----

----

| Nevada                                                              |   | 98-0491567                                |
|---------------------------------------------------------------------|--------|-------------------------------------------|
| (State or other jurisdiction of incorporation or organization) |   | (I.R.S. Employer Identification No.) |

|  711 S. Carson Street, Ste 4 Carson City, Nevada 89701 |   | (949) 335-5159                                       |
|------------------------------------------------------------------|--------|------------------------------------------------------|
| (Address of principal executive offices)                         |   | (Registrant's telephone number, including area code) |

----

----

----

|   | DENARII RESOURCES INC.             |   |
|--------|------------------------------------|--------|
|   | (An exploration stage company)     |   |
|   | Condensed Balance Sheets Unaudited |   |

|                                                                                                                                                |   | June 30 |     |   | December 31 |   |
|-----------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------|----------|--------|-------------|--------|
|                                                                                                                                                |   | 2010    |     |   | 2009        |   |
|                                                                                                                                                |   |    |     |   |        |   |
| ASSETS                                                                                                                                              |   |    |     |   |        |   |
|                                                                                                                                                |   |    |     |   |        |   |
| Current Assets                                                                                                                                      |   |    |     |   |        |   |
| Cash                                                                                                                                                |   | $       | -        |   |        | $      | - |   |
| Prepaid Expense (Note 6)                                                                                                                            |   |    | 23,335   |   |        |   |   |   |
| Total Current Assets                                                                                                                                |   |    | 23,335   |   |        |   |   |   |
|                                                                                                                                                |   |    |     |   |        |   |   |   |
| Total Assets                                                                                                                                        |   |    | 23,335   |   |        |   | - |   |
|                                                                                                                                                |   |    |     |   |        |   |   |   |
| LIABILITIES                                                                                                                                         |   |    |     |   |        |   |   |   |
|                                                                                                                                                |   |    |     |   |        |   |   |   |
| Current Liabilities                                                                                                                                 |   |    |     |   |        |   |   |   |
| Accounts Payable - other                                                                                                                            |   |    | 25,566   |   |        |   | 19,067 |   |
| Accounts Payable-Related parties                                                                                                                    |   |    | 294,767  |   |        |   | 190,372 |   |
|                                                                                                                                                |   |    |     |   |        |   |   |   |
| Total Current Liabilities                                                                                                                           |   |    | 320,333  |   |        |   | 209,439 |   |
|                                                                                                                                                |   |    |     |   |        |   |   |   |
| Total Liabilities                                                                                                                                   |   |    | 320,333  |   |        |   | 209,439 |   |
|                                                                                                                                                |   |    |     |   |        |   |   |   |
| STOCKHOLDERS' EQUITY                                                                                                                                |   |    |     |   |        |   |   |   |
|                                                                                                                                                |   |    |     |   |        |   |   |   |
| 100,000,000 Common Shares Authorized61,900,000 and 60,900,000 issued at June 30, 2010 and December 31, 2009 respectively issued at $0.001 per share |   |    | 61,900   |   |        |   | 60,900 |   |
| Shares issuable (Note 4)                                                                                                                            |   |    | 3,700    |   |        |   |   |   |
| Additional Paid-in-Capital                                                                                                                          |   |    | 463,330  |   |        |   | 213,900 |   |
| Discount on Issuance                                                                                                                                |   |    | (49,130  | )      |        |   |   |   |
| Accumulated Deficit during Exploration stage                                                                                                        |   |    | (776,798 | )      |        |   | (484,239 | ) |
|                                                                                                                                                |   |    |     |   |        |   |   |   |
| Total Stockholders' Equity                                                                                                                          |   | $       | (296,998 | )      |        | $      | (209,439 | ) |
|                                                                                                                                                |   |    |     |   |        |   |   |   |
| Total Liabilities and Stockholders' Equity                                                                                                          |   | $       | 23,335   |   |        | $      | - |   |

