##### Table of Contents



United States
Securities and Exchange Commission
 Washington, D.C. 20549
 Form 10-K
  þ
    
    ANNUAL REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934
 For the fiscal year ended December 31, 2010
 o
    
    TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934
 For the transition period from  to
 Commission file number 000-49777
 ATLAS AMERICA PUBLIC #10 LTD.
  Pennsylvania
(State or other jurisdiction of 
Incorporation or organization)
    
    25-1891457
(I.R.S. Employer
Identification No.)Westpointe Corporate Center One 
1550 Coraopolis Heights Road, 2nd FloorMoon Township, PA
    
    15108(Address of principal executive offices)
    
    (Zip Code)
 (412) 262-2830
  Title of each class
    
    Name of each exchange on which registeredNone
    
    None
   o þ
 o þ
 þ o
 þ
  Large accelerated filer o
    
    Accelerated filer o
    
    Non-accelerated filer o
    
    Smaller reporting company þ
 o þ




---



##### 



ATLAS AMERICA PUBLIC #10 LTD.
(A PENNSYLVANIA LIMITED PARTNERSHIP)
INDEX TO ANNUAL REPORT
 ON FORM 10-K
 PAGEPART IItem 1: Business
    
    
    3-5Item 2: Properties
    
    
    5-10Item 3: Legal Proceedings
    
    
    10Item 4: (Removed and Reserved)
    
    
    10PART IIItem 5: Market for Registrants Common Equity and Related Security Holder Matters
    
    
    10-11Item 7: Managements Discussion and Analysis of Financial Condition or Plan of Operations
    
    
    11-15Item 8: Financial Statements
    
    
    16-35Item 9: Changes in and Disagreements with Accountants on Accounting and Financial Disclosure
    
    
    36Item 9A: Controls and Procedures
    
    
    36-37Item 9B: Other Information
    
    
    37PART IIIItem 10: Directors and Executive Officers of the Registrant
    
    
    37-39Item 11: Executive Compensation
    
    
    39Item 12: Security Ownership of Certain Beneficial Owners and Management
    
    
    39Item 13: Certain Relationships and Related Party Transactions
    
    
    39-40Item 14: Principal Accountant Fees and Services
    
    
    40PART IVItem 15: Exhibits
    
    
    41SIGNATURES
    
    
    42Exhibit 23.1Exhibit 31.1Exhibit 31.2Exhibit 32.1Exhibit 32.2Exhibit 99.1
   2




---



##### Table of Contents



The matters discussed within this report include forward-looking statements. These
statements may be identified by the use of forward-looking terminology such as anticipate,
believe, continue, could, estimate, expect, intend, may, might, plan,
potential, predict, should, or will, or the negative thereof or other variations thereon or
comparable terminology. In particular, statements about our expectations, beliefs, plans,
objectives, assumptions or future events or performance contained in this report are
forward-looking statements. We have based these forward-looking statements on our current
expectations, assumptions, estimates and projections. While we believe these expectations,
assumptions, estimates and projections are reasonable, such forward-looking statements are only
predictions and involve known and unknown risks and uncertainties, many of which are beyond our
control. These and other important factors may cause our actual results, performance or
achievements to differ materially from any future results, performance or achievements expressed or
implied by these forward-looking statements.
 
 PART I
 
 ITEM 1.
    
    BUSINESS
 General.
      3




---



##### Table of Contents




    
    well tending, routine maintenance and adjustment;
 
    
    reading meters, recording production, pumping, maintaining appropriate books and
records; and
 
    
    preparation of reports for us and government agencies.
   Markets and Competition .
  Governmental Regulation.
 Regulation of oil and gas producing activities .
  4




---



##### Table of Contents




    
    new well permit and well registration requirements, procedures and fees;
 
    
    minimum well spacing requirements;
 
    
    restrictions on well locations and underground gas storage;
 
    
    certain well site restoration, groundwater protection and safety measures;
 
    
    landowner notification requirements;
 
    
    certain bonding or other security measures;
 
    
    various reporting requirements;
 
    
    well plugging standards and procedures; and
 
    
    broad enforcement powers.
 Environmental and Safety Regulation .
  Where can you find more information
  
 
 ITEM 2.
    
    PROPERTIES
 Drilling Activity
 Summary of Producing Wells.
 Number of Producing WellsGross
    
    
    NetGas
    
    
    104
    
    
    
    100.15Oil
    
    
    3
    
    
    
    3Total
    
    
    107
    
    
    
    103.15
  5




---



##### Table of Contents



Production.
 AverageYear
    
    
    
    
    
    
    
    
    
    Average
    
    
    Production CostEnded
    
    Production
    
    
    Sales Price
    
    
    (Lifting Cost)December 31,
    

Oil (bbls) (1)
    
    

Gas (mcf) (1)
    
    

per bbl (1)
    
    

per mcf (1)
    
    

per mcfe (1) (2)2010
    
    
    800
    
    
    
    257,000
    
    
    $
    77.49
    
    
    $
    6.64
    
    
    $
    2.892009
    
    
    1,200
    
    
    
    264,200
    
    
    $
    68.13
    
    
    $
    7.75
    
    
    $
    3.17
 
 (1)
    
    Mcf represents one thousand cubic feet of natural gas. Mcfe represents a thousand
cubic feet equivalent. Oil production is converted to mcfe at the rate of six mcf per
barrel (bbl).(2)
    
    Lifting costs include labor to operate the wells and related equipment, repairs
and maintenance, materials and supplies, property taxes, production taxes, insurance and
gathering charges. Natural Gas and Oil Reserve Information.
 
