CEI Camber Energy Inc

Item 1.01. Entry into a Material Definitive Agreement. 

On or about December 9, 2021, Camber Energy, Inc. (“Camber”) received $1,000,000 from an investor (the “Investor”), and in connection therewith executed and delivered the following in favor of the Investor: (i) a promissory note dated on or about December 8, 2021 in the principal amount of $1,052,631.58, representing a 5% original issue discount (the “Investor Note”), accruing interest at the rate of 10% per annum and maturing March 8, 2022; (ii) a Security Agreement-Pledge (the “Pledge Agreement”) granting the Investor a first-priority security interest in Camber’s common shares of Viking Energy Group, Inc.; and (iii) a general security agreement (the “Security Agreement”) granting the Investor a first-priority security interest in Camber’s other assets. The Investor may convert amounts owing under the Investor Note into shares of common stock of Camber at a fixed price of $1.25 per share, subject to beneficial ownership limitations. The Company has other outstanding loans with the Investor in the aggregate principal amount of $20,500,000, which have been disclosed or referenced in previous Current Reports on Form 8-K filed by the Company, including those filed on December 23, 2020, April 27, 2021, and July 12, 2021.

The foregoing descriptions of the Investor Note, Pledge Agreement, and Security Agreement, do not purport to be complete and are qualified in their entirety by reference to the Investor Note, Pledge Agreement, and Security Agreement, copies of which are filed as Exhibits 10.1, 10.2, and 10.3 to this Current Report on Form 8-K, respectively, and incorporated in this Item 1.01 by reference in their entirety.