# EDGAR Filing Document

**Accession Number:** 0001865833
**File Stem:** 0001213900-23-001387
**Filing Date:** 2023-1
**Character Count:** 693336
**Document Hash:** 0e505fbe34086555c7c809a5293476ca
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001213900-23-001387.hdr.sgml**: 20230106

**ACCESSION NUMBER**: 0001213900-23-001387

**CONFORMED SUBMISSION TYPE**: S-1/A

**PUBLIC DOCUMENT COUNT**: 7

**FILED AS OF DATE**: 20230106

**DATE AS OF CHANGE**: 20230106

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Elephant Oil Corp.
- **CENTRAL INDEX KEY:** 0001865833
- **STANDARD INDUSTRIAL CLASSIFICATION:** CRUDE PETROLEUM & NATURAL GAS [1311]
- **IRS NUMBER:** 863759087
- **STATE OF INCORPORATION:** NV
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** S-1/A
- **SEC ACT:** 1933 Act
- **SEC FILE NUMBER:** 333-263879
- **FILM NUMBER:** 23515374

**BUSINESS ADDRESS:**
- **STREET 1:** PENNZOIL PLACE
- **STREET 2:** 700 MILAM, SUITE 1300
- **CITY:** HOUSTON
- **STATE:** TX
- **ZIP:** 77002
- **BUSINESS PHONE:** 480-993-8933

**MAIL ADDRESS:**
- **STREET 1:** PENNZOIL PLACE
- **STREET 2:** 700 MILAM, SUITE 1300
- **CITY:** HOUSTON
- **STATE:** TX
- **ZIP:** 77002

#### As filed with the Securities and Exchange Commission on January 6 , 202 3 .
**Registration No. 333**-263879

#### UNITED STATES<br>SECURITIES AND EXCHANGE COMMISSION<br>WASHINGTON, D.C. 20549
**____________________**

#### AMENDMENT NO. 6 <br>TO

#### FORM S-1<br>REGISTRATION STATEMENT<br>UNDER<br>THE SECURITIES ACT OF 1933
**____________________**

**Elephant Oil Corp.**<br> (Exact name of registrant as specified in its charter)

**____________________**

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| | | |
|:---|:---|:---|
|  **Nevada** | **1311** | **86-3759087** |
|  (State or other jurisdiction of <br>incorporation or organization) | (Primary Standard Industrial <br>Classification Code Number) | (I.R.S. Employer <br>Identification No.) |

---

#### Pennzoil Place<br>700 Milam, Suite 1300<br>Houston, TX 77002<br>(832) 871-5050<br> (Address, including zip code, and telephone number, including area code, of registrant's principal executive offices)
**____________________**

**Matthew Lofgran<br>Chief Executive Officer<br>Elephant Oil Corp.<br>Pennzoil Place<br>700 Milam, Suite 1300<br>Houston, TX 77002<br>(832) 871-5050<br>(Name, address, including zip code, and telephone number, including area code, of agent for service)**

**____________________**

*Copies to:*

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| | |
|:---|:---|
|  **Robert Cohen, Esq.<br>Richard Bass, Esq.<br>McDermott Will & Emery LLP<br>One Vanderbilt Avenue<br>New York, 10017<br>Telephone: (212) 547**-5885 | **Joseph M. Lucosky, Esq.<br>Scott E. Linsky, Esq.<br>Lucosky Brookman LLP<br>101 Wood Avenue South, 5**<sup>th</sup> **Floor<br>Woodbridge, NJ 08830<br>Telephone: (732) 395**-4402 |

---

**____________________**

**Approximate date of commencement of proposed sale to the public:<br>As soon as practicable after this Registration Statement is declared effective.**

If any of the securities being registered on this Form are to be offered on a delayed or continuous basis pursuant to Rule 415 under the Securities Act of 1933, check the following box. ☐

If this Form is filed to register additional securities for an offering pursuant to Rule 462(b) under the Securities Act, check the following box and list the Securities Act registration statement number of the earlier effective registration statement for the same offering. ☐

If this Form is a post-effective amendment filed pursuant to Rule 462(c) under the Securities Act, check the following box and list the Securities Act registration statement number of the earlier effective registration statement for the same offering. ☐

If this Form is a post-effective amendment filed pursuant to Rule 462(d) under the Securities Act, check the following box and list the Securities Act registration statement number of the earlier effective registration statement for the same offering. ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company" and "emerging growth company" in Rule 12b-2 of the Exchange Act.

<u> Large accelerated filer </u>   <u> ☐ </u>   <u> Accelerated filer </u>   <u> ☐ </u> <br> <u> Non-accelerated filer </u>   <u> ☒ </u>   <u> Smaller reporting company </u>   <u> ☒ </u> <br>         <u> Emerging growth company </u>   <u> ☒ </u>

If an emerging growth company, indicate by checkmark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided to Section 7(a)(2)(B) of the Securities Act. ☐

**The Registrant hereby amends this Registration Statement on such date or dates as may be necessary to delay its effective date until the Registrant shall file a further amendment which specifically states that this Registration Statement shall thereafter become effective in accordance with Section 8(a) of the Securities Act of 1933 or until the Registration Statement shall become effective on such date as the Commission, acting pursuant to said Section 8(a), may determine.**

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[**Table of Contents**](#TOC001)

**The information in this prospectus is not complete and may be changed. We may not sell these securities until the registration statement filed with the Securities and Exchange Commission is effective. This prospectus is not an offer to sell these securities and it is not soliciting an offer to buy these securities in any state where the offer or sale is not permitted.**

SUBJECT TO COMPLETION, DATED JANUARY 6, 2023

**PRELIMINARY PROSPECTUS**

#### 1,827,957 Units Each Unit Consisting of One Share of Common Stock<br>and One Warrant to Purchase One Share of Common Stock

#### Elephant Oil Corp.

#### Unit Each Consisting of One Share of Common Stock <br>and One Warrant to Purchase One Share of Common Stock
This is our initial public offering. We are offering 1,827,957 units ("Units"), each Unit consisting of one share of common stock, par value $0.0001 per share ("Common Stock"), and one warrant to purchase one share of Common Stock (each a "Warrant"). We currently estimate that the initial public offering price will be between $4.15 and $5.15 per Unit. Each share of Common Stock is being sold together with one Warrant to purchase one share of Common Stock. Each whole share exercisable pursuant to the Warrants will have an exercise price of $5.81 per share, equal to 125% of the initial public offering price based on the midpoint of the price range above. The Warrants will be immediately exercisable and will expire on the fifth anniversary of the original issuance date. The Units will not be certificated. The shares of Common Stock and Warrants comprising the Units are immediately separable and will be issued separately, but must be purchased together as a Unit in this offering. We do not intend to list the Warrants for trading on any stock market or exchange.

Prior to the offering, there has been no public market for our Common Stock. We have applied to list our Common Stock on The Nasdaq Capital Market ("Nasdaq") under the symbol "ELEP." The closing of this offering is contingent upon the successful listing of our Common Stock on the Nasdaq Capital Market.

We are an "emerging growth company" under the federal securities laws and, as such, we have elected to comply with certain reduced public company reporting requirements for this prospectus and future filings. See "Prospectus Summary — Implications of Being an Emerging Growth Company and a Smaller Reporting Company."

**Investing in our Common Stock or Warrants involves a high degree of risk. Before buying any Common Stock or Warrants, you should carefully read the discussion of the material risks of investing in our Common Stock or Warrants under the heading "Risk Factors" beginning on page 15 of this prospectus.**

**Neither the Securities and Exchange Commission nor any state securities commission has approved or disapproved of these securities or passed on the adequacy or accuracy of this prospectus. Any representation to the contrary is a criminal offense.**

---

| | | |
|:---|:---|:---|
|  | **Per Unit<sup>(1)</sup>** | **Total** |
|  Initial public offering price | $4.65 | $8500000 |
|  Underwriting discounts and commissions<sup>(2)</sup> | $0.37 | $680000 |
|  Proceeds, before expenses, to us | $4.28 | $7820000  |

---

____________

(1) The public offering price and underwriting discount in respect of the Units corresponds to (i) a public offering price per share of common stock of $4.64 and (ii) a public offering price per Warrant of $0.01.

(2) Does not include the following additional compensation payable to the underwriters. In addition to the compensation referenced above, we have agreed to pay the representative of the underwriters, Spartan Capital LLC, which we refer to as Spartan or the Representative, warrants (the "Representative's Warrants") to purchase in the aggregate the number of shares of our Common Stock equal to five percent (5%) of the number of shares of Common Stock sold in this offering. The registration statement of which this prospectus forms a part also registers the issuance of the shares of Common Stock issuable upon exercise of the Representative's Warrants. See also "Underwriting" for a description of compensation payable to the underwriters.

We have granted a 45-day option to the representative of the underwriters to purchase up to 274,194 Units (equal to an additional 15% of the Units sold in this Offering) solely to cover over-allotments, if any. If the underwriters exercise the option in full, the total underwriting discounts and commissions payable by us will be $782,000, and the total proceeds to us, before expenses, will be $8,993,000.

Delivery of the Units is expected to be made on or about , 2023.

**Spartan Capital Securities, LLC**

#### The date of this prospectus is , 202 3

------

[**Table of Contents**](#TOC001)

#### **TABLE OF CONTENTS**

---

| | |
|:---|:---|
|  | **Page** |
|  [PROSPECTUS SUMMARY](#T20) | 1 |
|  [RISK FACTORS](#T9919) | 15 |
|  [SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS](#T18) | 33 |
|  [INDUSTRY AND OTHER DATA](#T17) | 35 |
|  [USE OF PROCEEDS](#T16) | 36 |
|  [DIVIDEND POLICY](#T15) | 38 |
|  [CAPITALIZATION](#T14) | 39 |
|  [DILUTION](#T13) | 41 |
|  [MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS](#T9921) | 43 |
|  [BUSINESS](#T12) | 51 |
|  [MANAGEMENT](#T11) | 60 |
|  [EXECUTIVE AND DIRECTOR COMPENSATION](#T10) | 66 |
|  [CERTAIN RELATIONSHIPS AND RELATED PARTY TRANSACTIONS](#T9) | 71 |
|  [PRINCIPAL STOCKHOLDERS](#T8) | 73 |
|  [DESCRIPTION OF CAPITAL STOCK](#T7) | 75 |
|  [SHARES ELIGIBLE FOR FUTURE SALE](#T6) | 80 |
|  [MATERIAL U.S. FEDERAL INCOME TAX CONSEQUENCES TO NON-U.S. HOLDERS OF OUR COMMON STOCK](#T5) | 82 |
|  [UNDERWRITING](#T4) | 87 |
|  [LEGAL MATTERS](#T3) | 92 |
|  [EXPERTS](#T2) | 92 |
|  [CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE](#T2000) | 92 |
|  [WHERE YOU CAN FIND MORE INFORMATION](#T1) | 93 |
|  [INDEX TO FINANCIAL STATEMENTS](#T1012) | F-1 |

---

Neither we nor the underwriters have authorized anyone to provide any information or to make any representations other than those contained in this prospectus or in any free writing prospectus prepared by or on behalf of us or to which we have referred you. We take no responsibility for and can provide no assurance as to the reliability of, any other information that others may give you. This prospectus is an offer to sell only the Units offered hereby, but only under circumstances and in jurisdictions where it is lawful to do so. The information contained in this prospectus or in any applicable free writing prospectus is current only as of its date, regardless of its time of delivery or any sale of our Units. Our business, financial condition, results of operations and prospects may have changed since that date.

For investors outside the United States: Neither we nor the underwriters have done anything that would permit this offering or possession or distribution of this prospectus in any jurisdiction where action for that purpose is required, other than in the United States. Persons outside the United States who come into possession of this prospectus must inform themselves about, and observe any restrictions relating to, the offering of the shares of Common Stock and the distribution of this prospectus outside the United States.

This prospectus contains forward-looking statements that are subject to a number of risks and uncertainties, many of which are beyond our control. See "Risk Factors" and "Special Note Regarding Forward-Looking Statements."

i

[**Table of Contents**](#TOC001)

#### FINANCIAL STATEMENT PRESENTATION
The consolidated financial statements as of June 30, 2022 and 2021, and for the three months ended September 30, 2022 (unaudited), represent the operations of Elephant Oil Corp. and its wholly-owned subsidiaries, Elephant Oil Limited (UK) and Elephant Oil Benin SA (Benin). All inter-company balances and transactions among the companies have been eliminated upon consolidation.

#### ABOUT THIS PROSPECTUS
Except where the context otherwise requires or where otherwise indicated throughout this registration statement, the terms "Elephant Oil," "we," "us," our," "our company," "Company" and "our business" refer to Elephant Oil Corp. and its wholly-owned subsidiaries, Elephant Oil Limited (UK) and Elephant Oil Benin SA (Benin).

ii

[**Table of Contents**](#TOC001)

#### PROSPECTUS SUMMARY
*This summary highlights, and is qualified in its entirety by, the more detailed information and financial statements included elsewhere in this prospectus. This summary does not contain all of the information that may be important to you in making your investment decision. You should read this entire prospectus carefully, especially the "Risk Factors," "Special Note Regarding Forward*-Looking *Statements," "Management's Discussion and Analysis of Financial Condition and Results of Operations" and our financial statements and the related notes included elsewhere in this prospectus, before making an investment decision.*

*If our listing application is not approved by Nasdaq, we will not be able to consummate the offering.*

#### ELEPHANT OIL CORP.

#### Overview
We are an independent oil and gas exploration stage company, led by an experienced management and technical team, which is focused on under-explored regions in Africa. Our current asset portfolio includes an exploration license onshore in the Republic of Benin ("Benin"), as well as an exploration license onshore in the Republic of Namibia ("Namibia"). As of the date of this prospectus, we have not drilled any wells. Additionally, the Company continues to review other potential assets for expansion.

#### Republic of Benin
In October 2013, Elephant Oil signed a Production Sharing Agreement with Benin (the "Production Sharing Agreement") providing a 100% licensed interest under the Production Sharing Agreement in onshore Block B, which is over 1.1 million acres, or 1,772 square miles or 4,590 square kilometers and is accessible by local roadways in a low density tropical forest environment. The Benin Hydrocarbons Corporation ("SOBEH"), now known as SNH-Benin, the national oil company of Benin, has an option to acquire a 10% interest upon commercial discovery. The exploration period is 9 years and, unless extended, would have terminated in October 2022. However, we are in advanced negotiations with the Ministry of Water and Mines of Benin (the "Ministry of Water and Mines") for a New Production Sharing Agreement (as defined below). Because we are currently in negotiations for a new agreement, as per a July 2018 letter from the Ministry of Water and Mines and Article 53 of the Petroleum Code (as defined below), our rights under the Production Sharing Agreement are extended and remain valid until the negotiations are finalized. We intend to continue exploring Block B while we continue negotiations with the Ministry of Water and Mines for a New Production Sharing Agreement (as defined below).

