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

FORM 10-KSB

(Mark One)

x ANNUAL REPORT UNDER
  SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 
  For the fiscal year ended June 30, 2003

 ̈ TRANSITION REPORT
  UNDER SECTION 13 OR 15 (d) OF THE EXCHANGE ACT 
  For the transition period from ________ to _________

Commission File Number: 0-29285

ONLINE INNOVATION, INC.(Name of Small Business Issuer in its charter)

|Delaware                        | 52-2058364                
|------------------------------- | --------------------------
|(state or other jurisdiction of | (I.R.S. Employer I.D. No.)
|Incorporation or organization)  |                           

1118 Homer Street, #118, Vancouver, British Columbia
  V6B 6L5 
  (Address of principal executive offices)

(604) 669-7564
  (Issuers telephone number)

_____________________________________________________________
  Former name, former address, and former fiscal year, if changed since last report

Securities registered pursuant to Section 12(b) of the Act:
  None

Securities registered pursuant to Section 12(g) of the Act:
  Common Stock

Check whether the issuer (1) filed all reports required to
  be filed by sections 13 or 15(d) of the Exchange Act during the past 12 months
  (or for such shorter period that the registrant was required to file such reports),
  and (2) has been subject to such filing requirements for the past 90 days.

Yes x
  No  ̈

Check if there is no disclosure of delinquent filers in response
  to Item 405 of Regulation S-B is not contained in this form, and no disclosure
  will be contained, to the best of the

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registrants knowledge, in definitive proxy or information
  statements incorporated by reference in Part III of this Form 10-KSB or any
  amendment to this Form 10-KSB. x

As of June 30, 2003, the registrant did not report any revenues.

As of September 24, 2003, the aggregate market value of the
  voting common equity held by non-affiliates of the registrant was $1,144,500.00
  based on the closing trade reported on the NASD Over the Counter Bulletin Board.
  Shares of common stock by each officer and director and by each person who owns
  5% or more of the outstanding common stock have been excluded from this calculation
  as such persons may be considered to be affiliated with the registrant.

PROCEEDINGS DURING THE PRECEDING FIVE YEARS:

Check whether the registrant has filed all documents and reports
  required to be filed by Section 12, 13 or 15(d) of the Exchange Act after the
  distribution of securities under a plan confirmed by a court.

YES  ̈  NO
   ̈   N/A

APPLICABLE ONLY TO CORPORATE ISSUERS

State the number of shares outstanding of each of the issuers
  classes of common equity, as of the latest practicable date:

As of September 25, 2003 the registrants outstanding
  common stock consisted of 15,630,000 shares.

DOCUMENTS INCORPORATED BY REFERENCE

Transitional Small Business Disclosure Format (Check one):
  YES  ̈   NO x

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ONLINE INNOVATION, INC.

FORM 10KSB TABLE OF CONTENTS

|Part | Item(s) |                                                              
|---- | ------- | -------------------------------------------------------------
|     |         |                                                              
|I    | 1       | Description of Business                                      
|     | 2       | Description of Property                                      
|     | 3       | Legal Proceedings                                            
|     | 4       | Submission of Matters to a Vote of Security Holders          
|II   | 5       | Market for Common Equity and Related Stockholder Matters     
|     | 6       | Plan of Operation                                            
|     | 7       | Financial Statements                                         
|     | 8       | Changes In and Disagreements With Accountants                
|     |         | on Accounting and Financial Disclosure                       
|     | 8A      | Controls and Procedures                                      
|III  | 9       | Directors, Executive Officers, Promoters and Control Persons;
|     |         | Compliance with Section16(a) of the
      Exchange Act       
|     | 10      | Executive Compensation                                       
|     | 11      | Security Ownership of Certain Beneficial Owners              
|     |         | and Management                                               
|     | 12      | Certain Relationships and Related Transactions               
|     | 13      | Exhibits and Reports on Form 8-K                             
|     | 14      | Principal Accounting Fees and Services                       
|     |         |                                                              
|     |         | Signatures                                                   
|     |         | Certifications                                               
|     |         | Exhibits                                                     

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PART I

ITEM 1: 	DESCRIPTION OF BUSINESS

Business Development

Online Innovation, Inc. (the "Company") is a web asset development
  company. The Company has created a website that is designed to facilitate social
  interaction between single adults, with an emphasis on entertainment and matchmaking.
  The Companys website enables site visitors to interact socially in a variety
  of contexts. The Company's flagship website located on the worldwide web at
  www.VirtuallyDating.com, provides real time communication, entertainment and
  matchmaking between single adults. The target market for VirtuallyDating is
  single North American men and women over the age of 18 that have exhausted the
  traditional ways of meeting new people.

During the period covered by this report, the Company completed
  the development of its website. The website was launched on September 3, 2002,
  although the Company has continued throughout the fiscal year to develop new
  content and functionality for the website and to upgrade existing content and
  functionality. In addition to ongoing website development, the Company focused
  its energies on securing equity financing to fund its ongoing operations and
  to fund planned marketing of the website.

The website was launched on September 3, 2002. The Company
  is currently offering free 10-day trials and an introductory special in which
  users may purchase a 1-year membership for $19.95. This introductory offer was
  originally made for a 30 day period but has been extended by the Company for
  an indefinite period. The Company intends to continue the introductory offer
  until it has been able to carry out marketing activities to promote the website.
  After the introductory offer has been completed, memberships will be available
  for $10.95 per month, $29.95 for three months, $49.95 for 6 months and $79.95
  for 1 year. As of September 15, 2003, the website had 49,131 registered members
  (including members on 10 day trials). In addition to generating revenue through
  the sale of memberships, the Company intends to generate revenue through banner
  advertising and the sale of merchandise through the website.

The Company was incorporated on May 7, 1997 pursuant to the
  General Corporation Law of the State of Delaware, U.S.A. under the name Micro
  Millennium Inc. The Company changed its name from Micro Millennium, Inc., to
  Sinaloa Gold Corp. on October 16, 1997 and operated as a mineral exploration
  and development company until January of 1999. Early in 1999, the Company decided
  to withdraw its interest in its mineral properties and to acquire and develop
  its current website development business. Pursuant to an agreement dated April
  2, 1999, the Company acquired from Online Innovation, a non-reporting private
  unincorporated entity, a 100% interest in all of its proprietary and intellectual
  property associated with its business plan and concepts and its worldwide web
  site domain name, www.VirtuallyDating.com. As consideration for the acquisition
  of the assets of Online Innovation, the Company issued 400,000 common shares
  at a deemed value of $0.50 per share to Mr. Darin Wong, the sole proprietor
  of Online Innovation. The Company changed its name from Sinaloa Gold Corp. to
  Online Innovation, Inc. on April 8, 1999, after acquiring the assets of Online
  Innovation as described above. Since the acquisition the Company has

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developed and continues to develop the property and concepts
  acquired from Online Innovation. In addition, it has been forging partnerships
  and strategic alliances in the Internet industry and seeking financing to further
  its development goals.

Business of the Company

Principal Products and Services

The Company's principal product/service is a website on the
  worldwide web (www.VirtuallyDating.com) which Internet users can utilize to
  engage in various forms of social interaction with other users. The focus is
  on entertainment and matchmaking for single adults. The website is multi-faceted
  and allows users to interact socially in a number of different forums, described
  in greater detail below. The main webpage, located at www.VirtuallyDating.com,
  provides links to the other pages that comprise the site. These pages contain
  the various interactive/entertainment functions and services offered by the
  Company. In order to utilize the website, visitors are required to become members.
  Once an individual becomes a member, he or she can access the various WebPages
  created by the Company to interact with other members.

The website offers several ways for members to interact, meet,
  and have fun through its many features, while always maintaining privacy and
  discretion. While the intention may be for members to find a love connection
  or friendship, the sites primary focus is entertainment. The interactive
  entertainment features of the site may also lead to or enhance a friendship
  or romantic liaison.

The website was launched on September 3, 2002. Prior to full
  launch the website was available for use free of charge and had developed an
  established user base of approximately 39,000 members. Members who registered
  prior to full launch were given 30 days to determine whether to continue as
  members and pay to use the site. The Company is currently offering free 10-day
  trials and an introductory special in which users may purchase a 1-year membership
  for $19.95. This introductory offer was originally made for a 30 day period
  but has been extended by the Company for an indefinite period. The Company intends
  to continue the introductory offer until it has been able to carry out marketing
  activities to promote the website. After the introductory offer has been completed,
  memberships will be available for $10.95 per month, $29.95 for three months,
  $49.95 for 6 months and $79.95 for 1 year.

The Company has incurred expenditures of approximately $510,000
  over the past 3 fiscal years related to the design and development of the website.
  Approximately $325,000 was incurred in the fiscal year ended June 30, 2001,
  approximately $125,000 was incurred in the fiscal year ended June 30, 2002 and
  approximately $60,000 was incurred in the fiscal year ended June 30, 2003.

Member Profiles

Members of the site complete a survey in which they submit
  information such as gender, height, geographic location, lifestyle choices,
  interests, hopes, dreams and desires. This information provides a personal profile
  for each member. Once the member completes the survey, the information is incorporated
  into a personal profile and is entered into a database

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with other users. Members have the option of personalizing
  their profile by including up to (3) three photographs. The personal profile
  is then posted in a member profile viewing gallery. All information from the
  member profiles is placed in a searchable database that other members can utilize
  to find suitable companions.

