Exhibit 10.7


 





	
 

                                                                                 
	
         

        U.S. Small Business Administration

         

        NOTE

         

        (SECURED
        DISASTER LOANS)
	
         

        Date: 06.16.2020

         

        Loan Amount: $150,000.00

         

        Annual Interest Rate: 3.75%



 


	SBA Loan # 6781797900	Application #3303511283




 


		1.	PROMISE TO PAY: In return for a loan, Borrower promises to pay to the order of SBA the
amount of one hundred and fifty thousand and 00/100 Dollars ($150,000.00), interest on the unpaid principal balance,
and all other amounts required by this Note.



 


		2.	DEFINITIONS: A) “Collateral”
means any property taken as security for payment of this Note or any guarantee of this Note. B)
“Guarantor” means each person or entity
that signs a guarantee of payment of this Note. C) “Loan Documents”
means the documents related to this loan signed by Borrower, any Guarantor, or anyone who pledges
collateral.



 


		3.	PAYMENT TERMS: Borrower must make all payments at the place SBA designates. Borrower may
prepay this Note in part or in full at any time, without notice or penalty. Borrower must pay principal and interest payments of
$731.00 every month beginning Twelve (12) months from the date of the Note. SBA will
apply each installment payment first to pay interest accrued to the day SBA receives the payment and will then apply any remaining
balance to reduce principal. All remaining principal and accrued interest is due and payable Thirty (30) years from
the date of the Note.



 


		4.	DEFAULT: Borrower is in default under this Note if Borrower
does not make a payment when due under this Note, or if Borrower: A) Fails to comply with any provision of this Note, the
Loan Authorization and Agreement, or other Loan Documents; B) Defaults on any other SBA loan; C) Sells or otherwise
transfers, or does not preserve or account to SBA’s satisfaction for, any of the Collateral
or its proceeds; D) Does not disclose, or anyone acting on their behalf does not disclose, any material fact to SBA; E)
Makes, or anyone acting on their behalf makes, a materially false or misleading representation to SBA; F) Defaults on
any loan or agreement with another creditor, if SBA believes the default may materially affect Borrower’s
ability to pay this Note; G) Fails to pay any taxes when due; H) Becomes the subject of a proceeding under any bankruptcy
or insolvency law; I) Has a receiver or liquidator appointed for any part of their business or property; J) Makes
an assignment for the benefit of creditors; K) Has any adverse change in financial condition or business operation that
SBA believes may materially affect Borrower’s ability to pay this Note; L) Dies;
M) Reorganizes, merges, consolidates, or otherwise changes ownership or business structure without SBA’s
prior written consent; or, N) Becomes the subject of a civil or criminal action that SBA believes may materially affect
Borrower’s ability to pay this Note.



 


		5.	SBA’S RIGHTS IF THERE IS A DEFAULT: Without notice or demand and without giving up
any of its rights, SBA may: A) Require immediate payment of all amounts owing under this Note; B) Have recourse to
collect all amounts owing from any Borrower or Guarantor (if any); C) File suit and obtain judgment; D) Take possession
of any Collateral; or E) Sell, lease, or otherwise dispose of, any Collateral at public or private sale, with or without
advertisement.



 


 


 


 






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	SBA Loan # 6781797900	Application #3303511283






 


		6.	SBA’S GENERAL POWERS: Without notice and without Borrower’s
consent, SBA may: A) Bid on or buy the Collateral at its sale or the sale of another lienholder, at any price it chooses;
B) Collect amounts due under this Note, enforce the terms of this Note or any other Loan Document, and preserve or dispose
of the Collateral. Among other things, the expenses may include payments for property taxes, prior liens, insurance, appraisals,
environmental remediation costs, and reasonable attorney’s fees and costs. If SBA incurs
such expenses, it may demand immediate reimbursement from Borrower or add the expenses to the principal balance; C) Release
anyone obligated to pay this Note; D) Compromise, release, renew, extend or substitute any of the Collateral; and E)
Take any action necessary to protect the Collateral or collect amounts owing on this Note.



 


		7.	FEDERAL LAW APPLIES: When SBA is the holder, this Note will be interpreted and enforced
under federal law, including SBA regulations. SBA may use state or local procedures for filing papers, recording documents, giving
notice, foreclosing liens, and other purposes. By using such procedures, SBA does not waive any federal immunity from state or
local control, penalty, tax, or liability. As to this Note, Borrower may not claim or assert against SBA any local or state law
to deny any obligation, defeat any claim of SBA, or preempt federal law.



 


		8.	GENERAL PROVISIONS: A) All individuals and entities signing this Note are jointly and severally
liable. B) Borrower waives all suretyship defenses. C) Borrower must sign all documents required at any time to comply
with the Loan Documents and to enable SBA to acquire, perfect, or maintain SBA’s liens on Collateral. D) SBA may exercise
any of its rights separately or together, as many times and in any order it chooses. SBA may delay or forgo enforcing any of its
rights without giving up any of them. E) Borrower may not use an oral statement of SBA to contradict or alter the written
terms of this Note. F) If any part of this Note is unenforceable, all other parts remain in effect. G) To the extent
allowed by law, Borrower waives all demands and notices in connection with this Note, including presentment, demand, protest, and
notice of dishonor. Borrower also waives any defenses based upon any claim that SBA did not obtain any guarantee; did not obtain,
perfect, or maintain a lien upon Collateral; impaired Collateral; or did not obtain the fair market value of Collateral at a sale.
H) SBA may sell or otherwise transfer this Note.



 


		9.	MISUSE OF LOAN FUNDS: Anyone who wrongfully misapplies any proceeds of the loan will be
civilly liable to SBA for one and one- half times the proceeds disbursed, in addition to other remedies allowed by law.



 


		10.	BORROWER’S NAME(S) AND SIGNATURE(S): By signing below, each individual or entity
acknowledges and accepts personal obligation and full liability under the Note as Borrower.



 


Black Ridge Oil & Gas, Inc





 


/s/ Kenneth DeCubellis                                           


Kenneth DeCubellis, Owner/Officer


 


 


 


 


 



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	SBA Loan # 6781797900	Application #3303511283






 


SECURITY AGREEMENT


 


Read
this document carefully. It grants the SBA a security interest (lien) in all the property described in paragraph 4.


 


This document
is predated. DO NOT CHANGE THE DATE ON THIS DOCUMENT.


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 






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