Company: TPET
Filing Date: 2025-01-17
Form Type: 10-K
Source: 0001493152-25-002760
Chunk: 327

Company: Trio Petroleum Corp.
Filing Date: 2025-01-17
Form: 10-K
Item: Item 1
Chunk 327
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 each Board committee upon which the Director serves, each paid quarterly in arrears. Payment for this approved compensation commenced
upon successful completion of our IPO in April 2023; for the years ended October 31, 2024 and 2023, the Company has recognized $223,170
and $156,154, respectively, in directors’ fees.

Agreements
with Advisors

On
October 4, 2023 and December 29, 2023, the Company entered into placement agent agreements with Spartan Capital Securities, LLC (“Spartan”),
whereby Spartan will serve as the exclusive placement agent in connection with the closing of private placements. The agreements provide
the agent with i) a cash fee 7.5% of the aggregate proceeds raised in the sale and ii) warrants to purchase a number of common shares
equal to 5% of the number of common shares initially issuable upon conversion of each note tranche; warrants to purchase 4,167 and 2,750
common shares with exercise prices of $26.40 and $11.00 for the first and second tranches, respectively, were issued to Spartan as of
January 31, 2024. Such warrants may be exercised beginning 6 months after issuance until four- and one-half years thereafter.

41

Critical
Accounting Policies and Estimates

Basis
of Presentation

We
prepare our financial statements in conformity with GAAP, which requires management to make certain estimates and assumptions and apply
judgments. We base our estimates and judgments on historical experience, current trends and other factors that management believes to
be important at the time the condensed financial statements are prepared, and actual results could differ from our estimates and such
differences could be material. Due to the need to make estimates about the effect of matters that are inherently uncertain, materially
different amounts could be reported under different conditions or using different assumptions. On a regular basis, we review our critical
accounting policies and how they are applied in the preparation of our condensed financial statements, as well as the sufficiency of
the disclosures pertaining to our accounting policies in the footnotes accompanying our financial statements. Described below are the
most significant policies we apply in preparing our condensed financial statements, some of which are subject to alternative treatments
under GAAP. We also describe the most significant estimates and assumptions we make in applying these policies. See “Note 2 - Summary
of Significant Accounting Policies” to our financial statements.

Oil
and Gas