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

                                   FORM 10-QSB

(Mark One)

[X]  QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
     ACT OF 1934

                 For the quarterly period ended March 31, 2006
                                                --------------

[ ]  TRANSITION REPORT UNDER SECTION 13 OF 15(d) OF THE EXCHANGE ACT OF 1934

                 From   the  transition  period  from ____ to _____.  Commission
                        file number 01-28911.


                      NATIONAL HEALTHCARE TECHNOLOGY, INC.
        (Exact name of small business issuer as specified in its charter)

            Colorado                                             91-1869677
---------------------------------                            -------------------
  (State or other jurisdiction                                  (IRS Employer
of incorporation or organization)                            Identification No.)


            1660 Union Street, Suite 200, San Diego, California 92101
            ---------------------------------------------------------
                    (Address of principal executive offices)

                                 (619) 398-8470
                           (Issuer's telephone number)


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


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

As of  June 6,  2006,  34,782,759  shares  of the  issuer's  common  equity  are
outstanding.

Transitional Small Business Disclosure Format (Check one): Yes [ ] No [X]


<PAGE>





                         PART I - FINANCIAL INFORMATION

Item 1.           Financial Information


                                      F-1
<PAGE>

<PAGE>


                      NATIONAL HEALTHCARE TECHNOLOGY, INC.
                          (A DEVELOPMENT STAGE COMPANY)
                        CONSOLIDATED FINANCIAL STATEMENTS
                                 MARCH 31, 2006


                                      F-2
<PAGE>



                      NATIONAL HEALTHCARE TECHNOLOGY, INC.
                          (A DEVELOPMENT STAGE COMPANY)
                        CONSOLIDATED FINANCIAL STATEMENTS
                                 MARCH 31, 2006
                                 C O N T E N T S
Consolidated Balance Sheet                                                 F-4

Consolidated Statements of Operations                                      F-5

Consolidated Statements of Cash Flows                                      F-6

Notes to Consolidated Financial Statements                                 F-7




                                      F-3
<PAGE>



                      NATIONAL HEALTHCARE TECHNOLOGY, INC.
                          (A DEVELOPMENT STAGE COMPANY)
                           CONSOLIDATED BALANCE SHEET
                              AS OF MARCH 31, 2006
                                   (Unaudited)




                                 ASSETS


Assets                                                      $       --
                                                            ============

      LIABILITIES AND STOCKHOLDERS' DEFICIT
Liabilities
      Current Liabilities
      Accounts Payable                                      $    113,145
                                                            ------------

      Total Current Liabilities                                  113,145

Stockholders' Deficit

      Preferred Stock, $0.01 par value, 10,000,000 shares           --
           authorized, none issued and outstanding

      Common Stock, $.001 par value, 100,000,000 shares           19,183
           authorized, 19,182,759 issued and outstanding

      Additional paid in Capital                              12,915,157



      Deficit accumulated during development stage           (13,047,485)
                                                            ------------



      Total Stockholders' Deficit                               (113,145)
                                                            ------------
TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIT                 $       --
                                                            ============






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


                                      F-4
<PAGE>

<TABLE>
<CAPTION>

                      NATIONAL HEALTHCARE TECHNOLOGY, INC.
                          (A DEVELOPMENT STAGE COMPANY)
                      CONSOLIDATED STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED MARCH 31, 2006, AND FROM JANUARY 27, 2005 (INCEPTION)
                           TO MARCH 31, 2006 AND 2005
                                   (Unaudited)


                                                                                                  Period from        Period from
                                                                                               January 27, 2005   January 27, 2005
                                                                                                 (inception)        (inception)
                                                                      Three Months Ended           through            through
                                                                        March 31, 2006          March 31, 2005     March 31, 2006
<S>                                                                       <C>                <C>                  <C>
REVENUES                                                                       --
COST OF GOODS SOLD                                                                --                 --                    --
Gross profit                                                                      --                 --                    --

OPERATING EXPENSES:
 Professional fees                                                        $ 12,230,750       $     16,762          $ 12,696,054
 Technology license royalties                                                     --                 --                 160,417
 Depreciation and amortization                                                    --                 --                   3,811
 Other general and administrative                                                9,135             15,794               187,203
                                                                          ------------       ------------          ------------
 Total operating expenses                                                   12,239,885             32,556            13,047,485


NET LOSS                                                                  $(12,239,885)      $    (32,556)         $ (13,047,485)
                                                                          ============       ============          =============

LOSS PER COMMON SHARE, SHARE, BASIC AND DILUTED                           $      (0.64)      $      (0.00)         $       (0.84)
                                                                          ============       ============          =============

WEIGHTED AVERAGE NUMBER OF COMMON SHARES OUTSTANDING, BASIC AND DILUTED     19,182,759          8,380,000             15,547,619

