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                                                                    EXHIBIT 10.9

                              EMPLOYMENT AGREEMENT


        This Agreement, made this 1st day of August, 1999, by and between
Contour Energy Co., a Delaware corporation (the "Company"), and Kenneth R.
Sanders ("Executive").

                                   WITNESSETH:

        WHEREAS, the Company desires to employ Executive as Senior Vice
President - Exploration and Production on the terms set forth below, and
Executive is willing to accept such employment on such terms.

        NOW, THEREFORE, in consideration of the foregoing and for other good and
valuable consideration, the parties hereto do hereby agree:

1.      DEFINITIONS

        As used in this Agreement, defined words and phrases have the meaning
        first ascribed to them herein whenever the first letter of each word is
        capitalized. Words used in the masculine apply equally to the feminine,
        and wherever the context dictates, the plural should be read as the
        singular and the singular as the plural. References to Sections are to
        Sections of this Agreement. The headings at the beginning of each
        section are inserted for convenience only and are not intended to
        describe, interpret, define, or limit the scope, extent, or intent of
        this Agreement.

        a. "Board" means the Company's board of directors.

        b. "Cause" shall be deemed to exist if, and only if:

           i.  Executive is convicted in a court of law of any crime (i) that
               constitutes a felony relating to the Company or any other
               business endeavor or (ii) that constitutes a felony which
               involves moral turpitude; or

           ii. Executive engages in willful misconduct or any material breach of
               or willful material failure to perform his duties and
               responsibilities hereunder, which misconduct, breach, or failure
               shall continue after the Company, by action of the Board, shall
               have advised Executive thereof in writing and shall have afforded
               Executive a reasonable opportunity (which shall be at least 30
               days from the date of such written advice or knowledge thereof)
               to correct the acts or omissions complained of, and which
               Executive shall have so failed to take action to correct within
               such period.



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        c. "Disability" means Executive's inability to fully and competently
           perform the duties hereunder for a period of at least three
           consecutive months by reason of mental or physical illness or other
           incapacity. The Company and Executive or his attorney-in-fact shall,
           based on competent medical advice, determine whether Executive is and
           continues to be disabled. If the Company and Executive or his
           attorney-in-fact disagree with the determination of disability, then
           each of them shall appoint a doctor and the two doctors shall select
           a third independent doctor whose decision as to whether Executive has
           been unable to perform the duties of the nature contemplated
           hereunder for a three-consecutive-month period shall be binding on
           the parties.

           The doctor advising the Company with regard to the Company's initial
           determination of whether Executive has been disabled within the
           foregoing meaning and the independent doctor selected by the two
           doctors designated by the Company and Executive or his
           attorney-in-fact shall be given full access to Executive's medical
           records and shall be afforded a reasonable opportunity to examine
           Executive. The Company agrees to instruct such doctors to maintain
           all information reflected in Executive's records in full confidence
           and not to disclose such information to any person (including the
           Company) except as may be necessary for the determination described
           above. All references to doctor in this paragraph 1.d shall mean a
           practicing doctor of medicine.

        d. "Executive Officer" means Senior Vice President - Exploration and
           Production.

        e. "Notice of Termination" means a notice that sets forth the date of
           termination and, in the event of termination for Cause, the facts and
           circumstances claimed to provide a basis for termination of
           Executive's employment.

        f. "Change of Control" means if (i) the Company is merged or
           consolidated with another corporation and as a result of such merger
           or consolidation less than 50% of the outstanding voting securities
           of the surviving or resulting corporation are owned in the aggregate
           by the former shareholders of the Company; (ii) the Company sells all
           or substantially all of its assets to another corporation, which is
           not a wholly-owned subsidiary of the Company; (iii) any person or
           group within the meaning of the Securities Exchange Act of 1934, as
           amended, acquires (together with voting securities of the Company
           held by such person or group) 30% or more of the outstanding voting
           securities of the Company (whether directly, indirectly, beneficially
           or of record) pursuant to any transaction or combination of
           transactions; (iv) there is a change of control of the Company of a
           nature that would be required to be reported in response to Item 6(e)
           of Schedule 14A of Regulation 14A promulgated under the Securities
           Exchange Act of 1934, as amended, whether or not the Company is then
           subject to such reporting requirements; or (v) the individuals who,
           at the beginning of any period of twelve consecutive months,
           constituted the Board of Directors cease, for any reason, to
           constitute at least a majority thereof, unless the nomination for
           election or election by the Company's shareholders of each new
           director of the Company was approved by a vote of at least two-thirds
           of the directors then still in office who either were directors at
           the



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           beginning of such period or whose election or nomination for election
           was previously so approved. Notwithstanding the foregoing, however, a
           Change of Control shall not be deemed to have occurred upon issuance
           of capital stock by the Company approved by a vote of at least
           two-thirds of the directors then in office.

