**AMENDMENT        NO. 2 TO FORM 10-QSB**

**Summit      Environmental Corporation, Inc.**

| Texas(state                of incorporation) | 333-48659(Commission                File Number) | 73-1537206(IRS                Employer I.D.                Number) |
|----------------------------------------------|--------------------------------------------------|--------------------------------------------------------------------|

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**TABLE      OF CONTENTS**

|                                                                                                          | Page   |
|---------------------------------------------------------------------------------------------------------------|--------|
|                                                                                                          |   |
| PART                    I - FINANCIAL INFORMATION                                                             | 3      |
| Item                    1. Financial Statements                                                               | 3      |
| Item                    2. Management’s Discussion and Analysis or Plan of                    Operation | 15     |
| Item                    3. Controls and Procedures                                                            | 19     |
|                                                                                                          |   |
| PART                    II - OTHER INFORMATION                                                                | 19     |
| Item                    1. Legal Proceedings                                                                  | 19     |
| Item                    2. Unregistered Sales of Equity Securities                                            | 20     |
| Item                    6. Exhibits and Reports on Form 8-K                                                   | 20     |
|                                                                                                          |   |
| SIGNATURES                                                                                                    | 22     |

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**PART      I - FINANCIAL INFORMATION**

**Item        1.  **
****Financial        Statements****

| Condensed                Balance Sheets March 31, 2005 (Unaudited) and December 31, 2004                (Audited) | 4 |
|-------------------------------------------------------------------------------------------------------------------|---|
| Statements                of Operations (Unaudited) Three Months Ended March 31, 2005 and                2004     | 5 |
| Statements                of Cash Flows (Unaudited) Three Months Ended March 31, 2005 and                2004     | 6 |
| Notes                to Financial Statements(Unaudited)                                                           | 7 |

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**SUMMIT        ENVIRONMENTAL CORPORATION, INC.**

