þ ☒QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

¨ ☐TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

~~3250 Mary~~7901 4th Street ~~#303, Miami,~~ N STE #4174, St Petersburg, Florida ~~33133~~33702

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. Yesþ No ¨☒ No☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yesþ☒ No ¨☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act). Yes ¨☐Noþ☒

The number of shares outstanding of the registrant’s classes of common stock as ~~of May~~August 2, ~~2019~~2022 was ~~90,394,683~~174,930,002 shares.

The information contained in this Report, including in the documents incorporated by reference into this Report, includes some statements that are not purely historical and that are “forward-looking statements.” Such forward-looking statements include, but are not limited to, statements regarding our Company and management’s expectations, hopes, beliefs, intentions or strategies regarding the future, including our financial condition, results of operations, and the expected impact of the offering on the parties’ individual and combined financial performance. In addition, any statements that refer to projections, forecasts or other characterizations of future events or circumstances, including any underlying assumptions, are forward-looking statements. The words “anticipates,” “believes,” “continue,” “could,” “estimates,” “expects,” “intends,” “may,” “might,” “plans,” “possible,” “potential,” “predicts,” “projects,” “seeks,” “should,” “will,” “would” and similar expressions, or the negatives of such terms, may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking.

The forward-looking statements contained in this Report are based on current expectations and beliefs concerning future developments and the potential effects on the parties and the transaction. There can be no assurance that future developments actually affecting us will be those anticipated. These forward-looking statements involve a number of risks, uncertainties (some of which are beyond the parties’ control) or other assumptions that may cause actual results or performance to be materially different from those expressed or implied by these forward-looking statements. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date stated, or if no date is stated, as of the date hereof.

Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance, or achievements. Except as required by applicable law, including the securities laws of the United States, we do not intend to update any of the forward-looking statements to conform these statements to actual results. The following discussion should be read in conjunction with our financial statements and the related notes included in this Report.


								June 30,				December 31,
	March 31, 2019			December 31, 2018				2022				2021
	(Unaudited)							(Unaudited)
ASSETS
CURRENT ASSETS:
Prepaid expenses	$	2,325		$	—

CURRENT ASSETS
Cash							$	57,751			$	589,668
Accounts receivable								54,982				55,169
Inventory								447,775				196,553
Prepaid expenses and other current assets								324,705				432,082
TOTAL CURRENT ASSETS		2,325			—				885,213				1,273,472

Property and equipment, net								76,227				3,834
Operating lease right-of-use asset								106,014				49,432

TOTAL ASSETS	$	2,325		$	—			$	1,067,454			$	1,326,738

LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)

LIABILITIES AND STOCKHOLDERS' DEFICIT
CURRENT LIABILITIES:
CURRENT LIABILITIES
Accounts payable and accrued expenses	$	890,266		$	861,222			$	940,858			$	941,309
Due to affiliate (Note 5)		280,427			298,313
Convertible loan payables (Note 6)		684,825			586,825
Due to officers (Note 5)		2,069,255			1,994,168
Accounts payable – related party								55,697				124,370
Convertible loans payable, net of discounts								39,999				176,703
Due to officers								53,668				17,485
Derivative liability								0				354,160
Current portion of operating lease liability								83,208				39,148
Common stock subscriptions liability								0				377,350
TOTAL CURRENT LIABILITIES		3,924,773			3,740,528			$	1,173,430			$	2,030,525

COMMITMENTS AND CONTINGENCIES (Note 7)
Operating lease liability, net of current portion								22,806				10,283
TOTAL LIABILITIES								1,196,236				2,040,808

COMMITMENTS AND CONTINGENCIES (Note 14)								0				0

STOCKHOLDERS' DEFICIT:
Preferred stock, par value $.001 per share; 500,000,000 shares authorized, no shares issued and outstanding in March 31, 2019 and December 31, 2018, respectively		—			—
Common stock, par value $.001 per share; 1,000,000,000 shares authorized, 88,113,933 and 87,913,933 shares issued and outstanding in March 31, 2019 and December 31, 2018, respectively		88,114			87,914
Preferred stock, par value $.001 per share; 500,000,000 shares authorized, 9,780,976 shares issued and outstanding as of June 30, 2022 and December 31, 2021, respectively								9,781				9,781
Common stock, par value $.001 per share; 1,000,000,000 shares authorized, 173,019,421 and 143,840,643 shares issued and outstanding as of June 30, 2022 and December 31, 2021, respectively								173,019				143,840
Common stock subscriptions, 1,000,000 and 15,855,000 shares at June 30, 2022 and December 31, 2021, respectively								150,000				792,745
Additional paid in capital		7,219,662			7,187,862				22,811,646				20,777,401
Accumulated deficit		(11,230,224	)		(11,016,304	)			(23,288,217	)			(22,395,393	)
Accumulated other comprehensive loss								14,989				(42,444	)
TOTAL STOCKHOLDERS' DEFICIT		(3,922,448	)		(3,740,528	)			(128,782	)			(714,070	)

TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIT	$	2,325		$	—			$	1,067,454			$	1,326,738

See accompanying notes to the condensed consolidated financial statements (unaudited).


	For the Three Months Ended							For the Three Months Ended								For the Six Months Ended
	March 31,							June 30,								June 30,
	2019			2018				2022				2021				2022				2021

GENERAL and ADMINISTRATIVE EXPENSES
Management fees to affiliate	$	75,000		$	75,000
Marketing fees							$	352			$	2,287			$	93,599			$	167,475
Officers’ salaries and payroll taxes		80,738			80,738				123,036				82,277				236,273				157,277
Professional fees		47,185			35,250				189,842				34,264				291,740				91,266
Travel and entertainment		2,900			1,928				6,373				0				18,448				0
Other general and administrative expenses		3,201			7,713				115,636				38,521				238,291				46,813
TOTAL GENERAL and ADMINISTRATIVE EXPENSES		209,024			200,629				435,239				157,349				878,351				462,831

LOSS FROM OPERATIONS		(209,024	)		(200,629	)			(435,239	)			(157,349	)			(878,351	)			(462,831	)

OTHER EXPENSE
Interest and Other expense, net		(4,896	)		(1,444	)
TOTAL OTHER EXPENSE		(4,896	)		(1,444	)
OTHER INCOME (EXPENSE)
Change in fair value of derivative liability								0				(126,855	)			243,653				183,493
Other expense								(97,609	)			0				(132,414	)			0
Interest income (expense), net								(1,266	)			(119,277	)			(125,712	)			(558,195	)
TOTAL OTHER INCOME (EXPENSE)								(98,875	)			(246,132	)			(14,473	)			(374,702	)

LOSS BEFORE TAXES		(213,920	)		(202,073	)			(534,114	)			(403,481	)			(892,824	)			(837,533	)

TAXES		—			—				0				0				0				0

NET LOSS	$	(213,920	)	$	(202,073	)		$	(534,114	)			(403,481	)			(892,824	)			(837,533	)

Loss per share - Basic and diluted	$	(0.00	)	$	(0.00	)
OTHER COMPREHENSIVE LOSS
Foreign currency translation adjustments								43,463				(1,405	)			57,433				(3,906	)
TOTAL OTHER COMPREHENSIVE LOSS								43,463				(1,405	)			57,433				(3,906	)

Weighted average number of shares outstanding - Basic and diluted		87,998,377			87,652,841
COMPREHENSIVE LOSS							$	(490,651	)		$	(404,886	)		$	(835,391	)		$	(841,439	)

Net loss per common share - Basic							$	(0.00	)		$	(0.00	)		$	(0.01	)		$	(0.01	)
Net loss per common share - Diluted							$	(0.00	)		$	(0.00	)		$	(0.01	)		$	(0.01	)

Weighted average number of common shares outstanding - Basic								172,194,043				135,763,200				160,900,298				132,789,864
Weighted average number of common shares outstanding - Diluted								172,194,043				135,763,200				160,900,298				132,789,864

See accompanying notes to the condensed consolidated financial statements (unaudited).

Condensed ~~Consolidated Statement~~Statements of Changes in Stockholders’ Deficit

See accompanying notes to the condensed consolidated financial statements (unaudited).

~~Eurosport Active World~~Energy and Water Development Corp. ~~(formerly Eagle International Holdings Group Inc.”)~~ (the “Corporation”, “Company”~~, “EIH”~~ or ~~“EAWC”~~“EAWD”), was incorporated under the laws of the State of Florida on ~~August 23, 2000.~~December 12, 2007. In September 2019, the Company changed its name from Eurosport Active World Corp. to Energy and Water Development Corp. to better present the Company’s purpose and business sector. We are an engineering services company formed as an outsourcing green tech platform, seeking to exploit renewable energy and water technologies.

On May 7^th, 2021, the Company established an official Branch to initiate operations and assist on the establishment of an official subsidiary. On November 9, 2021, the Company established an official Subsidiary of EAWD in Germany to ensure the company is positioned to service its growing business in one of the EU’s most environmentally progressive countries. This subsidiary was incorporated under the name of Energy and Water development Deutschland GmbH (“EAWD Deutschland”), in Hamburg, Germany.

On May 19, 2022, the Company initiated the process for the establishment of an additional Subsidiary of EAWD in Germany to provide logistics services for EAWD Deutschland. This subsidiary still in process of incorporation under the name of EAWD Logistik GmbH (“EAWD Logistik”), in Frankfurt, Germany.

The condensed consolidated financial statements include the accounts of EAWD and its subsidiary. All intercompany transactions and balances have been eliminated in consolidation.

The condensed consolidated financial statements (unaudited) include the accounts of ~~Eurosport Active World~~Energy and Water Development Corp. ~~and its wholly-owned subsidiaries Powermax Energy, Powermax Green Technologies, GEM, Swiss Green Solutions and African Sunlight~~ and have been prepared in accordance with accounting principles generally accepted in the United States of America and the rules of the Securities and Exchange Commission. These unaudited condensed financial statements should be read in conjunction with the financial statements and related notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, ~~2018~~2021 filed with the SEC.

