UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

                                   FORM 10-QSB

               Quarterly Report Pursuant to Section 13 or 15(d) of
                    the Securities and Exchange Act of 1934

                  For the quarterly period ended June 30, 2001

                         Commission File Number: 0-32507

                             Energy Producers, Inc.
                             ----------------------
             (Exact name of registrant as specified in its charter.)


           Nevada                                          88-0345961
           ------                                          ----------
(State or other jurisdiction of                         (I.R.S. Employer
incorporation or organization)                         Identification No.)

7944 E. Beck Lane, Suite 200, Scottsdale, Arizona                85260
-------------------------------------------------                -----
(Address of principal executive offices)                       (Zip Code)

Registrant's telephone number, including area code: (480) 778-5424

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  [  ]   NO  [ X ]

Indicate the number of shares  outstanding  of each of the  issuer's  classes of
common stock as of the latest practical date:  10,996,812 shares of common stock
issued and outstanding

<PAGE>

                             ENERGY PRODUCERS, INC.
                   (formerly Sterling Market Positions, Inc.)
                                 (Consolidated)


                              FINANCIAL STATEMENTS

                  For the Periods Ended June 30, 2001 and 2000


<TABLE>
<CAPTION>

Financial Statements

<S>                                                                           <C>
Balance Sheets - Assets........................................................3

Liabilities and Stockholders' Equity...........................................4

Statements of Operations.......................................................5

Statement of Stockholders' Equity..............................................6

Statements of Cash Flows.......................................................7

Notes to Consolidated Financial Statements.....................................8

</TABLE>

<PAGE>


                             ENERGY PRODUCERS, INC.
                   (formerly Sterling Market Positions, Inc.)
                                 (Consolidated)
                                    Unaudited

                                 BALANCE SHEETS

                  For the Periods Ended June 30, 2001 and 2000


<TABLE>
<CAPTION>
                                    ASSETS

                                             Six Months Ended         Six Months Ended
                                             June 30,                 June 30,
                                             2001                     2000
                                             ----                     ----
<S>                                          <C>                      <C>
Current Assets
Cash                                              $ 37,217                          $ 5,605
Accounts Receivable                                 32,101                            13,881
Inventory                                           50,507                            52,625
Notes and other receivables                         50,500                            43,809
                                                  --------                          --------

         Total Current Assets                      170,325                           115,920
                                                   -------                           -------

Property and Equipment:
Land                                                 9,000                            9,000
Building/Improvements                               42,184                           42,184
Equipment                                           92,247                           73,738
  Less:  accumulated depreciation                 (105,524)                        (106,306)
                                                  ---------                        ---------
     Net Property and Equipment                     37,907                            18,616
                                                 ---------                         ---------

Oil and Gas Properties:                          1,406,633                            50,646
Less: accumulated amortization                      (2,303)                             -0-
                                               -------------                       -------------
     Net Oil and Gas Properties                    1,404,3                            50,646
                                                  --------                          ---------

Total Net Properties and Equipment               1,442,237                            69,262
                                                 ---------                         ---------

         Total Assets                           $1,612,562                          $185,182
                                                 =========                          ========

</TABLE>

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


<PAGE>

                             ENERGY PRODUCERS, INC.
                   (formerly Sterling Market Positions, Inc.)
                                 (Consolidated)
                                   (Unaudited)

                                 BALANCE SHEETS

                  For the periods ended June 30, 2001 and 2000

                      LIABILITIES AND STOCKHOLDERS' EQUITY

<TABLE>
<CAPTION>

                                             Six Months Ended              Six Months Ended
                                             June 30,                      June 30,
                                             2001                          2000
                                             ----                          ----
<S>                                          <C>                           <C>
Current Liabilities:
Accounts payable                             $    62,013                         $ 22,856
Accrued expenses                                 112,577                              -0-
Notes payable                                    368,509                              -0-
Deferred subscription payable                    100,000                              -0-
                                              ----------                     ------------

