SECURITIES AND EXCHANGE COMMISSION
                        Washington, D.C.  20549

                               FORM 10-Q

 (Mark One)

 X     QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
       SECURITIES EXCHANGE ACT OF 1934 FOR THE QUARTERLY PERIOD
       ENDED SEPTEMBER 30, 2000.

                                  OR

       TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
       SECURITIES EXCHANGE ACT OF 1934 FOR THE TRANSITION PERIOD
       FROM _____ TO _____

                       Commission File No. 1-935


                           QUESTAR GAS COMPANY
        (Exact name of registrant as specified in its charter)


      STATE OF UTAH                                        87-0155877
 (State or other jurisdiction of                     (I.R.S. Employer
  incorporation or organization)                  Identification No.)


 P.O. Box 45360, 180 East 100 South, Salt Lake City, Utah  84145-0360
 (Address of principal executive offices)                  (Zip Code)


 Registrant's telephone number, including area code:   (801) 324-5555


 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


 Indicate the number of shares outstanding of each of the issuer's
 classes of common stock, as of the latest practicable date.

            Class                     Outstanding as of October 31, 2000
 Common Stock, $2.50 par value                9,189,626 shares

 Registrant meets the conditions set forth in General Instruction
 H(a)(1) and (b) of Form 10-Q and is filing this Form 10-Q with the
 reduced disclosure format.
1
<PAGE>

PART I  FINANCIAL INFORMATION
Item 1.  Financial Statements

QUESTAR GAS COMPANY
STATEMENTS OF INCOME
(Unaudited)
<TABLE>
<CAPTION>
                                    3 Months Ended      9 Months Ended      12 Months Ended
                                    September 30,       September 30,       September 30,
                                       2000      1999      2000      1999      2000      1999
                                    (In Thousands)
<S>                                 <C>       <C>       <C>       <C>       <C>       <C>
REVENUES                             $ 59,552  $ 54,823  $328,246  $297,299  $480,884  $459,327

OPERATING EXPENSES
  Natural gas purchases                32,619    26,839   190,828   162,302   285,791   260,628
  Operating and maintenance            24,170    23,679    73,306    73,691   102,923    97,388
  Depreciation                          9,182     8,909    27,220    26,194    37,452    35,639
  Other taxes                           2,464     2,107     8,991     6,486    10,130     7,630

    TOTAL OPERATING EXPENSES           68,435    61,534   300,345   268,673   436,296   401,285

    OPERATING INCOME (LOSS)            (8,883)   (6,711)   27,901    28,626    44,588    58,042

INTEREST AND OTHER INCOME                 605       553     1,718     2,524     2,174     3,216

DEBT EXPENSE                           (5,265)   (4,509)  (15,401)  (14,357)  (21,106)  (19,691)

       INCOME (LOSS) BEFORE
          INCOME TAXES                (13,543)  (10,667)   14,218    16,793    25,656    41,567

INCOME TAXES                           (5,654)   (4,800)    4,722     5,238     8,496    13,842

         NET INCOME (LOSS)           $ (7,889) $ (5,867) $  9,496  $ 11,555  $ 17,160  $ 27,725

</TABLE>
See note to financial statements
2
<PAGE>

QUESTAR GAS COMPANY
CONDENSED BALANCE SHEETS
<TABLE>
<CAPTION>
                                    September 30,       December 31,
                                       2000      1999      1999
                                    (Unaudited)
                                    (In Thousands)
<S>                                 <C>       <C>       <C>
ASSETS
Current assets
  Cash and cash equivalents                              $  1,708
  Accounts receivable                $ 21,169  $ 15,669    83,098
  Inventories, at lower of average
       cost or market
    Gas stored underground             23,065    19,264    18,497
    Materials and supplies              2,327     4,429     3,183
  Purchased-gas adjustments             8,880    11,263       432
  Prepaid expenses and other            2,927     2,754     3,168
    Total current assets               58,368    53,379   110,086

Property, plant and equipment       1,054,589   981,176 1,013,599
Less allowances for depreciation      445,829   410,897   421,111
    Net property, plant and
       equipment                      608,760   570,279   592,488