In the opinion of management, all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of financial position and the results of operations for the interim periods presented have been reflected herein. The results of operations for the interim periods are not necessarily indicative of the results to be expected for the full year. Notes to the financial statements that would substantially duplicate the disclosures contained in the audited financial statements of ~~Eurosport Active World~~Energy and Water Development Corp. for the fiscal year ended December 31, ~~2018~~2021, have been omitted.

The United States dollar (“USD”) is the Company’s reporting currency. The Company has a subsidiary located in Germany. The net sales generated, and the related expenses directly incurred from the operations, if any, are denominated in local currency, Euro (“Euro”). The functional currency of the subsidiary is generally the same as the local currency.

Assets and liabilities measured in Euros are translated into USD at the prevailing exchange rates in effect as of the financial statement date and the related gains and losses, net of applicable deferred income taxes, are reflected in accumulated other comprehensive loss in its balance sheets. Income and expense accounts are translated at the average exchange rate for the period. The Company has not, to the date of these consolidated financial statements, entered into derivative instruments to offset the impact of foreign currency fluctuations. During the three and six months ended June 30, 2022 the Company used a spot rate of 1.05 and an average rate of 1.09 when converting EURO to USD.

The preparation of condensed financial statements in accordance with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of expenses during the reporting periods. Actual results could differ from those estimates. Estimates which are particularly significant to the condensed financial statements include estimates relating to the determination of impairment of assets, assessment of going concern, the useful life of property and equipment, the determination of the fair value of stock-based compensation, and the recoverability of deferred income tax assets.

Effective January 1, 2019, the Company adopted ASC 842- Leases (“ASC 842”). The lease standard provided a number of optional practical expedients in transition. The Company elected the package of practical expedients. As such, the Company did not have to reassess whether expired or existing contracts are or contain a lease; did not have to reassess the lease classifications or reassess the initial direct costs associated with expired or existing leases. The lease standard also provides practical expedients for an entity’s ongoing accounting. The Company elected the short-term lease recognition exemption under which the Company will not recognize right-of-use (“ROU”) assets or lease liabilities, and this includes not recognizing ROU assets or lease liabilities for existing short-term leases. The Company elected the practical expedient to not separate lease and non-lease components for certain classes of assets (facilities).

At the inception of an arrangement, the Company determines whether the arrangement is or contains a lease based on the unique facts and circumstances present in the arrangement. Leases with a term greater than one year are recognized on the balance sheet as right-of-use assets and short-term and long-term lease liabilities, as applicable.

The Company considers short-term interest-bearing investments with initial maturities of three months or less to be cash equivalents. The Company has $57,751 and $589,668 cash at June 30, 2022 and December 31, 2021, respectively.

Inventory is stated at the lower of cost or net realizable value using the first in, first out (FIFO) method. A reserve is established if necessary to reduce excess or obsolete inventories to their net realizable value.

Prepaid expenses and other current assets include prepaid inventory, purchase deposits, miscellaneous prepaid expenses, value added tax receivable, and a security deposit.

Property and equipment is stated at cost, less accumulated depreciation. Depreciation is recognized over an asset’s estimated useful life using the straight-line method beginning on the date an asset is placed in service. The Company regularly evaluates the estimated remaining useful lives of the Company’s property and equipment to determine whether events or changes in circumstances warrant a revision to the remaining period of depreciation. Maintenance and repairs are charged to expense as incurred. Estimated useful lives of the Company’s Property and Equipment are as follows:

The Company has recorded deferred financing costs as a result of fees incurred by the Company in conjunction with its debt financing activities. These costs are amortized to interest expense using the straight-line method which approximates the interest rate method over the term of the related debt. As of June 30, 2022 and December 31, 2021, unamortized deferred financing costs were $0 and $6,663, respectively and are netted against the related debt.

The Company recognizes revenue in accordance with ASC 606, Revenue from Contracts with Customers, the core principle of which is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled to receive in exchange for those goods or services.

To achieve this core principle, five basic criteria must be met before revenue can be recognized: (1) identify the contract with a customer; (2) identify the performance obligations in the contract; (3) determine the transaction price; (4) allocate the transaction price to performance obligations in the contract; and (5) recognize revenue when or as the Company satisfies a performance obligation.

Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at a measurement date. A fair value hierarchy requires an entity to maximize the use of observable inputs, where available, and minimize the use of unobservable inputs when measuring fair value.

Described below are the three levels of inputs that may be used to measure fair value:

Level 1 – Quoted prices in active markets that are accessible at the measurement date for identical assets or liabilities,

Level 2 – Observable prices that are based on inputs not quoted on active markets, but corroborated by market data,

Level 3 – Unobservable inputs are used when little or no market data is available.

The application of the three levels of the fair value hierarchy under ASC Topic 820-10-35, our derivative liabilities as of June 30, 2022 and December 31, 2021, were $0 and $354,160, respectively and measured on Level 3 inputs.

Certain ~~reclassifications~~assets and liabilities are required to be recorded at fair value on a recurring basis. The Company adjusts derivative financial instruments to fair value on a recurring basis. The fair value for other assets and liabilities such as cash, accounts receivable, prepaid expenses and other current assets, accounts payable and accrued expenses, deferred cost and deferred revenue have been ~~made in Fiscal 2018 results~~determined to ~~conform~~approximate carrying amounts due to the ~~presentation used in Fiscal 2019.~~short maturities of these instruments. The Company believes that its indebtedness approximates fair value based on current yields for debt instruments with similar terms.

The Corporation accounts for earnings (loss) per share in accordance with FASB ASC Topic No. 260 - 10, “Earnings Per Share”, which establishes the requirements for presenting earnings per share (“EPS”). FASB ASC Topic No. 260 - 10 requires the presentation of “basic” and “diluted” EPS on the face of the statement of operations. Basic EPS amounts are calculated using the weighted-average number of common shares outstanding during each period. Diluted EPS assumes the exercise of all stock options, warrants and convertible securities having exercise prices less than the average market price of the common stock during the periods, using the treasury stock method. When a loss from operations exists, potential common shares are excluded from the computation of diluted EPS because their inclusion would result in an anti-dilutive effect on per share amounts.

~~In addition, as~~As discussed more fully in Note 6,10, convertible note holders have the option of converting their loans into common shares ~~commencing on February 19, 2019,~~subject to the ~~completion of an approved S-1 registration of its common shares.~~terms and features offered by the specific convertible notes. Some ~~lenders~~note holders were also granted ~~the right~~purchase options to purchase additional shares ~~however these rights expired as~~subject to the features of ~~June 13, 2018. The above~~each purchase option. If the convertible note holders of unexercised convertible notes exercised their conversion feature ~~represents a potential~~and the additional purchase options, they would represent 0 for ~~6,787,350~~the three and ~~4,741,750~~six months ended June 30, 2022, and 2,708,091 in additional common shares ~~at March 31, 2019~~for the three and ~~2018, respectively.~~six months ended June 30, 2021. The potential shares from both the conversion feature and the rights to purchase additional shares were excluded from the computation of diluted net loss per share, as the inclusion of such shares would be anti-dilutive.

A transaction is considered to be a related party transaction when there is a transfer of resources or obligations between related parties. A related party is generally defined as:

Accounting standards promulgated by the FASB are subject to change. Changes in such standards may have an impact on the Corporation’s future ~~consolidated~~ financial statements. The following are a summary of recent accounting developments.

On January 1, 2022, the Company adopted ASU No. 2020-06, Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging - Contracts in Entity’s Own Equity (Subtopic 815-40). This standard eliminates the beneficial conversion and cash conversion accounting models for convertible instruments. It also amends the accounting for certain contracts in an entity’s own equity that are currently accounted for as derivatives because of specific settlement provisions. In addition, the new guidance modifies how particular convertible instruments and certain contracts that may be settled in cash or shares impact the diluted EPS computation. The adoption of ASU 2020-06 did not have a material impact on the Company’s condensed consolidated financial statements.

On January 1, 2022, the Company adopted ASU No. 2021-04, Earnings Per Share (Topic 260), Debt – Modifications and Extinguishments (Subtopic 470-50), Compensation – Stock Compensation (Topic 718), and Derivatives and Hedging – Contracts in Entity’s Own Equity (Subtopic 815-40): Issuer’s Accounting for Certain Modification or Exchanges of Freestanding Equity-Classified Written Call Options (“ASU 2021-04”), which will clarify and reduce diversity in practice. Specifically, the new standard includes a recognition model comprising four categories of transactions and corresponding accounting treatment for each category. The category that would apply to a modification or an exchange of an equity-classified warrant would depend on the substance of the modification transaction (e.g., a financing transaction to raise equity versus one to raise debt). This recognition model is premised on the idea that the accounting for the transaction should not differ from what it would have been had the issuer of the warrants paid cash instead of modifying the warrants. The adoption of ASU 2021-04 did not have a material impact on the Company’s condensed consolidated financial statements.

In ~~February~~June 2016, the FASB issued ASU ~~2016-02,~~2016-13, Financial Instruments – Credit Losses to improve information on credit losses for financial assets and net investment in leases that are not accounted for at fair value through net income. ASU 2016-13 replaces the current incurred loss impairment methodology with a methodology that reflects expected credit losses. In April 2019 and May 2019, the FASB issued ASU No. 2019-04, “Codification Improvements to Topic 326, Financial Instruments-Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments” and ASU No. 2019-05, “Financial Instruments-Credit Losses (Topic 326): Targeted Transition Relief” which provided additional implementation guidance on the previously issued ASU. In November 2019, the FASB issued ASU 2019-10, “Financial Instruments - Credit Loss (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842),” which defers the effective date for public filers that are considered small reporting companies (“SRC”) as defined by the Securities and Exchange Commission to increase transparency and compatibility among organizations by recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about leasing arrangements. Topic 842 affects any entity that enters into a lease, with some specific scope exceptions. The guidance in this update supersedes Topic 840,~~Leases.~~ The core principle of Topic 842 is that a lessee should recognize the assets and liabilities that arise from leases. A lessee should recognize in the statement of financial position a liability to make lease payments (the lease liability) and a right-of-use asset representing its right to use the underlying asset for the lease term. For public companies, the amendments in this update are effective for fiscal years beginning after December 15, ~~2018,~~2022, including interim periods within those fiscal years. Since the Company is an SRC, implementation is not needed until January 1, 2023. The ~~adoption~~Company will continue to evaluate the effect of adopting ASU ~~No. 2016-02~~2016-13 will have ~~no material impact on our financial statements.~~

~~In June 2018, the FASB issued ASU 2018-07,~~~~“Improvements to Non-Employee Share-Based Payment Accounting”,~~~~which simplifies the accounting for share-based payments granted to non-employees for goods and services by expanding the scope of ASC Topic 718, “~~~~Compensation – Stock Compensation”.~~ The guidance is effective for public companies for fiscal years, and interim fiscal periods within those fiscal years, beginning after December 15, 2018. The Company does not believe that the adoption of ASU 2018-07 will have a significant impact on the Company’s ~~consolidated~~ financial ~~statements.~~statements and disclosures.

