================================================================================

                     U.S. SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                   FORM 10-QSB


                Quarterly Report under Section 12(b) or 12(g) of
                           The Securities Act of 1934

                       For the Period ended April 30, 2006
                        Commission File Number 333-134549



                             ARBUTUS RESOURCES, INC.
                             -----------------------
                 (Name of small business issuer in its charter)

                                   Nevada N/A
                                   ------ ---
                  (State of incorporation) (Employer ID Number)


                              #4 3798 Laurel Street
                    Burnaby, British Columbia, Canada V5G 1M7
                                 (250) 729-6731
          (Address and telephone number of principal executive offices)


Check 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
                       -------                                   --------

Check whether the registrant is an  accelerated  filer (as defined in Rule 12b-2
of the Exchange Act).

                  Yes     X                                   No
                       -------                                   --------

Check whether the registrant is a shell company (as defined in Rule 12b-2 of the
Exchange Act).

                  Yes     X                                   No
                       -------                                   --------

There were 8,780,000 shares of Common Stock outstanding as of April 30, 2006.

<page>








                             ARBUTUS RESOURCES INC.
                         (An Exploration Stage Company)
                              FINANCIAL STATEMENTS
                                 APRIL 30, 2006










BALANCE SHEETS

INTERIM STATEMENTS OF OPERATIONS

STATEMENT OF STOCKHOLDERS' EQUITY

INTERIM STATEMENTS OF CASH FLOWS
NOTES TO THE INTERIM FINANCIAL STATEMENTS




<page>


ARBUTUS RESOURCES INC.
(An Exploration Stage Company)
BALANCE SHEETS
<table>
<caption>
-------------------------------------------------------------------------------------------------------------

                                                                              April 30, 2006   January 31,
                                                                                  - $ -            2006
                                                                                                  - $ -
                                                                              --------------- ---------------
                                                                                (Unaudited)      (Audited)
                                                                              --------------- ---------------

                                                                             <c>            <c>
ASSETS

Current assets
         Cash                                                                         30,452          50,125
         Prepaid expense                                                              15,000               -
------------------------------------------------------------------------------------------------------------

                                                                                      45,452          50,125
============================================================================================================


LIABILITIES

Current liabilities
         Accounts payable and accrued liabilities                                      2,000           5,000
                                                                              --------------- ---------------

STOCKHOLDERS' EQUITY

Common stock (Note 4)
   Authorized:
   75,000,000 common shares with a par value of $0.001
   Issued and outstanding:
   8,780,000 common shares (January 31, 2006: 8,780,000)                               8,780           8,780
Additional paid-in capital                                                            65,620          65,620
Deficit accumulated during the exploration stage                                     (30,948)        (29,275)
                                                                              --------------- ---------------
                                                                                      43,452          45,125
                                                                              --------------- ---------------

-------------------------------------------------------------------------------------------------------------

                                                                                      45,452          50,125
=============================================================================================================
</table>
Nature and continuance of operations (Note 1)


<page>


ARBUTUS RESOURCES INC.
(An Exploration Stage Company)
STATEMENTS OF OPERATIONS
(Unaudited)
<table>
<caption>
---------------------------------------------------------------------------------------------------------
                                                                                        Cumulative from
                                                                                         April 19, 2004
                                            Three months ended     Three months ended    (Inception) to
                                              April 30, 2006         April 30, 2005      April 30, 2006
                                                   - $ -                  - $ -              - $ -
                                            -------------------------------------------------------------

                                           <c>                  <c>                  <c>
Expenses

General and administrative                                1,673                      -             6,748
Mineral property costs (Note 3)                               -                      -            24,200
                                                              -
                                            -------------------------------------------------------------

Net loss                                                 (1,673)                      -          (30,948)
                                            =============================================================

Basic and diluted net loss per share                     (0.00)                      -
                                            -------------------------------------------

Weighted average number of shares
outstanding                                           8,780,000
                                            ===========================================
</table>









                                       - See Accompanying Notes -

<page>

ARBUTUS RESOURCES INC.
(An Exploration Stage Company)
STATEMENT OF STOCKHOLDERS' EQUITY
For the period April 19, 2004 (Inception) to April 30, 2006
<table>
<caption>
----------------------------------------------------------------------------------------------------------------------------
                                                                                               Deficit
                                                                                             Accumulated
                                                                          Additional         During the
                                                Common Shares               Paid-in          Exploration
                                         -----------------------------
                                            Number        Par Value         Capital             Stage             Total
                                         -------------   -------------   --------------    ----------------    -------------