</TABLE>






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


                                      F-5
<PAGE>



                      NATIONAL HEALTHCARE TECHNOLOGY, INC.
                          (A DEVELOPMENT STAGE COMPANY)
                      CONSOLIDATED STATEMENTS OF CASH FLOWS
 FOR THE THREE MONTHS ENDED MARCH 31, 2006 AND FROM JANUARY 27, 2005 (INCEPTION)
                           TO MARCH 31, 2006 AND 2005
                                   (Unaudited)

<TABLE>
<CAPTION>

<S>                                                                       <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
   Net (Loss)                                                             $  (12,239,885)       $    (32,556)        $ (13,047,485)

Adjustments to reconcile net loss to cash used by operating activities:
    Depreciation and amortization                                                  --                   --                   3,811
    Stock issued for services                                                 12,190,000                --              12,190,000
Changes in certain assets and liabilities, net of divestiture
   Inventory                                                                       --                   --                 (29,102)
   Other assets                                                                    --                   --                  (2,087)
   Accounts payable and accrued expenses                                         49,885                8,702               194,875
                                                                          -------------        -------------         -------------

CASH FLOWS USED IN OPERATING ACTIVITIES                                            --                (23,854)             (689,988)

CASH FLOWS FROM INVESTING ACTIVITIES:
   Capital expenditures                                                            --                 (3,446)              (38,952)
                                                                          -------------        -------------         -------------

CASH FLOWS USED IN INVESTING ACTIVITIES                                            --                 (3,446)              (38,952)

CASH FLOWS FROM FINANCING ACTIVITIES:
   Proceeds from convertible note - related party                                  --                   --                 400,000
   Related party advances                                                          --                 27,300               328,940
                                                                          -------------        -------------         -------------

CASH FLOWS FROM PROVIDED BYFINANCING
   ACTIVITIES                                                                      --                 27,300               728,940
                                                                          -------------        -------------         -------------

Net increase (decrease) in cash                                                    --                   --                    --
Cash, beginning of the period                                                      --                   --                    --
                                                                          -------------        -------------         -------------
Cash, end of the year                                                     $        --          $        --           $        --
                                                                          =============        =============         =============

SUPPLEMENTAL CASH FLOW INFORMATION
Interest paid                                                                      --                   --                    --
Income taxes paid                                                                  --                   --                    --

NON CASH TRANSACTIONS
Net liabilities assumed with recapitalization                             $        --          $        --           $     200,000
Divestitute of subsidiary to related party                                $        --          $        --           $     544,340
Common stock issued for debt                                              $        --          $        --           $     400,000

</TABLE>


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

                                      F-6
<PAGE>


                      NATIONAL HEALTHCARE TECHNOLOGY, INC.
                          (A DEVELOPMENT STAGE COMPANY)
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                 MARCH 31, 2006

1.       Summary of Significant Accounting Policies

A.       Organization and General Description of Business

On July 19, 2005, National Healthcare  Technology,  Inc., a Colorado corporation
(the "Company") completed the acquisition of Special Stone Surfaces,  Es3, Inc.,
a Nevada Corporation ("Es3") pursuant to the terms of an Exchange Agreement (the
"Exchange Agreement") by and among the Company,  Crown Partners,  Inc., a Nevada
corporation  and at such time, the largest  stockholder  of the Company  ("Crown
Partners"), Es3, and certain stockholders of Es3 (the "Es3 Stockholders"). Under
the terms of the Exchange Agreement, the Company acquired all of the outstanding
capital  stock of Es3 in exchange for the issuance of  19,182,759  shares of the
Company's  common  stock to the Es3  Stockholders,  Crown  Partners  and certain
consultants.  The  transactions  effected by the  Exchange  Agreement  have been
accounted for as a reverse  merger.  This reverse  merger  transaction  has been
accounted for as a recapitalization  of Es3, as Es3 is the accounting  acquirer,
effective July 19, 2005. As a result,  the historical  equity of the Company has
been restated on a basis consistent with the recapitalization.  In addition, the
Company changed its accounting  year-end from September 30 to December 31, which
is Es3's accounting year-end.

Accordingly  the  financial  statements  contained  in this  report  include the
operations  of the  Company  in its new line of  business.  As a  result  of the
transactions  contemplated by the Exchange Agreement, the Company had one active
operating  subsidiary,  Es3. Es3 was formed in January 2005 and began operations
in March 2005 in the  business  of  manufacturing  and  distributing  a range of
decorative stone veneers and finishes based on proprietary Liquid Stone Coatings
(TM) and Authentic  Stone Veneers (TM).

Effective October 1, 2005, the Company sold all of its shares in Es3.

