SECURITIES AND EXCHANGE COMMISSION
                        WASHINGTON, D.C. 20549


                               FORM 10-Q


           Quarterly Report Pursuant to Section 13 or 15(d)
                of the Securities Exchange Act of 1934



     For the quarter ended             Commission File Number
      September 30, 1997                2-92702    (1985-1)
                                        2-92702-01 (1985-2)


                    DYCO 1985 OIL AND GAS PROGRAMS
                      (TWO LIMITED PARTNERSHIPS)
         (Exact Name of Registrant as specified in its charter)


                                         41-1498087 (1985-1) 
           Minnesota                     41-1498086 (1985-2) 
   (State or other jurisdiction     (I.R.S. Employer Identification
       of incorporation or                     Number)
        organization)




    Samson Plaza, Two West Second Street, Tulsa, Oklahoma     74103
    ---------------------------------------------------------------   
 (Address of principal executive offices)             (Zip Code)



                            (918) 583-1791
          ----------------------------------------------------
          (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      
                          ----          -----
<PAGE>
<PAGE>
                    PART I.  FINANCIAL INFORMATION

ITEM 1.  FINANCIAL STATEMENTS

          DYCO OIL AND GAS PROGRAM 1985-1 LIMITED PARTNERSHIP
                            BALANCE SHEETS
                              (Unaudited)

                                ASSETS

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

CURRENT ASSETS:
  Cash and cash equivalents             $ 81,334        $ 86,724
  Accrued oil and gas sales               86,250          95,458
                                        --------        --------
     Total current assets               $167,584        $182,182

NET OIL AND GAS PROPERTIES, utilizing
  the full cost method                   141,612         177,707

DEFERRED CHARGE                           15,519          15,519
                                        --------        --------
                                        $324,715        $375,408
                                        ========        ========

                   LIABILITIES AND PARTNERS' CAPITAL

CURRENT LIABILITIES:
  Accounts payable                      $  5,464        $  5,916
                                        --------        --------
     Total current liabilities          $  5,464        $  5,916

ACCRUED LIABILITY                         29,702          29,702
 
PARTNERS' CAPITAL:
  General Partner, issued and
   outstanding, 41 units                   2,895           3,398
  Limited Partners, issued and
   outstanding, 4,100 units              286,654         336,392
                                        --------        --------
     Total Partners' capital            $289,549        $339,790
                                        --------        --------
                                        $324,715        $375,408
                                        ========        ========

               The accompanying condensed notes are an 
             integral part of these financial statements.

                                  -2-
<PAGE>
<PAGE>
          DYCO OIL AND GAS PROGRAM 1985-1 LIMITED PARTNERSHIP
                       STATEMENTS OF OPERATIONS
        FOR THE THREE MONTHS ENDED SEPTEMBER 30, 1997 AND 1996
                              (Unaudited)


                                          1997           1996
                                        --------       -------- 

REVENUES:
  Oil and gas sales                      $79,616       $107,842
  Interest                                   577            810
                                         -------       --------
                                         $80,193       $108,652

COST AND EXPENSES:
  Oil and gas production                 $26,641       $ 25,701
  Depreciation, depletion, and
   amortization of oil and gas
   properties                              5,486         15,730
  General and administrative (Note 2)     12,898         12,308
                                         -------       --------
                                         $45,025       $ 53,739
                                         -------       --------

NET INCOME                               $35,168       $ 54,913 
                                         =======       ========
GENERAL PARTNER (1%) - net        
  income                                 $   352       $    549 
                                         =======       ========
LIMITED PARTNERS (99%) - net
  income                                 $34,816       $ 54,364 
                                         =======       ========
NET INCOME PER UNIT                      $  8.49       $  13.26 
                                         =======       ========
UNITS OUTSTANDING                          4,141          4,141
                                         =======       ========

               The accompanying condensed notes are an 
             integral part of these financial statements.

                                  -3-
<PAGE>
<PAGE>
          DYCO OIL AND GAS PROGRAM 1985-1 LIMITED PARTNERSHIP
                       STATEMENTS OF OPERATIONS
         FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1997 AND 1996
                              (Unaudited)


                                          1997          1996
                                        --------      -------- 

REVENUES:
  Oil and gas sales                     $343,327      $274,903
  Interest                                 2,502         1,715
                                        --------      --------
                                        $345,829      $276,618

COST AND EXPENSES:
  Oil and gas production                $ 66,860      $ 75,160
  Depreciation, depletion, and
   amortization of oil and gas
   properties                             35,160        39,267 
  General and administrative (Note 2)     45,590        43,354
                                        --------      --------
                                        $147,610      $157,781
                                        --------      --------

NET INCOME                              $198,219      $118,837 
                                        ========      ========
GENERAL PARTNER (1%) - net        
  income                                $  1,982      $  1,188 
                                        ========      ========
LIMITED PARTNERS (99%) - net
  income                                $196,237      $117,649 
                                        ========      ========
NET INCOME PER UNIT                     $  47.87      $  28.70 
                                        ========      ========
UNITS OUTSTANDING                          4,141         4,141
                                        ========      ========

               The accompanying condensed notes are an 
             integral part of these financial statements.

