Exhibit 99.2

ELEMENT 21 GOLF COMPANY AND SUBSIDIARY

CONSOLIDATED STATEMENTS OF OPERATIONS

FOR THE NINE AND THREE MONTHS ENDED MARCH 31, 2008 AND 2007

(unaudited)

	Nine months Ended March 31,						Three months Ended March 31,
	2008			2007			2008			2007
REVENUES	$	952,562		$	115,636		$	565,630		$	89,325
COST OF SALES		736,419			52,852			461,292			33,640
GROSS MARGIN		216,143			62,784			104,338			55,685
General and administrative expenses		4,128,770			5,319,668			1,274,478			1,742,099
LOSS FROM OPERATIONS		(3,912,627	)		(5,256,884	)		(1,170,140	)		(1,686,414	)
OTHER INCOME (EXPENSE)
Interest income		11,047			19,982			3,236			19,982
Interest expense		(10,174	)		(1,018,570	)		(10,174	)		(194,953	)
Other income (expense)		0			87,151			0			87,151
Derivative income		2,282,497			1,952,196			253,853			3,848,832
		2,283,370			1,040,759			246,915			3,761,012
INCOME (LOSS) BEFORE PROVISION FOR INCOME TAXES		(1,629,257	)		(4,216,125	)		(923,225	)		2,074,598
Provision for income taxes		-			-			-			-
NET INCOME (LOSS)		(1,629,257	)		(4,216,125	)		(923,225	)		2,074,598
Accretion of preferred stock dividends		-			4,000,000			-			-
INCOME (LOSS) APPLICABLE TO COMMON SHAREHOLDERS	$	(1,629,257	)	$	(8,216,125	)	$	(923,225	)	$	2,074,598
Basic weighted average shares		6,266,673			5,510,435			6,646,287			5,648,695
Diluted weighted average shares		6,266,673			5,510,435			6,646,287			6,141,506
Basic income (loss) per share		($0.26	)		($1.49	)		($0.14	)	$	0.37
Diluted income (loss) per share		($0.26	)		($1.49	)		($0.14	)	$	0.34