The Production Sharing Agreement provides for an initial exploration phase of three years, with two possible extension phases of three years each. Elephant Oil is currently under the exploration phase, and is in the second three year extension. As discussed below, by virtue of the enactment of the Petroleum Code, the Production Sharing Agreement is currently still in effect. In the event that a commercial discovery is made on Block B, the Production Sharing Agreement further entitles Elephant Oil to apply for and receive, subject to Benin government approval, a production license of up to 25 years, renewable for a period of up to 10 years, from the Ministry of Water and Mines.

The Production Sharing Agreement may be terminated by the Minister in charge of Hydrocarbons of the Republic of Benin upon the following scenarios: (i) if we fail to correct any significant breach, not attributable to the Government of Benin or any of its representatives, after thirty (30) days of notification of such breach; (ii) a delay of over three (3) months in payment to the Government of the Republic of Benin, for reasons not attributable to the Government of the Republic of Benin or any of its representatives; (iii) the interruption of field work that lasts over six (6) months unless either approved by the Government of the Republic of Benin or due to a Force Majeure event; (iv) breach of the agreement due to illegal operations or conducting business that violates national or international law; (v) if we fail to comply with an arbitration judgment that stems from this arrangement; or (vi) if we declare bankruptcy or go through a court-ordered liquidation. Royalties payable under the Production Sharing Agreement are as follows: (i) for oil - we shall pay royalties at a rate of 12.5% of the total available production excluding losses regarding operations starting with the first barrels produced, and the remaining quantity of the crude oil shall be referred to as ''Available Crude," and this royalty rate shall be negotiable for the condensate; and (ii) in case of discovery of gas - both parties shall come together to define the royalties as well as the sharing proportion for the gas. Pursuant to the Production Sharing Agreement, we shall be bound to pay in accordance with the Benin Tax Code all of the taxes and dues to which we shall be subject namely the Income Tax, which shall not exceed 45% of the taxable profit.

[**Table of Contents**](#TOC001)

In 2019, the government of Benin enacted a new petroleum code (the "Petroleum Code") and model production sharing agreement ("Model PSA"). Prior to the enactment, Elephant Oil had held numerous discussions with the government to amend, advance and clarify its standing under the existing Production Sharing Agreement and petroleum code signed in 2013.

The government of Benin took the position that with the enactment of the Petroleum Code, it wanted all oil and gas stakeholders to negotiate and transfer their current license(s) under the new legislation. The existing Production Sharing Agreement expressly provides that upon a change in law in Benin that reduces the benefits or advantages of the contracting party, the terms of the Production Sharing Agreement shall be modified in order to balance the economic benefits of the contracting party. Elephant Oil and the government of Benin have entered into negotiations in good faith to bring the existing Production Sharing Agreement under the new code and model form.

In December 2021 Elephant Oil executed the new form of production sharing agreement (the "New Production Sharing Agreement") and delivered the New Production Sharing Agreement to the government of Benin for signature and ratification. The New Production Sharing Agreement is anticipated to be signed in early 2023, but there can be no assurance that it will be signed in this time frame, or at all. In the event the New Production Sharing Agreement is not signed, we will continue with our exploration program in Namibia and accelerate our exploration of opportunities in other areas of Africa using the intended proceeds directed toward Benin.

Trilogy Resource Corporation had previously operated on Block B, but ceased its operations and relinquished its title to the property in 1992. Elephant Oil began exploration on Block B in 2013, and through the date of this prospectus has continued to explore Block B, including by: (i) procuring a Full Tensor Gravity (Aero Gravity Gradiometry) survey undertaken by Fugro Airborne Surveys Pty Ltd over the entire Block B, (ii) reprocessing existing onshore 2D seismic survey prepared by Trilogy Resource Corporation and integrating such data with new offshore 2D seismic data from SNH-Benin, (iii) procuring a Passive Seismic survey undertaken by GeoDynamics Worldwide, which has helped in Elephant Oil's understanding of the structural fabric and basin setting and (iv) procuring an Environmental and Social Impact Assessment (ESIA), which was performed by RPS Energy Limited. We commissioned a third party evaluation by RISC (UK) Limited, which was provided in June 2021, to review exploration opportunities in Block B, onshore Benin, west Africa. The RISC review suggested the probable presence of exploration opportunities in Benin Block B, in particular identifying 5 plays (groups of oil fields or prospects in the same region controlled by the same set of geological circumstances) over Block B and reviewing 15 leads (subsurface structural or stratigraphic features with the potential to have entrapped oil or natural gas) associated with one of the plays. Seismic data shows that the offshore line ties into the onshore line, providing a discernible and exciting target for us to drill. Furthermore, Benin's Block B is adjacent, on both sides, to oil refineries with significant production in Ghana and Nigeria. Elephant Oil plans to mobilize a drilling rig to Benin in 2023 to commence exploration drilling and additional surveys on the block. For further details on anticipated expenditures related to these plans, see "Use of Proceeds" contained elsewhere in this prospectus.

#### Republic of Namibia
In August 2021, Elephant Oil signed a Petroleum Agreement with Namibia for onshore Block 1919 (the "Petroleum Agreement"), which includes a minimum exploration expenditure of $5,000,000. The $5,000,000 minimum exploration expenditure condition will be deemed satisfied if the minimum work obligations are properly executed using best oil field practices, regardless of the specified expenditure amount. Elephant Oil holds a 70% working interest in Block 1919 on over 2.8 million acres, or 4,507 square miles, or 11,675 square kilometers, onshore and is accessible by local roadways in brushland environment. Niikela Exploration (PTY) LTD holds a 20% working interest and NAMCOR, a Namibian state-owned entity, holds the remaining 10% interest in the license on a carried interest basis. In August 2022, the Company paid $100,000 in license fees under the Petroleum Agreement. The exploration period is 8 years (as described in more detail below) and, unless extended, will terminate on August 22, 2029. After a period of four years, Elephant Oil must relinquish 50% of its interest of its interest in Block 1919, and after a period of an additional two years, it must relinquish an additional 25% of its interest. Elephant Oil is currently in the second year of the initial 4 year term of the exploration period under the Petroleum Agreement, which may be extended for two additional two year terms upon the NMME's (as defined below) consent, bring the total exploration period to 8 years. In the event that an economically viable resource discovery is made at the licensed property, the Petroleum Agreement further entitles Elephant Oil to apply for and receive, subject to Namibian government approval, a production license of up to 25 years, renewable for a period of up to 10 years, from the Namibia Ministry of Mines and Energy (the "NMME").

[**Table of Contents**](#TOC001)

The Petroleum Agreement shall continue to be in full force for as long as we hold an exploration license or production license. NMME may terminate the agreement with notice in writing if the Company is liquidated or it fails to comply with any final award made pursuant to arbitration proceedings arising under the Petroleum Agreement. Royalties payable under the Petroleum Agreement include a 5% quarterly royalty on the petroleum produced under the agreement. Pursuant to the Petroleum Agreement, the Company shall owe a petroleum income tax of 42% of any taxable income received in connection with the agreement, as well as certain additional profits taxes depending on the accumulated net cash position of the Company at the end of each year. Further, we are subject to an annual charge under the Petroleum Agreement, pursuant to which we pay a fee equal to the number of square kilometers included in Block 1919 increased by certain multipliers which increase each time our license is renewed.

Namibia has geology that is similar tectono-stratigraphically to prolific hydrocarbon regions on both sides of the Atlantic, including the Santos and the Campos basins in Brazil, the Kwanza basin in Angola, the Congo basin to the north, the Colorado basin in Argentina and the South Pelotas basin in Uruguay. According to "Basin Evolution, Configuration Styles, and Hydrocarbon Accumulation of the South Atlantic Conjugate Margins" by Z. Wen et al., 2019, a total of 111 giant oil and gas fields with recoverable reserves of nearly 260 billion barrels of oil have been discovered along the South Atlantic.

In 2022, there were two promising offshore oil discoveries in Namibia. On February 4, 2022 Shell plc (NYSE: SHEL) had a major discovery in Namibia. NAMCOR, Shell Namibia Upstream B.V., and Qatar Energy, announced that the Graff-1 deep-water exploration well has made a discovery of light oil in both primary and secondary targets. The Graff-1 well has proved a working petroleum system for light oil in the Orange Basin, offshore Namibia, 270 km from the town of Oranjemund. Drilling operations commenced in early December 2021 and were safely completed in early February 2022. On February 24, 2022 TotalEnergies SE (NYSE: TTE) had a major discovery. NAMCOR announced a major light oil and associated gas discovery on the Venus-1X prospect, located in block 2913B (PEL 56) in the Orange Basin, offshore southern Namibia. The Venus-1X discovery is located approximately 290 kilometres off the coast of Namibia, in the deep-water offshore exploration block. The well was drilled to a total depth of 6,296 metres, by the Maersk Voyager drillship, and encountered a high-quality, light oil-bearing sandstone reservoir of Lower Cretaceous age. We believe these recent discoveries will make Namibia one of Africa's centres of oil and gas operations in the coming years. We do not own any interests in the foregoing properties, and any of the information reported is not indicative of our future results. As of now we have no proved reserves and areas that we decide to drill may not yield oil and natural gas in commercial quantities or quality, or at all. Further, any estimates provided above were taken from source material, and such estimates may or may not have been prepared in conformance with recognized industry standard reporting guidelines.

In the short term, we are immediately focused on onshore activities. Reconnaissance Energy Africa Ltd. ("ReconAfrica") has announced onshore drilling in a block Namibia in April and June of 2021 and future drilling as well as seismic studies in the Kavango Basin. We have targeted a block adjacent to the south of ReconAfrica's block in the Kavango Basin where the drilling and seismic studies have taken place as where we will be conducting our onshore activities. For further details on anticipated expenditures related to these plans, see "Use of Proceeds" contained elsewhere in this prospectus.

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#### Our Strategy
**We believe that we will be able to achieve our primary business objective of creating value for our shareholders by executing on the following strategies in the next four years:**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• **Moving forward on our exploration program, including mobilizing a drilling rig in 2023, followed by drilling two oil wells onshore in Benin, on what we believe to be attractive identified leads in Block B. We will also continue to complete survey work in 2023 through 2025 to identify additional structures in Block B for future drilling.**

#### Map of Benin & Namibia
![](timage_001.jpg)

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#### Map of "Block B" in Benin
![](timage_002.jpg)

#### Map of "Block 1919" in Namibia
![](timage_003.jpg)

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• In Namibia, we will begin exploration by performing surveys on shore, which we anticipate will lead to future drilling. Given the recent onshore drilling success of ReconAfrica and the recent offshore drilling successes of Shell plc and TotalEnergies SE as noted above, we may decide to increase our pace of exploration activity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We are focused on the acquisition, exploration, appraisal and development of existing and new opportunities in Africa, including identifying, capturing and testing additional high-potential prospects to grow resources and develop reserves with an aim of generating net asset value and delivering returns to our shareholders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We are led by an experienced management team with an average experience in the energy industry of over 12 years.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Elephant Oil actively engages with local communities and partners to ensure a strong environmental, social & governance ("ESG") policy, including:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Donating numerous supplies and building schools in Benin.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Completing rigorous Environmental Social Impact assessment prior to work in the field.

#### Our Team
We are led by a team of individuals with experience in the oil and gas sector, particularly in the area of conducting oil exploration and production activities, and officers and directors have an average of 24 years of experience. In addition, each of our three non-employee directors has an educational background in geological science, which we believe will aid our ability to manage and grow our operations. Further, we have a team of five technical specialists, who have expertise in geology, drilling, and international oil and gas operations, who will assist us in our endeavors.

#### Corporate Structure
Immediately after the consummation of this offering, we will file a Registration Statement on Form S-8 to register restricted stock and options to purchase stock issuable to certain of our executive officers, directors and employees under the 2022 Incentive Plan (the "2022 Incentive Plan" or "Plan"). The Plan provides for the grant of non-qualified stock options ("NQSOs"), incentive stock options ("ISOs"), restricted stock awards, restricted stock units ("RSUs"), unrestricted stock awards, stock appreciation rights, and other forms of stock based compensation. These restricted shares and options will be subject to certain vesting conditions. For a complete description of these transactions, please see the sections "*Executive Compensation — 2022 Incentive Plan*" in this prospectus.

The Company currently has the following wholly-owned subsidiaries which perform the following functions — Elephant Oil Limited functions as our holding company and Elephant Oil Benin SA functions as our local subsidiary handling all operations in Benin.

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| | | |
|:---|:---|:---|
|  **Name of Subsidiary** | **Jurisdiction of Incorporation** | **Date of Incorporation** |
|  **Elephant Oil Limited** | **United Kingdom** | **January 14, 2013** |
|  **Elephant Oil Benin SA** | **Benin** | **July 6, 2014** |

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#### Summary of Risk Factors
Investing in our Common Stock or Warrants involves risks. In addition, our business and operations are subject to a number of risks, which you should be aware of prior to making a decision to invest in our Common Stock or Warrants. These risks are discussed more fully in the "Risk Factors" section of this prospectus immediately following this prospectus summary. Below is a summary of these risks.

