Document:

Exhibit 10.6

                                    AGREEMENT

     AGREEMENT made as of the date set forth on the signature page hereof
between NATHANIEL ENERGY CORPORATION, a Delaware corporation (the "Company"),
and the undersigned person named on the signature page hereof (the
"Undersigned").

     WHEREAS, the Undersigned is an employee of the Company;

     WHEREAS, the Company owes to the Undersigned accrued salary in the amount
set forth on the signature page hereof (the "Accrued Salary");

     WHEREAS, the Undersigned and the Company desire to satisfy the Accrued
Salary by issuing the undersigned the number of shares of common stock, $.001
par value per share, of the Company (the "Shares") set forth on the signature
page hereof upon the terms and conditions set forth herein.

     NOW, THEREFORE, for and in consideration of the mutual representations and
calculated covenants hereinafter set forth, the parties hereto do hereby agree
as follows:

     1. Satisfaction of Accrued Salary. The Undersigned hereby irrevocably
agrees that effective as of the date hereof, the Undersigned shall be issued,
and the Undersigned shall accept, the number of Shares set forth on the
signature page hereof, in full and final payment and satisfaction of the Accrued
Salary.

     2. Issuance of Shares. Certificates representing the Shares shall be issued
to the Undersigned as soon as is practicably possible.

     3. Representations by the Undersigned.

         3.1 The Undersigned understands and agrees that the Company is relying
and may rely upon the following representations, warranties and acknowledgments
made by the Undersigned.

          (i)  Acquisition for Account. The Undersigned represents and warrants
               that the Shares acquired by it are being acquired for its own
               account, for investment purposes and not with a view to any
               distribution within the meaning of the Securities Act of 1933, as
               amended (the "Securities Act"). The Undersigned will not sell,
               assign, mortgage, pledge, hypothecate, transfer or otherwise
               dispose of any of the Shares unless (A) a registration statement
               under the Securities Act with respect thereto is in effect and
               the prospectus included therein meets the requirements of Section
               10 of the Securities Act, or (B) the Company has received a
               written opinion of its counsel that, after an investigation of
               the relevant facts, such counsel is of the opinion that such
               proposed sale, assignment, mortgage, pledge, hypothecation,
               transfer or disposition does not require registration under the
               Securities Act or any state securities law.

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          (ii) No Registration. The Undersigned understands that the issuance of
               the Shares is not being registered under the Securities Act and
               the Shares must be held indefinitely unless they are subsequently
               registered thereunder or an exemption from such registration is
               available.

          (iii) Investor Status. The Undersigned represents and warrants further
               that (A) it is either an "accredited Undersigned," as such term
               is defined in Rule 501(a) promulgated under the Securities Act,
               or, either alone or with its purchaser representative, has such
               knowledge and experience in financial and business matters that
               it is capable of evaluating the merits and risks of the
               acquisition of the Shares; (B) it is able to bear the economic
               risks of an investment in the Shares, including, without
               limitation, the risk of the loss of part or all of its investment
               and the inability to sell or transfer the Shares for an
               indefinite period of time; (C) it has adequate financial means of
               providing for current needs and contingencies and has no need for
               liquidity in its investment in the Shares; and (D) it does not
               have an overall commitment to investments which are not readily
               marketable that is excessive in proportion to net worth and an
               investment in the Shares will not cause such overall commitment
               to become excessive.

          (iv) Review of Material. The Undersigned has reviewed the Company's
               reports, proxy and information statements and registration
               statements filed via the Edgar System with the Securities and
               Exchange Commission since January 1, 2003, and has been afforded
               the opportunity to obtain such information regarding the Company
               as it has reasonably requested to evaluate the merits and risks
               of the Undersigned's investment in the Shares. No oral or written
               representations have been made or oral information furnished to
               the Undersigned or his advisers in connection with the investment
               in the Shares.

          (v)  Legend. The Undersigned acknowledges that the a restrictive
               legend will be placed on any instrument, certificate or other
               document evidencing the Shares in, or substantially in, the
               following form:

               "The securities represented by this certificate have not been
               registered under the Securities Act of 1933. These securities
               have been acquired for investment and not for distribution or
               resale. They may not be sold, assigned, mortgaged, pledged,
               hypothecated or otherwise transferred or disposed of without an
               effective registration statement for such securities under the
               Securities Act of 1933 or an opinion of counsel to the Company
               that registration is not required under such Act."

