UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D. C. 20549


                                    FORM 10-Q


  / x /          Quarterly Report Pursuant to Section 13 or 15(d)
                     of the Securities Exchange Act of 1934

                  For the quarterly period ended June 30, 1997
                                       or

  /   /         Transition Report Pursuant to Section 13 or 15(d)
                     of the Securities Exchange Act of 1934
                For the transition period from _______ to _______


                          Commission File No. 2-81398B


                           PARKER & PARSLEY 83-B, LTD.
             (Exact name of Registrant as specified in its charter)


                Texas                                       75-1907245
    (State or other jurisdiction of                      (I.R.S. Employer
    incorporation or organization)                    Identification Number)

303 West Wall, Suite 101, Midland, Texas                       79701
(Address of principal executive offices)                     (Zip code)

       Registrant's Telephone Number, including area code : (915) 683-4768

                                 Not applicable
              (Former name, former address and former fiscal year,
                          if changed since last report)

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 / /

                               Page 1 of 12 pages.
                            Exhibit index on page 11.


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                           PARKER & PARSLEY 83-B, LTD.

                                TABLE OF CONTENTS


                                                                       Page
                                                                       ----
                          Part I. Financial Information

Item 1.     Financial Statements

            Balance Sheets as of June 30, 1997 and
               December 31, 1996   ..................................    3

            Statements of Operations for the three and six
              months ended June 30, 1997 and 1996....................    4

            Statement of Partners' Capital for the six months
              ended June 30, 1997....................................    5

            Statements of Cash Flows for the six months
              ended June 30, 1997 and 1996...........................    6

            Notes to Financial Statements............................    7

Item 2.     Management's Discussion and Analysis of Financial
              Condition and Results of Operations....................    7


                           Part II. Other Information

Item 6.     Exhibits and Reports on Form 8-K.........................   11

            27.   Financial Data Schedule

            Signatures...............................................   12



                                        2

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                           PARKER & PARSLEY 83-B, LTD.
                          (A Texas Limited Partnership)

                          Part I. Financial Information

Item 1.    Financial Statements
                                 BALANCE SHEETS
                                                     June 30,      December 31,
                                                       1997            1996
                                                   -----------     ------------
                                                   (Unaudited)
                     ASSETS

Current assets:
   Cash and cash equivalents, including interest
     bearing deposits of $295,257 at June 30
     and $228,437 at December 31                   $    295,757    $    228,937
   Accounts receivable - oil and gas sales              213,137         349,015
                                                    -----------     -----------
           Total current assets                         508,894         577,952
                                                    -----------     -----------
Oil and gas properties - at cost, based on the
   successful efforts accounting method              19,510,009      19,519,571
Accumulated depletion                               (14,746,328)    (14,559,884)
                                                    -----------     -----------
     Net oil and gas properties                       4,763,681       4,959,687
                                                    -----------     -----------
                                                   $  5,272,575    $  5,537,639
                                                    ===========     ===========
LIABILITIES AND PARTNERS' CAPITAL

Current liabilities:
   Accounts payable - affiliate                    $     62,968    $     48,087

Partners' capital:
   General partners                                     585,516         629,059
   Limited partners (23,370 interests)                4,624,091       4,860,493
                                                    -----------     -----------
                                                      5,209,607       5,489,552
                                                    -----------     -----------
                                                   $  5,272,575    $  5,537,639
                                                    ===========     ===========


   The financial information included as of June 30, 1997 has been prepared by
           management without audit by independent public accountants.

              The accompanying notes are an integral part of these
                             financial statements.

                                        3

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                           PARKER & PARSLEY 83-B, LTD.
                          (A Texas Limited Partnership)

                            STATEMENTS OF OPERATIONS
                                   (Unaudited)


                                Three months ended         Six months ended
                                      June 30,                  June 30,
                              ----------------------    -----------------------
                                 1997        1996          1997         1996
                              ---------   ----------    ----------   ----------
Revenues:
  Oil and gas                 $ 462,893   $  564,254    $1,032,956   $1,085,131
  Interest                        4,519        3,577         8,414        6,467
  Salvage income from
    equipment disposals          16,500       32,121        16,500       48,582
  Litigation settlement             -      1,392,304           -      1,392,304
                               --------    ---------     ---------    ---------
                                483,912    1,992,256     1,057,870    2,532,484
                               --------    ---------     ---------    ---------
Costs and expenses:
  Oil and gas production        238,907      228,545       514,487      491,843
  General and administrative     14,880       19,220        33,766       35,096
  Depletion                      91,264       99,278       186,444      202,584
  Abandoned property                -         23,533           -         23,533
                               --------    ---------     ---------    ---------
                                345,051      370,576       734,697      753,056
                               --------    ---------     ---------    ---------
Net income                    $ 138,861   $1,621,680    $  323,173   $1,779,428
                               ========    =========     =========    =========
Allocation of net income:
   General partners           $  46,178   $  369,465    $  106,979   $  421,991
                               ========    =========     =========    =========
   Limited partners           $  92,683   $1,252,215    $  216,194   $1,357,437
                               ========    =========     =========    =========
Net income per limited
  partnership interest        $    3.96   $    53.58    $     9.25   $    58.08
                               ========    =========     =========    =========
Distributions per limited
  partnership interest        $    9.00   $    55.43    $    19.37   $    62.43
                               ========    =========     =========    =========



         The financial information included herein has been prepared by
           management without audit by independent public accountants.

