U.S. Securities And Exchange Commission
                             Washington, D.C. 20549


                                   FORM 10-QSB



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

     For the quarterly period ended February 28, 1999

[ ]  TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES  EXCHANGE ACT
     OF 1934

     For the transition period from ______________ to _______________


                           Commission File No. 0-20879



                             PYR ENERGY CORPORATION
                             ----------------------
        (Exact name of small business issuer as specified in its charter)




           Delaware                                      95-4580642
           --------                                      ----------
  (State or jurisdiction of                 (I.R.S. Employer Identification No.)
incorporation or organization) 

 1675 Broadway, Suite 1150, Denver, CO                      80202
 -------------------------------------                      -----
(Address of principal executive offices)                  (Zip Code)


          Issuer's telephone number, including area code (303) 825-3748





     Check  whether  the issuer (1) 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___


                   (APPLICABLE ONLY TO CORPORATE REGISTRANTS)

     The number of shares  outstanding of each of the issuer's classes of common
equity as of April 14, 1999 is as follows:

         $.001 Par Value Common Stock                   9,421,470
                                                        ---------

<PAGE>

                             PYR ENERGY CORPORATION

                                   FORM 10-QSB
                                      INDEX





PART I. FINANCIAL INFORMATION

     Item 1. Financial Statements                                             3

             Balance Sheet -  February 28, 1999 and August 31, 1998           3

             Statement of Operations - Quarter Ended and Six Months Ended
             February 28, 1999 and February 28, 1998                          4

             Statement of Cash Flows - Six Months Ended February 28, 1999
             and February 28, 1998                                            5

             Notes to Financial Statements                                    6

             Summary of Significant Accounting Policies                       6

     Item 2. Management=s Discussion and Analysis or Plan of Operation        8


PART II. OTHER INFORMATION

     Item 1. Legal Proceedings                                               13

     Item 2. Changes in Securities                                           13

     Item 3. Defaults Upon Senior Securities                                 13

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

     Item 5. Other Information                                               13

     Item 6. Exhibits and Reports on Form 8-K                                13

     Signatures                                                              14


                                       2
<PAGE>
<TABLE>
<CAPTION>

                                     PART I

ITEM 1. FINANCIAL STATEMENTS

                             PYR ENERGY CORPORATION
                          (A Development Stage Company)
                                 BALANCE SHEETS

                                     ASSETS

                                                           2/28/99        8/31/98
                                                         (UNAUDITED)
CURRENT ASSETS
<S>                                                      <C>            <C>        
  Cash                                                   $   711,367    $   373,100
  Deposits and prepaid expenses                              128,128         16,897
                                                         -----------    -----------
    Total Current Assets                                     839,495        389,997
                                                         -----------    -----------

PROPERTY AND EQUIPMENT, at cost
  Furniture and equipment, net                                44,503         54,821
  Undeveloped oil and gas prospects                        3,060,053      2,491,238
                                                         -----------    -----------
                                                           3,104,556      2,546,059
                                                         -----------    -----------
OTHER ASSETS, net                                             58,120          3,546
                                                         -----------    -----------
                                                         $ 4,002,171    $ 2,939,602
                                                         ===========    ===========

                      LIABILITIES AND STOCKHOLDERS' EQUITY

CURRENT LIABILITIES
  Accounts payable                                       $    15,856    $    44,389
  Accrued and other liabilities                               11,000           --
  Interest payable                                            84,603           --
  Current portion of capital lease obligation                  1,543          1,441
  Convertible Debentures                                   2,500,000           --
  Accrued seismic and exploration costs                         --        1,282,500
                                                         -----------    -----------
    Total Current Liabilities                              2,613,002      1,328,330
                                                         -----------    -----------
  Capital lease obligation                                     1,860          2,661
                                                         -----------    -----------
    Total Liabilities                                      2,614,862      1,330,991

COMMITMENTS AND CONTINGENCIES

STOCKHOLDERS' EQUITY
  Common stock, $.001 par value
        Authorized 30,000,000 shares
        Issued and outstanding - 9,421,470 shares
            at 2/28/99 and 9,154,804 shares at 8/31/98         9,421          9,155
  Capital in excess of par value                           1,967,821      1,768,088
  Retained earnings/(accumulated deficit)                   (589,933)      (168,632)
                                                         -----------    -----------
                                                           1,387,309      1,608,611
                                                         -----------    -----------
                                                         $ 4,002,171    $ 2,939,602
                                                         ===========    ===========

