# UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549

# FORM 10-QSB

| | [X] | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended July 31, 2002
OR
| | --- | ---------------------------------------------------------------------------------------------------------------------------------------



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

COMMISSION FILE
NUMBER 0-27659

URANIUM
POWER CORPORATION
(Exact name of small business issuer as specified in its charter)

Colorado   
              
              
              
              
          
        None
              
              
    (State or other jurisdiction of    
              
             
   (I.R.S. Employer Identification No.)
              
              
     incorporation or organization)

206-475
Howe Street, Vancouver, British Columbia, Canada V6C 2B3
(Address of principal executive offices)

(604)
685-8355(Issuers
telephone number)

Check whether the
registrant (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  [  ]

The number of shares
outstanding of the issuers classes of common equity, as of August 23, 2002
is 12,024,500 shares of Common Stock.

Transitional Small Business
Disclosure Format (check one):     Yes 
[  ]     No  [X]

---

URANIUM POWER
CORPORATION
(An Exploration Stage Company)
Consolidated Financial Statements
For The Three Months Ended July 31, 2002
(Unaudited - Prepared by Management)
(U.S. Dollars)

`INDEX                                         Page
                                        -----                                         ----


PART I. FINANCIAL INFORMATION

         Item 1. Financial Statements                                                    3

              Consolidated Balance Sheets (U.S. Dollars) as of July 31, 2002
              (UNAUDITED) and April 30, 2002                                             3

              Consolidated Statements of Operations (U.S. Dollars)
              for the three months ended July 31, 2002 (UNAUDITED) and 2001              4

              Consolidated Statements of Stockholders' Equity (Deficiency)
              (U.S. Dollars) for the three months ended July 31, 2002 (UNAUDITED)
              and year ended April 30, 2002                                              5

              Consolidated Statements of Cash Flows for the three months
              ended July 31, 2002 and 2001                                               6

              Notes to Consolidated Financial Statements                                 7

         Item 2. Management's Discussion and Analysis of Financial
                  Conditions and Plan of Operations                                     16

PART II. OTHER INFORMATION

         Item 2. Recent Sales of Unregistered Securities                                21

         Item 5. Other Information                                                      21

         Item 6. Exhibits and Reports on Form 8-K                                       21

         Signatures                                                                     22

         Certifications                                                                 23`

---

PART I.
FINANCIAL INFORMATION
Item 1. Financial Statements

URANIUM
POWER CORPORATION
(An Exploration Stage Company)
Consolidated Balance Sheets
For The Three Months Ended July 31, 2002 and April 30, 2002
(Unaudited - Prepared by Management)
(U.S. Dollars)

`July 31,     April 30,
                                                                        2002         2002
                                                                     ----------    --------
                                                                     (unaudited)  (audited)

                                     ASSETS

Current
  Cash ...........................................................   $  29,147    $  37,154
  Accounts Receivable ............................................       3,964        6,271
  Due from Anhydride Petroleum Limited Partnership ...............      19,181         --
                                                                     ---------    ---------
                                                                        52,292       43,425
Properties (note 4) ..............................................     803,963      747,171
Investment in Uranium Holdings Corporation (note 4) ..............         815          815
                                                                     ---------    ---------
                                                                     $ 857,070    $ 791,411
                                                                     =========    =========

                                  LIABILITIES

Current
  Accounts Payable ...............................................  $  180,297    $  72,073
Due to Uranium Holdings Corporation ..............................       7,825       16,856
Due to Related Parties (note 8) ..................................     529,104      444,956
                                                                     ---------    ---------
                                                                       717,226      533,885
                                                                     ---------    ---------

                              STOCKHOLDERS' EQUITY

Capital Stock
  Authorized
    40,000,000 Common stock with a par value of $0.001 each
    10,000,000 Preferred stock with a par value of $0.001 each
  Issued
     12,024,500 Common stock (note 7) ............................      12,025       11,985
Subscriptions Received (note 9) ..................................     112,500      112,500
Treasury Stock (note 7) 23,000 Common stock ......................         (23)         (23)
Additional Paid-in Capital .......................................   1,161,948    1,149,988
Deficit Accumulated During Exploration Stage .....................  (1,150,396)  (1,020,714)
Other Comprehensive Income .......................................       3,790        3,790
                                                                     ---------    ---------
                                                                       139,844      257,526
                                                                     ---------    ---------

                                                                     $ 857,070    $ 791,411
                                                                     =========    =========
Commitments (note 10)`

See notes to consolidated
financial statements.

---

URANIUM POWER
CORPORATION
(An Exploration Stage Company)
Consolidated Statements of Operations
Three Months Ended July 31, 2002 and 2001
(Unaudited - Prepared by Management)
(U.S. Dollars)

`From
                                                                   inception on
                                                                   April 3, 1998
                                                                      through
                                     Three Months Ended July 31,      July 31,
                                          2002          2001           2002
                                          ----          ----       -------------

Expenditures
  Management Fee ...............   $    18,000    $       --     $   133,024
  Advertising and Promotion ....        48,959            --         162,799
  Consulting ...................           --             --         137,600
  Travel .......................        11,809            --          60,410
  Professional Fees ............        25,698            997        112,649
  Transfer Agent Fees ..........         1,635            395         16,488
  Rent .........................         1,459          1,548         21,874
  Office .......................         1,647            352         13,583
  Interest and Bank Charges ....            62            --             615
  Equity loss from investment ..           --             --          19,713
  Incorporation cost
    written off ................           --             --             700
  Exploration costs ............        20,413         54,014        436,800
  Write-off of Exploration
    Property ...................           --             --          34,141
                                   -----------    -----------    -----------
Net Loss for Period ............   $   129,682    $    57,306    $ 1,150,396
                                   ===========    ===========    ===========

Net Loss Per Share .............   $     (0.01)   $     (0.01)
                                   ===========    ===========

Weighted Average Number of
   Shares Outstanding ..........    12,000,587      7,047,500
                                   ===========    ===========`

See notes to consolidated
financial statements.

