UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 10-Q

Quarterly report pursuant to Section 13 or 15 (d) of the Securities Exchange Act
of 1934

For the quarter ended JUNE 30, 1997

Commission file number 0-8927

NEVADA GOLD & CASINOS, INC.
(Exact name of registrant as specified in its charter)

NEVADA 88-0142032
(State or other Jurisdiction (IRS Employer
of incorporation) Identification Number)

3040 POST OAK BLVD. SUITE 675, HOUSTON, TEXAS 77056
(Address of principal executive offices) (Zip Code)

(713) 621-2245
Registrant's telephone number:

Indicate by check mark 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 [_]

As of June 30, 1997 there were 8,417,320 shares of common stock outstanding.

NEVADA GOLD & CASINOS, INC.
INDEX

PART I

ITEM 1. FINANCIAL STATEMENTS PAGE NO.

Balance Sheets as of June 30 and March 31, 1997 ............... 3
Statements of Operations for the Three Months Ended
June 30, 1997 and 1996 ...................................... 4
Statements of Cash Flows for the Three Months Ended
June 30, 1997 and 1996 ...................................... 5

Notes to Interim Financial Statements ......................... 6

ITEM 2

Management's Discussion and Analysis of Financial Condition
and Results of Operations ................................... 10

PART II

OTHER INFORMATION

Item 1 Through 6 .............................................. 12

NEVADA GOLD & CASINOS, INC.
BALANCE SHEETS

June 30, March 31,
1997 1997
----------- -----------
(Unaudited) (Audited)
ASSETS
CURRENT ASSETS
Cash and cash equivalents ........................ $ 11,334 $ 78,245
Short term investments ........................... 17,608 17,408
Other assets ..................................... 66,000 65,000
----------- -----------
TOTAL CURRENT ASSETS ............................. 94,942 160,653

Property and assets held for development ......... 4,228,594 4,203,418
Mining properties & claims ....................... 480,812 480,812
Furniture, fixtures and equipment, net ........... 106,766 111,140
----------- -----------
TOTAL ASSETS ..................................... $ 4,911,114 $ 4,956,023
=========== ===========

LIABILITIES & STOCKHOLDERS' EQUITY
CURRENT LIABILITIES
Accounts payable and accrued liabilities ......... $ 319,274 $ 325,893
Short term notes payable ......................... 1,646,619 1,504,367
Current portion of long term debt ................ 106,569 112,492
----------- -----------
TOTAL CURRENT LIABILITIES ........................ 2,072,462 1,942,752
----------- -----------

LONG TERM DEBT
Mortgages payable, net of current portion ........ 165,158 176,632
Notes payable, net of current portion ............ 29,784 32,268
----------- -----------
TOTAL LONG TERM DEBT ............................. 194,942 208,900
----------- -----------
TOTAL LIABILITIES ................................ 2,267,404 2,151,652
----------- -----------

STOCKHOLDERS' EQUITY
Preferred stock, $10 par value, 500,000 shares
authorized, 90,100 shares outstanding ........... 901,000 901,000
Common stock, $.12 par value, 10,000,000 shares
authorized, 8,417,320 and 8,349,046 shares
outstanding at June 30 and March 31, 1997,
respectively ................................. 1,010,078 1,001,886
Additional paid in capital ....................... 6,047,080 5,956,959
Accumulated deficit prior to development
stage (12/27/93) ............................. (2,296,077) (2,296,077)
Accumulated deficit during development stage ..... (3,018,371) (2,759,397)
----------- -----------
TOTAL STOCKHOLDERS' EQUITY ....................... 2,643,710 2,804,371
----------- -----------
TOTAL LIABILITIES AND STOCKHOLDERS'
EQUITY ....................................... $ 4,911,114 $ 4,956,023
=========== ===========

The accompanying notes are an integral part of these financial statements.

