U.S.
SECURITIES AND EXCHANGE COMMISSION Washington, D.C.  20549  FORM
10-KSB  ANNUAL
REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE
SECURITIES EXCHANGE ACT OF1934  FOR THE
FISCAL YEAR ENDED DECEMBER 31, 2007  OKANA
VENTURES, INC. ---------------------------- (Name of
Small Business Issuer in its charter)  Nevada
333-138146
20-2881151State or other jurisdiction of incorporation
Commission File Number
IRS Identification No.  7071
Jasper Drive Vernon,
British Columbia Canada,
V1H 1P2 (250)
545-0383 (Address
and telephone number of principal executive offices)  Nevada
Corporate Headquarters, Inc. #700 
101 Convention Center Drive Las
Vegas, Nevada 89109 (702)
873-3488 (Name,
address and telephone numbers of agent for service)   Securities registered
under Section 12(b) of the Act:  Title
of Class: Common
Stock  Securities registered
under Section 12(g) of the Act:  None  Check
whether the issuer is not required to file reports pursuant to Section 13 or
15(d) of the Exchange Act.     [  ]  Check whether the
issuer (1) filed all reports required to be filed by Section 13 or 15(d) of the
Exchange Act during the past 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 [_]  1    Check
if there is no disclosure of delinquent filers in response to Item 405 of
Regulation S-B contained in this form, and no disclosure will be contained, to
the best of registrants knowledge, in definitive proxy or information
statements incorporated by reference in Part III of this Form 10-KSB or any
amendment to this Form 10-KSB.  [X]  Indicate
by checkmark whether the registrant is a shell company (as defined in Rule 12b-2
of the Exchange Act).  [X ] Yes     [  ] No  Revenues
for the fiscal year ended December 31, 2007 were: nil  The aggregate market
value of the voting and non-voting common equity held by non-affiliates computed
by reference to the average bid and asked price of such common equity as of
December 31, 2007:   The Companys common stock is not currently
traded.  Number of shares of
common stock, $0.0001 par value per share, of the registrant outstanding as of
December 31, 2007: 3,350,000  DOCUMENTS
INCORPORATED BY REFERENCE No documents are
incorporated herein by reference.  Transitional Small
Business Issuer Format   Yes [  ]    No [X]   PART I. ITEM 1.
 DESCRIPTION OF BUSINESS  Okana
Ventures, Inc. (Okana or the Company) was incorporated on May 9, 2005, in
the State of Nevada.  We are an exploration stage corporation.  An
exploration stage corporation is one engaged in the search for mineral deposits
or reserves which are not in either the development or production stage.
 We intend to conduct exploration activities on one property.
 Recorded title to the property upon which we intend to conduct exploration
activities is not held in our name.  Title to the property is recorded in
the name of Ronnie Birch, our president, who holds the property in trust for
Okana.   This property is located in British Columbia, Canada, and
consists of three (3) mining claims, comprising 722.655 hectares.  We
intend to explore for gold on the property.  To date
we have performed limited exploration work on the property.  We are
presently in the exploration stage and we cannot guarantee that a commercially
viable mineral deposit exists in the property until further exploration is
completed and a comprehensive evaluation determines if it has economic
feasibility.  We have
no revenues, have achieved losses since inception, have no operations, have been
issued a going concern opinion by our auditors and rely upon the sale of our
securities and loans from our officers and directors to fund operations.  2    Our business is subject to the risks inherent with a natural
resource based company in its early exploration stage of development.
 These risks include, but are not limited to: limited capital resources;
limited industry operating experience; possible delays due to weather, manpower
and equipment shortage and regulatory processing practices; possible cost
overruns due to price increases in services, supplies and equipment; and the
general speculative nature of exploring a raw mineral property for minerals.  At the
present, we have no employees and three officers and directors, each of whom
plan to devote only four hours per week to our operations.  The
Companys common stock has been assigned the ticker symbol OKVN and has been
approved for trading on the Over-The-Counter Bulletin Board (OTCBB).
 However, no trading market has developed.  Our
administrative office is located at 7071 Jasper Drive, Vernon, British Columbia,
Canada V1H 1P2 and our telephone number is (250) 545-0383.  Our registered
statutory office is located at #700101 Convention Center Drive, Las Vegas,
Nevada 89109.  Our fiscal year end is December 31.  Our mailing
address is 7071 Jasper Drive, Vernon, British Columbia, Canada V1H 1P2.  ITEM 2. PROPERTIES  We have our corporate
offices at 7071 Jasper Drive, Vernon, British Columbia, Canada, V1H 1P2.
 This space is provided rent free by one of our officers.  On May
27, 2005, we entered into an agreement to purchase a mineral property, known as
the Westmoreland Property, comprising three (3) mining claims located in
British Columbia, Canada, from Roger William MacInnis and Warner Gruenwald,
jointly, both of whom are non-affiliated third parties.  The purchase price
for the Westmoreland Property is CAD $40,000 and is payable in staged payments
to Messrs. MacInnis and Gruenwald consisting of:  CAD $5,000 on signing,
CAD $5,000 one year from signing, CAD $10,000 two years after signing, all of
which payments have been made, and a final payment on the third anniversary of
signing of CAD $20,000.  In addition, we are required to make property
exploration expenditures of CAD $60,000 over a four year period, with CAD
$30,000 of exploration expenditures to be performed by the second anniversary
date.  We can, in our sole discretion, pay cash to Messrs. MacInnis and
Gruenwald in lieu of performing part or all of the CAD $60,000 exploration
expenditures.  We are also required to pay a royalty of 2% on all mineral
commodities sold from the claim.  This royalty can be reduced to 1% at any
time upon payment of CAD $500,000.  In the event we default in making any
cash payments or exploration expenditures as required under the purchase
agreement, and such default continues for 30 days after notice to Okana, or if
Okana has given the vendors 30 days notice of its intention to terminate the
agreement, the mineral property will revert back to the vendors.  On
March 29, 2006, we paid a CAD $3,180 maintenance fee to the Government of
British Columbia on the mineral property.  This payment was made in order
to maintain the mineral property in good standing until we were able to perform
exploration work on the mining property  3    that could be credited toward future required maintenance fees.
 This payment also qualified as an exploration expenditure under the terms
of our agreement for the purchase of the Westmoreland Property.  In
January 2007, we acquired an additional mineral claim of approximately 185
hectares that is adjacent to the Westmoreland Property.  This additional
mineral claim became available and was staked by Mr. Gruenwald, who, under the
terms of our original agreement to purchase the Westmoreland Property, is
required to transfer, without charge, any mineral claim acquired subsequent to
the agreement, and within 10 kilometers of the Westmoreland Property, to the
Company.  In
October 2006, a small work program of CAD $4,980 was carried out on the
Westmoreland Property, and an assessment report was filed for this exploration
work with the Government of British Columbia in January 2007.  This
assessment work was credited toward maintenance fees on all of our mineral
properties.  All of our mineral properties are currently in good standing
until October 31, 2008.  A further work program of CAD $22,306 was carried
out on the mineral properties in the summer of 2007.  Title
to the mining claims upon which we intend to conduct exploration activities is
