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

                                   FORM 10-QSB

(Mark  One)
[X]  QUARTERLY REPORT UNDER SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT
     OF 1934

     For  the  quarterly  period  ended  March  31,  2002
                                         ----------------

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

     For  the  transition period from _________________ to _________________

     Commission  file  number  0-26531
                               -------

PATAGONIA GOLD CORPORATION
----------------------------
(Exact name of small business issuer as specified in its charter)

Florida                                                 65-0401897
-------                                                 ----------
(State or other jurisdiction of incorporation or        (IRS Employer
             organization)                               Identification No.)

P.O. Box 48525, 595 Burrard Street, Vancouver, B.C., Canada V7X 1A2
-------------------------------------------------------------------
(Address of principal executive offices)

(604) 687-4701
--------------
(Issuer's  Telephone  Number)


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

Check  whether  the  issuer  (1)  has  filed all reports required to be filed by
Section  13 or 15 (d) of the Exchange Act during the preceding 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  [ ]

APPLICABLE  ONLY  TO  ISSUERS  INVOLVED  IN  BANKRUPTCY  PROCEEDINGS  DURING THE
PRECEDING  FIVE  YEARS

Check,  whether  the  registrant  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  court.

YES  [ ]  NO  [ ]

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: 13,000,000 shares of Common Stock
were  outstanding  as  of  March  31,  2002.

Transitional  Small  Business  Disclosure  Format  (check  one);

YES  [ ]  NO  [X]


<PAGE>
                           PATAGONIA GOLD CORPORATION

     This  quarterly  report contains statements that plan for or anticipate the
future  and  are  not  historical  facts.  In  this Report these forward looking
statements  are  generally  identified  by  words  such as "anticipate", "plan",
"believe",  "expect",  "estimate",  and  the  like.  Because  forward  looking
statements  involve future risks and uncertainties, these are factors that could
cause  actual  results  to  differ  materially from the estimated results. These
risks and uncertainties are detailed in Part 1 - Financial Information - Item 1.
"Financial Statements", Item 2. "Management's Discussion and Analysis or Plan of
Operation".

The  Private  Securities  Litigation  Reform Act of 1995, which provides a "safe
harbor"  for  such  statements,  may  not  apply  to  this  Report.


<TABLE>
<CAPTION>
                         PART 1.  FINANCIAL INFORMATION


ITEM 1.                    FINANCIAL STATEMENTS

                                                                 PAGE
                                                                 ----
<S>         <C>                                                  <C>

            Consolidated Balance Sheets                             3

            Consolidated Statements of Operations                   4

            Consolidated Statements of Cash Flows                   5

            Notes to the Consolidated Financial Statements          6

Item 2.     Management's Discussion and Analysis of
            Financial Condition and Results of Operations           9

PART II.    Other Information

Item 1.     Legal Proceedings                                      11

Item 2.     Changes in Securities                                  12

Item 3.     Defaults Upon Senior Securities                        12

Item 4.     Submission of Matters to A Vote of Security Holders    12

Item 5.     Other Information                                      12

Item 6.     Exhibits and Reports on Form 8-K                       12

Signatures                                                         13
</TABLE>


                                        2
<PAGE>
<TABLE>
<CAPTION>
----------------------------------------------------------------------------------------
PATAGONIA  GOLD  CORPORATION  &  SUBSIDIARIES
(An  exploration  stage  enterprise)


Consolidated Balance Sheets  (Unaudited)
March 31 2002                                                  March 31     December 31
(Expressed in U.S. Dollars)                                      2002          2001
----------------------------------------------------------------------------------------
ASSETS
<S>                                                           <C>          <C>
Current
   Cash                                                       $       49   $         11
   Receivables                                                        64            118
   Investments                                                   833,031        801,884
----------------------------------------------------------------------------------------
Total current assets                                             833,144        802,013

Notes receivable                                                  34,589         39,821
Mineral property costs                                                 -              -
----------------------------------------------------------------------------------------
Total assets                                                  $  867,733   $    841,834
----------------------------------------------------------------------------------------

