| Colorado                                                       | 84-1508638                                 |
|----------------------------------------------------------------|--------------------------------------------|
| (State or Other Jurisdiction of Incorporation or Organization) |  (I.R.S. Employer Identification No.) |
|                                                           |                                       |
|                                                           |                                       |
|  P.O. Box 141 Westminster, Colorado                       |  80036                                |
| (Address of Principal Executive Offices)                       |   (Zip Code)                     |

| LargeAccelerated Filer [] |   | AcceleratedFiler [] |   | Non-Accelerated Filer [] (Do not check if a smaller reporting company) |   | Smaller ReportingCompany [X] |
|---------------------------|--------|---------------------|--------|----------------------------------------------------------------------------------|--------|------------------------------|

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|   | Part 1 - Financial Information                                                |      |   |
|--------|-------------------------------------------------------------------------------|-----------|--------|
|   |                                                                          |      |   |
|   | Item 1 - Financial Statements (Unaudited)                                     |   3  |   |
|   |                                                                          |      |   |
|   | Item 2 - Management’s Discussion and Analysis and Results of Operations |  10  |   |
|   |                                                                          |      |   |
|   | Item 3 - Quantitative and Qualitative Disclosures about Market Risk           |   13 |   |
|   |                                                                          |      |   |
|   | Item 4 - Controls and Procedures                                              |   14 |   |
|   |                                                                          |      |   |
|   | Part 2 - Other Information                                                    |      |   |
|   |                                                                          |      |   |
|   | Item 1 - Legal Proceedings                                                    |  14  |   |
|   |                                                                          |      |   |
|   | Item 2 - Sales of Unregistered Equity Securities and Use of Proceeds          |   14 |   |
|   |                                                                          |      |   |
|   | Item 3 - Defaults upon Senior Securities                                      |   14 |   |
|   |                                                                          |      |   |
|   | Item 4 - Submission of Matters to a Vote of Security Holders                  |   14 |   |
|   |                                                                          |      |   |
|   | Item 5 - Other Information                                                    |   15 |   |
|   |                                                                          |      |   |
|   | Item 6 - Exhibits                                                             |   16 |   |

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|                                                                                      |   | December 31, |        |   | June 30, |   |
|-------------------------------------------------------------------------------------------|--------|--------------|-------------|--------|----------|--------|
| ASSETS                                                                                    |   | 2009         |        |   | 2010     |   |
| Current assets                                                                            |   |         |        |   |     |   |
|     Cash and cash equivalents                                         |   | $            | 16,764      |   |     | $      | 11,477 |   |
|     Prepaid expenses                                                  |   |         | -           |   |     |   | 763,194 |   |
|     Revenue receivable                                                |   |         | 21,693      |   |     |   | 14,514 |   |
| Total current assets                                                                      |   |         | 38,457      |   |     |   | 789,185 |   |
|                                                                                      |   |         |        |   |     |   |   |   |
| Furniture and equipment, at cost net of accumulated                                       |   |         |        |   |     |   |   |   |
|     depreciation of $139,902(2009) and $162,011(2010)                 |   |         | 321,965     |   |     |   | 299,855 |   |
|                                                                                      |   |         |        |   |     |   |   |   |
|                                                                                      |   |         |        |   |     |   |   |   |
|                                                                                      |   |         |        |   |     |   |   |   |
|                                                                                      |   | $            | 360,422     |   |     | $      | 1,089,041 |   |
|                                                                                      |   |         |        |   |     |   |   |   |
| LIABILITIES AND STOCKHOLDERS' DEFICIT                                                     |   |         |        |   |     |   |   |   |
| Current liabilities                                                                       |   |         |        |   |     |   |   |   |
|     Accounts payable                                                  |   | $            | 493,719     |   |     | $      | 616,363 |   |
|     Accrued expenses                                                  |   |         | 145,754     |   |     |   | 231,081 |   |
|     Accrued payroll taxes                                             |   |         | 233,559     |   |     |   | 233,559 |   |
|     Advances and stock loans                                          |   |         | -           |   |     |   | 975,000 |   |
|     Notes payable & advances related parties                      |   |         | 492,125     |   |     |   | 492,125 |   |
|                                                                                      |   |         |        |   |     |   |   |   |
| Total current liabilities                                                                 |   |         | 1,365,157   |   |     |   | 2,548,128 |   |
|                                                                                      |   |         |        |   |     |   |   |   |
| Stockholders' deficit                                                                     |   |         |        |   |     |   |   |   |
|     Convertible Class A preferred stock; $10 face value,              |   |         |        |   |     |   |   |   |
|       1,000,000 shares authorized                           |   |         |        |   |     |   |   |   |
|       Series 1, 30,000 shares authorized, 0 (2009)          |   |         |        |   |     |   |   |   |
|       and 0 (2010) shares issued and outstanding            |   |         | -           |   |     |   | - |   |
|       Series 2, 25,000 shares authorized, 0 (2009)          |   |         |        |   |     |   |   |   |
|       and 0 (2010) shares issued and outstanding            |   |         | -           |   |     |   | - |   |
|     Common stock, no par value; 499,000,000 shares                    |   |         |        |   |     |   |   |   |
|       authorized, 493,155,754 (2009) and 493,155,754 (2010) |   |         | 13,587,403  |   |     |   | 13,587,403 |   |
|       shares issued and outstanding                         |   |         |        |   |     |   |   |   |
|     Accumulated deficit                                               |   |         | (14,592,138 | )      |     |   | (15,046,490 | ) |
|     Notes receivable from sale of stock                               |   |         | -           |   |     |   |   |   |
|                                                                                      |   |         |        |   |     |   |   |   |
| Total stockholders' deficit                                                               |   |         | (1,004,735  | )      |     |   | (1,459,087 | ) |
|                                                                                      |   |         |        |   |     |   |   |   |
|                                                                                      |   |         |        |   |     |   |   |   |
|                                                                                      |   | $            | 360,422     |   |     | $      | 1,089,041 |   |

