UNITED ~~STATES~~STATESSECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

x	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
	For the quarterly period ended August 31, 2010
	or
o	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended February 28, 2011

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

Commission File Number 000-51198

GLOBAL GREEN SOLUTIONS INC. (Exact name of registrant as specified in its charter)

NEVADA	20-8616221
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)

~~789~~ PO ~~West~~Box ~~Pender~~45100 4326 Dunbar Street Vancouver, ~~Suite~~BCCanada ~~1010~~(Address of principal executive offices)

~~Vancouver,~~ (604) ~~British~~408-0153 ~~Columbia~~Toll Free (866) 408-0153

~~Canada~~Indicate ~~V6C~~by ~~1H2~~check mark whether the issuer (1) filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the past 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. YES [X] NO [ ]

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (~~Address~~§ 232.405 of ~~principal~~this ~~executive~~chapter) ~~offices~~during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). YES [ ] NO [ ]

(604) 408-0153

Toll Free (866) 408-0153

Indicate by check mark whether the issuer (1) filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the past 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

YES x NO o

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).

YES o NO o

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

Large Accelerated Filer o[ ] Accelerated Filer o[ ] Non-accelerated Filer o[ ] Smaller Reporting Company x[X] (Do not check if a smaller reporting company)

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). YES [ ] NO [X]

~~YES o NO~~Indicate xthe number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date: 49,881,829 as of April 12, 2011

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date: 48,000,229 as of October 14, 2010

PART I – FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS.

GLOBAL GREEN SOLUTIONS INC. (A Development Stage Company)

(AINTERIM ~~Development~~CONSOLIDATED ~~Stage Company~~FINANCIAL STATEMENTS (Unaudited)

~~INTERIM~~FOR ~~CONSOLIDATED~~THE ~~BALANCE~~THREE ~~SHEETS~~MONTHS ENDED FEBRUARY 28, 2011 AND 2010 (Stated in U.S. Dollars)

GLOBAL GREEN SOLUTIONS INC. (A Development Stage Company) INTERIM CONSOLIDATED BALANCE SHEETS (Unaudited) (Stated in U.S. Dollars)

(Stated in U.S. Dollars)

		FEBRUARY 28			NOVEMBER 30
		2011			2010
ASSETS

Current
Cash	$	99,655		$	140,509
Amounts receivable		19,044			12,837
Prepaid expenses		41,624			29,792
		160,323			183,138
Equipment		4,049			4,419
	$	164,372		$	187,557

LIABILITIES

Current
Accounts payable and accrued liabilities	$	1,991,602		$	2,604,886
Convertible notes		1,203,551			1,010,164
Loans payable		1,771,163			1,864,005
		4,966,316			5,479,055
Project Funding Advances		8,812,712			8,446,766
		13,779,028			13,925,821
Commitments And Contractual Obligations (Note 9)
Subsequent Events (Note 13)

DEFICIENCY
Capital Stock
Authorized: 100,000,000 Common shares, par value $0.00001 per share Issued and outstanding: 48,009,299 common shares at February 28, 2011 and November 30, 2010		480			480

Additional Paid-In Capital		20,976,802			20,435,348
Shares To Be Issued		587,356			-
Share Purchase Warrants		142,500			620,500
Deficit Accumulated During The Development Stage		(35,207,698	)		(34,680,536	)
Deficiency Attributable to Global Green Solutions Inc.		(13,500,560	)		(13,624,208	)
Deficiency Attributable to Non-controlling Interests		(114,096	)		(114,056	)
		(13,614,656	)		(13,738,264	)
	$	164,372		$	187,557

	AUGUST 31			NOVEMBER 30
	2010			2009
ASSETS
Current
Cash	$	70,891		$	41,956
Amounts receivable		7,898			6,390
Prepaid expenses		30,356			26,075
		109,145			74,421
Equipment		5,607			5,006
	$	114,752		$	79,427
LIABILITIES
Current
Accounts payable and accrued liabilities (Note 8)	$	2,452,483		$	1,860,372
Convertible notes (Note 4)		939,629			684,419
Loans payable (Note 5)		1,854,505			1,878,127
		5,246,617			4,422,918
Project Funding Advances (Note 3(b))		7,995,308			1,386,986
		13,241,925			5,809,904
Commitments And Contractual Obligations (Note 9)
Subsequent Events (Note 13)
STOCKHOLDERS’ DEFICIENCY
Capital Stock (Note 7)
Authorized:
100,000,000 Common shares, par value $0.00001 per share
Issued and outstanding:
47,511,099 common shares at August 31, 2010		475			465
46,461,099 common shares at November 30, 2009
Additional Paid-In Capital		20,270,548			20,017,711
Shares To Be Issued (Note 7)		-			82,688
Share Purchase Warrants		620,500			620,500
Deferred Compensation		-			(114,800	)
Deficit Accumulated During The Development Stage		(33,907,222	)		(26,337,041	)
Global Green Solutions Inc. Stockholders’ Deficiency		(13,015,699	)		(5,730,477	)
Non-controlling Interests’ Deficiency (Note 6)		(111,474	)		-
Total Deficiency		(13,127,173	)		(5,730,477	)
	$	114,752		$	79,427

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

~~The accompanying condensed notes are an integral part of these interim consolidated financial statements.~~F-1

~~F-1~~GLOBAL GREEN SOLUTIONS INC. (A Development Stage Company) INTERIM CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (Stated in U.S. Dollars)

GLOBAL GREEN SOLUTIONS INC.

								CUMULATIVE
								PERIOD FROM
								INCEPTION
								JUNE 10, 2003
		THREE MONTHS ENDED						TO
		FEBRUARY 28						FEBRUARY 28
		2011			2010			2011

Revenue	$	-		$	-		$	-

Operating Expenses
Consulting fees		58,177			134,686			4,424,193
Finance charges		56,341			31,968			2,302,654
Interest and bank charges		82,726			136,132			825,274
Office, sundry, and debt settlements		(93,221	)		59,697			1,538,207
Professional fees		14,688			71,198			992,843
Project development expenses		408,491			1,424,898			14,655,512
Stock-based compensation		-			85,606			7,660,100
		527,202			1,944,185			32,398,783

Operating Loss Before Other Income (Expense)		(527,202	)		(1,944,185	)		(32,398,783	)

Other Income (Expense)
Impairment of advances		-			-			(2,837,160	)
Impairment of intangible assets		-			-			(357,100	)
Interest income		-			-			60,049

Net Loss		(527,202	)		(1,944,185	)		(35,532,994	)

Net Loss Attributable To Non-controlling Interests		40			7,893			325,296

Net Loss Attributable to Global Green Solutions Inc.	$	(527,162	)	$	(1,936,292	)	$	(35,207,698	)

Basic And Diluted Loss Per Common Share	$	(0.01	)	$	(0.04	)

Weighted Average Number Of Common Shares Outstanding		48,009,229			47,090,543

(AThe ~~Development~~accompanying ~~Stage~~condensed ~~Company)~~notes are an integral part of these interim consolidated financial statements.

~~INTERIM CONSOLIDATED STATEMENTS OF OPERATIONS~~F-2

GLOBAL GREEN SOLUTIONS INC. (A Development Stage Company) INTERIM CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (Stated in U.S. Dollars)

(Stated in U.S. Dollars)

								CUMULATIVE
								PERIOD FROM
								INCEPTION
		THREE MONTHS ENDED						JUNE 10, 2003 TO
		FEBRUARY 28						FEBRUARY 28
		2011			2010			2011
Cash Flows (Used In) Provided By:
Operating Activities
Net loss	$	(527,202	)	$	(1,944,185	)	$	(35,532,994	)
Adjustments to reconcile net loss to net cash used by operating activities
Depreciation		370			1,338			66,031
Non-cash finance charges		56,341			31,968			2,302,654
Stock-based compensation		-			85,606			7,660,100
Non-cash consulting services		-			32,613			1,028,083
Non-cash license fee		-			-			165,000
Non-cash settlement		(124,766	)		-			(117,588	)
Non-cash project development expense
recovery		-			-			(575,314	)
Accrued interest		82,726			133,520			774,782
Impairment of intangible assets		-			-			2,837,160
Impairment of advances		-			-			357,100
Changes to operating assets and liabilities
Amounts receivable		(6,207	)		(3,947	)		(138,044	)
Prepaid expenses		(11,832	)		(70,876	)		(41,624	)
Accounts payable and accrued liabilities		(122,640	)		459,518			2,150,290
		(653,210	)		(1,274,445	)		(19,064,364	)
Investing Activities
Acquisition of equipment and intangible assets		-			(3,894	)		(70,180	)
Pilot project facilities and equipment		-			-			(2,718,160	)
		-			(3,894	)		(2,788,340	)
Financing Activities
Issue of share capital, net of issuance costs		-			-			7,907,588
Net proceeds from convertible notes		191,000			148,100			2,734,932
Advances from non-controlling interests		-			5,100			122,116
Loan advances (repayments) - net		80,116			(1,250	)		2,539,266
Project funding advances		341,240			1,413,986			8,648,457
		612,356			1,565,936			21,952,359
(Decrease) Increase In Cash		(40,854	)		287,597			99,655
Cash, Beginning Of Period		140,509			41,956			-
Cash, End Of Period	$	99,655		$	329,553		$	99,655
Supplemental Information
Cash Activities:
Interest paid	$	-		$	-
Income taxes paid	$	-		$	-

													CUMULATIVE
													PERIOD FROM
	THREE MONTHS ENDED						NINE MONTHS ENDED						INCEPTION
	AUGUST 31						AUGUST 31						JUNE 10, 2003 TO
	2010			2009			2010			2009			AUGUST 31, 2010
Revenue	$	-		$	-		$	-		$	-		$	-
Operating Expenses
Consulting fees (Note 8)		108,024			289,095			374,563			799,867			4,177,112
Finance charges		47,390			16,318			120,476			29,696			2,193,202
Interest and bank charges		297,711			94,335			646,091			200,523			1,054,629
Office and sundry (Note 8)		(22,683	)		50,324			59,748			221,859			1,601,895
Professional fees		32,501			11,934			127,710			109,148			963,734
Project development expenses		2,089,431			(287,846	)		6,235,600			472,255			13,549,605
Stock-based compensation		3,600			87,170			132,767			426,271			7,660,100
		2,555,974			261,330			7,696,955			2,259,619			31,200,277
Operating Loss, before Other Income (Expense) and Non-controlling Interests		(2,555,974	)		(261,330	)		(7,696,955	)		(2,259,619	)		(31,200,277	)
Other Income (Expense)
Impairment of advances (Note 3 (a))		-			-			-			-			(2,837,160	)
Impairment of intangibles		-			-			-			-			(357,100	)
Interest income		-			-			-			1,041			60,049
Loss Before Non-controlling Interests		(2,555,974	)		(261,330	)		(7,696,955	)		(2,258,578	)		(34,334,488	)
Net Income Attributable To Non-controlling Interests		5,448			5,100			19,358			15,300			319,850
Net Loss Attributable to Global Green Solutions Inc.	$	(2,550,526	)	$	(256,230	)	$	(7,677,597	)	$	(2,243,278	)	$	(34,014,638	)
Basic And Diluted Loss Per Common Share	$	(0.05	)	$	(0.01	)	$	(0.16	)	$	(0.05	)
Weighted Average Number Of Common Shares Outstanding		47,418,164			45,345,365			47,266,208			45,118,471

Non-Cash Investing and Financing Activities (Note 10)

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

F-23

GLOBAL GREEN SOLUTIONS INC. (A Development Stage Company) CONDENSED NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS THREE MONTHS ENDED FEBRUARY 28, 2011 (Unaudited) (Stated in U.S. Dollars)

(A1. ~~Development~~NATURE ~~Stage~~OF ~~Company)~~OPERATIONS AND GOING CONCERN

~~INTERIM~~Global ~~CONSOLIDATED~~Green ~~STATEMENTS~~Solutions OFInc. ~~CASH~~(the “Company”) ~~FLOWS~~was incorporated June 10, 2003 in the State of Nevada, is a development stage company and is devoting all of its efforts to establishing a new business. That business is the use of heat from the combustion of biomass to generate industrial process steam and electrical power.

The Company conducts the majority of its operations through its subsidiary, Global Greensteam LLC, a California corporation owned 100%. That subsidiary is developing its Greensteam process technology and projects that convert biomass (~~Unaudited~~primarily wood and crop waste) to low-cost steam. The steam can be used for industrial purposes or for combined heat and power applications.

The accompanying financial statements have been prepared assuming the Company will continue as a going concern. As shown in the accompanying financial statements, the Company has incurred a net loss since inception (~~Stated~~before Non-controlling Interests) of $35.5 million for the period from June 10, 2003 (inception) to February 28, 2011, has a stockholders’ deficiency of approximately $13.5 million, and has no revenue. The future of the Company is dependent upon its ability to obtain financing and upon future profitable operations from the development and marketing of its Greensteam biomass combustion projects. The Company plans to continue as a going concern by actively developing and marketing its Greensteam technology. It intends to raise additional capital for the development and marketing of its project primarily through the issuance of common shares and or the issuance of debt securities. It may also raise additional capital by selling interests in Uits projects.S There can be no assurance that the Company will be successful in marketing and developing its project or in securing financing. ~~Dollars)~~These financial statements do not include any adjustments relating to the recoverability and classification of recorded assets, or the amounts of and classification of liabilities that might be necessary in the event the Company cannot continue in existence.

							CUMULATIVE
							PERIOD FROM
	NINE MONTHS ENDED						INCEPTION
	AUGUST 31						JUNE 10, 2003 TO
	2010			2009			AUGUST 31, 2010
Cash Flows (Used In) Provided By: Operating Activities
Net loss attributable to Global Green Solutions Inc.	$	(7,677,597	)	$	(2,243,278	)	$	(34,014,638	)
Adjustments to reconcile net loss to net cash used by operating activities
Depreciation		3,293			18,180			64,483
Non-controlling interests in operations of consolidated subsidiaries		(19,358	)		(15,300	)		(319,850	)
Non-cash finance charges		120,476			29,696			2,193,202
Stock-based compensation		132,767			426,271			7,660,100
Non-cash consulting services		84,526			85,251			1,028,083
Non-cash license fee		-			-			165,000
Non-cash settlement		-			-			7,178
Non-cash project development expense recovery		-			(575,314	)		(573,314	)
Accrued interest		643,460			193,478			1,008,485
Impairment of intangible assets		-			-			357,100
Impairment of advances		-			-			2,837,160
Changes to operating assets and liabilities
Amounts receivable		(1,508	)		60,283			(126,898	)
Prepaid expenses		(4,281	)		(1,172	)		(30,356	)
Accounts payable and accrued liabilities		404,325			420,010			2,135,610
		(6,313,897	)		(1,601,895	)		(17,610,655	)
Investing Activities
Acquisition of equipment and intangible asset		(3,894	)		-			(70,190	)
Pilot project facilities and equipment		-			-			(2,718,160	)
		(3,894	)		-			(2,788,350	)
Financing Activities
Issue of share capital, net of issuance costs		-			-			7,907,588
Net proceeds from convertible notes		182,400			467,655			2,518,932
Advances from minority interest		15,300			15,300			119,292
Loan advances (repayments) - net		(3,622	)		559,718			2,449,650
Project funding advances		6,152,648			500,117			7,474,434
		6,346,726			1,542,790			20,469,896
Increase (Decrease) In Cash		28,935			(59,105	)		70,891
Cash, Beginning Of Period		41,956			81,376			-
Cash, End Of Period	$	70,891		$	22,271		$	70,891
Supplemental Information
Cash Activities:
Interest paid	$	-		$	-
Income taxes paid	$	-		$	-
Non-Cash Investing and Financing Activities (Note 10)

The unaudited financial information furnished herein reflects all adjustments, which in the opinion of management are necessary to fairly state the Company’s financial position and the results of its operations for the periods presented. These statements should be read in conjunction with the Company’s financial statements and notes thereto for the fiscal year ended November 30, 2010. The Company assumes that users of the interim financial information herein have read or have access to the audited financial statements for the preceding fiscal year and that the adequacy of additional disclosure needed for a fair presentation may be determined in that context. Accordingly, certain footnote disclosure, which would substantially duplicate the disclosure contained in the November 30, 2010 financial statements, has been omitted. The results of operations for the three month period ended February 28, 2011 are not necessarily indicative of results for the entire year ending November 30, 2011.

~~The accompanying condensed notes are an integral part of these interim consolidated financial statements.~~F-4

~~F-3~~GLOBAL GREEN SOLUTIONS INC. (A Development Stage Company) CONDENSED NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS THREE MONTHS ENDED FEBRUARY 28, 2011 (Unaudited) (Stated in U.S. Dollars)

~~GLOBAL~~2. ~~GREEN~~SUMMARY ~~SOLUTIONS~~OF ~~INC.~~SIGNIFICANT ACCOUNTING POLICIES

In June 2009, the Financial Accounting Standards Board (A“FASB”) ~~Development~~issued ~~Stage~~its ~~Company~~final Statement of Financial Accounting Standards (“SFAS”) No. 168, “The “FASB Accounting Standards Codification” (“ASC”) and the Hierarchy of Generally Accepted Accounting Principles, a replacement of FASB Statement No. 162 (“SFAS 168”). SFAS 168 establishes the “FASB” Accounting Standards Codification (“Codification”), which officially launched July 1, 2009, to become the source of authoritative U.S. generally accepted accounting principles (“GAAP”) recognized by the FASB to be applied by non-governmental entities, superseding existing FASB, American Institute of Certified Public Accountants (“AICPA”), Emerging Issues Task Force (“EITF”), and related accounting literature. Rules and interpretive releases of the Securities and Exchange Commission (“SEC”) under authority of federal securities laws are also sources of authoritative U.S. GAAP for SEC registrants. SFAS 168 is effective for the Company as of the year ended November 30, 2009. The Codification did not change or alter existing GAAP. It did not have a substantive impact on the Company’s financial statements. The only impact is that references to authoritative accounting literature are in accordance with the Codification.

~~CONDENSED~~The ~~NOTES~~financial TOstatements ~~INTERIM~~have, ~~CONSOLIDATED~~in management’s ~~FINANCIAL~~opinion, ~~STATEMENTS~~been properly prepared within reasonable limits of materiality and within the framework of the significant accounting policies summarized below:

~~AUGUST~~a) 31Principles of Consolidation The accompanying consolidated financial statements include the financial statements of the Company and its subsidiaries. All inter-company balances and transactions have been eliminated in consolidation and net earnings are reduced by the portion of the net earnings of subsidiaries applicable to non-controlling interests. The Company conducts a portion of its operations through certain subsidiaries, ~~2010~~being:

(Unaudited)

	-	Global Greensteam LLC, a California corporation owned 100%;
	-	Global Green Solutions Ltd., a United Kingdom corporation owned 100%, which owns an 80% interest in Global Green Solutions (SA) (Proprietary) Limited (“PTY”), a South African corporation;

~~(Stated~~Three inother ~~U.S.~~subsidiaries ~~Dollars)~~are inactive.

1.The ~~NATURE~~portion OFof ~~OPERATIONS~~the ~~AND~~income ~~GOING~~and ~~CONCERN~~net assets applicable to the non-controlling interest in the majority-owned operations of the Company’s South African subsidiary is reflected as non-controlling interest.

~~Global~~FASB ~~Green~~Interpretation ~~Solutions~~Number ~~Inc.~~ (~~the~~ “~~Company~~FIN”) ~~was incorporated June 10~~ 46R, ~~2003~~Consolidation ~~in the State~~ of ~~Nevada,~~Variable isInterest aEntities ~~development~~(ASC ~~stage~~810, ~~company~~Consolidation) addresses ~~and~~the isconsolidation ~~devoting substantially all~~ of ~~its~~certain ~~present efforts to establishing a new~~ business~~. That~~ ~~business~~entities ~~had~~in ~~primarily~~which ~~been~~equity investors ~~focused~~do onnot ~~two~~have ~~areas:~~the ~~waste~~characteristics ~~biomass~~of ~~combustion~~a tocontrolling ~~generate~~financial ~~industrial~~interest ~~process~~or do ~~steam~~not ~~and~~have ~~combined~~sufficient ~~heat~~equity ~~and~~at ~~power~~risk ~~(“Greensteam”), and the production of algae biomass, principally~~ for ~~biofuel feedstock. In 2008,~~ the ~~Company~~entity ~~restructured its operations~~ to ~~focus~~finance on its ~~commercial~~activities without ~~stage~~additional ~~Greensteam~~subordinated ~~business.~~financial ~~Since~~support ~~then,~~from ~~the~~other ~~Company~~parties ~~had~~("variable interest ~~been~~entities"). ~~evaluating~~Variable ~~alternative~~interest ~~strategies~~entities ~~for~~are ~~conducting~~required ~~ongoing~~to ~~development~~be ofconsolidated by ~~the~~their ~~algae~~primary ~~project, including working with new strategic partners~~beneficiaries. ~~However,~~The ~~the~~ Company has ~~concluded~~determined that ~~its~~it ~~interests~~does ~~are~~not best served by focusing all of its efforts on its Greensteam business. Vertigro Algae Technologies LLC, a Texas corporation (“VAT”); is the entity through which the Company and its 50% partner, Valcent USA, Inc. (“VUI”) pursued development of the algae biomass project. The Company and VUI have variable ~~now~~interests ~~agreed~~in toother ~~the~~entities ~~wind-up~~that ~~and~~qualify ~~dissolution~~for ~~of VAT, as announced July 8, 2010~~consolidation.