                                        3
</TABLE>

<PAGE>
<TABLE>
<CAPTION>


                                        PYR ENERGY CORPORATION
                                    (A Development Stage Company)
                                       STATEMENTS OF OPERATIONS
                                               (UNAUDITED)


                                     Three         Three           Six            Six
                                     Months        Months         Months         Months       Inception
                                     Ended         Ended          Ended          Ended         Through
                                    2/28/99        2/28/98        2/28/99        2/28/98       2/28/99
                                    -------        -------        -------        -------       -------

REVENUES
<S>                               <C>            <C>            <C>            <C>            <C>        
  Consulting Fees                 $      --      $      --      $      --      $    10,000    $   127,528
  Interest                             11,076         10,806         15,601         26,545         57,342
  Gain on asset sale                                 556,197                       556,197        556,197
                                  -----------    -----------    -----------    -----------    -----------
                                       11,076        567,003         15,601        592,742        741,067


OPERATING EXPENSES
  General and administrative          174,299        173,373        312,074        361,290      1,130,998
  Dry hole impairment                    --             --             --             --           15,000
  Interest                             82,204            217        112,036            217        112,875
  Depreciation and amortization         6,407          6,427         12,793          9,760         36,260
                                  -----------    -----------    -----------    -----------    -----------
                                      262,910        180,017        436,903        371,267      1,295,133

NET INCOME BEFORE INCOME TAXES       (251,834)       386,986       (421,302)       221,475       (554,066)



   Income Taxes                          --            6,240           --            6,240           --

                                     (251,834)       380,746       (421,302)       215,235       (554,066)

INCOME APPLICABLE TO
   PREDECESSOR LLC                       --             --             --             --          (35,868)
                                  -----------    -----------    -----------    -----------    -----------

NET (LOSS) INCOME                 $  (251,834)   $   380,746    $  (421,302)   $   215,235    $  (589,934)
                                  ===========    ===========    ===========    ===========    ===========

NET INCOME (LOSS) PER COMMON
  SHARE  -BASIC AND DILUTED       $     (.027)   $      .042    $     (.045)   $      .024    $     (.089)
                                  ===========    ===========    ===========    ===========    ===========

WEIGHTED AVERAGE NUMBER OF
   COMMON SHARES OUTSTANDING        9,421,470      9,154,804      9,288,139      9,154,804      6,658,899



                                                   4
</TABLE>

<PAGE>
<TABLE>
<CAPTION>

                                       PYR ENERGY CORPORATION
                                    (A Development Stage Company)
                                      STATEMENTS OF CASH FLOWS
                                             (UNAUDITED)

                                                                                            Cumulative            
                                                             Six Months     Six Months    from Inception
                                                            Ended 2/28/99  Ended 2/28/98    to 2/28/99
                                                            -------------  -------------    ----------

CASH FLOWS FROM OPERATING ACTIVITIES
<S>                                                          <C>            <C>            <C>         
  Net income (loss)                                          $  (421,302)   $   215,235    $  (554,066)
  Adjustments to reconcile net income (loss) to net
     cash provided by operating activities
    Gain on sale of assets                                          --         (556,197)      (556,197)
    Depreciation and amortization                                 12,793          9,760         36,260
    Amortization of deferred financing costs                      27,224           --           27,224
    Contributed services                                            --             --           36,000
    Dry hole impairment                                             --             --           15,000
    Changes in assets and liabilities
      (Increase)/decrease in receivables                            --         (383,047)          --
      (Increase)/decrease in deposits and prepaids              (111,231)       (17,482)      (126,522)
      Increase/(decrease) in accounts payable                    (28,533)       (24,855)         1,422
      Increase/(decrease) in accrued and other liabilities        95,603         (2,564)        95,603
      Other                                                         --             --           (3,751)
                                                             -----------    -----------    -----------
Net cash provided/(used) by operating activities                (425,446)      (759,150)    (1,029,027)
                                                             -----------    -----------    -----------

