Note 16. Subsequent Events

On August 2, 2023, Paul Rosenberg elected to convert 275,000 shares of Series B Preferred Stock into 2,750,000 shares of common stock. On August 2, 2023, Epic elected to convert 125,000 shares of Series B Preferred Stock into 1,250,000 shares of common stock. On August 2, 2023, the Company officially retired the following class of stock: Series B Preferred.

On August 15, 2023, Epic, with the approval of the board, purchased Mercury’s building for $480,000. Mercury used $461,000 of the proceeds from the sale to payoff both Mercury's line of credit and term loan, which were in default. After paying off the notes and closing costs, Mercury was left with $11,000 for general corporate purposes.

On September 3, 2023, the Company changed the name of 832 Energy Technology Consultants, LLC to DataStone, Inc., by incorporating as a Florida corporation. On September 3, 2023, the Company also changed the name of Vengar Technologies LLC to Vengar Technologies, Inc., by incorporating as a Florida corporation.

On September 7, 2023, Epic formalized the loans to the Company in a note. As of July 31, 2023, the outstanding balance was $0.7 million. Subsequent to July 31, 2023, Epic has provided funding and plans to provide additional funding to equal a total note principal of $1.0 million. Monthly interest only payments at an annual rate of 4% will be made through the maturity date of February 1, 2025.