The ~~Corporation~~Company has ~~yet to commercialize its products and consequently has generated no revenue, incurring~~incurred operating losses since ~~inception (June 24, 2005)~~it began operations (December 2012) totaling ~~$11,230,224~~$23,288,217 at ~~March 31, 2019.~~June 30, 2022. During the three and six months ended ~~March 31, 2019,~~June 30, 2022, the Corporation incurred net losses of ~~$213,920.~~$534,114 and $892,824, respectively. The Company ~~also incurred~~had a working capital deficit of ~~$3,922,448~~$288,217 at ~~March 31, 2019.~~June 30, 2022.

~~These factors raise substantial doubt regarding the Corporation’s~~The Company’s ability to transition to profitable operations is dependent upon achieving a level of revenues adequate to support its cost structure. The timing and amount of our actual expenditures will be based on many factors, including cash flows from operations and the anticipated growth of our business and availability to sufficient resources.

Management expects sales operations to continue ~~as a going concern.~~to expand. If necessary, the Company will need to raise additional funds during 2022. Management of the Company intends to raise additional funds through the issuance of equity securities or debt, credit lines or advances from suppliers. The ability of the ~~Corporation~~Company to continue as a going concern depends upon its ability to generate sales or obtain additional funding to finance operating losses until the Corporation is profitable. ~~The Corporation expects to be financed through equity capital, debt financing or from deposits related to purchases orders on proposals pending customer acceptance.~~

InThese factors raise substantial doubt about the ~~event the Corporation does not generate sufficient funds from issuance of common stock, debt financing or purchase orders, it may be unable~~Company’s ability to ~~fully implement its business plan and pay its obligations~~continue as ~~they become due, any of which circumstances would have~~ a ~~material adverse effect on its business prospects, financial condition, and results of operations.~~going concern. The accompanying condensed consolidated financial statements do not include any adjustments that might ~~result from~~be necessary if the ~~outcome~~Company is unable to continue as a going concern.

At June 30, 2022 and December 31, 2021, accounts receivable was $54,982 and $55,169, respectively, and determined to be fully collectible.

The components of ~~these uncertainties.~~inventory at June 30 and December 31, 2021, consisted of the following:

The components of prepaid expenses and other current assets at June 30, 2022 and December 31, ~~2018~~2021, consisted of the following:

~~Amounts due to officers as~~The components of ~~March 31, 2019~~property and equipment at June 30, 2022 and December 31, ~~2018 are comprised~~2021 consisted of the following:

~~Unsecured advances due to officers represent unreimbursed Corporation~~Depreciation expense for the three months ended June 30, 2022 and 2021 was $3,894 and $0, respectively, and for the six months ended June 30, 2022 and 2021 was $4,767 and $0, respectively, and is included in other general and administrative expenses ~~paid by~~on the ~~officers on behalf~~condensed consolidated statements of operations and comprehensive loss.

Note 9. Accounts Payable and Accrued Expenses and Accounts payable – Related Party

Significant components of accounts payable and accrued expenses at June 30, 2022 and December 31, 2021 are as follows:

As of June 30, 2022 and December 31, 2021, the Company owed Virhtech Gmbh, a related party of the ~~Corporation. These advances are non-interest bearing~~Company, $55,697 and ~~are due on demand.~~

~~Accrued salaries represent amounts accrued in accordance with the employment agreements~~$124,370, respectively, for services performed for the ~~Corporation’s Chief Executive Officer~~Company and ~~Chief Operating Officer (see note 7).~~is classified as accounts payable – related party on the condensed consolidated balance sheets.

Effective January 2017 the Company engaged EAWC Tecnologias Verdes, SA (“EAWC-TV”) to provide its management services, including disbursement processing for $25,000 per month totaling $300,000 annually. During the first quarter

As of ~~2017~~June 30, 2022 and ~~prior, EAWC-TV had been a borrower from EAWC. But starting in the second quarter of 2017 EAWC-TC began repaying EAWC. The balance due to at~~ December 31, ~~2017 had decreased to $116,643. In April 2018, EAWC-TV completed~~2021, the ~~repayment~~balance of ~~all funds previously borrowed from EAWC~~convertible loans payable net of discount was $39,999 and ~~continued to remit its own funds to EAWC suppliers on behalf of EAWC and in satisfaction of EAWC obligations to its suppliers.~~ $176,703, respectively.

During the year ~~ending~~ended December 31, ~~2018, EAWC-TV provided $300,000~~2021, the Company issued two convertible loans in the aggregate amount of ~~services plus $3,620 net~~$404,000. The notes bear interest at 8% per annum and all mature within one year. On October 21, 2021, the Maturity Date of the $304,000 loan was extended from March 25, 2022 to April 21, 2022. The embedded beneficial conversion features in ~~interest~~the notes meet the definition of a derivative and ~~remitted $170,483~~requires bifurcation and liability classification, at fair value. The fair value of the derivative liability as of the date of issuance was $746,672 and was recorded as a discount of the notes.

The Company issued debts that consist of the issuance of convertible notes with variable conversion provisions. The conversion terms of the convertible notes are variable based on certain factors, such as the future price of the Company’s common stock. The number of shares of common stock to ~~vendors~~be issued is based on the future price of the Company’s common stock. The number of shares of common stock issuable upon conversion of the promissory note is indeterminate. Due to the fact that the number of shares of common stock issuable could exceed the Company’s authorized share limit, the equity environment is tainted, and all additional convertible debentures and warrants are included in ~~satisfaction~~the value of ~~EAWC obligations. EAWC also remitted $20,000~~the derivative liabilities. Pursuant to ~~EAWC-TV. The balance due~~ASC 815-15 Embedded Derivatives, the fair values of the variable conversion options and warrants and shares to ~~EAWC-TV by EAWC~~be issued were recorded as derivative liabilities on the issuance date and revalued at each reporting period.

Based on the various convertible notes described above, the fair value of applicable derivative liabilities on notes and change in fair value of derivative liability are as follows as of June 30, 2022 and December 31, ~~2018~~2021:

A summary of quantitative information with respect to valuation methodology and significant unobservable inputs used for the Company’s derivative liabilities that are categorized within Level 3 of the fair value hierarchy for the periods ended June 30, 2022 and December 31, 2021 is as follows:

The foregoing assumptions are reviewed quarterly and are subject to change based primarily on management’s assessment of the probability of the events described occurring. Accordingly, changes to these assessments could materially affect the valuations.

Financial liabilities measured at fair value on a recurring basis are summarized below and disclosed on the balance sheet under Derivative liability – warrants and derivative liabilities:

There were no transfers between Level 1, 2 or 3 during the three months ended June 30, 2022 and 2021.

During the three and six months ended June 30, 2022 the Company recorded gains of $0 and $243,653, respectively, and for the three and six months ended June 30, 2021, the Company recognized $126,855 and $183,493, respectively, from the change in fair value of derivative liability.

The Company’s leases do not provide an implicit rate that can be readily determined. Therefore, the Company uses discount rates based on the incremental borrowing rate of its current external debt of 8%.

The Company’s weighted-average remaining lease term relating to its operating leases is 1.24 years, with a weighted-average discount rate of the 8.00%.

The Company incurred lease expense for its operating leases of $14,639 and $13,176, which was ~~$298,313.~~

included in general and administrative expenses in the statements of operation for the three months ended June 30, 2022 and 2021, respectively, and $24,352 and $13,176 for the six months ended June 30, 2022 and 2021, respectively. During the three months ended ~~March~~June 30, 2022 and 2021, the Company made cash lease payments of $14,639 and $17,483, and for the six months ended June 30, 2022 and 2021, the Company made cash lease payments in the amount of $24,352 and $17,483, respectively. At June 30, 2022 and December 31, ~~2019, EAWC had paid $120,480 to EAWC-TV~~2021, the operating lease right-of-use asset was $106,014 and ~~EAWC-TV charged EAWC $75,000 in monthly management fees. In addition, EAWC-TV had funded~~$49,432, respectively, the current portion of operating lease liability was $83,208 and ~~paid on behalf~~$39,148, respectively, and the noncurrent portion of ~~EAWC $24,278 to EAWC vendors~~the operating lease liability was $22,806 and ~~charged EAWC $3,316 in interest.~~ $10,283, respectively.

The ~~balance due to EAWC-TV by EAWC at March 31, 2019 was $280,427.~~following table presents information about the future maturity of the lease liability under the Company’s operating leases as of June 30, 2022.

Amounts due to officers as of ~~March 31, 2019~~June 30, 2022 and December 31, ~~2018,~~2021 are comprised of the ~~Company had outstanding in aggregate $684,825~~following:

Unsecured advances due to officers represent unreimbursed Corporation expenses paid by the officers on behalf of the Corporation. These advances are non-interest bearing and ~~$586,825, respectively, in convertible loans. The convertible loans~~ are due on ~~demand unsecured, have no maturity date~~demand.