                                  -4-
<PAGE>
<PAGE>
          DYCO OIL AND GAS PROGRAM 1985-1 LIMITED PARTNERSHIP
                       STATEMENTS OF CASH FLOWS
         FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1997 AND 1996
                              (Unaudited)

                                          1997          1996
                                        ---------     ---------

CASH FLOWS FROM OPERATING ACTIVITIES:
  Net income                            $198,219       $118,837 
  Adjustments to reconcile net income
   to net cash provided by operating
   activities:
   Depreciation, depletion, and 
     amortization of oil and gas
     properties                           35,160         39,267
   Decrease in accrued oil and gas
     sales                                 9,208          8,586 
   Decrease in accounts payable        (     452)     (   4,193)
                                        --------       -------- 
   Net cash provided by operating
     activities                         $242,135       $162,497
                                        --------       --------

CASH FLOWS FROM INVESTING ACTIVITIES:
  Proceeds from the sale of oil and 
   gas properties                       $    935       $    906 
  Additions to oil and gas properties        -        (   1,706)
                                        --------       --------
   Net cash provided (used) by 
     investing activities               $    935      ($    800)
                                        --------       --------

CASH FLOWS FROM FINANCING ACTIVITIES:
  Cash distributions                   ($248,460)     ($186,345)
                                        --------       --------
   Net cash used by financing
     activities                        ($248,460)     ($186,345)
                                        --------       --------

NET DECREASE IN CASH AND CASH
  EQUIVALENTS                          ($  5,390)     ($ 24,648) 

CASH AND CASH EQUIVALENTS AT 
  BEGINNING OF PERIOD                     86,724         58,496 
                                        --------       --------
CASH AND CASH EQUIVALENTS AT
  END OF PERIOD                         $ 81,334       $ 33,848
                                        ========       ========

               The accompanying condensed notes are an 
             integral part of these financial statements.

                                  -5-
<PAGE>
<PAGE>
          DYCO OIL AND GAS PROGRAM 1985-2 LIMITED PARTNERSHIP
                            BALANCE SHEETS
                              (Unaudited)

                                ASSETS

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

CURRENT ASSETS:
  Cash and cash equivalents               $ 46,367      $ 86,273
  Accrued oil and gas sales                 32,538        46,545
                                          --------      --------
     Total current assets                 $ 78,905      $132,818

NET OIL AND GAS PROPERTIES, utilizing
  the full cost method                      62,425        72,216

DEFERRED CHARGE                             39,527        39,527
                                          --------      --------
                                          $180,857      $244,561
                                          ========      ========

                   LIABILITIES AND PARTNERS' CAPITAL

CURRENT LIABILITIES:
  Accounts payable                        $  4,644      $  6,198
                                          --------      --------
     Total current liabilities            $  4,644      $  6,198

ACCRUED LIABILITY                           12,899        12,899

PARTNERS' CAPITAL:
  General Partner, issued and
   outstanding, 44 units                     1,633         2,254 
  Limited Partners, issued and
   outstanding, 4,330 units                161,681       223,210
                                          --------      --------
     Total Partners' capital              $163,314      $225,464
                                          --------      --------
                                          $180,857      $244,561
                                          ========      ========

              The accompanying condensed notes are an 
             integral part of these financial statements.

                                  -6-
<PAGE>
<PAGE>
          DYCO OIL AND GAS PROGRAM 1985-2 LIMITED PARTNERSHIP
                       STATEMENTS OF OPERATIONS
        FOR THE THREE MONTHS ENDED SEPTEMBER 30, 1997 AND 1996
                              (Unaudited)


                                          1997          1996
                                         -------       -------

REVENUES:
  Oil and gas sales                      $47,614       $55,749
  Interest                                   259           301
                                         -------       -------
                                         $47,873       $56,050

COST AND EXPENSES:
  Oil and gas production                 $19,667       $26,146
  Depreciation, depletion, and
   amortization of oil and gas
   properties                              2,330         4,422
  General and administrative (Note 2)     12,379        11,753
                                         -------       -------
                                         $34,376       $42,321
                                         -------       -------

NET INCOME                               $13,497       $13,729 
                                         =======       =======
GENERAL PARTNER (1%) - net        
  income                                 $   135       $   137 
                                         =======       =======
LIMITED PARTNERS (99%) - net
  income                                 $13,362       $13,592 
                                         =======       =======
NET INCOME PER UNIT                      $  3.09       $  3.14 
                                         =======       =======
UNITS OUTSTANDING                          4,374         4,374
                                         =======       =======

               The accompanying condensed notes are an 
             integral part of these financial statements.