AutoMatch Function

The AutoMatch option allows members to match automatically
  with other members who have similar interests. This function allows members
  to create a personal "short list" of member profiles to view and serves as an
  alternative to completing a more time-consuming survey of each member in the
  viewing gallery.

Searching Member Profiles

In addition to the AutoMatch function, an advanced search
  feature enables members to search the database for a suitable companion. Members
  engaging in such a search are required to identify the key qualities they are
  seeking in a companion. Utilizing the criteria set out by the member, the search
  engine searches the database and the member is provided with other member profiles
  that meet his/her criteria.

Internal Messaging Service

Each member is provided with an internal messaging function
  that operates throughout the website. Privacy is maintained because home and
  office e-mail addresses are not utilized. Once a member selects the profile
  of a person whom he or she wishes to contact, the member can send a personal
  electronic message to that member as a first means of direct communication.
  The recipient can retrieve the message and respond at his or her own discretion.

Chat Rooms

Chat rooms are sites where large numbers of members interact
  through real time messaging. All members participating in a chat room discussion
  can read messages that are sent to other participants in the room. Chat rooms
  provide "chatters" with the opportunity to discuss common interests and themes.
  Chat rooms also provide an alternative to the static member profile gallery
  as a means of meeting other members. For those members who are shy, and for
  whom connecting for the first time through internal messaging is too direct,
  the chat rooms provide the opportunity to get to know members first, before
  escalating the communication to a one-on-one basis.

The Company provides three different sets of chat rooms organized
  around three different themes. The chat rooms emulate a natural setting in which
  people tend to meet, and are graphically enhanced to look and feel like an actual
  themed environment.

Friendship/Companionship Chat Rooms

The Friendship/Companionship set of chat rooms are designed
  to attract members who are looking to meet others who have the same interests
  and are not looking for romantic involvement. There are four themed chat rooms
  available to these types of members.

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Romance & Love Chat Rooms

The Romance & Love set of chat rooms are designed to attract
  members who are serious about finding a love match and embarking on an experience
  of romance. Four themed chat rooms emulate the environments where singles could
  possibly look for love in the real world.

The Red Light District

In these chat rooms members can discuss more personal issues
  that are quite possibly sexual in nature. The Company hopes that by providing
  a separate set of chat rooms for sexual discussions, it will help prevent this
  type of interaction from occurring in the Friendship/Companionship and Romance
  & Love chat rooms.

Private Rooms

If a member connects with someone special in a chat room,
  he or she has the option of forming a private discussion where the two can send
  real time messages and interact one-on-one. The room is completely private.
  Only the two members involved are able to read the other's messages and participate
  in the conversation.

The Dressing Room

The Dressing Room allows members to design their own "avatar",
  a personalized caricature that represents the member throughout the site. Members
  enter the Dressing Room and have a selection of graphic representations of body
  parts and other accessories with which to create their own caricature. By utilizing
  simple navigation methods, members are easily guided through the creation of
  their avatar, choosing from a library of components (eyes, hair, body type,
  accessories, etc.). The avatar represents the member in all interactive sections
  of the Virtually Dating site. In chat rooms, multi-player games, video chat
  or on the member's personal profile, the avatar serves to introduce members
  to other members and provide another way in which members can express themselves.

Multi Player Avatar Based Games

The website contains an interactive Games Lounge in which
  members can congregate to play games with one another. Current games include
  a multi player card game and one on one backgammon board game. Each player/member
  participating in these games are represented by their avatar. Members utilizing
  this area of the site also have the ability to chat in real time with one another.

Live Video Chat

The website features a live video chat function for members
  whose personal computers have the capacity to perform video conferencing/interaction.
  Members can carry out real time video conferencing using this feature.

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Send a Gift

The Company hopes to eventually develop the website to allow
  users to combine online dating with online shopping. This would allow members,
  once they had found that special someone, to send a gift to that person. Gifts
  would range from greeting cards or "virtual" bouquets of flowers that are sent
  electronically, to merchandise which would be mailed to the recipient. Currently,
  animated greeting cards and virtual gifts are available to be sent within the
  website. Members are able to customize a message and then send it along with
  a virtual card or a virtual gift from their VirtuallyDating mailbox (10 animated
  cards to start with and future plans to increase the Gallery's inventory).

When merchandise becomes available, members will be able to
  view a select inventory of Private Collection gifts with the click of a mouse
  and purchase the gift directly, without having to leave the site. The Companys
  initial plan is to keep the recipient mailing information so that privacy of
  the member's location will be maintained. The sender will never know the address
  of the recipient, and vice versa. All gifts in the Private Collection will be
  tasteful and in the spirit of romance so that intended recipients need not fear
  receiving something offensive in the mail.

The Company originally hoped to develop the website to permit
  the purchase and delivery of merchandise within the first year of launch of
  the e-commerce component of the site but has been unable to do so. The Company
  still intends to develop this aspect of its business but has been focusing on
  raising capital for use in marketing the website and developing other features.
  Currently, therefore, the Company does not foresee implementing merchandising
  infrastructure until funds for marketing have been made available and a larger
  member base has been established

Dear Bridgette

The website features a section which offers Dear Abby
  style editorial content, addressing dating questions or dilemmas. Within this
  section, paid users may have one on one dating or relationship type questions
  answered directly by the Companys in-house relationship coach known on
  the site as Bridgette. Members can ask questions directly to Bridgette,
  who in turn sends the member her advice or reply. The reply is sent directly
  to the members personal mailbox hosted on the www.virtuallydating.com
  website.

Horoscopes

The Company has negotiated an agreement with KnowledgeWeb,
  Inc. ("KnowledgeWeb"), pursuant to which the horoscope content of KnowledgeWeb's
  website will be made available to the Company's members. KnowledgeWeb provides
  an online horoscope service through its website located at www.Astrology.net.
  The Company entered into an Affiliate Agreement with KnowledgeWeb on November
  8, 1999. Pursuant to the terms of the Affiliate Agreement, the Company is permitted
  to provide its members with access to content provided on the Astrology.net
  website. Access is provided by direct links from the Company's website to the
  Astrology.net website. Astrology.net provides some horoscope content to its
  users free of charge (e.g. daily horoscopes) and charges users for other content
  (e.g. personalized charts). KnowledgeWeb pays the Company commissions on purchases
  of content/services provided by Astrology.net made by persons who are linked
  to the

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Astrology.net website directly from the Company's website
  (10% for aggregate purchases of up to $1,000 in any given month and 20% for
  aggregate purchases exceeding $1,000 per month).

Banner Advertising

In addition to membership fees and online shopping, the Company
  intends to generate revenue through the sale of banner advertising. Banner advertisements
  are advertisements which appear on banners on the perimeter of a computer user's
  screen while viewing a website. Once traffic on the Company's website reach
  1,000,000 page views per month, the website will be marketable to major corporations
  for banner advertising. A page view is the number of times each page throughout
  the site has been viewed by multiple users.

The Company intends to target corporations whose business
  will enhance the general spirit of the website so that members will not feel
  that they are being blatantly advertised to. General floating banner spots will
  be made available to all prospective advertisers throughout the website's pages,
  but will not be available in the themed chat rooms. Banner advertisements in
  the themed chat rooms will be sold exclusively to corporations that sell products
  that are related to the theme of and will directly enhance the atmosphere in
  the chat room. For example, the Company intends to create a chat room with a
  "coffee house" theme. The Company intends to reserve banner advertisements in
  the "coffee house" chat room for corporations that sell coffee related products.
  Banner advertising on the website will be sold by the unit. A unit is 1,000
  impressions. An impression is an occurrence of a banner advertisement on a webpage
  while that webpage is being viewed. Thus, a banner advertisement may appear
  for a few seconds or minutes while a person is viewing a webpage and then be
  replaced by another advertisement. Each time an advertisement appears is one
  impression.

Distribution Method

The Company's primary means of distribution for its products
  and services is the Internet. The Company's primary product is the information
  and interactive functions which are contained on the website. The information
  is accessible to Internet users who are members. Merchandise that may eventually
  be available through the "Send a Gift" service, once that service is functioning,
  will be distributed through the mail or courier services.

Competition

The Company competes with numerous entities that provide matchmaking/dating
  services to the public in a variety of manners. The Company has identified four
  sources of competition: traditional "offline" dating agencies, personal advertisements,
  telepersonals and other online dating services.

Traditional Dating Agencies

The Company competes with traditional "offline" dating agencies
  that provide matchmaking services to single adults. These are typically local
  services which serve defined and limited geographic areas. These services typically
  charge clients a fee for their service and do not facilitate interaction beyond
  introducing their clients to one another. By virtue of delivering

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its services via the Internet, the Company can reach a market
  that is international in scope. Marketing efforts will initially focus primarily
  on Canada and the U.S., but the Company is in a position to deliver its services
  anywhere in the world. This represents a significant advantage for the Company
  relative to traditional local dating agencies. In addition, the Company offers
  a range of services and forums that facilitate interaction between single people
  prior to them actually meeting in person. This type of service has generally
  not been provided by traditional dating agencies. Finally, the Company's internet
  based service allows delivery of the service directly to an individual's home
  computer This allows members to interact socially from the comfort of their
  own home, until such time as they wish to interact with other members in a more
  direct fashion. The primary competitive disadvantage for the Company relative
  to "offline" dating services, is the Company's reliance on the Internet to deliver
  its services, which limits the Company's market to personal computer users with
  Internet access. Traditional dating services have no such market restriction.
  Nonetheless, for the reasons discussed above, the Company believes that its
  use of the Internet as a means of service/product delivery is also the Company's
  primary competitive advantage over traditional dating services. In addition,
  the Company expects the use of the Internet to increase dramatically in the
  coming years, significantly offsetting any advantage "offline" dating agencies
  may have in this regard.

