**FORM      10-QSB**

| x | QUARTERLY                REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE                ACT OF                1934 |
|---|--------------------------------------------------------------------------------------------------------------------------------------|

| o | TRANSITION                REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE                ACT OF                1934 |
|---|---------------------------------------------------------------------------------------------------------------------------------------|

**Forster      Drilling Corporation**

**APPLICABLE      ONLY TO CORPORATE ISSUERS**

----

**Forster      Drilling Corporation**

**INDEX**

|                       |                   |                                                                                                                                                                                                                                                                                        | **Page                No.** |
|----------------------------|------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-----------------------------|
| **Part                I**  |                   | Financial                Information                                                                                                                                                                                                                                                        |  3                     |
|                       |                   |                                                                                                                                                                                                                                                                                        |                        |
|                       | Item                1. | Consolidated                Financial Statements of Forster Drilling Corporation                                                                                                                                                                                                            | 3                           |
|                       |                   |                                                                                                                                                                                                                                                                                        |                        |
|                       |                   | Consolidated                Balance Sheets dated August 31, 2006 and November 30, 2005                (Unaudited)                                                                                                                                                                           |  4                     |
|                       |                   |                                                                                                                                                                                                                                                                                        |                        |
|                       |                   | Consolidated                Statements of Operations for the Three Months and Nine Months Ended                August                31, 2006, the Three Months Ended August 31, 2005 and from Inception                (March                22, 2005) through August 31, 2005 (Unaudited) |  5                     |
|                       |                   |                                                                                                                                                                                                                                                                                        |                        |
|                       |                   | Statements                of Stockholders’ Equity for the period from Inception (March 22, 2005)                through August 31, 2006                                                                                                                                               |  6                     |
|                       |                   |                                                                                                                                                                                                                                                                                        |                        |
|                       |                   | Consolidated                Statements of Cash Flows For the Nine Months Ended August 31, 2006                and                from inception (March 22, 2005) through August 31, 2005                (Unaudited)                                                                         |  7                     |
|                       |                   |                                                                                                                                                                                                                                                                                        |                        |
|                       |                   | Notes                to Financial Statements (unaudited)                                                                                                                                                                                                                                    |  8                     |
|                       |                   |                                                                                                                                                                                                                                                                                        |                        |
|                       | Item                2. | Management’s                Discussion and Analysis                                                                                                                                                                                                                                   | 9                           |
|                       |                   |                                                                                                                                                                                                                                                                                        |                             |
|                       | Item                3. | Controls                and Procedures                                                                                                                                                                                                                                                      |  10                    |
|                       |                   |                                                                                                                                                                                                                                                                                        |                             |
| **Part                II** |                   | Other                Information                                                                                                                                                                                                                                                            |  10                    |
|                       |                   |                                                                                                                                                                                                                                                                                        |                             |
|                       | Item                1. | Legal                Proceedings                                                                                                                                                                                                                                                            |  10                    |
|                       |                   |                                                                                                                                                                                                                                                                                        |                        |
|                       | Item                2. | Unregistered                Sales of Equity Securities and Use of Proceeds                                                                                                                                                                                                                  |  10                    |
|                       |                   |                                                                                                                                                                                                                                                                                        |                        |
|                       | Item                3. | Defaults                Upon Senior Securities                                                                                                                                                                                                                                              |  11                    |
|                       |                   |                                                                                                                                                                                                                                                                                        |                        |
|                       | Item                4. | Submission                of Matters to a Vote of Security Holders                                                                                                                                                                                                                          |  11                    |
|                       |                   |                                                                                                                                                                                                                                                                                        |                        |
|                       | Item                5. | Other                Information.                                                                                                                                                                                                                                                           |  11                    |
|                       |                   |                                                                                                                                                                                                                                                                                        |                        |
|                       | Item                6. | Exhibits                and Reports on Form 8-K                                                                                                                                                                                                                                             |  11                    |
|                       |                   |                                                                                                                                                                                                                                                                                        |                        |
|                       |                   | Signatures                                                                                                                                                                                                                                                                                  |  12                    |