---

URANIUM POWER
CORPORATION
(An Exploration Stage Company)
Consolidated Statements of Stockholders' Equity (Deficiency) (U.S. Dollars)
For the Three Months Ended July 31, 2002 (unaudited) and Year Ended
April 30,2002

`Common Stock           Treasury Stock        Additional
                                            --------------------    ---------------------      Paid-in
                                            Shares     Par Value    Shares      Par Value      Capital
                                            ------     ---------    ------      ---------    ----------

Balance, April 30,  2001 ..............   7,047,500       7,048     (23,000)         (23)     608,725

Common stock issued for cash ..........     987,000         987        --            --       220,113
Subscriptions received ................        --          --          --            --          --
Stock option comprehensive
  expense .............................        --          --          --            --        77,600
Other comprehensive income ............        --          --          --            --          --
Common stock deemed to be issued
  (note 2) ............................   3,950,000       3,950        --            --       193,550
Warrants granted on purchase (note 2)..        --          --          --            --        50,000
Net loss ..............................        --          --          --            --          --
                                         ----------   ---------   ---------    ---------    ---------
Balance, April 30, 2002 ...............  11,984,500      11,985     (23,000)         (23)   1,149,988

Common Shares issued for cash .........      40,000          40        --            --        11,960
Net loss ..............................        --          --          --            --          --
                                         ----------   ---------   ---------    ---------    ---------

Balance July 31, 2002 .................  12,024,500   $  12,025     (23,000)   $     (23)  $1,161,948
                                         ==========   =========   =========    =========    =========

                                                                       Deficit
                                                                     Accumulated    Total
                                                         Other       During the  Stockholders'
                                       Subscriptions  Comprehensive  Exploration    Equity
                                         Received        Income         Stage    (Deficiency)
                                       -------------  -------------  ----------- -------------

Balance, April 30,  2001 ..............        --         3,534    (668,006)     (48,722)


Common stock issued for cash ..........        --          --          --        221,100
Subscriptions received ................    112,500         --          --        112,500
Stock option comprehensive
  expense .............................        --          --          --         77,600
Other comprehensive income ............        --           256        --            256
Common stock deemed to be issued
  (note 2) ............................        --          --          --        197,500
Warrants granted on purchase (note 2)..        --          --          --         50,000
Net loss ..............................        --          --      (352,714)    (352,708)
                                         ----------   ---------   ---------    ---------
Balance, April 30, 2002 ...............     112,500       3,790  (1,020,720)     257,526

Common Shares issued for cash .........        --          --          --         12,000
Net loss ..............................        --          --      (129,682)    (129,682)
                                         ----------   ---------   ---------    ---------

Balance July 31, 2002 .................  $  112,500   $   3,790  (1,150,402)   $ 139,844
                                          =========   =========   =========    =========`

See notes to consolidated
financial statements.

---

URANIUM POWER
CORPORATION
(An Exploration Stage Company)
Consolidated Statements of Cash Flows (U.S. Dollars)
(Unaudited  Prepared by Management)

`From
                                                                                    Inception on
                                                                                    April 3, 1998
                                               For the Three Months Ended July 31,    to July 31,
                                                       2002           2001               2002
                                                       ----           ----          -------------

Operating Activities
  Net loss ......................................   $(129,682)    $ (57,306)      $(1,150,396)
  Adjustments to reconcile net loss
  to net cash used in operating activities
    Compensation expenses .......................        --            --              77,600
    Exploration costs acquired for shares .......        --            --             137,331
    Equity loss from investment .................        --            --              19,713
    Financial services acquired for shares ......        --            --              60,000
    Write-down of exploration property ..........        --            --              34,141
Changes in Non-cash Working Capital
  Accounts Receivable ...........................     (16,874)         (202)          (23,145)
  Accounts Payable ..............................     108,224        38,850           219,164
                                                    ---------     ---------        ----------
                                                      (38,332)      (18,658)         (625,592)
                                                    ---------     ---------        ----------
Investing Activity
  Property acquisitions .........................     (56,792)         --            (565,603)
                                                    ---------     ---------        ---------
Financing Activities
  Issuance of shares for cash ...................      12,000          --             622,921
  Common stock returned to treasury .............        --            --             (15,212)
  Share issue costs .............................        --            --             (40,586)
  Advances for Uranium Holdings Corp ............      (9,031)         --               7,825
  Advances from related parties .................      84,148        33,270           529,104
  Subscriptions received ........................        --            --             112,500
                                                    ---------     ---------        ----------
                                                       87,117        33,270         1,216,552
                                                    ---------     ---------        ---------
Foreign Currency Translation ....................        --              14            3,790
                                                    ---------     ---------        ---------

Inflow (Outflow) of Cash ........................      (8,007)       14,626           29,147
Cash (cheques issued in excess of funds
   on deposit), Beginning of Period .............      37,154       (13,853)            --
                                                    ---------     ---------        ---------
Cash, End of Period .............................   $  29,147     $     773        $  29,147
                                                    =========     =========        =========
Non-Cash Financing Activities
  Common stock deemed to be issued
    for resource properties .....................   $    --       $    --          $ 432,665
                                                    =========     =========        =========
  Warrants granted on purchase of
    resource properties .........................   $    --       $    --          $  50,000
                                                    =========     =========        =========
  Common stock issued for services ..............   $    --       $    --          $  85,000
                                                    =========     =========        =========`

See notes to consolidated
financial statements.

---

## URANIUM POWER
CORPORATION
(An Exploration Stage Company)
Notes to Consolidated Financial Statements (U.S. Dollars)
For the Three Months Ended July 31, 2002
(Unaudited  Prepared by Management)

## 1.   
BASIS OF PRESENTATION

| | These
unaudited financial statements have been prepared in accordance with generally
accepted accounting principles in the United States of America for interim
financial information. These financial statements are condensed and do not
include all disclosures required for annual financial statements. The
organization and business of the Company, accounting policies followed by the
Company and other information are contained in the notes to the Companys
audited financial statements filed as part of the Companys April 30, 2002
Form 10KSB.
| | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | In
the opinion of the Companys management, these financial statements reflect
all adjustments necessary to present fairly the Companys financial
position at July 31, 2002 and April 30, 2002 and the results of operations and
the statement of cash flows for the three months ended July 31, 2002. The
results of operations for the three months ended July 31, 2002 are not
necessarily indicative of the results to be expected for the entire fiscal year.
| | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | These
consolidated financial statements include the accounts of the Company and its
wholly owned subsidiary, Anhydride Petroleum (USA) Inc. (Anhydride
USA) and Anhydride USAs wholly owned subsidiary Anhydride Petroleum
(Canada) Inc. (Anhydride Canada) acquired April 30, 2002.
| | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

## 2.   
GOING CONCERN

| | These
financial statements have been prepared in accordance with generally accepted
accounting principles on a going-concern basis. This presumes funds will be
available to finance on-going development, operations and capital expenditures
and the realization of assets and the payment of liabilities in the normal
course of operations for the foreseeable future. Management intends to raise
additional capital through share issuances to finance operations.
| | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | The
Company has minimal capital resources presently available to meet obligations,
which normally can be expected to be incurred by similar companies, and has a
stockholders equity of $139,844. These factors raise substantial doubt
about the Companys ability to continue as a going-concern and are
dependent on its ability to obtain and maintain an appropriate level of
financing on a timely basis and to achieve sufficient cash flows to cover
obligations and expenses. The outcome of these matters cannot be predicted.
These financial statements do not give effect to any adjustments to the amounts
and classification of assets and liabilities, which might be necessary should
the Company be unable to continue as a going concern.
| | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