**CONDENSED        BALANCE SHEETS**

|                                                                          |   | March                    31, 2005 (Unaudited) |       | December                    31, 2004 (Audited) |   |
|-------------------------------------------------------------------------------|--------|-----------------------------------------------|------------|------------------------------------------------|--------|
| **Assets**                                                                    |   |                                          |       |                                           |   |   |   |
| **Current                    Assets**                                         |   |                                          |       |                                           |   |   |   |
| Cash                    and Cash Equivalents                                  |   | $                                             | 383,764    |                                           | $      | 460,257 |   |
| Accounts                    Receivable, less allowance for doubtful           |   |                                          |       |                                           |   |   |   |
| accounts                    of $172,678                                       |   |                                          | 43,706     |                                           |   | 63,479 |   |
| Inventory                                                                     |   |                                          | 488,185    |                                           |   | 352,108 |   |
| Prepaid                    Expenses                                           |   |                                          | 153,053    |                                           |   | 157,409 |   |
| Total                    Current Assets                                       |   |                                          | 1,068,708  |                                           |   | 1,033,253 |   |
|                                                                          |   |                                          |       |                                           |   |   |   |
| **Property                    and Equipment at Cost**                         |   |                                          |       |                                           |   |   |   |
| Property                    and Equipment                                     |   |                                          | 80,636     |                                           |   | 80,636 |   |
| Leasehold                    Improvements                                     |   |                                          | 13,877     |                                           |   | 13,877 |   |
| Accumulated                    Depreciation and Amortization                  |   |                                          | (57,211    | )                                              |   | (54,406 | ) |
| Net                    Property and Equipment                                 |   |                                          | 37,302     |                                           |   | 40,107 |   |
|                                                                          |   |                                          |       |                                           |   |   |   |
| **Other                    Assets**                                           |   |                                          |       |                                           |   |   |   |
| Prepaid                    Royalties                                          |   |                                          | 483,939    |                                           |   | 490,095 |   |
| Deposits                                                                      |   |                                          | 2,180      |                                           |   | 2,180 |   |
| Patents                    - net of accumulated amortization                  |   |                                          |       |                                           |   |   |   |
| of                    $1,007,543 and $969,800                                 |   |                                          | 1,367,457  |                                           |   | 1,405,200 |   |
| Licenses                    - net of accumulated amortization                 |   |                                          |       |                                           |   |   |   |
| of                    $44,281 and $41,440                                     |   |                                          | 131,439    |                                           |   | 134,280 |   |
| Total                    Other Assets                                         |   |                                          | 1,985,015  |                                           |   | 2,031,755 |   |
|                                                                          |   |                                          |       |                                           |   |   |   |
| **Total                    Assets**                                           |   | $                                             | 3,091,025  |                                           | $      | 3,105,115 |   |
|                                                                          |   |                                          |       |                                           |   |   |   |
| **Liabilities                    and Stockholders' Equity**                   |   |                                          |       |                                           |   |   |   |
| **Current                    Liabilities**                                    |   |                                          |       |                                           |   |   |   |
| Accounts                    Payable                                           |   | $                                             | 243,442    |                                           | $      | 141,130 |   |
| Notes                    Payable                                              |   |                                          | 50,000     |                                           |   |   |   |
| Accrued                    Liabilities                                        |   |                                          | 42,942     |                                           |   | 38,045 |   |
| Total                    Current Liabilities                                  |   |                                          | 336,384    |                                           |   | 179,175 |   |
|                                                                          |   |                                          |       |                                           |   |   |   |
|                                                                          |   |                                          |       |                                           |   |   |   |
| **Stockholders'                    Equity**                                   |   |                                          |       |                                           |   |   |   |
| Preferred                    stock, par value $.001; 10,000,000               |   |                                          |       |                                           |   |   |   |
| shares                    authorized, no shares issued                        |   |                                          |       |                                           |   |   |   |
| Common                    stock, par value $.001; 40,000,000                  |   |                                          |       |                                           |   |   |   |
| shares                    authorized, 23,249,344 and 23,209,344 shares issued |   |                                          | 23,260     |                                           |   | 23,220 |   |
| Additional                    Paid in Capital                                 |   |                                          | 10,154,293 |                                           |   | 10,144,383 |   |
| Accumulated                    Deficit                                        |   |                                          | (7,397,912 | )                                              |   | (7,216,663 | ) |
| Treasury                    Stock - 10,000 shares                             |   |                                          | (25,000    | )                                              |   | (25,000 | ) |
| Total                    Stockholders' Equity                                 |   |                                          | 2,754,641  |                                           |   | 2,925,940 |   |
|                                                                          |   |                                          |       |                                           |   |   |   |
| **Total                    Liabilities and Stockholders' Equity**             |   | $                                             | 3,091,025  |                                           | $      | 3,105,115 |   |

*The          accompanying notes are an integral part of this financial          statement*

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**SUMMIT          ENVIRONMENTAL CORPORATION, INC.**

**STATEMENTS          OF OPERATIONS**

**(Unaudited)**

|                                                             |   | **Three                    Months Ended**  |       |
|------------------------------------------------------------------|--------|-------------------------------------------------|------------|
|                                                             |   | **March                    31,**           |       |
|                                                             |   | **2005**                                        |       | **2004** |   |
|                                                             |   |                                            |       |   |   |
| **Sales**                                                        |   | $                                               | 209,878    |   | $ | 42,028 |   |
| **Returns                    and Allowances**                    |   |                                            | -          |   |   | - |   |
| **Net                    Sales**                                 |   |                                            | 209,878    |   |   | 42,028 |   |
|                                                             |   |                                            |       |   |   |   |   |
| **Cost                    of Sales**                             |   |                                            |       |   |   |   |   |
| Cost                    of sales                                 |   |                                            | 131,491    |   |   | 17,693 |   |
|                                                             |   |                                            |       |   |   |   |   |
| **Gross                    Profit**                              |   |                                            | 78,387     |   |   | 24,335 |   |
|                                                             |   |                                            |       |   |   |   |   |
| **Operating                    Expenses**                        |   |                                            |       |   |   |   |   |
| Selling,                    general, and administrative expenses |   |                                            | 214,205    |   |   | 162,354 |   |
| Amortization                                                     |   |                                            | 40,584     |   |   | 40,584 |   |
| Depreciation                                                     |   |                                            | 2,805      |   |   | 2,805 |   |
| Total                    operating expense                       |   |                                            | 257,594    |   |   | 205,743 |   |
|                                                             |   |                                            |       |   |   |   |   |
| **Net                    Earnings (Loss) from Operations**       |   |                                            | (179,207   | ) |   | (181,408 | ) |
|                                                             |   |                                            |       |   |   |   |   |
| **Other                    Income (Expense)**                    |   |                                            |       |   |   |   |   |
| Interest                    income                               |   |                                            | 1,105      |   |   | 73 |   |
| Interest                    expense                              |   |                                            | (807       | ) |   | (691 | ) |
| Miscellaneous                                                    |   |                                            | (2,340     | ) |   | (2,089 | ) |
| Total                    other income (expense)                  |   |                                            | (2,042     | ) |   | (2,707 | ) |
|                                                             |   |                                            |       |   |   |   |   |
| **Net                    Loss**                                  |   | $                                               | (181,249   | ) | $ | (184,115 | ) |
|                                                             |   |                                            |       |   |   |   |   |
|                                                             |   |                                            |       |   |   |   |   |
| **Net                    Earnings (Loss) per Share**             |   | $                                               | (0.01      | ) | $ | (0.01 | ) |
|                                                             |   |                                            |       |   |   |   |   |
| **Weighted                    Average Shares**                   |   |                                            | 23,233,177 |   |   | 18,222,157 |   |