Personal Ads

Single adults seeking companionship or romance often place
  personal advertisements in newspapers and other periodical publications. The
  Company thus competes with newspapers and other periodicals for a portion of
  the market share. Similar to offline dating agencies, periodicals
  are subject to geographic restrictions with respect to the market they can operate
  in. They can be costly and do not have an interactive component as the Company's
  Internet based service does. Without an interactive component, participants
  are forced to communicate directly, either via telephone or in person, perhaps
  more quickly than they would like. As discussed above, the Company's Internet
  based service allows members to interact from the comfort and security of their
  homes prior to arranging person to person contact with a prospective companion.
  Personal advertisements also have the advantage of being accessible to individuals
  without computers and Internet access. As discussed above, however, the Company
  believes that the use of the Internet will increase dramatically in the coming
  years, thereby offsetting a significant portion of the advantage of offline
  services in this regard.

Telepersonals

Telepersonal services enable users to record personal advertisements
  that can then be accessed by other individuals over the telephone. Fees are
  often based on time spent using the service. Telepersonal advertisements have
  some of the same drawbacks relative to the Company's Internet based service
  that the other services described above have. They do not facilitate any social
  interaction prior to a person to person or telephone meeting with a prospective
  companion. Telephone use is, however, much more widespread than Internet use,
  providing telepersonal matchmaking service providers with an advantage over
  the Company in terms of accessibility of the service. This competitive advantage
  will only be overcome if Internet use becomes as widespread as telephone use,
  making the Companys products and services as accessible as those of telepersonal
  matchmaking services.

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Online Dating Services

There are many other websites that provide services similar
  to those that are provided by the Company. The information below provides a
  summary of what the Company believes to be the most successful direct competition.

Match.com

Match.com was purchased in 1999 by Ticket Master for a reported
  $50 million. Match.com is considered a leading online matchmaking and dating
  service that targets single adults and provides them with a convenient and private
  environment for meeting other singles. Match.com and their networks claim that
  their service served approximately 857,000 paying subscribers and has attracted
  more than 18 million members.

MatchMaker.com

MatchMaker.com was purchased in August 2000 by Lycos for a
  reported $45 million (Lycos was subsequently purchased by Terra Networks SA
  and is now Terra Lycos). Matchmaker.com can be considered a leading online matchmaking
  and dating service that offers single adults a convenient and private environment
  for meeting other singles. Matchmaker.com claims that there are over 3 million
  members who regularly visit the site. MatchMaker.com derives the majority of
  its revenue from subscription fees and advertising sales.

MatchNet, PLC

MatchNet, PLC considers itself to be 1 of the 3 top online
  dating and romance companies worldwide. They report more than 7.0 million registered
  users throughout their network of online dating and romance websites. MatchNet,
  PLCs network consists of a number of sites worldwide: AmericanSingles.com
  catering to the United States; MatchNet.de catering to Germany; MatchNet.co.uk
  catering to the United Kingdom; MatchNet.com.au catering to Australia, CollegeLuv.com
  targeting college age members, Glimpse.com targets the gay and lesbian community.
  MatchNet, PLC also owns and operates Jdate.com targeting the Jewish online dating
  population. MatchNet, PLC derives the majority of its revenue from subscription
  fees and advertising sales generated across its network of sites.

General

While the Company provides certain products and services that
  management believes are not currently being provided by the Company's online
  competitors, the Company is still at a competitive disadvantage relative to
  the online competitors listed above because of their established market presence.
  The Company will have to capture a market share before it can effectively compete
  with established online competitors. Established competitors have revenues to
  further develop and enhance their products and services, while the Company is
  dependent on additional financing to do so. Refer to "Assessment of Competition"
  below for a discussion of the relative competitive advantages of established
  online matchmaking service providers.

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Assessment of Competition

The Company's primary competition comes from other online
  dating services. The Company's management is of the view that online matchmaking/dating
  services are superior to services provided by offline competitors and that the
  major barrier to their success relative to offline competitors is that internet
  use, despite having expanded rapidly in recent years, is still not universally
  available in the Companys target market. Management is of the view that
  once Internet access becomes more widespread, online matchmaking services should
  displace offline competition. The interactive component of the online service,
  particularly the potential to foster extensive interaction prior to person to
  person meetings, should make use of online services more appealing than offline
  services to single adults seeking companionship. There is no guarantee, however,
  that access to and use of the Internet will increase. Even if access to and
  use of the Internet do increase, there is no guarantee that online services
  will displace offline competitors or that the Company will capture a substantial
  portion of the online market.

The Company's website is currently functional, but as discussed
  above, it was only recently fully launched and membership recruitment is at
  a very early stage. Established competitors therefore have an advantage over
  the Company in that they have already captured a share of the market and thus
  have an established market presence. Achieving critical mass with respect to
  market share is critical for a business of the nature of the Company's. The
  Company's service will only be useful to consumers once a certain level of membership
  is attained. Competitors who already have an established market share are, therefore,
  in a better competitive position than the Company. The Company hopes to offset
  any such competitive advantages by offering products and services that are superior
  in quality and more appealing than those of their competitors and by launching
  an effective marketing campaign. There is no guarantee, however, that the Company
  will be able to accomplish this. Given the Companys current financial
  resources it will be difficult for the Company to compete effectively with established
  online competitors. Management hopes, however, that the quality of the Companys
  products and services will enable it to compete with more established competitors
  over the long term.

The Company's primary objectives in the immediate future are
  to market its products/services and attain a broadly based diverse membership.
  To do so will require capital. The Company relies on equity financing to acquire
  capital for marketing and product development. There is no guarantee that financing
  sufficient to enable the Company to meet its objectives will be available in
  the future. The Company will thus be at a competitive disadvantage relative
  to more established competitors with greater access to capital. Established
  competitors with cash flow from revenues may be in a better position to capture
  a share of the available market.

Intellectual Property Rights

The Company relies on copyrights, trademarks, trade secret
  laws and contractual restrictions to establish and protect its proprietary rights
  in its services and products. The Company does not at this time have any patented
  technology that would prevent competitors from entering into its market. In
  addition, the Company has not registered any of its copyrighted software or
  trademarks. There can, therefore, be no assurance that the Company will be able
  to protect

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13

its proprietary rights from use by its competitors. The Company's
  management believes, however, that the steps taken by the Company to protect
  its intellectual property are consistent with industry standards for online
  businesses. The Company protects proprietary software primarily by maintaining
  secrecy with respect to source codes and other information pertaining to the
  Companys software. Consultants conducting development work on the Companys
  technology are bound by confidentiality clauses that restrict dissemination
  of proprietary technical information related to the Companys products.
  The Company also relies on third party software licenses in the conduct of its
  business.

To date, the Company has received no notification that its
  services or products infringe the proprietary rights of third parties. Third
  parties could, however, make such claims of infringement in the future. Any
  future claims that do occur may have a material adverse effect on the Company
  and its business. Refer to "Risk Factors" herein.

Government Regulation

As at the date of filing, there are few laws and regulations
  that apply specifically to access to or commerce on the Internet. Due to the
  increasing popularity of use of the internet, however, it is possible that laws
  and regulations with respect to the internet may be adopted at federal, state
  and even local levels, covering issues such as user privacy, freedom of expression,
  pricing, characteristics and quality of products and services, taxation, advertising,
  intellectual property rights, information security and the convergence of traditional
  telecommunications services with Internet communications. Such future regulations
  may end up having a material adverse affect on the Company and its business.
  Refer to "Risk Factors" herein.

Employees and Consultants

The Company has no full or part time employees. The Company
  retains consultants to provide it with services related to the administration,
  management and development of the Company. The Company pays $2,500 per month
  to MCS Management Ltd., a private company wholly owned by Marlene Schluter,
  director, secretary and treasurer of the Company, for management and administrative
  services provided by MCS Management Ltd. The Company pays $2,500 per month to
  Netgain Management Solutions Inc., a private company wholly owned by Chad Lee,
  director and president of the Company, for management and administrative services
  provided by Netgain Management Solutions Inc.

The Company retains the services of 3 web-programming consultants
  to perform maintenance and additional development work. The consultants work
  under the Companys direct supervision and are paid by the Company on a
  monthly basis. Payment is tied to and based on the completion of specific tasks.
  No written agreements have been entered into between the Company and the consultants.
  The Company has no obligations to the consultants, and the consultants have
  no obligations to the Company, beyond the completion of each specified task
  or segment of development work.

The Company also retains the services of a consultant to provide
  investor relations and administrative services to the Company. The consultant
  is paid $2,500 (CDN) per month for these services, which include administration
  and data mangement related to the Companys shareholders, liason with shareholders,
  coordinating dissemination of Company news and

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information to the public and to shareholders and overseeing
  shareholder relations and communications.