Other assets                           19,189    21,600    20,978

                                     $686,317  $645,258  $723,552

LIABILITIES AND SHAREHOLDER'S EQUITY
Current liabilities
  Checks outstanding in excess of
    cash balances                    $  1,661  $  1,716
  Notes payable to Questar
     Corporation                       75,200    25,100  $ 79,300
  Accounts payable and accrued
    expenses                           39,718    43,694    69,122
    Total current liabilities         116,579    70,510   148,422

Long-term debt                        225,000   225,000   225,000
Other liabilities                         466     1,529     1,394
Deferred income taxes and investment
  tax credits                          89,008    86,740    85,343

Common shareholder's equity
  Common stock                         22,974    22,974    22,974
  Additional paid-in capital           81,875    81,875    81,875
  Retained earnings                   150,415   156,630   158,544
    Total common shareholder's
       equity                         255,264   261,479   263,393

                                     $686,317  $645,258  $723,552
</TABLE>
See note to financial statements
3
<PAGE>

QUESTAR GAS COMPANY
CONDENSED STATEMENTS OF CASH FLOWS
(Unaudited)
<TABLE>
<CAPTION>
                                              9 Months Ended
                                              September 30,
                                                 2000      1999
                                              (In Thousands)
<S>                                           <C>       <C>
OPERATING ACTIVITIES
  Net income                                   $  9,496  $ 11,555
  Depreciation                                   29,817    28,200
  Deferred income taxes and investment
    tax credits                                   3,665     6,717
                                                 42,978    46,472
  Change in operating assets and
    liabilities                                  21,467    30,192

        NET CASH PROVIDED FROM
          OPERATING ACTIVITIES                   64,445    76,664

INVESTING ACTIVITIES
  Capital expenditures                          (46,123)  (35,602)
  Proceeds from disposition of
      property, plant and equipment                  34     2,746

        NET CASH USED IN INVESTING
          ACTIVITIES                            (46,089)  (32,856)

FINANCING ACTIVITIES
  Checks outstanding in excess of
     cash balances                                1,661     1,716
  Decrease in notes payable
      to Questar Corporation                     (4,100)  (71,600)
  Equity investment                                        40,000
  Payment of dividends                          (17,625)  (17,250)

        NET CASH USED IN FINANCING
          ACTIVITIES                            (20,064)  (47,134)

        DECREASE IN CASH AND
          CASH EQUIVALENTS                     $ (1,708) $ (3,326)


</TABLE>
See note to financial statements
4
<PAGE>

QUESTAR GAS COMPANY
NOTE TO FINANCIAL STATEMENTS
September 30, 2000
(Unaudited)

Note 1 - Basis of Presentation

The interim financial statements reflect all adjustments
which are, in the opinion of management, necessary for a
fair presentation of the results for the interim periods
presented.  All such adjustments are of a normal
recurring nature. Due to the seasonal nature of the
business, the results of operations for the three- and
nine-month periods ended September 30, 2000, are not
necessarily indicative of the results that may be
expected for the year ending December 31, 2000. For
further information refer to the financial statements and
footnotes thereto included in the Company's annual report
on Form 10-K for the year ended December 31, 1999.
5
<PAGE>

Item 2.  Management's Discussion and Analysis of
Financial Condition and Results of Operations

QUESTAR GAS COMPANY
September 30, 2000
(Unaudited)

Operating Results

Following is a summary of financial and operating
information for the Company:
<TABLE>
<CAPTION>
                                    3 Months Ended      9 Months Ended      12 Months Ended
                                    September 30,       September 30,       September 30,
                                       2000      1999      2000      1999      2000      1999
<S>                                 <C>       <C>       <C>       <C>       <C>       <C>
FINANCIAL RESULTS - (dollars in thousands)
  Revenues
    From unaffiliated customers      $ 58,287  $ 53,957  $324,771  $296,002  $476,375  $457,758
    From affiliates                     1,265       866     3,475     1,297     4,509     1,569
      Total revenues                   59,552    54,823   328,246   297,299   480,884   459,327
  Natural gas purchases                32,619    26,839   190,828   162,302   285,791   260,628
         Margin                      $ 26,933  $ 27,984  $137,418  $134,997  $195,093  $198,699