----

**PART      I**

**ITEM      1. FINANCIAL STATEMENTS**

3

----

**FORSTER      DRILLING CORPORATION**

**CONSOLIDATED      BALANCE SHEETS**

|                                                                                                                                                                                 |   | August                31, |        | November                30, |   |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------|-------------|-----------------------------|--------|
| **ASSETS**                                                                                                                                                                           |   | 2006                      |        | 2005                        |   |
|                                                                                                                                                                                 |   |                      |        |                        |   |
| Current                assets:                                                                                                                                                       |   |                      |        |                        |   |
| Cash                and cash equivalents                                                                                                                                             |   | $                         | 48,708      |                        | $      | - |   |
| Trade                accounts receivable, net                                                                                                                                        |   |                      | -           |                        |   | 13,411 |   |
| Inventories                                                                                                                                                                          |   |                      | 52,155      |                        |   | 164,925 |   |
|                                                                                                                                                                                 |   |                      |        |                        |   |   |   |
| Total                current assets                                                                                                                                                  |   |                      | 100,863     |                        |   | 178,336 |   |
|                                                                                                                                                                                 |   |                      |        |                        |   |   |   |
| Construction                in progress: drilling rigs and related equipment                                                                                                         |   |                      | 4,019,700   |                        |   | 839,586 |   |
| Transportation,                office, & other equipment                                                                                                                         |   |                      |        |                        |   |   |   |
| (net                of accumulated depreciation of $13,879 and $5,469)                                                                                                               |   |                      | 61,669      |                        |   | 26,204 |   |
|                                                                                                                                                                                 |   |                      |        |                        |   |   |   |
| Total                assets                                                                                                                                                          |   | $                         | 4,182,232   |                        | $      | 1,044,126 |   |
|                                                                                                                                                                                 |   |                      |        |                        |   |   |   |
| **LIABILITIES                AND STOCKHOLDERS’ EQUITY**                                                                                                                        |   |                      |        |                        |   |   |   |
|                                                                                                                                                                                 |   |                      |        |                        |   |   |   |
| Current                liabilities:                                                                                                                                                  |   |                      |        |                        |   |   |   |
| Accounts                payable                                                                                                                                                      |   | $                         | 477,899     |                        | $      | 197,122 |   |
| Advances                from stockholders                                                                                                                                            |   |                      | 17,940      |                        |   | - |   |
| Accrued                liabilities                                                                                                                                                   |   |                      | 226,192     |                        |   | 23,487 |   |
| Stock                payable                                                                                                                                                         |   |                      | 70,500      |                        |   |   |   |
| Notes                payable                                                                                                                                                         |   |                      | 264,000     |                        |   | - |   |
| Notes                payable to related parties, net of unamortized discount of $40,140                                                                                              |   |                      | 548,628     |                        |   | 5,000 |   |
|                                                                                                                                                                                 |   |                      |        |                        |   |   |   |
| Total                current liabilities                                                                                                                                             |   |                      | 1,605,159   |                        |   | 225,609 |   |
|                                                                                                                                                                                 |   |                      |        |                        |   |   |   |
| Stockholders’                equity:                                                                                                                                           |   |                      |        |                        |   |   |   |
| Preferred                stock, $0.25 par value per share, 12,500,000                shares authorized, 5,835 issued and outstanding                                                 |   |                      | 1,459       |                        |   | - |   |
| Common                stock, $0.002 par value per share, 100,000,000                shares authorized, 43,351,021 and 36,529,929 issued                and outstanding, respectively |   |                      | 86,702      |                        |   | 73,060 |   |
| Additional                paid-in capital                                                                                                                                            |   |                      | 8,118,989   |                        |   | 2,698,985 |   |
| Accumulated                deficit                                                                                                                                                   |   |                      | (5,630,077) |                        |   | (1,953,528 | ) |
| Total                stockholders’ equity                                                                                                                                      |   |                      | 2,577,073   |                        |   | 818,517 |   |
| Total                liabilities and stockholders’ equity                                                                                                                      |   | $                         | 4,182,232   |                        | $      | 1,044,126 |   |

