<PAGE> 1
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                   U.S. SECURITIES AND EXCHANGE COMMISSION
                           Washington, D.C. 20549

                                  FORM 10-Q

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

                For the quarterly period ended March 31, 1998

[     ]       TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)
                   OF THE SECURITIES EXCHANGE ACT OF 1934
              For the transition period from        to 
                                             ------    ------

                      Commission File Number:  000-25132

                              ICHOR CORPORATION
            (Exact name of Registrant as specified in its charter)


             Delaware                                  25-1741849
  (State or other jurisdiction of                   (I.R.S. Employer
   incorporation or organization)                  Identification No.)


   Suite 1250, 400 Burrard Street, Vancouver
           British Columbia, Canada                      V6C 3A6
   (Address of principal executive offices)            (Zip Code)

                              (604) 683-5767
           (Registrant's telephone number, including area code)

Indicate by check mark whether the Registrant (1) has filed all reports 
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 
1934 during the preceding 12 months (or for such shorter period that the 
Registrant was required to file such reports), and (2) has been subject to 
such filing requirements for the past 90 days.   Yes   X    No         
                                                     -----     -----

Indicate the number of shares outstanding of each of the Registrant's classes 
of common stock, as of the latest practicable date:

               Class                          Outstanding at May 14, 1998
               -----                          ---------------------------
        Common Stock, $0.01                            4,907,520
             par value 

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FORWARD-LOOKING STATEMENTS

Statements in this report, to the extent that they are not based on 
historical events, constitute forward-looking statements.  Forward-looking 
statements include, without limitation, statements regarding the outlook for 
future operations, forecasts of future costs and expenditures, the evaluation 
of market conditions, the outcome of legal proceedings, the adequacy of 
reserves or other business plans.  Investors are cautioned that forward-
looking statements are subject to an inherent risk that actual results may 
vary materially from those described herein.  Factors that may result in such 
variance, in addition to those accompanying the forward-looking statements, 
include changes in interest rates, prices and other economic conditions; 
actions by competitors; natural phenomena; actions by government authorities; 
uncertainties associated with legal proceedings; technological development; 
future decisions by management in response to changing conditions; and 
misjudgments in the course of preparing forward-looking statements.


                      PART I.   FINANCIAL INFORMATION
                                ---------------------

ITEM 1.    FINANCIAL STATEMENTS



                             ICHOR CORPORATION

                     CONSOLIDATED FINANCIAL STATEMENTS

                 FOR THE THREE MONTHS ENDED MARCH 31, 1998

                                 (Unaudited)

                                     -2-

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                              ICHOR CORPORATION
                         Consolidated Balance Sheets
                                 (Unaudited)
                           (dollars in thousands)
<TABLE>
<CAPTION>
                                           March 31, 1998   December 31, 1997
                                           --------------   -----------------
<S>                                        <C>                <C>
     ASSETS

Current Assets
  Cash and cash equivalents                $        1,638     $          127
  Cash held in escrow                                   -                617
  Accounts receivable, net                            801                332
  Notes receivable                                    680                680
  Advance to an affiliate                             270                270
                                           --------------     --------------
     Total current assets                           3,389              2,026

Other Assets                                            2                  2
                                           --------------     --------------
                                           $        3,391     $        2,028
                                           ==============     ==============

     LIABILITIES AND SHAREHOLDERS' EQUITY

Liabilities
  Accounts payable                         $            -     $           39
  Accrued interest and 
    other liabilities                                 101                363
  Advance from an affiliate                           780                780
  Current portion 
    of long-term liabilities                            -                757
                                           --------------     --------------
     Total liabilities                                881              1,939

Shareholders' Equity
  Common stock                                         50                 50
  Preferred stock                                      27                  2
  Additional paid-in capital                       10,121              7,916
  Retained deficit                                 (7,617)            (7,808)
                                           --------------     --------------
                                                    2,581                160

  Less cost of shares of common stock 
    held in treasury                                  (71)               (71)
                                           --------------     --------------
     Total equity                                   2,510                 89
                                           --------------     --------------
                                           $        3,391     $        2,028
                                           ==============     ==============
</TABLE>

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

                                     -3-

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                              ICHOR CORPORATION
                    Consolidated Statements of Operations
                                 (Unaudited)
               (dollars in thousands except per share amounts)
<TABLE>
<CAPTION>
                                              For the Three   For the Three
                                              Months Ended    Months Ended
                                              March 31, 1998  March 31, 1997
                                              --------------  --------------
<S>                                           <C>             <C>
Selling, general and 
  administrative expenses                     $          108  $          178
                                              --------------  --------------

Loss from operations                                    (108)           (178)

Other income (expense):
  Interest expense                                      (100)           (180)
  Other                                                    -               2
                                              --------------  --------------
                                                        (208)           (356)

Gain on disposal of a subsidiary                         437               -
                                              --------------  --------------

Income (loss) from continuing operations                 229            (356)

Discontinued operations:
  (Loss) from discontinued operations                      -            (135)
                                              --------------  --------------

(Loss) from discontinued operations                        -            (135)
                                              --------------  --------------