  Operating income (loss)            $ (8,883) $ (6,711) $ 27,901  $ 28,626  $ 44,588  $ 58,042
  Net income (loss)                    (7,889)   (5,867)    9,496    11,555    17,160    27,725

OPERATING STATISTICS
 Natural gas volumes (in thousands of
   decatherms)
    Residential and commercial sales    7,462     8,252    50,567    54,822    77,946    84,249
    Industrial sales                    1,993     1,827     7,244     7,049    10,018     9,827
    Transportation for industrial
      customers                        12,899    12,258    40,781    37,409    55,015    50,988
      Total deliveries                 22,354    22,337    98,592    99,280   142,979   145,064

  Natural gas revenue (per decatherm)
    Residential and commercial       $   5.79  $   5.18  $   5.56  $   4.73  $   5.37  $   4.83
    Industrial sales                     4.25      2.85      3.46      2.91      3.35      2.97
    Transportation for industrial
      customers                      $   0.12  $   0.13  $   0.12  $   0.13  $   0.12  $   0.14
  Heating degree days
       Colder (warmer) than normal          7%        3%     (18%)      (7%)     (15%)      (5%)
  Number of customers at September 30,
    Residential and commercial        690,205   670,652
    Industrial                          1,345     1,361
        Total                         691,550   672,013
</TABLE>

The margin decreased 4% in the third quarter of 2000 when
compared with the prior-year quarter due to changes in
the rate treatment of gathering and processing costs
which reduced the margin in the third quarter of 2000.
The margin increased 2% for the nine-month period of 2000
compared with 1999 primarily from higher residential and
commercial rates and from an increased number of
residential customers.
6
<PAGE>

The Public Service Commission of Utah (PSCU) issued a
final order on August 11, 2000, which granted $6.5
million of additional annualized rate relief over and
above the $7 million interim rate relief granted on
January 1, 2000, that includes the collection of $5
million annually for gas processing costs.  The rate
order also allows for an 11% return on equity. The number
of  customers served by Questar Gas grew by 19,537 or
2.9% from a year ago to 691,550. The number of customer
additions for the year ending December 31, 2000 is
expected to be between 20,000 to 21,000.

Volumes delivered were unchanged in the third quarter and
were 1% lower for the nine and twelve-month periods of
2000 when compared with the same periods in 1999.
Temperature adjusted usage of gas per customer was 3%
lower in the 2000 quarter compared with the prior year
quarter and unchanged for the nine-month periods
year-to-year. Weather was 7% colder than normal in the
third quarter of 2000 and 3% colder than normal in the
1999 quarter.  For the nine-month periods, weather was
18% warmer in 2000 compared with 7% warmer in the
comparable 1999 period. The effects of warmer weather
were mitigated somewhat by a weather normalization
adjustment.

Questar Gas' natural gas purchase costs increased in each
of the 2000 periods presented when compared with the 1999
periods due to higher commodity costs.  Commodity rates
for the first half were $2.23 per Dth in 2000 compared to
$1.72 per Dth in 1999.  In the third quarter, commodity
rates were $2.23 per Dth in 2000 compared to $1.88 per
Dth in 1999. Natural gas purchases in the third quarter
of 2000 were partially offset by $1.3 million due to a
one-time refund of gas processing costs.  The Company
files for adjustment of purchased-gas costs with the Utah
and Wyoming Public Service Commissions on a semiannual
basis.  Effective October 1, 2000, the PSCU approved on
an interim basis a $63 million pass-through filing that
increased Utah natural gas rates 12.7%.  Also effective
October 1, 2000, the Wyoming Public Service Commission
approved a $2.5 million pass-through filing for Wyoming
natural gas rates.

