FORM 10-K
                    SECURITIES AND EXCHANGE COMMISSION
                         WASHINGTON, D.C.  20549
(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, 2001

                                    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 0-19601

         Southwest Royalties Institutional Income Fund X-B, L.P.
                (Exact name of registrant as specified in
                    its limited partnership agreement)

Delaware                                                    75-2332174
(State or other jurisdiction                             (I.R.S. Employer
of incorporation or organization)                       Identification No.)

407 N. Big Spring, Suite 300, Midland, Texas                  79701
(Address of principal executive office)                     (Zip Code)

Registrant's telephone number, including area code  (915) 686-9927

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

                                   None

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

                      limited partnership interests

Indicate by check mark whether registrant (1) has filed 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 (229.405 of this chapter) 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]

The  registrant's  outstanding  securities  consist  of  Units  of  limited
partnership  interests for which there exists no established public  market
from which to base a calculation of aggregate market value.

The  total  number of pages contained in this report is 39.   There  is  no
exhibit index.

<PAGE>
                            Table of Contents

Item                                                                   Page

                                  Part I

 1.  Business                                                            3

 2.  Properties                                                          5

 3.  Legal Proceedings                                                   7

 4.  Submission of Matters to a Vote of Security Holders                 7

                                 Part II

 5.  Market for Registrant's Common Equity and Related
     Stockholder Matters                                                 8

 6.  Selected Financial Data                                             9

 7.  Management's Discussion and Analysis of
     Financial Condition and Results of Operations                      10

 8.  Financial Statements and Supplementary Data                        18

 9.  Changes in and Disagreements with Accountants
     on Accounting and Financial Disclosure                             33

                                 Part III

10.  Directors and Executive Officers of the Registrant                 34

11.  Executive Compensation                                             35

12.  Security Ownership of Certain Beneficial Owners and
     Management                                                         35

13.  Certain Relationships and Related Transactions                     37

                                 Part IV

14.  Exhibits, Financial Statement Schedules, and Reports
     on Form 8-K                                                        38

     Signatures                                                         39

<PAGE>
                                  Part I

Item 1.   Business

General
Southwest  Royalties Institutional Income Fund X-B, L.P. (the "Partnership"
or  "Registrant")  was  organized  as a  Delaware  limited  partnership  on
November  27,  1990.  The offering of limited partnership  interests  began
December  1,  1990 as part of a shelf offering registered  under  the  name
Southwest  Royalties Institutional 1990-91 Income Program (the  "Program").
Minimum  capital  requirements for the Partnership were met  on  March  11,
1991,  with  the  offering  of  limited  partnership  interests  concluding
September  30,  1991,  but  continuing for other  partnerships  within  the
program. The Partnership has no subsidiaries.

The Partnership has acquired interests in producing oil and gas properties,
and  produced and marketed the crude oil and natural gas produced from such
properties.  In most cases, the Partnership purchased royalty or overriding
royalty interests and working interests in oil and gas properties that were
converted into net profits interests or other nonoperating interests.   The
Partnership  purchased  either all or part of the  rights  and  obligations
under various oil and gas leases.

The  principal executive offices of the Partnership are located at  407  N.
Big Spring, Suite 300, Midland, Texas, 79701.  The Managing General Partner
of  the  Partnership,  Southwest Royalties,  Inc.  (the  "Managing  General
Partner")   and  its  staff  of  89  individuals,  together  with   certain
independent  consultants  used  on an "as needed"  basis,  perform  various
services on behalf of the Partnership, including the selection of  oil  and
gas properties and the marketing of production from such properties.  H. H.
Wommack,  III,  a  stockholder, director, President and  Treasurer  of  the
Managing  General Partner, is also a general partner.  The Partnership  has
no employees.

Principal Products, Marketing and Distribution
The  Partnership has acquired and holds royalty, overriding royalty and net
profit  interests in oil and gas properties located in Arkansas, Louisiana,
New  Mexico  and Texas.  All activities of the Partnership are confined  to
the  continental  United  States.  All oil  and  gas  produced  from  these
properties is sold to unrelated third parties in the oil and gas business.

The  revenues  generated from the Partnership's oil and gas activities  are
dependent upon the current market for oil and gas.  The prices received  by
the Partnership for its oil and gas production depend upon numerous factors
beyond   the   Partnership's  control,  including  competition,   economic,
political  and regulatory developments and competitive energy sources,  and
make it particularly difficult to estimate future prices of oil and natural
gas.

<PAGE>
For  nearly nine months, despite the fears of a global recession, crude oil
prices  held steady between $26 and $28 per barrel due in part to a  series
of  OPEC  and  non-OPEC production cuts.  Then, following what  has  become
known  simply  as  "9-11",  crude prices plunged  immediately  to  $22  and
gradually  fell  to below $18 per barrel.  Slower demand  across  the  U.S.
caused by the threat of recession and warmer than expected weather also led
to  declining prices in the latter half of 2001.  However, the  oil  cartel
and other non-member countries agreed for the fourth time since February to
curb  output in an effort to stabilize prices.  Crude oil contracts trading
on the NYMEX closed the year at approximately $20 per barrel.

Spot  prices in 2001 climbed to their highest levels ever, with the  yearly
average  price  nationwide reaching $4.14/MMBtu, up  9.77%  from  the  2000
average  of $3.77/MMBtu.  Prices reached their zenith in the first  quarter
of  2001 before beginning a steady decline throughout the remainder of  the
year.   The  terrorist  attacks  of  September  11  knocked  the  New  York
Mercantile Exchange out of the market for several days and shook  the  spot
marketplace into a maintenance mode.  As companies measured the  impact  of
the  attacks on the U.S. economy, spot prices deteriorated further.  In the
fourth  quarter,  prices  bottomed out for the year  with  the  three-month
average  falling to $2.31/MMBtu.  As for 2002, record-high  storage  levels
and  the  expectation of a flat economy through the first half of the  year
are  leading  industry  experts to predict prices to  average  $2.05/MMBtu,
remaining above the $2.00 per MMBtu level for a 5th consecutive year.

Following  is a table of the ratios of revenues received from oil  and  gas
production for the last three years:

                                  Oil          Gas

                    2001          66%          34%
                    2000          72%          28%
                    1999          75%          25%

As  the table indicates, the majority of the Partnership's revenue is  from
its   oil  production;  therefore,  Partnership  revenues  will  be  highly
dependent upon the future prices and demands for oil.

Seasonality of Business
Although the demand for natural gas is highly seasonal, with higher  demand
in  the colder winter months and in very hot summer months, the Partnership
has  been able to sell all of its natural gas, either through contracts  in
place or on the spot market at the then prevailing spot market price.  As a
result,  the volumes sold by the Partnership have not fluctuated materially
with the change of season.

Customer Dependence
No  material portion of the Partnership's business is dependent on a single
purchaser,  or a very few purchasers, where the loss of one  would  have  a
material adverse impact on the Partnership.  Four purchasers accounted  for
67%  of the Partnership's total oil and gas production during 2001:  Plains
Marketing LP for 29%, Duke Energy Field Services for 17%, Mobil Corporation
for  11% and Exxon Company USA for 10%.  Three purchasers accounted for 78%
of  the  Partnership's total oil and gas production  during  2000:   Plains
Marketing  LP for 34%, Mobil Corporation for 24% and Phillips 66  for  20%.
Three  purchasers accounted for 73% of the Partnership's total oil and  gas
production during 1999: Scurlock Permian LLC for 30%, Mobil Corporation for
26%  and Phillips 66 for 17%.  All purchasers of the Partnership's oil  and
gas  production  are unrelated third parties.  In the event  any  of  these
purchasers were to discontinue purchasing the Partnership's production, the
Managing General Partner believes that a substitute purchaser or purchasers
could be located without undue delay.  No other purchaser accounted for  an
amount  equal to or greater than 10% of the Partnership's sales of oil  and
gas production.

Competition
Because  the  Partnership has utilized all of its funds available  for  the
acquisition  of net profits or royalty interests in producing oil  and  gas
properties,  it  is  not  subject to competition from  other  oil  and  gas
property purchasers.  See Item 2, Properties.

<PAGE>
Factors  that  may  adversely  affect the  Partnership  include  delays  in
completing  arrangements  for  the sale of production,  availability  of  a
market for production, rising operating costs of producing oil and gas  and
complying  with  applicable  water  and  air  pollution  control  statutes,
increasing  costs  and  difficulties of transportation,  and  marketing  of
competitive  fuels.   Moreover, domestic oil  and  gas  must  compete  with
imported oil and gas and with coal, atomic energy, hydroelectric power  and
other forms of energy.

Regulation

Oil  and Gas Production - The production and sale of oil and gas is subject
to  federal and state governmental regulation in several respects, such  as
existing price controls on natural gas and possible price controls on crude
oil,  regulation of oil and gas production by state and local  governmental
agencies, pollution and environmental controls and various other direct and
indirect   regulation.    Many  jurisdictions  have  periodically   imposed
limitations on oil and gas production by restricting the rate of  flow  for
oil  and  gas wells below their actual capacity to produce and by  imposing
acreage limitations for the drilling of wells.  The federal government  has
the  power  to  permit increases in the amount of oil imported  from  other
countries and to impose pollution control measures.

Various  aspects of the Partnership's oil and gas activities are  regulated
by  administrative agencies under statutory provisions of the states  where
such  activities  are  conducted and by certain  agencies  of  the  federal
government for operations on Federal leases.  Moreover, certain  prices  at
which the Partnership may sell its natural gas production are controlled by
the  Natural Gas Policy Act of 1978, the Natural Gas Wellhead Decontrol Act
of  1989  and the regulations promulgated by the Federal Energy  Regulatory
Commission.

Environmental  - The Partnership's oil and gas activities  are  subject  to
extensive  federal,  state  and local laws and  regulations  governing  the
generation,  storage, handling, emission, transportation and  discharge  of
materials into the environment.  Governmental authorities have the power to
enforce compliance with their regulations, and violations carry substantial
penalties.   This  regulatory burden on the oil and gas industry  increases
its cost of doing business and consequently affects its profitability.  The
Managing  General  Partner  is  unable to  predict  what,  if  any,  effect
compliance will have on the Partnership.

Industry  Regulations  and  Guidelines - Certain industry  regulations  and
guidelines  apply to the registration, qualification and operation  of  oil
and  gas programs in the form of limited partnerships.  The Partnership  is
subject  to  these  guidelines  which regulate  and  restrict  transactions
between the Managing General Partner and the Partnership.

