Company: TPET
Filing Date: 2025-09-12
Form Type: 10-Q
Source: 0001493152-25-013189
Chunk: 147

Company: Trio Petroleum Corp.
Filing Date: 2025-09-12
Form: 10-Q
Item: Part I, Item 8
Chunk 147
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% working interest but will retain its existing 2.25% interest
in the leases.

Novacor
Acquisition 

On
April 4, 2025, the Company entered into the Novacor APA with Trio Canada and Novacor Exploration Ltd. (“Novacor”), a
Canadian corporation. Under the Novacor APA, Trio Canada agreed to acquire certain oil and gas assets from Novacor, including
contracts, leases, and permits for working interests in petroleum, natural gas, and mineral rights located in the Lloydminster,
Saskatchewan heavy oil region (the “Novacor Assets”), free and clear of liens other than specified assumed
liabilities.

The
total purchase price was (i) US$650,000 in cash, including a previously paid deposit of $65,000, and (ii) the issuance of 526,536 shares
of the Company’s common stock.

The
Novacor APA provided for two closings, both of which have been consummated on the respective dates below:

    ●
    First
    Closing – April 8, 2025: Title to a portion of the Novacor Assets was transferred to Trio Canada. The Company delivered $260,000
    in cash (net of the deposit) and issued the 526,536 Novacor Shares.

    ●
    Second
    Closing – May 22, 2025: Title to the remaining Novacor Assets was transferred, and the Company paid $325,000 in cash.

The
Company has accounted for the transaction as an asset acquisition under ASC 805 – Business Combinations. As of July 31,
2025, the total capitalized cost of the Novacor Assets is $1,406,081, comprising:

    ●
    $333,400
    in cash payments, including $8,400 in capitalizable Canadian Provincial Sales Tax (“PST”)

    ●
    $747,681
    in equity consideration, based on a fair value of $1.42 per share

    ●
    $325,000
    in deferred consideration paid at the Second Closing

Following
the closings, operating costs for the Novacor Assets have been and will be maintained at levels consistent with the auditor’s
report for the 18-month period prior to acquisition, unless otherwise agreed upon. After two years, operating costs will remain
competitive with other operators in the region; Novacor will serve as the on