Operating and maintenance (O & M) expenses increased 2%
in the third quarter of 2000 compared with the prior year
primarily from one-time expense adjustments amounting to
$2,250,000 in the 1999 quarter. O & M expenses decreased
1% for the nine months of 2000 compared with 1999 mainly
from lower information-technology costs which were
partially offset by the higher costs associated with
strong customer growth and increased bad debt expenses.
Depreciation expenses was higher in the 2000 periods
presented compared to the 1999 periods as a result of
increased investment in property, plant and equipment,
particularly technology related which have a shorter
useful life.  Other taxes increased in the three- and
nine-months comparisons because of a current year
adjustment of prior year taxes and from higher property
tax rates in 2000.

Interest and other income was 32% lower in the nine-month
period of 2000 compared with the prior year. Gains from
the sale of surplus property were $649,000 less in the
2000 period.

The effective income tax rate for the nine-month period
was 33.2% in 2000 and 31.2% in 1999.  The lower effective
income tax rate in 1999 was due to an adjustment of
federal income taxes in the 1999 period.  The Company
realized $1,374,000 of tight-sands gas-production credits
in the 2000 period and $1,381,000 in the 1999 period.

Liquidity and Capital Resources

Operating Activities

Net cash provided from operating activities in the first
nine months of 2000 was $12.2 million less than was
generated in the same period of 1999.   The decrease in
cash flows resulted partially from lower net income and
from lower cash flows generated from operating assets and
liabilities.  The year-to-year decrease in cash flows
from operating assets and liabilities was primarily due
to higher customer receivables, increased underground gas
storage inventory costs, and higher tax and other
liability payments.
7
<PAGE>

Investing Activities

Capital expenditures were $46.1 million for the nine
months of 2000.  Capital expenditures for calendar year
2000 are estimated at $63.3 million.

Financing Activities

Net cash generated from operating activities was used to
fund capital expenditures, repay loans to Questar and pay
dividends.  Loan balances owed to Questar as of September
30, amounted to $75.2 million in 2000 and $25.1 million
in 1999. Capital expenditures for the remainder of 2000
are expected to be financed with net cash flow provided
from operating activities and borrowings from Questar.

Early Retirement Offered

On August 28, 2000, Questar's Regulated Services unit
announced an early retirement window program to be
effective October 31, 2000.  A total of 281 employees and
14 disability recipients from Questar Gas, Questar
Pipeline and Questar Regulated Services were eligible for
the enhanced benefit.  The offer was accepted by 262 of
Regulated Services' employees and all 14 long-term
disability recipients.  The window program is projected
to result in pretax labor cost savings for Regulated
Services of over $1 million in 2000 and $6-8 million
yearly.

Regulatory Matters

Effective October 1, 2000, the PSCU approved on an
interim basis a $63 million increase in its Utah natural
gas rates which resulted in a 12.7 percent increase for
the typical residential Utah customer. The increase was
based on recent significant increases in natural gas
prices at the wellhead and was part of Questar Gas'
gas-cost-adjustment or "pass-through" filings.  Such
filings enable the company to adjust rates at least twice
each year to reflect changes in gas-supply costs.  These
costs are passed on to the customer on a
dollar-for-dollar basis with no markup.  The impact of
the gas cost increase on customers was lessened by the
fact that close to 50% of the Company's annual supply
comes from its own wells and is priced to customers at
cost of service prices rather than market prices. Also,
effective October 1, 2000, the Wyoming Public Service
Commission approved a $2.5 million pass-through filing
for Wyoming natural gas rates.

Revenue Recognition Guideline Issued by the Securities
and Exchange Commission (SEC)

In December 1999, the SEC issued Staff Accounting
Bulletin (SAB) 101, "Revenue Recognition in Financial
Statements." The SAB raised issues concerning the timing
of recording revenues given that sales transactions may
contain some conditions allowing customers to return
products or receive refunds.  The SEC expects companies
that make conditional sales to postpone fully recognizing
revenues until the earnings process is completed. The
Company records revenues when services are provided or
products are delivered.  Periodically revenues are
collected subject to refund pending final orders from
regulatory agencies.  In those situations, revenues are
reported net of estimated refunds.  The pronouncement is
effective for Questar Gas beginning with the fourth
quarter 2000 and is not expected to cause a change in the
method used to record revenues.