                                  -7-
<PAGE>
<PAGE>
          DYCO OIL AND GAS PROGRAM 1985-2 LIMITED PARTNERSHIP
                       STATEMENTS OF OPERATIONS
         FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1997 AND 1996
                              (Unaudited)


                                          1997          1996
                                        --------      --------

REVENUES:
  Oil and gas sales                     $141,246      $160,958
  Interest                                 1,199         1,543
                                        --------      --------
                                        $142,445      $162,501

COST AND EXPENSES:
  Oil and gas production                $ 42,167      $ 72,182
  Depreciation, depletion, and
   amortization of oil and gas
   properties                              8,681        15,156
  General and administrative (Note 2)     44,397        41,993
                                        --------      --------
                                        $ 95,245      $129,331
                                        --------      --------

NET INCOME                              $ 47,200      $ 33,170 
                                        ========      ========
GENERAL PARTNER (1%) - net        
  income                                $    472      $    332 
                                        ========      ========
LIMITED PARTNERS (99%) - net
  income                                $ 46,728      $ 32,838 
                                        ========      ========
NET INCOME PER UNIT                     $  10.79      $   7.58 
                                        ========      ========
UNITS OUTSTANDING                          4,374         4,374
                                        ========      ========

               The accompanying condensed notes are an 
             integral part of these financial statements.

                                  -8-
<PAGE>
<PAGE>
          DYCO OIL AND GAS PROGRAM 1985-2 LIMITED PARTNERSHIP
                       STATEMENTS OF CASH FLOWS
         FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1997 AND 1996
                              (Unaudited)

                                           1997         1996
                                         ---------    ---------
CASH FLOWS FROM OPERATING ACTIVITIES:
  Net income                             $ 47,200     $ 33,170 
  Adjustments to reconcile net income
   to net cash provided by operating
   activities:
   Depreciation, depletion, and 
     amortization of oil and gas
     properties                             8,681       15,156
   Decrease in accrued oil and gas
     sales                                 14,007       10,511 
   Decrease in accounts payable         (   1,554)   (   2,584) 
                                         --------     -------- 
   Net cash provided by operating
     activities                          $ 68,334     $ 56,253 
                                         --------     --------

CASH FLOWS FROM INVESTING ACTIVITIES:
  Proceeds from the sale of oil and
    gas properties                       $  1,110     $  7,648
  Additions to oil and gas properties         -      (   7,716)
                                         --------     --------
   Net cash provided (used) by  
     investing activities                $  1,110    ($     68)
                                         --------     --------

CASH FLOWS FROM FINANCING ACTIVITIES:
  Cash distributions                    ($109,350)   ($153,090)
                                         --------     --------
   Net cash used by financing
     activities                         ($109,350)   ($153,090)
                                         --------     --------

NET DECREASE IN CASH AND CASH
  EQUIVALENTS                           ($ 39,906)   ($ 96,905)

CASH AND CASH EQUIVALENTS AT 
  BEGINNING OF PERIOD                      86,273      154,512
                                         --------     --------
CASH AND CASH EQUIVALENTS AT
  END OF PERIOD                          $ 46,367     $ 57,607
                                         ========     ========

               The accompanying condensed notes are an 
             integral part of these financial statements.

                                  -9-
<PAGE>
<PAGE>
          DYCO OIL AND GAS PROGRAM 1985-1 LIMITED PARTNERSHIP
          DYCO OIL AND GAS PROGRAM 1985-2 LIMITED PARTNERSHIP
               CONDENSED NOTES TO FINANCIAL STATEMENTS 
                          SEPTEMBER 30, 1997
                              (Unaudited)

1.   ACCOUNTING POLICIES
     -------------------

     The  balance  sheets  as of  September  30,  1997, statements  of
     operations for the three and nine months ended September 30, 1997
     and 1996, and statements of cash flows for the nine  months ended
     September  30, 1997 and 1996 have been prepared by Dyco Petroleum
     Corporation ("Dyco"), the General Partner of the Dyco Oil and Gas
     Program 1985-1 and 1985-2 Limited Partnerships (individually, the
     "1985-1 Program" or the "1985-2 Program", as the case may be, or,
     collectively, the  "Programs"), without audit.  In the opinion of
     management all adjustments  (which include only normal  recurring
     adjustments) necessary to present  fairly the financial  position
     at  September 30, 1997, results  of operations for  the three and
     nine months ended September 30, 1997 and 1996 and changes in cash
     flows for the nine months ended September 30,  1997 and 1996 have
     been made.

     Information  and  footnote   disclosures  normally  included   in
     financial  statements  prepared   in  accordance  with  generally
     accepted  accounting principles have  been condensed  or omitted.
     It  is  suggested  that these  financial  statements  be read  in
     conjunction  with  the  financial  statements  and  notes thereto
     included  in the   Programs' Annual  Report on Form  10-K for the
     year ended December 31,  1996.  The results of operations for the
     period ended September 30, 1997 are not necessarily indicative of
     the results to be expected for the full year.  