NEVADA GOLD & CASINOS, INC.
STATEMENTS OF OPERATIONS
(UNAUDITED)

Three Months Ended
June 30, Cumulative Amounts
-------------------------- During Development
1997 1996 Stage (Since 12/27/93)
----------- ----------- -----------

REVENUES
Royalty income ...................... $ 15,000 $ 5,000 $ 219,000
Other income ........................ 365 16,095 496,534
----------- ----------- -----------

TOTAL REVENUES ...................... 15,365 21,095 715,534
----------- ----------- -----------

EXPENSES
General & administrative ............ 105,412 111,446 1,234,567
Interest expense .................... 65,937 33,748 552,959
Salaries ............................ 51,841 12,315 330,826
Legal & professional fees ........... 41,078 107,557 1,309,029
Other ............................... 10,071 20,064 306,524
----------- ----------- -----------

TOTAL EXPENSES ...................... 274,339 285,130 3,733,905
----------- ----------- -----------

NET LOSS ............................ $ (258,974) $ (264,035) $(3,018,371)
=========== =========== ===========

PER SHARE INFORMATION
Weighted average number of common
shares and equivalent outstanding 8,355,048 8,136,788 6,556,254
=========== =========== ===========

Net loss per common share ........... $ (.03) $ (.03) $ (.46)
=========== =========== ===========

The accompanying notes are an integral part of these financial statements.

NEVADA GOLD & CASINOS, INC.
STATEMENTS OF CASH FLOWS
(UNAUDITED)

Three Months Ended
June 30, Cumulative Amounts
------------------------ During Development
1997 1996 Stage (Since 12/27/93)
---------- ---------- --------------------

CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss) ............................... $ (258,974) $ (264,035) $ (3,018,371)
Adjustments to reconcile net loss to
net cash provided (used) by operating
activities:
Depreciation ................................ 6,653 6,653 53,123
Consultant and investment banker
option expense .......................... 0 0 320,625
Changes in operating assets and liabilities:
Receivable .............................. (1,200) (1,814) 205,325
Accounts payable and accrued liabilities 81,325 153,208 1,148,365
---------- ---------- --------------------
NET CASH USED IN OPERATING ACTIVITIES ........... (172,196) (105,988) (1,290,933)
---------- ---------- --------------------

CASH FLOWS FROM INVESTING ACTIVITIES:
Property and assets held for development .... (25,176) (35,372) (1,297,690)
Purchase of furniture, fixtures and equipment (2,279) 0 (31,317)
---------- ---------- --------------------
NET CASH USED BY INVESTING ACTIVITIES ........... (27,455) (35,372) (1,329,007)
---------- ---------- --------------------

CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from debt .......................... 164,500 124,078 3,750,662
Common stock issued for cash, net of
offering costs .......................... 0 3,750 1,021,563
Fractional shares redeemed .................. 0 0 (36)
Payments on debt ............................ (31,760) (41,798) (2,443,702)
Salaries contributed by officers ............ 0 0 1,000
Prepaid stock subscription .................. 0 0 295,500
---------- ---------- --------------------
NET CASH PROVIDED BY FINANCING ACTIVITIES ....... 132,740 86,030 2,624,987
---------- ---------- --------------------

Net increase (decrease) in cash ................. (66,911) (55,330) 5,047

Beginning cash balance .......................... 78,245 76,371 6,287
---------- ---------- --------------------

Ending cash balance ............................. $ 11,334 $ 21,041 $ 11,334
========== ========== ====================

SUPPLEMENTAL INFORMATION:
Cash paid for interest ...................... $ 14,604 $ 6,760 $ 279,047
========== ========== ====================
Cash paid for taxes ......................... $ 0 $ 0 $ 0
========== ========== ====================

The accompanying notes are an integral part of these financial statements.

NEVADA GOLD & CASINOS, INC.
JUNE 30, 1997
NOTES TO INTERIM FINANCIAL STATEMENTS

ITEM 1.

GENERAL BUSINESS

Nevada Gold & Casinos, Inc.'s (the "Company") principal business
historically was mineral exploration and development of properties indirectly,
principally through investments in partnerships and joint ventures. On December
27, 1993, control of the Company changed, and the Company began to explore the
real estate development and gaming businesses in Colorado. The Company is
considered to be in the development stage since December 27, 1993. In January
1994, the Company changed its name from Pacific Gold Corporation to Nevada Gold
& Casinos, Inc. While the Company is maintaining its mining business, it is
anticipated that its growth will be in the real estate and casino businesses.

GAMING DEVELOPMENT

Management has devoted a substantial portion of its efforts toward the
evaluation of alternatives to maximize the Company's participation in a gaming
project in Black Hawk, Colorado, as well as raising capital to fund the ongoing
operations of the Company.

