NOTES PAYABLE |
12 Months Ended |
|---|---|
Dec. 31, 2025 | |
| Debt Disclosure [Abstract] | |
| Debt Disclosure [Text Block] | NOTE 15 – Notes Payable
Walou Note
On February 7, 2024, the board of directors of the Company approved a related-party debt facility of up to $3 million. On February 9, 2024, the Company entered into a Secured Term Loan Note with Walou Investments, LP, a Texas limited partnership under the control of Johnny Jordan, the Company’s Chief Executive Officer and a member of the Company’s board of directors. Mr. Jordan is also the beneficial owner of approximately 29.2% of the Company’s issued and outstanding common stock. The initial advance to the Company was $1,400,000 on February 9, 2024.
The loan originally bore interest at 18.0% per annum, with monthly interest-only payments beginning March 1, 2024. The loan is secured by a deed of trust recorded in Ector County, Texas, covering certain of the Company’s oil and gas assets located in Ector County.
On November 1, 2024, the maturity date of the loan was extended from August 1, 2025 to January 1, 2026. Subsequently, on August 29, 2025, the loan was further extended to April 1, 2027, and the Company executed an additional advance of $500,000 on the loan, increasing the total outstanding principal balance to $1,900,000. Effective September 1, 2025, the interest rate on the outstanding principal was reduced from 18.0% to 15.0% per annum.
Except as modified by the amendments described above, all other original terms and conditions of the Secured Term Loan Note remain in full force and effect at December 31, 2025.
Senior Unsecured Promissory Notes
On December 31, 2025 the outstanding balance of the Senior Unsecured Promissory Notes was $2,221,112 and is further discussed in Note 14 – Debt and Equity Restructuring Transaction. The carrying value and fair value is further discussed in note 1. |