              The accompanying notes are an integral part of these
                             financial statements.

                                        4

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                           PARKER & PARSLEY 83-B, LTD.
                          (A Texas Limited Partnership)

                         STATEMENT OF PARTNERS' CAPITAL
                                   (Unaudited)




                                       General        Limited
                                       partners       partners         Total
                                      ----------     ----------     ----------

Balance at January 1, 1997            $  629,059     $4,860,493     $5,489,552

    Distributions                       (150,522)      (452,596)      (603,118)

    Net income                           106,979        216,194        323,173
                                       ---------      ---------      ---------

Balance at June 30, 1997              $  585,516     $4,624,091     $5,209,607
                                       =========      =========      =========









         The financial information included herein has been prepared by
           management without audit by independent public accountants.

              The accompanying notes are an integral part of these
                             financial statements.

                                        5

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                           PARKER & PARSLEY 83-B, LTD.
                          (A Texas Limited Partnership)

                            STATEMENTS OF CASH FLOWS
                                   (Unaudited)


                                                          Six months ended
                                                               June 30,
                                                      -------------------------
                                                         1997          1996
                                                      ----------    -----------
Cash flows from operating activities:
  Net income                                          $  323,173    $ 1,779,428
  Adjustments to reconcile net income to net
    cash provided by operating activities:
       Depletion                                         186,444        202,584
       Salvage income from equipment disposals on
           abandoned properties                          (16,500)       (48,582)
  Changes in assets and liabilities:
    (Increase) decrease in accounts receivable           135,878        (38,538)
    Increase (decrease) in accounts payable               14,881        (34,455)
                                                       ---------     ----------
          Net cash provided by operating activities      643,876      1,860,437
                                                       ---------     ----------
Cash flows from investing activities:
  Deletions of oil and gas properties                      9,562          7,591
  Proceeds from equipment salvage on abandoned
    properties                                            16,500         48,582
                                                       ---------     ----------
          Net cash provided by investing activities       26,062         56,173
                                                       ---------     ----------
Cash flows from financing activities:
  Cash distributions to partners                        (603,118)    (1,886,613)
                                                       ---------     ----------
Net increase in cash and cash equivalents                 66,820         29,997
Cash and cash equivalents at beginning of period         228,937        244,107
                                                       ---------     ----------
Cash and cash equivalents at end of period            $  295,757    $   274,104
                                                       =========     ==========



         The financial information included herein has been prepared by
           management without audit by independent public accountants.

              The accompanying notes are an integral part of these
                             financial statements.

                                        6

<PAGE>



                           PARKER & PARSLEY 83-B, LTD.
                          (A Texas Limited Partnership)

                          NOTES TO FINANCIAL STATEMENTS
                                  June 30, 1997
                                   (Unaudited)


Note 1.     Basis of presentation

In the opinion of  management,  the unaudited  financial  statements of Parker &
Parsley 83-B, Ltd. (the "Partnership") as of June 30, 1997 and for the three and
six months  ended June 30, 1997 and 1996  include all  adjustments  and accruals
consisting only of normal recurring accrual  adjustments which are necessary for
a fair presentation of the results for the interim period. These interim results
are  not   necessarily   indicative   of  results  for  a  full  year.   Certain
reclassifications  have been made to the June 30, 1996  financial  statements to
conform to the June 30, 1997 financial statements.

Certain  information  and  footnote  disclosure  normally  included in financial
statements prepared in accordance with generally accepted accounting  principles
have been  condensed  or  omitted  in this Form 10-Q  pursuant  to the rules and
regulations of the Securities and Exchange Commission.  The financial statements
should  be read in  conjunction  with the  financial  statements  and the  notes
thereto  contained in the  Partnership's  Report on Form 10-K for the year ended
December 31, 1996, as filed with the Securities and Exchange Commission,  a copy
of which is  available  upon request by writing to Rich Dealy,  Controller,  303
West Wall, Suite 101, Midland, Texas 79701.