*The          accompanying notes are an integral part of these financial          statements.*

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**SUMMIT          ENVIRONMENTAL CORPORATION, INC.**

**STATEMENTS          OF CASH FLOWS**

|                                                                    |   | **Three                    Months Ended** |     |
|-------------------------------------------------------------------------|--------|-------------------------------------------|----------|
|                                                                    |   | **March                    31,**          |     |
|                                                                    |   | **2005**                                  |     | **2004** |   |
|                                                                    |   |                                      |     |   |   |
| **Cash                    Flows from Operating Activities**             |   |                                      |     |   |   |   |   |
| Net                    loss                                             |   | $                                         | (181,249 | ) | $ | (184,115 | ) |
| Adjustments                    to reconcile net earnings (loss) to cash |   |                                      |     |   |   |   |   |
| used                    in operating activities                         |   |                                      |     |   |   |   |   |
| Amortization                                                            |   |                                      | 40,584   |   |   | 40,584 |   |
| Depreciation                                                            |   |                                      | 2,805    |   |   | 2,805 |   |
| Common                    stock and options issued for services         |   |                                      | 9,950    |   |   | 9,625 |   |
| Change                    in assets and liabilities                     |   |                                      |     |   |   |   |   |
| Accounts                    receivable                                  |   |                                      | 19,773   |   |   | (25,652 | ) |
| Inventory                                                               |   |                                      | (136,077 | ) |   | (34,267 | ) |
| Prepaid                    expenses and deposits                        |   |                                      | 10,512   |   |   | 7,142 |   |
| Accounts                    payable                                     |   |                                      | 102,312  |   |   | 17,417 |   |
| Accrued                    liabilities                                  |   |                                      | 4,897    |   |   | 638 |   |
| Net                    cash used in operating activities                |   |                                      | (126,493 | ) |   | (165,823 | ) |
|                                                                    |   |                                      |     |   |   |   |   |
| **Cash                    Flows from Investing Activities**             |   |                                      |     |   |   |   |   |
| Acquisition                    of property and equipment                |   |                                      | -        |   |   | (117 | ) |
| Net                    cash used in investing activities                |   |                                      | -        |   |   | (117 | ) |
|                                                                    |   |                                      |     |   |   |   |   |
| **Cash                    Flows from Financing Activities**             |   |                                      |     |   |   |   |   |
| Loan                    proceeds                                        |   |                                      | 50,000   |   |   | - |   |
| Proceeds                    from sale of stock                          |   |                                      | -        |   |   | 128,000 |   |
| Net                    cash provided by financing activities            |   |                                      | 50,000   |   |   | 128,000 |   |
|                                                                    |   |                                      |     |   |   |   |   |
| **Net                    Increase (Decrease) in Cash**                  |   |                                      | (76,493  | ) |   | (37,940 | ) |
|                                                                    |   |                                      |     |   |   |   |   |
| Cash                    - Beginning of Period                           |   |                                      | 460,257  |   |   | 114,054 |   |
|                                                                    |   |                                      |     |   |   |   |   |
| Cash                    - End of Period                                 |   | $                                         | 383,764  |   | $ | 76,114 |   |
|                                                                    |   |                                      |     |   |   |   |   |
| **Supplemental                    cash flow information**               |   |                                      |     |   |   |   |   |
| Cash                    paid for interest                               |   | $                                         |     |   | $ |   |   |
| Cash                    paid for income taxes                           |   |                                      | -        |   |   | - |   |