B.       Basis of Presentation and Organization

The consolidated financial statements of the Company for the period from January
27, 2005  (Inception)  through  March 31, 2006 have been  prepared in accordance
with  generally  accepted  accounting  principles.  The  consolidated  financial
statements  include the accounts of the Company and its wholly owned subsidiary,
Es3,  through  October  1,  2005  (the  effective  date  of  disposition).   All
inter-company  transactions have been eliminated.  In the opinion of management,
the accompanying  financial  statements  include all adjustments  (consisting of
normal,  recurring  adjustments)  necessary  to summarize  fairly the  Company's
financial position and results of operations.  The results of operations for the
periods  ended March 31,  2006 and 2005 are not  necessarily  indicative  of the
results of operations  for the full year or any other interim  period.  Notes to
the financial  statements  which would  substantially  duplicate the  disclosure
contained in the audited  financial  statements  for the most recent fiscal year
ended September 30, 2005 to be reported in Form 10-KSB, have been omitted.

                                      F-7
<PAGE>

C.       Use of Estimates

The preparation of financial  statements in conformity  with generally  accepted
accounting principles requires management to make estimates and assumptions that
affect the reported  amounts of assets and  liabilities  and the  disclosure  of
contingent  assets and  liabilities at the date of the financial  statements and
the  reported  amounts of revenues  and expenses  during the  reporting  period.
Actual results could differ from those estimates.  Estimates and assumptions are
reviewed  periodically  and  the  effects  of  revisions  are  reflected  in the
financial statements in the period they are determined.

D.       Property and Equipment

Property and  equipment  have been stated at cost and  depreciated  or amortized
using  the  straight-line  method  over  the  assets'  estimated  useful  lives.
Leasehold  improvements  have been amortized over the shorter of the life of the
related asset or the life of the lease.  Costs of  maintenance  and repairs have
been charged to expense as incurred;  significant  renewals and betterments have
been capitalized.  Long-lived assets have been assessed for impairment  whenever
events or changes in  circumstances  have  indicated  that the assets'  carrying
amount may not be  recoverable.  In the event of impairment,  the evaluation has
been  based on an  estimate  of the  future  undiscounted  net cash flows of the
related asset or asset  grouping  over the assets'  remaining  life.  Long-lived
assets that are assessed to be impaired have been reduced to their estimated net
fair market value.

E.       Stock-Based Compensation

Prior to  January  1,  2006 the  Company  accounted  for stock  based  awards to
employees as compensatory in accordance with Accounting Principles Board Opinion
No. 25,  Accounting  for Stock Issued to Employees  ("APB 25"). The Company also
issues  stock based  awards for  services  performed  by  consultants  and other
non-employees  and accounts for them in accordance  with  Statement of Financial
Accounting  Standards No. 123R,  Accounting for Stock-Based  Compensation ("SFAS
123R").

Financial   Accounting   Standards  Board  Statement  No.  148,  Accounting  for
Stock-Based  Compensation - Transition and Disclosure ("SFAS 148"), requires the
Company to provide pro forma  information  regarding net income and earnings per
share as if  compensation  cost for all awards had been determined in accordance
with the fair  value  based  method  prescribed  in SFAS  123R.  Net  income and
earnings  per share for the  period  ended  March 31,  2005  would not have been
impacted  had  the  compensation  cost  for  these  awards  been  determined  in
accordance  with SFAS 123R.

Effective  January  1,  2006,  the  Company  adopted  SFAS No.  123R  using  the
"prospective   method."  This  statement  replaced   SFAS-123,   Accounting  for
Stock-Based  Compensation,  supersedes APB Opinion No. 25,  Accounting for Stock
Issued to  Employees,  and amends  SFAS-95,  Statement of Cash Flows.  SFAS-123R
requires companies to apply a fair-value-based  measurement method in accounting
for share-based  payment  transactions with employees and to record compensation
cost for all stock  awards  granted  after the required  effective  date and for


                                      F-8
<PAGE>

awards  modified,  repurchased  or  cancelled  after  that  date.  The  scope of
SFAS-123R  encompasses a wide range of  share-based  compensation  arrangements,
including share options, restricted share plans, performance-based awards, share
appreciation rights, and employee share purchase plans.

F.       Income  Taxes

The  Company  accounts  for its  income  taxes  using the  Financial  Accounting
Standards  Board   Statements  of  Financial   Accounting   Standards  No.  109,
"Accounting  for Income Taxes," which requires the  establishment  of a deferred
tax asset or  liability  for the  recognition  of future  deductible  or taxable
amounts and operating loss and tax credit carry  forwards.  Deferred tax expense
or  benefit  is  recognized  as a  result  of  timing  differences  between  the
recognition of assets and liabilities for book and tax purposes during the year.

Deferred  tax  assets and  liabilities  are  measured  using  enacted  tax rates
expected  to apply to  taxable  income  in the  years in which  those  temporary
differences  are expected to be  recovered  or settled.  Deferred tax assets are
recognized  for deductible  temporary  differences  and operating  loss, and tax
credit  carry  forwards.  A valuation  allowance is  established  to reduce that
deferred tax asset if it is "more likely than not" that the related tax benefits
will not be realized.

