UNITED STATESSECURITIES AND EXCHANGE COMMISSIONWashington, D.C. 20549FORM 10-Q

[X]
     QUARTERLY REPORT UNDER TO SECTION 13 OR 15(d) OF THE SECURITIESEXCHANGE ACT OF 1934FOR THE QUARTERLY PERIOD ENDED JANUARY 31, 2008OR[  ]
     TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIESEXCHANGE ACT OF 1934


Commission file number 000-32089NORTH AMERICAN NATURAL GAS, INC.(Exact name of registrant as specified in its charter)WASHINGTON(State or other jurisdiction of incorporation or organization)580 Hornby Street, Suite 490Vancouver, British ColumbiaCanada V6C 3B6 (Address of principal executive offices, including zip code.)(604) 687-6991(telephone number, including area code)

Check whether the issuer (1) filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act during the past 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the last 90 days.YES [X]   NO [   ]

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of large accelerated filer, accelerated filer, non-accelerated filer, and smaller reporting company in Rule 12b-2 of the Exchange Act.

Large accelerated filer
     [   ]
     Accelerated filer
     [   ]Non-accelerated filer
     [   ]
     Smaller reporting company
     [X]


Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). YES [X]   NO [   ]

State the number of shares outstanding of each of the issuers classes of common equity, as of the latest practicable date: 19,812,500 as of February 27, 2008.

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PART I  FINANCIAL INFORMATION

ITEM 1.      FINANCIAL STATEMENTS

Balance Sheets
     F-1Statements of Operations
     F-2Statements of Cash Flows
     F-3Notes to Financial Statements
     F-4
































































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North American Natural Gas, Inc.(A Development Stage Company)Balance Sheets(Expressed in U.S. Dollars)January 31
     
     April 302008
     
     2007$
     
     $(unaudited)ASSETSCurrent AssetsCash
     11,552
     
     4,739Total Assets
     11,552
     
     4,739LIABILITIES AND STOCKHOLDERS' DEFICITCurrent LiabilitiesAccounts payable
     21,915
     
     15,489Accrued liabilities
     
     
     450Due to a related party (Note 5)
     49,500
     
     29,500Total Liabilities
     71,415
     
     45,439Contingencies (Note 1)Stockholders' DeficitPreferred Stock: 20,000,000 shares authorized, $.0001 par value;None issued and outstanding
     
     
     Common Stock: 100,000,000 shares authorized, $0.0001 par value;19,812,500 shares issued and outstanding
     1,981
     
     1,981Additional Paid-in Capital
     309,019
     
     309,019Donated Capital
     2,000
     
     2,000Deficit Accumulated During the Development Stage
     (372,863
     )
     (353,700
     )Total Stockholders' Deficit
     (59,863
     )
     (40,700
     )Total Liabilities and Stockholders' Deficit
     11,552
     
     4,739


The Accompanying Notes are an Integral Part of These Financial Statements





F-1

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North American Natural Gas, Inc.(A Development Stage Company)Statements of Operations(Expressed in U.S. Dollars)(unaudited)Accumulatedfrom March 24,2000 (Date ofThree Months Ended
     
     Nine Months Ended
     
     Inception) toJanuary 31,
     
     January 31,
     
     January 31,2008
     
     2007
     
     2008
     
     2007
     
     2008$
     
     $
     
     $
     
     $
     
     $Revenue
     
     
     
     
     
     
     
     
     ExpensesBusiness development
     
     
     
     
     
     
     
     
     24,475Consulting fees
     
     
     
     
     
     
     
     
     25,000Directors fees
     
     
     1,500
     
     1,000
     
     4,500
     
     30,000Finance costs
     131
     
     
     
     131
     
     
     
     76,106License written-off
     
     
     
     
     
     
     
     
     35,000Office and rent
     311
     
     360
     
     975
     
     1,257
     
     14,842Professional fees
     3,843
     
     4,500
     
     14,794
     
     15,400
     
     146,949Transfer agent and filing fees
     1,870
     
     1,660
     
     2,263
     
     2,069
     
     21,473Travel
     
     
     
     
     
     
     
     
     863Total Expenses
     6,155
     
     8,020
     
     19,163
     
     23,226
     
     374,708Net Loss Before Other Income
     (6,155
     )
     (8,020
     )
     (19,163
     )
     (23,226
     )
     (374,708
     )Other IncomeInterest income
     
     
     
     
     
     
     
     
     1,845Net Loss for the Period
     (6,155
     )
     (8,020
     )
     (19,163
     )
     (23,226
     )
     (372,863
     )Net Loss Per Share  Basic and Diluted
     
     
     
     
     
