NOTES RECEIVABLE

9 Months Ended

Sep. 30, 2025

NOTES RECEIVABLE

NOTES RECEIVABLE

NOTE 5 – NOTES RECEIVABLE

Notes receivable as of September 30, 2025 and December 31, 2024 consisted of the following:

	September 30, 2025		December 31, 2024
American Resources Corporation	$	-	$	43,422
McCoy Elkhorn Coal LLC		99,375		-
Perry County Resources LLC		95,000		-
T. R. Mining & Equipment Ltd.		68,530		50,000
Total Notes Receivable	$	262,905	$	93,422

American Resources Corporation

On July 31, 2022, the Company purchased certain payments that are owed to Texas Tech University (“TTU”) from American Resources Corporation for the agreement to participate in sponsored research services performed by TTU and agreed to assume responsibility for those payments. The payments that were due to TTU amounted to $100,000 and the Company has since paid $56,578 of that amount so far on behalf of American Resources Corporation. A note payable between the Company and American Resources Corporation was created to reflect the assumption by the Company of these payments and the note pays interest of 7.0% interest rate, compounded quarterly. The note originally matured on July 31, 2024, but was extended on July 30, 2024 to mature on July 31, 2026. There are no collateral or guarantees. The operator of the technology is a related entity and is described more in Note 11.

McCoy Elkhorn Coal LLC

On January 1, 2025, the Company and McCoy Elkhorn Coal LLC agreed to convert certain accrued fees due from McCoy Elkhorn Coal to the Company under a Promissory Note and Overriding Royalty Agreement to a promissory note with a principal amount of $50,662. The promissory note holds a 0% interest rate for the first 12 months, and then thereafter the interest rate is fixed at an annual 4.26% for the remainder of the term, which matures on January 1, 2027. The note has one balloon payment due at the end of the note term.

On January 1, 2025, the Company and McCoy Elkhorn Coal LLC agreed to convert certain accrued fees due from McCoy Elkhorn Coal to the Company under a General Indemnity and Supplemental Fee Agreement to a promissory note with a principal amount of $48,714. The promissory note holds a 9.39% annual interest rate and matures on January 1, 2027. The note has one balloon payment due at the end of the note term.

Perry County Resources LLC

On January 1, 2025, the Company and Perry County Resources LLC agreed to convert certain accrued fees due from Perry County Resources to the Company under a Sales Agreement to a promissory note with a principal amount of $95,000. The promissory note holds a 0% interest rate for the first 12 months, and then thereafter the interest rate is fixed at annual 4.26% for the remainder of the term, which matures on January 1, 2027. The note has one balloon payment due at the end of the note term.

T. R. Mining & Equipment Ltd.

On February 2, 2024 and February 29, 2024, April 4, 2024, May 7, 2024, and June 14, 2024, the Company invested the amount of $10,000 each into T.R. Mining & Equipment Ltd. in the form of Promissory Notes and a royalty payable to the Company on all products and materials sold from the permit over the life of the permitted resource. On February 10, 2025 an additional $3,500 was invested. On April 16, 2025, an additional $15,030 was invested. The Promissory Notes hold a 10.0% annual interest rate, compounded monthly, and matures on December 31, 2025. The Royalty Agreement provides the Company with a perpetual royalty of 10.0% of all sales of ores that are mined and sold from the permitted resource. The operator is a related entity and is described more in Note 11.