G.       Basic and Diluted Net  Earnings  (loss) per Share

The  Company  adopted  the  provisions  of SFAS No.  128,  "Earnings  Per Share"
("EPS"). SFAS No. 128 provides for the calculation of basic and diluted earnings
per share.  Basic EPS includes no dilution and is computed by dividing income or
loss available to common  shareholders by the weighted  average number of common
shares  outstanding for the period.  Diluted EPS reflects the potential dilution
of securities that could share in the earnings or losses of the entity.  For the
period from inception  through March 31, 2006,  basic and diluted loss per share
are the same since the  calculation of diluted per share amounts would result in
an anti-dilutive calculation.

H.       Recent Accounting Pronouncements

In February  2006,  FASB issued SFAS No.  155,  "Accounting  for Certain  Hybrid
Financial  Instruments".  SFAS  No.  155  amends  SFAS No 133,  "Accounting  for
Derivative  Instruments and Hedging  Activities",  and SFAF No. 140, "Accounting
for  Transfers  and  Servicing  of  Financial  Assets  and   Extinguishments  of
Liabilities".  SFAS No. 155,  permits  fair value  remeasurement  for any hybrid
financial  instrument that contains an embedded  derivative that otherwise would
require  bifurcation,  clarifies which  interest-only  strips and principal-only
strips are not  subject  to the  requirements  of SFAS No.  133,  establishes  a
requirement  to evaluate  interest in securitized  financial  assets to identify
interests  that  are  freestanding  derivatives  or that  are  hybrid  financial
instruments that contain an embedded derivative requiring bifurcation, clarifies
that concentrations of credit risk in the form of subordination are not embedded
derivatives,  and  amends  SFAS No.  140 to  eliminate  the  prohibition  on the
qualifying special-purpose entity from holding a derivative financial instrument


                                      F-9
<PAGE>

that pertains to a beneficial  interest other than another derivative  financial
instrument.  This statement is effective for all financial  instruments acquired
or issued  after the  beginning of the  Company's  first fiscal year that begins
after September 15, 2006.

In June 2005,  the EITF reached  consensus on Issue No.  05-6,  Determining  the
Amortization Period for Leasehold Improvements ("EITF 05-6.") EITF 05-6 provides
guidance on  determining  the  amortization  period for  leasehold  improvements
acquired in a business  combination or acquired  subsequent to lease  inception.
The guidance in EITF 05-6 will be applied  prospectively  and is  effective  for
periods  beginning  after June 29,  2005.  EITF 05-6 is not  expected  to have a
material effect on its consolidated financial position or results of operations.

In May  2005,  the FASB  issued  SFAS No.  154,  "Accounting  Changes  and Error
Corrections."  This  statement  applies to all  voluntary  changes in accounting
principle and requires  retrospective  application to prior  periods'  financial
statements   of  changes  in   accounting   principle,   unless  this  would  be
impracticable.  This statement also makes a distinction  between  "retrospective
application"  of an  accounting  principle  and the  "restatement"  of financial
statements to reflect the  correction of an error.  This  statement is effective
for accounting  changes and corrections of errors made in fiscal years beginning
after December 15, 2005.

In March 2005, the SEC released Staff Accounting Bulletin No. 107,  "Share-Based
Payment"  ("SAB  107"),  which  provides  interpretive  guidance  related to the
interaction  between SFAS 123(R) and certain SEC rules and regulations.  It also
provides  the SEC staff's  views  regarding  valuation  of  share-based  payment
arrangements.  In April  2005,  the SEC amended  the  compliance  dates for SFAS
123(R),  to allow  companies to implement the standard at the beginning of their
next fiscal year,  instead of the next reporting period beginning after June 15,
2005. Management has implemented the provisions of SFAS 123(R) effective January
1, 2006.


2.       Going Concern

The  accompanying  financial  statements  have been prepared in conformity  with
generally accepted accounting principles,  which contemplate the continuation of
the Company as a going concern. The Company reported a cumulative net loss since
inception of $13,047,485,  and had a stockholders'  deficit at March 31, 2006 of
$113,145.

In view of the matters described, there is substantial doubt as to the Company's
ability  to  continue  as a going  concern  without a  significant  infusion  of
capital.  The Company  acquired all of the  outstanding  capital stock of Es3 in
July 2005 and subsequently  divested its ownership effective October 1, 2005. At
March 31, 2006, the Company had no operations. In view of the matters described,
there is  substantial  doubt as to the Company's  ability to continue as a going
concern  without a  significant  infusion of capital.  There can be no assurance


                                      F-10
<PAGE>

that management will be successful in implementing  its new plans. The financial
statements do not include any adjustments  that might result from the outcome of
this uncertainty.

