UNITED STATES

                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                   FORM 10-QSB

                                QUARTERLY REPORT
                            UNDER SECTION 13 OR 15(d)
                   OF THE SECURITIES EXCHANGE ACT OF 1934 For
                    the quarterly period ended June 30, 1997

                         Commission file number 0-19766


                     THE HOME-STAKE OIL & GAS COMPANY (Exact
                name of small business issuer as specified in its
                                    charter)


              Oklahoma                                   73-0288030
   (State or other jurisdiction of                    (I.R.S. Employer
    incorporation or organization)                   Identification No.)


                         15 East 5th Street, Suite 2800
                              Tulsa, Oklahoma 74103
                    (Address of principal executive offices)


                                 (918) 583-0178
                          Registrant's telephone number


        Check whether the issuer (1) has 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 | |


        The number of shares outstanding of the Registrants's  common stock, all
of which  comprise a single class with $20 par value,  as of July 31, 1997,  the
latest practicable date, was 89,509.




                                       -1-

<PAGE>



                        THE HOME-STAKE OIL & GAS COMPANY

                                   FORM 10-QSB
                                  JUNE 30, 1997

                                TABLE OF CONTENTS

                                                                 Page
PART I - FINANCIAL INFORMATION

Item 1. Financial Statements

        Condensed Balance Sheets ..............................     4

        Condensed Statements of Income and Accumulated
        Deficit for the Six Months ended June 30, 1997.........     5

        Condensed Statements of Income and Accumulated
        Deficit for the Three Months ended June 30, 1997.......     6

        Condensed Statements of Cash Flow .....................     7

        Notes to Condensed Financial Statements ...............     8

Item 2. Management's Discussion and Analysis ..................     9

PART II - OTHER INFORMATION

Item 1. Legal Proceedings .....................................    12

Item 2. Changes in Securities .................................    12

Item 3. Defaults upon Senior Securities .......................    12

Item 4. Submission of Matters to a Vote of Security Holders ...    12

Item 5. Other Information .....................................    12

Item 6. Exhibits and Reports on Form 8-K ......................    12

SIGNATURES ....................................................    13

                                       -2-

<PAGE>



                         PART I - FINANCIAL INFORMATION

                                                        -3-

<PAGE>



                        THE HOME-STAKE OIL & GAS COMPANY
                            CONDENSED BALANCE SHEETS
                                   (Unaudited)

                                     ASSETS


                                                       June 30,     December 31,
                                                         1997           1996
                                                         ----           ----
Current assets:
  Cash.........................................     $    268,583    $   350,772
  Accounts receivable..........................          533,141      1,089,063
  Prepaid expenses.............................           76,425        133,213
                                                    ------------    -----------
     Total current assets......................          878,149      1,573,048

Investments (Note 2)...........................        2,773,028      2,733,595

Property and equipment, at cost:...............       23,653,131     24,804,033
    Less accumulated depreciation, 
       depletion and amortization..............       15,467,581     16,201,676
                                                    ------------    -----------
     Net property and equipment................        8,185,550      8,602,357

Other assets...................................           23,327         23,327
                                                    ------------    -----------
                                                    $ 11,860,054    $12,932,327
                                                    ============    ===========


                      LIABILITIES AND STOCKHOLDERS' EQUITY


Current liabilities:
  Accounts payable and accrued liabilities.....     $    320,631    $   827,272
  Payable to affiliate.........................           17,679         66,213
  Income taxes payable.........................           79,156         15,971
  Bonus payable................................           21,800         15,929
  Current note payable (Note 3)................        1,369,320      1,369,320
                                                    ------------    -----------
     Total current liabilities.................        1,808,586      2,294,705

Long-term note payable (Note 3)................        1,141,100      2,738,640

Deferred income taxes..........................          551,798        392,566

Contingencies (Note 4)

Stockholders' equity:
 Preferred stock, $1 par value -
    200,000 shares authorized; none issued
 Common stock, $20 par value -
    100,000 shares authorized and issued.......        2,000,000      2,000,000
  Additional paid-in capital...................        8,055,613      8,055,613
  Accumulated Deficit..........................         (213,026)    (1,065,180)
                                                    ------------    -----------
                                                       9,842,587      8,990,433

  Less treasury stock, at cost - 10,491 shares.        1,484,017      1,484,017
                                                    ------------    -----------
     Total stockholders' equity................        8,358,570      7,506,416
                                                    ------------    -----------
                                                    $ 11,860,054    $12,932,327
                                                    ============    ===========

                             See accompanying notes.

