<PAGE>
                  SECURITIES AND EXCHANGE COMMISSION

                         Washington D.C. 20549

                             FORM 10-Q/A-1


                   QUARTERLY REPORT UNDER SECTION 13
                OF THE SECURITIES EXCHANGE ACT OF 1934




December 31, 1995                       Commission File Number 0-13201




                  SHEFFIELD EXPLORATION COMPANY, INC.
                       1801 Broadway, Suite 600
                        Denver, Colorado 80202







Incorporated in Delaware                            IRS ID #06-1052062

                       Telephone: (303) 296-1908







Sheffield Exploration Company, Inc. ("the Company") (1) has filed all
reports required to be filed by Section 13 of the Securities Exchange
Act of 1934 during the preceding 12 months and (2) has been subject to
such filing requirements for the past 90 days.

           3,447,979 shares of common stock, $.01 par value,
                    outstanding at February 7, 1996

<PAGE>
PART ONE - FINANCIAL INFORMATION

         SHEFFIELD EXPLORATION COMPANY, INC. AND SUBSIDIARIES
                      CONSOLIDATED BALANCE SHEETS
                              (Unaudited)

                                ASSETS



<TABLE>
<CAPTION>
                                               December 31,       June 30,
                                                   1995             1995
                                               -------------    -------------
<S>                                           <C>              <C>
CURRENT ASSETS
  Cash and cash equivalents                    $  2,885,261     $     43,594
  Receivables, net                                1,116,607        1,156,837
  Gas in storage                                         --          237,810
  Assets held for sale                               87,450        4,144,040
  Deferred income taxes, net                             --          670,000
  Other                                              70,531           78,809
                                               -------------    -------------
                                                  4,159,849        6,331,090

PROPERTY AND EQUIPMENT
(Using the successful efforts method)
  Unproved oil and gas properties                   668,218          624,980
  Proved properties                               4,381,685        4,258,381
  Gas plant and related equipment                 2,201,782        2,071,328
  Other property and equipment                      149,312          123,402
                                               -------------    -------------
                                                  7,400,997        7,078,091
  Accumulated depreciation, depletion and
    amortization and impairment                  (4,101,723)      (3,800,247)
                                               -------------    -------------
                                                  3,299,274        3,277,844

  Deferred income taxes, net                        321,000          321,000
  Other assets                                       38,743          105,832
                                               -------------    -------------
                                               $  7,818,866     $ 10,035,766
                                               =============    =============
</TABLE>




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


                                  -1-<PAGE>
         SHEFFIELD EXPLORATION COMPANY, INC. AND SUBSIDIARIES
                      CONSOLIDATED BALANCE SHEETS
                              (Unaudited)

                 LIABILITIES AND STOCKHOLDERS' EQUITY



<TABLE>
<CAPTION>
                                                    December 31,       June 30,
                                                        1995             1995
                                                    -------------    -------------
<S>                                                <C>              <C>
CURRENT LIABILITIES
  Accounts payable                                  $    836,103     $    849,349
  Deposits                                                    --           12,783
  Current portion of long-term debt                           --        1,175,250
  Production and ad valorem taxes payable                113,153          147,781
                                                    -------------    -------------
                                                         949,256        2,185,163

LONG-TERM DEBT, net of current portion                   100,050        1,374,050

STOCKHOLDERS' EQUITY
  Preferred stock $.01 par value; 2,000,000 shares
    authorized; none issued                                   --               --
  Common stock, $.01 par value; 10,000,000 shares
    authorized; 3,423,598 and 3,389,261 shares
    issued and outstanding at December 31, 1995
    and June 30, 1995, respectively                       34,236           33,893
  Additional paid-in capital                           6,856,217        6,805,550
  Accumulated deficit                                   (120,893)        (362,890)
                                                    -------------    -------------
                                                       6,769,560        6,476,553
                                                    -------------    -------------
                                                    $  7,818,866     $ 10,035,766
                                                    =============    =============

</TABLE>




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


                                  -2-<PAGE>
         SHEFFIELD EXPLORATION COMPANY, INC. AND SUBSIDIARIES
                 CONSOLIDATED STATEMENTS OF OPERATIONS
                              (Unaudited)



<TABLE>
<CAPTION>
                                                         Three Months Ended                Six Months Ended
                                                             December 31,                    December 31,
                                                    -----------------------------   -----------------------------
                                                        1995            1994            1995             1994
                                                    -------------   -------------   -------------   -------------
<S>                                                <C>             <C>             <C>             <C>
Revenues
  Gas processing, gathering and storage             $    445,702    $  1,588,169    $  2,590,323    $  3,584,912
  Oil and gas sales                                      264,736         309,154         506,416         617,933
                                                    -------------   -------------   -------------   -------------
    Total revenues                                       710,438       1,897,323       3,096,739       4,202,845

