FORM 10-QSB

                       SECURITIES AND EXCHANGE COMMISSION
                              Washington, D.C. 20549


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

                  For the Quarterly Period Ended March 31, 2005

                           Commission File Number: 0-9500


                           MOUNTAINS WEST EXPLORATION, INC
        (Exact name of small business issuer as specified in its charter)

                 New Mexico                                    85-0280415
        (State or other jurisdiction of                      (I.R.S. Employer
        incorporation or organization)                       Identification No.)

P.O. Box 754, Trinidad, Colorado                              81802
--------------------------------                            --------
(Address of principal executive offices)                   (Zip Code)

Issuer's telephone number, including area code: 719-846-2623

Indicate by check mark whether the issuer (1) has filed all reports  required to
be filed by section 13 or 15(d) of the  Securities  Exchange  Act of 1934 during
the preceding 12 months (or for such shorter period that the issuer was required
to file such reports),  and (2) has been subject to such filing requirements for
the past 90 days. Yes [X] No [__]

The  number of shares outstanding of  the issuer's common stock, par value $.001
per share, at March 31, 2005, was 37,019,271 shares.


<PAGE>
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                                Table of Contents


                         PART I - FINANCIAL INFORMATION

                                                                                                 PAGE
<S>      <C>

Item 1.  Condensed Consolidated Financial Statements

         Independent Auditor's Report............................................................ F-1

         Balance Sheets March 31, 2005 (unaudited) and December 31,, 2004........................ F-2

         Statements of Operations for the Three Months ended March 31, 2005...................... F-3

         Statements of Stockholders Equity (Deficit) March 31, 2005 (unaudited).................. F-4

         Statements of Cash Flows for the Three Months ended March 31, 2005 ..................... F-5

         Notes to Condensed Consolidated Financial Statements (Unaudited)........................ F-6

Item 2.  Management's Discussion and Analysis of Financial Condition and Results of Operations... 4

Item 3   Controls and Procedures................................................................. 8

                           PART II - OTHER INFORMATION

Item 1.  Legal Proceedings....................................................................... 8

Item 2.  Changes in Securities................................................................... 9

Item 3.  Defaults upon Senior Securities......................................................... 9

Item 4.  Submission of Matters to a Vote of Security Holders..................................... 9

Item 5.  Other Information....................................................................... 9

Item 6.  Exhibits and Reports on Form 8-K........................................................ 9

Signatures....................................................................................... 10
</TABLE>

                                       2

<PAGE>

PART I - FINANCIAL INFORMATION


                        MOUNTAINS WEST EXPLORATION, INC.


                          FINANCIAL STATEMENTS FOR THE
                        THREE-MONTHS ENDED MARCH 31, 2005
                                   (UNAUDITED)



                                       3



<PAGE>



                           MICHAEL JOHNSON & CO., LLC
                          Certified Public Accountants
                        9175 East Kenyon Ave., Suite 100
                             Denver, Colorado 80237

Michael B. Johnson C.P.A.                             Telephone:  (303) 796-0099
Member:  A.I.C.P.A.                                         Fax:  (303) 796-0137
Colorado Society of C.P.A.s




           REPORT ON REVIEW BY INDEPENDENT CERTIFIED PUBLIC ACCOUNTANT


To the Board of Directors
Mountains West Exploration, Inc.
Denver, CO


We have reviewed the accompanying balance sheet of Mountains West Exploration,
Inc. as of March 31, 2005 and the related statements of operations and cash
flows for the three months ended March 31, 2005 and 2004, included in the
accompanying Securities and Exchange Commission Form 10-QSB for the period ended
March 31, 2005. These financial statements are the responsibility of the
Company's management.

We conducted our reviews in accordance with standards established by the
American Institute of Certified Public Accountants. A review of interim
financial information consists principally of applying analytical procedures to
financial data and making inquiries of persons responsible for financial and
accounting matters. It is substantially less in scope than an audit conducted in
accordance with the standards of the Public Company Accounting Oversight Board
(United States), the objective of which is the expression of an opinion
regarding the financial statements as a whole. Accordingly, we do not express
such an opinion.