The Company conducts a portion of its operations through certain subsidiaries. Global Greensteam LLC, a California corporation owned 100%, is developing its Greensteam process technology and projects that convert biomass (primarily wood and crop waste) to lowF-cost steam. The steam can be used for industrial purposes or for combined heat and power applications. Global Green Solutions (SA) (Proprietary) Limited (“PTY”), a South African corporation owned 80%, is marketing and developing business opportunities in South and Southern Africa for Greensteam projects. Global Green Solutions Ltd, a United Kingdom corporation owned 100%, has no operations or activity other than through its 80% holding in PTY. Three other subsidiaries are inactive.5

~~The~~GLOBAL ~~accompanying~~GREEN ~~financial~~SOLUTIONS ~~statements~~INC. ~~have~~(A ~~been~~Development ~~prepared~~Stage ~~assuming the~~ Company) ~~will~~CONDENSED ~~continue~~NOTES asTO aINTERIM ~~going~~CONSOLIDATED ~~concern. As~~FINANCIAL ~~shown~~STATEMENTS inTHREE ~~the~~MONTHS ~~accompanying~~ENDED ~~financial~~FEBRUARY ~~statements~~28, ~~the~~2011 ~~Company has incurred a net loss~~ (~~before Non-controlling Interests~~Unaudited) ~~of $34,334,488 for the period from June 10, 2003~~ (~~inception)~~Stated to August 31, 2010, has a stockholders’ deficiency, and has no revenue. The future of the Company is dependent upon its ability to obtain financing and upon future profitable operations from the development and marketing of its biomass combustion projects. The Company plans to continue as a going concern by actively developing and marketing its Greensteam projects. It intends to raise additional capital for the development and marketing of its projects primarily through the issuance of common shares and/or the issuance of debt securities. It may also raise additional capital by selling interests in ~~its projects~~U. ~~There can be no assurance that the Company will be successful in marketing and developing its projects or in securing financing~~S. ~~These~~ financial statements do not include any adjustments relating to the recoverability and classification of recorded assets, or the amounts of and classification of liabilities that might be necessary in the event the Company cannot continue in existence.Dollars)

The unaudited financial information furnished herein reflects all adjustments, which in the opinion of management are necessary to fairly state the Company’s financial position and the results of its operations for the periods presented2. ~~These~~SUMMARY ~~statements~~OF ~~should~~SIGNIFICANT beACCOUNTING ~~read~~POLICIES in conjunction with the Company’s financial statements and notes thereto for the fiscal year ended November 30, 2009. The Company assumes that users of the interim financial information herein have read or have access to the audited financial statements for the preceding fiscal year and that the adequacy of additional disclosure needed for a fair presentation may be determined in that context. Accordingly, certain footnote disclosure, which would substantially duplicate the disclosure contained in the November 30, 2009 financial statements, has been omitted. The results of operations for the nine month period ended August 31, 2010 are not necessarily indicative of results for the entire year ending November 30, 2010.(Continued)

Fb) Use of Estimates and Assumptions Preparation of the Company’s financial statements in conformity with United States GAAP requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates. The significant areas requiring management’s estimates and assumptions relate to determining the fair value of stock-4based compensation, fair value of shares issued for services and the acquisitions, and useful lives of long-lived assets. c) Development Stage Company The Company is a development stage company as defined in FASB ASC 915, Development Stage Entities. Among the disclosures required by FASB ASC 915 are that the Company’s financial statements be identified as those of a development stage company, and that the statements of operations, equity (deficit) and cash flows disclose activity since the date of the Company’s inception. d) Equipment and Depreciation Equipment is recorded at cost less accumulated depreciation. Depreciation is computed and recorded when equipment is put into use, using the straight line method over the asset’s estimated useful life. Major renewals and improvements are capitalized, while routine maintenance and repairs are expensed as incurred. The Company assesses equipment for impairment whenever events or changes in circumstances indicate that an asset’s carrying amount may not be recoverable. e) Intangible Assets The Company has adopted the provision codified in ASC 350, Intangibles – Goodwill and Other which revises the accounting for purchased goodwill and intangible assets. Under ASC 350, goodwill and intangible assets with indefinite lives are no longer amortized and are tested for impairment annually. The determination of any impairment would include a comparison of estimated future operating cash flows anticipated during the remaining life with the net carrying value of the asset as well as a comparison of the fair value to book value of the Company. The Company had no intangible assets as at February 28, 2011 and November 30, 2010. f) Impairment of Long-Lived Assets In accordance with ASC 360, Property, Plant, and Equipment, the carrying value of equipment and other long-lived assets is reviewed on a regular basis for the existence of facts or circumstances that may suggest impairment. The Company recognizes impairment when the sum of the expected undiscounted future cash flows is less than the carrying amount of the asset. Impairment losses, if any, are measured as the excess of the carrying amount of the asset over its estimated fair value.

~~GLOBAL GREEN SOLUTIONS INC.~~F-6

GLOBAL GREEN SOLUTIONS INC. (A Development Stage Company) CONDENSED NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS THREE MONTHS ENDED FEBRUARY 28, 2011 (Unaudited) (Stated in U.S. Dollars)

~~CONDENSED~~2. ~~NOTES~~SUMMARY TOOF ~~INTERIM~~SIGNIFICANT ~~CONSOLIDATED~~ACCOUNTING ~~FINANCIAL~~POLICIES ~~STATEMENTS~~(Continued)

AUGUST 31, 2010

g)	Financial Instruments and Concentration of Risk

	The fair values of financial instruments, which include cash, amounts receivable, accounts payable and accrued liabilities, convertible notes, and loans payable were estimated to approximate their carrying values due to the immediate or relatively short maturity of these instruments. Management does not believe that the Company is subject to significant interest currency or credit risks arising from these financial instruments.

h)	Basic and Diluted Net Income (Loss) Per Share

	The Company computes net income (loss) per share in accordance with ASC 260, Earnings Per Share, which requires presentation of both basic and diluted earnings (loss) per share on the face of the income statement. The latter amount is computed by dividing net income (loss) available to common shareholders (numerator) before and after discontinued operations, by the weighted average number of common shares outstanding (denominator) during the period, including contingently issuable shares where the contingency has been resolved. The diluted loss per share calculation gives effect to all dilutive potential common shares outstanding during the period using the treasury stock method and convertible preferred stock using the if-converted method. In computing diluted loss per share, the average stock price for the period is used in determining the number of shares assumed to be purchased from the exercise of stock options or warrants.

i)	Development Costs

	Development costs are expensed in the period they are incurred unless they meet specific criteria related to technical, market and financial feasibility, as determined by management, including but not limited to the establishment of a clearly defined future market for the product, and the availability of adequate resources to complete the project. If all criteria are met, the costs are deferred and amortized over the expected useful life, or written off if a product is abandoned. At February 28, 2011 and November 30, 2010, the Company had no deferred product development costs.

j)	Common Share Non-Monetary Consideration

	In situations where common shares are issued and the fair value of the goods or services received is not readily determinable, the fair value of the common shares is used to measure and record the transaction. The fair value of the common shares issued in exchange for the receipt of goods and services is based on the stock price as of the earliest of the date at which:

	i)	the counterparty’s performance is complete;
	ii)	a commitment for performance by the counterparty to earn the common shares is reached; or
	iii)	the common shares are issued if they are fully vested and non-forfeitable at that date.

~~(Unaudited)~~F-7

GLOBAL GREEN SOLUTIONS INC. (A Development Stage Company) CONDENSED NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS THREE MONTHS ENDED FEBRUARY 28, 2011 (Unaudited) (Stated in U.S. Dollars)

2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

Ink) ~~June~~Stock-Based ~~2009~~Compensation On December 1, 2005, the ~~Financial~~Company ~~Accounting~~adopted ~~Standards~~the ~~Board~~fair ~~(“FASB”)~~value ~~issued~~recognition ~~its~~provisions ~~final~~codified ~~Statement~~in ofASC ~~Financial~~718, ~~Accounting~~Compensation-Stock ~~Standards~~Compensation. ~~(“SFAS”)~~The NoCompany adopted those provisions using the modified- prospective-transition method. ~~168~~Under this method, ~~“The~~compensation ~~“FASB~~cost ~~Accounting~~recognized ~~Standards~~for ~~Codification”~~all ~~and~~periods ~~the~~prior ~~Hierarchy~~to ofDecember ~~Generally~~1, ~~Accepted~~2005 ~~Accounting~~includes: ~~Principles~~a) compensation cost for all share-based payments granted prior to, abut ~~replacement~~not ofyet ~~FASB~~vested ~~Statement~~as ~~No.~~of ~~162”~~November ~~(“SFAS~~30, ~~168”). SFAS~~2005, ~~168~~based ~~establishes~~on the ~~“FASB”~~grant-date ~~Accounting~~fair ~~Standards~~value ~~Codification”~~and ~~(“Codification”~~b), ~~which~~compensation ~~officially~~cost ~~launched~~for ~~July~~all 1share- based payments granted subsequent to November 30, ~~2009~~2005, tobased ~~become~~on the ~~source~~grant-date offair ~~authoritative U~~value.S. ~~generally~~In ~~accepted~~addition, ~~accounting~~deferred ~~principles~~stock ~~(“GAAP”)~~compensation ~~recognized~~related byto ~~the~~non-vested ~~FASB~~options is required to be ~~applied~~eliminated byagainst ~~non~~additional paid-~~governmental~~in ~~entities,~~capital. ~~superseding~~The ~~existing~~results ~~FASB~~for periods prior to December 1, ~~American~~2005 ~~Institute~~were not restated. The Company accounts for equity instruments issued in exchange for the receipt of ~~Certified~~goods ~~Public~~or ~~Accountants~~services ~~(“AICPA”),~~from ~~Emerging~~parties ~~Issues~~other ~~Task~~than ~~Force~~employees ~~(“EITF”),~~in ~~and~~accordance ~~related~~with ~~accounting~~ASC ~~literature~~505, Equity. ~~Rules~~ ~~and~~Costs ~~interpretive~~are ~~releases~~measured at the estimated fair market value of the ~~Securities~~consideration ~~and~~received ~~Exchange~~or ~~Commission~~the ~~(“SEC”)~~estimated ~~under~~fair ~~authority~~value of ~~federal~~the ~~securities~~equity ~~laws~~instruments ~~are~~issued, ~~also~~whichever ~~sources~~is ofmore ~~authoritative~~reliably Umeasurable.S. ~~GAAP~~The ~~for~~value ~~SEC~~of ~~registrants. SFAS~~equity ~~168~~instruments ~~recognizes~~issued ~~the~~for ~~previously~~consideration ~~issued~~other ~~GAAP~~than ~~pronouncements~~employee ~~into~~services ~~accounting~~is ~~topics~~determined ~~and~~on ~~displays~~the ~~them~~earliest ~~using~~of a ~~consistent~~performance ~~structure~~commitment or completion of performance by the counterparty. l) Share Purchase Warrants The ~~subsequent~~Company ~~issuances~~accounts offor ~~new~~common ~~standards~~share ~~will~~purchase bewarrants at fair value in ~~the~~accordance ~~form~~with ofASC ~~Accounting~~815, ~~Standards~~Derivatives ~~Updates~~and ~~that~~Hedging. ~~will~~The beBlack-Scholes ~~included~~option inpricing ~~the~~valuation ~~Codification~~method is used to determine fair value of these warrants. ~~SFAS~~ ~~168~~Use ~~was~~of ~~effective~~this ~~for~~method requires that the Company asmake assumptions regarding stock volatility, dividend yields, expected term of the ~~year~~warrants ~~ended~~and ~~November~~risk-free ~~30,~~interest ~~2009~~rates. As ~~the~~m) ~~Codification~~Funding ~~was~~Advances ~~not~~The ~~intended~~Company torecords ~~change~~funding oradvances ~~alter~~on ~~existing~~receipt ~~GAAP,~~and itaccretion ~~does~~thereon ~~not~~over ~~have~~the anestimated ~~impact~~term onto the ~~Company’s~~commencement ~~financial~~of ~~statements. The~~settlement ~~only~~of ~~impact~~those advances. Accretion is recorded using the effective interest method such that ~~references~~the tobalance ~~authoritative~~of ~~accounting~~advances ~~literature~~and ~~are~~accretion inas ~~accordance~~of ~~with~~the estimated settlement date is equal to the ~~Codification. The~~estimated ~~Company~~fair ~~has~~value of the future settlement amount and is included in ~~its~~interest ~~disclosures~~and bank charges. n) Non-controlling Interests Effective December 1, 2009, the ~~Accounting~~Company ~~Standards~~adopted ~~Codification~~new ~~(“ASC”)~~accounting ~~cross~~and reporting standards for the non-~~reference~~ ~~along~~controlling ~~side~~interest in a subsidiary. The adoption of the ~~references~~new guidance required a change in what was formerly minority interest to non-controlling interest and the ~~accounting~~placement ~~standards~~of ~~issued~~non-controlling ~~and~~interest ~~adopted~~within ~~prior~~the toequity (deficiency) section rather than the ~~adoption~~liabilities section of ~~Codification~~the consolidated balance sheet.

The financial statements have, in management’s opinion, been properly prepared within reasonable limits of materiality and within the framework of the significant accounting policies summarized below:F-8

aGLOBAL GREEN SOLUTIONS INC. (A Development Stage Company) ~~Principles~~CONDENSED ofNOTES ~~Consolidation~~TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS THREE MONTHS ENDED FEBRUARY 28, 2011 (Unaudited) (Stated in U.S. Dollars)

~~The~~2. ~~accompanying~~SUMMARY ~~consolidated~~OF ~~financial~~SIGNIFICANT ~~statements~~ACCOUNTING ~~include~~POLICIES ~~the Company and its subsidiaries or entities consolidated in accordance with guidance originally issued in FASB Interpretation Number~~ (~~“FIN”~~Continued) 46, as revised, Consolidation of Variable Interest Entities (codified in ASC 810, Consolidation). All inter-company balances and transactions have been eliminated in consolidation and net earnings are reduced by the portion of the net earnings of subsidiaries applicable to non-controlling interests.

FIN 46R addresses the consolidation of certain business entities in which equity investors do not have the characteristics of a controlling financial interest or do not have sufficient equity at risk for the entity to finance its activities without additional subordinated financial support from other parties ("variable interest entities"o)~~. Variable~~ ~~interest~~Recent ~~entities~~Accounting ~~are required to be consolidated by their primary beneficiaries.~~Pronouncements

b)The ~~Use~~Company has adopted the provisions of ~~Estimates~~ASC 810, Consolidation. The revised guidance establishes new accounting, reporting and ~~Assumptions~~disclosure standards for the non-controlling interest in a subsidiary and for the deconsolidation of a subsidiary. Among other requirements, ASC 810 requires a company to clearly identify and present ownership interests in subsidiaries held by parties other than the company in the consolidated financial statements within the equity section, but separate from the company’s equity. It also requires that the net income to be reported include the amounts attributable to both the parent and the non-controlling interest. The revised guidance has been applied prospectively as of the beginning of fiscal year 2010, except for the presentation and disclosure requirements which will be applied retrospectively for prior periods. Other than the change in presentation of non-controlling interests, this adoption did not have a material impact on the Company’s financial statements.

~~Preparation~~In ofFebruary ~~the~~2010, ~~Company’s~~FASB ~~financial~~issued Accounting ~~statements~~Standards inUpdate ~~conformity~~(“ASU”) ~~with~~2010-09 ~~United~~Subsequent ~~States~~Events ~~GAAP~~(Topic ~~requires~~855) ~~management~~Amendments to ~~make~~Certain ~~estimates~~Recognition and ~~assumptions~~Disclosure ~~that~~Requirements. ~~affect~~ASU 2010-09 ~~certain~~removes ~~reported~~the ~~amounts~~requirement for an SEC filer to disclose a date in both issued and ~~disclosures~~revised financial statements. ~~Accordingly,~~ ~~actual~~Revised ~~results~~financial ~~could~~statements ~~differ~~include financial ~~from~~statements ~~those~~revised ~~estimates. The~~as ~~significant~~a ~~areas~~result ~~requiring~~of ~~management’s~~either ~~estimates~~correction ~~and~~of ~~assumptions~~an ~~relate~~error toor retrospective ~~determining~~application ~~the~~of ~~fair~~GAAP. ~~value~~All of ~~stock~~the amendments in ASU 2010-~~based~~09 ~~compensation~~are effective upon issuance of the final ASU, ~~fair~~except ~~value~~for the use of ~~shares~~the issued date for ~~services~~conduit ~~and~~debt ~~the~~obligors. ~~acquisitions~~That amendment is effective for interim or annual periods ending after June 15, ~~and~~2010. ~~useful~~The ~~lives~~Company ofadopted ~~long~~ASU 2010-~~lived~~09 ~~assets~~in February, 2010 and it did not have a material impact on the Company’s financial statements.

FIn January 2010, the FASB issued ASU 2010-506, Fair Value Measurements and Disclosures (Topic 820), Improving Disclosures about Fair Value Measurements, amending ASC 820. ASU 2010-06 requires entities to provide new disclosures and clarify existing disclosures relating to fair value measurements. The new disclosures and clarifications of existing disclosures are effective for interim and annual reporting periods beginning after December 15, 2009, except for the disclosures about purchases, sales, issuances, and settlements in Level 3 fair value measurements, which are effective for fiscal years beginning after December 15, 2010 and for interim periods within those fiscal years. The Company is currently evaluating the impact of ASU 2010-06, but does not expect its adoption to have a material impact on the Company’s financial position or results of operations.

~~GLOBAL GREEN SOLUTIONS INC.~~F-9

GLOBAL GREEN SOLUTIONS INC. (A Development Stage Company) CONDENSED NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS THREE MONTHS ENDED FEBRUARY 28, 2011 (Unaudited) (Stated in U.S. Dollars)

~~CONDENSED~~3. ~~NOTES~~PROJECT ~~TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS~~DEVELOPMENT

~~AUGUST~~On 31February 20, ~~2010~~2007 the Company completed an acquisition agreement for Greensteam Development Inc., which resulted in Global Greensteam LLC (“Greensteam”), a venture with two other companies for the purpose of converting waste biomass into low cost steam for industrial applications. The Company’s interest in the new venture initially was 57%, with the other two companies holding 38% and 5% respectively. The Company’s ownership interest increased to 95% in December, 2007 and 100% in April, 2008 when it acquired first the 38% and then the 5% held by the two other companies.

~~(Unaudited)~~The consideration to be paid by the Company to third parties in connection with the acquisition agreement is the issuance of 4.6 million shares, as follows:

- 150,000 shares of restricted common stock upon execution of the definitive agreement (~~Stated~~issued in ~~U.S.~~the ~~Dollars~~year ended November 30, 2007); - 3,985,000 shares to be issued on achievement of various milestone events, including execution of a steam contract through to commissioning of the 15th generating unit or the second anniversary of a steam supply contract. - 600,000 shares of the Company to be issued to the initial 38% interest holder as contingent consideration will be issued, based on achievement of various milestone events, including delivery of commercial steam generation from up to 10 units and after successful experimental testing and operational permitting and accepted by the customer purchasing the steam as the steam production commencement date.

2.Greensteam ~~SUMMARY~~entered OFinto ~~SIGNIFICANT~~a ~~ACCOUNTING~~Program Agreement ~~POLICIES~~with Aera Energy LLC (~~Continued~~“Aera”), an oil and gas company, on March 31, 2008, a First Amendment to the Program Agreement, effective October 22, 2008, and a Second Amendment to the Program Agreement effective November 24, 2009. The Program Agreement provides for a demonstration unit which will use Greensteam’s waste-to-steam process technology to burn waste biomass to create steam, to be built at a location of the oil and gas company. The Program Agreement also provides that up to ten commercial scale units could be built, depending on the results of the demonstration unit.

~~c) Development Stage Company~~F-10

~~The~~GLOBAL ~~Company~~GREEN isSOLUTIONS aINC. ~~development stage company as defined by SFAS 7, Accounting and Reporting by Development Stage Enterprises~~ (~~codified~~A ~~in ASC 915,~~ Development Stage ~~Entities~~Company)~~. The~~ ~~Company~~CONDENSED isNOTES ~~devoting~~TO ~~substantially~~INTERIM ~~all~~CONSOLIDATED ofFINANCIAL ~~its~~STATEMENTS ~~present~~THREE ~~efforts~~MONTHS toENDED ~~establishing~~FEBRUARY a28, ~~new~~2011 ~~business. All~~(Unaudited) ~~losses~~(Stated ~~accumulated~~in ~~since inception have been considered as part of the Company’s development stage activities~~U.S. Dollars)

d3. PROJECT DEVELOPMENT (Continued) ~~Cash~~The Second Amendment to the Program Agreement replaced and superseded the First Amendment in its entirety. Under the terms of the Second Amendment:

~~Cash~~• ~~consists~~Aera ~~primarily~~would contribute up to $3 million of ~~cash~~the cost of the demonstration unit as per the First Amendment to the Program Agreement. • An additional $5 million for the demonstration unit up to a total of $8 million approved by the Aera Board of Directors. • Payments from Aera were to be used exclusively for the management, design, engineering, permitting, construction (including materials), and operation of the demonstration unit. • In return, if the demonstration unit meets the pre-agreed specific test requirements and there is a full scale period, Greensteam will be obligated to provide Aera with discount-priced steam. • If there is no full scale period in which Greensteam can provide Aera with discount-priced Steam, Greensteam will grant Aera a perpetual, exclusive license to use Greensteam’s technology at any property owned or leased by Aera, and access to Greensteam’s intellectual property (collectively the “Exclusive License Grant”), subject to a royalty of 0.004 times the Incremental Energy Charge as defined in the Agreement, should Aera proceed with the full scale period on ~~deposit~~its own. • Greensteam has an obligation to grant Aera an Exclusive License Grant in the following circumstances:

ea. If the demonstration unit fails to meet the pre-agreed specific test requirements and either party gives notice as provided; b. If the demonstration unit meets the pre-agreed specific test requirements, both parties give notice that the pre-agreed specific test requirements are met or that the test results are acceptable, Aera’s Board approves amending the full scale period definition by replacing the language “five years” with “ten years”, and Greensteam is subsequently unable to (1) ~~Equipment~~obtain the full scale permit after diligent effort or (2) obtain financing for the first project after diligent effort; c. If the demonstration unit meets the pre-agreed specific test requirements, both parties give notice that the pre-agreed specific test requirements are met or that the test results are acceptable, Greensteam subsequently obtains the full scale permit, Greensteam obtains financing for the first project, and ~~Depreciation~~Greensteam fails to implement the full scale period project(s).

