<PAGE>PAGE 1
                                UNITED STATES
                     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                March 31, 1998
                              --------------------------------------------

Commission file number             1-1402
                      ----------------------------------------------------

                         SOUTHERN CALIFORNIA GAS COMPANY
              ------------------------------------------------------
              (Exact name of registrant as specified in its charter)

                  California                           95-1240705
---------------------------------------------      -------------------
(State or other jurisdiction of incorporation       (I.R.S. Employer
               or organization)                    Identification No.)

             555 West Fifth Street, Los Angeles, California 90013-1011
             ---------------------------------------------------------
                     (Address of principal executive offices)
                                  (Zip Code)

                               (213) 244-1200
             ----------------------------------------------------
             (Registrant's telephone number, including area code)

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

Yes  X    No
    ---

The  number  of  shares  of  common stock outstanding  on  May  8,  1998  was
91,300,000.

                       PART I - FINANCIAL INFORMATION

ITEM 1.  FINANCIAL STATEMENTS.

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               SOUTHERN CALIFORNIA GAS COMPANY AND SUBSIDIARY
                 CONDENSED STATEMENT OF CONSOLIDATED INCOME
                           (Millions of Dollars)
                               (Unaudited)
                                                         Three Months Ended
                                                               March 31
                                                          ------------------
                                                            1998      1997
                                                           ------    ------

Operating Revenues                                          $664      $738
                                                            ----      ----
Operating Expenses:
  Cost of gas distributed                                    301       350
  Operation and maintenance                                  162       170
  Depreciation                                                63        63
  Income taxes                                                39        45
  Other taxes and franchise
   payments                                                   29        28
                                                            ----      ----
     Total                                                   594       656
                                                            ----      ----
Net Operating Revenue                                         70        82
                                                            ----      ----
Other Income and (Deductions):
  Regulatory  interest                                         1         2
  Allowance for equity funds use
   during construction                                         1         1
  Income taxes on non-operating
   income                                                     (1)       (1)
  Other - net                                                 (1)       (2)
                                                            ----      ----
     Total
                                                            ----      ----
Interest Charges:
  Interest on long-term debt                                  20        20
  Other interest                                               2         2
                                                            ----     -----
     Total                                                    22        22
                                                            ----     -----
Net Income                                                    48        60
Dividends on Preferred Stock                                   1         2
                                                            ----     -----
Net Income Applicable to
 Common Stock                                               $ 47      $ 58
                                                            ====      ====
See Notes to Condensed Consolidated Financial Statements.


<PAGE>PAGE 3

              SOUTHERN CALIFORNIA GAS COMPANY AND SUBSIDIARY
                   CONDENSED CONSOLIDATED BALANCE SHEET
                                   ASSETS
                           (Millions of Dollars)

                                                March 31      December 31
                                                  1998           1997
                                               ---------      -----------


Utility Plant                                     $5,995           $5,978
  Less accumulated depreciation                    2,960            2,904
                                                  ------           ------
      Utility plant - net                          3,035            3,074
                                                  ------           ------

Current Assets:
  Cash and cash equivalents                           21
  Accounts and notes receivable (less
    allowance for doubtful receivables of
    $20 in 1998 and $17 in 1997)                     437              499
  Regulatory accounts receivable                      43              355
  Deferred income taxes                               36               11
  Gas in storage                                       3               25
  Materials and supplies                              13               13
  Prepaid expenses                                     4               14
                                                  ------           ------
        Total current assets                         557              917
                                                  ------           ------
Regulatory Assets                                    227              214
                                                  ------           ------
        Total                                     $3,819           $4,205
                                                  ======           ======









See Notes to Condensed Consolidated Financial Statements.










<PAGE>PAGE 4

               SOUTHERN CALIFORNIA GAS COMPANY AND SUBSIDIARY
                    CONDENSED CONSOLIDATED BALANCE SHEET
                        CAPITALIZATION AND LIABILITIES
                           (Millions of Dollars)

                                                 March 31      December 31
                                                   1998            1997
                                              ------------     -----------

Capitalization:
  Common equity:
      Common stock                               $  835            $  835
      Retained earnings                             527               535
                                                 ------            ------
        Total common equity                       1,362             1,370
  Preferred stock                                    21                97
  Long-term debt                                  1,041               968
                                                 ------            ------
         Total capitalization                     2,424             2,435
                                                 ------            ------

