Gamma-ray burst (GRB) 050904 is the most distant X-ray source known, at, comparable to the farthest AGNs and galaxies. Its X- ray flux decays, but not as a power law; it is dominated by large variability from a few minutes to at least half a day. The spectra soften from a power law with photon index G p and are well fit by an absorbed power law with possible evidence of large intrinsic absorption. There is 1.2-1.9 no evidence for discrete features, in spite of the high signal-to-noise ratio. In the days after the burst, GRB 050904 was by far the brightest known X-ray source at. In the first minutes after the burst, the flux was z 1 4 > 10(-9) ergs cm-(2) s(-1) in the 0.2-10 keV band, corresponding to an apparent luminosity > 10(5) times larger than the brightest AGNs at these distances. More photons were acquired in a few minutes with Swift XRT than XMM-Newton and Chandra obtained in similar to 300 ks of pointed observations of AGNs. This observation is a clear z 1 5 demonstration of concept for efficient X-ray studies of the high-z IGM with large-area, high-resolution X-ray detectors and shows that early-phase GRBs are the only backlighting bright enough for X-ray absorption studies of the IGM at high redshift.