Risk Factors

Prospective investors should consider carefully the following
  risk factors, in addition to the other information contained in this Report
  concerning the Registrant and its business, before making any investment in
  the Registrant's securities.

Potential for Failure of the Companys Business

The Company may not be successful in its effort to further
  its business. Even if the Company was to successfully meet the goals it has
  set for itself the aforesaid goals may not be achieved within the respective
  time frames set for them herein. The limited extent of the Company's assets
  and the Company's stage of development as well as the Company's limited operating
  history make it subject to the risks associated with start-up companies. For
  example, the Company, like many start-up companies, does not have significant
  revenues and may experience cash flow difficulties. It may, therefore, be required
  to rely on equity or bank financing to meet any cash needs in the short term.
  Such financing may not be available. In addition, the Company does not have
  an established presence in its target market and its name is not well known
  to consumers in that market. There is no guarantee that the Company will ever
  establish a significant presence in its target market. Earning revenue depends
  on successful development of products and services. The Company may require
  additional financing to fully develop its products and services and, as discussed
  above, such financing may not be available when required. Any or all of these
  factors may cause the Companys business to fail.

Ability to Retain Qualified Management Personnel

The Company's present management structure, although adequate
  for the early stage of its operations, will likely have to be significantly
  augmented as operations commence and expand. The ability of the Company to recruit
  and retain capable and effective individuals is unknown. The loss of the services
  of its current officers, or the inability of the Company to attract, motivate
  and retain highly qualified executive personnel in the future could result in
  failure of or cause serious disruption to the Companys business.

Competition in the Online and Offline Matchmaking Service
  Market

The Company intends to enter into the internet/e-commerce
  market, which is relatively new and is, therefore, difficult to predict in terms
  of the level of demand for the Company's products and services. In addition,
  this market is or likely will be, subject to intense competition from both private
  and public businesses nationally and/or around the world, many of who have greater
  financial and technical resources than the Company. The Company competes with
  more established competitors in the Internet matchmaking and e-commerce businesses
  and may have difficulty establishing a significant market presence. In addition,
  the Company competes with the more established offline matchmaking/dating services
  industry. Competition from these sources as well as any other future competition
  may be insurmountable for the Company. If the Company is unable to compete in
  this marketplace, its business may fail. Refer to the section entitled Competition
  herein.

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Adverse Effects of Incorrect Financial Assumptions

The Company will rely on internally prepared forecasted financial
  statements, which are predicated on certain assumptions, including assumptions
  of revenue and expense and the occurrence of certain future events, which in
  turn were based on management's considered assessment of prevailing conditions
  and management's best estimates of future events. Should, for example, product
  yields or prices deviate from the levels assumed in the internal forecasted
  statements, then the Company's projected revenue and profits will be less than
  projected. Similarly, should the Company's actual costs exceed the assumed levels,
  then the Company's projected profits would likewise be less than projected.
  In the final analysis, any return to an investor in the Company will in large
  part be determined by management's ability to execute the Company's plan as
  projected, and there can be no assurances provided of their success with respect
  thereto. There can be no assurances whatsoever as to the future financial performance
  of the Company. Projections are based upon current information and certain extrinsic
  factors, some of which are beyond the control of the Company, and/or subject
  to various assumptions, such as the Company's ability to obtain additional financing
  and its ability to implement its plan.

Absence of Operating History

The Company was incorporated on May 7, 1997. As discussed
  above, however, the Company was previously a mineral exploration company and
  it has not had an extensive operating history in the internet/e-commerce business.
  Most of its efforts to date have been focused on the development of its website.
  The Company has no revenues from operations and has yet to produce a profit.
  Failure to achieve projected rates of market penetration could significantly
  affect the Company's pattern of revenues and expense, and accordingly future
  cash flow. Therefore, the Company's stockholders should be prepared to bear
  the economic risk of losing their entire investment.

Designation as a Penny Stock

The Company's securities may be deemed "penny stock" as defined
  in Rule 3a51-1 of the Securities and Exchange Act of 1934, as amended. Such
  a designation could have a material adverse effect on the development of the
  public market for shares of the Company's common stock or, if such a market
  develops, its continuation, since broker-dealers are required to personally
  determine whether an investment in such securities is suitable for customers
  prior to any solicitation of any offer to purchase these securities. Compliance
  with procedures relating to sale by broker-dealers of "penny stocks" may make
  it more difficult for purchasers of the Company's common stock to resell their
  shares to third parties or to otherwise dispose of such shares.

Ability To Raise Additional Capital

The Company may not be able to raise additional funds for
  expansion and/or growth. If such funds are not available the Companys
  business may fail and investors may lose their entire investment. Additional
  financing may come in the form of securities offerings or from bank financing.
  If additional shares are issued to raise capital, existing shareholders will
  suffer a dilution of their stock ownership in the Company. In the event the
  Company has not achieved

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certain milestones, or consummated further financings, the
  Company will have severe cash flow and liquidity problems and may cease at that
  point to be a viable commercial entity. Refer to the section entitled Plan
  of Operation  Cash Requirements for a discussion of the Companys
  finances.

Potential Conflicts Of Interest

There are various interrelationships between the officers
  and directors of the Company that may create conflicts of interest that may
  be detrimental to the Company. The Companys directors and officers will
  deal with any such conflicts of interest, should they arise, in accordance with
  applicable corporate law principles.

No Foreseeable Dividends

The Company does not anticipate paying dividends on its common
  stock in the foreseeable future but plans to retain earnings, if any, for the
  operation, growth and expansion of its business.

Failure to Obtain Permits and Licenses

The operations of the Company may require licenses and permits
  from various governmental authorities. There can be no assurance that the Company
  will be able to obtain all necessary licenses and permits that may be required
  to carry out its plan.

Loss of Interest in Intellectual Property / Claims of Infringement
  by Third Parties

The Company does not have any patents for its technology and
  has not registered any of its copyrighted software or trademarks. There can,
  therefore, be no assurance that the Company will be able to protect its proprietary
  rights from use by its competitors. The commercial success of the Company may
  also depend upon its products and services not infringing any intellectual property
  rights of others and upon no such claims of infringement being made. Management
  is currently unaware of any such infringement or actual or potential claim of
  infringement. It is possible, however, that such infringements or claims exist.
  If any claims of infringement are made, the Company may be held liable for damages
  for such infringement and be required to pay cash compensation. The Company
  may also be forced to stop using technology upon which it is currently dependent
  if use of that technology is found to infringe proprietary rights held by others.

Currency Fluctuation

The Company's potential operations make it subject to foreign
  currency fluctuation and such fluctuation may adversely affect the Company's
  financial position and results. There can be no assurance that steps taken by
  management to address foreign currency fluctuations will eliminate all adverse
  effects and accordingly, the Company may suffer losses due to adverse foreign
  currency fluctuation. Such fluctuations may also influence future contribution
  margins.

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Access to Technology by Competitors

The technology necessary to create a service such as the one
  the Company will be offering exists today and is readily accessible. The Company's
  line of business may, therefore, be easily entered by would-be competitors.

Lack of Market Acceptance of the Internet as a Means of
  Conducting Commercial Transactions

In managements view, use of the Internet by consumers,
  despite having expanded rapidly in recent years, is still at an early stage
  of development. Market acceptance of the Internet as a commercial medium is,
  therefore, subject to a high level of uncertainty. The Company expects to experience
  significant fluctuations in operating results in future periods due to a variety
  of factors, including, but not limited to:

market acceptance of the Internet as a commercial medium for consumers;
    the Company's ability to create and deliver internet content in order
      to attract users to its websites to purchase its product and/or services,
      and to attract advertisers to its websites;
    the ability of the Company to produce content which will be attractive
      to a sufficient number of users to generate significant revenues;
    intense competition from other providers of related content over the Internet;
    delays or errors in the Company's ability to effect electronic commerce
      transactions;
    the Company's ability to upgrade and develop its systems and infrastructure
      in a timely and effective manner;
    technical difficulties, and/or system downtime ;
    the Company's ability to attract customers at a steady rate and maintain
      customer satisfaction;
    seasonality of the industry;
    seasonality of advertising sales;
    Company promotions and sales programs;
    the amount and timing of operating costs and capital expenditures relating
      to expansion of the Company's business, operations and infrastructure and
      the implementation of marketing programs, key agreements and strategic alliances;
    the level of returns experienced by the Company; and
    general economic conditions and economic conditions specific to the Internet,
      on-line commerce industry.


Dependence on Telecommunication Infrastructure

The Company's services are dependent on the use of the Internet
  and telephone connections. Any interruptions, delays or capacity problems experienced
  on the Internet or with the telephone connection could adversely affect the
  ability of the Company to provide its services. The telecommunications industry
  is subject to regulatory control. Amendments to current regulations could disrupt
  or adversely affect the profitability of the Company's business. The Company's
  business is highly dependent on its computer and

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telecommunications systems for the operation and quality of
  its services. The temporary or permanent loss of all or a portion of either
  system, or significant replacement delays, for whatever reason, could cause
  disruption of the Companys business activities and result in loss of revenues.

ITEM 2: DESCRIPTION OF PROPERTY

Office Space

Pursuant to a Lease Agreement between the Company and S&W
  97 Enterprises Ltd. dated effective November 1, 2001, the Company pays a total
  of $1,600 (Canadian) per month plus G.S.T. for office space. The lease was initially
  for a one-year term with an option to renew for an additional year. The Company
  exercised its option to renew the lease at the end of the first year of the
  term. The current lease expires on November 1, 2003. The Company rents a total
  of 826 feet of office space pursuant to the lease agreement.