Expenses
  Gas processing, gathering and storage                  298,195       1,368,581       1,929,257       3,087,216
  Operation of producing properties                      117,181          95,172         214,734         189,286
  Production taxes                                        28,465          30,346          55,473          58,448
  Exploration                                             13,413           6,919          43,677          21,107
  Depreciation, depletion and amortization:
    Gas processing, gathering and storage assets          49,671          98,499         171,503         211,633
    Oil and gas properties                               108,536         110,965         202,134         199,523
    Other                                                  2,811          12,635          16,348          22,195
  Impairments:
    Unproved properties                                       --         100,951              --         100,951
    Proved properties                                         --         511,347              --         511,347
  General and administrative, net                        345,759         111,151         581,736         238,254
                                                    -------------   -------------   -------------   -------------
    Total expenses                                       964,031       2,446,566       3,214,862       4,639,960
                                                    -------------   -------------   -------------   -------------

Operating loss                                          (253,593)       (549,243)       (118,123)       (437,115)

Other income (expense)
  Interest income and other                               43,551          11,289          49,492          13,089
  Gain on sale of fixed assets                         1,037,517          10,411       1,050,954          17,552
  Interest expense, net of capitalized interest           (6,450)        (42,651)        (70,326)        (87,704)
                                                    -------------   -------------   -------------   -------------
                                                       1,074,618         (20,951)      1,030,120         (57,063)
                                                    -------------   -------------   -------------   -------------
Income (loss) before income taxes                        821,025        (570,194)        911,997        (494,178)

Provision (benefit) for income taxes                     636,000         (28,000)        670,000              --
                                                    -------------   -------------   -------------   -------------

Net income (loss)                                   $    185,025    $   (542,194)   $    241,997    $   (494,178)
                                                    =============   =============   =============   =============

Net income (loss) per share                         $       0.05    $      (0.17)   $       0.07    $      (0.15)
                                                    =============   =============   =============   =============

Weighted average common shares outstanding             3,402,157       3,266,565       3,396,035       3,266,565
                                                    =============   =============   =============   =============

</TABLE>




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


                                  -3-<PAGE>
         SHEFFIELD EXPLORATION COMPANY, INC. AND SUBSIDIARIES
                 CONSOLIDATED STATEMENTS OF CASH FLOW
                              (Unaudited)



<TABLE>
<CAPTION>
                                                               Six Months Ended
                                                                 December 31,    
                                                         ------------------------------
                                                             1995             1995
                                                         -------------    -------------
<S>                                                     <C>              <C>
Cash flows from operating activities:
Net income (loss)                                        $    241,997     $   (494,178)
Adjustments to reconcile net income (loss) to
  net cash provided by operating activities:
    Depletion, depreciation and amortization                  389,985          433,351
    Deferred income taxes                                     670,000               --
    Impairment expense                                             --          612,298
    (Gain) on asset sales                                  (1,050,954)          (5,628)
    Cost of storage gas sales (purchases)                     238,624         (110,600)
    Stock as compensation                                      50,000               --
    Other                                                      12,330            8,631
    Changes in current assets and liabilities:
        Receivables                                            23,230          316,559
        Payables                                              (13,246)         (73,649)
        Taxes payable                                         (34,628)          24,911
        Other current assets                                    8,278           68,611
        Other assets                                           (3,972)          45,227
                                                         -------------    -------------
Net cash provided by operating activities                     531,644          825,533

Cash flows from investing activities:
    Proceeds from asset sales                               5,271,896            8,500
    Additions to properties:
        Producing properties                                 (123,304)        (190,637)
        Gas plant, gathering and storage systems             (130,836)        (372,668)
        Unproved properties                                   (54,694)         (97,406)
        Other                                                 (25,910)        (132,998)
    Additions to assets held for sale                        (166,104)              --
    Gas in storage                                                 --         (266,000)
    Deposits                                                  (12,783)         217,000
                                                         -------------    -------------
Net cash provided by (used in) investing activities         4,758,265         (834,209)

Cash flows from financing activities:
    Loan proceeds                                                  --          173,715
    Payment of loan principal                              (2,449,250)              --
    Proceeds from stock issuance                                3,000               --
    Purchase of common stock                                   (1,992)              --
                                                         -------------    -------------
Net cash (used in) provided by financing activities        (2,448,242)         173,715
                                                         -------------    -------------

Net increase in cash and equivalents                        2,841,667          165,039
Cash and equivalents at beginning of period                    43,594          360,124
                                                         -------------    -------------

Cash and equivalents at end of period                    $  2,885,261     $    525,163
                                                         =============    =============

</TABLE>



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


                                  -4-<PAGE>
                              SIGNATURES


Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this amendment to be signed on its
behalf by the undersigned thereunto duly authorized.



                              SHEFFIELD EXPLORATION COMPANY, INC.



Date:  February 14, 1996      By: David L. Milanesi
                                 ------------------------------------
                              David L. Milanesi
                              On behalf of registrant as Treasurer;
                              Principal Financial Officer



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