                                       -4-

<PAGE>



                        THE HOME-STAKE OIL & GAS COMPANY
                         CONDENSED STATEMENTS OF INCOME
                             AND ACCUMULATED DEFICIT
                     Six months ended June 30, 1997 and 1996
                                   (Unaudited)



                                                         1997           1996
                                                         ----           ----
 
Revenues:
  Oil sales....................................     $  2,230,920    $ 2,257,666
  Gas sales....................................        1,389,533      1,123,336
  Lease bonuses and rentals....................           40,826          7,463
  Interest and dividends.......................           13,800         10,038
  Gain on sales of assets......................           99,708          2,865
  Income from equity affiliates................          165,989        115,894
  Other........................................           86,877         74,227
                                                    ------------    -----------
                                                       4,027,653      3,591,489

Costs and expenses:
  Lease operating expenses.....................          773,376      1,031,725
  Production taxes.............................          300,135        322,690
  Depreciation, depletion and amortization.....          634,015        674,706
  Dry hole costs...............................          275,114         46,118
  Condemned and abandoned properties...........           34,671         (5,075)
  General and administrative expense...........          536,840        466,755
  Interest expense.............................          145,918        238,284
  Property, franchise and other taxes..........           71,203         57,237
                                                    ------------    -----------
                                                       2,771,272      2,832,440

Income before provision for income taxes.......        1,256,381        759,049

Provision for income taxes:
  Current......................................          155,486         54,700
  Deferred.....................................          159,232        194,688
                                                    ------------    -----------
                                                         314,718        249,388
                                                    ------------    -----------

Net income.....................................          941,663        509,661

Accumulated deficit at beginning of period.....       (1,065,180)    (2,279,081)

Cash dividends ($1.00 per share - 1997,
     $1.50 per share - 1996)...................          (89,509)      (134,264)
                                                    ------------    -----------

Accumulated deficit at end of period...........     $   (213,026)   $(1,903,684)
                                                    ============    ===========

Weighted average number of common 
     shares outstanding........................           89,509         89,509
                                                          ======         ======

Net income per share...........................           $10.52         $ 5.69
                                                          ======         ======

                             See accompanying notes.

                                       -5-

<PAGE>



                        THE HOME-STAKE OIL & GAS COMPANY
                         CONDENSED STATEMENTS OF INCOME
                             AND ACCUMULATED DEFICIT
                    Three months ended June 30, 1997 and 1996
                                   (Unaudited)



                                                        1997            1996
                                                        ----            ----

Revenues:
  Oil sales....................................     $   965,340     $ 1,218,315
  Gas sales....................................         518,400         580,255
  Lease bonuses and rentals....................          26,456           4,660
  Interest and dividends.......................           6,954           4,220
  Gain on sales of assets......................              --           2,865
  Income from equity affiliates................          46,866          69,716
  Other........................................          38,320          36,183
                                                    -----------     -----------
                                                      1,602,336       1,916,214

Costs and expenses:
  Lease operating expenses.....................         325,195         529,256
  Production taxes.............................         117,039         174,487
  Depreciation, depletion and amortization.....         317,007         337,353
  Dry hole costs...............................         150,031          43,787
  Condemned and abandoned properties...........          16,379           1,875
  General and administrative expense...........         279,474         219,137
  Interest expense.............................          63,933         115,800
  Property, franchise and other taxes..........          39,951          30,752
                                                    -----------     -----------
                                                      1,309,009       1,452,447

Income before provision for income taxes.......         293,327         463,767

Provision for income taxes:
  Current......................................          69,050          31,250
  Deferred.....................................         (61,052)        169,490
                                                    -----------     -----------
                                                          7,998         200,740
                                                    -----------     -----------

Net income.....................................         285,329         263,027

Accumulated deficit at beginning of period.....        (453,600)     (2,099,579)

Cash dividends ($ .50 per share - 1997, 
     $ .75 per share - 1996)...................         (44,755)        (67,132)
                                                    -----------     -----------

Accumulated deficit at end of period...........     $  (213,026)    $(1,903,684)
                                                    ===========     ===========

Weighted average number of common 
     shares outstanding........................          89,509          89,509
                                                         ======          ======

Net income per share...........................          $ 3.19          $ 2.94
                                                         ======          ======

                             See accompanying notes.

