Company: TPET
Filing Date: 2025-06-10
Form Type: 10-Q
Source: 0001641172-25-014516
Chunk: 106

Company: Trio Petroleum Corp.
Filing Date: 2025-06-10
Form: 10-Q
Item: Part I, Item 8
Chunk 106
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 (the “SPA”) with an institutional investor (the “March
2024 Investor”), which March 2024 Investor signed and funded on April 5, 2024, and pursuant to which the Company raised gross proceeds
of $184,500 and received net proceeds of $164,500, after payment of offering expenses (the “March 2024 Debt Financing”).
The SPA contains certain representations and warranties by the March 2024 Investor and the Company and customary closing conditions.

In
connection with the March 2024 Debt Financing, the Company issued an unsecured promissory note to the March 2024 Investor, dated March
27, 2024, in the principal amount of $211,500, having an original issue discount of $27,000 or approximately 13% (the “March 2024
Investor Note”). Interest accrues on the March 2024 Investor Note at a rate of 12% per annum and the maturity date of the March
2024 Investor Note is January 30, 2025 (the “March 2024 Investor Note Maturity Date”). The March 2024 Investor Note provides
for five payments of principal and accrued interest which are payable: (i) $118,440 on September 30, 2024; (ii) $29,610 on October 30,
2024; (iii) $29,610 on November 30, 2024; (iv) $29,610 on December 30, 2024; and (v) $29,610 on January 30, 2025. The Company may prepay
the March 2024 Investor Note, in full and not in part, any time during the 180 day period after the issuance date of the Investor Note
at a 3% discount to the outstanding amount of principal and interest due and payable; provided, that in the event of a prepayment, the
Company will still be required to pay the full amount of interest that would have been payable through the term of the March 2024 Investor
Note, in the amount of $25,380. The Investor Note contains provisions constituting an Event of Default (as such term is defined in the
March 2024 Investor Note) and, upon an Event of Default, the March 2024 Investor Note will be accelerated and become due and payable
in an amount equal to 150% of all amounts due and payable under the March 2024 Investor Note with interest