                                       <c>            <c>              <c>              <c>                 <c>
Balance April 19, 2004                              -  $            -  $             -   $               -   $            -

Net loss                                            -               -                -                   -                -
----------------------------------------------------------------------------------------------------------------------------

Balance, January 31, 2005                           -               -                -                   -                -

Capital stock issued for cash:
- July 2005 at $0.001 per share             7,400,000           7,400                -                   -            7,400
-July 2005 at $0.05 per share               1,100,000           1,100            9,900                   -           11,000
- August 2005 at $0.20 per share               30,000              30            5,970                                6,000
                                                                                                         -
- December 2005 at $0.20 per share            250,000             250           49,750                   -           50,000
Net loss                                            -               -                -            (29,275)         (29,275)
----------------------------------------------------------------------------------------------------------------------------

Balance, January 31, 2006 (Audited)         8,780,000           8,780           65,620            (29,275)           45,125

Net loss for period                                 -               -                -             (1,673)          (1,673)
----------------------------------------------------------------------------------------------------------------------------

Balance, April 30, 2006 (Unaudited)         8,780,000  $        8,780  $        65,620   $        (30,948)   $       43,452
============================================================================================================================
</table>













                                                - See Accompanying Notes -

<page>

ARBUTUS RESOURCES INC.
(An Exploration Stage Company)
STATEMENTS OF CASH FLOWS
(Unaudited)
<table>
<caption>
---------------------------------------------------------------------------------------------------------------
                                                                                               Cumulative from
                                                                                                April 19, 2004
                                                           Three months        Three months     (Inception) to
                                                            ended April         ended April       April 30,
                                                             30, 2006              2005              2006
                                                               - $ -               - $ -            - $ -
                                                          ------------------------------------------------------

                                                        <c>                 <c>              <c>
CASH FLOWS FROM OPERATING ACTIVITIES
Net loss                                                          (1,673)                   -          (30,948)
Changes in non-cash working capital accounts                     (18,000)                   -          (13,000)
                                                          ------------------------------------------------------
Net cash used in operations                                      (19,673)                   -          (43,948)
                                                          ------------------------------------------------------

CASH FLOWS FROM FINANCING ACTIVITIES
Shares issued for cash                                                  -                   -            74,400
                                                          -----------------------------------------------------
Net cash provided by financing activities                               -                   -            74,400
                                                          -----------------------------------------------------

NET INCREASE (DECREASE) IN CASH                                  (19,673)                   -            30,452

CASH, BEGINNING                                                    50,125                   -                 -
                                                          -----------------------------------------------------=

CASH, ENDING                                                       30,452                   -            30,452
                                                          ======================================================

Supplemental cash flow information:

         Cash paid for:

            -Interest                                                   -                   -                -

            -Income taxes                                               -                   -                -
                                                          ======================================================
</table>








                           - See Accompanying Notes -

<page>

ARBUTUS RESOURCES INC.
(An Exploration Stage Company)
Notes To The Financial Statements
April 30, 2006
(Unaudited)
--------------------------------------------------------------------------------

1.      NATURE AND CONTINUANCE OF OPERATIONS

        The  Company was  incorporated  in the State of Nevada on April 19, 2004
        and is in the exploration stage of its resource business.  Prior to July
        2005 the  Company  was  dormant,  had not  issued any shares and had not
        entered into any  transactions.  During the year ended  January 31, 2006
        the  Company  commenced  operations  by issuing  shares and  acquiring a
        mineral  property located in the Province of British  Columbia,  Canada.
        The  Company  has not yet  determined  whether  this  property  contains
        reserves that are economically recoverable.  The recoverability of costs
        incurred  for  acquisition  and  exploration  of the  property  will  be
        dependent  upon the  discovery  of  economically  recoverable  reserves,
        confirmation of the Company's interest in the underlying  property,  the
        ability of the  Company to obtain  necessary  financing  to satisfy  the
        expenditure  requirements  under the property  agreement and to complete
        the development of the property and upon future profitable production or
        proceeds for the sale thereof.