CASH FLOWS FROM INVESTING ACTIVITIES
  Proceeds from sale of oil and gas interests                       --          850,078      1,050,078
  Cash paid for furniture and equipment                           (2,563)       (48,602)       (75,451)
  Cash paid for undeveloped oil and gas properties            (1,651,227)       396,925)    (3,356,018)
                                                             -----------    -----------    -----------
Net cash provided/(used) in investing activities              (1,653,790)       404,551     (2,381,391)
                                                             -----------    -----------    -----------

CASH FLOWS FROM FINANCING ACTIVITIES
  Members capital contributions                                     --             --           28,000
  Distributions to members                                          --             --          (66,000)
  Cash from short-term borrowings                                   --             --          285,000
  Repayments of short-term borrowings                               --             --         (285,000)
  Proceeds from sale of common stock                                --             --        2,023,750
  Cash paid for offering costs                                      --             --         (280,711)
  Proceeds from convertible debentures                         2,500,000           --        2,500,000
  Cash paid for deferred financing costs                         (81,798)          --          (81,798)
  Payments on capital lease                                         (699)          --           (1,792)
  Cash received upon recapitalization and merger                    --             --              336
                                                             -----------    -----------    -----------
Net cash (used) provided by financing activities               2,417,503          3,281      4,121,785
                                                             -----------    -----------    -----------
NET INCREASE/(DECREASE) IN CASH                                  338,267       (351,318)       711,367
CASH, BEGINNING OF PERIODS                                       373,100      1,432,281           --
                                                             -----------    -----------    -----------
CASH, END OF PERIODS                                         $   711,367    $ 1,080,963    $   711,367
                                                             ===========    ===========    ===========


                                                 5

</TABLE>

<PAGE>

                             PYR ENERGY CORPORATION
                          (A Development Stage Company)
                          Notes to Financial Statements
                                February 28, 1999

The accompanying  interim  financial  statements of PYR Energy  Corporation (the
"Company")  are  unaudited.  In the  opinion of  management,  the  interim  data
includes  all  adjustments,  consisting  only of normal  recurring  adjustments,
necessary for a fair presentation of the results for the interim period.

The  financial  statements  included  herein  have been  prepared by the Company
pursuant to the rules and regulations of the Securities and Exchange Commission.
Certain  information  and  footnote  disclosure  normally  included in financial
statements prepared in accordance with generally accepted accounting  principles
have  been  condensed  or  omitted  pursuant  to  such  rules  and  regulations.
Management  believes the  disclosures  made are adequate to make the information
not misleading and recommends that these condensed financial  statements be read
in conjunction with the financial statements and notes included in the Company's
Form 10-KSB/A1 as of August 31, 1998.

PYR  Energy  Corporation  (formerly  known as Mar  Ventures  Inc.  ("Mar"))  was
incorporated  under the laws of the State of Delaware on March 27, 1996. Mar had
been a public company which had no  significant  operations as of July 31, 1997.
On August 6, 1997 Mar acquired  all the  interests in PYR Energy LLC ("PYR LLC")
(a Colorado Limited  Liability Company organized on May 31, 1996), a development
stage company as defined by Statement of Financial  Accounting  Standards (SFAS)
No. 7. PYR LLC, an independent oil and gas exploration company, had been engaged
in the  acquisition of  undeveloped  oil and gas interests for  exploration  and
exploitation in the Rocky Mountain  region and California.  As of August 6, 1997
PYR LLC had acquired only  non-producing  leases and acreage and no  exploration
had been commenced on the properties.  Upon completion of the acquisition of PYR
LLC by Mar,  PYR LLC ceased to exist as a separate  entity.  Mar remained as the
legal surviving entity and, effective November 12, 1997, Mar changed its name to
PYR Energy Corporation.



SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

     USE OF ESTIMATES - 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 reported  amounts of revenues and expenses
     during  the  reporting  period.  Actual  results  could  differ  from those
     estimates.

     CASH  EQUIVALENTS  - For  purposes of  reporting  cash  flows,  the Company
     considers as cash equivalents all highly liquid investments with a maturity
     of three  months or less at the time of  purchase.  At February  28,  1999,
     there were no cash equivalents.