The  Partnership  complies with these guidelines and the  Managing  General
Partner  does not anticipate that continued compliance will have a material
adverse effect on Partnership operations.

Partnership Employees
The  Partnership has no employees; however the Managing General Partner has
a  staff of geologists, engineers, accountants, landmen and clerical  staff
who  engage in Partnership activities and operations and perform additional
services  for  the  Partnership as needed.  In  addition  to  the  Managing
General  Partner's  staff, the Partnership engages independent  consultants
such  as petroleum engineers and geologists as needed.  As of December  31,
2001,  there were 89 individuals directly employed by the Managing  General
Partner in various capacities.

Item 2.   Properties

In  determining whether an interest in a particular producing property  was
to  be  acquired, the Managing General Partner considered such criteria  as
estimated  oil  and  gas reserves, estimated cash flow  from  the  sale  of
production,  present  and  future prices of oil  and  gas,  the  extent  of
undeveloped  and  unproved reserves, the potential for secondary,  tertiary
and other enhanced recovery projects and the availability of markets.

<PAGE>
As  of December 31, 2001, the Partnership possessed an interest in oil  and
gas properties located in Columbia County of Arkansas; Calcasieu Parish  of
Louisiana;  Eddy and Lea Counties of New Mexico; and Crane, Duval,  Howard,
Midland,  Reeves, Schleicher, Scurry, Ward, Winkler and Yoakum Counties  of
Texas.  These properties consist of various interests in approximately  197
wells and units.

Due  to  the  Partnership's  objective of  maintaining  current  operations
without engaging in the drilling of any developmental or exploratory wells,
or additional acquisitions of producing properties, there have not been any
significant changes in properties during 2001, 2000 and 1999.

There were no property sales during 2001, 2000 and 1999.

Significant Properties
The  following  table  reflects the significant  properties  in  which  the
Partnership has an interest:

                          Date
                       Purchased        No. of          Proved Reserves*
Name and Location     and Interest      Wells        Oil (bbls)  Gas (mcf)
-----------------     ------------      -----        ----------  ---------

NE Vacuum ABO         9/91 at 25%         7        119,000         86,000
Acquisition           to 50% net
Lea County,           profits interest
New Mexico

*Ryder  Scott  Petroleum Engineers prepared the reserve and  present  value
data for the Partnership's existing properties as of January 1, 2002.   The
reserve  estimates were made in accordance with guidelines  established  by
the  Securities  and  Exchange  Commission  pursuant  to  Rule  4-10(a)  of
Regulation  S-X.   Such guidelines require oil and gas reserve  reports  be
prepared  under  existing  economic  and  operating  conditions   with   no
provisions   for   price   and  cost  escalation  except   by   contractual
arrangements.

Oil  price  adjustments were made in the individual evaluations to  reflect
oil quality, gathering and transportation costs. The results of the reserve
report as of January 1, 2002 are an average price of $18.44 per barrel.

Gas  price  adjustments were made in the individual evaluations to  reflect
BTU  content,  gathering and transportation costs and  gas  processing  and
shrinkage.  The results of the reserve report as of January 1, 2002 are  an
average price of $1.80 per Mcf.

<PAGE>
As  also discussed in Part II, Item 7, Management's Discussion and Analysis
of  Financial Condition and Results of Operations, oil and gas prices  were
subject to frequent changes in 2001.

The  evaluation  of  oil and gas properties is not  an  exact  science  and
inevitably involves a significant degree of uncertainty, particularly  with
respect to the quantity of oil or gas that any given property is capable of
producing.   Estimates  of  oil and gas reserves  are  based  on  available
geological and engineering data, the extent and quality of which  may  vary
in  each  case  and,  in  certain instances, may prove  to  be  inaccurate.
Consequently,  properties may be depleted more rapidly than the  geological
and engineering data have indicated.

Unanticipated  depletion, if it occurs, will result in lower reserves  than
previously  estimated; thus an ultimately lower return for the Partnership.
Basic  changes in past reserve estimates occur annually.  As  new  data  is
gathered  during the subsequent year, the engineer must revise his  earlier
estimates.  A year of new information, which is pertinent to the estimation
of  future  recoverable volumes, is available during  the  subsequent  year
evaluation.   In applying the industry audit standards and procedures,  the
new data may cause the previous estimates to be revised.  This revision may
increase  or decrease the earlier estimated volumes.  Pertinent information
gathered  during the year may include actual production and decline  rates,
production  from  offset  wells  drilled to the  same  geologic  formation,
increased or decreased water production, workovers, and changes in  lifting
costs,  among  others.  Accordingly, reserve estimates are often  different
from the quantities of oil and gas that are ultimately recovered.

The  Partnership  has  reserves which are classified  as  proved  developed
producing, proved developed non-producing and proved undeveloped.   All  of
the  proved reserves are included in the engineering reports which evaluate
the Partnership's present reserves.

Because  the  Partnership  does  not engage  in  drilling  activities,  the
development of proved undeveloped reserves is conducted pursuant  to  farm-
out  arrangements  with  the Managing General Partner  or  unrelated  third
parties.  Generally, the Partnership retains a carried interest such as  an
overriding  royalty  interest under the terms of a  farm-out,  or  receives
cash.  The Partnership or the owners of properties in which the Partnership
owns  an interest can engage in workover projects or supplementary recovery
projects, for example, to extract behind the pipe reserves which qualify as
proved developed non-producing reserves.  See Part II, Item 7, Management's
Discussion and Analysis of Financial Condition and Results of Operations.

Item 3.   Legal Proceedings

There are no material pending legal proceedings to which the Partnership is
a party.

Item 4.   Submission of Matters to a Vote of Security Holders

No  matter  was submitted to a vote of security holders during  the  fourth
quarter of 2001 through the solicitation of proxies or otherwise.

<PAGE>
                                 Part II


Item 5.   Market for the Registrant's Common Equity and Related Stockholder
          Matters

Market Information
Limited  partnership interests, or units, in the Partnership were initially
offered and sold for a price of $500.  Limited partner units are not traded
on  any  exchange  and there is no public or organized trading  market  for
them.  The Managing General Partner has become aware of certain limited and
sporadic transfers of units between limited partners and third parties, but
has no verifiable information regarding the prices at which such units have
been  transferred.   Further,  a transferee may  not  become  a  substitute
limited partner without the consent of the Managing General Partner.

Managing General Partner has the right, but not the obligation, to purchase
limited partnership units should an investor desire to sell.  The value  of
the  unit  is  determined   by adding the sum of (1)  current  assets  less
liabilities  and  (2)  the  present  value  of  the  future  net   revenues
attributable to proved reserves and by discounting the future net  revenues
at  a rate not in excess of the prime rate charged by NationsBank, N.A.  of
Midland, Texas plus one percent (1%), which value shall be further  reduced
by  a risk factor discount of no more than one-third (1/3) to be determined
by the Managing General Partner in its sole and absolute discretion.  As of
December  31, 2001, no limited partner units were purchased by the Managing
General Partner.  In 2000, 118 limited partner units were tendered  to  and
purchased  by  the  Managing General Partner at an average  base  price  of
$30.71  per unit.  In 1999, 42 limited partner units were tendered  to  and
purchased  by  the  Managing General Partner at an average  base  price  of
$62.96 per unit.

Number of Limited Partner Interest Holders
As of December 31, 2001, there were 593 holders of limited partner units in
the Partnership.

Distributions
Pursuant to Article III, Section 3.05 of the Partnership's Certificate  and
Agreement  of  Limited Partnership "Net Cash Flow" is  distributed  to  the
partners  on  a quarterly basis.  "Net Cash Flow" is defined as  "the  cash
generated  by  the  Partnership's investments  in  producing  oil  and  gas
properties,  less  (i)  General and Administrative  Costs,  (ii)  Operating
Costs,  and  (iii) any reserves necessary to meet current  and  anticipated
needs  of  the  Partnership, as determined in the sole  discretion  of  the
Managing General Partner."

During  2001,  quarterly  distributions were made totaling  $401,796,  with
$361,616  distributed to the limited partners and $40,180  to  the  general
partners.   For the year ended December 31, 2001, distributions  of  $32.34
per limited partner unit were made, based upon 11,181 limited partner units
outstanding.   During  2000,  quarterly distributions  were  made  totaling
$276,741, with $249,067 distributed to the limited partners and $27,674  to
the  general partners.  For the year ended December 31, 2000, distributions
of  $22.28  per  limited partner unit were made, based upon 11,181  limited
partner  units outstanding.  During 1999, distributions were made  totaling
$156,511, with $144,511 distributed to the limited partners and $12,000  to
the  general partners.  For the year ended December 31, 1999, distributions
of  $12.92  per  limited partner unit were made, based upon 11,181  limited
partner units outstanding.

<PAGE>
Item 6.   Selected Financial Data

The  following  selected financial data for the years  ended  December  31,
2001,  2000,  1999,  1998 and 1997 should be read in conjunction  with  the
financial statements included in Item 8:

                                   Years ended December 31,
                 -----------------------------------------------------------
                      2001       2000       1999      1998          1997
                      ----       ----       ----      ----          ----
Revenues        $   384,526    437,328    195,248   (24,535)      534,989

Net income
 (loss)             251,639    335,842     89,273  (664,064)      256,108

Partners' share
 of net income
  (loss):

  General
   partners          30,664     36,084     11,827   (11,530)       45,411

  Limited
   partners         220,975    299,758     77,446  (652,534)      210,697

Limited partners'
 net income (loss)
  per unit           19.76       26.81       6.93    (58.36)        18.84

Limited partners'
 cash distributions
  per unit            32.34      22.28      12.92      16.02        49.19

Total assets    $   480,943    631,064    572,001    639,249    1,493,285

<PAGE>
Item 7.   Management's  Discussion and Analysis of Financial Condition  and
          Results of Operations

General
The  Partnership was formed to acquire nonoperating interests in  producing
oil  and  gas  properties, to produce and market crude oil and natural  gas
produced  from  such  properties and to distribute any  net  proceeds  from
operations  to  the  general  and  limited  partners.   Net  revenues  from
producing  oil  and  gas  properties are not reinvested  in  other  revenue
producing  assets except to the extent that producing facilities and  wells
are  reworked  or  where  methods are employed to improve  or  enable  more
efficient  recovery  of oil and gas reserves.  The  economic  life  of  the
Partnership thus depends on the period over which the Partnership's oil and
gas reserves are economically recoverable.