                                       -6-

<PAGE>



                        THE HOME-STAKE OIL & GAS COMPANY
                       CONDENSED STATEMENTS OF CASH FLOWS
                 For the six months ended June 30, 1997 and 1996
                                   (Unaudited)



                                                     1997           1996
                                                     ----           ----

Operating activities:
  Oil and gas sales, net of production.........     $  3,465,269    $ 2,971,266
  Lease bonuses and rentals....................           40,826          7,463
  Interest and dividends.......................           13,800         10,038
  Other........................................           86,877         74,227
                                                    ------------    -----------
                                                       3,606,772      3,062,994

  Cash paid to suppliers and employees.........        1,308,479      1,583,240
  Interest expense.............................          145,918        238,284
  Property, franchise and other taxes..........           71,203         57,237
  Income taxes paid............................           92,301          2,602
                                                    ------------    -----------
                                                       1,617,901      1,881,363
    Net cash provided by operating activities..        1,988,871      1,181,631


Investing activities:
  Proceeds from sales of property 
     and equipment.............................          171,372          3,000
  Acquisition of property and equipment........         (579,637)      (167,858)
  Dividends/distributions from 
     equity affiliates.........................           24,221         32,300
                                                    ------------    -----------
    Net cash used in investing activities......         (384,044)      (132,558)


Financing activities:
  Note payments................................       (1,597,540)      (684,660)
  Cash dividends paid..........................          (89,476)      (134,159)
                                                    ------------    -----------
    Net cash used in financing activities......       (1,687,016)      (818,819)
                                                    ------------    -----------

Net increase (decrease) in cash................          (82,189)       230,254

Cash at beginning of period....................          350,772        227,144
                                                    ------------    -----------

Cash at end of period..........................     $    268,583    $   457,398
                                                    ============    ===========








                             See accompanying notes.

                                       -7-

<PAGE>



                        THE HOME-STAKE OIL & GAS COMPANY
                     NOTES TO CONDENSED FINANCIAL STATEMENTS
                                   (Unaudited)

Note 1 - General

The unaudited financial  information provided in this report includes all normal
recurring  adjustments  which are, in the opinion of  management,  necessary  to
fairly  present the financial  position,  result of operations and cash flows of
the Company.  Certain information and footnote  disclosures normally included in
financial  statements  prepared in accordance with generally accepted accounting
principles  have been  omitted  or  condensed.  The  Company  believes  that the
disclosures   herein  are  adequate  to  make  the  information   presented  not
misleading;  however,  these financial  statements should be read in conjunction
with the audited financial  statements and related notes thereto included in the
Company's Annual Report on Form 10-KSB for the year ended December 31, 1996.

The results for interim periods are not  necessarily  indicative of trends or of
results to be expected for the full year.

Note 2- Summarized financial information of equity investees

Summarized  income statement  information for the six months ended June 30, 1997
and 1996 for The  Home-Stake  Royalty  Corporation  ("HSRC") and Alden  Pipeline
Company is presented below:

                                              1997              1996
                                              ----              ----
Income Statement data:
          Revenues.......................  $ 4,351,608       $ 3,776,556
          Income before income taxes.....    1,509,954         1,001,057
          Net income (1).................    1,091,138           754,245

(1)  Includes $271,139 and $138,829 in 1997 and 1996, respectively, attributable
     to the equity earnings of the Company recorded by HSRC.

During the first  quarter of 1997,  the  Company  sold its  interest in the N.E.
Alden Field,  including Alden Pipeline Company.  This sale was effective January
1, 1997. Accordingly,  1997 information presented above does not include amounts
attributable to the operations of Alden Pipeline  Company;  amounts included for
1996 operations are not material to the totals shown.

Note 3 - Note payable

Note payable at June 30, 1997,  represents  the amounts due under the  Company's
financing agreement which is due May 1, 1998 and provides for monthly maturities
of $114,110, plus interest at bank prime. In addition, the Company has a line of
credit in the amount of $500,000  available until May 1, 1998 which provides for
monthly payments of interest on the outstanding  borrowings at bank prime. There
is no balance currently under this line,  however the Company has issued letters
of credit in the amount of $60,000 which are also guaranteed by this line.

The notes  payable  and line of credit  described  above are  collateralized  by
certain of the Company's producing properties.

Note 4 - Contingencies

The Company is involved in various legal actions arising in the normal course of
business. In the opinion of management,  the Company's  liabilities,  if any, in
these  matters  will not  have a  material  effect  on the  Company's  financial
position or the results of operations.


                                       -8-

<PAGE>



Item 2.     Management's Discussion and Analysis.