                                       6
<PAGE>


     PROPERTY  AND  EQUIPMENT -  Furniture  and  equipment  is recorded at cost.
     Depreciation  is  provided  by use of the  straight-line  method  over  the
     estimated  useful  lives of the  related  assets  of  three to five  years.
   
     Expenditures for replacements,  renewals,  and betterments are capitalized.
     Maintenance and repairs are charged to operations as incurred.

     OIL AND GAS  PROPERTIES  - The  Company  follows  the full  cost  method to
     account for its oil and gas exploration and development  activities.  Under
     the full cost method,  all costs incurred which are directly related to oil
     and gas  exploration  and  development  are  capitalized  and  subjected to
     depreciation  and  depletion.  Depletable  costs also include  estimates of
     future  development costs of proved reserves.  Costs related to undeveloped
     oil and gas  properties  may be excluded from  depletable  costs until such
     properties are evaluated as either proved or unproved.  The net capitalized
     costs are subject to a ceiling limitation. Gains or losses upon disposition
     of oil and gas properties are treated as adjustments to capitalized  costs,
     unless the  disposition  represents a significant  portion of the Company's
     proved  reserves.  A separate  cost center is maintained  for  expenditures
     applicable to each country in which the Company conducts exploration and/or
     production activities.

     Undeveloped oil and gas properties consists primarily of leases and acreage
     acquired by the Company for its exploration and development activities. The
     cost of these non-producing leases is recorded at the lower of cost or fair
     market value.
           
     The Company has adopted  SFAS No. 121  "Accounting  for the  Impairment  of
     Long-Lived  Assets  and for  Long-Lived  Assets  to Be  Disposed  of" which
     requires  that  long-lived  assets  to be held  and  used be  reviewed  for
     impairment  whenever events or changes in  circumstances  indicate that the
     carrying  amount of an asset may not be  recoverable.  The adoption of SFAS
     121 has not had an impact on the  Company's  financial  statements,  as the
     Company has determined  that no impairment  loss through  February 28, 1999
     need to be recognized for applicable assets of continuing operations.

     ORGANIZATION  COSTS - Costs related to the organization of the Company have
     been capitalized and are being amortized over a period of five years.

     INCOME  TAXES - The Company has  adopted  the  provisions  of SFAS No. 109,
     "Accounting  for Income Taxes".  SFAS 109 requires  recognition of deferred
     tax  liabilities  and assets for the expected  future tax  consequences  of
     events that have been included in the financial  statements or tax returns.
     Under this method, deferred tax liabilities and assets are determined based
     on the difference  between the financial  statement and tax basis of assets
     and liabilities using enacted tax rates in effect for the year in which the
     differences are expected to reverse.

                                       7
<PAGE>


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

     The  Company  is an  independent  oil and  gas  exploration  company  whose
strategic   focus  is  the   application   of  advanced   seismic   imaging  and
computer-aided  exploration technologies in the systematic search for commercial
hydrocarbon  reserves,  primarily  in the onshore  western  United  States.  The
Company attempts to leverage its technical experience and expertise with seismic
to identify  exploration and exploitation  projects with  significant  potential
economic  return.  The Company  intends to participate  in selected  exploration
projects as a  non-operating,  working  interest  owner,  sharing  both risk and
rewards  with  its  partners.  The  Company  has and  will  continue  to  pursue
exploration  opportunities  in regions  where the Company  believes  significant
opportunity  for  discovery  of oil and gas exists.  By reducing  drilling  risk
through seismic technology,  the Company seeks to improve the expected return on
investment in its oil and gas exploration projects.

     During the quarter ended November 30, 1999, the Company  completed the sale
of convertible  promissory notes (the "Notes") in the total amount of $2,500,000
in a private placement transaction pursuant to exemptions from federal and state
registration requirements.