LIABILITIES AND STOCKHOLDERS' EQUITY

Liabilities

Current
   Accounts payable and accrued liabilities                   $  101,354   $     98,753
   Note payable, non-interest bearing                             21,977         21,977
----------------------------------------------------------------------------------------
Total liabilities                                                123,331        120,730
----------------------------------------------------------------------------------------

Stockholders' Equity

   Share capital,
         Authorized
             50,000,000 common shares, par value $0.001each
         Issued
           13,000,000 common shares                               13,000         13,000
Additional paid-in capital                                     1,827,000      1,827,000
Accumulated deficit                                             (946,468)      (935,106)
Accumulated other comprehensive (loss),
    unrealized (loss) on securities available for sale          (149,130)      (183,790)
----------------------------------------------------------------------------------------
Stockholders' equity                                             744,402        721,104
----------------------------------------------------------------------------------------
Total liabilities and stockholders' equity                    $  867,733   $    841,834
----------------------------------------------------------------------------------------
</TABLE>


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


                                        3
<PAGE>
<TABLE>
<CAPTION>
PATAGONIA  GOLD  CORPORATION  &  SUBSIDIARIES
(An  exploration  stage  enterprise)

Consolidated  Statements  of  Operations  (Unaudited)
Three  months  ended  March  31,  2002  and  2001
(Expressed  in  U.S.  Dollars)
-----------------------------------------------------------------------------------------
                                              Cumulative
                                               June 30      Three months    Three months
                                               1997 to         Ended           Ended
                                               March 31       March 31        March 31
                                                 2002           2002            2001
-----------------------------------------------------------------------------------------
<S>                                          <C>           <C>             <C>
General and administrative expenses
  Administrative and general                 $   116,600   $       2,712   $      16,111
  Professional fees - accounting and legal        94,682           5,589          (2,860)
  Salaries and consulting fees                   164,248           1,440           6,000
-----------------------------------------------------------------------------------------
                                                 375,530           9,741          19,251

  Exploration expenses                           152,419               -               -

  Write-off of mineral property costs            309,250               -               -
-----------------------------------------------------------------------------------------
                                                 837,199           9,741          19,251
-----------------------------------------------------------------------------------------

Less: Income (loss)
  Interest income                                 34,593               -             698
  Dividend income                                  2,835               -               -
  Realized gain (loss) on
      sale of investments                       (117,557)         (1,621)         70,588
  Interest expense                               (15,653)              -            (112)
  Foreign exchange loss                          (13,487)              -               -
-----------------------------------------------------------------------------------------
                                                (109,269)         (1,621)         71,174
-----------------------------------------------------------------------------------------

Net gain (loss) for the period               $  (946,468)  $     (11,362)  $      51,923
=========================================================================================

Gain (loss) per share                                      $       (0.00)  $        0.00
=========================================================================================

Weighted average number of
     common shares outstanding                                13,000,000      13,000,000
=========================================================================================
</TABLE>


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


                                        4
<PAGE>
<TABLE>
<CAPTION>
PATAGONIA  GOLD  CORPORATION  &  SUBSIDIARIES
(An  exploration  stage  enterprise)

Consolidated  Statements  of  Cash  Flows  (Unaudited)
Three  months  ended  March  31,  2002  and  2001
(Expressed  in  U.S.  Dollars)
--------------------------------------------------------------------------------------------------
                                                       Cumulative
                                                        June 30      Three months    Three months
                                                        1997 to         Ended           Ended
                                                        March 31       March 31        March 31
                                                          2001           2002            2000
--------------------------------------------------------------------------------------------------
<S>                                                   <C>           <C>             <C>

Cash flows from (used in)
  operating activities
  Net (loss) for the period                           $  (946,468)  $     (11,362)  $      51,923
  Adjustments to reconcile net loss to net
     cash used in operating activities:
        realized loss (gain) on sale of investments       113,807           1,621         (70,588)
        expenses satisfied with common stock                3,000               -               -
        write-off of mineral properties                   309,250               -               -
--------------------------------------------------------------------------------------------------
                                                         (520,411)         (9,741)        (18,665)