~~Equipment is recorded at cost less accumulated depreciation. Depreciation is computed and recorded when equipment is put into use, using the straight line method over twenty~~F-~~four months to allocate the cost of depreciable assets.~~11

~~Major~~GLOBAL ~~renewals~~GREEN ~~and~~SOLUTIONS ~~improvements~~INC. ~~are~~(A ~~capitalized,~~Development ~~while~~Stage ~~routine~~Company) ~~maintenance~~CONDENSED ~~and~~NOTES ~~repairs~~TO ~~are~~INTERIM ~~expensed~~CONSOLIDATED asFINANCIAL ~~incurred. The~~STATEMENTS ~~Company~~THREE ~~assesses~~MONTHS ~~equipment~~ENDED ~~for~~FEBRUARY ~~impairment~~28, ~~whenever~~2011 ~~events~~(Unaudited) or(Stated ~~changes~~ in ~~circumstances indicate that an asset’s carrying amount may not be recoverable~~U.S. Dollars)

f)3. ~~Intangible~~PROJECT ~~Assets~~DEVELOPMENT (Continued)

~~The~~Expenditures ~~Company~~incurred ~~has~~in ~~adopted~~connection with the ~~provision~~steam ofgeneration ~~SFAS~~project ~~142, Goodwill~~ and ~~Intangible~~charged ~~Assets,~~to ~~(codified~~project indevelopment ~~ASC~~costs ~~350, Intangibles – Goodwill and Other) which revises~~ in the ~~accounting~~quarter ~~for~~ended ~~purchased~~February ~~goodwill~~28, ~~and~~2011 ~~intangible~~totaled ~~assets. Under SFAS 142~~$410,186 ~~goodwill~~(2010 ~~and~~- ~~intangible assets with indefinite lives are no longer amortized and are tested for impairment annually~~$1,414,956). ~~The~~ ~~determination~~Total project ofdevelopment ~~any~~expenditures ~~impairment would include a comparison of estimated future operating cash flows anticipated during the remaining life with the net carrying value of the asset as well as a comparison of the fair value~~ to ~~book~~February ~~value~~28, of2011 ~~the~~aggregate ~~Company~~to $11,340,159.

gThe pricing formula now includes a lower discount amount per volume of steam, but for the full term of the Agreement. The Company records the Aera advances and accretion thereon over the term to commencement of delivery of steam from the first commercial scale project to Aera. Accretion is recorded using the effective interest method such that the balance of advances and accretion is equal to the estimated fair value of the future steam discount. As of February 28, 2011, $8,648,457 (November 30, 2010 - $8,307,217) ~~Impairment~~had been received from Aera under the terms of ~~Long~~the Program Agreement and $164,255 (November 30, 2010 -~~Lived~~ ~~Assets~~$139,549) had been recorded as the estimated accretion thereon.

InConstruction ~~accordance~~of ~~with~~the ~~SFAS~~demonstration ~~144~~unit commenced in January, ~~Accounting~~2010 ~~for~~at ~~the~~Aera’s ~~Impairment~~Belridge oroilfield, ~~Disposal~~near ofBakersfield, California ~~Long-Lived~~and ~~Assets~~was ~~(codified~~completed in ~~ASC 360~~June, ~~Property,~~2010 ~~Plant,~~at a cost of approximately $9 million. Testing and ~~Equipment),~~system ~~the~~refinements ~~carrying~~have ~~value~~continued ofsince ~~intangible~~then, ~~assets~~in preparation ~~and~~for ~~other~~meeting ~~long-lived~~the ~~assets~~specified istest ~~reviewed~~requirements onin athe ~~regular~~Second ~~basis~~Amendment. In ~~for~~December, 2010, the ~~existence~~demonstration plant achieved full steam generation capacity of ~~facts~~approximately or5.8 ~~circumstances~~MW ~~that~~(thermal), ~~may~~operating ~~suggest~~exclusively ~~impairment~~on residual woody agricultural biomass fuel. The ~~Company~~steam ~~recognizes~~was ~~impairment~~supplied ~~when~~to ~~the~~Aera ~~sum~~for ofits ~~the~~enhanced oil ~~expected~~recovery ~~undiscounted~~operations. ~~future~~The ~~cash~~next ~~flows~~key milestone is ~~less~~completion ~~than~~of ~~the~~a ~~carrying~~30 ~~amount~~day oftest as specified in the ~~asset~~Program Agreement. ~~Impairment~~ ~~losses,~~The iftest ~~any,~~is ~~are~~designed ~~measured~~to asconfirm the ability ~~excess~~ of ~~the~~Greensteam ~~carrying~~to ~~amount~~reliably ofand safely produce steam meeting Aera specifications from locally derived biomass. A successful test should trigger Aera’s agreement to proceed with the ~~asset~~full ~~over~~scale ~~its~~project. ~~estimated~~The ~~fair~~30 ~~value~~day test is expected to be completed in the second calendar quarter of 2011.

~~h) Financial Instruments and Concentration of Risk~~F-12

~~The~~GLOBAL ~~fair~~GREEN ~~values~~SOLUTIONS ofINC. ~~financial~~(A ~~instruments,~~Development ~~which~~Stage ~~include~~Company) ~~cash,~~CONDENSED ~~amounts~~NOTES ~~receivable,~~TO ~~accounts~~INTERIM ~~payable~~CONSOLIDATED ~~and~~FINANCIAL ~~accrued~~STATEMENTS ~~liabilities,~~THREE ~~convertible~~MONTHS ~~notes,~~ENDED ~~and~~FEBRUARY ~~loans~~28, ~~payable~~2011 ~~were~~(Unaudited) ~~estimated~~(Stated toin ~~approximate their carrying values due to the immediate or relatively short maturity of these instruments~~U. ~~Management does not believe that the Company is subject to significant interest currency or credit risks arising from these financial instruments~~S. Dollars)

~~F-6~~4. CONVERTIBLE NOTES

~~GLOBAL~~During ~~GREEN~~the ~~SOLUTIONS~~quarter ~~INC~~ended February 28, 2011, the Company issued convertible notes (the “note” or “notes”) in the aggregate amount of $200,500 on December 21, 2010 ($10,000) and February 14, 2011 ($190,500) due and payable on December 7, 2012 ($10,000) and February 14, 2013 ($190,500), together with interest at the rate of 12% per annum compounded annually. At the election of the holder, the notes and interest accrued thereon are convertible into units at a rate of $0.10 per unit. Each unit is comprised of one restricted share of common stock and one share purchase warrant. Each share purchase warrant entitles the holder to purchase an additional common share at $0.25 per share for a two year term from the date of conversion. To date, none of the notes or accrued interest has been converted into units. No finder’s fees were paid in connection with these notes.

(AOn ~~Development~~March ~~Stage~~21, 2011, the Company issued convertible notes (the “note” or “notes”) in the aggregate amount of $565,116 due and payable on March 21, 2013 together with interest at the rate of 12% per annum compounded annually. All other terms of the notes are identical to those issued during the period ended February 28, 2011. No finder’s fees were paid in connection with these notes.

~~CONDENSED~~During ~~NOTES~~the TOyear ~~INTERIM~~ended ~~CONSOLIDATED~~November, ~~FINANCIAL~~2010, the ~~STATEMENTS~~Company issued convertible notes (the “note” or “notes”) in the aggregate amount of $240,000 which are due and payable between November 24, 2011 and November 1, 2012, together with interest. All other terms of the notes are identical to those issued in 2011. To date, none of the notes or accrued interest has been converted into units. In connection with these notes, the Company paid a total of $12,600 in finder’s fees.

~~AUGUST~~During 31the year ended November 30, 2009, ~~2010~~the Company issued convertible notes (the “note” or “notes”) in the aggregate amount of $847,405 which are due and payable between March 2, 2011 and October 23, 2011, together with interest. All other terms of the notes are identical to those issued in 2011. In April, 2011, notes aggregating $150,000 of the preceding total were converted into 1,881,600 shares, together with warrants entitling the holders to acquire an additional 1,881,600 shares. In connection with these notes, the Company paid a total of $35,873 in finder’s fees.

During the year ended November 30, 2008, the Company issued a convertible note (~~Unaudited~~the “note”) in the aggregate amount of $100,000 due and payable on October 31, 2010 together with interest. All other terms of the note are identical to those issued in 2011. The holder of the note agreed to extend the term of the note for one year, to October 31, 2011. To date, none of the note or accrued interest has been converted into units.

~~(Stated~~In accordance with the provisions of ASC 470-20, Debt, the Company recognized the value of the embedded beneficial conversion feature of $29,412 in Uconnection with the 2008 note, $250,843 in connection with the 2009 notes, $75,242 in connection with the 2010 notes, and $63,454 in connection with the 2011 notes.S The fair value of the embedded beneficial conversion feature was estimated to be the difference between the issue date fair value and face amount of the debt with the fair value of the debt being determined on a relative fair value basis, based on the underlying estimated fair values of the common shares and share purchase warrants issuable on conversion. ~~Dollars)~~The embedded beneficial conversion feature was recorded as a credit to additional paid-in capital.

~~2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)~~F-13

hGLOBAL GREEN SOLUTIONS INC. (A Development Stage Company) ~~Financial~~CONDENSED ~~Instruments~~NOTES ~~and~~TO ~~Concentration~~INTERIM ofCONSOLIDATED ~~Risk~~FINANCIAL STATEMENTS THREE MONTHS ENDED FEBRUARY 28, 2011 (~~Continued~~Unaudited) (Stated in U.S. Dollars)

~~The~~4. ~~Company~~CONVERTIBLE ~~accounts~~NOTES ~~for common stock purchase warrants at fair value in accordance with EITF 00-19, “Accounting for Derivative Financial Instruments Indexed to and Practically Settled in, a Company’s Own Stock”,~~ (~~codified in ASC 815, Derivatives and Hedging~~Continued). The Black-Scholes option pricing valuation method is used to determine fair value of these warrants. Use of this method requires that the Company make assumptions regarding stock volatility, dividend yields, expected term of the warrants and risk-free interest rates.

i)The ~~Basic~~resulting debt discount and ~~Diluted~~finders’ fees ~~Net~~are ~~Income~~being accreted over the term of the note using the effective interest amortization method. In the event of conversion of the note, the proceeds will be allocated proportionately to the share purchase warrants issued and to the common shares issued, consistent with the original allocations between their debt and equity components To February 28, 2011, the Company has recorded accretion of $283,070 (~~Loss~~November 30, 2010: $226,729) ~~Per~~and ~~Share~~accrued interest of $229,907 (November 30, 2010: $193,669).

The Company computes net income (loss) per share in accordance with SFAS 128, Earnings per Share (codified in ASC 260, Earnings Per Share), which requires presentation of both basic and diluted earnings per share (“EPS”) on the face of the income statement5. ~~Basic~~ ~~EPS~~LOANS is computed by dividing net income (loss) available to common shareholders (numerator) before and after discontinued operations, by the weighted average number of common shares outstanding (denominator) during the period, including contingently issuable shares where the contingency has been resolved. Diluted EPS gives effect to all dilutive potential common shares outstanding during the period using the treasury stock method and convertible preferred stock using the if-converted method. In computing diluted EPS, the average stock price for the period is used in determining the number of shares assumed to be purchased from the exercise of stock options or warrants. Diluted EPS excludes all dilutive potential shares if their effect is anti-dilutive.PAYABLE

j)The ~~Foreign~~Company ~~Currency~~was ~~Translation~~indebted as at February 28, 2011 for short term loans totaling $1,771,163 (November 30, 2010 - $1,864,006).

~~The~~- ~~Company’s~~Of ~~functional~~that ~~and~~total, ~~reporting~~$654,292 ~~currency~~(November 30, 2010: $654,292) is ~~the~~unsecured, ~~United~~non-interest ~~States~~bearing, ~~dollar~~and with no specific terms of repayment. ~~Monetary~~ ~~assets~~- ~~and~~$213,955 ~~liabilities~~(November ~~denominated~~30, in2010 ~~foreign~~- ~~currencies~~$377,414) ~~are~~of ~~translated~~the intotal ~~accordance~~is due to companies controlled by individual directors. The Company reached agreements with ~~SFAS~~certain 52lenders in February, ~~Foreign~~2011 ~~Currency~~to ~~Translation~~settle ~~(codified~~$163,459 inof ~~ASC~~loan ~~830~~principal, ~~Foreign~~plus ~~Currency~~accrued ~~Matters)~~interest totaling $61,063, ~~using~~and ~~the~~other fees and expenses owing totaling $487,600 in exchange ~~rate~~for ~~prevailing~~3,455,033 atrestricted ~~the~~shares ~~balance~~of ~~sheet~~common ~~date~~stock. ~~Gains~~ ~~and~~The ~~losses~~shares ~~arising~~have onnot ~~settlement~~yet ofbeen ~~foreign~~issued ~~currency~~and ~~denominated~~their ~~transactions~~estimated orfair ~~balances~~value ~~are~~of $587,356 is included in ~~the~~Shares ~~determination~~To ofBe ~~income~~Issued. ~~Foreign~~The ~~currency~~other ~~transactions~~lenders ~~are~~have ~~primarily~~similarly ~~undertaken~~agreed to settle the $213,955 balance outstanding in ~~Canadian~~exchange ~~dollars. The~~for ~~Company~~shares ~~has~~of common stock; however the formal agreements are not yet executed. - $902,916 to(November ~~the~~30, ~~date~~2010: $832,300) is unsecured, bearing interest at 10% per annum on $822,800 and 12% per annum on $80,116, and with no specific terms of ~~these~~repayment. ~~financial~~$80,116 ~~statements~~was exchanged for convertible debt in March, ~~entered~~2011. ~~into~~- ~~derivative~~To ~~instruments~~February to28, ~~offset~~2011, the ~~impact~~Company has recorded accrued interest of ~~foreign~~$242,768 ~~currency~~(November ~~fluctuations~~30, 2010 - $283,385) which is included in Accounts Payable.

k)6. ~~Product~~NON-CONTROLLING ~~Development Costs~~INTERESTS

~~Product~~For ~~development~~the ~~costs~~three ~~are~~month ~~expensed in the~~ period ~~they~~ended February ~~are~~28, ~~incurred~~2011, ~~unless~~the ~~they~~Company ~~meet~~has ~~specific~~recorded ~~criteria~~a ~~related~~non-controlling tointerest ~~technical,~~share ~~market~~of loss ~~and~~of ~~financial~~$40 ~~feasibility,~~(2009: ~~as determined by management~~$7,893). ~~including~~The ~~but~~non-controlling ~~not~~interest ~~limited~~is to the ~~establishment~~20% of ~~a clearly defined future market for~~ the Company’s ~~product,~~South ~~and~~African ~~the~~subsidiary ~~availability~~that ofis ~~adequate~~not ~~resources~~owned toby ~~complete~~ the ~~project~~Company. If ~~all~~That subsidiary ~~criteria~~was ~~are~~inactive ~~met,~~during the ~~costs~~quarter ~~are deferred~~ and ~~amortized over the expected useful life, or written off if a product~~ is ~~abandoned. At~~to ~~August~~be ~~31,~~wound ~~2010, the Company had no deferred product development costs~~up.

F-7. CAPITAL STOCK

~~GLOBAL~~a) ~~GREEN~~Common ~~SOLUTIONS INC.~~Stock

(ADuring ~~Development~~the ~~Stage~~three month period ended February 28, 2011, the Company) did not issue any shares. However, the Company reached agreements with certain lenders during the period to settle $163,459 of loan principal, plus accrued interest totaling $61,063, and other fees and expenses owing totaling $487,600 in exchange for 3,455,033 restricted shares of common stock. The shares have not yet been issued and their estimated fair value of $587,356 is included in Shares To Be Issued.

~~CONDENSED NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS~~F-14

~~AUGUST~~GLOBAL 31GREEN SOLUTIONS INC. (A Development Stage Company) CONDENSED NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS THREE MONTHS ENDED FEBRUARY 28, ~~2010~~2011 (Unaudited) (Stated in U.S. Dollars)

7. CAPITAL STOCK (~~Unaudited~~Continued)

~~(Stated~~b) inStock ~~U.S. Dollars)~~Options

2The Company has a stock option plan that provides for the issuance of options to its directors, officers, employees and consultants. ~~SUMMARY~~The OFnumber, ~~SIGNIFICANT~~exercise ~~ACCOUNTING~~price, ~~POLICIES~~term and vesting conditions of the options are determined by the board of directors. The maximum number of shares of the Company available for grants of stock options under the current plan was initially 10,000,000 common shares. To February 28, 2011, 4,549,850 options (~~Continued~~November 30, 2010: 4,549,850) had been issued under this plan, leaving 5,450,150 available to be issued. During the three month period ended February 28, 2011, the Company did not grant any stock options and recorded $Nil (November 30, 2010: $132,767) in stock-based compensation expense for options granted in prior years.

lDuring the year ended November 30, 2010, the Company did not grant any stock options but recorded $132,767 (2009 - $512,640) ~~Comprehensive~~in ~~Loss~~stock-based compensation expense for options granted in prior years. Of that amount, $710 related to options issued in 2009, $72,757 was in connection with options issued in 2008, and $59,300 was expense related to the final vesting of options issued in 2007.

~~SFAS~~The ~~130,~~following ~~Reporting~~table ~~Comprehensive~~provides ~~Income,~~certain information ~~(codified~~with inrespect ~~ASC~~to ~~220, Comprehensive Income) establishes standards for~~ the ~~reporting~~above ~~and~~stock ~~display~~options ofthat ~~comprehensive~~are ~~loss~~outstanding and exercisable ~~its~~at ~~components~~February ~~in the financial statements. At August 31~~28, ~~2010, the Company had no items that represent a comprehensive loss and, therefore, has not included a schedule of comprehensive loss in the financial statements.~~2011:

m) Common Share Non-Monetary Consideration

	STOCK	STOCK	WEIGHTED
	OPTIONS	OPTIONS	AVERAGE
	ISSUED	OUTSTANDING	REMAINING
EXERCISE	AND	AND	CONTRACTUAL
PRICE	OUTSTANDING	EXERCISABLE	LIFE

$ 0.20	2,760,000	2,760,000	0.90 years
$ 0.20	675,000	675,000	0.94 years
$ 0.50	300,000	300,000	0.16 years
$ 0.50	500,000	500,000	0.08 years

	4,235,000	4,235,000

In situations where common shares are issued and the fair value of the goods or services received is readily determinable, the fair value of the common shares is used to measure and record the transaction. The fair value of the common shares issued in exchange for the receipt of goods and services is based on the stock price as of the earliest of the date at which:F-15

iGLOBAL GREEN SOLUTIONS INC. (A Development Stage Company) ~~the~~CONDENSED ~~counterparty’s~~NOTES ~~performance~~TO isINTERIM ~~complete;~~CONSOLIDATED FINANCIAL STATEMENTS THREE MONTHS ENDED FEBRUARY 28, 2011 (Unaudited) (Stated in U.S. Dollars)

~~ii)~~7. aCAPITAL ~~commitment~~STOCK ~~for performance by the counterparty to earn the common shares is reached; or~~(Continued)

~~iii~~b) ~~the~~Stock ~~common~~Options ~~shares are issued if they are fully vested and non-forfeitable at that date.~~(Continued)

n)The ~~Escrowed~~Company’s ~~Shares~~stock option activity for the three month period ended February 28, 2011 and the year ended November 30, 2010 was as follows:

The fair value of escrowed shares is recognized as a charge to income at the time they are released from escrow, with a corresponding increase in share capital.

					WEIGHTED
				WEIGHTED	AVERAGE
	NUMBER			AVERAGE	REMAINING
	OF			EXERCISE	CONTRACTUAL
	OPTIONS			PRICE	LIFE

Balance outstanding, November 30, 2009	5,550,000		$	0.39	1.58 years

Expired during the year	(1,315,000	)		0.80

Balance outstanding, November 30, 2010	4,235,000			0.26	1.00 year

Balance outstanding February 28, 2011	4,235,000		$	0.26	0.75 years

oAs February 28, 2011, the aggregate intrinsic value (“AIV”) ~~Stock-Based~~under the provisions of ASC 718, Compensation-Stock Compensation, of all outstanding, vested stock options was $NIL and the AIV of options exercised during the period ended February 28, 2011 was $NIL.

Onc) ~~December 1, 2005, the Company adopted the fair value recognition provisions of SFAS 123R,~~ Share~~-Based~~ ~~Payment,~~Purchase (codified in ASC 718, Compensation-Stock Compensation). The Company adopted SFAS 123R using the modified-prospective-transition method. Under this method, compensation cost recognized for all periods prior to December 1, 2005 includes: a) compensation cost for all share-based payments granted prior to, but not yet vested as of November 30, 2005, based on the grant-date fair value estimated in accordance with the original provisions of SFAS 123, and b) compensation cost for all share-based payments granted subsequent to November 30, 2005, based on the grant-date fair value estimated in accordance with the provisions of SFAS 123R. In addition, deferred stock compensation related to non-vested options is required to be eliminated against additional paid-in capital upon adoption of SFAS 123R. The results for periods prior to December 1, 2005 were not restated.Warrants

The Company’s ~~accounts~~share ~~for~~purchase ~~equity~~warrant activity ~~instruments issued in exchange~~ for the ~~receipt~~three ofmonth ~~goods~~period orended ~~services~~February ~~from~~28, ~~parties~~2011 ~~other than employees in accordance with SFAS 123~~ and the ~~conclusions~~year ~~reached~~ended November ~~by the Emerging Issues Task Force (“EITF”) in Issue No. 96-18~~30, ~~(codified~~2010 inwas ASC 505, Equity). Costs are measured at the estimated fair market value of the consideration received or the estimated fair value of the equity instruments issued, whichever is more reliably measurable. The value of equity instruments issued for consideration other than employee services is determined on the earliest of a performance commitment or completion of performance by the provider of goods or services as ~~defined by EITF 96-18.~~follows:

F-8

					WEIGHTED
	NUMBER OF			WEIGHTED	AVERAGE
	SHARE			AVERAGE	REMAINING
	PURCHASE			EXERCISE	CONTRACTUAL
	WARRANTS			PRICE	LIFE

Balance, November 30, 2009	1,326,471		$	1.49	1.13 years

Balance, November 30, 2010	1,326,471			1.49	1.13 years

Expired during the period	(1,176,471	)		1.50

Balance, February 28, 2011	150,000		$	1.40	0.67 years

~~GLOBAL~~The ~~GREEN~~150,000 ~~SOLUTIONS~~share ~~INC~~purchase warrants above are outstanding and exercisable at February 28, 2011.