Results of  Operations - First six months of 1997 compared with first six months
of 1996

Net income for the first six months increased  $432,002 from $509,661 in 1996 to
$941,663 in 1997. The principal reasons for this increase are as follows:

Oil sales decreased 1% ($26,746) as a result of a decrease in production volumes
of 7,518  barrels,  partially  offset by an increase in the average price of oil
from  $19.00 per barrel in 1996 to $20.04 per barrel in 1997.  The  decrease  in
production volumes was primarily a result of property  dispositions  during 1996
and early 1997.

Gas sales  increased  $266,197 (24%) due to an increase in the average gas price
per mcf from $1.92 in 1996 to $2.43 in 1997,  partially  offset by a decrease in
production volumes from 584,244 mcf to 571,364 mcf.

Lease rentals and bonuses  increased  $33,363 due to higher leasing  activity in
1997 than in 1996.

Interest  income  increased  $3,762 from 1996  primarily  as a result of greater
excess funds available for investment.

Gain on sales of assets  increased  $96,843 in 1997 following the Company's sale
of their  interest in the N.E.  Alden Field.  There were no comparable  sales in
1996.

Income from equity affiliates increased $50,095 in 1997. The Company's principal
equity  investee,  The Home-Stake  Royalty  Corporation,  reported net income of
$1,091,138  in 1997 and $764,270 in the same period of 1996.  In  addition,  the
Company's ownership in The Home-Stake Royalty  Corporation  increased from 17.1%
to 19.3% in November, 1996.

Other  income was $12,650  higher due to  additional  "administrative  overhead"
being  collected  from joint  interest  partners on Company  operated  wells and
$9,500  received from the purchaser of the N.E.  Alden field  properties for the
Company's  operation of the  properties  while the purchaser  satisfied  certain
title requirements.

Lease  operating  expenses  decreased  $258,349 (25%) in 1996.  This increase is
principally   attributable  to  environmental   remediation   expenses  in  1996
associated  with a  waterflood  property  in which the  Company has a 9% working
interest,  coupled  with an insurance  reimbursement  in 1997 of certain of such
costs of approximately $145,250

Dry hole costs  increased  $228,996  in 1997 due the  greater  incidence  of dry
holes. In 1996 there were 3 dry holes (.16 net) drilled at an average gross cost
of  $288,200  per well;  in 1997 there were 6 dry holes (.61 net)  drilled at an
average gross cost of $451,000 per well.

Condemned and abandoned property expense increased  $46,110.  1996 expense was a
net  credit of  $5,075,  primarily  the  result of  salvage  credits  of $12,488
received on a property abandoned during the first quarter. 1997 expense was also
higher due to the abandonment of acreage costs  associated with six dry holes in
1997, compared to two in 1996.

General and  administrative  expense  increased  $70,085 (15%). This increase is
primarily  associated  with the  addition  of  certain  full-time  and  contract
employees in late 1996 and early 1997. Such personnel were added in anticipation
of an increase in the Company's exploration activities.

Interest  expense  decreased  $92,366 in 1997,  reflecting  the Company's  lower
average borrowings.



                                       -9-

<PAGE>



Results of Operations - Second quarter 1997 compared with second quarter 1996

Net income for the second  quarter  increased  $22,302 from  $263,027 in 1996 to
$285,328 in 1997. The principal reasons for this decrease are as follows:

Oil sales  decreased  21%  ($252,9758  due to lower  average  oil  prices  which
decreased  from $20.30 per barrel in 1996 to $18.45 per barrel in 1997,  coupled
with a decrease in production volumes from 60,018 barrels to 52,316 barrels.

Gas sales  increased  $61,855 (11%) due to lower average prices which  decreased
from $1.98 per mcf in 1996 to $1.79 per mcf in 1997,  coupled with a decrease in
production volumes from 293,285 mcf to 290,348 mcf.

Income from equity affiliates decreased $22,850 in 1997. The Company's principal
equity  investee,  The Home-Stake  Royalty  Corporation,  reported net income of
$323,669  in 1997  and  $449,140  in the same  period  of  1996.  The  Company's
ownership in The Home-Stake  Oil & Gas Company  increased from 17.1% to 19.3% in
November, 1996.

Lease  operating  expenses  decreased  $204,061 (39%) in 1996.  This increase is
principally   attributable  to  environmental   remediation   expenses  in  1996
associated  with a  waterflood  property  in which the  Company has a 9% working
interest,  coupled  with an insurance  reimbursement  in 1997 of certain of such
costs of approximately $145,250

Production  taxes  decreased  $57,448  as a result  of lower  production  values
described above.

