Exhibit 23.1


                  CONSENT OF ERNST & YOUNG LLP, INDEPENDENT AUDITORS


       We consent to the incorporation by reference in this Registration
       Statement on Form S-8 pertaining to the amendment of the 1993 Stock
       Incentive Plan of Hondo Oil & Gas Company of our report dated November
       21, 1997, except for Note 5 as to which the date is December 18, 1997,
       with respect to the consolidated financial statements and schedule of
       Hondo Oil & Gas Company included in its Annual Report on Form 10-K for
       the year ended September 30, 1997, filed with the Securities and
       Exchange Commission.




                                                    /s/ Ernst & Young LLP







       Denver, Colorado
       January 12, 1998