~~(A Development Stage Company)~~F-16

GLOBAL GREEN SOLUTIONS INC. (A Development Stage Company) CONDENSED NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS THREE MONTHS ENDED FEBRUARY 28, 2011 (Unaudited) (Stated in U.S. Dollars)

~~AUGUST~~7. ~~31,~~CAPITAL ~~2010~~STOCK (Continued)

~~(Unaudited~~d) Restricted Common Shares in Escrow

In accordance with the terms of the First Amendment to the Program Agreement with Aera Energy LLC (~~Stated~~“Aera”) (see Note 3), respecting the biomass-fueled steam generation project, the Company issued twenty million of its restricted common shares, with Aera’s name as beneficial owner, to be held in Uescrow.S The shares, or some portion of the shares, were only to be released to Aera if Global Greensteam LLC failed to pay on a timely basis an early termination fee as defined in the Amendment, should it be required, and Aera exercised its option in those circumstances to take possession of the shares. ~~Dollars)~~The Amendment and the escrow agreement provided for the eventual return to the Company of all of the shares placed in escrow in the event that no early termination fee is required. Under the terms of the escrow agreement, neither the Company nor Aera have voting or dispositive powers for the shares while they are in escrow. Therefore the shares are not included in the total issued and outstanding shares presented or in the determination of the weighted average number of shares outstanding.

2As detailed in Note 3, the First Amendment to the Program Agreement has been replaced and superseded in its entirety by a Second Amendment to the Program Agreement. ~~SUMMARY~~The OFSecond ~~SIGNIFICANT~~Amendment includes ~~ACCOUNTING~~no ~~POLICIES~~requirement ~~(Continued)~~for shares of the Company to be held in escrow in connection with the Program Agreement or for any other purpose. Therefore the Company expects to reach agreement with Aera to cancel the escrow agreement, remove the 20 million shares from escrow and have them cancelled.

p)8. ~~Recent~~RELATED ~~Accounting~~PARTY ~~Pronouncements~~TRANSACTIONS AND AMOUNTS OWING

~~The~~During ~~Company has adopted~~ the ~~provisions~~three ofmonth ~~ASC~~period ~~810~~ended February ~~(formerly SFAS No. 160~~28, ~~“Non-controlling Interests in Consolidated Financial Statements – an amendment of ARB No. 51”). The revised guidance establishes new accounting~~2011, ~~reporting and disclosure standards for~~ the ~~non-controlling~~Company ~~interest~~carried inout a ~~subsidiary~~number ~~and for the deconsolidation~~ of atransactions ~~subsidiary. Among~~with ~~other requirements, FASB ASC Topic 810 requires a company to clearly identify and present ownership interests in subsidiaries held by~~ related parties. ~~other~~These ~~than~~transactions ~~the~~were ~~company~~recorded inat ~~the~~their ~~consolidated~~exchange ~~financial statements within the equity section~~amount, ~~but~~which ~~separate~~is ~~from~~ the amount ~~company’s~~of ~~equity. It~~consideration ~~also~~established ~~requires~~and ~~that~~agreed ~~the net income~~ to beby ~~reported include~~ the ~~amounts~~related ~~attributable to both the parent and the non-controlling interest~~parties. The following ~~revised~~are ~~guidance~~related ~~has~~party ~~been~~transactions ~~applied prospectively as of the beginning of fiscal year 2010, except for the presentation~~ and ~~disclosure~~amounts ~~requirements~~owing ~~which~~at ~~will~~February ~~be applied retrospectively for prior periods. Other than the change in presentation of non-controlling interests~~28, ~~this~~2011 that ~~adoption~~are ~~did~~ not ~~have~~disclosed aelsewhere ~~material~~in ~~impact on~~ these ~~Interim~~financial ~~Consolidated Financial~~ statements.:

In- During the three month period ended February ~~2010~~28, ~~FASB~~2011, ~~issued~~the ~~Accounting~~Company ~~Standards~~paid ~~Update~~and/or accrued consulting fees to directors and officers of the Company in the amount of $28,500 (~~“ASU”~~2010 - $136,065). ~~2010~~-09 ~~Subsequent~~During ~~Events~~the three month period ended February 28, 2011, the Company paid or accrued $Nil (~~Topic~~2010 ~~855~~- $34,134) ~~Amendments~~in rent and administration fees to ~~Certain~~a ~~Recognition~~company ~~and~~controlled ~~Disclosure~~by ~~Requirements.~~a ~~ASU~~significant ~~2010-09~~shareholder ~~removes~~of the ~~requirement~~Company. ~~for~~- an$720,283 ~~SEC~~(November ~~filer~~30, 2010 - $1,334,101) was owing to ~~disclose~~related aparties ~~date~~and is included in ~~both~~accounts ~~issued~~payable and ~~revised~~accrued ~~financial statements~~liabilities. ~~Revised~~ ~~financial~~These ~~statements~~amounts ~~include~~are ~~financial~~unsecured, ~~statements~~non-interest ~~revised~~bearing, asand ahave ~~result~~no specific terms of ~~either~~repayment. ~~correction~~See ofalso anNote ~~error~~5. or- ~~retrospective~~During ~~application~~the ofthree ~~GAAP.~~month ~~All~~period ofended February 28, 2011, the ~~amendments~~Company inentered ~~ASU~~into ~~2010-09~~two ~~are~~settlement ~~effective~~agreements ~~upon~~with ~~issuance~~companies controlled by a director of the ~~final~~Company. ~~ASU,~~The ~~except~~Company ~~for~~agreed ~~the~~to ~~use~~issue of3,455,033 ~~the~~restricted ~~issued~~common ~~date~~shares ~~for~~with ~~conduit~~an ~~debt~~estimated ~~obligors.~~fair ~~That~~value ~~amendment~~of is$587,356 ~~effective~~in ~~for~~settlement ~~interim~~of orloans ~~annual~~totaling ~~periods~~$163,459, ~~ending~~accrued ~~after~~interest ~~June~~totaling 15$61,063, ~~2010.~~unpaid ~~The~~expenses ~~Company~~totaling ~~adopted~~$10,505, ~~ASU~~unpaid ~~2010-09~~consulting infees ~~February~~totaling $162,101, ~~2010~~and unpaid rent and itadministrative ~~did~~services ~~not~~totaling $314,994. The shares have anot ~~material~~yet ~~impact~~been onissued ~~the~~and ~~Company’s~~their ~~interim~~estimated ~~financial~~fair ~~statements~~value is included in Shares To Be Issued.

~~In January 2010, the FASB issued ASU 2010~~F-06, Fair Value Measurements and Disclosures (Topic 820), Improving Disclosures about Fair Value Measurements, amending ASC 820. ASU 2010-06 requires entities to provide new disclosures and clarify existing disclosures relating to fair value measurements. The new disclosures and clarifications of existing disclosures are effective for interim and annual reporting periods beginning after December 15, 2009, except for the disclosures about purchases, sales, issuances, and settlements in Level 3 fair value measurements, which are effective for fiscal years beginning after December 15, 2010 and for interim periods within those fiscal years. The Company is currently evaluating the impact of ASU 2010-06, but does not expect its adoption to have a material impact on the Company’s financial position or results of operations.17

InGLOBAL ~~May,~~GREEN ~~2009,~~SOLUTIONS ~~the FASB issued ASC 855, Subsequent Events~~INC. ~~The~~(A ~~new~~Development ~~standard~~Stage isCompany) ~~intended~~CONDENSED toNOTES ~~establish~~TO ~~general~~INTERIM ~~standards~~CONSOLIDATED ofFINANCIAL ~~accounting~~STATEMENTS ~~for~~THREE ~~and~~MONTHS ~~disclosure~~ENDED ofFEBRUARY events that occur after the balance sheet date but before financial statements are issued or are available to be issued. This statement is effective for financial statements issued for interim or annual financial periods ending after June 1528, ~~2009,~~2011 ~~which,~~(Unaudited) ~~for~~(Stated ~~the~~in ~~Company, was the interim period ending August 31, 2009~~U. ~~The adoption of ASC 855 did not have a material effect to the Company’s current practice~~S. Dollars)

F-9. COMMITMENTS AND CONTRACTUAL OBLIGATIONS

~~GLOBAL~~Except ~~GREEN~~as ~~SOLUTIONS~~disclosed ~~INC.~~elsewhere in these consolidated financial statements, the Company had the following commitments and contractual obligations at February 28, 2011:

(AThe ~~Development~~Company ~~Stage~~entered ~~Company)~~into the following agreements with officers, employees and consultants:

~~CONDENSED~~i) ~~NOTES~~Effective TOFebruary ~~INTERIM~~1, ~~CONSOLIDATED~~2007, ~~FINANCIAL~~and ~~STATEMENTS~~having a five year term with a privately held company controlled by an officer of the Company, to provide services of a Chief Executive Officer, as well as office premises for the Company in Europe. This agreement superseded an earlier agreement that was cancelled by mutual consent. The fees for providing the services were as follows:

~~AUGUST~~Base 31compensation of $11,030 ~~2010~~(8,500 Euros) per month; Office rent of $1,560 (1,200 Euros) per month; $2,600 (2,000 Euros) monthly for European Social costs. An annual performance bonus of 1% of net profit;

~~(Unaudited)~~In addition, the Company granted the right to buy 4,250,000 shares of the Company at $0.00001. 4,250,000 shares were issued by January 31, 2008. The agreement may be terminated upon provision of 6 months notice by the Company or 60 days notice by the Chief Executive Officer. The Company reached agreement with the Chief Executive Officer in February, 2011 to cancel this contract. Terms for a replacement agreement have yet to be determined.

~~(Stated~~ii) inOn USeptember 18, 2007, effective from May 1, 2007, for the services of a Chief Operating Officer.S The agreement has a five year term and includes base annual compensation of $96,000 plus $12,000 annually for providing a serviced office, and $48,000 annually for marketing and communication services. ~~Dollars)~~All amounts are payable monthly. The contract may be terminated upon six months notice. The Company reached agreement with the Chief Operating Officer in February, 2011 to cancel this contract. Terms for a replacement agreement have yet to be determined.

3iii) Effective February 1, 2008, with a four year term for the provision of services of a Corporate Secretary by a consulting firm that is owned and controlled by a director of the Company. ~~PROJECT~~The ~~DEVELOPMENT~~agreement includes base compensation of $6,500 per month, plus applicable tax. The agreement may be terminated by either party upon thirty days written notice. In the event of termination upon a change of control, the consulting firm is entitled to severance compensation equal to twelve months of base compensation. This replaced a previous agreement which had expired. The Company reached agreement with the consulting firm in February, 2011 to cancel this contract. Terms for a replacement agreement have yet to be determined.

aiv) ~~Algae~~Effective ~~Biofuel~~February ~~Project~~1, 2008, with a four year term for the provision of services of a corporate consulting firm which is owned and controlled by a director of the Company. The agreement includes base compensation of $2,500 per month, plus applicable tax. The agreement may be terminated by either party upon thirty days written notice. In the event of termination upon a change of control, the consultant is entitled to severance compensation equal to twelve months of base compensation. This replaced a previous agreement which had expired. The Company reached agreement with the consulting firm in February, 2011 to cancel this contract. Terms for a replacement agreement have yet to be determined.

On October 2, 2006, and as amended June 25, 2007 the Company entered into an agreement with Pagic LP, Valcent Products Inc. (“Valcent”), and West Peak Ventures of Canada Limited. Under the terms of the agreement, Valcent and the Company agreed to jointly participate in the development of a patent pending, biomass system to produce biofuel feedstock while sequestering CO2, by growing certain algae. The amended agreement was to be the basis for a definitive contract between the Company and Valcent and the governing document for the new venture.F-18

~~The~~GLOBAL ~~agreement~~GREEN ~~required~~SOLUTIONS ~~the~~INC. ~~Company~~(A toDevelopment ~~contribute~~Stage upCompany) toCONDENSED $3NOTES ~~million~~TO toINTERIM ~~cover~~CONSOLIDATED ~~the~~FINANCIAL ~~estimated~~STATEMENTS ~~cost~~THREE ofMONTHS ~~the~~ENDED ~~plant~~FEBRUARY 28, ~~with~~2011 ~~any~~(Unaudited) ~~further~~(Stated ~~costs to be shared 50/50 with Valcent. The method of recovering the $3 million initial start-up loan capital was to be determined~~ in ~~the final, definitive agreement~~U.S. Dollars)

~~In May, 2008, the Company and Valcent formalized an agreement to continue the development of the project through Vertigro Algae Technologies, LLC (“VAT”) of which the Company and Valcent USA, Inc~~9. (aCOMMITMENTS ~~subsidiary~~AND ofCONTRACTUAL ~~Valcent)~~OBLIGATIONS (~~“VUI”~~Continued) each own 50 percent. Under that agreement, the Company was to receive $3 million on a priority basis from the net cash flow of VAT. The Company was to receive 70% of any such net cash flow until it had received $3 million in excess of its percentage interest of such cash flow. As part of the agreement, assets acquired by the project prior to the commencement of operations of VAT were transferred to Valcent.

In connection with a license technology agreement entered into by VAT with Pagic LP, the Company agreed to issue 300,000 restricted common shares with a combined fair value of $165,000 as its share of a one-time license fee. The amount was expensed during the year ended November 30, 2008 as part of project development costs and the shares were issued March 3, 2009. The preliminary carrying value of the advances totaling $2,718,160 at November 30, 2007 was deemed to be impaired owing to uncertainty that cash flow would result from the project and was charged to operations in 2007.

	v)	Effective May 1, 2008, for the provision of services of a General Manager for its subsidiary, Global Green Solutions Pty Ltd. The agreement has a three year term ending April 30, 2011 and may be terminated on three months notice. Compensation under this agreement is comprised of a base fee of $81,600 annually, payable monthly, and an option to acquire 100,000 restricted common shares at $0.00001, vesting immediately. 100,000 shares were issued in the year ended November 30, 2008. The Company reached agreement with the General Manager in February, 2011 to cancel this contract. The agreement will not be replaced as the cancellation is part of a wind-up of the Company’s South African subsidiary which is expected to be completed in early 2011.

	vi)	Effective January 1, 2009, with a three year term for the services of a Chief Financial Officer. The agreement includes base compensation of $8,000 per month, plus applicable tax. The agreement may be terminated upon six months notice by the Company. The Company reached agreement with the Chief Financial Officer in February, 2011 to cancel this contract. Terms for a replacement agreement have yet to be determined.

~~In September, 2008, the Company concluded an agreement (the “Agreement”) with VUI to sell the Company’s 50% ownership in VAT to VUI, contingent on VUI obtaining the necessary funding~~10. VUI was unable to raise funding for the Agreement and it could not be completed. As a result, the Company began evaluating alternative strategies for conducting ongoing development, including working with new strategic partners. The Company has concluded that its interests are best served by focusing all of its efforts on its Greensteam business and has agreed with VUI to windNON-upCASH ~~and~~INVESTING ~~dissolve~~AND ~~VAT,~~FINANCING ~~as announced July 8, 2010. VAT’s technology license agreement with Pagic LP has been terminated.~~ACTIVITIES

~~Based~~The ~~on the cost sharing arrangement described above, the~~ Company ~~had~~ recorded ~~a payable of $575,314 to Valcent to May 31, 2009. However, in consideration of the difference in contributions to date, uncertainty that~~ non-cash flow would result from the project and the fact that the project assets were transferred to Valcent, the companies agreed in August 2009 that no amounts were payable from the Company to Valcent or VUI in connection with project development finance costs. Asas a result, during the year ended November 30, 2009, $575,314 of project development expense was reversed. Valcent and the Company further agreed that until a strategy for conducting ongoing development was finalized, no further cost sharing was required. Costs incurred in connection with algae biofuel development and charged to project development expenses totaled $18,191 during the nine month period ended August 31, 2010 (2009follows: ~~$144,105).~~

F-10

~~GLOBAL~~During ~~GREEN~~the ~~SOLUTIONS~~three ~~INC.~~month period ended February 28, 2011:

(A Development Stage Company)

	i)	The Company recognized the value of the embedded beneficial conversion feature of $63,454 in respect of convertible notes totaling $200,500.

	ii)	The Company agreed to issue 3,455,033 restricted common shares with an estimated fair value of $587,356 in settlement of certain unpaid fees, expenses, loans, and accrued interest totaling $712,122, resulting in a gain on settlement of $124,766. The shares have not yet been issued and their estimated fair value is included in Shares To Be Issued. See Note 8.

~~CONDENSED~~During ~~NOTES~~the TOthree ~~INTERIM~~month ~~CONSOLIDATED~~period ~~FINANCIAL~~ended February ~~STATEMENTS~~28, 2010:

~~AUGUST~~i) 31The Company recognized the value of the embedded beneficial conversion feature of $56,000 ~~2010~~in respect of convertible notes totaling $180,000.

~~(Unaudited)~~F-19

GLOBAL GREEN SOLUTIONS INC. (A Development Stage Company) CONDENSED NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS THREE MONTHS ENDED FEBRUARY 28, 2011 (Unaudited) (Stated in U.S. Dollars)

310. ~~PROJECT~~NON-CASH ~~DEVELOPMENT~~INVESTING AND FINANCING ACTIVITIES (Continued)

b) Waste Biomass Fueled Steam Generation Project

	ii)	In connection with three consulting agreements, the Company issued 750,000 shares with a fair value of $78,750, all of which had been expensed in the year ended November 30, 2009 and recorded as Shares To Be Issued at that date.

	iii)	The Company issued 75,000 shares with a fair value of $8,438 in connection with a consulting agreement, $4,500 of which was expensed in the period and $3,938 of which was expensed in the year ended November 30, 2009 and included in Shares To Be Issued at that date. A further 75,000 shares with a fair value of $8,813, which was expensed in the period, were issuable at February 28, 2010 and included in Shares To Be Issued.

~~On February 20, 2007 the Company completed an acquisition agreement for Greensteam Development Inc~~11., ~~which~~FAIR ~~resulted~~VALUE inOF ~~Global~~ASSETS ~~Greensteam~~AND LLC (“Greensteam”), a venture with two other companies for the purpose of converting waste biomass into low cost steam for industrial applications. The Company’s interest in the new venture initially was 57%, with the other two companies holding 38% and 5% respectively. The Company’s ownership interest increased to 95% in December, 2007 and 100% in April, 2008 when it acquired first the 38% and then the 5% held by the two other companies.LIABILITIES

~~600,000~~Fair ~~shares~~value ofis defined as the ~~Company~~exchange price tothat would be ~~issued~~received for an asset or paid to transfer a liability (an exit price) in the ~~initial~~principal ~~38%~~or ~~interest~~most ~~holder~~advantageous asmarket ~~contingent~~for ~~consideration~~the ~~will~~asset ~~now~~or liability bein ~~issued~~an asorderly ~~follows~~transaction between market participants on the measurement date. U.S. GAAP requires that valuation techniques maximize the use of observable inputs and minimize the use of unobservable inputs. ASC 820-10 Fair Value Measurements also establishes a fair value hierarchy which prioritizes the valuation inputs into three broad levels. Based on the underlying inputs, each fair value measurement in its entirety is reported in one of the three levels. These levels are:

i)Level ~~150,000~~1 ~~shares~~- ~~upon~~Valuation ~~delivery~~is ofbased ~~commercial~~upon quoted ~~steam~~prices ~~generation~~for ~~from~~identical ~~the~~instruments ~~first~~traded ~~unit~~in ~~after~~active ~~successful~~markets. ~~experimental~~Level ~~testing~~1 assets and ~~operational~~liabilities ~~permitting~~include debt and ~~accepted~~equity bysecurities ~~the~~traded ~~customer~~in ~~purchasing~~an ~~the~~active ~~steam~~exchange market, as ~~the~~well ~~steam~~as ~~production~~U.S. ~~commencement~~Treasury ~~date;~~securities.

~~ii)~~Level ~~150,000~~2 ~~shares~~- Valuation is based upon quoted ~~delivery~~prices offor ~~commercial~~similar ~~steam~~instruments ~~generation~~in ~~from~~active ~~the~~markets, ~~fourth~~quoted ~~unit~~prices ~~after~~for identical ~~successful~~or ~~operational~~similar ~~testing~~instruments in markets that are not active, and ~~accepted~~model bybased valuation ~~the~~techniques ~~customer~~for ~~purchasing~~which all significant assumptions are observable in the market ~~steam~~or ascan be corroborated by observable market data for substantially the full ~~steam~~term ~~production~~of ~~commencement~~the ~~date;~~assets or liabilities.

~~iii)~~Level ~~150,000~~3 ~~shares~~- ~~upon~~Valuation ~~delivery~~is ofdetermined ~~commercial~~using model-based ~~steam~~techniques ~~generation~~with ~~from~~significant ~~the~~assumptions ~~seventh~~not ~~unit~~observable ~~after~~in ~~successful operational testing and accepted by~~ the ~~customer purchasing the steam as the steam production commencement date;~~ market.

~~iv)~~Assets ~~150,000 shares upon delivery of commercial steam generation from the tenth unit after successful operational testing~~ and ~~accepted~~Liabilities byMeasured ~~the~~at ~~customer~~Fair Value ~~purchasing~~on ~~the~~a ~~steam~~Recurring ~~as the steam production commencement date.~~Basis

InThe ~~recognition of design, supply and support services to be contributed by the initial 5% partner, the~~ Company ~~was~~has ~~originally~~no toassets ~~issue~~or liabilities ~~150,000~~subject ~~shares of restricted common stock in three amounts of 50,000 each after 5, 10, and then 15 steam generating units became operational. As part of the agreement in April, 2008 for the Company~~ to ~~acquire~~recurring ~~the 5% of Greensteam, the 5% partner agreed to forego all entitlement to the 150,000 shares of the Company as originally contemplated~~measurement.