*The        accompanying notes are an integral part of these financial        statements.*

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| 1. | SIGNIFICANT                ACCOUNTING POLICIES |
|----|------------------------------------------------|

|  | Summit                Environmental Corporation, Inc. (the “company”) was organized in                accordance with the Business Corporation Act of the State of Texas                on                February 2, 1998, for the purpose of merging (the “merger”) with Summit                Technologies, Inc., a Texas corporation. The company continued to                exist as                the surviving corporation under its present name pursuant to the                provisions of the Texas Business Corporation Act. The merger was                effected                on December 2, 1998 as a tax-free reorganization accounted for as                a                pooling of interests. |
|--|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | The                company markets fire suppression materials, environmentally safe                cleaning                chemicals, and natural, botanical cosmetic products. The products                are                proprietary or are under exclusive license. Marketing efforts include                “infomercials” and other television and radio promotion, videotapes, and                personal demonstrations. Products are marketed domestically and                internationally. |
|--|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | Revenue Recognition |
|--|--------------------------|

*        "Revenue Recognition"*
*        "Revenue Recognition in Financial Statements",*

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|  | Cash                and cash equivalents |
|--|------------------------------------------|

|  | The                company maintains cash balances at financial institutions located                in                Longview, Texas, which at times may exceed federally insured limits.                The                company has not experienced any losses in such accounts and believes                it is                not exposed to any significant credit risk on cash and cash                equivalents. |
|--|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | The                company considers all highly liquid investments with a maturity of                three                months or less when purchased to be cash                equivalents. |
|--|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | Accounts Receivable  |
|--|--------------------------------|

charged            to the provision for doubtful accounts. The Company calculates this allowance            based on historical write-offs, level of past due accounts and relationships            with and economic status of the customers. There were no uncollectible            receivable balances written off during the periods ended March 31, 2005            and            2004, and there were no bad debt provisions recognized for the periods            ended            March 31, 2005 and 2004*.*

|  | Inventory |
|--|-----------|

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|   | Intangible Assets |
|--------|------------------------|

|  | Patents                    and licenses costs are recorded at cost. Amortization is computed                    on the                    straight-line method over the identifiable lives of the patents                    and                    licenses. The Company has adopted the provisions of Statement                    of Financial                    Accounting Standards (SFAS) No. 142,*Goodwill and Other Intangible Assets,*effective                    for periods beginning January 1, 2002, and thereafter. SFAS 142                    addresses                    financial accounting and reporting for acquired goodwill and                    other                    intangible assets and supersedes APB Opinion No. 17, *Intangible                    Assets*.                    Specifically, the statement addresses how intangible assets that                    are                    acquired should be accounted for in financial statements upon                    their                    acquisition, as well as how goodwill and other intangible assets                    should be                    accounted for after they have been initially recognized in the                    financial                    statements. The statement requires intangible assets to be reviewed                    for                    impairment whenever events or changes in circumstances indicate                    that their                    carrying amounts may not be recoverable and that a loss shall                    be                    recognized if the carrying amount of an intangible exceeds its                    fair value.                    Even though no event or change in circumstances has occurred                    as of March                    31, 2005, the Company has tested its intangible assets, including                    prepaid                    royalties, for impairment, basing its assessment on its knowledge                    of the                    development history of the products and their current sales trends,                    and                    does not believe these amounts to be                    impaired. |
|--|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | Income Taxes |
|--|-------------------|