## 3.   
LOSS PER SHARE

| | Net
loss per share computations is based on the weighted average number of shares
outstanding during the period.
| | ----------------------------------------------------------------------------------------------------------------

---

## URANIUM POWER
CORPORATION
(An Exploration Stage Company)
Notes to Consolidated Financial Statements (U.S. Dollars)
For the Three Months Ended July 31, 2002
(Unaudited  Prepared by Management)

## 4.   
PROPERTIES

`Hocking Lake and  Northern Mining
                               Firebag      Athabasca Oil   Henday Lake        District
                               Prospect        Prospect      Properties     Saskatchewan        Total
                             (note 4(f))     (note 4(e))    (note 4(a))
------------------------------------------------------------------------------------------------------
Balance April 30, 2001      $     --        $     --       $         1       $    34,141    $   34,142
Acquisition of property         26,769         720,401            --               --          747,170
Write-off exploration
   Property                       --              --              --             (34,141)      (34,141)
                             ---------       ---------       ---------        ----------     ---------
Balance April 30, 2002          26,769         720,401               1             --          747,171
Acquisition of Property           --            56,792            --               --           56,792
                             ---------       ---------       ---------        ----------     ---------
Balance July 31, 2002       $   26,769       $ 777,193     $         1       $     --       $  803,963
                             =========       =========       =========        ==========     =========`

|(a) | Hocking Lake Property and Henday Lake Property
|--- | ----------------------------------------------

| | By
agreement dated April 13, 1998, the Company acquired all the assets of Athabasca
Uranium Syndicate (a British Columbia, Canada syndicate), which consisted of
cash and the Hocking Lake Property, and Henday Lake Property. These properties
were acquired in 1997 by the syndicate for $59,459 (CDN - $82,270) and are
reflected in the financial statements at the sellers historical cost, as
the sellers are the controlling stockholders.
| | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | Consideration
given to the members of the syndicate was 6,000,000 common stock of the Company
at a par value of $0.001 each. The cost of the assets acquired totalled $97,834.
| | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | The
Henday Lake Property was transferred to Uranium Holdings Corporation in December
2000 (note 6(d)). As of April 30, 2002 all claims related to the Hocking Lake
Property had lapsed.
| | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

---

## URANIUM POWER
CORPORATION
(An Exploration Stage Company)
Notes to Consolidated Financial Statements (U.S. Dollars)
For the Three Months Ended July 31, 2002
(Unaudited  Prepared by Management)

4.   
PROPERTIES (Continued)

|(b) | Saskatchewan Uranium Property
|--- | -----------------------------

| | By
agreement dated December 16, 1998, the Company has options to acquire a 100%
interest in 11 mining claims in Saskatchewan, Canada, upon incurring cumulative
expenditures of approximately $338,000 (CDN - $500,000) by May 31, 2000 as
amended and an additional approximate $1,712,000 (CDN - $2,500,000) by December
31, 2002. The optioner can earn back a 35% interest by incurring cumulative
expenditures of not less than approximately $2,054,000 (CDN - $3,000,000) before
December 31, 2006. A royalty is payable at 2% of gross value (as defined) of
production if the optioner does not earn back the 35% interest.
| | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | By
an agreement dated March 24, 1999, between the Company and Pacific Amber
Resources Ltd. (Pacific), the latter will earn a 50% interest in the
Saskatchewan Uranium Properties and all of the Companys rights, licences
and permits pertinent thereto held for the specific use and enjoyment thereof by
completing the initial program and incurring $325,000 (CDN - $500,000) in
expenditures on or before December 31, 1999, as amended. A total of
approximately $324,000 (CDN - $498,250) was incurred as of April 30, 2000. In
return, the Company issued the optionee 200,000 common stock at a deemed value
of $0.65 each.
| | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | All
exploration costs incurred on these properties have been expensed as incurred
resulting in no recognition of an asset on the balance sheet. As a result of
this policy, the transfer of a 50% interest to Pacific resulted in no gain or
loss, as there were no proceeds from the disposition. Additionally, the
Companys issuance of 200,000 shares to Pacific was expensed as exploration
costs when incurred.
| | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | As
of April 30, 2002, three claims related to these properties remain in good
standing.
| | ---------------------------------------------------------------------------------------

|(d) | Uranium Holdings Corporation
|--- | ----------------------------

| | Pursuant
to a letter of intent dated December 1, 2000 with one of its stockholders, the
Company transferred all its rights to the Henday Lake Property to a newly formed
company, Uranium Holdings Corporation (UHC), a Nevada Corporation,
in exchange for $131,183 (CDN - $199,713) to be spent on the Henday Lake
Property and 20% of the equity of UHC.
| | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | As
part of the agreement, the Company executed a note in favour of UHC for $38,005
(CDN - $58,376). The note is non-interest bearing and payable on demand upon the
closure of the sale of controlling interest in the Company to a third party, or
at such time as the Company acquires funds from another source.
| | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

---

## URANIUM POWER
CORPORATION
(An Exploration Stage Company)
Notes to Consolidated Financial Statements (U.S. Dollars)
For the Three Months Ended July 31, 2002
(Unaudited  Prepared by Management)

4.   
PROPERTIES (Continued)

| | The
Company will continue to hold a 20% interest in the claims transferred to UHC
regardless of the equity issued subsequent to the incorporation of UHC. The
Company shall have a carried interest in the claims until such time as a total
of $163,334 (CDN - $250,000) inclusive of the $94,080 (CDN - $144,000) required
for the first work program has been expended. As of April 30, 2002, $145,084 had
been spent on the property.
| | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | Subsequent
to such expenditure, the Company shall retain the right to participate on the
same basis as the investors in future expenditure programs on a pro-rata basis.
Should the Company not provide the requested funds within 30 days of written
demand, the Companys 20% interest shall be reduced in such manner as may
reasonably be negotiated between the parties.
| | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(e) | Athabasca
Oil Project
|--- | ---------------------

| |  | (a) | During the year ended April 30, 2002, the Company signed an Option Agreement
with October Sun, a Nevada Corporation (October Sun) to purchase all the
issued and outstanding shares in the capital stock of Anhydride Canada owned by
October Sun. Anhydride Canada owns certain petroleum and natural gas parcels and
rights in the Province of Alberta, Canada. Consideration was as follows:
| |  | --- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | (i) | payment of $75,000 (paid);
| | --- | --------------------------

