Company: OKMN
Filing Date: 2025-09-29
Form Type: 10-K
Source: 0001079973-25-001512
Chunk: 345

Company: OKMIN RESOURCES, INC.
Filing Date: 2025-09-29
Form: 10-K
Item: Item 10
Chunk 345
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5, the
loan had an outstanding balance of $131,135 and unpaid interest was $63,956 payable on the convertible loan with repayments revised in
accordance with the lender at a minimum of $2,000 monthly. The principal amount of the loan is secured by a lien on the Vitt Lease. In
the related security agreement, the Company has agreed to remit the first $125,000 in net revenue received from its interest in the Pushmataha
Gas Field toward the payment and performance of the note.

On January 3, 2023, the convertible loan agreement
was amended to limit the Investor’s ability to convert the loan to only that portion of the outstanding loan amount that would result
in the Investor being the beneficial owner of not more than 9.99% of the Company’s class of common stock. In the quarter ended September
30, 2023, the Company, in agreement with the Investor, temporarily suspended monthly repayments. The loan continued to accrue interest
during this period. 

The Company has determined that the loan is accounted
for as a liability and not equity as repayment is being made in cash pursuant to the repayment schedule, and no conversion of any of the
principal or interest into common shares has been made. Management assessed there is no embedded derivative and therefore no need for
the bifurcation of proceeds at initial recognition.

13.        SUBSEQUENT EVENTS

a)In August 2025, the Company agreed to exchange its 50% working interest in the oil and gas leases known
as the Blackrock Joint Venture for $25,000 cash and an additional 45% interest in the Pushmataha Gas Field. The additional interest in
Pushmataha increases Okmin’s ownership of the project from 50% to 95%.

b)In September 2025, the Company issued 173,090 common shares at a deemed price of $0.06 per share to Sierra
Land Resources pursuant to its ongoing services agreement at a deemed value of $10,385.

c)In September 2025, the Company reached an agreement with the holder of the Company’s convertible
debt to convert all the principal and interest outstanding as of June 30, 3035 into common shares of the Company at a price of $0.03 per
share. As of June 30, 2025, the remaining principal was $131,135 and unpaid interest was $63,956