**UNITED
      STATES SECURITIES AND EXCHANGE COMMISSION**


**WASHINGTON,
      D.C. 20549**


**______________**




**FORM
      10-QSB**


**______________**




x
            QUARTERLY
                REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
                ACT OF
                1934




**For
      the quarterly period ended July 31, 2007**




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




**For
      the transition period from ______________ to
      ______________**




**Commission
      File No. 333-143695**


**______________**




**BIP
      OIL, INC.**


**(Exact
      name of small business issuer as specified in its charter)**


**______________**




**NEVADA**
            **30-0401535**(State
                or other jurisdiction of
              incorporation
                or organization)
            (I.R.S.
                Employer Identification No.)




**Post
                Office Box 1752**
              **Smithfield,
                North Carolina**
            **27577**(Address
                of principal executive offices)
            (Zip
                Code)




**(919)
                271-3470**(Issuer’s
                telephone number)




Check
      whether the issuer (1) has filed all reports required to be filed by Section
      13
      or 15(d) of the Exchange Act during the preceding 12 months (or for such shorter
      period that the issuer was required to file such reports), and (2)has been
      subject to such filing requirements for the past 90 days. Yes x No o




Check
      whether the registrant has filed all documents and reports required to be filed
      by Sections 12, 13, or 15(d) of the Exchange Act subsequent to the distribution
      of securities under a plan confirmed by a court. Yes o  No x




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


Yes
      x No o




State
      the
      number of shares outstanding of each of the issuer’s classes of common equity,
      as of September 19, 2007:  6,510,000 shares of common
      stock.




Transitional
      Small Business Disclosure Format (check one): Yes o No x















**TABLE
      OF CONTENTS**




**PART
                I - FINANCIAL INFORMATION**Item
                1.    Financial InformationItem
                2.    Management’s Discussion and Analysis or Plan of
                OperationItem
                3.    Controls and Procedures**PART
                II -OTHER INFORMATION**Item
                1.    Legal Proceedings.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**SIGNATURES**












**Item1.   Financial
      Information**








**BIP
      Oil, Inc.**


**Index
      to Financial Statements**




PageFinancial
                Statements:Consolidated
                Balance Sheets as of July 31, 2007 (unaudited) and April 30,
                2007
            F-2Consolidated
                Statements of Operations for the three months ended July 30, 2007
                and
                since January 31, 2007 (Inception)
            F-3Consolidated
                Statements of Changes in Stockholders’ Equity (Deficiency) for the three
                months ended July 31, 2007 (unaudited)
            F-4Consolidated
                Statements of Cash Flows for the three months ended July 31, 2007
                and
                since January 31, 2007 (Inception)
            F-5Notes
                to Consolidated Financial Statements
            F-6




















**BIP
                  OIL, INC.****(A
                  DEVELOPMENT STAGE COMPANY)****CONDENSED
                  BALANCE SHEET****AS
                  OF JULY 31, 2007****(UNAUDITED)****ASSETS**CURRENT
                  ASSETSCash
              
              $
              78,807Prepaid
                  expense
              
              
              10,000**TOTAL
                  ASSETS**
              
              $
              88,807**LIABILITIES
                  AND STOCKHOLDERS' EQUITY**CURRENT
                  LIABILITIESAccounts
                  payable
              
              $
              7,500TOTAL
                  CURRENT LIABILITIES
              
              
              7,500STOCKHOLDERS'
                  EQUITYPreferred
                  stock, $0.001 par value, 10,000,000 shares authorized,none
                  issued and outstanding
              
              
              -Common
                  stock, $0.001 par value, 100,000,000 shares authorized,6,510,000
                  shares issued and outstanding
              
              
              6,510Additional
                  paid-in capital
              
              
              151,990Accumulated
                  deficit during development stage
              
              
              (77,193
              )TOTAL
                  STOCKHOLDERS' EQUITY
              
              
              81,307**TOTAL
                  LIABILITIES AND STOCKHOLDERS' EQUITY**
              
              $
              88,807


F-2
  **BIP
                      OIL, INC.****(A
                      DEVELOPMENT STAGE COMPANY)****CONDENSED
                      STATEMENT OF OPERATIONS****(UNAUDITED)**For
                        The ThreeMonths
                      Ended
                  
                  
                  For
                        The PeriodJanuary
                      31, 2007(Inception)July
                      31, 2007
                  
