EXHIBIT 10.14
                              EMPLOYMENT AGREEMENT

     This  EMPLOYMENT  AGREEMENT  (the "Agreement") is made this 1st day of July
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2002,  by  and  between  INTEGRAL TECHNOLOGIES, INC., a Nevada corporation, with
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principal  executive  offices located at 805 West Orchard Drive, #3, Bellingham,
Washington 98225 (the "Company"), and WILLIAM A. INCE, an individual residing at
2317 North Shore Road, Bellingham, Washington 98226 (the "Executive").

                                    RECITALS

     WHEREAS,  the  parties  have  entered  into  an  Employment Agreement dated
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January 2, 2001.
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     WHEREAS,  the  parties desire that this Agreement replace and supercede all
prior  agreements  between  the Executive and the Company related to the subject
matter  herein.

     NOW,  THEREFORE,  for  and  in  consideration  of  the mutual covenants and
representations and warranties of each other contained herein and other good and
valuable  consideration,  the  receipt  of  which  is  hereby  acknowledged, the
Executive  and  the  Company  agree  as  follows:


                                    ARTICLE I
                                   EMPLOYMENT

     The  Company hereby employs the Executive; and the Executive hereby accepts
such  employment and agrees to serve as an employee and Director of the Company,
subject  to  and  upon  the  terms  and  conditions set forth in this Agreement.


                                   ARTICLE II
                                TITLE AND DUTIES

     (A)     During  the term of employment with the Company, and subject to the
direction  of  the  Board  of  Directors, the Executive shall perform duties and
functions consistent with his employment hereunder as an officer and director of
the Company in the capacity of President, Secretary and Chief Financial Officer,
as  further  defined  in  the Company's bylaws. The Executive shall also perform
duties  and functions consistent with his employment hereunder as an officer and
director  of  each  subsidiary  of  the  Company.

     (B)     The  Executive agrees to devote his best efforts to the performance
of  his  duties  for  the  Company; to render his services to any joint venture,
subsidiary or affiliated business of the Company; to participate in establishing
the  direction  of  the  Company's  business;  and  to  promote  the  Company's
relationships  with  its  employees,  customers  and  others in the business and
financial  communities.


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                                   ARTICLE III
                                  COMPENSATION

     (A)     The  Company  shall  pay to the Executive $170,000 per year for all
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services to be rendered pursuant to the terms of this Agreement.  Such salary is
payable  in  accordance with the Company's normal payroll procedures.  The Board
of  Directors  may  increase  the  Executive's  salary  from time to time in its
discretion.

     (B)     The  Company  shall  grant the Executive options to acquire 415,000
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shares  of  the  Company's common stock at an exercise price of $1.00 per share.
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These  options shall be granted pursuant to the Integral Technologies, Inc. 2001
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Stock  Plan.  These  options  shall  be  fully vested on July 1, 2002 and may be
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exercised  in  whole  or in part at any time after January 1, 2003.  All options
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shall  expire  the  earlier  of  December  31,  2005,  or one year following the
termination  of employment with the Company.  The following terms and conditions
apply  to the options: (i) both the number of options and the exercise price are
subject  to  appropriate  adjustments  in  the  event  of any stock split, stock
dividend  or  other  change  in capital structure affecting the Company's common
stock, (ii) the options and the shares of common stock issuable upon exercise of
the  options  are subject to restrictions on transfer, as required by applicable
federal  and  state  securities  laws; (iii) options which have not vested on or
before  the date of termination of the Executive's employment shall terminate on
such date, and (iv) notwithstanding the expiration date, all vested options must
be  exercised  within  the  earlier of the expiration date of the options or one
year  after  termination  of  the  Executive's  employment.  The  Executive
acknowledges  that as long as he remains an executive officer of the Company, he
shall  be  deemed  an  "affiliate"  and/or  a  "control  person" for purposes of
reporting  and  compliance under the rules and regulations of the Securities and
Exchange  Commission.

     (C)     The  Executive  shall  be eligible to receive bonuses, based on the
extent  the Executive achieves certain goals and objectives, to be determined by
mutual agreement between the Executive and the Board of Directors.

     (D)     The  Board  of  Directors  may  at its discretion from time to time
grant  to the Executive additional options to purchase shares of common stock of
the  Company.


                                   ARTICLE IV
                         WORKING CONDITIONS AND BENEFITS

     (A)     The  Executive shall be entitled to paid vacations during each year
of  his  employment with the Company in accordance with Company practice in that
year.  The  Executive  shall  also be entitled to leave for illness or temporary
disability, subject to the terms of Article VII(B), which may be paid or unpaid,
in  accordance  with  the  policies  of  the  Company  in  effect  at that time.

