<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            September 30, 1997
                              --------------------------------------------

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 November 13,  1997  was
91,300,000.



<PAGE>PAGE 2
                       PART I - FINANCIAL INFORMATION

ITEM 1.  FINANCIAL STATEMENTS.

               SOUTHERN CALIFORNIA GAS COMPANY AND SUBSIDIARY
                 CONDENSED STATEMENT OF CONSOLIDATED INCOME
                           (Millions of Dollars)
                               (Unaudited)

                                 Three Months Ended        Nine Months Ended
                                    September 30             September 30
                                --------------------    ---------------------
                                   1997      1996          1997        1996
                                  ------    ------       ------      ------

Operating Revenues                 $607      $575        $1,920      $1,692
                                 ------    ------        ------      ------
Operating Expenses:
  Cost of gas distributed           235       200           752         594
  Operation and maintenance         172       175           524         522
  Depreciation                       63        64           188         187
  Income taxes                       43        41           140         112
  Other taxes and franchise
   payments                          22        22            71          71
                                 ------    ------        ------      ------
     Total                          535       502         1,675       1,486
                                 ------    ------        ------      ------
Net Operating Revenue                72        73           245         206
                                 ------    ------        ------      ------
Other Income and (Deductions)         6         1             6           1

Interest Charges and (Credits):
  Interest on long-term debt         20        20            61          59
  Other interest                      3         3             4           8
  Allowance for borrowed funds
   used during construction           0        (1)           (1)         (2)
                                 ------    ------        ------      ------
     Total                           23        22            64          65
                                 ------    ------        ------      ------
Net Income                           55        52           187         142
Dividends on Preferred Stock          1         1             5           6
                                 ------    ------        ------      ------
Net Income Applicable to
 Common Stock                     $  54     $  51         $ 182       $ 136
                                 ======    ======        ======      ======

See Notes to Condensed Consolidated Financial Statements.

<PAGE>PAGE 3


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

                                             September 30     December 31
                                                 1997             1996
                                             ------------     -----------

Utility Plant                                    $5,998         $5,963
  Less accumulated depreciation                   2,907          2,796
                                               ---------      ----------
      Utility plant - net                         3,091          3,167
                                               ---------      ----------

Current Assets:
  Cash and cash equivalents                          27             14
  Accounts and notes receivable (less
    allowance for doubtful receivables of
    $17 in 1997 and $16 in 1996)                    272            413
  Regulatory accounts receivable                    434            296
  Deferred income taxes                              19             22
  Gas in storage                                     54             28
  Materials and supplies                             11             13
  Prepaid expenses                                   14             14
  Income Taxes Receivable                             0             11
                                               ---------      ----------
        Total current assets                        831             811
                                               ---------      ----------
Regulatory Assets                                   276             376
                                               ---------      ----------
        Total                                  $  4,198       $   4,354
                                               =========      ==========









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)
                               (Unaudited)

                                              September 30       December 31
                                                   1997             1996
                                              ------------       -----------
Capitalization:
  Common equity:
      Common stock                             $     835          $    835
      Retained earnings                              559               555
                                               ----------         ----------
        Total common equity                        1,394             1,390
  Preferred stock                                     97                97
  Long-term debt                                     866             1,090
                                               ----------         ----------
         Total capitalization                      2,357             2,577
                                               ----------         ----------

Current Liabilities:
  Short-term debt                                    281               262
  Accounts payable                                   416               474
  Accounts payable-affiliates                         29                44
  Accrued taxes and franchise payments                29                28
  Accrued Income taxes payable                         4                 0
  Long-term debt due within one year                 271               147
  Accrued interest                                    32                41
  Other accrued liabilities                           60                63
                                               ----------         ----------
        Total current liabilities                  1,122             1,059
                                               ----------         ----------

Deferred Credits:
  Customer advances for construction                  37                42
  Deferred income taxes                              422               405
  Deferred investment tax credits                     62                64
  Other deferred credits                             198               207
                                               ----------         ----------
        Total deferred credits                       719               718
                                               ----------         ----------
        Total                                  $   4,198          $  4,354
                                               ==========         ==========

See Notes to Condensed Consolidated Financial Statements.






