SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

                                   FORM 10-QSB

(Mark One)

[X]  Quarterly report under Section 13 or 15(d) of the Securities  Exchange Act
     of 1934

     For the quarterly period ended December 31, 2000

[ ]  Transition  report under Section 13 or 15(d) of the  Securities  Exchange
     Act

        For the transition period from ______________ to _______________

Commission file number    33-15528-D
                      --------------

                            MONUMENT RESOURCES, INC.
         ---------------------------------------------------------------
        (Exact name of Small Business Issuer as Specified in its Charter)

           Colorado                                              84-1028449
 ------------------------------                              -----------------
(State or Other Jurisdiction of                             (I.R.S. Employer
 Incorporation or Organization)                             Identification No.)


           2050 South Oneida Street, Suite 106, Denver, Colorado 80224
           ----------------------------------------------------------
          (Address of Principal Executive Offices, Including Zip Code)

                                 (303) 692-9468
                 ----------------------------------------------
                (Issuer's Telephone Number, Including Area Code)


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
                                     -------  -------

State the number of shares outstanding of each of the issuer's classes of common
equity, as of the latest practicable date: 4,869,000 shares of common stock were
outstanding at February 9, 2001.

Transitional Small Business Disclosure Format (Check One):

                                  Yes       No   X
                                     -------  -------

<PAGE>


                    MONUMENT RESOURCES, INC. AND SUBSIDIARIES
                                      INDEX

                                                                     Page Number
                                                                     -----------
PART I.       FINANCIAL INFORMATION

     Item 1.  Consolidated Balance sheets as of                            2
              December 31, 2000 and September 30, 2000

              Consolidated Statements of Operations                        4
              for the Three Months ended
              December 31, 2000 and 1999

              Consolidated Statements of Cash Flows                        5
              for the Three Months ended
              December 31, 2000 and 1999

              Notes to Consolidated Financial Statements                   6

     Item 2.  Management's Discussion and Analysis of                      21
              Financial Condition and Results of Operations

PART II.      OTHER INFORMATION                                            23

                                       1

<PAGE>


Item 1.  Financial Statements.


                    MONUMENT RESOURCES, INC. AND SUBSIDIARIES
                           CONSOLIDATED BALANCE SHEETS

                                     ASSETS

                                                      December 31, September 30,
                                                         2000         2000
                                                      (Unaudited)
                                                      ----------   ----------
Current assets
         Cash                                         $  102,298   $   78,831
         Investment in securities                        242,488      192,003
         Accounts receivable                              87,561       56,560
         Note receivable (see Note 4)                     14,000       27,660
         Prepaid expense                                   5,708       10,425
                                                      ----------   ----------

Total current assets                                     452,055      365,479
                                                      ----------   ----------

Mineral properties                                        92,718       92,718
Proved and unproved oil and gas
         properties, successful efforts method
         net of accumulated depreciation                 655,295      659,786

Property and equipment:
         Gas pipeline, net of
           accumulated depreciation                      176,889      183,022
         Property and equipment, net of
           accumulated depreciation                       27,472       31,072
                                                      ----------   ----------

Net property and equipment                               204,361      214,094

Investments in securities, at market                      57,514       60,991
                                                      ----------   ----------

Total assets                                          $1,461,943   $1,393,068
                                                      ==========   ==========


See Notes to Consolidated Financial Statements.

                                       2

<PAGE>


Item 1.  Financial Statements. (Continued)


                    MONUMENT RESOURCES, INC. AND SUBSIDIARIES
                           CONSOLIDATED BALANCE SHEETS

                      LIABILITIES AND STOCKHOLDERS' EQUITY

                                                     December 31,  September 30,
                                                        2000           2000
                                                     (Unaudited)
                                                     -----------    -----------
Current liabilities
         Accounts payable and accrued expenses       $    39,957    $     6,948
                                                     -----------    -----------

Total current liabilities                                 39,957          6,948
                                                     -----------    -----------

Stockholders' equity:
Preferred Stock, no par value, authorized
         1,000,000 shares; none issued
Common Stock, no par value, authorized
         10,000,000 shares; 4,869,000 issued
         and outstanding on September 30, 2000
         and December 31, 2000                         3,167,782      3,167,782
Accumulated deficit                                   (1,785,589)    (1,834,595)
Unrealized gain on investment in securities               39,793         52,933
                                                     -----------    -----------

Total stockholders' equity                             1,421,986      1,386,120
                                                     -----------    -----------

Total liabilities and stockholders' equity           $ 1,461,943    $ 1,393,068
                                                     ===========    ===========


See Notes to Consolidated Financial Statements.