#### Risks Relating to Our Business
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our business and operations may be adversely affected by the COVID-19 pandemic and may be adversely affected by other similar outbreaks.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We have no proved reserves and areas that we decide to drill may not yield oil and natural gas in commercial quantities or quality, or at all.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We face substantial uncertainties in estimating the characteristics of our prospects, so you should not place undue reliance on any of our measures.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Drilling wells are speculative, often involving significant costs that may be more than our estimates and may not result in any discoveries or additions to our future production or future reserves. Any material inaccuracies in drilling costs, estimates or underlying assumptions will materially affect our business.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our identified future drilling locations are scheduled out over several years, making them susceptible to uncertainties that could materially alter the occurrence or timing of their drilling.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The oil and gas industry, including the acquisition of exploratory licenses in Africa, is intensely competitive and many of our competitors possess and employ substantially greater resources than us.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Under the terms of our various license agreements, we are contractually obligated to drill wells and declare any discoveries in order to retain exploration and production rights. In the competitive market for our license areas, failure to declare any discoveries and thereby establish development areas may result in substantial license renewal costs or loss of our interests in the undeveloped parts of our license areas, which may include certain of our prospects.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We have been an exploration stage entity and our future performance is uncertain.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We are dependent on certain members of our management and technical team.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our business plan requires substantial additional capital, which we may be unable to raise on acceptable terms in the future, which may in turn limit our ability to develop our exploration, appraisal, development and production activities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• A substantial or extended decline in both global and local oil and natural gas prices may adversely affect our business, financial condition and results of operations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We may not be able to commercialize our interests in any natural gas produced from our license areas in Africa.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our inability to access appropriate equipment and infrastructure in a timely manner may hinder our access to oil and natural gas markets or delay any future oil and natural gas production.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We are subject to numerous risks inherent to the exploration and production of oil and natural gas.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We are subject to drilling and other operational environmental hazards.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The development schedule of oil and natural gas projects, including the availability and cost of drilling rigs, equipment, supplies, personnel and oilfield services, is subject to delays and cost overruns.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our licenses are in Africa, which subjects us to an increased risk of loss of revenue or curtailment of future production from factors specifically affecting Africa.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our future operations may be adversely affected by political and economic circumstances in the countries in which we operate.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The oil and gas industry, including the acquisition of exploratory licenses in Africa, is intensely competitive and many of our competitors possess and employ substantially greater resources than us.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Participants in the oil and gas industry are subject to numerous laws that can affect the cost, manner or feasibility of doing business.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We and our operations are subject to numerous environmental, health and safety regulations which may result in material liabilities and costs.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We may be exposed to liabilities under the U.S. Foreign Corrupt Practices Act (the "FCPA") and other anti-corruption laws, and any determination that we violated the FCPA or other such laws could have a material adverse effect on our business.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We may incur substantial losses and become subject to liability claims as a result of future oil and natural gas operations, for which we may not have adequate insurance coverage.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We may be subject to risks in connection with acquisitions and the integration of significant acquisitions may be difficult.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• If we fail to realize the anticipated benefits of a significant acquisition, our results of operations may be adversely affected.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The requirements of being a public company may strain our resources, result in more litigation and divert management's attention.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We are a U.S.-based multinational company subject to tax in the U.S. and multiple foreign tax jurisdictions, and it is possible that our tax positions may be challenged by jurisdictional tax authorities, which may have a significant impact on our global provision for income taxes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We are currently negotiating a New Production Sharing Agreement with the Benin government, and cannot guarantee we will enter into a new agreement and this may impair our oil and gas assets, affect our operations and ultimately adversely impact our results of operations, liquidity and financial condition.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Under the terms of our Production Sharing Agreement with Benin, we are contractually obligated to make a discovery of crude oil and/or natural gas. Failure to declare any discoveries and thereby establish development areas may result in substantial license renewal costs or loss of our interests in the undeveloped parts of Block B.

#### Risks Relating to This Offering
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• An active and liquid trading market for our Common Stock may not develop.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Our share price may be volatile, and purchasers of our Common Stock could incur substantial losses.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• A substantial portion of our total issued and outstanding shares of Common Stock may be sold into the market at any time. This could cause the market price of our Common Stock to drop significantly, even if our business is doing well.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The concentration of our share capital ownership among our largest shareholders, and their affiliates, will limit your ability to influence corporate matters.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Certain of our executive officers and directors have significant duties with, and spend significant time serving, entities that may compete with us in seeking acquisitions and business opportunities and, accordingly, may have conflicts of interest in allocating time or pursuing business opportunities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• For as long as we are an emerging growth company, we will not be required to comply with certain reporting requirements, including those relating to accounting standards and disclosure about our executive compensation, that apply to other public companies.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• If you purchase our Common Stock in this offering, you will suffer immediate and substantial dilution of your investment.

#### Implications of Being an Emerging Growth Company and a Smaller Reporting Company
We qualify as an "emerging growth company," as defined in the Jumpstart Our Business Startups Act of 2012, as amended, or JOBS Act. As an "emerging growth company" we may take advantage of reduced reporting requirements that are otherwise applicable to public companies. These provisions include, but are not limited to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the option to present only two years of audited financial statements and only two years of related "Management's Discussion and Analysis of Financial Condition and Results of Operations" in this prospectus;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• not being required to comply with the auditor attestation requirements of Section 404(b) of the Sarbanes-Oxley Act of 2002, as amended, or the Sarbanes-Oxley Act;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• not being required to comply with any requirements that may be adopted by the Public Company Accounting Oversight Board regarding mandatory audit firm rotation or a supplement to the auditor's report providing additional information about the audit and the financial statements (i.e., an auditor discussion and analysis);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• reduced disclosure obligations regarding executive compensation in our periodic reports, proxy statements and registration statements; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• exemptions from the requirements of holding a nonbinding advisory vote on executive compensation and stockholder approval of any golden parachute payments not previously approved.

We may take advantage of these provisions until the last day of our fiscal year following the fifth anniversary of the completion of this offering. However, if any of the following events occur prior to the end of such five-year period, (i) our annual gross revenue exceeds $1.235 billion, (ii) we issue more than $1.0 billion of non-convertible debt in any three-year period, or (iii) we become a "large accelerated filer," (as defined in Rule 12b-2 under the Securities Exchange Act of 1934, as amended (the "Exchange Act")), we will cease to be an emerging growth company prior to the end of such five-year period. We will be deemed to be a "large accelerated filer" at such time that we (a) have an aggregate worldwide market value of common equity securities held by non-affiliates of $700 million or more as of the last business day of our most recently completed second fiscal quarter, (b) have been required to file annual and quarterly reports under the Exchange Act for a period of at least 12 months and (c) have filed at least one annual report pursuant to the Exchange Act. Even after we no longer qualify as an emerging growth company, we may still qualify as a "smaller reporting company," which would allow us to take advantage of many of the same exemptions from disclosure requirements including reduced disclosure obligations regarding executive compensation in this prospectus and our periodic reports and proxy statements.

We have elected to take advantage of certain of the reduced disclosure obligations in the registration statement of which this prospectus is a part and may elect to take advantage of other reduced reporting requirements in future filings. As a result, the information that we provide to our stockholders may be different than you might receive from other public reporting companies in which you hold equity interests.

In addition, the JOBS Act provides that an emerging growth company can take advantage of an extended transition period for complying with new or revised accounting standards. We have elected to take advantage of this extended transition period.

#### Corporate Information
We were formed as a Nevada corporation in March 2021. In April 2021, we acquired Elephant Oil Limited (UK), an oil and gas exploration company focused on under-explored areas in onshore West Africa founded in 2013. Our principal executive offices are located at Pennzoil Place, 700 Milam, Suite 1300, Houston, TX 77002 and our telephone number is (832) 871-5050. Our website address is *http://elephant*-oil*.com*. The information contained in, or accessible through, our website does not constitute a part of this prospectus. We have included our website address in this prospectus solely as an inactive textual reference.

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#### The Offering

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| | |
|:---|:---|
|  Securities offered by us | 1,827,957 Units (or 2,102,151 Units if the underwriters exercise the over-allotment option to purchase additional Units in full), each Unit consisting of one share of Common Stock and one Warrant to purchase one share of Common Stock at an exercise price of $5.81, equal to 125% of the initial public offering price, which will be immediately exercisable and will expire on the fifth anniversary of the original issuance date. The Common Stock and Warrants that are part of the Units are immediately separable and will be issued separately in this offering. The Warrants will not be tradable. |
|  Warrants offered by us | Up to 1,827,957 Warrants to purchase up to 1,827,957 shares of Common Stock. Each share of Common Stock is being sold together with one Warrant to purchase one share of Common Stock. Each whole share exercisable pursuant to the Warrants will have an exercise price of $5.81 per share equal to 125% of the initial public offering price, will be immediately exercisable and will expire on the fifth anniversary of the original issuance date. Warrants may be exercised only for a whole number of Common Stock. The shares of Common Stock and Warrants are immediately separable and will be issued separately, but must be purchased together in this offering as Units. This prospectus also relates to the offering of the Common Stock issuable upon exercise of the Warrants. We do not intend to list the Warrants for trading on any stock market or exchange.<br> Subject to certain exemptions outlined in the Warrant, for a period until two years from the date of issuance of the Warrant, if the Company shall sell, enter into an agreement to sell, or grant any option to purchase, or sell, enter into an agreement to sell, or grant any right to reprice, or otherwise dispose of or issue (or announce any offer, sale, grant or any option to purchase or other disposition) any Common Stock or convertible security, at an effective price per share less than the exercise price of the Warrant then in effect (a "Dilutive Issuance"), the exercise price of the Warrant shall be reduced to equal the effective price per share in such Dilutive Issuance; provided, however, that in no event shall the exercise price of the Warrant be reduced to an exercise price lower than 50% of the exercise price of the Warrants on the issuance date (the "Initial Exercise Price").<br> On the date that is 90 calendar days immediately following the initial issuance date of the Warrants, the exercise price of the Warrants will adjust to be equal to the Reset Price (as defined below), provided that such value is less than the exercise price in effect on that date. The Reset Price means such number equal to the greater of (a) 50% of the initial exercise price (as adjusted for share splits, share dividends, recapitalizations and similar events pursuant to Section 3(b) of the Warrants) of the Warrants on the issuance date or (b) 100% of the lowest volume weighted average price per share of Common Stock occurring during the 90 calendar days following the issuance date of the Warrants.<br> The lowest Reset Price is $2.91, which is 50% of the initial exercise price, based on an assumed public offering price of $4.65 per Unit, the midpoint of the price range of the Units, per share of Common Stock.<br> The Company reserves the right to redeem all or a portion, on a pro rata basis, of the outstanding Warrants, at any time and from time to time prior to their exercise, with a notice of redemption in writing to the holders (the "Redemption Notice"), giving not less than fifteen (15) days' notice of such redemption at any time during which the Warrants are exercisable (the "Notice Period") if the closing sale price of our Common Stock is at or above 250% of the exercise price for ten (10) consecutive trading days preceding the date the Warrants are called. The Company shall pay to the holders of record of redeemed Warrants all amounts to which the holders of record of such redeemed Warrants who shall have surrendered their Warrants are entitled. |

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| | |
|:---|:---|
|  Shares outstanding immediately before the offering: | <br>12,228,411 shares of Common Stock. |
|  Over-allotment option | We have granted to the underwriters a 45-day option to purchase from us up to an additional 15% of the total number of securities to be offered by us in this Offering, solely for the purpose of covering over-allotments. This over-allotment option shall be for whole Units as priced in this Offering and not for components of the Units, less the underwriting discounts. |
|  Common stock to be outstanding after this offering | <br>14,056,368 shares of Common Stock, which includes the Units sold in this offering (excludes 1,827,957 shares issuable upon exercise of the Warrants sold in this offering and any securities that would be issued if the underwriters exercise their over-allotment option in full). |
|  Use of proceeds | We estimate that the net proceeds from this offering will be approximately $5.0 million (or approximately $6.2 million if the underwriters exercise their over-allotment option in full), based on an assumed initial public offering price of $4.65 per Unit, which is the midpoint of the price range set forth on the cover page of this prospectus, after deducting estimated underwriting discounts and commissions and estimated offering expenses payable by us. We intend to use the net proceeds of this offering for oil and drilling activities (including exploration and production operations), and for working capital and other general corporate purposes. For a more complete description of our intended use of the proceeds from this offering, see "Use of Proceeds." |
|  Representative's Warrants | Upon the closing of this offering, we have agreed to issue to the representative of the underwriters, Spartan Capital Securities, LLC, (the "Representative"), or its designees, the Representative's Warrants that will be exercisable for the period commencing six months from the effective date of this offering and expiring four and a half years from the effective date of the offering, entitling the Representative to purchase five percent (5%) of the number of shares of Common Stock sold in this offering. The registration statement of which this prospectus is a part also covers the Representative's Warrants and the Common Stock issuable upon the exercise thereof. For additional information regarding our arrangement with the underwriters, please see "Underwriting." |
|  Lock-up agreements | We and our executive officers, directors and stockholders have agreed with the underwriters not to sell, transfer or dispose of any Common Stock or similar securities for 180 days after the date of this prospectus. For additional information regarding our arrangement with the underwriters, please see the section titled "Underwriting." |
|  Risk factors | You should read the section titled "Risk Factors" beginning on page 15 and the other information included in this prospectus for a discussion of factors you should consider carefully before deciding to invest in our Common Stock or Warrants. |
|  Proposed Nasdaq Capital Market Symbol | <br>We have applied to list our Common Stock on The Nasdaq Capital Market under the symbol "ELEP." We do not intend to list the Warrants for trading on any stock market or exchange. If our listing application is not approved by Nasdaq, we will not be able to consummate the offering and will terminate the offering. |

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Immediately after the consummation of this offering, we will file a Registration Statement on Form S-8 to register restricted stock and options to purchase stock issuable to certain of our executive officers, directors and employees under the 2022 Incentive Plan. The Plan provides for the grant of NQSOs, ISOs, restricted stock awards, RSUs, unrestricted stock awards, stock appreciation rights, and other forms of stock based compensation. These restricted shares and options will be subject to certain vesting conditions. For a complete description of these transactions, please see the sections "*Executive Compensation — 2022 Incentive Plan*" in this prospectus.

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The number of shares of our Common Stock to be outstanding after this offering is based on 12,228,411 shares of our Common Stock outstanding as of January 6, 2023 and excludes:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• up to 1,890,596 shares of Common Stock issuable upon exercise of NQSOs, ISOs, RSUs, unrestricted stock awards, stock appreciation rights, and other forms of stock based compensation which we intend to grant to our employees and directors under the 2022 Incentive Plan, pursuant to a Registration Statement on Form S-8 to be filed immediately after the consummation of this offering, at an exercise price equal to the offering price of the Units in this offering, or $4.65 per share;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• up to 1,827,957 shares of Common Stock issuable upon exercise of Warrants included in the Units being offered by us; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• up to 91,398 shares of Common Stock issuable upon exercise of the Representative's Warrants issued in connection with this offering.

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#### SUMMARY FINANCIAL DATA
The following tables set forth our summary financial data for the periods indicated. We have derived the following summary of our consolidated statements of operations data for the years ended June 30, 2022 and 2021, and the balance sheet data as of June 30, 2022, from our audited consolidated financial statements included elsewhere in this prospectus, as well as our interim unaudited condensed consolidated statement of operations data for the three months ended September 30, 2022 and 2021, and the unaudited balance sheet data as of September 30, 2022, which is included elsewhere in this prospectus. We have prepared the financial statements on the same basis as the audited financial statements and have included all adjustments, consisting only of normal recurring adjustments that, in our opinion, are necessary to state fairly the financial information set forth in those statements. Our historical results are not necessarily indicative of the results that should be expected for any future period. You should read the following summary financial data in conjunction with the other financial information contained in this prospectus, including under "Management's Discussion and Analysis of Financial Condition and Results of Operations," as well as our financial statements and the related notes included elsewhere in this prospectus.