        These  financial  statements have been prepared on a going concern basis
        which  assumes  the  Company  will be able to  realize  its  assets  and
        discharge  its  liabilities  in the normal  course of  business  for the
        foreseeable  future.  The Company has incurred  losses  since  inception
        resulting in an accumulated  deficit of $30,948 as at April 30, 2006 and
        further  losses  are  anticipated  in the  development  of its  business
        raising  substantial  doubt about the Company's ability to continue as a
        going  concern.  The ability to continue as a going concern is dependent
        upon the Company generating  profitable  operations in the future and/or
        to obtain the necessary  financing to meet its obligations and repay its
        liabilities  arising from normal business operations when they come due.
        Management  intends to  finance  operating  costs  over the next  twelve
        months  with  existing  cash on hand and  loans  from  directors  and or
        private placement of common stock.

2.      SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

        Basis of Presentation
        ---------------------

        The financial statements of the Company have been prepared in accordance
        with generally  accepted  accounting  principles in the United States of
        America and are presented in US dollars.

        Exploration Stage Company
        -------------------------

        The  Company complies  with  the  Financial Accounting  Standards  Board
        Statement No. 7, its characterization of the Company as an exploration
        stage enterprise.

        Mineral Interests
        -----------------

        Mineral  property  acquisition,  exploration and  development  costs are
        expensed  as  incurred   until  such  time  as  economic   reserves  are
        quantified.  To date the  Company  has not  established  any  proven  or
        probable reserves on its mineral properties. The Company has adopted the
        provisions of SFAS No. 143 "Accounting for Asset Retirement Obligations"
        which establishes  standards for the initial  measurement and subsequent
        accounting for  obligations  associated with the sale,  abandonment,  or
        other   disposal  of  long-lived   tangible   assets  arising  from  the
        acquisition,  construction or development  and for normal  operations of
        such assets.  As at April 30, 2006, any potential  costs relating to the
        retirement of the Company's  mineral property  interest has not yet been
        determined.

        Use of Estimates and Assumptions
        --------------------------------

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

<page>

ARBUTUS RESOURCES INC.
(An Exploration Stage Company)
Notes To The Financial Statements
April 30, 2006
(Unaudited)
--------------------------------------------------------------------------------

2.      SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)


        Foreign Currency Translation
        ----------------------------

        The financial  statements  are presented in United  States  dollars.  In
        accordance  with  Statement of Financial  Accounting  Standards  No. 52,
        "Foreign Currency Translation",  foreign denominated monetary assets and
        liabilities are translated  into their United States dollar  equivalents
        using foreign  exchange rates which prevailed at the balance sheet date.
        Non monetary assets and liabilities are translated at the exchange rates
        prevailing on the transaction date.  Revenue and expenses are translated
        at average rates of exchange during the year.  Gains or losses resulting
        from  foreign   currency   transactions   are  included  in  results  of
        operations.

        Fair Value of Financial Instruments
        -----------------------------------

        The carrying value of cash and accounts payable and accrued  liabilities
        approximates  their fair value  because of the short  maturity  of these
        instruments.  Unless  otherwise  noted, it is  management's  opinion the
        Company is not exposed to significant interest, currency or credit risks
        arising from these financial instruments.

        Environmental Costs
        -------------------

        Environmental   expenditures  that  relate  to  current  operations  are
        expensed or capitalized as appropriate.  Expenditures  that relate to an
        existing  condition  caused  by  past  operations,   and  which  do  not
        contribute  to  current  or future  revenue  generation,  are  expensed.
        Liabilities are recorded when environmental  assessments and/or remedial
        efforts  are  probable,  and  the  cost  can  be  reasonably  estimated.
        Generally,  the timing of these  accruals  coincides with the earlier of
        completion of a feasibility  study or the Company's  commitments to plan
        of action based on the then known facts.

        Income Taxes
        ------------

        The Company follows the liability method of accounting for income taxes.
        Under this  method,  deferred  income tax  assets  and  liabilities  are
        recognized   for  the  estimated  tax   consequences   attributable   to
        differences  between the financial  statement  carrying values and their
        respective  income  tax basis  (temporary  differences).  The  effect on
        deferred  income tax assets and  liabilities of a change in tax rates is
        recognized in income in the period that includes the enactment date.

        At April 30, 2006 a full deferred tax asset valuation allowance has been
        provided and no deferred tax asset has been recorded.