3.       Related Party Transactions

The following  transactions  took place between the Company and Boston  Equities
Corporation,  a shareholder  holding greater than 10% of the outstanding  common
stock of the Company. In January 2006 the Company executed a Consulting contract
with Camden  Holdings,  Inc.  ("Camden")  under which  Camden  agreed to provide
business  management  services  and  advice as it  relates  to the future of the
company. In consideration of these services,  the Company agreed to pay Camden a
fee of two million five hundred thousand (2,500,000) shares of restricted common
stock.  Camden is a related  party to Boston  Equities  Corporation.  The market
value of the shares on the date the contact was entered into was $5,750,000. The
shares were issued in April 2006 and the  transaction  has been reflected in the
financial statements at March 31, 2006 as additional paid in capital.

In January 2006 the Company entered into a consulting  contract with Design Inc.
("Design") to provide business  management  services and advice as it relates to
the Company's  future.  Under the terms of the agreement,  the Company agreed to
pay to Design a fee of two million eight hundred thousand (2,800,000) restricted
shares of the  Company's  common  stock.  Design  is a  related  party to Boston
Equities Corporation. The market value of the shares on the date the contact was
entered  into was  $6,440,000.  The  shares  were  issued in April  2006 and the
transaction has been reflected in the financial  statements at March 31, 2006 as
additional paid in capital.

4.       Subsequent Events

In April 2006,  the Company's  Board of Director  approved a change of direction
for the Company, from the business of manufacturing and distributing  decorative
stone  veneers and  finishes,  to the  business of oil and gas  exploration  and
production,   mineral  lease  purchasing  and  all  activities  associated  with
acquiring,   operating  and  maintaining  the  assets  of  such  operations.  In
furtherance  of this change of direction,  the Company  entered into  consulting
agreements with third parties to provide business management services and advice
as it relates to the future of the company.  These  services  shall  include the
drafting  and  preparation  of  business  plans,  operating  budgets,  cash flow
projections and other business  management services as the Company ventures into
the oil and gas business.  As an initial step into the oil and gas business,  in
April 2006,  the Company  executed an  assignment  of an oil and gas lease under
which the  Company  intends to exploit  underlying  oil and gas  reserves.  (See
discussion,  below.)

A.       Related Party Transactions On April 3, 2006, the Company

entered into a consulting agreement with Summitt Oil and Gas, Inc. ("Summit") to
provide business  management  services and advice as it relates to the future of
the company.  Under the terms of the Agreement,  the Company shall pay Summitt a


                                      F-11
<PAGE>

fee of two  hundred  and  fifty  thousand  dollars  ($250,000)  in cash plus one
million eight hundred  thousand  (1,800,000)  restricted of the Company's common
stock.  The fee is  non-refundable  and  considered  earned  when the shares are
delivered. Summit is a related party to Boston Equities Corporation.  The shares
of common stock were issued in April 2006.

On April 3, 2006,  the Company  entered into an employment  agreement  with Ross
Lyndon  James  who  has  been  serving  as  the  Company's   President   without
compensation  and written  agreement since being appointed to such office by the
Board of Directors of the Company in June 2005. Mr. Lyndon James had also served
without  compensation  as a  director  of the  Company.  Under  the terms of the
agreement,  Mr.  Lyndon  James will  receive  compensation  equal to twenty five
thousand  dollars  ($25,000) per month payable  monthly in advance.  He was also
granted one million  eight hundred  thousand  (1,800,000)  restricted  shares of
common stock upon execution of the employment  agreement as a signing bonus,  as
well as a  termination  grant of two million  (2,000,000)  shares of  restricted
common stock. All shares have piggy-back registration rights. Additionally,  the
Company  agreed  to grant  him a  warrant  to  acquire  three  hundred  thousand
(300,000)  restricted shares of the Company' common stock. The exercise price is
to be based  on the bid  price of the  stock on the date of the  agreement.  The
warrants  expire five years after the date of grant.  Additionally,  Mr.  Lyndon
James will be entitled to participate in any stock option program offered by the
Company to its employees.

On April 3, 2006,  the Company  entered into an employment  agreement with Brian
Harcourt who has been serving as an officer of the Company without  compensation
and  written  agreement  since  being  appointed  to such office by the Board of
Directors  of the Company in June 2005.  Mr.  Harcourt  has also served  without
compensation as a director of the Company. Under the terms of the agreement, Mr.
Harcourt  will  receive  compensation  equal to  twenty  five  thousand  dollars
($25,000) per month payable monthly in advance.  He was also granted one million
eight  hundred  thousand  (1,800,000)  restricted  shares of common  stock  upon
execution  of  the  employment  agreement  as a  signing  bonus,  as  well  as a
termination  grant of two million  (2,000,000)  restricted  shares of the common
stock. All shares have piggy back registration rights. Additionally, the Company
agreed  to grant him a warrant  to  acquire  three  hundred  thousand  (300,000)
restricted  shares of the Company's  common stock.  The exercise  price is to be
based on the bid price of the stock on the date of the  agreement.  The warrants
expire five years after the date of grant.  Additionally,  Mr.  Harcourt will be
entitled to participate  in any stock option  program  offered by the Company to
its employees.