     
     Weighted Average Number of SharesOutstanding
     19,812,500
     
     19,812,500
     
     19,812,500
     
     19,812,500


The Accompanying Notes are an Integral Part of These Financial Statements







F-2

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North American Natural Gas, Inc.(A Development Stage Company)Statements of Cash Flows(Expressed in U.S. Dollars)(unaudited)Nine Months EndedJanuary 31,2008
     
     2007$
     
     $Operating ActivitiesNet loss for the period
     (19,163
     )
     (23,226
     )Adjustments to reconcile net loss to net cash used in operating activitiesChanges in operating assets and liabilitiesAccounts payable and accrued liabilities
     5,976
     
     5,829Net Cash Used in Operating Activities
     (13,187
     )
     (17,397
     )Financing ActivitiesAdvances from a related party
     20,000
     
     20,000Net Cash Provided by Financing Activities
     20,000
     
     20,000Increase (Decrease) In Cash
     6,813
     
     2,603Cash - Beginning of Period
     4,739
     
     5,381Cash - End of Period
     11,552
     
     7,984Supplemental DisclosuresInterest paid
     
     
     Income taxes paid
     
     
     


The Accompanying Notes are an Integral Part of These Financial Statements







F-3

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North American Natural Gas, Inc.(A Development Stage Company)Notes to the Financial StatementsJanuary 31, 2008(Expressed in U.S. Dollars)(unaudited)

|1. | Nature of Operations and Continuance of Business                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
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|   | North American Natural Gas, Inc. herein (the Company) was incorporated in the State of Washington, U.S.A. on March 24, 2000 and is a Development Stage Company as defined by Statement of Financial Accounting Standard (SFAS) No. 7 Accounting and Reporting for Enterprises in the Development Stage. The Company acquired a license to market and distribute vitamins, minerals, nutritional supplements, and other health and fitness products in which the grantor of the license offers these products for sale from various suppliers on their Web Site. The Company was also developing a marketing strategy to offer personal care products through a kiosk-based ordering system.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
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|   | During fiscal 2003 the Company changed its name from FAR Group, Inc. to North American Natural Gas, Inc. as it had anticipated that it would undertake a new business purpose in the oil and gas exploration industry. The Company was unsuccessful in its efforts to raise the required capital to acquire the oil and gas properties contemplated and reverted back to its original business to exploit the license to market and sell vitamins and other health and fitness products. The Company is currently exploring new business opportunities after not renewing the license to market health and fitness products.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
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|   | These financial statements have been prepared on a going concern basis, which implies the Company will continue to realize its assets and discharge its liabilities in the normal course of business. The Company has never generated revenues since inception and has never paid any dividends and is unlikely to pay dividends or generate earnings in the immediate or foreseeable future. The continuation of the Company as a going concern is dependent upon the continued financial support from its shareholders, the ability of the Company to obtain necessary equity financing to continue operations, and the attainment of profitable operations. As at January 31, 2008, the Company has never generated any revenues, has a working capital deficit of $59,863 and has accumulated losses of $372,863 since inception. These factors raise substantial doubt regarding the Companys ability to continue as a going concern. These financial statements do not include any adjustments to the recoverability and classification of recorded asset amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern.
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|2. | Summary of Significant Accounting Policies                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
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F-4

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North American Natural Gas, Inc.(A Development Stage Company)Notes to the Financial StatementsJanuary 31, 2008(Expressed in U.S. Dollars)(unaudited)

|2. | Summary of Significant Accounting Policies (continued)
|-- | ------------------------------------------------------
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F-5

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North American Natural Gas, Inc.(A Development Stage Company)Notes to the Financial StatementsJanuary 31, 2008(Expressed in U.S. Dollars)(unaudited)

|2. | Summary of Significant Accounting Policies (continued)
|-- | ------------------------------------------------------
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F-6

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North American Natural Gas, Inc.(A Development Stage Company)Notes to the Financial StatementsJanuary 31, 2008(Expressed in U.S. Dollars)(unaudited)

|2. | Summary of Significant Accounting Policies (continued)
|-- | ------------------------------------------------------
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F-7

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North American Natural Gas, Inc.(A Development Stage Company)Notes to the Financial StatementsJanuary 31, 2008(Expressed in U.S. Dollars)(unaudited)

|2. | Summary of Significant Accounting Policies (continued)                                                                                                                                            
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|3. | Related Party Transactions                                                                                                                                                                        
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|   | As at January 31, 2008, the amount of $49,500 (April 30, 2007- $29,500) due to the President of the Company for cash advanced to the Company is non-interest bearing, unsecured and due on demand.
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F-8

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ITEM 2.      MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION.