|  | Property and Equipment |
|--|----------------------------------|

|   | Depreciation                  and amortization are provided in amounts sufficient to relate the                  cost of                  depreciable assets to operations over their estimated service lives                  by the                  straight-line method. |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Leasehold                  improvements are amortized over the lives of the respective leases                  or the                  service lives of the improvements, whichever is                  shorter. |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | Major                  repairs or replacements of property and equipment are capitalized.                  Maintenance, repairs and minor replacements are charged to operations                  as                  incurred. |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | When                  units of property are retired or otherwise disposed of, their cost                  and                  related accumulated depreciation are removed from the accounts                  and any                  resulting gain or loss is included in                  operations. |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| Description                                   |   | Estimated Service Life |                     |
|-----------------------------------------------|--------|----------------------------------|--------------------------|
|                                          |   |                             |                     |
| Office                furniture and equipment |   |                             | 5-7                years |   |
|                                          |   |                             |                     |   |
| Leasehold                improvements         |   |                             | 4                years   |   |

|   |  | Advertising                and marketing costs are expensed as incurred, which totaled $20,046                and                $2,583 for the first quarters of 2005 and 2004, respectively. |
|--------|--|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   |  | Shipping                and handling costs |
|--------|--|--------------------------------------------|

|   |  | The                Company includes shipping and handling costs in “Selling, general and                administrative expenses” for purposes of income statement presentation.                Shipping and handling costs were approximately $4,900 and $6,200,                for the                first quarters of 2005 and 2004,                respectively. |
|--------|--|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   |  | Research                and development costs |
|--------|--|-----------------------------------------------|

|   |  | The                costs associated with research and development activities are expensed                as                incurred. Total research and development costs were approximately                $6,100                and $4,300, for the first quarters of 2005 and 2004,                respectively. |
|--------|--|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   |  | The                  preparation of financial statements in conformity with accounting                  principles generally accepted in the United States of America requires                  management to make estimates and assumptions that affect certain                  reported                  amounts and disclosures. Significant                  estimates include providing for doubtful accounts receivable, reserves                  for                  obsolete inventories, depreciation of property and equipment and                  amortization of intangible assets. Actual                  results could differ from those estimates and                  the impact of those differences on gross profit and results of                  operations                  could be material. |
|--------|--|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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*Earnings        per Share*

| 2. | PATENT |
|----|--------|

| 3. | LICENSES |
|----|----------|

|  | Worldwide                exclusive marketing rights to BioRemediation Technology developed                by                Mohsen C. Amiran, Ph.D. were acquired for stock in the amount of                360,000                shares and warrants for 180,000 shares of stock exercisable at $1.00                per                share during the first quarter of                2003. |
|--|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| 4. | LEASES |
|----|--------|

|   |  | The                  company is obligated under various operating leases for equipment,                  vehicles, and office and warehouse space. Rent expense for all                  operating                  leases was $13,652 and $17,456 for the first quarters of 2005 and                  2004,                  respectively. We renewed our lease for office space for one year.                  The                  lease payment remained unchanged at $1,700 per month. We continue                  to                  maintain warehouse space on a month to month basis at $1,300 per                  month. |
|--------|--|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4A. | COMMITMENTS                  AND CONTINGENCIES |
|-----|------------------------------------------------|

| 5. | COMMON              STOCK |
|----|---------------------------|

|  | During                the first quarter of 2005, no shares of common stock were sold in                a                private placement. |
|--|--------------------------------------------------------------------------------------------------------------------------------------------|

|  | The                sole director and stockholders approved the 1998 Stock Option Plan                (the                “Plan”) of the company whereby, at the discretion of the directors or of                a                Stock Option Committee appointed by the board of directors, invited                employees of the company or directors of the company or consultants                to the                company will have the option of subscribing to common shares of the                company based on a price determined by the directors or Stock Option                Committee. The number of shares subject to the Plan is                500,000. |
|--|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | In                February 2004, the board of directors adopted the 2004 Stock Option                Plan                (the “2004 Plan”). The number of shares subject to the 2004 Plan is                1,000,000. |
|--|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|  | At                  March 31, 2005, there were 397,500 options to purchase shares of                  common                  stock outstanding pursuant to the Plan and 480,000 options to purchase                  shares of common stock outstanding pursuant to the 2004                  Plan. |
|--|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   |  | There                  were 861,250 warrants outstanding at March 31, 2005, exercisable                  at $0.50                  per share through May 27, 2005. There were 1,000,000 warrants outstanding                  at March 31, 2005 exercisable at $1.00 through May 27, 2005. There                  were                  180,000 warrants outstanding at March 31, 2005, exercisable at                  $0.25 per                  share with no expiration date. |
|--------|--|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 6. | RELATED                PARTY TRANSACTIONS |
|----|-------------------------------------------|

