UNITED STATES
SECURITIES AND EXCHANGE COMMISSIONWashington, D.C. 20549

FORM 10-QSB/A

Amendment No. 1

{X} QUARTERLY
REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934For the
quarterly period ended September 30, 2004.

{   } TRANSITION
REPORT UNDER SECTION 13 OR 15(d) OF THE EXCHANGE ACTFor  the transition period from
_______ to ________.

Commission File
No. 0-27599

SULPHCO, INC.

(Name of the small
business issuer)

|Nevada                   | 88-0224817                          
|------------------------ | ------------------------------------
|(State of Incorporation) | (I.R.S. Employer Identification No.)

850 Spice Islands
Drive, Sparks, NV 89431(Address of principal executive offices)

(775) 829-1310
(Issuers telephone number)

Number of shares
outstanding of each of the issuers classes of common equity, as of the latest
practicable date: 56,129,385 shares of common stock issued and outstanding as of November
4, 2004.

Transitional Small
Business Disclosure Format: Yes {  } No {X}

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EXPLANATORY NOTE

SulphCo,
Inc. (the Company) is filing this Form 10-QSB/A (Amendment No. 1)
to amend its Quarterly Report on Form 10-QSB for the period ended September 30, 2004 (the
Original Filing) filed on November 12, 2004 with the Securities and Exchange
Commission (SEC) in order to (i) refile in its entirety Part I 
Item 1. Financial Statements to amend its unaudited financial statements for the
periods ended September 30, 2004, and September 30, 2003, and (ii) to refile in its
entirety Part II  Item 6. Exhibits and Reports on Form 8-K to reflect
the updated certifications of our Chief Executive Officer and Principal Accounting Officer
included with this Amendment No. 1.

The
Company is amending the financial statements included in this report in order to reflect a
reclassification of stock issued as prepaid interest from prepaid expenses to a
contra-equity, reducing both prepaid expenses and stockholders equity. The
amendment did not result in a change in Net Loss for the periods ended September 30, 2004,
and September 30, 2003, from the Net Loss previously reported in the Original Filing.
There were no other material changes from the financial statements filed with the Original
Filing.

This
Amendment No. 1 does not amend any other information previously filed in the Original
Filing. The Original Filing is hereby superseded and amended with respect to the  section
set forth in this Amendment.

2

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PART I - ITEM 1. FINANCIAL STATEMENTS

SULPHCO, INC. AND
SUBSIDIARIES(A Company in the Development Stage)BALANCE SHEETSeptember 30, 2004 (unaudited)

|ASSETS                                                                            
|----------------------------------------------------------------------------------
|                                                                                  
|                                                                                  
|Current Assets                                                                    
|Cash                                                                              
|Related party accounts receivable (net of allowance for bad debts of
     $15,373)
|Prepaid expenses                                                                  
|                                                                                  
|                                                                                  
|Total current assets                                                              
|                                                                                  
|                                                                                  
|Property and equipment (net of accumulated depreciation of $597,388)              
|                                                                                  
|                                                                                  
|Other Assets                                                                      
|Deferred tax asset (net of valuation allowance of $7,007,805)                     
|Desulphurization prototype                                                        
|Deposits                                                                          
|                                                                                  
|                                                                                  
|Total other assets                                                                
|                                                                                  
|                                                                                  
|Total assets                                                                      
|                                                                                  
|                                                                                  
|LIABILITIES AND STOCKHOLDERS EQUITY                                              
|                                                                                  
|Current Liabilities                                                               
|Accounts payable                                                                  
|Accrued expenses                                                                  
|Related party notes payable                                                       
|                                                                                  
|                                                                                  
|Total current liabilities                                                         
|                                                                                  
|                                                                                  
|Commitments and Contingencies                                                     
|                                                                                  
|Stockholders Equity                                                              
|Common stock, $.001 par value, 100,000,000 shares authorized                      
|53,662,234 shares issued and outstanding                                          
|Additional paid-in-capital                                                        
|Interest prepaid via issuance of stock                                            
|Stock subscriptions receivable                                                    
|Deficit accumulated during the development stage                                  
|                                                                                  
|                                                                                  
|Total stockholders equity                                                        
|                                                                                  
|                                                                                  
|Total liabilities and stockholders equity                                        
|                                                                                  