not recorded in our name.  Title to the property is recorded in the name of
Ronnie Birch, our president.  Under British Columbia law, title to British
Columbia mining claims can only be held by Canadian residents.  In the case
of corporations, title must be held by a Canadian corporation.  In order
for us to record title to the property we would have to incorporate a Canadian
wholly owned subsidiary corporation.  We believe that the costs of
incorporating a subsidiary corporation are unwarranted at this stage of our
development.  Accordingly, we have elected not to create the subsidiary at
this time; but will do so if mineralized material is discovered on the mining
claims.  Our
mining claims are issued pursuant to the Minerals Tenure Act of the Province of
British Columbia.  As the beneficial owner of the claims, we have exclusive
rights to mine and recover all of the minerals contained within the surface
boundaries of the property and continuing vertically downward.  The
mining claims are unencumbered and there are no competitive conditions which
affect the property.  There are no native land claims that affect title to
the property.  We have no insurance covering the mining claims and we
believe that no insurance is necessary since the property is unimproved and
contains no buildings or improvements.  Investment Policies.  There are no restrictions or
limitations on the percentage of assets which the Company may invest in real
estate or interests in real estate, investments in real estate mortgages, or
securities of or interests in persons primarily engaged in real estate
activities.  ITEM
3. LEGAL
PROCEEDINGS  The Company is not
involved in any legal proceedings.   4    ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS  There were no matters
submitted to a vote of security holders.  PART
II.  ITEM
5. MARKET
FOR COMMON EQUITY AND RELATED SHAREHOLDER MATTERS AND SMALL BUSINESS ISSUER
PURCHASES OF EQUITY SECURITIES  The Companys common
stock does not currently trade on any exchange.  At the present time,
there are no assets available for the payment of dividends.  The Company
does not anticipate paying any dividends in the next twelve months.  The
Companys Articles of Incorporation currently authorize the issuance of
100,000,000 shares of common stock, with a par value of $0.0001.  The
stockholders: (a) have equal ratable rights to dividends from funds legally
available therefore, when, as, and if declared by the Board of Directors of the
Company; (b) are entitled to share ratably in all of the assets of the Company
available for distribution upon winding up of the affairs of the Company; (c) do
not have preemptive subscription or conversion rights and there are no
redemption or sinking funds applicable thereto; and (d) are entitled to one
non-cumulative vote per share on all matters on which shareholders may vote at
all meetings of shareholders. These securities do not have any of the following
rights: (a) cumulative or special voting rights; (b) preemptive rights to
purchase in new issues of shares; (c) preference as to dividends or interest;
(d) preference upon liquidation; or (e) any other special rights or preferences.
 In addition, the shares are not convertible into any other security.
 There are no restrictions on dividends under any loans, other financing
arrangements or otherwise.  See a copy of the Articles of Incorporation,
Bylaws of the Company, and any amendments thereto, attached as exhibits to the
Companys previously filed SB-2.  As of December 31, 2007, the Company had
3,350,000 shares of common stock outstanding.  Non-Cumulative
Voting.  The common
stockholders of the Company do not have cumulative voting rights, which means
that the stockholders which hold more than 50% of such outstanding shares,
voting for the election of directors, can elect all of the directors to be
elected, if they so choose.  In such event, the holders of the remaining
shares will not be able to elect any of the Company's directors.  Share Purchase
Warrants  At December 31, 2007,
no share purchase warrants were outstanding.  Share Purchase
Options  At December 31, 2007,
there were no share purchase options outstanding.   5    Dividends.  The Company does not
currently intend to pay cash dividends.  The Company's proposed dividend
policy is to make distributions of its revenues to its stockholders when the
Company's Board of Directors deems such distributions appropriate.  Because
the Company does not intend to make cash distributions, shareholders would need
to sell their shares to realize a return on their investment.  There can be
no assurances of the projected values of the shares, nor can there be any
guarantees of the success of the Company.  A distribution of revenues will
be made only when, in the judgment of the Company's Board of Directors, it is in
the best interest of the Company's stockholders to do so.  The Board of
Directors will review, among other things, the investment quality and
marketability of the securities considered for distribution; the impact of a
distribution of securities on its customers, joint venture associates,
management contracts, other investors, financial institutions, and the company's
internal management, plus the tax consequences and the market effects of an
initial or broader distribution of such securities.  Transfer Agent.  The Company has
changed its registrar and stock transfer agent from Pacific Stock Transfer
Company to Island Stock Transfer, of Suite 104N, 100 Second Avenue South, St.
Petersburg, Florida, 33701, effective September 21, 2007.  ITEM
6. MANAGEMENT'S
DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS.  We are
a start up, exploration stage corporation and have not yet generated or realized
any revenues from our business operations.  Our
auditors have issued a going concern opinion.  This raises substantial
doubt that we can continue as an on-going business for the next twelve months
unless we obtain additional capital to pay our bills.  We have not
generated any revenues and no revenues are anticipated until we begin removing
and selling minerals.  Accordingly, we must raise cash from sources other
than the sale of minerals found on the property.  Our only other source for
cash at this time is investments by others.  We must raise cash to
implement our project and stay in business.  We have raised the minimum
amount of $50,000 from our SB-2 offering, which closed on June 18, 2007.
 The funds raised, together with the loans and purchase of shares by the
directors ($34,555 in loans and $17,000 in share purchases) have provided us
with sufficient funds to complete our initial exploration work program.  We have
been conducting research in the form of exploration of the property.  We
are not going to buy or sell any plant or significant equipment during the next
twelve months.  The
property is located in southern British Columbia, Canada, approximately 29
kilometers west of the City of Vernon.  Access to the property is by paved
highway and logging roads.  Portions of the property have clear areas due
to recent logging and much of the property is covered by a network of logging
roads.  No improvements are necessary for exploration activities.   6    Our exploration objective is to find an ore body containing gold.
 We must conduct exploration to determine what amount of minerals, if any,
exist on our property, and if any minerals which are found can be economically
extracted and profitably processed.  Our success depends upon finding
mineralized material. Mineralized material is a mineralized body, which has been
delineated by appropriate spaced drilling or underground sampling to support
sufficient tonnage and average grade of metals to justify removal. If we locate
mineralized material, we have to determine if it is economically feasible to
remove the material.  Economically feasible means that the costs associated
with the removal of the mineralized material will not exceed the price at which
we can sell the mineralized material.  We can not predict what the costs
will be until we find mineralized material.  Until we find enough
