That fact stood out to me when I read the report also. Don't have any idea who the lucky holders are but found this old link posted by Soly. Still looking for more info.

FALCON OIL & GAS AUSTRALIA FINANCIAL REPORT

FALCON OIL & GAS AUSTRALIA

LIMITED

ABN 53 132 857 008

31 DECEMBER 2010

FINANCIAL REPORT

All amounts are in USD unless otherwise stated

FALCON OIL & GAS AUSTRALIA LIMITED

O p e r a t i n g a n d F i n a n c i a l R e v i e w

Acquisition of Beetaloo Permits

On 30 September 2008, Falcon Oil & Gas Ltd (“Falcon”) and Falcon Oil & Gas Australia Limited (the “Company” or "Falcon Australia") consummated the acquisition of an undivided 50% working interest in an aggregate 7,000,000 acres in four exploration permits (the “Permits”) in the Beetaloo Basin, Northern Territory (the “Beetaloo Basin Project”) pursuant to the terms of a Purchase and Sale Agreement, as amended on October 31, 2008, (the “Beetaloo PSA”) with PetroHunter Energy Corporation, PetroHunter Operating Company and Sweetpea Petroleum Pty Ltd. (“Sweetpea”) (collectively, “PetroHunter”), each of which is a non-arm’s length party.

On 11 June 2009, pursuant to a second Purchase and Sale Agreement (the “Second PSA”) with PetroHunter, the Company completed the acquisition of an additional undivided 25% working interest in the Beetaloo Basin Project. Under the terms of the Second PSA, the principal consideration being paid by the Company or this transaction was the exchange of a $5,000,000 note receivable from PetroHunter. In addition, the Company agreed to pay certain vendors who had provided goods or services for the Beetaloo Basin Project, prior to the Company acquiring its 50% interest in September 2008, in exchange for inventory and operator bonds of approximately the same value, and Falcon has relinquished its right to the unexpended testing and completion funds of another project in which it is involved with the PetroHunter group. Upon closing, the Company became operator of the Beetaloo Basin Project.

On 7 December 2009, Falcon and Falcon Australia entered into a Binding Heads of Agreement (the “Agreement”) with PetroHunter and Sweetpea wherein Falcon Australia will issue to Sweetpea common shares of Falcon Australia in consideration for the transfer of Sweetpea’s undivided 25% working interest in the Permits. Under the terms of the Agreement, Falcon has been issued 150 million shares of Falcon Australia for conversion of a portion ($30,000,000) of Falcon Australia’s debt payable to Falcon, which approximates Falcon’s initial acquisition cost previously paid to Sweetpea for the 75% working interest in the Permits held by Falcon Australia as of the date of the Agreement; and Falcon Australia issued 50 million shares of its common stock to Sweetpea (valued at $10,000,000) and settled a joint interest billing receivable from Sweetpea of $1,725,000 for Sweetpea’s remaining 25% working interest in the Permits. On 23 April 2010, Falcon Australia received notice (the “Notice”) from the Department of Resources, Northern Territory Government, that the registration of the transfer of the remaining 25% interest in the Permits was completed, and Falcon Australia now owns 100% of the Permits.

The Permits are subject to a government royalty of 10% and non-government royalties of 13%-14%.