     The limited partners' net  income or loss per unit  is based upon
     each $5,000 initial capital contribution.

     OIL AND GAS PROPERTIES
     ----------------------

     Oil  and gas  operations are  accounted for  using the  full cost
     method of  accounting.   All productive and  non-productive costs
     associated with  the acquisition, exploration  and development of
     oil and  gas reserves are capitalized.  The Programs' calculation
     of  depreciation, depletion, and  amortization includes estimated
     future expenditures to be  incurred in developing proved reserves
     and  estimated   dismantlement  and  abandonment  costs,  net  of
     estimated salvage values.   In the event the unamortized  cost of
     oil  and gas  properties being  amortized exceeds  the  full cost
     ceiling (as  defined by the Securities  and Exchange Commission),
     the excess is charged to expense in the period during which  such
     excess  occurs.    Sales   and  abandonments  of  properties  are
     accounted for as adjustments of capitalized costs with no gain or
     loss  recognized,  unless  such  adjustments  would significantly
     alter the  relationship between capitalized costs  and proved oil
     and gas reserves.

     The provision  for depreciation,  depletion, and  amortization of
     oil and gas properties is calculated  by dividing the oil and gas
     sales  dollars during the  period by  the estimated  future gross
     income from the oil and gas properties and applying the resulting

                                 -10-
<PAGE>
<PAGE>
     rate to the  net remaining costs  of oil and gas  properties that
     have been capitalized, plus estimated future development costs.


2.   TRANSACTIONS WITH RELATED PARTIES
     ---------------------------------

     Under the terms of  each of the Program's partnership  agreement,
     Dyco  is  entitled to  receive  a  reimbursement for  all  direct
     expenses   and   general  and   administrative,   geological  and
     engineering  expenses it incurs on behalf of the Program.  During
     the three months  ended September  30, 1997 and  1996 the  1985-1
     Program incurred  such  expenses totaling  $12,898  and  $12,308,
     respectively, of which $10,710  was paid each period to  Dyco and
     its  affiliates.  During the nine months ended September 30, 1997
     and  1996  the 1985-1  Program  incurred  such expenses  totaling
     $45,590 and $43,354, respectively, of which $32,130 was paid each
     period to Dyco and its affiliates.  During the three months ended
     September  30,  1997 and  1996 the  1985-2 Program  incurred such
     expenses totaling  $12,379  and $11,753,  respectively, of  which
     $10,068 was paid each period to  Dyco and its affiliates.  During
     the  nine months  ended September  30, 1997  and 1996  the 1985-2
     Program  incurred such  expenses  totaling  $44,397 and  $41,993,
     respectively, of which $30,204  was paid each period to  Dyco and
     its affiliates.

     Affiliates  of  the  Program  operate certain  of  the  Programs'
     properties.    Their  policy is  to  bill  the  Programs for  all
     customary charges  and cost reimbursements  associated with these
     activities.

                                 -11-
<PAGE>
<PAGE>
ITEM 2.   MANAGEMENT'S  DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
          AND RESULTS OF OPERATIONS


USE OF FORWARD-LOOKING STATEMENTS AND ESTIMATES
-----------------------------------------------

     This   Quarterly   Report   contains    certain   forward-looking
     statements.  The words "anticipate," "believe," "expect," "plan,"
     "intend,"  "estimate," "project,"  "could,"  "may,"  and  similar
     expressions are intended  to identify forward-looking statements.
     Such statements reflect management's  current views with  respect
     to  future  events and  financial  performance.   This  Quarterly
     Report also includes  certain information, which is,  or is based
     upon, estimates and assumptions.   Such estimates and assumptions
     are management's efforts to  accurately reflect the condition and
     operation of the Programs.

     Use of forward-looking statements  and estimates and  assumptions
     involve  risks  and  uncertainties  which include,  but  are  not
     limited to, the volatility of oil and gas prices, the uncertainty
     of reserve  information, the  operating risk associated  with oil
     and gas properties (including the risk of personal injury, death,
     property  damage,  damage to  the  well  or producing  reservoir,
     environmental  contamination, and  other  operating  risks),  the
     prospect of  changing tax  and regulatory laws,  the availability
     and capacity  of  processing and  transportation facilities,  the
     general economic climate, the supply and price of foreign imports
     of  oil and gas,  the level of  consumer product demand,  and the
     price  and availability of alternative fuels.  Should one or more
     of  these risks  or uncertainties  occur or  should  estimates or
     underlying  assumptions  prove  incorrect, actual  conditions  or
     results  may vary  materially  and adversely  from those  stated,
     anticipated, believed, estimated, or otherwise indicated.