Based on our reviews, we are not aware of any material modifications that should
be made to the accompanying financial statements for them to be in conformity
with accounting principles generally accepted in the United States.

The accompanying financial statements have been prepared assuming that the
Company will continue as a going concern. As discussed in Note 2, conditions
exist which raise substantial doubt about the Company's ability to continue as a
going concern unless it is able to generate sufficient cash flows to meet its
obligations and sustain its operations. The financial statements do not include
any adjustments that might result from the outcome of this uncertainty.

We have previously audited, in accordance with the standards of the Public
Company Accounting Oversight Board (United States), the balance sheet as of
December 31, 2004, and the related statements of operations, stockholders'
equity and cash flows for the year then ended (not presented herein). In our
report dated February 16, 2005, we expressed an unqualified opinion on those
financial statements. In our opinion, the information set forth in the
accompanying balance sheet as of March 31, 2005 is fairly stated in all material
respects in relation to the balance sheet from which it has been derived.



Michael Johnson & Co., LLC.
Denver, Colorado
May 20, 2005

/s/Michael Johnson & Co., LLC

                                      F-1
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<TABLE>
<CAPTION>


                        MOUNTAINS WEST EXPLORATION, INC.
                                 Balance Sheets

                                   (Unaudited)
<S>                                                                    <C>                     <C>

                                                                      Three Months Ending     Year Ending
                                                                      March 31, 2005          December 31, 2004
ASSETS:

Current Assets:
     Cash                                                                  $ 11,841                $ 30,637
                                                                       --------------------    --------------------
          Total current assets                                               11,841                  30,637

Fixed Assets:
     Office Equipment                                                        15,819                  15,819
     Lease & Well Equipment                                                   1,236                   1,236
                                                                       --------------------    --------------------
                                                                             17,055                  17,055
        Less: Accumulated Depreciation                                      (14,685)                (14,685)
                                                                       --------------------    --------------------
            Total fixed assets                                                2,370                   2,370
                                                                       --------------------    --------------------

Other Assets:
    Undeveloped Property                                                      1,540                   1,540
    Well Leases                                                              17,767                  17,768
    Mineral Interest                                                         12,741                  12,740
                                                                       --------------------    --------------------
        Total other assets                                                   32,048                  32,048

TOTAL ASSETS                                                               $ 46,259                $ 65,055
                                                                       ====================    ====================


LIABILITIES AND STOCKHOLDERS' EQUITY

Current Liabilities
     Accounts Payable                                                           $ -                $ 34,861
    Current Portion - Long-Term Debt                                         18,744                  18,744
                                                                       --------------------    --------------------
          Total Current Liabilities                                          18,744                  53,605
                                                                       --------------------    --------------------
Long-Term Debt
    Long-Term Debt                                                           24,484                  24,484
                                                                       --------------------    --------------------
        Total long-term debt                                                 24,484                  24,484
                                                                       --------------------    --------------------

Stockholders' Equity (Deficit)
     Common stock: authorized 50,000,000 shares, no par value
        49,999,700 issued and outstanding at December and March           1,579,786               1,579,786
     Accumulated deficit                                                 (1,576,755)             (1,592,820)
                                                                       --------------------    --------------------
Total Stockholder's Equity                                                    3,031                 (13,034)
                                                                       --------------------    --------------------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY                                 $ 46,259                $ 65,055
                                                                       ====================    ====================
</TABLE>


See accountants review report

                                      F-2
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<TABLE>
<CAPTION>

                        MOUNTAINS WEST EXPLORATION, INC.
                            Statements of Operations
                                   (Unaudited)
<S>                                                                               <C>                   <C>

                                                                                  Three Months Ending March 31
                                                                                     2005              2004
                                                                                  ---------------------------------------
Revenues:
    Oil and Gas Income                                                                $ 62,510          $ 29,987
     Cost of Goods Sold                                                                      -             1,000
                                                                                  ---------------------------------------
        Net Income                                                                      62,510            28,987

Costs and Expenses:
     Operating Expenses                                                                 27,649            12,635
     Administration Expenses                                                            18,796            12,448
                                                                                  ---------------------------------------
Total Operating Expenses                                                                46,445            25,083

Net Income (Loss) from Operations                                                     $ 16,065           $ 3,904
                                                                                  =======================================

Per Share Information
     Weighted average number                                                        49,999,700        37,019,721
     of common share outstanding                                                  ---------------------------------------

Net loss per common share                                                              *                 *

*  Less than $0.01
</TABLE>

See accountants review report.