During the year ended November 30, 2008, the Company concluded that $119,000 in advances it had made to the company that was the initial 5% partner were unlikely to be recovered due to ongoing financial difficulties experienced by that company. The full amount of the advances was therefore impaired.F-20

~~F-11~~GLOBAL GREEN SOLUTIONS INC. (A Development Stage Company) CONDENSED NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS THREE MONTHS ENDED FEBRUARY 28, 2011 (Unaudited) (Stated in U.S. Dollars)

~~GLOBAL~~11. ~~GREEN~~FAIR ~~SOLUTIONS~~VALUE ~~INC.~~OF ASSETS AND LIABILITIES (Continued)

(AAssets ~~Development~~and ~~Stage~~Liabilities ~~Company)~~Measured at Fair Value on a Nonrecurring Basis

~~CONDENSED~~For ~~NOTES~~assets TOmeasured ~~INTERIM~~at ~~CONSOLIDATED~~fair ~~FINANCIAL~~value ~~STATEMENTS~~on a nonrecurring basis, the following table provides the fair value measures by level of valuation assumptions used:

AUGUST 31, 2010

		Fair Value Measurement Using
		Level 1		Level 2		Level 3
Project Funding Advances
February 28, 2011	$	-	$	-	$	8,812,712
November 30, 2010	$	-	$	-	$	8,446,766

~~(Unaudited)~~Fair Value of Financial Instruments

~~(Stated~~The infollowing ~~U.S.~~table ~~Dollars)~~reflects the fair value of financial instruments:

3. PROJECT DEVELOPMENT (Continued)

			February 28, 2011				November 30, 2010
			Carrying		Estimated		Carrying		Estimated
	Level		Amount		Fair Value		Amount		Fair Value
Financial Assets:
Cash	1	$	99,655	$	99,655	$	140,509	$	140,509
Amounts receivable	1		19,044		19,044		12,837		12,837
Financial Liabilities:
Accounts payable and accrued liabilities	1		1,991,602		1,991,602		2,604,886		2,604,886
Convertible notes	3		1,203,551		1,203,551		1,010,164		1,010,164
Loans payable	1		1,771,163		1,771,163		1,864,005		1,864,005

b)Due ~~Waste~~to ~~Biomass~~the ~~Fueled~~relatively ~~Steam~~short ~~Generation~~term ~~Project~~nature of ~~(Continued)~~cash, amounts receivable, accounts payable and accrued liabilities, and loans payable, the fair value of these instruments approximates their carrying value. Convertible notes are recorded at estimated fair value on issue and at amortized cost on an ongoing basis. The carrying amount of the Company’s convertible debt approximates the fair value.

~~The~~12. ~~consideration~~SEGMENTED ~~to be paid by the Company to third parties in connection with the acquisition agreement is the issuance of 4 million shares as follows:~~INFORMATION

-The ~~150,000~~Company ~~shares~~follows ofASC ~~restricted~~280, ~~common~~Segment Reporting, ~~stock~~and ~~upon~~currently ~~execution~~has ofone ~~the~~reportable ~~definitive~~segment ~~agreement (issued~~ in the ~~year~~development ~~ended~~of renewable ~~November~~energy 30technologies, ~~2007);~~being a biomass-fueled steam generation technology.

The Company is developing and marketing its GreensteamTM technology through its the demonstration project in California. The technology is designed to converts biomass (primarily wood and crop waste) to low-cost ~~850,000~~steam ~~shares~~with ofan ~~restricted~~extremely ~~common~~low ~~stock~~emissions ~~upon~~profile ~~execution~~and ofhigh conversion aefficiency. The steam ~~supply~~is ~~contract~~intended to be used for industrial purposes, to generate electrical power, or ~~similar~~for distributed heating. One contract ~~with~~is ain ~~major~~the early ~~oil~~commercial ~~company;~~stage in the United States, and other project opportunities are being developed in Europe.

F- ~~500,000 shares of restricted common stock if the initial steam generating unit achieves reasonably acceptable commercial production;~~21

-GLOBAL ~~500,000~~GREEN ~~shares~~SOLUTIONS ofINC. ~~restricted~~(A ~~common~~Development ~~stock~~Stage ~~upon the earlier of (a~~Company) ~~the~~CONDENSED ~~one~~NOTES ~~year~~TO ~~anniversary~~INTERIM ofCONSOLIDATED ~~the~~FINANCIAL ~~execution~~STATEMENTS ofTHREE aMONTHS ~~steam~~ENDED ~~supply~~FEBRUARY ~~contract~~28, or2011 (bUnaudited) ~~commissioning~~(Stated ofin aU.S. ~~4th steam generating unit;~~Dollars)

-12. ~~1,000,000~~SEGMENTED ~~shares~~INFORMATION ~~of restricted common stock upon the earlier of~~ (aContinued) ~~the commissioning of the 10th steam generating unit or (b) the second anniversary of the steam supply contract;~~

-Financial ~~1,000,000~~information ~~shares~~for ofthe ~~restricted~~each segment ~~common~~is ~~stock~~presented ~~upon~~in the ~~earlier~~following oftable. ~~(a)~~The ~~commissioning~~accounting policies of ~~the~~each reportable ~~15th~~segment ~~steam~~are ~~generating~~the ~~unit~~same oras ~~(b)~~those of the ~~second~~consolidated ~~anniversary~~company, ofas described ~~the~~in ~~execution~~Note 2, Summary of Significant Accounting Policies. The corporate and other category includes unallocated corporate costs related to being a publicly ~~steam~~traded ~~supply~~company ~~contract~~and other head office costs.

Greensteam entered into a Program Agreement with Aera Energy LLC (“Aera”), an oil and gas company, on March 31, 2008, a First Amendment to the Program Agreement, effective October 22, 2008, and a Second Amendment to the Program Agreement effective November 24, 2009. The Program Agreement provides for a test, or demonstration unit which will use Greensteam’s waste-to-steam process technology to burn waste biomass to create steam, to be built at a location of the oil and gas company. The Program Agreement also provides that up to ten commercial scale units could be built, depending on the results of the demonstration unit.

		Three Months Ended February 28
		2011			2010
Operating Loss (Gain):
Biomass-fueled steam generation project	$	410,186		$	1,414,956
Other		(1,695	)		9,942
Total reportable segments		408,491			1,424,898
Corporate and other		118,711			519,287
Total operating loss	$	527,202		$	1,944,185

The ~~demonstration~~Company’s ~~unit is approximately one~~long-~~quarter~~lived ~~the size of the commercial scale units and is expected to cost approximately $8 million~~assets, including ~~extended~~additions ~~testing. Under~~to ~~the~~equipment ~~terms~~and ~~of the First Amendment~~depreciation, uprelate tomainly ~~$3 million of this cost was~~ to beproject design, ~~contributed~~computer byand ~~Aera. That~~control ~~amount~~systems ~~was~~which toare bepredominately ~~repaid~~located ~~through a discount on the price of steam to be sold to Aera from the commercial scale units~~ in the United ~~Full Scale Period~~States. ~~Depending~~ ~~on the completion date of the first commercial scale project, the amount of the discount ranged from $3.9 million to $5 million.~~

~~Effective November 24, 2009, Greensteam and Aera executed the Second Amendment to the Program Agreement which deleted and replaced the First Amendment in its entirety~~13. ~~Under~~SUBSEQUENT ~~the terms of the Second Amendment:~~EVENTS

·On ~~Aera~~March ~~will~~21, ~~continue~~2011, tothe ~~contribute~~Company upissued convertible tonotes $3(the ~~million~~“note” ofor ~~the~~“notes”) ~~cost~~in of the ~~demonstration~~aggregate ~~unit.~~amount Anof ~~additional~~ $5565,116 due ~~million~~and ofpayable ~~payments~~on ~~has~~March ~~been~~21, ~~included~~2013 intogether ~~Aera’s~~with ~~2010~~interest ~~R&D~~at ~~budget. If~~ the ~~Aera~~rate ~~Board~~ of ~~Directors~~12% ~~approves~~per annum ~~the~~compounded ~~request,~~annually. ~~Aera~~All ~~will~~other ~~make~~terms ~~payments~~of tothe ~~Greensteam~~notes ~~for~~are ~~the~~identical ~~demonstration~~to ~~unit~~those issued upduring tothe aperiod ~~total~~ended ofFebruary $828, ~~million~~2011. IfNo ~~Aera~~finder’s ~~Board~~fees ~~does~~were ~~not~~paid ~~approve~~in connection ~~the~~with ~~request,~~these ~~then~~notes. ~~the~~The ~~Program~~total ~~Agreement~~included ~~and~~$80,116 ~~any~~that ~~site-specific~~was ~~agreements~~received ~~shall~~prior to beFebruary ~~deemed~~28, ~~terminated.~~2011 ~~Aera’s~~and ~~Board~~included ofin ~~Directors~~Loans ~~subsequently~~Payable ~~approved~~as ~~the~~of ~~budget~~that ~~request~~date.

·In ~~Payments~~April, ~~from~~2011, ~~Aera~~notes ~~are~~aggregating $150,000 towhich bematured ~~used~~in ~~exclusively~~March, ~~for~~2011 ~~the~~were ~~management,~~converted ~~design,~~into ~~engineering~~1,881,600 ~~permitting~~shares, together ~~construction~~with ~~(including~~warrants ~~materials),~~entitling ~~and~~the ~~operation~~holders ofto ~~the~~acquire ~~demonstration~~an ~~unit~~additional 1,881,600 shares.

~~F-12~~Management has evaluated subsequent events and the impact on the reported results and disclosures and has concluded that no other significant events require disclosure as of the date the interim consolidated financial statements were issued.

~~GLOBAL GREEN SOLUTIONS INC.~~F-22

(AITEM ~~Development~~2. ~~Stage~~MANAGEMENT’S ~~Company)~~DISCUSSION AND ANALYSIS OF FINANCIAL CONDITIONS AND RESULTS OF OPERATIONS.

~~CONDENSED~~Forward ~~NOTES~~Looking ~~TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS~~Statements.

~~AUGUST~~This 31quarterly report contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, ~~2010~~as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements relate to future events or our future financial performance. In some cases, you can identify forward-looking statements by terminology such as “may”, “should”, “expects”, “plans”, “anticipates”, “believes”, “estimates”, “predicts”, “potential” or “continue” or the negative of these terms or other comparable terminology. These statements are only predictions and involve known and unknown risks, uncertainties and other factors, including the risks in the section entitled “Risk Factors” and the risks set out below, any of which may cause our or our industry’s actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements. These risks include, by way of example and not in limitation:

~~(Unaudited)~~the uncertainty of future revenue and profitability based upon our current financial condition and history of losses;
~~(Stated~~risks inrelated ~~U.S.~~to ~~Dollars)~~failure to obtain adequate financing on a timely basis and on acceptable terms for our planned projects;
3.other ~~PROJECT~~risks ~~DEVELOPMENT~~and ~~(Continued)~~uncertainties related to our business strategy.

b)This ~~Waste~~list ~~Biomass~~is ~~Fueled~~not ~~Steam~~an ~~Generation~~exhaustive ~~Project~~list ~~(Continued)~~of the factors that may affect any of our forward-looking statements. These and other factors should be considered carefully and readers should not place undue reliance on our forward-looking statements.

·Forward Inlooking ~~return~~statements are made based on management’s beliefs, estimates and opinions on the date the statements are made and we undertake no obligation to update forward-looking statements if these beliefs, estimates and opinions or other circumstances should change. Although we believe that the ~~demonstration~~expectations ~~unit~~reflected ~~meets~~in the ~~pre~~forward-~~agreed~~looking ~~Specific~~statements ~~Test~~are reasonable, ~~Requirements~~we ~~and~~cannot ~~there~~guarantee isfuture aresults, ~~Full~~levels ~~Scale~~of ~~Period~~activity, ~~Greensteam~~performance or ~~will~~achievements. beExcept ~~obligated~~as required by applicable law, including the securities laws of the United States, we do not intend to ~~provide~~update ~~Aera~~any ~~with~~of ~~discount~~the forward-~~priced~~looking statements ~~steam~~to conform these statements to actual results.

·We Ifare ~~there~~not isaware noof ~~Full~~any ~~Scale~~events ~~Period~~or incircumstances ~~which~~that ~~Greensteam~~occurred during ~~can~~the ~~provide~~period ~~Aera~~ended ~~with~~February ~~discount-priced Steam~~28, ~~Greensteam~~2011 ~~will~~that ~~grant~~are ~~Aera~~reasonably alikely ~~perpetual,~~to ~~exclusive~~cause actual ~~license~~results to ~~use~~differ ~~Greensteam’s~~materially ~~technology~~from atmaterial ~~any~~forward ~~property~~looking ~~owned~~information orin our ~~leased~~Corporate byPresentation ~~Aera,~~on ~~and~~our ~~access to Greensteam’s intellectual property (collectively the “Exclusive License Grant”)~~website, ~~subject~~for to a ~~royalty~~period ofcovered ~~0.004 times the Incremental Energy Charge as defined~~ in ~~the~~that presentation ~~Agreement~~that ifis ~~Aera~~not ~~proceeds~~yet ~~with the Full Scale period on its own~~complete.

·Our ~~There~~financial statements are nostated ~~longer~~in ~~any~~United ~~Early~~States ~~Termination~~dollars (US$) ~~Fees~~and asare ~~had~~prepared ~~been~~in ~~included~~accordance inwith ~~the~~United ~~First~~States ~~Amendment~~Generally Accepted Accounting Principles. ~~Those~~In ~~have~~this ~~been~~annual ~~replaced~~report, inunless ~~the~~otherwise ~~Second~~specified, ~~Amendment~~all dollar byamounts ~~the~~are ~~obligation~~expressed ~~for~~in ~~Greensteam~~United States dollars and all references to “common ~~grant~~stock” ~~Aera~~refer anto ~~Exclusive~~the ~~License~~common ~~Grant~~shares in ~~the~~our ~~following~~capital ~~circumstances:~~stock.

1.As Ifused ~~the~~in ~~Test~~this ~~Unit~~annual ~~fails~~report, tothe ~~meet~~terms “we”, “us”, “our”, the “Company” ~~pre-agreed~~and ~~Specific~~“Global ~~Test~~Green” ~~Requirements~~means Global Green Solutions Inc. and ~~either~~its subsidiaries, ~~Party~~unless ~~gives~~the ~~notice~~context asclearly ~~provided;~~requires otherwise.

2.Business If the Test Unit meets the pre-agreed Specific Test Requirements, both Parties give notice that the pre-agreed Specific Test Requirements are met or that the test results are acceptable, Aera’s Board approves amending the Full Scale Period definition by replacing the language “five (5) years” with “ten (10) years”, and Greensteam is subsequently unable to (1) obtain the Full Scale Permit after diligent effort or (2) obtain financing for the first Project after diligent effort;Operations

3.Global IfGreen ~~the~~Solutions ~~Test~~Inc. ~~Unit~~is ~~meets~~currently ~~the~~a ~~pre-agreed~~development ~~Specific~~stage company ~~Test~~and ~~Requirements,~~is ~~both~~devoting ~~Parties~~all ~~give~~of ~~notice~~its ~~that~~efforts ~~the~~to ~~pre-agreed~~establishing ~~Specific Test Requirements are met or that~~ the ~~test~~GreensteamTM process ~~results~~and ~~are~~technology ~~acceptable,~~for ~~Greensteam subsequently obtains~~ the ~~Full~~production ~~Scale~~of ~~Permit,~~industrial ~~Greensteam~~process ~~obtains~~steam ~~financing~~and heat ~~for~~(“GreensteamTM”) ~~the~~through ~~first~~its ~~Project~~subsidiary, ~~and~~Global Greensteam ~~fails to implement the Full Scale Period Project~~LLC (s“Greensteam”).

~~Expenditures~~Greensteam ~~incurred~~is indeveloping ~~connection~~and ~~with~~marketing its process to convert biomass (primarily wood and crop waste) to low-cost steam. Utilizing the GreensteamTM process is projected to provide steam ~~generation~~at ~~project~~lower cost than if it was produced by a system fueled with natural gas. The steam can be used for industrial purposes or for combined heat and ~~charged~~power toapplications. ~~project~~The ~~development~~process promises ~~costs~~high thermal conversion efficiency and minimal air pollution, and can utilize a wide range of biomass fuels. One contract is in the ~~nine~~early ~~month~~commercial stage ~~period~~in ~~ended~~the ~~August~~United ~~31,~~States ~~2010~~and ~~totaled~~other ~~$6,210,273~~project ~~(2009:~~opportunities ~~$863,175)~~are being explored in Europe.

~~There~~The isGreensteamTM noprocess ~~longer~~consists of a ~~specific~~fuel receiving, ~~total~~handling, ~~discount~~and ~~amount~~preparation ~~with~~system, aup ~~maximum~~to ~~ranging~~ten ~~from~~GreensteamTM advanced ~~$3.9~~biomass to $5steam ~~million~~energy toconversion beunits ~~paid~~and toa ~~Aera,~~steam asturbine generator ~~was~~(electricity ~~contemplated~~generation ~~in the First Amendment~~option). InThe ~~its~~fuel ~~place~~receiving, ahandling ~~revised~~and preparation ~~pricing~~system ~~formula~~receives ~~now~~biomass ~~includes~~fuel, aremoves ~~lower~~contaminants ~~discount~~and ~~amount~~sizes ~~per~~the product ~~volume of steam, but~~ for ~~the~~common ~~full term of the Agreement~~storage. The ~~Company~~energy ~~records~~contained ~~the~~in ~~Aera advances and accretion thereon over~~ the ~~term~~biomass tois ~~commencement~~converted ~~of delivery of~~ to steam ~~from~~energy in the ~~first~~GreensteamTM ~~commercial~~advanced ~~scale~~biomass ~~project~~energy ~~to Aera~~conversion unit. ~~Accretion~~ isIf ~~recorded~~electricity ~~using~~is ~~the~~a ~~effective~~required ~~interest~~output, ~~method~~a ~~such~~steam ~~that~~turbine generator converts the ~~balance~~steam ofpressure ~~advances~~energy ~~and~~into ~~accretion~~electrical ispower, ~~equal~~with to the ~~estimated~~remaining ~~fair~~heat ~~value~~energy available ofas ~~the~~industrial ~~future~~process steam ~~discount.~~or Ashot ofwater ~~August~~heat. ~~31,~~The ~~2010,~~heart ~~$7,474,434~~of Greensteam’s ~~(November~~uniqueness ~~30,~~and ~~2009:$1,321,786)~~source ~~had~~of ~~been~~intellectual ~~received~~property ~~from~~is ~~Aera~~in ~~under~~ the ~~terms~~advanced ofenergy conversion ~~the~~unit. ~~Amendment~~Patents ~~and~~have ~~$520,874~~been ~~(November~~applied ~~30,~~for ~~2009:~~both ~~$65,200)~~for ~~had~~the ~~been~~overall ~~recorded~~process as and the ~~estimated accretion thereon~~burner.

~~Construction~~GreensteamTM ofis ~~the~~specifically ~~demonstration~~designed ~~unit~~to ~~commenced~~utilize ina wide ~~January,~~range ~~2010,~~of on“waste” ~~Aera’s~~biomass ~~Belridge~~fuels ~~oilfield,~~from ~~near Bakersfield~~agricultural, ~~California and was completed in June~~forest, ~~2010. Pre-operational testing~~ and ~~adjustments~~municipal sources ~~are now underway, with the operational period expected to commence in late October, 2010.~~including:

~~F-13~~Orchard and forest waste wood residues;
~~GLOBAL~~Sawmill ~~GREEN~~and ~~SOLUTIONS~~pulp ~~INC.~~and paper mill waste;
(AIndustrial ~~Development~~and ~~Stage~~commercial ~~Company)~~wood waste;
~~CONDENSED~~Urban ~~NOTES~~wood ~~TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS~~waste;
~~AUGUST~~Energy ~~31, 2010~~crops;
~~(Unaudited)~~Farm animal manures; and
~~(Stated~~Agricultural incrop Uresidues – Straw.S. ~~Dollars)~~

4We entered into a Program Agreement with Aera Energy LLC (“Aera”), a California oil and gas company on March 31, 2008, a First Amendment to the Program Agreement, effective October 22, 2008, and a Second Amendment to the Program Agreement effective November 24, 2009. ~~CONVERTIBLE~~The ~~NOTES~~Program Agreement provides for a test or demonstration unit which will use Greensteam’s waste-to-steam process technology to burn waste biomass to create steam, to be built in an Aera oilfield. Upon successful operation of the demonstration unit, the Program Agreement provides that up to ten commercial scale units could be built. Each of these units is expected to consume approximately 75 thousand tons of biomass per year and generate 80 MMBTU per hour. If the demonstration unit and commercial scale units are successful Aera is expected to use the steam in its enhanced oil recovery operations, replacing an equivalent amount of natural gas fired steam generation.