mineralized material that is economically feasible to remove, we will have to
raise additional funds to continue our exploration of the property.  If we
decide to continue our exploration of the property, we will try to raise
additional funds from a second public offering, a private placement or loans.
 At the present time, we have not made any plans to raise additional
money.  To our
knowledge, the property has never been mined.  Based on a filed British
Columbia assessment report (Assessment Report #17870), there was some
preliminary geophysical and geochemical work carried out on a portion of what
now comprises the Westmoreland property in 1988 by Getchell Resources; however,
we know of no follow-up work on that portion of the property or any work on the
balance of the Westmoreland property.  The property was claimed by Roger
William MacInnis and Warner Gruenwald, jointly, and was examined and reported on
by Mr. Gruenwald, Professional Geologist, before being acquired by us.  In
January 2007, our geologist, Mr. Gruenwald, reported to us on a small work
program he carried out on a portion of the property in October, 2006.  This
small work program cost $4,984, and was part of our initial exploration work
program of $30,000 that we have subsequently carried out.  The results of
that preliminary exploration work were utilized to determine the nature and
extent of the balance of our overall work program.  We
commenced the balance of our initial exploration program in June, 2007, which
consisted of geochemical stream, soil and rock sampling along with prospecting,
geological mapping and geophysical surveys. Work was focused on prospecting the
numerous new roads and clear cuts to see if such activity had exposed previously
covered bedrock.  Areas of alteration, fault zones and especially quartz
veining (float or in situ) were explored by establishing grids along which soil
sampling will be conducted. Streams were sampled by collecting silt and heavy
mineral concentrates.  Our samples were sent to registered assayers in
Vancouver, British Columbia.  These samples were analyzed to determine if
elevated amounts of minerals were present.  The results have since been
plotted on a map to determine where the elevated areas of mineralization occur.
 Preliminary geophysical surveying was also done to try and locate
anomalies which may be caused by mineralization not evident on the surface. The
soil and rock sampling, geological mapping and prospecting were done by
competent professionals.  The results of the exploration work have recently
been summarized in an Assessment Report prepared for the Company by our
geologist, Mr. Gruenwald.  We are currently reviewing these results.
 Based upon this review, management will determine, in consultation with
Mr. Gruenwald, if the property warrants further exploration work.
 Management will not receive fees for these services.  The proceeds
from our offering were designed primarily to fund the costs of the initial
exploration program  7    recommended by our geologist, Mr. Gruenwald.  Additional
funding will be required if we determine that the property should proceed to a
more advanced stage of exploration.  We do
not intend to hire any employees at this time.  Any further work on the
property will be conducted by unaffiliated independent contactors that we will
hire.  Depending on the extent of exploration we decide to undertake, the
independent contractors will be responsible for surveying, geology, engineering,
exploration, and excavation.  The geologists will evaluate the information
derived from the exploration and excavation and the engineers will advise us on
the economic feasibility of removing any mineralized material we may find.  Liquidity and Capital Resources  We
completed our initial public offering, raising the minimum amount of $50,000
under our SB-2 registration statement.  The offer closed June 18, 2007.
 We have recently completed our initial exploration work on the property,
using the funds raised from our offering.  However, additional funds will
be required if we decide to proceed further with our initial business plan.
 We will have to find alternative sources, such as a second public
offering, a private placement of securities or loans from our officers or
others.  We have
discussed this matter with our officers and directors, and Mr. Upham, one of our
directors, has agreed to advance funds as needed to maintain our operations
while we determine the extent of any further exploration and until we are able
to obtain any additional funding that may be required as a result thereof.
 Mr. Birch, our President, has agreed to pay the cost of reclamation of the
property should the need arise.  There are no written agreements covering
these loans, and the loans are payable on demand without interest  Mr.
Upham has advanced $34,555 to date.  At the present time, we have not made
any arrangements to raise additional cash.  Other than as described in this
paragraph, we have no other immediate financing plans.  In May
2005, we entered into an agreement under which we acquired a certain mineral
property, comprising three mineral claims, in consideration of the payment of
$40,000 CAD over a period of three years and the performance of $60,000 CAD in
exploration work over a period of four years.  We acquired an additional
mineral claim in January 2007, at nil cost, as a result of the terms of our May
2005, agreement.  All of our property is registered in the name of Mr.
Birch, our President, who holds the property in trust for the Company.  All
payments required to be paid on the property to date have been paid.  The
exploration work program required to be performed on the property to date has
been paid for and has been carried out by the Companys geologist, Mr. Warner
Gruenwald, P. Geo.  Our property is in good standing until October 31,
2008, and we have additional assessment work available to apply against future
maintenance fee requirements for our property for approximately three more years
thereafter.  We
issued 75,000 shares of common stock on May 10, 2005, for a purchase price of
$1,500 and 775,000 shares of common stock on July 31, 2006, for a purchase price
of $15,500.  All of these shares were issued pursuant to the exemption from
registration set forth in section 4(2) of the Securities Act of 1933.  We
issued a further 2,500,000 shares of common stock on June 18, 2007 for a
purchase price of $50,000 pursuant to our SB-2 offering.  Michael Upham,
our Secretary/Treasurer, has provided us with various loans totaling $34,555 for
legal fees, audit  8    fees, mineral property acquisition and working capital.  The
amount owed to Mr. Upham is non-interest bearing, unsecured and due on demand.
 Accordingly, the loans are classified as current liabilities, and we
record interest at 6% per annum as additional paid-in capital.  ITEM 7.
 FINANCIAL STATEMENTS  Included herewith are
the following financial statements:   9                OKANA
VENTURES, INC. (AN EXPLORATION STAGE COMPANY) AUDITED FINANCIAL STATEMENTS DECEMBER 31, 2007 AND 2006  AND
FOR THE PERIOD OF MAY 9, 2005 (INCEPTION) TO DECEMBER 31, 2007                              10    OKANA VENTURES, INC. (AN EXPLORATION STAGE COMPANY) INDEX
TO AUDITED FINANCIAL STATEMENTS  FOR
THE YEARS ENDED DECEMBER 31, 2007 AND 2006 AND
THE PERIOD OF MAY 9, 2005 TO DECEMBER 31, 2007  Page(s)  Report
of Independent Registered Public Accounting
Firm                                          
1  Balance
Sheets as of December 31, 2007 and 2006 2  Statements
of Operations and Comprehensive Loss for the Years Ended December
31, 2007 and  2006 with Cumulative Totals Since Inception 3  Statement
of Changes in Stockholders Deficit for the Period May 9, 2005
(Inception) to December 31, 2007 4  Statements
of Cash Flows for the Years Ended December 31, 2007  and
2006 with Cumulative Totals Since Inception 5   Notes to Financial Statements 6-12     11                         1  12  OKANA VENTURES, INC. (AN
EXPLORATION STAGE COMPANY) BALANCE SHEETS DECEMBER 31, 2007 AND 2006   ASSETSDecember 31,