Current Liabilities:
  Short-term debt                                    80               351
  Accounts payable                                  381               387
  Accounts payable-affiliates                        30                30
  Accrued Income taxes payable                       64                39
  Other Taxes Payable                                45                30
  Long-term debt due within one year                                  147
  Accrued interest                                   50                52
  Other accrued liabilities                          62                78
                                                 ------            ------
        Total current liabilities                   712             1,114
                                                 ------            ------

Deferred Credits:
  Customer advances for construction                 32                34
  Deferred income taxes                             380               373
  Deferred investment tax credits                    60                61
  Other deferred credits                            211               188
                                                 ------            ------
        Total deferred credits                      683               656
                                                 ------            ------
        Total                                    $3,819            $4,205
                                                 ======            ======


See Notes to Condensed Consolidated Financial Statements.






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               SOUTHERN CALIFORNIA GAS COMPANY AND SUBSIDIARY
               CONDENSED STATEMENT OF CONSOLIDATED CASH FLOWS
                           (Millions of Dollars)

                                                       Three Months Ended
                                                           March 31
                                                       ------------------
                                                       1998         1997
                                                      -----        -----
Cash Flows From Operating Activities:
  Net income                                           $ 48         $ 60
  Adjustments to reconcile net income to
   net cash provided by operating activities:
   Depreciation                                          63           62
   Deferred income taxes                                  7            6
   Other                                                 (7)          (3)
  Net change in other working capital
   components                                           421          184
                                                       ----         ----
      Net cash provided by operating
       activities                                       532          309
                                                       ----         ----
Cash Flows from Investing Activities:
  Expenditures for utility plant                        (22)         (30)
  Increase in other assets                              (13)
                                                       ----         ----
      Net cash used in investing activities             (35)         (30)
                                                       ----         ----

Cash Flows from Financing Activities:
  Redemption of preferred stock                         (75)
  Increase in long-term debt                             75
  Decrease in long-term debt                           (149)         (20)
  Decrease in short-term debt                          (271)        (172)
  Dividends paid                                        (56)         (57)
                                                       ----         ----
     Net cash used in financing
      activities                                       (476)        (249)
                                                       ----         ----

Increase in Cash and Cash Equivalents                    21           30
Cash and Cash Equivalents, January 1                                  14
                                                       ----         ----
Cash and Cash Equivalents, March 31                    $ 21         $ 44
                                                       ====         ====
Supplemental Disclosure of Cash Flow Information:
  Cash paid during the period:
      Interest (net of amount capitalized)             $ 24         $ 19
                                                       ====         ====
      Income Taxes                                     $ 33         $ 13
                                                       ====         ====
See Notes to Condensed Consolidated Financial Statements.
<PAGE>PAGE 6

                                      
               SOUTHERN CALIFORNIA GAS COMPANY AND SUBSIDIARY
      NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)


1.   MERGER AGREEMENT WITH ENOVA CORPORATION

On  October  14,  1996  Pacific Enterprises (Parent)  and  Enova  Corporation
(Enova), the parent company of San Diego Gas & Electric (SDG&E), announced an
agreement,  which  both  Boards of Directors unanimously  approved,  for  the
combination of the two companies, tax-free, in a strategic merger  of  equals
to  be accounted for as a pooling of interests.  The combination was approved
by the shareholders of both companies on March 11, 1997.

As a result of the combination, the Parent and Enova will become subsidiaries
of  a new holding company, named Sempra Energy, and their common shareholders
will  become  shareholders of the new holding company.  Pacific  Enterprises'
common  shareholders  will receive 1.5038 shares of the new  holding  company
common stock for each of their shares of the Parent's common stock, and Enova
common  shareholders  will  receive one share of the  new  holding  company's
common stock for each of their shares of Enova common stock.  Preferred stock
of  the  Parent,  Southern California Gas Company (Company)  and  SDG&E  will
remain outstanding.

The new holding company will be incorporated in California and will be exempt
from the Public Utility Holding Company Act as an intrastate holding company.

On March 26, 1998, the California Public Utilities Commission (CPUC) approved
the  merger  of the Parent and Enova.  The decision determined  that  savings
from   synergies  and  cost  avoidances  be  shared  between  customers   and
shareholders   over  a  five-year  period,  for  a  total  net   savings   of
approximately $340 million.

