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

                                    FORM 10-K
                ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF
                      THE SECURUTIES EXCHANGE ACT OF 1934

                   For the fiscal year ended December 31, 2009

                        Commission file number 000-53253


                                 AVRO ENERGY INC
             (Exact Name of Registrant as Specified in Its Charter)

           Nevada                                                 20-8387017
(State or Other Jurisdiction of                               (I.R.S. Employer
 Incorporation or Organization)                              Identification No.)

                               213 E Arkansas Ave
                              Vivian, LA 71082, USA
               (Address of Principal Executive Offices & Zip Code)

                                  318-734-4737
                               (Telephone Number)

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

           Securities registered pursuant to section 12(g) of the Act:
                          Common Stock, $.001 par value

Indicate by check mark if the registrant is a well-known seasoned issuer, as
defined in Rule 405 of the Securities Act. Yes [ ] No [X]

Indicate by check mark if the registrant is not required to file reports
pursuant to Section 13 or Section 15(d) of the Act Yes [ ] No [X]

Indicate by check mark whether the registrant (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 registrant was
required to file such reports), and (2) has been subject to such filing
requirements for the past 90 days. Yes [X] No [ ]

Indicate by check mark if disclosure of delinquent filers pursuant to Item 405
of Regulation S-K is not contained herein, and will not be contained, to the
best of registrant's knowledge, in definitive proxy or information statements
incorporated by reference in Part III of this Form 10-K or any amendment to this
Form 10-K. [ ]

Indicate by check mark whether the registrant is a large accelerated filer, an
accelerated filer, a non-accelerated filer, or a smaller reporting company. See
the definitions of "large accelerated filer," "accelerated filer" and "smaller
reporting company" in Rule 12b-2 of the Exchange Act. (Check one):

Large accelerated filer [ ]                        Accelerated filer [ ]
Non-accelerated filer [ ]                          Smaller reporting company [X]
(Do not check if a smaller reporting company)

Indicate by check mark whether the registrant is a shell company (as defined in
Rule 12b-2 of the Exchange Act). Yes [ ] No [X]

As of April 15, 2010, the registrant had 25,450,560 shares of common stock
issued and outstanding.

<PAGE>
                                 AVRO ENERGY INC.
                                TABLE OF CONTENTS


Item 1.  Business...........................................................   3

Item 1A. Risk Factors.......................................................   6

Item 2.  Properties.........................................................  13

Item 3.  Legal Proceedings..................................................  13

Item 4.  Submission of Matters to a Vote of Security Holders................  13

Item 5.  Market for Common Equity and Related Stockholder Matters...........  13

Item 7.  Management's Discussion and Analysis of Financial Condition
          and Results of Operations.........................................  14

Item 8.  Financial Statements...............................................  16

Item 9.  Changes in and Disagreements with Accountants on Financial
          Disclosure........................................................  28

Item 9A. Controls and Procedures............................................  28

Item 10. Directors, Executive Officers and Control Persons..................  30

Item 11. Executive Compensation.............................................  31

Item 12. Security Ownership of Certain Beneficial Owners and Management.....  32

Item 13. Certain Relationships and Related Transactions.....................  33

Item 14. Principal Accounting Fees and Services.............................  33

Item 15. Exhibits...........................................................  34

Signatures..................................................................  34

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                                     PART I

ITEM 1. BUSINESS

SUMMARY

COMPANY OVERVIEW

Avro Energy, Inc. (hereinafter referred to as the "Company") was incorporated on
January 31, 2007 by filing Articles of Incorporation under the Nevada Secretary
of State. The Company is engaged in the acquisition, exploration and development
of oil and natural gas properties in North America, with current properties in
the ArkLaTex region. The company seeks to develop low risk opportunities by
itself or with joint venture partners in the oil and natural gas sectors.

The Company filed its articles of incorporation with the Nevada Secretary of
State on January 31, 2007, indicating Mike P. Kurtanjek as its sole Director and
its President and sole executive officer. Mr. Michael Heenan was appointed as a
Director of the Company on June 1, 2007. Ms. Marilyn Woodruff was appointed as a
Director of the Company on June 1, 2007. Ms. Woodruff was also appointed as the
Secretary for the Company effective June 1, 2007. On June 11, 2008 Ms. Woodruff
resigned as Secretary and Director and Mr. Donny Fitzgerald replaced her as
Secretary and Director.

We issued 25,000,000 shares of common stock on January 31, 2007 for cash of
$86,250 and issued 264,000 shares of common stock on September 1, 2007 for cash
of $66,000 and issued 186,560 shares of common stock on October 1, 2007 for
$46,640.

We are contemplating raising additional capital to finance our exploration
programs. No final decisions regarding the program or financing have been made
at this time.

MOLYBDENUM PROPERTY

The Company had a molybdenum property located approximately 35 kilometers north
of Vancouver BC. In the third quarter of 2009 the company deemed the area
unsuitable for exploration and opted to not renew its interest in the property.

HOSS HOLMES LEASE

On August 26, 2009, Avro entered into an agreement to acquire for $100,000 the
Hoss Holmes Lease located near Hosston, Louisiana, from Fredco LLC, a Louisiana
private oil and gas operator. The company closed the acquisition of the property
on September 30, 2009.

On February 23, 2010 the company divested a non core assets being the Hoss
Holmes, near Hosston Louisiana for $60,000.

HERRINGS LEASE

On August 10, 2009, Avro Energy, Inc. entered into an agreement to acquire
various oil leases near Hosston, Louisiana, from S.A.M., a Louisiana private
partnership, and private oil and gas operator. Under the terms of the agreement,
the Company has agreed to pay a total of ten dollars ($10) plus a one-fifth
royalty interest in exchange for the exclusive grant, lease, and let of the
following oil and gas leases:

One, Two, Three and Four (1-4) inclusive, Block One (1) Town of Hosston,
together with all abandoned alleyways and streets insofar as it covers and
affects the surface of the earth and the base of the Nacatosh Formation together
with wells being Herring No. 1, Serial No 184124, and Herring No. 2, Serial No.
184735.

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The agreement requires the Company to commence production within 90 days of the
date of the agreement. The lease shall be maintained only by continuous
production (no break in production longer than 59 days), reworking operations,
and or maintaining the lease in paying quantities as defined under the Louisiana
Mineral Code. If there is no production, re-working operations, or maintenance
of the lease for a period of sixty days or more, the lease shall cancel and all
rights revert back to the Lessor.

MUSLOW LEASE

On September 9, 2009, Avro Energy, Inc. entered into an agreement to acquire
four oil and gas leases in Caddo Parish, Louisiana, from a private oil and gas
operator. The first three leases are the Muslow A, B, and C Leases, which in
total comprise of 8 wells and equipment, of which 2 are currently producing. The
fourth lease is the Caddo Levee Board Lease, comprising of 13 wells and
equipment, of which 4 are currently producing.

The company negotiated an extension for the closing of this lease and under
these terms of the extension agreement, the Company will pay the operator
$70,000, of which $35,000 is payable on or before November 23, 2009, and $35,000
on or before January 20, 2010.

ARKANSA LEASE

On October 24, 2009 Avro Energy, Inc. signed a letter agreement to acquire
eleven producible deep oil wells north of Hosston, Louisiana, and in Southern
Arkansas. Seven of these wells are in production. The deepest of these wells
produce from the Smackover formation at 7800 feet. Four other wells are capable
of production after work over operation has been completed. Also included with
the agreement are three disposal wells.

The terms of this agreement, the Company is required to pay $385,000, which must
be paid over a seven month period, with the first payment of $50,000 paid on
November 24, 2009. The terms of the agreement allow Avro to receive production
starting from November 1, 2009.

BANKRUPTCY OR SIMILAR PROCEEDINGS

We have not been the subject of a bankruptcy, receivership or similar
proceedings.

COMPETITION AND MARKETS

We face competition from other oil and natural gas companies in all aspects of
our business, including acquisition of producing properties and oil and natural
gas leases, marketing of oil and natural gas, and obtaining goods, services and
labor. Many of our competitors have substantially larger financial and other
resources than we have. Factors that affect our ability to acquire producing
properties include available funds, available information about prospective
properties and our limited number of employees.

The availability of a ready market for and the price of any hydrocarbons
produced will depend on many factors beyond our control including, but not
limited to, the amount of domestic production and imports of foreign oil and
liquefied natural gas, the marketing of competitive fuels, the proximity and
capacity of natural gas pipelines, the availability of transportation and other
market facilities, the demand for hydrocarbons, the effect of federal and state
regulation of allowable rates of production, taxation, the conduct of drilling
operations and federal regulation of natural gas. All of these factors, together
with economic factors in the marketing arena, generally affect the supply of
and/or demand for oil and natural gas and thus the prices available for sales of
oil and natural gas.

REGULATORY CONSIDERATIONS

Proposals and proceedings that might affect the oil and gas industry are
periodically presented to Congress, the Federal Energy Regulatory Commission
("FERC"), the Minerals Management Service ("MMS"), state legislatures and
commissions and the courts. We cannot predict when or whether any such proposals
may become effective. This industry is heavily regulated. There is no assurance
that the regulatory approach currently pursued by various agencies will continue
indefinitely. Notwithstanding the foregoing, except for the water quality issue

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described below, we currently do not anticipate that compliance with existing
federal, state and local laws, rules and regulations, will have a material or
significantly adverse effect upon our capital expenditures, earnings or
competitive position. No material portion of our business is subject to
renegotiation of profits or termination of contracts or subcontracts at the
election of the federal government.

Our operations are subject to various types of regulation at the federal, state
and local levels. This regulation includes requiring permits for drilling wells,
maintaining bonding requirements in order to drill or operate wells and
regulating the location of wells, the method of drilling and casing wells, the
surface use and restoration of properties upon which wells are drilled, the
plugging and abandoning of wells and the disposal of fluids used or generated in
connection with operations. Our operations are also subject to various
conservation laws and regulations. These include the regulation of the size of
drilling and spacing units or proration units and the density of wells which may
be drilled and the unitization or pooling of oil and natural gas properties. In
addition, state conservation laws sometimes establish maximum rates of
production from oil and natural gas wells, generally prohibit the venting or
flaring of natural gas and impose certain requirements regarding the ratability
of production. The effect of these regulations may limit the amount of oil and
natural gas we can produce from our wells in a given state and may limit the
number of wells or the locations at which we can drill.