December 31,2007

2006Current
AssetsCash
and cash equivalents


$
            315

$
            4,843Prepaid
expenses


2,382

2,143Total
Current Assets


2,697

6,986TOTAL
ASSETS


$
         2,697

$
            6,986LIABILITIES AND STOCKHOLDERS' DEFICITLIABILITIESCurrent
LiabilitiesAccounts
payable


$
         3,802

$
            1,336Notes
payable - stockholder (note 6)


34,555

17,105Total
Current Liabilities


38,357

18,441Total
Liabilities


38,357

18,441STOCKHOLDERS'
DEFICITCommon
stock, par value $.0001, 100,000,000 shares    authorized
and3,350,000
and 850,000, respectively, issued and outstanding


335

85Additional
paid-in capital


69,260

17,847Cumulative
other comprehensive loss


(1,111)

(476)Deficit
accumulated during the pre-exploration and exploration stages


(104,144)

(28,911)Total
Stockholders' Deficit


(35,660)

(11,455)TOTAL
LIABILITIES AND STOCKHOLDERS' DEFICIT


$
         2,697

$
            6,986  The
accompanying notes are an integral part of these financial statements  2 13  OKANA VENTURES, INC. (AN
EXPLORATION STAGE COMPANY) STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS FOR
THE YEARS ENDED DECEMBER  31, 2007 AND 2006  (WITH CUMULATIVE TOTALS SINCE INCEPTION)    Year ending
Cumulative TotalFrom Inception,December 31,
May 9, 2005, to2007
2006
December 31, 2007INCOME

$
            -
$
               -
$
                          -OPERATING
EXPENSESOrganizational
expenses

-
-
1,097Speculative
mining expenses

36,263
7,215
47,424Professional
fees

15,684
12,707
28,391Administrative
expenses

21,608
1,919
24,447Taxes
and licenses

-
175
175Total
Operating Expenses

73,555
22,016
101,534OTHER
(EXPENSE)Interest,
net

(1,678)
(751)
(2,610)Total
Other (Expense)

(1,678)
(751)
(2,610)NET LOSS
APPLICABLE TO COMMON SHARES

$
 (75,233)
$
    (22,767)
$
              (104,144)Foreign
currency translation adjustment

(635)
(134)
(1,111)COMPREHENSIVE
LOSS

$
 (75,868)
$
    (22,901)
$
              (105,255)NET LOSS PER
BASIC AND DILUTED SHARE

$
   (0.036)
$
      (0.057)WEIGHTED
AVERAGE NUMBER OF COMMONSHARES
OUTSTANDING

2,110,274
399,863  The
accompanying notes are an integral part of these financial statements  3 14


OKANA VENTURES, INC. (AN
EXPLORATION STAGE COMPANY) STATEMENT OF CHANGES IN STOCKHOLDERS' DEFICIT FROM
MAY 9, 2005 (INCEPTION) TO DECEMBER 31, 2007   Common Stock
Additional
Deficit accumulated
Cumulative Currency
Stockholders'Shares

Amount
Paid-in Capital
during the pre--
Translation
Deficitexploration stage
AdjustmentMay 9, 2005 (Inception)
-

-
-
-

-Issuance of common stock for cash,May 10, 2005
75,000

$
                     8
$
             1,492
$
                          -
$
                      -
$
               1,500Interest expense - related party (note 6)
-

-
181
-
-
181Less net loss
-

-
-
(6,144)
-
(6,144)Cumulative currency translation adjustment
-

-
-
-
(342)
(342)Balance, December 31,
2005
75,000

8
1,673
(6,144)
(342)
(4,805)Issuance of common stock for cash,July 31, 2006
775,000

77
15,423
-
-
15,500Interest expense - related party (note 6)
-

-
751
-
-
751Less net loss
-

-
-
(22,767)
-
(22,767)Cumulative currency translation adjustment
-

-
-
-
(134)
(134)Balance, December 31,
2006
850,000

85
17,847
(28,911)
(476)
(11,455)Issuance of common stock for cash,June, 2007
2,500,000