Net income (loss)                             $          229  $         (491)
                                              ==============  ==============

Basic earnings (loss) per share:
  Income (loss) from continuing operations    $         0.04  $        (0.07)
  (Loss) from discontinued operations                      -           (0.03)
                                              --------------  --------------
                                              $         0.04  $        (0.10)
                                              ==============  ==============

Diluted earnings (loss) per share:
  Income (loss) from continuing operations    $         0.04  $        (0.07)
  (Loss) from discontinued operations                      -           (0.03)
                                              --------------  --------------
                                              $         0.04  $        (0.10)
                                              ==============  ==============
</TABLE>

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

                                     -4-

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                              ICHOR CORPORATION
                    Consolidated Statements of Cash Flows
                                 (Unaudited)
                           (dollars in thousands)
<TABLE>
<CAPTION>
                                                   For the Three   For the Three
                                                   Months Ended    Months Ended
                                                   March 31, 1998  March 31, 1997
                                                   --------------  --------------
<S>                                                <C>             <C>
Cash Flows from Continuing Operating Activities:
  Net income (loss) from continuing operations     $          229  $         (356)
  Adjustments to reconcile net income (loss) to 
    cash flows from continuing 
    operating activities
    Gain on disposal of a subsidiary                         (437)              -

  Changes in current assets and liabilities, 
    net of effect of a subsidiary disposed
    Cash held in escrow                                       145             168
    Accounts receivable                                      (595)              -
    Accounts payable                                          (30)            (44)
    Payable to affiliate                                        -             (35)
    Other accrued liabilities                                 (31)            (62)
                                                   --------------  --------------
      Net cash used in operating activities
      of continuing operations                               (719)           (329)

Cash Flows from Continuing Investing Activities:
                                                                -               -
                                                   --------------  --------------
      Net cash provided by (used in) investing 
      activities of continuing operations                       -               -

Cash Flows from Continuing Financing Activities:
  Proceeds from issuance of 
    preferred shares, net                                   2,230               -
                                                   --------------  --------------
      Net cash provided by financing activities
      of continuing operations                              2,230               -
                                                   --------------  --------------

Net cash provided by (used in) 
  continuing operations                                     1,511            (329)
Net cash (used in) discontinued operations                      -             129
                                                   --------------  --------------

Increase (decrease) in cash and cash equivalents            1,511            (200)
Cash and cash equivalents, beginning of period                127             598
                                                   --------------  --------------
Cash and cash equivalents, end of period           $        1,638  $          398
                                                   ==============  ==============
</TABLE>

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

                                     -5-

<PAGE> 6
                              ICHOR CORPORATION
                  Notes to Consolidated Financial Statements
                                March 31, 1998
                                  (Unaudited)

Note 1.  Basis of Presentation
------------------------------

The accompanying financial statements of ICHOR Corporation (the 
"Corporation") are unaudited. However, in the opinion of management, they 
include all adjustments necessary for a fair presentation of the financial 
position, results of operations and cash flows of the Corporation for the 
specified periods.

All adjustments made during the three months ended March 31, 1998 were of a 
normal, recurring nature.  The amounts presented for the three months ended 
March 31, 1998 are not necessarily indicative of the results of operations 
for a full year.  Additional information is contained in the audited 
consolidated financial statements and accompanying notes included in the 
Corporation's annual report on Form 10-K for the fiscal year ended December 
31, 1997, and should be read in conjunction with such annual report.

Certain reclassifications have been made to the prior year financial 
statements to conform with the current year presentation.

Note 2.  Net Earnings (Loss) Per Share
--------------------------------------

Basic earnings (loss) per share is calculated by dividing the net income or 
loss by the weighted average number of common shares outstanding during the 
three months ended March 31, 1998 and 1997, respectively.  The weighted 
average number of shares outstanding was 4,907,520 and 4,922,553 for the 
three months ended March 31, 1998 and 1997, respectively.

Diluted earnings per share takes into account common shares outstanding and 
potentially dilutive common shares.  Stock options and warrants have not been 
reflected as exercised for purposes of computing the diluted loss per share 
for the three months ended March 31, 1997, since the exercise of such options 
and warrants would be anti-dilutive.

Note 3.  Commitments and Contingencies
--------------------------------------

As discussed in further detail in "Item 3. Legal Proceedings" contained in 
the Corporation's annual report on Form 10-K for the year ended December 31, 
1997, the Corporation, its former parent company, certain of its officers and 
directors, and the underwriters of its initial public offering have been 
named as defendants in a class action lawsuit involving the purchase by all 
persons and entities of the Corporation's common stock from February 9, 1995 
through May 23, 1995.  The action alleges that the defendants violated 
certain federal securities laws.

The Corporation believes that the allegations are without merit or that there 
are meritorious defenses to the allegations, and the Corporation intends to 
defend the action vigorously.  However, if the plaintiff is successful in its 
claims, a judgment rendered against the Corporation and the other defendants 
may have a material adverse effect on the business of the Corporation.