LIQUIDITY AND CAPITAL RESOURCES
-------------------------------

     Net  proceeds   from  the  Programs'  operations  less  necessary
     operating  capital are  distributed to  investors on  a quarterly
     basis.   The net proceeds  from production are  not reinvested in
     productive assets, except to the extent that producing wells  are
     improved or where methods  are employed to permit more  efficient
     recovery  of  the Programs'  reserves  which  would result  in  a
     positive economic impact.

     The Programs' available capital from subscriptions has been spent
     on oil  and gas  drilling activities.   There  should not be  any
     further material capital resource commitments in the future.  The
     Programs have no  bank debt  commitments.   Cash for  operational
     purposes will be provided by current oil and gas production.


RESULTS OF OPERATIONS
---------------------

                                 -12-
<PAGE>
<PAGE>
     GENERAL DISCUSSION

     The following  general discussion  should be read  in conjunction
     with the analysis of  results of operations provided below.   The
     most important  variable affecting the Programs'  revenues is the
     prices  received for the sale of  oil and gas.  Predicting future
     prices is very difficult.  Substantially all of the Programs' gas
     reserves are being sold in the "spot market".  Prices on the spot
     market  are  subject  to   wide  seasonal  and  regional  pricing
     fluctuations due to  the highly  competitive nature  of the  spot
     market.  In addition, such spot market sales are generally short-
     term  in  nature   and  are  dependent  upon  the   obtaining  of
     transportation services  provided  by pipelines.   Management  is
     unable  to predict  whether future  oil and  gas prices  will (i)
     stabilize, (ii) increase, or (iii) decrease.

     1985-1 PROGRAM 

     THREE  MONTHS ENDED SEPTEMBER 30,  1997 AS COMPARED  TO THE THREE
     MONTHS ENDED SEPTEMBER 30, 1996.

                                   Three Months Ended September 30,
                                   --------------------------------
                                           1997           1996
                                          -------       --------
      Oil and gas sales                   $79,616       $107,842
      Oil and gas production expenses     $26,641       $ 25,701
      Barrels produced                          -            107
      Mcf produced                         39,677         55,644
      Average price/Bbl                   $     -       $  21.80
      Average price/Mcf                   $  2.01       $   1.96

     As  shown in the  table above, total oil  and gas sales decreased
     $28,226 (26.17%) for the three months ended September 30, 1997 as
     compared to the three  months ended September 30, 1996.   Of this
     decrease,  approximately $31,000  was  related to  a decrease  in
     volumes  of  gas  sold,  partially  offset   by  an  increase  of
     approximately $2,000 related to an increase in the  average price
     of gas sold.  Volumes  of oil and gas sold decreased  107 barrels
     and  15,967  Mcf,  respectively,   for  the  three  months  ended
     September  30,  1997  as  compared  to  the  three  months  ended
     September 30, 1996.  The decrease in volumes of gas sold resulted
     primarily from (i) positive  prior period volume adjustments made
     by  the purchaser  on  one well  during  the three  months  ended
     September  30, 1996  and  (ii) the  shutting-in  of another  well
     during  the three  months ended  September 30,  1997 in  order to
     increase productions  capabilities.  Average gas prices increased
     to $2.01  per Mcf for the  three months ended September  30, 1997
     from $1.96 per Mcf for the three months ended September 30, 1996.

     Oil  and  gas  production  expenses  (including  lease  operating
     expenses  and production  taxes)  increased $940  (3.7%) for  the
     three  months ended September 30,  1997 as compared  to the three
     months  ended  September  30,   1996.    This  increase  resulted
     primarily from an increase in compression charges on one well for
     the  three months  ended September  30, 1997  as compared  to the
     three  months ended September  30, 1996, partially  offset by the
     decrease in volumes  of gas  sold during the  three months  ended
     September  30,  1997  as  compared  to  the  three  months  ended
     September 30,  1996.  As a percentage of oil and gas sales, these
     expenses increased to 33.5% for the three months ended  September

                                 -13-
<PAGE>
<PAGE>
     30,  1997 from  23.8% for  the three  months ended  September 30,
     1996.  This percentage increase was primarily due to the increase
     in compression charges discussed above.

     Depreciation,  depletion,  and  amortization   of  oil  and   gas
     properties decreased  $10,244 (65.1%) for the  three months ended
     September  30,  1997  as  compared  to  the  three  months  ended
     September 30,  1996.  This  decrease resulted primarily  from (i)
     upward revisions  in the  estimate of  remaining gas  reserves at
     December 31,  1996 and (ii) the  decrease in volumes of  gas sold
     for the three months ended September 30, 1997  as compared to the
     three months ended  September 30, 1996.   As a percentage  of oil
     and  gas  sales, this  expense decreased  to  6.9% for  the three
     months ended September 30,  1997 from 14.6% for the  three months
     ended September 30, 1996.  This percentage decrease was primarily
     due  to  the  dollar  decrease in  depreciation,  depletion,  and
     amortization discussed above.