                                       3

<PAGE>
<TABLE>
<CAPTION>


Item 1.  Financial Statements. (Continued)


                        MONUMENT RESOURCES, INC. AND SUBSIDIARIES
                          CONSOLIDATED STATEMENTS OF OPERATIONS
                                       (UNAUDITED)


                                                  Three Months         Three Months
                                               Ended December 31,    Ended December 31,
                                                     2000                   1999
                                                 -----------            -----------
Revenue
      <S>                                        <C>                    <C>
      Oil and gas sales                          $    56,971            $    47,588
      Pipeline income                                124,127                 35,339
      Interest and other                               2,956                  3,760
      Gain on sale of investment stock                 6,623                   --
                                                 -----------            -----------

               Total                                 190,677                 86,687
                                                 -----------            -----------

Expenses
      Oil and gas operating expense                   40,807                 40,370
      Pipeline operating expense                      26,650                 22,063
      General and administrative                      50,621                 48,786
      Dryhole cost                                      --                   20,968
      Depletion, depreciation and amortization        23,593                 27,812
                                                 -----------            -----------

               Total                                 141,671                159,999
                                                 -----------            -----------

Net income (loss)                                $    49,006            $   (73,312)
                                                 ===========            ===========
Basic income (loss) per common share                     .01                   (.01)
                                                 ===========            ===========
Diluted income (loss) per common share                   .01                   (.01)
                                                 ===========            ===========
Weighted average number of shares outstanding      4,869,000              4,919,000
                                                 ===========            ===========


See Notes to Consolidated Financial Statements.

                                           4
</TABLE>

<PAGE>
<TABLE>
<CAPTION>

Item 1.  Financial Statements. (Continued)

                          MONUMENT RESOURCES, INC. AND SUBSIDIARIES
                            CONSOLIDATED STATEMENTS OF CASH FLOWS
                                         (UNAUDITED)

                                                             Three Months Ended December 31,
                                                                     2000       1999
                                                                ----------------------
Cash flows from operating activities:
<S>                                                             <C>          <C>
Net income (loss)                                               $  49,006    $ (73,312)
Items not affecting cash:
         Depreciation, Depletion and Amortization                  23,593       27,812
         Gain on sale of securities                                (6,623)        --
Changes in operating assets and liabilities:
         Decrease in prepaid expense                                4,717        3,833
         Increase in accounts receivable                          (17,341)      (8,248)
         Increase in accounts payable and
           accrued expenses                                        33,009        8,046
                                                                ---------    ---------

Net cash flow from operations                                      86,361      (41,869)
                                                                ---------    ---------
Cash flows from investing activities:

Proceeds from sale of investment securities                         6,623         --

Proceeds from bond investment                                       6,170       38,987

Additions to oil and gas properties                                (9,369)      (1,769)

Investment in bond fund                                           (66,318)        --
                                                                ---------    ---------
Net cash flows from investing activities:                         (62,894)      37,218
                                                                ---------    ---------
Cash flows from financing activities:

Repurchase of common stock                                           --           --
                                                                ---------    ---------
Net cash flows from financing activities                             --           --
                                                                ---------    ---------
Net increase (decrease) in cash                                    23,467       (4,651)

Cash at beginning of period                                        78,831       20,029
                                                                ---------    ---------
Cash at end of period                                           $ 102,298    $  15,378
                                                                =========    =========


                    Schedule of Non-cash Investing Activities
                    -----------------------------------------

Increase (Decrease) in unrealized gain
         on securities available for sale                       $ (13,140)   $  74,837
                                                                =========    =========


See Notes to Consolidated Financial Statements

                                              5
</TABLE>

<PAGE>


Item 1.  Financial Statements. (Continued)

                    MONUMENT RESOURCES, INC. AND SUBSIDIARIES
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTE 1 -- ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

THE COMPANY

     Monument Resources, Inc, (the "Company") was organized under the laws of
the State of Colorado on October 1, 1984. The Company is in the business of
acquiring and brokering mineral and oil and gas properties and exploring,
developing, and selling production from its oil and gas properties. The
Company's oil and gas properties are in Webb and Knox counties, Texas,
Leavenworth County, Kansas and Kimball County, Nebraska. The Company also
operates a gas pipeline in conjunction with its Leavenworth gas wells. The
Company's mineral properties are in Montana and British Columbia, Canada.

     The Company has a substantial investment in mineral and oil and gas
properties. The Company may not have sufficient capital to fully explore its
mineral holdings or to develop some of its oil and gas properties, which will
require significant investment. The Company has in the past relied on joint
venture partners to supply most of the funds needed to explore or develop its
properties, and may also rely on such partners for similar funding in the
future. As a result, the ability of the Company to obtain outside funding may be
critical to the Company's exploration and development of some of its properties.
As a result of these factors, recovery by the Company of its investments in
these properties cannot be assured.

