**FORM      10-Q**

**333-143352**

**Lodestar      Mining, Incorporated**

| **Delaware**                                                                  |   | **20-8901634**                                      |
|-------------------------------------------------------------------------------|--------|-----------------------------------------------------|
| (State                or other jurisdiction of incorporation or organization) |   | (I.R.S.                Employer Identification No.) |

| **400                Steeprock Drive**                  |   |                       |
|---------------------------------------------------------|--------|----------------------------|
| **Toronto,                Ontario, Canada**             |   | **M3J                2X1** |
| (Address                of principal executive offices) |   | (Zip                code)  |

**416)      505-1593**

| Large                  accelerated filer | o |   | Accelerated                  filer         | o |
|------------------------------------------|---|--------|--------------------------------------------|---|
| Non-accelerated                  filer   | o |   | Smaller                  reporting company | x |

----

**TABLE      OF CONTENTS**

| PART                  I - FINANCIAL INFORMATION | 1                         |
|-------------------------------------------------|---------------------------|
|                                            |                      |   |   |
|                                            | Item                  1.  | Unaudited                  Financial Statements | 1 |
|                                            |                      |   |   |
|                                            | Item                  2.  | Management's                  Discussion and Analysis of Financial Condition and Results of                  Operations | 7 |
|                                            |                      |   |   |
|                                            | Item                  3.  | Quantitative                  and Qualitative Disclosures About Market Risk | 10 |
|                                            |                      |   |   |
|                                            | Item                  4.  | Controls                  and Procedures | 10 |
|                                            |                      |
| PART                  II - OTHER INFORMATION    | 12                        |
|                                            |                      |   |   |
|                                            | Item                  1.  | Legal                  Proceedings | 12 |
|                                            |                      |   |   |
|                                            | Item                  1A. | Risk                  Factors | 12 |
|                                            |                      |   |   |
|                                            | Item                  2.  | Unregistered                  Sales of Equity Securities and Use of Proceeds | 12 |
|                                            |                      |   |   |
|                                            | Item                  3.  | Defaults                  Upon Senior Securities. | 12 |
|                                            |                      |   |   |
|                                            | Item                  4.  | Submission                  of Matters to a Vote of Security Holders. | 12 |
|                                            |                      |   |   |
|                                            | Item                  5.  | Other                  Information. | 12 |
|                                            |                      |   |   |
|                                            | Item                  6.  | Exhibits | 12 |
|                                            |                      |   |   |
| Signatures                                      |
|                                            |
| Exhibits                                        |

----

**PART      I - FINANCIAL INFORMATION**

**Item      1.**
** **
**FINANCIAL      STATEMENTS**
**      (UNAUDITED)**

**LODESTAR      MINING, INCORPORATED**

**(AN      EXPLORATION STAGE COMPANY)**

**INDEX      TO FINANCIAL STATEMENTS **

|                                                                                                                                                                                                                                                    | **Page(s)** |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------|
| Financial                Statements:                                                                                                                                                                                                                    |        |
|                                                                                                                                                                                                                                                    |        |
| Unaudited                Balance Sheets as of June 30, 2008, and December 31, 2007                                                                                                                                                                      | 2           |
|                                                                                                                                                                                                                                                    |        |
| Unaudited                Statements of Operations for the three and six months ended June                30, 2008                and June 30, 2007 and the period from October 31, 2006 (inception)                through                June 30, 2008 | 3           |
|                                                                                                                                                                                                                                                    |        |
| Unaudited                Statements of Changes in Stockholders’ Equity for the period October 31,                2006 (Inception) through June 30, 2008                                                                                           | 4           |
|                                                                                                                                                                                                                                                    |        |
| Unaudited                Statements of Cash Flows for the six months ended June 30, 2008 and                June                30, 2007 and the period from October 31, 2006 (inception) through                June 30,                2008           | 5           |
|                                                                                                                                                                                                                                                    |        |
| Notes                to Unaudited Financial Statements                                                                                                                                                                                                  | 6           |