Currently, there are no federal, state or local laws that regulate the price for
our sales of natural gas, natural gas liquids, crude oil or condensate. However,
the rates charged and terms and conditions for the movement of gas in interstate
commerce through certain intrastate pipelines and production area hubs are
subject to regulation under the Natural Gas Policy Act of 1978, as amended.
Pipeline and hub construction activities are, to a limited extent, also subject
to regulations under the Natural Gas Act of 1938, as amended. While these
controls do not apply directly to us, their effect on natural gas markets can be
significant in terms of competition and cost of transportation services, which
in turn can have a substantial impact on our profitability and costs of doing
business. Additional proposals and proceedings that might affect the natural gas
and crude oil extraction industry are considered from time to time by Congress,
FERC, state regulatory bodies and the courts. We cannot predict when or if any
such proposals might become effective and their effect, if any, on our
operations. We do not believe that we will be affected by any action taken in
any materially different respect from other crude oil and natural gas producers,
gatherers and marketers with whom we compete.

State regulation of gathering facilities generally includes various safety,
environmental and in some circumstances, nondiscriminatory take requirements.
This regulation has not generally been applied against producers and gatherers
of natural gas to the same extent as processors, although natural gas gathering
may receive greater regulatory scrutiny in the future.

Various federal, state and local laws regulating the discharge of materials into
the environment, or otherwise relating to the protection of the environment,
directly impact oil and natural gas exploration, development and production
operations, and consequently may impact our operations and costs. These
regulations include, among others, (i) regulations by the Environmental
Protection Agency ("EPA"), and various state agencies regarding approved methods
of disposal for certain hazardous and non-hazardous wastes; (ii) the
Comprehensive Environmental Response, Compensation and Liability Act, and
analogous state laws, which regulate the removal or remediation of previously
disposed wastes (including wastes disposed of or released by prior owners or
operators), property contamination (including groundwater contamination), and
remedial plugging operations to prevent future contamination; (iii) the Clean
Air Act and comparable state and local requirements, which may require certain
pollution controls with respect to air emissions from our operations; (iv) the
Oil Pollution Act of 1990, which contains numerous requirements relating to the
prevention of and response to oil spills into waters of the United States; (v)
the Resource Conservation and Recovery Act, which is the principal federal
statute governing the treatment, storage and disposal of hazardous wastes.

To date, compliance with environmental laws and regulations has not required the
expenditure of any material amount of money. Since environmental laws and
regulations are periodically amended, we are unable to predict the ultimate cost
of compliance. To our knowledge, other than the potential water quality issue

                                       5
<PAGE>
described above, there are currently no material adverse environmental
conditions that exist on any of our properties and there are no current or
threatened actions or claims by any local, state or federal agency, or by any
private landowner against us pertaining to such a condition. Further, we are not
aware of any currently existing condition or circumstance that may give rise to
such actions or claims in the future.

EMPLOYEES

The company employed Donny Fitzgerald in the last quarter of 2009 to work on
operation in the Louisiana and Arkansas area. Any other work is performed by
contractors as required by the company.

RESEARCH AND DEVELOPMENT EXPENDITURES

We have not incurred any research or development expenditures since our
incorporation.

PATENTS AND TRADEMARKS

We do not own, either legally or beneficially, any patents or trademarks.

REPORTS TO SECURITIES HOLDERS

We provide an annual report that includes audited financial information to our
shareholders. We will make our financial information equally available to any
interested parties or investors through compliance with the disclosure rules of
Regulation S-K for a small business issuer under the Securities Exchange Act of
1934. We are subject to disclosure filing requirements including filing Form 10K
annually and Form 10Q quarterly. In addition, we will file Form 8K and other
proxy and information statements from time to time as required. We do not intend
to voluntarily file the above reports in the event that our obligation to file
such reports is suspended under the Exchange Act. The public may read and copy
any materials that we file with the Securities and Exchange Commission, ("SEC"),
at the SEC's Public Reference Room at 100 F Street NE, Washington, DC 20549. The
public may obtain information on the operation of the Public Reference Room by
calling the SEC at 1-800-SEC-0330. The SEC maintains an Internet site
(http://www.sec.gov) that contains reports, proxy and information statements,
and other information regarding issuers that file electronically with the SEC.

ITEM 1A. RISK FACTORS

WE ARE AN EXPLORATION STAGE COMPANY AND WE EXPECT TO INCUR OPERATING LOSSES FOR
THE FORESEEABLE FUTURE.

We were incorporated on January 31, 2007 and to date have recently been involved
in the organizational activities, and acquisition of our claims. We have no way
to evaluate the likelihood that our business will be successful. We have earned
minimal revenues as of the date of this annual report. Potential investors
should be aware of the difficulties normally encountered by exploration
companies and the high rate of failure of such enterprises. The likelihood of
success must be considered in light of the problems, expenses, difficulties,
complications and delays encountered in connection with the exploration and
development of the properties that we plan to undertake. These potential
problems include, but are not limited to, unanticipated problems relating to
exploration, and additional costs and expenses that may exceed current
estimates. Prior to completion of our exploration stage, we anticipate that we
will incur increased operating expenses without greatly increasing our revenues.
We expect to incur significant losses into the foreseeable future. We recognize
that if production is not forthcoming, we will not be able to continue business
operations. There is no history upon which to base any assumption as to the
likelihood that we will prove successful, and it is doubtful that we will
generate significant revenues to achieve profitable operations. If we are
unsuccessful in addressing these risks, our business will most likely fail.

WE HAVE YET TO EARN SIGNIFICANT REVENUE TO ACHIEVE PROFITABILITY AND OUR ABILITY
TO SUSTAIN OUR OPERATIONS IS DEPENDENT ON OUR ABILITY TO RAISE ADDITIONAL
FINANCING TO COMPLETE OUR PROGRAM IF WARRANTED. AS A RESULT, OUR ACCOUNTANT
BELIEVES THERE IS SUBSTANTIAL DOUBT ABOUT OUR ABILITY TO CONTINUE AS A GOING
CONCERN.

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<PAGE>
We have accrued net losses of $829,837 for the period from inception (January
31, 2007) to December 31, 2009, and have revenues of $36,683 to date. Our future
is dependent upon our ability to obtain financing and upon future profitable
operations from the development of our business. These factors raise substantial
doubt that we will be able to continue as a going concern. Our independent
auditor, has expressed substantial doubt about our ability to continue as a
going concern. This opinion could materially limit our ability to raise
additional funds by issuing new debt or equity securities or otherwise. If we
fail to raise sufficient capital when needed, we will not be able to complete
our business plan. As a result we may have to liquidate our business and you may
lose your investment. You should consider our auditor's comments when
determining if an investment in our company is suitable.

BECAUSE OF THE UNIQUE DIFFICULTIES AND UNCERTAINTIES INHERENT IN OIL AND GAS
VENTURES, WE FACE A HIGH RISK OF BUSINESS FAILURE.

You should be aware of the difficulties normally encountered by exploration
companies and the high rate of failure of such enterprises. The likelihood of
success must be considered in light of the problems, expenses, difficulties,
complications and delays encountered in connection with the exploration and
development of the properties that we plan to undertake. These potential
problems include, but are not limited to, unanticipated problems relating to
exploration, and additional costs and expenses that may exceed current
estimates. If the results of our development program do not reveal viable
commercialization options, we may decide to abandon our claim and acquire new
claims. Our ability to acquire additional claims will be dependent upon our
possessing adequate capital resources when needed. If no funding is available,
we may be forced to abandon our operations.

BECAUSE OF THE INHERENT DANGERS INVOLVED IN OIL AND GAS OPERATIONS, THERE IS A
RISK THAT WE MAY INCUR LIABILITY OR DAMAGES AS WE CONDUCT OUR BUSINESS.

The extracting of oil and gas involves numerous hazards. As a result, we may
become subject to liability for such hazards, including pollution, cave-ins and
other hazards against which we cannot insure or against which we may elect not
to insure. At the present time we have no insurance to cover against these
hazards. The payment of such liabilities may result in our inability to complete
our planned program and/or obtain additional financing to fund our program.

AS WE UNDERTAKE DEVELOPMENT OF OUR PROPERTIES, WE WILL BE SUBJECT TO COMPLIANCE
WITH GOVERNMENT REGULATION THAT MAY INCREASE THE ANTICIPATED COST OF OUR
PROGRAM.

There are several governmental regulations that materially restrict oil
extraction. We will be subject to regulations and laws as we carry out our
program. We may be required to obtain work permits, post bonds and perform
remediation work for any physical disturbance to the area in order to comply
with these laws. The cost of complying with permit and regulatory environment
laws will be greater because the impact on the project area is greater. Permits
and regulations will control all aspects of the production program if the
project continues to that stage. Examples of regulatory requirements can
include:

     (a)  Water discharge will have to meet drinking water standards;
     (b)  Dust generation will have to be minimal or otherwise re-mediated;
     (c)  Dumping of material on the surface will have to be re-contoured and
          re-vegetated with natural vegetation;
     (d)  An assessment of all material to be left on the surface will need to
          be environmentally benign;
     (e)  Ground water will have to be monitored for any potential contaminants;
     (f)  The socio-economic impact of the project will have to be evaluated and
          if deemed negative, will have to be remediated; and

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There is a risk that new regulations could increase our costs of doing business
and prevent us from carrying out our exploration program. We will also have to
sustain the cost of reclamation and environmental remediation for all
exploration work undertaken. Both reclamation and environmental remediation
refer to putting disturbed ground back as close to its original state as
possible. Other potential pollution or damage must be cleaned-up and renewed
along standard guidelines outlined in the usual permits. Reclamation is the
process of bringing the land back to its natural state after completion of
exploration activities. Environmental remediation refers to the physical
activity of taking steps to remediate, or remedy, any environmental damage
caused. The amount of these costs is not known at this time as we do not know
the extent of the exploration program that will be undertaken beyond completion
of the recommended work program. If remediation costs exceed our cash reserves
we may be unable to complete our exploration program and have to abandon our
operations.

IF ACCESS TO OUR PROPERTIES IS RESTRICTED BY INCLEMENT WEATHER, WE MAY BE
DELAYED IN ANY FUTURE MINING EFFORTS.

It is possible that adverse weather could cause accessibility to our properties
difficult and this would delay in our timetables.

BASED ON CONSUMER DEMAND, THE GROWTH AND DEMAND FOR ANY OIL OR GAS WE MAY
RECOVER FROM OUR CLAIMS MAY BE SLOWED, RESULTING IN REDUCED REVENUES TO THE
COMPANY.

Our success will be dependent on the growth of demand for petroleum products. If
consumer demand slows our revenues may be significantly affected. This could
limit our ability to generate revenues and our financial condition and operating
results may be harmed.

BECAUSE OUR CURRENT OFFICERS AND DIRECTORS HAVE OTHER BUSINESS INTERESTS, THEY
MAY NOT BE ABLE OR WILLING TO DEVOTE A SUFFICIENT AMOUNT OF TIME TO OUR BUSINESS
OPERATIONS, CAUSING OUR BUSINESS TO FAIL.