CONSOLIDATION

     The accompanying consolidated financial statements include the accounts of
the Company, its wholly owned Canadian subsidiary, formed for the purpose of
owning real property in British Columbia, and its wholly owned Kansas
subsidiary, COG Transmission Corporation, acquired in 1996. All intercompany
transactions and balances have been eliminated in consolidation.

STATEMENT OF CASH FLOWS

     For statement of cash flow purposes, the Company considers short-term
investments with original maturities of three months or less to be cash
equivalents. Cash restricted from use in operations beyond three months is not
considered a cash equivalent.

                                       6

<PAGE>


Item 1.  Financial Statements. (Continued)

                    MONUMENT RESOURCES, INC. AND SUBSIDIARIES
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (CONTINUED)

NOTE 1 -- ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
(CONTINUED)

MANAGEMENT'S USE OF ESTIMATES

     The preparation of financial statements in conformity with generally
accepted accounting principles requires management to make certain estimates and
assumptions that affect the reported amounts of assets and liabilities, the
disclosure of contingent liabilities at the date of the financial statements and
reported amounts of revenues and expenses. Actual results could differ from
those estimates.

IMPAIRMENT OF LONG-LIVED ASSETS

     The Company evaluates the carrying value of assets, other than investments
in marketable securities, for potential impairment on an ongoing basis under the
tenets of SFAS No. 121, "Accounting for the Impairment of Long-Lived Assets and
for Long-Lived Assets to be Disposed Of," effective 1995. Under SFAS No. 121,
the Company periodically evaluates the carrying value of long-lived assets and
long-lived assets to be disposed of and certain identifiable intangibles and
goodwill related to those assets for potential impairment. The Company considers
projected future operating results, cash flows, trends and other circumstances
in making such estimates and evaluations and reduces the carrying value of
impaired assets to fair value.

EARNINGS PER SHARE

     In February 1997, the Financial Accounting Standards Board issued Financial
Accounting Standard No. 128 ("SFAS No. 128"), addressing earnings per share.
SFAS No. 128 changed the methodology of calculating earnings per share and
renamed the two calculations basic earnings per share and diluted earnings per
share. The calculations differ by eliminating any common stock equivalents (such
as stock options, warrants, and convertible preferred stock) from basic earnings
per share and changes certain calculations when computing diluted earnings per
share. The Company adopted SFAS No. 128 in fiscal year 1998.

                                       7

<PAGE>

Item 1.  Financial Statements. (Continued)

                    MONUMENT RESOURCES, INC. AND SUBSIDIARIES
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (CONTINUED)

NOTE 1 -- ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
(CONTINUED)

     The following is a reconciliation of the numerators and denominators used
in the calculations of basic and diluted earnings (loss) per share for the
quarters ended December 31, 2000, and 1999:

<TABLE>
<CAPTION>

                                                   2000                                     1999
                                   ------------------------------------     --------------------------------------
                                                                Per                                       Per
                                      Net                      Share             Net                     Share
                                    Income        Shares       Amount          (Loss)        Shares      Amount
                                    ------        ------       ------          ------        ------      ------
Basic earnings per share:
     Net income (loss)
     <S>                           <C>           <C>         <C>             <C>            <C>         <C>
     and share amounts             $  49,006     4,869,000   $      .01      $  (73,312)    4,919,000   $     (.01)

     Dilutive securities:
       stock warrants                  --             --         --               --             --       --
     Repurchased shares                --             --         --               --             --       --
                                   ----------   ----------   ----------      ----------     ----------  ----------

Diluted earnings per share:
     Net income (loss) and
      assumed share conversion     $   49,006   4,869,000    $      .01      $  (73,312)    4,919,000   $     (.01)
                                   ==========   =========    ==========      ==========     =========   ==========
</TABLE>


COMPREHENSIVE INCOME

     In June 1997, the Financial Accounting Standards Board issued SFAS No. 130,
"Reporting Comprehensive Income," which establishes standards for reporting of
comprehensive income. This pronouncement requires that all items recognized
under accounting standards as components of comprehensive income, as defined in
the pronouncement, be reported in a financial statement that is displayed with
the same prominence as other financial statements. Comprehensive income includes
changes in equity during a period, except those resulting from investments by
owners and distributions to owners. Under comprehensive income, the Company
reports unrealized gains and losses on investments in debt and equity
securities. The financial statement presentation required under SFAS No. 130 is
effective for all fiscal years beginning after December 15, 1997. The Company
adopted SFAS No. 130 in fiscal year 1999.