----

**LODESTAR      MINING, INCORPORATED**

**(AN      EXPLORATION STAGE COMPANY)**

**BALANCE      SHEETS**

**AS      OF JUNE 30, 2008, AND DECEMBER 31, 2007**

| **ASSETS**                                                                                                                                                                                                        |   | **(Unaudited)****6/30/08** |        | **12/31/07** |   |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|----------------------------|-------------|--------------|--------|
|                                                                                                                                                                                                              |   |                       |        |         |   |   |   |
| **CURRENT                ASSETS**                                                                                                                                                                                 |   |                       |        |         |   |   |   |
| **Cash**                                                                                                                                                                                                          |   | **$**                      | **8,699**   |         | **$**  | **13,711** |   |
| **Total                current assets**                                                                                                                                                                           |   |                       | **8,699**   |         |   | **13,711** |   |
|                                                                                                                                                                                                              |   |                       |        |         |   |   |   |
|                                                                                                                                                                                                              |   |                       |        |         |   |   |   |
| **TOTAL                ASSETS**                                                                                                                                                                                   |   | **$**                      | **8,699**   |         | **$**  | **13,711** |   |
|                                                                                                                                                                                                              |   |                       |        |         |   |   |   |
| **LIABILITIES                AND STOCKHOLDERS' EQUITY**                                                                                                                                                           |   |                       |        |         |   |   |   |
|                                                                                                                                                                                                              |   |                       |        |         |   |   |   |
| **CURRENT                LIABILITIES**                                                                                                                                                                            |   |                       |        |         |   |   |   |
| **Accounts                payable**                                                                                                                                                                               |   | **$**                      | **-**       |         | **$**  | **-** |   |
| **Total                current liabilities**                                                                                                                                                                      |   |                       | **-**       |         |   | **-** |   |
|                                                                                                                                                                                                              |   |                       |        |         |   |   |   |
| **TOTAL                LIABILITIES**                                                                                                                                                                              |   |                       | **-**       |         |   | **-** |   |
|                                                                                                                                                                                                              |   |                       |        |         |   |   |   |
| **STOCKHOLDERS'                EQUITY**                                                                                                                                                                           |   |                       |        |         |   |   |   |
| **Preferred                stock, $0.000001 par value, 20,000,000 shares authorized,none issued                and                outstanding**                                                                   |   |                       | **-**       |         |   | **-** |   |
| **Common                stock, $0.000001 par value, 1,000,000,000 shares authorized, 3,000,000                shares issued and outstanding at June 30, 2008 and December 31, 2007,                respectively** |   |                       | **3**       |         |   | **3** |   |
| **Additional                paid in capital**                                                                                                                                                                     |   |                       | **39,997**  |         |   | **39,997** |   |
| **Subscriptions                receivable**                                                                                                                                                                       |   |                       | **-**       |         |   | **-** |   |
| **Deficit                accumulated during the exploration stage**                                                                                                                                               |   |                       | **(31,301** | **)**        |   | **(26,289** | **)** |
|                                                                                                                                                                                                              |   |                       |        |         |   |   |   |
| **Total                stockholders’ equity**                                                                                                                                                               |   |                       | **8,699**   |         |   | **13,711** |   |
|                                                                                                                                                                                                              |   |                       |        |         |   |   |   |
| **TOTAL                LIABILITIES AND STOCKHOLDERS’ EQUITY**                                                                                                                                               |   | **$**                      | **8,699**   |         | **$**  | **13,711** |   |

