Foothills Exploration, Inc. announced that it has entered into an agreement for private placement of a convertible promissory note for gross proceeds of $390,000 in a round of funding from an unaffiliated investor in January, 2023. The note is associated with warrant and stock purchase agreement all dated February 22, 2022. The agreement includes a mutually agreed-to payment schedule for the next 12 months and prevents from converting any sums due pursuant to the note or to effectuate any exercise of the warrant into common stock for 12 months.

The associated warrant will also be extinguished in its entirety for no additional consideration on the date that the note is repaid in full.