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



                                   FORM 10-QSB

[X]  Quarterly report pursuant to Section 13 or 15(d) of the Securities Exchange
     Act  of  1934:  For  the  quarterly  period  ended:  September 30, 2003
                                                         ---------------------

                                       or

[ ]  Transition  report  pursuant  to  Section  13 or 15(d) of the Securities
     Exchange  Act  of 1934: For the transition period from _______ to _________

     Commission file number:                                       000-25496

                            HYPERDYNAMICS CORPORATION
             (Exact name of registrant as specified in its charter)

               Delaware                                        87-0400335
     (State or other jurisdiction                            (IRS Employer
     of incorporation or organization)                    Identification No.)

                           9700 Bissonnet, Suite 1700
                              Houston, Texas 77036
          (Address of principal executive offices, including zip code)

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

As of October 31, 2003, 28,622,502 shares of common stock, $0.001 par value,
were outstanding.
     Transitional Small Business Disclosure Format (check one): Yes [ ] No [X]


<PAGE>
                                Table of Contents

PART I FINANCIAL INFORMATION

     ITEM 1 Financial Statements                                               3

          Consolidated Balance Sheet at
               September 30, 2003                                              3

          Consolidated Statements of Operations for the three
               months ended September 30, 2003
               and 2002                                                        4

          Consolidated Statements of Cash Flows for the three
               months ended September 30, 2003 and 2002                        5

          Notes to Consolidated Financial Statements                           6

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


     ITEM 3 Disclosure Controls and Procedures                                 9


PART II OTHER INFORMATION

     ITEM 1 Legal Proceedings                                                  9


     ITEM 2 Changes in Securities                                             10


     ITEM 6 Exhibits and Reports on Form 8-K                                  10

          (a)  Exhibits

          (b)  Reports on Form 8-K

SIGNATURES                                                                    10


                                        2
<PAGE>
<TABLE>
<CAPTION>
                          Part 1 Financial Information


ITEM 1 Financial Statements

                                 HYPERDYNAMICS CORPORATION
                                 Consolidated Balance Sheet
                                     September 30, 2003


<S>                                                                         <C>
Assets
Current Assets
  Cash                                                                      $       10,119
  Restricted certificate of deposit                                                 85,251
  Inventory                                                                          7,153
  Other current assets                                                               1,410
                                                                            ---------------
      Total Current Assets                                                         103,933
Property and Equipment, net of accumulated depreciation of $161,035                 81,964
Other Assets
  Unproved Oil and Gas Properties, using Full Cost Method of Accounting          1,240,508
  Restricted certificate of deposit                                                196,335
  Deposits                                                                          23,432
                                                                            ---------------
       TOTAL ASSETS                                                         $    1,646,172
                                                                            ===============

LIABILITIES AND STOCKHOLDERS' DEFICIT

Current Liabilities
  Current portion of capital leases                                         $       19,702
  Accounts payable and accrued expenses                                            807,465
  Accounts payable seismic data                                                    650,000
  Customer deposits                                                                  3,264
  Dividends payable                                                                294,619
  Dividends payable to related party                                                81,750
                                                                            ---------------
       Total Current Liabilities                                                 1,856,800
Long-term portion of capital leases                                                 27,664
Convertible notes payable to officer, net of $215,500 unamortized discount          28,484
Deferred rent                                                                      134,300
Mandatorily redeemable preferred stock, net of $23,188 unamortized
  offering costs and $185,500 unamortized discount                                 188,813
                                                                            ---------------
       TOTAL LIABILITIES                                                         2,236,061
                                                                            ---------------
Commitments and Contingencies
Stockholders' Deficit
Convertible preferred stock, par value $0.001; stated value $1,000;
  20,000,000 shares authorized;
  Series A -1,945 shares issued and outstanding                                          2
  Series B -2,725 shares issued and outstanding                                          3
Common stock, par value $0.001; 50,000,000 shares authorized; 27,652,424
  shares issued and outstanding.                                                    27,653
Additional paid-in capital                                                      16,469,477
Accumulated deficit                                                            (17,087,024)
                                                                            ---------------
Total Stockholders' Deficit                                                       (589,889)
                                                                            ---------------
       TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIT                          $    1,646,172
                                                                            ===============
</TABLE>