                                        8
<PAGE>


Item 1.  Financial Statements. (Continued)

                    MONUMENT RESOURCES, INC. AND SUBSIDIARIES
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (CONTINUED)

NOTE 1 -- ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
(CONTINUED)

SEGMENT REPORTING

     In June 1997, the Financial Accounting Standards Board issued SFAS No. 131,
"Disclosure about Segments of an Enterprise Related Information," which amends
the requirements for a public enterprise to report financial and descriptive
information about its reportable operating segments. Operating segments, as
defined in the pronouncement, are components of an enterprise about which
separate financial information is available that is evaluated regularly by the
Company in deciding how to allocate resources and in assessing performance. The
financial information is required to be reported on the basis that is used
internally for evaluating segment performance and deciding how to allocate
resources to segments. The disclosures required by SFAS No. 131 are effective
for all fiscal years beginning after December 15, 1997. The Company adopted SFAS
No. 131 in fiscal year 1999.

MINERAL PROPERTIES

     Costs of acquiring, exploring, and developing specific mineral properties
are capitalized on a property by property basis until the commercial viability
of each property is determined. When a property reaches the production stage,
the related capitalized costs will be amortized, using the units of production
method on the basis of periodic estimates of ore reserves. Proved and unproved
mining properties are periodically assessed for impairment of value and any
impairments are charged to operations at the time of impairment. Should a
property be sold or abandoned, its capitalized costs are charged to operations
and gain or loss recognized.

OIL AND GAS PROPERTIES

     The Company follows the successful efforts method of accounting for its oil
and gas activities. Under this accounting method, costs associated with the
acquisition, drilling and equipping of successful exploratory and development
wells are capitalized. Geological and geophysical costs, delay rentals and
drilling costs of unsuccessful exploratory wells are charged to expense as
incurred. Depletion and depreciation of the capitalized costs for producing oil
and gas properties are provided by the unit-of-production method based on proved
oil and gas reserves. Undeveloped and unproved properties are periodically
assessed for possible impairment due to unrecoverability of costs invested.
Developed and proved properties are periodically assessed under the accounting
rules of SFAS No. 121, "Accounting for the Impairment of Long-Lived Assets and
for Long-Lived Assets to be Disposed Of." Cash received for partial conveyances
of property interests are treated as a recovery of cost and no gain or loss is
recognized.

                                       9

<PAGE>


Item 1.  Financial Statements. (Continued)

                    MONUMENT RESOURCES, INC. AND SUBSIDIARIES
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (CONTINUED)

NOTE 1 -- ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
(CONTINUED)

PROPERTY, EQUIPMENT, AND GAS PIPELINE

     Depreciation of property and equipment are expensed in amounts sufficient
to relate the expiring costs of depreciable assets to operations over estimated
service lives, principally using the straight-line method. Estimated service
lives range from three to eight years. The Company's gas pipeline is being
depreciated on units-of-gas production method based on the production of the gas
wells served by the pipeline. When such assets are sold or otherwise disposed
of, the cost and accumulated depreciation are removed from the accounts and any
resulting gain or loss is reflected in operations in the period realized.

INCOME TAXES

     The Company has made no provision for income taxes for the three month
period ended December 31, 2000 since it utilizes net operating loss
carryforwards. The Company had $1,283,947 of such carryforwards at September 30,
2000.

INVESTMENTS IN SECURITIES

     The Company follows SFAS No. 115, "Accounting for Certain Investments in
Debt and Equity Securities," in accounting for its security investments. In
accordance with SFAS No. 115, the Company's investments in securities have been
classified as available for sale because they are being held for an indefinite
period of time. Under the available for sale classification, the securities are
recorded as an asset at current market value in the balance sheet with an equal
amount representing unrealized gains recorded as a component of stockholders'
equity. The current market value is derived from published newspaper quotations
as of December 31, 2000, and September 30, 2000. At the time if sale, a gain or
loss is recognized in the statement of operations using the cost basis of
securities sold as determined by specific identification,

FINANCIAL INSTRUMENTS

Concentration of Credit Risk
----------------------------

     Financial instruments, which potentially subject the Company to significant
concentrations of credit risk, consist principally of cash, trade receivables
and investments in securities.

                                       10

<PAGE>


Item 1.  Financial Statements. (Continued)

                    MONUMENT RESOURCES, INC. AND SUBSIDIARIES
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (CONTINUED)

NOTE 1 -- ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
(CONTINUED)

     The Company maintains cash with various financial institutions. The Company
periodically evaluates the financial standing of these institutions and believes
the credit risk to be minimal.

     The Company has recorded trade accounts receivable from the business
operations. The Company periodically evaluates the collectibility of trade
receivables and believes the receivables to be fully collectible and the credit
risk to be minimal.

     The Company's investment in U.S. Government securities and other corporate
bonds is subject to moderate price volatility due to interest rate changes;
however, realization of these investments has minimal risk. The Company's
investment in common stock of two companies is subject to substantial price
volatility due to the nature of Canadian stock markets, the nature of the
extractive industries business and variations in the Canadian dollar exchange
rate.