The Accompanying
Notes are an Integral Part of the Financial Statements

3

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SULPHCO, INC. AND
SUBSIDIARIES(A Company in the Development Stage)STATEMENTS OF OPERATIONSFor the Nine Months Ended September 30, 2004 and 2003 (unaudited)

|                                              | Inception |  | For the Three Months EndedSeptember |             | For the Nine Months EndedSeptember 30 |  
|--------------------------------------------- | --------- |  | ----------------------------------- | ----------- | ------------------------------------- | -
|                                              | to date   |  | 2004                                |             | 2003                                  |  
|                                              |           |  |                                     |             |                                       |  
|Revenue                                       |           |  |                                     |             |                                       |  
|Sales                                         |           |  | $                                   | 42,967      |                                       | $
|Interest income                               |           |  |                                     | 44,228      |                                       |  
|                                              |           |  |                                     |             |                                       |  
|Total revenue                                 |           |  |                                     | 87,195      |                                       |  
|                                             
|Expenses                                      |           |  |                                     |             |                                       |  
|Salary and wage expense                       |           |  |                                     | (8,176,381  | )                                     |  
|Director fees                                 |           |  |                                     | (195,500    | )                                     |  
|General and administrative expenses           |           |  |                                     | (9,258,238  | )                                     |  
|Research and development expenses             |           |  |                                     | (1,614,371  | )                                     |  
|Depreciation expense                          |           |  |                                     | (637,193    | )                                     |  
|                                              |           |  |                                     |             |                                       |  
|                                             
|Total expenses                                |           |  |                                     | (19,881,683 | )                                     |  
|                                             
|Loss from operations                          |           |  |                                     | (19,794,488 | )                                     |  
|                                              |           |  |                                     |             |                                       |  
|                                             
|Loss on disposal of assets                    |           |  |                                     | (221,711    | )                                     |  
|                                              |           |  |                                     |             |                                       |  
|                                             
|Loss before interest expense and income taxes |           |  |                                     | (20,016,199 | )                                     |  
|                                             
|Interest expense                              |           |  |                                     | (274,011    | )                                     |  
|                                              |           |  |                                     |             |                                       |  
|                                             
|Loss before income taxes                      |           |  |                                     | (20,290,210 | )                                     |  
|                                             
|Provision for income taxes                    |           |  |                                     | -           |                                       |  
|                                              |           |  |                                     |             |                                       |  
|                                             
|Net loss                                      |           |  |                                     | (20,290,210 | )                                     |  
|                                              |           |  |                                     |             |                                       |  
|                                             
|Loss per share:- basic                        |           |  | $                                   | (0.60       | )                                     | $
|                                              |           |  |                                     |             |                                       |  
|                                             
|Weighted average - basic                      |           |  |                                     | 33,887,420  |                                       |  
|                                              |           |  |                                     |             |                                       |  
|                                             
|Loss per share:- diluted                      |           |  | $                                   | (0.60       | )                                     | $
|                                              |           |  |                                     |             |                                       |  
|                                             
|Weighted average - diluted                    |           |  |                                     | 34,059,001  |                                       |  
|                                              |           |  |                                     |             |                                       |  

The Accompanying
Notes are an Integral Part of the Financial Statements

4

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SULPHCO, INC. AND
SUBSIDIARIES(A Company in the Development Stage)STATEMENT OF CASH FLOWSSeptember 30, 2004