Computer Equipment

The Company owns the following computer equipment:

- Compaq Proliant 1600R Pentium 3 - 500 Megahertz Servers (3)
- Sun Microsystems E450 Server (1)
- Sun Microsystems Netra T-1 Server (3)
- Campus Pentium Celeron 366MMX Processors (3)
- Campus Pentium 3- 500 Megahertz Processor (1)
- HP 8200CD Writer (1)
- 17" Hansol Flat Screen SVGA Color Monitors(1)
- 17" Samsung Flat Screen SVGA Color Monitor(2)
- Sun Microsystems Ultra 5 Server (1)
- APC AP9004 Back Up Power Supply (1)
- Seagate 8Gb Travan Tape Back Up (1)
- Xerox DocuPrint Color Printer
- 17" Flat Screen SVGA Color Monitors (2)
- Hewlett Packard Scanjet 4200C Printer (1)
- 60 Watt Power Amplified Speakers (2)
- Cannon B640 Fax Machine

ITEM 3: 	LEGAL PROCEEDINGS

There are no legal proceedings reportable pursuant to this
  section. As of the date of this report, the Company has not been served with
  notice of any legal proceedings and does not contemplate undertaking any legal
  proceedings.

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ITEM 4: SUBMISSION OR MATTERS TO A VOTE OF SECURITY HOLDERS

No matters were submitted to a vote of security holders during
  the fourth quarter of the fiscal year covered by this report, through the solicitation
  of proxies or otherwise.

PART II

ITEM 5: MARKET FOR COMMON EQUITY AND RELATED STOCKHOLDER
  MATTERS

Market Information

Principal Markets

The Company's common shares are traded on the over the counter
  market, with quotations posted on the NASD Over-the-Counter Bulletin Board under
  the ticker symbol ONIN. Prior to May 5, 1999, the common shares of the Company
  traded under the ticker symbol SLOG, reflecting the previous name of the Company,
  Sinaloa Gold Corp. On May 5, 1999, the Company began trading under the ticker
  symbol ONIN.

The Companys shares are also listed to trade on the
  Third Market Segment (the Regulated Unofficial Market) of the Frankfurt Stock
  Exchange under the symbol ONN.

High and Low Bid Information

The common shares of the Company began trading on February
  24, 1998 under the ticker symbol SLOG on the OTCBB. Between April 6, 2000 and
  October 23, 2000, the Companys shares were not eligible for quotation
  on the OTCBB and were quoted only on the NQSB Pink Sheet Quotation System. Since
  October 23, 2000, the Companys shares have been quoted on the OTCBB. The
  Companys shares are also listed to trade on the Third Market Segment (the
  Regulated Unofficial Market) of the Frankfurt Stock Exchange under the symbol
  ONN. The following table sets out high and low sale prices for the Company's
  common shares for each quarter within the last two fiscal years.

|Quarter Ended      | High | Low 
|------------------ | ---- | ----
|June 30, 2001      | 0.60 | 0.30
|September 30, 2001 | 0.45 | 0.27
|December 31, 2001  | 0.39 | 0.23
|March 31, 2002     | 0.70 | 0.35
|June 30, 2002      | 0.47 | 0.38
|September 30,2002  | 0.66 | 0.38
|Quarter Ended      | High | Low 
|December 31, 2002  | 0.75 | 0.41
|March 31, 2003     | 0.80 | 0.40
|June 30, 2003      | 0.60 | 0.08

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Quote data is obtained from Canada Stockwatch. Quotations
  posted on the OTCBB and the NQSB Pink Sheet quotation system reflect inter-dealer
  prices, without retail mark-up, mark-down or commission and may not necessarily
  represent actual transactions.

Holders

As at September 25, 2003, there were approximately 54 stockholders
  of record holding 15,630,000 common shares of the Company.

Dividends

The Company has not declared any cash dividends on its common
  shares for the last 2 fiscal years or any subsequent interim period. The Company
  does not intend to pay cash dividends in the foreseeable future.

Securities Offered For Issuance Under Equity Compensation Plans

|Plan Category                                              | (a)Number ofSecurities to beIssued UponExercise ofOutstandingOptions, Warrantsand Rights | (b)Weighted AverageExercise Price ofOutstandingOptions, Warrantsand Rights | (c)Number ofSecuritiesRemainingAvailable ForFuture IssuanceUnder EquityCompensationPlans (ExcludingSecurities Reflectedin Column (a))
|---------------------------------------------------------- | ---------------------------------------------------------------------------------------- | -------------------------------------------------------------------------- | -------------------------------------------------------------------------------------------------------------------------------------
|Equity Compensation Plans Approved by Security Holders     | Nil                                                                                      | N/A                                                                        | 1,500,000                                                                                                                            
|Equity Compensation Plans Not Approved by Security Holders | Nil                                                                                      | N/A                                                                        | Nil                                                                                                                                  
|Total:                                                     | Nil                                                                                      | N/A                                                                        | 1,500,000                                                                                                                            

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At its annual meeting of stockholders held on December 4,
  2000, a 2000 Incentive Stock Option Plan (the Plan) was approved
  by the Companys stockholders. Pursuant to a directors resolution
  dated October 20, 2000, the Plan was adopted by the Companys directors
  subject only to receipt of stockholder approval. The plan authorizes the granting
  of options to purchase up to 1,500,000 of the Companys common shares.
  Pursuant to the Plan, options may be granted to directors, officers, employees,
  consultants and other service providers. The aggregate fair market value of
  options that may be held by any one optionee at any given time may not exceed
  $100,000. The exercise price of an option granted must be at least equal to
  the fair market value of a share of common stock of the Company on the date
  the option is granted. No options have yet been granted pursuant to the Plan,
  to directors or officers of the Company or to any other entities.

Recent Sales of Unregistered Securities

Other than as disclosed herein, no equity securities were
  sold by the Company during the quarter ended June 30, 2003. Details with respect
  to equity securities sold by the Company in the three preceding quarters of
  the fiscal year ended June 30, 2003 are set out in the Companys quarterly
  reports on Form 10QSB for those periods. The Companys quarterly reports
  were filed via EDGAR and are available online.

ITEM 6: PLAN OF OPERATION

General

The Company's business is conducted through its website, www.VirtuallyDating.com.
  The primary focus of the www.VirtuallyDating.com website is matchmaking. In
  addition to providing matchmaking services for single adults through a specialized
  search engine for members, the site provides various interactive, entertainment
  related components that facilitate social interaction between members. The website
  became fully operational on September 3, 2002, when the e-commerce portion of
  the website and certain value added components were completed.

Prior to full launch the website was available for use free
  of charge and had developed an established user base of approximately 39,000
  members. Members who registered prior to full launch were given 30 days to determine
  whether to continue as members and pay to use the site. The Company is currently
  offering free 10-day trials and an introductory special in which users may purchase
  a 1-year membership for $19.95. This introductory offer was originally made
  for a 30 day period but has been extended by the Company for an indefinite period.
  The Company intends to continue the introductory offer until it has been able
  to carry out marketing activities to promote the website. After the introductory
  offer has been completed, memberships will be available for $10.95 per month,
  $29.95 for three months, $49.95 for 6 months and $79.95 for 1 year.

With the full launch of the website the Company now intends
  to focus its energies on marketing the website in order to develop a paying
  member base and generate revenues. The Company is not currently certain, however,
  exactly what resources will be devoted to marketing or what steps will be taken
  in this area. The Companys current financial resources are limited. The
  Company will, therefore, initially be working towards securing

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financing on favorable terms. Once the Companys financial
  situation is clearer to management, management will make the necessary strategic
  decisions respecting marketing efforts and other uses of financial resources.
  Over the next 12 months, depending on resources available, management anticipates
  that administrative expenses, ongoing website maintenance costs, development
  costs (related to proposed new products) and marketing will be the Companys
  primary expenses. Specific marketing strategies are listed below. The Company
  will implement these strategies based on cost-effectiveness as resources become
  available.

Forward Looking Statements

All statements, other than statements of historical facts,
  included in this report that address activities, events or developments that
  the Company expects, believes, intends or anticipates will or may occur in the
  future, are forward-looking statements. Forward-looking statements are inherently
  subject to risks and uncertainties, many of which cannot be predicted with accuracy
  and some of which might not even be anticipated. Future events and actual results,
  financial and otherwise, could differ materially from those set forth in or
  contemplated by the forward-looking statements herein. These risks and uncertainties
  include, but are not limited to, the Company's reliance on current revenues;
  the uncertainties associated with the introduction of new products/services;
  management of growth, including the ability to attract and retain qualified
  employees; the ability to integrate acquisitions made by the Company and the
  costs associated with such acquisitions; dependence on its principal executive
  officer; substantial competition from larger companies with greater financial
  and other resources than the Company; the success of its marketing strategy;
  its dependence on suppliers for some of its products; currency fluctuations
  and other risks associated with foreign sales and foreign operations; quarterly
  fluctuations in revenues, income and overhead expense; and potential product
  liability risk associated with its existing and future products. Readers are
  cautioned not to put undue reliance on forward-looking statements. The Company
  disclaims any intent or obligation to update publicly these forward-looking
  statements, whether as a result of new information, future events or otherwise.