Fair Value
----------

     The carrying amount of the Company's financial instruments is equivalent to
their fair value as follows:

     Cash and cash equivalents -- The carrying amount approximates fair value
     because of the short maturities of these instruments.

     Marketable securities -- The carrying amounts approximate the fair value
     because the securities are valued at the market prices based on published
     trading price information and was accounted for using the available for
     sale accounting method.

NOTE 2 -- ESTIMATES AND RISKS

     The process of preparing financial statements in conformity with generally
accepted accounting principles requires the use of estimates and assumptions
regarding certain types of assets, liabilities, revenues and expenses. Such
estimates primarily relate to impairments of mineral and oil and gas properties,
oil and gas reserves and future dismantlement, restoration and abandonment
costs. The actual future results in the above areas may differ from the
estimated amounts.

                                       11

<PAGE>


Item 1.  Financial Statements. (Continued)

                    MONUMENT RESOURCES, INC. AND SUBSIDIARIES
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (CONTINUED)

NOTE 2 -- ESTIMATES AND RISKS (CONTINUED)

     Financial statement accounts, which potentially subject the Company to
concentrations of credit risk, consist primarily of cash and investments in
securities. The Company attempts to deposit its cash with high quality financial
institutions in amounts less than the federal insurance limit of $100,000 in
order to limit credit risk. The Company's investment in bonds is considered to
have minimum credit risk since they are U.S. government instruments. The
Company's investments in common stock are considered to have substantial credit
risk since the stock is in companies without a long history of successful
operations and whose market values are variable and cyclical.

     The mining and oil and gas industries are subject, by their nature, to
environmental hazards and cleanup costs for which the Company carries
catastrophe insurance. At this time, management knows of no substantial costs
from environmental accidents or events for which it may be currently liable. In
addition, the Company's oil and gas business makes it vulnerable to changes in
wellhead prices of crude oil and natural gas, Such prices have been volatile in
the past and can be expected to be volatile in the future. By definition, proved
reserves are based on current oil and gas prices. Price declines reduce the
estimated quantity of proved reserves and increase annual amortization expense
(which is based on proved reserves).

NOTE 3 -- INVESTMENTS IN SECURITIES

     The Company has recorded its investment in 75,000 shares of Southern Africa
Minerals Corporation ("SAMC") (Toronto Exchange), a Canadian company, and
380,000 shares of PlayFair Mining, Ltd. ("PlayFair") (formerly LayField
Resources, Inc.) (Vancouver Exchange), a Canadian company, at fair value in
accordance with SFAS No. 115, "Accounting for Certain Investments in Debt and
Equity Securities." During the quarters ended December 31, 2000 and 1999, the
Company sold no shares of stock. Based on the demonstrated liquidity and
marketability if the PlayFair and SAMC shares, and in accordance with SFAS No.
115, the Company has recorded its investments in the stocks based on published
market listings and on the closing bid price in the stocks' respective
exchanges. These shares are classified by the Company as available for sale and
non-current, since such sale may not necessarily be consummated in the near
term.

     The Company's investment in debt securities consists of various U.S.
government financial instruments and other corporate bonds. The Company
considers these bonds to be currently available for sale and has no timetable
for sale or redemption. Nevertheless, the Company does not expect to hold the
bonds to maturity,

                                       12

<PAGE>


Item 1.  Financial Statements. (Continued)

                    MONUMENT RESOURCES, INC. AND SUBSIDIARIES
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (CONTINUED)

NOTE 3 -- INVESTMENTS IN SECURITIES (CONTINUED)

Investments in securities are summarized as follows at December 31, 2000:

                                                  Unrealized           Fair
                                                  Gain (Loss)          Value
                                                   --------           --------
Available-for-sale securities:
     Common stock                                  $ 48,925           $ 57,514
     Debt securities (maturing in 1 to 21 years)     (9,132)           242,488
                                                   --------           --------

                                                   $ 39,793           $300,002
                                                   ========           ========

Investments in securities are summarized as follows at September 30, 2000:

                                                  Unrealized           Fair
                                                  Gain (Loss)          Value
                                                   --------           --------
Available-for-sale securities:
     Common stock                                  $ 58,588           $ 60,991
     Debt securities (maturing in 1 to 18 years)     (5,655)           192,003
                                                   --------           --------

                                                   $ 52,933           $252,994
                                                   ========           ========

NOTE 4 -- NOTE RECEIVABLE

     Pursuant to a Note and Deed of Trust effective July 1, 1999, the Company
sold its interest in the East Voss property in Knox County, Texas. The purchaser
was required to pay us the sum of $40,000 plus interest in three installments of
$14,350 on June 27, 2000, September 30, 2000 and December 30, 2000. The first
two payments were made, however the final payment due December 30, 2000 is owing
and delinquent. Legal counsel for the Company is confident that the payment will
be made upon the clearing of a minor title defect which is being rectified.
Management anticipates that the payment will be received during the second
quarter ending March 31, 2001.

