Company: TPET
Filing Date: 2025-03-05
Form Type: S-8
Source: 0001493152-25-009234
Chunk: 34

Company: Trio Petroleum Corp.
Filing Date: 2025-03-05
Form: S-8
Chunk 34
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 Ridge Option Agreement, as amended, we currently have an option until April 10, 2025, to acquire an additional 17.75% working interest in the 960 acres in consideration for payment of $1,775,000, or to acquire any lesser amount of working interest at proportionately reduced cost (e.g., $100,000 payment to acquire 1% working interest). In the event that we do not raise sufficient funds to use the net proceeds to make some or all of such payment, or we otherwise choose not to exercise such option for any of the remaining 17.75% working interest, then we will retain only our current 2.25% working interest ownership in the original 960 acres, whereas we will retain options on an additional 1,920 acres and a right of first refusal on an additional approximate 30,000 acres. While it is still too early to fully assess the potential reserves that we would be losing by not exercising the option for the additional 17.75% working interest in the initial 960 acres, the loss of such opportunity could be significant and could result in reducing our future revenue with a material adverse impact on our results of operations.

We have faced, and may in the future face, conflicts of interest in negotiations with related parties, including in negotiations with Lafayette Energy Corp and/or Trio LLC, entities which certain of our employees, officers and directors serve as employees, officers or directors, for example concerning assets where TPET and one of these entities have interests.

TPET and Lafayette Energy Corp (“LEC”) both have equity interests in the Asphalt Ridge Project, Utah. TPET and Trio LLC both have equity interests in the South Salinas Project and the McCool Ranch Oil Field, California.

Gregory L. Overholtzer, our Chief Financial Officer, is also employed by Lafayette Energy Corp (“LEC”) as its Chief Financial Officer. TPET and LEC both have interests in the Asphalt Ridge Asset in Utah. TPET has an option at this asset and potential conflicts of interests may arise. Mr. Overholtzer, through his relationship with LEC, might benefit in the event TPET is unable to exercise its option to acquire this asset.

Stanford Eschner, who we employed as our Vice Chairman until December 31, 2024 and who continues as our Vice Chairman in a non-employee capacity, and Steven Rowlee, who we employed as our Chief Operating Officer until December 31, 2024 and was officially released from his duties by the