Accrued salaries represent amounts accrued in accordance with the employment agreements for Mr. Hofmeier, the Company’s President, Chief Executive Officer and ~~are generally non-interest bearing although some~~Chairman of the notes have 2% interest. The holders of the instrument have the option to convert these convertible loans into common stock at conversion prices ranging from $1.00 to $.10 per share. The conversion feature becomes exercisable commencing whenBoard, and Ms. Velazquez, the Company’s ~~S-1 registration went effective on February 19, 2019.~~Chief Operating Officer and Vice-Chairman. Mr. Hofmeier and Ms. Velazquez are also significant stockholders. See Note 15. Subsequent Events for new employee agreements.

~~The above debentures were determined to be solely debt without an equity portion as the Company has determined that these conversion options issued in 2018~~

EAWC-TV functions as a distributor of EAWD product. In 2019, EAWC-TV, having secured EAWD’s first customer, has placed a $550,000 order for a solar powered atmospheric water generator (“AWG”) for one of its customers. EAWC-TV and the Company on December 13, 2019 agreed to accept a $303,742 reduction in the balance owed by EAWD to EAWC-TV as a deposit with EAWD related to this order. The deposit was satisfied through delivery of the equipment. The equipment was built in Germany.

In 2020, manufacture of the unit was delayed due to Covid-19 related issues. The Company and EAWC-TV agreed as it had done in 2019, to clear the outstanding balances in the D/T/F EAWC-TV and the outstanding balance it carried in its accounts payable account for administrative services, which it did on December 26, 2020 which resulted in an additional down payment of $193,497. EAWC-TV has an unpaid balance on the equipment of $54,982 and 55,169 as of June 30, 2022 and December 31, ~~2018~~2021, respectively, which represents the balance of the Company’s outstanding accounts receivable as of June 30, 2022 and December 31, 2021.

As of June 30, 2022 and December 31, 2021, the Company owed Virhtech Gmbh, a related party of the Company, $55,697 and $124,370, respectively, for services performed for the Company and is classified as accounts payable – related party on the condensed consolidated balance sheets.

As of December 31, 2021, the Company recorded $792,745, or 15,855,000 common shares to be issued, as common stock subscriptions within stockholders’ deficit and $377,350, or 7,547,000 common shares to be issued, as a common stock subscription liability for stock issuance transactions in process. The $1,170,095 is part of pending stock sales for 23,402,000 shares that has been funded and is waiting issuance to complete the sale at December 31, 2021. The common stock subscription liability consists of cash received for future share issuances in which a sales and purchase agreement was not signed and returned from the investor.

For the six months ended June 30, 2022, the Company recorded $150,000 in common stock subscriptions for stock issuance transactions in process. The $150,000 was part of pending stock sales for 1,000,000 shares that has been funded and was waiting issuance to complete the sale. Shares were issued within the period of July 2022.

Note 6.13.~~Convertible Loans Payable (continued)~~Stockholders’ Equity (Deficit)

Authorized: 500,000,000 shares of voting preferred stock with a par value of $0.001.

Authorized: 1,000,000,000 shares of voting common stock with a par value of $0.001.

During the ~~three~~six months ended June 30, 2022 the Company engaged in the following equity events:

On February 18, 2022, the Company received a deposit in the amount of $300,000 for 1,875,000 common shares to be issued pursuant to a securities purchase agreement.

From January 1, 2022 through March 31, ~~2019,~~2022, the Company has issued ~~two additional non-interest bearing notes totaling $98,000 which are convertible into 1,960,000~~14,953,000 common shares related to subscriptions outstanding at December 31, 2021.

From April 1, 2022 through June 30, 2022, the Company has issued 10,324,000 common shares related to subscriptions outstanding at March 31, 2022.

On April 18, 2022, the Company has issued 78,947 common shares pursuant to security purchase agreement with one investor.

On January 26, 2022, the Company entered into a ~~$0.05 per share. These notes contained a beneficial conversion feature~~Securities Purchase Agreement with an investor. As of March 31, 2022, 2,000,000 common shares were issued pursuant to this agreement for a ~~full discount. Further,~~purchase price of $300,000. In June 2022, the Company ~~also accepted requests~~received payment in the amount of $150,000 in exchange for 1,000,000 common shares. As of July 6, 2022, these shares have been issued.

On January 26, 2022 the Company entered into a two year equity line of ~~notes into 2,280,750~~credit (“ELOC”) with an investor to provide up to $5 million. As of March 31, 2022, 500,000 common shares ~~which were~~had been issued ~~on April 16, 2019.~~pursuant to this agreement as the commitment fee.

~~Note 7.~~~~Stockholders’ Deficit~~Shares issued upon conversion of convertible debt

~~During the three months ended March 31, 2019~~On January 14, 2022, the Company ~~issued to an investor, 200,000 common shares at~~completed a ~~$0.16 per share~~conversion of our outstanding convertible debt by exchanging $53,222 cash for retiring $50,000 in convertible debt along with $3,222 in interest for a total of ~~$32,000.~~575,558 common shares.

On ~~January~~February 2, ~~2012,~~2022, the Corporation’s Board of Directors approved the creation of the 2012 Non-Qualified Stock Option Plan (the “2012 Plan”). The 2012 Plan provides for the issuance of incentive stock options to designated employees, certain key advisors and non-employees members of the Board of Directors with the opportunity to receive grant awards to acquire, in the aggregate, up to 5,000,000Company issued 20,000 shares of the ~~Corporation’s common stock.~~

~~A summary of information regarding the Corporation’s~~Company’s common stock ~~options outstanding is as follows:~~

~~The above outstanding options were granted on January 1, 2012,~~ to a ~~former Corporation’s executive. The options vest 20,000 options per month~~vendor for services valued at $3,600.

On February 3, 2022, the Company issued 500,000 shares of the Company’s common stock to a vendor for services valued at $85,000.

On April 27, 2022, the Company issued 227,273 shares of the Company’s common stock to a vendor for services valued at $50,000.

On February 17, 2021, the Company entered into an agreement with ~~2,200,000 being vested~~a consultant to provide Business Development advisement and ~~exercisable at March~~analysis services. In consideration, the consultant will be issued 1,000,000 warrant shares. 500,000 warrants were issued on February 17, 2021, and the remaining 500,000 will be issued on the six-month anniversary of initial issuance. On August 31, ~~2019. During~~2021, due to a failure by the ~~three months ended March 31, 2019~~consultant to provide the services as required by the agreement, the Company terminated the agreement, and ~~2018,~~ the ~~Corporation did not recognize any stock-based compensation expense as~~warrants were canceled.

The Company entered into a two-year Equity Line of Credit pursuant to an Equity Purchase Agreement with Tysadco Partners, LLC, dated January 26, 2022. Pursuant to the agreement, Tysadco Partners agreed to invest up to $5,000,000 to purchase the Company’s Common Stock, par value $0.001 per share, and upon execution of the ELOC the Company issued an additional 500,000 shares of common stock to Tysadco Partners as commitment shares in accordance with the closing conditions within the ELOC. Requests are limited to the lesser of $1,000,000 or 500% of the average shares traded for the 10 days prior the Closing Request Date. The purchase price shall be 85% of the two lowest individual daily VWAP during the five (5) trading days immediately prior to the date the Request Notice is delivered (in each case, to be appropriately adjusted for any reorganization, recapitalization, non-cash dividend, stock split or other similar transaction that occurs on or after the date of this Agreement). In addition, the Company and Tysadco Partners entered into a Registration Rights Agreement, whereby the Company shall register the securities on a registration statement covering the Offering Amount with the Securities and Exchange Commission (“SEC”) within forty-five days of filing its 10-K for the year ended December 31, 2021. The Company’s Registration Statement on Form S-1 registering 25,000,000 shares in connection with the ELOC was declared effective on July 5, 2022.

The ~~Corporation~~Company entered into employment agreements with its Chief Executive Officer, Mr. Ralph Hofmeier, and its Chief Operating Officer, Ms. Irma Velazquez (collectively the “Employment Agreements”), effective January 1, 2012. Under the Employment Agreements, the Corporation will pay each of Mr. Hofmeier and Ms. Velazquez an annual base salary of ~~$125,000~~$125,000 during the first year and ~~$150,000~~$150,000 during the second year and forward. Any increase to the annual base salary after the second year is subject to approval by the Corporation’s Board of Directors. The Employment Agreements each ~~has~~had initial terms of ten (10) years and is automatically renewed for successive one-year terms unless either party delivers timely notice of its intention not to renew. See Note 15. Subsequent Events for new employment agreements.

Our registered office is located at 7901 4th Street N STE #4174, St. Petersburg, Florida 33702. Our telephone number is +1 (727) 677-9408. Office services are contracted for on a month-to-month basis in this Address. In October 2020, the Company established its official registered Branch in Hamburg Germany; the office Address until March 31, 2021 was Offakamp 9f- 2.17. On ~~March~~April 1, ~~2016,~~2021, the ~~Corporation leased US~~Company entered into two lease agreements for a workshop located at Industriestraße 17, 25462 Relligen and an office located at Ballindam 3 20095 Hamburg, Germany. On May 23, 2022, after expiration of the office located in Ballindam, the Company signed a new lease agreement for the same office space. Additionally, on May 20, 2022, the Company signed a new lease agreement for additional office space ~~at 3250 Mary Street, Suite 303 Coconut Grove FL 33133 USA from its counsel for monthly rent payments of $300 on a month to month basis.~~in Frankfurt, Germany.

Our Telephone number is +49 40 809081354. Rent expense in the three months ending ~~March 31, 2019~~June 30, 2022 and ~~2018~~2021 amounted to ~~$900~~$22,247 and ~~$900, respectively.~~

~~Notes~~$20,080, respectively, and rent expense for the six months ended June 30, 2022 and 2021 amounted to ~~the Condensed Consolidated Financial Statements (Unaudited)~~

From time to time, the Corporation may be a defendant in pending or threatened legal proceedings arising in the normal course of its business. While the outcome and impact of currently pending legal proceedings cannot be predicted with certainty, the Corporation’s management and legal counsel believe that the resolution of these proceedings through settlement or adverse judgment will not have a material adverse effect on its ~~consolidated~~ operating results, financial position or cash flows.