----

| DENARII RESOURCES INC.                  |
|-----------------------------------------|
| (An Exploration Stage Company)          |
| Condensed Statements of Operations |
| (Stated in US Dollars)Unaudited         |

|                                                                            |   | Three Months Ended |       |   | Six Months Ended |   |       | March 23, 2006 |   |
|---------------------------------------------------------------------------------|--------|-------------------------|------------|--------|----------------------------|--------|------------|----------------|--------|
|                                                                            |   |                    |       |   |                       |   |       |           |   |   |   |   |   | (Inception) to |   |
| `                                                                               |   | June 30                 |       |   | June 30                    |   |       | June 30        |   |   | June 30 |   |   | June 30 |   |
|                                                                            |   | 2010                    |       |   | 2009                       |   |       | 2010           |   |   | 2009 |   |   | 2010 |   |
|                                                                            |   |                    |       |   | Restated                   |   |       |           |   |   | Restated |   |   |   |   |
|                                                                            |   |                    |       |   |                       |   |       |           |   |   |   |   |   |   |   |
|  REVENUES                                                                  |   |                    | -          |   |                       | $      | 0.00       |           |   |   | - |   |   | $ | 0.00 |   |   |   | - |   |
|                                                                            |   |                    |       |   |                       |   |       |           |   |   |   |   |   |   |   |   |   |   |   |   |
| OPERATING EXPENSES                                                              |   |                    |       |   |                       |   |       |           |   |   |   |   |   |   |   |   |   |   |   |   |
|     Mineral claims                                          |   |                    | -          |   |                       |   | -          |           |   |   | - |   |   |   | - |   |   |   | 10,000 |   |
|     Professional fees                                       |   |                    | 116,064    |   |                       |   | 26,109     |           |   |   | 185,119 |   |   |   | 30,550 |   |   |   | 530,663 |   |
|     Office -General Expenses                                |   |                    | 6,756      |   |                       |   | 5,001      |           |   |   | 9,315 |   |   |   | 5,001 |   |   |   | 16,569 |   |
|     Office -General Expenses-Related Party                  |   |                    | 9,269      |   |                       |   | 3,668      |           |   |   | 13,480 |   |   |   | 3,668 |   |   |   | 23,628 |   |
|     Mgmt  & Administration Fees-Related Party |   |                    | 21,000     |   |                       |   | 15,000     |           |   |   | 42,000 |   |   |   | 15,000 |   |   |   | 87,000 |   |
|     Rent-Related Party                                      |   |                    | 7,500      |   |                       |   | 7,500      |           |   |   | 15,000 |   |   |   | 7,500 |   |   |   | 37,500 |   |
|    Travel-Related Party                                          |   |                    | 14,698     |   |                       |   | 18,639     |           |   |   | 27,645 |   |   |   | 18,639 |   |   |   | 71,438 |   |
|         Total Operating Expenses        |   |                    | 175,287    |   |                       |   | 75,917     |           |   |   | 292,559 |   |   |   | 80,358 |   |   |   | 776,798 |   |
|                                                                            |   |                    |       |   |                       |   |       |           |   |   |   |   |   |   |   |   |   |   |   |   |
| NET LOSS BEFORE INCOME TAXES                                                    |   |                    | (175,287   | )      |                       |   | (75,917    | )              |   |   | (292,559 | ) |   |   | (80,358 | ) |   |   | (776,798 | ) |
|                                                                            |   |                    |       |   |                       |   |       |           |   |   |   |   |   |   |   |   |   |   |   |   |
| PROVISION FOR INCOME TAX                                                        |   |                    | -          |   |                       |   | -          |           |   |   | - |   |   |   | - |   |   |   | - |   |
|                                                                            |   |                    |       |   |                       |   |       |           |   |   |   |   |   |   |   |   |   |   |   |   |
| NET INCOME (LOSS) FOR THE PERIOD                                                |   |                    | (175,287   | )      |                       |   | (75,917    | )              |   |   | (292,559 | ) |   |   | (80,358 | ) |   |   | (776,798 | ) |
|                                                                            |   |                    |       |   |                       |   |       |           |   |   |   |   |   |   |   |   |   |   |   |   |
| BASIC AND DILUTED (LOSS)                                                        |   |                    |       |   |                       |   |       |           |   |   |   |   |   |   |   |   |   |   |   |   |
| PER COMMON SHARE                                                                |   | $                       | 0.00       |   |                       | $      | 0.00       |           |   | $ | 0.00 |   |   | $ | 0.00 |   |   |   |   |   |
|                                                                            |   |                    |       |   |                       |   |       |           |   |   |   |   |   |   |   |   |   |   |   |   |
| WEIGHTED AVERAGE NUMBER                                                         |   |                    |       |   |                       |   |       |           |   |   |   |   |   |   |   |   |   |   |   |   |
| OF COMMON SHARES                                                                |   |                    | 61,900,000 |   |                       |   | 60,900,000 |           |   |   | 61,684,530 |   |   |   | 60,671,270 |   |   |   |   |   |
|                                                                            |   |                    |       |   |                       |   |       |           |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                            |   |                    |       |   |                       |   |       |           |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                            |   |                    |       |   |                       |
|                                                                            |   |                    |       |   |                       |   |       |           |   |   |   |   |   |   |   |   |   |   |   |   |