Mr. Mike P. Kurtanjek our CEO and director, currently devotes up to 10 hours per
week providing services to the company. While he presently possesses adequate
time to attend to our interest, it is possible that the demands on him from
other obligations could increase, with the result that he would no longer be
able to devote sufficient time to the management of our business. This could
negatively impact our business development. Our other Directors spend similar
amounts of time providing services to the company and there is no guarantee that
they will have sufficient time to devote to the management of our business.

WE MAY BE UNABLE TO OBTAIN ADDITIONAL CAPITAL THAT WE MAY REQUIRE TO IMPLEMENT
OUR BUSINESS PLAN. THIS WOULD RESTRICT OUR ABILITY TO GROW.

The proceeds from our private offerings completed in 2007 and funds borrowed in
2009, provide us with a limited amount of working capital and is not sufficient
to fund our proposed operations. We will require additional capital to continue
to operate our business and our proposed operations. We may be unable to obtain
additional capital as and when required.

Future acquisitions and future development, production and marketing activities,
as well as our administrative requirements (such as salaries, insurance expenses
and general overhead expenses, as well as legal compliance costs and accounting
expenses) will require a substantial amount of additional capital and cash flow.

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We may not be successful in locating suitable financing transactions in the time
period required or at all, and we may not obtain the capital we require by other
means. If we do not succeed in raising additional capital, the capital we have
received to date may not be sufficient to fund our operations going forward
without obtaining additional capital financing.

Any additional capital raised through the sale of equity may dilute your
ownership percentage. This could also result in a decrease in the fair market
value of our equity securities because our assets would be owned by a larger
pool of outstanding equity. The terms of securities we issue in future capital
transactions may be more favorable to our new investors, and may include
preferences, superior voting rights and the issuance of warrants or other
derivative securities, and issuances of incentive awards under equity employee
incentive plans, which may have a further dilutive effect.

Our ability to obtain needed financing may be impaired by such factors as the
capital markets (both generally and in the resource industry in particular), our
status as a new enterprise without a demonstrated operating history, the
location of our properties and the price of oil and gas on the commodities
markets (which will impact the amount of asset-based financing available to us)
or the retention or loss of key management. Further, if oil and gas prices on
the commodities markets decrease, then our revenues will likely decrease, and
such decreased revenues may increase our requirements for capital. If the amount
of capital we are able to raise from financing activities is not sufficient to
satisfy our capital needs, we may be required to cease our operations.

We may incur substantial costs in pursuing future capital financing, including
investment banking fees, legal fees, accounting fees, securities law compliance
fees, printing and distribution expenses and other costs. We may also be
required to recognize non-cash expenses in connection with certain securities we
may issue, such as convertible notes and warrants, which may adversely impact
our financial condition.

AMENDMENTS TO CURRENT LAWS AND REGULATIONS GOVERNING OUR PROPOSED OPERATIONS
COULD HAVE A MATERIAL ADVERSE IMPACT ON OUR PROPOSED BUSINESS.

Our business will be subject to substantial regulation under state and federal
laws relating to the exploration for, and the development, upgrading, marketing,
pricing, taxation, and transportation of oil and other matters. Amendments to
current laws and regulations governing operations and activities of resource
operations could have a material adverse impact on our proposed business. In
addition, there can be no assurance that income tax laws, royalty regulations
and government incentive programs related to the resource industry generally,
will not be changed in a manner which may adversely affect us and cause delays,
inability to complete or abandonment of properties.

Permits, leases, licenses, and approvals are required from a variety of
regulatory authorities at various stages of mining and extraction. There can be
no assurance that the various government permits, leases, licenses and approvals
sought will be granted to us or, if granted, will not be cancelled or will be
renewed upon expiration.

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ESTIMATES OF OIL RESERVES THAT WE MAKE MAY BE INACCURATE WHICH COULD HAVE A
MATERIAL ADVERSE EFFECT ON US

There are numerous uncertainties inherent in estimating quantities of oil
resources, including many factors beyond our control, and no assurance can be
given that expected levels of resources or recovery of oil will be realized. In
general, estimates of recoverable oil resources are based upon a number of
factors and assumptions made as of the date on which resource estimates are
determined, such as geological and engineering estimates which have inherent
uncertainties and the assumed effects of regulation by governmental agencies and
estimates of future commodity prices and operating costs, all of which may vary
considerably from actual results. All such estimates are, to some degree,
uncertain and classifications of resources are only attempts to define the
degree of uncertainty involved. For these reasons, estimates of the recoverable
oil, the classification of such resources based on risk of recovery, prepared by
different engineers or by the same engineers at different times, may vary
substantially.

ABANDONMENT AND RECLAMATION COSTS ARE UNKNOWN AND MAY BE SUBSTANTIAL.

We will be responsible for compliance with terms and conditions of environmental
and regulatory approvals and all laws and regulations regarding the abandonment
of our properties and reclamation of lands at the end of their economic life,
which abandonment and reclamation costs may be substantial. A breach of such
legislation and/or regulations may result in the issuance of remedial orders,
the suspension of approvals, or the imposition of fines and penalties, including
an order for cessation of operations at the site until satisfactory remedies are
made. It is not possible to estimate with certainty the abandonment and
reclamation costs since they will be a function of regulatory requirements at
the time.

INCREASES IN OUR OPERATING EXPENSES WILL IMPACT OUR OPERATING RESULTS AND
FINANCIAL CONDITION.

Extraction, development, production, marketing (including distribution costs)
and regulatory compliance costs (including taxes) will substantially impact the
net revenues we derive from oil that we produce. These costs are subject to
fluctuations and variation in different locales in which we will operate, and we
may not be able to predict or control these costs. If these costs exceed our
expectations, this may adversely affect our results of operations. In addition,
we may not be able to earn net revenue at our predicted levels, which may impact
our ability to satisfy our obligations.

PENALTIES WE MAY INCUR COULD IMPAIR OUR BUSINESS.

Failure to comply with government regulations could subject us to civil and
criminal penalties, could require us to forfeit property rights, and may affect
the value of our assets. We may also be required to take corrective actions,
such as installing additional equipment or taking other actions, each of which
could require us to make substantial capital expenditures. We could also be
required to indemnify our employees in connection with any expenses or
liabilities that they may incur individually in connection with regulatory
action against them. As a result, our future business prospects could
deteriorate due to regulatory constraints, and our profitability could be
impaired by our obligation to provide such indemnification to our employees.

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ENVIRONMENTAL RISKS MAY ADVERSELY AFFECT OUR BUSINESS.

Oil extraction operations present environmental risks and hazards and are
subject to environmental regulation pursuant to a variety of federal, state, and
local laws and regulations. Environmental legislation provides for, among other
things, restrictions and prohibitions on spills, releases or emissions of
various substances produced in association with resource operations. The
legislation also requires that facility sites be operated, maintained, abandoned
and reclaimed to the satisfaction of applicable regulatory authorities.
Compliance with such legislation can require significant expenditures and a
breach may result in the imposition of fines and penalties, some of which may be
material. Environmental legislation is evolving in a manner we expect may result
in stricter standards and enforcement, larger fines and liability and
potentially increased capital expenditures and operating costs.

The discharge of pollutants into the air, soil or water may give rise to
liabilities to governments and third parties and may require us to incur costs
to remedy such discharges. The application of environmental laws to our business
may cause us to curtail our production or increase the costs of our production,
development or exploration activities.

CHALLENGES TO TITLE TO OUR PROPERTIES MAY IMPACT OUR FINANCIAL CONDITION.

Title to oil interests is often not capable of conclusive determination without
incurring substantial expense. While we intend to make appropriate inquiries
into the title of properties and other development rights we acquire, title
defects may exist. In addition, we may be unable to obtain adequate insurance
for title defects, on a commercially reasonable basis or at all. If title
defects do exist, it is possible that we may lose all or a portion of our right,
title and interests in and to the properties to which the title defects relate.

THE LIMITED TRADING OF OUR COMMON STOCK ON THE OTC BULLETIN BOARD MAY IMPAIR
YOUR ABILITY TO SELL YOUR SHARES.

There have been thin volumes of trading of our common stock. The lack of trading
of our common stock and the low volume of any future trading may impair your
ability to sell your shares at the time you wish to sell them or at a price that
you consider reasonable. Such factors may also impair our ability to raise
capital by selling shares of capital stock and may impair our ability to acquire
other companies or technologies by using common stock as consideration.

THE MARKET PRICE OF OUR COMMON STOCK IS LIKELY TO BE HIGHLY VOLATILE AND SUBJECT
TO WIDE FLUCTUATIONS.

Assuming we are able to establish an active trading market for our common stock,
the market price of our common stock is likely to be highly volatile and could
be subject to wide fluctuations in response to a number of factors that are
beyond our control, including:

     *    dilution caused by our issuance of additional shares of common stock
          and other forms of equity securities, which we expect to make in
          connection with future capital financings to fund our operations and
          growth, to attract and retain valuable personnel and in connection
          with future strategic partnerships with other companies;
     *    announcements of acquisitions, reserve discoveries or other business
          initiatives by our competitors;
     *    fluctuations in revenue from our business as new reserves come to
          market;
     *    changes in the market for commodities or in the capital markets
          generally;
     *    quarterly variations in our revenues and operating expenses;
     *    changes in the valuation of similarly situated companies, both in our
          industry and in other industries;

                                       11
<PAGE>
     *    changes in analysts' estimates affecting us, our competitors or our
          industry;
     *    changes in the accounting methods used in or otherwise affecting our
          industry;
     *    additions and departures of key personnel;
     *    fluctuations in interest rates and the availability of capital in the
          capital markets; and

These and other factors are largely beyond our control, and the impact of these
risks, singly or in the aggregate, may result in material adverse changes to the
market price of our common stock and our results of operations and financial
condition.

OUR OPERATING RESULTS MAY FLUCTUATE SIGNIFICANTLY, AND THESE FLUCTUATIONS MAY
CAUSE OUR STOCK PRICE TO DECLINE.

Our operating results will likely vary in the future primarily as the result of
fluctuations in our revenues and operating expenses, expenses that we incur, the
price of oil and gas in the commodities markets and other factors. If our
results of operations do not meet the expectations of current or potential
investors, the price of our common stock may decline.

WE DO NOT EXPECT TO PAY DIVIDENDS IN THE FORESEEABLE FUTURE.

We do not intend to declare dividends for the foreseeable future, as we
anticipate that we will reinvest any future earnings in the development and
growth of our business. Therefore, investors will not receive any funds unless
they sell their common stock, and stockholders may be unable to sell their
shares on favorable terms or at all. Investors cannot be assured of a positive
return on investment or that they will not lose the entire amount of their
investment in the common stock.