    
    Introduce a new definition of oil and gas producing activities. This new
definition allows companies to include in their reserve base volumes from
unconventional resources. Such unconventional resources include bitumen extracted
from oil sands and oil and gas extracted from coal beds and shale formations.
 
    
    Report oil and gas reserves using an unweighted average price using the prior
12-month period, based on the closing prices on the first day of each month, rather
than year-end pricing. This should maximize the comparability of reserve estimates
among companies and mitigate the distortion of the estimates that arises when using a
single pricing date.
 
    
    Permit companies to disclose their probable and possible reserves on a voluntary
basis. Current rules limit disclosure to only proved reserves.
 
    
    Update and revise reserve definitions to reflect changes in the oil and gas
industry and new technologies. New updated definitions include by geographic area
and reasonable certainty.
 
    
    Permit the use of new technologies to determine proved reserves if those
technologies have been demonstrated empirically to lead to reliable conclusions about
reserves volumes.
 
    
    Require additional disclosures regarding the qualifications of the chief technical
person who oversees the companys overall reserve estimation process. Additionally,
disclosures are required related to internal controls over reserve estimation, as
well as a report addressing the independence and qualifications of a companys
reserves preparer or auditor based on Society of Petroleum Engineers criteria.
   6




---



##### Table of Contents



December 31,2010
    
    
    2009Natural gas (per mcf)
    
    $
    4.38
    
    
    $
    3.87Oil (per bbl)
    
    
    79.43
    
    
    
    61.18
   7




---



##### Table of Contents



At December 31,2010
    
    
    2009Natural gas reserves  proved developed reserves (Mcf) (1) (2) (4)
    
    
    2,177,800
    
    
    
    2,454,600Oil reserves  proved developed reserves (Bbl) (1) (2) (4)
    
    
    9,200
    
    
    
    9,500Total proved reserves (Mcfe)
    
    
    2,233,000
    
    
    
    2,511,600PV-10 estimate of cash flows of proved reserves (3)(4)
    
    $
    2,700,100
    
    
    $
    2,703,400PV-10 estimate per limited partner unit (5)
    
    $
    860
    
    
    $
    861Undiscounted estimate per limited partner unit (5)
    
    $
    1,372
    
    
    $
    1,370
 
 (1)
    
    Proved reserves generally refers to the estimated quantities of crude oil, natural
gas, and natural gas liquids which geological and engineering data demonstrate with
reasonable certainty to be recoverable in future years from known reservoirs under
existing economic and operating conditions, i.e., prices and costs as of the date the
estimate is made. Prices include consideration of changes in existing prices provided by
contractual arrangements, but not escalations based on future conditions. Reservoirs are
considered proved if economic production is supported by either actual production or
conclusive formation test. The area of a reservoir considered proved includes: that
portion delineated by drilling and defined by gas-oil and/or oil-water contacts, if any;
and the immediately adjoining portions not yet drilled, but which can be reasonably
judged as economically productive on the basis of available geological and engineering
data.(2)
    
    Proved developed oil and gas reserves generally refers to reserves that can be
expected to be recovered through existing wells with existing equipment and operating
methods.(3)
    
    The present value of estimated future net cash flows is calculated by discounting
estimated future net cash flows by 10% annually.(4)
    
    Please see Regulation S-X rule 4-10 for complete definitions of each reserve
category.(5)
    
    This value per $10,000 unit is determined by following the methodology used for
determining our proved reserves using the data discussed above. However, this value does
not necessarily reflect the fair market value of a unit, and each unit is illiquid.
Also, the value of a unit for purposes of presentment of the unit to our MGP for
purchase is different, because it is calculated under a formula set forth in the
Partnership Agreement.  Title to Properties
   8




---



##### Table of Contents



Acreage
 Developed AcreageLocation
    
    Gross (1)
    
    
    Net
(2)Pennsylvania
    
    
    2,847.20
    
    
    
    2,784.21Ohio
    
    
    561.99
    
    
    
    561.99Total
    
    
    3,409.19
    
    
    
    3,346.20
 
 (1)
    
    A gross acre is an acre in which we own a working interest.(2)
    
    A net acre represents the actual working interest we own in one gross acre
divided by one hundred. For example, a 50% working interest in an acre is one gross
acre, but a .50 net acre. Delivery Commitments
     9




---



##### Table of Contents



ITEM 3.
    
    LEGAL PROCEEDINGS
   
 ITEM 4.
    
    (REMOVED AND RESERVED)
  
 PART II
 
 ITEM 5.
    
    MARKET FOR REGISTRANTS COMMON EQUITY AND RELATED SECURITY HOLDER MATTERS
 Market Information.
 
    
    our managing general partner consent;
 
    
    the transfer not result in materially adverse tax consequences to us; and
 
    
    the transfer not violate federal or state securities laws.
  
    
    the assignor gives the assignee the right;
 
    
    our managing general partner consents to the substitution;
 
    
    the assignee pays to us all costs and expenses incurred in connection with the
substitution; and
 
    
    the assignee executes and delivers the instruments which our managing general partner
requires to effect the substitution and to confirm his or her agreement to be bound by
the terms of our Partnership Agreement.
  Holders.
 Distributions.
   10




---



##### Table of Contents




    
    $647,600 and $996,200 to our limited partners; and
 
    
    $304,800 and $468,800 to our managing general partner, respectively.
 