~~During~~Construction ~~the~~of ~~nine month period ended August 31, 2010,~~ the ~~Company~~demonstration ~~issued~~plant ~~convertible~~commenced ~~notes (the “note” or “notes”)~~ in ~~the aggregate amount of $215,000 on~~ January 29, 2010 ~~($80,000),~~at ~~February~~Aera’s 8,Belridge ~~2010 ($100~~oilfield,~~000),~~ ~~August~~near 26Bakersfield, ~~2010~~California ~~($25,000),~~ and ~~August~~was 30completed in June, 2010 ~~($10,000)~~at ~~due~~a ~~and~~cost ~~payable~~of onapproximately ~~November 24, 2011 (~~$~~20,000),~~9 ~~December~~million. ~~22,~~Testing ~~2011~~and ~~($10,000),~~system refinements ~~January~~have ~~29,~~continued ~~2012~~since ~~($50~~then,~~000),~~ ~~February~~in 8,preparation ~~2012~~for ~~($100,000),~~meeting ~~August~~the ~~26,~~Specific Test ~~2012~~Requirements ~~($25,000),~~in ~~and August 30, 2012 ($10,000) together with interest at~~ the ~~rate~~Program ~~of 12% per annum compounded annually~~Agreement. At ~~the~~In ~~election~~December, ~~of the holder~~2010, the ~~notes~~demonstration plant ~~and~~achieved ~~interest~~full ~~accrued~~steam ~~thereon~~generation ~~are~~capacity ~~convertible into units at a rate~~ of ~~$0.10~~approximately ~~per unit~~5. ~~Each~~8 ~~unit~~MW is(thermal), operating ~~comprised~~exclusively ofon ~~one~~residual ~~restricted~~woody ~~share~~agricultural ofbiomass ~~common stock and one share purchase warrant~~fuel. ~~Each~~ ~~share~~The ~~purchase~~steam ~~warrant~~was supplied ~~entitles the holder~~ to ~~purchase~~Aera anfor ~~additional~~its ~~common~~enhanced ~~share~~oil atrecovery $0operations.25 ~~per~~The ~~share~~next ~~for~~key milestone ais ~~two~~completion ~~year~~of ~~term~~a ~~from~~30 ~~the~~day ~~date~~test ofas ~~conversion.~~specified Toin ~~date, none of~~ the ~~notes~~Program orAgreement. The ~~accrued~~test ~~interest~~is ~~has~~designed ~~been~~to ~~converted~~confirm ~~into~~the ~~units. In~~ability ~~connection~~of ~~with~~GreensteamTM ~~these~~to reliably ~~notes,~~and ~~the~~safely ~~Company~~produce ~~paid~~steam ormeeting ~~accrued~~Aera aspecifications ~~total~~from oflocally derived ~~$12,600~~biomass inspecifically ~~finder’s~~by ~~fees.~~demonstrating:

~~During~~Long-term ~~2009,~~operability ~~the~~by ~~Company~~operating ~~issued convertible notes (~~the ~~“note”~~test orunit ~~“notes”)~~for ina ~~the~~minimum ~~aggregate amount~~ of ~~$847,405~~540 hours onout March 2, 2009 ($129,405), March 30, 2009 ($306,000), June 25, 2009 ($50,000), September 3, 2009 ($300,000), and October 23, 2009 ($62,000) due and payable respectively on March 2, 2011, March 30, 2011, June 25, 2011, September 3, 2011, and October 23, 2011 together with interest. All other terms of ~~the~~any ~~notes~~continuous ~~are~~720 ~~identical~~hour ~~to those issued in the nine month~~ period ~~ended August 31~~, ~~2010. To date, none of the notes or accrued interest has been converted into units. In connection with these notes, the Company paid a total of $35,873 in finder’s fees.~~
~~During~~NOx ~~2008~~reduction, ~~the~~particulate ~~Company~~reduction, ~~issued~~other aemissions ~~convertible note (the “note”) in the aggregate amount of $100~~reduction,~~000~~ ~~due~~ and ~~payable~~waste management onby ~~October~~complying ~~31, 2010 together~~ with ~~interest. All other terms of~~ the ~~note~~experimental ~~are identical to those issued in the nine month period ended August 31~~permit, ~~2010.To date, none of the note or accrued interest has been converted into units.~~
InAn ~~accordance~~acceptable ~~with~~steam ~~the~~product ~~provisions~~by ofgenerating ~~EITF~~750 ~~Issue~~barrels ~~No. 00-27 Application~~ of ~~Issue~~steam ~~No.~~per ~~98-5~~day toat specified ~~Certain~~quality Convertible Instruments (“EITF 00-27”), (codified in 470-20 of ASC 470, Debt) the Company recognized the value of the embedded beneficial conversion feature of $67,666 in connection with the 2010 notes, $250,843 in connection with the 2009 notes, and ~~$29,412 in connection with the 2008 note~~pressure. ~~The~~ fair value of the embedded beneficial conversion feature was estimated to be the difference between the issue date fair value and face amount of the debt with the fair value of the debt being determined on a relative fair value basis, based on the underlying estimated fair values of the common shares and share purchase warrants issuable on conversion. The embedded beneficial conversion feature was recorded as a charge to additional paid-in capital. The resulting debt discount and finders’ fees are being accreted over the term of the note using the effective interest amortization method. In the event of conversion of the note, the proceeds will be allocated proportionately to the share purchase warrants issued and to the common shares issued, consistent with the original allocations between their debt and equity components. To August 31, 2010, the Company has recorded accretion of $173,618 (November 30, 2009: $53,142) and accrued interest of $158,728 (November 30, 2009: $61,004).

~~F-14~~A successful test should trigger Aera’s agreement to proceed with the full scale project. We expect the completion of this 30 day test in Q2 of 2011. Following that, the 1.25 MW electrical equivalent demonstration plant will provide process and air emissions data to enable optimization for performance and final air emissions permit approval for full scale units.

~~GLOBAL~~Expenditures ~~GREEN~~incurred ~~SOLUTIONS~~in ~~INC~~connection with the steam generation project and charged to project development costs in the three month period ended February 28, 2011 totaled $410,186 (2010: $1,414,956). As of February 28, 2011, $8,648,457 (November 30, 2010 - $8,307,217) had been received from Aera under the terms of the Second Amendment.

(ABusiness ~~Development Stage Company)~~Model

~~CONDENSED~~Our ~~NOTES~~business TOmodel ~~INTERIM~~for ~~CONSOLIDATED~~GreensteamTM ~~FINANCIAL~~is ~~STATEMENTS~~to license the proprietary technology to project partners who will build, own and operate plants in various geographic locations. We will provide engineering specifications for the project design and equipment, sourcing of core equipment components, engineering support in the application of the technology, and consulting support for obtaining the required permits, fuel supply, and energy sales agreements needed to ensure success of the project.

~~AUGUST~~GreensteamTM 31project partners will typically be project operating companies which own and operate one or more energy producing facilities, ~~2010~~and include local project developers who typically own and operate a single project, energy service companies who operate multiple facilities for industrial and electrical utility energy production, industrial companies and electric utilities themselves, and large owner operator companies who own and operate multiple facilities across a wide geography.

Steam and electricity produced by a GreensteamTM project is expected to be purchased under long term contracts (~~Unaudited~~typically 10-20 years) by industrial companies, electric utilities or municipalities. When industrial companies purchase the energy, the projects will be located at their site. For a municipality or electric utility, the project will be located local to the biomass source or collection point.

~~(Stated~~We have targeted Europe and North America for initial project development activities and are currently focusing on the Western Americas and the UK, both areas being in ~~U.S.~~the ~~Dollars)~~geographic “sweet spot” for public policy and availability of reliable energy purchasers.

5.Biomass ~~LOANS~~to ~~PAYABLE~~energy market outlook

~~The~~Rapid ~~Company~~renewable ~~was~~energy ~~indebted~~(RE) asgrowth atin ~~August~~Europe ~~31,~~and ~~2010~~North ~~for~~America is ~~short~~driven ~~term~~by ~~loans~~government ~~totaling~~targets ~~$1,854,506~~for ~~(November~~RE ~~30,~~electrical ~~2009~~and -heat ~~$1,878,128)~~production by 2020. Biomass to energy is an attractive RE solution because:

-Sustainable Ofand ~~that~~economical ~~total,~~biomass ~~$654,292~~supplies ~~(November~~can ~~30,~~provide ~~2009:~~the ~~$664,292)~~base isload generation ~~unsecured,~~to ~~non-interest~~meet ~~bearing~~the ~~and~~RE ~~with no specific terms of repayment~~targets.
-Biomass ~~$Nil~~to ~~(November~~energy ~~30,~~technology ~~2009:~~currently ~~$20,000)~~available is ~~unsecured,~~proven ~~with~~for nosmall ~~specific~~to medium ~~terms~~and oflarge ~~repayment~~size ~~but~~generation ~~bears~~capacity ~~interest~~for atindustrial ~~12%~~and ~~per~~commercial combined ~~annum,~~heat and power (CHP) facilities.
Distributed small-medium ~~$1,200,214~~size ~~(November~~biomass ~~30,~~generation ~~2009:~~facilities ~~$1,193,836)~~built oflocal ~~the total is due~~ to biomass ~~directors,~~supply ~~officers~~sources and related parties, is also unsecured and with no specific terms of repayment, but bears interest of 10% per annum. Maturity dates have been reached and monthly compounding of interest has commenced on loans aggregating $945,214 (November 30, 2009: $938,836). These loans are ~~considered~~sustainable ~~to be due on demand. The balance of loans aggregating $255,000, have mature on October 30, 2010, at which time compounding of interest will commence~~ and ~~the loans will be considered to be due on demand~~economical. ~~To August 31, 2010, the Company has recorded accrued interest of $253,431 (November 30, 2009: $163,371).~~

6.Effect ~~NON-CONTROLLING~~of ~~INTERESTS~~Current Economic Conditions

~~For~~Any decrease in the ~~nine~~price ~~month~~of ~~period~~fossil ~~ended~~fuels ~~August~~is ~~31,~~a ~~2010,~~potential negative ~~the~~factor ~~Company~~in ~~has~~regard ~~recorded~~to ahow ~~non-controlling~~investors ~~interest~~may ~~share~~view ofour ~~loss~~Greensteam ofprojects. With ~~$19~~GreensteamTM,~~358~~ ~~(nine~~our ~~month~~expectation ~~period~~is ~~ended~~that ~~August~~by 312012, ~~2009:~~when ~~15,300). Effective~~the ~~December~~first project 1,earns ~~2009,~~revenue ~~the~~from ~~Company~~selling ~~adopted~~steam, the ~~new~~price ~~standards for presentation~~ of ~~non-controlling~~fossil ~~interests~~fuels aswill amake the ~~component~~economics of ~~stockholders’~~the ~~equity~~project ~~(See Note 2(p))~~favorable. The ~~new~~overall ~~standards~~tightness ~~also allow for the recording~~ of ~~previously~~capital ~~unrecognized~~is ~~non-controlling~~a problem ~~interest~~with ~~debit~~respect ~~balances. In addition~~ to the ~~non-controlling~~ability ~~interest share~~ of ~~loss~~GreensteamTM ~~recorded~~project aspartners to ~~noted~~secure ~~above~~major ~~and~~project ~~non-controlling~~funding, ~~interest~~as ~~advances~~GreensteamTM ~~received~~projects inare ~~the~~capital intensive. ~~period~~We ~~totaling~~will ~~$15,300,~~initially ~~the~~concentrate ~~Company~~on ~~recorded~~projects awhere ~~non-controlling~~either ~~interest~~GHG ~~debit~~or emissions ofcompliance ~~$111,474~~is ~~for~~a ~~previously unrecorded non~~business-~~controlling~~threatening ~~interest~~issue ~~share~~and ofthe ~~losses. These~~owner ~~amounts~~has ~~were~~little choice ~~recorded~~in asmanaging athat ~~direct charge to deficit during the period~~threat.

7.Industry ~~CAPITAL STOCK~~Trends

There is strong global interest in converting waste biomass to energy. In industrial applications, this is driven by the business need to reduce air pollutants and greenhouse gas emissions and as a cost reduction or hedge to natural gas prices. In utility applications, it is driven by Renewable Portfolio Standards (RPS) ~~Common~~regulations ~~Stock~~mandating that a percentage of electricity is supplied from renewable sources. In the U.S. RPS regulations are currently at the state level, air pollutant regulations are at both the state and federal levels, and GHG regulations are at the state level and led by California and some of the Northeast states.

~~During~~Results ~~the~~of ~~nine month period ended August 31, 2010, the Company:~~Operations

i) issued 750,000 shares with a fair value of $78,750 in connection with three consulting agreements , all of which was expensed in the year ended November 30, 2009 and recorded as Shares To Be Issued at that date.

		Three Months Ended February 28						Change
		2011			2010			Amount		Percentage
Revenue	$	-		$	-		$	-		-
Expenses	$	527,202		$	1,944.185		$	(1,416,983	)	(73%	)
Net Income (Loss) - Non-controlling interests	$	(40	)	$	(7,893	)	$	7,853		(99%	)
Net Loss – Global Green Solutions	$	527,162		$	1,936,292		$	(1,409,130	)	(73%	)

~~ii)~~Revenues issued 300,000 shares with a fair value of $32,964 in connection with a consulting agreement, $29,026 of which was expensed the period and $3,938 of which was expensed in the year ended November 30, 2009 and included in Shares To Be Issued at that date.

InWe ~~October,~~recorded ~~2010~~a net loss of $527,162 for the ~~Company~~three ~~issued~~month ~~498,130~~period ended ~~shares~~February ~~with~~28, an2011 ~~estimated~~and ~~fair~~have ~~market~~an ~~value~~accumulated deficit of $4935,~~813~~207,698 insince inception. ~~settlement~~We ofhave ahad ~~debt~~no inoperating ~~the~~revenues ~~amount~~since ofour ~~$39~~inception on June 10,~~813~~ 2003. ~~and~~We ado ~~trade~~not ~~payable~~anticipate that we will generate any revenues during the period in which we are a development stage company. First revenues are expected to be from the ~~amount~~GreensteamTM ofproject ~~$10~~with Aera,~~000,~~ ~~resulting~~starting in noearly ~~gain~~2012 orfrom engineering ~~loss~~services provided on ~~settlement~~the first commercial scale unit.

~~F-15~~Expenses – Three month period ended February 28, 2011 compared to the three month period ended February 28, 2010

~~GLOBAL~~Items ~~GREEN~~with ~~SOLUTIONS~~notable ~~INC.~~period over period differences are as follows:

(A Development Stage Company)

		Three Months Ended February 28					Change
		2011			2010		Amount		Percentage
Consulting fees	$	58,177		$	134,686	$	(76,509	)	(57%	)
Finance charges	$	56,341		$	31,968	$	24,373		76%
Interest and bank charges	$	82,726		$	136,132	$	(53,406	)	(39%	)
Office and sundry and debt settlements	$	(93,221	)	$	59,697	$	(152,918	)	(256%	)
Professional fees	$	14,688		$	71,198	$	(56,510	)	(79%	)
Project development expenses	$	408,491		$	1,424,898	$	(1,016,407	)	(71%	)
Stock based compensation	$	-		$	85,606	$	(85,606	)	(100%	)

~~CONDENSED~~Consulting ~~NOTES~~fees TOdecreased ~~INTERIM~~mainly ~~CONSOLIDATED~~due ~~FINANCIAL~~to ~~STATEMENTS~~the following two items. In accordance with the agreement (not yet fully executed as of the date of this report) from the directors and officers to terminate their consulting agreements effective November 30, 2010, no fees were paid or accrued for the first two months of the quarter ended February 28, 2011 and a reduced amount was paid in February, 2011. This resulted in a cost saving of approximately $36,000 over the prior year’s first quarter. Amortization of deferred compensation was $Nil in Q1 2011 compared to approximately $33,000 in Q1 2010, as prepaid consulting services were fully amortized.
~~AUGUST~~The 31increase in Finance charges resulted from an increase in accretion of charges on convertible debt, the face value of which was approximately $1,388,000 at the end of Q1 2011 compared to approximately $1,127,000 at the end of Q1 2010.
~~(Unaudited)~~The decrease in Interest and bank charges was mainly due to accretion on advances from Aera Energy being approximately $50,000 lower in Q1 2011 than Q1 2010. Those advances decreased to approximately $341,000 during Q1 2011, compared to approximately $1,414,000 during Q1 2010, as the construction of the demonstration project and Aera’s funding of the project was completed.
~~(Stated~~Office and sundry decreased mainly as a result of a gain on settlement of approximately $125,000 and a decrease in ~~U.S.~~rent ~~Dollars)~~and administrative services of approximately $34,000.
7.Professional ~~CAPITAL~~fees ~~STOCK~~decreased ~~(Continued)~~in Q1 2011 compared to Q1 2010 mainly due to differences year over year in timing of billings for external accounting services and audit fees.
b)Project ~~Stock~~development ~~Options~~costs decreased in Q1 2011 versus Q1 2010 due to the completion of construction of the Greensteam demonstration project in June 2010.
~~The~~Stock-based ~~Company~~compensation ~~has~~was alower ~~stock~~in ~~option~~Q1 ~~plan~~2011 ~~that~~than ~~provides~~Q1 ~~for~~2010 ~~the~~due ~~issuance of options~~ to ~~its~~there being ~~directors,~~no ~~officers, employees and consultants. The number, exercise price, term and vesting conditions of the~~ options ~~are~~issued ~~determined~~in by the ~~board~~three ofmonths ~~directors. The~~ended ~~maximum~~February ~~number of shares of the Company available for grants of stock options under the current plan was initially 10~~28,~~000,000~~ ~~common~~2011 ~~shares. To~~and ~~August 31, 2010, 4,249,850~~ all options ~~(November 30, 2009: 4,249,850) were~~ issued ~~under~~in ~~this plan, leaving 5,750,150 available to be issued. Under a~~ previous ~~stock~~fiscal ~~option~~years ~~plan, the maximum available 5,000,000 options~~ were ~~issued~~fully expensed by November 30, ~~2007. During the nine month period ended August 31,~~ 2010~~, the Company recorded $132,767 (November 30, 2009: $512,640) in stock-based compensation expense for options granted in previous periods~~.

~~During~~Balance ~~the~~Sheet ~~nine~~at ~~month~~February ~~period ended August 31~~28, ~~2010,~~2011 ~~the~~compared ~~Company~~to ~~did~~November ~~not grant any stock options~~30, ~~while 1,315,000 options expired without being exercised.~~ 2010

~~During~~Items ~~the~~with ~~year~~notable ~~ended~~period-end ~~November~~differences ~~30,~~are ~~2009,~~as ~~the Company had the following stock option activity~~follows:

The Company granted a total of 3,435,000 stock options at an exercise price of $0.20 per share. In accordance with SFAS 123R, (codified in ASC 718, Compensation-Stock Compensation), the Company expenses the fair value of these options, estimated to be $171,750. This amount will be expensed on a straight-line basis over the related option vesting period or service contract period. To August 31, 2010, the Company has expensed $171,750 (November 30, 2009: $171,040) of this fair value and $Nil remains to be recorded on the future vesting of these options.

		February 28		November 30		Change
		2011		2010		Amount		Percentage
Cash	$	99,655	$	140,509	$	(40,854	)	(29%	)
Accounts payable and accrued liabilities	$	1,991,602	$	2,604,886	$	(613,284	)	(24%	)
Convertible notes, net of discount	$	1,203,551	$	1,010,164	$	193,387		19%
Loans payable	$	1,771,163	$	1,864,005	$	(92,842	)	(5%	)
Project Funding Advances	$	8,812,712	$	8,446,766	$	365,946		4%
Additional Paid In Capital	$	20,976,802	$	20,435,348	$	541,454		3%
Shares to Be Issued	$	587,356	$	-	$	587,356		-
Share Purchase Warrants	$	142,500	$	620,500	$	(478,000	)	(77%	)

~~During~~Cash decreased approximately $41,000 during the ~~year~~quarter ~~ended~~due ~~November~~to 30funding that was raised through convertible notes, ~~2008~~loans, ~~the~~and ~~Company~~project ~~had~~funding ~~the~~advances being ~~following~~slightly ~~stock~~less ~~option~~than ~~activity:~~what was required for operations.
~~The~~Payables ~~Company~~decreased ~~granted~~mainly as a ~~total~~result of ~~999,850~~two ~~stock~~debt ~~options~~settlements attotaling approximately ~~exercise prices ranging from~~ $~~0.00001 to $0.50 per share. In accordance with SFAS 123R~~488, ~~(codified in ASC 718, Compensation-Stock Compensation), the Company expenses the fair value of these options, estimated to be $479,300. Of this amount, $460,~~000 ~~will~~and ~~be expensed on~~ a ~~straight-line~~reduction ~~basis,~~of ~~over~~Greensteam ~~the~~project ~~related~~payables ~~option vesting period or service contract period and the remaining $19,300 was recorded as debt settlement consideration in connection with the settlement~~ of approximately $19112,~~500 owing under a consulting agreement~~000.
AsThe ofincrease ~~August~~in ~~31,~~Convertible ~~2010,~~Notes ~~the~~resulted ~~Company~~from ~~has~~the ~~expensed~~issuance ~~$460,000~~of ~~(November~~new ~~30,~~notes with ~~2009:~~a ~~$387,243)~~face ~~of this fair~~ value ~~and~~of $~~Nil~~200,500 ~~will~~during ~~be recorded on~~ the ~~future~~three ~~vesting~~months ofended ~~these~~February ~~options~~28, 2011.

~~F-16~~Loans payable decreased as a result of a settlement agreement in connection with two loans totaling approximately $163,000, offset by advances of approximately $71,000 received for the purchase of convertible notes, for which the notes were issued after February 28, 2011. Those advances were temporarily classified as loans payable.
~~GLOBAL~~Project ~~GREEN~~funding ~~SOLUTIONS~~advances ~~INC~~received in the three months ended February 28, 2011 from Aera Energy LLC totaled $341,240. Accretion of $24,706 on these advances was recorded during the same period.
(AAdditional ~~Development~~Paid ~~Stage~~In ~~Company)~~Capital increased approximately $63,000 from recording the value of the embedded conversion feature in convertible notes that were issued in the quarter ended February 28, 2011, and increased $478,000 in connection with the expiry of Share Purchase Warrants during the same period.
~~CONDENSED~~The ~~NOTES~~Company TOreached ~~INTERIM~~agreements ~~CONSOLIDATED~~with ~~FINANCIAL~~certain ~~STATEMENTS~~lenders during the quarter ended February 28, 2011 to settle approximately $712,000 of loans and other amounts owing in exchange for restricted shares of common stock with an estimated fair value of $587, 356. The shares have not yet been issued and their estimated fair value is included in Shares To Be Issued.
~~AUGUST~~The 31value of Share Purchase Warrants decreased due to the fact that a total of 1,176,471 ~~2010~~warrants expired during the quarter ended February 28, 2011.

~~(Unaudited)~~Liquidity and Capital Resources

~~(Stated~~Our inability ~~U.S.~~to ~~Dollars)~~generate adequate amounts of cash to meet our needs is entirely dependent on the issuance of shares, debt securities, loans, or the sale of project equity.

7We estimate that we require $2.7 ~~CAPITAL~~million ~~STOCK~~to ~~(Continued)~~the end of December 2011 as follows:

b)We ~~Stock~~estimate ~~Options~~that ~~(Continued)~~our funding requirement for public company administration and maintenance, fund raising, investor relations, and general management costs through December 31, 2011 will total approximately $0.4 million.
~~The~~Costs ~~following~~related ~~table~~to ~~provides~~the ~~certain~~Aera ~~information~~project, ~~with~~including ~~respect~~the toproject ~~the~~management ~~above~~team, demonstration ~~stock~~plant ~~options~~testing, ~~that~~permits, ~~are~~full ~~outstanding~~scale engineering work, patent work, an Engineering, Procurement and ~~exercisable~~Construction atcontract, ~~August~~and funding are estimated to total approximately $1.9 million to December 31, ~~2010:~~2011.