In March 1996, Nevada Gold & Casinos, Inc. and Caesar's World Gaming
Corporation ("Caesar's"), a subsidiary of ITT Corporation, had announced joint
development plans for this project. Although all the necessary land was
assembled, designs were completed, and operating agreements were signed, no
further action was taken. The Company's ownership interest in this project would
have been between 13% and 22%, depending upon the amount of land and cash
contributed by the Company.

In 1997, Nevada Gold & Casinos, Inc. and Casino America, Inc. entered into
an operating agreement to develop a new Isle of Capri casino planned to be the
largest in Colorado at Black Hawk, 25 miles west of Denver. In connection with
this agreement, Casino America, Inc. entered into a separate agreement with an
affiliate of Caesars World, Inc. ("Caesars World") to acquire property in Black
Hawk from an affiliate of Caesars World. The Company will hold its interest in
the Isle of Capri Casino Black Hawk through a wholly owned subsidiary, Black
Hawk Gold, Ltd., a Colorado Corporation ("Black Hawk Gold.") The Company,
through Black Hawk Gold, is required to make a capital contribution of land,
valued under the agreement at $7.9 million. The land is subject to a note
payable with a balance, including principal and interest, of approximately
$400,000 that will be paid by the joint venture. The property to be transferred
includes lots 5, 6, 7 and 8 of Block 51, and adjoining land comprised of over
three acres located in Black Hawk, Colorado. Under the terms of this agreement,
the Company would own approximately 48% of the joint venture. Casino America,
Inc. would own approximately 52% of the joint venture and will manage the casino
under a long term management agreement for a fee based upon the revenues
generated by the project. The development of the project is subject to a number
of conditions, including financing for the project and the receipt of all
required regulatory approvals, particularly approval from the Colorado Gaming
Division.

NEVADA GOLD & CASINOS, INC.
JUNE 30, 1997
NOTES TO INTERIM FINANCIAL STATEMENTS

In January 1997, the Company engaged Jefferies and Company, Inc.
("Jefferies" or the "Financial Advisor") a nationally known investment banking
concern, prominent in the gaming industry, as its exclusive financial advisor in
connection with the structuring and financing of the planned casino project. The
Company, through the Financial Advisor, is actively pursuing the completion of a
$75 million institutional debt offering to provide financing for the Isle of
Capri Black Hawk casino project. The Company is also pursuing funding for the
operating needs of the Company. The short-term viability of the Company is
dependent upon its ability to raise sufficient cash to meet its cash
requirements and the long-term viability of the Company is dependent upon the
successful completion and operation of a casino project.

In July 1997, the operating agreement with Casino America was amended.
Pursuant to the amended operating agreement, upon the closing of the
institutional debt offering, the Company will receive a loan in the amount of
$500,000, $700,000 in cash for sale of part of its ownership interest in the
joint venture and an additional commitment to fund up to $800,000 toward the
Company's future cash requirements. The Company's ownership of the joint venture
will be reduced to approximately 41% upon receipt by the Company of the initial
$1,200,000 and its ownership will be reduced to approximately 36% if all of the
additional commitment is used. The Company has the option to repurchase the sold
portion of its ownership interest in the project within 180 days after the date
of each funding.

The Company conveyed certain real property to the City of Black Hawk for
the realignment of Miners Mesa Road in exchange for rights and title to a
fifteen-foot strip of adjacent gaming property that would increase the square
footage available for gaming and provide additional land to the joint venture.

REAL ESTATE DEVELOPMENT

On September 9, 1994, Gold Mountain Development, LLC was formed. Per
negotiated agreement with the other three members, Nevada Gold & Casino, Inc.'s
ownership was 40%. On September 26, 1995, the Company acquired the remaining 60%
interest in Gold Mountain Development, LLC, making it a wholly owned subsidiary.
Intercompany balances have been eliminated in preparing the Company's financial
statements as of June 30, and March 31, 1997.

On July 9, 1996, President Clinton signed legislation authorizing a
public-private land exchange that will make possible the creation of a major new
residential and recreational development near the Black Hawk gaming area west of
Denver, while also preserving 8,700 acres of pristine wilderness area throughout
Colorado. Public law 104-158 authorizes the Bureau of Land Management to swap
133 separate tracts of federal land comprised of over 300 acres. This project is
designed to provide housing, commercial infrastructure, retail and resort
facilities for the fast growing gaming area of Black Hawk and Central City.