 ITEM 7.
    
    MANAGEMENTS DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION OR
PLAN OF OPERATIONS
     11




---



##### Table of Contents



Results of Operations.
 Years Ended December 31,2010
    
    
    2009Production revenues (in thousands):Gas
    
    $
    1,617
    
    
    $
    2,048Oil
    
    
    59
    
    
    
    79Total
    
    $
    1,676
    
    
    $
    2,127Production volumes:Gas (mcf/day) (1)
    
    
    704
    
    
    
    724Oil (bbls/day) (1)
    
    
    2
    
    
    
    3Total (mcfe/day) (1)
    
    
    716
    
    
    
    742Average sales price:Gas (per mcf) (1) (2)
    
    $
    6.64
    
    
    $
    7.75Oil (per bbl) (1) (3)
    
    $
    77.49
    
    
    $
    68.13Average production costs:As a percent of revenues
    
    
    45
    %
    
    
    40
    %Per mcfe (1)
    
    $
    2.89
    
    
    $
    3.17Depletion per mcfe
    
    $
    2.77
    
    
    $
    3.43
 
 (1)
    
    Mcf represents thousand cubic feet, mcfe represents thousand cubic feet
equivalent and bbls represents barrels. Bbls are converted to mcfe using the ratio of
six mcfs to one bbl.(2)
    
    Average sales prices represent accrual basis pricing after reversing the effect
of previously recognized gains resulting from prior period impairment charges.(3)
    
    Average gas prices are calculated by including in total revenue derivative gains
previously recognized into income and dividing by the total volume for the period.
Previously recognized derivative gains were $90,300 for the year ended December 31,
2010. The derivative gains are included in other comprehensive income and resulted from
prior period impairment charges.(4)
    
    Average oil prices are calculated by including in total revenue derivative gains
previously recognized into income and dividing by the total volume for the period.
Previously recognized derivative gains were $1,400 for the year ended December 31,
2010. The derivative gains are included in other comprehensive income and resulted from
prior period impairment charges. Natural Gas Revenues.
  Oil Revenues .
  12




---



##### Table of Contents



Expenses.
    Liquidity and Capital Resources .
    Critical Accounting Policies
 Use of estimates.
  13




---



##### Table of Contents



Impairment of Long-Lived Assets.
 Fair Value of Financial Instruments
  Level 1 
 Level 2 
 Level 3
   Reserve Estimates .
  14




---



##### Table of Contents



Asset Retirement Obligations
 Working Interest .
  15




---



##### Table of Contents



ITEM 8.
    
    FINANCIAL STATEMENTS
 REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
 
     
  16




---



##### Table of Contents



ATLAS AMERICA PUBLIC #10 LTD.

BALANCE SHEETS

DECEMBER 31,
 2010
    
    
    2009ASSETSCurrent assets:Cash and cash equivalents
    
    $
    53,300
    
    
    $
    86,300Accounts receivable-affiliate
    
    
    342,400
    
    
    
    396,100Short-term hedge receivable due from affiliate
    
    
    335,100
    
    
    
    340,000Total current assets
    
    
    730,800
    
    
    
    822,400Oil and gas properties, net
    
    
    7,108,400
    
    
    
    8,629,900Long-term hedge receivable due from affiliate
    
    
    327,500
    
    
    
    279,400$
    8,166,700
    
    
    $
    9,731,700LIABILITIES AND PARTNERS CAPITALCurrent liabilities:Accrued liabilities
    
    $
    11,700
    
    
    $
    20,900Short-term hedge liability due to affiliate
    
    
    3,300
    
    
    
    4,100Total current liabilities
    
    
    15,000
    
    
    
    25,000Asset retirement obligation
    
    
    1,396,700
    
    
    
    1,138,400Long-term hedge liability due to affiliate
    
    
    58,000
    
    
    
    43,300Partners capital:Managing general partner
    
    
    1,162,100
    
    
    
    1,462,200Limited partners (2,135 units)
    
    
    5,047,100
    
    
    
    6,647,000Accumulated other comprehensive income
    
    
    487,800
    
    
    
    415,800Total partners capital
    
    
    6,697,000
    
    
    
    8,525,000$
    8,166,700
    
    
    $
    9,731,700
   17




---



##### Table of Contents



ATLAS AMERICA PUBLIC #10 LTD.

STATEMENTS OF OPERATIONS

YEARS ENDED DECEMBER 31, 2010 AND 2009
 2010
    
    
    2009REVENUESNatural gas and oil
    
    $
    1,675,800
    
    
    $
    2,126,700Interest income
    
    
    300
    
    
    
    600Total revenues
    
    
    1,676,100
    
    
    
    2,127,300COSTS AND EXPENSESProduction
    
    
    756,800
    
    
    
    859,100Depletion
    
    
    725,800
    
    
    
    929,200Impairment of oil and gas properties
    
    
    936,600
    
    
    
    3,064,800Accretion of asset retirement obligation
    
    
    68,300
    
    
    
    57,000General and administrative
    
    
    136,200
    
    
    
    140,200Total expenses
    
    
    2,623,700
    
    
    
    5,050,300Net loss
    
    $
    (947,600
    )
    
    $
    (2,923,000
    )Allocation of net loss:Managing general partner
    
    $
    4,700
    
    
    $
    (172,500
    )Limited partners
    
    $
    (952,300
    )
    
    $
    (2,750,500
    )Net loss per limited partnership unit
    
    $
    (446
    )
    
    $
    (1,288
    )
   18




---



##### Table of Contents



ATLAS AMERICA PUBLIC #10 LTD.