*see      accopanying notes to financial statements*

4

----

**FORSTER      DRILLING CORPORATION**

**CONSOLIDATED      STATEMENTS OF OPERATIONS**

|                                                            |   | Three                Months Ended                August                31, 2006 |       | Three                Months Ended                August                31, 2005 |   | Nine                Months Ended                August                31, 2006 |   | Inception                Through August                31, 2005 |       |
|-----------------------------------------------------------------|--------|---------------------------------------------------------------------------------|------------|---------------------------------------------------------------------------------|--------|--------------------------------------------------------------------------------|--------|-----------------------------------------------------------------|------------|
|                                                            |   |                                                                            |       |                                                                            |   |                                                                           |   |                                                            |       |
| REVENUES                                                        |   | $                                                                               | 1,200,000  |                                                                            | $      | -                                                                              |   | $                                                               | 1,466,000  |   | $ | - |   |
|                                                            |   |                                                                            |       |                                                                            |   |                                                                           |   |                                                            |       |   |   |   |   |
| COST                OF SALES                                    |   |                                                                            | 1,000,050  |                                                                            |   | -                                                                              |   |                                                            | 1,112,050  |   |   | - |   |
|                                                            |   |                                                                            |       |                                                                            |   |                                                                           |   |                                                            |       |   |   |   |   |
| GROSS                PROFIT                                     |   |                                                                            | 199,950    |                                                                            |   | -                                                                              |   |                                                            | 353,950    |   |   | - |   |
|                                                            |   |                                                                            |       |                                                                            |   |                                                                           |   |                                                            |       |   |   |   |   |
| Operating                expenses:                              |   |                                                                            |       |                                                                            |   |                                                                           |   |                                                            |       |   |   |   |   |
| Rig                refurbishment & related expenses         |   |                                                                            | 109,561    |                                                                            |   | 97,971                                                                         |   |                                                            | 337,568    |   |   | 251,714 |   |
| Depreciation                & amortization expense          |   |                                                                            | 2,810      |                                                                            |   | 2,830                                                                          |   |                                                            | 8,410      |   |   | 2,830 |   |
| General                and administrative expenses              |   |                                                                            | 1,596,996  |                                                                            |   | 191,072                                                                        |   |                                                            | 2,405,880  |   |   | 235,745 |   |
| Total                operating expenses                         |   |                                                                            | 1,709,367  |                                                                            |   | 291,873                                                                        |   |                                                            | 2,751,858  |   |   | 490,289 |   |
|                                                            |   |                                                                            |       |                                                                            |   |                                                                           |   |                                                            |       |   |   |   |   |
| OPERATING                LOSS                                   |   |                                                                            | (1,509,417 | )                                                                               |   | (291,873                                                                       | )      |                                                            | (2,397,908 | ) |   | (490,289 | ) |
|                                                            |   |                                                                            |       |                                                                            |   |                                                                           |   |                                                            |       |   |   |   |   |
| Other                expenses:                                  |   |                                                                            |       |                                                                            |   |                                                                           |   |                                                            |       |   |   |   |   |
| Cost                of reverse merger                           |   |                                                                            | 500,000    |                                                                            |   | -                                                                              |   |                                                            | 500,000    |   |   | - |   |
| Loss                on settlement of debt                       |   |                                                                            | 264,233    |                                                                            |   |                                                                           |   |                                                            | 264,233    |   |   |   |   |
| Other                expenses                                   |   |                                                                            | 26,222     |                                                                            |   | 14,770                                                                         |   |                                                            | 26,222     |   |   | 14,770 |   |
| Interest                expense                                 |   |                                                                            | 428,914    |                                                                            |   | -                                                                              |   |                                                            | 488,186    |   |   | - |   |
|                                                            |   |                                                                            |       |                                                                            |   |                                                                           |   |                                                            |       |   |   |   |   |
| NET                LOSS                                         |   | $                                                                               | (2,728,786 | )                                                                               | $      | (306,643                                                                       | )      | $                                                               | (3,676,549 | ) | $ | (505,059 | ) |
|                                                            |   |                                                                            |       |                                                                            |   |                                                                           |   |                                                            |       |   |   |   |   |
| Basic                and diluted net loss per share             |   | $                                                                               | (.06)      |                                                                            | $      | (.01)                                                                          |   | $                                                               | (.09)      |   | $ | (.02) |   |
|                                                            |   |                                                                            |       |                                                                            |   |                                                                           |   |                                                            |       |   |   |   |   |
| Weighted                average common shares  outstanding |   |                                                                            | 42,943,636 |                                                                            |   | 32,492,196                                                                     |   |                                                            | 39,403,567 |   |   | 31,414,982 |   |
|                                                            |   |                                                                            |       |                                                                            |   |                                                                           |   |                                                            |       |   |   |   |   |