2.      TERM

        This Agreement commences effective as of August 1, 1999 (the
        "Commencement Date"), shall continue for 12 months from the Commencement
        Date, unless sooner terminated by a Notice of Termination under the
        provisions of this Agreement, and each year thereafter, unless either of
        the parties gives thirty (30) days written notice that the Agreement
        shall not be extended for the ensuing year, which notice shall not be
        deemed to be a Notice of Termination under the provisions of this
        Agreement.

3.      DUTIES

        During the term of his employment as provided in Section 2 above, the
        Company will employ Executive in a senior executive capacity, with such
        responsibilities as the Company may from time to time determine during
        the term of this Agreement, which shall include the engineering and
        development functions. Executive will comply with all applicable laws,
        with all corporate documents governing the conduct of the Company's
        business and affairs, and with the Company's policies.

        Executive agrees to devote substantially all of his business time to the
        performance of his duties hereunder.

4.      COMPENSATION

        a. The Company shall pay Executive for all services to be performed
           hereunder during the term of this Agreement. The Company agrees to
           pay to Executive an annual salary of $190,000.00, payable in
           semimonthly installments in arrears on the fifteenth and last day of
           each calendar month, the first such installment to be payable for the
           period ended August 15, 1999.

        b. The Executive shall participate in the Company's 1997 Annual and
           Long-Term Incentive-Performance Plan (the "1997 Plan"), in accordance
           with the terms and provisions of the Plan, (i) as to annual
           performance awards, commencing as of August 1, 1999 to the extent in
           1999 his participation award exceeds $50,000, and annually thereafter
           as provided in the 1997 Plan so long as the 1997 Plan remains in
           effect, and Executive is employed by the Company annually thereafter,
           and (ii) as to stock options, the Company shall grant Executive a
           total of 25,000 options to purchase shares of the Company's common
           stock for a purchase price as determined under the Plan (the "1997
           Plan Options"), which shall vest in cumulative annual installments as
           follows: (i) 25% of such 1997 Plan Options on the first anniversary
           of the Commencement Date, or 33 1/3% upon termination of employment
           by the Company if employment is terminated by



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           the Company before the second anniversary and not terminated for
           Cause or a Change of Control, (ii) 50% of such 1997 Plan Options on
           the second anniversary of the Commencement Date, (iii) 75% of such
           1997 Plan Options on the third anniversary of the Commencement Date
           and (iv) 100% of such 1997 Plan Options on the fourth anniversary of
           the Commencement Date.

        c. In addition to the Options granted under the 1997 Plan, the Company
           shall, effective the Commencement Date, grant Executive a total of
           37,500 options to purchase shares of the Company's common stock for a
           purchase price of $10.00 per share (the "1996 Plan Options"), which
           shall vest in cumulative annual installments as follows: (i) 33 1/3%
           of such 1996 Plan Options on the first anniversary of the
           Commencement Date, (ii) 66 2/3% of such 1996 Plan Options on the
           second anniversary of the Commencement Date, and (iii) 100% of such
           1996 Plan Options on the third anniversary of the Commencement Date.

        d. The Company agrees to pay Executive in addition to payments and
           awards set forth in paragraphs a, b and c above, an initial bonus of
           $50,000.00 payable within ten (10) business days of the Commencement
           Date.

        e. In addition to the payments and awards set forth in paragraphs a, b,
           c and d above:

           i.   During the term of this Agreement, upon submission of a
                reasonable accounting, the Company shall reimburse Executive for
                all reasonable travel, entertainment, and other business
                expenses that are in compliance with company policy related to
                his employment hereunder.

           ii.  During the term of this Agreement, Executive shall be eligible
                for the Company's employee benefit programs on the terms on
                which the same are extended to the Company's executives
                generally, including but not limited to the Company's Section
                401(k) plan, a health care plan, five weeks vacation and
                reimbursement for unreserved parking expenses.

           iii. During the term of this Agreement, Executive shall be entitled
                to reimbursement for membership fees and dues for a business
                club (luncheon or athletic) and a country club (to include
                initiation fees of approximately $5,000.00).

        The Company shall have the right to deduct from all payments to be made
        under this Agreement any federal, state, or local taxes required by law
        to be withheld from such payments.