Changes in assets and liabilities:
    decrease (increase) in accounts receivable            (34,653)          5,286        (106,608)
    increase (decrease) in accounts payable               101,354           2,601           8,604
--------------------------------------------------------------------------------------------------
                                                         (453,710)         (1,854)       (116,669)
--------------------------------------------------------------------------------------------------

Cash flows from (used in)
  investing activities
  Purchase of available-for-sale securities            (2,470,742)              -         (64,666)
  Proceeds on sale of available-for-sale
      securities                                        1,374,774           1,892         209,683
  Mineral property costs                                  (12,250)              -               -
--------------------------------------------------------------------------------------------------
                                                       (1,108,218)          1,892         145,017
--------------------------------------------------------------------------------------------------

Cash flows from (used in)
  financing activities
  Proceeds from issuance of common stock                1,540,000               -               -
  Proceeds from notes payable                              21,977               -            (930)
--------------------------------------------------------------------------------------------------
                                                        1,561,977               -            (930)
--------------------------------------------------------------------------------------------------

Increase (decrease) in cash for the period                     49              38          27,418
Cash and cash equivalents,
  beginning of period                                           -              11           1,352
--------------------------------------------------------------------------------------------------
Cash and cash equivalents,
  end of period                                       $        49   $          49   $      28,770
--------------------------------------------------------------------------------------------------
</TABLE>


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


                                        5
<PAGE>
Notes  to  Interim  Consolidated  Financial  Statements  (Unaudited)
--------------------------------------------------------------------

1.   Nature  of  Business  and  Going  Concern

     The  Company  was  incorporated  under  the laws of the State of Florida on
     March  31,  1993  and  is in the business of exploration and development of
     mineral  properties.  On  October 13, 1997, the Company changed its name to
     Patagonia  Gold  Corporation.

     These  consolidated  financial  statements have been prepared in accordance
     with  generally  accepted  accounting  principles  applicable  to  a  going
     concern,  which contemplates the realization of assets and the satisfaction
     of  liabilities  and  commitments  in  the  normal  course of business. The
     continued  operations  of  the  Company  and  the recoverability of mineral
     property  costs is dependent upon the existence of economically recoverable
     mineral  reserves, confirmation of the Company's interest in the underlying
     mineral claims, the ability of the Company to obtain necessary financing to
     complete the development and upon future profitable production. The Company
     has  incurred  recurring  operating losses and requires additional funds to
     meet  its  obligations  and  maintain its operations. Management's plans in
     this  regard  are  to  raise  equity  financing  as  required.

     These  conditions  raise  substantial  doubt about the Company's ability to
     continue  as a going concern. These financial statements do not include any
     adjustments  that  might  result  from  this  uncertainty.

     The  Company  has  not  generated  any  operating  revenues  to  date.

2.   Basis  of  Presentation

     The accompanying unaudited condensed consolidated financial statements have
     been  prepared  in accordance with generally accepted accounting principles
     for interim financial information and with the instructions for Form 10-QSB
     and  Article 10 of Regulation S-X. Accordingly, they do not include all the
     information  and  footnotes  required  by  generally  accepted  accounting
     principles for complete financial statements. In the opinion of management,
     all  adjustments  (consisting  only  of  normal  recurring  adjustments)
     considered  necessary for a fair presentation have been included. Operating
     results  for  the  three-month  month  period  ended March 31, 2002 are not
     necessarily  indicative  of  the  results that may be expected for the year
     ended  December  31,  2002.

     The  balance  sheet  at December 31, 2001 has been derived from the audited
     financial  statements  at  that date. The consolidated financial statements
     and  footnotes  thereto  included  in the Patagonia Gold Corporation Annual
     Report  on  Form  10-KSB  for  the  year  ended December 31, 2001 should be
     reviewed  in  connection  with  these  condensed  consolidated  financial
     statements.

3.   Significant  Accounting  Policies

     (a)  Basis  of  Consolidation

          These  consolidated  financial statements, prepared in accordance with
          accounting principles generally accepted in the United States, include
          the accounts of the Company and its wholly-owned subsidiary, Patagonia
          Gold  Mines  Ltd.,  a  company  incorporated in 1994 under the laws of
          Bermuda. Significant inter-company accounts and transactions have been
          eliminated.