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **As of June 30,** | **As of June 30,** | **Three Months<br> Ended<br> September 30,<br> 2022** | **Three Months<br> Ended<br> September 30,<br> 2021** |
|  | **2022** | **2021** | **Three Months<br> Ended<br> September 30,<br> 2022** | **Three Months<br> Ended<br> September 30,<br> 2021** |
|  | **(Audited)** | **(Audited)** | **(Unaudited)** | **(Unaudited)** |
|  Revenue | $— | $— | $— | $— |
|  Operating expenses: |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Exploration expense | 63238 | 98352 |  |  |
| &nbsp;&nbsp;&nbsp; Selling, general and administrative | 2901209 | 77854 | 535856 | 144192 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total operating expenses | 2964447 | 176206 | 535856 | 144192 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Loss from operations | (2964447) | (176206) | (535856) | (144192) |
|  Other (expense) | (81376) | (50312) | (210834) | (12285) |
|  Loss before income taxes | (3045823) | (226518) | (746690) | (156477) |
|  Provision for income taxes |  |  |  |  |
|  Net loss | $(3045823) | $(226518) | $(746690) | $(156477) |
|  Weighted-average Common Stock outstanding, basic and diluted | 12198951 | 9015963 | 12178407 | 11453724 |
|  Basic and diluted net loss per share of Common Stock | $(0.25) | $(0.03) | $(0.06) | $(0.01) |

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **As of<br> June 30, 2022** | **As of<br> June 30, 2022** | **As of<br>September 30, 2022<br>(Unaudited)** | **As of<br>September 30, 2022<br>(Unaudited)** |
|  | **Actual** | **As <br>Adjusted<sup>(1)(2)</sup>** | **Actual** | **As <br>Adjusted<sup>(1)(2)(4)</sup>** |
|  **Balance Sheet Data:** |  |  |  |  |
|  Cash | $45175 | $5688516 | $23126 | $4653635 |
|  Working capital<sup>(3)</sup> | $(2547853) | $4690064 | $(3669010) | $3566201 |
|  Total assets | $3850494 | $8632303 | $4360115 | $7708773 |
|  Total liabilities | $2628396 | $1766865 | $3721605 | $1639754 |
|  Accumulated deficit | $(4771730) | $(4771730) | $(5518420) | $(5518420) |
|  Total equity | $1222098 | $6865439 | $638510 | $6069019 |

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____________

(1) The as adjusted balance sheet data gives effect to the issuance and sale of shares of Common Stock in this offering at an assumed initial public offering price of $4.65 per Unit, which is the midpoint of the price range set forth on the cover page of this prospectus, after deducting estimated underwriting discounts and commissions and estimated offering expenses payable by us.

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(2) Each $1.00 increase (decrease) in the assumed initial public offering price of $4.65 per Unit, which is the midpoint of the price range set forth on the cover page of this prospectus, would increase (decrease) as adjusted cash and cash equivalents, working capital, total assets, and total equity by approximately $1.7 million, assuming that the number of Units offered by us, as set forth on the cover page of this prospectus, remains the same and after deducting estimated underwriting discounts and commissions and estimated offering expenses payable by us. Similarly, each increase (decrease) of 100,000 Units in the number of Units offered by us at the assumed initial public offering price, and after deducting estimated underwriting discounts and commissions and estimated offering expenses payable by us would increase (decrease) as adjusted cash and cash equivalents, working capital, total assets, and total equity by approximately $0.43 million. The as adjusted information discussed above is illustrative only and will be adjusted based on the actual initial public offering price and other terms of our initial public offering determined at pricing.

(3) We define working capital as current assets less current liabilities and deferred offering costs.

(4) The as adjusted cash balances have been increased to reflect the expected net proceeds from this offering after estimated offering costs and underwriting discounts, less the payment of the Dragon Note upon IPO in the approximate amount of $400,000. For purposes of the "Use of Proceeds", we have added back approximately $900,000 of deferred offering expenses as that amount has already been paid by the Company.

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#### RISK FACTORS
*You should carefully consider the risks and uncertainties described below and the other information in this prospectus, including our financial statements and related notes appearing elsewhere in this prospectus and in the section titled "Management's Discussion and Analysis of Financial Condition and Results of Operations," before deciding whether to invest in our securities. Our business, financial condition, results of operations or prospects could be materially and adversely affected if any of these risks occurs, and as a result, the market price of our securities could decline and you could lose all or part of your investment. This prospectus also contains forward*-looking *statements that involve risks and uncertainties. See "Special Note Regarding Forward*-Looking *Statements." Our actual results could differ materially and adversely from those anticipated in these forward*-looking *statements as a result of certain factors, including those set forth below. For a summary of these risk factors, please see "Summary of Risk Factors" in the section titled "Prospectus Summary" beginning on page 1 of this prospectus.*

#### Risks Relating to Our Business

#### Our business and operations may be adversely affected by the COVID-19 pandemic and may be adversely affected by other similar outbreaks.
As a result of the COVID-19 pandemic or other adverse public health developments, including voluntary and mandatory quarantines, travel restrictions, and other restrictions, our operations, may experience delays or disruptions and temporary suspensions of operations. In addition, our financial condition and results of operations may be adversely affected by the COVID-19 pandemic.

The timeline and potential magnitude of the COVID-19 outbreak are currently unknown. The continuation or amplification of this coronavirus could continue to more broadly affect the United States and global economy, including our business and operations, and the demand for oil and gas. For example, the outbreak of coronavirus has resulted in a widespread health crisis that will adversely affect the economies and financial markets of many countries, resulting in an economic downturn that will affect our operating results. Other contagious diseases in the human population could have similar adverse effects. In addition, the effects of COVID-19 and concerns regarding its global spread have recently negatively impacted the domestic and international demand for crude oil and natural gas, which has contributed to price volatility, impacted the price we receive for oil and natural gas, and has materially and adversely affected the demand for and marketability of production, and is anticipated to continue to adversely affect the same for the foreseeable future. As the potential impact from COVID-19 is difficult to predict, the extent to which it will negatively affect our operating results, or the duration of any potential business disruption is uncertain. The magnitude and duration of any impact will depend on future developments and new information that may emerge regarding the severity and duration of COVID-19 and the actions taken by authorities to contain it or treat its impact, all of which are beyond our control. These potential impacts might negatively affect our operations along with other factors, including potential further decreases in, or prolonged periods of decreased pricing in, oil and gas, and the possible continued decline in global demand for oil and gas.

***We have no proved reserves and areas that we decide to drill may not yield oil and natural gas in commercial quantities or quality, or at all.***

We have no proved reserves. The entirety of our oil and natural gas portfolio consists of identified yet unproven prospects based on available seismic and geological information that indicates the potential presence of hydrocarbons. However, the areas we decide to drill may not yield oil or natural gas in commercial quantities or quality, or at all. Most of our current prospects are in various stages of evaluation that will require substantial additional analysis and interpretation. Even when properly used and interpreted, 2D and 3D seismic data and visualization techniques are only tools used to assist geoscientists in identifying subsurface structures and hydrocarbon indicators and do not enable the interpreter to know whether hydrocarbons are, in fact, present in those structures. Accordingly, we do not know if any of our prospects will contain oil or natural gas or contain oil or natural gas in sufficient quantities or quality to recover drilling and completion costs or to be economically viable. Even if oil or natural gas is found on our prospects in commercial quantities, construction costs of gathering lines, and transportation costs may prevent such discoveries or prospects from being economically viable, and approval of plans of development ("PoDs") by various regulatory authorities, a necessary step in order to designate a discovery as "commercial," may not be forthcoming. Additionally, the analogies drawn by us using available data from other wells, more fully explored discoveries or producing fields may not prove valid with respect to our drilling prospects. We may terminate our drilling program for a discovery or

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prospect if data, information, studies and previous reports indicate that the possible development of a discovery or prospect is not commercially viable and, therefore, does not merit further investment. If a significant number of our discoveries or prospects do not prove to be successful, our business, financial condition and results of operations will be materially adversely affected.

Block B in Benin is an area in which we focus a substantial amount of our exploration efforts. We currently do not have reserves and we may not be successful in developing commercially viable production from Block B or any other discoveries and prospects in Benin. "Block 1919" in Namibia is a newly acquired license that will require substantial amount of exploration, efforts, prior to knowing the potential economic viability for future hydrocarbon production. We currently do not have reserves and we may not be successful in developing commercially viable production from Block 1919 or any other discoveries and prospects in Namibia.

#### We face substantial uncertainties in estimating the characteristics of our prospects, so you should not place undue reliance on any of our measures.
In this prospectus, we may provide numerical and other measures of the characteristics, including with regard to size and quality, of our prospects. These measures may be incorrect, as the accuracy of these measures is a function of available data, geological interpretation and judgment. To date, none of our prospects have been drilled. Any analogies drawn by us from other wells, discoveries or producing fields may not prove to be accurate indicators of the success of developing reserves from our discoveries and prospects. Furthermore, we have no way of evaluating the accuracy of the data from analog wells or prospects produced by other parties, which we may use.

It is possible that few or none of our wells to be drilled in the future will find accumulations of hydrocarbons in commercial quality or quantity. Any significant variance between actual results and our assumptions could materially affect the quantities of hydrocarbons attributable to any particular prospect.

***Drilling wells are speculative, often involving significant costs that may be more than our estimates, and may not result in any discoveries or additions to our future production or future reserves. Any material inaccuracies in drilling costs, estimates or underlying assumptions will materially affect our business.***

Exploring for and developing hydrocarbon reserves involves a high degree of operational and financial risk, which precludes definitive statements as to the time required and costs involved in reaching certain objectives. The budgeted costs of planning, drilling, completing and operating wells are often exceeded and can increase significantly when drilling costs rise due to a tightening in the supply of various types of oilfield equipment and related services or unanticipated geologic conditions. Before a well is spud, we incur significant geological and geophysical (seismic) costs, which are incurred whether a well eventually produces commercial quantities of hydrocarbons, or is drilled at all. Drilling may be unsuccessful for many reasons, including geologic conditions, weather, cost overruns, equipment shortages and mechanical difficulties. Exploratory wells bear a much greater risk of loss than development wells. Furthermore, the successful drilling of a well does not necessarily result in the commercially viable development of a field. A variety of factors, including geologic and market-related, can cause a field to become uneconomic or only marginally economic. All of our prospects will require significant additional exploration and development, regulatory approval and commitments of resources prior to commercial development. The successful drilling of a single well may not be indicative of the potential for the development of a commercially viable field. In Africa, we face higher above-ground risks necessitating higher expected returns, the requirement for increased capital expenditures due to a general lack of infrastructure and underdeveloped oil and gas industries, and increased transportation expenses due to geographic remoteness, which either require a single well to be exceptionally productive, or the existence of multiple successful wells, to allow for the development of a commercially viable field. See risk factor heading "— Our future operations may be adversely affected by political and economic circumstances in the countries in which we operate." Furthermore, if our actual drilling and development costs are significantly more than our estimated costs, we may not be able to continue our business operations as proposed and would be forced to modify our PoD.

***Our identified future drilling locations are scheduled out over several years, making them susceptible to uncertainties that could materially alter the occurrence or timing of their drilling.***

Our management team has identified and scheduled future drilling locations on our license areas over a multi-year period. Our ability to drill and develop these locations depends on a number of factors, including the availability of equipment and capital, approval by block regulators, seasonal conditions, oil prices, assessment of risks, costs

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and drilling results. The final determination on whether to drill any of these locations will be dependent upon the factors described elsewhere in this prospectus. Because of these uncertainties, we do not know if the drilling locations we have identified will be drilled within our expected timeframe or at all or if we will be able to economically produce hydrocarbons from these or any other potential drilling locations. As such, our actual drilling activities may be materially different from our current expectations, which could adversely affect our results of operations and financial condition.

***The oil and gas industry, including the acquisition of exploratory licenses in Africa, is intensely competitive and many of our competitors possess and employ substantially greater resources than us.***

The international oil and gas industry, including in Africa, is highly competitive in all aspects, including the exploration for, and the development of, new license areas. We operate in a highly competitive environment for acquiring exploratory licenses and hiring and retaining trained personnel. Many of our competitors possess and employ financial, technical and personnel resources substantially greater than us, which can be particularly important in the areas in which we operate. These companies may be better able to withstand the financial pressures of unsuccessful drill attempts, sustained periods of volatility in financial markets and generally adverse global and industry-wide economic conditions, and may be better able to absorb the burdens resulting from changes in relevant laws and regulations, which would adversely affect our competitive position. Our ability to acquire additional prospects and to find and develop reserves in the future will depend on our ability to evaluate and select suitable licenses and to consummate transactions in a highly competitive environment. Also, there is substantial competition for available capital for investment in the oil and gas industry. As a result of these and other factors, we may not be able to compete successfully in an intensely competitive industry, which could cause a material adverse effect on our results of operations and financial condition.

***Under the terms of our various license agreements, we are contractually obligated to drill wells and declare any discoveries in order to retain exploration and production rights. In the competitive market for our license areas, failure to declare any discoveries and thereby establish development areas may result in substantial license renewal costs or loss of our interests in the undeveloped parts of our license areas, which may include certain of our prospects.***

In order to protect our exploration and production rights in our license areas, we must meet various drilling and declaration requirements. In general, unless we make and declare discoveries within certain time periods specified in our various petroleum agreements and licenses, our interests in the undeveloped parts of our license areas may lapse. While we expect that our current drilling schedule will enable us to retain the rights to develop the prospects we have identified in this prospectus under the agreements currently in place, or the agreements expected to be entered into in the near future, should they yield discoveries, we cannot assure you that we will not face delays in drilling these prospects or otherwise have to relinquish these prospects. The costs to maintain our licenses over such areas may fluctuate and may increase significantly since the original term, and we may not be able to renew or extend such licenses on commercially reasonable terms or at all. Our actual future drilling activities may therefore materially differ from our current expectations, which could adversely affect our business.

Regarding our license in Benin, the Production Sharing Agreement, and the subsequent New Production Sharing Agreement which is anticipated to be signed in early 2023 (but there can be no assurance that it will be signed in this time frame, or at all), both cover Block B and include three exploration phases covering nine years, from their respective effective dates. The production periods are for up to 25 years and can be extended an additional 10 years.

Regarding our license in Namibia, the Petroleum Agreement for onshore Block 1919 includes three exploration phases covering eight years, from its effective date. The production period is for 25 years and can be extended an additional 10 years.

For each of these license areas, we cannot assure you that any renewals or extensions will be granted or whether any new agreements will be available on commercially reasonable terms, or, in some cases, at all.

#### We have been an exploration stage entity and our future performance is uncertain.
We have been an exploration stage entity and will continue to be so until we generate revenue. Exploration stage entities face substantial business risks and may suffer significant losses. We have generated substantial net losses and negative cash flows from operating activities since our inception and expect to continue to incur substantial net losses as we continue our exploration and appraisal program. We face challenges and uncertainties in financial planning as a result

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of the unavailability of historical data and uncertainties regarding the nature, scope and results of our future activities. As a new public company, we will need to develop additional business relationships, establish additional operating procedures, hire additional staff, and take other measures necessary to conduct our intended business activities. We may not be successful in implementing our business strategies or in completing the development of the facilities necessary to conduct our business as planned. In the event that one or more of our drilling programs is not completed, is delayed or terminated, our operating results will be adversely affected and our operations will differ materially from the activities described in this prospectus. There are uncertainties surrounding our future business operations which must be navigated if we transition from a exploration stage entity and commence generating revenues, some of which may cause a material adverse effect on our results of operations and financial condition.

