Company: TPET
Filing Date: 2025-01-17
Form Type: 10-K
Source: 0001493152-25-002760
Chunk: 271

Company: Trio Petroleum Corp.
Filing Date: 2025-01-17
Form: 10-K
Item: Item 1
Chunk 271
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    taxes represent the County’s largest source of general revenues, and are used to support schools, public safety, health, social
    assistance, services to combat homelessness, and other services;

    ●
    Property
    taxes paid to the County from two operators at the San Ardo Oilfield are approximately $44 million per year: these operators are
    among the highest property-tax taxpayers in the County; and

    ●
    The
    economic output of the oil industry in Monterey County is an estimated $644 million per year.

The
Company has a reasonable expectation that the primary governmental regulatory agencies (i.e., CalGEM, State Water Boards and Monterey
County) that are and/or that will be involved in the permitting process will endeavor to avoid any unconstitutional takings of private
property that might result from denying permits for the South Salinas Project. The Company has a reasonable expectation that governmental
regulatory agencies will wish to avoid any unconstitutional takings of private property and that this should help expedite approval of
necessary permits.

Trio
LLC, which is Operator of the South Salinas Project, has significant experience in Monterey County in obtaining necessary permits (e.g.,
drilling permits for exploration and development wells, permits for Underground Injection Control water-disposal projects, permits for
constructing facilities, permits for constructing pipelines and power lines, etc.) from governmental regulatory agencies (e.g., CalGEM,
Monterey County, and other local agencies). More specifically, Trio LLC, as Operator, developed both the Lynch Canyon Oil Field and the
Hangman Hollow Area of the McCool Ranch Oil Field, both of which oilfields are located in Monterey County approximately seven miles north
of the Company’s South Salinas Project. The Company has a reasonable expectation that, given its own expertise and the expertise
and local experience of Trio LLC as an Operator, that the necessary permits may be obtained from governmental regulatory agencies and
thus that there will exist the legal right to develop the Company’s reserves in the South Salinas Project.

The
Company has a reasonable expectation that it will be able to negotiate an agreement with Aera Energy to utilize their existing idle gas
pipeline and one or more of their two idle oil pipelines that exist at the Company’s South Salinas Project. The pipelines extend
from the Company’s South Salinas Project to the San Ardo Oil Field that is located approximately three miles to the north. San
Ardo is a giant oilfield with cumulative oil recovery to-date of approximately