In  its  decision,  the commission found that the merger  satisfied  the  key
criteria:   that it will benefit the state and local economies and customers,
maintain  or improve the financial condition of the utilities and quality  of
management, and be fair to employees and shareholders.

Additional elements of the CPUC decision include:
     
     - Divestiture  by  SDG&E  of its gas-fired generation  units,  which  is
       already  in  progress,  and  sale by the Company  of  its  options  to
       purchase  those  portions of the Kern River and  Mojave  Pipeline  gas
       transmission  facilities  within  California  by  September  1,  1998.
       These options are not exercisable until the year 2012.

     - Acknowledgment that the merger will have no significant effect on  the
       environment under the California Environmental Quality Act.

     - Allowance of $148 million in costs to achieve the merger, rather than
       the $202 million originally sought by the companies.  The difference


<PAGE>PAGE 7

includes  transaction  costs for investment bankers, employee  retention  and
communications.

Final  regulatory  approvals still must be obtained from the  Federal  Energy
Regulatory Commission (FERC), which already conditionally approved the merger
on June 25, 1997, and the Securities and Exchange Commission.

Expenses  incurred  in  connection with the merger  are  $1  million  and  $3
million,  after-tax, for the three month period ended   March  31,  1998  and
1997,  respectively.   These costs consist primarily of  investment  banking,
legal, regulatory and consulting fees.


2. SUMMARY OF ACCOUNTING POLICIES

The  accompanying  condensed  consolidated  financial  statements  have  been
prepared in accordance with the interim period reporting requirements of Form
10-Q.   Reference  is made to the Form 10-K for the year ended  December  31,
1997 for additional information.

Results  of operations for interim periods are not necessarily indicative  of
results  for  the  entire  year.  In order to match revenues  and  costs  for
interim  reporting  purposes, the Company defers revenues  related  to  costs
which  it  expects to incur later in the year.  In the opinion of management,
the accompanying statements reflect all adjustments which are necessary for a
fair  presentation.   These  adjustments are of a  normal  recurring  nature.
Certain changes in account classification have been made in the prior  years'
consolidated financial statements to conform to the 1997 financial  statement
presentation.

In  conformity  with generally accepted accounting principles, the  Company's
accounting   policies  reflect  the  financial  effects  of  rate  regulation
authorized by the CPUC.  The Company applies the provisions of the  Statement
of  Financial  Accounting Standards No. 71, "Accounting for  the  Effects  of
Certain  Types of Regulation" (SFAS 71).  This statement requires  cost-based
rate  regulated entities that meet certain criteria to reflect the authorized
recovery  of costs due to regulatory decisions in their financial statements.
The  Company continues to meet the criteria of SFAS 71 in accounting for  its
regulated operations.

Income  taxes are calculated in accordance with SFAS 109.  Income tax expense
recognized in a period is the amount of tax currently payable plus  or  minus
the  change  in the aggregate deferred tax assets and liabilities.   Deferred
taxes  are  recorded to recognize the future tax consequences of events  that
have  been  recognized  in  the financial statements  or  tax  returns.   For
additional  information regarding income taxes, see Footnote 4  of  Notes  to
Consolidated Financial Statements in the Company's 1997 Form 10-K filing.

Estimated  liabilities for environmental remediation are  recorded  when  the
amounts are probable and estimable.  Amounts authorized to be recovered in


<PAGE>PAGE 8


rates   are   recorded   as  regulatory  assets.   Possible   recoveries   of
environmental  remediation liabilities from third parties  are  not  deducted
from  the  liability shown on the balance sheet.  For additional  information
regarding  commitments  and  contingencies,  see  Footnote  5  of  Notes   to
Consolidated Financial Statements in the Company's 1997 Form 10-K filing.


3.   COMPREHENSIVE INCOME

In  Conformity with generally accepted accounting principles, the Company has
adopted  Statement  of  Financial Accounting Standard's  No.  130  "Reporting
Comprehensive Income."  Comprehensive income for the period ended  March  31,
1998 was $48 million.


Item 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF  FINANCIAL CONDITION AND
RESULTS OF OPERATIONS

The  following  discussion should be read in conjunction with  the  Condensed
Consolidated   Financial  Statements  contained  in  this   Form   10-Q   and
Management's  Discussion and Analysis of Financial Condition and  Results  of
Operations contained in the Company's 1997 Form 10-K.