Marketing Strategies

General

Management believes that marketing will be the key to the
  Company's success in the short term and in the long term. As a result, management
  intends to focus as much of its energies as possible in the upcoming 12 months
  on marketing activities. The Company intends to advertise online, through print
  media and possibly, depending on the resources available, through television,
  radio and billboards. The Companys goal is to capture 50,000 subscribing
  members in each of the three years following the launch of the website, for
  a total of 150,000 members within three years of launch. The target market for
  the Company's service is single adults, aged 18-49, with basic computer skills
  and access to the Internet. The Company intends to focus on the North American
  market in the short term and consider other markets at a later date.

The website was launched in July 2000, but the e-commerce
  component of the website, which includes the fee payment infrastructure, was
  not operational until September 3, 2002. Prior to September 3, 2002, therefore,
  memberships were offered free of charge. Registered

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23

members as of September 3, 2002 were given 30 days to decide
  whether to continue as members and pay membership fees. The Company is currently
  offering free 10-day trials and an introductory special in which users may purchase
  a 1-year membership for $19.95. As of September 15, 2003, the website had 49,131
  registered members. The Company hopes to increase this number once it has secured
  the financing necessary to undertake more intensive marketing activities. The
  Companys inability to secure adequate financing over the past fiscal year
  has limited its ability to spend money on marketing. The Companys ability
  to undertake marketing activities in the upcoming 12 months will be dependent
  on its ability to secure financing. Readers should refer to the section entitled
  Cash Requirements for a discussion of the Companys attempts
  to raise capital in the past quarter and its plans to raise capital in the upcoming
  year.

Online Advertising

Online advertising can take a number of different forms. Banner
  advertising is the most common form. The Company intends to place banner advertisements
  on those websites which management believes will enable the Company to most
  effectively reach its target market.

Affiliations with other websites also provide an avenue for
  marketing for Internet companies. Companies with similar markets can form various
  types of strategic alliances to promote one another's products and services.
  The key component is usually a link to the affiliate company's website. In the
  upcoming 12 months, the Company will continue with its efforts to forge strategic
  partnerships with key industry players. The Company hopes that by doing so it
  will be able to increase traffic on its website.

Another form of online advertising being considered by the
  Company involves sponsoring e-mails or newsletters sent by other Internet companies.
  Through payment of a sponsorship fee, the Company would be shown as the sponsor
  of a particular e-mail or newsletter sent by an entity to its members. By selecting
  an entity with a large membership, the Company can reach large target markets.
  A message identifying the sponsor and a link to the sponsor's website are provided.

Management is exploring the various forms of online advertising
  available and intends to focus its initial energy on this sector because of
  the relatively low cost and the ability to reach its target market (i.e. personal
  computer users) effectively. It will, however, assess other marketing tools
  and utilize those which it feels will enable it to reach its target market in
  the most efficient and cost effective manner.

Print Media, T.V., Radio and Billboards

While management is of the view that online advertising is
  the most cost-effective marketing tool, it also believes that other, more traditional
  methods of marketing will be effective and must be developed to the fullest
  extent possible. Management envisions placing advertisements in the personals
  sections of major newspapers and in high circulation magazines with general
  readership to brand the VirtuallyDating name and to expose the Company to a
  wider audience. Determination as to whether these types of advertisements will
  be placed will depend on funds available in the upcoming 12 months. In addition,

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24

advertisements on television, radio and on billboards will
  be considered and utilized if the Company has the capital available to purchase
  advertising space/time from these sources.

Current Marketing Efforts

On August 1, 2002, the Company entered into an agreement with
  Fortune Capital Management (USA) Inc. (Fortune), pursuant to which
  Fortune has agreed to provide sales and marketing services to the Company. Under
  the terms of the agreement, Fortune is to provide marketing concepts for the
  VirtuallyDating website, explore strategic partnerships for the website and
  provide conceptual design for marketing materials to advertise the website.
  The Company pays $2,500 per month to Fortune and reimburses Fortune for expenses
  incurred in carrying out its duties under the agreement. The Agreement was originally
  for a term of 12 months but is being continued on a month to month basis by
  mutual agreement between the parties.

Additional Website Development

The Company retains the services of 3 web-programming consultants
  to perform maintenance and additional development work. The consultants work
  under the Companys direct supervision and are paid by the Company on a
  monthly basis. Payment is tied to and based on the completion of specific tasks.
  The Company currently intends to continue to develop new features which will
  make the website more attractive to prospective members. Proposed features may
  include a WebPage entitled "Hey Bartender" which will provide recipes for alcoholic
  cocktails. Members will be invited to post their own favorite recipes on the
  page. Another section entitled "Postcards From Stanley" may be created. This
  section would feature travel reviews of destinations geared towards singles.

In addition to the foregoing, on July 15, 2002, the Company
  entered into a consulting agreement with Jon Wiggens, pursuant to which Mr.
  Wiggens has agreed to provide graphic design services to the Company for both
  the VirtuallyDating website and the Companys corporate website. In addition,
  Mr. Wiggens will provide the Company with graphic design services in connection
  with its ongoing marketing efforts, in the areas of both print media and online
  marketing. The agreement was originally for a term of 3 months but is currently
  being continued on a month to month basis. The Company is required to pay Mr.
  Wiggens a monthly fee of $3,000 (CDN) for services performed under the agreement
  and to reimburse Mr. Wiggens for expenses incurred in carrying out his duties
  under the agreement.

Purchase of Equipment

At this time, the Company does not anticipate the purchase
  of any significant equipment.

Employees

The Company currently has no full or part time employees.
  The Company retains consultants to provide it with services related to the administration,
  management and development of the Company. At this time, the Company does not
  anticipate any significant changes in staffing.

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25

Cash Requirements

The Company currently has sufficient working capital to meet
  its operating requirements until October 31, 2003. In order to fund business
  activity beyond this date, the Company will need to arrange additional financing.
  Website development and marketing efforts will be dependent on the Companys
  ability to raise such additional financing. Specific plans related to marketing
  and any additional website development which may occur in the upcoming months
  will be devised once financing has been completed and management knows what
  funds will be available for these purposes.

On June 25, 2001, as disclosed in the Companys Form
  8K dated July 6, 2001, the Company entered into a Common Stock Purchase Agreement
  (the Stock Purchase Agreement) with Fusion Capital Fund II, LLC,
  a Chicago based institutional investor. Pursuant to the Stock Purchase Agreement,
  and subject to certain terms and conditions, Fusion agreed to purchase $6,000,000
  of the Company's common stock. Under the terms of the agreement, the Company
  was not able to commence sales of its common stock to Fusion and Fusion was
  not obligated to make any purchases of the Company's common stock unless the
  Company filed a registration statement under the Securities Act of 1933 with
  the Securities and Exchange Commission prior to June 25, 2002. The Company did
  not file a registration statement respecting the Stock Purchase Agreement prior
  to the agreed deadline because of market conditions and on June 5, 2003 Fusion
  terminated the Stock Purchase Agreement.

On July 4, 2003, the Company negotiated two separate loans
  in the amount of $20,000. Both of the loans are due and payable on January 4,
  2004 and are secured by convertible promissory notes. The loans bear interest
  at a rate of 10% per annum. The promissory notes are convertible at the option
  of the noteholders at any time after January 4, 2004 into shares of common stock
  of the Company at a conversion price of $0.10 per share. The conversion rights
  may be exercised at any time after January 4, 2004, but must be exercised prior
  to payment in full of the principal amount of the loan and any accrued interest.
  The Company has the right to prepay the loans at any time upon 15 days written
  notice to the noteholders.

The Company intends to use available finances to fund ongoing
  operations. Funds will be utilized for general and administrative expenses,
  website maintenance and development and marketing.

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26

ITEM 7: FINANCIAL STATEMENTS



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27

ITEM 8: CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON
  ACCOUNTING AND FINANCIAL DISCLOSURE

The Company had no changes in or disagreements with accountants
  on accounting and financial disclosure of the type referred to in Item 304 of
  Regulation S-K.

ITEM 8A: CONTROLS AND PROCEDURES

The Company is managed exclusively by its principal executive
  officer and principal financial officer. The Company does not have management
  or employees which are separate from these 2 individuals. As a result, all disclosure
  decisions are made directly by the principal executive officer and principal
  financial officer of the Company and are based on direct knowledge of the Companys
  affairs held by them. These individuals also carry out all bookkeeping and other
  record keeping activities undertaken by the Company and make all business decisions
  for the Company. While the Company retains the services of a small number of
  consultants, none of these individuals has control over formal disclosure decisions
  or disclosure contained in documents such as press releases and financial reports.
  All formal disclosure documents are reviewed and approved by the Companys
  principal executive officer and principal financial officer and are based on
  first hand knowledge of these individuals (as opposed to knowledge derived from
  reports from employees, consultants or managers). As a consequence, the Companys
  principal executive officer and principal financial officer are of the view
  that the Companys disclosure controls and procedures are effective and
  result in full and true disclosure of material facts related to the Companys
  affairs.

There were no significant changes in the Companys internal
  controls or in other factors that could significantly affect these controls
  subsequent to the date of their evaluation, including any significant deficiencies
  or material weaknesses of internal controls that would require corrective action.

