EXHIBIT 23.2

                        Consent of Independent Auditors

We consent to the references to our firm under the caption "Experts" and to the
use of our reports dated February 23, 2001, with respect to the financial
statements of American Resources Offshore, Inc. included in the Registration
Statement (Form S-4) and related Prospectus of Blue Dolphin Energy Company for
the registration of 326,000 shares of its common stock and to the incorporation
by reference therein of our reports dated February 23, 2001, with respect to the
financial statements of American Resources Offshore, Inc., included in its
Annual Report (Form 10-K) for the year ended December 31, 2000 and included in
the Annual Report (Form 10-K) of Blue Dolphin Energy Company for the year ended
December 31, 2000, both filed with the Securities and Exchange Commission.



                                                  /s/ ERNST & YOUNG LLP

New Orleans, Louisiana
December 20, 2001