5.      NONDISCLOSURE OF CONFIDENTIAL INFORMATION

        Executive agrees that, during his employment by the Company and for 1
        year thereafter, he will not use or disclose to others, directly or
        indirectly, any confidential information relating



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        to the business, prospects, or plans of the Company or its subsidiaries.
        Notwithstanding the previous sentence, Executive shall not be in
        violation of this section in the event of a disclosure pursuant to a
        court action or governmental rule, regulation, or proceeding
        (hereinafter referred to as an "Ordered Disclosure") provided Executive
        has notified the Company of such Ordered Disclosure within five business
        days of being personally served with such Ordered Disclosure. Executive
        agrees to cooperate in good faith with the Company in responding to such
        Ordered Disclosure in order to prevent, limit or impose restrictions on
        such Ordered Disclosure. In no event, however, shall this section
        require Executive to take action or otherwise cause Executive to be in
        violation of any law or result in contempt of such Ordered Disclosure.

        Upon termination of his employment with the Company, Executive shall
        surrender to the Company any and all work papers, reports, manuals,
        documents, and the like (including all originals and copies thereof) in
        his possession which contain confidential information relating to the
        business, prospects, or plans of the Company or its affiliates.

        Executive agrees that following any termination of his employment with
        the Company, he will endorse strategies of the Company, and will not
        disclose or cause to be disclosed any negative, adverse or derogatory
        comments or information of a substantial nature about the Company or its
        management, or about any product or service provided by the Company, or
        about the Company's prospects for the future. The Company may seek the
        assistance, cooperation or testimony of Executive following any such
        termination in connection with any investigation, litigation or
        proceeding arising out of matters within the knowledge of Executive and
        related to his position as an officer or employee of the Company, and in
        any instance, Executive shall provide such assistance, cooperation or
        testimony and the Company shall pay Executive's reasonable costs and
        expenses in connection therewith. In addition, if such assistance,
        cooperation or testimony requires more than a nominal commitment of
        Executive's time, the Company will compensate Executive for such time at
        a per diem rate derived from Executive's salary from the Company at the
        time of Executive's termination.

6.      TERMINATION

        a. This Agreement shall automatically terminate upon Executive's death
           or Disability. In addition, this Agreement may be terminated by the
           Company or Executive at any time for any reason whatsoever. Any
           termination of Executive's employment by the Company or by Executive
           (other than termination pursuant to the first sentence of this
           subsection a.) shall be communicated by written Notice of Termination
           to the other party hereto in accordance with Section 15.

        b. Upon termination of this Agreement for any reason, Executive shall be
           entitled to receive, and the Company shall pay Executive (or, if such
           termination is caused by Executive's death, his estate or as may be
           directed by the legal representatives of such estate) within 30 days
           of the termination date, any unpaid amounts earned by or payable to
           Executive through the date of termination under Sections 4.a. and
           4.e. (if any).




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        c. In addition to the amounts to which Executive is entitled under
           Section 6.b., if this Agreement is terminated by the Company other
           than for Cause or other than a Change of Control, the Company shall
           pay Executive in a single lump-sum payment an amount equal to the
           compensation that would have been payable under Section 4.a. over the
           next twelve (12) months plus any vested options, in any event not
           less than 1/3 of the Initial Grant under the 1997 Plan had this
           Agreement not otherwise been terminated. The amounts payable under
           this Section 6.c. shall be paid no later than 30 days after the date
           of termination.

        d. In addition to the amounts to which Executive is entitled under
           Section 6.b., if this Agreement is terminated by the Company because
           of a Change of Control, the Company shall pay Executive in a single
           lump-sum payment an amount equal to (i) the compensation that would
           have been payable under Section 4.a. over the next twenty-four (24)
           months had this Agreement not otherwise been terminated, and (ii) all
           unvested options accelerated to 100% vesting. Such compensation shall
           be the only compensation payable as a result of such termination
           because of a Change of Control. The amounts payable under this
           Section 6.d. shall be paid no later than 30 days after the date of
           termination.

7.      RESTRICTIVE COVENANT

        During the term of Executive's employment with the Company, and (except
        as provided in clause (c) below) for a period of one year following the
        termination of Executive's employment with the Company for any reason,
        including termination occasioned by the expiration of this Agreement,
        Executive shall not:

        a. interfere with the relationship of the Company or any of its
           employees, agents or representatives;

        b. directly or indirectly divert or attempt to divert from the Company
           any property acquisition in which the Company has been actively
           engaged during the term hereof; or

        c. directly or indirectly render financial or other services of the
           nature of those provided to the Company to any person, company or
           entity other than the Company, provided, this clause (c) shall
           terminate upon the termination of Executive's employment with the
           Company.