          During  fiscal  year  2001,  the  Company  wound  up  its wholly owned
          subsidiary  Patagonia  Gold  Mines  Limited.

     (b)  Mineral  Properties  and  Exploration  Expenses

          Exploration  costs are charged to operations as incurred as are normal
          development costs until such time that proven reserves are discovered.
          From  that  time forward, the Company will capitalize all costs to the


                                        6
<PAGE>
          extent that future cash flow from reserves equals or exceeds the costs
          deferred.  As at March 31, 2002 and December 31, 2001, the Company did
          not  have  proven  reserves.  Cost  of  initial acquisition of mineral
          rights  and  concessions  are  capitalized  until  the  properties are
          abandoned  or  the  right  expires.

          Exploration  activities conducted jointly with others are reflected at
          the  Company's  proportionate  interest  in  such  activities.

          Costs  related  to site restoration programs are accrued over the life
          of  the  project.

     (c)  Investments

          Available-for-sale  securities  are  carried at fair market value with
          unrealised  holding gains and losses included in stockholders' equity.
          Realized gains and losses are determined on an average cost basis when
          securities  are  sold.

     (d)  Foreign  Currency  Transactions

          Foreign currency accounts are translated into U.S. dollars as follows:

          At the transaction date, each asset, liability, revenue and expense is
          translated into U.S. dollars by the use of the exchange rate in effect
          at  that  date. At the period end, monetary assets and liabilities are
          translated  into  U.S. dollars by using the exchange rate in effect at
          that  date.  The  resulting  foreign  exchange  gains  and  losses are
          included  in  operations.

     (e)  Advertising  Expenses

          The  Company  expenses  advertising  costs  as incurred. There were no
          advertising costs charged to expenses for the three-months ended March
          31,  2002  and  2001.

     (f)  Long-Lived  Assets  Impairment

          Certain  long-term  assets of the Company are reviewed when changes in
          circumstances  require  as  to whether their carrying value has become
          impaired,  pursuant  to guidance established in Statement of Financial
          Accounting  Standards ("SFAS") No. 121, "Accounting for the Impairment
          of  Long-Lived  Assets  and  for Long-Lived Assets to be Disposed of".
          Management  considers  assets  to  be  impaired  if the carrying value
          exceeds  the  future  projected  cash  flows  from  related operations
          (undiscounted  and  without interest charges). If impairment is deemed
          to  exist,  the  assets  will  be  written  down  to  fair  value.

     (g)  Accounting  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 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  and  assumptions.

     (h)  Fair  Value  of  Financial  Instruments

          The  respective  carrying  value of certain on-balance-sheet financial
          instruments  approximated  their  fair  values.  These  financial
          instruments  include  cash,  receivables,  investments  and  accounts
          payable  and  accrued  liabilities.  Fair  values  were  assumed  to
          approximate  carrying  values  for these financial instruments, except
          where  noted,  since  they are short term in nature and their carrying
          amounts  approximate  fair values or they are receivable or payable on


                                        7
<PAGE>
          demand.  Management  is of the opinion that the Company is not exposed
          to  significant  interest, credit or currency risks arising from these
          financial  instruments.

     (i)  Accounting  for  Derivative  Instruments  and  Hedging  Activities

          The  Company  has  adopted  the  Statement  of  Financial  Accounting
          Standards  SFAS  No.  133,  "Accounting for Derivative Instruments and
          Hedging  Activities"  which  requires  companies  to  recognize  all
          derivatives  contracts  as either assets or liabilities in the balance
          sheet  and  to  measure  them at fair value. If certain conditions are
          met,  a  derivative  may  be  specifically  designated as a hedge, the
          objective  of which is to match the timing of gain or loss recognition
          on  the  hedging derivative with the recognition of (i) the changes in
          the  fair value of the hedged asset or liability that are attributable
          to  the  hedged  risk  or  (ii)  the  earnings  effect  of  the hedged
          forecasted  transaction.  For a derivative not designated as a hedging
          instrument,  the gain or loss is recognized in income in the period of
          change.  SFAS  No.  133 is effective for all fiscal quarters of fiscal
          years  beginning  after June 15, 2000. The adoption of SFAS 133 has no
          impact  on  the  Company's  financial  statements.