INFORMATION REGARDING FORWARD-LOOKING COMMENTS

The following discussion includes forward-looking statements with respect  to
matters   inherently  involving  various  risks  and  uncertainties.    These
statements are identified by the words "estimates", "expects", "anticipates",
"plans",   "believes"   and  similar  expressions.   These   statements   are
necessarily  based upon various assumptions involving judgments with  respect
to the future including, among others, national, regional and local economic,
competitive and regulatory conditions, technological developments,  inflation
rates,  interest  rates,  energy markets, weather  conditions,  business  and
regulatory decisions, and other uncertainties, all of which are difficult  to
predict   and  many  of  which  are  beyond  the  control  of  the   Company.
Accordingly, while the Company believes that the assumptions are  reasonable,
there  can  be no assurance that they will approximate actual experience,  or
that the expectations will be realized.


CAPITAL RESOURCES AND LIQUIDITY

Cash flows from operations were $532 million for the three months ended March
31,  1998.   This  represents an increase of $223  million  from  1997.   The
increase  is  primarily  due to actual gas costs incurred  being  lower  than
amounts   collected   in  rates  resulting  in  a  decrease   in   previously
undercollected regulatory balancing accounts and an increase in  gas  volumes
sold.


<PAGE>PAGE 9


Capital  expenditures were $22 million for the three months  ended  March  31
1998.  Capital expenditures for utility plant are expected to be $180 million
in 1998 and will be financed primarily by internally-generated funds.

Cash  used  for  financing activities was $476 million for the  three  months
ended  March 31, 1998.  This represents an increase of $227 million from  the
results  of  1997.  The increase was primarily due to greater  long-term  and
short-term  debt  repayments  and  the repurchase  of  preferred  stock.   On
February  2,  1998,  the Company redeemed all outstanding  shares  of  7-3/4%
Series  Preferred  Stock at a total price per share of  $25.09.   This  total
price  per  share consisted of a redemption price of $25 and $0.09 of  unpaid
dividends accruing to the date of redemption.  The total cost to the  Company
was approximately $75.3 million.


RESULTS OF OPERATIONS

Net  income  for  the first quarter of 1998 was $48 million compared  to  $60
million for the same period in 1997.  The decrease was primarily due  to  the
lower  base  margin  established in the Performance  Based  Regulation  (PBR)
decision  which became effective on August 1, 1997 partially offset by  lower
operating  and  maintenance expenses than amounts authorized  in  rates  (See
"Regulatory Activity Influencing Future Performance").



























<PAGE>PAGE 10

The  table below compares SoCalGas' throughput and revenues by customer class
for the three months ended March 31, 1998 and 1997.

($ in Millions,      Gas Sales         Trans. & Exchg.          Total
vol. in billion
cubic feet)    Throughput  Revenue  Throughput  Revenue  Throughput  Revenue
1998:
Residential          96      $710          1       $ 4        97      $714
Comm'l/Ind'l.        24       153         81        66       105       219
Utility Elec.                             23        11        23        11
Wholesale                                 41        13        41        13
Exchange                                   2                   2
               -------------------------------------------------------------
Total in Rates      120       863        148        94       268       957
Bal. & Other                                                          (293)
                                                                      ----
Total Operating Revenue                                               $664*
                                                                      ====
1997:
Residential          84      $566          1       $ 3        85      $569
Comm'l/Ind'l.        25       175         76        65       101       240
Utility Elec.                             21        11        21        11
Wholesale                                 38        14        38        14
               -----------------------------------------------------------
Total in Rates      109      $741        136       $93       245       834

Bal. & Other                                                           (96)
                                                                      ----
Total Operating Revenue                                               $738*
                                                                      ====

* Includes inter-segment transactions


Operating revenue decreased $74 million for the three months ended March  31,
1998  due to the margin reduction established in PBR and lower cost  of  gas.
Total throughput increased 23 Bcf primarily due to colder weather during  the
first quarter of 1998 compared to 1997.

Cost  of  gas  distributed was $301 million and $350 million  for  the  three
months  ended  March  31,  1998  and 1997,  respectively.   The  decrease  is
primarily due to a decrease in the average cost of gas purchased to $2.06 per
thousand  cubic feet (MCF) for the first quarter of 1998, compared  to  $2.90
per  MCF  for  the  first  quarter of 1997.   Under  the  current  regulatory
framework, changes in revenue resulting from changes in volumes in  the  core
market and cost of gas do not affect net income.