#### We are dependent on certain members of our management and technical team.
Investors in our Common Stock and Warrants must rely upon the ability, expertise, judgment and discretion of our management and the success of our technical team in identifying, discovering, evaluating and developing reserves. Our performance and success are dependent, in part, upon key members of our management and technical team, and their loss or departure could be detrimental to our future success. In making a decision to invest in our Common Stock or Warrants, you must be willing to rely to a significant extent on our management's discretion and judgment. A significant amount of the pre-offering interests in our Company held by members of our management and technical team will be vested at the time of this offering. While a new equity incentive plan will be in place following this offering, there can be no assurance that our management and technical team will remain in place. The loss of any of our management and technical team members could have a material adverse effect on our results of operations and financial condition, as well as on the market price of our Common Stock and Warrants. See "Management."

***Our business plan requires substantial additional capital, which we may be unable to raise on acceptable terms in the future, which may in turn limit our ability to develop our exploration, appraisal, development and production activities.***

We expect our capital outlays and operating expenditures to be substantial over the next several years as we expand our operations. Obtaining seismic data, as well as exploration, appraisal, development and production activities entail considerable costs, and we expect that we will need to raise substantial additional capital, through future private or public equity offerings, strategic alliances or debt financing.

Our future capital requirements will depend on many factors, including:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the scope, rate of progress and cost of our exploration, appraisal, development and production activities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• oil and natural gas prices;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to locate and acquire hydrocarbon reserves;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to produce oil or natural gas from those reserves;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the terms and timing of any drilling and other production-related arrangements that we may enter into;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the cost and timing of governmental approvals and/or concessions; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the effects of competition by larger companies operating in the oil and gas industry.

While we believe our operations, upon the consummation of this offering, will be adequately funded through the initial exploration phase on each license, additional financing may not be available on favorable terms, or at all. Even if we succeed in selling additional securities to raise funds, at such time the ownership percentage of our existing shareholders would be diluted, and new investors may demand rights, preferences or privileges senior to those of existing shareholders. If we raise additional capital through debt financing, the financing may involve covenants that restrict our business activities. If we choose to farm-out interests in our licenses, we may lose operating control or influence over such license areas.

Assuming we are able to commence exploration, appraisal, development and production activities or successfully exploit our licenses during the exploratory term, our interests in our licenses (or the development/production area of such licenses as they existed at that time, as applicable) would extend beyond such term for a fixed period or life of production, depending on the jurisdiction. If we are unable to meet our well commitments and/or declare development

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of the prospective areas of our licenses during this time, we may be subject to significant potential forfeiture of all or part of the relevant license interests. If we are not successful in raising additional capital, we may be unable to continue our future exploration and production activities or successfully exploit our license areas, and we may lose the rights to develop these areas upon the expiration of exploratory terms.

***A substantial or extended decline in both global and local oil and natural gas prices may adversely affect our business, financial condition and results of operations.***

The prices that we will receive for our oil and natural gas will significantly affect our revenue, profitability, access to capital and future growth rate. Historically, the oil and natural gas markets have been volatile and will likely continue to be volatile in the future. The prices that we will receive for our future production and the levels of our future production depend on numerous factors. These factors include, but are not limited to, the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in supply and demand for oil and natural gas;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the actions of the Organization of the Petroleum Exporting Countries ("OPEC");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• speculation as to the future price of oil and natural gas and the speculative trading of oil and natural gas futures contracts;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• global economic conditions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• political and economic conditions, including embargoes in oil-producing countries or affecting other oil-producing activities, particularly in the Middle East, Africa, Russia and South America;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the continued threat of terrorism and the impact of military and other action, including U.S. military operations in the Middle East;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the level of global oil and natural gas exploration and production activity;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the level of global oil inventories and oil refining capacities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• weather conditions and natural disasters;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• technological advances affecting energy consumption;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• governmental regulations and taxation policies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• proximity and capacity of transportation facilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the price and availability of competitors' supplies of oil and natural gas; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the price and availability of alternative fuels.

Lower oil prices may not only decrease our revenues on a per share basis but also may reduce the amount of oil that we can produce economically. A substantial or extended decline in oil and natural gas prices may materially and adversely affect our future business, financial condition, results of operations, liquidity or ability to finance planned capital expenditures.

#### We may not be able to commercialize our interests in any natural gas produced from our license areas in Africa.
The development of the market for natural gas in Africa is in its early stages. Currently the infrastructure to transport and process natural gas on commercial terms is limited and the expenses associated with constructing such infrastructure ourselves may not be commercially viable given local prices currently paid for natural gas. Accordingly, there may be limited or no value derived from any natural gas produced from our African license areas.

***Unless we replace our oil reserves, our reserves and production will decline over time. Our business is dependent on our continued successful identification of productive fields and prospects and the identified locations in which we drill in the future may not yield oil or natural gas in commercial quantities.***

Production from oil properties declines as reserves are depleted, with the rate of decline depending on reservoir characteristics. Accordingly, our current proved reserves will decline as these reserves are produced. Our future oil reserves and production, and therefore our cash flows and income, are highly dependent on our success in efficiently

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developing our current reserves and economically finding or acquiring additional recoverable reserves. While we have had success in identifying and developing commercially exploitable deposits and drilling locations in the past, we may be unable to replicate that success in the future. We may not identify any more commercially exploitable deposits or successfully drill, complete or produce more oil reserves, and the wells which we have drilled and currently plan to drill within our blocks or concession areas may not discover or produce any further oil or gas or may not discover or produce additional commercially viable quantities of oil or gas to enable us to continue to operate profitably. If we are unable to replace our current and future production, the value of our reserves will decrease, and our business, financial condition and results of operations will be materially adversely affected.

***Our inability to access appropriate equipment and infrastructure in a timely manner may hinder our access to oil and natural gas markets or delay our future oil and natural gas production.***

Our ability to market our future oil production will depend substantially on the availability and capacity of processing facilities, oil tankers and other infrastructure. Our failure to obtain such facilities on acceptable terms could materially harm our business. We will also rely on access to drilling rigs suitable for the environment in which we operate. The delivery of drilling rigs may be delayed or cancelled, and we may not be able to gain access to suitable rigs. We may be required to shut in oil wells because of the absence of a market or because access to processing facilities may be limited or unavailable. If that were to occur, then we would be unable to realize revenue from those wells until arrangements were made to deliver the production to market, which could cause a material adverse effect on our financial condition and results of operations.

Additionally, the exploitation and sale of associated and non-associated natural gas and liquids will be subject to timely commercial processing and marketing of these products, which depends on the contracting, financing, building and operating of infrastructure by third parties.

#### We are subject to numerous risks inherent to the exploration and production of oil and natural gas.
Oil and natural gas exploration and future production activities involve many risks that a combination of experience, knowledge and interpretation may not be able to overcome. Our future will depend on the success of our exploration and future production activities and on the development of infrastructure that will allow us to take advantage of our discoveries. As a result, our oil and natural gas exploration and future production activities are subject to numerous risks, including the risk that drilling will not result in commercially viable oil and natural gas production. Our decisions to purchase, explore or develop discoveries, prospects or licenses will depend in part on the evaluation of seismic data through geophysical and geological analyses, production data and engineering studies, the results of which are often inconclusive or subject to varying interpretations.

Furthermore, the marketability of expected oil and natural gas production from any future discoveries and prospects will also be affected by numerous factors. These factors include, but are not limited to, market fluctuations of prices, proximity, capacity and availability of processing facilities, transportation vehicles and pipelines, equipment availability and government regulations (including, without limitation, regulations relating to prices, taxes, royalties, allowable production, domestic supply requirements, importing and exporting of oil and natural gas, environmental protection and climate change). The effect of these factors, individually or jointly, may result in us not receiving an adequate return on invested capital.

In the event that our currently undeveloped discoveries and prospects are developed and become operational, they may not produce oil and natural gas in commercial quantities or at the costs anticipated, and our projects may cease production, in part or entirely, in certain circumstances. Discoveries may become uneconomic as a result of an increase in operating costs to produce oil and natural gas. Our actual operating costs may differ materially from our current estimates. Moreover, it is possible that other developments, such as increasingly strict environmental, climate change, health and safety laws and regulations and enforcement policies thereunder and claims for damages to property or persons resulting from our operations, could result in substantial costs and liabilities, delays, an inability to complete the development of our discoveries or the abandonment of such discoveries, which could cause a material adverse effect on our financial condition and results of operations.

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#### We are subject to drilling and other operational environmental hazards.
The oil and natural gas business involves a variety of operating risks, including, but not limited to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• fires, blowouts, spills, cratering and explosions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• mechanical and equipment problems, including unforeseen engineering complications;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• uncontrolled flows or leaks of oil, well fluids, natural gas, brine, toxic gas or other pollution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• gas flaring operations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• formations with abnormal pressures;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• pollution, other environmental risks, and geological problems; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• weather conditions and natural disasters.

***The development schedule of oil and natural gas projects, including the availability and cost of drilling rigs, equipment, supplies, personnel and oilfield services, is subject to delays and cost overruns.***

Historically, some oil and natural gas development projects have experienced delays and capital cost increases and overruns due to, among other factors, the unavailability or high cost of drilling rigs and other essential equipment, supplies, personnel and oilfield services. To the extent we locate commercially viable reserves through our exploration activities, the cost to develop our projects will not have been fixed and will remain dependent upon a number of factors, including the completion of detailed cost estimates and final engineering, contracting and procurement costs. Our construction and operation schedules may not proceed as planned and may experience delays or cost overruns. Any delays may increase the costs of the projects, requiring additional capital, and such capital may not be available in a timely and cost-effective fashion.

***Our licenses are in Africa, which subjects us to an increased risk of loss of revenue or curtailment of production from factors specifically affecting Africa.***

Our current exploration licenses are in Africa. Our licenses could be affected should such region experience any of the following factors (among others):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• severe weather or natural disasters or other acts of God;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• delays or decreases in production, the availability of equipment, facilities, personnel or services;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• delays or decreases in the availability of capacity to transport, gather or process production; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• military conflicts.

For example, oil and natural gas operations in Africa may be subject to higher political and security risks than those operations under the sovereignty of the United States. We plan to maintain insurance coverage for only a portion of risks we face from doing business in these regions. There also may be certain risks covered by insurance where the policy does not reimburse us for all of the costs related to a loss.

#### Our future operations may be adversely affected by political and economic circumstances in the countries in which we operate.
Oil and natural gas exploration, development and future production activities are subject to political and economic uncertainties (including but not limited to changes in energy policies or the personnel administering them), changes in laws and policies governing operations of foreign based companies, expropriation of property, cancellation or modification of contract rights, revocation of consents or approvals, obtaining various approvals from regulators, foreign exchange restrictions, currency fluctuations, royalty increases and other risks arising out of foreign governmental sovereignty, as well as risks of loss due to civil strife, acts of war, guerrilla activities, terrorism, acts of sabotage, territorial disputes and insurrection. In addition, we are subject both to uncertainties in the application of the tax laws in the countries in which we operate and to possible changes in such tax laws (or the application thereof), each of which could result in an increase in our tax liabilities. These risks may be higher in the developing countries in which we conduct our activities.

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Our operations in these areas increase our exposure to risks of war, local economic conditions, political disruption, civil disturbance, expropriation, piracy, tribal conflicts and governmental policies that may:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• disrupt our operations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• require us to incur greater costs for security;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• restrict the movement of funds or limit repatriation of profits;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• lead to U.S. government or international sanctions; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• limit access to markets for periods of time.

Some countries in Africa have experienced political instability in the past. Disruptions may occur in the future, and losses caused by these disruptions may occur that will not be covered by insurance. Consequently, our Africa exploration, development and production activities may be substantially affected by factors which could have a material adverse effect on our results of operations and financial condition. Furthermore, in the event of a dispute arising from non-U.S. operations, we may be subject to the exclusive jurisdiction of courts outside the United States or may not be successful in subjecting non-U.S. persons to the jurisdiction of courts in the United States, which could adversely affect the outcome of such dispute.

Our operations may also be adversely affected by laws and policies of the jurisdictions, including Benin, Namibia, the United States, the United Kingdom, and other jurisdictions in which we do business, that affect foreign trade and taxation. Changes in any of these laws or policies or the implementation thereof, could materially and adversely affect our financial position, results of operations and cash flows.

***The oil and gas industry, including the acquisition of exploratory licenses in Africa, is intensely competitive and many of our competitors possess and employ substantially greater resources than us.***

The international oil and gas industry, including in Africa, is highly competitive in all aspects, including the exploration for, and the development of, new license areas. We operate in a highly competitive environment for acquiring exploratory licenses and hiring and retaining trained personnel. Many of our competitors possess and employ financial, technical and personnel resources substantially greater than us, which can be particularly important in the areas in which we operate. These companies may be better able to withstand the financial pressures of unsuccessful drill attempts, sustained periods of volatility in financial markets and generally adverse global and industry-wide economic conditions, and may be better able to absorb the burdens resulting from changes in relevant laws and regulations, which would adversely affect our competitive position. Our ability to acquire additional prospects and to find and develop reserves in the future will depend on our ability to evaluate and select suitable licenses and to consummate transactions in a highly competitive environment. Also, there is substantial competition for available capital for investment in the oil and gas industry. As a result of these and other factors, we may not be able to compete successfully in an intensely competitive industry, which could cause a material adverse effect on our results of operations and financial condition.

#### Participants in the oil and gas industry are subject to numerous laws that can affect the cost, manner or feasibility of doing business.
Exploration and production activities in the oil and gas industry are subject to local laws and regulations. We may be required to make large expenditures to comply with governmental laws and regulations, particularly in respect of the following matters:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• licenses for drilling operations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• tax increases, including retroactive claims;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• unitization of oil accumulations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• local content requirements (including the mandatory use of local partners and vendors); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• environmental requirements and obligations, including remediation or investigation activities.

Under these and other laws and regulations, we could be liable for personal injuries, property damage and other types of damages. Failure to comply with these laws and regulations also may result in the suspension or termination of our operations and subject us to administrative, civil and criminal penalties. Moreover, these laws and regulations could

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change, or their interpretations could change, in ways that could substantially increase our costs. These risks may be higher in the developing countries in which we conduct our operations, where there could be a lack of clarity or lack of consistency in the application of these laws and regulations. Any resulting liabilities, penalties, suspensions or terminations could have a material adverse effect on our financial condition and results of operations

The enforcement of laws in the African countries we operate in may depend on and be subject to the interpretation of the relevant local authority. Such authority may adopt an interpretation of an aspect of local law which differs from the advice given to us by local lawyers or even previous advice given by the local authority itself. Matters of local autonomy are extremely controversial in Africa, adding further uncertainty to the interpretation and application of the relevant legal and regulatory requirements. Furthermore, there is limited or no relevant case law providing guidance on how courts would interpret such laws and the application of such laws to its concessions, join operations, licenses, license applications or other arrangements. Even where such case law exists, it lacks the binding precedential value found in the U.S. legal system.