APPLICABLE SEC RULES GOVERNING THE TRADING OF "PENNY STOCKS" WILL LIMIT
THETRADING AND LIQUIDITY OF OUR COMMON STOCK, WHICH MAY AFFECT THE TRADING PRICE
OF OUR COMMON STOCK.

Our common stock is presently considered to be a "penny stock" and is subject to
SEC rules and regulations which impose limitations upon the manner in which such
shares may be publicly traded and regulate broker-dealer practices in connection
with transactions in "penny stocks." Penny stocks generally are equity
securities with a price of less than $5.00 (other than securities registered on
certain national securities exchanges or quoted on the NASDAQ system, provided
that current price and volume information with respect to transactions in such
securities is provided by the exchange or system). The penny stock rules require
a broker-dealer, prior to a transaction in a penny stock not otherwise exempt
from the rules, to deliver a standardized risk disclosure document that provides
information about penny stocks and the risks in the penny stock market. The
broker-dealer must also provide the customer with current bid and offer
quotations for the penny stock, the compensation of the broker-dealer and its
salesperson in the transaction, and monthly account statements showing the
market value of each penny stock held in the customer's account. In addition,
the penny stock rules generally require that prior to a transaction in a penny
stock, the broker-dealer make a special written determination that the penny
stock is a suitable investment for the purchaser and receive the purchaser's
written agreement to the transaction. These disclosure requirements may have the
effect of reducing the level of trading activity in the secondary market for a
stock that becomes subject to the penny stock rules which may increase the
difficulty investors may experience in attempting to liquidate such securities.

                                       12
<PAGE>
FORWARD-LOOKING STATEMENTS

This Form 10-K contains forward-looking statements that involve risks and
uncertainties. We use words such as anticipate, believe, plan, expect, future,
intend and similar expressions to identify such forward-looking statements. You
should not place too much reliance on these forward-looking statements. Our
actual results are likely to differ materially from those anticipated in these
forward-looking statements for many reasons.

ITEM 2. PROPERTIES

We currently do not own any physical property or own any real property. Our
principal executive office is located at 213 E Arkansas Ave, Vivian, LA 71082,
USA.

ITEM 3. LEGAL PROCEEDINGS

We are not currently involved in any legal proceedings and we are not aware of
any pending or potential legal actions.

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

There were no matters submitted to a vote of the security holders during the
year ended December 31, 2009.

                                     PART II

ITEM 5. MARKET FOR COMMON EQUITY AND RELATED STOCKHOLDER MATTERS

NO PUBLIC MARKET FOR COMMON STOCK

Our common stock is listed for trading under the symbol "AVOE".

As of the date of this report we have approximately 80 shareholders of record.
We have paid no cash dividends and have no outstanding options. We have no
securities authorized for issuance under equity compensation plans.

The SEC has adopted rules that regulate broker-dealer practices in connection
with transactions in penny stocks. Penny stocks are generally equity securities
with a price of less than $5.00, other than securities registered on certain
national securities exchanges or quoted on the NASDAQ system, provided that
current price and volume information with respect to transactions in such
securities is provided by the exchange or quotation system. The penny stock
rules require a broker-dealer, prior to a transaction in a penny stock, to
deliver a standardized risk disclosure document prepared by the SEC, that: (a)
contains a description of the nature and level of risk in the market for penny
stocks in both public offerings and secondary trading; (b) contains a
description of the broker's or dealer's duties to the customer and of the rights
and remedies available to the customer with respect to a violation to such
duties or other requirements of Securities' laws; (c) contains a brief, clear,
narrative description of a dealer market, including bid and ask prices for penny
stocks and the significance of the spread between the bid and ask price; (d)
contains a toll-free telephone number for inquiries on disciplinary actions; (e)
defines significant terms in the disclosure document or in the conduct of
trading in penny stocks; and (f) contains such other information and is in such
form, including language, type, size and format, as the SEC shall require by

                                       13
<PAGE>
rule or regulation. The broker-dealer also must provide, prior to effecting any
transaction in a penny stock, the customer with: (a) bid and offer quotations
for the penny stock; (b) the compensation of the broker-dealer and its
salesperson in the transaction; (c) the number of shares to which such bid and
ask prices apply, or other comparable information relating to the depth and
liquidity of the market for such stock; and (d) monthly account statements
showing the market value of each penny stock held in the customer's account. In
addition, the penny stock rules require that prior to a transaction in a penny
stock not otherwise exempt from those rules; the broker-dealer must make a
special written determination that the penny stock is a suitable investment for
the purchaser and receive the purchaser's written acknowledgment of the receipt
of a risk disclosure statement, a written agreement to transactions involving
penny stocks, and a signed and dated copy of a suitably written statement.

These disclosure requirements may have the effect of reducing the trading
activity in the secondary market for our stock if it becomes subject to these
penny stock rules. Therefore, if our common stock becomes subject to the penny
stock rules, stockholders may have difficulty selling those securities.

ITEM 7. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
        OF OPERATIONS

FORWARD LOOKING STATEMENTS

This section of this report includes a number of forward-looking statements that
reflect our current views with respect to future events and financial
performance. Forward-looking statements are often identified by words like:
believe, expect, estimate, anticipate, intend, project and similar expressions,
or words which, by their nature, refer to future events. You should not place
undue certainty on these forward-looking statements, which apply only as of the
date of our report. These forward-looking statements are subject to certain
risks and uncertainties that could cause actual results to differ materially
from historical results or our predictions. We are an exploration stage company
and have yet to generated enough revenues to achieve profitability.

RESULTS OF OPERATIONS

We are still in the exploration stage and have generated limited revenues to
date.

We incurred expenses of $635,746 for the year ending December 31, 2009. These
expenses consisted of general operating expenses, professional fees incurred in
connection with the day to day operation of our business and the preparation and
filing of our periodic reports and recognition of impairment loss on our
property for the year ended December 31, 2009. Our net loss for the year ending
December 31, 2009 was $599,063.

Our auditors have issued a going concern opinion. This means that there is
substantial doubt that we can continue as an on-going business for the next
twelve months unless we obtain additional capital to pay our bills. This is
because we have only begun generating revenues and there is no assurance we will
ever reach profitability. We are still in our exploration stage and have
generated minimal revenues to date.

The following table provides selected financial data about our company for the
years ended December 31, 2008 and 2009.

          Balance Sheet Data:            12/31/09           12/31/08
          -------------------            --------           --------

          Cash                          $  14,046           $   1,326
          Total assets                  $  38,990           $   1,326
          Total liabilities             $ 662,904           $  30,407
          Shareholders' equity          $(623,914)          $ (29,081)

                                       14
<PAGE>
LIQUIDITY AND CAPITAL RESOURCES

Our cash balance at December 31, 2009 was $14,046 with outstanding liabilities
of $608,307. Management believes our current cash balance will be unable to
sustain operations for the next 12 months. We will be forced to raise additional
funds by issuing new debt or equity securities or otherwise. If we fail to raise
sufficient capital when needed, we will not be able to complete our business
plan. We are an exploration stage company and have generated minimal revenue to
date.

PLAN OF OPERATION

Our cash balance is $14,046 as of December 31, 2009. We believe our cash balance
is insufficient to fund our levels of operations for the next twelve months. As
a result we will be forced to raise additional funds by issuing new debt or
equity securities or otherwise. If we fail to raise sufficient capital when
needed, we will not be able to complete our business plan. We are an exploration
stage company and have generated limited revenue of $36,683 to date.

Our auditor has issued a going concern opinion. This means that there is
substantial doubt that we can continue as an on-going business for the next
twelve months unless we obtain additional capital to pay our bills. This is
because we have generated minimal revenues to date. There is no assurance we
will ever profitability.

OFF-BALANCE SHEET ARRANGEMENTS

We do not have any off-balance sheet arrangements that have or are reasonably
likely to have a current or future effect on our financial condition, changes in
financial condition, revenues or expenses, results of operations, liquidity,
capital expenditures or capital resources that is material to investors.

                                       15
<PAGE>
ITEM 8. FINANCIAL STATEMENTS


             REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM


To the Board of Directors
Avro Energy Inc.
(A Exploration Stage Company)

We have  audited  the  accompanying  balance  sheets  of  Avro  Energy  Inc.  (A
Exploration  Stage  Company)  as of  December  31, 2009 and 2008 and the related
statements of operations,  shareholders' equity (deficit) and cash flows for the
twelve  month  periods  ended  December  31,  2009  and  2008.  These  financial
statements   are  the   responsibility   of  the   Company's   management.   Our
responsibility  is to express an opinion on these financial  statements based on
our audit.

We  conducted  our audit in  accordance  with  standards  of the Public  Company
Accounting Oversight Board (United States). Those standards require that we plan
and perform the audit to obtain reasonable assurance about whether the financial
statements  are free of material  misstatement.  The Company is not  required to
have,  nor were we engaged to perform,  an audit of its  internal  control  over
financial reporting.  Our audit included  consideration of internal control over
financial  reporting  as  a  basis  for  designing  audit  procedures  that  are
appropriate  in the  circumstances,  but not for the  purpose of  expressing  an
opinion on the  effectiveness  of the Company's  internal control over financial
reporting. Accordingly, we express no such opinion. An audit includes examining,
on a  test  basis,  evidence  supporting  the  amounts  and  disclosures  in the
financial statements. An audit also includes assessing the accounting principles
used and  significant  estimates made by  management,  as well as evaluating the
overall financial statement  presentation.  We believe that our audit provides a
reasonable basis for our opinion.

In our opinion,  the financial  statements  referred to above present fairly, in
all material respects, the financial position of Avro Energy Inc. as of December
31,  2009 and 2008,  and the  results of its  operations  and cash flows for the
periods  described  above in conformity  with  accounting  principles  generally
accepted in the United States of America.

The  accompanying  financial  statements  have been  prepared  assuming that the
Company  will  continue  as a  going  concern.  As  discussed  in  Note 1 to the
financial  statement,  the Company suffered a net loss from operations and has a
net capital  deficiency,  which  raises  substantial  doubt about its ability to
continue as a going concern. Management's plans regarding those matters are also
described in Note 1. The  financial  statements  do not include any  adjustments
that might result from the outcome of this uncertainty.