     The Notes will  automatically  convert  into  shares of Series A  Preferred
Stock  (the  "Series  A  Preferred")  at the rate of one  share  for  each  $100
principal  amount of Notes if the Series A Preferred is approved by stockholders
prior to April 26, 1999. The Series A Preferred is convertible into Common Stock
at the rate of one share of Common Stock for each $.60 of the purchase amount of
the Series A  Preferred.  If the Series A  Preferred  is not issued by April 26,
1999 (which  requires  stockholder  approval to  authorize a class of  preferred
stock),  the Note  holders  have the right to require that the Notes and accrued
interest be paid on demand or to convert the Notes into Common Stock at the rate
of one share of Common Stock for each $.30 of  principal  amount of Notes rather
than the  conversion  rate of one  share of  Common  Stock for each $.60 of face
amount of the Series A  Preferred.  The full  principal  amount of the Notes and
accrued  interest  at the rate of 10 percent per year is due on October 26, 1999
if the Notes have not been  converted  into Series A Preferred  or Common  Stock
prior to that  time.  The  Company  is  required  to make  semi-annual  interest
payments on the Notes commencing on the date that is six months from the date of
the  Notes  until  the  Notes  are  repaid.  The  Company  has the  right in its
discretion to pay the interest  portion of the Notes with Common Stock at a rate
based on the  weighted  average  trading  price of the Common  Stock for 45 days
prior to the interest payment date.

     During the six months  ended  February  28, 1999  ("1999") and February 28,
1998  ("1998"),   the  Company  incurred  approximately  $369,000  and  $397,000
respectively,  for  acquisition of acreage,  direct  geological and  geophysical
costs,  drilling  costs and other  related  direct  costs  with  respect  to its
identified  exploration  and  exploitation  projects.  The  Company  has  had no
revenues from oil and gas production.

     The Company currently  anticipates that it will participate in the drilling
of two to four  additional  exploratory  wells  during the next  twelve  months,
although  the number of wells may increase as  additional  projects are added to
the Company's portfolio.  However, there can be no assurance that any such wells
will be drilled and if drilled that any of these wells will be successful.

                                       8
<PAGE>


     The following  provides a summary and status of the  Company's  exploration
areas and significant  projects.  While actively pursuing  specific  exploration
activities in each of the following areas, the Company is continually  reviewing
additional  opportunities  in these  core  areas  and in other  areas  that meet
certain  exploration  and  exploitation  criteria.  There is no  assurance  that
drilling  opportunities  will continue to be  identified in the current  project
portfolio or will be successful if drilled.  The Company's primary focus area is
the San Joaquin Basin of California.

     The San  Joaquin  Basin  of  California  has  proven  to be one of the most
productive  hydrocarbon  producing basins in the continental  United States.  To
date, the approximately  14,000 square mile basin has produced in excess of 12.7
billion barrels of oil equivalent,  and contains 25 fields  classified as giant,
with  cumulative  production of more than 100 million  barrels of oil equivalent
("MMBoe").

     The San Joaquin basin contains six of the 25 largest oil fields in the U.S.
All six of these  fields were  discovered  between  1890 and 1911, a full decade
prior to the  discovery of the first giant Texas oil field.  The basin  accounts
for 34 percent of California's actively producing fields, yet produces more than
75 percent of the state's total oil and gas  production.  Most of the production
within the basin is located  along the western and  southern end of Kern County.
San  Joaquin  basin  production  totals  for  1997  reported  by the  California
Department  of Oil and Gas for all  producers in the  aggregate  indicate  total
production  of 246.9  MMBoe.  Of this figure,  Kern County  accounts for over 90
percent of the oil production from the San Joaquin basin.

     This  basin as a whole  has  suffered  from a lack of  applied  exploration
technology  and deep  drilling.  Only about one percent of the total basin wells
have been  drilled to a depth  greater  than  12,000  feet and none of the 2,000
wells  drilled  during 1996 was  drilled to a depth  greater  than 12,000  feet.
Additional 1996  statistics  indicate that the average well depth drilled during
the year was just slightly more than 1,800 feet.  Three-dimensional  seismic has
been employed only in limited quantity and in certain areas of the basin.

     With limited  exploration in the San Joaquin basin since the "boom" days of
the early 1980s,  the Company believes that multiple  exploration  opportunities
are available.  Deep basin targets, both structural and stratigraphic in nature,
remain  largely  untested with modern  seismic  technology and the drill bit. In
addition,  continued  retrenchment  of major  oil  companies  has  opened up fee
acreage positions to outside  exploration by aggressive  independent  companies.
Although  the Company has  identified a number of  exploration  plays in the San
Joaquin basin, the project that has advanced most rapidly has been the company's
East Lost Hills Prospect.