          (vi) The Undersigned hereby acknowledges and represents that the
               issuance of the Shares fully satisfies the payment of all the
               Accrued Salary owed by the Company to the Undersigned in all
               respects; the market value of the Shares

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               may be materially less than the Accrued Salary; and the Shares
               are good, valuable and sufficient consideration for the full
               satisfaction of the Accrued Salary.

     4. Representations by the Company.

         4.1 The Company represents and warrants to the Undersigned as follows:

         (a) The Company is a corporation duly organized, existing and in good
standing under the laws of the State of Delaware and has the corporate power to
conduct its business.

         (b) The execution, delivery and performance of this Agreement by the
Company has been duly approved by the Board of Directors of the Company.

         (c) The Shares have been duly and validly authorized and, when issued
in accordance with the terms hereof, will be duly authorized, validly issued,
fully paid and nonassessable shares of common stock of the Company.

     5. General Release. The Undersigned releases and discharges the Company,
the Company's heirs, executors, administrators, successors and assigns from all
actions, causes of action, suits, debts, dues, sums of money, accounts,
reckonings, bonds, bills, specialties, covenants, contracts, controversies,
agreements, promises, variances, trespasses, damages, judgments, extents,
executions, claims, and demands whatsoever, in law, admiralty or equity, which
against the Company, the Undersigned, the Undersigned's heirs, executors,
administrators, successors and assigns ever had, now have or hereafter can,
shall or may, have for, upon, or by reason of any matter, cause or thing related
whatsoever from the beginning of the world to the day of the date of this
release.

     This release shall not release or discharge any of the Company's duties,
obligations or agreements under this Agreement.

     6. Miscellaneous.

         6.1 Any notice or other communication given hereunder shall be deemed
sufficient if in writing and hand delivered or sent by first class mail, postage
prepaid, or overnight mail, addressed to the Company, 8001 South InterPort
Boulevard, Suite 260, Englewood, Colorado 80112, Attention: Stan Abrams, Chief
Executive Officer, and to the Undersigned at the address set forth on the
signature page hereof. Notices shall be deemed to have been given on the date of
mailing, except notices of change of address, which shall be deemed to have been
given when received.

         6.2 This Agreement shall not be changed, modified or amended except by
a writing signed by the party to be charged, and this Agreement may not be
discharged except by performance in accordance with its terms or by a writing
signed by the party to be charged.

         6.3 This Agreement shall be binding upon and inure to the benefit of
the parties

<PAGE>

<PAGE>

               hereto and to their respective permitted successors and assigns.
               This Agreement sets forth the entire agreement and understanding
               between the parties as to the subject matter thereof and merges
               and supersedes all prior discussions, agreements and
               understandings of any and every nature between them.

         6.4 This Agreement and its validity, construction and performance shall
be governed in all respects by the laws of the State of Delaware, applicable to
agreements to be performed wholly within the State of Delaware.

         6.5 This Agreement may be executed in counterparts.

         6.6 Facsimile signatures hereon are deemed to be original signatures.

             Remainder of page intentionally left blank.

<PAGE>

         IN WITNESS WHEREOF, the parties have executed this Agreement as of the
date first above written.

Dated:  10/30/03

                                         /s/  Brett Abrams
                                        ---------------------------------------
                                         (Signature)

$ 171,632                                Brett Abrams
(Accrued Salary)                         (Name)

171,632 Shares
(Number of Shares to be issued)         10241 Dunsford Dr., Lone Tree, CO 80124
                                        (Address)

                                         ---------------------------------------
                                        (Social Security Number)

Accepted:

NATHANIEL ENERGY CORPORATION

By:  /s/  Stanley Abrams
     --------------------------------
Name:   Stanley Abrams
        -----------------------------
Title:  Chief Executive Officer
        -----------------------------Exhibit 10.7

                              EMPLOYMENT AGREEMENT

     Agreement made this 1st day of February, 2000 by and between NATHANIEL
ENERGY CORPORATION, a Delaware corporation, hereinafter called "NECX" and
Russell Eugene Bailey hereinafter called "Employee".

