GreenHunter Energy Transfers Subsidiary's Stock to Irrevocable Trust

GreenHunter Energy GRH announced today that the Company has transferred 100% of its common stock ownership interest in GreenHunter BioFuels, Inc. to an irrevocable trust for the benefit of the holders of the Series A Debentures and their respective successors, assigns, heirs and devisees in full and final satisfaction of any obligation the Company might have to the holders of the Series A Debentures, based on the terms and conditions of the debenture agreements. In late 2007 and early 2008, GreenHunter Energy, Inc. had issued to certain accredited investors nonrecourse 10% Series A Secured Redeemable Debentures due 2012 that were secured solely by all of the Company's common stock in its wholly owned Texas subsidiary, BioFuels. The trustee of the trust is Jack C. Myers, Esq.