Operating and maintenance expenses for the three months ended March 31,  1998
were $8 million lower compared to the same period in 1997, primarily due to a
continuing emphasis on reducing operating costs to remain competitive in  the
energy market place.

<PAGE>PAGE 11


Recent CPUC Regulatory Activity

Under  the  Gas Cost Incentive Mechanism (GCIM), the Company can recover  all
costs  within  a "tolerance band" above the benchmark price and  refunds  all
savings  within a "tolerance band" below the benchmark price.   The  cost  of
purchases or savings outside the "tolerance band" are shared equally  between
customers and shareholders.

The Company's purchased gas costs were below the specified GCIM benchmark for
the annual period ended March 1997.  In June 1997, the Company filed a motion
with  the  CPUC  requesting a reward for shareholders under  the  procurement
portion of the incentive mechanism.  The amount will be recognized in  income
when a final CPUC decision (expected mid-1998) is issued.

The  CPUC  has approved the use of gas futures for managing risks  associated
with  the  GCIM.  The Company enters into gas futures contracts in  the  open
market on a limited basis to mitigate risk and better manage gas costs.


Regulatory Activity Influencing Future Performance

On  July  16,  1997,  the  CPUC issued its final decision  on  the  Company's
application for PBR, which was filed with the CPUC in 1995.

PBR  replaces the general rate case and certain other regulatory  proceedings
through  December  31,  2002.   Under PBR,  regulators  allow  future  income
potential  to  be  tied  to achieving or exceeding specific  performance  and
productivity  measures, rather than relying solely on expanding utility  rate
base   in  a  market  where  the  Company  already  has  a  highly  developed
infrastructure.  Key elements of the PBR include a reduction in  base  rates,
an indexing mechanism that limits future rate increases to the inflation rate
less  a  productivity factor, a sharing mechanism with customers if  earnings
exceed  the  authorized  rate  of return on ratebase,  and  rate  refunds  to
customers if service quality deteriorates.

The  Company implemented the base margin reduction effective August 1,  1997,
and  all  other  PBR elements on January 1, 1998.  The CPUC intends  the  PBR
decision  to  be in effect for five years; however, the CPUC decision  allows
for  the possibility that changes to the PBR mechanism could be adopted in  a
decision  to  be  issued  in  the  Company's 1998  Biennial  Cost  Allocation
Proceeding (BCAP) application which is anticipated to become effective August
1, 1999.

Under  PBR,  annual cost of capital proceedings are replaced by an  automatic
adjustment  mechanism  if  changes  in  certain  indices  exceed  established
tolerances.  The mechanism is triggered if actual interest rates increase  or
decrease by more than 150 basis points and are forecasted to vary by at least
150  basis  points  for the next year.  If this occurs,  there  would  be  an
automatic adjustment of rates for the change in the cost of capital according


<PAGE>PAGE 12


to  a  pre-established formula which applies a percentage of  the  change  to
various capital components.

For 1998, the Company is authorized to earn a rate of return on common equity
of 11.6 percent and a 9.49 percent return on rate base, the same as in 1997.

The  Company  has considered the effect of Statement of Financial  Accounting
Standard No. 121 "Accounting for the Impairment of Long-Lived Assets and Long
-Lived  Assets  to  Be  Disposed Of" on the Company's  financial  statements,
including the potential effect of electric industry restructuring.   Although
the  Company  believes that the volume of gas transported  may  be  adversely
impacted  by  electric restructuring, it is not anticipated to result  in  an
impairment  of assets as defined in SFAS 121 because the expected  discounted
future   cash   flows   from  its  investment  in  its   gas   transportation
infrastructure is greater than its carrying amount.


PART II.  OTHER INFORMATION


Item 6. EXHIBITS AND REPORTS ON FORM 8-K

(b)  Reports of Form 8-K filed during the quarter ended March 31, 1998.
   Other events - January 2, 1998.


SIGNATURE


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

SOUTHERN CALIFORNIA GAS COMPANY
-------------------------------
        (Registrant)

/s/ Ralph Todaro
-------------------------------
Ralph Todaro
Vice President and Controller
(Chief Accounting Officer and
duly authorized signatory)
Date:  May 11, 1998