----

|                                        |   | For thesix monthperiod endedJune 30 2010 |     |          | For the six month period ended June 30 2009 Restated |   |    | From inception (March 23, 2006) through to June 30 2010 |   |
|---------------------------------------------|--------|------------------------------------------|----------|---------------|------------------------------------------------------|--------|---------|---------------------------------------------------------|--------|
|                                        |   |                                     |     |          |                                                 |   |    |                                                    |   |
| OPERATING ACTIVITIES                        |   |                                     |     |          |                                                 |   |    |                                                    |   |
| Net income (loss)                           |   | $                                        | (292,559 | )   |                                                 | $      | (80,358 | )                                             |   | $ | (776,798 | ) |
| Recognition of an Impairment Loss           |   |                                     |     |          |                                                 |   |    |                                                    |   |   |   |   |
| (Mineral Claims)                            |   |                                     | -        |          |                                                 |   | -       |                                                    |   |   | 10,000 |   |
| Accounts payable                            |   |                                     | 6,499    |          |                                                 |   |    |                                                    |   |   | 25,566 |   |
| Prepaid Expenses                            |   |                                     | (23,335  | )             |                                                 |   |    |                                                    |   |   | (23,335 | ) |
| Shares issued for services                  |   |                                     | 140,000  |          |                                                 |   |    |                                                    |   |   | 350,000 |   |
| Expenses Paid on Company's behalf by        |   |                                     |     |          |                                                 |   |    |                                                    |   |   |   |   |
| related parties                             |   |                                     | 169,395  |          |                                                 |   | 80,358  |                                                    |   |   | 359,767 |   |
| Net cash used in operating activities       |   |                                     | -        |          |                                                 |   | -       |                                                    |   |   | (54,800 | ) |
| INVESTING ACTIVITIES                        |   |                                     |     |          |                                                 |   |    |                                                    |   |   |   |   |
| Purchase of mineral claim                   |   |                                     | -        |          |                                                 |   | -       |                                                    |   |   | (10,000 | ) |
|                                        |   |                                     |     |          |                                                 |   |    |                                                    |   |   |   |   |
| Net cash used in investing activities  |   |                                     | -   |          |                                                 |   | -  |                                                    |   |   | (10,000 | ) |
|                                        |   |                                     |     |          |                                                 |   |    |                                                    |   |   |   |   |
| FINANCING ACTIVITIES                        |   |                                     |     |          |                                                 |   |    |                                                    |   |   |   |   |
| Common shares issued for cash               |   |                                     |     |          |                                                 |   |    |                                                    |   |   |   |   |
| @$0.01 per share                       |   |                                     | -   |          |                                                 |   | -  |                                                    |   |   | 48,300 |   |
| Additional Paid-in capital                  |   |                                     | -   |          |                                                 |   | -  |                                                    |   |   | 16,500 |   |
| Net cash provided by financing activities   |   |                                     | -   |          |                                                 |   | -  |                                                    |   |   | 64,800 |   |
|                                        |   |                                     | -   |          |                                                 |   | -  |                                                    |   |   | -  |   |
| NET INCREASE (DECREASE)                     |   |                                     | -   |          |                                                 |   | -  |                                                    |   |   | -  |   |
| IN CASH AND CASH EQUIVALENTS                |   |                                     |     |          |                                                 |   |    |                                                    |   |   |   |   |
|                                        |   |                                     |     |          |                                                 |   |    |                                                    |   |   |   |   |
| CASH AND CASH EQUIVALENTS                   |   |                                     |     |          |                                                 |   |    |                                                    |   |   |   |   |
| - BEGINNING OF PERIOD                       |   |                                     | -   |          |                                                 |   | -  |                                                    |   |   | -  |   |
|                                        |   |                                     |     |          |                                                 |   |    |                                                    |   |   |   |   |
| CASH AND CASH EQUIVALENTS                   |   |                                     |     |          |                                                 |   |    |                                                    |   |   |   |   |
| - END OF PERIOD                             |   |                                     | -   |          |                                                 |   | -  |                                                    |   |   | -  |   |
|                                        |   |                                     |     |          |                                                 |   |    |                                                    |   |   |   |   |
| SUPPLEMENTAL DISCLOSURES OF                 |   |                                     |     |          |                                                 |   |    |                                                    |   |   |   |   |
| NON-CASH ACTIVITIES:_                       |   |                                     | -   |          |                                                 |   | -  |                                                    |   |   | -  |   |
| Common stock issued for services       |   |                                     | 140,000  |          |                                                 |   | -  |                                                    |   |   | 350,000 |   |

