November 21, 2000

OHIO & SOUTHWESTERN ENERGY CO (OSWE.OB)

Quarterly Report (SEC form 10QSB)

MANAGEMENTS DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS

RESULTS OF OPERATIONS

The Company has experienced expenses for the nine-month period of $67,041 in 2000 and $29,931 in 1999. The Company had no revenues for the period in 2000 or 1999. The Company had a net loss of ($67,041) for the period in 2000 and a net loss of ($29,931) in the same period 1999. The Company losses will continue until income can be achieved. While the company is seeking capital sources for investment; there is no assurance that sources can be found.

LIQUIDITY AND CAPITAL RESOURCES

The Company had no cash capital at the end of the period and no assets. The Company will be forced to either borrow or make private placements of stock in order to fund operations. No assurance exists as to the ability to achieve loans or make private placements of stock.

RELATED PARTIES

The Company accrued management fees for three months totaling $21,000.00 for two directors of the Company.

On July 1st, 2000, the Company entered into a Management Agreement with a company wholly owned by a director of the Company. The term of the Agreement is for two years expiring on July 1, 2002. Thereafter, the Agreement will be automatically renewed for successive 12-month terms. The director through his company shall provide management services to the Company, which include administration of the Company's affairs, liaising with, advising and reporting to the Board and any other such duties as may be reasonably directed from time to time by the Board. In consideration for the services, the Company will pay US$3,500 per month. In the event that the Company is unable to pay due to insufficient working capital, the fee will accrue and be payable at such time as is mutually agreed.

On July 1st, 2000, the Company entered into a Management Agreement with a director of the Company. The term of the Agreement is for two years expiring on July 1, 2002. Thereafter, the Agreement will be automatically renewed for successive 12-month terms. The director shall provide management services to the Company, which include administration of the Company's affairs, liaising with, advising and reporting to the Board and any other such duties as may be reasonably directed from time to time by the Board. In consideration for the services, the Company will pay US$3,500 per month. In the event that the Company is unable to pay due to insufficient working capital, the fee will accrue and be payable at such time as is mutually agreed.

REGISTRANT'S EMPLOYEE STOCK OPTION PLAN 2000

A Registrant's Employee Stock Option Plan was adopted by the Board of Directors on September 30, 2000. The Plan will expire on September 30, 2010.