<PAGE>PAGE 5

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

                                                       Nine Months Ended
                                                         September 30
                                                      -------------------
                                                       1997          1996
                                                      -----         -----
Cash Flows From Operating Activities:
  Net income                                            $ 187       $ 142
  Adjustments to reconcile net income to net
    cash provided by operating activities:
      Depreciation                                        188         187
      Deferred income taxes                                17           9
      Other                                               (18)        (28)
  Net change in other working capital
    components                                             (7)        283
                                                        -----       -----
      Net cash provided by operating
        activities                                        367         593
                                                        -----       -----
Cash Flows from Investing Activities:
  Expenditures for utility plant                         (110)       (124)
  Decrease (increase) in other assets                      21          (9)
                                                        -----       -----
      Net cash used in investing activities               (89)       (133)
                                                        -----       -----
Cash Flows from Financing Activities:
  Redemption of preferred stock                                      (100)
  Decrease in long-term debt                             (100)       (133)
  Increase(decrease) in short-term debt                    18         (41)
  Dividends paid                                         (183)       (195)
                                                        -----       -----
      Net cash used in financing
        activities                                       (265)       (469)
                                                        -----       -----
Increase (Decrease) in Cash and Cash
  Equivalents                                              13          (9)
Cash and Cash Equivalents, January 1                       14          13
                                                        -----       -----
Cash and Cash Equivalents, September 30                 $  27       $   4
                                                        =====       =====
Supplemental Disclosure of Cash Flow Information:
  Cash paid (received) during the period:
      Interest (net of amount capitalized)              $  60       $  62
                                                        =====       =====
      Income Taxes                                      $ 113       $ 127
                                                        =====       =====
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 (PE), the parent company of Southern
California  Gas  Company  (SoCalGas or the Company),  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.  Shareholder  votes
in  favor of the combination totaled 79% of the outstanding shares of PE  and
76%  for  Enova  (99%  and  96%  of  total  votes  cast  for  PE  and  Enova,
respectively).  Completion of the combination remains subject to approval  by
regulatory and governmental agencies.

As  a  result of the combination, PE and Enova will become subsidiaries of  a
new  holding  company  and  their  common  shareholders  will  become  common
shareholders  of  the  new  holding company.  PE's common  shareholders  will
receive  1.5038 shares of the new holding company's common stock for each  of
their  shares of PE 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 PE,  Southern  California  Gas
Company (SoCalGas or the Company), and SDG&E will remain outstanding.

The  merger  is  subject to approval by certain governmental  and  regulatory
agencies  including  the  California Public Utility  Commission  (CPUC),  the
Federal  Energy  Regulatory Commission (FERC) (See FERC  update  below),  the
Securities  and Exchange Commission, the Nuclear Regulatory Commission  (NRC)
(See  NRC  update  below),  and the Department  of  Justice.   All  remaining
regulatory approvals and the commencement of combined operations are expected
by the summer of 1998.

On  June  25,  1997,  the FERC conditionally approved the  proposed  business
combination subject to the filing of appropriate standards of conduct and the
adoption  by  the CPUC of satisfactory rules primarily relating to  affiliate
transactions.

In October, the NRC approved the merger subject to two conditions relating to
monitoring  and oversight. The NRC oversees SDG&E's license to  own  the  San
Onofre Nuclear Generating Station of which SDG&E owns 20%.

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 Company's Annual Report on Form 10-K for  the
year ended December 31, 1996 for additional information.


<PAGE>PAGE 7


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, SoCalGas defers revenue related to  costs  which
are expected to be incurred 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.

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.

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


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 Quarterly Report on  Form
10-Q and Management's Discussion and Analysis contained in the Company's 1996
Annual  Report  to  Shareholders and incorporated into the  Company's  Annual
Report on Form 10-K for the year ended December 31, 1996.


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.

The  analyses employed to develop these statements are necessarily based upon
various assumptions involving judgments with respect to the future including,
among  others, national, regional and local economic, competitive conditions,
regulatory  and  business  trends and decisions, technological  developments,
inflation  rates, weather conditions, and other uncertainties, all  of  which
are  difficult  to  predict  and many of which  are  beyond  the  control  of
SoCalGas.  Accordingly, while the Company believes that the assumptions  upon
which  the forward-looking statements are based, are reasonable for  purposes
of  making these statements, there can be no assurance that these assumptions
will approximate actual experience or that the expectations set forth in the

<PAGE>PAGE 8


forward-looking statements derived from these  assumptions will be realized.


RESULTS OF OPERATIONS

Net  income  for  the third quarter of 1997 was $54 million compared  to  $51
million  for  the same period in 1996. Net income for the nine  months  ended
September  30, 1997 was $182 million compared to $136 million  for  the  same
period  in  1996.  The increase in the third quarter of 1997 from  the  third
quarter  of  1996 is primarily due to increased throughput and  revenue  from
Utility  Electric Generation (UEG) customers as a result of increased  demand
for  electricity, and an increase in the common equity component of SoCalGas'
capital  structure  to 48% from 47.4%.  The increase in net  income  for  the
quarter was partially offset by the two-month impact of the net reduction  in
annual  base margin of $160 million effective August 1, 1997, resulting  from
SoCalGas'  Performance Based Regulation (PBR) decision (See discussion  below
under Regulatory Activity Influencing Future Performance).

