Company: TPET
Filing Date: 2025-06-10
Form Type: 10-Q
Source: 0001641172-25-014516
Chunk: 57

Company: Trio Petroleum Corp.
Filing Date: 2025-06-10
Form: 10-Q
Item: Part I, Item 1
Chunk 57
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to, among other reasons, our limited ability to raise adequate capital on acceptable terms. We have historically relied upon the issuance
of equity and promissory notes that are convertible into shares of our common stock to fund our operations and have devoted significant
efforts to reduce that exposure. We anticipate that we will need to issue equity to fund our operations for the foreseeable future. If
we are unable to achieve operational profitability or are not successful in securing other forms of financing, we will have to evaluate
alternative actions to reduce our operating expenses and conserve cash.

27

The
accompanying condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted
in the United States of America on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities
in the normal course of business. Accordingly, the condensed consolidated financial statements do not include any adjustments relating
to the recoverability of assets and classification of liabilities that might be necessary should we be unable to continue as a going
concern. The condensed consolidated financial statements included in this report also include a going concern footnote (see Note 3).

Factors and Trends Affecting Our Business and
Results of Operations

We are mindful of global economic trends and their
potential influence on commodity prices. Recent fluctuations in global oil prices, political considerations and tariffs can impact cash
flow and ultimately profitability. Mitigating factors include our relatively low lift costs and a continued commitment to cost management
and efficient production techniques. Our ability to continue to grow our business will in large part depend on continued access to receptive
capital markets.

Emerging
Growth Company Status

We
are an “emerging growth company,” as defined in Section 2(a) of the Securities Act, as modified by the JOBS Act, and it may
take advantage of certain exemptions from various reporting requirements that are applicable to other public companies that are not emerging
growth companies including, but not limited to, not being required to comply with the auditor attestation requirements of Section 404(b)
of the Sarbanes-Oxley Act of 2002, reduced disclosure obligations regarding executive compensation in periodic reports and proxy statements,
and exemptions from the requirements of holding a nonbinding advisory vote on executive compensation and stockholder approval of any
golden parachute payments not previously approved. Further, Section 102(b)(1) of the JOBS Act exempts emerging growth companies from
being required to comply with new or revised financial accounting standards until private companies (that is, those that have not