     WHEREAS, NECX wishes to utilize the services of Russell Eugene Bailey; and

     WHEREAS, NECX desires to employ Employee as Chief Financial Officer; and

     WHEREAS, Employee is being employed herein as Chief Financial Officer for
NECX who shall devote his best efforts toward providing advice and assistance to
NECX, and all of their subsidiaries and affiliates; and

     WHEREAS, the Parties recognize that, while it is in their best interests to
reduce to writing the following terms as an expression of the intentions of the
parties, these terms and conditions of employment may be modified by further
written agreement of the parties to reflect the ever changing conditions of the
business requirements of NECX and its subsidiaries.

     Now, therefore, in consideration of the mutual promises herein provided,
the parties agree as follows:

                                    ARTICLE I

     1.1 That the WHEREAS clauses hereinabove set forth are not mere recital and
are an integral part of this agreement.

     1.2 Employee shall initially hold the title(s) of Chief Financial Officer
for NECX.

     1.3 Description of Services to be Performed.

         a. The duties to be performed by Employee shall be those of Chief
Financial Officer for NECX and Employee shall provide services and assistance to
NECX, and any wholly owned subsidiaries of NECX as deemed necessary by NECX's
Board of Directors. Such duties may be changed or modified from time to time to
accommodate changes in business strategy.

         b. During the terms (as hereinafter defined) hereof, Employee agrees to
perform diligently and in good faith such duties and services for NECX as are
consistent with the position held by Employee under the direction of the Board
of Directors of NECX (the "Board"), Employee agrees to devote his best efforts
and all of his full business time, energies and abilities to the services to be
performed hereunder and for the exclusive benefit of NECX. Employee shall be
vested with such authority as is generally concomitant with the position to
which he is appointed.

Employment Agreement

                                   Page 1 of 8

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     1.4 Location. The principal place of employment and the location of
Employee's principal office and ordinary place of work shall be in Castle Rock,
Colorado, provided, however, Employee shall, when requested by NECX or the
Board of Directors, or may, if he determines it to be reasonably necessary,
temporarily perform services outside said areas as are reasonably required for
the proper performance of his duties under this Agreement.

     1.5 Representations. Each party represents and warrants to the other that
he/it has full power and authority to enter into this Agreement and his/its
execution and performance of this Agreement shall not constitute a default under
or breach of any of the terms of any other agreement to which he/it is a party
or under which he/it is bound. Each party represents that no consent or approval
of any third party is required for the execution, delivery and performance of
this Agreement or that all consents or approval of any third party required for
his or its execution, delivery and performance of this Agreement have been
obtained.

                                   ARTICLE II

     2.1 Term. The term of Employee's employment hereunder (the "Term") shall
commence as of the date of the signing of this Agreement (the "Commencement
Date") and shall continue for a period of four (4) years unless earlier
terminated by NECX's Board of Directors or Employee pursuant to the provisions
of this Agreement.

                                   ARTICLE III

                            Compensation and Benefits

     3.1 Base Salary. As compensation for the services to be rendered by
Employee, NECX shall pay Employee, during the term of this Agreement, base
salary of $60,000.00 per year, which base salary shall (prorated for periods
less than a month) be paid in equal bi-monthly installments.

     3.2 Performance Bonus Compensation. Employee and NECX shall work together
to establish a bonus arrangement based upon the profits of NECX and other
criteria to be mutually agreed upon between Employee and NECX.

     3.3 Stock options. Employee shall be entitled to any stock options as are
made available to other members of NECX's executive team.

     3.4 Benefits. All benefits to Employee specifically provided for herein
shall be in addition to, and shall not diminish, (i) such other benefits and/or
compensation as may hereafter be granted to or afforded to Employee by the Board
of Directors of the Company or (ii) any rights which Employee may have or may
acquire under any hospitalization, life insurance, pension, profit sharing,
incentive compensation or other present or future employee benefit plan or plans
of the Company.

     3.5 Vacation. Employee shall be entitled to regular vacation during each
year of four weeks in the aggregate. Any such vacation time not used by Employee
in any one year shall Employment Agreement

                                   Page 2 of 8

<PAGE>

accumulate to his benefit in the succeeding years and, to the extent not
previously used as of the termination of the period of active employment,
Employee shall be paid in cash in lieu of such unused vacation.

     3.6 Death Benefits. In the event of the death of Employee during the course
of his employment hereunder, the Company shall continue to pay to Employee's
widow, or to such other person or persons as may be designated by Employee in
his Will, or to his Estate in the event of Employee's intestacy, one-half (1/2)
of the compensation to which Employee is entitled pursuant to Article III
hereunder for the balance of the period covered by this Agreement.

