Company: PED
Filing Date: 2025-10-29
Form Type: 10-K/A
Source: 0001654954-25-012328
Chunk: 76

Company: PEDEVCO CORP
Filing Date: 2025-10-29
Form: 10-K/A
Chunk 76
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 and natural gas exploration, development, production and gathering, including:

| · | unusual or unexpected geologic formations; |
| · | natural disasters;                         |
| · | adverse weather conditions;                |
| · | unanticipated pressures;                   |
| · | loss of drilling fluid circulation;        |

| 49 |

| · | blowouts where oil or natural gas flows uncontrolled at a wellhead;                        |
| · | cratering or collapse of the formation;                                                    |
| · | pipe or cement leaks, failures or casing collapses;                                        |
| · | fires or explosions;                                                                       |
| · | releases of hazardous substances or other waste materials that cause environmental damage; |
| · | pressures or irregularities in formations; and                                             |
| · | equipment failures or accidents.                                                           |

In addition, there is an inherent risk of incurring significant environmental costs and liabilities in the performance of our operations, some of which may be material, due to our handling of petroleum hydrocarbons and wastes, our emissions to air and water, the underground injection or other disposal of our wastes, the use of hydraulic fracturing fluids and historical industry operations and waste disposal practices.

Any of these or other similar occurrences could result in the disruption or impairment of our operations, substantial repair costs, personal injury or loss of human life, significant damage to property, environmental pollution and substantial revenue losses. The location of our wells, gathering systems, pipelines and other facilities near populated areas, including residential areas, commercial business centers and industrial sites, could significantly increase the level of damages resulting from these risks. Insurance against all operational risks is not available to us. We are not fully insured against all risks, including development and completion risks that are generally not recoverable from third parties or insurance. In addition, pollution and environmental risks generally are not fully insurable. We maintain $2 million in general liability coverage and $10 million umbrella coverage that covers our and our subsidiaries’ business and operations. With respect to our other non-operated assets, we may elect not to obtain insurance if we believe that the cost of available insurance is excessive relative to the perceived risks presented. Losses could, therefore, occur for uninsurable or uninsured risks or in amounts in excess of existing insurance coverage. Moreover, insurance may not be available in the future at commercially reasonable prices or on commercially reasonable terms. Changes in the insurance markets due to various factors may make it more difficult for us to obtain certain types of coverage in the future. As a result, we may not be able to obtain the