Company: TPET
Filing Date: 2025-09-12
Form Type: 10-Q
Source: 0001493152-25-013189
Chunk: 129

Company: Trio Petroleum Corp.
Filing Date: 2025-09-12
Form: 10-Q
Item: Part I, Item 8
Chunk 129
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NOTES
TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

FOR
THE THREE AND NINE MONTHS ENDED JULY 31, 2025

NOTE
1 – NATURE OF THE ORGANIZATION AND BUSINESS

Company
Organization

Trio
Petroleum Corp (“Trio Petroleum,” the “Company,” or “TPET”) is a California-based oil and gas exploration
and development company incorporated under the laws of the State of Delaware on July 19, 2021. The Company is headquartered in Bakersfield,
California, with its principal executive offices located at 23823 Malibu Road, Suite 304, Malibu, California 90265.

Trio
Petroleum was formed to acquire, finance, and operate oil and gas exploration, development, and production projects, initially
focusing on its flagship asset in California—the South Salinas Project (“South Salinas Project”). Since inception,
the Company expanded its portfolio to include interests in the McCool Ranch Oil Field in Monterey County, California (which was subsequently abandoned in May 2025), the Asphalt
Ridge Project in Uintah County, Utah, and assets in the heavy oil region of Lloydminster, Saskatchewan, Canada.

The
Company commenced revenue-generating operations on February 22, 2024, with the restart of production at the McCool Ranch Oil Field.
Initial revenues were recognized during the fiscal quarter ended April 30, 2024, with proceeds received in June 2024. Operations at
McCool Ranch were discontinued and all related leases were terminated in May 2025. Most recently, the Company recognized initial
revenues from its Saskatchewan assets during the fiscal quarter ended April 30, 2025. These revenues have been sustained and
improved during the fiscal quarter ended July 31, 2025, reflecting continued operational progress in the Saskatchewan
region.

Acquisition
of South Salinas Project

The
Company was initially formed to acquire from Trio LLC (“Trio LLC”) an approximate 82.75% working interest (which was subsequently
increased to an approximate 85.775% working interest in April 2023), in the large, approximately 9,300-acre South Salinas Project that
is located in Monterey County, California, and subsequently partner with certain members of Trio LLC’s management team to develop
and operate those assets. In September 2021, the Company entered into a Purchase and Sale Agreement (“Trio LLC PSA”) with