Dry hole costs  increased  $106,244  in 1997 due the  greater  incidence  of dry
holes. In 1996 there was 1 dry hole (.06 net) drilled;  in 1997 there were 4 dry
holes (.57 net) drilled.

Condemned and abandoned  property expense  increased  $14,504.  1997 expense was
higher due to the  abandonment of acreage costs  associated with the 4 dry holes
in 1997, compared to only 1 in 1996.

General and administrative expense increased $60,337. This increase is primarily
associated with the addition of certain full-time and contract employees in late
1996 and early 1997. Such personnel were added in anticipation of an increase in
the Company's exploration activities.

Interest  expense  decreased  $51,867 in 1997,  reflecting  the Company's  lower
average borrowings.

Financial Condition and Liquidity

The Company's operating activities have traditionally been self-financed through
internally  generated cash flows.  The principal uses of cash flows have been to
fund the Company's  exploration and production activities and for the payment of
dividends to stockholders.  The use of borrowed funds has generally been limited
to the acquisition of producing oil & gas properties  where future revenues from
such purchases are expected to fund the debt.

The Company has an exploration  and  development  budget for 1997 of $1 million.
The Company has spent  approximately  $496,000 in the first two quarters of 1997
and has current  commitments of approximately  $890,000 for the remainder of the
year.  In  addition,  the Company is  actively  pursuing  opportunities  for the
acquisition of producing properties whenever possible.

The Company has a revolving  line-of-credit  with Bank IV Oklahoma,  N.A. in the
amount of  $500,000  which  expires May 1, 1998.  There is no balance  currently
under this line,  however the Company has issued letters of credit in the amount
of $60,000 which are also guaranteed by this line.


                                      -10-

<PAGE>



Product  prices have decreased  approximately  20% for oil and 45% for gas since
the first of the year.  Despite these decreases,  the Company expects to finance
its budgeted 1997  operations  and drilling  through  internally  generated cash
flows.

Statement  of Financial  Accounting  Standards  No. 128,  Earning Per Share will
become  effective for periods ending after  December 15, 1997.  Adoption of this
statement will not have a material effect on the Company's result of operations.

Forward-looking Statements

This Management's Discussion and Analysis of Results of Operations and Financial
Condition contains certain statements which are not historical in nature and are
considered "forward looking  statements",  including  statements  concerning the
Company's anticipated capital expenditures,  cash flows, financial condition and
liquidity.  These forward looking statements are based on current  expectations,
estimates and  assumptions  of  management  and are subject to certain risks and
uncertainties.  Actual results and developments man differ  materially from what
is expressed  in the forward  looking  statements  as a result of changes in the
prices of oil or gas,  operating  expenses,  federal and state  regulations  and
other factors beyond the control of the Company.

                                      -11-

<PAGE>



                           Part II. Other Information

Item 1.    Legal Proceedings.

           There is a complete  discussion of legal proceedings  included in the
           Company's  Annual  Report on Form 10-KSB for the year ended  December
           31,  1996.  Since the date of that report there have been no material
           changes in the status of such matters.

Item 2.    Changes in Securities.

           None.

Item 3.    Defaults Upon Senior Securities.

           None.

Item 4.    Submission of Matters to a Vote of Security Holders.

           None.

Item 5.    Other Information.

           None.

Item 6.    Exhibits and Reports on Form 8-K.

           (a)  Exhibits.

                The following  documents  are  included as exhibits to this Form
                10-QSB.

           Exhibit
           Number   Description

           10.1     Second   Amendment  and   Modification   Agreement  to  Loan
                    Agreement  dated  May 1,  1997  to  the  Third  Amended  and
                    Restated  Loan  Agreement  dated March 29, 1995  between the
                    Company and Boatmen's  National  Bank of Oklahoma  (formerly
                    known as Bank IV Oklahoma, N.A.).

           27       Financial Data Schedule

           (b)  Reports on Form 8-K.

                    No reports on Form 8-K were filed  during the quarter  ended
                    June 30, 1997.


                                      -12-

<PAGE>


                                   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.


                                 The Home-Stake Oil & Gas Company
                                     (Registrant)


Date: August 11, 1997            By:   /s/  Robert C. Simpson
                                     ----------------------------
                                      Robert C. Simpson
                                      Chairman of the Board, C.E.O.,
                                      President and Treasurer


Date: August 11, 1997            By:   /s/  Chris K. Corcoran
                                     ----------------------------
                                      Chris K. Corcoran
                                      Executive Vice President,
                                      Chief Financial Officer and
                                      Corporate Secretary


                                      -13-