                  
                  to
                      July 31, 2007REVENUES
                  
                  $
                  -
                  
                  
                  $
                  -EXPENSESGeneral
                      and administrative
                  
                  
                  754
                  
                  
                  
                  6,104Advertising
                      and Marketing
                  
                  
                  -
                  
                  
                  
                  10,000Professional
                      Fees
                  
                  
                  47,589
                  
                  
                  
                  58,589Rent
                  
                  
                  1,300
                  
                  
                  
                  2,500Total
                      Expenses
                  
                  
                  49,643
                  
                  
                  
                  77,193LOSS
                      FROM OPERATIONS (BEFORE TAXES)
                  
                  
                  (49,643
                  )
                  
                  
                  (77,193
                  )INCOME
                      TAX EXPENSE
                  
                  
                  -
                  
                  
                  
                  -NET
                      LOSS
                  
                  $
                  (49,643
                  )
                  
                  $
                  (77,193
                  )NET
                      INCOME (LOSS) PER SHARE,BASIC
                      AND DILUTED
                  
                  $
                  (0.01
                  )WEIGHTED
                      AVERAGE NUMBER OFCOMMON
                      SHARES OUTSTANDING,BASIC
                      AND DILUTED
                  
                  
                  6,510,000
    F-3
    **BIP
                    Oil, Inc.****(A
                    DEVELOPMENT STAGE COMPANY)****CONDENSED
                    STATEMENT OF STOCKHOLDERS' EQUITY****From
                    JANUARY 31, 2007 (INCEPTION) TO JULY 31, 2007****(UNAUDITED)**AccumulatedDeficit
                
                
                TotalAdditional
                
                
                During
                
                
                Stockholders'Preferred
                    Stock
                
                
                Common
                    Stock
                
                
                Paid-in
                
                
                Development
                
                
                EquityBalance,
                    January 31, 2007 (Inception)
                
                
                -
                
                
                $
                -
                
                
                
                -
                
                
                $
                -
                
                
                $
                -
                
                
                $
                -
                
                
                $
                -Shares
                    issued to founders at $0.00001 per share
                
                
                -
                
                
                
                -
                
                
                
                50,000
                
                
                
                50
                
                
                
                -
                
                
                
                -
                
                
                
                50Shares
                    issued for Services at $0.10 per share
                
                
                
                
                
                
                
                
                
                
                4,950,000
                
                
                
                4,950
                
                
                
                -
                
                
                
                -
                
                
                
                4,950Stock
                    issued for cash at $0.10 per share
                
                
                -
                
                
                
                -
                
                
                
                1,510,000
                
                
                
                1,510
                
                
                
                149,490
                
                
                
                -
                
                
                
                151,000In
                    kind contribution of rent
                
                
                -
                
                
                
                -
                
                
                
                -
                
                
                
                -
                
                
                
                1,200
                
                
                
                -
                
                
                
                1,200Net
                    loss for the period ended April 30, 2007
                
                
                -
                
                
                
                -
                
                
                
                -
                
                
                
                -
                
                
                
                -
                
                
                
                (27,550
                )
                
                
                (27,550
                )Balance,
                    April 30, 2007
                
                
                -
                
                
                
                -
                
                
                
                6,510,000
                
                
                
                6,510
                
                
                
                150,690
                
                
                
                (27,550
                )
                
                
                129,650In
                    kind contribution of rent
                
                
                -
                
                
                
                -
                
                
                
                -
                
                
                
                -
                
                
                
                1,300
                
                
                
                -
                
                
                
                1,300Net
                    loss for the three months ended July 31, 2007
                
                
                -
                
                
                
                -
                
                
                
                -
                
                
                
                -
                
                
                
                -
                
                
                
                (49,643
                )
                
                
                (49,643
                )Balance,
                    July 31, 2007
                
                
                -
                
                
                $
                -
                
                
                
                6,510,000
                
                
                $
                6,510
                
                
                $
                151,990
                
                
                $
                (77,193
                )
                
                $
                81,307
       F-4
     **BIP
                      OIL, INC.****(A
                      DEVELOPMENT STAGE COMPANY)****CONDENSED
                      STATEMENT OF CASH FLOWS****(UNAUDITED)**For
                        The ThreeMonths
                      Ended
                  
                  
                  For
                        The PeriodJanuary
                      31, 2007 (Inception)July
                      31, 2007
                  
                  
                  to
                      July 31, 2007CASH
                      FLOWS FROM OPERATING ACTIVITIES:Net
                      loss
                  