250
49,750
-
-
50,000Interest expense - related party (note 6)
-


1,663
-
-
1,663Less net loss
-

-
-
(75,233)
-
(75,233)Cumulative currency translation adjustment
-

-
-
-
(635)
(635)Balance, December 31,
2007
3,350,000

$
                 335
$
           69,260
$
             (104,144)
$
             (1,111)
$
            (35,660)


The
accompanying notes are an integral part of these financial statements  4 15


OKANA VENTURES, INC. (AN
EXPLORATION STAGE COMPANY) STATEMENTS OF CASH FLOWS FOR
THE YEARS ENDED DECEMBER 31, 2007 AND 2006  (WITH
CUMULATIVE TOTALS SINCE INCEPTION)   Year Ending

Year Ending

Cumulative Total FromDecember 31,

December 31,

Inception, May 9,
20052007

2006

to December 31, 2007CASH FLOWS FROM OPERATING ACTIVITIESNet loss

$
                (75,233)

$
                  (22,767)

$
                       (104,144)Adjustments to reconcile
net loss to net cashused in operating
activitiesInterest expense -
related party

1,663

751

2,595Changes in operating assets and
liabilities(Increase) in
prepaid expenses

(239)

(2,143)

(2,382)Increase in
accounts payable

2,466

1,336

3,802Net cash used in
operating activities

(71,343)

(22,823)

(100,129)CASH FLOWS FROM INVESTING ACTIVITES-

-

-CASH FLOWS FROM FINANCING ACTIVITESProceeds from notes
payable - related party

19,950

11,042

37,055Repayments of notes
payable- related party

(2,500)

-

(2,500)Sale of common stock

50,000

15,500

67,000Net
cash provided by financing activities

67,450

26,542

101,555EFFECT OF FOREIGN CURRENCYTRANSLATION ADJUSTMENT

(635)

(134)

(1,111)NET INCREASE (DECREASE) INCASH AND CASH
EQUIVALENTS

(4,528)

3,585

315CASH AND CASH EQUIVALENTS -BEGINNING OF
PERIOD

4,843

1,258

-CASH AND CASH EQUIVALENTS -END OF PERIOD

$
                       315

$
                     4,843

$
                                315SUPPLEMENTAL CASH FLOW INFORMATION:Cash paid for
interest

$                           -

$
                           -

$
                                   -Cash paid for
taxes

$
                          -

$
                           -

$
                                   -   The
accompanying notes are an integral part of these financial statements  5 16    OKANA
VENTURES, INC. (AN EXPLORATION STAGE COMPANY) NOTES
TO FINANCIAL STATEMENTS DECEMBER 31, 2007  NOTE
1- ORGANIZATION
AND BASIS OF PRESENTATION  Okana Ventures, Inc. (the Company) was incorporated on May 9,
2005 under the laws of the State of Nevada.  The business purpose of the
Company is to acquire and develop mineral properties.  NOTE
2- SUMMARY
OF SIGNIFICANT ACCOUNTING POLICIES  Exploration Stage Company  The Company is considered to be in the exploration stage as
defined in Statement of Financial Accounting Standards (SFAS) No. 7,
Accounting and Reporting by Development Stage Enterprises as
interpreted by the Securities and Exchange Commission for mining companies in
Industry Guide 7.  The Company is devoting substantially all of its efforts
to the execution of its business plan.  Use
of Estimates  The preparation of financial statements in conformity with
accounting principles generally accepted in the United States of America
requires management to make estimates and assumptions that affect the amounts
reported in the financial statements and accompanying notes. Actual results
could differ from those estimates.  Cash
and Cash Equivalents  Cash and cash equivalents consists principally of currency on
hand, demand deposits at commercial banks, and liquid investment funds having a
maturity of three months or less at the time of purchase.  The Company had
$315 in cash and cash equivalents as of December 31, 2007.  Start-up Costs  In accordance with the American Institute of Certified Public
Accountants Statement of Position 98-5, Reporting on the Costs of Start-up
Activities, the Company expenses all costs incurred in connection with the
start-up and organization of the Company.  Common Stock Issued For Other Than Cash  Services purchased and other transactions settled in the Company's
common stock are recorded at the estimated fair value of the stock issued if
that value is more readily determinable than the fair value of the consideration
received.  6  17     OKANA
VENTURES, INC. (AN EXPLORATION STAGE COMPANY) NOTES
TO FINANCIAL STATEMENTS DECEMBER 31, 2007  NOTE
2- SUMMARY
OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)  Net
Income or (Loss) Per Share of Common Stock  The
following table sets forth the computation of basic and diluted earnings per
share:  2007

2006

2007
2006Net income
(loss)

$   (75,233)

$(22,767)

$      (8,455)
$      (8,129)Weighted average
commonshares
outstanding (Basic)
2,110,274

399,863

3,350,000
850,000Options

-

-

-
-Warrants

-

-

-
-Weighted average
commonshares
outstanding (Diluted)
2,110,274

399,863

3,350,000
850,000Net
loss per share(Basic
and diluted)
$     (0.036)

$  (0.057)

