v3.25.2
Related Parties
 6 Months Ended
Jun. 30, 2025
Related Parties [Abstract]  
Related Parties

6. Related Parties

 

As part of its normal operations, the Company conducts financing through its largest shareholder, GPR. The details of the related party balances are disclosed as part of Note 5. 

 

Granite Peak Resources, LLC

 

On March 16, 2020, the Company entered into a  LOC agreement with GPR. GPR is a related party by virtue of its majority ownership of the Company’s common stock. Under the LOC, GPR has also paid expenses directly on behalf of the Company to support its operations.

During 2019 and 2021, GPR acquired several outstanding debt instruments and judgments originally held by third parties, including:

 

●The Tina Gregerson Promissory Note,

 

●The Peter Krupp Promissory Note,

 

●The Pure Path Capital Senior Secured Convertible Promissory Note, and

 

●The Stephen E. Flechner Judgment.

 

On January 5, 2023, and June 12, 2023, the Company entered into the Second and Third Amendments, respectively, to the LOC with GPR. These amendments formally consolidated the above obligations into the LOC, which was subsequently converted into equity.

 

On August 2, 2023, and August 15, 2023, GPR converted a total of $10,219,551 of principal and accrued interest under the LOC into 10,244,230 shares of restricted common stock at a conversion price of $1.05 per share, pursuant to the terms of the Third Amendment. As a result of these conversions, GPR became the majority owner, holding approximately 73% of the Company’s outstanding common stock as of June 30, 2025.

 

During the six months ended June 30, 2025, the Company recorded:

 

●$0 in non-cash borrowings for expenses paid directly by GPR, and

 

●$511,492 in proceeds from convertible notes – related party.

 

These amounts were added to the LOC principal balance.

 

Sustainable Metals Solutions, LLC

 

On January 10, 2022, the Company entered into a definitive agreement to acquire a controlling interest in Sustainable Metals Solutions, LLC (“SMS”), a company majority-owned by GPR. SMS is an environmental development platform focused on producing carbon-neutral precious metals and minerals. The purchase price for the controlling interest will be determined based on the Company’s common stock price on the closing date, which will be mutually agreed upon once all closing conditions are satisfied. Additional details are provided in Note 8 – Commitments and Contingencies.

 

Launch IT, LLC

 

On September 13, 2023, the Company acquired a 100% interest in SWIS, L.L.C. (“SWIS”) by assuming certain liabilities and issuing 1,500,000 shares of restricted common stock to its former owner, Launch IT, LLC. As a result of the transaction, Launch IT, LLC became a significant shareholder, holding over 10% of the Company’s outstanding common stock as of June 30, 2025.

 

In connection with the acquisition, the Company retained AJ Miller and Chris Laveson, both former owners of Launch IT, LLC, to continue supporting the SWIS business. AJ Miller is an officer and Chris Laveson is a manager of SWIS subsidiary following the acquisition and both hold 500,000 shares each of restricted common stock of the Company.

 

The following table summarizes the amounts related to these parties that were included in accounts payable – related party, expenses incurred, and cash paid during the periods ended June 30, 2025 and December 31, 2024:

 

As of and for the period ending June 30, 2025
Related Party  Included in Accounts Payable - Related Party   Expense incurred   Amount paid 
Launch IT, LLC  $116,458   $
         -
   $
         -
 
Gazellig LLC - AJ Miller   34,400    
-
    
-
 
Chris Lavenson   40,000    
-
    
-
 
   $190,858   $
-
   $
-
 

 

As of and for the Year Ending December 31, 2024
Related Party  Included in Accounts Payable - Related Party   Expenses incurred   Amount paid 
Launch IT, LLC  $116,458   $
-
   $23,504 
AJ Miller   34,400    15,000    20,600 
Chris Lavenson   40,000    15,000    15,000 
   $190,858   $30,000   $59,104