*see      accopanying notes to financial statements*

5

----

**FORSTER      DRILLING CORPORATION**

**CONSOLIDATED      STATEMENTS OF STOCKHOLDERS’ EQUITY**

|                                                                                                  |   |   |   **Preferred                Stock** |                           | **Common                Stock  **  |   |   | **Additional****Paid-In** |   |   |                              |   |    |                             |   |
|-------------------------------------------------------------------------------------------------------|--------|--------|------------------------------------------------|--------------------------------|----------------------------------------------|--------|--------|---------------------------|--------|--------|-----------------------------------|--------|---------|----------------------------------|--------|
|                                                                                                  |   |   |   **Shares**                         |   **Par**            | **Shares**                                   |   |   | **Par**                   |   |   | **Capital                 ** |   |    |  **Accumulated****Deficit** |   |   | **Total                 ** |   |
| Shares                issued for services                                                             |   |   |   -                                  |   $                - | 23,830,000                                   |   | $      | 47,660                    |   | $      | 1,098,920                         |   |  $ | -                                |   | $ | 1,146,580 |   |
| Shares                issued for drilling rig parts contributed by a founder at founders’ basis |   |   |   -                                  |   -                  | 10,000,000                                   |   |   | 20,000                    |   |   | 221,000                           |   |    | -                                |   |   | 241,000 |   |
| Stock                issued for cash                                                                  |   |   |   -                                  |   -                  | 2,667,999                                    |   |   | 5,336                     |   |   | 1,363,164                         |   |    | -                                |   |   | 1,368,500 |   |
| Stock                issued for debt                                                                  |   |   |   -                                  |   -                  | 31,930                                       |   |   | 64                        |   |   | 15,901                            |   |    | -                                |   |   | 15,965 |   |
| Net                loss                                                                               |   |   |   -                                  |   -                  | -                                            |   |   | -                         |   |   | -                                 |   |    | (1,953,528                       | )      |   | (1,953,528 | ) |
| Balance                November 30, 2005                                                              |   |   |   -                                  |   -                  | 36,529,929                                   |   |   | 73,060                    |   | $      | 2,698,985                         |   |    | (1,953,528                       | )      |   | 818,517 |   |
| Shares                retained by Process Technology shareholders in reverse                merger    |   |   |   5,835                              |   1,459              | 2,000,000                                    |   |   | 4,000                |   |   | (5,459)                      |   |    | -                           |   |   | -  |   |
| Shares                issued for services                                                             |   |   |   -                                  |   -                  | 386,058                                      |   |   | 772                       |   |   | 1,174,431                         |   |    | -                                |   |   | 1,175,203 |   |
| Shares                issued for payment of debt                                                      |   |   |   -                                  |   -                  | 777,834                                      |   |   | 1,556                     |   |   | 907,177                           |   |    | -                                |   |   | 908,733 |   |
| Stock                issued for cash                                                                  |   |   |   -                                  |   -                  | 3,657,200                                    |   |   | 7,314                     |   |   | 2,914,055                         |   |    | -                                |   |   | 2,921,369 |   |
| Discount                related to beneficial conversion feature on convertible notes payable         |   |   |   -                                  |   -                  | -                                            |   |   | -                         |   |   | 382,418                           |   |    | -                                |   |   | 382,418 |   |
| Debt                discount on note payable                                                          |   |   | -                                              | -                              | -                                            |   |   | -                         |   |   | 47,382                            |   |    |                             |   |   | 47,382 |   |
|                                                                                                  |   |   |                                           |                           | -                                            |   |   | -                         |   |   |                              |   |    | -                                |   |   | - |   |
| Net                loss                                                                               |   |   |                                           |                           | -                                            |   |   | -                         |   |   | -                                 |   |    | (3,676,549)                      |   |   | (3,676,549) |   |
|                                                                                                  |   |   |                                           |                           |                                         |   |   |                      |   |   |                              |   |    |                             |   |   |   |   |
| Balance                August 31, 2006                                                                |   |   |   5,835                              |   1,459              | 43,351,021                                   |   | $      | 86,702                    |   | $      | 8,118,989                         |   | $       | (5,630,077                       | )      | $ | 2,577,073 |   |