|  | The                  company and another business with common shareholders share office                  space                  and the related expenses. |
|--|-----------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | Ex-employee                  - $54,568 - | charged                    by the Company with embezzlement. Judgment obtained and judgment                    settled                    for $52,000 paid in April 2005. |
|--|------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   |   |
|--------|--------|

|  | Summit Environmental                  Europe - $7,383 - | the Company’s former marketing representative                  in Europe received fire suppressant product but never paid for                  it. |
|--|---------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------|

|   |   |
|--------|--------|

|  | Proformance                  Marketing -                  $31,517 - | this former marketing representative                  received                  fire suppressant product but never paid for                  it. |
|--|---------------------------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------|

|   |   |
|--------|--------|

|  | FlameOut International                  -                  $60,569 - | this former marketing representative                  received                  fire suppressant product but never paid for                  it. |
|--|----------------------------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------|

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| 7. | CONCENTRATIONS |
|----|----------------|

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**Item      2.**
**Management's      Discussion and Analysis or Plan of Operation**

*The      following discussion and analysis should be read in conjunction with the      financial statements and the accompanying notes thereto for the three-month      period ended March 31, 2005 and is qualified in its entirety by the foregoing      and by more detailed financial information appearing elsewhere. See "Item 1.      Financial Statements." The discussion includes management’s expectations for the      future.*

**Results      of Operations - First Quarter of 2005 Compared to First Quarter of      2004**

**FirePower**
**TM**

**FirePower**
**TM**

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**OVERVIEW      - RECENT DEVELOPMENTS**

**FlameOut®**

**FlameOut®**
**FlameOut®**

**FlameOut®**

**FlameOut®**

**OUTLOOK**

*The      statements made in this Outlook are based on current plans and expectations.      These statements are forward looking, and actual results may vary considerably      from those that are planned.*

**FirePower**
**TM**

**FlameOut®**
**FlameOut®**
**FirePower**
**TM**

**FlameOut®**
**FlameOut®**
**FlameOut®**
**FlameOut®**
**FlameOut®**

----

**FlameOut®**
**FirePower**
**TM**

**FlameOut®**
**FlameOut®**
**FlameOut®**
**FlameOut®**
**FlameOut®**
**FlameOut®**
**FirePower**
**TM**

**FlameOut®**
**FlameOut®**
**FirePower**
**TM**

**FirePower**
**TM**

**FlameOut®**

**FlameOut®**
**FlameOut®**
**FlameOut®**

**SafeTree®**
**SafeTree®**
**SafeTree®**

----

**FlameOut®**
**FlameOut®**
**FlameOut®**
**FlameOut®**
**FlameOut®**
**SafeTree®**

**FlameOut**
**®**

**FlameOut**
**®**

**FlameOut**
**®**

**FlameOut**
**®**

**FlameOut**
**®**

**FlameOut**
**®**

**FlameOut®**
**FirePower**
**TM**

**FlameOut®**

**Ultimate      Clean**
**TM**

**      Products**
**.**

**Ultimate      Clean**
**TM**

----

**Ultimate      Clean**
**TM**

*Our      future results of operations and the other forward-looking statements contained      in this Outlook involve a number of risks and uncertainties. Among the factors      that could cause actual results to differ materially are the following: the      inability of the company to obtain needed additional capital, loss of personnel,      particularly chief executive officer B. Keith Parker, as a result of accident      or      for health reasons, interruptions in the supply of inventory from manufacturers      of the inventory, the development of a competing fire suppressant by a      well-capitalized competitor that either is able to develop a new product with      the same attributes as our fire suppressant or is able to discover the additives      to our fire suppressant that give it its unique and superior qualities, and      an      accident involving life or serious bodily harm that fairly or unfairly would      bring into question the safety of using the company’s fire suppressant      products.*