EAWD vs Packard and Co-Defendant Nick Norwood– ~~- Action proceeding on concluded litigation,~~ Case ~~Number 10-58982 CA 09 –~~number 18-031011 CA-01 Miami-Dade County FL Circuit Court. ~~Nick Norwood vs. Eurosport Active World Corp. and Ralph Hofmeier.~~ The ~~case~~Company is ~~resolved. An Agreed Stipulation~~requesting the proof of payment for ~~Final Judgement was entered into by the plaintiff, Nick Norwood and the Company and Ralph Hofmeier~~shares issued in ~~November 2013 in the total amount (as of that date) of $107,872, which has been entered in the public records against the Company. This remains the current situation.~~2008.

~~CocoGrove~~ – The nature of the litigation was for breach of a lease agreement. This case is concluded with a judgement against the Company in July 2010 for $84,393 plus 6% interest. There have been no efforts to seek collection of this judgement. Management intends to settle this judgement when it is in a financial position to make a payment.

On ~~April 16, 2019, holders~~July 5, 2022, an S-1 registration statement filed with the SEC for twenty-five million shares to be offered by a stockholder in relation to the ELOC (See Note 14), and thirty million shares to be offered by the Company, was declared effective by the SEC.

Between July 6, 2022 and July 18, 2022, the Company issued 1,000,000 common shares to Tysadco Partners related to subscriptions outstanding at June 30, 2022, and issued 910,581 additional common shares pursuant to the ELOC.

Effective as of ~~two convertible debentures exercised their conversion~~August 4, 2022, Mr. Ralph M. Hofmeier has resigned as Chief Executive Officer and President of Energy and Water Development Corp. (the "Company"), and has been appointed as Chief Technology Officer of the Company. Mr. Hofmeier’s resignation is not a result of any disagreement with the Company or its independent auditors on any matter relating to the Company’s accounting, strategy, management, operations, policies, regulatory matters, or practices (financial or otherwise).

Effective as of August 4, 2022, Ms. Irma Velazquez has resigned as Chief Operating Officer of the Company, and has been appointed as Chief Executive Officer of the Company. Ms. Velazquez’s resignation is not a result of any disagreement with the Company or its independent auditors on any matter relating to the Company’s accounting, strategy, management, operations, policies, regulatory matters, or practices (financial or otherwise).

On August 4, 2022, per a board of directors resolution, the Company entered into employment agreements with its Chief Technology Officer, Mr. Ralph Hofmeier, and its Chief Executive Officer, Ms. Irma Velazquez (collectively the “2022 Employment Agreements”). Effective for the fiscal year ended December 31, 2022, under the 2022 Employment Agreements, the base salary will be €200,000 prorated for any partial period of employment and payable in arrears in accordance with the Company’s ordinary payroll policies and procedures. Additionally, in recognition of the employees’ past services, the Company shall pay each employee a lump sum cash signing bonus of €28,812, less payroll deductions and withholdings, and each individual will be eligible to receive a yearly bonus based on yearly profitability. Additionally, if certain performance milestones are met, each employee will be granted options ~~on convertible debentures amounting~~ to ~~$265,825, in exchange for 2,280,750~~purchase shares of the Company’s common ~~stock.~~stock, No options had been granted as of June 30, 2022. Any increase to the annual base is subject to approval by the Company’s Board of Directors. The 2022 Employment Agreements each have an indefinite term.

ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS.

The following discussion should be read in conjunction with our condensed ~~consolidated~~ financial statements and the notes to those ~~consolidated~~condensed financial statements that are included elsewhere in this Report. Our discussion includes forward-looking statements based upon current expectations that involve risks and uncertainties, such as our plans, objectives, expectations and intentions. Actual results and the timing of events could differ materially from those anticipated in these forward-looking statements as a result of a number of factors. See “Forward-Looking Statements.”

Results of Operations for the Three Months ended ~~March 31, 2019~~June 30, 2022 Compared to the ~~Three~~three Months ended ~~March 31. 2018~~June 30, 2021

The following table sets forth our operations for each of the periods presented.

~~For~~The Company recognized no revenue during the three months ended ~~March 31, 2019~~June 30, 2022 and ~~2018, we generated no revenue.~~2021.

The Company recognized no cost of equipment sold during the three months ended June 30, 2022 and 2021.

General and administrative expense increased by ~~$8,395 or 4.2%~~$277,890 to ~~$209,024~~$435,239 for the three months ended ~~March 31, 2019~~June 30, 2022 from ~~$200,629~~$157,349 for the three months ended ~~March 31, 2018.~~June 30, 2021.

The ~~$8,395~~ increase in general and administrative expenses was primarily due to ~~increases~~an increase in ~~the following categories:~~

~~The foregoing increases were partially~~professional fees of $155,578, officer’s salaries of $40,759, and other general and administrative expenses by $77,115, offset by a ~~$5,000 syn-gas fee incurred~~decrease in ~~2018 that did not repeat in 2019~~marketing fees of $1,935.

~~Other Expense increased by $3,452 to $4,896~~The Company had other expense of $98,875 for the three months ended ~~March 31, 2019 from $1,444~~June 30, 2022 compared to other expense of $246,132 for the three months ended ~~March 31, 2018~~June 30, 2021. The decrease in expense is primarily ~~due to~~the result of a reduction in interest expense of $118,011 and reduction in change in fair value of derivative by $126,855 offset by an increase in ~~interest expense.~~other expense of $97,609, which mostly consists of foreign transaction adjustments.

Net ~~Loss increased~~loss decreased by ~~$11,847 or 5.9%~~$130,633 to ~~$213,920~~$534,114 for the three months ended ~~March 31, 2019~~June 30, 2022 from ~~$202,073~~$403,481 for the three months ended ~~March 31, 2018.~~June 30, 2021. This increase was attributable to the net increases and decreases as discussed above.

Results of Operations for the Six Months ended June 30, 2022 Compared to the six Months ended June 30, 2021

The following table sets forth our operations for each of the periods presented.

The Company recognized no revenue during the six months ended June 30, 2022 and 2021.

The Company recognized no cost of equipment sold during the six months ended June 30, 2022 and 2021.

General and administrative expense increased by $415,520 to $878,351 for the six months ended June 30, 2022 from $462,831 for the six months ended June 30, 2021.

The increase in ~~interest~~general and administrative expenses was primarily due to an increase in professional fees of $200,474, officer’s salaries of $78,996, and other general and administrative expenses by $191,478, offset by a decrease in marketing fees of $73,876.

The Company had other expense of $14,473 for the six months ended June 30, 2022 compared to other expense of $374,702 for the six months ended June 30, 2021. The decrease in expense is primarily the result of a reduction in interest expense of $432,483 and an increase in the gain on change in fair value of derivative by $60,160 offset by an increase in other expense of $132,414, which mostly consists of foreign transaction adjustments.

Net Loss decreased by $55,291 to a $892,824 net loss for the six months ended June 30, 2022 from a $837,533 net loss for the six months ended June 30, 2021. This increase in net loss was attributable to the net increases and decreases as ~~discussed.~~discussed above.

We had $0$57,751 cash and a working capital deficit of ~~$3,922,448~~$288,217 at ~~March 31, 2019.~~June 30, 2022. Our operating and capital requirements in connection with supporting our operations will continue to be significant. Since inception, our losses from operations and working capital requirements have been satisfied through the deferral of payment for services performed by our founders and related parties discussed more fully below.

We have sustained operating losses since our ~~inception.~~operations began. At ~~March 31, 2019,~~June 30, 2022, we had an accumulated deficit of ~~$11,230,224.~~$23,288,217. The Company cannot predict how long it will continue to incur further losses or whether it will ever become profitable as this is dependent upon the reduction of certain expenses and success in obtaining more project contracts, among other things. These conditions raise substantial doubt about the entity’s ability to continue as a going concern.

We have satisfied our cash and working capital requirements in the ~~three~~six months ended ~~March 31, 2019,~~June 30, 2022, through ~~the support of an affiliate who paid our operational expenses on our behalf, the issuance of convertible loans and~~ the sale of ~~our~~common stock. During 2019, the expenses paid by an affiliate on our behalf totaled $102,594. During the three months ended March 31, 2019, the Company sold 200,000 common shares at $0.16 per share or $32,000 and issued $98,000 in convertible loans. The holders of the convertible loan instrument have the option to convert these loans into common stock at a conversion price of $0.05 per share.

The Company has determined that these conversion options are beneficial for a full discount. These convertible debentures are presented as loans payable in the financial statements. The transaction price for these loans payable reflects the fair value of the instruments issued.

Comparison of Cash Flows for the ~~Three~~Six Months Ended ~~March 31, 2019 (2019)~~June 30, 2022 and ~~March 31, 2018 (2018)~~2021

~~Cash Flows from Operating Activities~~Net cash used in operating activities

We used ~~$130,000~~$1,024,258 of cash ~~used~~ in our operating activities in ~~2019~~2022 compared to ~~$116,642~~$633,395 used in ~~2018.~~2021. The increase in cash used of ~~$13,358 is primarily due to $11,847 of working capital used for the increase in~~$390,863 includes a net loss ~~in the current period compared~~of $892,824, offset by non-cash expenses of $97,879 principally related to ~~the same period one year ago~~amortization of debt discount and ~~due to $2,325~~deferred financing costs of ~~working capital used~~$63,296, depreciation expense of $4,767, foreign transaction adjustments of $134,869, and common stock issued for ~~the increase in prepaid expense, partially~~services of $138,600, offset by a ~~$727~~change in fair value of derivative liability of $243,653, as well as cash used in working capital items in the amount of $229,313 principally related to an increase in inventory of $278,021 and a decrease in accounts payable and accrued ~~expenses.~~expenses and due to related party of $61,218, offset by an increase in due to officers of $31,743, a decrease in prepaid expenses and other current assets of $78,183.

~~We received $0~~The Company used $79,289 in cash ~~provided by our investing~~from financing activities ~~in 2019 compared~~ to ~~$116,642 provided in 2018. The decrease of $116,642 is due to no investing activities in the current period compared to the same period one year ago.~~purchase property and equipment.