     General  and administrative expenses remained relatively constant
     for the three months  ended September 30, 1997 as compared to the
     three months  ended September 30, 1996.   As a percentage  of oil
     and  gas sales, these expenses  increased to 16.2%  for the three
     months ended September 30,  1997 from 11.4% for the  three months
     ended September 30, 1996.  This percentage increase was primarily
     due to the decrease in oil and gas sales discussed above.

     NINE  MONTHS ENDED  SEPTEMBER 30,  1997 AS  COMPARED TO  THE NINE
     MONTHS ENDED SEPTEMBER 30, 1996.

                                    Nine Months Ended September 30,
                                    -------------------------------
                                           1997           1996
                                         --------       --------
      Oil and gas sales                  $343,327       $274,903
      Oil and gas production expenses    $ 66,860       $ 75,160
      Barrels produced                          -            219
      Mcf produced                        159,197        142,725
      Average price/Bbl                  $      -       $  21.21
      Average price/Mcf                  $   2.16       $   1.92

     As shown in  the table above,  total oil and gas  sales increased
     $68,424 (24.9%) for the  nine months ended September 30,  1997 as
     compared to the  nine months ended September  30, 1996.   Of this
     increase,  approximately $31,000  was related  to an  increase in
     volumes of gas sold  and approximately $38,000 was related  to an
     increase in the  average price of gas sold.   Volumes of gas sold
     increased 16,472  Mcf  while volumes  of oil  sold decreased  219
     barrels  for the nine months ended September 30, 1997 as compared
     to  the nine  months ended  September 30,  1996. The  increase in
     volumes of gas sold resulted primarily from positive prior period
     volume  adjustments made by the purchaser on two wells during the
     nine  months  ended  September  30,  1997.    Average gas  prices
     increased  to $2.16 per Mcf  for the nine  months ended September
     30, 1997 from $1.92 per Mcf  for the nine months ended  September
     30, 1996.

     Oil  and  gas  production  expenses  (including  lease  operating

                                 -14-
<PAGE>
<PAGE>
     expenses and  production taxes) decreased $8,300  (11.0%) for the
     nine  months ended  September 30,  1997 as  compared to  the nine
     months  ended  September  30,   1996.    This  decrease  resulted
     primarily  from credits received from  the operators on two wells
     during  the nine months ended September 30, 1997 for prior period
     lease  operating expenses,  partially  offset by  an increase  in
     volumes  of gas sold during  the nine months  ended September 30,
     1997 as compared to the nine months ended September 30, 1996.  As
     a  percentage of oil and  gas sales, these  expenses decreased to
     10.3% for the nine months ended September 30, 1997 from 14.3% for
     the nine  months  ended  September  30, 1996.    This  percentage
     decrease  was  primarily due  to  dollar  decrease in  production
     expenses discussed above and the increase in the average price of
     gas  sold  during the  nine months  ended  September 30,  1997 as
     compared to the nine months ended September 30, 1996.

     Depreciation,  depletion,   and  amortization  of  oil   and  gas
     properties  decreased $4,107  (10.5%) for  the nine  months ended
     September 30, 1997 as compared to the nine months ended September
     30, 1996.  This decrease resulted primarily from upward revisions
     in the estimate of  remaining gas reserves at December  31, 1996,
     partially offset by an increase in volumes of gas sold during the
     nine  months ended  September 30,  1997 as  compared to  the nine
     months ended September 30, 1996.  As a percentage of  oil and gas
     sales,  this expense decreased to 10.2% for the nine months ended
     September 30, 1997 from 14.3% for the nine months ended September
     30,  1996.   This percentage  decrease was  primarily due  to the
     dollar  decrease  in  depreciation, depletion,  and  amortization
     discussed above.

     General and  administrative expenses increased $2,236  (5.2%) for
     the nine months  ended September 30, 1997 as compared to the nine
     months  ended  September  30,   1996.    This  increase  resulted
     primarily  from increases  in both  computer consulting  fees and
     computer  upgrades, which  increases were  partially offset  by a
     decrease in  postage expense.   As a  percentage of  oil and  gas
     sales,  these expenses  decreased to  13.3% for  the nine  months
     ended September 30,  1997 from  15.8% for the  nine months  ended
     September 30,  1996.  This percentage decrease  was primarily due
     to the increase in gas sales discussed above.

     1985-2 PROGRAM  

     THREE  MONTHS ENDED SEPTEMBER 30,  1997 AS COMPARED  TO THE THREE
     MONTHS ENDED SEPTEMBER 30, 1996.

