Exhibit 10.2
                              Employment Agreement

                            HYD Resources Corporation



Whereas HYD Resources, herein also referred to as "Employer", is in the business
of  drilling  for  oil  and gas in the continental United States of America; and

Whereas, Mr. Sam Spears, Jr. (herein referred to as "Employee") has been working
with  Employer  to setup new operations together with Mr. Phillip Steven Ahlberg
and  with  the  help  of  Michael  E.  Watts;  and

Whereas,  HYDR  has  an  agreement  with  its  parent  company,  Hyperdynamics
Corporation to process payroll for it and lease its employees from Hyperdynamics
Corporation  (herein  referred  to  as  "HYPD")  so that only one payroll can be
processed  and  administered and costs can be allocated directly to HYDR by HYPD
for  Employee  services  provide  specifically  for and in behalf solely for the
benefit  of  HYDR,  and

Whereas,  Employee  and  HYDR believe that the credentials of Employee regarding
his  educational  credentials  and  extensive experience with many oil companies
makes  him  qualified  and  a  good  candidate  to  be  HYDR's  President;  and

Whereas, Employee is keenly interested in helping to build HYDR as a successful
drilling company; and

Now  therefore  the  parties  agree  as  follows:

     1.   The  Employer  will  add  Employee  to  its  payroll  as  HYDR's
          President.

     2.   Employer  agrees  to  pay  Employee  pursuant  to  its  agreement with
          HYDR  semi-monthly  $1,750  semi-monthly  or  $3,500  per month and an
          initial  signing  bonus  of  $5,250  will  be paid paying for services
          rendered through April 30, 2004 and then the next payroll will be made
          for the semi-monthly period ending 5/15/04 on the payroll processed on
          May 31, 2004 and so forth.

     3.   HYDR  hereby  additionally  makes  a  five  year  (from  June 30, 2004
          through  June 30, 2009) Contingent Note Payable (herein referred to as
          the  "CNP")  to Employee for a total amount of three hundred and Fifty
          Thousand  Dollars  ($350,000) payable IN THE FORM OF AN EMPLOYEE BONUS
          ONLY IN THE FOLLOWING MANNER WITH SPECIFIED CONTINGENCIES MET:

          CONTINGENCIES  THAT  MUST  BE  MET  FOR  CNP  TO BE PAID IN FULL OR IN
          PART WITHIN THE TERM OF THE CNP:


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     a.   HYDR  must  have  net  income  as  determined  by  generally  accepted
          accounting principles (GAAP).
     b.   As  measured  per  externally  reviewed  financials  (reviewed  by
          HYPD's  external auditors) on a quarterly basis, 45 days after the end
          of  each  quarter  ending on September 30th, December 31st , and March
          31st  of each year while the CNP is still in effect, 10.25% of the Net
          Income  as  determined  by HYDR's accounts and/or external auditors as
          the case may be, in accordance with GAAP, will be eligible to pay down
          against  the  CNP  upon the date of the filing of HYPD's quarterly SEC
          filing.
     c.   As  measured  and  adjusted  per  HYPD's  financial  audit  of  each
          fiscal  year  to  end  on  June  30th of each year while the CNP is in
          effect,  any  HYDR  Net  Income that has not been previously used on a
          quarterly basis to base a 10.25% payment on the CNP, shall be eligible
          for payment up to 10.25% of the GAAP based Net Income.

          For  example,  if  $100,000  is  determined  to  be  the  audited  Net
          Income  of HYDR for June 30, 2004 as of the completion of the audit on
          or  around  September 30, 2004, then a payment on the CNP will be made
          in  the amount of $10,250, within 10 days of the determination of that
          audited  Net  Income amount. If as of November 15, 2004 the Net Income
          for the quarter ended September 30, 2004 is $100,000 for that quarter,
          then another payment on the CNP would be made in the amount of $10,250
          within  10  days  of  that  determination. On the other hand, if as of
          November  15,  2004  there  is  no  Net  Income  for the quarter ended
          September  30,  2004  and  for  example purposes, lets say there was a
          $100,000  Net  Loss  as determined by GAAP, then no payment on the CNP
          would be due. Also, in the case of a $100,000 Net Loss for the quarter
          ending September 30, 2004, then on the next measurement date (December
          31,  2004)  no  additional  payment would be due on the CNP until more
          than  $100,000  of Net Income was realized and recognized on the books
          of  HYDR. Thus, on a cumulative basis, once Net Income is used to base
          a  CNP  payment,  it cannot be used again, and if there is a Net Loss,
          HYDR  must recover the Net Loss prior to having eligible Net Income to
          base  any  CNP payment that may be due thereafter until the expiration
          of the five year term.

4.   Employee  agrees  to  uphold,  defend,  and  protect  the  interests  and
     ownership rights of Employer as a priority and to have professional conduct
     and  ethics in all facets of the performance of Employees duties under this
     agreement.  Employee  agrees  that  100%  of his efforts in the oil and gas
     industry are performed in his capacity as an employee of HYDR and agrees to
     work  full  time  for  HYDR  and not to compete in anyway with any business
     outside the corporate veil of HYDR and agrees not to circumvent any oil and
     gas related business in anyway while this agreement is in effect.

5.   Employee  agrees  to  maintain  strict  confidentiality  and  adhere  to
     HYPD's and HYDR's confidentiality policies and procedures when talking with
     3rd  parties  in  general  including but not limited to oil exploration and
     production companies and to only disclose information regarding to HYPD and
     HYDR's exploration work and exploration results except as he is directed by
     management and/or the board of directors of HYDR. No work product will ever
     be taken out of the offices of Employer unless approval from


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     management has been obtained.

6.   Employer  may  terminate  Employee  at  any  time  that  HYDR's  has  a
     cumulative  Net  Loss  any  time  after the first nine months of operation.
     Employer  also  may  terminate  Employee in the case of a serious breach of
     ethics  or negligence in performance of duties. A 60-day notice is required
     for termination in this case.

7.   In  the  case  of  a  termination  with  a  60-day notice, Employee will be
     compensated for the 60-day notice period.

8.   In  the  case  of  termination  under  number  6  above,  the  CNP  will be
     honored for the entire five-year term.

          The  parties  hereby  agree  to  the  forgoing  as  evidenced by their
          signatures hereunder.

          Agreement:

          Employer                                Employee
          HYD  Resources  Corporation             Sam  Spears,  Jr.




          /s/  Kent  Watts                        /s/  Sam  Spears,  Jr.
          -----------------------------           ---------------------------
          Kent  P.  Watts,  CEO


          Date:     /      /                      Date:      /        /