| | (ii) | issue of transferable share purchase warrants (issued) for 1,000,000 shares of
the Company at $0.01 per share exercisable on or before July 25, 2003 to third
parties;
| | ---- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | (iii) | commit to pay all costs to a maximum of $60,000 for completion or abandonment of
an existing well that Anhydride Canada had the rights to explore; and
| | ----- | ------------------------------------------------------------------------------------------------------------------------------------------------------

| | (iv) | issue options to third parties, entitling 500,000 shares of common stock of the
Company, to be purchased at $0.27 per share, until August 21, 2006 (issued).
| | ---- | ------------------------------------------------------------------------------------------------------------------------------------------------------------

| |  | (b) | The Company completed the following to exercise the option:
| |  | --- | -----------------------------------------------------------

| | (i) | delivered $100,000 by way of demand promissory note to October Sun (note 8);
| | --- | ----------------------------------------------------------------------------

| | (ii) | assumed the obligations of Anhydride Canada of a promissory note of $192,700
(CDN - $300,000) and a bonus of $64,230 (CDN - $100,000) to the lenders; (this
obligation has been paid off in full);
| | ---- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | (iii) | deemed to be issued to the private company or assigns 3,950,000 shares;
| | ----- | -----------------------------------------------------------------------

| | (iv) | granted October Sun a transferable warrant to subscribe for 500,000 shares at
$0.01 per share for a one year period following the successful test of the
initial well. This warrant was cancelled and replaced by one for 600,000 shares
on similar terms to a third party (note 6)
| | ---- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

---

## URANIUM POWER
CORPORATION
(An Exploration Stage Company)
Notes to Consolidated Financial Statements (U.S. Dollars)
For the Three Months Ended July 31, 2002
(Unaudited  Prepared by Management)

4.   
PROPERTIES (Continued)

| | The
Athabasca Prospect is located adjacent to the city of Fort McMurray, which is
located in the northeast part of the Province of Alberta. Canada. The prospect
is comprised of four Alberta petroleum and natural gas licenses covering 97
sections of land (62,080 acres). Three of the licenses were acquired by
Anhydride Canada directly from the Government of the Province of Alberta and
pertain to petroleum and natural gas below the Woodbend formation. Separately
Anhydride Canada holds the right to earn an interest in another license,
covering one section of land below the base of Precambrian formation, which
contains a suspended well (the 7-32 Well). This right is subject to
the Company beginning a $156,250 (CDN $250,000) testing program on the 7-32 Well
on or before September 30, 2002.
| | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | The
Company holds a 46.53% to 52.86% working interest after payout in the Athabasca
Prospect, subject to the 9.5% gross overriding royalty and government royalties,
and may be increased if certain elections that other interest holders have are
not exercised. These interests may also be reduced pursuant to interests under
Farmout Agreements (note 9).
| | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | Included
in accounts payable is $56,792 ($88,596 Cnd.) related to annual rental payments
for the three licences held by Anhydride Canada which were paid subsequent period
end.
| | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|(f) | Firebag Prospect
|--- | ----------------

| | The
Firebag Prospect is located roughly 85 kilometres northeast of the town of Fort
McMurray in the Province of Alberta and is comprised of two Alberta petroleum
and natural gas licenses (below base of Woodbend formation) amounting to 31
sections of land.
| | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | The
Company holds a 63.28% to 64.84% working interest after payout in the Firebag
Prospect, subject to the 9.5% gross overriding royalty and government royalties,
and may be increased if certain elections that other interest holders have are
not exercised. These interests may also be reduced pursuant to interests earned
under Farmout Agreements (note 9).
| | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

## 5.   
STOCK OPTION PLAN

| | The Company has adopted an incentive and a non-statutory stock option plan
effective June 15, 2000 whereby up to 1,200,000 shares of common stock may be
optioned. The stock option plan has not been adopted or ratified by
stockholders. Incentive options granted will have an exercise price of not less
than 100% of fair market value (as defined) per share on the date of grant.
Incentive options may be granted for a period of ten years following the
effective date of the plan, except incentive options granted to persons owning
more than 10% of the combined voting stock of all classes, in which the case is
five years and once granted, the options terminate ten years following the date
of grant, with certain exceptions.
| | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

---

## URANIUM POWER
CORPORATION
(An Exploration Stage Company)
Notes to Consolidated Financial Statements (U.S. Dollars)
For the Three Months Ended July 31, 2002
(Unaudited  Prepared by Management)

5.   
STOCK OPTION PLAN (Continued)

| | The Company has granted 1,200,000 options to acquire that same number of shares
under the 2000 plan at $0.27 per share until August 21, 2006 and 150,000 options
to acquire the same number of shares at $0.50 per share until March 31,
2003.
| | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

## 6.   
WARRANTS

| | The
Company has issued 1,000,000 warrants at $0.01 per share, to acquire the same
number of shares before July 25, 2003.
| | ------------------------------------------------------------------------------------------------------------------------

| | The
Company also issued 600,000 warrants at $0.01 per share, to acquire the same
number of shares. The exercises of the warrants is subject to a successful well
being drilled on either the Athabasca or Firebag prospects and expire on the
earlier of one year following the successful completion of a well and August 30,
2004. A successful well is defined as a well that continually produces
commercial quantities of petroleum substances for a period of not less than 30
consecutive days.
| | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | During
the period the Company issued 1,500,000 transferable warrants whereby up to
750,000 common shares at a price of $0.50 per share for a period of one year
ending July 11, 2003, maybe issued. These warrants are subject to certain
conditions being met, see Farmout Agreements (note 9).
| | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

## 7.   
COMMON STOCK

| | Issued
| | ------

| | Included
in the issued common stock of 12,024,500 are 3,950,000 common shares deemed to
have been issued April 30, 2002 on the acquisition of the Athabasca Oil Project
(note 4(c)).
| | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | Treasury stock
| | --------------

| | During
the year ended April 30, 2000 the Company purchased 23,000 shares of its common
stock from the original owners who had acquired the shares prior to April 30,
2000 in a private placement. The common stock was purchased for the same amount
as the proceeds from original issue.
| | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

---

## URANIUM POWER
CORPORATION
(An Exploration Stage Company)
Notes to Consolidated Financial Statements (U.S. Dollars)
For the Three Months Ended July 31, 2002
(Unaudited  Prepared by Management)

7.   
COMMON STOCK (Continued)

| | Subscriptions received
| | ----------------------

| | The
Company received $150,000 in share subscriptions pertaining to a private
placement of 1,500,000 shares at $0.10 per share of which 375,000 shares have
been issued to April 30, 2002 for net subscriptions received at July 31, 2002 of
$112,500.
| | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