                                        3
<PAGE>
<TABLE>
<CAPTION>
                            HYPERDYNAMICS CORPORATION
                      Consolidated Statements of Operations
                 Three Months Ended September 30, 2003 and 2002



                                              2003          2002
                                          ------------  ------------
<S>                                       <C>           <C>
Revenues                                                $   131,755

Operating Expenses
  Cost of revenues                                          112,667
  Selling                                 $    10,030         3,273
  General and administration                4,459,755       244,445
  Depreciation and amortization                 9,932        47,986
  (Gain) on sale of assets                                   (7,514)
                                          ------------  ------------
    Total Operating Expenses                4,479,717       400,857
                                          ------------  ------------
        LOSS FROM OPERATIONS               (4,479,717)     (269,102)
Other Income (Expense)
  Other income                                  1,445
  Interest expense                            (41,157)       (6,590)
  Interest income                                 709         1,445
                                          ------------  ------------
NET LOSS                                   (4,518,720)     (274,247)
Preferred dividend requirement                (46,695)      (46,855)
                                          ------------  ------------
NET LOSS CHARGEABLE TO COMMON
  SHAREHOLDERS                            $(4,565,415)  $  (321,102)
                                          ============  ============

Basic and diluted loss per common share   $     (0.17)  $     (0.02)
Weighted average shares outstanding        27,641,812    21,093,248
</TABLE>


                                        4
<PAGE>
<TABLE>
<CAPTION>
                            HYPERDYNAMICS CORPORATION
                      Consolidated Statements of Cash Flows
                 Three Months Ended September 30, 2003 and 2002


                                                           2003         2002
                                                       ------------  ----------
<S>                                                    <C>           <C>

Cash flows from operating activities
   Net loss                                            $(4,518,720)  $(274,247)
Adjustments to reconcile net loss to cash
   provided by (used in) operating activities:
      Depreciation and amortization                          9,932      47,986
      Stock issued for services                                          2,800
      Options and warrants expense                       4,214,030
      Beneficial conversion purchase feature
        associated with convertible notes payable to
        officers                                             9,495
      (Gain) on disposition of assets                                   (7,514)
      Accretion of interest and amortization of
        offering costs of mandatorily redeemable
        preferred stock                                     29,812
      Bad debt expense                                       7,042       4,000
 Changes in assets and liabilities:
      Accounts receivable                                      130     (33,299)
      Inventory                                             (1,160)     (1,629)
      Other current assets                                  (1,009)     (1,445)
      Accounts payable and accrued expenses                303,141      93,401
      Accrued officer salaries                                          66,541
      Customer deposits                                                (17,107)
      Change in deferred rent                                2,394       2,394
                                                       ------------  ----------
Net cash provided by (used in) operating activities         55,087    (118,119)
                                                       ------------  ----------
Cash flows from investing activities
   Proceeds from sale of assets                                         39,356
   Investment in unproved property                        (343,671)
   Purchases of property and equipment                      (3,223)     (7,888)
                                                       ------------  ----------
Net cash provided by (used in) investing activities       (346,894)     31,468)
                                                       ------------  ----------
Cash flows from financing activities
   Proceeds from sale of units consisting of warrants
     in Hyperdynamics and preferred stock in
     subsidiary, net of $14,500 offering cost              130,500
   Payments on installment debt                             (4,591)     (4,763)
   Proceeds from short-term debt                                        42,080
   Proceeds from sale of common stock                                   24,375
                                                       ------------  ----------
Net cash provided by financing activities                  125,909      61,692
                                                       ------------  ----------
Net Change in Cash                                        (165,898)    (24,959)
Cash at beginning of period                                176,017      29,015
                                                       ------------  ----------
Cash at end of period                                  $    10,119   $   4,056
                                                       ============  ==========
Non-cash transactions
   Issuance of common stock for accounts payable       $    35,000   $  35,170
</TABLE>