Forward-Looking Statements

This 10-Q contains forward-looking statements about
future operations, capital spending, regulatory matters
and expectations of Questar Gas.  According to
management, these statements are made in good faith and
are reasonable representations of the Company's expected
performance at the time.  Actual results may vary from
management's stated expectations and projections due to a
variety of factors.
8
<PAGE>

Important assumptions and other significant factors that
could cause actual results to differ materially from
those discussed in forward-looking statements include
changes in: general economic conditions, gas prices and
availability of gas supplies, competition, regulatory
issues, weather conditions and other factors beyond the
control of the Company.  These other factors include the
rate of inflation and adverse changes in the business or
financial condition of the Company.

These factors are not necessarily all of the important
factors that could cause actual results to differ
significantly from those expressed in any forward-looking
statements.  Other unknown or unpredictable factors could
also have a significant adverse effect on future results.
The Company does not undertake an obligation to update
forward-looking information contained herein or elsewhere
to reflect actual results, changes in assumptions or
changes in other factors affecting such forward-looking
information.
9
<PAGE>

                               Part II
                          Other Information

Item 1.   Legal Proceedings.

     a.   Questar Gas Company ("Questar Gas" or the "Company"), on
August 31, 2000,  filed an "out-of-period" pass-on application with
the Public Service Commission of Wyoming (the PSCW"), seeking
approval to reflect higher natural gas prices in its rates.  In the
application, as supplemented, the Company requested permission to
reflect annualized gas costs of $13,778,002  in rates for Wyoming
customers effective October 1, 2000.  The PSCW authorized the
Company to reflect the requested gas cost increase in rates
effective October 1, 2000.

     b.   On September 20, 2000, Questar Gas, filed a special
pass-through application with the Public Service Commission of Utah
(the "PSCU").  In its application, Questar Gas requested permission
to reflect annualized gas costs of $354,405,075  in rates for Utah
customers effective October 1, 2000.  In this out-of-period
application, the Company noted that purchased gas prices had
increased significantly higher than the estimated prices used in its
mid-year filing and reported that its 191 or gas cost account was
undercollected by approximately $5.9 million as of the end of
August.  Questar Gas advised the PSCU that reflecting the increase
in its rates would increase the typical residential customer's
annual bill by approximately 12.7 percent per year.

     By an interim order dated October 18, 2000, the PSCU authorized
the Company to reflect the requested increase in rates effective
October 1, 2000.

     c.   The Committee of Consumer Services ("Committee"), a party
to the Company's  general rate case, has appealed the PSCU's order
concerning the treatment of carbon dioxide ("CO2") removal costs.
In its order concerning Questar Gas's general rate case, the PSCU,
adopted the stipulation entered into by the Company and the Division
of Public Utilities that allows Questar Gas to collect $5 million of
annual CO2 removal costs.  The Committee opposed this stipulation
during the proceedings and filed a request for rehearing with the
PSCU after the PSCU approved it.  When the PSCU took no action on
its request for rehearing, the Committee filed an appeal seeking
judicial review of the decision.  The Company has filed a motion to
intervene in the case.

     d.   The Company filed an appeal with the Supreme Court of Utah
after the PSCU, by order dated December 9, 1999, denied Questar
Gas's request to recover the CO2 removal costs in its semi-annual
pass-through filing.  See Questar Gas's Form 8-K Report dated
December 9, 1999 for a description of the PSCU's order denying the
Company's request to recover the costs in its pass-through
application.  Oral arguments to consider the Company's appeal will
be heard on December 13, 2000.  In its brief, Questar Gas noted that
the CO2 removal costs are "costs" that can be recovered through the
Company's 191 account and the PSCU's action to exclude such costs
should only be done prospectively, not retroactively.  Questar Gas
also defended its decision to pay  processing plant costs as a
reasonable, prudent, and low-cost means to solve a problem caused by
the combustion settings on appliances used in its service area.
10
<PAGE>

Item 5.   Other Information.