Increases   or   decreases   in  Partnership   revenues   and,   therefore,
distributions  to partners will depend primarily on changes in  the  prices
received  for  production,  changes in volumes of  production  sold,  lease
operating  expenses, enhanced recovery projects, offset drilling activities
pursuant  to  farm-out arrangements and on the depletion of  wells.   Since
wells  deplete over time, production can generally be expected  to  decline
from year to year.

Well  operating costs and general and administrative costs usually decrease
with   production   declines;  however,  these  costs  may   not   decrease
proportionately.   Net  income available for distribution  to  the  limited
partners  is therefore expected to fluctuate in later years based on  these
factors.

Based on current conditions, management anticipates performing no workovers
during  2002  to  enhance  production.  The partnership  will  most  likely
experience the historical production decline of approximately 10% per year.

Critical Accounting Policies
Full cost ceiling calculations The Partnership follows the full cost method
of  accounting  for  its  oil and gas properties.   The  full  cost  method
subjects  companies to quarterly calculations of a "ceiling", or limitation
on  the  amount of properties that can be capitalized on the balance sheet.
If  the  Partnership's capitalized costs are in excess  of  the  calculated
ceiling, the excess must be written off as an expense.

The  Partnership's discounted present value of its proved oil  and  natural
gas  reserves  is  a  major  component  of  the  ceiling  calculation,  and
represents  the  component  that requires the  most  subjective  judgments.
Estimates  of  reserves are forecasts based on engineering data,  projected
future  rates  of  production and the timing of future  expenditures.   The
process  of  estimating oil and natural gas reserves  requires  substantial
judgment,  resulting  in  imprecise determinations,  particularly  for  new
discoveries.   Different reserve engineers may make different estimates  of
reserve  quantities  based  on the same data.   The  Partnership's  reserve
estimates are prepared by outside consultants.

The  passage  of  time  provides  more  qualitative  information  regarding
estimates of reserves, and revisions are made to prior estimates to reflect
updated  information.   However,  there  can  be  no  assurance  that  more
significant  revisions  will not be necessary in  the  future.   If  future
significant  revisions  are  necessary  that  reduce  previously  estimated
reserve quantities, it could result in a full cost property writedown.   In
addition to the impact of these estimates of proved reserves on calculation
of  the  ceiling,  estimates  of proved reserves  are  also  a  significant
component of the calculation of DD&A.

While  the quantities of proved reserves require substantial judgment,  the
associated prices of oil and natural gas reserves that are included in  the
discounted  present  value of the reserves do not  require  judgment.   The
ceiling calculation dictates that prices and costs in effect as of the last
day  of  the  period are generally held constant indefinitely. Because  the
ceiling  calculation dictates that prices in effect as of the last  day  of
the  applicable quarter are held constant indefinitely, the resulting value
is  not indicative of the true fair value of the reserves.  Oil and natural
gas  prices have historically been cyclical and, on any particular  day  at
the  end of a quarter, can be either substantially higher or lower than the
Partnership's  long-term price forecast that is a barometer for  true  fair
value.

<PAGE>
The Partnership's policy for depreciation, depletion and amortization of
oil and gas properties is computed under the units of revenue method.
Under the units of revenue method, depreciation, depletion and amortization
is computed on the basis of current gross revenues from production in
relation to future gross revenues, based on current prices, from estimated
production of proved oil and gas reserves.

Results of Operations

A.  General Comparison of the Years Ended December 31, 2001 and 2000

The  following  table  provides certain information  regarding  performance
factors for the years ended December 31, 2001 and 2000:

                                                  Year Ended     Percentage
                                                 December 31,     Increase
                                                2001      2000   (Decrease)
                                                ----      ----   ---------

Average price per barrel of oil            $   24.22    28.80    (16%)
Average price per mcf of gas               $    3.59     3.92     (8%)
Oil production in barrels                     21,800   22,000     (1%)
Gas production in mcf                         76,700   64,100      20%
Income from net profits interests          $ 381,306  433,937    (12%)
Partnership distributions                  $ 401,796  276,741      45%
Limited partner distributions              $ 361,616  249,067      45%
Per unit distribution to limited partners  $   32.34    22.28      45%
Number of limited partner units               11,181   11,181

Revenues

The  Partnership's income from net profits interests decreased to  $381,306
from $433,937 for the years ended December 31, 2001 and 2000, respectively,
a  decrease of 12%.  The principal factors affecting the comparison of  the
years ended December 31, 2001 and 2000 are as follows:

1.  The  average  price  for a barrel of oil received  by  the  Partnership
    decreased  during the year ended December 31, 2001 as compared  to  the
    year ended December 31, 2000 by 16%, or $4.58 per barrel, resulting  in
    a  decrease  of  approximately  $99,800  in  income  from  net  profits
    interests.  Oil sales represented 66% of total oil and gas sales during
    the  year  ended December 31, 2001 as compared to 72% during  the  year
    ended December 31, 2000.

    The  average  price  for  an  mcf of gas received  by  the  Partnership
    decreased during the same period by 8%, or $.33 per mcf, resulting in a
    decrease of approximately $25,300 in income from net profits interests.

    The  total  decrease in income from net profits interests  due  to  the
    change  in prices received from oil and gas production is approximately
    $125,100.  The market price for oil and gas has been extremely volatile
    over  the  past  decade  and management expects  a  certain  amount  of
    volatility to continue in the foreseeable future.

<PAGE>

2.  Oil  production decreased approximately 200 barrels or  1%  during  the
    year ended December 31, 2001 as compared to the year ended December 31,
    2000,  resulting in a decrease of approximately $5,800 in  income  from
    net profits interests.

    Gas  production  increased approximately 12,600 mcf or 20%  during  the
    same  period,  resulting  in an increase of  approximately  $49,400  in
    income from net profits interests.

    The  net total increase in income from net profits interests due to the
    change  in  production is approximately $43,600. The  increase  in  gas
    production  is  due to successful workovers, repairs,  and  maintenance
    performed on one lease during 2001.

3.  Lease   operating  costs  and  production  taxes  were  6%  lower,   or
    approximately $29,200 less during the year ended December 31,  2001  as
    compared to the year ended December 31, 2000.

Costs and Expenses

Total  costs and expenses increased to $132,887 from $101,486 for the years
ended  December 31, 2001 and 2000, respectively, an increase of  31%.   The
increase  is  the  result  of  higher depletion  expense  and  general  and
administrative costs.

1.  General and administrative costs consists of independent accounting and
    engineering  fees,  computer services, postage,  and  Managing  General
    Partner personnel costs.  General and administrative costs increased 2%
    or  approximately  $1,400 during the year ended December  31,  2001  as
    compared to the year ended December 31, 2000.

2.   Depletion expense increased to $55,000 for the year ended December 31,
   2001 from $25,000 for the same period in 2000.  This represents an increase
   of  120%.  Depletion is calculated using the units of revenue method  of
   amortization based on a percentage of current period gross  revenues  to
   total future gross oil and gas revenues, as estimated by the Partnership's
   independent petroleum consultants.

   The  major  factor  to  the increase in depletion  expense  between  the
   comparative  periods was the decrease in the price of oil and  gas  used
   to  determine the Partnership's reserves for January 1, 2002 as compared
   to  2001,  and  the  decrease in oil and gas revenues  received  by  the
   Partnership  during  2001 as compared to 2000.   Revisions  of  previous
   estimates  can  be attributed to the changes in production  performance,
   oil  and  gas  price and production costs.  The impact of  the  revision
   would  have  increased  depletion expense approximately  $16,000  as  of
   December 31, 2000.



<PAGE>


Results of Operations

B.  General Comparison of the Years Ended December 31, 2000 and 1999

The  following  table  provides certain information  regarding  performance
factors for the years ended December 31, 2000 and 1999:

                                                  Year Ended     Percentage
                                                 December 31,     Increase
                                                2000      1999   (Decrease)
                                                ----      ----   ---------

Average price per barrel of oil            $   28.80    16.34      76%
Average price per mcf of gas               $    3.92     2.07      89%
Oil production in barrels                     22,000   25,700    (14%)
Gas production in mcf                         64,100   67,350     (5%)
Income from net profits interests          $ 433,937  193,199     125%
Partnership distributions                  $ 276,741  156,511      77%
Limited partner distributions              $ 249,067  144,511      72%
Per unit distribution to limited partners  $   22.28    12.92      72%
Number of limited partner units               11,181   11,181

Revenues

The  Partnership's income from net profits interests increased to  $433,937
from $193,199 for the years ended December 31, 2000 and 1999, respectively,
an increase of 125%.  The principal factors affecting the comparison of the
years ended December 31, 2000 and 1999 are as follows:

1.  The  average  price  for a barrel of oil received  by  the  Partnership
    increased  during the year ended December 31, 2000 as compared  to  the
    year ended December 31, 1999 by 76%, or $12.46 per barrel, resulting in
    an  increase  of  approximately $274,100 in  income  from  net  profits
    interests.  Oil sales represented 72% of total oil and gas sales during
    the  year  ended December 31, 2000 as compared to 75% during  the  year
    ended December 31, 1999.

    The  average  price  for  an  mcf of gas received  by  the  Partnership
    increased during the same period by 89%, or $1.85 per mcf, resulting in
    an  increase  of  approximately $118,600 in  income  from  net  profits
    interests.

    The  total  increase in income from net profits interests  due  to  the
    change  in prices received from oil and gas production is approximately
    $392,700.  The market price for oil and gas has been extremely volatile
    over  the  past  decade  and management expects  a  certain  amount  of
    volatility to continue in the foreseeable future.

<PAGE>

2.  Oil  production decreased approximately 3,700 barrels or 14% during the
    year ended December 31, 2000 as compared to the year ended December 31,
    1999,  resulting in a decrease of approximately $60,500 in income  from
    net profits interests.

    Gas  production decreased approximately 3,250 mcf or 5% during the same
    period, resulting in a decrease of approximately $6,700 in income  from
    net profits interests.

    The  total  decrease in income from net profits interests  due  to  the
    change in production is approximately $67,200.