     (j)  Income  Taxes

          The  Company  has  adopted Statement of Financial Accounting Standards
          (SFAS")  No.  109,  "Accounting  for Income Taxes", which requires the
          Company  to  recognize  deferred  tax  liabilities  and assets for the
          expected  future  tax consequences of events that have been recognized
          in  the  Company's  financial  statements  or  tax  returns  using the
          liability  method.  Under  this  method,  deferred tax liabilities and
          assets  are  determined based on the temporary differences between the
          financial  statement  and  tax  bases  of assets and liabilities using
          enacted  tax rates in effect in the years in which the differences are
          expected  to  reverse.

     (k)  Loss  Per  Share

          Loss per share is computed using the weighted average number of shares
          outstanding during the year. Effective for the year ended December 31,
          1997,  the  Company  adopted  SFAS  No.  128,  "Earnings  Per  Share".

4.   Investments

Investments  consist  of  available-for-sale  securities  and  are summarized as
follows:

<TABLE>
<CAPTION>
-------------------------------------------------------------------------------------------
                                            Gross          Gross      Accumulated
                                       unrealized     unrealized       unrealized    Market
                                Cost        gains         losses   gains (losses)     value
-------------------------------------------------------------------------------------------
<S>                     <C>           <C>          <C>            <C>              <C>
December 31, 2000
  Equity securities     $ 1,190,232   $   171,222  $    668,283   $     (497,061)  $693,171

Change during the year     (204,558)      163,871      (149,400)         313,271    108,713
-------------------------------------------------------------------------------------------
December 31, 2001
  Equity securities         985,674       335,093       518,883         (183,790)   801,884

Change during the year       (3,512)       19,045       (15,614)          34,659     31,147
-------------------------------------------------------------------------------------------
March 31, 2002
  Equity securities     $   982,162   $   354,138  $    503,269   $     (149,131)  $833,031
===========================================================================================
</TABLE>


                                        8
<PAGE>
5.   Notes  Receivable

     Notes  receivable  are  unsecured,  non-interest bearing and due on demand.

6.   Mineral  Property  Costs

     (a)  Argentina

          Mineral  concessions  in  the  Province of La Rioja, Argentina, are as
          follows:

     -    Piloncho 1, Sierra de Chepes
     -    Piloncho 2, Sierra de Chepes
     -    Piloncho 20, Sierra de Chepes
     -    Piloncho 21, Sierra de Chepes
     -    Carmelita 16, Sierra de Chepes
     -    Carmelita 17, Sierra de Chepes
     -    Carmelita 18, Sierra de Chepes

          During  fiscal  year  2001  the  Company  wrote  off  the  capitalized
          acquisition  cost  of  $3,000  to  operations.

     (b)  Guatamala

          Pursuant  to  an agreement dated October 1, 1999, the Company has paid
          $9,250  of  acquisition  cost,  spent  $18,617  towards  the  required
          exploration program and earned a 50% interest in the San Diego Mineral
          Exploration  Reconnaissance  License.  During  fiscal  year  2001  the
          Company  wrote  off  the  capitalized  acquisition  cost  of $9,250 to
          operations.

7.   Notes Payable

     Notes  payable  are  unsecured,  non-interest  bearing  and  due on demand.

8.   Reclassifications

     Certain  reclassifications of prior-year balances have been made to conform
     to  current  year  classifications.
--------------------------------------------------------------------------------

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

(A)  General

     Patagonia  Gold Corporation (the "Company" or "Patagonia") was incorporated
     under  the  laws  of the State of Florida on March 31, 1993, under the name
     "Cayman  Purchasing  &  Supply,  Inc."  The  Company  was inactive until it
     redirected  its  business  efforts  in  mid  1997  following  a  change  of
     management,  which  occurred  on  June  25,  1997,  to  the  acquisition,
     exploration  and,  if  warranted,  the  development  of  mineral  resource
     properties.  The  Company changed its name to Patagonia Gold Corporation on
     October  13,  1997  to  more  fully  reflect  its  business  activities.