     In 1997, the Company had identified and, together with Armstrong  Resources
LLC ("Armstrong"),  had undertaken  technical analysis of a deep, large untested
structure in the footwall of the Lost Hills thrust.  This prospect lies directly
east of and structurally below the existing Lost Hills field, which has produced
in excess of 350 MMBoe from  shallow  pay zones in a large  thrusted  anticlinal
feature.  Early in 1998, the Company and Armstrong,  entered into an exploration
agreement with a number of established  Canadian  partners to participate in the
drilling of an initial exploratory well to fully evaluate the feature.  Bellevue
Resources,  Inc., a subsidiary of Elk Point Resources,  Ltd., is operator of the
well.  Currently,  other  participants  in the well include:  Berkley  Petroleum
Corporation,   Paramount  Resources,   Ltd.,  Richland  Petroleum   Corporation,
Westminister  Resources,  Ltd., Kookaburra Resources,  Inc. and Hilton Petroleum
Company.  PYR received cash  consideration for its share of acreage in this play
and a  carried  6.475%  working  interest  through  the  tanks  in  the  initial
exploration  well.  PYR owns an  additional  4.1%  working  interest for a total
before payout working interest of 10.575%,  which reduces to 9.253% after payout
in the initial  exploration  well. The Company owns a total working  interest of
10.575%  in the six  township  area of  mutual  interest,  subject  to a back-in
interest after payout on approximately 900 acres that would reduce the Company's
working interest on those  approximate 900 acres to 9.255%.  The Company and its
joint  working  interest  owners  control  approximately  30,000  gross acres of
leasehold over the prospect.

                                       9
<PAGE>


     The Bellevue Resources et al. #1-17 East Lost Hills well, located in SE1/4.
Sec 17, T26S, R21E, Kern County, California, commenced drilling on May 15, 1998.
The well was designed to test prospective  Miocene  sandstone  reservoirs in the
Temblor Formation. During September 1998, the well was sidetracked in an attempt
to gain  better  structural  position  and  delineate  potential  uphole pay. On
November 23, 1998,  the well was drilling at 17,600 feet toward a total depth of
19,000 feet when it blew out and ignited. No personal injuries resulted,  and an
expert well control team was engaged to contain the fire. Currently, the well is
fully  contained with produced water,  natural gas,  natural gas liquids and oil
being separated and delivered to disposal and processing facilities. In order to
control the well, the operator  commenced drilling a relief well on December 18,
1998,  designed to  intersect  the  wellbore  of the blowout  well at a depth of
approximately  16,500 to 17,000  feet.  Upon  intersection,  the relief  well is
intended to perform a bottom hole kill to permanently plug the blowout well.

     Additional  projects  in  the  San  Joaquin  Basin  include  the  Company's
neighboring  Southeast Maricopa and San Emidio projects.  At Southeast Maricopa,
the  Company's  seismic  contractor,   Western  Geophysical  Company,  completed
acquisition and processing of  approximately 52 square miles of 3-D seismic data
in late 1998.  The Company  continues to interpret  the data in order to further
refine  drillable  prospects.  At  San  Emidio,  the  Company's  approach  is to
incorporate  approximately  39 square miles of existing 3- seismic data with the
newly  acquired  data at its  Southeast  Maricopa  acreage  in order to  further
understand the complex  stratigraphic  geometries and trapping  mechanisms found
here.  The Company may present this project to  potential  industry  partners in
conjunction  with its Southeast  Maricopa  project or may create an  independent
project for  presentation.  The  Company's  approach  may be to obtain  industry
participation  in order to receive a carried  interest in the drilling of one or
more exploration wells. No drilling commitments have been made or received.

