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, 1999

                                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. 1-8796

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

     STATE OF UTAH                                     87-0407509
(State or other jurisdiction of                  (I.R.S. Employer
 incorporation or organization)               Identification No.)

P.O. Box 45433, 180 East 100 South, Salt Lake City, Utah 84145-0433
(Address of principal executive offices)               (Zip Code)

Registrant's telephone number, including area code:(801) 324-5000

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, 1999
Common Stock, without par value          82,441,432 shares
<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,
                                       1999      1998      1999       1998       1999       1998
                                                        (In Thousands)
<S>                                 <C>       <C>       <C>        <C>        <C>        <C>
REVENUES                             $ 54,823  $ 48,619  $ 297,299  $ 314,795  $ 459,327  $476,903

OPERATING EXPENSES
  Natural gas purchases                26,839    22,615    162,302    182,678    260,628   283,015
  Operating and maintenance            23,679    24,214     73,691     73,226     97,388    98,636
  Depreciation                          8,909     8,288     26,194     23,816     35,639    32,485
  Other taxes                           2,107     2,138      6,486      7,041      7,630     7,841

    TOTAL OPERATING EXPENSES           61,534    57,255    268,673    286,761    401,285   421,977

    OPERATING INCOME (LOSS)            (6,711)   (8,636)    28,626     28,034     58,042    54,926

INTEREST AND OTHER INCOME                 553       846      2,524      2,874      3,216     3,621

DEBT EXPENSE                           (4,509)   (4,762)   (14,357)   (14,458)   (19,691)  (19,884)

    INCOME (LOSS) BEFORE
       INCOME TAXES                   (10,667)  (12,552)    16,793     16,450     41,567    38,663

INCOME TAXES (CREDITS)                 (4,800)   (5,457)     5,238      5,212     13,842    12,343

         NET INCOME (LOSS)           $ (5,867) $ (7,095) $  11,555  $  11,238  $  27,725  $ 26,320
</TABLE>
See notes to financial statements
<PAGE>

QUESTAR GAS COMPANY
CONDENSED BALANCE SHEETS
<TABLE>
<CAPTION>
                                    September 30,       December 31,
                                       1999      1998      1998
                                    (Unaudited)
                                    (In Thousands)
<S>                                 <C>       <C>       <C>
ASSETS
Current assets
  Cash and short-term investments                        $   3,326
  Accounts receivable                $ 15,669  $ 12,753     80,512
  Inventories                          23,693    24,854     22,296
  Purchased-gas adjustments            11,263    25,257      2,067
  Other current assets                  2,754     3,309      2,838
    Total current assets               53,379    66,173    111,039

Property, plant and equipment         981,176   914,799    948,280
Less allowances for depreciation      410,897   373,250    382,657
  Net property, plant and equipment   570,279   541,549    565,623

Other assets                           21,600    24,222     23,853

                                     $645,258  $631,944  $ 700,515

LIABILITIES AND SHAREHOLDER'S EQUITY
Current liabilities
  Checks outstanding in excess of
    cash balances                    $  1,716  $  3,288
  Notes payable to Questar
    Corporation                        25,100    56,600  $  96,700
  Accounts payable and accrued
    expenses                           43,694    40,797     71,288
    Total current liabilities          70,510   100,685    167,988

Long-term debt                        225,000   225,000    225,000
Other liabilities                       1,529     5,488        330
Deferred income taxes and investment
  tax credits                          86,740    84,142     80,023

Common shareholder's equity
  Common stock                         22,974    22,974     22,974
  Additional paid-in capital           81,875    41,875     41,875
  Retained earnings                   156,630   151,780    162,325
  Total common shareholder's equity   261,479   216,629    227,174

                                     $645,258  $631,944  $ 700,515
</TABLE>
See notes to financial statements
<PAGE>

QUESTAR GAS COMPANY
CONDENSED STATEMENTS OF CASH FLOWS
(Unaudited)
<TABLE>
<CAPTION>
                                              9 Months Ended
                                              September 30,
                                                 1999      1998
                                              (In Thousands)
<S>                                           <C>       <C>
OPERATING ACTIVITIES
  Net income                                   $ 11,555  $  11,238
  Depreciation                                   28,200     25,639
  Deferred income taxes and investment
    tax credits                                   6,717     (2,967)
                                                 46,472     33,910
  Change in operating assets and
    liabilities                                  30,192     55,343

