Company: TPET
Filing Date: 2025-01-17
Form Type: 10-K
Source: 0001493152-25-002760
Chunk: 2132

Company: Trio Petroleum Corp.
Filing Date: 2025-01-17
Form: 10-K
Item: Item 9B
Chunk 2132
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3, the Company and Michael L. Peterson entered into an employment agreement (the “Peterson Employment Agreement”),
effective as of October 23, 2023, pursuant to which Mr. Peterson will serve as Chief Executive Officer of the Company, replacing Mr.
Ingriselli. Pursuant to the Peterson Employment Agreement, Mr. Peterson will be paid an annual base salary of $350,000. In addition,
Mr. Peterson is entitled to receive, subject to his continuing employment with the Company on the applicable date of the bonus payout,
an annual target discretionary bonus of up to 100% of his annual base salary, payable at the discretion of the Compensation Committee
of the Board based upon the Company’s and Mr. Peterson’s achievement of objectives and milestones to be determined on an
annual basis by the Board.

    F-15

Pursuant
to the Peterson Employment Agreement, the Company issued Mr. Peterson a grant of 50,000 shares of restricted stock pursuant to the Company’s
Omnibus Incentive Compensation Plan (the “Plan”) at a fair value of $5.40 per share for a grant date fair value of $271,000.
The restricted stock grant vests over a period of two years, with 25% of the shares of restricted stock vesting six months after the
Peterson Employment Agreement Effective Date, and the remainder vesting in equal tranches on each of the 12-, 18-, and 24-month anniversary
dates of the Peterson Employment Agreement. On March 26, 2024, the Company borrowed $125,000 from Mr. Peterson (the “Peterson Loan”),
in connection with which the Company delivered to Mr. Peterson an Unsecured Subordinated Promissory Note in the principal amount of $125,000
(the “Peterson Note”). As additional consideration for the Peterson Loan, the Company accelerated the vesting of 50,000 shares
of restricted stock awarded to Mr. Peterson under the Company’s 2022 Equity Incentive Plan. For the years ended October 31, 2024
and 2023, the Company recognized stock-based compensation of $267,659 and $3,341, respectively, within stock-based compensation expenses
on the income statement, with no unrecognized expense as of the period ended October 31, 2024.

On
the same date as Mr. Peterson’s resignation as the Company’s Chief Executive Officer on July 11, 2024, the Company and Mr.
Peterson