----

----

----

| 1.   | Additional accounts payable. |
|----------------|------------------------------|

| 2.   | Correct the calculation of weighted average number of common share and diluted loss per share due to common stock previously recorded as issued in 2008 but actually issued on March 11, 2009. |
|----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| BALANCE SHEETS                                                                               |   | Original |       |   | Change |   |     | Restated |   |
|----------------------------------------------------------------------------------------------|--------|----------|------------|--------|--------|--------|----------|----------|--------|
|                                                                                         |   |     |       |   |   |   |     |     |   |
| CURRENT LIABILITES                                                                           |   |     |       |   |   |   |     |     |   |
| Accounts Payable                                                                             |   |     | 38,450     |   |   |   | (38,450  | )        |   |   | - |   |
| Accounts Payable - Related Party                                                             |   |     | -          |   |   |   | 83,962   |     |   |   | 83,962 |   |
| Accounts Payable – Other                                                               |   |     | -          |   |   |   | 18,475   |     |   |   | 18,475 |   |
| Loan from Related Party                                                                      |   |     | -          |   |   |   | 620      |     |   |   | 620 |   |
| TOTAL CURRENT LIABILITIES                                                                    |   |     | 38,450     |   |   |   | 64,607   |     |   |   | 103,057 |   |
|                                                                                         |   |     |       |   |   |   |     |     |   |   |   |   |
| STOCKHOLDERS' EQUITY                                                                         |   |     |       |   |   |   |     |     |   |   |   |   |
| Common shares issued                                                                         |   |     | 61,500     |   |   |   | (600     | )        |   |   | 60,900 |   |
| Additional Paid in Capital                                                                   |   |     | 223,300    |   |   |   | (9,400   | )        |   |   | 213,900 |   |
| Accumulated Deficit                                                                          |   |     | (323,250   | )      |   |   | (54,607  | )        |   |   | (377,857 | ) |
|    Total Stockholders' Equity                                                 |   |     | (38,450    | )      |   |   | (64,607  | )        |   |   | (103,057 | ) |
|                                                                                         |   |     |       |   |   |   |     |     |   |   |   |   |
| STATEMENTS OF OPERATIONS                                                                     |   |     |       |   |   |   |     |     |   |   |   |   |
| THREE MONTHS ENDED JUNE 30, 2009                                                             |   |     |       |   |   |   |     |     |   |   |   |   |
|                                                                                         |   |     |       |   |   |   |     |     |   |   |   |   |
| OPERATING EXPENSES                                                                           |   |     |       |   |   |   |     |     |   |   |   |   |
| Professional Fees                                                                            |   |     | 6,309      |   |   |   | 19,800   |     |   |   | 26,109 |   |
| Office - General Expenses                                                                    |   |     | 5,001      |   |   |   | -        |     |   |   | 5,001 |   |
| Office-General Expenses - Related Party                                                      |   |     | -          |   |   |   | 3,668    |     |   |   | 3,668 |   |
| Management and Administration                                                                |   |     |       |   |   |   |     |     |   |   |   |   |
|             Fees - Related Party |   |     | -          |   |   |   | 15,000   |     |   |   | 15,000 |   |
| Rent - Related Party                                                                         |   |     | -          |   |   |   | 7,500    |     |   |   | 7,500 |   |
| Travel-Related Party                                                                         |   |     | -          |   |   |   | 18,639   |     |   |   | 18,639 |   |
| TOTAL OPERATING EXPENSES                                                                     |   |     | 11,310     |   |   |   | 64,607   |     |   |   | 75,917 |   |
|                                                                                         |   |     |       |   |   |   |     |     |   |   |   |   |
| NET LOSS BEFORE INCOME TAXES                                                                 |   |     | (11,310    | )      |   |   | (64,607  | )        |   |   | (75,917 | ) |
| PROVISION FOR INCOME TAX                                                                     |   |     | -          |   |   |   |     |     |   |   | - |   |
| NET LOSS FOR THE PERIOD                                                                      |   |     | (11,310    | )      |   |   | (64,607  | )        |   |   | (75,917 | ) |
|                                                                                         |   |     |       |   |   |   |     |     |   |   |   |   |
