U.S. SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 U.S. 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 quarterly period ended: March 31, 2012 AMERIGO ENERGY, INC. (Exact name of small business issuer as specified in its charter) Delaware 20-3454263 ------ ---------- 	(State State or other 			(I.R.S. Employer 	jurisdiction of incorporation 		Identification No.) 	or organization) 2580 Anthem Village Drive Henderson, NV 89052 --------------------------------------------------- (Address of principal executive offices) (Zip Code) (702) 399-9777 --------------------------- (Issuer's telephone number) Indicate by check mark whether the issuer (1) filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act during the past 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[ ] Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T ({section}232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). YES [ ] NO[ ] Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of "large accelerated filer," "accelerated filer" and "smaller reporting company" in Rule 12b-2 of the Exchange Act. Large accelerated filer		[ ] Accelerated filer		[ ] Non-accelerated filer		[ ] (Do not check if a smaller reporting company) Smaller reporting company	[X] Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act) YES [ ] NO [X] APPLICABLE ONLY TO CORPORATE ISSUERS State the number of shares outstanding of each of the issuer's classes of common equity, as of the latest practicable date: 24,124,824 shares of common stock, $0.001 par value, as of May 11, 2012 TABLE OF CONTENTS ITEM 1. FINANCIAL STATEMENTS................................................. CONSOLIDATED BALANCE SHEET................................................. CONSOLIDATED STATEMENT OF OPERATIONS....................................... STATEMENT OF STOCKHOLDER'S EQUITY.......................................... CONSOLIDATED STATEMENT OF CASH FLOWS....................................... NOTES TO FINANCIAL STATEMENTS.............................................. ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURE ABOUT MARKET RISK............ ITEM 4. CONTROLS AND PROCEDURES.............................................. PART II - OTHER INFORMATION.................................................... ITEM 1. LEGAL PROCEEDINGS.................................................... ITEM 2. CHANGES IN SECURITIES AND USE OF PROCEEDS............................ ITEM 3. DEFAULTS UPON SENIOR SECURITIES...................................... ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.................. ITEM 5. OTHER INFORMATION.................................................... ITEM 6. EXHIBITS............................................................. SIGNATURES..................................................................... PART I - FINANCIAL INFORMATION ITEM 1. FINANCIAL STATEMENTS AMERIGO ENERGY, INC. BALANCE SHEETs 	As of 	As of 		March 31,	December 31 											2012 											(Unaudited) 											---------	----------- ASSETS Current assets Cash $ - $16 											---------	------- Total current assets - 16 Other Assets - Deposits 950 950 											---------	--------- Total other assets $950 $950 											---------	--------- Total assets $950 $966 											=========	========= LIABILITIES AND STOCKHOLDERS' (DEFICIT) Current liabilities Accounts payable and accrued liabilities 	$42,690 $39,604 Uncleared checks drawn on bank 1,460 - Accounts payable - related party 	 45,800 18,215 Advances from related parties 	 16,077 16,077 Payroll liabilities 	 54,000 36,000 Accrued Interest - Related Parties 	 35,591 35,591 Judgment payable 	120,000 120,000 										 ---------	--------- Total current liabilities 	315,618 265,487 Long-term liabilities - - 										 ---------	--------- Total liabilities 	315,618 265,487 Stockholders' (deficit) Preferred stock (25,000,000 shares authorized & 500,000 shares outstanding at Mar. 31, 2012) 500 500 Common stock; $.001 par value; 100,000,000 shares authorized; 24,124,824 and 25,524,824 shares outstanding at Mar 31, 2012 and Dec 31 2011 respectively 				 	24,124 25,524 Additional paid-in capital 15,441,512 15,440,612 Accumulated deficit (15,780,804) (15,731,157) 										 ------------	 ------------ Total stockholders' (deficit) (314,668) (264,521) 											-------		-------- Total liabilities and stockholders' (deficit) $950 $966 											=======		======== AMERIGO ENERGY, INC. STATEMENTS OF OPERATIONS 							 Three Months Ended 	March 31,	March 31, 	2012		2011 							-------------------------- Revenue Oil revenues $223 	 $18,772 Gas revenues 80 	 12,315 						 ----------	 ----------- Total Revenue 303 	 31,087 Gross Profit 303 	 31,087 Operating expenses Lease operating expenses 137 	 19,205 Selling, general and administrative 2,601 	 8,197 