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|                                               |   | Three Months    |        |   | Three Months    |   |        | Six Months      |   |   | Six Months      |   |
|----------------------------------------------------|--------|-----------------|-------------|--------|-----------------|--------|-------------|-----------------|--------|--------|-----------------|--------|
|                                               |   | Ending June 30, |        |   | Ending June 30, |   |        | Ending June 30, |   |   | Ending June 30, |   |
|                                               |   | 2009            |        |   | 2010            |   |        | 2009            |   |   | 2010            |   |
| Revenues                                           |   |            |        |   |            |   |        |            |   |   |            |   |
|    Oil & gas revenue            |   | $               | 49,060      |   |            | $      | 42,088      |            |   | $      | 83,132          |   |   | $ | 100,481 |   |
|    Other income                     |   |            | -           |   |            |   | -           |            |   |   | -               |   |   |   | - |   |
|                                               |   |            |        |   |            |   |        |            |   |   |            |   |   |   |   |   |
| Total revenues                                     |   |            | 49,060      |   |            |   | 42,088      |            |   |   | 83,132          |   |   |   | 100,481 |   |
|                                               |   |            |        |   |            |   |        |            |   |   |            |   |   |   |   |   |
| Operating expenses                                 |   |            |        |   |            |   |        |            |   |   |            |   |   |   |   |   |
|    Oil & gas operating expenses |   |            | 74,169      |   |            |   | 82,142      |            |   |   | 130,121         |   |   |   | 167,649 |   |
|    Depreciation                     |   |            | 11,055      |   |            |   | 11,055      |            |   |   | 22,110          |   |   |   | 22,110 |   |
|    Rent                             |   |            | 750         |   |            |   | 863         |            |   |   | 2,081           |   |   |   | 1,670 |   |
|    Other operating expenses         |   |            | 9,714       |   |            |   | 176,614     |            |   |   | 30,208          |   |   |   | 339,810 |   |
|                                               |   |            |        |   |            |   |        |            |   |   |            |   |   |   |   |   |
| Total operating expenses                           |   |            | 95,688      |   |            |   | 270,674     |            |   |   | 184,520         |   |   |   | 531,239 |   |
|                                               |   |            |        |   |            |   |        |            |   |   |            |   |   |   |   |   |
| Net loss from operations                           |   |            | (46,628     | )      |            |   | (228,586    | )               |   |   | (101,388        | )      |   |   | (430,758 | ) |
|                                               |   |            |        |   |            |   |        |            |   |   |            |   |   |   |   |   |
| Other income (expense):                            |   |            |        |   |            |   |        |            |   |   |            |   |   |   |   |   |
|     Interest income            |   |            | -           |   |            |   | -           |            |   |   | -               |   |   |   | 1 |   |
|     Interest expense           |   |            | (11,798     | )      |            |   | (11,798     | )               |   |   | (23,595         | )      |   |   | (23,595 | ) |
|                                               |   |            |        |   |            |   |        |            |   |   |            |   |   |   |   |   |
| Total other income (expense)                       |   |            | (11,798     | )      |            |   | (11,798     | )               |   |   | (23,595         | )      |   |   | (23,594 | ) |
|                                               |   |            |        |   |            |   |        |            |   |   |            |   |   |   |   |   |
|                                               |   |            |        |   |            |   |        |            |   |   |            |   |   |   |   |   |
| Net income (loss)                                  |   | $               | (58,426     | )      |            | $      | (240,384    | )               |   | $      | (124,983        | )      |   | $ | (454,352 | ) |
|                                               |   |            |        |   |            |   |        |            |   |   |            |   |   |   |   |   |
| Basic and diluted loss per share                   |   |            | *           |   |            |   | *           |            |   |   | *               |   |   |   | * |   |
|                                               |   |            |        |   |            |   |        |            |   |   |            |   |   |   |   |   |
|                                               |   |            |        |   |            |   |        |            |   |   |            |   |   |   |   |   |
| Weighted average common shares outstanding         |   |            | 493,000,000 |   |            |   | 493,000,000 |            |   |   | 493,000,000     |   |   |   | 493,000,000 |   |