The  increase in net income for the nine months ended September 30,  1997  as
compared  to  the  same period of 1996, is primarily due to  a  reduction  to
earnings  during the second quarter of 1996 due to a one-time non-cash  $26.6
million  charge, after-tax related to the Comprehensive Settlement of  excess
gas  costs  and  other  regulatory matters which did not affect  consolidated
Pacific  Enterprises results. The reduction in net income for the period  was
partially offset by favorable litigation settlements totaling $13.6  million,
after-tax.   Also  contributing to the increase in net income  was  increased
throughput  to UEG customers as a result of increased demand for electricity.
The  remaining increase in net income for the nine months ended September 30,
1997  is  due  to  savings  resulting from lower  operating  and  maintenance
expenses  than amounts authorized in rates until the PBR decision  went  into
effect  on August 1, 1997, and an increase in the common equity component  of
SoCalGas' capital structure to 48% from 47.4%.



















<PAGE>PAGE 9


The  table below compares SoCalGas' throughput and revenues by customer class
for the three months ended September 30, 1997 and 1996.

($ in Millions,      Gas Sales         Trans. & Exchg.          Total
vol. in billion
cubic feet)    Throughput  Revenue  Throughput  Revenue  Throughput  Revenue
1997:
Residential         36       $294         1       $  3        37        $297
Comm'l/Ind'l.       16         89        78         67        94         156
Utility Elec.                            72         33        72          33
Wholesale                                34         17        34          17
Exchange                                  2          0         2           0
               -------------------------------------------------------------
Total in Rates     52        $383       187       $120       239         503
Balancing Accts.
  & Other                                                                104
                                                                       -----
Total Operating Rev.                                                    $607*
                                                                       =====


1996:
Residential         35       $266         1       $  3        36        $269
Comm'l/Ind'l.       17         93        73         62        90         155
Utility Elec.                            64         30        64          30
Wholesale                                32         16        32          16
Exchange                                  2                    2
               -------------------------------------------------------------
Total in Rates      52       $359       172       $111       224        $470

Balancing Accts.
 & Other                                                                 105
                                                                      ------
Total Operating Rev.                                                    $575*
                                                                      ======

* Includes affiliate transactions.



SoCalGas' operating revenue for the three and nine months ended September 30,
1997,  increased $32 million and $228 million, respectively when compared  to
the  same  periods  in  1996. The increase in operating  revenue  is  due  to
increased throughput to UEG customers due to increased demand for electricity
and  higher  gas costs to core customers.  SoCalGas also recorded a  non-cash
charge recorded in the second quarter of 1996 of $47.7 million, $26.6 million
after-tax,  related  to a previous accounting estimate  for  a  Comprehensive
Settlement  between  the Gas Company and the CPUC in 1993.  The  increase  is
partially  offset  by  $14.3 million ($8.0 million after-tax),  of  favorable
litigation settlements relating to environmental insurance claims received in

<PAGE>PAGE 10


1996.  Operating revenues also increased due to an increase in the authorized
common  equity  component of SoCalGas' capital structure  on  which  SoCalGas
earns a return.

Cost  of  gas  distributed was $235 million and $200 million  for  the  three
months  ended  September  30, 1997 and 1996 respectively.   The  increase  is
primarily  due to an increase in the average cost of gas purchased  to  $2.52
per thousand cubic feet (MCF) for the third quarter of 1997 compared to $1.78
per  MCF  for the third quarter of 1996.  For the nine months ended September
30,  1997  and  1996, the cost of gas distributed was $752 million  and  $594
million  respectively. The increase is primarily due to an  increase  in  the
average cost of gas purchased to $2.46 per thousand cubic feet (MCF) for  the
nine  months ended September 30, 1997 compared to $1.56 per MCF for the  same
period  in  1996. Under the current regulatory framework and under PBR  which
takes effect on January 1, 1998, 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 and nine months ended
September   30,  1997,  decreased  $3  million  and  increased  $2   million,
respectively,  compared to the same periods in 1996.  The  decrease  for  the
three  month  period ended September 30, 1997, is primarily due to  SoCalGas'
continued  efforts to reduce costs.  The increase for the nine  months  ended
September  30,  1997 is primarily due to benefits received in  1996  of  $9.5
million,  pre-tax, representing a non-recurring litigation  settlement  which
reduced  operating  and maintenance expenses and higher expenses  related  to
increased  storage  activities  in 1997.  These  items  contributing  to  the
increase  from  1996  to  1997 were partially offset by  SoCalGas'  continued
efforts to reduce costs in 1997.