**The      accompanying notes are an integral part of these financial      statements.**

----

**LODESTAR      MINING, INCORPORATED**

**(AN      EXPLORATION STAGE COMPANY)**

**STATEMENTS      OF OPERATIONS**

**FOR      THE THREE AND SIX MONTHS ENDED JUNE 30, 2008 AND JUNE 30, 2007 AND THE PERIOD      **

**FROM      OCTOBER 31, 2006 (INCEPTION) THROUGH JUNE 30, 2008**

|                                                             |   | **(Unaudited)****Three Months****Ended****June 30, 2008** |      | **(Unaudited)****Three Months****Ended****June 30, 2007** |   | **(Unaudited)****Six Months****Ended****June 30,****2008** |   | **(Unaudited)****Six Months****Ended****June 30,****2007** |      | **(Unaudited)****October 31, 2006****(Inception)****Through****June 30, 2008** |   |
|------------------------------------------------------------------|--------|--------------------------------------------------------------------------|-----------|--------------------------------------------------------------------------|--------|----------------------------------------------------------------------|--------|----------------------------------------------------------------------|-----------|----------------------------------------------------------------------------------------------------|--------|
|                                                             |   |                                                                     |      |                                                                     |   |                                                                 |   |                                                                 |      |                                                                                               |   |   |   |   |   |   |
| **REVENUE**                                                      |   | **$**                                                                    | **-**     |                                                                     | **$**  | **-**                                                                |   | **$**                                                                | **-**     |                                                                                               | **$**  | **-** |   | **$** | **-** |   |
|                                                             |   |                                                                     |      |                                                                     |   |                                                                 |   |                                                                 |      |                                                                                               |   |   |   |   |   |   |
| **COST                OF REVENUES**                              |   |                                                                     | **-**     |                                                                     |   | **-**                                                                |   |                                                                 | **-**     |                                                                                               |   | **-** |   |   | **-** |   |
|                                                             |   |                                                                     |      |                                                                     |   |                                                                 |   |                                                                 |      |                                                                                               |   |   |   |   |   |   |
| **GROSS                PROFIT**                                  |   |                                                                     | **-**     |                                                                     |   | **-**                                                                |   |                                                                 | **-**     |                                                                                               |   | **-** |   |   | **-** |   |
|                                                             |   |                                                                     |      |                                                                     |   |                                                                 |   |                                                                 |      |                                                                                               |   |   |   |   |   |   |
| **OPERATING                EXPENSES**                            |   |                                                                     |      |                                                                     |   |                                                                 |   |                                                                 |      |                                                                                               |   |   |   |   |   |   |
|                                                             |   |                                                                     |      |                                                                     |   |                                                                 |   |                                                                 |      |                                                                                               |   |   |   |   |   |   |
| **CURRENT                LIABILITIES**                           |   |                                                                     |      |                                                                     |   |                                                                 |   |                                                                 |      |                                                                                               |   |   |   |   |   |   |
| Mining                property costs                             |   |                                                                     | -         |                                                                     |   | -                                                                    |   |                                                                 | -         |                                                                                               |   | 5,000 |   |   | 5,000 |   |
| Professional                fees                                 |   |                                                                     | 5,000     |                                                                     |   | 12,500                                                               |   |                                                                 | 5,000     |                                                                                               |   | 12,500 |   |   | 26,000 |   |
| Commission                and consulting fees                    |   |                                                                     | **-**     |                                                                     |   | -                                                                    |   |                                                                 | -         |                                                                                               |   | - |   |   | - |   |
| General                and administrative                        |   |                                                                     | -         |                                                                     |   | 40                                                                   |   |                                                                 | 12        |                                                                                               |   | 279 |   |   | 301 |   |
|                                                             |   |                                                                     |      |                                                                     |   |                                                                 |   |                                                                 |      |                                                                                               |   |   |   |   |   |   |
| **Total                operating expenses**                      |   |                                                                     | 5,000     |                                                                     |   | 12,540                                                               |   |                                                                 | 5,012     |                                                                                               |   | 17,779 |   |   | 31,301 |   |
|                                                             |   |                                                                     |      |                                                                     |   |                                                                 |   |                                                                 |      |                                                                                               |   |   |   |   |   |   |
|                                                             |   |                                                                     |      |                                                                     |   |                                                                 |   |                                                                 |      |                                                                                               |   |   |   |   |   |   |
| **NET                (LOSS)**                                    |   | $                                                                        | (5,000    | )                                                                        | $      | (12,540                                                              | )      | $                                                                    | (5,012    | )                                                                                                  | $      | (17,779 | ) | $ | (31,301 | ) |
|                                                             |   |                                                                     |      |                                                                     |   |                                                                 |   |                                                                 |      |                                                                                               |   |   |   |   |   |   |
| **WEIGHTED                AVERAGE NUMBER OF SHARES OUTSTANDING** |   |                                                                     | 3,000,000 |                                                                     |   | 3,000,000                                                            |   |                                                                 | 3,000,000 |                                                                                               |   | 3,000,000 |   |   |   |   |
|                                                             |   |                                                                     |      |                                                                     |   |                                                                 |   |                                                                 |      |                                                                                               |   |   |   |   |   |   |
| **NET                (LOSS) PER SHARE**                          |   | $                                                                        | (0.00     | )                                                                        | $      | (0.01                                                                | )      | $                                                                    | (0.00     | )                                                                                                  | $      | (0.00 | ) |   |   |   |