                                   Three Months Ended September 30,
                                   --------------------------------
                                          1997            1996
                                         -------         -------
      Oil and gas sales                  $47,614         $55,749
      Oil and gas production expenses    $19,667         $26,146
      Barrels produced                       789             761
      Mcf produced                        15,139          16,744
      Average price/Bbl                  $ 18.53         $ 22.82
      Average price/Mcf                  $  2.18         $  2.29

                                 -15-
<PAGE>
<PAGE>
     As shown in  the table above,  total oil and gas  sales decreased
     $8,135 (14.6%) for the  three months ended September 30,  1997 as
     compared to the three months ended  September 30, 1996.  Of  this
     decrease, approximately  $5,000 was  related to the  decreases in
     the average prices of  oil and gas sold and  approximately $3,000
     was related to a decrease in volumes of gas sold.  Volumes of oil
     sold increased 28  barrels, while volumes  of gas sold  decreased
     1,605  Mcf for  the  three months  ended  September 30,  1997  as
     compared to  the three months  ended September 30,  1996. Average
     oil and gas  prices decreased to $18.53 per barrel  and $2.18 per
     Mcf, respectively, for the three months ended September  30, 1997
     from $22.82 per barrel and $2.29 Mcf, respectively, for the three
     months ended September 30, 1996.

     Oil  and  gas  production  expenses  (including  lease  operating
     expenses and  production taxes) decreased $6,479  (24.8%) for the
     three  months ended September 30,  1997 as compared  to the three
     months  ended  September  30,   1996.    This  decrease  resulted
     primarily from (i) a decrease  in legal expenses on one  well and
     (ii) the decrease  in volumes  of gas sold  for the three  months
     ended  September 30, 1997 as  compared to the  three months ended
     September 30, 1996. As a  percentage of oil and gas sales,  these
     expenses decreased to 41.3% for  the three months ended September
     30,  1997 from  46.9% for  the three  months ended  September 30,
     1996.  This percentage  decrease was primarily due to  the dollar
     decrease in oil and gas production expenses discussed above.

     Depreciation,  depletion,   and  amortization  of  oil   and  gas
     properties decreased  $2,092 (47.3%)  for the three  months ended
     September  30,  1997  as  compared  to  the  three  months  ended
     September 30, 1996.  This decrease resulted primarily from upward
     revisions in the estimates  of remaining oil and gas  reserves at
     December 31,  1996.  As a  percentage of oil and  gas sales, this
     expense decreased to  4.9% for the  three months ended  September
     30, 1997 from 7.9% for the three months ended September 30, 1996.
     This percentage decrease was primarily due to the dollar decrease
     in depreciation, depletion, and amortization discussed above.

     General and administrative expenses increased $626 (5.3%) for the
     three  months ended September 30,  1997 as compared  to the three
     months  ended  September  30,   1996.    This  increase  resulted
     primarily from an increase in computer consulting fees during the
     three  months ended September 30,  1997 as compared  to the three
     months ended September 30, 1996.   As a percentage of oil and gas
     sales, these  expenses increased  to 26.0%  for the  three months
     ended  September 30, 1997 from  21.1% for the  three months ended
     September  30, 1996.  This percentage  increase was primarily due
     to the decrease in oil and gas sales discussed above.

     NINE  MONTHS ENDED  SEPTEMBER 30,  1997 AS  COMPARED TO  THE NINE

                                 -16-
<PAGE>
<PAGE>
     MONTHS ENDED SEPTEMBER 30, 1996.

                                    Nine Months Ended September 30,
                                    -------------------------------
                                          1997            1996
                                        --------        --------
      Oil and gas sales                 $141,246        $160,958
      Oil and gas production expenses   $ 42,167        $ 72,182
      Barrels produced                     1,682           3,005
      Mcf produced                        47,756          50,863 
      Average price/Bbl                 $  21.04        $  19.70
      Average price/Mcf                 $   2.22        $   2.00

     As shown in  the table above, total  oil and gas  sales decreased
     $19,712 (12.3%) for the  nine months ended September 30,  1997 as
     compared to the  nine months ended September  30, 1996.  Of  this
     decrease,  approximately $6,000  and $26,000,  respectively, were
     related  to decreases in volumes  of oil and  gas sold, partially
     offset  by  increases  of   approximately  $2,000  and   $11,000,
     respectively,  related to the increases in  the average prices of
     oil and  gas sold.  Volumes  of oil and gas  sold decreased 1,323
     barrels and 3,107  Mcf, respectively, for  the nine months  ended
     September 30, 1997 as compared to the nine months ended September
     30, 1996.  The decrease in volumes of oil sold resulted primarily
     from  a negative  prior  period  volume  adjustment made  by  the
     purchaser  on one well during the nine months ended September 30,
     1997.  Average oil and gas prices  increased to $21.04 per barrel
     and  $2.22  per  Mcf, respectively,  for  the  nine months  ended
     September  30, 1997  from $19.70  per barrel  and $2.00  per Mcf,
     respectively, for the nine months ended September 30, 1996.
 