			STOCK		STOCK		WEIGHTED
			OPTIONS		OPTIONS		AVERAGE
			ISSUED		OUTSTANDING		REMAINING
EXERCISE			AND		AND		CONTRACTUAL
PRICE			OUTSTANDING		EXERCISABLE		LIFE
	$	0.20		2,760,000		2,760,000	1.39 years
	$	0.20		675,000		675,000	1.44 years
	$	0.50		500,000		500,000	0.58 years
	$	0.50		300,000		300,000	0.66 years
				4,235,000		4,235,000

We have budgeted a further $0.4 million through to December 2011 for the purpose of building a sustainable Greensteam^TMbusiness, i.e. one that is expanded beyond a single project. These costs include marketing collateral, project development not related to the Aera project, certain legal costs, and investor communications.

~~The~~We ~~Company’s~~are ~~stock~~still ~~option~~a ~~activity~~development ~~for~~stage company and have not generated any revenues from our operations to date. We have no certainty that the ~~nine~~cash flows ~~month~~necessary ~~period~~to ~~ended~~meet ~~August~~the 31above requirements can be obtained from outside sources and we will have a serious liquidity issue until major funding is obtained, ~~2010~~sufficient to cover ongoing project development costs and corporate operating expenses. First revenues are expected to be from the ~~year~~GreensteamTM project ~~ended~~with ~~November~~Aera, 30starting in early 2012, ~~2009~~from isengineering services provided on the first commercial scale unit. We will be dependent initially on a few projects to grow our business. While our objective will be to broaden that project base as ~~follows:~~soon as is practicable, we need to balance expansion against ensuring the success of initial GreensteamTM projects. We are pursuing funding initiatives through a variety of sources.

						WEIGHTED
				WEIGHTED		AVERAGE
	NUMBER			AVERAGE		REMAINING
	OF			EXERCISE		CONTRACTUAL
	OPTIONS			PRICE		LIFE
Balance outstanding, November 30, 2008		5,390,000			0.57	0.91 years
Granted during the year		3,435,000			0.20
Expired/Forfeited during the year		(3,275,000	)		0.50
Balance outstanding, November 30, 2009		5,550,000		$	0.39	1.58 years
Expired/Forfeited during the period		(1,315,000	)		0.80
Balance outstanding August 31, 2010		4,235,000			0.26	1.25 years

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK.

AtWe ~~August~~are ~~31,~~a ~~2010,~~smaller ~~the~~reporting ~~aggregate~~company ~~intrinsic~~as ~~value~~defined ~~(“AIV”)~~by ~~under~~Rule ~~the~~12b-2 ~~provisions~~ of the ~~SFAS~~Securities ~~No.~~Exchange ~~123R,~~Act ~~(codified~~of in1934 ~~ASC~~and ~~718,~~are ~~Compensation-Stock~~not ~~Compensation)~~required ofto ~~all~~provide ~~outstanding,~~information under ~~vested~~this ~~stock options was $NIL~~item.

~~F-17~~ITEM 4. CONTROLS AND PROCEDURES.

~~GLOBAL~~A. ~~GREEN~~Disclosure ~~SOLUTIONS~~Controls ~~INC.~~and Procedures

As required by paragraph (Ab) ~~Development~~of ~~Stage~~Rules 13a-15 or 15d-15 under the Securities Exchange Act of 1934, the Company’s principal executive officer and principal financial officer evaluated the Company’s disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) of the Exchange Act) as of the end of the period covered by this Quarterly Report on Form 10-Q. Based on this evaluation, these officers concluded that as of the end of the period covered by this Quarterly Report on Form 10-Q, these disclosure controls and procedures were adequate to ensure that the information required to be disclosed by the Company in reports it files or submits under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in the rules and forms of the Securities and Exchange Commission and include controls and procedures designed to ensure that such information is accumulated and communicated to the Company’s management, including the Company’s principal executive officer and principal financial officer, to allow timely decisions regarding required disclosure.

~~CONDENSED~~ Because ~~NOTES~~of TOthe ~~INTERIM~~inherent ~~CONSOLIDATED~~limitations ~~FINANCIAL~~in ~~STATEMENTS~~all control systems, no evaluation of controls can provide absolute assurance that all control issues, 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.

~~AUGUST~~ B. ~~31,~~Management’s ~~2010~~Report on Internal Control over Financial Reporting

Management is responsible for establishing and maintaining adequate internal control over our financial reporting. In order to evaluate the effectiveness of internal control over financial reporting, as required by Section 404 of the Sarbanes-Oxley Act, management has conducted an assessment, including testing, using the criteria in the Internal Control - Integrated Framework, issued by the Committee of Sponsoring Organizations of the Treadway Commission (~~Unaudited~~“COSO”). Our system of internal control over financial reporting is designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements.

~~(Stated~~ Based on our evaluation under the framework in ~~U.S.~~the ~~Dollars)~~Internal Control-Integrated Framework, our Chief Executive Officer and Chief Financial Officer concluded that our internal controls over financial reporting were effective as of February 28, 2011.

7 Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. ~~CAPITAL~~In ~~STOCK~~addition, ~~(Continued)~~projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions and that the degree of compliance with the policies or procedures may deteriorate.

c) C. ~~Share~~Changes ~~Purchase~~in ~~Warrants~~Internal Control over Financial Reporting.

~~The~~ There were no changes in the Company’s ~~share~~internal ~~purchase~~control ~~warrant~~over ~~activity~~financial ~~for~~reporting during the ~~nine~~quarter ~~month~~ended ~~period~~February ~~ended~~28, ~~August~~2011 31that have materially affected, ~~2010~~or ~~and~~are ~~the~~reasonably ~~year~~likely ~~ended~~to ~~November~~materially 30affect, ~~2009~~the isCompany’s asinternal ~~follows:~~control over financial reporting.

						WEIGHTED
	NUMBER OF			WEIGHTED		AVERAGE
	SHARE			AVERAGE		REMAINING
	PURCHASE			EXERCISE		CONTRACTUAL
	WARRANTS			PRICE		LIFE
Balance, November 30, 2008		1,635,295		$	1.49	1.86 years
Expired during the year		(308,824	)		1.50
Balance, November 30, 2009		1,326,471			1.49	1.13 years
Balance, August 31, 2010		1,326,471		$	1.49	0.38 years

PART II – OTHER INFORMATION

~~The~~ITEM ~~following~~1. ~~table~~LEGAL ~~provides certain information with respect to the above share purchase warrants that are outstanding and exercisable at August 31, 2010:~~PROCEEDINGS

			SHARE PURCHASE		WEIGHTED
			WARRANTS		AVERAGE
			OUTSTANDING		REMAINING
EXERCISE			AND		CONTRACTUAL
PRICES			EXERCISABLE		LIFE
	$	1.40		150,000	1.17 years
	$	1.50		1,176,471	0.28 years
				1,326,471

We are not a party to any current or pending legal proceedings as of the date of this quarterly report.

~~F-18~~Item 1A. RISK FACTORS

~~GLOBAL~~There ~~GREEN~~have ~~SOLUTIONS~~been ~~INC~~no material changes from the risk factors as previously disclosed in our annual report on Form 10-K for the year ended November 30, 2010 or in the Assumptions and Risks section of our Corporate Presentation on our website.

(AItem ~~Development~~2. ~~Stage~~UNREGISTERED ~~Company)~~SALES OF EQUITY SECURITIES

~~CONDENSED~~On ~~NOTES~~December TO21, ~~INTERIM~~2010, ~~CONSOLIDATED~~February ~~FINANCIAL~~14, ~~STATEMENTS~~2011, and March 21, 2011 we completed private placements of securities to US subscribers pursuant to Rule 506 of Reg D of the Securities Act of 1933 wherein we issued convertible notes in the aggregate amount of $705,500, due and payable, together with interest at the rate of 12% per annum compounded annually, on December 7, 2012 ($10,000), February 14, 2013 ($140,500) and March 21, 2013 ($555,000). At the election of the holder, the note and interest accrued thereon are convertible into units at a rate of $0.10 per unit. Each unit is comprised of one restricted share of common stock and one share purchase warrant. Each share purchase warrant entitles the holder to purchase an additional common share at $0.25 per share for a two year term from the date of conversion. The notes were issued to fifteen persons who represented that they were an accredited investor. No compensation was paid in connection with the issuance of these notes.

~~AUGUST~~On 31February 14, ~~2010~~2011 and March 21, 2011 we completed private placements of securities to offshore subscribers pursuant to Regulation S of the Securities Act of 1933 wherein we issued convertible notes in the aggregate amount of $60,116 due and payable, together with interest at the rate of 12% per annum compounded annually, on February 14, 2013 ($50,000) and March 21, 2013 ($10,116). At the election of the holder, the note and interest accrued thereon are convertible into units at a rate of $0.10 per unit. Each unit is comprised of one restricted share of common stock and one share purchase warrant. Each share purchase warrant entitles the holder to purchase an additional common share at $0.25 per share for a two year term from the date of conversion. The notes were issued outside of the United States to two non-US persons. No compensation was paid in connection with the issuance of these notes.

~~(Unaudited)~~ITEM 6. EXHIBITS.

~~(Stated~~The infollowing ~~U.S.~~documents ~~Dollars)~~are included herein:

7. CAPITAL STOCK (Continued)

Exhibit No.	Document Description
31.1	Certification of Principal Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
31.2	Certification of Principal Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32.1	Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 for the Chief Executive Officer.
32.2	Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 for the Chief Financial Officer.

~~d) Restricted Common Shares in Escrow~~SIGNATURES

In accordance with the ~~terms~~requirements of the ~~First~~Exchange ~~Amendment to the Program Agreement with Aera Energy LLC (“Aera”) (see Note 3 b))~~Act, ~~respecting~~ the registrant ~~biomass~~caused ~~fueled~~this ~~steam~~report ~~generation project, the Company issued twenty million of its restricted common shares, with Aera’s name as beneficial owner,~~ to be ~~held~~signed inon ~~escrow. The~~its ~~shares,~~behalf orby ~~some portion of~~ the ~~shares~~undersigned, thereunto ~~were~~duly ~~only~~authorized ~~to be released to Aera if Global Greensteam LLC failed to pay~~ on athis ~~timely~~15th ~~basis~~day anof ~~early termination fee as defined in the Amendment~~April, ~~should it be required, and Aera exercised its option in those circumstances to take possession of the shares~~2011. ~~The Amendment and the escrow agreement provided for the eventual return to the Company of all of the shares placed in escrow in the event that no early termination fee is required.~~

~~Under~~GLOBAL ~~the~~GREEN ~~terms~~SOLUTIONS ofINC. (the ~~escrow~~“Registrant”) ~~agreement,~~BY: ~~neither~~Doug ~~the~~Frater ~~Company nor Aera have voting or dispositive powers for the shares while they are in escrow~~J. ~~Therefore~~Douglas ~~the~~Frater, ~~shares~~President ~~are not included in the total issued~~ and ~~outstanding~~Principal ~~shares~~Executive ~~presented~~Officer, orBY: inArnold ~~the~~Hughes ~~determination~~Arnold ofHughes, ~~the~~Principal ~~weighted~~Accounting ~~average~~Officer, ~~number~~Principal ofFinancial ~~shares~~Officer ~~outstanding.~~and Treasurer

As EXHIBIT detailed in Note 3 b), the First Amendment to the Program Agreement has been replaced and superseded in its entirety by a Second Amendment to the Program Agreement. The Second Amendment includes no requirement for shares of the Company to be held in escrow in connection with the Program Agreement or for any other purpose. Therefore the Company expects to reach agreement with Aera to cancel the escrow agreement, remove the 20 million shares from escrow and have them cancelled.INDEX

8. RELATED PARTY TRANSACTIONS AND AMOUNTS OWING

Exhibit No.	Document Description
31.1	Certification of Principal Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
31.2	Certification of Principal Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32.1	Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 for the Chief Executive Officer.
32.2	Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 for the Chief Financial Officer.

During the nine month period ended August 31, 2010, the Company carried out a number of transactions with related parties in the normal course of business. These transactions were recorded at their exchange amount, which is the amount of consideration established and agreed to by the related parties. The following are related party transactions and amounts owing at August 31, 2010 that are not disclosed elsewhere in these financial statements:

- During the nine month period ended August 31, 2010, the Company paid and/or accrued consulting fees to directors and officers and other related parties of the Company in the amount of $401,197 (2009 - $553,711).

- During the nine month period ended August 31, 2010, the Company paid or accrued $Nil (2009 - $90,800) in rent and administration fees to a company controlled by a significant shareholder of the Company.

- $1,222,938 (November 30, 2009 - $1,029,973) was owing to related parties and is included in accounts payable and accrued liabilities. These amounts are unsecured, non-interest bearing, and have no specific terms of repayment. See also Note 5.

F-19

GLOBAL GREEN SOLUTIONS INC.

(A Development Stage Company)

CONDENSED NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS

AUGUST 31, 2010

(Unaudited)

(Stated in U.S. Dollars)

9. COMMITMENTS AND CONTRACTUAL OBLIGATIONS

Except as disclosed elsewhere in these consolidated financial statements, the Company had the following commitments and contractual obligations at August 31, 2010:

a) The Company entered into the following agreements with officers, employees and consultants:

i) Effective February 1, 2007, and having a five year term with a privately held company controlled by an officer of the Company, to provide services of a Chief Executive Officer, as well as office premises for the Company in Europe. This agreement superseded an earlier agreement that was cancelled by mutual consent. The fees for providing the services are as follows:

· Base compensation of $12,747 (8,500 Euros) per month;

· Office rent of $1,800 (1,200 Euros) per month;

· $2,999 (2,000 Euros) monthly for European Social costs.

· An annual performance bonus of 1% of net profit;

In addition, the Company granted the right to buy 4,250,000 shares of the Company at $0.00001. 4,250,000 shares were issued by January 31, 2008. The agreement may be terminated upon provision of 6 months notice by the Company or 60 days notice by the Chief Executive Officer.

ii) On September 18, 2007, effective from May 1, 2007, for the services of a Chief Operating Officer. The agreement has a five year term and includes base annual compensation of $96,000 plus $12,000 annually for providing a serviced office, and $48,000 annually for marketing and communication services. All amounts are payable monthly. The contract may be terminated upon six months notice.

iii) Effective February 1, 2008, with a four year term for the provision of services of a Corporate Secretary by a consulting firm that is owned and controlled by a director of the Company. The agreement includes base compensation of $6,500 per month, plus applicable Tax. The agreement may be terminated by either party upon thirty days written notice. In the event of termination upon a change of control, the consulting firm is entitled to severance compensation equal to twelve months of base compensation. This replaced a previous agreement which had expired.

iv) Effective February 1, 2008, with a four year term for the provision of services of a corporate consulting firm which is owned and controlled by a director of the Company. The agreement includes base compensation of $2,500 per month, plus applicable Tax. The agreement may be terminated by either party upon thirty days written notice. In the event of termination upon a change of control, the consultant is entitled to severance compensation equal to twelve months of base compensation. This replaced a previous agreement which had expired.

v) Effective May 1, 2008, for the provision of services of a General Manager for its subsidiary, Global Green Solutions Pty Ltd. The agreement has a three year term ending April 30, 2011 and may be terminated on three months notice. Compensation under this agreement is comprised of a base fee of $81,600 annually, payable monthly, and an option to acquire 100,000 restricted common shares at $0.00001, vesting immediately. 100,000 shares were issued in the year ended November 30, 2008.

F-20

GLOBAL GREEN SOLUTIONS INC.

(A Development Stage Company)

CONDENSED NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS

AUGUST 31, 2010

(Unaudited)

(Stated in U.S. Dollars)

9. COMMITMENTS AND CONTRACTUAL OBLIGATIONS (Continued)

vi) Effective January 1, 2009, with a three year term for the services of a Chief Financial Officer. The agreement includes base compensation of $8,000 per month, plus applicable Tax. The agreement may be terminated upon six months notice by the Company.

b) On January 29, 2009, the Company entered into an agreement for services, primarily for the raising of project equity and/or debt finance or credit arrangements for the provision of capital purchases, working capital, development and construction costs for the Company’s Greensteam project to be constructed near Bakersfield, California. The agreement included a monthly fee of $8,723 (£6,000) and may be terminated on sixty days notice. The agreement also contained transaction related fees and success fees comprised of project equity percentages and warrants. By mutual agreement, the services and monthly fees were put on indefinite hold after October, 2009.

10. NON-CASH INVESTING AND FINANCING ACTIVITIES

The Company recorded non-cash finance costs as follows:

	Nine Month
	Period Ended August 31
	2010		2009
Amortization of the intrinsic value and/or beneficial conversion feature of the convertible notes	$	120,476	$	29,696

During the nine month period ended August 31, 2010:

§ The Company recognized the value of the embedded beneficial conversion feature of $67,666 in respect of convertible notes totaling $215,000.

§ In connection with three consulting agreements, the Company issued 750,000 shares with a fair value of $78,750, all of which had been expensed in the year ended November 30, 2009 and recorded as Shares To Be Issued at that date.

§ The Company issued 300,000 shares with a fair value of $32,964 in connection with a consulting agreement, $29,026 of which was expensed in the period and $3,938 of which was expensed in the year ended November 30, 2009 and included in Shares To Be Issued at that date.

During the nine month period ended August 31, 2009 the Company:

§ entered into an agreement for consulting services which included as compensation 262,500 restricted common shares with a combined fair value of $25,951 which was expensed. 37,500 of those shares, with a fair value of $4,875 were included in Shares To Be Issued at August 31, 2009;

§ issued 117,000 restricted common shares with a combined fair value of $7,126 in settlement of a debt totaling $7,126, resulting in no gain or loss on settlement;

§ recognized the value of the embedded beneficial conversion feature of $168,216 in respect of convertible notes totaling $485,405; and

§ returned 125,000 shares to treasury in connection with a debt settlement whereby a consultant retained 100,000 shares out of 225,000 shares that had been issued but not yet earned, with an estimated fair value of $6,693, to settle an amount payable to the consultant of $6,693 resulting in no gain or loss on settlement.

F-21

GLOBAL GREEN SOLUTIONS INC.

(A Development Stage Company)

CONDENSED NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS

AUGUST 31, 2010

(Unaudited)

(Stated in U.S. Dollars)

11. FAIR VALUE OF ASSETS AND LIABILITIES

Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. U.S. GAAP requires that valuation techniques maximize the use of observable inputs and minimize the use of unobservable inputs. ASC 820-10 Fair Value Measurements also establishes a fair value hierarchy which prioritizes the valuation inputs into three broad levels. Based on the underlying inputs, each fair value measurement in its entirety is reported in one of the three levels. These levels are:

Level 1 - Valuation is based upon quoted prices for identical instruments traded in active markets. Level 1 assets and liabilities include debt and equity securities traded in an active exchange market, as well as U.S. Treasury securities.

Level 2 - Valuation is based upon quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model based valuation techniques for which all significant assumptions are observable in the market or can be corroborated by observable market data for substantially the full term of the assets or liabilities.

Level 3 - Valuation is determined using model-based techniques with significant assumptions not observable in the market.

Assets and Liabilities Measured at Fair Value on a Recurring Basis

The Company has no assets or liabilities subject to recurring measurement.

Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis

For assets measured at fair value on a nonrecurring basis, the following table provides the fair value measures by level of valuation assumptions used:

	Fair Value Measurement Using
	Level 1		Level 2		Level 3
Project Funding Advances
August 31, 2010	$	-	$	-	$	7,995,308
November 30, 2009	$	-	$	-	$	1,386,986

Fair Value of Financial Instruments

The following table reflects the fair value of financial instruments:

	August 31, 2010				November 30, 2009
	Carrying Amount		Estimated Fair Value		Carrying Amount		Estimated Fair Value
Financial Assets:
Cash	$	70,891	$	70,891	$	41,956	$	41,956
Amounts receivable		7,898		7,898		6,390		6,390
Financial Liabilities:
Accounts payable and accrued liabilities		2,452,483		2,452,483		1,860,372		1,860,372
Convertible notes		939,629		939,629		684,419		684,419
Loans payable		1,854,505		1,854,505		1,878,127		1,878,127

F-22

GLOBAL GREEN SOLUTIONS INC.

(A Development Stage Company)

CONDENSED NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS

AUGUST 31, 2010

(Unaudited)

(Stated in U.S. Dollars)

11. FAIR VALUE OF ASSETS AND LIABILITIES (Continued)

Due to the relatively short term nature of cash, amounts receivable, accounts payable and accrued liabilities, and loans payable, the fair value of these instruments approximates their carrying value. Convertible notes are recorded at estimated fair value on issue and at amortized cost on an ongoing basis. The carrying amount of the Company’s convertible debt approximates the fair value.

12. SEGMENT AND GEOGRAPHIC INFORMATION

The Company follows SFAS No. 131, Disclosure about Segments of an Enterprise and Related Information, (codified in ASC 280, Segment Reporting) and currently has two reportable segments in the development of renewable energy technologies, being a biofuel feedstock pilot project (now terminated) and a biomass-fueled steam generation project.

a) Algae Biofuel Project

This project was in the development stage and focused on the use of algae as a source for biofuel feedstock and other products. As described in Note 3 a), the Company concluded that its interests are best served by focusing all of its efforts on its Greensteam business and has agreed with its project partner to wind-up and dissolve the LLC through which the project had been pursued. All activity of the Company related to this project has been terminated.

b) Waste Biomass – Fueled Steam Generation Projects

The Company’s efforts are now completely focused on its Greensteam project, which involves the development and marketing of its patent-pending combustion process that converts biomass (primarily wood and crop waste) to low-cost steam. The steam can be used for industrial process purposes or to generate combined heat and power. One contract is in the early commercial stage in the United States as described in Note 3 b), and other project opportunities are being developed in Europe and Mexico.

Financial information for each segment is presented in the following table. The accounting policies of each reportable segment are the same as those of the consolidated company, as described in Note 2, Summary of Significant Accounting Policies. The Corporate and other category includes unallocated corporate costs related to being a publicly traded company and other head office costs.

	Three Months Ended August 31					Nine Months Ended August 31
	2010		2009			2010		2009
Operating Loss
Algae biofuel project	$	-	$	(573,563	)	$	18,191	$	(431,209	)
Waste biomass-fueled industrial process steam and combined heat and power generation projects		2,088,487		270,063			6,210,273		863,175
Other		944		15,654			7,136		40,289
Total reportable segments		2,089,431		(287,846	)		6,235,600		472,255
Corporate and other		466,543		549,176			1,461,355		1,786,323
Total operating loss	$	2,555,974	$	261,330		$	7,696,955	$	2,258,578

The Company’s long-lived assets, including additions to equipment and depreciation, relate mainly to project design, computer and control systems which are predominately located in the United States.

