**Washington,      D. C. 20549**
** **

| Nevada                                                                        | 98-0422451                                          |
|-------------------------------------------------------------------------------|-----------------------------------------------------|
| (State                or other jurisdiction of incorporation or organization) | (I.R.S.                Employer Identification No.) |

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**Explanatory      Note**

| **PART                I - FINANCIAL INFORMATION** |
|---------------------------------------------------|
|                                              |   |   | Page |
|                                              |   |   |   |
| Item                4.                            |   | Controls                and Procedures | 1 |
|                                              |   |   |   |
| **PART                II - OTHER INFORMATION**    |
|                                              |   |   |   |
| Item                6.                       |   | Exhibits | 2 |
|                                              |   |   |   |
| **SIGNATURES**                                    | 4 |

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**PART      I - FINANCIAL INFORMATION**

**Item      4.**
**Controls      and Procedures.**

**Disclosure      Controls and Procedures**

** **
**Changes      in Internal Control over Financial Reporting**

| 1.   | The                appointment of four new independent                directors; |
|----------------|----------------------------------------------------------------------------------|

| 2.   | The                establishment of an Audit                Committee; |
|----------------|------------------------------------------------------------------------|

| 3.   | The                establishment of a Compensation                Committee; |
|----------------|------------------------------------------------------------------------------|

| 4.   | The                establishment of a Nominating and Corporate Governance                Committee; |
|----------------|-----------------------------------------------------------------------------------------------------|

| 5.   | The                adoption of an updated Code of Business Conduct and Ethics;                and |
|----------------|---------------------------------------------------------------------------------------------------|

| 6.   | The                adoption of an Insider Trading                Policy. |
|----------------|--------------------------------------------------------------------------|

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**PART      II - OTHER INFORMATION**