|                                                                            | Inceptionto Date |  | September 30,2004 |             | September 30,2003 | 
|--------------------------------------------------------------------------- | ---------------- |  | ----------------- | ----------- | ----------------- | 
|                                                                            |                  |  |                   |             |                   | 
|Cash Flows from Operating Activities                                        |                  |  |                   |             |                   | 
|Net loss                                                                    |                  |  |                   | (20,290,210 | )                 | 
|                                                                           
|Adjustments to reconcile net loss to net cash used in operating activities: |                  |  |                   |             |                   | 
|Depreciation expense                                                        |                  |  |                   | 637,193     |                   | 
|Shares issued for services                                                  |                  |  |                   | 5,523,518   |                   | 
|Shares issued for interest expense                                          |                  |  |                   | 74,000      |                   | 
|Increase in allowance for doubtful debts                                    |                  |  |                   | 36,373      |                   | 
|(Increase) in accounts receivable                                           |                  |  |                   | (30,848     | )                 | 
|Decrease in related party receivable                                        |                  |  |                   | 1,359,185   |                   | 
|Decrease in prepaid expenses                                                |                  |  |                   | 33,627      |                   | 
|Increase in accounts payable                                                |                  |  |                   | 67,250      |                   | 
|Decrease in accrued liabilities                                             |                  |  |                   | 73,316      |                   | 
|Decrease in legal settlement                                                |                  |  |                   | -           |                   | 
|                                                                            |                  |  |                   |             |                   | 
|Net cash used in operating activities                                       |                  |  |                   | (12,516,596 | )                 | 
|                                                                            |                  |  |                   |             |                   | 
|                                                                           
|Cash Flows from Investing Activities                                        |                  |  |                   |             |                   | 
|Sale of capital assets                                                      |                  |  |                   | (659,076    | )                 | 
|Investment in subsidiary                                                    |                  |  |                   | (220,086    | )                 | 
|Payment of deposits                                                         |                  |  |                   | (36,822     | )                 | 
|Development of intangible assets                                            |                  |  |                   | (15,843     | )                 | 
|                                                                            |                  |  |                   |             |                   | 
|Net cash provided by (used in) investing activities                         |                  |  |                   | (931,827    | )                 | 
|                                                                            |                  |  |                   |             |                   | 
|                                                                           
|Cash Flows from Financing Activities                                        |                  |  |                   |             |                   | 
|Proceeds from issuance of stock                                             |                  |  |                   | 9,222,944   |                   | 
|Proceeds from exercise of stock options                                     |                  |  |                   | 145,250     |                   | 
|Proceeds from stock subscriptions                                           |                  |  |                   | 4,240,887   |                   | 
|Proceeds from issuance of related party notes payable                       |                  |  |                   | 4,170,000   |                   | 
|Proceeds from issuance of line of credit                                    |                  |  |                   | 750,000     |                   | 
|Return of capital                                                           |                  |  |                   | (118,427    | )                 | 
|Principal payments on related party notes payable                           |                  |  |                   | (420,000    | )                 | 
|Payments on contracts payable                                               |                  |  |                   | (250,000    | )                 | 
|Principal payments on line of credit                                        |                  |  |                   | (750,000    | )                 | 
|Principal payments on advance from related party                            |                  |  |                   | (2,191,285  | )                 | 
|                                                                            |                  |  |                   |             |                   | 
|Net cash provided by financing activities                                   |                  |  |                   | 14,799,369  |                   | 
|                                                                            |                  |  |                   |             |                   | 
|Net increase in cash and cash equivalents                                   |                  |  |                   | 1,350,946   |                   | 
|                                                                           
|Cash and cash equivalents at inception,                                     |                  |  |                   |             |                   | 
|period ending December 31, 2003 and 2002                                    |                  |  |                   | -           |                   | 
|                                                                            |                  |  |                   |             |                   | 
|Cash and cash equivalents at September 30, 2004                             |                  |  |                   | 1,350,946   |                   | 
|                                                                            |                  |  |                   |             |                   | 

Supplemental
Information and Noncash Transactions

During the nine months
ended September 30, 2004, and 2003, $6,000 and $20,298 were paid for interest,
respectively, and no amounts were paid for income taxes.

In January 2004 one
million subscribed shares were issued for interest expense of $74,000 and prepaid interest
Cash Equiv. per B/S of $222,000.

In March 2004 fifty
thousand subscribed shares were issued for the services of a director.

In July 2004
forty-five thousand shares were issued for marketing consulting in the amount of $128,700.

5

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SULPHCO, INC. AND
SUBSIDIARIES(A Company in the Development Stage)NOTES TO THE INTERIM FINANCIAL STATEMENTSSeptember 30, 2004 (unaudited)