----

**LODESTAR      MINING, INCORPORATED**

**(AN      EXPLORATION STAGE COMPANY)**

**STATEMENTS      OF CHANGES IN STOCKHOLDERS’ EQUITY**

**FOR      THE PERIOD OCTOBER 31, 2006 (INCEPTION) THROUGH JUNE 30,      2008**

**(Unaudited)**

|                                                          |   |                            |          |        |   |              |   |            |       | **Deficits**                  |   |        |   |
|---------------------------------------------------------------|--------|---------------------------------|---------------|-------------|--------|-------------------|--------|-----------------|------------|-------------------------------|--------|-------------|--------|
|                                                          |   |                            |          |        |   |              |   |            |       | **Accumulated**               |   |        |   |
|                                                          |   |                            |          |        |   | **Additional**    |   |            |       | **During                the** |   |        |   |
|                                                          |   | **Common                Stock** |          | **Paid-In** |   | **Subscriptions** |   | **Exploration** |       |                          |   |
|                                                          |   |  **Shares**                |          | **Amount**  |   | **Capital**       |   | **Receivable**  |       | **Stage**                     |   | **Total**   |   |
|                                                          |   |                            |          |        |   |              |   |            |       |                          |   |        |   |   |   |   |   |   |   |
| **Balance –                October 31, 2006**      |   |                            | **-**         |        | **$**  | **-**             |   | **$**           | **-**      |                          | **$**  | **-**       |   | **$** | **-** |   | **$** | **-** |   |
|                                                          |   |                            |          |        |   |              |   |            |       |                          |   |        |   |   |   |   |   |   |   |
| **Common                shares issued to founder**            |   |                            | **3,000,000** |        |   | **3**             |   |            | **29,997** |                          |   | **(30,000** | **)**  |   | **-** |   |   | **-** |   |
|                                                          |   |                            |          |        |   |              |   |            |       |                          |   |        |   |   |   |   |   |   |   |
| **Net                loss for the period**                    |   |                            | **-**         |        |   | **-**             |   |            | **-**      |                          |   | **-**       |   |   | **-** |   |   | **-** |   |
|                                                          |   |                            |          |        |   |              |   |            |       |                          |   |        |   |   |   |   |   |   |   |
| **Balance –                December 31, 2006**     |   |                            | **3,000,000** |        |   | **3**             |   |            | **29,997** |                          |   | **(30,000** | **)**  |   | **-** |   |   | **-** |   |
|                                                          |   |                            |          |        |   |              |   |            |       |                          |   |        |   |   |   |   |   |   |   |
| **Cash                received for subscriptions receivable** |   |                            | **-**         |        |   | **-**             |   |            | **-**      |                          |   | **30,000**  |   |   | **-** |   |   | **30,000** |   |
|                                                          |   |                            |          |        |   |              |   |            |       |                          |   |        |   |   |   |   |   |   |   |
| **Contributed                capital by shareholders**        |   |                            | **-**         |        |   | **-**             |   |            | **10,000** |                          |   | **-**       |   |   | **-** |   |   | **10,000** |   |
|                                                          |   |                            |          |        |   |              |   |            |       |                          |   |        |   |   |   |   |   |   |   |
| **Net                loss for the period**                    |   |                            | **-**         |        |   | **-**             |   |            | **-**      |                          |   | **-**       |   |   | **(26,289** | **)** |   | **(26,289** | **)** |
|                                                          |   |                            |          |        |   |              |   |            |       |                          |   |        |   |   |   |   |   |   |   |
| **Balance –                December 31, 2007**     |   |                            | **3,000,000** |        |   | **3**             |   |            | **39,997** |                          |   | **-**       |   |   | **(26,289** | **)** |   | **13,711** |   |
|                                                          |   |                            |          |        |   |              |   |            |       |                          |   |        |   |   |   |   |   |   |   |
| **Net                loss for the period**                    |   |                            | **-**         |        |   | **-**             |   |            | **-**      |                          |   | **-**       |   |   | **(5,012** | **)** |   | **(5,012** | **)** |
|                                                          |   |                            |          |        |   |              |   |            |       |                          |   |        |   |   |   |   |   |   |   |
| **Balance –                June 30, 2008**         |   |                            | **3,000,000** |        | **$**  | **3**             |   | **$**           | **39,997** |                          | **$**  | **-**       |   | **$** | **(31,301** | **)** | **$** | **8,699** |   |