                  $
                  (49,643
                  )
                  
                  $
                  (77,193
                  )Adjustments
                      to
                      reconcile net loss to net cash used in operating
                      activities:In-kind
                      contribution of rent
                  
                  
                  1,300
                  
                  
                  
                  2,500Issuance
                      of
                      common stock for services
                  
                  
                  -
                  
                  
                  
                  4,950Changes
                      in Assets
                      and Liabilities(Increase)
                      decrease in prepaid expenses
                  
                  
                  (10,000
                  )
                  
                  
                  (10,000
                  )Increase
                      (Decrease) in accounts payable
                  
                  
                  6,500
                  
                  
                  
                  7,500Net
                      cash used in
                      operating activities
                  
                  
                  (51,843
                  )
                  
                  
                  (72,243
                  )CASH
                      FLOWS FROM INVESTING ACTIVITIES:
                  
                  
                  -
                  
                  
                  
                  -CASH
                      FLOWS FROM FINANCING ACTIVITIES:Proceeds
                      from
                      issuance of common stock
                  
                  
                  -
                  
                  
                  
                  151,050Net
                      cash provided
                      by financing activities
                  
                  
                  -
                  
                  
                  
                  151,050NET
                      INCREASE (DECREASE) IN CASH
                  
                  
                  (51,843
                  )
                  
                  
                  78,807CASH,
                      BEGINNING OF PERIOD
                  
                  
                  130,650
                  
                  
                  
                  -CASH,
                      END OF PERIOD
                  
                  $
                  78,807
                  
                  
                  $
                  78,807SUPPLEMENTAL
                      CASH FLOW INFORMATION:Interest
                      paid
                  
                  $
                  -
                  
                  
                  $
                  -Income
                      taxes
                      paid
                  
                  $
                  -
                  
                  
                  $
                  -
    F-5
   **BIP
        OIL, INC.**
 **(A
        Development Stage Company)**
 **NOTES
        TO THE CONDENSED FINANCIAL STATEMENTS**
 **JULY
        31, 2007 (UNAUDITED)**




**NOTE
        1 – ORGANIZATION AND BASIS OF PRESENTATION**
 
 The
        accompanying unaudited condensed financial statements have been prepared
        in
        accordance with accounting principles generally accepted in The United States
        of
        America and the rules and regulations of the Securities and Exchange Commission
        for interim financial information.  Accordingly, they do not include
        all the information necessary for a comprehensive presentation of financial
        position and results of operations.
 
 It
        is
        management's opinion, however that all material adjustments (consisting of
        normal recurring adjustments) have been made which are necessary for a fair
        financial statements presentation.  The results for the interim period
        are not necessarily indicative of the results to be expected for the
        year.
 
 BIP
        Oil,
        Inc. (hereinafter “the Company”) was incorporated on January 31, 2007 under the
        laws of the State of Nevada for the purpose of importing, marketing and
        distributing Greek olive oils, olives, and spices in the United
        States.  The Company’s headquarters is located in Chapel Hill, North
        Carolina. The Company has been in the development stage since its formation
        and
        has not realized any revenue from operations.  The Company’s year end
        is April 30.
 
 
 **NOTE
        2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES**
 
 
 Cash
        and Cash Equivalents
 For
        purposes of the statement of cash flows, the Company considers all short-term
        debt with original maturities of three months or less to be cash
        equivalents.
 
 Use
        of
        Estimates
 The
        process of preparing financial statements in conformity with accounting
        principles generally accepted in the United States of America requires the
        use
        of estimates and assumptions regarding certain types of assets, liabilities,
        revenues, and expenses. Such estimates primarily relate to unsettled
        transactions and events as of the date of the financial statements. Accordingly,
        upon settlement, actual results may differ from estimated amounts.
 
 Basic
        and Diluted Earnings (Loss) Per Share
 The
        Company adopted Statement of Financial Accounting Standards No. 128, which
        provides for calculation of "basic" and "diluted" earnings per
        share.  Basic earnings (loss) per share includes no dilution and is
        computed by dividing net income (loss) available to common shareholders by
        the
        weighted average common shares outstanding for the period.  Diluted
        earnings (loss) per share reflect the potential dilution of securities that
        could share in the earnings of an entity similar to fully diluted earnings
        per
        share.  For the periods reported, diluted net income (loss) per share
        is the same as basic net income (loss) per share as there were no common
        stock
        equivalents outstanding.
 
