Company: TPET
Filing Date: 2025-06-10
Form Type: 10-Q
Source: 0001641172-25-014516
Chunk: 107

Company: Trio Petroleum Corp.
Filing Date: 2025-06-10
Form: 10-Q
Item: Part I, Item 8
Chunk 107
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 at a default rate of 22% per
annum. In addition, upon an Event of Default, the March 2024 Investor has the right to convert all or any outstanding amount of the March
Investor Note into shares of the Company’s common stock at a conversion price equal to the greater of (i) 75% of the Market Price
(as such term is defined in the March 2024 Investor Note) or (ii) the conversion floor price, which is $1.42340 (the “Floor Price”);
provided, however, that the Floor Price shall not apply after October 5, 2024, and thereafter, the conversion price will be 75% of the
Market Price. Issuance of shares of common stock to the March 2024 Investor is subject to certain beneficial ownership limitations and
not more than 19.99% of the shares of common stock outstanding on March 29, 2024 may be issued upon conversion of the March 2024 Investor
Note. The conversion price is also subject to certain adjustments or other terms in the event of (i) mergers, consolidations or recapitalization
events or (ii) certain distributions made to holders of shares of common stock.

On
September 30, 2024, October 30, 2024 and November 30, 2024, the Company made cash payments in the amounts of $118,440, $29,610 and $88,830,
respectively, in full satisfaction of the principal balance of the note. As of April 30, 2025, the balance of the promissory note was
zero, with total non-cash interest expense related to discounts recognized in the amounts of zero and $21,315 for the three and six months
ended April 30, 2025, respectively, and total non-cash interest expense related to discounts recognized in the amounts of $7,964 and
$7,964 for the three and six months ended April 30, 2024, respectively, with $72,380 in noncash interest expense related to discounts
recognized over the life of the note.

Note
Payable – Related Party

On
March 26, 2024, the Company borrowed $125,000 from its Chief Executive Officer, Michael L. Peterson, in connection with which the Company
delivered to Mr. Peterson an Unsecured Subordinated Promissory Note in the principal amount of $125,000. The