        NET CASH PROVIDED FROM
          OPERATING ACTIVITIES                   76,664     89,253

INVESTING ACTIVITIES
  Capital expenditures                          (35,602)   (42,233)
  Proceeds from disposition of property,
     plant and equipment                          2,746      3,220

        NET CASH USED IN INVESTING
          ACTIVITIES                            (32,856)   (39,013)

FINANCING ACTIVITIES
  Checks outstanding in excess of
     cash balances                                1,716      3,288
  Decrease in notes payable
     to Questar Corporation                     (71,600)   (43,400)
  Capital contribution                           40,000
  Payment of dividends                          (17,250)   (16,875)

        NET CASH USED IN FINANCING
          ACTIVITIES                            (47,134)   (56,987)

        DECREASE IN CASH AND
          SHORT-TERM INVESTMENTS               $ (3,326) $  (6,747)
</TABLE>

See notes to financial statements
<PAGE>

QUESTAR GAS COMPANY
NOTES TO FINANCIAL STATEMENTS
September 30, 1999
(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, 1999, are not necessarily indicative of
the results that may be expected for the year ending December 31,
1999.  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, 1998.


Note 2 - Receipt of Contribution of Capital

On June 30, 1999, Questar Gas received a $40 million contribution of
capital from its parent company that was used to repay short-term
debt owed to Questar Corporation.
<PAGE>

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

QUESTAR GAS COMPANY
September 30, 1999
(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,
                                       1999      1998      1999       1998       1999       1998
<S>                                 <C>       <C>       <C>        <C>        <C>        <C>
FINANCIAL RESULTS - (dollars in thousands)
  Revenues
    From unaffiliated customers      $ 53,957  $ 47,941  $ 296,002  $ 313,998  $ 457,758  $475,801
    From affiliates                       866       678      1,297        797      1,569     1,102
      Total revenues                   54,823    48,619    297,299    314,795    459,327   476,903
  Natural gas purchases                26,839    22,615    162,302    182,678    260,628   283,015
     Revenues less natural gas
     purchases (non-gas cost margin) $ 27,984  $ 26,004  $ 134,997  $ 132,117  $ 198,699  $193,888

  Operating income (loss)            $ (6,711) $ (8,636) $  28,626  $  28,034  $  58,042  $ 54,926
  Net income (loss)                    (5,867)   (7,095)    11,555     11,238     27,725    26,320

OPERATING STATISTICS
 Natural gas volumes (in thousands of
   decatherms)
    Residential and commercial sales    8,252     6,312     54,822     53,804     84,249    84,190
    Industrial sales                    1,827     1,806      7,049      6,903      9,827     9,677
    Transportation for industrial
      customers                        12,258    13,935     37,409     41,882     50,988    56,228
      Total deliveries                 22,337    22,053     99,280    102,589    145,064   150,095
  Natural gas revenue (per decatherm)
    Residential and commercial       $   5.18  $   5.91  $    4.73  $    5.16  $    4.83  $   5.06
    Industrial sales                     2.85      3.05       2.91       3.02       2.97      2.99
    Transportation for industrial
      customers                          0.13      0.11       0.13       0.11       0.14      0.11
  Heating degree days
    Actual                                113         0      3,355      3,291      5,526     5,541
    Normal                                110       110      3,594      3,594      5,801     5,801
       Colder (warmer) than normal          3%                (7%)       (8%)       (5%)      (4%)
  Number of customers at September 30,
    Residential and commercial        670,652   647,078
    Industrial                          1,361     1,311
        Total                         672,013   648,389
</TABLE>

The non-gas cost margin increased 8% in the third quarter and 2% in
the first nine months of 1999 compared with the same periods of 1998
resulting primarily from gas volumes delivered to new customers and
adjustments to deliveries for residential and commercial customers
from prior periods. Temperature adjusted usage per customer was
approximately 1.8 decatherms or 2% lower in the first nine months of
1999 compared with 1998.  Temperatures were 7% warmer than normal in
1999 and 8% warmer than normal in 1998.  However, the effect of
warmer than normal temperatures on earnings has been mitigated by a
weather-normalization adjustment.