                                      F-3
<PAGE>
<TABLE>
<CAPTION>

              MOUNTAINS WEST EXPLORATION, INC.
               Stockholders' Equity (Deficit)
                       March 31, 2005
                        (Unaudited)


                                                                COMMON STOCK                                              Total
                                                                                                         Accumulated   Stockholders'
                                                              # of shares             Amount               Deficit        Equity
                                                              -----------             ------               -------         ------
<S>                                                              <C>                  <C>                  <C>            <C>


Balance - December 31, 2001                                      37,019,271           $ 1,554,786          $(1,573,676)   $ (18,890)

Net Loss for Year                                                         -                                     (4,094)      (4,094)
                                                                                                                                 -
Balance - December 31, 2002                                      37,019,271             1,554,786           (1,577,770)     (22,984)
                                                                                                                                  -
Net Loss for Year                                                         -                     -              (16,483)    (16,483)
                                                                                                                                  -
Balance - December 31, 2003                                      37,019,271             1,554,786           (1,594,253)     (39,467)

Issuance of stock for cash                                       12,980,429                25,000                            25,000
Net Profit for Year                                                       -                     -                1,433        1,433
                                                                                                                                  -
Balance - December 31, 2004                                      49,999,700             1,579,786           (1,592,820)     (13,034)
                                                                                                                                  -
Net Loss for Period                                                       -                     -               16,065       16,065

Balance - March 31, 2005                                         49,999,700           $ 1,579,786          $(1,576,755)     $ 3,031

</TABLE>

See Accountants Review Report

                                      F-4
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<TABLE>
<CAPTION>

                                             MOUNTAINS WEST EXPLORATION, INC.
                                                 Statements of Cash Flows
                                                       (Unaudited)
                                                     Indirect Method

<S>                                                                                   <C>                 <C>


                                                                                     Three Months Ended March 31

                                                                                        2005             2004
                                                                                        ----             ----
Cash Flows from Operating Activities
     Net Income (Loss)                                                                  $ 16,065          $ 3,904
     Adjustments to reconcile net loss to cash used
     by operating activities
     Depreciation                                                                                          108.00
     Changes in operating assets and liabilities
         (Decrease) Increase in accounts payable & accruals                              (34,861)           2,500
         (Increase) in Other Assets                                                                       (10,045)
                                                                                      ----------------------------------
Net Cash Used in Operating Activities                                                    (18,796)          (3,533)

Cash Flows from Financing Activities
    Payments on Notes Payable                                                                              (1,181)
                                                                                      ----------------------------------
Net Cash Used for Financing Activities                                                                     (1,181)

Net Decrease in Cash & Cash Equivalents                                                  (18,796)          (4,714)

Beginning Cash & Cash Equivalents                                                         30,637           11,711
                                                                                      ----------------------------------
Ending Cash & Cash Equivalents                                                          $ 11,841          $ 6,997
                                                                                      ==================================

SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION
     Cash paid for interest                                                                  $ -            $ 297
                                                                                      ==================================
     Cash paid for Income Taxes                                                              $ -              $ -
                                                                                      ==================================
</TABLE>

See Accountants Review Report

                                      F-5
<PAGE>
                        MOUNTAINS WEST EXPLORATION, INC.
                          Notes to Financial Statements
                                 March 31, 2005

Note 1 - Presentation of Interim Information:

In the opinion of the management of Mountains West Exploration, Inc., the
accompanying unaudited financial statements include all normal adjustments
considered necessary to present fairly the financial position as of March 30,
2005 and the results of operations for the three-months ended March 31, 2005 and
2004, and cash flows for the three-months ended March 31, 2005 and 2004. Interim
results are not necessarily indicative of results for a full year.