     Messrs. Gary W. DeBernardi, Lowell F. Gill, and Stephen C.
Yeager retired as officers and employees of the Company effective
October 31, 2000.  Mr. DeBernardi, age 57, had served as Vice
President, Technical Services, for Questar Gas and its primary
affiliates, Questar Pipeline Company ("Pipeline") and Questar
Regulated Services Company ("QRS") and had 31 years of service at
retirement.  Mr. Gill, age 58, had served as Vice President,
Transportation Operations, for the Company and QRS and as Vice
President and General Manager for Pipeline; he had 38 years of
service.  Mr. Yeager, age 53, had served as Vice President,
Business, Development, for all three entities and had over 24 years
of service.

     The retirements of these officers, coupled with the retirements
of other employees, led to a reorganization of responsibilities and
the appointment of two new officers.  Ms. Susan Glasmann, age 53,
was named to serve as Vice President, Operations, for the Company,
Pipeline, and QRS effective November 1.  She had been serving as the
Company's Vice President and General Manager since August 1, 1998.

     Mr. Alan K. Allred, age 50, was named to serve as Vice
President, Business Development, for Questar Gas and its affiliates
in the Regulated Services group.  Mr. Allred has more than 22 years
of experience with  the Company and its affiliates and had been
serving as Manager, Regulatory Affairs.  In his new position, Mr.
Allred has responsibility for regulatory affairs, gas supply
management, capacity marketing, gas control, parnterships,
acquisitions and new ventures.

     Mr. Shahab Saeed, age 41, was named to serve as Vice President,
Support Services, for Questar Gas and its affiliates in the
Regulated Services group.  He has more than 19 years of service and
had been serving as Manager, Administrative Services.  Mr. Saeed, in
his new position, has responsibility for engineering, human
resources, information services, system integrity, safety and
environmental activities, research and development, materials and
equipment, and facilities.

     Messrs. R. D. Cash, D. N. Rose and S. E. Parks will continue to
serve in their executive officer positions as Chairman of the Board,
President and Chief Executive Officer and Vice President, Treasurer,
and Chief Financial Officer, respectively.

Item 6.  Exhibits and Reports on Form 8-K

     a.   The following exhibit has been filed as part of this report.

     Exhibit No.         Exhibit

     10.1.*         Joint Annual Management Incentive Plan adopted
                    by Questar Gas Company, Questar Pipeline
                    Company, and Questar Regulated Services Company
                    as amended and restated effective October 26, 2000.

     10.2.*         Questar Gas Company Deferred Compensation Plan
                    for Directors as amended and restated effective
                    October 26, 2000.
11
<PAGE>

     10.3.*         Questar Corporation Long-term Stock Incentive
                    Plan as amended and restated effective October
                    26, 2000.  (Exhibit No. 10.3. to Questar
                    Corporation's Form 10-Q Report for Quarter Ended
                    September 30, 2000.)

       *Exhibit so marked is a management contract or compensation
plan or arrangement.

       (b)     The Company did not file any Current Reports on Form
8-K during the quarter.

                              SIGNATURES

      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.

                                              QUESTAR GAS COMPANY
                                                (Registrant)



November 13, 2000                             /s/ D. N. Rose
                                                  D. N. Rose
                                                  President and Chief
                                                  Executive Officer


November 13, 2000                            /s/ S. E. Parks
                                                 S. E. Parks
                                                 Vice President, Treasurer,
                                                 and Chief Financial Officer
12
<PAGE>

                            EXHIBIT INDEX

Exhibit
Number          Exhibit

   10.1.*       Joint Annual Management Incentive Plan adopted by
                Questar Gas Company, Questar Pipeline Company, and
                Questar Regulated Services Company as amended and
                restated effective October 26, 2000.

   10.2.*       Questar Gas Company Deferred Compensation Plan for
                Directors as amended and restated effective October
                26, 2000.

   10.3.*       Questar Corporation Long-term Stock Incentive Plan
                as amended and restated effective October 26, 2000.
                (Exhibit No. 10.3. to Questar Corporation's Form
                10-Q Report for Quarter Ended September 30, 2000.)

   *Exhibit so marked is a management contract or compensation plan
or arrangement.