     (B)     The  Executive  is  authorized  to  incur  reasonable and necessary
expenses  for  promoting  the  business  of  the  Company,  including authorized
expenses  for  entertainment,  travel  and  similar  items.  The  Company  shall
reimburse the Executive in accordance with the policies of the Company in effect
from  time  to time for all such expenses, upon presentation by the Executive of
an  itemized  account  of  such  authorized  expenditures.


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     (C)     The  Executive  shall  be  employed by the Company at its executive
offices  in Bellingham, Washington.  The Executive shall travel on the Company's
behalf to the extent reasonable and necessary and be reimbursed for such travel.

     (D)      The  Company  shall  provide  to the Executive, to the full extent
provided  for  under  the  laws  of the Company's state of incorporation and the
Company's  bylaws,  indemnification  for  any  claim  or  lawsuit  which  may be
threatened,  asserted  or  commenced against the Executive by reason of the fact
that  he  is or was a director, officer, employee or other agent of the Company,
or  is  or  was  serving  at  the request of the Company as a director, officer,
employee  or  other  agent  of  another corporation, partnership, joint venture,
trust,  or  other  enterprise  or  employee  benefit  plan,  provided  that
indemnification  shall  not  be  provided  in  violation of applicable law.  The
Company  shall also provide the Executive with mandatory advancement of expenses
upon receipt by the Company of Executive's written undertaking to repay any such
amount  advanced if he is ultimately found not to be entitled to indemnification
under  applicable  law.


                                    ARTICLE V
                                 OTHER BENEFITS

     (A)     During  the term hereof, the Executive shall be entitled to receive
such of the following other benefits of employment available to other members of
the  Company's  senior executive management: major medical health benefits, life
insurance  benefits, pension, profit sharing and income protection or disability
plans,  in  each  instance,  consistent  with  the  Executive's  position.

     (B)     The  Executive shall be entitled to receive an automobile allowance
up  to  $1000  per  month.


                                   ARTICLE VI
                                      TERM

     The  term  of this Agreement shall commence as of July 1, 2002 and continue
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until  June  30, 2004, unless this Agreement is terminated pursuant to the terms
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hereof.


                                   ARTICLE VII
                                   TERMINATION

     (A)     The  Executive may voluntarily terminate this Agreement at any time
upon  written  notice  to the Company.  The Executive shall provide at least one
month  advance  notice  to  the Company of his election to voluntarily terminate
this  Agreement.

     (B)     The Company may terminate this Agreement upon written notice to the
Executive  if  the  Executive  becomes  disabled  or suffers an illness and as a
result  of  such  disability  or  illness is substantially unable to perform the
Executive's  duties hereunder for a period of three (3) consecutive months or an
aggregate  of  ninety  (90)  working  days  over a consecutive twelve (12) month
period;  such notice shall be forwarded to the Executive by the Company upon and
after  a  resolution  of  the  Company's  Board  of  Directors  authorizing such


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notification.  In  the  event  of  the  Executive's  death, this Agreement shall
terminate  upon  the  date  of  death.

     (C)     The  Company  may  terminate  this Agreement for cause upon written
notice  from  the  Company  to  the  Executive  if  the Executive has materially
violated  the  terms  of  this  Agreement  or  committed  acts  of misconduct or
willfully fails to carry out the policies of the Company's Board of Directors or
commits  acts  which  have  a  material  adverse  affect  on the business of the
Company.  Such  notice  shall  be forwarded to the Executive by the Company upon
and  after  a  resolution  of  the Company's Board of Directors authorizing such
notification.

     (D)     In  the  event  that  the  Company terminates the employment of the
Executive  without  cause, then the Executive shall be entitled to severance pay
equal to twelve (12) month's base salary based on the base salary then in effect
at the termination date.  Such severance pay shall be made in one lump sum or in
monthly  installments  on  the  first  day  of  each  month at the option of the
Company.  In  addition,  the  Executive  shall  be  entitled to any prior unpaid
salary  and unreimbursed expenses.  In addition, any and all options to purchase
Company's  stock  held  by  the Executive, but not yet vested, shall immediately
vest.  The  payments contemplated in this paragraph shall completely relieve the
Company  of  any liability to the Executive for any compensation that would have
otherwise  been  payable  to  the  Executive  under the terms of this Agreement.


                                  ARTICLE VIII
                       CONFIDENTIALITY AND NON-COMPETITION

     (A)     All  Company  trade  secrets,  proprietary  information,  software,
software codes, advertising, sales, marketing and other materials or articles of
information,  including  without  limitation  customer  and supplier lists, data
processing  reports,  customer  sales  analyses,  invoices,  price  lists  or
information,  samples,  or  any other materials or data of any kind furnished to
the  Executive  by  the  Company  or developed by the Executive on behalf of the
Company  or  at the Company's direction or for the Company's use or otherwise in
connection  with  the Executive's employment hereunder, are and shall remain the
sole  and  confidential  property  of  the  Company; if the Company requests the
return  of  such  materials  at  any time during or after the termination of the
Executive's  employment, the Executive shall immediately deliver the same to the
Company.