## 8.   
RELATED PARTY TRANSACTIONS

| | The
following non-arms length transactions occurred with parties who are
directors, officers and stockholders of the Company.
| | ------------------------------------------------------------------------------------------------------------------------------

| | During
the three months ended July 31, 2002, the Company was charged management fees
of$18,000 by October Sun from whom the Company acquired Anhydride USA. October
Sun is related to the Company by way of significant influence. As of July 31,
2002, $387,480 was owed to October Sun, with no interest or stated terms of
repayment. Included in the amount of $387,480 is $100,000 due in the form a
promissory note.
| | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | The
Company also paid fees to an officer who is active in the Companies exploration
program of $11,164 and fees of $4,760 to a director and officer which are
included in advertising and promotion expenses.
| | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | United
Corporate Advisors (UCA) is related to the Company by way of common
directors. As of July 31, 2002, $134,093 was owed to UCA.
| | --------------------------------------------------------------------------------------------------------------------------------------

## 9.   
FARMOUT AGREEMENTS

| | During
the period, the Company entered into two Farmout Agreements (the Farmout
Agreements) with Anhydride Petroleum Limited Partnership (the
Limited Partnership) one in respect of each of the Athabasca
Prospect and the Firebag Prospect, on essentially the same terms. The Limited
Partnership is currently made up of only the initial Limited Partner and one
General Partner. Under the terms of the Farmout Agreements the Limited
Partnership will earn a 1% working interest in a Prospect for each $54,000
incurred in exploration expenditures on that Prospect, up to a maximum of a
combined 25% working interest, both before and after payout, subject to royalty
interests. Anhydride Canada is the operator under each of the Farmout
Agreements.
| | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | Under
the terms of each of the Farmout Agreements, following earn-in of an interest,
including a fractional interest, in a Prospect, the Limited Partnership will be
entitled to approve all further work carried out on the Prospect, which consent
may be unreasonably withheld.
| | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

---

## URANIUM POWER
CORPORATION
(An Exploration Stage Company)
Notes to Consolidated Financial Statements (U.S. Dollars)
For the Three Months Ended July 31, 2002
(Unaudited  Prepared by Management)

9.   
FARMOUT AGREEMENTS (Continued)

| | Under
the Farmout Agreements, the Limited Partnership agreed to grant the Company a
call option under which the Company may purchase the working interests earned by
the Limited Partnership in the Prospects in consideration of paying a
predetermined purchase amount. The purchase amount comprises a base amount and a
performance amount where the base amount is equal to 130% of the incurred
earn-in expenditures of the Partnership paid in shares of the Company with such
shares valued at the average five day closing price at the time the call option
is exercised. The shares to be issued by the Company will be restricted
securities in the United States and be subject to resale restrictions in the
United States and Canada.
| | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | Under
the terms of the call option, however, the Company has granted the Partnership
certain registration rights, under which the Company will file a registration
statement with the Securities and Exchange Commission (the SEC) in
the United States registering the shares for sale. The performance amount is
dependent on whether the Company complies with the obligations to file a
registration statement with the SEC. The performance amount will initially be
$Nil. For every 90-day period following the exercise of the call option that
expires without a registration statement being filed, the performance amount is
increased by 20% of the incurred earn-in expenditures of the Partnership paid-in
shares of the Company. For every 45-day period that expires without the Company
responding to comments on the registration statement from the SEC, the
Performance Agreement will include an additional 20% of the incurred earn-in
expenditures of the Partnership paid-in shares of the Company. The Performance
Amount will be paid, as earned, in shares of the Company with such shares valued
at the average five day closing price at the time the respective performance
amount is earned. On the sooner of the registration statement becoming effective
or the shares issued on exercise of the call option otherwise becoming free of
resale restrictions, the Performance Amount shall cease to accrue and no further
shares of the Company will be payable.
| | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | If
prior to the call option exercise the Limited Partnership has transferred its
exploration activities to a wholly owned corporation (a Subsidiary),
the call option remains in effect notwithstanding the assignment to the
Subsidiary. Alternatively, the Limited Partnership and the Company and Anhydride
Canada may negotiate for the purchase of the shares of the Subsidiary by the
Company or Anhydride Canada. Neither Anhydride Canada nor the Limited
Partnership is obligated to initiate, enter into or conclude any negotiations
respecting the acquisition of the Subsidiary by the Company or Anhydride Canada.
| | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | As consideration for granting of the call option in respect of the working
interests in the Prospects, the Company has agreed to issue 1,500,000
transferable warrants to the Limited Partnership whereby it may acquire up to
750,000 common shares exercisable at a price of $0.50 per share for a period of
one year ending July 11, 2003. The warrants will vest in proportion to the
working interest earned in the Athabasca Prospect and Firebag Prospects, for
each 1% working interest earned in a Prospect warrants to acquire 30,000 common
shares of the Company will vest and be immediately exercisable. The shares
issued on exercise of the warrants will be subject to resale
restrictions.
| | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

---

## URANIUM POWER
CORPORATION
(An Exploration Stage Company)
Notes to Consolidated Financial Statements (U.S. Dollars)
For the Three Months Ended July 31, 2002
(Unaudited  Prepared by Management)

9.   
FARMOUT AGREEMENTS (Continued)

| | To
date no money has been received pursuant to the Farmout Agreements.
| | ----------------------------------------------------------------------

## 10. COMMITMENTS

| | Anhydride
Canada has committed to pay $60,000 ($100,000 CDN) to Anhydride Oil Corporation
upon successful completion of a well, as defined in note 6.
| | -----------------------------------------------------------------------------------------------------------------------------------------------------

| | During
the period the Company committed itself to issue options to acquire up to
400,000 and 200,000 common shares at the lesser of $0.35 or the then market when
issued to and officer and director/officer respectively. To date these shares
have not been issued.
| | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

---

## Item 2.   
Managements Discussion and Analysis of Financial Condition and Results of
Operations

The following information
should be read in conjunction with the unaudited consolidated financial
statements included herein, which are prepared in accordance with generally
accepted accounting principles (GAAP) in the United States for
interim financial information. All dollar amounts in the form are in U.S.
dollars unless otherwise stated.

All payments to be made in
the future have been expressed in United States dollars using an exchange rate
of $1 U.S. = $1.56 Cdn.

Plans of Operations

As of the date of this
Report, the operations of Uranium Power Corporation (the Company)
have been speculative. The Company incurred a loss in the quarter ended July 31,
2002 of $129,682, and has not had revenues from its operations to date. The
Company has been dependent, and continues to rely upon, loans from related
parties and the sale of equity securities in order to fund its exploration
activities. Its ability to continue its operations is dependent on the ability
of the Company to continue to obtain financing.