     On April 5, 1999,  the  Company  reported it has signed an  agreement  with
Armstrong  Resources,  LLC to participate in three  additional deep  exploration
projects in the San Joaquin basin of California.  All three projects lay outside
the East Lost Hills  joint  venture  area.  The  agreement  calls for PYR to pay
Armstrong  a  combination  of cash and common  stock in  exchange  for a working
interest, ranging from 3.00% to 3.75%, in each of the three exploration prospect
areas.  PYR's  interest  will be carried in the initial test well in each of the
three separate exploration prospects.  The first exploration well in the program
is  expected  to  spud  in  May  and  will  be  operated  by  Berkley  Petroleum
Corporation. The three of exploration prospects, targeting the Temblor Formation
at depths  ranging  from 15,000 to 18,000  feet,  are  expected to be drilled in
sequence with the same rig. It is expected that this  agreement will close on or
before May 1, 1999.

     In addition to the above activities in the San Joaquin Basin of California,
the Company has signed an exploration farmout agreement with Chevron Production,
USA  on   approximately   68,000  gross  (37,000  net)  acres  of  leasehold  in
northwestern  Montana.  In exchange  for the  Company's  payment of delay rental
obligations and Chevron retaining  overriding royalty interests,  ranging from 2
to 5%, the Company has obtained Chevron's interest in this acreage position.

                                       10
<PAGE>


     At February 28, 1999, the Company had a negative  working capital amount of
($1,774,000).  Included in this figure are $2,500,000 of convertible  debentures
sold by the Company in a private placement during the quarter ended November 30,
1998. The private  placement  securities  issued are 10% convertible  notes that
will  automatically  convert to 10% convertible  preferred stock at the time, if
any, that PYR has obtained stockholder approval for, and issued, the convertible
preferred  shares.  The preferred  stock is ultimately  convertible  into common
stock at a conversion price of $.60 per common share.

     The Company had no  outstanding  long-term  debt at February 28, 1999 other
than a capital  lease  obligation  and has not entered into any  commodity  swap
arrangements or hedging transactions. Although it has no current plans to do so,
it may enter into commodity swap and/or  hedging  transactions  in the future in
conjunction with oil and gas production. Nevertheless, there can be no assurance
that the Company will ever have oil and gas production.

     It is anticipated  that the future  development  of the Company's  business
will require additional capital  expenditures.  The Company is in the process of
attempting to control an exploration well at East Lost Hills. Depending upon the
ultimate  results at East Lost  Hills and the  results  of the  Company's  other
exploration  projects,  the  Company  may  require  as  much  as  $4,000,000  to
$6,000,000  for  capital  expenditures  during the next 12 months.  The  Company
intends  to  limit  capital  expenditures  by  forming  industry  alliances  and
exchanging  an  appropriate  portion of its  interest  for cash and/or a carried
interest in its exploration  projects.  The Company anticipates that it may need
to raise additional funds to cover capital expenditures.


Results of Operations

     The quarter  ended  February 28, 1999  ("1999")  compared  with the quarter
ended February 28, 1998 ("1998").

     Operations  during the quarter  ended  February 28, 1999  resulted in a net
loss of  ($251,834)  compared to a net income of $380,746 for the quarter  ended
February 28, 1998.  The  difference is attributed to a gain from the sale of oil
and gas  properties  reported  during the  quarter  ended  February  28, 1998 of
$556,000  and to an  increase in interest  expense in 1999  associated  with the
Company's convertible debentures

     Oil and Gas Revenues and Expenses.  The Company has not owned any producing
or  proved  oil and gas  properties.  Accordingly,  no oil and gas  revenues  or
expenses have been recorded by the Company.

     Depreciation, Depletion and Amortization. The Company recorded no depletion
expense from oil and gas  properties for the quarters ended February 28, 1999 or
1998.  The  Company  has not owned  any  proved  reserves  and had no oil or gas
production.  The  Company  recorded  $6,407 and $6,427 in  depreciation  expense
associated with  capitalized  office furniture and equipment during the quarters
ended February 28, 1999 and 1998, respectively.

                                       11
<PAGE>


     General and  Administrative  Expense.  The Company  incurred  $174,299  and
$173,373  in general  and  administrative  expenses  during the  quarters  ended
February 28, 1999 and 1998, respectively.

     Interest Expense.  The Company recorded $82,204 in interest expense for the
quarter  ended  February  28,  1999  primarily  associated  with  the  Company's
convertible debentures. The Company had nominal interest expense for the quarter
ended February 28, 1998.