     (B)     During  the  term  of  this Agreement and for a period in which any
severance  payments  are  made, the Executive shall not, directly or indirectly,
either  individually  or  as  owner,  partner,  agent,  employee,  consultant or
otherwise,  except  for  the  account  of  and  on  behalf of the Company or its
affiliates,  engage in any activity competitive with the business of the Company
or  its  affiliates,  nor  shall  he,  in  competition  with  the Company or its
affiliates,  solicit  or otherwise attempt to establish for himself or any other
person,  firm  or  entity,  any  business relationships with any person, firm or
corporation,  which  was,  at  any  time  during  the  term of this Agreement, a
customer  or  employee  of  the  Company  or  one  of  its  affiliates.

     (C)     During  the term of this Agreement and at all times thereafter, the
Executive  shall  not  use  for  personal  benefit,  or disclose, communicate or
divulge  to,  or  use  for  the  direct or indirect benefit of any person, firm,
association  or  entity  other  than  the  Company,  any material referred to in
paragraph  (A) above or any information regarding the business methods, business
policies,  procedures,  techniques, research or development projects or results,


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trade  secrets, or other knowledge or processes used or developed by the Company
or  any  names  and  addresses of customers or clients or any other confidential
information relating to or dealing with the business operations or activities of
the Company, made known to the Executive or learned or acquired by the Executive
while  in  the  employ  of  the  Company.


                                   ARTICLE IX
                                  SEVERABILITY

     If  any provision of this Agreement shall be held invalid or unenforceable,
the  remainder  of this Agreement shall remain in full force and effect.  If any
provision  is  held  invalid  or  unenforceable  with  respect  to  particular
circumstances,  it  shall  remain  in  full  force  and  effect  in  all  other
circumstances.


                                    ARTICLE X
                                   ARBITRATION

     Any  controversy,  claim  or  dispute  arising  out  of  the  terms of this
Agreement,  or  the breach thereof, shall be settled by arbitration in the State
of  Washington  and  the  award  rendered  thereon  shall  be final, binding and
conclusive  as  to  all  parties  and  may  be entered in any court of competent
jurisdiction.


                                   ARTICLE XI
                                     NOTICE

     Any  notice,  request,  demand  or other communication provided for by this
Agreement  shall  be sufficient if in writing and if delivered in person or sent
by registered or certified mail to the Executive at the last resident address he
has  filed  in  writing  with the Company or, in the case of the Company, at its
principal  executive  offices.


                                   ARTICLE XII
                                     BENEFIT

     This  Agreement  shall  inure  to,  and  shall be binding upon, the parties
hereto,  the  successors  and  assigns of the Company and the heirs and personal
representatives  of  the  Executive.


                                  ARTICLE XIII
                                     WAIVER

     The  waiver  of either party of any breach or violation of any provision of
this  Agreement  shall not operate or be construed as a waiver of any subsequent
breach.


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                                   ARTICLE XIV
                                  GOVERNING LAW

     This  Agreement has been negotiated and executed in the State of Washington
and  the  laws  of  the State of Washington (except its provisions governing the
choice  of  law)  shall  govern  its  construction  and  validity.


                                   ARTICLE XV
                                ENTIRE AGREEMENT

     This Agreement contains the entire Agreement between the parties hereto; no
change,  addition  or amendment shall be made hereto except by written agreement
signed  by  the  parties hereto.  This Agreement supersedes all prior Agreements
and  understandings  between  the  Executive  and  the  Company.


                                   ARTICLE XVI
                      COUNTERPARTS AND FACSIMILE SIGNATURES

     This  Agreement may be executed simultaneously in two or more counterparts,
each of which shall be deemed an original, but all of which taken together shall
constitute  one  and  the  same  instrument.  Execution  and  delivery  of  this
Agreement  by  exchange of facsimile copies bearing the facsimile signature of a
party  shall  constitute  a  valid  and  binding  execution and delivery of this
Agreement  by  such  party.  Such  facsimile copies shall constitute enforceable
original  documents.


     IN  WITNESS WHEREOF, the parties hereto have executed this Agreement on the
day  and  year  first  above  written.



                                           EXECUTIVE:


                                           /s/  William A. Ince
                                           -----------------------------------
                                           William A. Ince


                                           COMPANY:

                                           INTEGRAL TECHNOLOGIES, INC.


                                           By:    /s/  William S. Robinson
                                              --------------------------------
                                           William S. Robinson


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