**Item      6. Exhibits.**

| **Exhibit** |   | **Description**                                                                                                                                                                                                                    |
|-------------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 3.1         |   | Amended                and Restated Articles of Incorporation (17)                                                                                                                                                                 |
| 3.4         |   | Amended                and Restated Bylaws (2)                                                                                                                                                                                     |
| 4.1         |   | Form                of Stock Certificate for Fully Paid, Non-Assessable Common Stock                of the                Company (1)                                                                                              |
| 4.2         |   | Form                of Unit Purchase Agreement (2)                                                                                                                                                                                 |
| 4.3         |   | Form                of Warrant Certificate (2)                                                                                                                                                                                     |
| 4.4         |   | Form                of Registration Rights Agreement, dated December 21, 2006                (3)                                                                                                                              |
| 4.5         |   | Form                of Warrant to Purchase Common Stock (3)                                                                                                                                                                        |
| 10.1        |   | Burke                Ranch Unit Purchase and Participation Agreement between Hot Springs                Resources Ltd. and PIN Petroleum Partners Ltd., dated February 6,                2006                (4)              |
| 10.2        |   | Employment                Agreement between John Works and Rancher Energy Corp., dated June 1,                2006 (5)                                                                                                        |
| 10.3        |   | Assignment                Agreement between PIN Petroleum Partners Ltd. and Rancher Energy                Corp.,                dated June 6, 2006 (5)                                                                        |
| 10.4        |   | Loan                Agreement between Enerex Capital, Corp. and Rancher Energy Corp.,                dated                June 6, 2006 (5)                                                                                    |
| 10.5        |   | Letter                Agreement between NITEC LLC and Rancher Energy Corp., dated June 7,                2006 (5)                                                                                                             |
| 10.6        |   | Loan                Agreement between Venture Capital First LLC and Rancher Energy Corp.,                dated June 9, 2006 (6)                                                                                               |
| 10.7        |   | Exploration                and Development Agreement between Big Snowy Resources, LP and Rancher                Energy Corp., dated June 15, 2006 (5)                                                                         |
| 10.8        |   | Assignment                Agreement between PIN Petroleum Partners Ltd. and Rancher Energy                Corp.,                dated June 21, 2006 (5)                                                                       |
| 10.9        |   | Purchase                and Sale Agreement between Wyoming Mineral Exploration, LLC and Rancher                Energy Corp., dated August 10, 2006 (4)                                                                        |
| 10.10       |   | South                Glenrock and South Cole Creek Purchase and Sale Agreement by and                between                Nielson & Associates, Inc. and Rancher Energy Corp., dated                October 1, 2006 (7) |
| 10.11       |   | Rancher                Energy Corp. 2006 Stock Incentive Plan                (7)                                                                                                                                                   |
| 10.12       |   | Rancher                Energy Corp. 2006 Stock Incentive Plan Form of Option Agreement                (7)                                                                                                                          |
| 10.13       |   | Employment                Agreement by and between John Dobitz and Rancher Energy Corp., dated                October 2, 2006 (7)                                                                                             |
| 10.14       |   | Denver                Place Office Lease between Rancher Energy Corp. and Denver Place                Associates Limited Partnership, dated October 30, 2006 (8)                                                              |
| 10.15       |   | Employment                Agreement between Andrew Casazza and Rancher Energy Corp., dated                October 23, 2006 (9)                                                                                                |
| 10.16       |   | Finder’s                Fee Agreement between Falcon Capital and Rancher Energy Corp. (10)                                                                                                                                   |
| 10.17       |   | Amendment                to Purchase and Sale Agreement between Wyoming Mineral Exploration,                LLC                and Rancher Energy Corp. (11)                                                                       |
| 10.18       |   | Letter                Agreement between Certain Unit Holders and Rancher Energy Corp.,                dated                December 8, 2006 (2)                                                                               |
| 10.19       |   | Letter                Agreement between Certain Option Holders and Rancher Energy Corp.,                dated                December 13, 2006                (2)                                                             |
| 10.20       |   | Product                Sale and Purchase Contract by and between Rancher Energy Corp. and                the                Anadarko Petroleum Corporation, dated December 15, 2006 (12)                                      |
| 10.21       |   | Amendment                to Purchase and Sale Agreement between Nielson & Associates, Inc. and                Rancher Energy Corp. (13)                                                                                        |
| 10.22       |   | Securities                Purchase Agreement by and among Rancher Energy Corp. and the Buyers                identified therein, dated December 21, 2006 (3)                                                             |
| 10.23       |   | Lock-Up                Agreement between Rancher Energy Corp. and Stockholders identified                therein, dated December 21, 2006 (3)                                                                                 |
| 10.24       |   | Voting                Agreement between Rancher Energy Corp. and Stockholders identified                therein, dated as of December 13, 2006 (3)                                                                            |
| 10.25       |   | Form                of Convertible Note (14)                                                                                                                                                                                       |
| 10.26       |   | Employment                Agreement between Daniel Foley and Rancher Energy Corp., dated                January 12, 2007 (15)                                                                                                 |
| 10.27       |   | First                Amendment to Securities Purchase Agreement by and among Rancher Energy                Corp. and the Buyers identified therein, dated as of January 18, 2007                (16)                          |
| 10.28       |   | Rancher                Energy Corp. 2006 Stock Incentive Plan Form of Restricted Stock Agreement                (19)                                                                                                               |
| 10.29       |   | First                Amendment to Employment Agreement by and between John Works and Rancher                Energy Corp., dated March 14, 2007 (18)                                                                                |
| 10.30       |   | Employment                Agreement between Richard Kurtenbach and Rancher Energy Corp., dated                August 3, 2007(20)                                                                                                   |
| 31.1        |   | Certification                Pursuant to Rule 13a-14(a)/15d-14(a) (Chief Executive Officer)                (21)                                                                                                                    |
| 31.2        |   | Certification                Pursuant to Rule 13a-14(a)/15d-14(a) (Chief Financial Officer)                (21)                                                                                                                    |
| 32.1        |   | Certification                pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section                906 of                the Sarbanes-Oxley Act of 2002 (21)                                                           |