During the year ended April
30, 2002, we entered the business of oil and gas exploration with management
assessing the oil and gas exploration business and selecting and acquiring
properties of interest near the City of Fort McMurray in the northeastern part
of the Province of Alberta, Canada. Specifically, we acquired and currently hold
potentially important interests in five Petroleum & Natural Gas Licenses
(P & NG Licenses) issued by the Government of the Province of
Alberta covering 127 sections of land (81,280 acres) below base of Woodbend
formation and we are entitled to earn an interest in an additional P & NG
License no. 5494040101 covering one additional section (640 acres) below base of
the Precambrian formation (the AOC License) which includes an
existing suspended well drilled during September - October 1994 and legally
described as the AOC Granite 7-32-89-10 W4M well (the 7-32 Well).

The Company continues to
hold uranium interests, which are comprised of a 20% interest in a company known
as Uranium Holdings Corporation, a Nevada corporation (UHC), which
in turn owns two properties located in Saskatchewan known as the Henday and
Hocking Lake Properties. We also have an option to acquire a 100% interest in a
separate uranium property (the Saskatchewan Uranium Property).

During the three months
ended July 31,2002 and over the next twelve months we have and plan to focus
primarily on exploration and development of our oil and gas properties while
maintaining our uranium properties.

---

Specifically, we plan to
re-enter the 7-32 Well and, initially, conduct testing sufficient to determine
whether the existing suspended well is capable of producing commercial
quantities of petroleum substances. A program contemplating up to five separate
tests has been engineered and designed by management and the Companys
consultants specifically for the 7-32 Well. The estimated cost to conduct the
testing is $160,256 ($250,000 Cdn.) with completion costs estimated at an
additional $64,103 ($100,000 Cdn.). This work is also necessary to meet our
requirements to the AOC License vendor that require us to begin this testing on
or before September 30, 2002.

Subject to starting the
above noted testing program on the 7-32 Well on or before September 30, 2002,
the Company has the right to earn an 81.25% working interest before payout
reducing to a 52.859375% working interest after payout, subject to gross
overriding royalties of 9.5% and government royalties less any interests earned
by the Anhydride Petroleum Limited Partnership (see below), in the 7-32 well.

To fund the Companys
share of costs associated with the re-entry and testing of the existing 7-32
Well wellbore; rental costs associated with the five licenses; costs for
additional seismic and other geologic study and costs for possible deepening of
the 7-32 Well, the Company, entered into exploration agreements with the Limited
Partnership, see below.

At this time there are no
known oil and gas reserves in the Athabasca or Firebag Prospects. The current
proposed work program should therefore, be regarded as high risk or a
wildcat venture.

During the period the
Company appointed Doug Cannaday as President to lead our oil and gas operations
and established an office in Calgary, Alberta, Canada. Mr. Cannaday is under a
month to month contract for $6,000 Canadian per month and the Company has
committed itself to issue him 400,000 options from treasury to purchase that
same number of shares at the lesser of $0.35 per share or the then market when
issued. Over the past 25 years Mr. Cannaday has been an officer and director of
public and private companies, including Morrisey Development Corporation,
Artesian Oil & Gas Ltd., Artesian Petroleum Corporation, Seahawk Oil &
Gas Ltd., Amador Resources Ltd. and Tod Mountain Resorts Ltd.

Also during the period the
Company also appointed Michel David a director and executive vice-president of
the Company. In the past Mr. David has been a director of Malartic Hygrade,
Mirandor Inc., Sphinx Inc., Mimiska Inc., Link Mineral Ventures Inc. and Maymac
Petroleum Inc. The Company has agreed to pay Mr. David $3,000 Canadian per month
and the Company has committed itself to issue him 200,000 options from treasury
to purchase that same number of shares at the lesser of $0.35 per share or the
then market when issued.

---

Summary of Anhydride
Petroleum Limited Partnership Exploration Agreements

During the period, the
Company entered into two farmout agreements (the Farmout Agreements)
with the Limited Partnership one in respect of each of the Athabasca Prospect
and the Firebag Prospect, on essentially the same terms. Pursuant to these
agreements the Limited Partnership has the right to expend up to $865,385
($1,350,000 Cdn.) on the Athabasca and or Firebag Prospects. Under the terms of
the Farmout Agreements the Limited Partnership will earn a 1% working interest
in a Prospect for each $34,615 ($54,000 Cdn.) incurred in exploration and other
approved expenditures on that Prospect, up to a combined maximum of a 25%
working interest, both before and after payout, subject to a 9.5% gross
overriding royalty and government royalties. API Canada is the operator under
each of the Farmout Agreements.

| | Right
to Determine Further Work
| | -------------------------------

| | Under
the terms of each of the Farmout Agreements, following earn-in of an interest,
including a fractional interest in a Prospect, the Limited Partnership will be
entitled to approve all further work carried out on the Prospect, which consent
may be unreasonably withheld.
| | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | Call
Option
| | -----------

| | Under
the Farmout Agreements, the Limited Partnership agreed to grant the Company a
call option under which the Company may purchase the working interests earned by
the Limited Partnership in the Prospects in consideration of paying a
predetermined Purchase Amount. The Purchase Amount comprises a Base Amount and a
Performance Amount where the Base Amount is equal to 130% of the incurred
earn-in expenditures of the Partnership paid in shares of the Company with such
shares valued at the average five day closing price at the time the call option
is exercised. The shares to be issued by the Company will be restricted
securities in the United States and subject to resale restrictions in the United
States and Canada. Under the terms of the call option, however, the Company has
granted the Partnership certain registration rights, under which the Company
will file a registration statement with the Securities and Exchange Commission
(the SEC) in the United States registering the shares for sale. The
Performance Amount is dependent on whether the Company complies with its
obligations to file a registration statement with the SEC. The Performance
Amount will initially be nil. For every 90-day period following the exercise of
the call option that expires without a registration statement being filed, the
Performance Amount is increased by 20% of the incurred earn-in expenditures of
the Partnership paid in shares of the Company. For every 45-day period that
expires without the Company responding to comments on the registration statement
from the SEC, the Performance Amount will include an additional 20% of the
incurred earn-in expenditures of the Partnership paid in shares of the Company.
The Performance Amount will be paid, as earned, in shares of the Company with
such shares valued at the average five day closing price at the time the
respective Performance Amount is earned. On the sooner of the registration
statement becoming effective or the shares issued on exercise of the call option
otherwise becoming free of resale restrictions, the Performance Amount shall
cease to accrue and no further shares of the Company will be payable.
| | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