                                       13

<PAGE>


Item 1.  Financial Statements. (Continued)

                    MONUMENT RESOURCES, INC. AND SUBSIDIARIES
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (CONTINUED)

NOTE 5 -- MINERAL PROPERTIES

DOBLER PROSPECT, BROADWATER COUNTY, MONTANA

     The Dobler prospect, with capitalized costs of $59,520 at December 31,
2000, and September 30, 2000, consists of 80 acres of fee simple land (including
minerals) and mineral rights to the 280 surrounding acres.

     The Company is trying to locate joint venture opportunities to further
explore the property and has considered selling the property. Alternative uses
of the mineral property are supplying flux to a nearby smelter or selling the
property as ranch land. The property's value as ranch land or as a homesite
approximates the Company's capitalized costs in the prospect.

WISCONSIN MINE PROPERTY, BRITISH COLUMBIA, CANADA

     The Company's Wisconsin Mine Property consists of two patented gold mining
claims covering approximately 64 acres. An alternative use for the property is
the sale for its real estate value. The fair value of the property approximates,
at minimum, the capitalized cost of $33,198 at December 31, 2000, and September
30, 2000.

ALL MINERAL PROPERTIES

     Total mineral costs for all properties capitalized were $92,718 as of
December 31, 2000, and September 30, 2000.

                                       14

<PAGE>


Item 1.  Financial Statements. (Continued)

                    MONUMENT RESOURCES, INC. AND SUBSIDIARIES
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (CONTINUED)

NOTE 6 -- PROPERTY AND EQUIPMENT

     The following is a summary of property and equipment at cost, less
accumulated depreciation:

                                             December 31,         September 30,
                                                 000                  2000
                                             (Unaudited)
                                              ----------           ----------

Land                                          $   12,500           $   12,500
Machinery and equipment                           77,885               77,885
                                              ----------           ----------
     Total                                        90,385               90,385

Less:  Accumulated depreciation                  (62,913)             (59,313)
                                              ----------           ----------
     Net property and equipment                   27,472               31,072
                                              ----------           ----------
Pipeline                                         300,000              300,000

Less:  Accumulated depreciation                 (123,111)            (116,978)
                                              ----------           ----------
     Net pipeline                                176,889              183,022
                                              ----------           ----------
     Net property and equipment               $  204,361           $  214,094
                                              ==========           ==========


     Depreciation expense charged to operations was $9,733 for the first quarter
ended December 31, 2000 and $38,804 for the fiscal year ended September 30,
2000.

     The useful lives of property and equipment for purposes of computing
depreciation are:

         Machinery and equipment         5 years
         Pipeline                        Useful life of related gas production,
                                         approximately 5 to 7 years

                                       15

<PAGE>


Item 1.  Financial Statements. (Continued)

                    MONUMENT RESOURCES, INC. AND SUBSIDIARIES
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (CONTINUED)

NOTE 7 -- STOCKHOLDERS' EQUITY

     The Company's amended Articles of Incorporation authorize the issuance of
1,000,000 shares of preferred stock with no par value. The preferred stock may
be issued from time to time with such designation, rights, preferences and
limitations as the Board of Directors may determine by resolution. As of
December 31, 2000, no shares of preferred stock had been issued.

NOTE 8 -- STOCK OPTION PLANS

     During 2000, the Company adopted a new Stock Option Plan (the "2000 Plan").
The exercise price of the shares covered by options granted pursuant to the 2000
Plan may not be less than the fair market value of the common stock on the grant
date. Further, the exercise price shall not be less than 110% of the fair market
value of the common stock on the day of grant if the optionee owns 10% or more
of the Company's common stock. With respect to each individual option granted
under the 2000 Plan, the Board of Directors will determine separately the number
of shares, the option period, and the limitations which will apply to the
exercise of options. As of December 31, 2000, the Company had an aggregate of
750,000 common shares reserved for issuance under the 2000 Plan. Additionally,
as of December 31, 2000, options to purchase 450,000 common shares had been
granted to three board members, an employee and a consultant.

     The Company applies SFAS No. 123 in accounting for options granted to
consultants. Accordingly, the fair value of each option granted to the
consultant is estimated on the date of grant using the Black-Scholes
option-pricing model with the following weighted average assumptions: no
dividend yield, expected volatility of 100%, risk free interest rates of 8.5%
and expected lives of 5 years. Based on the model, $3,572 of compensation
expense was recorded at September 30, 2000 for the grant of options to the
consultant in conformity with SFAS No. 123 requirements.