                                        5
<PAGE>
                            HYPERDYNAMICS CORPORATION
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

1.   Basis of Presentation

     The unaudited consolidated financial statements of Hyperdynamics
     Corporation ("Hyperdynamics") have been prepared in accordance with
     accounting principles generally accepted in the United States of America
     and the rules of the Securities and Exchange Commission ("SEC"), and should
     be read in conjunction with the audited financial statements and notes
     thereto contained in Hyperdynamics' latest Annual Report filed with the SEC
     on Form 10-KSB. In the opinion of management, all adjustments, consisting
     of normal recurring adjustments, necessary for a fair presentation of
     financial position and the results of operations for the interim periods
     presented have been reflected herein. The results of operations for interim
     periods are not necessarily indicative of the results to be expected for
     the full year. Notes to the consolidated financial statements which would
     substantially duplicate the disclosures contained in the audited
     consolidated financial statements for the most recent fiscal year, 2003, as
     reported in the Form 10-KSB, have been omitted.

     Hyperdynamics accounts for stock options issued to employees under the
     recognition and measurement principles of APB Opinion No. 25, Accounting
     for Stock Issued to Employees, and related Interpretations. As required by
     FIN 44, Hyperdynamics recorded expense of $4,178,000. This was the
     intrinsic value of warrants issued to our officers that were deemed to be
     variable when they were repriced in August of 2002. The following table
     illustrates the effect on net income and earnings per share if the company
     had applied the fair value recognition provisions of FASB Statement No.
     123, Accounting for Stock-Based Compensation, to stock-based employee
     compensation.

<TABLE>
<CAPTION>
                                             Quarter Ended September 30,
                                                2003             2002
                                          ----------------  ---------------
<S>                                       <C>               <C>

     Net loss chargeable to common
       stockholders, as reported          $    (4,565,415)  $     (321,103)
     Add: intrinsic value of employee
       options included in net loss
       chargeable to common stockholders        4,178,000
     Deduct: Total stock-based employee
       compensation expense determined
       under fair value based method for
       all awards, net of related tax
       effects                                     (6,349)         (59,318)
                                          ----------------  ---------------
     Pro forma net loss                   $      (393,764)  $     (380,421)
                                          ================  ===============

     Loss per share, basic and diluted:
       As reported                        $          (.17)  $         (.02)
                                          ================  ===============
       Pro forma                          $          (.01)  $         (.02)
                                          ================  ===============
</TABLE>


2.   Mandatorily Redeemable Preferred Stock

     During the quarter ended September 30, 2003, Hyperdynamics sold an
     additional 1.45 units of


                                        6
<PAGE>
     mandatorily redeemable preferred stock for $145,000. The proceeds were
     allocated $43,597 to warrants to purchase 72,500 shares of Hyperdynamics at
     $.25 per share that expire on December 31, 2008 and $101,403 to mandatorily
     redeemable preferred stock. Costs of the offering were $14,500. Thus, there
     are a total of 2.65 units of mandatorily redeemable preferred stock
     outstanding. The stock will be redeemable for $150,000 per unit, or
     $397,500, on July 1, 2005, at the option of the holder. Hyperdynamics
     recorded amortization of the offering costs of $3,313 and accretion of
     interest of $26,500 during the quarter ended September 30, 2003.

3.   Common Stock

     During the first quarter 2003, 30,000 shares were issued and 9,083 were
     cancelled in association with the payment of $35,000 in accounts payable.

4.   Subsequent Events

     As of October 31, 2003, investors had purchased 970,079 shares of
     Hyperdynamics common stock for $639,700 pursuant to private subscription
     agreements. Offering costs were $63,970, resulting in net proceeds of
     $575,730. Additionally, Hyperdynamics' officers converted their convertible
     notes payable, which at that time totaled $268,056 in principal and
     interest, at a price of $.168. This resulted in the issuance of 1,595,573
     shares. Hyperdynamics has not released the shares that were issued in our
     officers' names pursuant to the notes payable, and the shares will continue
     to be restricted until we have raised at least $2,250,000.