$      (0.003)
$      (0.010)  The Company has no potentially dilutive securities, such as
options or warrants, currently issued and outstanding.  Recent
Accounting Pronouncements  In December, 2007, the Financial Accounting Standards Board (FASB)
issued Statement of Financial Accounting Standard (SFAS) No. 160,
Non-controlling Interests in Consolidated Financial Statements, an
Amendment of ARB No. 51.SFAS No. 160 applies to for profit entities that
prepare consolidated financial statements where there is an outstanding
non-controlling interest in a subsidiary.  The statement requires that the
non-controlling interest be reported in the equity section of the consolidated
balance sheet but identified separately from the parent.  The amount of
consolidated net income attributed to the non-controlling interest is required
to be presented, clearly labeled for the parent and the non-controlling entity,
on the face of the consolidated statement of income.  When a subsidiary is
deconsolidated, any retained non-controlling interest is to be measured at fair
value.  Gain or loss on deconsolidation is recognized rather than carried
as the value of the retained investment.  The statement is effective for
fiscal years and interim periods beginning on or after December 15, 2008.
 It cannot be adopted earlier but once adopted it is to be applied
retroactively.  This pronouncement has no effect on this Companys
financial reporting at this time.  7  18     OKANA
VENTURES, INC. (AN EXPLORATION STAGE COMPANY) NOTES
TO FINANCIAL STATEMENTS DECEMBER 31, 2007  NOTE
2- SUMMARY
OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)  Recent
Accounting Pronouncements (Continued)  Also in December 2007, the FASB issued SFAS No. 141R, Business
Combinations(SFAS No. 141R).  SFAS No. 141R amends SFAS 141 and
provides revised guidance for recognizing and measuring identifiable assets and
goodwill acquired, liabilities assumed, and any non-controlling interest in the
acquiree.  It also provides disclosure requirements to enable users of the
financial statements to evaluate the nature and financial effects of the
business combination.  It is effective for fiscal years beginning on or
after December 15, 2008, and will be applied prospectively.  Management is
currently evaluating the impact of adopting SFAS No. 141R on its financial
reporting.  In February, 2007 the FASB issued SFAS No. 159, The Fair Value
Option for Financial Assets and Liabilities,including an amendment to SFAS
no. 115, Accounting for Certain Investments in Debt and Equity Securities,applicable to all entities with available-for-sale and trading securities.
 SFAS No. 159 permits entities to measure many financial instruments and
certain other items at fair value.  Eligible items include recognized
financial assets and liabilities other than investments or interests which an
entity is required to consolidate, financial assets or liabilities recognized
under leases, deposit liabilities of financial institutions, or financial
instruments that are classified by the issuer as a component of shareholders
equity.  Also eligible are firm commitments that would otherwise not be
recognized at inception and that involve only financial instruments,
non-financial insurance contracts and warranties that the issuer can settle by
paying a third party to provide those goods and services, and host financial
instruments that result from separation of an embedded non-financial derivative
instrument from a non-financial hybrid instrument.  SFAS No. 159 is
effective as of the beginning of an entitys fiscal year that begins after
November 15, 2007.  This pronouncement has no effect on the Company at this
time.  In September, 2006 the FASB issued SFAS No. 157, Fair Value
Measurements, which provides a definition of fair value, establishes
a framework for measuring fair value and requires expanded disclosures about
fair value measurements.  SFAS No. 157 is effective for financial
statements issued for fiscal years beginning after November 15, 2007 and interim
periods within those fiscal years.  The provisions of SFAS No. 157 should
be applied prospectively.  This pronouncement has no effect on the
Companys financial statements due to the short-term, cash nature of its assets
and liabilities.  8 19      OKANA
VENTURES, INC. (AN EXPLORATION STAGE COMPANY) NOTES
TO FINANCIAL STATEMENTS DECEMBER 31, 2007  NOTE
2- SUMMARY
OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)  Mineral Acquisition and Exploration Costs  The Company continues to be in the exploration stage and has not
yet realized any revenue from its planned operations.  It is primarily
engaged in the acquisition, exploration, and development of mining properties.
 Mineral property acquisition and exploration costs are expensed as
incurred.  When it has been determined that a mineral property can be
economically developed as a result of establishing proven and profitable
reserves, the costs incurred to develop such property are capitalized.
 Such costs will be depreciated using the units-of-production method over
the estimated life of the probable reserves.   NOTE
3- PROVISION
FOR INCOME TAXES  The Company recognizes the tax effects of transactions in the year
in which such transactions enter into the determination of net income regardless
of when reported for tax purposes.  Deferred taxes are provided in the
financial statements under SFAS No. 109 to give effect to the temporary
differences which may arise from differences in the bases of fixed assets,
depreciation methods  and allowances based on the income taxes expected to
be payable in future years.  Minimal development stage deferred tax assets
arising as a result of net operating loss carry-forwards have been offset
completely by a valuation allowance due to the uncertainty of their utilization
in future periods.  Operating loss carry-forwards generated during the
period from May 9, 2005 (date of inception) through December 31, 2007 of
approximately $104,144 will begin to expire in 2025.  Accordingly, deferred
tax assets of approximately $36,450 were offset by the valuation allowance.
 For the year ended December 31, 2007 the allowance increased by
approximately $26,000.  NOTE
4 - STOCKHOLDERS
DEFICIT  Common
Stock  As of December 31, 2007 the Company has 100,000,000 shares of
common stock authorized and 3,350,000 issued and outstanding.    9    20      OKANA
VENTURES, INC. (AN EXPLORATION STAGE COMPANY) NOTES
TO FINANCIAL STATEMENTS DECEMBER 31, 2007  NOTE
4 - STOCKHOLDERS
DEFICIT (CONTINUED)  Common
Stock (Continued) The following details the stock transactions for the Company:  On May 10, 2005 the Company sold 75,000 shares of its common stock
at $.02 per share for $1,500 cash to provide initial working
capital.  On July 31, 2006 the Company sold 775,000 shares of its common
stock at $.02 per share for $15,500 cash for working capital.  During June, 2007 the Company sold 2,500,000 of its shares at $.02
per share for $50,000.  The proceeds were used for working capital and to
fund its operating plan.  NOTE
5 - ACQUISITION
OF MINERAL RIGHTS  On May 27, 2005 the Company entered into an agreement (the
Agreement) to purchase an undivided interest in mineral claims on property
located in Canada (the Property) for $40,000 CAD.  Due to the uncertainty
of fluctuating exchange rates, payments on the Property are stated in CAD as follows:  Upon signing of the Agreement and transfer of title (paid)
      $    5,000 On or before May 27, 2006 (paid)
                                                  5,000 On or before May 27, 2007 (paid)
                                                10,000 On or before May 27, 2008
                                                           20,000 ----------- TOTAL $ 40,000 ====== Under the Agreement, the Company is obligated to perform
exploration work of $60,000 CAD over a period of four years commencing on the
date of the Agreement or to make an equivalent cash payment to the vendors with
$30,000 CAD of the exploration work to be performed or an equivalent cash
payment made therefore by May 27, 2007.  If the exploration results in the
discovery of mineral commodities, the Company is required to pay a royalty of
2.0% on all mineral commodities sold from production on the Property.  The
royalty may be reduced to 1.0% upon payment of $500,000 CAD to the vendors at
any time.  The Company is also responsible to maintain the mineral claims
in good standing by paying all the necessary rents, taxes and filings associated
with the Property.  10   21      OKANA
VENTURES, INC. (AN EXPLORATION STAGE COMPANY) NOTES
TO FINANCIAL STATEMENTS DECEMBER 31, 2007  NOTE
5 - ACQUISITION
OF MINERAL RIGHTS (CONTINUED)  In accordance with terms set forth in the Agreement, the Company
