**UNITED      STATES**

**SECURITIES      AND EXCHANGE COMMISSION**

**FORM      10-QSB**

*(Mark      One)*

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

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

**KENTUCKY      USA ENERGY, INC.**

| **Delaware**                            | **20-5750488**                                                  |
|-----------------------------------------|-----------------------------------------------------------------|
| (State                of incorporation) | (IRS                Employer Identification                No.) |

**111      W. Gutierrez St.**

**Santa      Barbara, CA 93101**

**(805)      259-9707**

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**PART        I - FINANCIAL INFORMATION**

**ITEM        1. FINANCIAL STATEMENTS**

**KENTUCKY        USA ENERGY, INC.**

**(An          Exploration Stage Company)**

**Balance          Sheets**

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| **ASSETS** |
|------------|

|                                                                               |   |  **As                    of**        |                                         |  **As                    of**    |   |
|------------------------------------------------------------------------------------|--------|-------------------------------------------|----------------------------------------------|---------------------------------------|--------|
|                                                                               |   |  **November                    30,** |                                         |  **Feb.                    28,** |   |
|                                                                               |   |  **2007**                            |                                         |  **2007**                        |   |
| **Current                    Assets**                                              |   |                                 |                                         |                             |   |
| Cash                                                                               |   | $                                         | 16,678                                       |                                  | $      | 3,235 |   |
|                                                                               |   |                                      |                               |                                  |   |                          |   |
| **Total                    Current Assets**                                        |   |                                      | 16,678                                       |                                  |   | 3,235 |   |
|                                                                               |   |                                      |                               |                                  |   |                          |   |
|                                                                               |   | $                                         | **16,678**                                   |                                  | $      | **3,235** |   |
|                                                                               |   |                                      |                                         |                                  |   |   |   |
| **LIABILITIES                    & STOCKHOLDERS' EQUITY (DEFICIT)**            |
|                                                                               |   |                                      |                                         |                                  |   |   |   |
| **Current                    Liabilities**                                         |   |                                      |                                         |                                  |   |   |   |
| Accounts                    Payable                                                |   |                                      | 6,946                                        |                                  |   |   |   |
| Officers                    Advances Payable                                       |   |                                      | 11,855                                       |                                  |   | 5,350 |   |
|                                                                               |   |                                      |                                         |                                  |   |   |   |
| **Total                    Current Liabilities**                                   |   |                                      | 18,801                                       |                                  |   | 5,350 |   |
|                                                                               |   |                                      |                               |                                  |   |     |   |
| **Total                    Liabilities**                                           |   |                                      | 18,801                                       |                                  |   | 5,350 |   |
|                                                                               |   |                                      |                                         |                                  |   |   |   |
| **Stockholders'                    Equity (Deficit)**                              |   |                                      |                                         |                                  |   |   |   |
| Preferred                    stock, ($0.0001 par value, 20,000,000 shares          |   |                                      |                                         |                                  |   |   |   |
| authorized;                    -0- shares issued and outstanding                   |   |                                      |                                         |                                  |   |   |   |
| Common                    stock, ($0.0001 par value, 300,000,000 shares authorized |   |                                      |                                         |
| 36,000,000                    and 2,000,000 shares issued and outstanding          |   |                                      |                                         |                                  |   |   |   |
| as                    of November 30, 2007 and February 28, 2007 respectively)     |   |                                      | 3,600                                        |                                  |   | 200 |   |
| Additional                    paid-in capital                                      |   |                                      | 29,700                                       |                                  |   | 4,800 |   |
| Deficit                    accumulated during exploration stage                    |   |                                      | (35,423                                      | )                                     |   | (7,115 | ) |
|                                                                               |   |                                      |                               |                                  |   |                          |   |
| **Total                    Stockholders' Equity (Deficit)**                        |   |                                      | (2,123                                       | )                                     |   | (2,115 | ) |
|                                                                               |   |                                      |                                         |                                  |   |   |   |
| **TOTAL                    LIABILITIES &**                                     |   |                                      |                          |                                  |   |                         |   |
| **STOCKHOLDERS'                    EQUITY (DEFICIT)**                              |   | $                                         | **16,678**                                   |                                  | $      | **3,235** |   |

**See            Accompanying Notes**

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| **KENTUCKY                    USA ENERGY, INC.**      |
|-------------------------------------------------------|
| **(An                    Exploration Stage Company)** |
| **Statements                    of Operations**       |