NEVADA GOLD & CASINOS, INC.
JUNE 30, 1997
NOTES TO INTERIM FINANCIAL STATEMENTS

As of March 31, 1995, the Company entered into an agreement to purchase
100% of the outstanding common stock of Sunrise Land and Minerals, Inc.
("Sunrise"). The seller financed the entire purchase price of the acquisition
through a non-recourse note. Effective August 23, 1996, the Company retired the
short-term non-recourse note associated with the Sunrise purchase, through the
issuance of 166,667 restricted shares of the Company's common stock.

MINING INTERESTS

The Company had a joint venture agreement with Cameco U.S., Inc.
("Cameco") which was terminated effective March 31, 1996. Effective November 1,
1996, the Company entered into a new lease with Sagebrush Exploration, Inc.,
("Sagebrush") permitting Sagebrush to explore, develop, and mine the properties
in the Goldfield Mining District located in Nye and Esmeralda Counties, Nevada.
The Company received a cash payment of $32,100 for annual land maintenance fees,
and advance minimum royalty payments of $5,000 per month. The Company is also
entitled to receive a production royalty of five percent (5%) of "net smelter
returns" for all products mined or removed from the property. Sagebrush may
elect at any time during the term of the lease to purchase up to one percent
(1%) of the royalty for the sum of $2.5 million. The Company will receive from
Sagebrush, upon approval of the Vancouver Stock Exchange, 50,000 shares of the
capital stock from Sagebrush's parent company, Coromandel Resources, Ltd.,
("Coromandel"). The Company will receive an additional 50,000 shares of capital
stock of Coromandel one year from the effective date of this lease. This lease
has an initial term of 10 years. The lease can be extended at Sagebrush's option
for nine additional terms of 10 years each, so long as Sagebrush is conducting
exploration, development, or mining of the property. For a period of 66 months
from the effective date of this lease, the Company has the option to acquire a
49% working interest in the property. Sagebrush agrees to incur expenditures for
exploration and development of the property of not less than $5 million in the
aggregate, over the first five years of this lease. Sagebrush will also be
responsible for keeping the property current on any and all taxes and
maintenance fees.

REVERSE COMMON STOCK SPLIT

On August 23, 1996, the Company's Board of Directors approved and declared
a three-for-one reverse stock split of the Company's authorized, issued and
outstanding shares of common stock, par value $.04 per share. Holders of the
Common Stock were not entitled to cumulative voting. The stock split was
accompanied by an increase in the par value of the common stock from $.04 per
share to $.12 per share. All references in the consolidated financial statements
referring to shares, share prices, per share amounts and stock plans have been
adjusted retroactively for the three-for-one reverse stock split.

NEVADA GOLD & CASINOS, INC.
JUNE 30, 1997

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

The accompanying unaudited consolidated financial statements have been
prepared in accordance with generally accepted accounting principles for interim
financial information. Accordingly, they do not include all of the information
and footnotes required by generally accepted accounting principles for complete
financial statements. In the opinion of management, all adjustments considered
necessary for fair presentation have been included. Certain prior year balances
have been reclassified to conform to current year presentation.

These financial statements are consolidated for all wholly owned
subsidiaries. All significant intercompany transactions and balances have been
eliminated in the financial statements.

NEVADA GOLD & CASINOS, INC.
JUNE 30, 1997

ITEM 2

MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF
OPERATIONS

RESULTS OF OPERATIONS

THREE MONTHS ENDED JUNE 30, 1997 COMPARED WITH THREE MONTHS ENDED JUNE 30, 1996

Revenues decreased $5,730 for the three months ended June 30, 1997
compared to the same period in the prior year. The current quarter included a
$15,730 decrease in interest income. The prior year included interest income
received from BSH, Inc., an affiliate of the President and Secretary of the
Company. Royalty income increased $10,000. The current year included $15,000
under the terms of the Sagebrush lease that was effective beginning November 1,
1996, while the prior year included $5,000 received under the terms of a rental
agreement with Cameco that was terminated effective March 31, 1996.

General and administrative expenses decreased $6,034 for the three months
ended June 30, 1997 compared to the same period in the prior year, including a
decrease of $8,314 in contract labor due to the hiring of additional personnel
to handle accounting and other functions previously outsourced by the Company.

Interest expense increased $32,189 for the three months ended June 30,
1997 as compared to the same period last year. The current quarter included
interest expense on short-term notes and interest on the accrued expenses
related to the management agreement with Aaminex.

