<ARTICLE> 5
<LEGEND>
This schedule contains summary financial information extracted from the
consolidated balance sheet of Phillips Gas Company as of December 31, 1996,
and the related consolidated statement of operations for the year ended
December 31, 1996, and is qualified in its entirety by reference to such
financial statements.
</LEGEND>
<MULTIPLIER> 1,000
       
                             
<PERIOD-TYPE>                   YEAR
<FISCAL-YEAR-END>                          DEC-31-1996
<PERIOD-END>                               DEC-31-1996
<CASH>                                          79,031
<SECURITIES>                                         0
<RECEIVABLES>                                  245,156
<ALLOWANCES>                                       905
<INVENTORY>                                      6,418
<CURRENT-ASSETS>                               336,367
<PP&E>                                       1,972,524
<DEPRECIATION>                               1,070,031
<TOTAL-ASSETS>                               1,293,076
<CURRENT-LIABILITIES>                          339,152
<BONDS>                                        310,000
<PREFERRED-MANDATORY>                                0
<PREFERRED>                                    345,000
<COMMON>                                       142,917
<OTHER-SE>                                     131,233
<TOTAL-LIABILITY-AND-EQUITY>                 1,293,076
<SALES>                                      1,648,403
<TOTAL-REVENUES>                             1,723,639
<CGS>                                        1,477,131<F1>
<TOTAL-COSTS>                                1,477,131
<OTHER-EXPENSES>                                     0
<LOSS-PROVISION>                                     0
<INTEREST-EXPENSE>                              23,356
<INCOME-PRETAX>                                207,864
<INCOME-TAX>                                    79,665
<INCOME-CONTINUING>                            128,199
<DISCONTINUED>                                       0
<EXTRAORDINARY>                                      0
<CHANGES>                                            0
<NET-INCOME>                                   128,199
<EPS-PRIMARY>                                        0<F2>
<EPS-DILUTED>                                        0<F2>
<FN>
<F1>Gas purchases + Operating expenses + Depreciation.
<F2>Income per share of common stock has been omitted because all common
    stock is owned by Phillips Petroleum Company.
</FN>