              CAUTIONARY STATEMENT ON FORWARD-LOOKING INFORMATION

The Company is including the following cautionary statement to make applicable
and take advantage of the safe harbor provision of the Private Securities
Litigation Reform Act of 1995 for any forward-looking statements made by, or on
behalf of, the Company. This quarterly report on form 10QSB contains
forward-looking statements. Forward-looking statements include statements
concerning plans, objectives, goals, strategies, expectations, future events or
performance and underlying assumptions and other statements which are other than
statements of historical facts. Certain statements contained herein are
forward-looking statements and, accordingly, involve risks and uncertainties
which could cause actual results or outcomes to differ materially from those
expressed in the forward-looking statements. The Company's expectations, beliefs
and projections are expressed in good faith and are believed by the Company to
have a reasonable basis, including without limitations, management's examination
of historical operating trends, data contained in the Company's records and
other data available from third parties, but there can be no assurance that
management's expectations, beliefs or projections will result or be achieved or
accomplished. In addition to other factors and matters discussed elsewhere
herein, the following are important factors that, in the view of the Company,
could cause actual results to differ materially from those discussed in the
forward-looking statements: the ability of the Company to respond to changes in
the information system environment, competition, the availability of financing,
and, if available, on terms and conditions acceptable to the Company, and the
availability of personnel in the future.

ITEM 2    Management's Discussion and Analysis of Financial Condition and
          Results of Operations

Results of Operations

Our revenues decreased from $131,755 in the quarter ended September 30, 2003 to
$0 in the quarter ended September 30, 2003.  During the quarter ended September
30, 2003, we focused on the acquisition of seismic data for our Guinea
concession, which builds our investment in unproved properties but does not add
to our immediate revenues.  Cost of revenue decreased from $112,667 in the
quarter ended September 30, 2002 to $ 0 in the quarter ended September 30, 2003.
The cost of sales in 2002 reflected


                                        7
<PAGE>
an allocation of rent and utilities on our facility and salary for our remaining
operational personnel that we classified as general and administrative in the
current period due to the current lack of transcription revenue.

Our selling, general, and administrative expenses increased 1700%, from $247,718
during the quarter ended September 30, 2002 to $4,469,785 during the quarter
ended September 30, 2003. The main reason for this difference is the $4,178,000
charge to expense attributable to the intrinsic value at the balance sheet date
of variable warrants issued to our officers and directors. This charge is
required by FIN 44. The balance of the selling, general, and administrative
expense incurred in the quarter ended September 30, 2003 is $291,785.

Our depreciation expense decreased 79% from $47,986 in the quarter ended
September 30, 2002 to $9,932 in the quarter ended September 30, 2003.
Additionally, our interest expense increased 525% from $6,590 in the quarter
ended September 30, 2002 to $41,157 in the quarter ended September 30, 2003.

Based on the factors discussed above, net loss chargeable to common shareholders
increased $4,244,313, or 1322% from $(321,102) in 2002 to $(4,565,415) in 2003.

Liquidity and Capital Resources

At September 30, 2003 our current ratio of current assets to current liabilities
was 0.06 to 1. This compares to 0.15 to 1 for 2002.   It remains management's
priority to achieve cash flow from operations as quickly as possible. It is
critical as discussed hereunder that we obtain additional working capital so
that we can continue to meet current cash obligations while we continue to
improve cash flow from operations. The "Net cash used for operating activities"
was increased from ($118,119) in 2002 to $55,087 for the quarter in 2003. This
reflects a significant improvement.  It is important to note as well that deeper
analysis of the current ratio reveals several current obligations that while
they reduce the current ratio, there is no requirement to use cash to satisfy
the obligation. These items include Accounts payable seismic data, on which
payment may be deferred until there are sales of the data, Dividends payable,
and Dividends payable to related party. Adjusting these amounts not requiring
cash would calculate an adjusted current ratio of 0.13 to 1.