     3.6 Withholding. Any and all amounts payable under this Agreement,
including, without limitation, amounts payable in the event of the termination
hereof under Article V hereof, are subject to withholding for such federal,
state and local taxes as NECX in its reasonable judgment determines to be
required to any applicable law, rule or regulation.

                                   ARTICLE IV

                   Working Facilities, Expenses and Insurance

     4.1 Working Facilities and Expenses. Employee shall be furnished with an
office at the principal office of NECX in Castle Rock, Colorado or at such other
working facilities as the parties may later agree and Employee shall be afforded
such secretarial and other assistance suitable to his position and adequate for
the performance of his duties hereunder. It is contemplated that during the
period of employment, Employee may be required to incur out-of-pocket expense in
connection with the performance of his services hereunder, including expenses
incurred for travel and business entertainment. Accordingly, the Company shall
reimburse Employee for all reasonable out-of-pocket expenses incurred by
Employee in the performance of his duties hereunder upon submission of
reasonable documentation therefore in accordance with the Company's policies.
Notwithstanding and in addition to the foregoing, in recognition, that Employee
will be required during the term of this Agreement to do a considerable amount
of driving in connection with his services hereunder, the Company shall also
provide Employee with an automobile allowance of $600 per month, and shall
reimburse the Employee for all expensed relating to gasoline and automobile
insurance, throughout the term of this Agreement.

     4.2 Insurance. NECX may at its expense, life insurance to Employee in the
face amount of up to $1,000,000. Employee agrees to assist in procuring such
insurance by submitting to the usual and customary medical and other examination
to be conducted by such physician(s) as the Board of Directors or such insurance
NECX may designate and by signing such applications and other written
instruments as may be required by the insurance companies to which application
is made for such insurance.

Employment Agreement

                                   Page 3 of 8

<PAGE>

                                    ARTICLE V

                                   Termination

     5.1 Termination. This Agreement and the employment of Employee may be
terminated only as follows:

         (a) at the election of the Employee after six (6) months of service;

         (b) on the Scheduled Termination Date; or

         (c) for cause as set forth on Paragraph 5.2

     5.2 Termination for Cause. Employee shall be deemed to have been terminated
for cause by NECX if he is terminated because he has committed any material act
of dishonesty; has disclosed confidential information to third parties without
authority; is guilty of gross carelessness or misconduct; has unjustifiably
neglected his duties under this Agreement, or has conducted himself in a manner
substantially detrimental to NECX. If Employee is terminated for cause, he shall
be entitled to two (2) weeks severance pay. In addition, Employee shall be
entitled to receive any benefits which are, at the time of the termination,
vested pursuant to Paragraph 3.2 herein or any other bonus (including any
claimed entitlements under any Performance Bonus plan), housing, health care or
other entitlements herein or hereafter provided to Employee.

     5.3 Effect of Termination. If the Employee voluntarily terminates his
employment, or in the event the Employment is terminated upon disability of the
Employee.

     (a) Salary shall be paid through the date of voluntary resignation or
termination.

     (b) Employee shall be entitled to reimbursement for expenses accrued
through the date of resignation or termination in accordance with the provision
of Section 3.1 hereof.

     (c) Employee shall receive such other benefits as may be provided under the
terms hereof and the benefit plans mentioned in Paragraphs 3.2 and 3.3 herein.

     (d) Any stock options not exercised as of the date of Employee's
resignation or termination shall expire upon the Employee's termination.

                                   ARTICLE VI

                             Covenant Not to Compete

     6.1 Covenant Not to Compete. Upon termination of this Agreement by either
the voluntary resignation of Employee or a termination for cause by NECX,
Employee shall not directly or indirectly, enter into or engage in any business
in competition with the business of NECX, or its subsidiaries and affiliates, as
it now exists or may exist at the time of termination of employment under this
Agreement, either as an individual on his own account, or as a partner, joint
venturer, employee, agent, or salesperson for any person or entity, or as an
officer, director

Employment Agreement

                                   Page 4 of 8

<PAGE>

or stockholder of a corporation, or otherwise for a period of three (3) years
after the date of termination of employment hereunder. It is agreed by the
parties that this covenant on the part of the Employee may be enforced against
Employee by NECX, or it subsidiaries by injunction, as well as by all other
legal remedies available to the subsidiaries, NECX or. It is agreed by the
parties hereto that if any portion of this covenant not to compete is held to be
unreasonable, arbitrary or against public policy, the covenant herein shall be
considered divisible both as to time and geographic area so that a lesser period
of time or geographical areas shall remain effective so long as the same is not
unreasonable, arbitrary, or against public policy. The parties hereto agree
that, in the event any Court determines the specified time period or the
specified geographical area that is determined by the courts to be reasonable,
non-arbitrary and not against public policy may be enforced against Employee by
injunction, as well as by all other legal remedies available to the subsidiaries
or NECX.

