Company: TPET
Filing Date: 2025-09-12
Form Type: 10-Q
Source: 0001493152-25-013189
Chunk: 96

Company: Trio Petroleum Corp.
Filing Date: 2025-09-12
Form: 10-Q
Item: Part I, Item 2
Chunk 96
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 July 31, 2025 by approximately $0.1 million as compared to the prior period; revenues from the
nine months ended July 31, 2024 were from the sale of approximately 3,100 barrels of oil from our McCool Ranch field, versus the sale
of approximately 4,550 barrels of oil produced from our recently acquired oil and gas assets in the Lloydminster, Saskatchewan region for
the nine months ended July 31, 2025. 

Exploration
expenses

Under
the successful efforts method of accounting for crude oil and natural gas properties, exploration expenses consist primarily of exploratory,
geological and geophysical costs, delay rentals, and exploratory overhead, and are expensed as incurred. Exploration expenses decreased
by a negligible amount as compared to the prior year period due to a reduction in exploratory, geological, and geophysical costs incurred
during the period. Exploration expenses decreased by approximately $0.1 million as compared to the prior year period due to a decrease
in exploratory, geological, and geophysical costs incurred during the period.

General
and administrative expenses

General
and administrative expenses consist primarily of personnel expenses, including salaries, benefits and stock-based compensation expense
for employees and consultants in executive, finance and accounting, legal, operations support, information technology and human resource
functions. General and administrative expenses also include corporate facility costs including rent, utilities, depreciation, amortization
and maintenance, as well as legal fees related to intellectual property and corporate matters and fees for accounting and consulting
services.

31

General
and administrative expenses decreased by approximately $1.6 million for the nine months ended July 31, 2025, compared to the prior-year
period. This reduction was primarily driven by lower salary expenses (approximately $575,000), advertising and marketing fees ($340,000),
filing fees ($125,000), professional fees ($160,000), and legal fees ($380,000).

Stock-based
compensation expense

We
record stock-based compensation expenses for costs associated with options and restricted shares granted in connection with the Plan,
as well as for shares issued as payment for services. For the nine months ended July 31, 2025, stock-based compensation expense decreased
by approximately $0.4 million compared to the prior period. This decrease was primarily due to the final vesting of certain restricted
shares in the previous quarter, which resulted in a lower expense allocation for the current nine-month period.

Accretion
expense