#### We and our operations are subject to numerous environmental, health and safety regulations which may result in material liabilities and costs.
We and our operations are subject to various international, foreign, federal, state and local environmental, health and safety laws and regulations governing, among other things, the emission and discharge of pollutants into the ground, air or water, the generation, storage, handling, use and transportation of regulated materials and the health and safety of our employees. We are required to obtain environmental permits from governmental authorities for our operations, including drilling permits for our wells. We have not been or may not be at all times in complete compliance with these permits and the environmental laws and regulations to which we are subject, and there is a risk that these laws and regulations could change in the future or become more stringent. If we violate or fail to comply with these laws, regulations or permits, we could be fined or otherwise sanctioned by regulators, including through the revocation of our permits or the suspension or termination of our operations. If we fail to obtain permits in a timely manner or at all (due to opposition from community or environmental interest groups, governmental delays or any other reasons), or if we face additional requirements imposed as a result of changes in or enactment of laws or regulations, such failure to obtain permits or such changes in or enactment of laws could impede or affect our operations, which could have a material adverse effect on our results of operations and financial condition.

We, as an interest owner or as the designated operator of certain of our current and future discoveries and prospects, could be held liable for some or all environmental, health and safety costs and liabilities arising out of our actions and omissions as well as those of our block partners, third-party contractors or other operators. To the extent we do not address these costs and liabilities or if we do not otherwise satisfy our obligations, our operations could be suspended or terminated. We have contracted with and intend to continue to hire third parties to perform services related to our operations. There is a risk that we may contract with third parties with unsatisfactory environmental, health and safety records or that our contractors may be unwilling or unable to cover any losses associated with their acts and omissions. Accordingly, we could be held liable for all costs and liabilities arising out of the acts or omissions of our contractors, which could have a material adverse effect on our results of operations and financial condition.

In both Namibia and Benin, there are environmental laws in place that impose certain requirements on petroleum license holders. In Namibia all license holders are required to submit an Environmental Impact Assessment (an "EIA"), a document prepared by an environmental specialist that assesses the potential environmental impact that oil and gas operations could have in the country, and an Environmental Management Plan, a detailed plan of action for a license holder that describes the steps it will take to mitigate any environmental impacts its operations may have, for approval before any seismic surveys or drilling activity can occur under a petroleum license. In addition, the NMME requires all petroleum license holders to undertake a course on the prevention of environmental damages while conducting petroleum-related operations and activities.

In Benin, a license holder under a production sharing agreement is required to undertake an EIA and be granted a certificate of environmental compliance by the Minister of Environment in before any seismic surveys or drilling activity is undertaken under the petroleum license. In addition, similar to in Namibia, it is regular practice for license holders in Benin to undertake a course on the prevention of environmental damages while conducting petroleum-related operations and activities.

We maintain insurance at levels that we believe are consistent with industry practices, but we are not fully insured against all risks. Our insurance may not cover any or all environmental claims that might arise from our future operations or at any of our license areas. If a significant accident or other event occurs and is not covered by insurance, such accident or event could have a material adverse effect on our results of operations and financial condition.

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In addition, we expect continued and increasing attention to climate change issues. Various countries and regions have agreed to regulate emissions of greenhouse gases, including methane (a primary component of natural gas) and carbon dioxide (a by product of oil and natural gas combustion). The regulation of greenhouse gases and the physical impacts of climate change in the areas in which we, our customers and the end-users of our products operate could adversely impact our operations and the demand for our products.

Environmental, health and safety laws are complex, change frequently and have tended to become increasingly stringent over time. Our costs of complying with current and future climate change, environmental, health and safety laws, the actions or omissions of our block partners and third party contractors and our liabilities arising from releases of, or exposure to, regulated substances may adversely affect our results of operations and financial condition. See "Business — Environmental Matters."

***We may be exposed to liabilities under the FCPA and other anti-corruption laws, and any determination that we violated the FCPA or other such laws could have a material adverse effect on our business.***

We are subject to the FCPA and other laws that prohibit improper payments or offers of payments to foreign government officials and political parties for the purpose of obtaining or retaining business. We do business and may do additional business in the future in countries and regions in which we may face, directly or indirectly, corrupt demands by officials. Although the company has implemented strict policies and training programs for its employees on such matters, we face the risk of unauthorized payments or offers of payments by one of our employees or consultants. Our existing safeguards and any future improvements may prove to be less than effective in preventing such unauthorized payments, and our employees and consultants may engage in conduct for which we might be held responsible. Violations of the FCPA may result in severe criminal or civil sanctions, and we may be subject to other liabilities, which could negatively affect our business, operating results and financial condition. In addition, the United States government may seek to hold us liable for successor liability FCPA violations committed by companies in which we invest or that we acquire.

***We may incur substantial losses and become subject to liability claims as a result of future oil and natural gas operations, for which we may not have adequate insurance coverage.***

We intend to maintain insurance against risks in the operation of the business we plan to develop and in amounts in which we believe to be reasonable. Such insurance, however, may contain exclusions and limitations on coverage. For example, we are not insured against political or terrorism risks. We may elect not to obtain insurance if we believe that the cost of available insurance is excessive relative to the risks presented. Losses and liabilities arising from uninsured and underinsured events could materially and adversely affect our business, financial condition and results of operations.

#### The ongoing conflict in Ukraine could negatively affect the price of oil.
On February 24, 2022, Russia commenced a military attack on Ukraine. The outbreak of hostilities between the two countries could result in more widespread conflict and could have a severe adverse effect on the region and the markets for securities and commodities, including oil. In addition, sanctions imposed on Russia by the United States and other countries, and any sanctions imposed in the future could have a significant adverse impact on the Russian economy and related markets. The price and liquidity of oil may fluctuate widely as a result of the conflict and related events. How long such conflict and related events will last and whether it will escalate further cannot be predicted. Impacts from the conflict and related events could have significant impact on our performance, and the value of an investment in our Common Stock may decline significantly.

#### We may be subject to risks in connection with acquisitions and the integration of significant acquisitions may be difficult.
We periodically evaluate acquisitions of prospects and licenses, reserves and other strategic transactions that appear to fit within our overall business strategy. The successful acquisition of these assets requires an assessment of several factors, including:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• recoverable reserves;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• future oil and natural gas prices and their appropriate differentials;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• development and operating costs; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• potential environmental and other liabilities.

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The accuracy of these assessments is inherently uncertain. In connection with these assessments, we perform a review of the subject assets that we believe to be generally consistent with industry practices. Our review will not reveal all existing or potential problems nor will it permit us to become sufficiently familiar with the assets to fully assess their deficiencies and potential recoverable reserves. Inspections may not always be performed on every well, and environmental problems are not necessarily observable even when an inspection is undertaken. Even when problems are identified, the seller may be unwilling or unable to provide effective contractual protection against all or part of the problems. We may not be entitled to contractual indemnification for environmental liabilities and could acquire assets on an "as is" basis. Significant acquisitions and other strategic transactions may involve other risks, including:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• diversion of our management's attention to evaluating, negotiating and integrating significant acquisitions and strategic transactions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the challenge and cost of integrating acquired operations, information management and other technology systems and business cultures with those of ours while carrying on our ongoing business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• difficulty associated with coordinating geographically separate organizations; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the challenge of attracting and retaining personnel associated with acquired operations.

The process of integrating operations could cause an interruption of, or loss of momentum in, the activities of our business. Members of our senior management may be required to devote considerable amounts of time to this integration process, which will decrease the time they will have to manage our business. If our senior management is not able to effectively manage the integration process, or if any significant business activities are interrupted as a result of the integration process, our business could suffer.

#### If we fail to realize the anticipated benefits of a significant acquisition, our results of operations may be adversely affected.
The success of a significant acquisition will depend, in part, on our ability to realize anticipated growth opportunities from combining the acquired assets or operations with those of ours. Even if a combination is successful, it may not be possible to realize the full benefits we may expect in estimated proved reserves, production volume, cost savings from operating synergies or other benefits anticipated from an acquisition or realize these benefits within the expected time frame. Anticipated benefits of an acquisition may be offset by operating losses relating to changes in commodity prices, or in oil and gas industry conditions, or by risks and uncertainties relating to the exploratory prospects of the combined assets or operations, or an increase in operating or other costs or other difficulties, including the assumption of environmental or other liabilities in connection with the acquisition. If we fail to realize the benefits we anticipate from an acquisition, our results of operations may be adversely affected.

#### The requirements of being a public company may strain our resources, result in more litigation and divert management's attention.
As a public company, we will be subject to the reporting requirements of the Exchange Act, the Sarbanes-Oxley Act, the Dodd-Frank Wall Street Reform and Consumer Protection Act, or the Dodd-Frank Act, the listing requirements of Nasdaq and other applicable securities rules and regulations. Complying with these rules and regulations will increase our legal and financial compliance costs, make some activities more difficult, time consuming or costly and increase demand on our systems and resources, including management. The Exchange Act requires, among other things, that we file annual, quarterly and current reports with respect to our business and operating results. The Sarbanes-Oxley Act requires, among other things, that we maintain effective disclosure controls and procedures and internal control over financial reporting. We are required to disclose changes made in our internal control and procedures on a quarterly basis. In order to maintain and, if required, improve our disclosure controls and procedures and internal control over financial reporting to meet this standard, significant resources and management oversight may be required. As a result, management's attention may be diverted from other business concerns, which could adversely affect our business and operating results. We may also need to hire additional employees or engage outside consultants to comply with these requirements, which will increase our costs and expenses.

In addition, changing laws, regulations and standards relating to corporate governance and public disclosure are creating uncertainty for public companies, increasing legal and financial compliance costs and making some activities more time consuming. These laws, regulations and standards are subject to varying interpretations, in many cases due to their lack of specificity and, as a result, their application in practice may evolve over time as new guidance is provided by regulatory and governing bodies. This could result in continuing uncertainty regarding compliance

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matters and higher costs necessitated by ongoing revisions to disclosure and governance practices. We intend to invest resources to comply with evolving laws, regulations and standards, and this investment may result in increased general and administrative expenses and a diversion of management's time and attention from revenue-generating activities to compliance activities. If our efforts to comply with new laws, regulations and standards differ from the activities intended by regulatory or governing bodies due to ambiguities related to their application and practice, regulatory authorities may initiate legal proceedings against us and our business may be adversely affected.

These new rules and regulations may make it more expensive for us to obtain director and officer liability insurance and, in the future, we may be required to accept reduced coverage or incur substantially higher costs to obtain coverage. These factors could also make it more difficult for us to attract and retain qualified members of our board of directors, particularly to serve on our audit committee and compensation committee, and qualified executive officers.

By disclosing information in this prospectus and in future filings required of a public company, our business and financial condition will become more visible, which we believe may result in threatened or actual litigation, including by competitors and other third parties. If those claims are successful, our business could be seriously harmed. Even if the claims do not result in litigation or are resolved in our favor, the time and resources needed to resolve them could divert our management's resources and seriously harm our business.

***We have identified material weaknesses in our internal controls over financial reporting, which, if not corrected, could affect the reliability of our financial statements and have other adverse consequences.***

In connection with the audit of our consolidated balance sheets as of June 30, 2022 and 2021, the related consolidated statements of operations and comprehensive loss, changes in stockholders' equity, and cash flows for the years ended June 30, 2022 and 2021, we and our former independent registered public accounting firm have identified material weaknesses in our internal controls over financial reporting. We intend to remediate these material weaknesses during the calendar year 2023 by taking the actions described below and do not anticipate any material costs associated with remediation. Our former independent registered public accounting firm's identification of material weaknesses did not influence our decision to replace them with our current independent registered public accounting firm. A material weakness is a deficiency, or a combination of deficiencies, in internal controls over financial reporting, such that there is a reasonable possibility that a material misstatement of our annual or interim financial statements will not be prevented or detected on a timely basis.

The material weaknesses identified relate to (a) an insufficient complement of personnel to permit the segregation of duties among personnel with access to the Company's accounting and information systems and controls; (b) insufficient review of the cash flow statement regarding the proper presentation of deferred offering costs, proceeds from convertible notes and bank deposits; (c) a lack of controls needed to assure that (1) the accounting for its accounts payable and accrued expenses are accurate and complete; (2) the accounting for its stock compensation expense is accurate and complete; (3) the accounting for its convertible notes payable and warrants is accurate and complete; (4) an adequate review the proper presentation and disclosures of the short and long term accrued interest expense was performed; and (5) an adequate review to the initial tax assessment as it related to the reorganization of the Company and to assure the complete disclosures in the financial statements footnotes was performed. Neither we nor our former independent registered public accounting firm undertook a comprehensive assessment of our internal controls under the Sarbanes-Oxley Act for purposes of identifying and reporting any weakness in our internal controls over financial reporting. Had we performed a formal assessment of our internal controls over financial reporting, or had our former independent registered public accounting firm performed an audit of our internal control over financial reporting, additional material weaknesses or internal control deficiencies may have been identified.

To remediate our identified material weakness, our Chief Financial Officer with appropriate understanding of U.S. GAAP and financial reporting requirements set forth by the SEC, has been tasked in addressing these issues. We also plan take the following actions and adopt measures to improve our internal controls over financial reporting, including, among others: (i) hiring additional qualified accounting and financial personnel with appropriate knowledge and experience in U.S. GAAP and SEC reporting requirements, (ii) organizing regular training for our accounting staff, especially training related to U.S. GAAP and SEC reporting requirements, (iii) formulating U.S. GAAP accounting policies and procedures manual, which will be maintained, reviewed and updated, on a regular basis, to the latest U.S. GAAP accounting standards, and (iv) establishing period end financial closing policies and procedures for preparation of consolidated financial statements. However, these actions or the implementation of these measures in the future may not fully address these weaknesses in our internal control over financial reporting, and we may not be able to conclude that they have been fully remediated. Our failure to correct these deficiencies or failure to discover and address any other deficiencies could result in inaccuracies

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in our financial statements and impair our ability to comply with applicable financial reporting requirements and related regulatory filings on a timely basis. Moreover, ineffective internal control over financial reporting could significantly hinder our ability to prevent fraud. Finally, if we are unable to ensure effective control over financial reporting, we may fail to meet our reporting obligations and investors could lose confidence in our reported financial information, which could have a negative effect on the trading price of our stock.

#### Our effective tax rate could be materially adversely affected by several factors.
We are a U.S.-based multinational company subject to tax in the U.S. and multiple foreign tax jurisdictions. Significant judgment is required in determining our global provision for income taxes, deferred tax assets or liabilities and in evaluating our tax positions on a worldwide basis. While we believe our tax positions are consistent with the tax laws in the jurisdictions in which we conduct our business, it is possible that these positions may be challenged by jurisdictional tax authorities, which may have a significant impact on our global provision for income taxes.