This quarterly report contains forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. These statements relate to future events or our future financial performance. In some cases, you can identify forward-looking statements by terminology such as may, should, expects, plans, anticipates, believes, estimates, predicts, potential, or continue or the negative of these terms or other comparable terminology. These statements are only predictions and involve known and unknown risks, uncertainties and other factors that may cause our or our industrys actual results, levels of activity, performance or achievements to be materially different from future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements.

Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements. Except as required by applicable law, including the securities laws of the United States, we do not intend to update any of the forward-looking statements to conform these statements to actual results.

Our financial statements are stated in United States Dollars (US$) and are prepared in accordance with United States Generally Accepted Accounting Principles. In this quarterly report, unless otherwise specified, all dollar amounts are expressed in United States dollars. All references to common shares refer to the common shares in our capital stock.

As used in this quarterly report the terms we, us, our, the Company and North American Natural Gas, means North American Natural Gas, Inc., unless otherwise indicated.

General

We were incorporated in the State of Washington on March 24, 2000 as FAR Group Inc. The Company acquired a license to market and distribute vitamins, minerals, nutritional supplements, and other health and fitness products in which the grantor of the license offers these products for sale from various suppliers on their Web site.

During fiscal 2003, the Company changed its name to North American Natural Gas, Inc. as it had anticipated that it would undertake a new business purpose in the oil and gas exploration industry. The Company was unsuccessful in its efforts to raise the required capital to acquire the oil and gas properties contemplated and reverted back to its original business to exploit the license to market and sell vitamins and other health and fitness products.

The Company is in the development stage. We have not yet generated or realized any revenues from our business operations. The ability of the Company to emerge from the development stage with respect to any planned principal business activity is dependent upon its successful efforts to raise additional equity financing and/or attain profitable operations. There is no guarantee that the Company will be able to raise any equity financing or sell any of its products at a profit. There is substantial doubt regarding the Companys ability to continue as a going concern.

In light of the numerous delays with the Vitamineralherb.com website and initial reaction to our preliminary market survey, the Company decided to no longer try to exploit the license to market and sell vitamins and other health related products and is seeking new business opportunities.



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On January 15, 2008, we entered into a Letter of Intent with PureRay Corporation (PureRay); a federally incorporated Canadian corporation and Michael Joasil and Derek Blackburn, collectively referred to as PureRay, whereby we agreed to complete an Agreement and Plan of Merger and Reorganization (the Definitive Agreement) to acquire 100% of the outstanding equity securities of PureRay Corporation, subject to us:

1. Completing a 1.76 forward split of our common stock.

2. Issuing 31,500,000 post-split restricted shares of common stock to the shareholders of PureRay Corporation on a pro-rata basis of the shares held in PureRay.

3. Cancelling 21,370,000 post-split restricted shares of common stock currently held by Jim Glavas, our current President and director.

4. Completing a private placement of not less than 2,500,000 units at a price of not less than $1.00 per unit, whereby each unit is comprised of one common share and one share purchase warrant at an exercise price of $1.00 per share for a period of six months.

5. Replacing our board of directors with 50% of the individuals designated by PureRay Corporation.

The Definitive Agreement is subject to PureRay Corporation providing us with thefollowing:

1. Confirmation of 100% of the shareholders of PureRay Corporation approving and participating in the transaction.

2. Financial statements as required by Item 310 of Regulation SB of the United States Securities and Exchange Commission (SEC) in order to permit us to make the SEC filings required in respect of the purchase and sale of the shares.

The parties are working towards meeting the terms and conditions as provided in the Letter of Intent.

Plan of Operation

North American Natural Gas, Inc. is in the development stage. During the period from March 24, 2000 through January 31, 2008, we engaged in no significant operations other than organizational activities, acquisition of the rights to market Vitamineralherb.com, preparation for registration of securities under the Securities Act of 1933, as amended, preparation of a supplementary business plan and completing a private placement. No revenues were received by us during this period.





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During the fourth quarter of fiscal 2003, we changed our name to North American Natural Gas, Inc. as we had anticipated that we would undertake a new business purpose in the oil and gas exploration industry. We entered into agreements to purchase interests in two oil and gas exploration opportunities subject to raising a minimum of $11,000,000 in a private placement. We were unsuccessful in our efforts to raise the minimum amount and all funds received were subsequently returned to the original subscribers. All agreements were terminated. We spent an aggregate of $85,683 in connection with the failed financing efforts. As we were unsuccessful in our efforts to raise the required capital to change our business purpose, the Company extended its license with Vitamineralherb.com in 2003 for an additional three years to market vitamins, minerals, nutritional supplements and other health and fitness products through the Vitamineralherb.com website.