|1. | Basis
of Presentation
|-- | ---------------------

| | The
accompanying unaudited interim financial statements of Sulphco, Inc., (the  Company)
have been prepared by the Company in accordance with generally  accepted accounting
principles in the United States of America, pursuant to the Securities  and Exchange
Commission rules and regulations. In managements opinion, all  adjustments
necessary for a fair presentation of the results for the interim periods have  been
reflected in the interim financial statements. The results of operations for any  interim
period are not necessarily indicative of the results for a full year. All  adjustments to
the financial statements are of a normal recurring nature.
| | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | Certain
information and footnote disclosures normally included in financial statements prepared
in  accordance with generally accepted accounting principles have been condensed or
omitted.  Such disclosures are those that would substantially duplicate information
contained in the  most recent audited financial statements of the Company, such as
significant accounting  policies and stock options. Management presumes that users of the
interim statements have  read or have access to the audited financial statements and
notes thereto included in the  Companys most recent annual report on Form 10-KSB.
| | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|2. | Consolidation
|-- | -------------

| | The
Company owns 49% of a joint venture that it is the primary beneficiary of, to market and
deploy the Companys technology in Kuwait. There was no activity in the entity
during  the quarter ended September 30, 2004. The Company and this entity make up the
consolidation group (See Note 4).
| | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | Generally
accepted accounting principles require consolidation of all majority-owned subsidiaries
even if they have non-homogeneous operations, as well as the primary
beneficiary of a variable interest entity. The consolidated financial statements include
all such subsidiaries. All material inter-company transactions have been eliminated.
| | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

6

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SULPHCO, INC. AND
SUBSIDIARIES(A Company in the Development Stage)NOTES TO THE INTERIM FINANCIAL STATEMENTSSeptember 30, 2004 (unaudited)

|3. | Prepaid
Expenses via Issuance of Stock
|-- | --------------------------------------

| | In
January 2004 the Company issued one million shares of common stock, to a related party,
in  lieu of interest for two loans totaling $1,000,000. At September 30, 2004 the prepaid
interest balance was $74,000. The prepaid interest is amortized over one year (the life
of  the loan). (See Note 5).
| | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | In
July 2004 the Company issued forty-five thousand shares of common stock as consideration
for consulting service for a one year period. The total value of the services was
$128,700. As of September 30, 2004 the prepaid consulting expense was $107,250.
| | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|4. | Investments
|-- | -----------

| | In
April 2004 the Company entered into an agreement with Kuwaiti nationals to deploy the
Companys technology in the Kuwait. The Company owns 49% of the joint venture and
will consolidate the entity. As of the end of the three months ended September 30, 2004,
there was no investment in or expenses from the joint venture.
| | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|5. | Related
Party Transactions
|-- | --------------------------

| | In
March 2004 the Company issued 50,000 shares of subscribed common stock to a director at
$0.42 per share for director services in the prior year.
| | ---------------------------------------------------------------------------------------------------------------------------------------------------

| | An
officer was paid consulting fees of $120,000 during the quarter, under an employment
contract. The agreement is set to terminate on June 30, 2005.
| | -----------------------------------------------------------------------------------------------------------------------------------------------------

| | The
Company had outstanding at September 30, 2004, a $500,000 note due to a related party, as
well as a $500,000 note payable to an officer. The Company issued 500,000 shares to each,
the related party and officer, in lieu of interest on these notes resulting in an
effective interest rate of 29.6%.
| | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

7

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SULPHCO, INC. AND
SUBSIDIARIES(A Company in the Development Stage)NOTES TO THE INTERIM FINANCIAL STATEMENTSSeptember 30, 2004 (unaudited)

|6. | Capital
Stock
|-- | -------------

| | In
January 2004 one million subscribed common shares were issued for prepaid interest of
$296,000. (See Note 3).
| | ----------------------------------------------------------------------------------------------------------------

| | Also
in January 2004 one hundred thousand shares were issued at $0.85 per share for consulting
services valued at $85,000.
| | --------------------------------------------------------------------------------------------------------------------------

| | In
March 2004 fifty thousand subscribed common shares were issued for Director services
valued in the prior year at $21,000.
| | ----------------------------------------------------------------------------------------------------------------------------