     6.2 Solicitation of Employees. For a period of three years after he is no
longer employed by NECX, the Employee will not, directly, or indirectly, either
as an individual, proprietor, stockholder, partner, officer, director, employee
or otherwise, solicit any officer, director, employee or other individual;

     (a) To leave his or her employment or position with NECX, or their
subsidiaries and/or affiliates;

     (b) To compete with the Business of NECX, or their subsidiaries and/or
affiliates in business;

     (c) To violate the terms of any employment; non-competition or similar
agreement with NECX, or their subsidiaries and/or affiliates;

     For purposes of this paragraph, references to the business of NECX shall
include the business of NECX, or their subsidiaries and/or affiliates.

     6.3 (a) Employee agrees that in the event of a breach of any of the terms
and provisions of this Article VI, NECX shall be entitled to secure an order in
any suit brought for that purpose to enjoin Employee from violating any of the
provisions of this Agreement and that, pending the hearing and the decision on
the application for such order, NECX shall be entitled to a temporary
restraining order without prejudice to any other remedy available to NECX, all
at expense of Employee. EMPLOYEE UNDERSTANDS THAT THE COVENANTS OF THIS
PARAGRAPH ARE THE ESSENCE OF THIS EMPLOYEMENT AGREEMENT, WITHOUT WHICH NO
AGREEMENT WOULD BE ENTERED iNTO BY NECX.

         (b) The provisions of Article VI shall in no event be construed to be
an exclusive remedy, and such remedy shall be held and construed to be
cumulative and not exclusive of any rights or remedies, whether in law or
equity, otherwise available under the terms of this Agreement or under the laws
of the United States or any state.

Employment Agreement

                                   Page 5 of 8

<PAGE>

                                  ARTICLE VII

                Confidentiality and Intellectual Property Rights

     7.1 Confidentiality. The Employee will not at any time during or after his
employment, directly or indirectly, divulge, disclose or communicate to any
person, firm or corporation in any manner whatsoever, other than in the normal
course of performing his duties, any information concerning any matter affecting
or relating to NECX or the business of NECX and its subsidiaries or affiliates
of NECX. While engaged as an employee of NECX, the Employee may only use
information concerning any matters affecting or relating to NECX or the business
of NECX and its subsidiaries for a purpose which is necessary to the carrying
out of the Employee's duties as an employee of NECX, and the Employee may not
make use of any information of NECX after he is no longer an employee of NECX.
The Employee agrees to the above without regard to whether all of the above
matters will be deemed confidential, material or important, it being stipulated
by the parties that all information, whether written or otherwise, regarding
NECX's business, including but not limited to, information regarding customers,
customer lists, employees, employee salaries, costs, prices, earnings, and any
financial or cost accounting reports, products, services, formulae,
compositions, machines, equipment, apparatus, systems, manufacturing procedures,
operations, potential acquisitions, new location plans, prospective and executed
contracts and other business arrangements, and sources of supply, is presumed to
be important, material and confidential information of NECX for purposes of this
Agreement, except to the extent that such information may be otherwise lawfully
and readily available to the general public. Employee agrees that all of this
information is a trade secret owned exclusively by NECX that shall at all times
be kept confidential. The Employee further agrees that he will, upon termination
of his employment with NECX, return to NECX all books, records, lists and other
written, typed or printed materials, whether furnished by NECX or prepared by
the Employee, which contain any information relating to NECX's business, and
the Employee agrees that he will neither make nor retain any copies of such
materials after termination of employment. For purposes of this Article VII,
references to the business or information of or relating to NECX shall include
the information or business of NECX and any subsidiary or affiliate of NECX.
"Affiliate" mean any teaming partner, venture or business entity wherein NECX or
its subsidiaries have any business interest.