---

| | If
prior to the call option exercise the Limited Partnership has transferred its
exploration activities to a wholly-owned corporation (a Subsidiary),
the call option remains in effect notwithstanding the assignment to the
Subsidiary. Alternatively, the Limited Partnership and the Company and API
Canada may negotiate for the purchase of the shares of the Subsidiary by the
Company or API Canada. Neither API Canada nor the Limited Partnership is
obligated to initiate, enter into or conclude any negotiations respecting the
acquisition of the Subsidiary by the Company or API Canada.
| | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | Limited
Partnership Warrants
| | ----------------------------

| | As
consideration for granting of the call option in respect of the working
interests in the Prospects, the Company issued 1,500,000 transferable warrants
to the Limited Partnership whereby it may acquire up to 750,000 common shares
exercisable at a price of $0.50 per share for a period of one year ending July
11, 2003. The warrants will vest in proportion to the working interest earned in
the Prospects by the Limited Partnership. For each 1% working interest earned in
a Prospect, warrants to acquire 30,000 common shares of the Company will vest
and be immediately exercisable. The shares issued on exercise of the warrants
will be subject to resale restrictions.
| | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Changes in Financial
Condition

Net
loss for the three-month period ended July 31, 2002 was $129,682, or $0.01 per
share, compared with a net loss of $57,306, or $0.01 per share, for the same
period of 2001. During the three month period ended July 31, 2002, the Company
was actively engaged in preliminary exploration work and fundraising related to
its Athabasca project. The Company was relatively inactive in the corresponding
period in 2001 and as a result, many of the operating expense items have shown
an increase. Advertising and promotion expense has increased by $48,959 in the
quarter ended July 31, 2002 from $0 in the corresponding quarter in 2001 and
travel expense has increased by $11,809 in the quarter ended July 31, 2002 from
$0 in the corresponding quarter in 2001. The Company has increased advertising,
promotion and travel expenses in connection with developing and promoting its
new business plan which now focuses on oil and gas production. Professional fees
have increased from $997 in the quarter ended July 31, 2001 to $25,698 in the
quarter ended July 31, 2002, which is primarily due to an increase in legal fees
associated with increased SEC filings and additional legal work required on the
Companys joint venture agreements. In addition, management fees have
increased by $18,000 in the quarter ended July 31, 2002 from $0 in the
corresponding quarter in 2001, which is attributable to fees paid to October Sun
from whom the Company acquired its subsidiary, Anhydride USA, Inc. The Company
will continue to rely on funding from financing sources in order to proceed with
its development activities. In order to maintain its joint venture agreement for
the AOC License the Company must commence on or before September 30, 2002 a test
program on the 7-32 Well costing approximately $160,256 ($250,000 Cdn.).

To finance this testing the
Company has entered into exploration agreements with the Limited Partnership,
however, if the Limited Partnership is unable or unwilling to fund the
Companys planned exploration the Company may risk losing the AOC License,
the 7-32 Well and the five API Canada P & NG Licenses for failure to pay the
annual rental amount. Subsequent, to July 31, 2002 the Company made annual
rental payments of $56,792 ($88,596 Cdn.) on three of the five API Canada P
& NG Licenses putting them in good standing until July 25, 2003. The funds
for these payments were derived from a loan from United Corporate Advisors
(UCA), which is related to the Company by way of a common director, Thornton
Donaldson. The annual rentals on the remaining API Canada P & NG Licenses
are due September 17, 2002 as to $8,041 ($12,544 Cdn.) and October 2, 2002 as to
$9,764 ($15,232 Cdn.). The Company may have to consider joint ventures with
other entities, seek additional equity funding and or sell some of its
properties if the Limited Partnership funding is not available. It is also
likely the Company will require additional financing beyond that to be provided
by the Limited Partnership. There can be no assurance that other joint venture
parties, additional equity funding or that buyers for its properties can be
found.

---

We have no revenues, and
our operating results, profitability and future rate of growth depend solely on
our exploration activities and ability to raise further funding. We plan to fund
future operations by way of joint venture agreements and or other forms of
financing, including the public offering or private placement of equity or debt
securities. However, we cannot assure you that joint venture partners, debt or
equity financing will be available to us on acceptable terms to meet these
requirements.

Due the lack of funding and
change in focus it is not likely that the Company will meet the requirement to
spend an additional $1,602,564 ($2,500,000 Cdn.) on its Saskatchewan Uranium
Property by December 31, 2002. The Company intends to try to re-negotiate the
terms of its agreement, however, no assurances can be made that the Company will
be successful.

The Company pursuant to the
terms of its agreement with Uranium Holdings Company must now participate on the
same basis as other investors in future expenditure programs on a pro-rata basis
or Companys 20% interest will be reduced in such manner as may be
reasonably negotiated between the parties. Due the lack of funding and change in
focus it is not likely that the Company will meet these requirements and as such
its interests may be reduced.

Forward-Looking
Statements

These
statements are based on certain assumptions and analyses made by us in light of
our experience and our perception of historical trends, current conditions,
expected future developments and other factors we believe are appropriate in the
circumstances. Such statements are subject to a number of assumptions, risks and
uncertainties, including such factors as the volatility and level of oil and
natural gas prices, uncertainties in cash flow, expected acquisition benefits,
production rates and reserve replacement, reserve estimates, drilling and
operating risks, competition, litigation, environmental matters, the potential
impact of government regulations, and other matters discussed under the caption
Risk Factors, many of which are beyond our control. Readers are
cautioned that forward-looking statements are not guarantees of future
performance and that actual results or developments may differ materially from
those expressed or implied in the forward-looking statements.

---

# PART II 
OTHER INFORMATION

## Item 2.   
Recent Sales of Unregistered Securities

Effective May 6, 2002 the
Company committed to issue options to acquire 400,000 shares of common stock to
Doug Cannaday, President and a Director of the Company, for a period of three
years at an exercise price equal to lesser of $0.35 and the market price when
issued. The Companys 2000 Stock Option Plan currently has no options
available for issuance thereunder, and the Company is in the process of
developing and approving a new stock option plan, under which these options will
be granted. The options will beissuedin reliance on the exemption from registration contained in Section 4(2) of
the Act.

Effective May 15, 2002 the
Company committed to issue options to acquire 200,000 shares of common stock to
Michel David, Executive Vice-President and a Director of the Company, for a
period of two years at an exercise price equal to the lesser of $0.35 per share
and the market price when issued. The Companys 2000 Stock Option Plan
currently has no options available for issuance thereunder, and the Company is
in the process of developing and approving a new stock option plan, under which
these options will be granted. The options will vest at the rate of 33% per
month commencing May 15th, 2002 and are voided in the event of
termination for cause unless previously exercised. The options will be issued in
reliance on the exemption from registration contained in Section 4(2) of the
Act.