Professional fees 47,212 	 147,500 Depreciation and amortization expense - 	 305 Depletion expense - 	 1,473 						 ----------	 ----------- Total operating expenses 49,950 	 176,680 						 ----------	 ----------- Loss from operations (49,647) 	(145,593) Other income (expenses): Other expense - 	 (157) Gain on extinguishment of debt - 	 2,272 						 ----------	 ----------- Total other income (expenses) - 	 2,115 Loss before provision for income taxes (49,647) 	(143,478) 						 ========== =========== Provision for income taxes Net loss $(49,647) 	$(143,478) 						 ==========	 =========== Basic and diluted (loss) per common share $(0.00) 	$(0.01) 						 ==========	 =========== Basic and diluted weighted average common shares outstanding 24,138,157 	22,814,331 						 ===========	 =========== AMERIGO ENERGY, INC. STATEMENTS OF CASH FLOW 			 	(UNAUDITED) 							 	 Three Months Ended 		March 31,	March 31, 		2012		2011 						 		------------------------- Cash flows from operating activities: Net loss $(49,647) $(143,478) Adjustments to reconcile net loss to net cash provided by operating activities: Stock issued for services / settle debt 1,000 516,880 Stock issued for oil interest 69 Increase / (Decrease) in note payable settled with stock (368,904) Debts settled with oil interest (2,988) Depletion, depreciation and amortization 305 Changes in operating assets and liabilities: Increase in accounts receivable 5,058 Increase / (decrease) in accounts payable 3,086 - Increase / (decrease) in accounts payable - related parties 27,585 (70) Increase / (decrease) in accrued payroll 18,000 (6,678) Rounding Error 3 						 		----------	-------- Net cash provided by operating activities 24 197 Cash flows from investing activities: 								 -	 - 						 		----------	-------- Net cash used by investing activities - - Cash flows from financing activities: Uncleared checks drawn on bank 1,460 Repurchase and retirement shares (1,500) 						 		----------	-------- Net cash used by financing activities (40) - 						 		----------	-------- Net (decrease) in cash (16) 197 Cash, beginning of period 16 372 	 						 	----------	-------- Cash, end of period $ - $569 								==========	======== AMERIGO ENERGY, INC. STATEMENT OF STOCKHOLDERS DEFICIT 			Additional Total 	Common Stock 	Preferred Stock 	Paid-in 	Accumulated 	Stockholders' 	Shares Amount 	Shares	 Amount	Capital 	Deficit 	Deficit 			-------------------	----------------	-----------	-----------	------------ 			=======	 =======	====== ======	===========	===========	============ Balance, December 25,524,824 $25,524 500,000	 $500 	$15,440,612	$(15,731,157)	$(264,521) 31, 2011 			=======	 =======	====== ======	===========	===========	============ Shares issued for 	100,000		100		 900					 1,000 Services Repurchase and Retirement of Shares			(1,500,000) (1,500)	 							 (1,500) Net Loss										 (49,647)	 (49,647) $ Balance, March		 24,124,824 $24,124 	 500,000 $500	 $15,441,512 $(15,780,804)	$(314,668) 31, 2012 (Unaudited) 			========== =======	====== ======	===========	===========	============ AMERIGO ENERGY, INC. NOTES TO FINANCIAL STATEMENTS 				(UNAUDITED) NOTE 1 - BASIS OF PRESENTATION The interim financial statements included herein, presented in accordance with United States generally accepted accounting principles and stated in US dollars, have been prepared by the Company, without audit, pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted pursuant to such rules and regulations, although the Company believes that the disclosures are adequate to make the information presented not misleading. These statements reflect all adjustments, consisting of normal recurring adjustments, which, in the opinion of management, are necessary for fair presentation of the information contained therein. It is suggested that these interim financial statements be read in conjunction with the financial statements of the Company for the year ended December 31, 2011 and notes thereto included in the Company's Form 10-K. The Company follows the same accounting policies in the preparation of interim reports. Results of operations for the interim periods are not indicative of annual results. Recent pronouncements: The Company's management has reviewed all of the FASB's Accounting Standard Updates through March 31, 2012 and has concluded that none will have a material impact on the Company's financial statements. Management does not believe that any other recently issued but not yet effective accounting pronouncements, if adopted, would have an effect on the accompanying consolidated financial statements. Going Concern The accompanying financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. The Company has incurred cumulative net losses of approximately $15,780,804 since its inception and requires capital for its contemplated