     7.2 Business Opportunities and Patentable Devices. Employee will make full
and prompt written disclosure to NECX or its nominee of:

     (a) Any business opportunity of which he becomes aware and which relates to
the Business of NECX or any of its subsidiaries or affiliates; and

     (b) Any patentable device, apparatus, method, process or improvement which
he may invent or discover, either solely or jointly with any other person or
person, resulting from or in the course of any work done by him as an employee
of NECX, or relating to the work or duties he was employed or assigned to
perform or actually does perform for NECX, or relating to any phase of NECX's
business of field of interest in each case whether or not a patentable device,
apparatus, method, process or improvement is;

Employment Agreement

                                   Page 6 of 8

<PAGE>

         (1) Related to the project to which he is so assigned;

         (2) Made with a contribution by NECX or the use of NECX or NECX-held
facilities, equipment, materials, allocated funds, proprietary information, or
services of NECX or NECX subsidiaries, affiliates, employees or associated
persons;

         (3) Made during working hours.

                                  ARTICLE VIII

                                  Miscellaneous

     8.1 No Waivers. The failure of either party to enforce any provision of
this Agreement shall not be construed as a waiver of any such provision, nor
prevent such party thereafter from enforcing such provision or any other
provision of this Agreement.

     8.2 Notices. Any notice to be given to NECX and the Employee under the
terms of this Agreement may be delivered personally, by telecopy, telex or other
form of written electronic transmission, or by registered or certified mail,
postage prepaid, and shall be addressed as follows:

          If to NECX:                 Nathaniel Energy Corporation
                                      4871 North Mesa Drive
                                      Castle Rock, Colorado 80104

          If to the Employee:         Russell Eugene Bailey
                                      6272 Scarborough Dr.
                                      Colorado Springs, Colorado 80920

     Either party may hereafter notify the other in writing of any change in
address. An notice shall be deemed duly given (a) when personally delivered, (b)
when telecopied, telexed or transmitted by other form of written electronic
transmission, or (c) on the third day after it is mailed by registered mail or
certified mail, postage prepaid, as provided herein.

     8.3 Severability. The provision of this Agreement are severable and if any
provision of this Agreement shall be held to be invalid or otherwise
unenforceable, in whole or in part, the remainder of the provision, or
enforceable parts thereof, shall not be affected thereby.

     8.4 Successors and Assigns. The rights and obligations of NECX under this
Agreement shall inure to the benefit of and be binding upon the successors and
assigns of NECX, including the survivor upon any merger, acquisition,
consolidation or combination of NECX with any other entity. Employee shall not
have the right to assign, delegate or otherwise transfer any duty or obligation
to be performed by him hereunder to any person or entity.

     8.5 Entire Agreement. This Agreement supersedes all prior agreements and
understandings between the parties hereto, oral or written, and may not be
modified or terminated

Employment Agreement

                                   Page 7 of 8

<PAGE>

orally. No modification, termination, or attempted waiver shall be valid unless
in writing, signed by the party against whom such modification, termination or
waiver is sought to be enforced, The parties agree that no prior drafts of this
Agreement shall be admissible as evidence in any proceeding that involves the
interpretation of any provision of this Agreement.

     8.6 Governing Law. This Agreement shall be governed by and construed in
accordance with the internal laws of the State of Colorado.

     8.7 Section Headings. The section headings contained herein are for the
purposes of convenience only and are not intended to define or limit the
contents of said sections.

     8.8 Counterparts. This Agreement may be executed in counterparts, all of
which taken together shall be deemed one original.

     8.9 Attorney's Fees. In the event that either party is required to engage
the services of legal counsel to enforce the terms and conditions of this
Agreement against the other party, regardless of whether such action results in
litigation, the prevailing party shall be entitled to reasonable attorney's
fees, costs of legal assistants, and other costs from the other party, which
shall include any fees or costs incurred at trial or any appellate proceeding,
and expenses and other costs, including any accounting expenses incurred.

     IN WITNESS WHEREOF, the parties hereto have executed this Employment
Agreement as of the date first above written.

NATHANIEL ENERGY CORPORATION              Employee:

By:  /s/  Stan Abrams                      By:  /s/  Russell E. Bailey
     ---------------------------                -------------------------------
     Stan Abrams                                Russell Eugene Bailey
     President

Employment Agreement

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