arete  Industries,  Inc., a Niwot,  Colorado  based
reporting  company involved in the oil and gas sector. He also acts as president
and chairman of the board of directors of Arete Industries,  Inc.'s  subsidiary,
Colorado Oil and Gas, Inc.

From 1994 to the present,  Mr. Stewart has also acted as the principal of S.W.
Gordon  Capital,  Inc., a private  company  involved in providing consulting
services relating to corporate finance, merger and acquisitions transactions.

Mr. Stewart does not have any professional training or technical credentials in
the exploration, development and operation of mines.

Mr.  Stewart  intends to devote  approximately  15% of his business  time to our
affairs.  The remainder of his business  time is devoted to his  positions  with
Arete Industries,  Inc. and its subsidiary,  Colorado Oil and Gas, Inc. As these
companies are solely  involved in the oil and gas business,  there will not be a
conflict between their business activities and ours.

Section 16(A) Beneficial Ownership Reporting Compliance

Section 16(a) of the Exchange Act requires our executive officers and directors,
and persons who beneficially own more than 10% of our equity securities, to file
reports of ownership and changes in ownership  with the  Securities and Exchange
Commission.  Officers,  directors and greater than 10% shareholders are required
by SEC  regulation  to furnish us with  copies of all  Section  16(a) forms they
file.  Based on our review of the copies of such forms we  received,  we believe
that during the fiscal year ended December 31, 2005 all such filing requirements
applicable to our officers and  directors  were  complied  with  exception  that
reports were filed late by the following persons:

                               Number    Transactions    Known Failures
                              Of  late   Not Timely      To File a
Name and principal position    Reports   Reported        Required Form
---------------------------   --------   --------        --------------
William Stewart                  0          0                 1
(President and director)

ITEM 10:  EXECUTIVE COMPENSATION

The table below  summarizes all  compensation  awarded to, earned by, or paid to
our executive officers by any person for all services rendered in all capacities
to us for the fiscal year ended June 30, 2006.

                                       13

<page>

<table>
<caption>
                          Annual Compensation                         Long Term Compensation
                          -------------------                         ----------------------
                                                   Other Annual       Restricted Stock Options/   LTIP          All Other
Name           Title      Year     Salary   Bonus  Compensation       Awarded          SARs (#)   payouts ($)   Compensation
-----          -----      ----     ------   -----  ------------       -------          --------   -----------   ------------

             <c>       <c>      <c>      <c>     <c>               <c>              <c>         <c>           <c>
William        President  2006     $0         0         0                0                0          0             0
Stewart                   2005     $0         0         0                0                0          0             0
</table>

ITEM 11:  SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND
RELATED STOCKHOLDER MATTERS

The following  table provides the names and addresses of each person known to us
to own  more  than 5% of our  outstanding  common  stock  as of the date of this
annual report,  and by the officers and directors,  individually and as a group.
Except as otherwise indicated, all shares are owned directly.

<table>
<caption>
                                                                                Amount of
Title of Class          Name and address                                        beneficial        Percent of class
                        of beneficial owner                                     ownership
----------------------- ------------------------------------------------------- ----------------- -----------------

                      <c>                                                    <c>                <c>
Common stock            William Stewart                                         2,000,000         39.02%
                        9544 South Chesapeake Street
                        Highlands Ranch, Colorado 80126
Common stock            All officers and directors as a group that consists     2,000,000         39.02%
                        of two people
</table>

The percent of class is based on  5,125,000  shares of common  stock  issued and
outstanding as of the date of this annual report.

ITEM 12:  CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS

We record  rent  expense of $250 per month for the use of office  space that our
president,  William  Stewart  donates  to us. As well,  we  record  compensation
expense of $500 per month for  administrative  and  management  services that he
donates to us.

Otherwise,  none of the following  parties has, since our date of incorporation,
had any material interest,  direct or indirect, in any transaction with us or in
any presently proposed transaction that has or will materially affect us:

*        Any of our directors or officers;
*        Any person proposed as a nominee for election as a director;
*        Any person who beneficially owns,  directly or indirectly,  shares
         carrying more than 10% of the voting rights attached to our outstanding
         shares of common stock;
*        Our sole promoter, William Stewart;
*        Any member of the immediate family of any of the foregoing persons.

ITEM 13:  EXHIBITS AND REPORTS

                                    Exhibits
Exhibit
Number     Description

 3.1*      Articles of Incorporation
 3.2*      Bylaws
 5.1**     Legal opinion of Bradford J. Lam, with consent to use
10.1*      Mineral property purchase agreement dated April 26, 2005
23.2***    Consent of Dr. Scott Jobin-Bevans, Professional Geoscientist
31.1       Certification pursuant to Rule 13a-14(a) under the Securities
           Exchange Act of 1934

                                       14

<page>

31.2       Certification pursuant to Rule 13a-14(a) under the Securities
           Exchange Act of 1934
32.1       Certification pursuant to 18 U.S.C. Section 1350, as adopted pursuant
           to Section 906 of the Sarbanes-Oxley Act of 2002
32.2       Certification pursuant to 18 U.S.C. Section 1350, as adopted pursuant
           to Section 906 of the Sarbanes-Oxley Act of 2002
99.1*      Location map
99.2**     Subscription agreement

* filed as an exhibit to our  registration  statement  filed on July 11, 2005 **
filed as an exhibit to our  registration  statement filed on August 22, 2005 ***
filed as an exhibit to our registration statement filed on October 12, 2005

Reports on Form 8-K
-------------------

We did not file any reports on Form 8-K during the last fiscal quarter of 2006.


ITEM 14:  PRINCIPAL ACCOUNTANT FEES AND SERVICES

Our principal accountant, Ronald R. Chadwick, P.C. rendered invoices to us
during the fiscal periods indicated for the following fees and services:

                              From inception on
                               July 20, 2004 to              Fiscal year ended
                                 June 30, 2005                June 30, 2006

Audit fees                        Nil                                $1,500
Audit-related fees                Nil                                $2,240
Tax fees                          Nil                                   Nil
All other fees                    Nil                                   Nil

Audit  fees  consist  of fees  related  to  professional  services  rendered  in
connection with the audit of our annual financial statements,  the review of the
financial statements included in each of our quarterly reports on Form 10-QSB.

Our  policy  is to  pre-approve  all audit and  permissible  non-audit  services
performed by the  independent  accountants.  These  services  may include  audit
services,  audit-related  services,  tax services and other services.  Under our
audit  committee's  policy,  pre-approval  is generally  provided for particular
services or categories of services,  including planned  services,  project based
services  and  routine  consultations.  In  addition,  we may  also  pre-approve
particular  services on a case-by-case  basis. We approved all services that our
independent accountants provided to us in the past two fiscal years.

SIGNATURES

Pursuant to the requirements of Section 13 and 15 (d) of the Securities Exchange
Act of 1934,  the  Registrant  has duly  caused  this report to be signed on its
behalf by the undersigned, thereunto duly authorized.

Host Ventures, Inc.


By          /s/ William Stewart
            -------------------------
            William Stewart
            President, CEO & Director
            Date: September 14, 2006



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