3.  Lease  operating  costs  and  production  taxes  were  23%  higher,  or
    approximately $84,500 more during the year ended December 31,  2000  as
    compared  to the year ended December 31, 1999.  The increase  in  lease
    operating  costs and production taxes is due in part to an increase  in
    major  repairs  and maintenance and in part to the rise  in  production
    taxes  directly associated with the rise in oil and gas prices received
    during  the  past year.  The rise in oil and gas prices  for  2000  has
    allowed the Partnership to perform these repairs and maintenance in the
    hopes of increasing production, thereby increasing revenues.

Costs and Expenses

Total  costs and expenses decreased to $101,486 from $105,975 for the years
ended  December  31, 2000 and 1999, respectively, a decrease  of  4%.   The
decrease  is  the  result  of  lower  depletion  expense  and  general  and
administrative costs.

1.  General and administrative costs consists of independent accounting and
    engineering  fees,  computer services, postage,  and  Managing  General
    Partner personnel costs.  General and administrative costs decreased 1%
    or  approximately  $500  during the year ended  December  31,  2000  as
    compared to the year ended December 31, 1999.

3.   Depletion expense decreased to $25,000 for the year ended December 31,
   2000 from $29,000 for the same period in 1999.  This represents a decrease
   of  14%.   Depletion is calculated using the units of revenue method  of
   amortization based on a percentage of current period gross  revenues  to
   total future gross oil and gas revenues, as estimated by the Partnership's
   independent petroleum consultants.

   The  major  factor  to  the decrease in depletion  expense  between  the
   comparative  periods was the increase in the price of oil and  gas  used
   to  determine the Partnership's reserves for January 1, 2001 as compared
   to  2000.   Revisions  of previous estimates can be  attributed  to  the
   changes  in  production performance, oil and gas  price  and  production
   costs.   The  impact  of  the  revision would have  increased  depletion
   expense approximately $7,000 as of December 31, 1999.



<PAGE>


C.  Revenue and Distribution Comparison

Partnership net income for the years ended December 31, 2001, 2000 and 1999
was $251,639, $335,842 and $89,273, respectively.  Excluding the effects of
depreciation,  depletion  and amortization,  net  income  would  have  been
$306,639  in 2001, $360,842 in 2000 and $118,273 in 1999.  Correspondingly,
Partnership distributions for the years ended December 31, 2001,  2000  and
1999 were $401,796, $276,741 and $156,511, respectively.  These differences
are  indicative  of  the  changes in oil and  gas  prices,  production  and
property sales.

The  sources  for  the  2001 distributions of $401,796  were  oil  and  gas
operations of approximately $369,800, with the balance from available  cash
on  hand  at  the  beginning  of the period.   The  sources  for  the  2000
distributions  of  $276,741  were oil and gas operations  of  approximately
$336,700,  resulting  in  excess  cash  for  contingencies  and  subsequent
distribution.  The sources for the 1999 distributions of $156,511 were  oil
and  gas operations of approximately $40,400 and the change in oil and  gas
properties of approximately $8,000, with the balance from available cash on
hand at the beginning of the period.

Total  distributions during the year ended December 31, 2001 were  $401,796
of  which  $361,616 was distributed to the limited partners and $40,180  to
the general partners.  The per unit distribution to limited partners during
the  same  period was $32.34.  Total distributions during  the  year  ended
December  31, 2000 were $276,741 of which $249,067 was distributed  to  the
limited  partners  and  $27,674  to the general  partners.   The  per  unit
distribution to limited partners during the same period was $22.28.   Total
distributions  during  the year ended December 31, 1999  were  $156,511  of
which  $144,511 was distributed to the limited partners and $12,000 to  the
general partners.  The per unit distribution to limited partners during the
same period was $12.92.

Since  inception of the Partnership, cumulative monthly cash  distributions
of  $5,499,098  have been made to the partners.  As of December  31,  2001,
$5,008,231 or $447.92 per limited partner unit, has been distributed to the
limited partners, representing a 90% return of the capital contributed.

<PAGE>

Liquidity and Capital Resources

The  primary source of cash is from operations, the receipt of income  from
net profits interests in oil and gas properties.  The Partnership knows  of
no material change, nor does it anticipate any such change.

Cash flows provided by operating activities were approximately $369,800  in
2001  compared to $336,700 in 2000 and approximately $40,400 in 1999.   The
primary  source  of  the  2001  cash flow  from  operating  activities  was
profitable operations.

The  Partnership had no cash flows from investing activities  in  2001  and
2000.   Cash  flows  provided  by investing activities  were  approximately
$8,000 in 1999.

Cash flows used in financing activities were approximately $401,800 in 2001
compared to $276,800 in 2000 and approximately $156,500 in 1999.  The  only
use in financing activities was the distributions to partners.

As  of  December  31, 2001, the Partnership had approximately  $102,900  in
working  capital.   The  Managing  General  Partner  knows  of  no  unusual
contractual  commitments and believes the revenue generated from  operation
are adequate to meet the needs of the Partnership.

Liquidity - Managing General Partner

The  Managing General Partner has a highly leveraged capital structure with
$50.0  million and $123.7 million of principal due in August  of  2003  and
October  of  2004, respectively.  The Managing General Partner  will  incur
approximately  $17.6  million in interest payments  in  2002  on  its  debt
obligations. Due to the depressed commodity prices experienced  during  the
last  quarter  of  2001,  the  Managing  General  Partner  is  experiencing
difficulty  in generating sufficient cash flow to meet its obligations  and
sustain its operations.  The Managing General Partner is currently  in  the
process  of  renegotiating the terms of its various  obligations  with  its
creditors  and/or  attempting  to seek new  lenders  or  equity  investors.
Additionally,  the  Managing General Partner would  consider  disposing  of
certain assets in order to meet its obligations.

There  can  be  no  assurance  that  the Managing  General  Partner's  debt
restructuring efforts will be successful or that the lenders will agree  to
a   course   of  action  consistent  with  the  Managing  General  Partners
requirements  in restructuring the obligations.  Even if such agreement  is
reached,  it  may  require approval of additional  lenders,  which  is  not
assured.   Furthermore, there can be no assurance that the sales of  assets
can  be  successfully  accomplished on terms  acceptable  to  the  Managing
General   Partner.   Under  current  circumstances,  the  Managing  General
Partner's  ability to continue as a going concern depends upon its  ability
to  (1)  successfully  restructure  its obligations  or  obtain  additional
financing  as  may  be  required, (2) maintain  compliance  with  all  debt
covenants, (3) generate sufficient cash flow to meet its obligations  on  a
timely  basis, and (4) achieve satisfactory levels of future earnings.   If
the  Managing  General Partner is unsuccessful in its efforts,  it  may  be
unable to meet its obligations making it necessary to undertake such  other
actions  as  may  be  appropriate  to  preserve  asset  values.   Upon  the
occurrence of any event of dissolution by the Managing General Partner, the
holders  of  a  majority of limited partnership interests may,  by  written
agreement,  elect  to  continue the business  of  the  Partnership  in  the
Partnership's   name,  with  Partnership  property,  in   a   reconstituted
partnership under the terms of the partnership agreement and to designate a
successor Managing General Partner.

<PAGE>
Recent Accounting Pronouncements

In  June  1998,  the Financial Accounting Standards Board  ("FASB")  issued
Statement  of  Financial Accounting Standards ("SFAS") No.133,  "Accounting
for  Derivative  Instruments and Hedging Activities."   SFAS  No.  133,  as
amended by SFAS No. 138, establishes accounting and reporting standards for
derivative  instruments, including certain derivative instruments  embedded
in  other contracts and for hedging activities.  Assessment by the Managing
General  Partner  revealed this pronouncement to  have  no  impact  on  the
partnerships.

The  FASB  has  issued Statement No. 143 "Accounting for  Asset  Retirement
Obligations" which establishes requirements for the accounting of  removal-
type  costs  associated with asset retirements.  The standard is  effective
for  fiscal  years beginning after June 15, 2002, with earlier  application
encouraged.  The Managing General Partner is currently assessing the impact
on the partnerships financial statements.

On  October 3, 2001, the FASB issued Statements No. 144 "Accounting for the
Impairment   or   Disposal  of  Long-Lived  Assets."   This   pronouncement
supercedes FAS 121 "Accounting for the Impairment of Long-Lived Assets  and
for  Long-Lived  Assets to Be Disposed" and eliminates the  requirement  of
Statement  121 to allocate goodwill to long-lived assets to be  tested  for
impairment.   The provisions of this statement are effective for  financial
statements issued for fiscal years beginning after December 15,  2001,  and
interim periods within those fiscal years.  The Managing General Partner is
currently assessing the impact to the partnerships financial statements.

Item 7A.  Quantitative and Qualitative Disclosures About Market Risk

The  Partnership  is  not a party to any derivative or embedded  derivative
instruments.



<PAGE>
Item 8.        Financial Statements and Supplementary Data

                      Index to Financial Statements

                                                                       Page

Independent Auditors Report                                             19

Balance Sheets                                                          20

Statements of Operations                                                21

Statement of Changes in Partners' Equity                                22

Statements of Cash Flows                                                23

Notes to Financial Statements                                          245
<PAGE>









                        INDEPENDENT AUDITORS REPORT

The Partners
Southwest Royalties Institutional
 Income Fund X-B, L.P.
 (A Delaware Limited Partnership):


We  have  audited  the  accompanying balance sheets of Southwest  Royalties
Institutional Income Fund X-B, L.P. (the "Partnership") as of December  31,
2001  and  2000,  and  the  related statements of  operations,  changes  in
partners'  equity and cash flows for each of the years in  the  three  year
period  ended  December  31,  2001.  These  financial  statements  are  the
responsibility of the Partnership's management.  Our responsibility  is  to
express an opinion on these financial statements based on our audits.

We  conducted  our  audits in accordance with auditing standards  generally
accepted in the United States of America.  Those standards require that  we
plan and perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement.  An audit  includes
examining, on a test basis, evidence supporting the amounts and disclosures
in  the  financial  statements.   An  audit  also  includes  assessing  the
accounting principles used and significant estimates made by management, as
well  as  evaluating  the  overall financial  statement  presentation.   We
believe that our audits provide a reasonable basis for our opinion.

In  our opinion, the financial statements referred to above present fairly,
in  all  material  respects, the financial position of Southwest  Royalties
Institutional Income Fund X-B, L.P. as of December 31, 2001  and  2000  and
the  results of its operations and its cash flows for each of the years  in
the three year period ended December 31, 2000 in conformity with accounting
principles generally accepted in the United States of America.