/s/ M&K CPAS, PLLC
----------------------------
www.mkacpas.com
Houston, Texas
April 14, 2010

                                       16
<PAGE>
                                Avro Energy Inc.
                         (An Exploration Stage Company)
                                  Balance Sheet
                             (Stated in US Dollars)

<TABLE>
<CAPTION>
                                                          As of               As of
                                                       December 31,        December 31,
                                                          2009                2008
                                                        ---------           ---------
<S>                                                     <C>                 <C>
Assets

Current assets
  Cash                                                  $  14,046           $   1,326
  Accounts Recievable                                      24,944                  --
                                                        ---------           ---------
Total current assets                                       38,990               1,326
                                                        ---------           ---------

Total Assets                                            $  38,990           $   1,326
                                                        =========           =========

Liabilities

Current liabilities
  Accounts payable                                      $  54,534           $  26,250
                                                        ---------           ---------
Total current liabilities                                  54,534              26,250

Long Term Liabilities
  Related Party Loan                                        4,157               4,157
  Loan Payable                                            269,213                  --
  Property Payable                                        335,000                  --
                                                        ---------           ---------
Total long Term Liabilities                               608,370               4,157
                                                        ---------           ---------

Total Liabilities                                         662,904              30,407
                                                                            ---------
Stockholders' Deficiency
  Common Stock, $0.001 par value
   100,000,00 Common Shares Authorized
   25,450,560 Shares Issued                                25,451              25,451
  Additional paid-in capital                              177,669             173,439
  Accumulated comprehensive income                          2,803               2,803
  Deficit accumuated during exploration period           (829,837)           (230,774)
                                                        ---------           ---------
Total stockholders deficit                               (623,914)            (29,081)
                                                        ---------           ---------

Total liabilites and stockholders equity                $  38,990           $   1,326
                                                        =========           =========
</TABLE>


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

                                       17
<PAGE>
                                Avro Energy Inc.
                         (An Exploration Stage Company)
                            Statements of Operations
                             (Stated in US Dollars)

<TABLE>
<CAPTION>
                                              For the year           For the year          From inception
                                                 ending                 ending         (January 31, 2007) to
                                              December 31,           December 31,           December 31,
                                                  2009                   2008                   2009
                                              ------------           ------------           ------------
<S>                                           <C>                    <C>                    <C>
Revenue                                       $     36,683           $         --           $     36,683
                                              ------------           ------------           ------------
Expenses
  Recognition of an Impairment Loss
   (Property Expenses)                             596,388                     --                616,388
  Accounting & Professional Fees                    34,351                 28,413                215,963
  Interest Expenses                                  4,231                     --                  4,231
  Office and Administration                            776                  8,295                 29,937
                                              ------------           ------------           ------------
Total Expenses                                     635,746                 36,708                866,520
                                              ------------           ------------           ------------

Net loss from operations                          (599,063)               (36,708)              (829,837)

Other Income and Expenses
  Total Comprehensive income (loss)                     --                   (679)                (2,719)
                                              ------------           ------------           ------------

Provision for income tax                                --                     --                     --
                                              ------------           ------------           ------------

Net Income (Loss)                             $   (599,063)          $    (37,387)          $   (832,556)
                                              ============           ============           ============

Basic & Diluted (Loss) per Common Share             (0.024)                (0.001)
                                              ------------           ------------

Weighted Average Number of Common Shares        25,450,560             25,450,560
</TABLE>


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

                                       18
<PAGE>
                                Avro Energy Inc.
                         (An Exploration Stage Company)
                   Statement of Stockholder's Equity (Deficit)
             From Inception (January 31, 2007) to December 31, 2009
                             (Stated in US Dollars)

<TABLE>
<CAPTION>
                                                                                                     Deficit
                                                                                                   Accumulated
                                                                                        Other        During
                                                   Common Stock         Paid in     Comprehensive  Exploration     Total
                                               Shares        Amount     Capital        Income         Stage        Equity
                                               ------        ------     -------        ------         -----        ------
<S>                                         <C>         <C>            <C>           <C>          <C>            <C>
Stock Issued for Cash - January 31, 2007    25,000,000     $ 25,000    $  61,250      $    --      $       --    $   86,250

Stock issued for Cash September 1, 2007        264,000          264       65,736                                     66,000

Stock issued for Cash October 1, 2007          186,560          187       46,453                                     46,640

Foreign Currency translation adjustment                                                 3,482                         3,482

Net (Loss) for period                                                                                (194,066)     (194,066)
                                           -----------     --------    ---------      -------      ----------    ----------

Balance, December 31, 2007                  25,450,560       25,451      173,439        3,482        (194,066)        8,306

Foreign Currency translation adjustment                                                  (679)                         (679)

Net (Loss) for period                                                                                 (36,708)      (36,708)
                                           -----------     --------    ---------      -------      ----------    ----------

Balance, December 31, 2008                  25,450,560       25,451      173,439        2,803        (230,774)      (29,081)

Imputed Interest                                                           4,230                                      4,230

Net (Loss) for period                                                                                (599,063)     (599,063)
                                           -----------     --------    ---------      -------      ----------    ----------

Balance, December 31, 2009                  25,450,560     $ 25,451    $ 177,669      $ 2,803      $ (829,837)   $ (623,914)
                                           ===========     ========    =========      =======      ==========    ==========
</TABLE>


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

                                       19
<PAGE>
                                Avro Energy Inc.
                         (An Exploration Stage Company)
                            Statements of Cash Flows
                             (Stated in US Dollars)

<TABLE>
<CAPTION>
                                                 For the year         For the year         From inception
                                                    ending               ending        (January 31, 2007) to
                                                 December 31,         December 31,          December 31,
                                                     2009                 2008                  2009
                                                   ---------            ---------             ---------
<S>                                                <C>                  <C>                   <C>
OPERATING ACTIVITIES
  Net income (loss)                                $(599,063)           $ (36,708)            $(829,837)
  Recognition of an Impairment Loss
   (Mineral Claims)                                  558,960                   --               605,840
  Foreign Currency income (loss)                          --                 (595)                2,803
  Accounts Receivable                                (24,944)                  --               (24,944)
  Imputed Interest                                     4,230                   --                 4,230
  Prepaid Expenses and deposits                           --                   --                    --
  Accounts payable and accrued liability              28,284                7,533                28,284
                                                   ---------            ---------             ---------
NET CASH USED IN OPERATING ACTIVITIES                (32,553)             (29,770)             (213,624)

INVESTING ACTIVITIES
  Payable to Property                                335,000                   --               335,000
  Purchase of mineral claim                         (555,000)                  --              (575,000)
                                                   ---------            ---------             ---------
NET CASH USED IN INVESTING ACTIVITIES               (220,000)                  --              (240,000)

FINANCING ACTIVITIES
  Related Party Loan                                      --                4,157                 4,157
  Loan Payable                                       269,213                   --               269,213
  Common shares issued to founders                        --                   --                25,451
  Subscriptions received                              (4,230)                  --               169,209
                                                   ---------            ---------             ---------
NET CASH PROVIDED BY FINANCING ACTIVITIES            264,983                4,157               468,030

Effect of exchange rate on cash                          630                   --                    --

Cash at beginning of period                            1,326               26,939                    --
                                                   ---------            ---------             ---------

CASH AT END OF PERIOD                              $  14,406            $   1,326             $  14,406
                                                   =========            =========             =========

Cash Paid For:
  Interest                                         $      --            $      --             $      --
                                                   =========            =========             =========

  Income Tax                                       $      --            $      --             $      --
                                                   =========            =========             =========
</TABLE>


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

                                       20
<PAGE>
                                AVRO ENERGY INC.
                         (An Exploration Stage Company)
                      Footnotes to the Financial Statements
                       From Inception to December 31, 2009
                             (Stated in US Dollars)


NOTE 1. NATURE OF OPERATIONS

DESCRIPTION OF BUSINESS AND HISTORY - Avro Energy, Inc. (hereinafter referred to
as the "Company")  was  incorporated  on January 31, 2007 by filing  Articles of
Incorporation  under the Nevada  Secretary  of State.  The Company was formed to
engage in the exploration of resource properties.

The Company is currently engaged in the acquisition, exploration and development
of oil and natural gas  properties in the United  States  ArkLaTex  region.  The
company seeks to develop low risk  opportunities by itself or with joint venture
partners in the oil and natural gas sectors.

GOING  CONCERN  - The  accompanying  financial  statements  have  been  prepared
assuming that the Company will continue as a going concern,  which  contemplates
the  realization  of assets and the  liquidation  of  liabilities  in the normal
course of business. However, the Company has accumulated a loss and is new. This
raises  substantial  doubt  about the  Company's  ability to continue as a going
concern.  The  financial  statements do not include any  adjustments  that might
result from this uncertainty.

As shown in the accompanying  financial  statements,  the Company has incurred a
loss of $829,837  for the period from January 31, 2007  (inception)  to December
31, 2009 and has generated  revenues of $36,683 over the same period. The future
of the Company is dependent upon its ability to obtain financing and upon future
profitable operations from the development of acquisitions. Management has plans
to seek additional  capital  through a private  placement and public offering of
its common  stock.  The  financial  statements  do not include  any  adjustments
relating to the  recoverability  and  classification  of recorded assets, or the
amounts of and  classification  of  liabilities  that might be  necessary in the
event the Company cannot continue in existence.

EXPLORATION STAGE - The Company complies with Accounting  Codification  Standard
915-10 for its characterization of the Company as exploration stage.

NOTE 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

RESOURCE   PROPERTIES  -  Company  follows  the  successful  efforts  method  of
accounting for its oil and gas  properties.  Unproved oil and gas properties are
periodically  assessed  and any  impairment  in value is charged to  exploration
expense. The costs of unproved properties, which are determined to be productive
are  transferred  to proved  resource  properties and amortized on an equivalent
unit-of-production   basis.  Exploratory  expenses,   including  geological  and
geophysical expenses and delay rentals for unevaluated resource properties,  are
charged  to expense  as  incurred.  Exploratory  drilling  costs are  charged as
expenses  until  it is  determined  that  the  company  has  proven  oil and gas
reserves.

BASIS  OF  PRESENTATION  -These  financial  statements  and  related  notes  are
presented in accordance with  accounting  principles  generally  accepted in the
United States, and are expressed in U.S. dollars.  The Company's fiscal year-end
is December 31.

                                       21
<PAGE>
USE OF ESTIMATES - The  preparation of financial  statements in accordance  with
U.S.  generally  accepted  accounting  principles  requires  management  to make
estimates  and  assumptions  that  affect  the  reported  amounts  of assets and
liabilities at the date of the financial  statements and the reported amounts of
net revenue and expenses in the  reporting  period.  We  regularly  evaluate our
estimates  and  assumptions  related to the useful  life and  recoverability  of
long-lived  assets,  stock-based  compensation  and  deferred  income  tax asset
valuation  allowances.  We base our estimates and  assumptions on current facts,
historical experience and various other factors that we believe to be reasonable
under  the  circumstances,  the  results  of which  form the  basis  for  making
judgments about the carrying values of assets and liabilities and the accrual of
costs and expenses that are not readily apparent from other sources.  The actual
results  experienced  by  us  may  differ  materially  and  adversely  from  our
estimates.  To the extent there are material  differences  between our estimates
and the actual results, our future results of operations will be affected.