        Basic and Diluted Loss Per Share
        --------------------------------

        The Company  computes  loss per share in  accordance  with SFAS No. 128,
        "Earnings  per  Share"  which  requires  presentation  of both basic and
        diluted  earnings per share on the face of the statement of  operations.
        Basic loss per share is  computed  by  dividing  net loss  available  to
        common shareholders by the weighted average number of outstanding common
        shares  during the period.  Diluted  loss per share gives  effect to all
        dilutive potential common shares outstanding during the period. Dilutive
        loss per share  excludes all potential  common shares if their effect is
        anti-dilutive.

        The Company has no potential dilutive  instruments and accordingly basic
        loss and diluted loss per share are equal.

<page>

ARBUTUS RESOURCES INC.
(An Exploration Stage Company)
Notes To The Financial Statements
April 30, 2006
(Unaudited)
--------------------------------------------------------------------------------

2.       SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

         Stock-based Compensation
         ------------------------

         In December 2004, the FASB issued SFAS No. 123R, "Share-Based Payment",
         which replaced SFAS No. 123, "Accounting for Stock-Based  Compensation"
         and  superseded  APB Opinion No. 25,  "Accounting  for Stock  Issued to
         Employees".  In January 2005, the  Securities  and Exchange  Commission
         ("SEC") issued Staff Accounting Bulletin ("SAB") No. 107,  "Share-Based
         Payment", which provides supplemental  implementation guidance for SFAS
         No. 123R. SFAS No. 123R requires all share-based payments to employees,
         including  grants of employee  stock  options,  to be recognized in the
         financial  statements  based on the grant date fair value of the award.
         SFAS No.  123R was to be  effective  for  interim  or annual  reporting
         periods  beginning on or after June 15, 2005, but in April 2005 the SEC
         issued a rule that will permit most  registrants  to implement SFAS No.
         123R at the  beginning of their next fiscal  year,  instead of the next
         reporting   period  as  required  by  SFAS  No.  123R.   The  pro-forma
         disclosures  previously  permitted under SFAS No. 123 no longer will be
         an alternative to financial statement recognition. Under SFAS No. 123R,
         the Company must determine the appropriate  fair value model to be used
         for  valuing   share-based   payments,   the  amortization  method  for
         compensation  cost  and  the  transition  method  to be used at date of
         adoption.

         The transition  methods include  prospective  and retroactive  adoption
         options.  Under the retroactive options,  prior periods may be restated
         either as of the  beginning  of the year of adoption or for all periods
         presented. The prospective method requires that compensation expense be
         recorded for all unvested  stock  options and  restricted  stock at the
         beginning of the first quarter of adoption of SFAS No. 123R,  while the
         retroactive methods would record compensation  expense for all unvested
         stock  options and  restricted  stock  beginning  with the first period
         restated. The Company adopted the modified prospective approach of SFAS
         No. 123R for the fiscal year beginning on February 1, 2006. The Company
         did not record any  compensation  expense in the first  quarter of 2006
         because there were no stock options  outstanding  prior to the adoption
         or at April 30, 2006.

         Recent Accounting Pronouncements
         --------------------------------

         In March  2005,  the FASB issued  FASB  Interpretation  ("FIN") No. 47,
         Accounting for  Conditional  Asset  Retirement  Obligations.  Under the
         provisions  of FIN  No.  47,  the  term  conditional  asset  retirement
         obligation  as used in SFAS No. 143,  Accounting  for Asset  Retirement
         Obligations,   refers  to  a  legal  obligation  to  perform  an  asset
         retirement activity in which the timing and/or method of settlement are
         conditional on a future event that may or may not be within the control
         of the entity  while the  obligation  to perform  the asset  retirement
         activity  is  unconditional.  Accordingly,  an  entity is  required  to
         recognize  a  liability  for the  fair  value  of a  conditional  asset
         retirement  obligation  if  the  fair  value  of the  liability  can be
         reasonably estimated. The fair value of a liability for the conditional
         asset   retirement   obligation  is  required  to  be  recognized  when
         incurred--generally  upon  acquisition,  construction,  or  development
         and/or  through  the normal  operation  of the asset.  The  Company has
         adopted  FIN  No.  47  as  of  November  1,  2005.   Adoption  of  this
         pronouncement  had no  effect  on the 2006  financial  statements,  and
         management  does not expect this  pronouncement  to have a  significant
         effect on the Company's future reported financial position or earnings.