     Total Current Liabilities                   643,099                           22,856
                                              ----------                        ---------

Long-Term Liabilities:
Notes payable                                    524,015                          417,688
Due to shareholders                              661,733                              -0-
                                               ---------                    -------------

     Total Long-term Liabilities               1,185,748                          417,688
                                               ---------                         --------

         Total Liabilities                     1,828,847                          440,544
                                               ---------                         --------

Stockholders' Equity:
Common stock:
  Authorized 200,000,000
  shares at $0.001 par value.
  Issued and outstanding at
  June 30, 2001: 10,996,812.                      10,997                           10,882

Preferred stock:
  Authorized 50,000,000
  shares at $0.001 par value.
  Issued and outstanding:  None.

Paid in capital                                    640,953                          626,588
Accumulated deficit                               (868,285)                        (892,832)
                                               ------------                      -----------

         Total Stockholders' Equity               (216,235)                        (255,362)
                                                -----------                      -----------                                 ==
         Total Liabilities and
           Stockholders' Equity                 $1,612,562                       $  185,182
                                                ==========                       ===========


</TABLE>

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


<PAGE>

                             ENERGY PRODUCERS, INC.
                   (formerly Sterling Market Positions, Inc.)
                                 (Consolidated)
                                   (Unaudited)

                             STATEMENT OF OPERATIONS

                  For the Periods ended June 30, 2001 and 2000

<TABLE>
<CAPTION>
                                             Six Months Ended                   Six Months Ended
                                             June 30,                           June 30,
                                             2001                               2000
                                             ----                               ----
<S>                                          <C>                                <C>
Revenues:
  Oil Revenues                                    $ 214,438                          $      -0-
  Cost of Sales                                     (42,348)                                -0-

     Net Oil Revenues                               172,090                                 -0-   .

  Subsidiary Sales:                                  11,722                              13,600
  Cost of Goods Sold                                 (4,344)                             (5,041)

     Net Subsidiary Sales                             7,378                               8,559

Total Net Revenues                                  179,468                               8,559

Operating Expenses:
  Depreciation and amortization                       1,614                                929
  Administrative expenses                           237,120                            173,281

     Total Operating Expenses                       238,734                            174,210

  Gain(Loss) from operations                        (59,266)                         (165,651)

Other Income (Expense):
  Gain on sale of Securities                                                           81,461
  Investment income                                                                     8,747
  Interest Expense                                  (37,248)                          (   750)

     Total Other Income (Expense)                   (37,248)                           89,458

Income before provision for income taxes            (96,514)                          (76,193)
Provision for income taxes                              -0-                               -0-

Net Income (Loss)                                   (96,514)                         ( 76,193)

Number of Outstanding Shares                     10,996,812                        10,881,812

Earnings (Loss) per share
  on Net Loss                                        (.0088)                           (.0070)

Earnings (Loss) per share
  on Loss from Operations                            (.0054)                           (.0153)

</TABLE>


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



<PAGE>

                             ENERGY PRODUCERS, INC.
                   (formerly Sterling Market Positions, Inc.)
                                 (Consolidated)
                                   (Unaudited)

                             STATEMENT OF OPERATIONS

                  For the Periods ended June 30, 2001 and 2000

<TABLE>
<CAPTION>
                                             Three Months Ended            Three Months Ended
                                             June 30,                      June 30,
                                             2001                          2000
                                             ----                          ----
<S>                                          <C>                           <C>
Revenues:
  Oil Revenues                                  $ 102,122                          $      -0-
  Cost of Sales                                    ( 26,460)                               -0-   .

     Net Oil Revenues                                75,662                                -0-   .

  Subsidiary Sales:                                    5,948                                     9,652
  Cost of Goods Sold                                   2,746                             3,578 .

     Net Subsidiary Sales                              3,202                             6,074  .