*see      accopanying notes to financial statements*

6

----

**FORSTER      DRILLING CORPORATION**

**CONSOLIDATED      STATEMENTS OF CASH FLOWS**

|                                                                                       |   | Nine                Months Ended                August                31, 2006 |       | Inception                through                August                31, 2005 |   |
|--------------------------------------------------------------------------------------------|--------|--------------------------------------------------------------------------------|------------|--------------------------------------------------------------------------------|--------|
| **Cash                flows from operating activities:**                                   |   |                                                                           |       |                                                                           |   |
| Net                loss                                                                    |   | $                                                                              | (3,676,549 | )                                                                              | $      | (505,059 | ) |
| Adjustments                to reconcile net loss to net cash used in operating activities: |   |                                                                           |       |                                                                           |   |   |   |
| Stock-based                compensation expense                                            |   |                                                                           | 1,175,203  |                                                                           |   | 21,580 |   |
| Amortization                of beneficial conversion feature                               |   |                                                                           | 382,418    |                                                                           |   | - |   |
| Amortization                of debt discount                                               |   |                                                                           | 7,242      |                                                                           |   | - |   |
| Depreciation                                                                               |   |                                                                           | 8,410      |                                                                           |   | 2,830 |   |
| Loss                on settlement of debt                                                  |   |                                                                           | 264,233    |                                                                           |   | - |   |
| Cost                of merger                                                              |   |                                                                           | 500,000    |                                                                           |   | - |   |
| Decrease                in accounts receivable                                             |   |                                                                           | 13,411     |                                                                           |   | - |   |
| (Increase)                Decrease in inventories                                          |   |                                                                           | 112,770    |                                                                           |   | (14,575 | ) |
| Increase                in accounts payable                                                |   |                                                                           | 280,778    |                                                                           |   | 104,807 |   |
| Increase                in accrued expenses & other liabilities                        |   |                                                                           | 202,705    |                                                                           |   | 9,745 |   |
| Net                cash used in operating activities                                       |   |                                                                           | (729,379   | )                                                                              |   | (380,672 | ) |
|                                                                                       |   |                                                                           |       |                                                                           |   |   |   |
| **Cash                flows from investing activities:**                                   |   |                                                                           |       |                                                                           |   |   |   |
| Purchases                of fixed assets                                                   |   |                                                                           | (2,579,490 | )                                                                              |   | (361,828 | ) |
| Net                cash used in investing activities                                       |   |                                                                           | (2,579,490 | )                                                                              |   | (361,828 | ) |
|                                                                                       |   |                                                                           |       |                                                                           |   |   |   |
| **Cash                flows from financing activities:**                                   |   |                                                                           |       |                                                                           |   |   |   |
|                                                                                       |   |                                                                           |       |                                                                           |   |   |   |
| Proceeds                from sale of common stock                                          |   |                                                                           | 2,921,369  |                                                                           |   | 825,500 |   |
| Proceeds                from stock payable                                                 |   |                                                                           | 70,500     |                                                                           |   | - |   |