 F-6
 **BIP
          OIL, INC.**
 **(A
          Development Stage Company)**
 **NOTES
          TO THE CONDENSED FINANCIAL STATEMENTS**
 **JULY
          31, 2007 (UNAUDITED)**
    Going
        Concern
 The
        accompanying financial statements have been prepared assuming that the Company
        will continue as a going concern.
  At
        July
        31, 2007, the Company had an accumulated deficit during the development stage
        of
        $77,193.  Since its inception, the Company has not generated any
        revenues and has minimal cash resources.  These conditions raise
        substantial doubt about the Company’s ability to continue as a going
        concern.  For the twelve-month subsequent period, the Company
        anticipates that its minimum operating cash requirements to continue as a
        going
        concern will be approximately $150,000. Management’s business plan is to import,
        market and distribute Greek olive oils, olives, and spices in the United
        States.  Management also plans to raise capital through the sale of
        shares of common stock.  The ability of the Company to continue in
        existence is dependent upon management’s successful development and
        implementation   of   its   business   plan   resulting   in   profitable
        operations.  The financial statements do not include any adjustments
        relating to the recoverability and classification of recorded assets, or
        the
        amounts and classification of liabilities that might be necessary in the
        event
        the Company cannot continue in existence.
 
 Fair
        Value of Financial Instruments
 The
        Company's financial instruments as defined by Statement of Financial Accounting
        Standards No.
        107,
        "Disclosures about Fair Value of Financial Instruments," include cash, accounts
        payable and accrued expenses.  All such instruments are accounted for
        on a historical cost basis, which, due to the short maturity of these financial
        instruments, approximates fair value at July 31, 2007.
 
 Segments
 The
        Company operates in one segment and therefore segment information is not
        presented.
 
 Provision
        for Taxes
 Income
        taxes are provided based upon the liability method of accounting pursuant
        to
        Statement of Financial Accounting Standards No. 109, “Accounting for Income
        Taxes” (hereinafter “SFAS No. 109”).  Under this approach, deferred
        income taxes are recorded to reflect the tax consequences in future years
        of
        differences between the tax basis of assets and liabilities and their financial
        reporting amounts at each year-end. A valuation allowance is recorded against
        the deferred tax asset if management does not believe the Company has met
        the
“more likely than not” standard imposed by SFAS No. 109 to allow recognition of
        such an asset.
 
 Revenue
        Recognition
 The
        Company recognizes revenue from product sales when the products are shipped
        and
        title passes to customers.  Outbound shipping charges are included in
        net sales with the corresponding cost included in cost of
        sales.  Other service revenue is recognized when services are
        performed and billable.
   F-7
 **BIP
          OIL, INC.**
 **(A
          Development Stage Company)**
 **NOTES
          TO THE CONDENSED FINANCIAL STATEMENTS**
 **JULY
          31, 2007 (UNAUDITED)**
 Recent
        Accounting Pronouncements
 
 In
        September 2006, the FASB issued SFAS No. 157, “*Fair Value
        Measurements*”. The objective of SFAS 157 is to increase consistency and
        comparability in fair value measurements and to expand disclosures about
        fair
        value measurements.  SFAS 157 defines fair value, establishes a
        framework for measuring fair value in generally accepted accounting principles,
        and expands disclosures about fair value measurements. SFAS 157 applies under
        other accounting pronouncements that require or permit fair value measurements
        and does not require any new fair value measurements. The provisions of SFAS
        No.
        157 are effective for fair value measurements made in fiscal years beginning
        after November 15, 2007. The adoption of this statement is not expected to
        have
        a material effect on the Company's future reported financial position or
        results
        of operations.
 
 In
        February 2007, the Financial Accounting Standards Board (FASB) issued SFAS
        No.
        159, “*The Fair Value Option for Financial Assets and Financial Liabilities
–
Including an Amendment of FASB Statement No. 115*”.  This
        statement permits entities to choose to measure many financial instruments
        and
        certain other items at fair value. Most of the provisions of SFAS No. 159
        apply
        only to entities that elect the fair value option. However, the amendment
        to
        SFAS No. 115 “*Accounting for Certain Investments in Debt and Equity
        Securities*” applies to all entities with available-for-sale and trading
        securities. SFAS No. 159 is effective as of the beginning of an entity’s first
        fiscal year that begins after November 15, 2007. Early adoption is permitted
        as
        of the beginning of a fiscal year that begins on or before November 15, 2007,
        provided the entity also elects to apply the provision of SFAS No. 157,
“*Fair Value Measurements”.* The adoption of this statement is not
        expected to have a material effect on the Company's financial
        statements.
 