STATEMENTS OF COMPREHENSIVE LOSS

YEARS ENDED DECEMBER 31, 2010 AND 2009
 December 31,2010
    
    
    2009Net loss
    
    $
    (947,600
    )
    
    $
    (2,923,000
    )Other comprehensive income (loss):Unrealized holding gain on hedging contracts
    
    
    457,900
    
    
    
    226,400Less: reclassification adjustment for gainsrealized in net earnings
    
    
    (385,900
    )
    
    
    (757,000
    )Total other comprehensive income (loss)
    
    
    72,000
    
    
    
    (530,600
    )Comprehensive loss
    
    $
    (875,600
    )
    
    $
    (3,453,600
    )
   19




---



##### Table of Contents



ATLAS AMERICA PUBLIC #10 LTD.

STATEMENTS OF CHANGES IN PARTNERS CAPITAL

YEARS ENDED DECEMBER 31, 2010 AND 2009
 AccumulatedManaging
    
    
    
    
    
    
    OtherGeneral
    
    
    Limited
    
    
    ComprehensivePartner
    
    
    Partners
    
    
    Income (Loss)
    
    
    TotalBalance at December 31, 2008
    
    $
    2,103,500
    
    
    $
    10,393,700
    
    
    $
    946,400
    
    
    $
    13,443,600Participation in revenue and expenses:Net production revenues
    
    
    405,600
    
    
    
    862,000
    
    
    
    
    
    
    
    1,267,600Interest income
    
    
    200
    
    
    
    400
    
    
    
    
    
    
    
    600Depletion
    
    
    (119,800
    )
    
    
    (809,400
    )
    
    
    
    
    
    
    (929,200
    )Impairment of oil and gas properties
    
    
    (395,400
    )
    
    
    (2,669,400
    )
    
    
    
    
    
    
    (3,064,800
    )Accretion of asset retirement
obligations
    
    
    (18,200
    )
    
    
    (38,800
    )
    
    
    
    
    
    
    (57,000
    )General and administrative
    
    
    (44,900
    )
    
    
    (95,300
    )
    
    
    
    
    
    
    (140,200
    )Net loss
    
    
    (172,500
    )
    
    
    (2,750,500
    )
    
    
    
    
    
    
    (2,923,000
    )Other comprehensive loss
    
    
    
    
    
    
    
    
    
    
    (530,600
    )
    
    
    (530,600
    )Distributions to partners
    
    
    (468,800
    )
    
    
    (996,200
    )
    
    
    
    
    
    
    (1,465,000
    )Balance at December 31, 2009
    
    $
    1,462,200
    
    
    $
    6,647,000
    
    
    $
    415,800
    
    
    $
    8,525,000Participation in revenue and expenses:Net production revenues
    
    
    294,100
    
    
    
    624,900
    
    
    
    
    
    
    
    919,000Interest income
    
    
    100
    
    
    
    200
    
    
    
    
    
    
    
    300Depletion
    
    
    (97,800
    )
    
    
    (628,000
    )
    
    
    
    
    
    
    (725,800
    )Impairment of oil and gas properties
    
    
    (126,200
    )
    
    
    (810,400
    )
    
    
    
    
    
    
    (936,600
    )Accretion of asset retirement
obligations
    
    
    (21,900
    )
    
    
    (46,400
    )
    
    
    
    
    
    
    (68,300
    )General and administrative
    
    
    (43,600
    )
    
    
    (92,600
    )
    
    
    
    
    
    
    (136,200
    )Net earnings (loss)
    
    
    4,700
    
    
    
    (952,300
    )
    
    
    
    
    
    
    (947,600
    )Other comprehensive income
    
    
    
    
    
    
    
    
    
    
    72,000
    
    
    
    72,000Distributions to partners
    
    
    (304,800
    )
    
    
    (647,600
    )
    
    
    
    
    
    
    (952,400
    )Balance at December 31, 2010
    
    $
    1,162,100
    
    
    $
    5,047,100
    
    
    $
    487,800
    
    
    $
    6,697,000
   20




---



##### Table of Contents



ATLAS AMERICA PUBLIC #10 LTD.