<page>

ARBUTUS RESOURCES INC.
(An Exploration Stage Company)
Notes To The Financial Statements
April 30, 2006
(Unaudited)
--------------------------------------------------------------------------------

2.       SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

         Recent Accounting Pronouncements (Continued)
         --------------------------------------------

         In July 2005, the FASB issued SFAS No. 154, "Accounting for Changes and
         Error  Corrections  - A  Replacement  of APB  Opinion  No.  20 and FASB
         Statement  No. 3".  Under the  provisions  of SFAS No. 154, a voluntary
         change in accounting  principle requires  retrospective  application to
         prior  period  financial  statements,  unless  it is  impracticable  to
         determine either the  period-specific  effects or the cumulative effect
         of the change.  A change in  depreciation,  amortization,  or depletion
         method for long-lived,  non-financial assets must be accounted for as a
         change  in  accounting  estimate  affected  by a change  in  accounting
         principle.  The  guidance  contained  in Opinion 20 for  reporting  the
         correction of an error in previously issued financial  statements and a
         change in  accounting  estimate  was not changed.  Management  does not
         expect  that  this  standard  will  have a  significant  effect  on the
         Company's financial position or results of operations.

         In November  2005,  the FASB  issued FSP FAS 115-1 and FAS 124-1,  "The
         Meaning  of  Other-Than-Temporary  Impairment  and Its  Application  to
         Certain  Investments"  ("FSP FAS 115-1"),  which  provides  guidance on
         determining when investments in certain debt and equity  securities are
         considered impaired,  whether that impairment is  other-than-temporary,
         and on measuring  such  impairment  loss.  FSP FAS 115-1 also  includes
         accounting   considerations   subsequent  to  the   recognition  of  an
         other-than  temporary impairment and requires certain disclosures about
         unrealized losses that have not been recognized as other-than-temporary
         impairments.  FSP FAS 115-1 is  required  to be  applied  to  reporting
         periods  beginning  after December 15, 2005. The Company is required to
         adopt FSP FAS 115-1 in the first  quarter  of fiscal  2007.  Management
         does not expect the  adoption  of this  statement  will have a material
         impact on the Company's results of operations or financial condition.

         In February 2006, the FASB issued SFAS No. 155, "Accounting for Certain
         Hybrid  Financial  Instruments-an  amendment of FASB Statements No. 133
         and 140",  to simplify  and make more  consistent  the  accounting  for
         certain  financial  instruments.  SFAS No.  155  amends  SFAS No.  133,
         "Accounting  for Derivative  Instruments  and Hedging  Activities",  to
         permit fair value  re-measurement  for any hybrid financial  instrument
         with an embedded  derivative that otherwise would require  bifurcation,
         provided  that the whole  instrument  is accounted  for on a fair value
         basis. SFAS No. 155 amends SFAS No. 140, "Accounting for the Impairment
         or   Disposal   of   Long-Lived   Assets",   to   allow  a   qualifying
         special-purpose  entity to hold a derivative  financial instrument that
         pertains  to  a  beneficial  interest  other  than  another  derivative
         financial instrument. SFAS No. 155 applies to all financial instruments
         acquired or issued after the beginning of an entity's first fiscal year
         that begins after September 15, 2006, with earlier application allowed.
         This  standard  is not  expected  to have a  significant  effect on the
         Company's future reported financial position or results of operations.

         In March 2006, the FASB issued SFAS No. 156,  "Accounting for Servicing
         of Financial Assets, an amendment of FASB Statement No. 140, Accounting
         for Transfers and Servicing of Financial Assets and  Extinguishments of
         Liabilities".   This  statement  requires  all  separately   recognized
         servicing  assets and servicing  liabilities  be initially  measured at
         fair value,  if  practicable,  and permits for  subsequent  measurement
         using  either  fair  value  measurement  with  changes  in  fair  value
         reflected in earnings or the amortization  and impairment  requirements
         of  Statement  No.  140.  The  subsequent   measurement  of  separately
         recognized  servicing  assets and servicing  liabilities  at fair value
         eliminates the necessity for entities that manage the risks inherent in
         servicing assets and servicing  liabilities with derivatives to qualify
         for hedge accounting  treatment and eliminates the  characterization of
         declines in fair value as impairments or direct  write-downs.  SFAS No.
         156 is  effective  for an entity's  first fiscal year  beginning  after
         September 15, 2006.  This adoption of this statement is not expected to
         have a significant  effect on the Company's  future reported  financial
         position or results of operations.