Total Net Revenues                                    78,864                                     6,074

Operating Expenses:
  Depreciation and amortization                           812                              434
  Administrative expenses                            114,338                            73,854
     Total Operating Expenses                      115,150                             74,288

  Gain(Loss) from operations                        (36,286)                          (68,214)

Other Income (Expense):
  Gain on sale of Securities                                                           81,461
  Investment income                                                                      1,126
  Income tax benefit                                                                        683
  Interest Expense                                  (19,286)                                      .

     Total Other Income (Expense)                  (19,286)                          83,270

Income before provision for income taxes           (55,572)                                15,056
Provision for income taxes                       -0-    .                                   -0-   .

Net Income (Loss)                           (55,572)                         ( 15,056)

Number of Outstanding Shares                     10,996,812                        10,881,812

Earnings (Loss) per share
  on Net Loss                                        (.0051)                           (.0014)

Earnings (Loss) per share
  on Loss from Operations                    (.0033)                          (.0063)

</TABLE>


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


<PAGE>

                             ENERGY PRODUCERS, INC.
                   (formerly Sterling Market Positions, Inc.)

                        STATEMENT OF STOCKHOLDERS' EQUITY
            From October 4, 1995 (date of inception) to June 30, 2001


<TABLE>
<CAPTION>

                                                                                       Accumulated
                                             Common         Stock        Paid in       Deficit During
                                             Shares         Amount       Capital       Development       Totals
                                             -------        ------       -------       ------------      -------
<S>                                         <C>             <C>          <C>           <C>               <C>
Shares issued at inception
  to initial shareholders                     1,250,000          1,250
1,250

Capital contributed by shareholder            ________           _____        71,920       _______            71,920
Balance December 31, 1995                    1,250,000           1,250        71,920       (31,096)          (42,074)

Capital contributed by shareholder                                           290,087                         290,087

Net (loss) for the year 1996                  ________           _____       _______      (332,088)         (332,088)
Balance December 31, 1996                    1,250,000           1,250       362,007      (363,184)               73

Capital contributed by shareholder                                            51,046                         51,046

Net (loss) for the year 1997                  ________           _____        ______       (51,046)         (51,046)
Balance December 31, 1997                    1,250,000           1,250       413,053      (414,230)              73

Capital contributed by shareholder                                            71,913                         71,913

Net (loss) for the year 1998                 ________            _____        ______       (71,986)         (71,986)
Balance December 31, 1998                    1,250,000           1,250       484,966      (486,216)            -0-

Stock surrendered by shareholder
  and retired to treasury                     (189,023)           (189)          189

Issuance of stock for reverse
 acquisition of Energy Producers
 Group, Inc.                                 9,820,835           9,821       111,108                        123,929

Capital contributed by shareholder                                            27,325                         27,325

Net (loss) for the year ended
  December 31, 1999                          _________          _____         ______     (330,323)        (330,323)
Balance December 31, 1999                   10,881,812          10,882       626,588     (816,539)        (179,069)

Capital contributed by shareholder              10,000              10         1,240                         1,250

Net gain for the year ended
  December 31, 2000                          _________           _____         _______     44,817           44,817
                                                                                        ----------         -------

Balance December 31, 2000                   10,891,812          10,892       627,828     (771,722)        (133,002)

Stock issued  for consideration of
  loans and other services                     105,000             105        13,125                        13,230

Net (loss) for the six months ended
  June 30, 2001                                                                           (96,514)         (96,514)

Balance June 30, 2001                       10,996,812          10,997       640,953     (868,236)        (216,286)
                                            ==========          ======       =======     =========        =========
</TABLE>

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


<PAGE>

                             ENERGY PRODUCERS, INC.
                   (formerly Sterling Market Positions, Inc.)
                                 (Consolidated)

                             STATEMENT OF CASH FLOWS
                  For the Periods ended June 30, 2001 and 2000