                                                  KPMG LLP



Midland, Texas
March 10, 2002

<PAGE>
         Southwest Royalties Institutional Income Fund X-B, L.P.
                     (a Delaware limited partnership)
                              Balance Sheets
                        December 31, 2001 and 2000


                                                      2001          2000
                                                      ----          ----

  Assets
  ------

Current assets:
 Cash and cash equivalents                   $        48,952       80,863
 Receivable from Managing General Partner             53,962      117,172

---------                                    ---------
                                                 Total    current    assets
102,914                                      198,035

---------                                    ---------
Oil and gas properties - using the full-
 cost method of accounting                         3,888,882    3,888,882
  Less accumulated depreciation,
                                               depletion  and  amortization
3,510,853                                    3,455,853

---------                                    ---------
                                              Net  oil  and gas  properties
378,029                                      433,029

---------                                    ---------
                                                                          $
480,943                                      631,064

=========                                    =========

  Liabilities and Partners' Equity
  --------------------------------

Current liability - distribution payable     $            37            1

---------                                    ---------
Partners' equity:
 General partners                                   (41,831)     (32,315)
 Limited partners                                    522,737      663,378

---------                                    ---------
                                                Total    partners'   equity
480,906                                      631,063

---------                                    ---------
                                                                          $
480,943                                      631,064

=========                                    =========





















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

<PAGE>
         Southwest Royalties Institutional Income Fund X-B, L.P.
                     (a Delaware limited partnership)
                         Statements of Operations
               Years ended December 31, 2001, 2000 and 1999


                                                 2001      2000      1999
                                                 ----      ----      ----

  Revenues
  --------

Income from net profits interests         $    381,306   433,937  193,199
Interest from operations                         3,220     3,391    2,049
                                                                    -------
-------                                   -------
                                                                    384,526
437,328                                   195,248
                                                                    -------
-------                                   -------
  Expenses
  --------

General and administrative                      77,887    76,486   76,975
Depreciation, depletion and amortization        55,000    25,000   29,000
                                                                    -------
-------                                   -------
                                                                    132,887
101,486                                   105,975
                                                                    -------
-------                                   -------
Net income                                $    251,639   335,842   89,273
                                                                    =======
=======                                   =======
Net income allocated to:

 Managing General Partner                 $     27,598    32,476   10,644
                                                                    =======
=======                                   =======
 General Partner                          $      3,066     3,608    1,183
                                                                    =======
=======                                   =======
 Limited partners                         $    220,975   299,758   77,446
                                                                    =======
=======                                   =======
  Per limited partner unit                $      19.76     26.81     6.93
                                                                    =======
=======                                   =======

























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

<PAGE>
         Southwest Royalties Institutional Income Fund X-B, L.P.
                     (a Delaware limited partnership)
                 Statement of Changes in Partners' Equity
               Years ended December 31, 2001, 2000 and 1999


                                              General   Limited
                                              Partners  Partners   Total
                                              --------  --------   -----

Balance at December 31, 1998            $   (40,552)    679,752   639,200

 Net income                                   11,827     77,446    89,273

 Distributions                              (12,000)  (144,511) (156,511)
                                                                    -------
---------                               ---------
Balance at December 31, 1999                (40,725)    612,687   571,962

 Net income                                   36,084    299,758   335,842

 Distributions                              (27,674)  (249,067) (276,741)
                                                                    -------
---------                               ---------
Balance at December 31, 2000                (32,315)    663,378   631,063

 Net income                                   30,664    220,975   251,639

 Distributions                              (40,180)  (361,616) (401,796)
                                                                    -------
---------                               ---------
Balance at December 31, 2001            $   (41,831)    522,737   480,906
                                                                    =======
=========                               =========
































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

<PAGE>
         Southwest Royalties Institutional Income Fund X-B, L.P.
                     (a Delaware limited partnership)
                         Statements of Cash Flows
               Years ended December 31, 2001, 2000 and 1999


                                                 2001      2000     1999
                                                 ----      ----     ----

Cash flows from operating activities:

 Cash received from net profits interests $    443,948   409,263  116,940
 Cash paid to Managing General Partner
  for administrative fees and general
                                            and   administrative   overhead
(77,319)                                  (75,989)(78,608)
 Interest received                               3,220     3,391    2,049
                                                                   --------
--------                                  --------
   Net  cash provided by operating activities              369,849  336,665
40,381
                                                                   --------
--------                                  --------
Cash flows provided by investing activities:

 Sale of oil and gas properties                      -         -    7,990
                                                                   --------
--------                                  --------
Cash flows used in financing activities:

 Distributions to partners                   (401,760) (276,779)(156,521)
                                                                   --------
--------                                  --------
Net (decrease) increase in cash and cash
 equivalents                                  (31,911)    59,886(108,150)

 Beginning of period                            80,863    20,977  129,127
                                                                   --------
--------                                  --------
 End of period                            $     48,952    80,863   20,977
                                                                   ========
========                                  ========


(continued)


























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

<PAGE>
         Southwest Royalties Institutional Income Fund X-B, L.P.
                     (a Delaware limited partnership)
                   Statements of Cash Flows, continued
               Years ended December 31, 2001, 2000 and 1999


                                                 2001      2000      1999
                                                 ----      ----      ----

Reconciliation of net income to net cash
 provided by operating activities:

Net income                                $    251,639   335,842   89,273

Adjustments to reconcile net income
 to net cash provided by
 operating activities:

   Depreciation, depletion and amortization                55,000    25,000
29,000
  Decrease (increase) in receivables            62,642  (24,674) (76,259)
  Increase (decrease) in payables                  568       497  (1,633)
                                                                    -------
-------                                   -------
Net cash provided by operating
 activities                               $    369,849   336,665   40,381
                                                                    =======
=======                                   =======





































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

<PAGE>
         Southwest Royalties Institutional Income Fund X-B, L.P.
                     (a Delaware limited partnership)

                      Notes to Financial Statements

1.   Organization
     Southwest  Royalties Institutional Income Fund X-B, L.P. was organized
     under  the laws of the state of Delaware on November 27, 1990 for  the
     purpose  of acquiring producing oil and gas properties and to  produce
     and market crude oil and natural gas produced from such properties for
     a  term  of 50 years, unless terminated at an earlier date as provided
     for  in the Partnership Agreement.  The Partnership sells its oil  and
     gas  production to a variety of purchasers with the prices it receives
     being  dependent  upon the oil and gas economy.  Southwest  Royalties,
     Inc. serves as the Managing General Partner and H. H. Wommack, III, as
     the  individual  general partner.  Revenues, costs  and  expenses  are
     allocated as follows:

                                                     Limited      General
                                                     Partners     Partners
                                                     --------     --------

     Interest income on capital contributions        100%            -
     Oil and gas sales                                90%           10%
     All other revenues                               90%           10%
     Organization and offering costs (1)             100%            -
     Amortization of organization costs              100%            -
     Property acquisition costs                      100%            -
     Gain/loss on property disposition                90%           10%
     Operating and administrative costs (2)           90%           10%
     Depreciation, depletion and amortization
      of oil and gas properties                      100%            -
     All other costs                                  90%          10%

          (1)All  organization  costs in excess of 3%  of  initial  capital
          contributions  will be paid by the Managing General  Partner  and
          will  be treated as a capital contribution.  The Partnership paid
          the  Managing  General Partner an amount equal to 3%  of  initial
          capital contributions for such organization costs.

          (2)Administrative costs in any year which exceed  2%  of  capital
          contributions shall be paid by the Managing General  Partner  and
          will be treated as a capital contribution.

2.   Summary of Significant Accounting Policies

     Oil and Gas Properties
     Oil  and  gas properties are accounted for at cost under the full-cost
     method.   Under  this  method, all productive and nonproductive  costs
     incurred   in   connection  with  the  acquisition,  exploration   and
     development of oil and gas reserves are capitalized.  Gain or loss  on
     the   sale  of  oil  and  gas  properties  is  not  recognized  unless
     significant oil and gas reserves are involved.

     The  Partnership's policy for depreciation, depletion and amortization
     of  oil  and  gas  properties is computed under the units  of  revenue
     method.   Under  the units of revenue method, depreciation,  depletion
     and  amortization is computed on the basis of current  gross  revenues
     from production in relation to future gross revenues, based on current
     prices, from estimated production of proved oil and gas reserves.

     Under  the  units  of  revenue method, the  Partnership  computes  the
     provision  by multiplying the total unamortized cost of  oil  and  gas
     properties by an overall rate determined by dividing (a) oil  and  gas
     revenues during the period by (b) the total future gross oil  and  gas
     revenues  as  estimated  by  the Partnership's  independent  petroleum
     consultants.   It  is  reasonably possible  that  those  estimates  of
     anticipated  future  gross revenues, the remaining estimated  economic
     life  of  the product, or both could be changed significantly  in  the
     near  term  due to the potential fluctuation of oil and gas prices  or
     production.   The  depletion estimate would also be affected  by  this
     change.

<PAGE>
         Southwest Royalties Institutional Income Fund X-B, L.P.
                     (a Delaware limited partnership)

                      Notes to Financial Statements

2.   Summary of Significant Accounting Policies - continued

     Oil and Gas Properties - continued
     Should the net capitalized costs exceed the estimated present value of
     oil  and  gas reserves, discounted at 10%, such excess costs would  be
     charged to current expense. As of December 31, 2001, 2000 and 1999 the
     net  capitalized costs did not exceed the estimated present  value  of
     the oil and gas reserves.

     The  Partnership's interest in oil and gas properties consists of  net
     profits  interests in proved properties located within the continental
     United States.  A net profits interest is created when the owner of  a
     working  interest  in a property enters into an arrangement  providing
     that  the  net profits interest owner will receive a stated percentage
     of  the net profit from the property.  The net profits interest  owner
     will not otherwise participate in additional costs and expenses of the
     property.

     Estimates and Uncertainties
     The  preparation of financial statements in conformity with  generally
     accepted  accounting principles requires management to make  estimates
     and  assumptions  that  affect  the reported  amounts  of  assets  and
     liabilities and disclosure of contingent assets and liabilities at the
     date  of the financial statements and the reported amounts of revenues
     and  expenses during the reporting period. The Partnerships  depletion
     calculation and full-cost ceiling test for oil and gas properties uses
     oil and gas reserves estimates, which are inherently imprecise. Actual
     results could differ from those estimates.

     Syndication Costs
     Syndication  costs  are  accounted for as a reduction  of  partnership
     equity.