We have been operating with a cash deficit this entire last year. We have taken
steps to minimize cash requirements as our payroll staff is cut currently to
five employees including SCS and we plan to hire consultants as we need to and
add employees as our cash flow based business picks up as expected. We have
successfully minimized our overhead in this respect and expect to make
significant progress in reducing and ultimately eradicating our negative cash
flow from operations in the coming months. This process has slowed somewhat
however as our focus has shifted towards building our oil and gas concession
asset.

As a public company, the health of our market is paramount to be able to raise
critical capital to continue enhancing our major oil and gas asset. Our primary
source for obtaining this critical capital has been through our ability to place
private investments with accredited investors, for restricted stock from several
of our significant long-term shareholders and also from some exercises of
warrants and options previously outstanding. Since the end of this quarter we
have raised $639,700 as proceeds from sale of restricted common stock.  With the
significant work requirements for SCS to accomplish additional seismic
acquisition, processing, and analysis going forward, we have implemented new
financing strategies involving private sales of restricted securities as we have
done in the past and other private financing.

The financial statements in our Annual Report reflected uncertainties regarding
our ability to continue as a going concern based upon our significant retained
deficit and recurring losses.  This uncertainty still


                                        8
<PAGE>
exists. Should no additional capital be raised we could possibly not have the
necessary resources to continue as a viable company. If we are able to obtain
additional debt or equity financing, we will be able to generate the necessary
funds to operate at a minimum requirement level. Then we can focus on raising
additional capital, either through new structures of private or public equity
financing to fund 3D seismic and other work necessary to prepare for working
interest sales and drilling as early as next year. As we have relatively low
overhead for the industry we are in, the lion's share of all funds raised are
going to improve our drilling prospects, management believes that all the
additional capital funds raised will substantially enhance our asset value in
our oil and gas concession, thus greatly enhancing shareholder value.

We also still have significant potential for new service contracts that give us
that opportunity to also improve cash flow and earn a profit on future service
revenues from our NuData services. With the strategy to continue our efforts to
close NuData service contracts and to successfully structure profitable
acquisitions, management feels we can significantly improve our cash position in
the coming periods while providing additional support to our exploration team to
help with our substantial exploration tasks on our 16 million acre concession.

We could obtain additional capital also upon the exercise of previously issued
in the money outstanding warrants and options for common stock.

We have capital lease obligations of $47,367 financing certain electrical
equipment in our data center. We also have a contingent $350,000 note payable
that is only payable with 25% of the profits of SCS Corporation. We have the
right to pay this note off using common stock. We do not plan on using
significant debt financing except for the possibility of financing
income-producing assets in the future.

Finally,  we  originally purchased a CD in the amount of $436,300, which secured
the  lease  at Westwood with a Letter of Credit arrangement. At the beginning of
the  quarter,  this  CD  and  letter  of  credit  was  $283,595 of which $87,260
($436,300  x  20%) was due to be released to us on November 1, 2003. These funds
were  received  on  November  3, 2003 and the new CD and letter of credit is now
$196,335.  $130,890  ($436,300  x 30%) will be due to be released on November 1,
2004.  Thereafter,  $65,445  on  November  1,  2005.

For  these  reasons  above,  management believes that very soon we can solve our
historical  cash  flow problems and at the same time greatly enhance shareholder
value  through  continuing to upgrade our primary oil and gas asset. This is the
current  primary  objective  for  us  to  accomplish  at  this  time.


ITEM 3  Evaluation of disclosure controls and procedures

Kent P. Watts, our Chief Executive Officer and Chief Financial Officer, has
concluded that our disclosure controls and procedures are appropriate and
effective.   He has evaluated these controls and procedures as of a date within
90 days of the filing date of this report on Form 10-QSB.  There were no
significant changes in our internal controls or in other factors that could
significantly affect these controls subsequent to the date of their evaluation,
including any corrective actions with regard to significant deficiencies and
material weaknesses.