can terminate the Agreement at any time, at which point the Company is released
of all obligations.  All property payments must be made within 30 days of
the due date and all exploration work must be performed within 30 days of the
required date.  Otherwise, the mineral property rights will revert back to
the vendors.  In addition, there is no guarantee that any exploration will
yield mineral commodities.  Accordingly, the Company expenses property
payments when paid and exploration costs as incurred.  During the year ended December 31, 2007 the Company made payments
on the property of $10,000 CAD, bringing total property payments made during the
period of May 9, 2005 (inception) to December 31, 2007 to $20,000 CAD, recorded
as $17,900 USD .  In the same period, the Company has paid $3,180 CAD,
recorded as $2,720 USD for fees in lieu of exploration work, and $28,510 CAD for
actual exploration work, recorded as $26,804 USD.  NOTE
6 - NOTES
PAYABLE TO STOCKHOLDERS  A stockholder regularly advances funds to the Company in exchange
for demand notes at a zero interest rate.  Since the notes have no stated
maturity date, the Company records simple annual interest of 6% on the
outstanding principal.  Interest expense is recorded as an addition to
paid-in capital.  The Company incurred and recorded $1,663 in interest
expense during the year ended December 31, 2007, bringing the total to $2,595
since inception, May 9, 2005.  The notes are due on demand and therefore
reported as current liabilities. As of December 31, 2007 the Company owed
$34,555 to the stockholder.  NOTE
7 - FOREIGN
CURRENCY TRANSLATION  Assets and liabilities denominated in Canadian dollars are
revalued to the United States dollar equivalent as of December 31, 2007.
 The $1,111 effect of change in exchange rates from the transaction dates
to the reporting date is reported as a Cumulative Currency Translation
Adjustment.  NOTE
8 - GOING
CONCERN  The accompanying financial statements have been prepared in
accordance with accounting principles generally accepted in the United States of
America, which contemplates continuation of the Company as a going concern.
 The Company has incurred an operating deficit since its inception, is in
the exploration stage and has no recurring revenues. These items raise
substantial doubt about the Companys ability to continue as a going
concern.  11  22      OKANA
VENTURES, INC. (AN EXPLORATION STAGE COMPANY) NOTES
TO FINANCIAL STATEMENTS DECEMBER 31, 2007   NOTE 8 - GOING CONCERN (CONTINUED)  In view of these matters, realization of the assets of the Company
is dependent upon the Companys ability to meet its financial requirements
through equity financing and the success of future operations.  These
financial statements do not include adjustments relating to the recoverability
and classification of recorded asset amounts and classification of liabilities
that might be necessary should the Company be unable to continue in
existence.                               12    23      ITEM
8. CHANGES
IN AND DISAGREEMENTS WITH ACCOUNTANTS ONACCOUNTING AND
FINANCIAL DISCLOSURE  There have been no
disagreements of any kind with the Companys independent auditors.  ITEM 8A.
 CONTROLS AND PROCEDURES  On
December 31, 2007, Okana carried out an evaluation of the effectiveness of the
Companys disclosure controls and procedures (as defined by Rule 13-15(e) under
the Securities Exchange Act of 1934) under the supervision and with the
participation of Okanas chief executive officer and chief financial officer.
Based on and as of the date of such evaluation, the aforementioned officers have
concluded that Okanas disclosure controls and procedures were effective.  There were no
significant changes in Okanas internal controls or in other factors that could
significantly affect these controls during the period covered by this
report.  ITEM 8B.  OTHER
INFORMATION  During the fourth
quarter of the fiscal year ended December 31, 2007, there was no information
required to be reported on Form 8K which was not previously reported.  PART
III  ITEM
9. DIRECTORS,
EXECUTIVE OFFICERS, PROMOTERS, CONTROL PERSONS AND CORPORATE GOVERNANCE;
COMPLIANCE WITH SECTION 16(A) OF THE EXCHANGE ACT.  The names, ages, and
respective positions of the directors, officers, and significant employees of
the Company are set forth below.  Name
Age
Position
Date of
Election or AppointmentRonnie
Birch
60
President,
Chief Executive Officer, Director
5/9/05Michael
Upham
52
Secretary,
Treasurer, Chief Financial Officer, Chief Accounting Officer,
Director
5/9/05Mervyn
Weiss
61
Director
5/9/05  Ronnie Birch has been our president, chief executive
officer and a member of our Board of Directors since our inception.  Since
1991 to present, Mr. Birch has provided consulting services through Janron
Consulting Inc., and since 1993 to present, the services of a public relations
coordinator through Bircress Corporate Relations.  Both of these companies
are privately held corporations in which Mr. Birch has a 50% share holding.
 From 1985 to 1991, he was a licensed stock, commodities and options
broker. Prior to that, he held various jobs as a financial officer in his 17
years of employment with the Bank of Nova Scotia, holding various positions up
to branch manager.  Mr. Birch is prepared to devote 10% of his time, or
approximately four hours per week, to our operations.   24    Michael Upham has been our secretary, treasurer, chief
financial officer and chief accounting officer since inception.  Mr. Upham
was also a director of Beeston Enterprises Ltd., a developing company in the
health service industry, from September 1999 to May 2005.  Mr. Upham has
been in the retail sales and marketing sector for over 35 years.  He was
manager of Jack Frasers, a Canadian mens clothing chain, having worked his way
up to a management level during his term with the company from 1971 to 1977.
 In 1978, Mr. Upham joined the sales staff at Finns Clothiers, where he
worked as senior sales representative until 1985.  In 1986, he became
district sales manager for Playtex Canada Ltd.  Mr. Upham left Playtex
Canada Ltd. in 1996 to become district sales manager for Imperial Tobacco
Company Limited, a position he holds to this date.  Mr. Upham is prepared
to devote 10% of his time, or approximately four hours per week, to our
operations.  Mervyn Weiss has been a member of our Board of Directors
since inception.  Mr. Weiss has been a self-employed business man and
investor since 1995 to present, dealing in both the real estate market and the
stock market.  He has also been a director of Columbus Networks Corp. an
e-recruitment firm specializing in the education industry, since 2000 to
present.  From 1975 to 1995 he was a sales representative for Lipton
Monarch Foods, for the interior of the Province of British Columbia.  Prior
to that, Mr. Weiss was a financial consultant and licensed stock broker from
1964 to 1975.  Mr. Weiss is prepared to devote 10% of his time, or
approximately four hours per week, to our operations.  None of Okanas
directors or executive officers have been involved, during the past five years,
in any bankruptcy proceedings, conviction or criminal proceedings; has not been
subject to any order, judgment, or decree, not subsequently reversed or
suspended or vacated, of any court of competent jurisdiction, permanently or
temporarily enjoining, barring, suspending or otherwise limiting his or her
involvement in any type of business, securities or banking activities; and has
not been found by a court of competent jurisdiction, the Securities and Exchange
Commission or the Commodity Futures Trading Commission to have violated a
federal or state securities or commodities law.  There are no family
relationships between any of the Companys officers and directors.  There have been no
changes in the procedures by which security holders may recommend nominees to
the Companys Board of Directors.  The Board of
Directors does not currently have a standing audit committee.  Significant
Employees  Okana has no
significant employees other than the officers and directors described above,
whose time and efforts are being provided to Okana without compensation.  Compliance with
Section 16(a) of the Exchange Act.  The Company is not
aware of a director or officer who is delinquent in their reporting under
Section 16(a) of the Exchange Act.   25    Code of
Ethics  Okana has not adopted
a code of ethics at this time.  ITEM 10.
 EXECUTIVE COMPENSATION.   The table below
summarizes all compensation awarded to, earned by, or paid to our current
executive officers for each of the last three completed fiscal years.  Annual Compensation