     Environmental Costs
     The  Partnership  is  subject to extensive federal,  state  and  local
     environmental laws and regulations.  These laws, which are  constantly
     changing, regulate the discharge of materials into the environment and
     may  require  the Partnership to remove or mitigate the  environmental
     effects of the disposal or release of petroleum or chemical substances
     at   various  sites.   Environmental  expenditures  are  expensed   or
     capitalized  depending on their future economic benefit.  Costs  which
     improve a property as compared with the condition of the property when
     originally  constructed  or acquired and costs  which  prevent  future
     environmental contamination are capitalized.  Expenditures that relate
     to  an  existing condition caused by past operations and that have  no
     future  economic benefits are expensed.  Liabilities for  expenditures
     of  a  non-capital  nature are recorded when environmental  assessment
     and/or  remediation  is  probable, and the  costs  can  be  reasonably
     estimated.

     Gas Balancing
     The  Partnership  utilizes the sales method  of  accounting  for  gas-
     balancing  arrangements.  Under this method the Partnership recognizes
     sales revenue on all gas sold. As of December 31, 2001, 2000 and 1999,
     there  were no significant amounts of imbalance in terms of units  and
     value.

     Income Taxes
     No  provision  for  income  taxes  is  reflected  in  these  financial
     statements, since the tax effects of the Partnership's income or  loss
     are passed through to the individual partners.

     In   accordance  with  the  requirements  of  Statement  of  Financial
     Accounting  Standards  No. 109, "Accounting  for  Income  Taxes,"  the
     Partnership's tax basis in its net oil and gas properties at  December
     31,  2001  and 2000 is $662,619 and $686,178, respectively, more  than
     that  shown  on  the  accompanying Balance Sheets in  accordance  with
     generally accepted accounting principles.

<PAGE>
         Southwest Royalties Institutional Income Fund X-B, L.P.
                     (a Delaware limited partnership)

                      Notes to Financial Statements

2.   Summary of Significant Accounting Policies - continued

     Cash and Cash Equivalents
     For purposes of the statement of cash flows, the Partnership considers
     all  highly liquid debt instruments purchased with a maturity of three
     months or less to be cash equivalents.  The Partnership maintains  its
     cash at one financial institution.

     Number of Limited Partner Units
     As  of  December  31,  2001, 2000 and 1999 there were  11,181  limited
     partner units outstanding held by 593, 589 and 602 partners.

     Concentrations of Credit Risk
     The  Partnership is subject to credit risk through trade  receivables.
     Although  a  substantial portion of its debtors'  ability  to  pay  is
     dependent upon the oil and gas industry, credit risk is minimized  due
     to  a  large customer base.  All partnership revenues are received  by
     the   Managing  General  Partner  and  subsequently  remitted  to  the
     partnership and all expenses are paid by the Managing General  Partner
     and subsequently reimbursed by the partnership.

     Fair Value of Financial Instruments
     The  carrying amount of cash and accounts receivable approximates fair
     value due to the short maturity of these instruments.

     Net Income (loss) per limited partnership unit
     The  net  income (loss) per limited partnership unit is calculated  by
     using the number of outstanding limited partnership units.

     Recent Accounting Pronouncements
     In June 1998, the Financial Accounting Standards Board ("FASB") issued
     Statement   of   Financial  Accounting  Standards   ("SFAS")   No.133,
     "Accounting for Derivative Instruments and Hedging Activities."   SFAS
     No.  133,  as  amended  by  SFAS No. 138, establishes  accounting  and
     reporting  standards  for  derivative instruments,  including  certain
     derivative  instruments embedded in other contracts  and  for  hedging
     activities.  Assessment by the Managing General Partner revealed  this
     pronouncement to have no impact on the partnerships.

     The FASB has issued Statement No. 143 "Accounting for Asset Retirement
     Obligations"  which  establishes requirements for  the  accounting  of
     removal-type costs associated with asset retirements.  The standard is
     effective for fiscal years beginning after June 15, 2002, with earlier
     application  encouraged.  The Managing General  Partner  is  currently
     assessing the impact on the partnerships financial statements.

     On October 3, 2001, the FASB issued Statements No. 144 "Accounting for
     the  Impairment or Disposal of Long-Lived Assets."  This pronouncement
     supercedes FAS 121 "Accounting for the Impairment of Long-Lived Assets
     and   for  Long-Lived  Assets  to  Be  Disposed"  and  eliminates  the
     requirement of Statement 121 to allocate goodwill to long-lived assets
     to  be  tested  for impairment.  The provisions of this statement  are
     effective  for financial statements issued for fiscal years  beginning
     after  December  15,  2001, and interim periods  within  those  fiscal
     years.  The Managing General Partner is currently assessing the impact
     to the partnerships financial statements.

<PAGE>
          Southwest Royalties Institutional Income Fund X-B, L.P.
                     (a Delaware limited partnership)

                      Notes to Financial Statements

3.   Liquidity - Managing General Partner
     The  Managing General Partner has a highly leveraged capital structure
     with  $50.0 million and $123.7 million of principal due in  August  of
     2003  and October of 2004, respectively.  The Managing General Partner
     will incur approximately $17.6 million in interest payments in 2002 on
     its   debt   obligations.  Due  to  the  depressed  commodity   prices
     experienced  during  the last quarter of 2001,  the  Managing  General
     Partner is experiencing difficulty in generating sufficient cash  flow
     to  meet  its  obligations and sustain its operations.   The  Managing
     General Partner is currently in the process of renegotiating the terms
     of  its  various obligations with its creditors and/or  attempting  to
     seek  new  lenders  or equity investors.  Additionally,  the  Managing
     General Partner would consider disposing of certain assets in order to
     meet its obligations.

     There  can  be  no assurance that the Managing General Partner's  debt
     restructuring  efforts  will be successful or that  the  lenders  will
     agree  to  a  course  of action consistent with the  Managing  General
     Partners requirements in restructuring the obligations.  Even if  such
     agreement  is reached, it may require approval of additional  lenders,
     which is not assured.  Furthermore, there can be no assurance that the
     sales  of  assets can be successfully accomplished on terms acceptable
     to  the  Managing  General Partner.  Under current circumstances,  the
     Managing  General  Partner's ability to continue as  a  going  concern
     depends   upon  its  ability  to  (1)  successfully  restructure   its
     obligations  or  obtain additional financing as may be  required,  (2)
     maintain  compliance with all debt covenants, (3) generate  sufficient
     cash  flow to meet its obligations on a timely basis, and (4)  achieve
     satisfactory  levels  of  future earnings.  If  the  Managing  General
     Partner  is unsuccessful in its efforts, it may be unable to meet  its
     obligations making it necessary to undertake such other actions as may
     be  appropriate to preserve asset values.  Upon the occurrence of  any
     event of dissolution by the Managing General Partner, the holders of a
     majority  of limited partnership interests may, by written  agreement,
     elect to continue the business of the Partnership in the Partnership's
     name,  with Partnership property, in a reconstituted partnership under
     the  terms  of the partnership agreement and to designate a  successor
     Managing General Partner.

4.   Commitments and Contingent Liabilities
     Managing  General  Partner has the right, but not the  obligation,  to
     purchase limited partnership units should an investor desire to  sell.
     The  value of the unit is determined by adding the sum of (1)  current
     assets  less liabilities and (2) the present value of the  future  net
     revenues attributable to proved reserves and by discounting the future
     net  revenues  at  a rate not in excess of the prime rate  charged  by
     NationsBank, N.A. of Midland, Texas plus one percent (1%), which value
     shall be further reduced by a risk factor discount of no more than one-
     third  (1/3) to be determined by the Managing General Partner  in  its
     sole and absolute discretion.

     The  Partnership  is  subject  to various  federal,  state  and  local
     environmental  laws  and  regulations, which establish  standards  and
     requirements  for  protection  of the  environment.   The  Partnership
     cannot  predict the future impact of such standards and  requirements,
     which  are  subject to change and can have retroactive  effectiveness.
     The  Partnership  continues to monitor the status of  these  laws  and
     regulations.

     As  of December 31, 2001, the Partnership has not been fined, cited or
     notified  of any environmental violations and management is not  aware
     of  any  unasserted  violations which would have  a  material  adverse
     effect upon capital expenditures, earnings or the competitive position
     in  the  oil and gas industry.  However, the Managing General  Partner
     does  recognize  by  the very nature of its business,  material  costs
     could be incurred in the near term to bring the Partnership into total
     compliance.   The amount of such future expenditures is  not  reliably
     determinable  due to several factors, including the unknown  magnitude
     of  possible  contaminations, the unknown timing  and  extent  of  the
     corrective  actions  which may be required, the determination  of  the
     Partnership's liability in proportion to other responsible parties and
     the  extent to which such expenditures are recoverable from  insurance
     or indemnifications from prior owners of Partnership's properties.

<PAGE>
          Southwest Royalties Institutional Income Fund X-B, L.P.
                     (a Delaware limited partnership)

                      Notes to Financial Statements

5.   Related Party Transactions
     A  significant  portion  of the oil and gas properties  in  which  the
     Partnership  has  an interest are operated by and purchased  from  the
     Managing  General Partner.  As provided for in the operating agreement
     for  each respective oil and gas property in which the Partnership has
     an  interest,  the  operator  is  paid an  amount  for  administrative
     overhead attributable to operating such properties, with such  amounts
     to  Southwest  Royalties,  Inc.  as  operator  approximating  $76,400,
     $74,000  and $80,300 for the years ended December 31, 2001,  2000  and
     1999,  respectively.   In addition, the Managing General  Partner  and
     certain  officers and employees may have an interest in  some  of  the
     properties that the Partnership also participates.

     Certain  subsidiaries  or affiliates of the Managing  General  Partner
     perform  various  oilfield  services  for  properties  in  which   the
     Partnership  owns an interest.  Such services aggregated approximately
     $14,500,  $20,800 and $16,700 for the years ended December  31,  2001,
     2000 and 1999, respectively.

     Southwest  Royalties,  Inc., the Managing General  Partner,  was  paid
     $72,000  during  2001,  2000 and 1999, as an administrative  fee,  for
     indirect general and administrative overhead expenses.

     Receivables  from  Southwest  Royalties, Inc.,  the  Managing  General
     Partner,  of approximately $54,000 and $117,200 are from oil  and  gas
     production, net of lease operating costs and production taxes,  as  of
     December 31, 2001 and 2000, respectively.