RECENT CPUC REGULATORY ACTIVITY

The  PE  merger  with  Enova Corporation is subject to  approval  by  certain
governmental and regulatory agencies.  All remaining regulatory approvals and
the  commencement of combined operations are expected by the summer of  1998.
Earnings of the combined company could be negatively impacted in 1998, and to
a  lesser extent in subsequent years by delays in achieving cost savings from
the combination caused by the later-than-expected effective combination date,
the  possibility  that  the CPUC might reduce the period  or  percentage  for
shareholder  participation  in  the related cost  savings,  and  slower-than-
anticipated growth in revenues from Energy Pacific.

On  October  31, 1997, the CPUC issued the Administrative Law  Judge's  draft
decision  on  guidelines for transactions between utilities  and  their  non-
utility  affiliates.   If  the  final  decision  of  the  CPUC  were  to   be
substantially the same as the draft decision, it would limit the  ability  of
SoCalGas and other California energy utilities to operate as integrated units
with  their  non-utility affiliates by, among other things,  restricting  the
sharing  of information and facilities, which would reduce opportunities  for
synergies  and  impact  marketing  opportunities  for  the  affiliates.    In
addition, an alternate draft decision sponsored by two of the CPUC's five

<PAGE> Page 11


commissioners would prohibit affiliates of San Diego Gas & Electric and those
of other electric utilities from providing direct access electricity services
within  their affiliated electric utility's service territory for two  years,
and contains additional restrictions.


REGULATORY ACTIVITY INFLUENCING FUTURE PERFORMANCE

Future  regulatory and gas industry restructuring, increased  competitiveness
in the industry and the electric industry restructuring will affect SoCalGas'
future performance.  On July 16, 1997, the CPUC issued its final decision  on
SoCalGas'  Performance Based Regulation (PBR) application.  Key  elements  of
the  PBR decision include a $160 million net reduction in annual 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.  These elements become  effective
on  January  1,  1998.  The net reduction in SoCalGas' base  margin  of  $160
million  became effective August 1, 1997.  For a detailed discussion  of  the
CPUC's  decision, please refer to the Company's Report on Form 8-K  filed  on
July 16, 1997, and second quarter 1997 Form 10-Q.

It  is  the intent of management to control operating expenses and investment
within  the amounts authorized to be collected in rates in this PBR decision.
SoCalGas  intends to make the efficiency improvements, changes in  operations
and  cost  reductions  necessary  to achieve  this  objective  and  earn  its
authorized  rate  of  return.   However, in  view  of  the  earnings  sharing
mechanism and other elements of PBR authorized by the CPUC, it will  be  more
difficult  for  SoCalGas  to  achieve the  level  of  returns  in  excess  of
authorized  returns  it has recently experienced.  Management  believes  that
under  the  new PBR regulatory framework, the Company continues to  meet  the
criteria  of  Statement of Financial Accounting Standards No. 71, "Accounting
for the Effects of Certain Types of Regulation."

For 1997, SoCalGas is authorized to earn a rate of return on common equity of
11.6 percent and a 9.49 percent return on rate base, compared to 11.6 percent
and 9.42 percent, respectively, in 1996.  The CPUC also authorized a 60 basis
point increase in SoCalGas' authorized common equity ratio to 48.0 percent in
1997  compared to 47.4 percent in 1996.  The 60 basis point increase  in  the
common equity component could potentially add $2 million to earnings in 1997.


LIQUIDITY

The  decrease in cash provided from operating activities to $367  million  in
the nine months ended September 30, 1997 from $593 million in the same period
1996  is primarily due to lower collections of regulatory accounts receivable
in 1997 compared to 1996.



<PAGE> Page 12


Capital  expenditures were $110 million for the nine months  ended  September
30,  1997.   This represents a decrease of $14 million compared to  the  same
period  1996.   The  decrease is primarily due to the  completion  of  a  New
Customer Information System in 1996.

In  the  nine  months  ended September 30, 1997, $265 million  was  used  for
financing activities.  This was primarily the result of repayment of debt and
payment of dividends.


PART II.  OTHER INFORMATION

Item 6. EXHIBITS AND REPORTS ON FORM 8-K

(b)  None




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:  November 14, 1997