     This  document contains numerous forward-looking statements relating to the
     Company's  business. The United States Private Securities Litigation Reform
     Act  of  1995  provides  a  "safe  harbor"  for  certain  forward-looking
     statements. Operating, exploration and financial data, and other statements
     in  this document are based on information the company believes reasonable,
     but  involve significant uncertainties as to future gold and silver prices,
     costs,  ore  grades,  estimation  of  gold  and silver reserves, mining and
     processing  conditions, changes that could result from the Company's future
     acquisition  of  new mining properties or businesses, the risks and hazards
     inherent  in  the  mining  business  (including  environmental  hazards,
     industrial  accidents,  weather  or  geologically  related  conditions),
     regulatory  and permitting matters, and risks inherent in the ownership and
     operation  of, or investment in, mining properties or businesses in foreign
     countries.  Actual results and timetables could vary significantly from the
     estimates  presented.  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.

     None  of  the  Company's  properties  contain  any  known Mineral Reserves.

     The  Company's  common  stock  is  traded on the NASD's OTC Bulletin Board.

(B)  Significant developments during the three-month period ended March 31, 2002

     During  the  first  quarter  of  2002 the Company continued to examine data
     relating  to  the  potential  acquisition  of  exploration  properties  in
     Argentina,  Guatemala  and  Mexico.

(C)  Exploration  and  development

     The  Company  conducts  exploration  activities  from  its  headquarters in
     Vancouver,  Canada.  The  Company's  strategy  is  to  concentrate  its
     investigations  into:  (i)  Existing  operations  where  an  infrastructure
     already  exists;  (ii)  Properties  presently  being  developed  and/or  in
     advanced  stages  of  exploration  which  have  potential  for  additional
     discoveries;  and  (iii)  Grass-roots  exploration  opportunities.

     The  Company  is  examining  data  relating to the potential acquisition of
     other  exploration  properties  in  Argentina,  Guatemala  and  Mexico.

     During  fiscal  2001  the  Company did not renew the mineral reconnaissance
     licence  for  its  Guatemala  mineral  reconnaissance  concession.

     The  Company's  property  is in the exploration stage only and is without a
     known  body  of  Mineral  Reserves. Development of the property will follow
     only  if satisfactory exploration results are obtained. Mineral exploration
     and  development involves a high degree of risk and few properties that are
     explored  are  ultimately  developed  into  producing  mines.  There  is no
     assurance that the Company's mineral exploration and development activities
     will  result  in  any  discoveries  of  commercially  viable  bodies  of
     mineralization.  The  long-term  profitability  of the Company's operations
     will  be,  in  part,  directly  related  to  the  cost  and  success of its
     exploration  programs,  which  may  be  affected  by  a  number of factors.

(D)  Financial  Information

     Three-month  period  ended  March  31, 2002 versus three-month period ended
     March  31,  2001

     Financing:

     The  Company  did  not issue any shares during the three months ended March
     31,  2002.  The  Company  did not issue any common shares during the fiscal
     year  ended  December  31,  2001.

     Net  Loss:

     For  the  three-months ended March 31, 2002 the Company recorded a net loss
     of  $11,362  or $0.00 per share, compared to net income of $51,923 or $0.00
     per  share  in  2001.


                                        9
<PAGE>
     Revenues:

     The  Company  had  no  operating  revenues for the three-month period ended
     March  31,  2002  (2001  -  $0).

     Costs  and  Expenses:

     General  and administrative expenses - For the three-months ended March 31,
     2002  the  Company  recorded  general and administrative expenses of $9,741
     compared  to  $19,251  in  2001.

     Professional fees - accounting and legal - For the three-months ended March
     31,  2002  the  Company  recorded  legal fees of $0 compared to $(2,860) in
     2001.  For  the  three-months  ended  March  31,  2002 the Company recorded
     accounting  fees  of  $5,589  compared  to  $0  in  2001.