CASH AND CASH EQUIVALENTS - The Company considers all highly liquid  instruments
with  original  maturities  of three  months or less when  acquired,  to be cash
equivalents. We had no cash equivalents at December 31, 2009 or 2008.

INCOME TAXES - The Company accounts for income taxes under the provisions issued
by the FASB which requires  recognition of deferred tax  liabilities  and assets
for the expected  future tax  consequences  of events that have been included in
the  consolidated  financial  statements  or tax  returns.  Under  this  method,
deferred  tax  liabilities  and assets are  determined  based on the  difference
between the financial  statement and tax bases of assets and  liabilities  using
enacted tax rates in effect for the year in which the  differences  are expected
to reverse.  The Company  computes tax asset  benefits for net operating  losses
carried  forward.  The potential  benefit of net  operating  losses has not been
recognized in these financial  statements  because the Company cannot be assured
it is more likely  than not it will  utilize the net  operating  losses  carried
forward in future years.

LOSS PER COMMON  SHARE - The Company  reports  net loss per share in  accordance
with provisions of the FASB. The provisions  require dual  presentation of basic
and  diluted  loss per share.  Basic net loss per share  excludes  the impact of
common stock equivalents. Diluted net loss per share utilizes the average market
price per share when applying the treasury  stock method in  determining  common
stock  equivalents.  As of  December  31,  2009,  there  were  no  common  stock
equivalents outstanding.

FAIR VALUE OF  FINANCIAL  INSTRUMENTS  - Pursuant  to ASC No.  820,  "Fair Value
Measurements  and  Disclosures",  the Company is  required to estimate  the fair
value of all financial  instruments included on its balance sheet as of December
31, 2009.  The  Company's  financial  instruments  consist of cash.  The Company
considers  the carrying  value of such amounts in the  financial  statements  to
approximate  their fair value due to the  short-term  nature of these  financial
instruments.

RECENTLY  ADOPTED  ACCOUNTING  PRONOUNCEMENTS  - Effective  June 30,  2009,  the
Company  adopted a new  accounting  standard  issued by the FASB  related to the
disclosure  requirements  of the fair value of the financial  instruments.  This
standard  expands  the  disclosure  requirements  of fair value  (including  the
methods and  significant  assumptions  used to  estimate  fair value) of certain
financial   instruments  to  interim  period  financial   statements  that  were
previously  only  required to be disclosed in  financial  statements  for annual
periods. In accordance with this standard, the disclosure requirements have been
applied  on a  prospective  basis  and did not  have a  material  impact  on the
Company's financial statements.

On September  30, 2009,  the Company  adopted  changes  issued by the  Financial
Accounting Standards Board (FASB) to the authoritative  hierarchy of GAAP. These
changes establish the FASB Accounting Standards  Codification  (Codification) as
the source of authoritative  accounting  principles recognized by the FASB to be
applied by nongovernmental  entities in the preparation of financial  statements

                                       22
<PAGE>
in conformity with GAAP. Rules and  interpretive  releases of the Securities and
Exchange  Commission  (SEC) under authority of federal  securities laws are also
sources of authoritative GAAP for SEC registrants. The FASB will no longer issue
new  standards  in the form of  Statements,  FASB Staff  Positions,  or Emerging
Issues Task Force Abstracts;  instead the FASB will issue  Accounting  Standards
Updates.  Accounting  Standards  Updates will not be  authoritative in their own
right as they will only serve to update the Codification.  These changes and the
Codification  itself do not  change  GAAP.  Other  than the  manner in which new
accounting  guidance is referenced,  the adoption of these changes had no impact
on the Financial Statements.

RECENTLY  ISSUED  ACCOUNTING  STANDARDS  - In  January  2010,  the  FASB  issued
Accounting Standards Update 2010-02,  Consolidation (Topic 810):  Accounting and
Reporting for Decreases in Ownership of a  Subsidiary.  This  amendment to Topic
810 clarifies,  but does not change,  the scope of current US GAAP. It clarifies
the  decrease  in  ownership  provisions  of  Subtopic  810-10 and  removes  the
potential conflict between guidance in that Subtopic and asset derecognition and
gain or loss  recognition  guidance  that may exist in other US GAAP.  An entity
will be required to follow the amended guidance  beginning in the period that it
first adopts FAS 160 (now included in Subtopic 810-10).  For those entities that
have already  adopted FAS 160, the  amendments are effective at the beginning of
the first interim or annual  reporting  period  ending on or after  December 15,
2009. The amendments should be applied  retrospectively to the first period that
an entity  adopted FAS 160.  The Company does not expect the  provisions  of ASU
2010-02  to  have a  material  effect  on the  financial  position,  results  of
operations or cash flows of the Company.

In January 2010, the FASB issued  Accounting  Standards  Update 2010-01,  Equity
(Topic 505):  Accounting for  Distributions  to Shareholders  with Components of
Stock and Cash (A  Consensus  of the FASB  Emerging  Issues  Task  Force).  This
amendment  to Topic  505  clarifies  the  stock  portion  of a  distribution  to
shareholders  that allows them to elect to receive cash or stock with a limit on
the amount of cash that will be distributed is not a stock dividend for purposes
of applying Topics 505 and 260.  Effective for interim and annual periods ending
on or after  December 15, 2009, and would be applied on a  retrospective  basis.
The  Company  does not expect the  provisions  of ASU 2010-01 to have a material
effect on the  financial  position,  results of  operations or cash flows of the
Company.

In  December  2009,  the  FASB  issued  Accounting   Standards  Update  2009-17,
Consolidations  (Topic 810):  Improvements to Financial Reporting by Enterprises
Involved with Variable  Interest  Entities.  This  Accounting  Standards  Update
amends the FASB Accounting Standards Codification for Statement 167. The Company
does not expect the  provisions of ASU 2009-17 to have a material  effect on the
financial position, results of operations or cash flows of the Company.

In December 2009, the FASB issued Accounting Standards Update 2009-16, Transfers
and Servicing (Topic 860):  Accounting for Transfers of Financial  Assets.  This
Accounting  Standards Update amends the FASB Accounting  Standards  Codification
for Statement  166. The Company does not expect the provisions of ASU 2009-16 to
have a material effect on the financial position,  results of operations or cash
flows of the Company.

In October 2009, the FASB issued Accounting Standards Update 2009-15, Accounting
for Own-Share Lending Arrangements in Contemplation of Convertible Debt Issuance
or Other Financing.  This Accounting Standards Update amends the FASB Accounting
Standard  Codification for EITF 09-1. The Company does not expect the provisions
of ASU 2009-15 to have a material effect on the financial  position,  results of
operations or cash flows of the Company.

NOTE 2. OIL AND GAS PROPERTIES

The oil and gas  Properties  that the company has have had all costs  related to
the  properties  expensed  in  accordance  with  Generally  Accepted  Accounting
Principles for the industry. Currently the Company does not have proven reserves
confirmed  with a  geological  study and will only be able to  capitalize  these
properties once reserves have been proven.

                                       23
<PAGE>
MOLYBDENUM PROPERTY

The Company had a molybdenum property located  approximately 35 kilometers north
of  Vancouver  BC. In the third  quarter  of 2009 the  company  deemed  the area
unsuitable for exploration and opted to not renew its interest in the property.

HOSS HOLMES LEASE

On August 26,  2009,  Avro entered into an agreement to acquire for $100,000 the
Hoss Holmes Lease located near Hosston,  Louisiana, from Fredco LLC, a Louisiana
private oil and gas operator. The company closed the acquisition of the property
on September 30, 2009.

On  February  23, 2010 the  company  divested a non core  assets  being the Hoss
Holmes, near Hosston Louisiana for $60,000.

HERRINGS LEASE

On August 10,  2009,  Avro  Energy,  Inc.  entered  into an agreement to acquire
various oil leases near Hosston,  Louisiana,  from S.A.M.,  a Louisiana  private
partnership, and private oil and gas operator. Under the terms of the agreement,
the  Company  has agreed to pay a total of ten  dollars  ($10) plus a  one-fifth
royalty  interest in exchange for the  exclusive  grant,  lease,  and let of the
following oil and gas leases:

One,  Two,  Three  and Four  (1-4)  inclusive,  Block  One (1) Town of  Hosston,
together  with all  abandoned  alleyways  and  streets  insofar as it covers and
affects the surface of the earth and the base of the Nacatosh Formation together
with wells being Herring No. 1, Serial No 184124,  and Herring No. 2, Serial No.
184735.

The agreement requires the Company to commence  production within 90 days of the
date of the  agreement.  The  lease  shall  be  maintained  only  by  continuous
production (no break in production longer than 59 days),  reworking  operations,
and or maintaining the lease in paying quantities as defined under the Louisiana
Mineral Code. If there is no production,  re-working operations,  or maintenance
of the lease for a period of sixty days or more,  the lease shall cancel and all
rights revert back to the Lessor.

MUSLOW LEASE

On September 9, 2009,  Avro  Energy,  Inc.  entered into an agreement to acquire
four oil and gas leases in Caddo Parish,  Louisiana,  from a private oil and gas
operator.  The first  three  leases are the Muslow A, B, and C Leases,  which in
total comprise of 8 wells and equipment, of which 2 are currently producing. The
fourth  lease is the  Caddo  Levee  Board  Lease,  comprising  of 13  wells  and
equipment, of which 4 are currently producing.

The  company  negotiated  an  extension  for the closing of this lease and under
these  terms of the  extension  agreement,  the  Company  will pay the  operator
$70,000, of which $35,000 is payable on or before November 23, 2009, and $35,000
on or before January 20, 2010.

ARKANSA LEASE

On October 24,  2009 Avro  Energy,  Inc.  signed a letter  agreement  to acquire
eleven  producible deep oil wells north of Hosston,  Louisiana,  and in Southern
Arkansas.  Seven of these  wells are in  production.  The deepest of these wells
produce from the Smackover  formation at 7800 feet. Four other wells are capable
of production  after work over operation has been completed.  Also included with
the agreement are three disposal wells.

The terms of this agreement, the Company is required to pay $385,000, which must
be paid over a seven month  period,  with the first  payment of $50,000  paid on
November 24, 2009. The terms of the agreement  allow Avro to receive  production
starting from November 1, 2009.