<TABLE>
<CAPTION>
                                                             Six Months Ended             Six Months Ended
                                                             June 30,                     June 31,
                                                             2001                         2000
                                                             ----                         ----
<S>                                                          <C>                          <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
Net profit (loss)                                                    (96,514)                    (76,193)
Non-cash adjustments to reconcile net income
to net cash provided by operating activities
   Depreciation and amortization                                       1,614                              929
Change in assets and liabilities
   (Increase) decrease in accounts receivable                         22,636                     (10,117)
   (Increase) decrease in inventory                                    1,687                         (630)
    Increase (decrease) in accounts payable                          (52,702)                               17,070
    Increase (decrease) in accrued expenses                          112,577                            -

Net cash provided (used) by operating activities                     (10,702)                        (68,941

CASH FLOWS FROM INVESTING ACTIVITIES:
  (Increase)decrease in notes receivable                               5,000                            (28,309)
  Proceeds from sale (cost) of securities                                 -                        117,688
  Purchase of property and equipment                                      -                         (10,645)
  Purchase of oil properties                                         (21,248)                             (50,646)

Net cash provided (used) by Investing Activities                     (16,248)                              28,088

CASH FLOWS FROM FINANCING ACTIVITIES:
(Increase) decrease in advances to shareholder                        12,579                              16,439
Proceeds from notes payable                                           48,749                                    -
Repayment of notes payable                                          (204,551)                                    -
Increase in shareholder notes payable                                146,550                            -
Stock issued                                                             105                                  -
Contributed capital                                                   13,125                                    .
                                                                    --------                          -----------
Net cash provided (used) by Financing Activities                      16,557                              16,439

NET INCREASE (DECREASE) IN CASH                                      (10,393)                   (24,414)

CASH BALANCE BEGINNING OF PERIOD                                      47,610                              30,019

CASH BALANCE END OF PERIOD                                            37,217                                5,605

SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:
Cash paid during the year:
  Interest                                                        37,248                              750
  Income Taxes                                                        -0-                              -0-

</TABLE>


    The accompanying notes are an integral part of these financial statements


<PAGE>

                             ENERGY PRODUCERS, INC.
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                      Six-Month Period Ended June 30, 2001
                                   (Unaudited)

NOTE 1 - UNAUDITED INTERIM INFORMATION

The accompanying  unaudited consolidated financial statements have been prepared
in  accordance  with  generally  accepted  accounting   principles  for  interim
financial  information  and with the  instructions to Form 10-QSB and Regulation
S-B.  Accordingly,  they do not include  all of the  information  and  footnotes
required by generally  accepted  accounting  principles  for complete  financial
statements. In the opinion of management,  all adjustments (consisting of normal
recurring  accruals)  considered  necessary  for a fair  presentation  have been
included.  Operating  results for the three-month  and six-month  periods ending
June 30, 2001 are not necessarily indicative of the results that may be expected
for the year ending  December 31, 2001.  For further  information,  refer to the
financial statements and footnotes thereto included in the Company's Form 10-KSB
for the year ended December 31, 2000.

     (1) The  unaudited  financial  statements  include  the  accounts of Energy
Producers,  Inc. and include all  adjustments  (consisting  of normal  recurring
items) which are, in the opinion of management,  necessary to present fairly the
financial  position as of June 30, 2001 and the results of  operations  and cash
flows for the  three-month  and six month  periods ended June 30, 2001 and 2000.
The results of operations for the three-month  and six-month  periods ended June
30, 2001 is not  necessarily  indicative  of the results to be expected  for the
entire year.

     (2)  Earnings  (loss) per  common  share is based on the  weighted  average
number of shares outstanding during the period.