The financial statements and notes are presented as permitted by Form 10-QSB,
and do not contain certain information included in the Company's audited
financial statements and notes for the fiscal year ended December 31, 2004.

Note 2 - Going Concern:

The Company's financial statements have been presented on the basis that it is a
going concern, which contemplates the realization of assets and the satisfaction
of liabilities in the normal course of business.

The Company's ability to continue as a going concern is dependent upon its
ability to develop additional sources of capital or locate a merger candidate
and ultimately achieve profitable operations. The accompanying financial
statements do not include any adjustments that might result from the outcome of
these uncertainties. Management is seeking new capital to revitalize the
Company.

                                      F-6


<PAGE>


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

Cautionary and Forward Looking Statements

     In addition to  statements of historical  fact,  this Form 10-QSB  contains
forward-looking statements. The presentation of future aspects of Mountains West
Exploration,  Inc.,  ("Mountains West  Exploration,"  the "Company" or "issuer")
found in these statements is subject to a number of risks and uncertainties that
could cause actual  results to differ  materially  from those  reflected in such
statements.  Readers  are  cautioned  not  to  place  undue  reliance  on  these
forward-looking  statements,  which reflect management's analysis only as of the
date hereof.  Without  limiting the generality of the  foregoing,  words such as
"may," "will," "expect,"  "believe,"  "anticipate,"  "intend," or "could" or the
negative  variations thereof or comparable  terminology are intended to identify
forward-looking statements.

     These forward-looking statements are subject to numerous assumptions, risks
and uncertainties that may cause Mountains West Exploration, Inc. actual results
to be  materially  different  from any future  results  expressed  or implied by
Mountains West Exploration, Inc. in those statements. Important facts that could
prevent  Mountains  West  Exploration,  Inc.  from  achieving  any stated  goals
include, but are not limited to, the following:

         Some of these risks might include, but are not limited to, the
following:

                  (a)      volatility or decline of the Company's stock price;

                  (b)      potential fluctuation in quarterly results;

                  (c)      failure of the Company to earn revenues or profits;

                  (d)      inadequate capital to continue or expand its busi-
                           ness, inability to raise additional capital or financ
                           -ing to implement its business plans;

                  (e)      failure to commercialize its technology or to make
                           sales;

                  (f)      rapid and significant changes in markets;

                  (g)      litigation with or legal claims and allegations by
                           outside parties;

                  (h)      insufficient revenues to cover operating costs.


                                        4

<PAGE>

         There is no assurance that the Company will be profitable, the Company
may not be able to successfully develop, manage or market its products and
services, the Company may not be able to attract or retain qualified executives
and technology personnel, the Company's products and services may become
obsolete, government regulation may hinder the Company's business, additional
dilution in outstanding stock ownership may be incurred due to the issuance of
more shares, warrants and stock options, or the exercise of warrants and stock
options, and other risks inherent in the Company's businesses.

The Company undertakes no obligation to publicly revise these forward-looking
statements to reflect events or circumstances that arise after the date hereof.
Readers should carefully review the factors described in other documents the
Company files from time to time with the Securities and Exchange Commission,
including the Quarterly Reports on Form 10-QSB and Annual Report on Form 10-KSB
filed by the Company in 2005 and any Current Reports on Form 8-K filed by the
Company.

The Company owns small  ownership  interests in producing coal bed methane wells
in Las Animas  county,  Colorado.

                                        5
<PAGE>


Changes in Financial Condition

During the  quarter  the  Company  experienced  a decrease  in cash  position to
$11,841 from year end 2004 of $30,637.  The  Company's  total debt  decreased by
$43,861 approximately during the quarter as a result of revenue applied to debt.
The Company's total  liabilities are approximately  $18,744.  It is Management's
belief that the Company will be able to meet its operating  expenses  during the
remainder of the fiscal year.

RESULTS OF OPERATIONS FOR THE QUARTER ENDED MARCH 31, 2005, COMPARED TO SAME
PERIOD IN 2004.