On April 4, 2006, the Company entered into an assignment of an oil and gas lease
with  Summitt.  Under the  agreement  the  Company  has  agreed  to pay  Summitt
consideration of four hundred thousand dollars  ($400,000)  payable with seventy
seven thousand  (77,000)  restricted  shares of the Company's  common stock. The
shares of stock  have not been  issued as of June 2, 2006.

April 5, 2006, the Company entered into a consulting agreement with First Credit
Holding Ltd ("First Credit") to provide business  management services and advice
as it relates to the Company's  future.  Under the terms of the  agreement,  the


                                      F-12
<PAGE>

Company agreed to pay First Credit a fee of three million five hundred  thousand
(3,500,000)  restricted  shares of common stock. The fee is  non-refundable  and
considered  earned when the shares are  delivered.  Brian  Harcourt,  one of our
directors,  is the controlling  shareholder of First Credit. The shares of stock
were issued in April 2006.

On April 25, 2006, the Company entered into a Short Term Bridge Financing in the
form of a  promissory  note to  Camden  Holdings,  Inc.  in the  amount of three
hundred and fifty thousand dollars ($350,000) to be used as working capital. The
Note is due on August 25, 2006. No interest is payable on the note.

B.       Other

On April 5, 2006,  the Company  retained  the  services of  Monterosa  Group Ltd
("Monterosa")  for a  period  of three  years  for  operational  administration,
transaction processing and management,  systems development,  staff recruitment,
acquisition transaction support services,  shareholder  communications and other
business management services.  Under the agreement,  the Company agreed to pay a
fee of seven  hundred  thousand  (700,000)  shares of the  Company's  restricted
common stock as  compensation  in lieu of cash.  The fee is  non-refundable  and
considered earned when the shares are delivered. The shares of stock were issued
in April 2006.

On April 5, 2006, the Company  entered into a consulting  agreement with BlueFin
LLC ("BlueFin") to provide business  development,  investor relations  services,
introductions  to  qualified  funding  sources,  introductions  to oil  and  gas
business prospects,  and introductions to accredited investors.  Under the terms
of the  agreement,  the  Company  agreed to pay  BlueFin a fee of seven  hundred
thousand  (700,000) shares of the Company's  restricted common stock. The fee is
non-refundable  and considered earned when the shares are delivered.  The shares
of stock were issued in April 2006.

On April 3, 2006, the Board of Directors of the Company  authorized and approved
the adoption of the 2006 Stock Option Plan effective April 3, 2006 (the "Plan").
The Plan is administered by the duly appointed compensation committee.  The Plan
is authorized to grant stock options of up to 2,500,000  shares of the Company's
common  stock.  At the time a stock  option  is  granted  under  the  Plan,  the
compensation  committee  shall fix and determine the exercise  price and vesting
schedules at which such shares of common stock of the Company may be acquired.


                                      F-13
<PAGE>

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

This report contains  forward looking  statements  within the meaning of Section
27A of the  Securities Act of 1933, as amended and Section 21E of the Securities
Exchange  Act of 1934,  as  amended.  When used in this Form  10-QSB,  the words
"anticipate",  "estimate",  "expect",  "project"  and  similar  expressions  are
intended to identify forward-looking  statements. Such statements are subject to
certain risks,  uncertainties and assumptions including the possibility that the
Company's proposed plan of operation will fail to generate  projected  revenues.
Additional risks, uncertainties and assumptions include, but are not limited to,
the factors that we describe in the section  entitled  "Management's  Discussion
and Analysis" in the Form 10-KSB/A for the year ended December 31, 2005.  Should
one or more of these risks or uncertainties  materialize,  or should  underlying
assumptions  prove  incorrect,  actual  results may vary  materially  from those
anticipated,  estimated or projected.  The Company's actual results could differ
materially from those set forth on the forward looking statements as a result of
the risks set forth in the Company's  filings with the  Securities  and Exchange
Commission,  general economic conditions, and changes in the assumptions used in
making such forward looking statements.

General

On July 19, 2005, the Company  completed the acquisition of Es3. Pursuant to the
terms of the  Exchange  Agreement  dated as of June 30,  2005,  by and among the
Company,  Crown  Partners,  the largest  stockholder of the Company prior to the
Closing,  Es3, and certain  stockholders of Es3, the Company acquired 17,798,750
shares of the  outstanding  capital  stock of Es3 in exchange for the  Company's
issuance to the Es3  Stockholders of 17,798,750  shares of the Company's  common
stock. In connection with the Exchange Agreement, the Company also issued 78,751
shares to the former owners of National  Healthcare  Technology,  Inc.,  905,438
shares to Crown Partners and 400,000 shares between to two individuals,  dba. WB
International,  Inc.  that  provided  consulting  and  advisory  services to the
Company (the "Consultants").