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

                      Six Month Period Ended June 30, 2001
                           (Unaudited Financial Data)

The discussion and analysis  contained herein should be read in conjunction with
the  preceding  financial  statements  and  the  information  contained  in  the
Company's 10-KSB.  Except for the historical  information  contained herein, the
matters  discussed in this 10-QSB contain forward looking  statements within the
meaning of Section 27A of the  Securities  Act of 1933, as amended,  and Section
21e of the  Securities  Exchange  Act of 1934,  as  amended,  that are  based on
management's  beliefs and  assumptions,  current  expectations,  estimates,  and
projections.  Statements  that  are not  historical  facts,  including,  without
limitation,  statements which are preceded by, followed by, or include the words
"believes,"  "anticipates,"  "plans,"  "expects,"  "may,"  "should,"  or similar
expressions  are  forward-looking  statements.  Many of the  factors  that  will
determine the Company's  future results are beyond the ability of the Company to
control or predict. These statements are subject to risks and uncertainties and,
therefore, actual results may differ materially. All subsequent written and oral
forward-looking statements attributable to the Company, or persons acting on its
behalf,   are  expressed   qualified  in  their  entirety  by  these  cautionary
statements.  The Company disclaims any obligation to update any  forward-looking
statements whether as a result of new information, future events, or otherwise.

Important  factors  that may  include,  but are not  limited  to:  the risk of a
significant  natural  disaster,  the inability of the Company to insure  against
certain risks, fluctuations in commodity prices, the inherent limitations in the
ability to estimate oil and gas reserves,  changing government  regulations,  as
well as general  market  conditions,  competition  and pricing,  and other risks
detailed from time to time in the Company's SEC reports.

<PAGE>

Results of Operations

Total Revenue for the second quarter increased from $6,074 in fiscal 2000 to
$78,864 in fiscal 2001. For the six-month period revenues increased from $8,559
to $179,468. The increase in revenue for the six-month period was due to an
increase in oil sales as a result of acquiring producing oil wells.

Total oil sales  increased  from $ -0- in the second quarter 2000 to $102,122 in
the second quarter,  2001.  These increases were due to acquisition of producing
oil wells. Average oil prices for the quarter increased slightly from $26.83 bbl
to $27.62 bbl. For the sixth month  period,  average oil prices  decreased  from
$27.99 bbl to $27.62 bbl.  Oil  production  increased 31 percent for the quarter
and 14 percent for the six-month  period due to  resumption of production  after
downtime.

Costs of oil  operations  increased  from $ -0- to $26,460 for the quarter and $
-0- to $42,348 for the  six-month  period due to the  acquisition  of  producing
wells in the fourth quarter of 2000.

General and  administrative  expense  increased from $73,854 to $114,338 for the
quarter and from $174,210 to $238,734 for the six-month period.  These increases
were due to additional  consulting  and management  fees in connection  with the
acquired oil wells.

The Company's net loss for the second quarter (fiscal 2001) was $96,514 compared
to $166,101 for the second fiscal quarter 2000. For the six-month period (fiscal
2001) the Company  posted net loss of $96,514  compared to a loss of $76,193 for
the same  period in 2000,  which  included  non  operating  income of $90,208 in
February 2000.

Liquidity and Capital Resources

During the six months of 2001 cash used in operating  activities was $10,702 and
investing   activities  required  $16,248.  The  latter  amount  was  to  pursue
additional oil properties. Financing activities provided $16,557 in cash.

PART II. OTHER INFORMATION

Item 1 - Legal Proceedings

The Company is not a party in any litigation at the present time.

Item 2 - Changes in Securities

None

Item 3 - Defaults upon Senior Securities

None.

Item 4 - Submission of Matters to a Vote of Security Holders

None.

Item 5 - Other Information

The  officers,  directors and  affiliates  have not filed  required  forms under
Section 13.

<PAGE>

Item 6 - Exhibits and Reports on Form 8-K

     (a) There are no exhibits with this report.

     (b) The registrant did not file any reports on Form 8-K during period ended
June 30, 2001.


                                   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.

                                                          ENERGY PRODUCERS, INC.


                                                                /s/   Mel Herzog
                                                                ---   ----------
                                                                 By:  Mel Herzog
                                                         Title: Chairman and CEO

Date: August 14, 2001
-------    ----------------------