RELATED PARTY TRANSACTIONS |
6 Months Ended |
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Jun. 30, 2026 | |
| Related Party Transactions [Abstract] | |
| RELATED PARTY TRANSACTIONS | NOTE 4 – RELATED PARTY TRANSACTIONS
Prior to 2025 we borrowed $1,000,000 from Xten Capital Group, a common control entity and affiliate of Alexander Chong, the Company’s principal shareholder and Chief Executive Officer. In the first half of 2026 we repaid $50,000. In the first half of 2025 we repaid $50,000 and an additional $50,000 later in 2025. The balance of the loan on June 30, 2026, is $850,000. The loan agreement allows the Company to borrow up to $1,000,000 on an as needed basis. The loan is unsecured, non-interest bearing and due upon demand.
In the first half of 2026, CQENS Electronics (Hong Kong) Limited (“CEL”), a subsidiary of CQENS, borrowed $503 from Ann Liu, CEL’s managing director, while in the first half of 2025, CEL borrowed $59,924. The loan is for operations and is unsecured, non-interest bearing and due on demand. The loan balance due to Ann Liu at June 30, 2026 is $79,220.
In the first six months of 2026 we borrowed $140,257 from Asahi Corporation Limited a common control entity of Ann Liu, and our joint venture partner of CEL. There was no borrowing in the first six months of 2025. The balance due to Asahi at June 30, 2026 is $197,124. The loan is unsecured, non-interest bearing and due on demand.
In October 2025 we established operations in Shenzhen, China, organizing Shenzhen CQENS Technology Company Limited (“Shenzhen CQENS”) and in doing so we borrowed money from two individuals related to this start-up, Zhang Tianyang and Liu Xinjie. In the first half of 2026 we borrowed $88,314 from Mr. Zhang to fund operations. The balance owed to Mr. Zhang at June 30, 2026 is $306,765. The balance owed to Mr. Liu at June 30, 2026 is $7,828. The loans are unsecured, non-interest bearing and due on demand. Mr. Zhang is a consultant for CQENS. Mr. Liu is the office manager of Shenzhen CQENS.
We engaged Plexus International and its subsidiary, Apparatus Global Solutions (Plexus), a common control entity owned by Alexander Chong, our CEO, to provide project management services, accounting support services and consulting services to assist in creating and implementing our Quality Management System (QMS). In the first half of 2026 the fees from Plexus were $40,304 while the fees and expenses in the first half of 2025 were $95,437.
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