operational and marketing activities to take place. The Company's ability to raise additional capital through the future issuances of the common stock is unknown. The obtainment of additional financing, the successful development of the Company's contemplated plan of operations, and its transition, ultimately, to the attainment of profitable operations are necessary for the Company to continue operations. The ability to successfully resolve these factors raise substantial doubt about the Company's ability to continue as a going concern. The financial statements of the Company do not include any adjustments that may result from the outcome of these aforementioned uncertainties. NOTE 2 - OIL AND GAS LEASES DURING THE QUARTER ENDED MARCH 31, 2012: For the quarter ended March 31, 2012, the Company generated royalties on producing oil and gas properties in the amount of $303. For the quarter ended March 31, 2011, the Company generated royalties on producing oil and gas properties in the amount of $31,087. The depletion expense for the quarter ended March 31, 2012 and 2011 was $0 and $1,473, respectively. NOTE 3 - STOCKHOLDERS' DEFICIT As of March 31, 2012, there were 24,124,824 shares of common stock outstanding and 500,000 preferred shares outstanding. DURING THE QUARTER ENDED MARCH 31, 2012, THE COMPANY ISSUED COMMON STOCK AS FOLLOWS: During the quarter ended March 31, 2012, the company issued 100,000 shares of common stock to a consultant for services rendered. During the quarter ended March 31, 2012, the entered into a buyback agreement with a shareholder. The company agreed to buy back 1,500,000 shares for a purchase price of $1,500. These shares with cancelled with the transfer agent and are no longer outstanding. NOTE 4 - RELATED PARTY TRANSACTIONS As of March 31, 2012, the Company had $54,000 in accrued payroll payable to the Company's current officer. The Company has a consulting agreement with a firm controlled by the Company's Chief Financial Officer for a fee of $3,500 per month. The consulting firm has been engaged to assist in organizing and completing the process of filings with the Securities and Exchange Commission and other tasks. The Company owed the firm $45,800 as of March 31, 2012 which is included as part of Accounts payable - related party in the accompanying financial statements. NOTE 5 - SUBSEQUENT EVENTS The Company has evaluated subsequent events through April 30, 2012, the date which it has made its financial statements available, and has identified no significant reportable events through that date. WHERE YOU CAN FIND ADDITIONAL INFORMATION We have filed with the Securities and Exchange Commission this Form 10-Q, including exhibits, under the Securities Act. You may read and copy all or any portion of the registration statement or any reports, statements or other information in the files at SEC's Public Reference Room located at 100 F Street, NE., Washington, DC 20549, on official business days during the hours of 10 a.m. to 3 p.m. You can request copies of these documents upon payment of a duplicating fee by writing to the Commission. You may call the Commission at 1-800-SEC-0330 for further information on the operation of its public reference room. Our filings, including the registration statement, will also be available to you on the website maintained by the Commission at http://www.sec.gov. We intend to furnish our stockholders with annual reports which will be filed electronically with the SEC containing consolidated financial statements audited by our independent auditors, and to make available to our stockholders quarterly reports for the first three quarters of each year containing unaudited interim consolidated financial statements. The company's website address is ttp://www.amerigoenergy.com; however, the site has recently come down and is being revamped to account for the updates to the company's business plan. Our website and the information contained on that site, or connected to that site, is not part of or incorporated by reference into this filing. ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS PRELIMINARY NOTE REGARDING FORWARD-LOOKING STATEMENTS This discussion contains forward-looking statements. The reader should understand that several factors govern whether any forward-looking statement contained herein will be or can be achieved. Any one of those factors could cause actual results to differ materially from those projected herein. These forward-looking statements include plans and objectives of management for future operations, including plans and objectives relating to the products and the future economic performance of the Company. Assumptions relating to the foregoing involve judgments with respect to, among other things, future economic, competitive and market conditions, future