(E)  Financial  Condition  and  liquidity

     At March 31, 2002, the Company had cash of $49 (2000 - $28,770) and working
     capital  of  $709,813  (2001 - $571,072) respectively. Total liabilities at
     March  31,  2002,  were  $123,331 (2001 - $62,250), an increase of $61,081.
     During  the  three-month  period  ended March 31, 2002 investing activities
     consisted  of  additions to mineral properties $0 (2001 - $0), purchases of
     available-for-sale  securities  $0  (2001  - $64,666) and proceeds from the
     sale of available-for-sale securities $1,892 (2001 - $209,683). The Company
     recorded  a  loss  of  $1,621  (2000  -  gain  of  $70,588)  on the sale of
     available-for-sale  securities.  For  the three-months ended March 31, 2002
     the  Company  recorded  a  loss  of $11,362, or $0.00 per share compared to
     income  of  $51,923  ($0.00  per  share)  in  2001.

     The  Company  has  sufficient working capital to (i) pay its administrative
     and  general  operating  expenses  through  December  31,  2001 and (ii) to
     conduct  its  preliminary  exploration  programs.  Without  cash  flow from
     operations,  it  may  need  to  obtain additional funds (presumably through
     equity  offerings  and/or  debt  borrowing)  in  order,  if  warranted,  to
     implement  additional  exploration  programs  on its properties. Failure to
     obtain such additional financing may result in a reduction of the Company's
     interest  in  certain  properties or an actual foreclosure of its interest.
     The  Company has no agreements or understandings with any person as to such
     additional  financing.

     None  of  the  Company's properties has commenced commercial production and
     the  Company  has  no history of earnings or cash flow from its operations.
     While  the  Company  may  attempt  to  generate  additional working capital
     through  the  operation,  development,  sale  or  possible  joint  venture
     development of its properties, there is no assurance that any such activity
     will  generate  funds  that  will  be  available  for  operations.

     The  Company  has  not  declared  or  paid  dividends  on  its shares since
     incorporation  and  does not anticipate doing so in the foreseeable future.


                         PART 11.     OTHER INFORMATION


ITEM  1.  Legal  Proceedings

          The  Company  is  not party to any litigation, and has no knowledge of
          any  pending  or  threatened  litigation  against  it.


                                       10
<PAGE>
ITEM  2.  Changes  in  Securities

          Not  Applicable

ITEM  3.  Defaults  Upon  Senior  Securities

          Not  Applicable

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

          Not  Applicable

ITEM  5.  OTHER  INFORMATION

          None.

ITEM  6.  EXHIBITS  AND  REPORTS  ON  FORM  8-K

<TABLE>
<CAPTION>
(a)    Exhibits:
<S>    <C>                                                                             <C>

3.1    Article of Incorporation of Cayman Purchasing & Supply, Inc.                    *

3.2    Company By-laws for Cayman Purchasing & Supply, Inc.                            *

3.3    Notice of reinstatement for Cayman Purchasing & Supply, Inc.                    *

3.4    Amendment to the Articles of Incorporation of Cayman Purchasing & Supply, Inc.  *

3.5    Notice of filing of Amendment to the Articles of Incorporation of Cayman
         Purchasing & Supply, Inc.                                                     *

3.6    Notice of filing of Amendment to the Articles of Incorporation of Cayman
         Purchasing & Supply, Inc. changing its name to Patagonia Gold Corporation     *

10.1   Agreement dated July 30, 1997 between The Company and Carrington
         International Limited                                                         *

10.2   Joint Venture Agreement between the Company and Aurora Gold Corporation         *
<FN>
--------
*    Previously  Filed
</TABLE>


(b)  Reports  on  Form  8-K

     None.


                                       11
<PAGE>
                                   SIGNATURES

Pursuant  to  the  requirements  of  the  Securities  Exchange  Act of 1934, the
Registrant  has  duly  caused  this  report  to  be  signed on its behalf by the
undersigned  thereunder  duly  authorized.

Date:  April 30, 2002              BY:  /s/  Terry Longair
       ----------------                 ----------------------------
                                        Terry Longair
                                        Director and President

Date:  April 30, 2002              BY:  /s/  Cosme M. Beccar Varela
       ----------------                 ----------------------------
                                        Cosme M. Beccar Varela
                                        Director


                                       12
<PAGE>