                                       16

<PAGE>


Item 1.  Financial Statements. (Continued)

                    MONUMENT RESOURCES, INC. AND SUBSIDIARIES
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (CONTINUED)

NOTE 8 -- STOCK OPTION PLANS (CONTINUED)

     The following schedule summarizes information with respect to options
granted under the Company's equity plans:

                                         Number             Weighted Average
                                           of               Exercise Price of
                                         Shares             Shares Under Plans
                                        -------             ------------------
Outstanding December 31, 1999              --                      --
Granted                                 450,000                $   .15
Exercised                               450,000                    --
Forfeited or expensed                      --                      --
                                        -------                -------
Outstanding September 30, 2000          450,000                    .15
Granted                                    --                      --
Exercised                                  --                      --
Forfeited or expensed                      --                      --
                                        -------                -------
Outstanding December 31, 2000           450,000                $   .15
                                        =======                =======

     The Company applies APB 25 in accounting for options granted to employees
and directors.

NOTE 9 -- SEGMENT INFORMATION

     The Company operates in three industry segments within the United States:
(1) oil and gas exploration and development, (2) mineral exploration and
development, and (3) gas transmission pipeline.

     Identified assets by industry are those assets that are used in the
Company's operations in each industry. Corporate assets are principally cash,
investment securities, furniture, and fixtures.

     During fiscal 1999, the Company adopted SFAS No. 131, "Disclosures about
Segments of an Enterprise and Related Information." The adoption of SFAS No. 131
requires the presentation of descriptive information about reportable segments
which is consistent with that made available to the management of the Company to
assess performance.

                                       17

<PAGE>


Item 1.  Financial Statements. (Continued)

                    MONUMENT RESOURCES, INC. AND SUBSIDIARIES
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (CONTINUED)

     The oil and gas segment derives its revenues from the sale of oil and gas.
The mining segment receives its revenues primarily from the sale of minerals and
precious metals and from time to time from the sale of a mineral venture that it
has originated. Corporate income is primarily derived from interest income on
funds held in money market accounts and the sale of securities. The pipeline
segment derives revenue from the sale of natural gas from the Company's gas
field in Leavenworth, Kansas.

     During the three months ended December 31, 2000, there were no intersegment
revenues. The accounting policies applied by each segment are the same as those
used by the Company in general.

     Net sales to one customer of the gas transmission pipeline segment totaled
$181,098 or approximately 95% of revenues for the three months ended December
31, 2000.

     There have been no differences from the last annual report in the bases of
measuring segment profit or loss. There have been no material changes in the
amount of assets for any operating segment since the last annual report.

                                       18

<PAGE>
<TABLE>
<CAPTION>


Item 1.  Financial Statements. (Continued)

                                MONUMENT RESOURCES, INC. AND SUBSIDIARIES
                               NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                               (CONTINUED)

NOTE 9 -- SEGMENT INFORMATION (CONTINUED)

For the Quarters Ending December 31, 2000 and 1999 Segment information  consists
of the following:

                           Oil and Gas         Pipeline       Mining       Corporate        Consolidated
                           -----------         --------       ------       ---------        ------------
Revenues
     <S>                  <C>                  <C>          <C>            <C>               <C>
     2000                 $     56,971        $ 124,127           --       $    9,579        $  190,677
     1999                       47,588           35,339           --            3,760            86,687

Income (Loss)
From Operations
     2000                 $      2,304        $  88,559           --       $  (41,857)       $   49,006
     1999                      (33,323)           5,061           --          (45,050)          (73,312)

Identifiable Assets
     2000                 $    685,583        $ 258,203      $  92,718     $  425,439        $1,461,943
     1999                    1,018,242          237,382        127,838        326,490         1,709,952

Depreciation, Depletion
and Valuation Charged
to Identifiable Assets
     2000                 $     14,675        $   8,798           --       $      120        $    23,593
     1999                       27,788             --             --               24             27,812

Capital Expenditures
     2000                 $      9,369             --             --             --          $     9,369
     1999                        1,769             --             --             --                1,769



NOTE 10 -- OIL AND GAS ACTIVITIES

GALVAN RANCH PROPERTY, WEBB COUNTY, TEXAS

     The Company recorded a $245,000 write down of the undeveloped portion of
the property for the year ended September 30, 2000. This write down was due to
the failure of the property's operator to continue the leases on nearly 68,000
acres and thus the Company was deprived of the potential development of these
leases. We are currently reviewing with counsel the legal options the Company
may have.

                                                   19
</TABLE>

<PAGE>


Item 1.  Financial Statements. (Continued)

                    MONUMENT RESOURCES, INC. AND SUBSIDIARIES
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (CONTINUED)

NOTE 10 -- OIL AND GAS ACTIVITIES (CONTINUED)

KANSAS GAS PROJECT -- LEAVENWORTH COUNTY, KANSAS

     During the quarter ended December 31, 2000, the Company recompleted three
wells in the Leavenworth gas project. Additional zones were perforated and
stimulated in the upper and lower McLouth formation. Overall results have been
positive and should result in a modest increase in gas volumes and reserves.
Based on these results, the Company plans to work over and recomplete additional
wells as the weather permits.