We received ~~$130,000~~$591,000 (2022) and $0$887,121 (2021) in cash provided from financing ~~activities~~activities. The net decrease of $296,121 is due primarily to a $369,500 decrease in ~~2019~~financing through issuance of convertible loans, a $54,500 increase in payments of convertible loans payable, and ~~2018, respectively. The~~a $24,000 decrease due to costs associated entering the equity line of credit, offset by an increase of ~~$130,000 is due to the increase in financing though convertible loans and~~$151,879 from proceeds from the sale of ~~common shares in the current period compared to the same period one year ago.~~stock and subscriptions.

Total ~~Current~~ Assets– At ~~March 31, 2019~~June 30, 2022 the Company had ~~$2,325~~$1,067,454 representing ~~advance payments for services.~~$57,751 in cash, $54,982 in accounts receivable, $447,775 in inventory, $324,705 in prepaid expenses and other current assets, $76,227 in property and equipment, and $106,014 in operating lease right-of-use asset.

We ~~have no lines of credit or other bank financing arrangements. Until we begin~~expect to generate more revenues which should, grow in time and lead to a positive cash ~~flow, which there is no assurance,~~flow. In the near future, we expect that working capital requirements will continue to be funded through ~~affiliate~~lines of credit, convertible loans and/or further issuances of other ~~securities. There is no assurance~~securities in sufficient quantities that we will be able to meet our working capital requirement from these possible sources. Additional issuances of equity or convertible debt will result in dilution to our current shareholders.

We ~~may not be able~~seek to ~~secure the additional financing necessary to commercialize our products and execute our business strategy, at terms that are acceptable to us.~~

~~Our mission is to provide sustainable water production design and already commercialized systems as well as energy design and systems based~~focus on ~~high efficiency and renewable sources, and also smart grid and storage solutions. Through a combination~~three main aspects of the ~~best design~~water and ~~configuration~~energy business: (1) generation, (2) supply, and (3) maintenance. We seek to assist private companies, government entities and NGO’s to build profitable and sustainable supplies/generation capabilities of ~~AquaTech, EnergyTech~~water and ~~waste management assisted solutions~~energy as required, by selling them the required technology or technical service to enhance their productivity/operability. With its outsourced technical arm and ~~technologies, we believe that it is possible~~its commission-based global network of vendors, the Company expects to create ~~a completely self-sufficient~~sustainable added value to each project it takes on while generating revenue from its engineering and technical consultancy services, project management, sale of our patent filed Self Sufficient Power Supply Atmosphere Water Generation Systems (eAWGs) Solar Energy Generation Systems and Energy Management Systems, royalties from the commercialization of energy ~~generation~~ and water ~~production system, which can be used at~~in certain cases, and revenues from the ~~same time to meet the potable water requirements as well as the electrical energy needs of businesses, communities and entire States, like California in USA and or Cape Town in South Africa.~~

EAWC seeks to promote green technology solutions through commissioned-based distributers and agents worldwide. EAWC anticipates using Made in Germany Green Tech, Swiss and US technologies such as: atmosphere water generators (AWGs), CO2-free energy production (steam energy generators), plasma-assisted gasification and sterilizations systems, solar-powered water purification systems, as well as those in solar and wind energy solutions which we may, when our financial condition permits, further develop ourselves.licensed innovated technologies.

~~Today we believe~~Through our BlueTech Alliance for Water Generation established in December 2020, we have ~~potential~~state of the art technology partners, technology transfer agreements, and technology representation agreements in place relating to aspects of renewable energy and water ~~supply and we believe one of our~~supply. These unique key ~~unique~~relationships offer important selling features and capabilities ~~is this relationship. We believe~~ that ~~one~~differentiated EAWD from its competitors.

The Company plans to generate revenue from its engineering and technical consultancy services, project management, sale of our ~~key unique selling features~~Patent filed Self Sufficient Power Supply Atmosphere Water Generation Systems (eAWGs), Solar Energy Generation Systems, and ~~capabilities is the combination of the different disciplines of water, energy and waste management.~~

~~Revenue would be generated by the sales of Engineering and Technical Consultancy Services, sales of various identified technologies,~~Energy Management Systems, royalties from the ~~sales~~commercialization of energy ~~and/or~~and water in certain ~~projects.~~cases, and revenues from the licensed innovated technologies.

The Company entered into employment agreements with each of Mr. Hofmeier, its President, Chief Executive Officer and Chairman of the Board, and Ms. Velazquez, its Chief Operating Officer and Vice-Chairman (together, the “Employment Agreements”), effective January 1, 2012. Under the Employment Agreements, the ~~company~~Company agreed to pay each of Mr. Hofmeier and Ms. Velazquez an annual base salary of $125,000 during the first year and $150,000 during the second year and forward. Any increase to the annual base salary after the second year is subject to approval by the company’s Board of Directors. Each Employment Agreement has an initial term of ten (10) years and is automatically renewed for successive one-year terms unless either party delivers timely notice of its intention not to renew. The Company also entered into employment agreement with 4 other employees, effective on the 3rd quarter of 2021.

The next operational step to accomplish is to achieve sufficient sales volume to yield positive a net income. Due to the timing of the project build out, the Company has ~~yet to commercialize its products~~not currently recorded any revenue and consequently has ~~generated no revenue, incurring~~incurred operating losses since ~~inception (June 24, 2005)~~it began operations (December 2012) totaling ~~$11,230,224~~$23,288,217 at ~~March 31, 2019.~~June 30, 2022. During the three and six months ended ~~March 31, 2019,~~June 30, 2022, the Corporation incurred net losses of ~~$213,920.~~$534,114 and $892,824, respectively. The Company also ~~incurred~~had a working capital deficit of ~~$3,922,448~~$288,217 at ~~March 31, 2019.~~June 30, 2022.

~~These factors raise substantial doubt regarding the Corporation’s~~The Company’s ability to transition to profitable operations is dependent upon achieving a level of revenue adequate to support its cost structure. The timing and amount of our actual expenditures will be based on many factors, including cash flows from operations and the anticipated growth of our business and availability to sufficient resources.

At the filling date of this report, management plans to conclude the sales in Germany and in other regions of the world further the received approved proposals, which would bring a growing revenue. Managements plans to expand the sales operations by greater market penetration of the Agriculture, Industrial and Community development market with its water and energy generation, innovative solution, this to make sales operations to continue to expand. Management also plans to raise additional funds during 2022; through the issuance of equity securities and from deposits related to purchases orders on proposals pending customer acceptance as well, if necessary, loans from management and third-party lender. Management also plans to defer expenses by centralizing assembling, logistic and administration operations expenses. By doing so, the company would identify a ~~going concern.~~ bigger place to use as self-sufficient energy supply warehouse to be able to centralize the storage of supplies, while securing its inventory, this would reduce the costs of the assembling and the administrative operations, the company would acquire its own electrical trucks as well, to reduce cost of transportation of supplies.

The ability of the ~~Corporation~~Company to continue as a going concern depends upon its ability to generate sales or obtain additional funding to finance operating losses until the Corporation is profitable.

COVID-19 is an incomparable global public health emergency that has affected almost every industry and has caused the worst global economic contraction of the past 80 years (IMF). The ~~Corporation expects~~concerted global efforts achieved the development of vaccines that have helped to reduce a person´s risk of contracting the virus. However, the current war in Ukraine lead us as well to considering the changes in consumer behavior and demand, purchasing patterns, re-routing of the supply chain, dynamics of current market forces, and the significant interventions of governments; Disruptive activities could include the temporary closure of our manufacturing facilities and those used in our supply chain processes, restrictions on the export or shipment of our products, significant cutback of ocean container delivery from Germany, business closures in impacted areas, and restrictions on our employees’ and consultants’ ability to travel and to meet with customers. The extent to which COVID-19 impacts our results will depend on future developments, which still uncertain and cannot be ~~financed through equity capital, debt financing~~predicted, including new information which may emerge concerning the severity of the current conflict as well as virus variants and the actions to contain it or ~~from deposits related~~treat its impact, among others. COVID-19 and the war in Ukraine could also continue to ~~purchases orders on proposals pending customer acceptance.~~result in social, economic and labor instability in the countries in which we or our customers and suppliers operate.

If workers at one or more of our offices or the offices of our suppliers or manufacturers become ill or are quarantined and in either or both events are therefore unable to work, our operations could be subject to disruption. Further, if our manufacturers become unable to obtain necessary raw materials or components, we may incur higher supply costs or our manufacturers may be required to reduce production levels, either of which may negatively affect our financial condition or results of operations.

In the event the Corporation does not generate sufficient funds from issuance of common stock, debt financing or purchase orders, it may be unable to fully implement its business plan and pay its obligations as they become due, any of which circumstances would have a material adverse effect on its business prospects, financial condition, and results of operations. The accompanying consolidated financial statements do not include any adjustments that might result from the outcomelight of these ~~uncertainties.~~challenges, the Company is focusing its efforts on supporting key areas of our business that will help us to stabilize in the new environment and strategize for what comes next. Those key areas are: crisis and management response, workforce, operation and supply chain, finance and liquidity, tax, trade and regulatory, as well as strategy and brand.

Our critical accounting policies are set forth in Note 2 to the condensed ~~consolidated~~ financial statements.

We do not expect the adoption of recently issued accounting pronouncements as discussed in Note 3 to have a significant impact on our results of operations, financial position or cash flow.

We are a smaller reporting company and are not required to provide the information under this item.

We carried out an evaluation of the effectiveness of the design and operation of our disclosure controls and procedures (as defined in Exchange Act Rules 13(a)-15(e) and 15(d)-15(e)) as of December 31, ~~2018.~~2021. This evaluation was carried out by our Principal Executive Officer and our Principal Finance Officer. Based on that evaluation, our Principal Executive Officer and our Principal Finance Officer concluded that, as of ~~March 31, 2019,~~June 30, 2022, our disclosure controls and procedures were not effective due to the presence of material weaknesses in internal control over financial reporting.

