Company: TPET
Filing Date: 2025-01-17
Form Type: 10-K
Source: 0001493152-25-002760
Chunk: 987

Company: Trio Petroleum Corp.
Filing Date: 2025-01-17
Form: 10-K
Item: Item 3
Chunk 987
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 of two years, with 25% of the shares of restricted stock vesting six months after the
Peterson Employment Agreement Effective Date, and the remainder vesting in equal tranches on each of the 12-, 18-, and 24-month anniversary
dates of the Peterson Employment Agreement. On March 26, 2024, the Company borrowed $125,000 from Mr. Peterson (the “Peterson Loan”),
in connection with which the Company delivered to Mr. Peterson an Unsecured Subordinated Promissory Note in the principal amount of $125,000
(the “Peterson Note”). As additional consideration for the Peterson Loan, the Company accelerated the vesting of 50,000 shares
of restricted stock awarded to Mr. Peterson under the Company’s 2022 Equity Incentive Plan. For the years ended October 31, 2024
and 2023, the Company recognized stock-based compensation of $267,659 and $3,341, respectively, within stock-based compensation expenses
on the income statement, with no unrecognized expense as of the period ended October 31, 2024.

On
the same date as Mr. Peterson’s resignation as the Company’s Chief Executive Officer on July 11, 2024, the Company and Mr.
Peterson entered into a three-month consulting agreement, which includes a monthly cash fee of $10,000 and an award of 50,000 RSUs pursuant
to the Plan. The RSUs were to be issued when the number of shares available under the Plan had been increased per shareholder approval
and would vest sixty days after their issuance. As of October 31, 2024, the units have been recorded at a fair value of $3.32 per share
for a grant date value of $166,000 and for the years ended October 31, 2024 and 2023, the Company recognized stock-based compensation
for the award in the amount of $97,967 and $0, respectively, within stock-based compensation expenses on the income statement, with $68,033
of unrecognized expense as of the period ended October 31, 2024.

On
July 11, 2024, the Company entered into an employment agreement with Mr. Robin Ross, pursuant to which Mr. Ross will serve as Chief Executive
Officer of the Company, replacing Mr. Peterson. Pursuant to the Ross Employment Agreement, Mr. Ross will be paid an annual base salary
of $300,000.