>Or Falcon may decide to extend its loan agreement to Petrohunter. It has happened in the past.

You are correct. It did happen in the past. Back in December actually :)

On December 10, 2008, the registrant entered into a letter agreement that amended the terms of the Loan Agreement dated October 1, 2008, pursuant to which the registrant borrowed $5,000,000 from Falcon Oil & Gas Ltd. (“Falcon”). The maturity date was extended from January 30, 2009 to April 30, 2009. If this loan is not repaid by April 30, 2009, Falcon, at its discretion, can require that the registrant’s subsidiary resign as operator of the Beetaloo Basin project in Northern Territory, Australia, and be appointed as operator. Also, instead of depositing $7,500,000 worth of Falcon securities as security for the loan, the registrant will be depositing 14,500,000 shares.