A material weakness is a deficiency, or a combination of deficiencies, in internal control over financial reporting, such that there is a reasonable possibility that a material misstatement of the company’s annual or interim financial statements will not be prevented or detected on a timely basis. Management has identified the following material weaknesses, which have caused management to conclude that, as of ~~March 31, 2019,~~June 30, 2022, our disclosure controls and procedures were not effective:

Remediation Plan to Address the Material Weaknesses in Internal Control over Financial Reporting

~~Our company plans~~We intend to ~~take steps~~implement changes to ~~enhance and improve the design of~~strengthen our internal controls ~~over~~in addition to the enhanced controls discussed above. We are in the process of implementing a remediation plan for the identified material weaknesses and we expect that work on the plan will continue throughout 2022, as financial ~~reporting. During the period covered by this quarterly report on Form 10-Q, we have not been able~~resources permit. Specifically, to ~~remediate~~address the material weaknesses ~~identified above. To remediate such weaknesses, we plan~~arising from insufficient accounting personnel, the Company plans to ~~implement~~hire a full-time Chief Financial Officer and has secured the ~~following changes during our fiscal year ending December 31, 2019: (i) appoint~~services of additional ~~qualified~~accounting personnel on a consulting basis which begins to address ~~inadequate~~ segregation of ~~duties and limited reviews (ii) adopt sufficient written~~duties. The Company is currently formalizing its policies and procedures ~~for~~in writing and to improve the integration of its financial reporting system into non accounting departments. Where appropriate, the Company is receiving advice and assistance from third-party experts as it implements and refines its remediation plan.

Additional measures may be necessary, and the measures we expect to take to improve our internal controls may not be sufficient to address the issues identified, to ensure that our internal controls are effective or to ensure that such material weakness or other material weaknesses would not result in a material misstatement of our annual or interim financial ~~reporting. The remediation efforts set out are largely dependent upon our securing additional financing to cover~~statements. In addition, other material weaknesses or significant deficiencies may be identified in the ~~costs of implementing the changes required.~~future. If we are ~~unsuccessful~~unable to correct deficiencies in ~~securing such funds, remediation efforts may~~internal controls in a timely manner, our ability to record, process, summarize and report financial information accurately and within the time periods specified in the rules and forms of the SEC will be adversely ~~affected~~affected. This failure could negatively affect the market price and trading liquidity of our common stock, cause investors to lose confidence in ~~a material manner.~~

~~We are unable~~our reported financial information, subject us to ~~remedy~~civil and criminal investigations and penalties, and generally materially and adversely impact our ~~controls related to the inadequate segregation of duties~~business and ~~ineffective risk management until we receive financing to hire additional employees.~~financial condition.

There were no changes in our internal control over financial reporting during the ~~three months~~fiscal quarter ended ~~March 31, 2019~~June 30, 2022 that have materially affected, or are reasonable likely to materially affect, our internal control over financial reporting.

~~Our management does not expect~~Management’s conclusion that our disclosure controls and procedures were not effective means that if a fraud or ~~our internal control over~~material misstatement of the company’s annual or interim financial ~~reporting~~statements were to occur; there is a reasonable possibility that they will ~~necessarily prevent all fraud and material error.~~not be prevented or detected on a timely basis. Further, the design of a control system must reflect the fact that there are resource constraints, and the benefits of controls must be considered relative to their costs. Because of the inherent limitations in all control systems, no evaluation of controls can provide absolute assurance that all control issues and instances of fraud, if any, within the Company have been detected. These inherent limitations include the realities that judgments in decision-making can be faulty, and that breakdowns can occur because of simple error or mistake. Additionally, controls can be circumvented by the individual acts of some persons, by collusion of two or more people, or by management override of the internal control. The design of any system of controls also is based in part upon certain assumptions about the likelihood of future events, and there can be no assurance that any design will succeed in achieving its stated goals under all potential future conditions. Over time, control may become inadequate because of changes in conditions, or the degree of compliance with the policies or procedures may deteriorate.

EAWD vs Packard and Co-Defendant Nick Norwood ~~- Action proceeding on concluded litigation,~~ –Case ~~Number 10-58982 CA 09 –~~number 18-031011 CA-01 Miami-Dade County FL Circuit Court. ~~Nick Norwood vs. Eurosport Active World Corp. and Ralph Hofmeier.~~ The ~~case~~company is ~~resolved. An Agreed Stipulation~~requesting the proof of payment for ~~Final Judgement was entered into by the plaintiff, Nick Norwood and the Company and Ralph Hofmeier~~shares issued in ~~November 2013 in the total amount (as of that date) of $107,872, which has been entered in the public records against the Company. This remains the current situation.~~2008.

We are a smaller reporting company and are not required to provide the information under this item.

The Company issued the following common shares during the ~~three~~six months ended June 30, 2022:

On February 18, 2022, the Company received a deposit in the amount of $300,000 for 1,875,000 common shares to be issued pursuant to a securities purchase agreement.

~~200,000~~2022, the Company has issued 14,953,000 common shares ~~for proceeds~~related to subscriptions outstanding at December 31, 2021.

From April 1, 2022 through June 30, 2022, the Company has issued 10,324,000 common shares related to subscriptions outstanding at March 31, 2022.

On April 18, 2022, the Company has issued 78,947 common shares pursuant to security purchase agreement with one investor.

On January 26, 2022, the Company entered into a Securities Purchase Agreement with an investor. As of ~~$32,000 to pay operational expenses. The~~March 31, 2022, 2,000,000 common shares were issued pursuant to ~~an exemption from registration~~this agreement for a purchase price of $300,000. In June 2022, the Company received payment in the amount of $150,000 in exchange for 1,000,000 common shares. As of July 6, 2022, these shares have been issued.

On January 26, 2022 the Company entered into a two year equity line of credit (“ELOC”) with an investor to provide up to $5 million. As of March 31, 2022, 500,000 common shares had been issued pursuant to this agreement as the commitment fee.

On January 14, 2022, the Company completed a conversion of our outstanding convertible debt by exchanging $53,222 cash for retiring $50,000 in convertible debt along with $3,222 in interest for a total of 575,558 common shares.

On February 2, 2022, the Company issued 20,000 shares of the ~~securities Act~~Company’s common stock to a vendor for services valued at $3,600.

On February 3, 2022, the Company issued 500,000 shares of ~~1933 (the~~ “~~1933 Act~~”).the Company’s common stock to a vendor for services valued at $85,000.

On April 27, 2022, the Company issued 227,273 shares of the Company’s common stock to a vendor for services valued at $50,000.

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

Florida		30-0781375
~~Florida~~		~~30-0781375~~
(State or Other Jurisdiction of Incorporation or Organization)		(I.R.S. Employer Identification No.)


Title of each class	Trading Symbol(s)	Name of each exchange on which registered
None	None	None


Large accelerated filer ¨ ☐	Accelerated filer ¨ ☐
Non-accelerated filerþ ☒	Smaller reporting company þ ☒
	Emerging growth company þ ☒

			Page
		~~Page~~
	PART I. FINANCIAL INFORMATION

Item 1.	Financial Statements	1
	Condensed Consolidated Balance Sheets as of ~~March 31, 2019~~June 30, 2022 (Unaudited) and December 31, ~~2018~~ 2021	1
	Condensed Consolidated Statements of Operations and Comprehensive Loss for the three months ended March 31, ~~2019~~2022 and ~~2018~~2021 (Unaudited)	2
	Condensed Consolidated Statements of Changes in Stockholders' Deficit for the three and six months ended ~~March 31, 2019~~June 30, 2022 and ~~2018~~2021 (Unaudited)	3
	Condensed Consolidated Statements of Cash Flows for the ~~three~~six months ended ~~March 31, 2019~~June 30, 2022 and ~~2018~~2021 (Unaudited)	4 5
	Notes to Condensed Consolidated Financial Statements (Unaudited)	5 6
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	10 19
Item 3.	Quantitative and Qualitative Disclosures about Market Risk	12 23
Item 4.	Controls and Procedures	13 24

	PART II. OTHER INFORMATION

Item 1.	Legal Proceedings	14 25
Item 1A.	Risk Factors	14 25
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	14 25
Item 3.	Defaults Upon Senior Securities	14 22
Item 4.	Mine Safety Disclosures	14 26
Item 5.	Other Information	14 26
Item 6.	Exhibits	14 26
SIGNATURES		15
		27


	For the Six Months Ended
	June 30,
	2022			2021

CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$	(892,824	)	$	(837,533	)
Reconciliation of net loss to net cash used in operating activities
Amortization of debt discount and deferred financing costs		63,296			515,147
Depreciation expense		4,767			0
Change in fair value of derivative liability		(243,653	)		(183,493	)
Stock issued for services		138,600			165,000
Foreign transaction adjustments		134,869			1,057
Changes in operating assets and liabilities:
Inventory		(278,021	)		(25,228	)
Prepaid expenses and other current assets		78,183			(148,419	)
Accounts payable and accrued expenses		7,455			(109,962	)
Due to related party		(68,673	)		0
Due to officers		31,743			(9,964	)
CASH USED IN OPERATING ACTIVITIES		(1,024,258	)		(633,395	)

CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of property and equipment		(79,289	)		0

CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from convertible loans payable		0			369,500
Payments of convertible loans payable		(150,000	)		(95,500	)
Costs associated with equity line of credit		(24,000	)		0
Proceeds from sale of common stock		315,000			613,121
Proceeds from common stock subscriptions		450,000			0
CASH PROVIDED BY FINANCING ACTIVITIES		591,000			887,121

Effect of exchange rate changes on cash		(19,370	)		(3,906	)

Net change in cash		(531,917	)		249,820

Cash beginning of period		589,668			12,047

Cash end of period	$	57,751		$	261,867

SUPPLEMENTAL CASH FLOW INFORMATION:
Cash paid for interest	$	67,940		$	28,864
Cash paid for taxes	$	0		$	0