The number of customers served by Questar Gas grew by 23,624 or 3.6%
from a year ago to 672,013.  The number of customer additions for the
year ending December 31, 1999 is expected to be between 20,000 to
22,000.

Volumes delivered to industrial customers decreased in the 3-and
9-month periods of 1999 when compared with the same period of 1998
because a major steel-producing customer reduced operations. The
margin earned from gas delivered to industrial customers is
substantially lower than from gas delivered to residential and
commercial customers.

Questar Gas' natural gas purchase costs declined 11% in the first
nine months of 1999 when compared with the 1998 period due to lower
commodity costs.  Commodity costs dropped from $2.17 per decatherm in
the third quarter of 1998 to $1.88 per decatherm in the third quarter
of 1999 because of amortizing the purchase-gas cost account.
However, natural gas purchase costs rose 19% in the third quarter of
1999 over the third quarter of 1998 due to a 31% increase in gas
volumes delivered to residential and commercial customers.  The
Company files for adjustment of purchased-gas costs with the Utah and
Wyoming Public Service Commissions on a semiannual basis.  Gas costs
included charges from an affiliated company for removing carbon
dioxide from gas in its southern system.

Operating and maintenance expenses increased $465,000 or 1% in the
first nine months of 1999 compared with 1998 due primarily to higher
information-technology costs.  These increases were partially offset
by early retirement labor-cost savings of $3 million in the 1999
period.  Information-technology costs have been rising due to various
projects, such as, enhanced communications, improvements in
accounting and customer information systems, testing for Year 2000
issues.

Depreciation expense increased in the 1999 periods presented when
compared with the 1998 periods primarily as a result of continuing
investment in property, plant and equipment, including data
processing systems.   Other taxes, which include payroll taxes, were
lower in 1999 as a result of the early retirement program.

The effective income tax rate was 31.2% in 1999 and 31.7% in 1998.
The Company realized $1,381,000 of tight-sands gas-production credits
in the 1999 period and $1,638,000 in the 1998 period.

Liquidity and Capital Resources

Operating Activities

Net cash provided from operating activities in the first nine months
of 1999 was $12,589,000 less than was generated in the first nine
months of 1998. The decrease in cash flow resulted primarily from
timing differences in the collection of purchased gas costs and
payment on account to vendors.

Investing Activities

Capital expenditures were $35,602,000 in 1999 compared with
$42,233,000 in 1998.  Capital expenditures for calendar year 1999 are
estimated at $62.5 million.

Financing Activities

On June 30, 1999, Questar Gas received a $40 million contribution of
capital from its parent company.  The proceeds of the capital
contribution plus cash generated from operations allowed the Company
to repay $71.6 million of short-term debt borrowed from Questar
Corporation.  Loan balances owed to Questar as of September 30,
amounted to $25.1 million in 1999 and $56.6 million in 1998.  Capital
expenditures for the remainder of 1999 are expected to be financed
with net cash flow provided from operating activities and borrowings
from Questar.

Regulatory and Other Matters

Questar Gas filed an application on November 25, 1998 with the Public
Service Commission of Utah (PSCU) to recover the costs associated
with a contract for the removal of a portion of the carbon dioxide
from pipeline gas. The contract covers the costs of a new plant
constructed and operated by an affiliate of Questar Gas.  The
Division of Public Utilities and the Committee of Consumer Services
have filed testimony questioning the Company's decision to enter into
the contract and opposing pass-through rate coverage for the costs
under the contract.   The Committee objected to any cost recovery in
rates for the plant processing costs.  The case has been heard by the
PSCU but no decision has been entered at this time. The contract's
annual cost of service ranges between $7.5 and $8.5 million.

Declining usage of gas per customer and the increasing investment
resulting from significant growth in number of customers will likely
cause Questar Gas to file a general rate case in the last quarter of
1999 or early in 2000.  The last general rate case filed by the
Company was in 1995.