In April 2006, the License with Vitamineralherb.com expired and the Company did not renew the license, due to numerous delays with the Vitamineralherb.com website. For the period ended January 31, 2008, much of our efforts were directed at locating new business opportunities.

On January 15, 2008 we entered into a Letter of Intent with PureRay Corporation (PureRay). If the acquisition of PureRay Corporation is completed, our business will become the business of PureRay.

The business of PureRay Corporation is to improve the quality of light and the quality of life globally by using its proprietary energy efficient lighting technology. PureRay Corporation is a technology company focused on building a platform of Intellectual Property that makes solar charging and lighting systems practical and cost effective for both the developing world and domestic markets. PureRay is heavily focused on energy efficient solutions for the residential and industrial solid state lighting industries in North America and globally.

For the nine- month period ended January 31, 2008, we had total general and administrative expenses of $19,163. For the remainder of the current fiscal year ending April 30, 2008, we anticipate incurring a loss as a result of expenses associated with maintaining the company in good standing and exploring new business opportunities.

We remain a company in the development stage. Our balance sheet as of January 31, 2008 reflects total assets of $11,552 comprising of cash. We had total liabilities of $71,415 for a working capital deficiency of $59,863. Since inception, our President advanced a total of $ 49,500 for general working capital. This loan will need to be repaid once funds become available. There can be no assurance that he will continue to advance funds as required or that other methods of financing will be available or accessible on reasonable terms. If additional capital is required we will raise the funds by issuing debt and/or equity securities although we have no current arrangements or agreements to such financings at this time.

We have incurred a loss of $19,163 for the fiscal period to date and a total loss of $372,863 from inception. During the quarter ended January 31, 2008, we did not issue any common stock.

Liquidity

As of the date of this report, the Company has yet to generate any revenues from its business operations.



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We had cash on hand of $11,552 as at January 31, 2008 and a working capital deficiency of $59,863 as compared to cash on hand of $4,739 and working capital deficiency of $40,700 as at April 30, 2007.

As we have yet to commence operations, we have not generated any revenues and there can be no assurance that we can generate significant revenues from operations. We expect to incur administrative and professional charges associated with preparing, reviewing, auditing and filing our financial statements and our periodic and other disclosure documents. We currently do not have sufficient funds to meet our cash requirements for the next twelve months. Management is exploring a variety of options to meet the Company's cash requirements and future capital requirements, including the possibility of equity offerings, debt financing, and business combinations.

To date, our President has loaned us $49,500 for additional working capital but there can be no assurance that he will continue to advance funds as required or that other methods of financing will be available or accessible on reasonable terms.

Our failure to generate revenue and conduct operations since inception raises substantial doubt about the Companys ability to continue as a going concern. We will require substantial working capital, and currently have inadequate capital to fund all of our business strategies, which could severely limit our operations.

ITEM 4.      CONTROLS AND PROCEDURES.

Evaluation of Disclosure Controls and Procedures- Our Principal Executive Officer and Principal Financial Officer, after evaluating the effectiveness of our disclosure controls and procedures (as defined in Rule 13a-15(e) and 15d-15(e) under the Exchange Act) as of the end of the period covered by this report, have concluded that, based on the evaluation of these controls and procedures, that our disclosure controls and procedures were effective.













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PART II. OTHER INFORMATION

ITEM 6.      EXHIBITS.The following documents are included herein:

Exhibit No.
     Document Description31.1
     Certification of Principal Executive Officer and Principal Financial Officer pursuant toRule 13a-15(e) and 15d-15(e), promulgated under the Securities and Exchange Act of1934, as amended.32.1
     Certification pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 ofthe Sarbanes-Oxley Act of 2002 (Chief Executive Officer and Chief Financial Officer).
















































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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following person on behalf of the Registrant and in the capacities on this 14thday of March, 2008 at Vancouver, British Columbia, Canada.

NORTH AMERICAN NATURAL GAS, INC.(Registrant)BY:
     JIM GLAVASJim GlavasPresident, Principal Executive Officer, PrincipalAccounting Officer, Principal Financial Officer,Secretary/Treasurer, and member of the Board ofDirectors.
















































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EXHIBIT INDEX

Exhibit No.
     Document Description31.1
     Certification of Principal Executive Officer and Principal Financial Officer pursuant toRule 13a-15(e) and 15d-15(e), promulgated under the Securities and Exchange Act of1934, as amended.32.1
     Certification pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 ofthe Sarbanes-Oxley Act of 2002 (Chief Executive Officer and Chief Financial Officer).


























































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