Item 2.     Management's Discussion and Analysis of Financial Condition
              and Results of Operations (1)

Results of Operations

Six months ended June 30, 1997 compared with six months ended
  June 30, 1996

Revenues:

The  Partnership's  oil  and  gas  revenues  decreased  5%  to  $1,032,956  from
$1,085,131  for the six months ended June 30, 1997 as compared to the six months
ended June 30, 1996.  The decrease in revenues  resulted  from a 13% decrease in
mcf of gas produced and sold, a 7% decrease in barrels of oil produced and sold,
and a slight decline in the average price received per barrel of oil,  offset by
an increase in the average  price  received  per mcf of gas.  For the six months
ended June 30, 1997,  35,130 barrels of oil were sold compared to 37,973 for the
same period in 1996, a decrease of 2,843 barrels.  For the six months ended June
30, 1997,  118,613 mcf of gas were sold  compared to 136,101 for the same period
in 1996, a decrease of 17,488 mcf.  The  decreases  in  production  volumes were
primarily  due to  the decline  characteristics of the Partnership's oil and gas

                                        7

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properties.  Because  of these  characteristics,  management  expects  a certain
amount  of  decline  in   production   to  continue  in  the  future  until  the
Partnership's economically recoverable reserves are fully depleted.

The average price received per barrel of oil decreased  slightly from $20.63 for
the six months ended June 30, 1996 to $20.42 for the same period in 1997,  while
the average  price  received per mcf of gas  increased 20% from $2.22 during the
six months  ended June 30, 1996 to $2.66 in 1997.  The market  price for oil and
gas has been extremely  volatile in the past decade,  and  management  expects a
certain  amount  of  volatility  to  continue  in the  foreseeable  future.  The
Partnership  may  therefore  sell its future oil and gas  production  at average
prices lower or higher than that  received  during the six months ended June 30,
1997.

Salvage income of $16,500 and $48,582 for the six months ended June 30, 1997 and
June 30, 1996, respectively, was derived from the disposal of equipment on wells
plugged and abandoned in prior years.  Expenses incurred during 1996 to plug and
abandon two uneconomical wells totaled $23,533.

On April 29, 1996, Southmark  Corporation,  the managing general partner and the
Partnership entered into a final $7.4 million settlement  agreement with Jack N.
Price resolving all outstanding litigation between the parties. As a result, all
of the pending lawsuits and judgments have been dismissed,  the supersedeas bond
released,  and the Reserve  released as  collateral.  On June 28,  1996, a final
distribution  was made to the  working  interest  owners  of  $1,392,304,  which
included  $1,094,360,  or  $46.83  per  limited  partnership  interest,  to  the
Partnership and its partners.

Costs and Expenses:

Total costs and expenses decreased to $734,697 for the six months ended June 30,
1997 as compared to $753,056 for the same period in 1996, a decrease of $18,359.
This decrease resulted from declines in abandoned property costs,  depletion and
general and administrative expenses ("G&A"), offset by an increase in production
costs.

Production  costs  were  $514,487  for the six months  ended  June 30,  1997 and
$491,843 for the same period in 1996 resulting in a $22,644 increase, or 5%. The
increase  was due to  additional  workover  expenses  incurred  in an  effort to
stimulate well production.

G&A's  components are independent  accounting and engineering  fees and managing
general  partner  personnel  and  operating  costs.   During  this  period,  G&A
decreased,  in aggregate, 4% from $35,096 for the six months ended June 30, 1996
to $33,766 for the same period in 1997.

Depletion  was  $186,444  for the six months  ended June 30,  1997  compared  to
$202,584 for the same period in 1996.  This  represented a decrease in depletion
of $16,140, or 8%.

                                        8

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Three months ended June 30, 1997 compared with three months ended
  June 30, 1996

Revenues:

The Partnership's  oil and gas revenues  decreased 18% to $462,893 from $564,254
for the three  months  ended June 30, 1997 as compared to the three months ended
June 30, 1996.  The decrease in revenues  resulted  from a 14% decline in mcf of
gas  produced  and sold,  a 7% decline in barrels of oil produced and sold and a
lower  average  price  received per barrel of oil,  offset by an increase in the
average price received per mcf of gas. For the three months ended June 30, 1997,
17,338  barrels of oil were sold compared to 18,628 for the same period in 1996,
a decrease of 1,290  barrels.  For the three months ended June 30, 1997,  58,029
mcf of gas were sold  compared to 67,703 for the same period in 1996, a decrease
of 9,674 mcf. The production  volume decreases were primarily due to the decline
characteristics of the Partnership's oil and gas properties.

The average  price  received per barrel of oil  decreased  $3.32,  or 15%,  from
$22.17 for the three  months  ended June 30, 1996 to $18.85 for the three months
ended June 30, 1997,  while the average price  received per mcf of gas increased
5% from $2.23  during the three months ended June 30, 1996 to $2.35 for the same
period in 1997.

