Item 5.02. Departure of Directors or Certain Officers; Election of Directors;
Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.

As reported on a Current Report on Form 8-K filed with the Securities and Exchange Commission on October 29, 2008 (the "Original 8-K") by Cano Petroleum, Inc. (the "Company"), Gerald Haddock resigned as a member of the Board of Directors on October 23, 2008. The Original 8-K included an October 29, 2008 letter from the Board of Directors of the Company to Mr. Haddock in response to Mr. Haddock's October 23, 2008 resignation letter. In a letter dated November 7, 2008, Mr. Haddock responded to the October 29, 2008 letter. A copy of Mr. Haddock's November 7, 2008 letter is attached hereto as Exhibit 17.1 and is incorporated herein by reference.

Item 9.01. Financial Statements and Exhibits.

(d) Exhibits

17.1 Response Letter of Gerald Haddock, dated November 7, 2008.

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