| WEIGHTED AVERAGE NUMBER OF COMMON SHARE                                                      |   |     | 61,500,000 |   |   |   | (600,000 | )        |   |   | 60,900,000 |   |
|                                                                                         |   |     |       |   |   |   |     |     |   |   |   |   |
| STATEMENTS OF OPERATIONS                                                                     |   |     |       |   |   |   |     |     |   |   |   |   |
| SIX MONTHS ENDED JUNE 30, 2009                                                               |   |     |       |   |   |   |     |     |   |   |   |   |
|                                                                                         |   |     |       |   |   |   |     |     |   |   |   |   |
| OPERATING EXPENSES                                                                           |   |     |       |   |   |   |     |     |   |   |   |   |
| Professional Fees                                                                            |   |     | 10,750     |   |   |   | 19,800   |     |   |   | 30,550 |   |
| Office-General Expenses                                                                      |   |     | 5,001      |   |   |   | -        |     |   |   | 5,001 |   |
| Office-General Expenses - Related Party                                                      |   |     | -          |   |   |   | 3,668    |     |   |   | 3,668 |   |
| Management and Administration                                                                |   |     |       |   |   |   |     |     |   |   |   |   |
|             Fees - Related Party |   |     | -          |   |   |   | 15,000   |     |   |   | 15,000 |   |
| Rent - Related Party                                                                         |   |     | -          |   |   |   | 7,500    |     |   |   | 7,500 |   |
| Travel-Related Party                                                                         |   |     | -          |   |   |   | 18,639   |     |   |   | 18,639 |   |
| TOTAL OPERATING EXPENSES                                                                     |   |     | 15,751     |   |   |   | 64,607   |     |   |   | 80,358 |   |
|                                                                                         |   |     |       |   |   |   |     |     |   |   |   |   |
| NET LOSS BEFORE INCOME TAXES                                                                 |   |     | (15,751    | )      |   |   | (64,607  | )        |   |   | (80,358 | ) |
| PROVISION FOR INCOME TAX                                                                     |   |     | -          |   |   |   |     |     |   |   | - |   |
| NET LOSS FOR THE PERIOD                                                                      |   |     | (15,751    | )      |   |   | (64,607  | )        |   |   | (80,358 | ) |
|                                                                                         |   |     |       |   |   |   |     |     |   |   |   |   |
| BASIC AND DILUTED LOSS PER SHARE                                                             |   |     | (0.02      | )      |   |   |     |     |   |   | (0.00 | ) |
|                                                                                         |   |     |       |   |   |   |     |     |   |   |   |   |
| WEIGHTED AVERAGE NUMBER OF COMMON SHARE                                                      |   |     | 61,500,000 |   |   |   | (528,730 | )        |   |   | 60,971,270 |   |
|                                                                                         |   |     |       |   |   |   |     |     |   |   |   |   |
| STATEMENTS OF CASH FLOWS                                                                     |   |     |       |   |   |   |     |     |   |   |   |   |
| SIX MONTHS ENDED JUNE 30, 2009                                                               |   |     |       |   |   |   |     |     |   |   |   |   |
|                                                                                         |   |     |       |   |   |   |     |     |   |   |   |   |
| OPERATING ACTIVITIES                                                                         |   |     |       |   |   |   |     |     |   |   |   |   |
| Net Loss                                                                                     |   |     | (15,751    | )      |   |   | (64,607  | )        |   |   | (80,358 | ) |
| Accounts Payable                                                                             |   |     | 15,751     |   |   |   | (620     | )        |   |   | 15,131 |   |
| Expenses paid on Company's behalf by related party                                           |   |     | -          |   |   |   | 65,227   |     |   |   | 65,227 |   |
|                                                                                         |   |     |       |   |   |   |     |     |   |   |   |   |
|                                                                                         |   |     |       |   |   |   |     |     |   |   |   |   |
| NET CASH USED IN OPERATING ACTIVITIES                                                        |   |     | -          |   |   |   | -        |     |   |   | - |   |
|                                                                                         |   |     |       |   |   |   |     |     |   |   |   |   |
|                                                                                         |   |     |       |   |   |   |     |     |   |   |   |   |