Tax laws are being re-examined and evaluated globally. New laws and interpretations of the law are taken into account for financial statement purposes in the quarter or year that they become applicable. Tax authorities are increasingly scrutinizing the tax positions of companies. Many countries in the European Union, as well as a number of other countries and organizations such as the Organization for Economic Cooperation and Development (OECD) and the European Commission, are actively considering changes to existing tax laws that, if enacted, could increase our tax obligations in countries where we do business. Moreover, if the U.S. or other foreign tax authorities change applicable tax laws, our overall taxes could increase, and our business, financial condition or results of operations may be adversely impacted.

In addition, any significant changes enacted by the current U.S. presidential administration to the Code or specifically to the Tax Cuts and Jobs Act ("U.S. Tax Act") enacted in 2017, or to regulatory guidance associated with the U.S. Tax Act, could materially adversely affect our effective tax rate.

#### Our business and results of operations may be materially adversely effected by inflationary and supply chain pressures.
As of the date of this prospectus, inflationary and supply chain pressures have led to increased construction materials and labor costs, specifically associated with steel, cement, and other materials. We believe we will continue to experience such pressures in future quarters, as well as potential delays in our contractors' ability to requisition such materials. These pressures have led to an overall increase in budgeted construction costs. No assurance can be given that the costs of our projects will not exceed budgets. Any such cost overruns or delays could have a material adverse effect on our business.

***We are currently negotiating a New Production Sharing Agreement with the Benin Government, and cannot guarantee we will enter into a new agreement, and this may impair our oil and gas assets, affect our operations and ultimately adversely impact our results of operations, liquidity and financial condition.***

In October 2013, we signed a Production Sharing Agreement with the Benin government that was negotiated under Benin's prior petroleum code, Law No. 2006-18, with an exploration period that would have expired in October 2022 in the event a commercial discovery was not made or the exploration period has not been extended. While we did not make a commercial discovery by October 2022, we are currently negotiating a new agreement and were granted the ability to continue to operate under the existing agreement until negotiations for the new agreement have concluded.

Negotiations for a new agreement began on or about January 26, 2019, when the Benin government adopted a new petroleum code, Law No. 2019-06. After the passing of Law No. 2019-06, in January 2021, we mutually agreed with the Benin government it would be in both parties' best interest to negotiate a New Production Sharing Agreement in light of the new petroleum code, and are currently negotiating said agreement. We believe this agreement to be material to our intended business in Benin, and failure to consummate this agreement on terms acceptable to the company, or at all, could result in the company not being able to achieve its intended business objectives in Benin.

In the event that we are unable to reach a mutually acceptable agreement with the Benin Government, we may substantially reduce or abandon our exploration efforts in Benin, which may result in an impairment of our investment in the Production Sharing Agreement, affect our operations and ultimately adversely impact our results of operations, liquidity and financial condition.

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#### Risks Relating to This Offering

#### An active and liquid trading market for our Common Stock may not develop.
Prior to this offering, our Common Stock were not traded on any market. An active and liquid trading market for our Common Stock may not develop or be maintained after this offering. Liquid and active trading markets usually result in less price volatility and more efficiency in carrying out investors' purchase and sale orders. The market price of our shares of common stock could vary significantly as a result of a number of factors, some of which are beyond our control. In the event of a drop in the market price of our Common Stock, you could lose a substantial part or all of your investment in our Common Stock. The initial public offering price will be negotiated between us and the representative of the underwriters and may not be indicative of the market price of our Common Stock after this offering. Consequently, you may not be able to sell our Common Stock at prices equal to or greater than the price paid by you in the offering.

#### The price of our Common Stock may be volatile, and purchasers of our Common Stock could incur substantial losses.
Our share price may be volatile. The stock market in general has experienced extreme volatility that has often been unrelated to the operating performance of particular companies. As a result of this volatility, investors may not be able to sell their Common Stock at or above the initial public offering price. The market price for our Common Stock is influenced by many factors, including, but not limited to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the price of oil and natural gas;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the success of our exploration and development operations, and the marketing of any oil and natural gas we produce;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• regulatory developments in Benin, Namibia, the United States, the United Kingdom, and foreign countries where we operate;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the recruitment or departure of key personnel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• quarterly or annual variations in our financial results or those of companies that are perceived to be similar to us;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• market conditions in the industries in which we compete and issuance of new or changed securities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• analysts' reports or recommendations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the failure of securities analysts to cover our Common Stock after this offering or changes in financial estimates by analysts;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the inability to meet the financial estimates of analysts who follow our Common Stock;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the issuance of any additional securities of ours;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• investor perception of our company and of the industry in which we compete; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• general economic, political and market conditions.

***A substantial portion of our total issued and outstanding shares may be sold into the market at any time. This could cause the market price of our Common Stock to drop significantly, even if our business is doing well.***

All of the Common Stock being sold in this offering will be freely tradable without restrictions or further registration under the federal securities laws, unless purchased by our "affiliates" as that term is defined in Rule 144 under the Securities Act. Of the remaining Common Stock issued and outstanding upon the closing of this offering, approximately 87% are restricted securities as defined in Rule 144 under the Securities Act. Restricted securities may be sold in the United States public market only if registered or if they qualify for an exemption from registration, including by reason of Rules 144 or 701 under the Securities Act. All of our restricted Common Stock will be eligible for sale in the public market for a period of 180 days following the effective date of the registration for this offering, subject in certain circumstances to the volume, manner of sale and other limitations under Rule 144, and also the lock-up agreements

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described under "Underwriting" in this prospectus. Additionally, we intend to register all our Common Stock that we may issue under our employee benefit plans. Once we register these Common Stock, they can be freely sold in the public market upon issuance, unless pursuant to their terms these share awards have transfer restrictions attached to them. Sales of a substantial number of our Common Stock, or the perception in the market that the holders of a large number of shares intend to sell Common Stock, could reduce the market price of our Common Stock.

#### The concentration of our share capital ownership among our largest shareholders, and their affiliates, will limit your ability to influence corporate matters.
After our offering, we anticipate that our five largest shareholders will collectively own approximately 51% of our issued and outstanding Common Stock. Consequently, these shareholders have significant influence over all matters that require approval by our shareholders, including the election of directors and approval of significant corporate transactions. This concentration of ownership will limit your ability to influence corporate matters, and as a result, actions may be taken that you may not view as beneficial.

***Certain of our executive officers and directors have significant duties with, and spend significant time serving, entities that may compete with us in seeking acquisitions and business opportunities and, accordingly, may have conflicts of interest in allocating time or pursuing business opportunities.***

Certain of our executive officers and directors, who are responsible for managing the direction of our operations, hold positions of responsibility with other entities (including affiliated entities) that are in the oil and natural gas industry. For example, our CEO is currently CEO of Nostra Terra Oil and Gas Company plc and certain members of our board of directors hold board seats with other companies. These executive officers and directors may become aware of business opportunities that may be appropriate for presentation to us as well as to the other entities with which they are or may become affiliated. Due to these existing and potential future affiliations, they may present potential business opportunities to other entities prior to presenting them to us, which could cause additional conflicts of interest. They may also decide that certain opportunities are more appropriate for other entities with which they are affiliated, and as a result, they may elect not to present those opportunities to us. These conflicts may not be resolved in our favor. For additional discussion of our management's business affiliations and the potential conflicts of interest of which our stockholders should be aware, see "Certain Relationships and Related Party Transactions."

***If our listing application for our Common Stock is not approved by Nasdaq, we will not be able to consummate the offering and will terminate this offering.***

If our listing application is not approved by Nasdaq, we will not be able to consummate the offering and will terminate this offering. Failure to have our Common Stock listed on Nasdaq would make it more difficult for our stockholders to dispose of our Common Stock and more difficult to obtain accurate price quotations on our Common Stock. Our ability to issue additional securities for financing or other purposes, or otherwise to arrange for any financing we may need in the future, may also be materially and adversely affected if our Common Stock is not traded on a national securities exchange.

#### The market price of our Common Stock may be highly volatile, and you could lose all or part of your investment.
The trading price of our Common Stock is likely to be volatile. Upon the consummation of this offering, we will have a relatively small public float due to the relatively small size of this offering, and the concentrated ownership of our Common stock among our executive officers and directors, and greater than 5% stockholders. As a result of our small public float, our Common Stock may be less liquid and have greater stock price volatility than the common stock of companies with broader public ownership.

Our stock price could be subject to wide fluctuations in response to a variety of other factors, which include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• whether we achieve our anticipated corporate objectives;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in financial or operational estimates or projections;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• termination of the lock-up agreement or other restrictions on the ability of our stockholders and other security holders to sell shares after this offering; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• general economic or political conditions in the United States or elsewhere.

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In addition, the stock market in general, and the stock of oil and gas companies in particular, has recently experienced extreme price and volume fluctuations that have often been unrelated or disproportionate to the operating performance of these companies. Such rapid and substantial price volatility, including any stock run-up, may be unrelated to our actual or expected operating performance and financial condition or prospects, making it difficult for prospective investors to assess the rapidly changing value of our stock. This volatility may prevent you from being able to sell your securities at or above the price you paid for your securities. If the market price of our Common Stock after this offering does not exceed the initial public offering price, you may not realize any return on your investment in us and may lose some or all of your investment.

***For as long as we are an emerging growth company, we will not be required to comply with certain reporting requirements, including those relating to accounting standards and disclosure about our executive compensation, that apply to other public companies.***

We are classified as an "emerging growth company" under the JOBS Act. For as long as we are an emerging growth company, which may be up to five full fiscal years, unlike other public companies, we will not be required to, among other things: (i) provide an auditor's attestation report on management's assessment of the effectiveness of our system of internal control over financial reporting pursuant to Section 404(b) of the Sarbanes-Oxley Act; (ii) comply with any new requirements adopted by the PCAOB requiring mandatory audit firm rotation or a supplement to the auditor's report in which the auditor would be required to provide additional information about the audit and the financial statements of the issuer; (iii) provide certain disclosures regarding executive compensation required of larger public companies; or (iv) hold nonbinding advisory votes on executive compensation. We will remain an emerging growth company for up to five years, although we will lose that status sooner if we have more than $1.235 billion of revenues in a fiscal year, have more than $700 million in market value of our Common Stock held by non-affiliates, or issue more than $1.0 billion of non-convertible debt over a three-year period.

To the extent that we rely on any of the exemptions available to emerging growth companies, you will receive less information about our executive compensation and internal control over financial reporting than issuers that are not emerging growth companies. If some investors find our Common Stock to be less attractive as a result, there may be a less active trading market for our Common Stock and their trading prices may be more volatile.

#### If you purchase our Units in this offering, you will suffer immediate and substantial dilution of your investment.
The initial public offering price of our Units is substantially higher than the net tangible book value per share. Therefore, if you purchase our Units in this offering, your interest will be diluted immediately to the extent of the difference between the initial public offering price per share and the net tangible book value per share after this offering. See "Dilution."

#### We have broad discretion in the use of our net proceeds from this offering and may not use them effectively.
Our management will have broad discretion in the application of the net proceeds from this offering and could spend the proceeds in ways that do not improve our operating results or enhance the value of our Common Stock. Our shareholders may not agree with the manner in which our management chooses to allocate and spend the net proceeds. The failure by our management to apply these funds effectively could result in financial losses that could have a material adverse effect on our business and cause the price of our Common Stock to decline. Pending their use, we may invest our net proceeds from this offering in a manner that does not produce income or that loses value. See "Use of Proceeds" in this prospectus.

#### The Warrants may not have any value.
The Warrants will be exercisable for five years from the date of initial issuance at an initial exercise price equal to 125% of the public offering price per Unit set forth on the cover page of this prospectus. There can be no assurance that the market price of our shares of Common Stock will ever equal or exceed the exercise price of the Warrants. In the event that the price of our Common Stock does not exceed the exercise price of the Warrants during the period when the Warrants are exercisable, the Warrants may not have any value.

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#### There is no established public trading market for our Warrants and shareholders may find it difficult to sell them.
We do not intend to list our Warrants for trading on any stock market or exchange. As a result, investors may find it difficult to sell, or to obtain accurate quotations as to the price of our Warrants. We cannot predict the extent to which investor interest in us and our Warrants will lead to the development or continuance of an active trading market or how liquid that trading market for our Warrants might become. If an active trading market for our Warrants does not develop, it may be difficult for investors to sell our Warrants particularly large quantities thereof, at a price that is attractive or at all. As a result, an investment in our securities may be illiquid and investors may not be able to liquidate their investment readily or at all when they desire to sell.

#### We may redeem your unexpired warrants prior to their exercise at a time that is disadvantageous to you, thereby making your warrants worthless.
We have the ability to redeem outstanding warrants at any time after they become exercisable and prior to their expiration, at 250% of the exercise price, as adjusted, provided that the closing sale price of our Common Stock equals or exceeds 250% of the exercise price per share (as adjusted for stock splits, stock dividends, reorganizations and the like) on each of the ten (10) consecutive trading days prior to the date on which we send proper notice of such redemption. Redemption of the outstanding warrants could (i) force a warrant holder to exercise his, her or its warrants and pay the exercise price therefore at a time when it may be disadvantageous for the holder to do so, or (ii) to accept the redemption price which, at the time the outstanding warrants are called for redemption, may be substantially less than the market value of its common stock.

***By purchasing securities in this offering, you are bound by the fee-shifting provision contained in our warrant, which may discourage you to pursue actions against us and could discourage shareholder lawsuits that might otherwise benefit the Company and its shareholders.***

Section 6(e) of the warrant provides that "Each party agrees that all legal proceedings concerning the interpretations, enforcement and defense of the transactions contemplated by this Warrant (whether brought against a party hereto or their respective affiliates, directors, officers, shareholders, partners, members, employees or agents) shall be commenced exclusively in the state and federal courts sitting in the City of New York other than for claims arising under the Securities Act or Exchange Act." Section 6(e) of the warrant further provides "If either party shall commence an action, suit or proceeding to enforce any provisions of this Warrant, the prevailing party in such action, suit or proceeding shall be reimbursed by the other party for their reasonable attorneys' fees and other costs and expenses incurred with the investigation, preparation and prosecution of such action or proceeding. The fee-shifting provision applies broadly to all actions brought under the warrant, other than for claims arising under the Exchange Act or the Securities Act.

There is no set level of recovery required to be met by a plaintiff to avoid payment under this provision. Instead, whoever is the prevailing party is entitled to recover the reasonable attorneys' fees, costs and expenses incurred in connection with the prosecution or defense of such action. Additionally, any party who brings an action, and the party against whom such action is brought under the warrant, which could include former and current shareholders, Company directors, officers, affiliates, legal counsel, expert witnesses and other parties, would be able to recover fees under this provision.

In the event you initiate or assert a claim against us, in accordance with the provisions contained in the warrant, and you do not, in a judgment prevail, you will be obligated to reimburse us for all reasonable costs and expenses incurred in connection with such claim, including, but not limited to, reasonable attorney's fees and expenses and costs of appeal, if any. This provision in Section 6(e) of the warrant could discourage shareholder lawsuits that might otherwise benefit the Company and its shareholders.