**Item      3.**
**Controls      and Procedures**

**PART      II - OTHER INFORMATION**

| **Item              1.** | ****Legal              Proceedings**** |
|--------------------------|----------------------------------------|

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| **Item                  2.** | **Unregistered                  Sales of Equity Securities** |
|------------------------------|--------------------------------------------------------------|

| **Date** |   | **Person** |                           | **No.                of****Shares** |   | **Price****Per                Share** |   | **Type                of****Consideration** |   |
|----------|--------|------------|--------------------------------|-------------------------------------|--------|---------------------------------------|--------|---------------------------------------------|--------|
|     |   |       |                           |                                |   |                                  |   |                                        |   |
| 01-12-05 |   |       | Chris                Dellinges |                                |   | 15,000                                |   | $                                           | 0.26   |   |   | Services                as Chief Financial Officer |   |
| 01-27-05 |   |       | Keith                Parker    |                                |   | 7,500                                 |   | $                                           | 0.25   |   |   | Services                as Chief Executive Officer |   |
| 01-27-05 |   |       | Paula                Parker    |                                |   | 5,000                                 |   | $                                           | 0.25   |   |   | Services                as Vice President |   |
| 03-16-05 |   |       | Keith                Parker    |                                |   | 7,500                                 |   | $                                           | 0.24   |   |   | Services                as Chief Executive Officer |   |
| 03-16-05 |   |       | Paula                Parker    |                                |   | 5,000                                 |   | $                                           | 0.24   |   |   | Services                as Vice President |   |
| 04-07-05 |   |       | AmBiz                          |                                |   | 94,292                                |   | $                                           | 0.20   |   |   | Services                for Marketing Advice |   |
| 04-25-05 |   |       | Chris                Dellinges |                                |   | 15,000                                |   | $                                           | 0.25   |   |   | Services                as Chief Financial Officer |   |
| 04-29-05 |   |       | Keith                Parker    |                                |   | 15,000                                |   | $                                           | 0.25   |   |   | Services                as Chief Executive Officer |   |
| 04-29-05 |   |       | Paula                Parker    |                                |   | 10,000                                |   | $                                           | 0.25   |   |   | Services                as Vice President |   |

| **Item                  6.** | **Exhibits                  and Reports on Form                  8-K** |
|------------------------------|------------------------------------------------------------------------|

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

| 2.1    | Agreement                  of Merger of July 14, 1998, between Summit Environmental Corporation,                  Inc.                  and Summit Technologies, Inc.**                                                               |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                                                                                  |
| 3.1    | Articles                  of Incorporation of Summit Environmental Corporation,                  Inc.*                                                                                                                                |
|   |                                                                                                                                                                                                                                  |
| 3.1.1  | Amendment                  to Articles of Incorporation of Summit Environmental Corporation,                  Inc.**                                                                                                                  |
|   |                                                                                                                                                                                                                                  |
| 3.2    | Bylaws                  of Summit Environmental Corporation, Inc.*                                                                                                                                                                    |
|   |                                                                                                                                                                                                                                  |
| 10.1   | 1998                  Stock Option Plan adopted by Summit Environmental Corporation,                  Inc.*                                                                                                                           |
|   |                                                                                                                                                                                                                                  |
| 10.3   | Limited                  Exclusive Marketing Bilateral Agreement Between Moonlighting Distribution                  Corporation-USA and Summit Technologies, Inc. (Poder Sexual, Ultimate                  Stressex and/or Poder 24)* |

----

| 10.4   | Limited                    Exclusive Marketing Bilateral Agreement among B. Keith Parker,                    individually and as Chairman of the Board and CEO of Moonlighting                    Distribution Corporation-USA, d/b/a Moonlighting International,                    and Summit                    Technologies, Inc. (FireKare,**FirePower 911****Ô**,                    Super Cold Fire, and **Flame                    Out®**)* |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| 10.6   | Exclusive                    Marketing Bilateral Agreement between Moonlighting Distribution                    Corporation-USA and Summit Technologies, Inc.                    (Trim-Away)**                                                                                                                                                                                                                                                                |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| 10.7   | November                    2, 1998 Amendment to April 27, 1998 Letter of Intent between                    BioGenesis                    Enterprises, Inc. and Summit Technologies, Inc., and April 27,                    1998 Letter                    of Intent.***                                                                                                                                                                                      |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| 10.8   | 2004                    Stock Option Plan adopted by Summit Environmental Corporation,                    Inc.+                                                                                                                                                                                                                                                                                                                                               |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                          |