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| (1)   | Incorporated                by reference from our Form SB-2 Registration Statement filed on                June 9, 2004 (File No.                333-116307). |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (2)   | Incorporated                by reference from our Current Report on Form 8-K filed on                December 18, 2006 (File No.                000-51425). |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (3)   | Incorporated                by reference from our Current Report on Form 8-K filed on                December 27, 2006 (File No.                000-51425). |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (4)   | Incorporated                by reference from our Quarterly Report on Form 10-Q/A filed on                August 28, 2006 (File No.                000-51425). |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (5)   | Incorporated                by reference from our Annual Report on Form 10-K filed on June 30,                2006 (File No. 000-51425). |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------|

| (6)   | Incorporated                by reference from our Current Report on Form 8-K filed on June 21,                2006 (File No. 000-51425). |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------|

| (7)   | Incorporated                by reference from our Current Report on Form 8-K filed on October 6,                2006 (File No. 000-51425). |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------|

| (8)   | Incorporated                by reference from our Current Report on Form 8-K filed on November 9,                2006 (File No. 000-51425). |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------|

| (9)   | Incorporated                by reference from our Current Report on Form 8-K filed on                November 14, 2006 (File No.                000-51425). |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (10)   | Incorporated                by reference from our Current Report on Form 8-K/A filed on                November 14, 2006 (File No.                000-51425). |
|------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (11)   | Incorporated                by reference from our Current Report on Form 8-K filed on December 4,                2006 (File No. 000-51425). |
|------------------|--------------------------------------------------------------------------------------------------------------------------------------------------|

| (12)   | Incorporated                by reference from our Current Report on Form 8-K filed on                December 22, 2006 (File No.                000-51425). |
|------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (13)   | Incorporated                by reference from our Current Report on Form 8-K filed on                December 27, 2006 (File No.                000-51425). |
|------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (14)   | Incorporated                by reference from our Current Report on Form 8-K filed on January 8,                2007 (File No. 000-51425). |
|------------------|-------------------------------------------------------------------------------------------------------------------------------------------------|

| (15)   | Incorporated                by reference from our Current Report on Form 8-K filed on January 16,                2007 (File No. 000-51425). |
|------------------|--------------------------------------------------------------------------------------------------------------------------------------------------|

| (16)   | Incorporated                by reference from our Current Report on Form 8-K filed on January 25,                2007 (File No. 000-51425). |
|------------------|--------------------------------------------------------------------------------------------------------------------------------------------------|

| (17)   | Incorporated                by reference from our Current Report on Form 8-K filed on April 3,                2007 (File No. 000-51425). |
|------------------|-----------------------------------------------------------------------------------------------------------------------------------------------|

| (18)   | Incorporated                by reference from our Current Report on Form 8-K filed on March 20,                2007 (File No. 000-51425). |
|------------------|------------------------------------------------------------------------------------------------------------------------------------------------|

| (19)   | Incorporated                by reference from our Annual Report on Form 10-K filed on June 29,                2007 (File No. 000-51425). |
|------------------|-----------------------------------------------------------------------------------------------------------------------------------------------|

| (20)   | Incorporated                by reference from our Current Report on Form 8-K filed on August                7, 2007                (File No. 000-51425 |
|------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------|

| (21)   | Filed                herewith. |
|------------------|--------------------------------|

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**SIGNATURES**

|                                           |   | **RANCHER                ENERGY CORP.**                                                                            |
|------------------------------------------------|--------|--------------------------------------------------------------------------------------------------------------------|
|                                           |   | (Registrant)                                                                                                       |
|                                           |   |                                                                                                               |
| Dated:                  September 7, 2007 | By:    | /s/                John Works                                                                                      |
|                                           |   | John                Works                                                                                          |
|                                           |   | President,                Chief Executive Officer, Chief Financial Officer, Secretary and                Treasurer |

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