<page>

ARBUTUS RESOURCES INC.
(An Exploration Stage Company)
Notes To The Financial Statements
April 30, 2006
(Unaudited)
--------------------------------------------------------------------------------

3.       MINERAL INTERESTS

         Green Energy Claim, British Columbia, Canada

         On October 1, 2005 the  Company  acquired a 100%  interest in the Green
         Energy  Claim  located in the  Province  of British  Columbia,  Canada.
         Consideration  for the  acquisition  was $20,000  paid to an  unrelated
         party.  During the year ended  January 31, 2006 the Company  incurred a
         total of $24,200  (2005-Nil)  of property  costs which were expensed in
         the year.

         The mineral  interest is held in trust for the Company by the vendor of
         the property.  Upon request from the Company the title will be recorded
         in the name of the Company with the appropriate mining recorder.

4.      COMMON STOCK

        The total number of common shares  authorized  that may be issued by the
        Company is  75,000,000  shares with a par value of one tenth of one cent
        ($0.001) per share and no other class of shares is authorized.

        During the year ended  January 31, 2006,  the Company  issued  8,780,000
        (2005-Nil)  shares of common  stock for total cash  proceeds  of $74,400
        (2005-Nil).  At April 30, 2006, there were no outstanding  stock options
        or warrants.

5.      INCOME TAXES

        As of April 30, 2006,  the Company had net operating loss carry forwards
        of  approximately  $31,000 that may be available to reduce future years'
        taxable  income  through 2026.  Future tax benefits which may arise as a
        result  of these  losses  have not been  recognized  in these  financial
        statements,  as their  realization is determined not likely to occur and
        accordingly,  the Company has  recorded a  valuation  allowance  for the
        deferred tax asset relating to these tax loss carry-forwards.

<page>

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

Results of Operations
---------------------

Our  cash in the bank at  April  30,  2006 was  $30,452.  We have  generated  no
revenues  and have  incurred  $30,948 in  expenses,  consisting  of general  and
administrative  expenses  primarily  incurred in connection with the preparation
and filing of our SB-2  Registration  Statement.  Our plan of operation  for the
next  twelve  months  is to  complete  the  recommended  phase one and phase two
exploration programs on the Green Energy Claims property at an estimated cost of
$10,520.

The Phase I exploration program will consist of mapping and sampling.  We intend
to commence  this phase in the fall of 2006.  The phase will take  approximately
one month to complete.

Phase II will consist of detailed sampling and radiometric surveys. We intend to
commence this phase in the spring of 2007. The phase will take approximately one
month to complete.

We  also   anticipate   spending   approximately   $19,873  in  connection  with
administrative expenses relating to our affairs, including all costs relating to
our reporting obligations.  Accordingly, we anticipate spending $30,393 in order
to accomplish our business objectives over the next 12 months.

Net cash provided by financing activities since inception through April 30, 2006
was $74,400, which consisted of:

In July  2005,  a total of  5,000,000  shares of  Common  Stock  were  issued in
exchange for $5,000 US, or $.001 per share.  These securities were issued to the
officers and directors of the company.

In July  2005,  a total of  2,400,000  shares of  Common  Stock  were  issued in
exchange for $2,400 US, or $.001 per share to 6 unaffiliated shareholders.

In August  2005,  a total of  1,100,000  shares of Common  Stock were  issued in
exchange for $11,000 US, or $.01 per share to 11 unaffiliated shareholders.

In  September  2005,  a total of 30,000  shares of Common  Stock were  issued in
exchange for $6,000 US, or $.20 per share to 12 unaffiliated shareholders.

In  November  2005,  a total of 125,000  shares of Common  Stock were  issued in
exchange for $25,000 US, or $.20 per share to 2 unaffiliated shareholders.

In  December  2005,  a total of 125,000  shares of Common  Stock were  issued in
exchange for $25,000 US, or $.20 per share to 2 unaffiliated shareholders.

Our auditors  have  expressed  the opinion that in our current  state,  there is
substantial doubt about our ability to continue as a going concern.

<page>

Plan of Operation
-----------------

The Phase I exploration program will consist of mapping and sampling.  We intend
to commence  this phase in the fall of 2006.  The phase will take  approximately
one month to complete.

Phase II will consist of detailed sampling and radiometric surveys. We intend to
commence this phase in the spring of 2007. The phase will take approximately one
month to complete.

