UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
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CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
OCTOBER 13, 2009
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Date of Report (Date of earliest event reported)
AMERICAN EXPLORATION CORPORATION
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(Exact name of registrant as specified in its charter)
NEVADA 333-141060 98-0518266
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(State or other jurisdiction (Commission File Number) (IRS Employer
of incorporation) Identification No.)
407 2ND ST SW
SUITE 700
CALGARY, ALBERTA, CANADA T2P 2Y3
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(Address of principal executive offices) (Zip Code)
(403) 233-8484
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Registrant's telephone number, including area code
N/A
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(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K is intended to simultaneously
satisfy the filing obligation of the registrant under any of the following
provisions:
[ ] Written communications pursuant to Rule 425 under the Securities Act
(17 CFR 230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act
(17 CFR 240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange
Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange
Act (17 CFR 240.13e-4(c))
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SECTION 1. REGISTRANT'S BUSINESS AND OPERATIONS
ITEM 1.01 ENTRY INTO A MATERIAL DEFINITIVE AGREEMENT
Effective on October 13, 2009, the Board of Directors of American Exploration
Corporation, a Nevada corporation (the "Company"), authorized the execution of a
5% convertible debenture in the principal amount of $100,000.00 Canadian Dollars
(the "Debenture") with DMS Ltd. ("DMS"). In accordance with the terms and
provisions of the Debenture: (i) DMS has loaned the Company an aggregate amount
of $100,000.00 Canadian Dollars, which accrues interest at the rate of 5% per
annum; (ii) the maturity date for repayment is the earlier of: (a) that date
when the Company is able to meet the insolvency test (i.e., when the Company has
sufficient funds in its cash account to meet its obligations as they arise on a
daily basis, which shall be determined by management in good faith); or (b)
January 13, 2010; and (iii) DMS has the right at any time to convert the unpaid
principal amount of the Debenture into shares of common stock of the Company at
the price of $0.50 per share.
SECTION 9. FINANCIAL STATEMENTS AND EXHIBITS
ITEM 9.01 FINANCIAL STATEMENTS AND EXHIBITS
(A) FINANCIAL STATEMENTS OF BUSINESS ACQUIRED.
Not applicable.
(B) PRO FORMA FINANCIAL INFORMATION.
Not applicable.
(C) SHELL COMPANY TRANSACTION.
Not applicable.
(D) EXHIBITS.
10.1 5% Convertible Debenture between American Exploration Corporation
and DMS Ltd. dated October 13, 2009.
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
AMERICAN EXPLORATION CORP.
Date: October 19, 2009.
/s/ STEVEN HARDING
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Name: Steven Harding
Title: President/Chief Executive Officer
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