NON-CASH INVESTING AND FINANCING ACTIVITIES:
Common stock issued for interest and fees	$	3,222		$	3,441
Common stock issued to convert loans payable	$	50,000		$	66,000
Derivative liability discount	$	0		$	730,280
Derivative liability settled upon conversion of debt	$	110,507		$	67,350
Reclassification of common stock subscription liability to common stock subscriptions	$	377,350		$	0
Right of use asset exchanged for lease liability	$	0		$	79,214
Reclassification of common stock subscriptions to common stock	$	747,650		$	1,519,000


					Additional					Total
	Common Stock				Paid-in		Accumulated			Stockholders'
	Shares		Amount		Capital		Deficit			Deficit

BALANCE AT DECEMBER 31, 2017		87,201,863	$	87,202	$	6,476,504	$	(10,214,859	)	$	(3,651,153	)

Common stock issued to satisfy related party liability		712,070		712		84,736		—			85,448
Capital contribution on settlement of related party liability		—		—		626,622		—			626,622
Net loss		—		—		—		(202,073	)		(202,073	)
BALANCE AT MARCH 31, 2018 (Unaudited)		87,913,933	$	87,914	$	7,187,862	$	(10,416,932	)	$	(3,141,156	)


															Additional									Total
	Preferred Stock				Common Stock				Common Stock Subscriptions						Paid-in			Accumulated			Accumulated Other			Stockholders'
	Shares		Amount		Shares		Amount		Shares			Amount			Capital			Deficit			Comprehensive Loss			Deficit

BALANCE AT DECEMBER 31, 2021		9,780,796	$	9,781		143,840,643	$	143,840		15,855,000		$	792,745		$	20,777,401		$	(22,395,393	)	$	(42,444	)	$	(714,070	)
Sale of Common Stock		—		—		17,453,000		17,453		(14,953,000	)		(747,650	)		1,030,197			—			—			300,000
Common stock issued for services		—		—		520,000		520		—			—			88,080			—			—			88,600
Common stock issued to satisfy convertible debt		—		—		540,716		541		—			—			49,459			—			—			50,000
Stock issued for interest and fees		—		—		34,842		35		—			—			3,187			—			—			3,222
Subscriptions liability reclassification to subscriptions		—		—		—		—		7,547,000			377,350			—			—			—			377,350
Derivative settled upon conversion of debt		—		—		—		—		—			—			110,507			—			—			110,507
Subscription deposits received		—		—		—		—		1,875,000			300,000			—			—			—			300,000
Costs associated with equity line of credit		—		—		—		—		—			—			(24,000	)		—			—			(24,000	)
Net loss		—		—		—		—		—			—			—			(358,710	)		—			(358,710	)
Other comprehensive loss		—		—		—		—		—			—			—			—			13,970			13,970
BALANCE AT March 31, 2022		9,780,796	$	9,781		162,389,201	$	162,389		10,324,000		$	722,445		$	22,034,831		$	(22,754,103	)	$	(28,474	)	$	146,869
Sale of Common Stock		—		—		10,402,947		10,403		(10,324,000	)		(722,445	)		727,042			—			—			15,000
Common stock issued for services		—		—		227,273		227		—			—			49,773			—			—			50,000
Subscription deposits received		—		—		—		—		1,000,000			150,000			—			—			—			150,000
Net loss		—		—		—		—		—			—			—			(534,114	)		—			(534,114	)
Other comprehensive loss		—		—		—		—		—			—			—			—			43,463			43,463
BALANCE AT June 30, 2022		9,780,796	$	9,781		173,019,421	$	173,019		1,000,000		$	150,000		$	22,811,646		$	(23,288,217	)	$	14,989		$	(128,782	)

Schedule of estimated useful lives
	Useful Life (in years)
Office equipment	5
Furniture and fixtures	7
Automobile	8
Machinery and equipment	5

	(i)	any person that holds 10% or more of the Company’s securities including such person’s immediate families,
	(ii)	the Company’s management,
	(iii)	someone that directly or indirectly controls, is controlled by or is under common control with the Company, or
	(iv)	anyone who can significantly influence the financial and operating decisions of the Company.

Schedule Of Inventories
	June 30,		December 31,
	2022		2021
	(Unaudited)
Work in progress	$	447,775	$	196,553
Inventory, net	$	447,775	$	196,553

Schedule Of Prepaid Expenses And Other Current Assets
	June 30 , 2022		December 31, 2021
	(Unaudited)
Prepayment on inventory not received	$	—	$	225,979
Prepaid expenses		190,569		113,600
Value added tax receivable		123,472		83,602
Security deposit		10,664		7,394
Purchase deposits		0		1,507
Prepaid expenses and other current assets	$	324,705	$	432,082

Schedule Of Property And Equipment
	June 30,			December 31,
	2022			2021
	(Unaudited)
Office equipment	$	3,936		$	1,526
Furniture and fixtures		2,425			2,607
Machinery and equipment		42,933			0
Automobile		32,000			0
Property and equipment, gross		81,294			4,133
Less: Accumulated depreciation		(5,067	)		(299	)
Property and equipment, net	$	76,227		$	3,834

Schedule of Accounts Payable and Accrued Liabilities
	June 30, 2022		December 31, 2021
	(Unaudited)

Accounts payable	$	226,304	$	251,404
Accounts payable – related party		55,697		124,370
Accrued expenses		272,696		385,776
Accrued legal costs		349,726		253,901
Accrued salary		92,132		50,228
Accounts payable and accrued expenses and accounts payable – related party	$	996,555	$	1,065,679

Schedule of Notes Payable
	Amount
Balance of convertible loan payables, net of discounts on December 31, 2020	$	149,241
Issuances of debt		404,000
Settlement of debt		(95,500	)
Amortization of debt discount		402,125
Debt discount		(406,500	)
Deferred financing costs		(6,663	)
Conversions		(270,000	)
Balance of convertible loan payables, net of discounts on December 31, 2021	$	176,703
Amortization of debt discount		63,296
Settlement of debt		(150,000	)
Conversions		(50,000	)
Balance of convertible loan payables, net of discounts on June 30, 2022 (Unaudited)	$	39,999

Outstanding Derivative Liability
	Total
Balance of derivative liability as of December 31, 2020	$	310,641
Change due to issuances		746,672
Change due to exercise / redemptions		(1,972,419	)
Change in fair value		1,269,266
Balance of derivative liability as of December 31, 2021	$	354,160
Change due to issuances		0
Change due to exercise / redemptions		(110,507	)
Change in fair value		(243,653	)
Balance of derivative liability as of June 30, 2022 (Unaudited)	$	0

Summary of Financial Liabilities Measured on Recurring Basis
		Fair Value measured at June 30, 2022 (Unaudited)
		Quoted prices in		Significant other		Significant		Fair value at
		active markets		observable inputs		unobservable inputs		June 30,
		(Level 1)		(Level 2)		(Level 3)		2022
Derivative liability	$	0	$	0	$	0	$	0
Total	$	0	$	0	$	0	$	0

Summary of Quantitative Information
	June 30, 2022	December 31, 2021
	(Unaudited)
Stock price	$0.19 - 0.20	$0.16 – 0.45
Exercise price	$0.090.11	$0.03 – 0.20
Contractual term (in years)	0.64 – 0.68	0.27 – 1
Volatility (annual)	1,313% – 1,368%	149% – 2,095%
Risk-free rate	0.51% – 0.78%	0.04% – 0.39%

	Fair value measured at December 31, 2021
	Quoted prices in		Significant other		Significant		Fair value at
	active markets		observable inputs		unobservable inputs		December 31
	(Level 1)		(Level 2)		(Level 3)		2021
Derivative liability	$	0	$	0	$	354,160	$	354,160
Total	$	0	$	0	$	354,160	$	354,160

Schedule of maturity of lease liability
Maturity of Lease Liability	Amount
2022 (remainder of the year)	$	48,479
2023		63,243
Total undiscounted lease payments		111,722
Less: Imputed interest		(5,708	)
Present value of lease liabilities	$	106,014
Weighted Average Remaining lease term (in years)		1.24


					Weighted
					Average
			Weighted		Remaining
	Number of		Average		Contractual
	Shares		Exercise Price		Term (Years)
Outstanding at December 31, 2017		2,200,000	$	0.10		3.0
Issued		—		—		—
Exercised		—		—		—
Outstanding at December 31, 2018		2,200,000		0.10		2.0
Issued		—		—		—
Exercised		—		—		—
Outstanding at March 31, 2019		2,200,000	$	0.10		1.7


	·	~~$11,935 for professional fees due to the added expense of our registration and other corporate matters,~~
	·	~~$488 net in other general and administrative expenses, and~~
	·	~~$972 for travel and entertainment a result of the Company renewing its efforts to secure both customers and additional financing.~~


·	·	Inadequate segregation of duties, due to lack of human resources
	·	Limited level of multiple reviews among those tasked with preparing the financial statements,
	·	Lack of a more formal internal control environment.

		Energy and Water Development Corp.
	~~EUROSPORT ACTIVE WORLD CORP.~~
Date: August 11, 2022	By:	/s/ Irma Velazquez
~~Date: May 9, 2019~~	~~By:~~	~~/s/ Ralph Hofmeier~~ Irma Velazquez
		~~Ralph Hofmeier~~
		~~President and~~ Chief Executive Officer (Principal Executive Officer, Principal Financial Officer and Principal Accounting Officer)

Signature		Title	Date
~~Signature~~	~~Title~~	~~Date~~

/s/ Ralph Hofmeier	~~President,~~ Chief Technology Officer, Director, and	August 11, 2022
Ralph Hofmeier	Chairman of the Board of Directors

/s/ Irma Velazquez	Chief Executive Officer ~~Director, and~~	~~May 9, 2019~~
~~Ralph Hofmeier~~	~~Chairman~~ (Principal Executive Officer)	August 11, 2022

~~/s/~~ Irma Velazquez	~~Chief Operating Officer (Principal Financial Officer and~~	~~May 9, 2019~~
~~Irma Velazquez~~	~~Principal Accounting Officer),~~ Director and Vice-Chairman of the Board of Directors


/s/ Gary Rodney	Interim Chief Financial Officer	August 11, 2022
Gary Rodney	(Principal Financial and Accounting Officer)