| Proceeds                from related party borrowings                                      |   |                                                                           | 252,000    |                                                                           |   | 25,821 |   |
| Proceeds                from third party borrowings                                        |   |                                                                           | 1,183,000  |                                                                           |   | - |   |
| Advances                from related parties                                               |   |                                                                           | 17,940     |                                                                           |   | - |   |
| Payments                on related party borrowings                                        |   |                                                                           | (168,232   | )                                                                              |   | (108,821) |   |
| Payments                on third party borrowings                                          |   |                                                                           | (919,000)  |                                                                           |   | - |   |
| Net                cash provided by financing activities                                   |   |                                                                           | 3,357,577  |                                                                           |   | 742,500 |   |
|                                                                                       |   |                                                                           |       |                                                                           |   |   |   |
| Increase                (decrease) in cash and cash equivalents                            |   |                                                                           | 48,708     |                                                                           |   | - |   |
|                                                                                       |   |                                                                           |       |                                                                           |   |   |   |
| Cash                and cash equivalents, beginning of period                              |   |                                                                           | -          |                                                                           |   | - |   |
|                                                                                       |   |                                                                           |       |                                                                           |   |   |   |
| Cash                and cash equivalents, end of period                                    |   | $                                                                              | 48,708     |                                                                           | $      | - |   |
|                                                                                       |   |                                                                           |       |                                                                           |   |
| **Supplemental                Cash Flow Disclosures:**                                     |   |                                                                           |       |                                                                           |   |
| Cash                paid for income taxes                                                  |   | $                                                                              | -          |                                                                           | $      | - |   |
| Cash                paid for interest                                                      |   |                                                                           | 17,106     |                                                                           |   | - |   |
| **Non-cash                investing and financing activities:**                            |   |                                                                           |       |                                                                           |   |   |   |
| Paid                debt with common stock                                                 |   |                                                                           | 627,000    |                                                                           |   | - |   |
| Purchased                drilling rig parts with common stock                              |   |                                                                           | -          |                                                                           |   | 241,000 |   |
| Purchased                drilling rig parts with note payable to seller                    |   |                                                                           | 627,000    |                                                                           |   | 88,000 |   |
| Discount                on notes payable                                                   |   |                                                                           | 47,382     |                                                                           |   | - |   |
| Discount                of notes for beneficial conversion feature                         |   |                                                                           | 382,418    |                                                                           |   | - |   |

*see      accopanying notes to financial statements*

7

----

**FORSTER      DRILLING CORPORATION**

Forster      Drilling Corporation (“Forster”) have been prepared in accordance with      accounting principles generally accepted in the United States of America and      the      rules of the Securities and Exchange Commission, and should be read in      conjunction with the audited financial statements and notes thereto contained      in      the Form 8-K      filed      on June 22, 2006, and incorporated herein by reference. In the opinion of      management, all adjustments, consisting of normal recurring adjustments,      necessary for a fair presentation of financial position and the results of      operations for the interim periods presented have been reflected herein. The      results of operations for interim periods are not necessarily indicative of      the      results to be expected for the full year. Notes to the financial statements      which would substantially duplicate the disclosures contained in the audited      financial statements for fiscal 2005 as reported in the Form 8-K have been      omitted. 