----

| ·   | The company approved a private placement on July 13, 2010. |
|--------------------|------------------------------------------------------------|

| ·   | On August 02, 2010 the company filed an 8K stating that Dennis Lorrig and Robert Malasek resigned as Directors and Officers on July 29, 2010. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | On August 17, 2010 the company filed a Form 8K appointing Dr. Stewart Jackson to the Board of Directors. |
|--------------------|----------------------------------------------------------------------------------------------------------|

----

----

----

|  Exhibit Number   |   |  Description of Exhibit                                                                                                                                                                                                                                                                                                       |
|----------------------------------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                             |   |                                                                                                                                                                                                                                                                                                                               |
|  3.1                        |   | Articles of Incorporation (1)                                                                                                                                                                                                                                                                                                      |
|  3.2                   |   | Bylaws (1)                                                                                                                                                                                                                                                                                                                         |
|  31.1                       |   | Certification by Chief Executive Officer and ChiefFinancial Officer required by Rule 13a-14(a) or Rule 15d-14(a) of the Exchange Act, promulgated pursuant to Section 302 of the Sarbanes-Oxley Actof 2002, filed herewith                                                                                                         |
|  32.1                  |   | Certification by Chief Executive Officer and Chief  Financial Officer, required by Rule 13a-14(b) or  Rule 15d-14(b) of the Exchange Act and Section 1350  of Chapter 63 of Title 18 of the United States Code, promulgated pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 filed herewith |

----

|                  |   |                                                                                                |   |
|-----------------------|--------|-----------------------------------------------------------------------------------------------------|--------|
| Date: August 25, 2010 | By:    | /s/ Dr. Stewart A. Jackson                                                                     |   |
|                  |   | Name : Dr. Stewart A. Jackson                                                                  |   |
|                  |   | Title: Chief Executive Officer, President Secretary,and Director (Principal Executive Officer) |   |
|                  |   |                                                                                                |   |

----