     In addition, a director and officer of the Managing General Partner is
     a  partner  in a law firm, with such firm providing legal services  to
     the  Partnership.  There were no legal services provided for the  year
     ended December 31, 2001, 2000 and 1999.

<PAGE>
         Southwest Royalties Institutional Income Fund X-B, L.P.
                     (a Delaware limited partnership)

                      Notes to Financial Statements

6.   Major Customers
     No  material portion of the Partnership's business is dependent  on  a
     single  purchaser, or a very few purchasers, where  the  loss  of  one
     would  have  a  material  adverse impact  on  the  Partnership.   Four
     purchasers  accounted for 67% of the Partnership's total oil  and  gas
     production  during  2001:  Plains Marketing LP for  29%,  Duke  Energy
     Field  Services for 17%, Mobil Corporation for 11% and  Exxon  Company
     USA  for 10%.  Three purchasers accounted for 78% of the Partnership's
     total  oil  and gas production during 2000:  Plains Marketing  LP  for
     34%,  Mobil  Corporation  for  24% and Phillips  66  for  20%.   Three
     purchasers  accounted  for  73% of the  Partnership's  total  oil  and
     production   during  1999:  Scurlock  Permian  LLC  for   30%,   Mobil
     Corporation  for 26% and Phillips 66 for 17%.  All purchasers  of  the
     Partnership's oil and gas production are unrelated third parties.   In
     the  event any of these purchasers were to discontinue purchasing  the
     Partnership's production, the Managing General Partner believes that a
     substitute  purchaser  or purchasers could be  located  without  undue
     delay.  No other purchaser accounted for an amount equal to or greater
     than 10% of the Partnership's sales of oil and gas production.

7.   Estimated Oil and Gas Reserves (unaudited)
     The  Partnership's  interest in proved oil  and  gas  reserves  is  as
     follows:

                                                    Oil (bbls)   Gas (mcf)
                                                    ----------   ---------
     Proved developed and undeveloped reserves -


     January 1, 1999                                  95,000       504,000

       Revisions of previous estimates               241,000       247,000
       Production                                   (26,000)      (67,000)
                                                     -------     ---------
     December 31, 1999                               310,000       684,000

       Revisions of previous estimates                13,000       173,000
       Production                                   (22,000)      (64,000)
                                                     -------     ---------
     December 31, 2000                               301,000       793,000

       Revisions of previous estimates              (84,000)     (101,000)
       Production                                   (22,000)      (77,000)
                                                     -------     ---------
     December 31, 2001                               195,000       615,000
                                                     =======     =========

     Proved developed reserves -

     December 31, 1999                               298,000       604,000
                                                     =======     =========
     December 31, 2000                               297,000       715,000
                                                     =======     =========
     December 31, 2001                               192,000       606,000
                                                     =======     =========

     All  of  the Partnership's reserves are located within the continental
     United States.

<PAGE>
         Southwest Royalties Institutional Income Fund X-B, L.P.
                     (a Delaware limited partnership)

                      Notes to Financial Statements

7.   Estimated Oil & Gas Reserves (unaudited) - continued
     *Ryder  Scott  Petroleum Engineers prepared the  reserve  and  present
     value data for the Partnership's existing properties as of January  1,
     2002.   The  reserve estimates were made in accordance with guidelines
     established by the Securities and Exchange Commission pursuant to Rule
     4-10(a)  of  Regulation  S-X.  Such guidelines  require  oil  and  gas
     reserve  reports  be  prepared under existing economic  and  operating
     conditions with no provisions for price and cost escalation except  by
     contractual arrangements.

     Oil  price  adjustments  were made in the  individual  evaluations  to
     reflect  oil quality, gathering and transportation costs. The  results
     of  the  reserve report as of January 1, 2002 are an average price  of
     $18.44 per barrel.

     Gas  price  adjustments  were made in the  individual  evaluations  to
     reflect  BTU  content,  gathering and  transportation  costs  and  gas
     processing  and shrinkage.  The results of the reserve  report  as  of
     January 1, 2002 are an average price of $1.80 per Mcf.

     The  evaluation of oil and gas properties is not an exact science  and
     inevitably  involves a significant degree of uncertainty, particularly
     with respect to the quantity of oil or gas that any given property  is
     capable of producing.  Estimates of oil and gas reserves are based  on
     available  geological and engineering data, the extent and quality  of
     which may vary in each case and, in certain instances, may prove to be
     inaccurate.   Consequently, properties may be  depleted  more  rapidly
     than the geological and engineering data have indicated.

     Unanticipated  depletion, if it occurs, will result in lower  reserves
     than  previously estimated; thus an ultimately lower  return  for  the
     Partnership.  Basic changes in past reserve estimates occur  annually.
     As  new data is gathered during the subsequent year, the engineer must
     revise  his  earlier estimates.  A year of new information,  which  is
     pertinent  to  the  estimation  of  future  recoverable  volumes,   is
     available  during  the subsequent year evaluation.   In  applying  the
     industry  audit standards and procedures, the new data may  cause  the
     previous  estimates  to  be revised.  This revision  may  increase  or
     decrease   the  earlier  estimated  volumes.   Pertinent   information
     gathered  during  the year may include actual production  and  decline
     rates,  production  from offset wells drilled  to  the  same  geologic
     formation,  increased  or decreased water production,  workovers,  and
     changes   in  lifting  costs,  among  others.   Accordingly,   reserve
     estimates are often different from the quantities of oil and gas  that
     are ultimately recovered.

     The  Partnership has reserves which are classified as proved developed
     producing, proved developed non-producing and proved undeveloped.  All
     of  the proved reserves are included in the engineering reports  which
     evaluate the Partnership's present reserves.

     Because  the  Partnership does not engage in drilling activities,  the
     development  of proved undeveloped reserves is conducted  pursuant  to
     farm-out  arrangements with the Managing General Partner or  unrelated
     third  parties.  Generally, the Partnership retains a carried interest
     such  as an overriding royalty interest under the terms of a farm-out,
     or receives cash.

<PAGE>
         Southwest Royalties Institutional Income Fund X-B, L.P.
                     (a Delaware limited partnership)

                      Notes to Financial Statements

7.   Estimated Oil & Gas Reserves (unaudited) - continued
     The  standardized measure of discounted future net cash flows relating
     to  proved oil and gas reserves at December 31, 2001, 2000 and 1999 is
     presented below:

                                              2001       2000       1999
                                              ----       ----       ----

     Future cash inflows, net of
       production and development
      costs                             $  1,896,000  8,786,000 4,023,000
     10% annual discount for
                                        estimated timing of cash
      flows                                  813,000  4,193,000 1,810,000
                                          ----------  --------- ---------
     Standardized measure of
       discounted future net cash
      flows                             $  1,083,000  4,593,000 2,213,000
                                          ==========  ========= =========

     The  principal  sources  of  change in  the  standardized  measure  of
     discounted  future  net cash flows for the years  ended  December  31,
     2001, 2000 and 1999 are as follows:

                                             2001        2000       1999
                                             ----        ----       ----

     Sales of oil and gas produced,
       net of production costs          $  (382,000)  (434,000) (193,000)
      Changes  in prices and production costs         (3,323,000) 2,284,000
511,000
     Changes of production rates
       (timing) and others                   103,000  (135,000) (122,000)
     Revisions of previous
       quantities estimates                (367,000)    444,000 1,473,000
     Accretion of discount                   459,000    221,000    49,000
     Discounted future net
       cash flows -
      Beginning of year                    4,593,000  2,213,000   495,000
                                          ----------  --------- ---------
      End of year                       $  1,083,000  4,593,000 2,213,000
                                          ==========  ========= =========

     Future  net cash flows were computed using year-end prices  and  costs
     that  related  to existing proved oil and gas reserves  in  which  the
     Partnership has mineral interests.
         Southwest Royalties Institutional Income Fund X-B, L.P.
                     (a Delaware limited partnership)

                      Notes to Financial Statements

8.  Selected Quarterly Financial Results - (unaudited)

                                                 Quarter
                              ----------------------------------------------
                                 First       Second    Third       Fourth
                                 ------     -------    ------      ------
  2001:
     Total revenues           $  147,305     99,894    66,097      71,230
     Total expenses               29,157     31,702    41,160      30,868
     Net income                  118,148     68,192    24,937      40,362
     Net income per limited
     partners unit                  9.42       5.38      1.81        3.15

  2000:
     Total revenues           $   50,786     93,488   137,006     156,048
     Total expenses               27,251     23,184    29,170      21,881
     Net income                   23,535     70,304   107,836     134,167
     Net income per limited
     partners unit                  1.82       5.62      8.59       10.77


Item 9.   Changes  in and Disagreements With Accountants on Accounting  and
          Financial Disclosure

None

<PAGE>
                                 Part III

Item 10.  Directors and Executive Officers of the Registrant

Management of the Partnership is provided by Southwest Royalties, Inc.,  as
Managing  General Partner.  The names, ages, offices, positions and  length
of  service of the directors and executive officers of Southwest Royalties,
Inc. are set forth below.  Each director and executive officer serves for a
term  of  one year.  The present directors of the Managing General  Partner
have served in their capacity since the Company's formation in 1983.

     Name                   Age                       Position
--------------------        ---         -----------------------------------
-------
H. H. Wommack, III                      46     Chairman   of   the   Board,
                                        President,
                                        Chief Executive Officer, Treasurer
                                        and Director

H. Allen Corey              45          Secretary and Director

Bill E. Coggin                          47     Vice  President  and   Chief
                                        Financial Officer

J. Steven Person            43          Vice President, Marketing

Paul L. Morris              60          Director

H.  H.  Wommack, III, is Chairman of the Board, President, Chief  Executive
Officer,  Treasurer, principal stockholder and a director of  the  Managing
General  Partner,  and  has  served as its President  since  the  Company's
organization  in August, 1983.  Prior to the formation of the Company,  Mr.
Wommack  was  a  self-employed  independent oil  producer  engaged  in  the
purchase  and sale of royalty and working interests in oil and gas  leases,
and  the drilling of exploratory and developmental oil and gas wells.   Mr.
Wommack  holds  a J.D. degree from the University of Texas  from  which  he
graduated  in  1980, and a B.A. from the University of  North  Carolina  in
1977.