STATEMENTS OF CASH FLOWS

YEARS ENDED DECEMBER 31, 2010 AND 2009
 2010
    
    
    2009Cash flows from operating activities:Net loss
    
    $
    (947,600
    )
    
    $
    (2,923,000
    )Adjustments to reconcile net earnings to net cash provided by operating activities:Depletion
    
    
    725,800
    
    
    
    929,200Impairment of oil and gas properties
    
    
    985,700
    
    
    
    3,221,000Non-cash loss (gain) on derivative
    
    
    42,700
    
    
    
    (156,200
    )Accretion of asset retirement obligation
    
    
    68,300
    
    
    
    57,000Decrease in accounts receivable  affiliate
    
    
    53,700
    
    
    
    263,600Decrease in accrued liabilities
    
    
    (9,200
    )
    
    
    (5,900
    )Net cash provided by operating activities
    
    
    919,400
    
    
    
    1,385,700Cash flows from financing activities:Distributions to partners
    
    
    (952,400
    )
    
    
    (1,465,000
    )Net cash used in financing activities
    
    
    (952,400
    )
    
    
    (1,465,000
    )Net decrease in cash and cash equivalents
    
    
    (33,000
    )
    
    
    (79,300
    )Cash and cash equivalents at beginning of period
    
    
    86,300
    
    
    
    165,600Cash and cash equivalents at end of period
    
    $
    53,300
    
    
    $
    86,300Supplemental Schedule of non-cash investing and financing activities:Asset retirement obligation revision
    
    $
    190,000
    
    
    $
    130,800
   21




---



##### Table of Contents



ATLAS AMERICA PUBLIC #10 LTD.
NOTES TO FINANCIAL STATEMENTS
DECEMBER 31, 2010 AND 2009
 NOTE 1  DESCRIPTION OF BUSINESS
   NOTE 2  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
  Use of Estimates
   Accounts Receivable and Allowance for Possible Losses
   22




---



##### Table of Contents



ATLAS AMERICA PUBLIC #10 LTD.
NOTES TO FINANCIAL STATEMENTS  (Continued)
DECEMBER 31, 2010 AND 2009
 NOTE 2  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
 Fair Value of Financial Instruments
  Supplemental Cash Flow Information
  Concentration of Credit Risk
  Oil and Gas Properties
   Impairment of Long-Lived Assets
   23




---



##### Table of Contents



ATLAS AMERICA PUBLIC #10 LTD.
NOTES TO FINANCIAL STATEMENTS  (Continued)
DECEMBER 31, 2010 AND 2009
 NOTE 2  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
 Impairment of Long-Lived Assets (Continued)
    Working Interest
  Revenue Recognition
   24




---



##### Table of Contents



ATLAS AMERICA PUBLIC #10 LTD.
NOTES TO FINANCIAL STATEMENTS  (Continued)
DECEMBER 31, 2010 AND 2009
 NOTE 2  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
 Revenue Recognition (Continued)
  Asset Retirement Obligation
  Environmental Matters
   Comprehensive Income (Loss)
   25




---



##### Table of Contents



ATLAS AMERICA PUBLIC #10 LTD.
NOTES TO FINANCIAL STATEMENTS  (Continued)
DECEMBER 31, 2010 AND 2009
 NOTE 2  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
 Recently Adopted Accounting Standards
     26




---



##### Table of Contents



ATLAS AMERICA PUBLIC #10 LTD.
NOTES TO FINANCIAL STATEMENTS  (Continued)
DECEMBER 31, 2010 AND 2009
 NOTE 2  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
 Major Customers
  Income Taxes
  NOTE 3  PARTICIPATION IN REVENUES AND COSTS
  ManagingGeneral
    
    
    LimitedPartner
    
    
    PartnersOrganization and offering costs
    
    
    100
    %
    
    
    0
    %Lease costs
    
    
    100
    %
    
    
    0
    %Revenues (1)
    
    
    32
    %
    
    
    68
    %Operating costs, administrative costs, direct and all other costs (2)
    
    
    32
    %
    
    
    68
    %Intangible drilling costs
    
    
    0
    %
    
    
    100
    %Tangible equipment costs
    
    
    66
    %
    
    
    34
    %
 
 (1)
    
    Subject to the MGPs subordination obligation, substantially all partnership revenues
will be shared in the same percentage as capital contributions are to the total
partnership capital contributions, except that the MGP will receive an additional 7% of
the partnership revenues.(2)
    
    These costs will be charged to the partners in the same ratio as the related
production revenues are credited.  27




---



##### Table of Contents



ATLAS AMERICA PUBLIC #10 LTD.
NOTES TO FINANCIAL STATEMENTS  (Continued)
DECEMBER 31, 2010 AND 2009
 NOTE 4  OIL AND GAS PROPERTIES
  December 31,2010
    
    
    2009Natural gas and oil properties:Proved properties:Leasehold interest
    
    $
    338,500
    
    
    $
    338,500Wells and related equipment
    
    
    25,662,700
    
    
    
    25,472,70026,001,200
    
    
    
    25,811,200Accumulated depletion
    
    
    (18,892,800
    )
    
    
    (17,181,300
    )$
    7,108,400
    
    
    $
    8,629,900
 NOTE 5  ASSET RETIREMENT OBLIGATION
    Years Ended December 31,2010
    
    
    2009Asset retirement obligation at beginning of year
    
    $
    1,138,400
    
    
    $
    950,600Revision in estimates
    
    
    190,000
    
    
    
    130,800Accretion expense
    
    
    68,300
    
    
    
    57,000Total asset retirement obligations at end of year
    
    $
    1,396,700
    
    
    $
    1,138,400
  28




---



##### Table of Contents



ATLAS AMERICA PUBLIC #10 LTD.
NOTES TO FINANCIAL STATEMENTS  (Continued)
DECEMBER 31, 2010 AND 2009
 NOTE 6  DERIVATIVE INSTRUMENTS
     Fair Value of Derivative Instruments:
 Asset Derivatives
    
    
    
    
    Liability DerivativesDerivatives in
    
    
    
    Fair Value
    
    
    
