RELATED PARTY TRANSACTIONS

6 Months Ended

Jun. 30, 2019

NOTE 5 – RELATED PARTY TRANSACTIONS

On May 2, 2018, the Company issued to each of its three directors, 10,000,000 shares of restricted common stock, vesting as to 1/3 of the grant immediately, 1/3 of the grant on the one-year anniversary of the grant date and 1/3 of the grant on the two-year anniversary of the grant date. The value of the stock has been debited to prepaid stock compensation and will be amortized over the vesting period. As of June 30, 2019, and December 31, 2018, there is $83,333 and $133,333 of prepaid stock compensation, respectively.

The restricted stock granted and exercisable at June 30, 2019 is as follows:


	Restricted Stock Granted			Restricted Stock Vested
		Weighted			Weighted
	Number	average exercise		Number	average exercise
Grant date price	granted	price		vested	price

$0.01	30,000,000	$	0.01	20,000,000	$	0.01

The Company recorded an expense of $25,000 and $50,000 for the three and six months ended June 30, 2019, respectively, related to the restricted stock granted to the directors.

As of June 30, 2019 and December 31, 2018, $137,500 and $5,890, respectively, is owed to the three directors of the Company for director fees and various advances for services provided in the normal course of business. All amounts due are unsecured, non-interest bearing and due on demand.

On December 31, 2018, the Company executed a promissory note with John Huemoeller, Chairman, for $5,000. The promissory note is unsecured, bears interest at 5% and is due on or before December 31, 2019.

PLEDGE PETROLEUM CORP 10-Q