H.  Allen  Corey, a founder of the Managing General Partner, has served  as
the   Managing  General  Partner's  secretary  and  a  director  since  its
inception.   Mr. Corey is President of Trolley Barn Brewery, Inc.,  a  brew
pub restaurant chain based in the Southeast.  Prior to his involvement with
Trolley Barn, Mr. Corey was a partner at the law firm of Miller & Martin in
Chattanooga,  Tennessee.  He is currently of counsel to  the  law  firm  of
Baker,  Donelson,  Bearman  & Caldwell, with the  offices  in  Chattanooga,
Tennessee.  Mr. Corey received a J.D. degree from the Vanderbilt University
Law  School and B.A. degree from the University of North Carolina at Chapel
Hill.

Bill  E. Coggin, Vice President and Chief Financial Officer, has been  with
the Managing General Partner since 1985.  Mr. Coggin was Controller for Rod
Ric  Corporation of Midland, Texas, an oil and gas drilling company, during
the latter part of 1984.  He was Controller for C.F. Lawrence & Associates,
Inc., an independent oil and gas operator also of Midland, Texas during the
early  part of 1984.  Mr. Coggin taught public school for four years  prior
to his business experience.  Mr. Coggin received a B.S. in Education and  a
B.B.A. in Accounting from Angelo State University.

J.  Steven  Person, Vice President, Marketing, assumed his responsibilities
with  the Managing General Partner as National Marketing Director in  1989.
Prior  to joining the Managing General Partner, Mr. Person served  as  Vice
President  of  Marketing  for CRI, Inc., and was  associated  with  Capital
Financial  Group and Dean Witter (1983).  He received a B.B.A. from  Baylor
University in 1982 and an M.B.A. from Houston Baptist University in 1987.

Paul  L.  Morris has served as a Director of Southwest Royalties  Holdings,
Inc.  since August 1998 and Southwest Royalties, Inc. since September 1998.
Mr. Morris is President and CEO of Wagner & Brown, Ltd., one of the largest
independently owned oil and gas companies in the United States.   Prior  to
his  position with Wagner & Brown, Mr. Morris served as President of Banner
Energy  and  in various managerial positions with the Columbia Gas  System,
Inc.

<PAGE>
Key Employees

Jon  P. Tate, Vice President, Land and Assistant Secretary, age 44, assumed
his  responsibilities with the Managing General Partner in 1989.  Prior  to
joining  the  Managing  General Partner, Mr.  Tate  was  employed  by  C.F.
Lawrence  & Associates, Inc., an independent oil and gas company,  as  Land
Manager from 1981 through 1989.  Mr. Tate is a member of the Permian  Basin
Landman's  Association and American Association of Petroleum Landmen.   Mr.
Tate received his B.B.S. degree from Hardin-Simmons University.

R.  Douglas  Keathley,  Vice President, Operations,  age  46,  assumed  his
responsibilities with the Managing General Partner as a Production Engineer
in  October,  1992.   Prior to joining the Managing  General  Partner,  Mr.
Keathley  was  employed for four (4) years by ARCO Oil  &  Gas  Company  as
senior  drilling  engineer working in all phases of well production  (1988-
1992),  eight  (8)  years by Reading & Bates Petroleum  Company  as  senior
petroleum  engineer responsible for drilling (1980-1988) and two (2)  years
by  Tenneco Oil Company as drilling engineer responsible for all phases  of
drilling   (1978-1980).   Mr.  Keathley  received  his  B.S.  in  Petroleum
Engineering in 1977 from the University of Oklahoma.

In certain instances, the Managing General Partner will engage professional
petroleum   consultants   and  other  independent  contractors,   including
engineers   and   geologists  in  connection  with  property  acquisitions,
geological  and  geophysical  analysis,  and  reservoir  engineering.   The
Managing  General Partner believes that, in addition to its own  "in-house"
staff,  the utilization of such consultants and independent contractors  in
specific  instances  and  on  an  "as-needed"  basis  allows  for   greater
flexibility  and greater opportunity to perform its oil and gas  activities
more economically and effectively.

Item 11.  Executive Compensation

The  Partnership  does not have any directors or executive  officers.   The
executive officers of the Managing General Partner do not receive any  cash
compensation,  bonuses, deferred compensation or compensation  pursuant  to
any  type  of  plan,  from the Partnership.  The Managing  General  Partner
received $72,000 during 2001, 2000 and 1999 as an administrative fee.

Item 12.  Security Ownership of Certain Beneficial Owners and Management

There  are  no  limited partners who own of record, or  are  known  by  the
Managing General Partner to beneficially own, more than five percent of the
Partnership's limited partnership interests.

The  Managing  General Partner owns a nine percent interest  as  a  general
partner.   Through prior purchases, the Managing General Partner also  owns
496.0  limited  partner  units, or a 4.4% limited  partner  interest.   The
Managing  General  Partner  total  percentage  interest  ownership  in  the
Partnership is 13.0%.

No  officer or director of the Managing General Partner owns Units  in  the
Partnership.  H. H. Wommack, III, as the individual general partner of  the
Partnership,  owns a one percent interest in the Partnership as  a  general
partner.   The officers and directors of the Managing General  Partner  are
considered beneficial owners of the limited partner units acquired  by  the
Managing  General Partner by virtue of their status as  such.   A  list  of
beneficial  owners  of  limited partner units,  acquired  by  the  Managing
General Partner, is as follows:

<PAGE>
                                                   Amount and
                                                   Nature of      Percent
                     Name and Address of           Beneficial        of
  Title of Class       Beneficial Owner            Ownership       Class
-------------------  ---------------------------  ---------------  -------
Limited Partnership  Southwest Royalties, Inc.    Directly Owns      4.4%
 Interest            Managing General Partner     496.0 Units
                     407 N. Big Spring Street
                     Midland, TX  79701

Limited Partnership  H. H. Wommack, III           Indirectly Owns    4.4%
 Interest            Chairman of the Board,       496.0 Units
                     President, CEO, Treasurer
                     and Director of Southwest
                     Royalties, Inc., the
                     Managing General Partner
                     407 N. Big Spring Street
                     Midland, TX  79701

Limited Partnership  H. Allen Corey               Indirectly Owns    4.4%
 Interest            Secretary and Director of    496.0 Units
                     Southwest Royalties, Inc.,
                     the Managing General
                     Partner
                     633 Chestnut Street
                     Chattanooga, TN  37450-1800

Limited Partnership  Bill E. Coggin               Indirectly Owns    4.4%
 Interest            Vice President and CFO of    496.0 Units
                     Southwest Royalties, Inc.,
                     the Managing General
                     Partner
                     407 N. Big Spring Street
                     Midland, TX  79701

Limited Partnership  J. Steven Person             Indirectly Owns    4.4%
 Interest            Vice President, Marketing    496.0 Units
                     of Southwest Royalties, Inc.,
                     the Managing General
                     Partner
                     407 N. Big Spring Street
                     Midland, TX  79701

Limited Partnership  Paul L. Morris               Indirectly Owns    4.4%
 Interest            Director of Southwest        496.0 Units
                     Royalties, Inc., the
                     Managing General Partner
                     407 N. Big Spring Street
                     Midland, TX  79701

There  are no arrangements known to the Managing General Partner which  may
at a subsequent date result in a change of control of the Partnership.

<PAGE>
Item 13.  Certain Relationships and Related Transactions

In 2001, the Managing General Partner received $72,000 as an administrative
fee.   This  amount  is  part  of the general and  administrative  expenses
incurred by the Partnership.

In  some  instances the Managing General Partner and certain  officers  and
employees  may  be working interest owners in an oil and  gas  property  in
which  the Partnership also has a working interest.  Certain properties  in
which  the Partnership has an interest are operated by the Managing General
Partner,  who  was  paid approximately $76,400 for administrative  overhead
attributable to operating such properties during 2001.

Certain  subsidiaries or affiliates of the Managing General Partner perform
various  oilfield services for properties in which the Partnership owns  an
interest.   Such  services aggregated approximately $14,500  for  the  year
ended December 31, 2001.

In  the  opinion  of  management, the terms of the above  transactions  are
similar to ones with unaffiliated third parties.

<PAGE>
                                 Part IV


Item 14.  Exhibits, Financial Statement Schedules and Reports on Form 8-K

          (a)(1)  Financial Statements:

                  Included in Part II of this report --

                  Independent Auditors Report
                  Balance Sheets
                  Statements of Operations
                  Statement of Changes in Partners' Equity
                  Statements of Cash Flows
                  Notes to Financial Statements

                     (2)  Schedules required by Article 12 of Regulation S-
                  X  are either omitted because they are not applicable  or
                  because  the  required  information  is  shown   in   the
                  financial statements or the notes thereto.

             (3)  Exhibits:

                                      4      (a)   Certificate  of  Limited
                          Partnership  of Southwest Royalties Institutional
                          Income  Fund X-B, L.P., dated November 27,  1990.
                          (Incorporated  by  reference  from  Partnership's
                          Form 10-K for the fiscal year ended December  31,
                          1990.)

                                            (b)    Agreement   of   Limited
                          Partnership  of Southwest Royalties Institutional
                          Income  Fund X-B, L.P. dated November  27,  1990.
                          (Incorporated  by  reference  from  Partnership's
                          Form 10-K for the fiscal year ended December  31,
                          1991.)

          (b)     Reports on Form 8-K

                   There  were  no  reports filed on Form  8-K  during  the
              quarter ended December 31, 2001.
<PAGE>
                                Signatures


Pursuant  to  the  requirements of Section 13 or 15(d)  of  the  Securities
Exchange  Act  of 1934, the Partnership has duly caused this report  to  be
signed on its behalf by the undersigned, thereunto duly authorized.


                          Southwest Royalties Institutional Income
                          Fund X-B, L.P., a Delaware limited partnership


                                        By:    Southwest  Royalties,  Inc.,
                                 Managing
                                   General Partner


                          By:    /s/ H. H. Wommack, III
                                 -----------------------------
                                           H. H. Wommack, III, President


                          Date:  March 29, 2002


Pursuant  to the requirements of the Securities Exchange Act of 1934,  this
report  has  been signed below by the following persons on  behalf  of  the
Partnership and in the capacities and on the dates indicated.


By:    /s/ H. H. Wommack, III
       -----------------------------------
       H. H. Wommack, III, Chairman of the
       Board, President, Chief Executive
       Officer, Treasurer and Director


Date:  March 29, 2002


By:    /s/ H. Allen Corey
       -----------------------------
       H. Allen Corey, Secretary and
       Director


Date:  March 29, 2002

<PAGE>