 NOTE
        3 -
        STOCKHOLDERS EQUITY
 
 Preferred
        Stock
 The
        Company is authorized to issue 10,000,000 shares of $0.001 par value preferred
        stock. As of July 31, 2007 there are no shares of preferred stock
        outstanding.
 
 Common
        Stock Issued for Cash
 For
        the
        period ending April 30, 2007, the Company issued 1,510,000 shares of common
        stock at a price of $0.10 per share for cash of $151,100.
 
 For
        the
        period ending April 30, 2007, the Company issued 50,000 shares of common
        stock
        at a price of $0.001 per share to its founders for cash of $50.
 
 Common
        Stock Issued for Services
 For
        the
        period ending April 30, 2007, the Company issued 4,950,000 shares of common
        stock at a price of $0.001 per share to its founders for services valued
        at
        $4,950.
 
  F-8
 **BIP
          OIL, INC.**
 **(A
          Development Stage Company)**
 **NOTES
          TO THE CONDENSED FINANCIAL STATEMENTS**
 **JULY
          31, 2007 (UNAUDITED)**
 
 In-Kind
        Contribution
 During
        the period January 31, 2007 (inception) to April 30, 2007, the company recorded
        $1,200 of in-kind rent expense contributed by a shareholder.
 
 During
        the three months ended July 31, 2007, the company recorded $1,300 of in-kind
        rent expense contributed by a shareholder.
 
 NOTE
        4 –
COMMITMENTS
 
 During
        2007, the Company entered into a monthly agreement with a consultant to provide
        administrative services for a monthly fee of $7,500.  The agreement is
        on a month to month basis and is cancellable upon 30 days notice.


F-9





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





This
      section of the Registration Statement includes a number of forward-looking
      statements that reflect our current views with respect to future events and
      financial performance. Forward-looking statements are often identified by words
      like believe, expect, estimate, anticipate, intend, project and similar
      expressions, or words which, by their nature, refer to future events. You should
      not place undue certainty on these forward-looking statements. These
      forward-looking statements are subject to certain risks and uncertainties that
      could cause actual results to differ materially from our
      predictions.





**Plan
      of Operation**





We
      have
      not begun operations.





1.           As
      we raised more than $50,000 in our
      private placement we believe we can begin to implement our plan to import,
      market and distribute Greek olive oils, olives and spices in the United
      States.





2.           All
      business functions will be
      coordinated and managed by the two founders of the Company, including marketing,
      finance and operations. As we raised at least $100,000 through our private
      placement, we intend to hire a part-time employee to facilitate distribution
      contracts and assist in targeted marketing implementation. The time commitment
      of the position will depend upon the aggressiveness of our product launch,
      but
      we believe it will require a minimum of $15,000 to hire the personnel needed
      to
      assist with our new business activity.





3.           We
      intend to launch a targeted
      marketing campaign focusing on in-store product demonstrations, product
      promotions and public relations. We intend to support these marketing efforts
      through the development of high-quality printed marketing materials and an
      attractive and informative trade and consumer website,*www.lykosfoods.com*.
      We expect the total cost of the
      marketing program to range from $10,000 to $75,000. During this preliminary
      launch period, we also expect to invest between $1,000 and $5,000 in accounting
      and inventory management software.





4.           Within
      90-120 days of the initiation of
      our marketing campaign, we believe that we will begin to generate revenues
      from
      our premium expanded product line and targeted distribution
      approach.





In
      summary, we should be generating sales revenues from our initial product line
      introduction within 150 days of the completion of our private placement, which
      concluded March 2007, up to a maximum of 210 days. If we are unable to generate
      sufficient distribution customers or direct retail placement for our premium
      Greek olive oils, we may have to suspend or cease our efforts. If we cease
      our
      previously stated efforts, we do not have plans to pursue other business
      opportunities.




**Limited
      Operating History**





We
      have
      generated less than one full year of financial information and have not
      previously demonstrated that we will be able to expand our business through
      an
      increased investment in our product line and/or marketing efforts. We cannot
      guarantee that the expansion efforts described in this report will be
      successful. Our business is subject to risks inherent in growing an enterprise,
      including limited capital resources and possible rejection of our new products
      and/or sales methods.