Salvage  income of $16,500 and $32,121 for the three  months ended June 30, 1997
and June 30, 1996,  respectively,  was derived from the disposal of equipment on
wells plugged and abandoned in a prior year.  Expenses  incurred  during 1996 to
plug and abandon two uneconomical wells totaled $23,533.

On April 29, 1996, Southmark  Corporation,  the managing general partner and the
Partnership entered into a final $7.4 million settlement  agreement with Jack N.
Price resolving all outstanding litigation between the parties. As a result, all
of the pending lawsuits and judgments have been dismissed,  the supersedeas bond
released,  and the Reserve  released as  collateral.  On June 28,  1996, a final
distribution  was made to the  working  interest  owners  of  $1,392,304,  which
included  $1,094,360,  or  $46.83  per  limited  partnership  interest,  to  the
Partnership and its partners.

Costs and Expenses:

Total costs and  expenses  decreased to $345,051 for the three months ended June
30,  1997 as compared  to  $370,576  for the same period in 1996,  a decrease of
$25,525,  or 7%. This  decrease  resulted  from  declines in abandoned  property
costs, depletion and G&A, offset by an increase in production costs.

Production  costs were  $238,907  for the three  months  ended June 30, 1997 and
$228,545 for the same period in 1996 resulting in a $10,362 increase, or 5%. The
increase  was due to  additional  workover  expenses  incurred  in an  effort to
stimulate  well  production,  offset by declines in well repair and  maintenance
costs and production taxes.

                                        9

<PAGE>



G&A's  components are independent  accounting and engineering  fees and managing
general  partner  personnel  and  operating  costs.   During  this  period,  G&A
decreased,  in  aggregate,  23% from $19,220 for the three months ended June 30,
1996 to $14,880 for the same period in 1997.

Depletion  was $91,264  for the three  months  ended June 30,  1997  compared to
$99,278 for the same period in 1996. This represented a decrease in depletion of
$8,014, or 8%.

Liquidity and Capital Resources

Net Cash Provided by Operating Activities

Net cash provided by operating  activities  decreased  $1,216,561 during the six
months  ended  June 30,  1997 from the same  period  ended June 30,  1996.  This
decrease was due to proceeds received from the litigation settlement during 1996
as discussed in Item 2, offset by an increase in oil and gas sales  receipts and
a decline in production costs paid.

Net Cash Provided by Investing Activities

The Partnership's investing activities during the six months ended June 30, 1997
and 1996 included  proceeds from the disposal of oil and gas equipment on active
properties.

Proceeds of $16,500 and $48,582 were  received  during the six months ended June
30, 1997 and 1996,  respectively,  from the sale of  equipment  from  properties
abandoned in prior years.

Net Cash Used in Financing Activities

Cash  was   sufficient  for  the  six  months  ended  June  30,  1997  to  cover
distributions  to the partners of $603,118 of which $150,522 was  distributed to
the general partners and $452,596 to the limited  partners.  For the same period
ended June 30, 1996,  cash was sufficient for  distributions  to the partners of
$1,886,613  of which  $427,681  was  distributed  to the  general  partners  and
$1,458,932  to the  limited  partners.  Cash  distributions  to the  partners of
$1,886,613  for the six months  ended June 30,  1996  included  $297,944  to the
general partners and $1,094,360 to the limited partners, resulting from proceeds
received in the litigation settlement as discussed in Item 2.

It is expected  that future net cash  provided by operating  activities  will be
sufficient for any capital expenditures and any distributions. As the production
from the properties declines, distributions are also expected to decrease.

--------------
(1)    "Item 2. Management's  Discussion and Analysis of Financial Condition and
       Results of Operations"  contains forward looking  statements that involve
       risks and uncertainties. Accordingly, no assurances can be given that the
       actual  events and  results  will not be  materially  different  than the
       anticipated results described in the forward looking statements.

                                       10


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                           Part II. Other Information


Item 6.     Exhibits and Reports on Form 8-K

(a)    Exhibits

       27.   Financial Data Schedule

(b)    Reports on Form 8-K - none


                                       11

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                           PARKER & PARSLEY 83-B, LTD.
                          (A Texas Limited Partnership)



                               S I G N A T U R E S



      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 thereunto duly authorized.


                                       PARKER & PARSLEY 83-B, LTD.

                                 By:   Parker & Parsley Development L.P.,
                                        Managing General Partner
                                       By:  Parker & Parsley Petroleum USA, Inc.
                                             ("PPUSA"), General Partner




Dated:  August 13, 1997          By:    /s/ Rich Dealy
                                       --------------------------------
                                       Rich Dealy, Controller of PPUSA



                                       12

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