There have been no changes in our internal control over financial reporting
identified in connection with the evaluation required by Rule 13a-14(b) or Rule
15d-14(b) that occurred during our last fiscal quarter that has materially
affected, or is reasonably likely to materially affect, our internal control
over financial reporting.


                            PART II OTHER INFORMATION


ITEM 1    Legal Proceedings

On November 3, 2003, we filed counter claims against the Plaintiff in the suit
filed against us in


                                        9
<PAGE>
September 2003, styled AT & T Corporation, Teleport Communications Group, Inc.
and Teleport Communications Houston, Inc., Both Wholly Owned Subsidiaries of AT
& T Corporation vs. Hyperdynamics Corporation; Civil Action No. H-03-3369; In
the United States District Court for the Southern District of Texas, Houston
Division.

In the counter claims we assert affirmative defenses of fraud, fraudulent
inducement, breach of contract, failure/lack of consideration, and offset and
are vigorously pursuing damages.


ITEM 2    Changes in Securities

During  the  quarter  ended  September  30, 2003, we have effected the following
transactions  in reliance upon exemptions from registration under the Securities
Act  of  1933  as  amended (the "Act") as provided in Section 4(2) thereof. Each
certificate  issued  for unregistered securities contained a legend stating that
the  securities  have  not  been  registered under the Act and setting forth the
restrictions  on  the  transferability  and  the  sale  of  the  securities.  No
underwriter  participated  in,  nor  did  we  pay any commissions or fees to any
underwriter  in  connection  with  any  of  these  transactions.  None  of  the
transactions  involved  a  public  offering.  We  believe  that  each person had
knowledge  and  experience in financial and business matters, which allowed them
to  evaluate the merits and risks of our securities. We believe that each person
was  knowledgeable  about  our  operations  and  financial  condition.

During December 2002, we issued warrants to purchase 250,000 shares of common
stock at .55 per share to an investor.  The warrants expire in December 2004.
This was a private placement made in reliance on Section 4(2) of the Act.

During July 2003, three investors purchased 1-9/20 units consisting of 1-9/20
shares of SCS Corporation's (our wholly owned subsidiary) Series A Preferred
Stock and warrants to purchase 72,500 shares of Hyperdynamics common stock at
$.25 per share for $165,000.  This was a private placement made in reliance on
Section 4(2) of the Act.

ITEM 6    Exhibits and Reports on Form 8-K
(a)    EXHIBITS

     Exhibit  31.1  -  Certification of Chief Executive Officer of HyperDynamics
Corporation required  by  Rule  13a-14(1) or Rule 15d-14(a) of the Securities
Exchange  Act  of  1934,  as  adopted pursuant to Section 302 of the
Sarbanes-Oxley  Act  of  2002.

     Exhibit  31.2  -  Certification of Chief Financial Officer of HyperDynamics
Corporation required  by  Rule  13a-14(1) or Rule 15d-14(a) of the Securities
Exchange  Act  of  1934,  as  adopted pursuant to Section 302 of the
Sarbanes-Oxley  Act  of  2002.

     Exhibit  32.1  - Certification of Chief Executive Officer of HyperDynamics
Corporation pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 and
Section  1350 of 18 U.S.C. 63.

     Exhibit  32.2  - Certification of Chief Financial Officer of HyperDynamics
Corporation pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 and
Section  1350 of 18 U.S.C. 63.

     (b)  REPORTS ON FORM 8-K
          None


                                       10
<PAGE>
Signature
Pursuant  to  the  requirements  of  the  Securities  Exchange  Act of 1934, the
Registrant  has  duly  caused  this  Report  to  be  signed on its behalf by the
undersigned  thereunto  duly

                                                       HyperDynamics Corporation
                                                                    (Registrant)

                                                              By: /s/ Kent Watts
                                                                 ---------------
                                              Kent Watts, Chairman of the Board,
                           Chief Executive Officer, and Chief Accounting Officer

Dated: November 18, 2003


                                       11
<PAGE>