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|                                                                         |   | Common Stock Shares |        |   | Amount |   |       | Accumulated Deficit |   |   | Total       |   |
|------------------------------------------------------------------------------|--------|---------------------|-------------|--------|--------|--------|------------|---------------------|--------|--------|-------------|--------|
|                                                                         |   |                |        |   |   |   |       |                |   |   |        |   |
| Balance at December 31, 2009                                                 |   |                | 493,155,754 |   |   | $      | 13,587,403 |                |   | $      | (14,592,138 | )      |   | $ | (1,004,735 | ) |
|     Issuance of common stock to directors                |   |                |        |   |   |   |       |                |   |   |        |   |   |   |   |   |
|         and consultants for services |   |                | -           |   |   |   | -          |                |   |   |        |   |   |   | - |   |
|      Net loss                                       |   |                |        |   |   |   |       |                |   |   | (454,352    | )      |   |   | (454,352 | ) |
| Balance at June 30, 2010                                                     |   |                | 493,155,754 |   |   | $      | 13,587,403 |                |   | $      | (15,046,490 | )      |   | $ | (1,459,087 | ) |

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|                                                                                                                |   | 2009   |     |   | 2010   |   |
|---------------------------------------------------------------------------------------------------------------------|--------|--------|----------|--------|--------|--------|
|                                                                                                                |   |   |     |   |   |   |
| Cash flows from operating activities:                                                                               |   |   |     |   |   |   |
|     Net (loss) income                                                                           |   | $      | (124,983 | )      |   | $      | (454,352 | ) |
|     Adjustments to reconcile net loss to net                                                    |   |   |     |   |   |   |   |   |
|       cash used in operating activities:                                              |   |   |     |   |   |   |   |   |
|           Depreciation and amortization                           |   |   | 22,110   |   |   |   | 22,110 |   |
| Stock and options issued for services and                                                                      |   |   |     |   |   |   |   |   |
|             interest on notes                           |   |   | 10,000   |   |   |   | - |   |
|          Changes in assets and liabilities:                            |   |   |     |   |   |   |   |   |
|             Accounts receivable                         |   |   | (10,325  | )      |   |   | 7,179 |   |
|             Advances                                    |   |   | 30,000   |   |   |   | - |   |
|             Prepaid expenses                            |   |   | -        |   |   |   | (763,195 | ) |
|             Accounts payable                            |   |   | 40,084   |   |   |   | 122,644 |   |
|             Advances and stock loans                    |   |   | -        |   |   |   | 975,000 |   |
|             Accrued expenses                            |   |   | 31,763   |   |   |   | 85,327 |   |
| Total adjustments                                                                                                   |   |   | 123,632  |   |   |   | 449,065 |   |
|                                                                                                                |   |   |     |   |   |   |   |   |
|                                                                                                                |   |   |     |   |   |   |   |   |
| Net cash provided (used) in operating activities                                                                    |   |   | (1,351   | )      |   |   | (5,287 | ) |
|                                                                                                                |   |   |     |   |   |   |   |   |
| Cash flows from investing activities:                                                                               |   |   |     |   |   |   |   |   |
|      Purchase of property and equipment                                                    |   |   | -        |   |   |   | - |   |
|                                                                                                                |   |   |     |   |   |   |   |   |
| Net cash used in investing activities                                                                               |   |   | -        |   |   |   | - |   |
|                                                                                                                |   |   |     |   |   |   |   |   |
| Cash flows from financing activities:                                                                               |   |   |     |   |   |   |   |   |
|      Reciept of advances - related parties                                                 |   |   | -        |   |   |   | - |   |
|      Payment of advances - related parties                                                 |   |   | -        |   |   |   | - |   |
|                                                                                                                |   |   |     |   |   |   |   |   |
| Net cash provided by financing activities                                                                           |   |   | -        |   |   |   | - |   |
|                                                                                                                |   |   |     |   |   |   |   |   |
| Net increase (decrease) in cash and cash equivalents                                                                |   |   | (1,351   | )      |   |   | (5,287 | ) |
| Cash and cash equivalents at beginning of period                                                                    |   |   | 23,904   |   |   |   | 16,764 |   |
|                                                                                                                |   |   |     |   |   |   |   |   |
| Cash and cash equivalents at end of period                                                                          |   | $      | 22,553   |   |   | $      | 11,477 |   |
|                                                                                                                |   |   |     |   |   |   |   |   |
| Supplemental disclosure of cash flow information:                                                                   |   |   |     |   |   |   |   |   |
|                                                                                                                |   |   | 2009     |   |   |   | 2010 |   |
|     Interest paid during the period                                                             |   | $      | -        |   |   | $      | - |   |
|     Income taxes paid during the period                                                         |   | $      | -        |   |   | $      | - |   |
|                                                                                                                |   |   |     |   |   |   |   |   |
| Supplemental disclosure of non-cash investing and financing activities:                                             |   |   |     |   |   |   |   |   |
|      During the six months ended June 30, 2010 wages to officers and directors and fees to |   |   |     |   |   |   |   |   |
|         consultants of $0 were paid by the issuance of common stock         |   |   |     |   |   |   |   |   |
|      During the six months ended June 30, 2009 wages to officers and directors and fees to |   |   |     |   |   |   |   |   |
|         consultants of $10,000 were paid by the issuance of common stock    |   |   |     |   |   |   |   |   |