F-23

GLOBAL GREEN SOLUTIONS INC.

(A Development Stage Company)

CONDENSED NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS

AUGUST 31, 2010

(Unaudited)

(Stated in U.S. Dollars)

13. SUBSEQUENT EVENTS

Management has evaluated subsequent events and the impact on the reported results and disclosures and has concluded that no other significant events require disclosure as of the date the interim consolidated financial statements were issued.

F-24

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

Forward Looking Statements.

This quarterly report contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements relate to future events or our future financial performance. In some cases, you can identify forward-looking statements by terminology such as “may”, “should”, “expects”, “plans”, “anticipates”, “believes”, “estimates”, “predicts”, “potential” or “continue” or the negative of these terms or other comparable terminology. These statements are only predictions and involve known and unknown risks, uncertainties and other factors, including the risks in the section entitled “Risk Factors” and the risks set out below, any of which may cause our or our industry’s actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements. These risks include, by way of example and not in limitation:

· the uncertainty of future revenue and profitability based upon our current financial condition and history of losses;

· risks related to failure to obtain adequate financing on a timely basis and on acceptable terms for our planned projects;

· other risks and uncertainties related to our business strategy.

This list is not an exhaustive list of the factors that may affect any of our forward-looking statements. These and other factors should be considered carefully and readers should not place undue reliance on our forward-looking statements.

Forward looking statements are made based on management’s beliefs, estimates and opinions on the date the statements are made and we undertake no obligation to update forward-looking statements if these beliefs, estimates and opinions or other circumstances should change. 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.

We are not aware of any events or circumstances that occurred during the period ended August 31, 2010 that are reasonably likely to cause actual results to differ materially from material forward looking information in our Corporate Presentation on our website, for a period covered in that presentation that is not yet complete.

Our financial statements are stated in United States dollars (US$) and are prepared in accordance with United States Generally Accepted Accounting Principles. In this annual report, unless otherwise specified, all dollar amounts are expressed in United States dollars and all references to “common stock” refer to the common shares in our capital stock.

As used in this annual report, the terms “we”, “us”, “our”, the “Company” and “Global Green” means Global Green Solutions Inc. and its subsidiaries, unless the context clearly requires otherwise.

Business Operations

Global Green Solutions Inc. is a development stage company and is devoting substantially all of its present efforts to establishing a new business. The Company’s efforts had been focused on two areas: biomass combustion to generate industrial process steam and heat or electrical power (“Greensteam”), and the production of algae biomass for biofuel feedstock.

§ Greensteam uses a high thermal efficiency, low air emission technology to economically generate renewable steam from waste biomass, primarily wood and crop waste. The steam is to be sold under long term contract for industrial process steam, for distributed heat, or for electrical power co-generation. This is the Company’s core business. Greensteam’s patent-pending process technology is currently in the demonstration and early commercialization phase, with full commercialization expected in late 2011 when construction of the first full scale, commercial unit is planned to commence.

§ Vertigro Algae Technologies LLC (“VAT”) is the entity through which the Company and its 50% partner, Valcent USA, Inc. (“VUI”) pursued development of a joint project to use algae as a source for biofuel feedstock and other products. The Company restructured its operations in 2008 to focus on its commercial stage Global Greensteam business and was evaluating alternative strategies for conducting ongoing development of an algae initiative, including working with new strategic partners. The Company concluded that its interests are best served by focusing all of its efforts on its Greensteam business. The Company and VUI have now agreed to the wind-up and dissolution of VAT, as announced July 8, 2010.

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

Business Operations (Continued)

The Company’s subsidiary, Global Greensteam LLC, entered into a Program Agreement with Aera Energy LLC (“Aera”), a California oil and gas company on March 31, 2008, a First Amendment to the Program Agreement, effective October 22, 2008, and a Second Amendment to the Program Agreement effective November 24, 2009. The Program Agreement provides for a test or demonstration unit which will use Greensteam’s waste-to-steam process technology to burn waste biomass to create steam, to be built in an Aera oilfield. Upon successful operation of the demonstration unit, the Program Agreement provides that up to ten commercial scale units could be built. Each of these units is expected to consume approximately 75 thousand tons of biomass per year and generate 80 MMBTU per hour. If the demonstration unit and commercial scale units are successful Aera is expected to use the steam in its enhanced oil recovery operations, replacing an equivalent amount of natural gas fired steam generation.

The demonstration unit, construction of which was completed in June 2010, is approximately one-quarter the size of the commercial scale units and is expected to cost approximately $8 million, including extended testing. Under the terms of the First Amendment, up to $3 million of this cost was to be contributed by Aera.

Effective November 24, 2009, Greensteam and Aera executed the Second Amendment to the Program Agreement which deleted and replaced the First Amendment in its entirety.

Under the terms of the Second Amendment:

· Aera agreed to continue to contribute up to $3 million of the cost of the demonstration unit

· An additional $5 million of payments has been included in Aera’s 2010 R&D budget, which has now been approved by the Aera Board of Directors. Aera will make payments to Greensteam for the demonstration unit up to a total of $8 million.

· Payments from Aera are to be used exclusively for the management, design, engineering, permitting, construction (including materials), and operation of the Test Unit.

· In return, if the demonstration unit meets the pre-agreed Specific Test Requirements and there is a Full Scale Period (as such term is defined in the agreement), Greensteam will be obligated to provide Aera with discount-priced steam for the full term of the agreement.

· If there is no Full Scale Period in which Greensteam can provide Aera with discount-priced Steam, Greensteam will grant Aera a perpetual, exclusive license to use Greensteam’s technology at any property owned or leased by Aera, and access to Greensteam’s intellectual property (collectively the “Exclusive License Grant”), subject to a royalty of 0.004 times the Incremental Energy Charge as defined in the Agreement if Aera proceeds with the Full Scale period on its own.

· There are no longer any Early Termination Fees as had been included in the First Amendment. Those have been replaced in the Second Amendment by the obligation for Greensteam to grant Aera an Exclusive License Grant in the following circumstances:

1. If the Test Unit fails to meet the pre-agreed Specific Test Requirements and either Party gives notice as provided;

2. If the Test Unit meets the pre-agreed Specific Test Requirements, both Parties give notice that the pre-agreed Specific Test Requirements are met or that the test results are acceptable, Aera’s Board approves amending the Full Scale Period definition by replacing the language “five (5) years” with “ten (10) years”, and Greensteam is subsequently unable to (1) obtain the Full Scale Permit after diligent effort or (2) obtain financing for the first Project after diligent effort;

3. If the Test Unit meets the pre-agreed Specific Test Requirements, both Parties give notice that the pre-agreed Specific Test Requirements are met or that the test results are acceptable, Greensteam subsequently obtains the Full Scale Permit, Greensteam obtains financing for the first Project, and Greensteam fails to implement the Full Scale Period Project(s).

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

Business Operations (Continued)

Construction of the demonstration unit commenced in January, 2010, on Aera’s Belridge oilfield, near Bakersfield, California. Construction was completed in June, 2010. Pre-operational testing and adjustments are now underway, with the operational period expected to commence in late October, 2010.

Expenditures incurred in connection with the steam generation project and charged to project development costs in the nine month period ended August 31, 2010 totaled $6,210,273 (2009: $863,175). As of August 31, 2010, $7,474,434 had been received from Aera under the terms of the Second Amendment. Aera has agreed to increase its funding level to $8,874,000.

The 1.25 MW electrical equivalent demonstration project will provide process and air emissions data to enable optimization for performance and final air emissions permit approval for full scale units. The commissioning and pre-testing phase is expected to be completed in October, leading to operational testing commencing in late October. The operational testing phase is to prove Greensteam’s capability to safely and reliably generate oilfield quality steam with ultra-low air emissions.

The Greensteam process is designed to be precisely controlled. Individual plant parameters are synchronously controlled to precise tolerances, which is how we expect to achieve ultra-low emissions and high energy efficiencies. Individual plant systems and subsystems are being tested first, to be followed by Aera-specified performance tests and San Joaquin Valley Air Pollution Control District-specified air emissions tests. The Aera performance tests are scheduled to be complete by late 2010.

Business Model

Greensteam’s business model is to license the technology and develop and operate projects directly or with strategic partners, enabling us to profit from a portfolio of economically and environmentally sustainable waste biomass-to-energy projects. We will provide technology, project development, and operational expertise to local project partners to support permitting, fuel supply contracting, off-take contracting, green credits, engineering, construction, and operations. The renewable steam and or electrical energy will be sold under long-term off-take agreements.

Biomass to energy market outlook

Rapid renewable energy (RE) growth in Europe and North America is driven by government targets for RE electrical and heat production by 2020. Biomass to energy is an attractive RE solution because:

· Sustainable and economical biomass supplies can provide the base load generation to meet the RE targets.

· Biomass to energy technology currently available is proven for small to medium and large size generation capacity for industrial and commercial combined heat and power (CHP) facilities.

· Distributed small-medium size biomass generation facilities built local to biomass supply sources are sustainable and economical.

Results of Operations

	Three Months Ended August 31						Change
	2010			2009			Amount			Percentage
Revenue	$	-		$	-		$	-			-
Expenses	$	(2,555,974	)	$	(261,330	)	$	(2,294,644	)		878	%
Net Income (Loss) - Non-controlling interests	$	5,448		$	5,100		$	348			7	%
Net Loss – Global Green Solutions	$	(2,550,526	)	$	(256,230	)	$	(2,294,296	)		895	%

Revenues

We recorded a net loss of $2,550,526 for the three month period ended August 31, 2010 and have an accumulated deficit of $33,907,222 since inception. We have had no operating revenues since our inception on June 10, 2003. We do not anticipate that we will generate any revenues during the period in which we are a development stage company. First revenues are expected in the first half of 2012, when the first of our commercial scale Greensteam units is expected to be completed, allowing us to commence selling steam to Aera Energy LLC under the terms of our agreement.

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

Balance Sheet at August 31, 2010 compared to November 30, 2009

Items with notable period-end differences are as follows:

	August 31			November 30		Change
	2010			2009		Amount			Percentage
Cash	$	70,891		$	41,956	$	28,935			69	%
Accounts payable and accrued liabilities	$	2,452,483		$	1,860,372	$	592,111			32	%
Convertible notes, net of discount	$	939,629		$	684,419	$	255,210			37	%
Project Funding Advances	$	7,995,308		$	1,386,986	$	6,608,322			477	%
Additional Paid In Capital	$	20,270,548		$	20,017,711	$	252,837			13	%
Shares to Be Issued	$	-		$	82,688	$	(82,688	)		(74	%)
Deferred Compensation	$	-		$	114,800	$	(114,800	)		(100	%)
Non-controlling Interests’ Deficiency	$	(111,474	)	$	-	$	(111,474	)

§ Cash increased primarily due to funding received in August in connection with Greensteam project expenses for the period ended August 31, 2010 that was not disbursed until shortly after that date, in early September, 2010.

§ Payables related to corporate overhead increased by approximately $240,000 due to incoming funding being less than expenses for the nine months ended August 31, 2010. Greensteam project payables increased approximately $164,000 due to escalation in the pilot project build rate (construction commenced in Jan 2010) and timing of disbursements at the end of Q3 2010. Cash was received from Aera Energy at the end of the quarter but not all of it was disbursed to project vendors until after August 31, 2010. Convertible debt interest and loan interest increases were approximately $98,000 and $90,000 respectively.

§ The increase in Convertible Notes is due to new notes issued in the nine months ended August 31, 2010.

§ Project funding advances received in the nine months ended August 31, 2010 from Aera Energy LLC under the terms of our agreement with Aera to build a Greensteam demonstration unit totaled $6,152,648. Accretion of $455,674 on these advances was recorded during the same period.

§ Additional Paid In Capital increased approximately $112,000 as a result of 1,050,000 shares issued in the period ended August 31, 2010 for consulting services; increased approximately $68,000 from recording the value of the embedded conversion feature in convertible notes that were issued in the same period, and increased approximately $73,000 due to the amortization of stock based compensation.

§ Shares To Be Issued decreased approximately $83,000 as we issued 787,500 shares recorded as issuable at November 30, 2009 in connection with consulting services.

§ Deferred Compensation balances arise from consulting services which are prepaid with equity instruments (stock or options). Any unearned balance is amortized over the underlying term of the consulting agreement. At November 30, 2009 there were unamortized amounts whereas by August 31, 2010, all such amounts had been fully amortized.

§ Effective December 1, 2009, the Company adopted the new standards for presentation of non-controlling interests as a component of stockholders’ equity. The Company recorded a non-controlling interest debit of $111,474 for previously unrecorded non-controlling interest share of losses. This amount was recorded as a direct charge to deficit during the period.

Expenses – Three month period ended August 31, 2010 compared to the three month period ended August 31, 2009

Items with notable period over period differences are as follows:

	Three Months Ended August 31						Change
	2010			2009			Amount			Percentage
Consulting fees	$	108,024		$	289,095		$	(181,071	)		(63	%)
Finance charges	$	47,930		$	16,318		$	31,072			190	%
Interest and bank charges	$	297,711		$	94,335		$	203,376			216	%
Office and sundry	$	(22,683	)	$	50,324		$	(73,007	)		(145	%)
Professional fees	$	32,501		$	11,934		$	20,567			172	%
Project development expenses	$	2,089,431		$	(287,846	)	$	2,377,277			826	%
Stock based compensation	$	3,600		$	87,170		$	(83,570	)		(96	%)

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

Expenses – Three month period ended August 31, 2010 compared to the three month period ended August 31, 2009 (Continued)

§ Consulting fees decreased approximately $32,000 due to a consulting agreement that commenced in Q1 2009 being put on indefinite hold in late 2009; decreased approximately $72,000 due to the allocation of consulting fees to Greensteam project development in Q3 2010 but not in Q3 2009 when consulting fees for project management services were not yet fundable as part of the project; decreased approximately $51,000 due to the end of two consulting arrangements in the year ended November 30, 2009; decreased due to miscellaneous consulting of approximately $12,000 in Q3 2009 versus $Nil in Q3 2010; and amortization of deferred compensation being lower in Q3 2010 than Q3 2009 by approximately $11,000 as prepaid consulting services were fully amortized.

§ The increase in Finance charges resulted from an increase in accretion of charges on convertible debt, the face value of which was approximately $1,162,000 at the end of Q3 2010 compared to approximately $585,000 at the end of Q3 2009.

§ Interest on Convertible Debt increased approximately $17,000 year over year for Q3, a 94% increase which is in line with the increase of 99% in the face value of convertible debt from August 31, 2009 to August 31, 2010. Accretion on advances from Aera Energy increased approximately $194,000 as the level of those advances went from $500,117 at August 31, 2009 to $7,474,434 at August 31, 2010. These main items were offset by miscellaneous quarter over quarter reductions totaling approximately $7,000.

§ Office and sundry decreased approximately $4,000 as a result of lower depreciation as many assets are now fully depreciated; and decreased approximately $67,000 due to a reduced accrual for rent and administrative services as the contract for those services has expired and a new arrangement is under review.

§ Professional fees increased quarter over quarter mainly due to legal services for contract and regulatory issues.

§ Project development costs increased due to the commencement of construction of the Greensteam pilot project in Q1 2010, which was completed in June 2010. A testing period commenced in June, which is expected to lead to operational (steam production) conditions in late October, 2010. As construction ramped up, there was a corresponding increase in funding advances from Aera Energy which totaled $2,408,582 in Q3 2010 compared to approximately $97,445 in Q3 2009. Also, Q3 2009 includes the reversal of $573,314 of costs in connection with the algae biofuel development project.

§ Stock-based compensation was lower in Q3 2010 than Q3 2009 due to there being no options issued in the nine months ended August 31, 2010 and all options issued in previous fiscal years were fully expensed by August 31, 2010.

Liquidity and Capital Resources

Our ability to generate adequate amounts of cash to meet our needs is entirely dependent on the issuance of shares, debt securities, loans, or the sale of project equity.

o We estimate that our funding requirement for public company administration and maintenance, fund raising and investor relations, to the end of December, 2011 will total approximately $970,000.

o We estimate that we will require approximately $2.7 million through December 31, 2011 to complete the Greensteam demonstration project, the Greensteam process development and the engineering for the Aera full scale project.

o We estimate that we will require approximately $1.3 million through December 31, 2011 to build a sustainable Greensteam business through marketing and business development and new project and contract development, plus related costs.

o $8.9 million is now being contributed to the demonstration project costs by Aera Energy LLC. $7.9 million has been received as of October 14, 2010. Aera will recover that project funding via a discount on the price of steam to be sold to Aera from the commercial scale units.

o Construction of the first of up to 10 full scale commercial units is planned to start in the second half of 2011. Capital costs for the ten full scale projects contemplated in our agreement with Aera are estimated to be $80 million. Project funding efforts are underway but no funding is currently in place for the first full scale project.

We are still a development stage company and have no cash flows from operations. We have no certainty that the cash flows necessary to meet the above requirements can be obtained from outside sources. We have a serious liquidity issue until major funding is obtained, sufficient to cover project capital costs and ongoing corporate operating expenses. First cash flows will be achieved when the first commercial scale Greensteam unit is completed and producing revenue, which is expected to be in the first half of 2012. We are pursuing funding initiatives through a variety of sources.

We believe that our Greensteam project is suitable for debt based financing, having tangible assets and a relatively short build time per unit, followed by an immediate cash flow as each unit comes on stream. Our expectation is that the first full scale project will be primarily funded by a combination of debt and project equity rather than equity in Global Green Solutions Inc.

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK.

We are a smaller reporting company as defined by Rule 12b-2 of the Securities Exchange Act of 1934 and are not required to provide information under this item.

ITEM 4. CONTROLS AND PROCEDURES.

A. Disclosure Controls and Procedures

As required by paragraph (b) of Rules 13a-15 or 15d-15 under the Securities Exchange Act of 1934, the Company’s principal executive officer and principal financial officer evaluated the Company’s disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) of the Exchange Act) as of the end of the period covered by this Quarterly Report on Form 10-Q. Based on this evaluation, these officers concluded that as of the end of the period covered by this Quarterly Report on Form 10-Q, these disclosure controls and procedures were adequate to ensure that the information required to be disclosed by the Company in reports it files or submits under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in the rules and forms of the Securities and Exchange Commission and include controls and procedures designed to ensure that such information is accumulated and communicated to the Company’s management, including the Company’s principal executive officer and principal financial officer, to allow timely decisions regarding required disclosure. Because of the inherent limitations in all control systems, no evaluation of controls can provide absolute assurance that all control issues, 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.

B. Management’s Report on Internal Control over Financial Reporting

Management is responsible for establishing and maintaining adequate internal control over our financial reporting. In order to evaluate the effectiveness of internal control over financial reporting, as required by Section 404 of the Sarbanes-Oxley Act, management has conducted an assessment, including testing, using the criteria in the Internal Control - Integrated Framework, issued by the Committee of Sponsoring Organizations of the Treadway Commission (“COSO”). Our system of internal control over financial reporting is designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements.

Based on our evaluation under the framework in the Internal Control-Integrated Framework, our Chief Executive Officer and Chief Financial Officer concluded that our internal controls over financial reporting were effective as of May 31, 2010.

Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. In addition, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions and that the degree of compliance with the policies or procedures may deteriorate.

C. Changes in Internal Control over Financial Reporting.

There were no changes in the Company’s internal control over financial reporting during the quarter ended August 31, 2010 that have materially affected, or are reasonably likely to materially affect, the Company’s internal control over financial reporting.

PART II – OTHER INFORMATION

ITEM 1. LEGAL PROCEEDINGS

We are not a party to any current or pending legal proceedings as of the date of this quarterly report.

ITEM 1A. RISK FACTORS

There have been no material changes from the risk factors as previously disclosed in our annual report on Form 10-K for the year ended November 30, 2009 or in the Assumptions and Risks section of our Corporate Presentation on our website.

ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES

On August 26, 2010 we completed a private placement of securities to a US subscriber pursuant to Rule 506 of Reg D of the Securities Act of 1933 wherein we issued a convertible note in the amount of $25,000, due and payable on August 26, 2012 together with interest at the rate of 12% per annum compounded annually. At the election of the holder, the note and interest accrued thereon are convertible into units at a rate of $0.10 per unit. Each unit is comprised of one restricted share of common stock and one share purchase warrant. Each share purchase warrant entitles the holder to purchase an additional common share at $0.25 per share for a two year term from the date of conversion. The note was issued to one person who represented that they were an accredited investor. No compensation was paid in connection with the issuance of this note.

On August 30, 2010, we completed a private placement of securities to an offshore subscriber pursuant to Regulation S of the Securities Act of 1933 wherein we issued a convertible note in the amount of $10,000 due and payable on August 30, 2012 together with interest at the rate of 12% per annum compounded annually. At the election of the holder, the note and interest accrued thereon are convertible into units at a rate of $0.10 per unit. Each unit is comprised of one restricted share of common stock and one share purchase warrant. Each share purchase warrant entitles the holder to purchase an additional common share at $0.25 per share for a two year term from the date of conversion. The note was issued outside of the United States to a non-US person. In connection with the issuance of this note, we paid compensation totaling $700.

ITEM 6. EXHIBITS.

The following documents are included herein:

Exhibit No.	Document Description
31.1	Certification of Principal Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
31.2	Certification of Principal Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32.1	Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 for the Chief Executive Officer.
32.2	Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 for the Chief Financial Officer.

SIGNATURES

In accordance with the requirements of the Exchange Act, the registrant caused this report to be signed on its behalf by the undersigned, thereunto duly authorized on this 15th day of October, 2010.

GLOBAL GREEN SOLUTIONS INC. (the “Registrant”) BY: Doug Frater J. Douglas Frater, President and Principal Executive Officer, BY: Arnold Hughes Arnold Hughes, Principal Accounting Officer, Principal Financial Officer and Treasurer

EXHIBIT INDEX

Exhibit No.	Document Description
31.1	Certification of Principal Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
31.2	Certification of Principal Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32.1	Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 for the Chief Executive Officer.
32.2	Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 for the Chief Financial Officer.

Three Month

Period Ended February 28

Amortization of the intrinsic value and/or beneficial

conversion feature of the convertible notes

56,341

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