PART III

ITEM 9: DIRECTORS, EXECUTIVE OFFICERS, PROMOTERS AND CONTROL
  PERSONS; COMPLIANCE WITH SECTION 16(A) OF THE EXCHANGE ACT

Directors and Executive Officers

The following table sets forth, as of the date of this registration
  statement, the name, age, and position of the officers and directors of the
  Company and the date of appointment of such officer or director:

|Name                 | Age | Position (1)                     
|-------------------- | --- | ---------------------------------
|Chad D. Lee (2)      | 35  | Director, President and CEO      
|Marlene Schluter (3) | 40  | Director, Secretary and Treasurer
|Harvey H. Cohen (4)  | 77  | Director and Vice President      

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28

|(1) | Pursuant to the Company's Bylaws, all directors serve
        until such time as their successor has been elected, until they resign
        or until they are removed by majority vote at a meeting of the Company's
        shareholders. Officers are elected by the Company's directors and serve
        until such time as their successor is appointed, until they resign or
        until they are removed by the directors. None of the Company's directors
        and officers hold positions with other reporting companies.
|--- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(2) | Marlene Schluter was appointed as Secretary and Treasurer of the Company
        on October 27, 1997.                                                                                                                                                                                                                                                                                                                                                                                                                                   
|(3) | Chad Lee was appointed as President of the Company on April 15, 1998.
        Prior to being appointed as President, Mr. Lee acted as Vice-President
        of the Company from October 24, 1997 until he was appointed as President.                                                                                                                                                                                                                                                                                                  
|(4) | Harvey H. Cohen was appointed as Vice-President of the Company on April
        15, 1998.                                                                                                                                                                                                                                                                                                                                                                                                                                               

Chad D. Lee

Mr. Lee, the founder of what is now Online Innovation, Inc.,
  is a graduate of the University of British Columbia where he focused his studies
  on the field of Urban Land Economics. He has used his skills in strategic management,
  financial analysis and planning, contract negotiation, and business planning
  to develop new companies and to assist established companies with operations.
  Mr. Lee is also the Principal of Netgain Management Solutions Inc. where he
  has developed and implemented multi-media marketing strategies for several publicly
  traded companies. Mr. Lee brings to the Company expertise in strategic management,
  demonstrating strong leadership in visioning, corporate strategy development
  and deployment with a clear focus on achieving results. Utilizing his expertise
  in strategic visioning, he has diversified the company's focus to the communications
  and hi-tech Internet sectors with the acquisition and further development of
  the Company's technology assets.

Ms. Marlene C. Schluter

Ms. Schluter is a graduate of Simon Fraser University with
  a Bachelor of Education (B Ed.). She was employed by the public school system
  at the elementary and secondary school levels, specializing in Business and
  Math. In addition, she was also an active member in the school counseling programs.
  Ms. Schluter has furthered her professional career by attending courses in the
  Master of Business Administration Program at the University of British Columbia
  concentrating in the areas of International Trade and Finance. With this education,
  she went on to work in the Financial Industry with Yorkton Securities where
  she completed the Canadian Securities Course (CSC) and Series 63 and 67 for
  qualification in the United States. Ms. Schluter acted as a Broker's Assistant
  and as a Broker with Yorkton Securities Inc. She was employed by Yorkton Securities
  Inc. from April 1991 to December 1996. From February 1997 to July 1997, Ms.
  Schluter acted as executive assistant and performed investor relations services
  for CKD Ventures Ltd., a Vancouver, British Columbia based mineral exploration
  company. She has acted as director, corporate secretary and treasurer of the
  Company since October of 1997.

Harvey H. Cohen

Mr. Cohen graduated from the University of British Columbia
  with a Bachelor's degree in Physical Sciences / Mining Engineering. He has been
  a registered member of the

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29

Association of Professional Engineers and Geoscientists of
  British Columbia since 1954 and is also a lifetime member of the Canadian Institute
  of Mining, Metallurgy and Petroleum. During the course of his career he has
  acted for numerous publicly traded companies in the mining sector. Mr. Cohen
  has been semi-retired for approximately ten years and was involved with the
  Company at the outset to provide advice on matters related to its mineral properties.

Significant Employees

The Company has no employees. All services are performed by
  consultants. Refer to the section headed "Employees and Consultants" under "Business
  of the Company" above.

Family Relationships

There are no family relationships among the Company's directors
  or officers.

Involvement in Legal Proceedings

During the past five years, no director or officer of the
  Company has been:

a general partner or executive officer of a business against which a bankruptcy
      petition was filed;
    convicted in a criminal proceeding or is currently subject to a pending
      criminal proceeding;
    subject to any order, judgement or decree of any court of competent jurisdiction
      permanently or temporarily enjoining, barring, suspending him/her from,
      or otherwise limiting his/her involvement in, any type of business, securities
      or banking activities; or
    found by a court of competent jurisdiction (in a civil action), the Securities
      and Exchange Commission or the Commodity Futures Trading Commission to have
      violated a federal or state securities or commodities law.


Code Of Ethics

The Company has not adopted a formal written code of ethics
  applicable to its principal executive officer and principal financial officer.
  As noted under item 8A above, the Company is managed exclusively by its principal
  executive officer and principal financial officer, both of whom are directors
  of the Company. The Company does not have management or employees which are
  separate from these 2 individuals. All work related to the Company is performed
  by a small number of consultants who are under the direct supervision of the
  principal executive officer and principal financial officer. All of the Companys
  finances are controlled by the principal executive officer and principal financial
  officer and all decisions related to the Companys affairs are made by
  these 2 individuals. Since they also comprise a majority on the board of directors
  of the Company, are directly accountable to the Companys shareholders
  and are subject to the all of the legal duties, obligations and liabilities
  applicable to directors of public companies, management is of the view that
  the adoption of a written code of ethics is not necessary.

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30

Compliance with Section 16(a) of the Exchange Act

Section 16(a) of the Exchange Act requires executive officers
  and directors of the Company and persons who beneficially own more than ten
  percent of the Company's Common Stock to file with the Securities and Exchange
  Commission certain reports, and to furnish copies thereof to the Company, with
  respect to each such person's beneficial ownership of the Company's equity securities.
  Based solely upon a review of the copies of such reports furnished to the Company
  and certain representations of such persons, all such persons have complied
  with the applicable reporting requirements.

ITEM 10: EXECUTIVE COMPENSATION

The following table provides a summary of the compensation
  paid to the Company's Chief Executive Officer for the last three fiscal years.
  No officers of the Company received in excess of $100,000 in annual salary and
  bonus. The Companys Chief Executive Officer has received no compensation
  other than salary.

Summary Compensation Table

|Name and Principal Position     | Year Ended                                | Annual Compensation                         
|------------------------------- | ----------------------------------------- | --------------------------------------------
|Salary                         
|Chad Lee , President & Director | June 30, 2003 June 30, 2002 June 30, 2001 | $30,000(1)
      $30,000(1)
      $30,000(1)

|(1) | The cash compensation shown was paid to Mr. Lee pursuant
        to management agreements between the Company and a company wholly owned
        by Mr. Lee.
|--- | ------------------------------------------------------------------------------------------------------------------------------------------------------------

As of the date of this report, the Company has not paid any
  bonuses or granted any stock awards, options or stock appreciation rights to
  any officer, director or employee. The Company has no arrangements for the compensation
  of directors and officers for their services as directors and officers.

ITEM 11: 	SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT

The following table sets forth certain information regarding
  the beneficial ownership of the Company's issued and outstanding common stock
  as of September 25, 2003 by i) each person who is known to the Company to be
  the beneficial owner of more than 5 percent of the Companys common stock;
  (ii) named directors and executive officers; and (iii) all directors and executive
  officers of the Company as a group:

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31

|Name and address of beneficial owner                                                                                           | Amount and nature of
      beneficial owner | Percent of class (1)
|------------------------------------------------------------------------------------------------------------------------------ | ------------------------------------------- | --------------------
|Chad D. Lee (President, Chief Executive Officer and Director)
      61-12411 Jack Bell Drive Richmond, British Columbia Canada | 5,500,000(2)                                | 35.2%               
|Marlene C. Schluter (Secretary, Treasurer and Director) 2233 Lillooet
      Street Vancouver, British Columbia Canada          | 2,500,000(2)                                | 16.0%               
|Harvey H. Cohen (Vice President and Director) 8278 Tugboat Place
      Vancouver, British Columbia Canada                      | 0(2)                                        | 0.0%                
|Directors and Officers as a Group (3 persons)                                                                                  | 8,000,000                                   | 51.2%               

|(1) | Beneficial ownership is determined in accordance with
        the rules of the Securities and Exchange Commission and generally includes
        voting or investment power with respect to securities.
|--- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(2) | The persons named in the table have sole voting and
        investment power with respect to all shares of common stock shown as beneficially
        owned by them.                                   

At its annual meeting of stockholders held on December 4, 2000,
  a 2000 Incentive Stock Option Plan (the Plan) was approved by the
  Companys stockholders. Pursuant to a directors resolution dated
  October 20, 2000, the Plan was adopted by the Companys directors subject
  only to receipt of stockholder approval. The plan authorizes the granting of
  options to purchase up to 1,500,000 of the Companys common shares. Pursuant
  to the Plan, options may be granted to directors, officers, employees, consultants
  and other service providers. The aggregate fair market value of options that
  may be held by any one optionee at any given time may not exceed $100,000. The
  exercise price of an option granted must be at least equal to the fair market
  value of a share of common stock of the Company on the date the option is granted.
  No options have yet been granted pursuant to the Plan, to directors or officers
  of the Company or to any other entities.