Long Term CompensationName


Title


Year


Salary
($)


Bonus
($)


Other Annual Compensation
($)


Restricted Stock
Awarded
(shares)


Options/
SARs
(#)


LTIP
Payouts
($)


All Other
Compensation
($)Ronnie Birch


President, CEO, Director


2006
2007


-
-


-
-


-
-


-
-


-
-


-
-


-
-Michael Upham


Secretary, Treasurer, CFO, CAO, Director


2006
2007


-
-


-
-


-
-


-
-


-
-


-
-


-
-  Compensation to
Directors  Our directors did not
receive any compensation for their services as director during the year ended
December 31, 2007.  Summary of Options
Grants  We did not grant any
stock options to any executive officer or director during the year ended
December 31, 2007.  ITEM 11.
 SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED
STOCKHOLDER MATTERS  As of December 31,
2007, Okana had no compensation plans in effect under which equity securities
are authorized for issuance.  Following is a table
showing security ownership of certain beneficial owners, as well as management
of the Company.  Unless otherwise noted, each shareholder is the direct
owner of his or her shares.   26       Title of
Class
Name and
Address of Beneficial Owner
Amount and
Nature of Beneficial Ownership
Percent of
ClassCommon
Ronnie
Birch
7071 Jasper
Drive
Vernon B.C.
Canada
V1H 1P2
300,000
8.95Common
Michael
Upham
87 Cranleigh
Green S.E.
Calgary,
Alberta, Canada
T3M 1J2
300,000
8.95Common
Mervyn
Weiss
5884 C Beach
Avenue
Peachland,
B.C., Canada
V0H 1X7
250,000
7.47Common
Officers and
Directors as a Group (3)
850,000
25.37%  There are currently
no authorization plans in effect.  ITEM 12.
 CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR
INDEPENDENCE.  Other than as set
forth in Item 7, there are no relationships, transactions, or proposed
transactions to which the registrant was or is to be a party, in which any of
the named persons set forth in Item 404 of Regulation SB had or is to have a
direct or indirect material interest. None of the directors
qualify as independent directors.  ITEM 13.
 EXHIBITS  Exhibit
No.
Document
Location3.1
Articles of
Incorporation
Previously
Filed3.2
Bylaws
Previously
Filed3.3
Amendment to
Bylaws
Previously
Filed31
Rule
13a-14(a)/15d-14(a) Certifications
Included32
Section 1350
Certifications
Included  ITEM14.
 PRINCIPAL ACCOUNTANT FEES AND SERVICES.  1. Audit
Fees: Aggregate
fees billed for each of the last two (2) fiscal years for professional services
rendered by the principal accountant for the audit of the annual financial
statements and review of financial statements included on Form 10-QSB:  2006: $5,000 2007: $5,500   27    2. Audit-Related
Fees: Aggregate
fees billed in each of the last two (2) fiscal years for assurance and related
services by the principal accountant that are reasonably related to the
performance of the audit or review of the financial statements and are not
reported previously.  2006: $1,500 2007: $6,600  3. Tax
Fees: Aggregate
fees billed in each of the last two (2) fiscal years for professional services
rendered by the principal accountant for tax compliance, tax advice, and tax
planning.  2006: $0 2007: $0  4. All
Other Fees: Aggregate
fees billed in each of the last two (2) fiscal years for products and services
provided by the principal accountant, other than the services previously
reported.  2006: $0 2007: $0  5. Audit
Committee Pre-Approval Procedures.  The Board of Directors has not, to
date, appointed an audit committee.    28    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, thereunto duly authorized.  OKANA VENTRES,
INC.  Date: March
17, 2008 /s/
Ronnie Birch Ronnie
Birch, President, CEO   In accordance with
the Exchange Act, this report has been signed below by the following persons on
behalf of the registrant and in the capacities and on the dates indicated.  ***/s/ Ronnie Birch***

***/s/ Michael Upham***Ronnie
Birch

Michael
UphamPresident, CEO,
Director

Secretary,
Treasurer, CFO, DirectorDate:

Date: 29