                                     -6-

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                      PART I.   FINANCIAL INFORMATION
                                ---------------------

ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
         AND RESULTS OF OPERATIONS

The following discussion and analysis of the results of operations and 
financial condition of ICHOR Corporation (the "Corporation") for the three 
months ended March 31, 1998 should be read in conjunction with the 
Corporation's consolidated financial statements and related notes included 
elsewhere herein.

The Corporation sold its environmental remediation services operations in 
April 1997 and its waste oil recycling facility in December 1997, and these 
operations have been accounted for as discontinued operations for the three 
months ended March 31, 1998.  The Corporation's comparative financial 
statements for the three months ended March 31, 1997 have been restated to 
conform to this method of presentation.

Results of Operations - Three Months Ended March 31, 1998
---------------------------------------------------------

Selling, general and administrative expenses for the three months ended March 
31, 1998 decreased to $0.1 million from $0.2 million in the comparative 
period of 1997, primarily as a result of the right-sizing of the corporate 
office during the three months ended March 31, 1998.  Interest expense 
decreased to $0.1 million in the three months ended March 31, 1998 from $0.2 
million in the three months ended March 31, 1997, primarily as a result of a 
decrease in amounts funded by Sirrom Environmental Funding, LLC, through whom 
ICHOR Services, Inc. ("Ichor Services"), a wholly-owned subsidiary of the 
Corporation, had funded amounts billed and outstanding under certain Florida 
State rehabilitation programs.  The Corporation reported other income of 
$2,000 in the three months ended March 31, 1997.

Effective March 31, 1998, the Corporation sold Ichor Services.  The 
Corporation recognized a gain of $0.4 million on the sale as a result of the 
disposal of net liabilities of Ichor Services.  In the three months ended 
March 31, 1998, the Corporation commenced providing certain environmental 
consulting services.

Income from continuing operations was $0.2 million or $0.04 per share in the 
three months ended March 31, 1998, compared to a loss from continuing 
operations of $0.4 million or $0.07 per share in the three months ended March 
31, 1997.  The Corporation reported a loss from discontinued operations of 
$0.1 million or $0.03 per share for the three months ended March 31, 1997.

Net income was $0.2 million or $0.04 per share for the three months ended 
March 31, 1998, compared to a net loss of $0.5 million or $0.10 per share for 
the three months ended March 31, 1997.

                                     -7-

<PAGE> 8
Liquidity and Capital Resources
-------------------------------

At March 31, 1998, the Corporation had cash and cash equivalents of $1.6 
million, a net increase of $1.5 million from $0.1 million at December 31, 
1997.  The Corporation maintains one line of credit with an affiliate in the 
amount of $0.8 million to fund working capital requirements.  The line of 
credit was fully utilized as at March 31, 1998.

Net cash used in continuing operating activities was $0.7 million in the 
three months ended March 31, 1998, compared to $0.3 million for the three 
months ended March 31, 1997.  Operating activities used cash primarily as a 
result of the sale of Ichor Services and an increase in accounts receivable. 
A decrease in cash held in escrow provided cash of $0.1 million in the three 
months ended March 31, 1998.

Financing activities provided cash of $2.2 million in the three months ended 
March 31, 1998.  In the first quarter of 1998, the Corporation completed the 
issuance of an aggregate of 467,500 shares of 5% Cumulative Redeemable 
Convertible Preferred Stock, Series 1 of the Corporation in consideration of 
debt forgiveness of $2.2 million and cash of $2.5 million.

The Corporation believes that its cash on hand and lines of credit should 
enable the Corporation to meet its ongoing liquidity requirements.  The 
Corporation anticipates that it may require substantial capital to pursue 
current and future acquisitions of businesses and/or operating assets and 
anticipates that such capital will be provided through debt and/or equity 
financing.

                                     -8-

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                        PART II.   OTHER INFORMATION
                                   -----------------

ITEM 1.  LEGAL PROCEEDINGS

Reference is made to the Corporation's annual report on Form 10-K for the 
fiscal year ended December 31, 1997 for information concerning certain legal 
proceedings.

ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K

(a) Exhibits

    Exhibit 
    Number                       Description
    ------                       -----------

      27     Article 5 - Financial Data Schedule for the 1st Quarter 1998
                         Form 10-Q.

(b) Reports on Form 8-K

    The Corporation filed the following reports with respect to the indicated 
    items during the three months ended March 31, 1998:

    Form 8-K Dated January 7, 1998:
      Item 2.  Acquisition or Disposition of Assets.
      Item 7.  Financial Statements and Exhibits.

    Form 8-K Dated March 12, 1998:
      Item 5.  Other Events.
      Item 7.  Financial Statements and Exhibits.

                                     -9-

<PAGE> 10
 
                                 SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the 
Registrant has duly caused this report to be signed on its behalf by the 
undersigned, thereunto duly authorized.



Dated:  May 14, 1998
                                       ICHOR CORPORATION


                                       By:  /s/ Michael J. Smith
                                           ----------------------------------
                                           Michael J. Smith, President, Chief
                                           Financial Officer and Treasurer

                                    -10-

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                               EXHIBIT INDEX

Exhibit
Number                          Description
------                          -----------

  27     Article 5 - Financial Data Schedule for the 1st Quarter 1998 Form 10-Q.