----

**LODESTAR      MINING, INCORPORATED**

**(AN      EXPLORATION STAGE COMPANY)**

**STATEMENTS      OF CASH FLOW**

**FOR      THE SIX MONTHS ENDED JUNE 30, 2008 AND JUNE 30, 2007 AND THE PERIOD FROM OCTOBER      31, 2006 (INCEPTION) THROUGH JUNE 30, 2008**

**(UNAUDITED)**

|                                                                          |   | **Six                Months**       |       | **Six                Months**       |   | **October                31,****2006****(Inception)** |   |
|-------------------------------------------------------------------------------|--------|-------------------------------------|------------|-------------------------------------|--------|-------------------------------------------------------|--------|
|                                                                          |   | **Ended**                           |       | **Ended**                           |   | **Through**                                           |   |
|                                                                          |   | **June                30,****2008** |       | **June                30,****2007** |   | **June                30,****2008**                   |   |
| **CASH                FLOWS FROM OPERATING ACTIVITIES**                       |   |                                |       |                                |   |                                                  |   |   |   |   |
| **Net                (loss)**                                                 |   | **$**                               | **(5,012** | **)**                               | **$**  | **(17,815**                                           | **)**  | **$** | **(31,301** | **)** |
| **Net                cash (used in ) operating activities**                   |   |                                | **(5,012** | **)**                               |   | **(17,815**                                           | **)**  |   | **(31,301** | **)** |
|                                                                          |   |                                |       |                                |   |                                                  |   |
| **CASH                FLOWS FROM FINANCING ACTIVITIES**                       |   |                                |       |                                |   |                                                  |   |   |   |   |
| **Issuance                of stock for cash and subscriptions receivable**    |   |                                | **-**      |                                |   | **30,000**                                            |   |   | **30,000** |   |
| **Contribution                of capital**                                    |   |                                | **-**      |                                |   | **10,000**                                            |   |   | **10,000** |   |
| **Net                cash provided by financing activities**                  |   |                                | **-**      |                                |   | **40,000**                                            |   |   | **40,000** |   |
|                                                                          |   |                                |       |                                |   |                                                  |   |   |   |   |
| **NET                (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS**       |   |                                | **(5,012** | **)**                               |   | **22,185**                                            |   |   | **8,699** |   |
|                                                                          |   |                                |       |
| **CASH                AND CASH EQUIVALENTS – BEGINNING OF PERIOD** |   |                                | **13,711** |                                |   | **-**                                                 |   |   | **-** |   |
|                                                                          |   |                                |       |                                |   |                                                  |   |   |   |   |
| **CASH                AND CASH EQUIVALENTS – END OF PERIOD**       |   | **$**                               | **8,699**  |                                | **$**  | **22,185**                                            |   | **$** | **8,699** |   |