|                                                                                                                              |   |   |     |   |
|-----------------------------------------------------------------------------------------------------------------------------------|--------|--------|----------|--------|
| Proceeds                                                                                                                          |   | $      | 156,000  |   |
|   Less:                discount for common stock                                                                        |   |   | (10,218  | )      |
|             discount                for beneficial conversion feature |   |   | (10,218  | )      |
|              repayment                of principal               |   |   | (142,232 | )      |
|   Add:                amortization of discount                                                                          |   |   | 20,436   |   |
|   Balance                at August 31, 2006                                                                             |   |   | 13,768   |   |
|   Less:                related party portion                                                                            |   |   | (13,768  | )      |
|   Third                party portion at August 31, 2006                                                                 |   | $      | -        |   |

|                                                                                                                              |   |    |     |   |
|-----------------------------------------------------------------------------------------------------------------------------------|--------|---------|----------|--------|
| Proceeds                                                                                                                          |   | $       | 150,000  |   |
|   Less:                discount for common stock                                                                        |   |    | (28,500  | )      |
|             discount                for beneficial conversion feature |   |    | (121,500 | )      |
|              repayment                of principal               |   |    | -        |   |
|   Add:                amortization of discount                                                                          |   |    | 150,000  |   |
|   Balance                at August 31, 2006                                                                             |   | $  | 150,000  |   |

| ·   | issued                386,058 shares of common stock valued at $1,175,203 for                services |
|--------------------|-------------------------------------------------------------------------------------------------------|

| ·   | issued                777,834 shares of common stock valued at $908,733 for repayment of                debt |
|--------------------|--------------------------------------------------------------------------------------------------------------|

| ·   | sold                3,657,200 shares of common stock for cash proceeds of                $2,921,369 |
|--------------------|-----------------------------------------------------------------------------------------------------|

| ·   | issued                convertible notes with beneficial conversion features totaling $382,418                resulting in a charge to additional paid in                capital |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | issued                non-interest bearing notes to related parties with discounts totaling                $47,382 resulting in a charge to additional paid in                capital |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

8

----

**ITEM      2.**
**MANAGEMENT’S      DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND **

**RESULTS      OF OPERATIONS.**

**Forward      Looking Statements**

**Overview**

**Results      of Operations **

**Plan      of Operation**

9

----

**Off-Balance      Sheet Arrangements**

**ITEM      3. CONTROLS AND PROCEDURES.**

| (a)   | Evaluation                of Disclosure Controls and                Procedures |
|-----------------|--------------------------------------------------------------------------------|

| (b)   | Changes                in Internal Control Over Financial                Reporting |
|-----------------|------------------------------------------------------------------------------------|

**PART      II**

**ITEM      1. LEGAL PROCEEDINGS.**

**ITEM      2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF      PROCEEDS.**

** **

10

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**ITEM      3. DEFAULTS UPON SENIOR SECURITIES.**

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

**ITEM      5. OTHER INFORMATION.**

**ITEM      6. EXHIBITS AND REPORTS ON FORM 8-K.**

**Exhibit      No.**
**Identification      of Exhibit**

31.1

31.2

| 32.1 | Certification                Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section                906 of                the Sarbanes-Oxley Act of 2002 provided by F. E. Forster, III, Chief                Executive Officer |
|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 32.2 | Certification                Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section                906 of                the Sarbanes-Oxley Act of 2002 provided by Bud Najvar, Chief Financial                Officer |
|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

99.1
 

11

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**SIGNATURES**

**FORSTER      DRILLING CORPORATION**

12

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**EXHIBIT      INDEX**

**Exhibit      No.**
**Identification      of Exhibit**

31.1

31.2

| 32.1 | Certification                Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section                906 of                the Sarbanes-Oxley Act of 2002 provided by F. E. Forster, III, Chief                Executive Officer |
|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 32.2 | Certification                Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section                906 of                the Sarbanes-Oxley Act of 2002 provided by Bud Najvar, Chief Financial                Officer |
|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

99.1

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