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8.      INDEMNIFICATION

        Except to the extent attributable to Executive's willful misconduct or
        actions leading to the Company's termination of this Agreement for
        Cause, the Company shall indemnify Executive against expenses (including
        attorneys' fees), judgments, fines, and amounts paid in settlement
        actually and reasonably incurred by him in connection with any action,
        suit, or proceeding to which Executive has been made a party by reason
        of his capacity as Executive Officer of the Company if Executive acted
        in good faith and in a manner Executive reasonably believed to be in or
        not opposed to the best interest of the Company and, with respect to any
        criminal action or proceeding, had no reasonable cause to believe
        Executive's conduct was unlawful. The termination of any action, suit,
        or proceeding by judgment, order, settlement, conviction, or upon a plea
        of nolo contendere or its equivalent, shall not, of itself, create a
        presumption that Executive did not act in good faith and in a manner
        which Executive reasonably believed to be in or not opposed to the best
        interest of the Company, and with respect to any criminal action or
        proceeding, had reasonable cause to believe that Executive's conduct was
        unlawful.

9.      ADDITIONAL REMEDIES

        In the event of a breach or a threatened breach of the terms of Section
        5 or 7 by Executive, the Company shall, in addition to all other
        remedies, be entitled to a temporary or permanent injunction and/or a
        decree for specific performance, in accordance with the provisions
        hereof, without showing any actual damage or that monetary damages would
        not provide an adequate remedy and without any bond or other security
        being required.

10.     NONASSIGNMENT

        This Agreement is personal to Executive and shall not be assigned by
        him. Executive shall not hypothecate, delegate, encumber, alienate,
        transfer, or otherwise dispose of his rights and duties hereunder. The
        Company may assign this Agreement without Executive's consent to any
        other entity who, in connection with such assignment, acquires all or
        substantially all of the Company's assets, or into or with which the
        Company is merged or consolidated.

11.     WAIVER

        The waiver by the Company of a breach by Executive of any provision of
        this Agreement shall not be construed as a waiver of any subsequent
        breach by Executive.

12.     SEVERABILITY

        If any clause, phrase, provision, or portion of this Agreement or the
        application thereof to any person or circumstance shall be invalid or
        unenforceable under any applicable law, such event shall not affect or
        render invalid or unenforceable the remainder of this Agreement and
        shall not affect the application of any clause, provision, or portion
        hereof to other persons or circumstances.



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13.     DISPUTES

        Each of the parties hereto hereby irrevocably agrees that any legal
        action or proceeding arising out of this Agreement shall be brought only
        in the state or federal courts located in the state of Texas. Each party
        hereto hereby irrevocably consents to the service or process outside the
        territorial jurisdiction of such courts in any such action or proceeding
        by the mailing of such documents by registered United States mail,
        postage prepaid, if to the Company to the address of its principal place
        of business and if to Executive to the address listed in the Company's
        books and records.

14.     RELEVANT LAW

        This Agreement shall be construed by, subject to, and governed in
        accordance with the internal laws of the State of Texas.

15.     NOTICES

        All notices, requests, demands, and other communications in connection
        with this Agreement shall be made in writing and shall be deemed to have
        been given when delivered by hand or 48 hours after mailing at any
        general or branch United States post office by registered or certified
        mail, postage prepaid, addressed as follows, or to such other address as
        shall have been designated in writing by the addressee:

        a. If to the Company:

               Contour Energy Co.
               Suite 1100
               601 Jefferson Street
               Houston, Texas 77002
               Attention:  Corporate Secretary

        b. If to Executive:

               Kenneth R. Sanders
               Contour Energy Co.
               Suite 1100
               601 Jefferson Street
               Houston, Texas  77002


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16.     Entire Agreement

        This Agreement sets forth the entire understanding of the parties and
        supersedes all prior agreements, arrangements, and communications,
        whether oral or written, and this Agreement shall not be modified or
        amended except by written agreement of the Company and Executive.

        IN WITNESS WHEREOF, the parties hereto have executed this Agreement on
the date first set forth above.

                                    COMPANY:

                                    CONTOUR ENERGY CO.



                                    By /s/ JOHN F. BOOKOUT
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                                      John F. Bookout
                                      President and Chief Executive Officer

                                    EXECUTIVE:




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