                                       24
<PAGE>
NOTE 3. LOANS PAYABLE

The loans are payable to a shareholder who owns 264,000  (aproxamitely 1.037% of
issued and  outstanding)  shares.  The loans are unsecured,  are payable in five
years from August 13 and  September  3, 2009 and bear  interest at 3% per annum.
Imputed  interest  in the amount of $4,230 is  included  in  additional  paid in
capital due to below market interest rate.

NOTE 4. INCOME TAXES

Deferred income taxes may arise from temporary differences resulting from income
and  expense  items  reported  for  financial  accounting  and tax  purposes  in
different  periods.  Deferred  taxes are  classified as current or  non-current,
depending on the  classification of assets and liabilities to which they relate.
Deferred  taxes arising from  temporary  differences  that are not related to an
asset or liability  are  classified as current or  non-current  depending on the
periods in which the temporary  differences are expected to reverse. The company
does not have any uncertain tax positions.

The Company currently has net operating loss carryforwards aggregating $827,125,
which expire  through  2029.  The deferred tax asset of $281,222  related to the
carryforwards has been fully reserved.

The Company has deferred income tax assets,  which have been fully reserved,  as
follows as of December 31, 2009 and 2008:

                                                   2009                2008
                                                 ---------           ---------

Deferred tax assets                              $ 281,222           $  78,463
Valuation allowance for deferred tax assets       (281,222)            (78,463)
                                                 ---------           ---------

Net deferred tax assets                          $      --           $      --
                                                 =========           =========

NOTE 5. FAIR VALUE ACCOUNTING

FAIR VALUE MEASUREMENTS

On January 1, 2008, the Company adopted ASC No. 820-10 (ASC 820-10),  Fair Value
Measurements. ASC 820-10 relates to financial assets and financial liabilities.

ASC 820-10 defines fair value,  establishes a framework for measuring fair value
in  accounting  principles  generally  accepted in the United  States of America
(GAAP), and expands disclosures about fair value measurements. The provisions of
this standard apply to other  accounting  pronouncements  that require or permit
fair  value  measurements  and  are to be  applied  prospectively  with  limited
exceptions.

ASC 820-10  defines  fair value as the price that would be  received  to sell an
asset or paid to transfer a liability in an orderly  transaction  between market
participants at the measurement  date. This standard is now the single source in
GAAP for the  definition  of fair  value,  except  for the fair  value of leased
property as defined in SFAS 13. ASC 820-10  establishes  a fair value  hierarchy
that distinguishes between (1) market participant assumptions developed based on
market data obtained from  independent  sources  (observable  inputs) and (2) an
entity's  own  assumptions,  about  market  participant  assumptions,  that  are
developed  based  on  the  best  information   available  in  the  circumstances
(unobservable  inputs). The fair value hierarchy consists of three broad levels,

                                       25
<PAGE>
which gives the highest  priority to unadjusted  quoted prices in active markets
for  identical  assets or  liabilities  (Level  1) and the  lowest  priority  to
unobservable  inputs  (Level  3). The three  levels of the fair value  hierarchy
under ASC 820-10 are described below:

     *    Level 1 Unadjusted quoted prices in active markets that are accessible
          at  the  measurement  date  for  identical,   unrestricted  assets  or
          liabilities.

     *    Level 2 Inputs other than quoted prices  included  within Level 1 that
          are  observable  for  the  asset  or  liability,  either  directly  or
          indirectly,  including quoted prices for similar assets or liabilities
          in active  markets;  quoted prices for identical or similar  assets or
          liabilities  in markets that are not active;  inputs other than quoted
          prices that are observable for the asset or liability (e.g.,  interest
          rates);  and inputs that are derived  principally from or corroborated
          by observable market data by correlation or other means.

     *    Level 3 Inputs that are both significant to the fair value measurement
          and  unobservable.  These inputs rely on management's  own assumptions
          about the assumptions  that market  participants  would use in pricing
          the asset or liability.  (The unobservable  inputs are developed based
          on the best information available in the circumstances and may include
          the Company's own data.)

The following  presents the Company's fair value  hierarchy for those assets and
liabilities  measured at fair value on a non-recurring  basis as of December 31,
2009 and 2008:

     Level 1: None
     Level 2: None
     Level 3: None
     Total Gain (Losses): None

NOTE 6. COMMON STOCK

On January 31, 2007 (inception),  the Company issued 25,000,000 founders' shares
for $86,250.

On September 1, 2007, the Company issued 264,000 shares for $66,000.

On October 1, 2007, the Company issued 186,560 shares for $46,640.

NOTE 7. RELATED PARTY TRANSACTIONS

As of December 31, 2009 the company owed Mike P. Kurtanjek,  company  president,
the amount of $4,157. The loan had no interest and no fixed repayment date.

NOTE 8. PROPERTY PAYABLE

As of December  31, 2009 the company had  property  payable of $335,000  for the
Arkansas Lease. The payment schedule  required $50,000 paid on or before January
31, 2010,  $50,000 paid on or before  March 31,  2010,  and $235,000  paid on or
before May 31, 2010. As of April 15, 2010 the only payment owed for the Arkansas
Lease is the $235,000 to be paid on or before May 31. 2010.

                                       26
<PAGE>
NOTE 9. ACCOUNTS RECEIVABLE

As of December 31, 2001 the company had Accounts  Receivable of $24,944. Of this
$2,154 was owed from Bayou State Oil Corp and $22,790 was owed from Eylau Oil.

NOTE 10. IMPAIRMENT LOSS

The company's  impairment  loss as per the income  statement is $596,388 for the
one year period ending December 31, 2009. This consists of all expenses  related
to the company's oil and gas  properties  which have been expensed in accordance
with Generally Accepted Accounting Principles for the industry.  When and if the
company  is able  to  prove  these  reserves  with a  geological  study  it will
capitalize these costs.

NOTE 11. SUBSEQUENT EVENTS

HOSS HOLMES LEASE

On  February  23, 2010 the  company  divested a non core  assets  being the Hoss
Holmes, near Hosston Louisiana for $60,000.

The Company has evaluated  subsequent  events  through the date these  financial
statements  were issued.  There are no  reporting  subsequent  events  requiring
disclosure other than the one noted above.

The Hoss Holmes Lease was sold on February 23, 2010 and the company will post an
impairment loss of $40,000 for this transaction over this period.

                                       27
<PAGE>
ITEM 9. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON FINANCIAL DISCLOSURE

None.

ITEM 9A. CONTROLS AND PROCEDURES

MANAGEMENT'S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING

Our management is responsible for establishing and maintaining adequate internal
control over financial reporting. Internal control over financial reporting is
defined in Rule 13a-15(f) or 15d-15(f) promulgated under the Securities Exchange
Act of 1934 as a process designed by, or under the supervision of, the company's
principal executive and principal financial officers and effected by the
company's board of directors, management and other personnel, to provide
reasonable assurance regarding the reliability of financial reporting and the
preparation of financial statements for external purposes in accordance with
accounting principles generally accepted in the United States of America and
includes those policies and procedures that:

     -    Pertain to the maintenance of records that in reasonable detail
          accurately and fairly reflect the transactions and dispositions of the
          assets of the company;
     -    Provide reasonable assurance that transactions are recorded as
          necessary to permit preparation of financial statements in accordance
          with accounting principles generally accepted in the United States of
          America and that receipts and expenditures of the company are being
          made only in accordance with authorizations of management and
          directors of the company; and
     -    Provide reasonable assurance regarding prevention or timely detection
          of unauthorized acquisition, use or disposition of the company's
          assets that could have a material effect on the financial statements.

Because of its inherent limitations, internal control over financial reporting
may not prevent or detect misstatements. Projections of any evaluation of
effectiveness to future periods are subject to the risk that controls may become
inadequate because of changes in conditions, or that the degree of compliance
with the policies or procedures may deteriorate. All internal control systems,
no matter how well designed, have inherent limitations. Therefore, even those
systems determined to be effective can provide only reasonable assurance with
respect to financial statement preparation and presentation. Because of the
inherent limitations of internal control, there is a risk that material
misstatements may not be prevented or detected on a timely basis by internal
control over financial reporting. However, these inherent limitations are known
features of the financial reporting process. Therefore, it is possible to design
into the process safeguards to reduce, though not eliminate, this risk.

As of December 31, 2009 management assessed the effectiveness of our internal
control over financial reporting based on the criteria for effective internal
control over financial reporting established in Internal Control--Integrated
Framework issued by the Committee of Sponsoring Organizations of the Treadway
Commission ("COSO") and SEC guidance on conducting such assessments. Based on
that evaluation, they concluded that, during the period covered by this report,
such internal controls and procedures were not effective to detect the
inappropriate application of US GAAP rules as more fully described below. This
was due to deficiencies that existed in the design or operation of our internal
controls over financial reporting that adversely affected our internal controls
and that may be considered to be material weaknesses.

The matters involving internal controls and procedures that our management
considered to be material weaknesses under the standards of the Public Company
Accounting Oversight Board were: (1) lack of a functioning audit committee due
to a lack of a majority of independent members and a lack of a majority of
outside directors on our board of directors, resulting in ineffective oversight

                                       28
<PAGE>
in the establishment and monitoring of required internal controls and
procedures; (2) inadequate segregation of duties consistent with control
objectives; and (3) ineffective controls over period end financial disclosure
and reporting processes. The aforementioned material weaknesses were identified
by our Chief Executive Officer in connection with the review of our financial
statements as of December 31, 2009.

Management believes that the material weaknesses set forth in items (2) and (3)
above did not have an effect on our financial results. However, management
believes that the lack of a functioning audit committee and the lack of a
majority of outside directors on our board of directors results in ineffective
oversight in the establishment and monitoring of required internal controls and
procedures, which could result in a material misstatement in our financial
statements in future periods.

This annual report does not include an attestation report of the Corporation's
registered public accounting firm regarding internal control over financial
reporting. Management's report was not subject to attestation by the
Corporation's registered public accounting firm pursuant to temporary rules of
the SEC that permit the Corporation to provide only the management's report in
this annual report.

MANAGEMENT'S REMEDIATION INITIATIVES

In an effort to remediate the identified material weaknesses and other
deficiencies and enhance our internal controls, we have initiated, or plan to
initiate, the following series of measures:

We will create a position to segregate duties consistent with control objectives
and will increase our personnel resources and technical accounting expertise
within the accounting function when funds are available to us. And, we plan to
appoint one or more outside directors to our board of directors who shall be
appointed to an audit committee resulting in a fully functioning audit committee
who will undertake the oversight in the establishment and monitoring of required
internal controls and procedures such as reviewing and approving estimates and
assumptions made by management when funds are available to us.

Management believes that the appointment of one or more outside directors, who
shall be appointed to a fully functioning audit committee, will remedy the lack
of a functioning audit committee and a lack of a majority of outside directors
on our Board.