As a result of the transactions  contemplated by the Exchange Agreement,  during
the year 2005, we had one active  operating  subsidiary,  Es3. Es3 was formed on
January  27,  2005,  and  began  operations  in March  2005 in the  business  of
manufacturing  and distributing a range of decorative stone veneers and finishes
based on proprietary "Liquid Stone Coatings" and "Authentic Stone Veneers".

From  January 27, 2005  (inception)  to March 31,  2006,  the Company has had $0
revenues, and a net operating loss of $13,047,485.

Plan of Operation

On April 3, 2006, our Board of Directors  approved a change of direction for the
Company,  from the business of manufacturing  and distributing  decorative stone
veneers and finishes, to the business of oil and gas exploration and production,
mineral lease purchasing and all activities associated with acquiring, operating
and maintaining the assets of such operations.

                                      -3-
<PAGE>

Upon the  closing  of the  Exchange  Agreement,  we had  planned  to market  our
coatings  and  veneers to both  commercial  and  residential  markets,  which we
intended  to fund by using  the  public  markets  to secure  additional  working
capital  and  to  make  acquisitions  using  either  Common  Stock  or  cash.  A
significant   component  of  our  intermediate  term  growth  strategy  was  the
acquisition and integration of companies in related building  materials  fields.
We had expected to take  advantage  of synergies  among  related  businesses  to
increase  revenues and take advantage of economies of scale to reduce  operating
costs.

In  conjunction  with our change of direction,  in April 2006, we entered into a
consulting  agreement  with Summitt Oil and Gas,  Inc.  ("Summitt"),  as well as
other third parties, to provide business management  services,  and advice as it
relates to the future of the company.  This service  shall  include the drafting
and preparation of business plans,  operating budgets, cash flow projections and
other business  management services as we venture into the oil and gas business.
Additionally,  in April 2006 we executed an  assignment  of an oil and gas lease
under  which we  acquired  the  rights to drill and  otherwise  exploit  certain
underlying oil and gas reserves which we acquired for 77,000  restricted  shares
of our common stock and an agreement to pay a 3% royalty on the value of the oil
removed or produced  and on net proceeds  from all gas sold.

We believe  that by changing  our  direction  to the oil and gas markets we have
improved our prospects  for success due to both the current and expected  future
positive  market  conditions  which we  expect  to  exploit  initially  from the
valuable contacts,  industry  expertise and business  opportunities we expect to
derive from Summitt,  an industry  experienced  consulting  resource,  and other
third party consultants.

Additionally,  we intend to  reincorporate  the Company to a Nevada  corporation
("Reincorporation").  The business purpose of the Reincorporation is to allow us
to avail  ourselves to Nevada  corporate law.  Nevada is a recognized  leader in
adopting and implementing  comprehensive,  flexible corporate laws responsive to
the legal and  business  needs of  corporations  organized  under its laws.  The
Nevada Revised  Statutes is an enabling  statute that is frequently  revised and
updated to accommodate  changing business needs.

Additionally,  consistent  with the change of our direction into the oil and gas
business,  we will also change the Company name to a name in line with a company
in the oil and gas business.

We anticipate that we will have to raise  additional  capital to fund operations
over the next 12 months.  To the extent that we are required to raise additional
funds to cover our costs of  operations,  we intend to do so through  additional
public or private offerings of debt or equity  securities,  including a drilling
fund to raise  $5,000,000.  There are no commitments or  arrangements  for other
offerings in place, no guaranties that any such financings would be forthcoming,
or as to the terms of any such  financings.  Any future  financing  may  involve
substantial  dilution to existing  investors.  We have also been  relying on our
common stock to pay third  parties for services  which has resulted  substantial
dilution to existing investors.

                                      -4-
<PAGE>

Estimated Funding Required During the Next Twelve Months:
--------------------------------------- --------------- --- -----------------
Prospect Development & Seismic              $1,000,000  to        $5,000,000
--------------------------------------- --------------- --- -----------------
Drilling & Development                      $2,500,000  to        $5,000,000
--------------------------------------- --------------- --- -----------------
Offering Costs & Expenses                      $50,000  to           $50,000
--------------------------------------- --------------- --- -----------------
General Corporate Expenses                    $100,000  to          $150,000
--------------------------------------- --------------- --- -----------------
Working Capital                               $700,000  to        $1,000,000
--------------------------------------- --------------- --- -----------------
Total                                       $4,350,000  to       $11,200,000
--------------------------------------- --------------- --- -----------------
The minimum  expenditures noted above will allow us to commence with exploration
and  development of properties and commence  drilling  operations.  In the event
that we are able to raise further funds, we will primarily  expend such funds on
further  prospect  development  and  seismic  studies  and then to fund  further
drilling  operations

Consistent with this change of our business,  effective  October 1, 2005 we sold
all of the capital stock of Es3 to Liquid Stone  Partners.  A partner  holding a
minority  interest  in  Liquid  Stone  Partnerships  is also a  director  of the
Company.