If
      financing is not available on satisfactory terms, we may be unable to continue
      expanding our operations. Equity financing will result in a dilution to existing
      shareholders.

















**Results
      of Operations**




For
      the
      period from inception through July 31, 2007, we had no revenue. Expenses for
      the
      three month period ended July 31, 2007 totaled $49,643 resulting in a loss
      of
      $49,643. Expenses of $49,643 for the period consisted of $754 for general and
      administrative expenses, $47,589 for professional fees and $1,300 for
      rent.




Expenses
        since inception totaled $77,193 resulting in a loss of $77,193. Expenses of
        $77,193 consisted of $6,104 for general and administrative expenses, $10,000
        for
        advertising and marketing, $58,589 for professional fees and $2,500 for
        rent.


**Capital
      Resources and Liquidity**




As
        of
        July 31, 2007 we had $78,807 in cash and $10,000 in prepaid expenses for
        total
        assets of $88,807. We believe we can not satisfy our cash requirements for
        the
        next twelve months with our current cash. We cannot assure investors that
        adequate revenues will be generated. In the absence of our projected revenues,
        we may be unable to proceed with our plan of operations. Even without adequate
        revenues within the next twelve months, we still anticipate being able to
        continue with our present activities, but we may require financing to
        potentially achieve our profit, revenue, and growth goals.
 
 At
        July
        31, 2007, we had an accumulated deficit during the development stage of
        $77,193.  Since our inception, we have not generated any revenues and
        have minimal cash resources.  These conditions raise substantial doubt
        about our ability to continue as a going concern.  For the
        twelve-month subsequent period, we anticipate that our minimum operating
        cash
        requirements to continue as a going concern will be approximately $150,000.
        We
        do not anticipate the purchase or sale of any significant equipment. We also
        do
        not expect any significant additions to the number of employees. The foregoing
        represents our best estimate of our cash needs based on current planning
        and
        business conditions. The exact allocation, purposes and timing of any monies
        raised in subsequent private financings may vary significantly depending
        upon
        the exact amount of funds raised and our progress with the execution of our
        business plan.
 In
        the
        event we are not successful in reaching our initial revenue targets, additional
        funds may be required, and we may not be able to proceed with our business
        plan
        for the development and marketing of our core services. Should this occur,
        we
        would likely seek additional financing to support the continued operation
        of our
        business. We anticipate that depending on market conditions and our plan
        of
        operations, we may incur operating losses in the foreseeable future. Therefore,
        our auditors have raised substantial doubt about our ability to continue
        as a
        going concern.




**Recent
      Accounting Pronouncements**




In
      September 2006, the FASB issued SFAS No. 157, “*Fair Value
      Measurements*”. The objective of SFAS 157 is to increase consistency and
      comparability in fair value measurements and to expand disclosures about fair
      value measurements. SFAS 157 defines fair value, establishes a framework for
      measuring fair value in generally accepted accounting principles, and expands
      disclosures about fair value measurements. SFAS 157 applies under other
      accounting pronouncements that require or permit fair value measurements and
      does not require any new fair value measurements. The provisions of SFAS No.
      157
      are effective for fair value measurements made in fiscal years beginning after
      November 15, 2007. The adoption of this statement is not expected to have a
      material effect on the Company's future reported financial position or results
      of operations.





In
      February 2007, the Financial Accounting Standards Board (FASB) issued SFAS
      No.
      159, “*The Fair Value Option for Financial Assets and Financial Liabilities -
      Including an Amendment of FASB Statement No. 115*”. This statement permits
      entities to choose to measure many financial instruments and certain other
      items
      at fair value. Most of the provisions of SFAS No. 159 apply only to entities
      that elect the fair value option. However, the amendment to SFAS No. 115
“*Accounting for Certain Investments in Debt and Equity Securities*”
applies to all entities with available-for-sale and trading securities.
      SFAS No.
      159 is effective as of the beginning of an entity’s first fiscal year that
      begins after November 15, 2007.















Early
      adoption is permitted as of the beginning of a fiscal year that begins on or
      before November 15, 2007, provided the entity also elects to apply the provision
      of SFAS No. 157, “*Fair Value Measurements”.* The adoption of this
      statement is not expected to have a material effect on the Company's financial
      statements.