business decisions, and the time and money required to successfully complete development projects, all of which are difficult or impossible to predict accurately and many of which are beyond the control of the Company. Although the Company believes that the assumptions underlying the forward-looking statements contained herein are reasonable, any of those assumptions could prove inaccurate and, therefore, there can be no assurance that the results contemplated in any of the forward- looking statements contained herein will be realized. Based on actual experience and business development, the Company may alter its marketing, capital expenditure plans or other budgets, which may in turn affect the Company's results of operations. In light of the significant uncertainties inherent in the forward-looking statements included therein, the inclusion of any such statement should not be regarded as a representation by the Company or any other person that the objectives or plans of the Company will be achieved. A complete discussion of these risks and uncertainties are contained in our Annual Financial Statements included in the Form 10-K for the fiscal year ended December 31, 2011, as filed with the Securities and Exchange Commission on April 16, 2012. INTRODUCTION The Company derives its revenues from its producing oil and gas properties, of which the substantial majority are predominantly oil properties. These properties consist of working interests in producing oil wells having proved reserves. Our capital for investment in producing oil properties has been provided by the sale of common stock to its shareholders. The following is a discussion of the Company's financial condition, results of operations, financial resources and working capital. This discussion and analysis should be read in conjunction with the Company's financial statements contained in this Form 10-Q. OVERVIEW RESULTS OF OPERATIONS REVENUES For the quarter ended March 31, 2012, the Company generated royalties on producing oil and gas properties in the amount of $303. For the quarter ended March 31, 2011, the Company generated royalties on producing oil and gas properties in the amount of $31,087. OPERATING EXPENSES Lease Operating - Lease operating expense for the quarter ended March 31, 2012 totaled $137 as compared to $19,205 for the quarter ended March 31, 2011. The decrease is directly related to the decrease in interest the Company holds. General and Administrative - General and administrative expenses were $2,601 for the quarter ended March 31, 2012, compared to $8,197 for the quarter ended March 31, 2011. Professional Fees - Professional fees for the quarter ended March 31, 2012 were $47,212 as compared to $147,500 for the period ended March 31, 2011. The decrease was related to the decreased use of consultants. Depreciation, Amortization, and Depletion - Depreciation and amortization expenses were $0 for the quarter ended March 31, 2012 compared to $305 for the quarter ended March 31, 2011. The decrease is directly related to the write off of all depreciable and amortizable assets at year end 2010 and 2011. Depletion expenses were $0 for the quarter ended March 31, 2012 compared to $1,473 in depletion expenses for the quarter ended March 31, 2011 and was calculated based on an estimate using the straight line method over the estimated lives of the proved interests until production studies have been completed on the oil and gas properties. The decrease is directly related to the decrease in interest the company holds in Producing oil and gas properties. OTHER INCOME AND EXPENSES During the three months ended March 31, 2012, the company had no other income or expense items. NET LOSS ATTRIBUTABLE TO COMMON STOCK We realized a net loss of $49,647 for the quarter ended March 31, 2012, compared to a net loss of $143,478 for the quarter ended March 31, 2011, a decrease of $93,831. The decrease in net loss is partially attributable to a decrease Selling General and Administrative expenses and Lease operating expense as compared to the three months ended March 31, 2011. LIQUIDITY AND CAPITAL RESOURCES At March 31, 2012, we had cash in the amount of $0 and a working capital deficit of $315,618. In addition, our stockholders' deficit was $314,668 at March 31, 2012. Our accumulated deficit increased from $15,731,157 at December 31, 2011 to $15,780,804 at March 31, 2012. Our operations provided net cash of $24 during the quarter ended March 31, 2012, compared to $197 during the quarter ended March 31, 2011, a decrease of $173. Net cash used by investing activities was $0 for the quarter ended March 31, 2012 and $0 for the quarter ended March 31, 2011. Our financing activities used net cash of $40 during the quarter ended March 31, 2012, compared to net cash of $0 during the quarter ended March 31, 2011. INFLATION The Company's results of operations have not been affected by inflation and management does not expect inflation to have a material impact on its operations in the future. OFF- BALANCE SHEET ARRANGEMENTS The Company currently does not have any off-balance sheet arrangements. ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURE ABOUT MARKET RISK Not Applicable ITEM 4. CONTROLS AND PROCEDURES EVALUATION OF DISCLOSURE CONTROLS We evaluated the effectiveness of our disclosure controls and procedures as of March 31, 2012, the end of the period covered by this Quarterly Report on Form 10-Q. This evaluation was undertaken by our Chief Executive Officer and Chief Financial Officer, Jason F. Griffith. Mr. Griffith serves as our principal executive officer and as our principal accounting and financial officer. We reviewed and evaluated the effectiveness of the design and operation of our disclosure controls and procedures, as of the end of the fiscal quarter covered by this report, as required by Securities Exchange Act Rule 13a-15, and concluded that our disclosure controls and procedures are effective to ensure that information required to be disclosed in our reports filed with the Securities and Exchange Commission pursuant to the Securities Exchange Act of 1934, as amended, is accumulated and communicated to management on a timely basis, including our principal executive officer and principal financial and accounting officer. CONCLUSIONS Based on this evaluation, our principal executive officer and principal financial and accounting officer concluded that our disclosure controls and procedures are effective to ensure that the information we are required to disclose in reports that we file pursuant to the Exchange Act are recorded, processed, summarized, and reported in such reports within the time periods specified in the Securities and Exchange Commission's rules and forms. CHANGES IN INTERNAL CONTROLS There were no changes in our internal controls over financial reporting that occurred during the last fiscal quarter, i.e., the three months ended March 31, 2012, that have materially affected, or are reasonably likely to materially affect, our internal controls over financial reporting. PART II - OTHER INFORMATION ITEM 1. LEGAL PROCEEDINGS. Amerigo has signed an agreement with the individual to acquire his interest in certain oil and gas leases for $120,000, payable at $10,000 per month starting April 1, 2010, with subsequent payments due on the 1st of each month. The term of the note is One (1) year. The Company is offered a prepayment discount if the Company pays $100,000 on or before Tuesday, June 1, 2010. Upon final payment and settlement of the note, the individual will return all shares of stock (with properly executed stock power) that he individual holds of Granite Energy and / or Amerigo Energy, along with his entire interest in the Kunkel lease, which is 3.20% working interest (2.54% net revenue interest), as well as his ownership in what is know as the 4 Well Program (0.325% working interest, 0.2438% net revenue interest). The company has not kept current with the agreement and the individuals promissory note has now been escalated to a judgment against the company. As of the date of this filing, terms of settling the judgment have not been resolved despite the efforts of the judgment holder to collect on the amount owed. As of March 31, 2012, other than the lawsuit disclosed in the previous paragraphs, the Company is not a party to any pending material legal proceeding. To the knowledge of management, no federal, state or local governmental agency is presently contemplating any proceeding against the Company. To the knowledge of management, no director, executive officer or affiliate of the Company, any owner of record or beneficially of more than five percent of the Company's Common Stock is a party adverse to the Company or has a material interest adverse to the Company in any proceeding. ITEM 2. CHANGES IN SECURITIES AND USE OF PROCEEDS. None. ITEM 3. DEFAULTS UPON SENIOR SECURITIES. Not applicable. ITEM 4. MINE SAFETY DISCLOSURES. Not applicable. ITEM 5. OTHER INFORMATION. Not applicable. ITEM 6. EXHIBITS (a) Exhibits. 31.1 Certification of our Principal Executive Officer and Principal Financial and Accounting Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 32.1 Certification of our Chief Executive Officer and Chief Financial Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (18 U.S.C. Section 1350) SIGNATURES In accordance with the requirements of the Exchange Act, the registrant caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. Date: May 21, 2012 By: /s/ Jason F. Griffith --------------------- Jason F. Griffith Chief Executive Officer, and Chief Financial Officer