Albert Grover Fraley, 59, the founder and president of the Fraley Supply Co., a wholesale firm that sells parts and controls for oil and gas heating equipment, died of cancer Sunday at Montgomery General Hospital.

Mr. Farley was born on a farm near Redland in Montgomery County. He quit school after the eighth grade and became an oil burner mechanic. During World War II he worked on the heating and cooling systems of several government buildings, including the Treasury and the National Archives. He was an employe of the Combustioneer Corp. at that time and remained wiht the firm until about 1955.

He then joined Steaurt Petroleum Co. as service manager. He left Steuart in 1962 to found Fraley Supply, which has outlets in Rockville and Frederick.

In 1969, Mr. Fraley helpd found Fraley Equipment and Supply Co. in Anchorage, Alaska. He had gone to Alaska on a vacation and became con-bensperdaidahetthce te n ra idvtunion and became convinced that the area presented business opportunities. The company now is a subsidiary of Alaska Heat Inc. Mr. Fraley remained a stockholder until his death.

Mr. Fraley was a resident of Rockville for almost 40 years. He was a lifelong member of St. Luke's Lutheran Church in Redland and had served on the church council.

The youngest of eight boys in his family, he was the last survivor among them.

Mr. Fraley's survivors include his wife, Virginia Thomas Fraley, of the home in Rockville; three daughters, Eleanor Duvall, of Damascus, Md., Rebecca Speelman, of Gaithersburg, and Paula Smith, of Adamstown, Md., and three grandchildren.