Company: TPET
Filing Date: 2025-01-17
Form Type: 10-K
Source: 0001493152-25-002760
Chunk: 1654

Company: Trio Petroleum Corp.
Filing Date: 2025-01-17
Form: 10-K
Item: Item 7A
Chunk 1654
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. The asset and liability are adjusted for changes resulting from revisions to the timing or the amount of the original estimate
when deemed necessary. If the liability is settled for an amount other than the recorded amount, a gain or loss is recognized.

Components
of the changes in ARO for the years ended October 31, 2023 and 2024 are shown below:

 SCHEDULE
OF COMPONENTS OF CHANGES IN ARO

    ARO,
    ending balance – October 31, 2022 
    $48,313 
  
    Accretion
    expense 
     2,778 
  
    ARO,
    ending balance – October 31, 2023 
     51,091 
  
    Accretion
    expense 
     2,778 
  
    ARO,
    ending balance – October 31, 2024 
     53,869 
  
    Less:
    ARO – current 
     2,778 
  
    ARO,
    net of current portion – October 31, 2024 
    $51,091 

    F-9

Related
Parties

Related
parties are directly or indirectly related to the Company, through one or more intermediaries and are in control, controlled by, or under
common control with the Company. Related parties also include principal owners of the Company, its management, members of the immediate
families of principal owners of the Company and its management and other parties with which the Company may deal if one party controls
or can significantly influence the management or operating policies of the other to an extent that one of the transacting parties might
be prevented from fully pursuing its own separate interests. The Company discloses all related party transactions. On September 14, 2021,
the Company acquired an 82.75% working interest (which was subsequently increased to an 85.775% working interest as of April 2023) in
the SSP from Trio LLC in exchange for cash, a note payable to Trio LLC and the issuance of 245,000 shares of common stock. As of the
date of the acquisition, Trio LLC owned 45% of the outstanding shares of the Company and was considered a related party. As of October
31, 2024 and 2023, Trio LLC owned less than 1% and 1%, respectively, of the outstanding shares of the Company.

Income
Taxes

Deferred
tax assets and liabilities are recognized for