1.                Phase  1:   Mapping   the   extent  of  the   basalt  cap  and
                  reconnaissance  soil sampling.  Available maps of the area are
                  regional  and  insufficiently  detailed.  In  practice  it  is
                  recommended to do traverses  spaced 250 meter apart across the
                  topographic  ridge and map all  outcrops.  The contact zone of
                  the  basalt  cap,  once  mapped,  needs  to be  systematically
                  sampled  at 200 meter  intervals.  This would  detect  uranium
                  leaching   from   a   paleochannels    or   from   mineralized
                  paleochannels uncovered by erosion of the basalt cap.

2.                A second phase of  exploration  is to consist of detailed soil
                  sampling (50 meter  intervals along 50 meter spaced lines) and
                  radiometric  surveys  over all  areas  with  elevated  uranium
                  defined under 1. above.

3.                Phase 3, Drilling;  If anomalous concentrations of uranium are
                  detected  drilling through the basalt, up slope from the high
                  uranium in soils, is recommended

-------------------------------------------------------------------------------
                                                         BUDGET
-------------------------------------------------------------------------------
Phase 1                                                       C$       US $
-------------------------------------------------------------------------------
Mapping             Geologist 3 days @  $500/day                1500
-------------------------------------------------------------------------------
Soil sampling       Technician  3 days @ $250/day                750
-------------------------------------------------------------------------------
Food/lodging        at $ 125/day/person                          750
-------------------------------------------------------------------------------
Analysis            60 samples at $15                            900
-------------------------------------------------------------------------------
Travel  2 person-days                                            750
-------------------------------------------------------------------------------
Transportation                                                   500
-------------------------------------------------------------------------------
Report                                                          1500
-------------------------------------------------------------------------------
                     total                                      6650      5320
-------------------------------------------------------------------------------
Phase 2
-------------------------------------------------------------------------------
Detailed soil sampling   Technician  4 days @ $250/day          1000
-------------------------------------------------------------------------------
Radiometric survey       Technician 4 days @ $250/day           1000
-------------------------------------------------------------------------------
Geologist                1 day @ $500/day                        500
-------------------------------------------------------------------------------
Travel                                                           750
-------------------------------------------------------------------------------
Transportation                                                   750
-------------------------------------------------------------------------------
Maps                                                            1000
-------------------------------------------------------------------------------
Analysis                        100 samples @ $15               1500
-------------------------------------------------------------------------------
                     total                                      6500      5200
-------------------------------------------------------------------------------
<page>

Phase 3
--------------------------------------------------------------------------------
Percussion drilling   6 holes a 100 m each @ $90/m              54000
--------------------------------------------------------------------------------
Permitting                                                       5000
--------------------------------------------------------------------------------
Supervision logging    Geologist 10 days                         5000
--------------------------------------------------------------------------------
Drill paths and access                                          10000
--------------------------------------------------------------------------------
Report and drafting                                              6000
--------------------------------------------------------------------------------
Analysis                                                         4000
--------------------------------------------------------------------------------
Domicile and transport                                           4000
--------------------------------------------------------------------------------
Contingency 5%                                                   4500
--------------------------------------------------------------------------------
                     total                                      92500     74000
                                                               -----------------


We  currently  have  enough  funds on hand to  complete  the first two phases of
exploration  on the Green Energy  Claims.  To complete  phase three will require
additional  funding.  We anticipate that additional  funding will be required in
the form of equity financing from the sale of our common stock.  However, we may
not be able to raise  sufficient  funding  from the sale of our common  stock to
fund the third phase of the exploration program. We do not have any arrangements
in place for any future equity financing.  Our management is prepared to provide
us with short-term loans, although no such arrangement has been made.

If  we  do  not  secure  additional  funding  for  phase  3 of  our  exploration
expenditures,  we may  consider  seeking  an  arrangement  with a joint  venture
partner that would provide the required funding in exchange for receiving a part
interest  in the Green  Energy  Claims.  We have not  undertaken  any efforts to
locate a joint venture  partner.  There is no guarantee  that we will be able to
locate  a joint  venture  partner  who will  assist  us in  funding  exploration
expenditures  upon acceptable  terms. We may also pursue acquiring  interests in
alternate mineral properties in the future.


Off-Balance Sheet Arrangements
------------------------------

We have no off-balance sheet arrangements.


Significant Accounting Policies
-------------------------------

It is suggested that these financial  statements be read in conjunction with our
January 31, 2006 audited  financial  statements and notes thereto,  which can be
found in our Form SB-2 Registration  Statement on the SEC website at www.sec.gov
under our SEC File Number 333-134549.

