1 EXHIBIT 12 UNION PACIFIC RESOURCES GROUP INC. COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES (Amounts in Thousands, Except Ratios) (Unaudited) Six Months Ended June 30, --------------------------- 1998 1997 --------- --------- Income (loss) before income taxes ......................................... $ (5,941) $ 280,628 Add (deduct) distributions greater (less) than income of unconsolidated affiliates .................................. (1,208) (1,099) Fixed charges from below .................................................. 125,976 25,293 Capitalized interest included in fixed charges ............................ (3,057) (662) --------- --------- Earnings available for fixed charges ............................. $ 115,770 $ 304,160 ========= ========= Fixed charges: Interest expense, including amortization of debt expense/discount .... $ 117,488 $ 21,661 Portion of rentals representing an interest factor ................... 5,431 2,970 Interest capitalized ................................................. 3,057 662 --------- --------- Total fixed charges .............................................. $ 125,976 $ 25,293 ========= ========= Ratio of earnings to fixed charges ........................................ 0.9(a) 12.0 ========= ========= (a) For the six months ended June 30, 1998, earnings are insufficient by $10.2 million to cover fixed charges of the Company.