SECURITIES AND EXCHANGE COMMISSION
                          Washington, D.C. 20549

                               Form 10-K/A

(Mark One)
[X]           ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF 
             THE SECURITIES EXCHANGE ACT OF 1934 [FEE REQUIRED]
                For the fiscal year ended December 31, 1995
                                   OR
[ ]        TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
               SECURITIES EXCHANGE ACT OF 1934 [NO FEE REQUIRED]
                   For the transition period from       to         

                     Commission file number 1-8033

                      PERMIAN BASIN ROYALTY TRUST
            (Exact Name of Registrant as Specified in the 
                Permian Basin Royalty Trust Indenture)

          Texas                               75-6280532
(State or Other Jurisdiction of            (I.R.S. Employer
Incorporation or Organization)            Identification No.)


   NationsBank of Texas, N.A.
        Trust Department
         P.O. Box 1317
      Fort Worth, Texas                           76101
(Address of Principal Executive Offices)        (Zip Code)


                            (817) 390-6905
       (Registrant's Telephone Number, Including Area Code)

Securities registered pursuant to Section 12(b) of the Act:

   Title of Each Class          Name of each exchange on which registered
   -------------------          -----------------------------------------
Units of Beneficial Interest               New York Stock Exchange

Securities registered pursuant to Section 12(g) of the Act:
                               None
                         (Title of Class)

        Indicate by check mark whether the registrant: (1) has filed all
reports required to be filed by Section 13 or 15(d) of the Securities
Exchange Act of 1934 during the preceding 12 months (or for such shorter
period that the registrant was required to file such reports), and (2)
has been subject to such filing requirements for the past 90 days.  
Yes  x   No    
    ---     ---

        Indicate by check mark if disclosure of delinquent filers pursuant
to Item 405 of Regulation S-K is not contained herein, and will not be
contained, to the best of registrant's knowledge, in definitive proxy or
information statements incorporated by reference in Part III of this Form
10-K or any amendment to this Form 10-K.  [x]

        At March 27, 1996, there were 46,608,796 Units of Beneficial Interest
of the Trust outstanding with an aggregate market value on that date of
$145,652,487.

                   DOCUMENTS INCORPORATED BY REFERENCE

        "Units of Beneficial Interest" at page 2; "Trustee's Discussion and
Analysis for the Three-Year Period Ended December 31, 1995" at pages 8
and 9; "Results of the 4th Quarters of 1995 and 1994" at page 10; and
"Statements of Assets, Liabilities and Trust Corpus," "Statements of
Distributable Income," "Statements of Changes in Trust Corpus," "Notes
to Financial Statements" and "Independent Auditors' Report" at page 12 et 
seq., in registrant's Annual Report to security holders for fiscal year ended 
December 31, 1995 are incorporated herein by reference for Item 5 (Market 
for Units of the Trust and Related Security Holder Matters), Item 7 
(Management's Discussion and Analysis of Financial Condition and Results of 
Operation) and Item 8 (Financial Statements and Supplementary Data) of 
Part II of this Report.

<PAGE>

                             AMENDMENT NO. 1

        The Registrant hereby amends Exhibit 13 to its Annual Report on Form
10-K for the year ended December 31, 1995, which is Registrant's Annual Report  
to security holders for fiscal year ended December 31, 1995, by adding page 10 
thereto entitled "RESULTS OF THE 4TH QUARTERS OF 1995 AND 1994" as follows:

              RESULTS OF THE 4TH QUARTERS OF 1995 AND 1994

        Royalty income received by the Trust for the fourth quarter of 1995
amounted to $3,978,396 or $.085357 per Unit.  For the fourth quarter of
1994, the Trust received royalty income of $4,608,555 or $.098878 per
Unit.  Interest income for the fourth quarter of 1995 amounted to $6,453
compared to $8,826 for the fourth quarter of 1994.  The decrease in
interest income can be attributed primarily to a decrease in funds
available for investment.  General and administrative expenses totaled
$56,393 for the fourth quarter of 1995 compared to $72,126 for the fourth
quarter of 1994.  The decrease in general and administrative expenses is
primarily due to timing differences in the receipt and payment of these
expenses.  

        Royalty income for the Trust for the fourth quarter is associated
with actual oil and gas production during August through October from the
properties from which the Trust's net overriding royalty interests were
carved.  Oil and gas sales attributable to the Royalties and the
properties from which the Royalties were carved for the quarter and the
comparable period for 1994 are as follows:

<TABLE>
<CAPTION>

Fourth Quarter                 1995         1994             Fourth Quarter                     1995           1994 
-------------------          -------      -------            ------------------               -------        -------
<S>                          <C>          <C>                <S>                            <C>            <C>      
Royalties                                                    Properties From Which
                                                             The Royalties Were Carved
Oil Sales (Bbls)____         188,176      221,565            Total Oil Sales (Bbls)_______    448,361        411,917
Average Price/Bbl_____        $16.27       $15.84            Average Per Day (Bbls)_____        4,874          4,477
Gas Sales (Mcf)_______       704,255      819,511            Total Gas Sales (Mcf)_______   1,908,396      1,947,204
Average Price/Mcf_____         $1.56        $1.66            Average Per Day (Mcf)_____        20,743         21,165

</TABLE>

          The posted price of oil increased for the fourth quarter of 1995
compared to the fourth quarter of 1994, resulting in an average price per
barrel of $16.27 compared to $15.84 in the same period of 1994.  The
average price of gas remained relatively unchanged for the fourth quarter
of 1995 compared to the same period in 1994.  Gas sales from the
properties from which the Royalties were carved remained relatively
unchanged for the fourth quarter of 1995 compared to the same period in
1994.  Oil sales increased primarily due to increased production from the
Waddell Ranch properties due to a successful drilling program, offset by
decreased production from the Texas Royalty properties primarily due to
natural decline.

          The Trust has been advised that there were 11 gross (4.7 net) wells
drilled and completed during the three months ended December 31, 1995,
and there were 3 gross (.8 net) wells in progress.

<PAGE>

                                 SIGNATURES

          Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by
the undersigned hereunto duly authorized.

                                       NationsBank of Texas, N.A.
                                       Trustee for the
                                       Permian Basin Royalty Trust



                                       By:  /s/ ERIC F. HYDEN
                                            -----------------------------   
                                            Eric F. Hyden
                                            Vice President 

DATE:  April 11, 1997

              (The Trust has no directors or executive officers.)