We anticipate that these initiatives will be at least partially, if not fully,
implemented by December 31, 2010. Additionally, we plan to test our updated
controls and remediate our deficiencies by December 31, 2010.

CHANGES IN INTERNAL CONTROLS OVER FINANCIAL REPORTING

There was no change in our internal controls over financial reporting that
occurred during the period covered by this report, which has materially
affected, or is reasonably likely to materially affect, our internal controls
over financial reporting.

                                       29
<PAGE>
                                    PART III

ITEM 10. DIRECTORS, EXECUTIVE OFFICERS AND CONTROL PERSONS

The names, ages and titles of our executive officers and director are as
follows:

Name and Address of Executive
  Officer and/or Director            Age                 Position
  -----------------------            ---                 --------

Mike P. Kurtanjek                    58      President, Chief Executive Officer
                                             and Director

Donny Fitzgerald                     46      Secretary and Director

Michael Heenan                       57      Director

Mike P. Kurtanjek, has been self-employed with Grosvenor Capital Limited since
1995. Prior to that time, he was employed by Credit Lyonnais, James Capel & Co.
and Prudential Assurance Company as a Fund Manager and Investment Banker. Mr.
Kurtanjek was the manager of the Natural Resources Group of The British Sulphur
Corporation where he managed several Work Bank sponsored projects focused on oil
and gas in several North African and Middle Eastern countries.

Mr. Donny Fitzgerald has worked in the Oil and Gas business as Manager of
Fitzgerald Enterprises over the last 5 years. His expertise is in oil field
supply and production within this industry.

Michael Heenan, is an independent businessman involved in the oil and gas
industry in Canada.

Neither Mr. Kurtanjek nor Mr. Heenan nor Mr. Fitzgerald is related to any of our
other directors or officers.

TERM OF OFFICE

Our director is appointed to hold office until the next annual meeting of our
stockholders or until his successor is elected and qualified, or until he
resigns or is removed in accordance with the provisions of the State of Nevada
Statutes. Our officer is appointed by our Board of Directors and holds office
until removed by the Board.

SIGNIFICANT EMPLOYEES

We have no significant employees other than our officer and/or directors who
collectively devote approximately 20 hours per week to company matters.

Our officers and directors have not been the subject of any order, judgment, or
decree of any court of competent jurisdiction, or any regulatory agency
permanently or temporarily enjoining, barring, suspending or otherwise limited
him from acting as an investment advisor, underwriter, broker or dealer in the
securities industry, or as an affiliated person, director or employee of an
investment company, bank, savings and loan association, or insurance company or
from engaging in or continuing any conduct or practice in connection with any
such activity or in connection with the purchase or sale of any securities.

                                       30
<PAGE>
Our officers and directors have not been convicted in any criminal proceeding
(excluding traffic violations) nor is he subject of any currently pending
criminal proceeding.

We conduct our business through agreements with consultants and arms-length
third parties. We pay our consulting geologist the usual and customary rates
received by geologists performing similar consulting services.

CODE OF ETHICS

Our board of directors adopted our code of ethical conduct that applies to all
of our employees and directors, including our principal executive officer,
principal financial officer, principal accounting officer or controller, and
persons performing similar functions.

We believe the adoption of our Code of Ethical Conduct is consistent with the
requirements of the Sarbanes-Oxley Act of 2002.

Our Code of Ethical Conduct is designed to deter wrongdoing and to promote:

     *    Honest and ethical conduct, including the ethical handling of actual
          or apparent conflicts of interest between personal and professional
          relationships;
     *    Full, fair, accurate, timely and understandable disclosure in reports
          and documents that we file or submit to the Securities & Exchange
          Commission and in other public communications made by us;
     *    Compliance with applicable governmental laws, rules and regulations;
     *    The prompt internal reporting to an appropriate person or persons
          identified in the code of violations of our Code of Ethical Conduct;
          and
     *    Accountability for adherence to the Code.

ITEM 11. EXECUTIVE COMPENSATION

MANAGEMENT COMPENSATION

The table below summarizes all compensation awarded to, earned by, or paid to
our executive officers by any person for all services rendered in all capacities
to us for the past three years ending December 31, 2009:

<TABLE>
<CAPTION>
                                            Annual Compensation                Long Term Compensation
                                    ----------------------------------   ---------------------------------
                                                                         Restricted
                                                          Other Annual      Stock     Options/*    LTIP        All Other
Name           Title        Year    Salary($)   Bonus     Compensation     Awarded    SARs (#)   payouts($)   Compensation
----           -----        ----    ---------   -----     ------------     -------    --------   ----------   ------------
<S>          <C>            <C>        <C>        <C>          <C>           <C>         <C>         <C>           <C>
Mike P.      President,     2007     $    0     $  0         $  0           $  0        $  0        $  0          $  0
Kurtanjek    CEO, CFO       2008     $    0     $  0         $  0           $  0        $  0        $  0          $  0
             and Director   2009     $    0     $  0         $  0           $  0        $  0        $  0          $  0

Michael      Director       2007     $    0     $  0         $  0           $  0        $  0        $  0          $  0
Heenan                      2008     $    0     $  0         $  0           $  0        $  0        $  0          $  0
                            2009     $    0     $  0         $  0           $  0        $  0        $  0          $  0

Marilyn      Past           2007     $    0     $  0         $  0           $  0        $  0        $  0          $  0
Woodruff     Director &     2008     $    0     $  0         $  0           $  0        $  0        $  0          $  0
             Secretary

Donny        Secretary      2008     $    0     $  0         $  0           $  0        $  0        $  0          $  0
Fitzgerald   and Director   2009     $5,000     $  0         $  0           $  0        $  0        $  0          $  0
</TABLE>

                                       31
<PAGE>
There are no current employment agreements between the company and its
officer/director.

There are no annuity, pension or retirement benefits proposed to be paid to the
officer or director or employees in the event of retirement at normal retirement
date pursuant to any presently existing plan provided or contributed to by the
company or any of its subsidiaries, if any.

ITEM 12. SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT

The following table sets forth certain information concerning the number of
shares of our common stock owned beneficially as of March 9, 2009 by: (i) each
person (including any group) known to us to own more than five percent (5%) of
any class of our voting securities, (ii) our director, and or (iii) our officer.
Unless otherwise indicated, the stockholder listed possesses sole voting and
investment power with respect to the shares shown.

<TABLE>
<CAPTION>
                                                                       Amount and Nature     Percentage of
                                                                         of Beneficial          Common
Title of Class       Name and Address of Beneficial Owner                  Ownership           Stock(1)
--------------       ------------------------------------                  ---------           --------
<S>                  <C>                                                   <C>                   <C>
Common Stock         Mike P. Kurtanjek                                     4,800,000             19.2%
                     9 Church Lane, West Sussex, England, RH103PT

Common Stock         Michael Heenan                                          100,000              0.4%
                     213 E Arkansas Ave
                     Vivian, LA 71082, USA

Common Stock         Donny Fitzgerald                                              0                0%
                     213 E Arkansas Ave
                     Vivian, LA 71082, USA

Common Stock         Officer and/or director as a Group                    4,900,000             19.6%

HOLDERS OF MORE THAN 5% OF OUR COMMON STOCK
</TABLE>

----------
(1)  A beneficial owner of a security includes any person who, directly or
     indirectly, through any contract, arrangement, understanding, relationship,
     or otherwise has or shares: (i) voting power, which includes the power to
     vote, or to direct the voting of shares; and (ii) investment power, which
     includes the power to dispose or direct the disposition of shares. Certain
     shares may be deemed to be beneficially owned by more than one person (if,
     for example, persons share the power to vote or the power to dispose of the
     shares). In addition, shares are deemed to be beneficially owned by a
     person if the person has the right to acquire the shares (for example, upon
     exercise of an option) within 60 days of the date as of which the
     information is provided. In computing the percentage ownership of any
     person, the amount of shares outstanding is deemed to include the amount of
     shares beneficially owned by such person (and only such person) by reason
     of these acquisition rights. As a result, the percentage of outstanding
     shares of any person as shown in this table does not necessarily reflect
     the person's actual ownership or voting power with respect to the number of
     shares of common stock actually outstanding on March 9, 2009.

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<PAGE>
ITEM 13. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS

None of our directors, or officers, any proposed nominee for election as a
director, any person who beneficially owns, directly or indirectly, shares
carrying more than 10% of the voting rights attached to all of our outstanding
shares, any promoter, or any relative or spouse of any of the foregoing persons
has any material interest, direct or indirect, in any transaction since our
incorporation or in any presently proposed transaction which, in either case,
has or will materially affect us other then the transactions described below.

The company has borrowed $4,157 from Mr. Mike P. Kurtanjek, our President and as
of December 31, 2009 the loan has not been paid back. The loan has a 0% interest
with no fixed payment date.

Our management is involved in other business activities and may, in the future
become involved in other business opportunities. If a specific business
opportunity becomes available, such persons may face a conflict in selecting
between our business and their other business interests. In the event that a
conflict of interest arises at a meeting of our directors, a director who has
such a conflict will disclose his interest in a proposed transaction and will
abstain from voting for or against the approval of such transaction.

ITEM 14. PRINCIPAL ACCOUNTING FEES AND SERVICES

For the year ended December 31, 2008, the total fees charged to the company for
audit services, including quarterly reviews, were $9,125.

For the year ended December 31, 2009, there were $10,175 in fees charged to the
company for audit services, audit-related services and tax services.

                                       33
<PAGE>
                                     PART IV

ITEM 15. EXHIBITS

     Exhibit
     Number                             Description
     ------                             -----------

       3(i)            Articles of Incorporation*
       3(ii)           Bylaws*
      31.1             Sec. 302 Certification of Chief Executive Officer
      31.2             Sec. 302 Certification of Chief Financial Officer
      32.1             Sec. 906 Certification of Chief Executive Officer
      32.2             Sec. 906 Certification of Chief Financial Officer

                                   SIGNATURES

Pursuant to the requirements of Section 13(a) or 15(d) of the Securities
Exchange Act of 1934, the Registrant has duly caused this report to be signed on
its behalf by the undersigned, thereunto duly authorized.

April 15, 2010      Avro Energy Inc.


                    By: /s/ Mike P. Kurtanjek
                        --------------------------------------------------------
                        Mike P. Kurtanjek, President and Chief Executive Officer

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

April 15, 2010      Avro Energy Inc.


                    By: /s/ Mike P. Kurtanjek
                        --------------------------------------------------------
                        Mike P. Kurtanjek,  President, Treasurer and Chief
                        Financial Officer (Principal Executive Officer and
                        Principal Accounting Officer)

                                       34