**Critical
      Accounting Policies**




Our
      financial statements and related public financial information are based on
      the
      application of accounting principles generally accepted in the United States
      (“GAAP”). GAAP requires the use of estimates; assumptions, judgments and
      subjective interpretations of accounting principles that have an impact on
      the
      assets, liabilities, revenues and expense amounts reported. These estimates
      can
      also affect supplemental information contained in our external disclosures
      including information regarding contingencies, risk and financial condition.
      We
      believe our use of estimates and underlying accounting assumptions adhere to
      GAAP and are consistently and conservatively applied. We base our estimates
      on
      historical experience and on various other assumptions that we believe to be
      reasonable under the circumstances. Actual results may differ materially from
      these estimates under different assumptions or conditions. We continue to
      monitor significant estimates made during the preparation of our financial
      statements.




Our
      significant accounting policies are summarized in Note 1 of our financial
      statements. While all these significant accounting policies impact our financial
      condition and results of operations, we view certain of these policies as
      critical. Policies determined to be critical are those policies that have the
      most significant impact on our financial statements and require management
      to
      use a greater degree of judgment and estimates. Actual results may differ from
      those estimates. Our management believes that given current facts and
      circumstances, it is unlikely that applying any other reasonable judgments
      or
      estimate methodologies would cause effect on our consolidated results of
      operations, financial position or liquidity for the periods presented in this
      report.




**Off
      Balance Sheet Arrangements**




We
      have
      no off-balance sheet arrangements.





**Item
      3.                      Controls and Procedures**




**Evaluation
      of disclosure controls and procedures**




Under
      the
      supervision and with the participation of our management, including our
      principal executive officer and principal financial officer, we conducted an
      evaluation of our disclosure controls and procedures, as such term is defined
      under Rule 13a-15(e) and Rule 15d-15(e) promulgated under the Securities
      Exchange Act of 1934, as amended (Exchange Act), as of July 31, 2007. Based
      on
      this evaluation, our principal executive officer and principal financial officer
      have concluded that our disclosure controls and procedures are effective to
      ensure that information required to be disclosed by us in the reports we file
      or
      submit under the Exchange Act is recorded, processed, summarized, and reported
      within the time periods specified in the Securities and Exchange Commission’s
      rules and forms and that our disclosure and controls are designed to ensure
      that
      information required to be disclosed by us in the reports that we file or submit
      under the Exchange Act is accumulated and communicated to our management,
      including our principal executive officer and principal financial officer,
      or
      persons performing similar functions, as appropriate to allow timely decisions
      regarding required disclosure





**Changes
      in internal controls**




There
      were no changes (including corrective actions with regard to significant
      deficiencies or material weaknesses) in our internal controls over financial
      reporting that occurred during the quarter ended July 31, 2007 that has
      materially affected, or is reasonably likely to materially affect, our internal
      control over financial reporting.





















**PART
      II - OTHER INFORMATION**





**Item
      1.**      **Legal
      Proceedings.**





We
      are
      currently not a party to any pending legal proceedings and no such actions
      by,
      or to the best of our knowledge, against us have been threatened.




**Item
      2.     Unregistered
      Sales of Equity Securities and Use of
      Proceeds.**





None




**Item
      3.     Defaults
      Upon Senior Securities.**




None





**Item
      4.**   **Submission
      of Matters to a Vote of Security
      Holders.**





No
      matter
      was submitted during the quarter ending July 31, 2007, covered by this report
      to
      a vote of our shareholders, through the solicitation of proxies or
      otherwise.





**Item
      5.**   **Other
      Information.**




None





**Item
      6.    Exhibits
      and Reports of Form 8-K.**




(a)        Reports on Form 8-K and Form
      8K-A




None





(b)        Exhibits




**Exhibit
                Number**
            
            **Exhibit
                Title**31.1
            
            Certification
                of Bobby Stanley pursuant to 18 U.S.C. Section 1350 as adopted pursuant
                to
                Section 302 of the Sarbanes- Oxley Act of 2002.32.1
            
            Certification
                of Bobby Stanley to 18 U.S.C. Section 1350 as adopted pursuant to
                Section
                906 of the Sarbanes-Oxley Act of
                2002.



















**SIGNATURES**




In
      accordance with Section 13 or 15(d) of the Exchange Act, the registrant caused
      this report to be signed on its behalf by the undersigned, there unto duly
      authorized.





**BIP
                Oil, Inc.**By:
            */s/
                Bobby
                Stanley*Bobby
                Stanley
              Chief
                Executive OfficerDated:
            September
                19, 2007