Form 10-C
Securities and Exchange Commission
Washington, DC 20549
Report by issuer of securities quoted on The Nasdaq Stock Market(SM), filed 
pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 and
Rule 13a-17 or 15d-17 thereunder.

EXACT NAME OF ISSUER AS SPECIFIED IN CHARTER: Zydeco Energy, Inc.

ADDRESS OF PRINCIPAL EXECUTIVE OFFICES: 1710 Two Allen Center, 1200 Smith 
Street, Houston, Texas 77002

ISSUER'S TELEPHONE NUMBER (INCLUDING AREA CODE): 713/659-2222

I. Change in Number of Shares Outstanding
Indicate any change (increase or decrease) of five percent or more in the
number of shares outstanding:

1. Title of security: Common Stock, Convertible Preferred Stock

2. Number of shares outstanding before the change: Common Stock: 5,807,363
                                                   Convertible Preferred 
                                                   Stock: 781,255
3. Number of shares outstanding after the change:  Common Stock: 6,588,618
                                                   Convertible Preferred 
                                                   Stock: 0
4. Effective date of change: July 15, 1996

5. Method of change:
Specify method (such as merger, acquisition, exchange, distribution, stock
split, reverse split, acquisition of stock for treasury, etc.) Conversion of
preferred stock
Give brief description of transaction: Pursuant to the terms of the preferred 
stock, the issuer converted each outstanding share of preferred stock, par 
value $.001, into one share of common stock, par value $.001 effective July 15, 
1996.

II. Change in Name of Issuer

1. Name prior to change_________________________________________________________

2. Name after change____________________________________________________________

3. Effective date of charter amendment changing name____________________________

4. Date of shareholder approval of change, if required__________________________


                             /s/ Edward R. Prince, Jr.
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DATE: July 15, 1996    Edward R. Prince, Jr., Vice Chairman
                          OFFICER'S SIGNATURE AND TITLE

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