| 10.9   | Royalty                      Agreement between BioGenesis Enterprises, Inc. and Summit Environmental                      Corporation, Inc.+*                                                                                     |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                                                                              |
| 10.10  | Amendment                      Six to Letter of Intent between BioGenesis Enterprises, Inc.                      and Summit                      Environmental Corporation, Inc. dated July 29, 1999.+*                           |
|   |                                                                                                                                                                                                                              |
| 10.11  | Letter                      dated December 1, 1999 from Thomas J. Kenan to BioGenesis outlining                      terms                      of acceptance and executed by BioGenesis Enterprises,                      Inc.+* |

| 14     | Code                    of Ethics for the Chief Executive officer and Senior Financial                    Officers.*+                                                                                                                                                                                                                          |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                                                                                                                                                                                           |
| 16.1   | Letter                    of November 24, 2004 of Lane Gorman Trubitt, L.L.P. agreeing                    with the                    statements made in Form 8-K by Summit Environmental Corporation,                    Inc.,                    concerning Summit’s change of principal independent                    accountants.++ |
|   |                                                                                                                                                                                                                                                                                                                                           |
| 31     | Certification                    of Chief Executive Officer pursuant to 18 U.S.C. Section 1350,                    as adopted                    pursuant to Section 302 of the Sarbanes-Oxley Act of                    2002.                                                                                                                 |
|   |                                                                                                                                                                                                                                                                                                                                           |
| 31.1   | Certification                    of Chief Financial Officer pursuant to 18 U.S.C. Section 1350,                    as adopted                    pursuant to Section 302 of the Sarbanes-Oxley Act of                    2002.                                                                                                                 |
|   |                                                                                                                                                                                                                                                                                                                                           |
| 32     | Certification                    of Chief Executive Officer pursuant to 18 U.S.C. Section 1350,                    as adopted                    pursuant to Section 906 of the Sarbanes-Oxley Act of                    2002.                                                                                                                 |
|   |                                                                                                                                                                                                                                                                                                                                           |
| 32.1   | Certification                    of Chief Financial Officer pursuant to 18 U.S.C. Section 1350,                    as adopted                    pursuant to Section 906 of the Sarbanes-Oxley Act of                    2002.                                                                                                                 |

| *    | Previously                  filed with Form SB-2; Commission File No. 333-48675 incorporated                  herein.                    |
|------|------------------------------------------------------------------------------------------------------------------------------------------|
| **   | Previously                  filed with Amendment No. 1 to Form SB-2; Commission File No. 333-48675                  incorporated herein. |
| ***  | Previously                  filed with Amendment No. 5 to Form SB-2; Commission File No. 333-48675                  incorporated herein. |
| **** | Previously                  filed with Form 10-QSB 03-31-02; Commission File No. 333-48675                  incorporated herein.         |
| +    | Previously                  filed with Form 10-KSB 12-31-03; Commission File No. 333-48675                  incorporated herein.         |
| ++   | Previously                  filed with Form 8-K November 22, 2004; Commission File No. 333-48659                  incorporated herein.   |
| *+   | Previously                  filed with Form 10-KSB 12-31-04, Commission File No. 333-48675                  incorporated herein.         |

| +* | Previously                filed with                Amendment No. 2 to Form 10-KSB 12-31-04, Commission File No. 333-48659                incorporated herein. |
|----|----------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

**SIGNATURES**

|                                            |                                                                             |                                          |
|-------------------------------------------------|----------------------------------------------------------------------------------|-----------------------------------------------|
|                                            | **SUMMIT                    ENVIRONMENTAL CORPORATION,                    INC.** |
|                                       |                                                                        |                                     |
| Date: November                    22, 2005 | By:                                                                    | /s/ *B.                    Keith Parker* |
|                                            |                                                                                  |
|                                            | B. Keith                    Parker,                    Chief Executive Officer   |

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