ITEM 12: CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS

Pursuant to a management agreement made effective as of November
  1, 1997, the Company pays $2,500 per month to MCS Management Ltd., a company
  wholly owned by Ms. Marlene C. Schluter, director, secretary and treasurer of
  the Company, for management services provided to the Company by MCS Management
  Ltd.

Pursuant to a management agreement made effective as of July
  1, 1999, the Company pays $2,500 per month to Netgain Management Solutions Inc.,
  a company wholly owned by Mr. Chad D. Lee, president and director of the Company,
  for management services provided to the Company by Netgain Management Solutions
  Inc.

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32

The Company has not been a party to any other transactions
  during the past two years, and is not currently a party to any other transaction,
  in which any directors, officers or holders of greater than five percent of
  the Company's securities, or any immediate family members of any of the foregoing,
  have any direct or indirect material interest.

ITEM 13: 	EXHIBITS AND REPORTS ON FORM 8-K

(a) 	Exhibits

|Exhibit Number | Description                                                                                                                                                       
|-------------- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------
|3(i)[4]        | Certificate of Incorporation dated May 7, 1997; Certificate
        of Amendment dated October 16, 1997; and Certificate of Amendment dated
        April 8, 1999.
|3(ii).1[4]     | Bylaws of Micro Millennium, Inc.                                                                                                                                  
|3(ii).2[4]     | Resolution of the board of directors approving amendment
        to theBy-Laws of Micro Millenium, Inc.                                                           
|10.1           | Termination Notice dated June 5, 2003 respecting
        the Loan Agreement between the Company and Fusion Capital Fund II, LLCdated
        April 30, 2002       
|10.2           | Convertible Promissory Note dated July 4, 2003 in
        favor of Fortune Capital Management (USA) Inc.                                                          
|10.3           | Convertible Promissory Note dated July 4, 2003 in
        favor of Ross Kraemer                                                                                   
|10.4[1]        | Loan Agreement between the Company and Fusion Capital
        Fund II, LLC dated April 30, 2002                                                                   
|10.5[1]        | Consulting Agreement between the Company and Damon
        Hoy dated June 15, 2002                                                                                
|10.6[1]        | Convertible Promissory Note dated January 10, 2002
        in favor of Richard L. Coglon                                                                          
|10.7[1]        | Convertible Bridge Financing Note dated November
        7, 2001 in favor of CK Dragon Trust                                                                      
|10.8[1]        | Convertible Bridge Financing Note dated August 29,
        2001 in favor of Progressive Contracting Ltd.                                                          
|10.9[1]        | 2000 Incentive Stock Option Plan                                                                                                                                  
|10.10[3]       | Common Stock Purchase Agreement between Fusion Capital Fund II, LLC and
      the Company dated June 25, 2001.                                                    

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33

|10.11[2] | Promotion Agreement between Action Stocks, Inc. and the Company
      dated June 11, 2001.                                                                                                                                     
|-------- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|         |                                                                                                                                                                                                                                
|10.12[4] | Consulting Agreement between National Financial Communications Corp. and
      the Company dated February 1, 2000.                                                                                                             
|         |                                                                                                                                                                                                                                
|10.13[4] | Custom Affiliate Agreement between KnowledgeWeb, Inc. and the Company,
      dated November 8, 1999.                                                                                                                           
|         |                                                                                                                                                                                                                                
|10.14[4] | Lease Agreement between 570679 B.C. Ltd. as Lessor and the Company as
      Lessee, dated November 1, 1999.                                                                                                                    
|         |                                                                                                                                                                                                                                
|10.15[4] | Agreement between Netgain Management Solutions Inc. and the Company, dated
      November 1, 1999, for management and administrative services provided by
      Netgain Management Solutions Inc.                              
|         |                                                                                                                                                                                                                                
|10.16[4] | Agreement between 535424 B.C. Ltd., the Company, dated April 1, 1999,
      for professional media buying/marketing services provided by 535424 B.C.
      Ltd.                                                                
|         |                                                                                                                                                                                                                                
|10.17[4] | Agreement between Stratford Internet Technologies, Inc. and the Company
      dated July 30, 1999, for services related to the development, design and
      maintenance of the Companys internet based products and services.
|         |                                                                                                                                                                                                                                
|10.18[4] | Purchase Agreement between Sinaloa Gold Corp. and Online Innovation, dated
      April 2, 1999.                                                                                                                                
|         |                                                                                                                                                                                                                                
|10.19[4] | Option Agreement between Fordee Management Company and the Company, dated
      February 2, 1999.                                                                                                                              
|         |                                                                                                                                                                                                                                
|10.20[4] | Agreement between MCS Management Ltd. and the Company, dated
      November 1, 1998, for management and administrative services provided by
      MCS Management Ltd.                                                          
|         |                                                                                                                                                                                                                                
|10.21[4] | Agreement in Principle between Minera Fuerte Mayo and CL Communications
      Group, dated September 30, 1997.                                                                                                                 
|         |                                                                                                                                                                                                                                
|10.22[4] | Assignment Agreement between Sinaloa Gold Corp. and CL Communications
      Group, dated September 30, 1997.                                                                                                                   
|         |                                                                                                                                                                                                                                
|31.1     | Certification of Principal Executive Officer Pursuant to Rule
      13a-14 of the Securities Exchange Act of 1934                                                                                                              
|         |                                                                                                                                                                                                                                
|31.2     | Certification of Principal Financial Officer Pursuant to Rule
      13a-14 of the Securities Exchange Act of 1934                                                                                                              
|         |                                                                                                                                                                                                                                
|32.1     | Certification of Principal Executive Officer Pursuant to 18 U.S.C. Section
      1350                                                                                                                                          

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34

|32.2 | Certification of Principal Financial Officer Pursuant to 18
      U.S.C. Section 1350
|---- | -------------------------------------------------------------------------------------

|[1] | Incorporated by reference from the Companys
        Form 10KSB filed with the Commission on September 27, 2002.                                               
|--- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------
|    |                                                                                                                                                                
|[2] | Incorporated by reference from the Companys
        Form 10KSB filed with the Commission on September 28, 2001.                                               
|    |                                                                                                                                                                
|[3] | Incorporated by reference from the Companys
        Form 8-K filed on July 10, 2001, as amended.                                                              
|    |                                                                                                                                                                
|[4] | Incorporated by reference from the Registration Statement
        on Form 10SB of the Company filed with the Commission on February 1, 2000
        as amended.

(b) 	Reports on Form 8K

No reports on Form 8-K were filed during the period covered
  by this report.

ITEM 14. PRINCIPAL ACCOUNTING FEES AND SERVICES

Moen & Company, Chartered Accountants (Moen &
  Company), are the Company's independent auditors and examined the financial
  statements of the Company for the fiscal years ending June 30, 2003 and June
  30, 2002. Moen & Company performed the services listed below and was paid
  the fees listed below for the fiscal years ended June 30, 2003 and June 30,
  2002.

Audit Fees

Moen & Company was paid aggregate fees of approximately
  $11,000 for the fiscal year ended June 30, 2002 and approximately $11,000 for
  the fiscal year ended June 30, 2003 for professional services rendered for the
  audit of the Company's annual financial statements and for the reviews of the
  financial statements included in the Company's quarterly reports on Form 10-QSB
  during these fiscal years.

Audit-Related Fees

Moen & Company was not paid additional fees for either
  of the fiscal years ended June 30, 2002 or June 30, 2003 for assurance and related
  services reasonably related to the performance of the audit or review of the
  Company's financial statements.

Tax Fees

Moen & Company was not paid any fees for the fiscal year
  ended June 30, 2002 or for the fiscal year ended June 30, 2003 for professional
  services rendered for tax compliance, tax advice and tax planning.

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35

All Other Fees

Moen & Company was not paid any other fees for professional
  services during the fiscal years ended June 30, 2002 and June 30, 2003.

Audit Committee Policies and Procedures

The audit and review services provided to the Company by Moen
  & Company in the fiscal years ended June 30, 2003 and June 30, 2002 were
  pre-approved by the Company's audit committee. Prior to engaging Moen &
  Company to perform audit and review services, the Company's audit committee
  reviews the service to be provided and the fee to be paid by the Company for
  such service and assesses the impact of the service on the auditor's independence.

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SIGNATURES

In accordance with the requirements of section 13 or 15(d)
  of the Exchange Act, the registrant caused this report to be signed on its behalf
  by the undersigned, thereunto duly authorized.

|Date: | September 26, 2003 | ONLINE INNOVATION, INC.          
|----- | ------------------ | ---------------------------------
|      |                    | (Registrant)                     
|      |                    |                                  
|      |                    | By:                              
|      |                    | Chad D. Lee, President, Director,
|      |                    | Principal Executive Officer      
|      |                    |                                  
|      |                    | By:                              
|      |                    | Marlene C. Schluter, Director,   
|      |                    | Principal Financial Officer      

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

By: //s// Chad D. Lee
  Chad D. Lee, President, Director, 
  Principal Executive Officer

Date: September 26, 2003

By: //s// Marlene C. Schluter
  Marlene C. Schluter, Director, 
  Principal Financial Officer

Date: September 26, 2003

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