EAST VOSS OIL PROPERTY -- KNOX COUNTY, TEXAS

     The Company sold its interest in the East Voss property as of July 1, 1999.
The purchasers of the property have failed to make the final cash payment of
approximately $14,000 due on December 31, 2000, but are expected to make the
payment during the second fiscal quarter ending March 31, 2001. A minor title
defect has caused the payment delay. The Company's legal counsel is confident
that the title defect will be cleared and the payment received. Upon the
completion of the title work, the Company should receive the back royalties it
is due for the East Voss property, expected to be in excess of $5,000.

                                       20

<PAGE>


 Item 2. Financial Statements.

                    MONUMENT RESOURCES, INC. AND SUBSIDIARIES
                     MANAGEMENT'S DISCUSSION AND ANALYSIS OF
                  FINANCIAL CONDITION AND RESULTS OF OPERATIONS

LIQUIDITY AND CAPITAL RESOURCES

     As of December 31, 2000, the Company had a total of $102,298 in cash and
$412,098 in working capital compared to $78,831 in cash and working capital of
$358,531 at September 30, 2000. This represents an increase of $23,467 in cash
primarily because of a $12,793 gain on investment in securities and an increase
in the price received for natural gas. The working capital increase was the
result of greatly improved prices received from the sale of oil and gas while
operating costs remained constant.

     At the present time, the Company's primary source of cash for operations
and exploration is its current working capital, cash which can be raised by
selling shares held for investment or its investment in U.S. government treasury
securities and other corporate bonds and funds derived from its oil and gas
operations. The Company has, in the past, and plans in the future, to rely on
joint venture partners or equity funding to supply most of the funds needed to
evaluate and develop its properties. Any inability of the Company to raise
additional capital through a stock offering, to liquidate its securities
holdings or obtain third-party funding may limit development of most of its
properties.

     Although the Company intends to use joint venture or equity funding to
explore, acquire and, if warranted, develop its properties, the natural resource
business is nevertheless very capital intensive.

     The Company continues to seek joint venture financing for its properties
and to acquire properties with near-term revenue generating capability.
Management's efforts to evaluate, identify and/or acquire such
revenue-generating prospects and to further develop its existing properties have
been ongoing during this past year, and, while management is optimistic, there
is no assurance that the Company will be successful in securing the required
capital.

RESULTS OF OPERATIONS

     Revenue from oil, gas and pipeline sales increased significantly for the
quarter ended December 31, 2000. Oil and gas sales increased 20% or $9,383, from
$47,588 to $56,971. Pipeline sales were $35,339 during the quarter ended
December 31, 1999 and $124,127 for the quarter ended December 31, 2000, an
$88,788 or 250% increase. Interest of $6,170 and other remained constant while
the Company realized a $6,623 gain on maturing bonds, oil and gas and pipeline
operating costs increased approximately $5,000 or 8% from December 31, 1999 to
December 31, 2000. This small increase was the result of an ongoing workover
program being conducted on our Kansas properties.

                                       21

<PAGE>


Item 2.  Financial Statements.

                    MONUMENT RESOURCES, INC. AND SUBSIDIARIES
                     MANAGEMENT'S DISCUSSION AND ANALYSIS OF
                  FINANCIAL CONDITION AND RESULTS OF OPERATIONS
                                   (CONTINUED)

RESULTS OF OPERATIONS (CONTINUED)

     General and administrative expenses totaled $50,621 for the quarter ended
December 31, 2000, compared to $48,786 for the three month period ended December
31, 1999. The fairly constant general and administrative costs when comparing
the two periods reflects management's continuing efforts to contain costs
whenever possible.

                                       22

<PAGE>


                    MONUMENT RESOURCES, INC. AND SUBSIDIARIES
                          PART II -- OTHER INFORMATION

ITEM 1.  LEGAL PROCEEDINGS

         N/A

ITEM 2.  CHANGES IN SECURITIES

         N/A

ITEM 3.  DEFAULTS UPON SENIOR SECURITIES

         N/A

ITEM 4.  SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

         N/A

ITEM 5.  OTHER INFORMATION

         N/A

ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K

         (a)  Reports on Form 8-K.  None.

                                       23

<PAGE>


                    MONUMENT RESOURCES, INC. AND SUBSIDIARIES
                                   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.

                                            MONUMENT RESOURCES, INC.
                                            (Registrant)


Date:  February 12, 2001                    By:  /s/  A.G. Foust
                                               --------------------------------
                                                      A.G. Foust, President
                                                      (Chief Executive Officer,
                                                      Principal Financial and
                                                      Accounting Officer) and
                                                      a Director





                                       24