Salaries increased $39,525 for the three months ended June 30, 1997 as
compared to the same period last year, due to the hiring of additional personnel
to handle accounting and other functions previously outsourced by the Company.

Legal and professional fees decreased $66,479 including decreases of
$34,736 in legal fees and $26,507 in consulting fees. The prior year included
costs associated with the acquisition of capital and legal fees related to the
Caesars Black Hawk project.

Other expenses decreased $9,983, including a decrease of $4,427 in
printing expense.

LIQUIDITY AND CAPITAL RESOURCES

For the period ended June 30, 1997, revenues of the Company did not cover
expenses relating to its business operations. Additionally, there have been no
revenues from the Company's gaming interests to date, since the activities are
currently in the pre-development stage. Management does not anticipate
significant increases in revenues from any of its operations over the next year.

NEVADA GOLD & CASINOS, INC.
JUNE 30, 1997

During the three months ended June 30, 1997, the Company increased its
short-term debt by $57,621 to cover its operating deficit and for scheduled
payments on its long-term debt. Advances in the amount of $69,500 were received
from certain affiliates of the Company. Additional funds were obtained through
private sales of restricted Company Stock to "accredited" investors, as such
term is defined under Securities and Exchange Commission Regulation D.

Effective December 31, 1996, the Board of Directors and the holders of the
Company's common stock having at least a majority of the voting power of the
shares, approved and authorized the issuance of 500,000 shares of Preferred
Stock, $10 par value per share. The preferred stock may be issued in one or more
series, which may be determined at the time of issuance by the Board of
Directors without further action by the holders of the common stock. On December
31, 1996, the Board of Directors approved the issuance of 125,000 shares of
preferred stock and the Company issued 90,100 shares of 12% cumulative preferred
stock, $10 par value, which are callable by the Company. These shares were
issued in exchange for short-term notes payable to Clay County Holdings, Inc.,
an affiliate of the Secretary of the Company, and accrued management fees due to
Aaminex Capital Corp. ("Aaminex"), an affiliate of the President of the Company

In 1996, the Company offered $8.5 Million in Convertible Secured Notes. As
of August 23, 1996, the Company withdrew such offering. Funds in the escrow
account were returned to the investors in compliance with the terms of the
offering.

In January 1997, the Company engaged Jefferies and Company, Inc. as its
exclusive financial advisor in connection with the structuring and financing of
the planned casino project. The Company, through Jefferies, is actively pursuing
the completion of a $75 million institutional debt offering to provide financing
for the Black Hawk casino project. The Company is also pursuing funding for the
operating needs of the Company. The short-term viability of the Company is
dependent upon its ability to raise sufficient cash to meet its cash
requirements and the long-term viability of the Company is dependent upon the
successful completion and operation of a casino project.

SUBSEQUENT EVENT

ITEM 3
Not applicable

NEVADA GOLD & CASINOS, INC.
JUNE 30, 1997

PART II. OTHER INFORMATION

ITEM 1. LEGAL PROCEEDINGS
Not applicable

ITEM 2. CHANGES IN SECURITIES.
Not applicable

ITEM 3. DEFAULTS UPON SENIOR SECURITIES.
Not applicable

ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.
Not applicable

ITEM 5. OTHER INFORMATION.
Not applicable

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

(A) INDEX TO EXHIBITS

*3.1 - Articles of Incorporation

*3.2 - Amendment to Articles of Incorporation

*3.3 - By-laws

*4.1 - Deed of Trust

*4.2 - Master Secured Note

*4.3 - Note Participation Agreement

*10.1 - Operating Agreement Caesars Black Hawk, LLC.

10.2 - Operating Agreement of ICB L.L.C.

27 - Financial Data Schedule

* Exhibits were previously filed and are incorporated by reference.

(B) Reports on Form 8-K
8K filed 6/30/97
Item 4 Changes in Registrant's Certifying Accountant
Item 5 Other Events
8K/A filed 7/22/97
Item 4 Changes in Registrant's Certifying Accountant
Item 5 Other Events

NEVADA GOLD & CASINOS, INC.
JUNE 30, 1997

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has fully caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.

NEVADA GOLD & CASINOS, INC.
(Registrant)

By:/S/ ELIZABETH A. WOODS
Elizabeth A. Woods
Treasurer
And Chief Financial Officer

DATE: August 14, 1997