Company: TPET
Filing Date: 2025-05-20
Form Type: 8-K
Source: 0001641172-25-011613
Chunk: 0

Company: Trio Petroleum Corp.
Filing Date: 2025-05-20
Form: 8-K
Item: Item 1.01
Chunk 0
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Item
1.01 Entry into a Material Definitive Agreement.

Entry
into a Letter of Intent to Acquire Certain Oil and Gas Assets of HSO in at the P. R. Spring, Utah

As
of May 15, 2025, Trio Petroleum Corp. (the “ Company”) and Heavy Sweet Oil LLC, a limited liability company incorporated under
the laws of the State of Utah (“ HSO”, together with the Company, the “ Parties”) entered into a non-binding Letter
of Intent (the “ LOI”) for the acquisition of all of HSO’s right, title and interest in, to, and under a certain identified
2,000 acres of land of HSO at the P. R. Spring Unita Basin in Utah (the “ Proposed Transaction”) to be identified in writing
by the Company (the “ Identified Assets”). In consideration for the Identified Assets being sold by HSO to the Company, at
the closing of the Proposed Transaction (the “ Closing”), it is expected that the Company will (i) issue to HSO 1,492,272
restricted shares of the Company’s common stock, par value of $0.0001 per share and (ii) pay to HSO $850,000, in cash, which would
be applied toward the acquisition and development of the P. R. Spring project, upon the terms and conditions set forth in certain definitive
documents, which the Parties intend to proceed to enter into (the “ Definitive Documents”). Upon the execution of the LOI
by the Parties and in consideration for HSO’s negotiation of the Proposed Transaction with the Company and the option to acquire
the Identified Assets, the Company paid to HSO a non-refundable payment of $150,000 (the “ Option Payment”).

The
LOI also provides that it is a condition of the Company’s entering into Definitive Documents that there is evidence of a minimum
sustained production rate of 40 barrels per day for a continuous 30-day period from each of the two wells operated by the Company at
the Asphalt Ridge site located next to the P. R. Spring site (the “ Well Production Rate”). In the event that the Well Production
Rate has not be achieved on or before May 15, 2026, the LOI will expire, unless extended by the Company in writing.

In
addition, it is intended by the Parties that if they enter into the Definitive Documents, the Company