The financial  statements  of the Company have been prepared in accordance  with
generally accepted accounting principles in the United States. Because a precise
determination  of many assets and  liabilities  is dependent upon future events,
the preparation of financial  statements for a period  necessarily  involves the
use of estimates which have been made using careful judgement.

The financial statements have, in management's  opinion,  been properly prepared
within  reasonable  limits  of  materiality  and  within  the  framework  of the
significant accounting policies summarized below:


Exploration Stage Company
-------------------------
The Company complies with the Financial Accounting Standards Board Statement
No. 7, its characterization of the Company as an exploration stage enterprise.

Mineral Interests
-----------------

Mineral property acquisition,  exploration and development costs are expensed as
incurred  until  such time as  economic  reserves  are  quantified.  To date the
Company  has not  established  any proven or  probable  reserves  on its mineral
properties.  The Company has adopted the provisions of SFAS No. 143  "Accounting
for Asset Retirement  Obligations"  which establishes  standards for the initial
measurement and subsequent accounting for obligations  associated with the sale,
abandonment,  or other disposal of long-lived  tangible  assets arising from the
acquisition,  construction  or  development  and for normal  operations  of such
assets.  As at April 30, 2006, any potential costs relating to the retirement of
the Company's mineral property interest has not yet been determined.

Income Taxes
------------

The Company follows the liability  method of accounting for income taxes.  Under
this method,  deferred  income tax assets and liabilities are recognized for the
estimated tax  consequences  attributable  to differences  between the financial
statement  carrying  values and their  respective  income  tax basis  (temporary
differences).  The effect on  deferred  income tax assets and  liabilities  of a
change in tax rates is  recognized  in income in the period  that  includes  the
enactment date. At April 30, 2006 a full deferred tax asset valuation  allowance
has been provided and no deferred tax asset has been recorded.

<page>

ITEM 3.  CONTROLS AND PROCEDURES
--------------------------------

Evaluation of Disclosure Controls and Procedures
------------------------------------------------

Under the supervision and with the  participation  of our management,  including
our  principal  executive  officer  and  principal  financial  officer,  we have
conducted an evaluation of the  effectiveness of the design and operation of our
disclosure controls and procedures,  as defined in Rules 13a-15(e) and 15d-15(e)
under the  Securities  and  Exchange  Act of 1934,  as of the end of the  period
covered  by this  report.  Based on this  evaluation,  our  principal  executive
officer and principal financial officer concluded as of the evaluation date that
our  disclosure  controls and  procedures  were effective such that the material
information  required to be included in our Securities  and Exchange  Commission
reports is recorded, processed,  summarized and reported within the time periods
specified in SEC rules and forms  relating to our company,  particularly  during
the period when this report was being prepared.

Additionally,  there were no significant  changes in our internal controls or in
other factors that could  significantly  affect these controls subsequent to the
evaluation date. We have not identified any significant deficiencies or material
weaknesses  in our internal  controls,  and  therefore  there were no corrective
actions taken.


PART II - OTHER INFORMATION

ITEM 6.   EXHIBITS AND REPORTS ON FORM 8-K
------------------------------------------

The following exhibits are included with this registration statement filing.

Those  marked  with  an  asterisk  and  required  to  be  filed  hereunder,  are
incorporated  by  reference  and can be found in their  entirety in our original
Form SB-2 Registration Statement, filed under SEC File Number 333-134549, at the
SEC website at www.sec.gov:

Exhibit
Number            Description

3.1                        Articles of Incorporation*
3.2                        Bylaws*
31.1                       Sec. 302 Certification of Principal Executive Officer
31.2                       Sec. 302 Certification of Principal Financial Officer
32.1                       Sec. 906 Certification of Principal Executive Officer
32.2                       Sec. 906 Certification of Principal Financial Officer

There were no reports filed on Form 8-K during the quarter ended April 30, 2006.

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.


August 11, 2006                       Arbutus Resources, Inc., Registrant

                                    By:  /s/ Karen Law
                                        ------------------------------
                                        Karen Law, President, Chief Executive
                                        Officer, Principal Accounting
                                        Officer, and Chief Financial 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.


August 11, 2006              Arbutus Resources, Inc., Registrant

                                By: /s/ Karen Law
                                ------------------------------
                                Karen Law, President, Chief Executive Officer,
                                Principal Accounting Officer and Chief Financial
                                Officer