1 Exhibit 12 Enron Oil & Gas Company Computation of Ratio of Earnings to Fixed Charges (In Thousands) (Unaudited) Three Months Ended Year Ended December 31 - -------------------------------------------------------------------------------------------------------------------- 3/31/97 1996 1995 1994 1993 1992 - -------------------------------------------------------------------------------------------------------------------- EARNINGS AVAILABLE FOR FIXED CHARGES: Net Income $ 23,065 $140,008 $142,118 $147,998 $138,025 $ 97,580 Less: Capitalized Interest Expense (3,232) (9,136) (6,490) (6,124) (5,457) (3,580) Add: Fixed Charges 8,347 21,997 18,414 14,613 15,378 25,869 Income Tax Provision(Benefit) 14,246 50,954 41,936 5,937 (25,752) (17,736) -------- -------- -------- -------- -------- -------- EARNINGS AVAILABLE $ 42,426 $203,823 $195,978 $162,424 $122,194 $102,133 ======== ======== ======== ======== ======== ======== FIXED CHARGES: Interest Expense 5,013 12,370 11,310 8,135 9,921 22,289 Capitalized Interest 3,232 9,136 6,490 6,124 5,457 3,580 Rental Expense Representative of Interest Factor 102 491 614 354 - - -------- -------- -------- -------- -------- -------- TOTAL FIXED CHARGES $ 8,347 $ 21,997 $ 18,414 $ 14,613 $ 15,378 $ 25,869 ======== ========= ======== ======== ======== ======== RATIO OF EARNINGS TO FIXED CHARGES 5.08 9.27 10.64 11.12 7.95 3.95 - --------------------------------------------------------------------------------------------------------------------