On June 11, 2009, the registrant and its wholly-owned subsidiary (collectively "PetroHunter") closed on the sale of an undivided 25% working interest in its four exploration permits comprising approximately seven million acres in the Beetaloo Basin of the Northern Territory, Australia, to Falcon Oil & Gas Ltd. and its subsidiaries. Falcon now has a 75% working interest in the Beetaloo Basin project and is the operator. PetroHunter retains an undivided 25% working interest.

Falcon relieved PetroHunter from the $5 million loan made by Falcon to PetroHunter in October 2008, and a release of the collateral that secured that loan; assumed PetroHunter payables related to the Beetaloo Basin project in the amount of AUD$1.5 million (approximately US$1.18 million); reassigned Falcon's 25% working interest in five wells located in PetroHunter's Buckskin Mesa project in the Piceance Basin in Rio Blanco County, Colorado, back to PetroHunter; and assigned its rights to approximately $855,000 of completion capital remaining from the Buckskin Mesa project back to PetroHunter. In addition to transferring the additional 25% working interest, PetroHunter assigned to Falcon its Beetaloo project inventory and its operator cash bonds, and indemnified Falcon against claims and liabilities relating to plugging, abandonment and site reclamation costs for the five Buckskin Mesa wells.

Marc A. Bruner, the Chairman, CEO and President of Falcon, is the founder and largest shareholder of PetroHunter. Falcon advised PetroHunter that a committee of the independent directors of Falcon governed the negotiation and entering into of the definitive agreement pertaining to this transaction. Carmen J. Lotito, a director of PetroHunter, is a director of Falcon Oil & Gas Australia Pty Ltd, Falcon's subsidiary that owns the 75% working interest. PetroHunter advised Falcon that Mr. Lotito abstained from voting when PetroHunter's board of directors voted to approve the definitive agreement.

Item 9.01        Financial Statements and Exhibits

                   Regulation
                   S-K Number             Document

                      99.1    News Release dated June 17, 2009