In connection with a
private placement of shares of common stock of the Company at $0.30 per share to
accredited investors only, the Company has accepted subscriptions in the amount
of US $12,000 and issued 40,000 shares of the Companys common stock on
June 6, 2002. These shares were issued pursuant to an exemption under Regulation
D and Section 4(2) of the Securities Act of 1933 to Coleman Morton, the
purchaser. No commissions or finders fees were paid in connection with the
transaction.

Pursuant to the terms of
that certain Exploration Agreement by and between the Company, through it
subsidiary Anhydride Petroleum Canada, Inc., and Anhydride Petroleum Limited
Partnership, dated July 10, 2002, the Company issued to Anhydride Petroleum
Limited Partnership a warrant to purchase up to 750,000 shares of Common Stock
of the Company at an exercise price of $0.50 per share, expiring July 11, 2003.
The warrant was issued in reliance on the exemption from registration contained
in Section 4(2) of the Act.

## Item 5.   
Other Information

During the three months
ended July 31, 2002, the Company was charged management fees of $18,000 by
October Sun from whom the Company acquired its subsidiary, Anhydride USA, Inc.
As of July 31, 2002, $387,480 was owed to October Sun, with no interest or
stated terms of repayment. Included in the amount of $387,480 is $100,000 due in
the form of a promissory note.

The Company also paid
management fees to Doug Cannaday, President and a Director of the Company who is
active in the Company's exploration program of $11,164. Fees of $4,760 were paid
to Michel David, Executive Vice President and a Director of the Company as
advertising and promotion expenses.

United Corporate Advisors
(UCA) is related to the Company by way of a common director, Thornton Donaldson.
As of July 31, 2002, $134,093 was owed to UCA. The loan to UCA is non-interest
bearing with no specific terms of repayment.

## Item 6.   
Exhibits and Reports on Form 8-K

|(a) | Exhibits
|--- | --------

| |  | 3.1         Articles of Incorporation.(1)
3.2         Bylaws.(1)
10.13     Joint Venture Agreement dated
April 30, 2002.(2)
10.14     Employment Agreement with Doug
Cannaday, effective May 6, 2002.(2)
10.15     Exploration Agreement dated July 10, 2002.(2)
| |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

_______________

|(1) | Incorporated by reference
from the Companys Registration Statement on Form 10-SB, filed with the SEC
on October 14, 1999.
|--- | --------------------------------------------------------------------------------------------------------------------------

|(2) | Incorporated by reference
from the Companys Form 10-KSB for the period ended April 30, 2002, filed
with the SEC on September 11, 2002.
|--- | ---------------------------------------------------------------------------------------------------------------------------------------

|(b) | Reports on Form 8-K:
During the quarter ended July 31, 2002, the Company filed
one report on Form 8-K on May 15, 2002 reporting that on April 30, the Company
entered into an Agreement and Plan of Reorganization whereby Anhydride Petroleum
(USA), Inc., a Colorado corporation, and wholly owned subsidiary of October Sun,
a Nevada corporation, was merged with and into a wholly owned subsidiary of the
Company.
|--- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

---

# SIGNATURES

Pursuant
to the requirements of the Securities Exchange Act of 1934, the Registrant has
duly caused this Form 10QSB to be signed on its behalf by the undersigned
thereunto duly authorized.

URANIUM POWER CORPORATION
Date:  September 16, 2002        
            
            
            
            
         
        By:
/s/ Douglas W. Cannaday
                
                
                
                
          
                
                
        
       Douglas W. Cannaday, President

Date:  September 16, 2002        
            
            
            
            
         
        By:
/s/ Thornton Donaldson
                
                
                
                
          
                
                
        
       Thornton Donaldson, Director and
                
                
                
                
          
                
                
        
       Acting Chief Financial Officer

---

# § 302
CERTIFICATION*

I, Douglas W. Cannaday,
Chief Executive Officer, certify that:

1.
I have reviewed this quarterly report on Form 10-QSB of Uranium Power
Corporation;

2.
Based on my knowledge, this quarterly report does not contain any untrue
statement of a material fact or omit to state a material fact necessary to make
the statements made, in light of the circumstances under which such statements
were made, not misleading with respect to the period covered by this quarterly
report;

3.
Based on my knowledge, the financial statements, and other financial information
included in this quarterly report, fairly present in all material respects the
financial condition, results of operations and cash flows of the registrant as
of, and for, the periods presented in this quarterly report;

4.
The registrants other certifying officers and I have disclosed, based on
our most recent evaluation, to the registrants auditors and the audit
committee of registrants board of directors (or persons performing the
equivalent functions):

a)
all significant deficiencies in the design or operation of internal controls
which could adversely affect the registrants ability to record, process,
summarize and report financial data and have identified for the
registrants auditors any material weaknesses in internal controls; and

b)
any fraud, whether or not material, that involves management or other employees
who have a significant role in the registrants internal controls; and

5.
The registrants other certifying officers and I have indicated in this
quarterly report] whether there were significant changes in internal controls or
in other factors that could significantly affect internal controls subsequent to
the date of our most recent evaluation, including any corrective actions with
regard to significant deficiencies and material weaknesses.

Date:
   September 16, 2002

/s/   Douglas W. Cannaday
        Douglas W. Cannaday
        President and Chief Executive Officer

---

# § 302
CERTIFICATION*

I, Thornton Donaldson,
acting Chief Financial Officer, certify that:

1.
I have reviewed this quarterly report on Form 10-QSB of Uranium Power
Corporation;

2.
Based on my knowledge, this quarterly report does not contain any untrue
statement of a material fact or omit to state a material fact necessary to make
the statements made, in light of the circumstances under which such statements
were made, not misleading with respect to the period covered by this quarterly
report;

3.
Based on my knowledge, the financial statements, and other financial information
included in this quarterly report, fairly present in all material respects the
financial condition, results of operations and cash flows of the registrant as
of, and for, the periods presented in this quarterly report;

4.
The registrants other certifying officers and I have disclosed, based on
our most recent evaluation, to the registrants auditors and the audit
committee of registrants board of directors (or persons performing the
equivalent functions):

a)
all significant deficiencies in the design or operation of internal controls
which could adversely affect the registrants ability to record, process,
summarize and report financial data and have identified for the
registrants auditors any material weaknesses in internal controls; and

b)
any fraud, whether or not material, that involves management or other employees
who have a significant role in the registrants internal controls; and

5.
The registrants other certifying officers and I have indicated in this
quarterly report whether there were significant changes in internal controls or
in other factors that could significantly affect internal controls subsequent to
the date of our most recent evaluation, including any corrective actions with
regard to significant deficiencies and material weaknesses.

Date:
   September 16, 2002

/s/   Thornton Donaldson
        Thornton Donaldson
        Acting Chief Financial Officer

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