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|                                                   |   |                                |               |                                      |   | **September                    29,                    2006** |   |
|--------------------------------------------------------|--------|-------------------------------------|--------------------|-------------------------------------------|--------|--------------------------------------------------------------|--------|
|                                                   |   | **Three                    Months** |               |  **Nine                    Months**  |   |  **(inception)**                                        |   |
|                                                   |   | **Ended**                           |               |  **Ended**                           |   |  **through**                                            |   |
|                                                   |   | **November                    30,** |               |  **November                    30,** |   |  **November                    30,**                    |   |
|                                                   |   | **2007**                            |               |  **2007**                            |   |  **2007**                                               |   |
|                                                   |   |                                |               |  ** **                          |   |  ** **                                             |   |
|                                                   |   |                                |               |                                 |   |                                                    |   |
| **Revenues**                                           |   |                                |               |                                 |   |                                                    |   |
|                                                   |   |                                |               |                                 |   |                                                    |   |
| Revenues                                               |   | $                                   | -                  |                                      | $      |                                                         |   | $ | - |   |
|                                                   |   |                                |     |                                      |   |                                                    |   |   |     |   |
|                                                   |   |                                |               |                                      |   |                                                         |   |   |   |   |
| **Total                    Revenues**                  |   |                                | -                  |                                      |   |                                                         |   |   | - |   |
|                                                   |   |                                |               |                                      |   |                                                         |   |   |   |   |
| **Operating                    Costs**                 |   |                                |               |                                      |   |                                                         |   |   |   |   |
| Administrative                    Expenses             |   |                                | 9,361              |                                      |   | 25,008                                                       |   |   | 32,123 |   |
|                                                   |   |                                |               |                                      |   |                                                         |   |   |   |   |
|                                                   |   |                                |          |                                      |   |                                                    |   |   |    |   |
|                                                   |   |                                |               |                                      |   |                                                         |   |   |   |   |
| **Total                    Operating Costs**           |   |                                | 9,361              |                                      |   | 25,008                                                       |   |   | 32,123 |   |
|                                                   |   |                                | **  **   |                                      |   | **  **                                             |   |   | **  ** |   |
|                                                   |   |                                |               |                                      |   |                                                         |   |   |   |   |
| **Net                    Income (Loss)**               |   | $                                   | (9,361             | )                                         | $      | **(25,008**                                                  | **)**  | $ | **(32,123** | **)** |
|                                                   |   |                                |               |                                      |   |                                                         |   |   |   |   |
|                                                   |   |                                |               |                                      |   |                                                         |   |   |   |   |
| **Basic                    earnings (loss) per share** |   | $                                   | (0.00              | )                                         | $      | (0.00                                                        | )      |   |   |   |
|                                                   |   |                                |               |                                      |   |                                                         |   |   |   |   |
| **Weighted                    average number of**      |   |                                |               |                                      |   |                                                         |   |   |   |   |
| **common                    shares outstanding**       |   |                                | 16,593,407         |                                      |   | 7,727,273                                                    |   |   |   |   |

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| **KENTUCKY                  USA ENERGY, INC.**      |
|-----------------------------------------------------|
| **(An                  Exploration Stage Company)** |
| **Statements                  of Cash Flows**       |