     Oil  and  gas  production  expenses  (including  lease  operating
     expenses and production taxes)  decreased $30,015 (41.6%) for the
     nine  months ended  September 30,  1997 as  compared to  the nine
     months  ended  September  30,   1996.    This  decrease  resulted
     primarily from (i) credits received from the operator on one well
     during the nine months ended September 30, 1997, (ii) the sale of
     one well during  the nine  months ended September  30, 1996,  and
     (iii) the decrease in volumes of oil and gas sold during the nine
     months  ended September 30, 1997  as compared to  the nine months
     ended September 30, 1996.  As  a percentage of oil and gas sales,
     these expenses  decreased  to 29.9%  for  the nine  months  ended
     September 30, 1997 from 44.8% for the nine months ended September
     30,  1996.   This percentage  decrease was  primarily due  to the
     dollar decrease  in production  expenses discussed above  and the
     increase  in the average price of gas sold during the nine months
     ended September 30,  1997 as  compared to the  nine months  ended
     September 30, 1996.

     Depreciation,  depletion,   and  amortization  of  oil   and  gas
     properties  decreased $6,475  (42.7%) for  the nine  months ended
     September 30, 1997 as compared to the nine months ended September
     30,  1996.   This  decrease resulted  primarily  from (i)  upward
     revisions in the estimates  of remaining oil and gas  reserves at
     December  31, 1996  and (ii) a  decrease in  volumes of  gas sold
     during  the nine months ended  September 30, 1997  as compared to
     the nine months ended September 30, 1996.  As a percentage of oil
     and gas sales, this expense decreased to 6.1% for the nine months
     ended  September 30,  1997 from  9.4% for  the nine  months ended
     September 30,  1996.  This percentage decrease  was primarily due

                                 -17-
<PAGE>
<PAGE>
     to   the  dollar   decrease   in  depreciation,   depletion,  and
     amortization  discussed above  and  the increase  in the  average
     price of gas sold during the nine months ended September 30, 1997
     as compared to the nine months ended September 30, 1996.

     General  and administrative expenses  increased $2,404 (5.7%) for
     the nine months ended September 30, 1997 as compared to the  nine
     months  ended  September  30,   1996.    This  increase  resulted
     primarily  from increases  in both  computer consulting  fees and
     computer  upgrades, which  increases were  partially offset  by a
     decrease  in  postage  expenses  during  the  nine  months  ended
     September 30, 1997 as compared to the nine months ended September
     30,  1996.  As a percentage of  oil and gas sales, these expenses
     increased to 31.4% for  the nine months ended September  30, 1997
     from 26.1%  for the nine months  ended September 30, 1996.   This
     percentage  increase was primarily due to the decrease in oil and
     gas sales discussed above.

                                -18-
<PAGE>
<PAGE>
                      PART II:  OTHER INFORMATION


ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K

     (a)  Exhibits:

          27.1      Financial   Data   Schedule   containing   summary
                    financial  information  extracted from  the 1985-1
                    Program's financial statements as of September 30,
                    1997 and  for the nine months  ended September 30,
                    1997, filed herewith.

          27.2      Financial   Data   Schedule   containing   summary
                    financial  information  extracted from  the 1985-2
                    Program's financial statements as of September 30,
                    1997 and  for the nine months  ended September 30,
                    1997, filed herewith.

                    All other exhibits are omitted as inapplicable.

     (b)  Reports on Form 8-K

          None.

                                -19-
<PAGE>
<PAGE>
                              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.


                         DYCO OIL AND GAS PROGRAM 1985-1 LIMITED
                         PARTNERSHIP
                         DYCO OIL AND GAS PROGRAM 1985-2 LIMITED
                         PARTNERSHIP

                              (Registrant)


                              By:  DYCO PETROLEUM CORPORATION

                                   General Partner




Date:  November 4, 1997      By:        /s/Dennis R. Neill
                                 -------------------------------
                                        (Signature)
                                        Dennis R. Neill
                                        President



Date:  November 4, 1997      By:        /s/Patrick M. Hall
                                 -------------------------------
                                        (Signature)
                                        Patrick M. Hall
                                        Chief Financial Officer

<PAGE>

                                  INDEX TO EXHIBITS
                                  -----------------


          NUMBER    DESCRIPTION
          ------    -----------

          27.1      Financial  Data  Schedule containing  summary financial
                    information extracted from the Dyco Oil and Gas Program
                    1985-1 Limited Partnership's financial statements as of
                    September  30,  1997  and  for the  nine  months  ended
                    September 30, 1997, filed herewith.

          27.2      Financial  Data  Schedule containing  summary financial
                    information extracted from the Dyco Oil and Gas Program
                    1985-2 Limited Partnership's financial statements as of
                    September  30,  1997  and  for the  nine  months  ended
                    September 30, 1997, filed herewith.

                    All other exhibits are omitted as inapplicable.
<PAGE>