    
    Fair ValueCash Flow
    
    Balance Sheet
    
    December 31,
    
    
    December 31,
    
    
    Balance sheet
    
    December 31,
    
    
    December 31,Hedging Relationships
    
    Location
    
    2010
    
    
    2009
    
    
    Location
    
    2010
    
    
    2009Commodity Contracts
    
    Current Assets
    
    $
    335,100
    
    
    $
    340,000
    
    
    Current liabilities
    
    $
    (3,300
    )
    
    $
    (4,100
    )Long-Term Assets
    
    
    327,500
    
    
    
    279,400
    
    
    Long-term liabilities
    
    
    (58,000
    )
    
    
    (43,300
    )Total Derivatives
    
    
    
    $
    662,600
    
    
    $
    619,400
    
    
    
    
    $
    (61,300
    )
    
    $
    (47,400
    )
  29




---



##### Table of Contents



ATLAS AMERICA PUBLIC #10 LTD.
NOTES TO FINANCIAL STATEMENTS  (Continued)
DECEMBER 31, 2010 AND 2009
 NOTE 6  DERIVATIVE INSTRUMENTS (Continued)
 Effects of Derivative Instruments on Statement of Operations:
 Gain
    
    
    
    
    GainRecognized in OCI on Derivative
    
    
    
    
    Reclassified from OCI into Net Loss(Effective Portion)
    
    
    Location of Gain
    
    (Effective Portion)Derivatives in
    
    Twelve Months Ended
    
    
    Reclassified from Accumulated
    
    Twelve Months EndedCash Flow
    
    December 31,
    
    
    December 31,
    
    
    OCI into (Loss) Income
    
    December 31,
    
    
    December 31,Hedging Relationships
    
    2010
    
    
    2009
    
    
    (Effective Portion)
    
    2010
    
    
    2009Commodity Contracts
    
    $
    457,900
    
    
    $
    226,400
    
    
    Natural Gas and Oil Revenue
    
    $
    385,900
    
    
    $
    757,000
    Natural Gas Fixed Price Swaps
 Production
    
    
    
    
    
    AveragePeriod Ending
    
    Volumes
    
    
    Fixed Price
    
    
    Fair ValueDecember 31,
    

(MMbtu) (1)
    
    

(per MMbtu) (1)
    
    

Asset (2)2011
    
    
    96,400
    
    
    $
    6.964
    
    
    $
    236,1002012
    
    
    54,200
    
    
    
    7.485
    
    
    
    129,5002013
    
    
    35,200
    
    
    
    6.803
    
    
    
    48,8002014
    
    
    16,500
    
    
    
    5.942
    
    
    
    6,600$
    421,000
  30




---



##### Table of Contents



ATLAS AMERICA PUBLIC #10 LTD.
NOTES TO FINANCIAL STATEMENTS  (Continued)
DECEMBER 31, 2010 AND 2009
 NOTE 6  DERIVATIVE INSTRUMENTS (Continued)
 Natural Gas Costless Collars
 Production
    
    
    
    
    
    
    
    AveragePeriod Ending
    
    Option
    
    Volumes
    
    
    Floor & Cap
    
    
    Fair ValueDecember 31,
    
    Type
    

(MMbtu) (1)
    
    

(per MMbtu) (1)
    
    

Asset/(Liability) (2)2011
    
    Puts purchased
    
    
    47,100
    
    
    $
    6.535
    
    
    $
    98,4002011
    
    Calls sold
    
    
    47,100
    
    
    
    7.653
    
    
    
    (1,200
    )2012
    
    Puts purchased
    
    
    29,100
    
    
    
    6.102
    
    
    
    43,7002012
    
    Calls sold
    
    
    29,100
    
    
    
    7.328
    
    
    
    (7,400
    )2013
    
    Puts purchased
    
    
    49,300
    
    
    
    5.862
    
    
    
    71,2002013
    
    Calls sold
    
    
    49,300
    
    
    
    7.043
    
    
    
    (31,400
    )2014
    
    Puts purchased
    
    
    17,100
    
    
    
    5.705
    
    
    
    24,3002014
    
    Calls sold
    
    
    17,100
    
    
    
    6.811
    
    
    
    (16,000
    )$
    181,600
 Crude Oil Fixed Price Swaps
 Production
    
    
    
    
    
    AveragePeriod Ending
    
    Volumes
    
    
    Fixed Price
    
    
    Fair ValueDecember 31,
    

(Bbl) (1)
    
    

(per Bbl) (1)
    
    

(Liability) (3)2011
    
    
    200
    
    
    $
    87.703
    
    
    $
    (1,000
    )2012
    
    
    100
    
    
    
    87.299
    
    
    
    (900
    )2013
    
    
    50
    
    
    
    87.632
    
    
    
    (200
    )2014
    
    
    
    
    
    
    
    
    
    
    $
    (2,100
    )
  31




---



##### Table of Contents



ATLAS AMERICA PUBLIC #10 LTD.
NOTES TO FINANCIAL STATEMENTS  (Continued)
DECEMBER 31, 2010 AND 2009
 NOTE 6  DERIVATIVE INSTRUMENTS (Continued)
 Crude Oil Costless Collars
 Production
    
    
    
    
    
    
    
    AveragePeriod Ending
    
    Option
    
    Volumes
    
    
    Floor & Cap
    
    
    Fair ValueDecember 31,
    
    Type
    

(Bbl) (1)
    