The  company  had  revenue  from  methane  production  in the quarter in 2005 of
$62,510  compared to $29,987 in 2004.  The cost of goods sold was $0 in 2005 and
$1,000 in 2004.  The operating  expenses were $27,649 and $12,635 in the quarter
in 2005 and 2004  respectively.  Administration  expense was $18,796 in 2005 and
$12,448 in 2004 in the quarter.  Total  expenses  were $46,445 in the quarter in
2005  compared to $25,083 in the same quarter in 2004.  The profit on operations
was  $16,065 in the quarter in 2005  compared  to $3,904 in the same  quarter in
2004. The increase in profit was due to increased  revenues.

The  profit per share was  nominal  in the  period in 2005 and 2004.  Management
expects that the revenue and expense will  fluctuate for the balance of 2005 due
to price reduction of gas in summer months.

                                       6

<PAGE>

NEED FOR ADDITIONAL FINANCING

     The Company does not have capital  sufficient  to meet the  Company's  cash
needs,   including  the  costs  of  compliance  with  the  continuing  reporting
requirements  of the  Securities  Exchange Act of 1934. The Company will have to
seek  loans or equity  placements  to cover  such cash  needs.  Lack of
its  existing  capital  may  be a  sufficient  impediment  to  prevent  it  from
accomplishing  the  goal of  expanding its operations.  There  is no
assurance,  however,  that without funds it will ultimately  allow company to
carry out its business

The  Company  will  need to raise  additional  funds  to  expand  its  business
activities in the next twelve months.

         No commitments to provide additional funds have been made by management
or  other  stockholders.  Accordingly,  there  can  be  no  assurance  that  any
additional  funds  will be  available  to the  Company  to allow it to cover its
expenses as they may be incurred.

         Irrespective   of  whether  the  Company's  cash  assets  prove  to  be
inadequate to meet the Company's  operational  needs,  the Company might seek to
compensate providers of services by issuances of stock in lieu of cash.

GOING CONCERN

     The Company's auditor has issued a "going concern" qualification as part of
his opinion in the Audit Report. There is substantial doubt about the ability of
the  Company to  continue as a "going  concern."  The  Company has no  business,
limited capital, debt  of $18,744,  all of which is current, $11,841
in cash, minimal other liquid assets, and no capital commitments.

     Management  hopes  to  seek  and  obtain  funding,  via  loans  or  private
placements  of stock  for  operations,  debt  and to  provide  working  capital.
Management  has  plans to seek  capital  in the  form of loans or stock  private
placements in the next quarter of approximately $250,000.

                                       7

<PAGE>

ITEM 3.    CONTROLS AND PROCEDURES

     The Company's Chief Executive Officer and Chairman have evaluated the
effectiveness of the Company's disclosure controls and procedures (as defined in
Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934, as
amended) as of the end of the period covered by this quarterly report and, based
on this evaluation, have concluded that the disclosure controls and procedures
are effective.

         There have been no changes in the Company's internal control over
financial reporting that occurred during the Company's first fiscal quarter that
has materially affected, or is reasonably likely to materially affect, the
Company's internal control over financial reporting.

                                       8
<PAGE>


PART II.  OTHER INFORMATION

ITEM 1.  LEGAL PROCEEDINGS

Management knows of no legal  proceedings or unsatisfied  judgments in any court
or agency to which the Company or any of its officers or directors are or may be
a party.

ITEM  2. CHANGES IN SECURITIES

        NONE

ITEM  3. DEFAULTS UPON SENIOR SECURITIES

        NONE

ITEM  4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDER

        NONE

ITEM  5.  OTHER INFORMATION

        NONE

ITEM  6. EXHIBITS AND REPORTS ON FORM 8-K

        (a)     32    906 Sarbanes-Oxley Certification
                31    302 Sarbanes-Oxley Certification

        (b)     Reports on Form 8-K.

                NONE

                                       9
<PAGE>

  SIGNATURES

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


Denis Iler                                         May 19, 2005
- --------------------------------------------------------
Denis Iler   President, Chief Executive Officer
             and Chief Financial Officer

                                       10