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|                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   |   | 2009    |   |   |    | 2010    |   |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|---------|--------|--------|---------|---------|--------|
|                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   |   |    |   |   |    |    |   |
|           Advances – Donald Prosser                                                                                                                                                                                                                                                                                                                                                                |   | $      | 200,000 |   |   | $  | 200,000 |   |
|           Advances – Donald Prosser                                                                                                                                                                                                                                                                                                                                                                |   |   | 24,290  |   |   |    | 24,290  |   |
|           Advances – Charles Gamber                                                                                                                                                                                                                                                                                                                                                                |   |   | 4,966   |   |   |    | 4,966   |   |
|           Advances – William Stewart                                                                                                                                                                                                                                                                                                                                                               |   |   | 20,219  |   |   |    | 20,219  |   |
|           Advances – William Stewart                                                                                                                                                                                                                                                                                                                                                               |   |   | 75,000  |   |   |    | 75,000  |   |
|           Advances – Charles Davis                                                                                                                                                                                                                                                                                                                                                                 |   |   | 125,000 |   |   |    | 125,000 |   |
|           Advances – Charles Davis                                                                                                                                                                                                                                                                                                                                                                 |   |   | 40,000  |   |   |    | 40,000  |   |
|           Advances – John Herzog                                                            |   |   | 2,650   |   |   |    | 2,650   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   |   |    |   |   |    |    |   |
| Balances                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   | $      | 492,125 |   |   | $       | 492,125 |   |

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|  Exhibit Number | Description                                                                                                                                            |
|----------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------|
|                 |                                                                                                                                                   |
| 31.1                 | Certification of CEO pursuant to Rule 13a-14(a)  or 15d-14(a) of the Exchange Act pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. |
| 31.2                 | Certification of CFO pursuant to Rule 13a-14(a)  or 15d-14(a) of the Exchange Act pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. |
| 32.1                 | Certification of CEO pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.                          |
| 32.2                 | Certification of CFRO pursuant to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.                         |

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| By:    | /s/ Charles L. Gamber, CEO                         |
|-----------------------|----------------------------------------------------|
|                  | Charles L. Gamber, Principal Executive Officer     |
|                  | Dated: March 4, 2011                               |
|                  |                                               |
|                  |                                               |
| By:    | /s/ John Herzog, Interim CFO                       |
|                  | John Herzog,                                       |
|                  | Interim Principal Financial and Accounting Officer |
|                  | Dated: March 4, 2011                               |

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