    

(per Bbl) (1)
    
    

Asset/(Liability) (3)2011
    
    Puts purchased
    
    
    100
    
    
    $
    76.818
    
    
    $
    2002011
    
    Calls sold
    
    
    100
    
    
    
    100.965
    
    
    
    (700
    )2012
    
    Puts purchased
    
    
    50
    
    
    
    76.143
    
    
    
    5002012
    
    Calls sold
    
    
    50
    
    
    
    101.596
    
    
    
    (900
    )2013
    
    Puts purchased
    
    
    50
    
    
    
    76.148
    
    
    
    2002013
    
    Calls sold
    
    
    50
    
    
    
    102.587
    
    
    
    (200
    )2014
    
    Puts purchased
    
    
    
    
    
    
    
    
    
    
    2014
    
    Calls sold
    
    
    
    
    
    
    
    
    
    
    $
    (900
    )Total Net Asset
    
    $
    599,600
 
 (1)
    
    MMBTU represents million British Thermal Units. Bbl represents barrels.(2)
    
    Fair value based on forward NYMEX natural gas prices, as applicable.(3)
    
    Fair value based on forward WTI crude oil prices, as applicable. NOTE 7  FAIR VALUE OF FINANCIAL INSTRUMENTS
  Level 1Unadjusted quoted prices in active markets for identical, unrestricted assets and
liabilities that the reporting entity has the ability to access at the measurement date.
 Level 2 Inputs other than quoted prices included within Level 1 that are observable for
the asset and liability or can be corroborated with observable market data for substantially
the entire contractual term of the asset or liability.
 Level 3 Unobservable inputs that reflect the entitys own assumptions about the assumption
market participants would use in the pricing of the asset or liability and are consequently
not based on market activity but rather through particular valuation techniques.
 Assets and Liabilities Measured at Fair Value on a Recurring Basis
   32




---



##### Table of Contents



ATLAS AMERICA PUBLIC #10 LTD.
NOTES TO FINANCIAL STATEMENTS  (Continued)
DECEMBER 31, 2010 AND 2009
 NOTE 7  FAIR VALUE OF FINANCIAL INSTRUMENTS (Continued)
 Assets and Liabilities Measured at Fair Value on a Non-Recurring Basis
  NOTE 8  CERTAIN RELATIONSHIPS AND RELATED PARTY TRANSACTIONS
  
    
    Administrative costs which are included in general and administrative expenses in
the Partnerships statements of operations are payable at $75 per well per month.
Administrative costs incurred for the years ended December 31, 2010 and 2009 were
$86,200 and $88,200, respectively.
 
    
    Monthly well supervision fees which are included in production expenses in the
Partnerships statements of operations are payable at $329 per well per month in 2010
and 2009, respectively, for operating and maintaining the wells. Well supervision fees
incurred for the years ended December 31, 2010 and 2009 were $377,500 and $386,400,
respectively.
 
    
    Transportation fees which are included in production expenses in the Partnerships
statements of operations are generally payable at 13% of the natural gas sales price.
Transportation fees incurred for the years ended December 31, 2010 and 2009 were
$204,300 and $248,400, respectively.
 
    
    Direct costs which are included in production and general administrative expenses in
the Partnerships statements of operations are payable to the MGP and its affiliates as
reimbursement for all costs expended on the Partnerships behalf. Direct costs incurred
for the years ended December 31, 2010 and 2009 were $224,900 and $276,300,
respectively.
   33




---



##### Table of Contents



ATLAS AMERICA PUBLIC #10 LTD.
NOTES TO FINANCIAL STATEMENTS  (Continued)
DECEMBER 31, 2010 AND 2009
 NOTE 8  CERTAIN RELATIONSHIPS AND RELATED PARTY TRANSACTIONS
 Subordination by Managing General Partner
  NOTE 9  COMMITMENTS AND CONTINGENCIES
   Legal Proceedings
   NOTE 10  NATURAL GAS AND OIL PRODUCING ACTIVITIES (UNAUDITED)
 (1) Capitalized Costs Related to Oil and Gas Producing Activities
  December 31,2010
    
    
    2009Leasehold interests
    
    $
    338,500
    
    
    $
    338,500Wells and related equipment
    
    
    25,662,700
    
    
    
    25,472,700Accumulated depletion
    
    
    (18,892,800
    )
    
    
    (17,181,300
    )Net capitalized cost
    
    $
    7,108,400
    
    
    $
    8,629,900
  34




---



##### Table of Contents



ATLAS AMERICA PUBLIC #10 LTD.
NOTES TO FINANCIAL STATEMENTS  (Continued)
DECEMBER 31, 2010 AND 2009
 NOTE 10  NATURAL GAS AND OIL PRODUCING ACTIVITIES (UNAUDITED) (Continued)
 (2) Oil and Gas Reserve Information
    Natural Gas
    
    
    Oil(Mcf)
    
    
    (Bbls)Proved developed reserves:Balance at December 31, 2008
    
    
    3,486,100
    
    
    
    13,200Production
    
    
    (264,200
    )
    
    
    (1,200
    )Revisions to previous estimates
    
    
    (767,300
    )
    
    
    (2,500
    )Balance at December 31, 2009
    
    
    2,454,600
    
    
    
    9,500Production
    
    
    (257,000
    )
    
    
    (800
    )Revisions to previous estimates
    
    
    (19,800
    )
    
    
    500Balance at December 31, 2010
    
    
    2,177,800
    
    
    
    9,200
  35




---



##### Table of Contents



ATLAS AMERICA PUBLIC #10 LTD.
NOTES TO FINANCIAL STATEMENTS  (Continued)
DECEMBER 31, 2010 AND 2009
 NOTE 11  SUBSEQUENT EVENTS
 Atlas Energy, Inc. Asset Acquisition
  Laurel Mountain Sale
  Hedge Monetization
  
 ITEM 9.
    
    CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE:
  
 ITEM 9A.
    
    CONTROLS AND PROCEDURES
 Conclusion Regarding the Effectiveness of Disclosure Controls and Procedures
    36




---



##### Table of Contents



Managements Report on Internal Control over Financial Reporting
 Internal Control  Integrated
Framework
    
 ITEM 9B.
    
    OTHER INFORMATION
  
 PART III
 
 ITEM 10.
    
    DIRECTORS AND EXECUTIVE OFFICERS OF THE REGISTRANT
 nd
 Executive Officers and Directors
 NAME
    
    
    AGE
    
    
    POSITION OR OFFICEFreddie M. Kotek
    
    
    55
    
    
    Chairman of the Board of Directors, Chief Executive Officer and PresidentJeffrey C. Simmons
    
    
    52
    
    
    Executive Vice President  Operations and a DirectorJack L. Hollander
    
    
    54
    
    
    Senior Vice President  Direct Participation ProgramsSean P. McGrath
    
    
    39
    
    
    Chief Financial Officer
  37




---



##### Table of Contents




    
    the approximate amount of an individuals professional time devoted to the business
and affairs of our managing general partner and Atlas Energy have been aggregated
because there is no reasonable method for them to distinguish their activities between
the two companies; and
 
    
    for those individuals who also hold senior positions with other affiliates of our
MGP, if it is stated that they devote approximately 100% of their professional time to
our managing general partner and Atlas Energy, it is because either the other affiliates
are not currently active in drilling new wells, such as Viking Resources or Resource
Energy, and the individuals are not required to devote a material amount of their
professional time to the affiliates, or there is no reasonable method to distinguish
their activities between our MGP and Atlas as compared with the other affiliates of our
MGP, such as Viking Resources or Resource Energy.
 Freddie M. Kotek
 Jeffrey C. Simmons.
 Jack L. Hollander.
  38




---



##### Table of Contents



Sean P. McGrath.
 Audit Committee Financial Expert.
 Remuneration of Officers and Directors.
 Code of Business Conduct and Ethics. nd
 
 ITEM 11.
    
    EXECUTIVE COMPENSATION
  
 ITEM 12.
    
    SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT
  
 ITEM 13.
    
    CERTAIN RELATIONSHIPS AND RELATED PARTY TRANSACTIONS
 Oil and Gas Revenues.
 Administrative Costs.
 Direct Costs.
  39




---



##### Table of Contents



Well Charges.
 Transportation Fees.
 Other Compensation.
 
 ITEM 14.
    
    PRINCIPAL ACCOUNTANT FEES AND SERVICES
 Audit Fees.
 Procedures for Audit Committee Pre-Approval of Audit and Permissible Non-Audit Services of
Independent Auditor.
  40




---



##### Table of Contents



PART IV
 
 ITEM 15.
    
    EXHIBITS
 
 EXHIBIT INDEX
 Description
    
    Location4
    (a)
    
    Certificate of Limited Partnership for Atlas America
Public #10 Ltd.
    
    Previously filed in
our Form SB-2/A on
October 26, 20014
    (b)
    
    Amended and Restated Certificate and Agreement
of Limited Partnership for Atlas America Public #10 Ltd. (1)
    
    Previously filed in
our Form SB-2/A on
October 26, 20014
    (c)
    
    Drilling and Operating Agreement for Atlas America
Public #10 Ltd. (1)
    
    Previously filed in
our Form SB-2/A on
October 26, 200123.1
    
    
    Consent of Wright and Company, Inc.31.1
    
    
    Rule 13a-14(a)/15(d)  14(a) Certification31.2
    
    
    Rule 13a-14(a)/15(d)  14(a) Certification32.1
    
    
    Section 1350 Certification32.2
    
    
    Section 1350 Certification99.1
    
    
    Summary Reserve Report
 
 (1)
    
    Filed on August 14, 2001 in the Form S-1 Registration Statement dated August 14, 2001, File No. 333-67522  41




---



##### Table of Contents



SIGNATURES
   Atlas Resources, LLC, Managing General PartnerDate:  March 30, 2011
    By:
    /s/ Freddie M. KotekFreddie M. Kotek 
Chairman of the Board of Directors, 
Chief Executive Officer and President  Date: March 30, 2011
    By:
    /s/ Freddie M. KotekFreddie M. Kotek,Chairman of the Board of Directors, Chief Executive
Officer and PresidentDate:  March 30, 2011
    By:
    /s/ Jeffrey C. SimmonsJeffrey C. Simmons,Executive Vice President  OperationsDate:  March 30, 2011
    By:
    /s/ Sean P. McGrathSean P. McGrath,Chief Financial Officer Supplemental information to be furnished with reports filed pursuant to Section 15(d) of the
Exchange Act by Non-reporting Issuers
   42