Omagine, Inc. Receives Written Notice from EMA Financial, LLC with Respect to the Default of Convertible Promissory Note
February 05, 2018 at 04:30 pm EST
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On January 30, 2018, Omagine, Inc. received written notice (notice) from EMA Financial, LLC (EMA or the lender) that an event of default had occurred with respect to the Convertible Promissory Note issued by the company in favor of EMA on September 28, 2017 (the note). The lender advised the company that the default occurred because of, among other things, the failure to reserve a sufficient number of shares of the company’s $0.001 par value common stock for possible future issuance to the lender, and for the breach of representations and warranties under the note. As of the notice date, considering default penalties, 24% accrued interest and application of a default calculation, the alleged outstanding balance of the note as calculated by EMA is $1,868,313. The company does not agree with such outstanding balance as calculated by EMA. EMA has demanded full payment from the company and reserves all rights and remedies available to it under the note and related transaction documents.
Omagine, Inc. (Omagine) is a holding company. The Company is focused on entertainment, hospitality and real estate development opportunities in the Middle East and North Africa (the MENA Region), and on the design and development of tourism destinations. The Company conducts its operations through its subsidiary, Omagine LLC, an Omani limited liability corporation (LLC) and its subsidiary, Journey of Light, Inc. (JOL). Omagine organized Omagine LLC to design, develop, own and operate its initial project, a mixed-use tourism and real estate project named the Omagine Project. The Omagine Project is being developed on one million square meters (equal to 100 hectares or approximately 245 acres) of beachfront land facing the Gulf of Oman, west of Oman's capital city of Muscat and approximately six miles from Muscat International Airport.