----

**NOTES      TO UNAUDITED FINANCIAL STATEMENTS OF LODESTAR MINING,      INCORPORATED**

** **

----

| **Item                2.** | **MANAGEMENT'S                DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF                OPERATIONS**** ** |
|----------------------------|-----------------------------------------------------------------------------------------------------------------------------------|

***Forward-Looking      Statements***

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** **

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** **

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| **Item                3.** | **QUANTITATIVE                AND QUALITATIVE ANALYSIS ABOUT MARKET                RISK** |
|----------------------------|-------------------------------------------------------------------------------------------|

| **Item                4.** | **CONTROLS                AND PROCEDURES** |
|----------------------------|--------------------------------------------|

----

----

**PART      II - OTHER INFORMATION**

**Item      1.**
**LEGAL      PROCEEDINGS**

**Item      1A.**
**RISK      FACTORS**

**Item      2.**
**UNREGISTERED      SALES OF EQUITY **
**SECURITIES**
**      AND USE OF PROCEEDS**

**Item      3.**
**DEFAULTS      UPON SENIOR SECURITIES.**

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

**Item      5.**
**OTHER      INFORMATION.**

**Item      6.**
**EXHIBITS**

|   | Exhibit                3.1 | Articles                of Incorporation (incorporated by reference to Exhibit 3.1 of the                Form                SB-2 of Lodestar Mining, Incorporated, filed on May 30, 2007, File                No.                333-143352) |
|--------|----------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Exhibit                3.2 | Bylaws                (incorporated by reference to Exhibit 3.2 in the Form SB-2 of Lodestar                Mining, Incorporated, filed on May 30, 2007, File No.                333-143352) |
|--------|----------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Exhibit                10.1 | Mineral                Claim Option Agreement with Claim Lake Nickel, Inc. (incorporated                by                reference to Exhibit 10.1 in the Form SB-2 of Lodestar Mining,                Incorporated, filed on May 30, 2007, File No. 333-143352) |
|--------|-----------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Exhibit                11 | Statement                re computation of per share earnings (see Note 1 to Financial Statements                on page 6) |
|--------|---------------------------|-----------------------------------------------------------------------------------------------------------------------------|

|   | Exhibit                31 | Certification                as Adopted Pursuant to Section 302(a) of the Sarbanes-Oxley Act of                2002 by                Chief Executive Officer and Chief Financial                Officer |
|--------|---------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Exhibit                32 | Certification                Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section                906 of                the Sarbanes-Oxley Act of 2002 by Chief Executive Officer and Chief                Financial Officer |
|--------|---------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

**SIGNATURES**

|                                      |   | LODESTAR                MINING, INCORPORATED                                   |
|-------------------------------------------|--------|--------------------------------------------------------------------------------|
|                                      |   | (Registrant)                                                                   |
|                                      |   |                                                                           |
|                                      |   |                                                                           |
| Date:                 August 6, 2008 |   | /s/                Ian McKinnon                                                |
|                                      |   | Ian                McKinnon, Chief Executive Officer, Director,                |
|                                      |   | Principal                Executive Officer, Principal Financial                |
|                                      |   | Officer,                Principal Accounting Officer,                Treasurer |

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