     The six months  ended  February  28, 1999  ("1999")  compared  with the six
months ended February 28, 1998 ("1998").

     Operations  during the six months ended February 28, 1999 resulted in a net
loss of ($421,302) compared to a net income of $215,235 for the six months ended
February 28, 1998.  The  difference is attributed to a gain from the sale of oil
and gas  properties  reported  during the six months ended  February 28, 1998 of
$556,000  and to an  increase in interest  expense in 1999  associated  with the
Company's convertible debentures.

     Oil and Gas Revenues and Expenses.  The Company has not owned any producing
or  proved  oil and gas  properties.  Accordingly,  no oil and gas  revenues  or
expenses have been recorded by the Company.

     Depreciation, Depletion and Amortization. The Company recorded no depletion
expense from oil and gas  properties  for the six months ended February 28, 1999
or 1998.  The  Company has not owned any proved  reserves  and had no oil or gas
production.  The Company  recorded  $12,793 and $9,760 in  depreciation  expense
associated with capitalized office furniture and equipment during the six months
ended February 28, 1999 and 1998, respectively.

     General and  Administrative  Expense.  The Company  incurred  $312,074  and
$361,290  in general and  administrative  expenses  during the six months  ended
February 28, 1999 and 1998, respectively.

     Interest Expense. The Company recorded $112,036 in interest expense for the
six months  ended  February 28, 1999  primarily  associated  with the  Company's
convertible  debentures.  The Company had nominal  interest  expense for the six
months ended February 28, 1998.

     Consulting Fee Revenue.  The Company generated $10,000 from consulting fees
during the six months February 28, 1998.  These revenues have ceased and are not
expected to occur in the future.

                                       12
<PAGE>


Year 2000 Compliance

     Year 2000  compliance  is the ability of computer  hardware and software to
respond to the problems posed by the fact that computer  programs  traditionally
have used two digits rather than four digits to define an applicable  year. As a
consequence,  any of the Company's  computer  programs that have  date-sensitive
software  may  recognize a date using "00" as the year 1900 rather than the year
2000.  This  could  result  in  a  system  failure  or  miscalculations  causing
interruption of operations, including temporary inability to perform 3-D seismic
analysis  and to  perform  accounting  functions  and  delays in the  receipt of
payments  from  purchasers  of oil  and gas  production,  if  any.  The  Company
currently is reviewing  the  Company's  computers  and software as well as other
equipment that utilizes imbedded computer chips, such as facsimile  machines and
telephone systems.  The Company believes that its review will be completed prior
to June 30, 1999.  The Company has  confirmed  with the maker of its  accounting
software that it is Year 2000 compliant.

     Until the Company's Year 2000 review has been completed, the Company has no
estimate of the cost to correct any potential deficiency in Year 2000 compliance
for its computers and equipment.  Upon the completion of the Company's Year 2000
review,  the Company intends to develop a contingency plan to address  potential
Year 2000 problems


                                    PART II.

                                OTHER INFORMATION
                                                     
Item 1. Legal Proceedings
          None

Item 2. Changes in Securities
          None

Item 3. Defaults Upon Senior Securities
          None

Item 4. Submission of Matters to a Vote of Security Holders
          None

Item 5. Other Information
          None

Item 6. Exhibits and Reports on Form 8-K

          During the quarter ended  February 28, 1999,  the  Registrant  filed a
          total of two reports on Form 8-K:

          A Form 8K was  filed  on  12/07/98  reporting  a press  release  dated
          12/7/98,
          A Form  8K was  filed  on  1/18/99  reporting  a press  release  dated
          1/15/99,


                                       13
<PAGE>


                                   SIGNATURES
                                   ----------

     In accordance with the requirements of the Exchange Act, the registrant has
caused this report to be signed on its behalf by the undersigned, thereunto duly
authorized.


     PYR ENERGY CORPORATION


      Signatures                        Title                          Date
      ----------                        -----                          ----



/s/ D. Scott Singdahlsen     Chief Executive Officer; President   April 14, 1999
------------------------       and Chairman Of The Board       
D. Scott Singdahlsen



/s/ Andrew P. Calerich       Chief Financial Officer              April 14, 1999
-----------------------
Andrew P. Calerich


                                       14