| | In
June 2004 the Company entered into two private placements. The first private placement
was  to sell 2,978,333 shares of common stock at $0.90 per share, warrants exercisable at
$1.125 per share for 1,073,690 shares of common stock, and additional investment rights
entitling the purchaser to purchase up to 6,135,366 shares of common stock at a purchase
price of $0.90 and a warrant to purchase up to 2,147,379 shares at $1.125 per share. The
second private placement was to sell 2,030,960 shares of common stock at $1.25 per share,
warrants exercisable at $1.5625 per share for 732,161 shares of common stock, and
additional investment rights entitling the purchaser to purchase up to 2,091,889 shares
of  common stock at $1.25 per share and a warrant to purchase up to 1,464,322 shares at
$1.5625 per share. The investors purchased 2,504,650 units of shares for $2,335,477 net
of  offering costs of $274,126. Each unit consists of one share of common stock, a
warrant  entitling the purchaser to purchase 0.35 shares of common stock, and an
additional  investment right entitling the purchaser to purchase up to one additional
share and a  warrant to purchase up to 0.70 shares.
| | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | In
July 2004 forty-five thousand shares were issued at $2.86 per share for consulting
services valued at $128,700.  (See Note 3)
| | --------------------------------------------------------------------------------------------------------------------------------

|7. | Stock
Options
|-- | -------------

| | No
additional stock options were exercised during the 3 months ended September 30, 2004.
| | ----------------------------------------------------------------------------------------

8

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SULPHCO, INC. AND
SUBSIDIARIES(A Company in the Development Stage)NOTES TO THE INTERIM FINANCIAL STATEMENTSSeptember 30, 2004 (unaudited)

|8. | Commitments
and Contingencies
|-- | -----------------------------

| | The
Company is currently the subject of an SEC investigation. The SEC alleges violations of
Sections 5(a), 5(c) and 17(a) of the Securities Act of 1934 and Section 10(b) of the
Securities Act of 1934 and Rule 10b-5 thereunder . The Company has retained counsel and
has responded to the inquiry and is awaiting response from the SEC. The outcome of the
action is not determinable at this time. Any such action could have a material adverse
effect on the Company.
| | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | Financial
instruments, which potentially subject the Company to concentrations of credit risk,
consist mainly of cash equivalents. The Company maintains amounts on deposit with
financial institutions, which exceed federally insured limits. The Company has not
experienced any significant losses in such accounts, nor does management believe it is
exposed to any significant credit risk.
| | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | There
are various claims pending against the Company arising in the normal course of the
Companys business. Although the amount of liability at September 30, 2004, cannot
be  ascertained, management is of the opinion that any resulting liability will not
materially  affect the Companys financial position.
| | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | In
January 2004 the Company filed suit against a former director and their former stock
transfer agent for the remittance of $737,000 for the balance of a stock subscription
payable to the Company.
| | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

9

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PART II - ITEM 6.
EXHIBITS AND REPORTS ON FORM 8-K

|AssignedNumber | Description
|-------------- | -----------

|(31.1) | Certifications
of Chief Executive Officer pursuant to Rule 13a-14 under the Securities Exchange Act of
1934.
|------ | ------------------------------------------------------------------------------------------------------------

|(31.2) | Certifications
of Chief Financial Officer pursuant to Rule 13a-14 under the Securities Exchange Act of
1934.
|------ | ------------------------------------------------------------------------------------------------------------

|(32.1) | Certifications
of CEO and CFO Pursuant to 18 U.S.C. ss. 1350, as Adopted Pursuant to ss.906 of the
Sarbanes-Oxley Act of  2002.
|------ | -------------------------------------------------------------------------------------------------------------------------------

SIGNATURES

In accordance with Section 13 of the Securities Exchange Act of 1934, the registrant
caused this report to be signed on its behalf by the undersigned, thereunto duly
authorized.

| | SULPHCO,
INC.
| | -------------

|Dated:  January 24, 2005 | By: | /s/ Rudolf
W. Gunnerman
|------------------------ | --- | -----------------------

| |  | Rudolf
W. GunnermanChief Executive Officer
| |  | ------------------------------------------

In
accordance with the Exchange Act, this report has been signed below by the following
persons on behalf of the registrant and in the capacities and on the dates indicated.

|Dated:  January 24, 2005 | SULPHCO,
INC.(Registrant)
|------------------------ | -------------------------

| | /s/
Rudolf W. Gunnerman
| | -----------------------

| | By:Its: | Rudolf
W. GunnermanChairman of the Board of Directorsand Chief Executive Officer
| | ------- | --------------------------------------------------------------------------------

| | /s/
Alan L. Austin, Jr.
| | -----------------------

| | By:Its: | Alan
L. Austin, Jr.Vice President of Finance andChief Financial Officer (Principal
Financial and Accounting  Officer)
| | ------- | ---------------------------------------------------------------------------------------------------------------------

10

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