|                                                                                        |   |                              |                                             |                                     |   |
|---------------------------------------------------------------------------------------------|--------|-----------------------------------|--------------------------------------------------|-----------------------------------------------|--------|
|                                                                                        |   |                              |                                             |  **September                  29, 2006** |   |
|                                                                                        |   | **Nine                  Months**  |                                             |  **(inception)**                         |   |
|                                                                                        |   | **Ended**                         |                                             |  **through**                             |   |
|                                                                                        |   | **November                  30,** |                                             |  **November                  30,**       |   |
|                                                                                        |   | **2007**                          |                                             |  **2007**                                |   |
| **CASH                  FLOWS FROM OPERATING ACTIVITIES**                                   |   |                              |                                             |                                     |   |
| Net                  income (loss)                                                          |   | $                                 | (25,008                                          | )                                             | $      | (32,123 | ) |
| Adjustments                  to reconcile net loss to net cash                              |   |                              |                                             |                                          |   |   |   |
| provided                  by (used in) operating activities:                                |   |                              |                                             |                                          |   |   |   |
|                                                                                        |   |                              |                                             |                                          |   |   |   |
| Changes                  in operating assets and liabilities:                               |   |                              |                                             |                                          |   |   |   |
| Increase                  (decrease) in Accounts Payable                                    |   |                              | 6,946                                            |                                          |   | 6,946 |   |
| Increase                  (decrease) in Officers Advances Payable                           |   |                              | 6,505                                            |                                          |   | 11,855 |   |
|                                                                                        |   |                              |                              |                                          |   |     |   |
|                                                                                        |   |                              |                                             |                                          |   |   |   |
| ***Net                  cash provided by (used in) operating                  activities*** |   |                              | **(11,557**                                      | **)**                                         |   | **(13,322** | **)** |
|                                                                                        |   |                              |                                             |                                          |   |   |   |
| **CASH                  FLOWS FROM INVESTING ACTIVITIES**                                   |   |                              |                                             |                                          |   |   |   |
|                                                                                        |   |                              |                                             |                                          |   |   |   |
| Acquisition                  of equipment                                                   |   |                              | -                                                |                                          |   | - |   |
|                                                                                        |   |                              | **  **                                 |                                          |   | **   ** |   |
|                                                                                        |   |                              |                                             |                                          |   |   |   |
| ***Net                  cash provided by (used in) investing                  activities*** |   |                              | **-**                                            |                                          |   | **-** |   |
|                                                                                        |   |                              |                                             |                                          |   |   |   |
| **CASH                  FLOWS FROM FINANCING ACTIVITIES**                                   |   |                              |                                             |                                          |   |   |   |
|                                                                                        |   |                              |                                             |                                          |   |   |   |
| Issuance                  of common stock                                                   |   |                              | 3,400                                            |                                          |   | 3,600 |   |
| Additional                  paid-in capital                                                 |   |                              | 24,900                                           |                                          |   | 29,700 |   |
| Stock                  Dividend                                                             |   |                              | (3,300                                           | )                                             |   | (3,300 | ) |
|                                                                                        |   |                              |                                        |                                          |   |    |   |
|                                                                                        |   |                              |                                             |                                          |   |   |   |
| ***Net                  cash provided by (used in) financing                  activities*** |   |                              | **25,000**                                       |                                          |   | **30,000** |   |
|                                                                                        |   |                              |                                             |                                          |   |   |   |
|                                                                                        |   |                              | **   **                           |                                          |   | **   ** |   |
|                                                                                        |   |                              |                                             |                                          |   |   |   |
| ***Net                  increase (decrease) in cash***                                      |   |                              | **13,443**                                       |                                          |   | **16,678** |   |
|                                                                                        |   |                              |                                             |                                          |   |   |   |
| ***Cash                  at beginning of period***                                          |   |                              | **3,235**                                        |                                          |   | **-** |   |
|                                                                                        |   |                              |                         |                                          |   |                         |   |
|                                                                                        |   |                              |                                             |                                          |   |   |   |
| ***Cash                  at end of period***                                                |   | $                                 | 16,678                                           |                                          | $      | **16,678** |   |
|                                                                                        |   |                              |                                             |                                          |   |   |   |
| **SUPPLEMENTAL                  DISCLOSURES OF CASH FLOW INFORMATION**                      |   |                              |                                             |
| Cash                  paid during year for :                                                |   |                              |                                             |                                          |   |   |   |
|                                                                                        |   |                              |                                             |                                          |   |   |   |
| Interest                                                                                    |   | $                                 | -                                                |                                          | $      | - |   |
|                                                                                        |   |                              |                                             |                                          |   |   |   |
| Income                  Taxes                                                               |   | $                                 | -                                                |                                          | $      | - |   |

**See        Accompanying Notes**

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**ITEM      2. MANAGEMENT’S DISCUSSION AND ANALYSIS OR PLAN OF      OPERATION.**

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**ITEM      3. CONTROLS AND PROCEDURES**

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**PART      II - OTHER INFORMATION**

**ITEM      4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.**

| ·   | changed                our name from Las Rocas Mining Corp. to Kentucky USA Energy,                Inc.; |
|--------------------|----------------------------------------------------------------------------------------------------------|

| ·   | increased                our authorized common stock from 80,000,000 shares, par value $0.0001                per                share, to 300,000,000 shares, par value $0.0001 per share. Our authorized                preferred stock remained at 20,000,000 shares, par value $0.0001                per                share; |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | provided                for the indemnification of our officers and directors, to the full                extent                permitted by Delaware law; and |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | expressly                elected not to be governed by the provisions of Section 203 of the                Delaware General Corporation Law. |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------|

**ITEM      5. OTHER INFORMATION.**

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**ITEM      6. EXHIBITS.**

| Exhibit                No. |   | Description                                                                                                                                                                                                                               |
|----------------------------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 10.1                       |   | 2007                Equity Incentive Plan                                                                                                                                                                                                 |
| 31.1                       |   | Certification                of Principal Executive Officer and Principal Financial Officer pursuant                to                Section 302 the Sarbanes-Oxley Act of 2002                                                          |
| 32.1                       |   | Certification                of Chief Executive Officer and Chief Financial Officer pursuant to                18                U.S.C. Section 1350, as adopted pursuant to Section 906 of the                Sarbanes-Oxley Act of 2002 |

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**SIGNATURES**

|                                     |                                                                                                                        |                                        |
|------------------------------------------|-----------------------------------------------------------------------------------------------------------------------------|---------------------------------------------|
|                                     | Kentucky              USA              Energy, Inc.                                                                         |
|                                |                                                                                                                   |                                   |
| Date: January              14, 2008 | By:                                                                                                               | /s/ Christopher              Greenwood |
|                                     | Name: Christopher              Greenwood                                                                               |
|                                     | Title:                  Principal                Executive Officer and Principal Financial                Officer |

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