We currently  have two full-time  employees.  We will  primarily rely on outside
consultants and do not currently  foresee any significant  changes in the number
of our employees.

Item 3.  Controls and Procedures.

Our Chief  Executive  Officer and Chief  Financial  Officer have  evaluated  the
effectiveness of our disclosure controls and procedures (as such term is defined
in Rules 13a-15 and 15d-15 under the Securities Exchange Act of 1934, as amended
(the  "Exchange  Act")) as of the end of the period ended March 31,  2006,  (the
"Evaluation Date"). During the course of the audit for our year end December 31,
2005 we  discovered,  among other  matters,  that an error in transfer of common
stock of the Company resulted in overstatement of the outstanding  shares of Es3
prior to the Exchange  Agreement of 310,000  shares,  and that we under reported
approximately  $278,000 in accounts  payable to a related party.  As a result of
these  errors,  and others,  we restated  our form 10-QSB for the quarter  ended
September  30, 2005,  and will restate the financial  statements  for the period
ended June 30, 2005, in our Form 8-K/A filed on January 24, 2006. Our conclusion
to restate  our form 10QSB for the  quarter  ended  September  30, 2005 and Form
8-K/A filed on January 24,  2006,  has  resulted in  affecting  our  assessments
regarding our controls,  and that they were not effective as of the period ended
in this report.

Limitations on the Effectiveness of Internal Controls

Disclosure controls and procedures, no matter how well designed and implemented,
can provide  only  reasonable  assurance  of  achieving  an entity's  disclosure
objectives.   The  likelihood  of  achieving  such  objectives  is  affected  by
limitations  inherent in disclosure  controls and procedures.  These include the
fact that human judgment in decision-making can be faulty and that breakdowns in


                                      -5-
<PAGE>

internal  control can occur  because of human  failures such as simple errors or
mistakes or intentional  circumvention of the established process.

There  were  no  changes  in the  Company's  internal  controls  over  financial
reporting,  known to the Chief Executive Officer or the Chief Financial Officer,
that  occurred  during  the most  recent  fiscal  quarter  that have  materially
affected,  or are reasonably likely to materially affect, the Company's internal
control over financial reporting.

In May 2006,  we  remediated  the  material  weakness in internal  control  over
financial  reporting  by having our Chief  Executive  Officer in addition to our
Chief Financial Officer review in detail all adjustments affecting the issuances
of our securities, and to retain the services of a controller.

                           PART II - OTHER INFORMATION

Item 1.    Legal Proceedings.

We are not a party to any material  pending legal  proceeding and no such action
by or, to the best of our knowledge, against us have been threatened.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.  During the
Quarter  ending  March 31,  2006,  we  issued  securities  using the  exceptions
available  under the Securities Act of 1933  including  unregistered  sales made
pursuant to Section 4(2) of the Securities  Act of 1933, as follows:  in January
2006 the Company  agreed to issue  2,500,000  shares of common stock in exchange
for business  management  services;  and in January 2006,  the Company agreed to
issue  2,800,000  shares of common  stock in exchange  for  business  management
services.  These shares of stock were not issued as of March 31,  2006.  Item 3.
Defaults Upon Senior Securities.

None

Item 4.    Submission of Matters to a Vote of Security Holders.

None

Item 5.    Other Information.

None

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

------- ------- ----------------------------------------------------------------
10      10.8    Consulting Agreement by and between us and Camden Holdings, Inc.
                dated  January  8, 2006  (previously  filed as an exhibit to the
                Company's Form 10-KSB, file no. 001-28911,  on May 22, 2006, and
                incorporated herein by reference.) .

------- ------- ----------------------------------------------------------------
        10.9    Consulting  Agreement by and between us and Design,  Inc.  dated
                January 8, 2006 (previously filed as an exhibit to the Company's
                Form  10-KSB,   file  no.  001-28911,   on  May  22,  2006,  and
                incorporated herein by reference.)
------- ------- ----------------------------------------------------------------
31      31.1    Certification by Ross Lyndon-James,  Chief Executive Officer, as
                required  under  Section  302 of  Sarbannes-Oxley  Act of  2002,
                attached hereto.
------- ------- ----------------------------------------------------------------
        31.2    Certification  by Brian Harcourt,  Chief Financial  Officer,  as
                required under Section 302 of the  Sarbannes-Oxley  Act of 2002,
                attached hereto.
------- ------- ----------------------------------------------------------------
32      32.1    Certification  as required under Section 906 of  Sarbannes-Oxley
                Act of 2002, attached hereto.
------- ------- ----------------------------------------------------------------


                                   SIGNATURES

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

NATIONAL HEALTHCARE TECHNOLOGY, INC.

Date: June 9, 2006


By:  /s/ ROSS LYNDON-JAMES
----------------------------------
Ross Lyndon-James
Chief Executive Officer


                                      -6-