Well, I have proof from two different websites that there was a 3rd season of Toad Patrol tht began production, however it's a high possibility that the early plans of production have been scrapped due to the unfortunate passing of Long John Baldry, the voice of Mistle Toad. The Wikipedia entry for Toad Patrol, as bad as it may be, also voices this thought. I'm trying to get a hold of ESP through email, but as we all know, this is probably a lost cause. I do however plan to contact Funbag with an inquiry, but I doubt they'll be able to release the information, as news of new episodes of any show are usually kept quiet until press conferences, plus the copyrights are owned by ESP. I guess all we can do is cross our fingers and hope for the best...
Links to proof of 3rd season:
Wikipedia - http://en.wikipedia.org/wiki/Toad_Patrol
Trade Marketplace LLC - http://www.trademarketplace.com/pages/6/