Year 2000 Issues

Questar Corporation established a team to address the issue of
computer programs and embedded computer chips being unable to
distinguish between the year 1900 and the year 2000 (Y2K).  The team
identified 55 projects among Questar and its affiliated companies
that were classified into application software, infrastructure,
non-information technology equipment or critical third-party
associations.  As of September 30, 1999 those 55 projects have been
assessed, remediated, tested and determined to be completed.  In the
process, Questar employees contacted more than 8,000 vendors and
suppliers to assess their readiness to meet obligations to the
Company.  The estimated  cost of the Y2K project is $5.1 million.
Questar Gas' portion of Y2K costs is estimated to be $2.3 million.

The Company has no cause to believe that Y2K will disrupt operations,
but has developed contingency plans to ensure service is not
disrupted due to Y2K problems.  Operators, engineers,
information-technology, communications and other employees will be
available during the last half of December 1999 and into January
2000, to be prepared to respond to unforeseen contingencies that may
arise.  Failure to correct a material Y2K problem could result in an
interruption, or a failure of, certain normal business activities or
operations.  Such failures could materially and adversely affect the
Company's results of operations, liquidity and financial condition.

The complete text of Questar Gas' Y2K disclosure can be viewed in
Form 10-K for December 31, 1998, filed with the Securities and
Exchange Commission or on Questar's website at www.questar.com.

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.

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, the adverse effects of failure to achieve Y2K compliance
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.

                              PART II

                         OTHER INFORMATION

Item 1.   Legal Proceedings.

     a.   The Public Service Commission of Utah (PSCU) has not yet
issued a decision on the contested application filed by Questar Gas
Company (Questar Gas or the Company) seeking pass-through treatment of
the processing costs incurred to remove carbon dioxide from gas
volumes.  See the Company's Report on Form 10-Q for the quarter ended
June 30, 1999, Item 1. Legal Proceedings.  The Division of Public
Utilities and the Committee of Consumer Services, which are two state
agencies, are opposing the Company's application.  Questar Gas and
both state agencies have filed written briefs on the issues.  The
Company estimates that it will pay approximately $7.5-$8.5 million per
year in processing costs and began paying these costs when the
plant opened in June of 1999.

     b.   The Public Service Commission of Wyoming (PSCW) has set a
calendar to consider contested issues, primarily return on equity, in
the Company's general rate case.  Questar Gas will submit testimony
on November 19, 1999, followed by public hearings on November 29 and 30,
1999.  The Company is seeking authorization for a general rate decrease
of $315,872.

     c.   On October 26, 1999, Questar Gas, the Division of Public
Utilities, the municipality of Hilldale, and a group of the Company's
industrial customers reached a settlement of the issues raised by
Hilldale's request that the Company be required to transport gas
volumes that would be resold by it to town residents.  See the
Company's Report on Form 10-Q for the quarter ended June 30, Item 1.
Legal Proceedings.  The settlement was subsequently approved by the
PSCU on October 27, 1999, through a bench order, but the approval had
not been reduced to writing as of the date of this report.  Under the
terms of the settlement, Questar Gas will offer municipal
transportation service to cities or towns where it does not provide
general service or have a franchise and where such service will not
subject it to regulation by the Federal Energy Regulatory Commission
(FERC).  The settlement also calls for the Company to cooperate with
Hilldale in seeking a determination from the FERC about jurisdictional
issues associated with Hilldale's desire to extend service to a sister
community across the Arizona border.

     d.   The Company filed a semi-annual pass-through application
with the PSCW on November 1, 1999, seeking authorization to increase
its rates effective December 1, 1999.  Questar Gas's application
reflects an increase in commodity costs and results in an annualized
revenue increase of approximately $850,000.  The Company will also
request a December 1 effective date for its pass-through application
that will be filed with the PSCU in mid-November.

                            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 10, 1999                  /s/ D. N. Rose
                                   D. N. Rose
                                   President and Chief Executive
                                   Officer


November 10, 1999                  /s/ S. E. Parks
                                   S. E. Parks
                                   Vice President, Treasurer, and
                                   Chief Financial Officer