***Holders of Warrants purchased in this offering will have no rights as shareholders until such holders exercise their Warrants and acquire our shares of Common Stock.***

Until holders of the Warrants purchased in this offering acquire shares of Common Stock upon exercise thereof, such holders will have no rights with respect to the shares of Common Stock underlying the Warrants. Upon exercise of the Warrants, the holders will be entitled to exercise the rights of a shareholder only as to matters for which the record date occurs after the date they were entered in the register of members of the Company as a shareholder.

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***We do not intend to pay dividends on our Common Stock and, consequently, your only opportunity to achieve a return on your investment is if the price of our Common Stock appreciates.***

We do not plan to declare dividends on shares of our Common Stock in the foreseeable future. Consequently, your only opportunity to achieve a return on your investment in us will be if the market price of our Common Stock appreciates, which may not occur, and you sell your Common Stock at a profit. There is no guarantee that the price of our Common Stock that will prevail in the market after this offering will ever exceed the price that you pay.

#### We cannot assure you that our plans to raise capital will be successful.
As of June 30, 2022 and September 30, 2022, we had negative working capital of $2,547,853 and $3,669,010, respectively. Management's plans to address this need for capital are discussed in the section of this prospectus titled "Management's Discussion and Analysis of Financial Condition and Results of Operations." We cannot assure you that our plans to raise capital will be successful. These factors, among others, raise substantial doubt about our ability to continue as a going concern. The financial statements contained elsewhere in this prospectus do not include any adjustments that might result from our inability to continue as a going concern.

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#### SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS
This prospectus contains forward-looking statements that can involve substantial risks and uncertainties. All statements other than statements of historical facts contained in this prospectus, including statements regarding our future results of operations and financial position, business strategy, prospective products, product approvals, research and development costs, future revenue, timing and likelihood of success, plans and objectives of management for future operations, future results of anticipated products and prospects, plans and objectives of management are forward-looking statements. These statements involve known and unknown risks, uncertainties and other important factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements.

In some cases, you can identify forward-looking statements by terms such as "anticipate," "believe," "contemplate," "continue," "could," "estimate," "expect," "intend," "may," "plan," "potential," "predict," "project," "should," "target," "will," or "would" or the negative of these terms or other similar expressions, although not all forward-looking statements contain these words. Forward-looking statements contained in this prospectus include, but are not limited to, statements about:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to find, acquire or gain access to other discoveries and prospects and to successfully develop our current discoveries and prospects;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• uncertainties inherent in making estimates of our oil and natural gas data;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the successful implementation of our and our block partners' prospect discovery and development and drilling plans;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• projected and targeted capital expenditures and other costs, commitments and revenues;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• termination of or intervention in concessions, rights or authorizations granted by the Benin government, the Namibian government, or national oil companies, or any other federal, state or local governments, to us;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our dependence on our key management personnel and our ability to attract and retain qualified technical personnel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the ability to obtain financing and the terms under which such financing may be available;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the volatility of oil and natural gas prices;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the availability and cost of developing appropriate infrastructure around and transportation to our discoveries and prospects;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the availability and cost of drilling rigs, production equipment, supplies, personnel and oilfield services;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• other competitive pressures;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• potential liabilities inherent in oil and natural gas operations, including drilling risks and other operational and environmental hazards;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• current and future government regulation of the oil and gas industry;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• cost of compliance with laws and regulations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in environmental, health and safety or climate change laws, greenhouse gas regulation or the implementation of those laws and regulations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• environmental liabilities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• geological, technical, drilling and processing problems;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• military operations, terrorist acts, wars or embargoes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the cost and availability of adequate insurance coverage;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our vulnerability to severe weather events; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• other risk factors discussed in the "Risk Factors" section of this prospectus.

We have based these forward-looking statements largely on our current expectations and projections about our business, the industry in which we operate and financial trends that we believe may affect our business, financial condition, results of operations and prospects, and these forward-looking statements are not guarantees of future performance or development. These forward-looking statements speak only as of the date of this prospectus and are subject to a number of risks, uncertainties and assumptions described in the section titled "Risk Factors" and elsewhere in this prospectus. Because forward-looking statements are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified, you should not rely on these forward-looking statements as predictions of future events. The events and circumstances reflected in our forward-looking statements may not be achieved or occur and actual results could differ materially from those projected in the forward-looking statements. Except as required by applicable law, we do not plan to publicly update or revise any forward-looking statements contained herein whether as a result of any new information, future events or otherwise.

In addition, statements that "we believe" and similar statements reflect our beliefs and opinions on the relevant subject. These statements are based upon information available to us as of the date of this prospectus, and while we believe such information forms a reasonable basis for such statements, such information may be limited or incomplete, and our statements should not be read to indicate that we have conducted an exhaustive inquiry into, or review of, all potentially available relevant information. These statements are inherently uncertain and you are cautioned not to unduly rely upon these statements.

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#### INDUSTRY AND OTHER DATA
This prospectus contains industry, market and competitive position data from our own internal estimates and research as well as industry and general publications and research surveys and studies conducted by third parties. Industry publications, studies and surveys generally state that they have been obtained from sources believed to be reliable, although they do not guarantee the accuracy or completeness of such information. Our internal data and estimates are based upon information obtained from trade and business organizations and other contacts in the markets in which we operate and our management's understanding of industry conditions. While we believe that each of these studies and publications is reliable, we have not independently verified market and industry data from third-party sources. While we believe our internal company research is reliable and the market definitions are appropriate, neither such research nor definitions have been verified by an independent source.

The industry in which we operate is subject to risks and uncertainties due to a variety of factors, including those described in the section titled "Risk Factors." These and other factors could cause results to differ materially from those expressed in the estimates made by the independent parties and by us.

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#### USE OF PROCEEDS
We estimate that the net proceeds to us from this offering will be approximately $6.0 million<sup>(1)</sup>, assuming an initial public offering price of $4.65 per Unit, which is the midpoint of the price range set forth on the cover page of this prospectus, and after deducting underwriting discounts and commissions and estimated offering expenses payable by us. If the underwriters' over-allotment option is exercised in full, we estimate that our net proceeds will be approximately $6.7 million<sup>(1)</sup>. Each $1.00 increase (decrease) in the assumed initial public offering price of $4.65 per Unit would increase (decrease) the net proceeds to us from this offering by approximately $1.7 million, assuming that the number of Units offered by us, as set forth on the cover page of this prospectus, remains the same and after deducting underwriting discounts and commissions and estimated offering expenses payable by us. Each increase (decrease) of 100,000 in the number of Units we are offering would increase (decrease) the net proceeds to us from this offering, after deducting underwriting discounts and commissions and estimated offering expenses payable by us, by approximately $0.43 million, assuming the assumed initial public offering price stays the same.

The principal purposes of this offering are to increase our capitalization and financial flexibility, to create a public market for our Common Stock and to facilitate our future access to the capital markets. As of the date of this prospectus, we cannot specify with certainty all of the particular uses for the net proceeds we receive from this offering. However, we currently intend to use the net proceeds we receive from this offering as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• approximately $4.5 million to mobilize a drilling rig to Benin, to commence exploration and drilling activities as well as additional surveys on Block B and to pay license fees in Benin;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• approximately $0.3 million for initial surveys and license fees in Namibia;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• approximately $0.2 million for further expansion of portfolio or further exploration activity of existing assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• approximately $0.4 million for repayment of the Dragon Note (as defined below); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• approximately $0.6 million, for working capital and selling, general and administrative purposes.

The Dragon Note had a maturity date of the earlier of i) August 26, 2022 or ii) the date of the completion of the IPO and bears no interest, except in the event of default, in which case interest will begin to accrue at a rate of 20% per annum. Because the IPO has not been completed and the note has not been repaid by as of the date of this prospectus, interest on the Dragon Note has begun to accrue from the date of the lapse at a rate of 20% per annum and the original issue discount rate has increased from 20% to 30%. Please see "Management's Discussion and Analysis of Financial Condition and Results of Operation — Contractual Obligations and Commitments — Note Payable-Dragon" for more information.

The December 2022 Note has a maturity date of the earlier of i) April 16, 2023 or ii) the date of the completion of the Company's IPO, and bears interest at a rate of 15% per annum, which will be waived in the event the IPO occurs on or before the maturity date. Please see "Management's Discussion and Analysis of Financial Condition and Results of Operation — Contractual Obligations and Commitments — December 2022 Financing" for more information. For purposes of this use of proceeds, since the receipt and repayment of cash totaling $500,000 for the December 2022 Note occurs after the balance sheet date and nets to zero, the effect has not been included above.

We will have broad discretion over how to use the net proceeds we receive from this offering. In the event the New Production Sharing agreement is not signed, we will divert proceeds intended to be used in Benin to continue with our exploration program in Namibia and accelerate our exploration of opportunities in other areas of Africa using the intended proceeds directed toward Benin.

We intend to invest the net proceeds we receive from this offering that are not used as described above in a variety of capital preservation investments, including short-term, investment-grade, interest-bearing instruments and U.S. government securities.

____________

(1) For purposes of this Use of Proceeds section, deferred offering costs in the amount of approximately $0.9 million that have already been paid by the Company have been added back to the net proceeds calculation.

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This expected use of the net proceeds from this offering represents our intentions based upon our current plans and business conditions, which could change in the future as our plans and business conditions evolve. We may also use a portion of the net proceeds to acquire or invest in other areas of the energy industry.

We believe that the net proceeds from this offering, together with our existing cash and cash equivalents, will enable us to fund our operating expenses and capital expenditure requirements for the next 24 months following the closing of this offering. We have based this estimate on assumptions that may prove to be incorrect, and we could use our available capital resources sooner than we currently expect. To complete exploration and development of resources we may find, if any, we will be required to raise additional capital. We may satisfy our future cash needs through the sale of equity securities, debt financings, working capital lines of credit, corporate collaborations or license agreements, interest income earned on invested cash balances or a combination of one or more of these sources.

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#### DIVIDEND POLICY
We have never declared or paid any cash dividends on our capital stock. We intend to retain future earnings, if any, to finance the operation and expansion of our business and do not anticipate paying any cash dividends in the foreseeable future. Any future determination related to our dividend policy will be made at the discretion of our board of directors after considering our financial condition, results of operations, capital requirements, business prospects and other factors the board of directors deems relevant, and subject to the restrictions contained in any future financing instruments.

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#### CAPITALIZATION
The following table sets forth our cash and cash equivalents and capitalization as of September 30, 2022 (unaudited), as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• on an actual basis; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• on an as adjusted basis to give further effect to (i) our issuance and sale of 1,827,957 shares of our Common Stock in this offering at an assumed initial public offering price of $4.65 per Unit, which is the midpoint of the price range set forth on the cover page of this prospectus, after deducting underwriting discounts and commissions and estimated offering expenses payable by us and therefore providing net proceeds of approximately $5.0 million (assumes no exercise by the underwriters of their option to purchase additional units from us and no exercise of the Warrants included in the Units) and (ii) the repayment of the principal and accrued interest outstanding on the Dragon Notes in the amount of approximately $400,000.

Information below on an as adjusted basis is illustrative only, and our capitalization following the closing of this offering will be adjusted based on the actual initial public offering price and other terms of this offering determined at pricing. You should read this information in conjunction with our financial statements and the related notes included elsewhere in this prospectus and the "Management's Discussion and Analysis of Financial Condition and Results of Operations" section and other financial information contained in this prospectus.

---

| | | |
|:---|:---|:---|
|  | **As of<br>September 30, 2022 <br>(Unaudited)** | **As of<br>September 30, 2022 <br>(Unaudited)** |
|  | **Actual** | **As Adjusted<sup>(1)</sup>** |
|  Total indebtedness | $1483769 | $683769<br><sup>(2)</sup> |
|  Warrant liability | 19657<br><sup>(</sup><sup>3</sup><sup>)</sup> | 185988<br><sup>(</sup><sup>4</sup><sup>)</sup> |
|  Stockholders' equity: |  |  |
| &nbsp;&nbsp;&nbsp; Preferred stock, par value $0.0001, 10,000,000 shares authorized; 0 issued and outstanding |  |  |
| &nbsp;&nbsp;&nbsp; Common Stock, par value $0.0001, 490,000,000 shares authorized; 12,178,411 and 14,006,368 shares issued and outstanding as of <br>September 30, 2022 actual and as adjusted, respectively | 1218 | 1413 |
|  Additional paid-in capital | 6885153 | 12315467 |
|  Accumulated other comprehensive loss | (729441) | (729441) |
|  Accumulated deficit | (5518420) | (5518420) |
| &nbsp;&nbsp;&nbsp; Total stockholders' equity | 638510 | 6069019 |
|  Total capitalization | $2141936 | $6938776 |

---

____________

(1) Each $1.00 increase (decrease) in the assumed initial public offering price of $4.65 per Unit, which is the midpoint of the price range set forth on the cover page of this prospectus, would increase (decrease) the as adjusted amount of each of cash and cash equivalents, total equity and total capitalization by approximately $1.7 million, assuming that the number of Units offered by us, as set forth on the cover page of this prospectus, remains the same and after deducting estimated underwriting discounts and commissions and estimated offering expenses payable by us. Similarly, each increase (decrease) of 100,000 Units in the number of Units offered by us at the assumed initial public offering price per Unit, which is the midpoint of the price range set forth on the cover page of this prospectus, would increase (decrease) the as adjusted amount of each of cash and cash equivalents, total equity and total capitalization by approximately $0.43 million.

(2) Includes repayment of the approximate amount of $400,000 related to the Dragon Note (see "Management's Discussion and Analysis of Financial Condition and Results of Operation — Contractual Obligations and Commitments — Note Payable-Dragon"), which will be paid upon IPO; this also includes the conversion of the Bolitho Note in the approximate amount of $400,000, which will be converted upon IPO. With respect to the December 2022 Note and for purposes of the capitalization schedule above, since the receipt and repayment of cash totaling $500,000 for the December 2022 Note occurs after the balance sheet date and nets to zero, the effect has not been included above.

(3) The fair value of these warrants (more fully described in the attached financial statements) as of September 30, 2022 was estimated using the Black-Scholes pricing model based on the following inputs and assumptions: a unit and exercise price of $4.65, a risk-free interest rate of 4.06, an expected term in years of 2.5, expected volatility of 70% and a dividends rate of 0%.

(4) If converted upon IPO, the fair value of the Bolitho warrants are estimated using a Black-Scholes option model calculation based on the following inputs and assumptions: a unit price of $4.65, an exercise price of $5.81, a risk-free interest rate of 4.06%, an expected term in years of 5.0, expected volatility of 70%, a dividends rate of 0% and a probability of IPO of 75%.

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The number of shares of our Common Stock on an as adjusted basis set forth in the table above is based on shares of our Common Stock outstanding as of and excludes:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• up to 1,890,596 shares of Common Stock issuable upon exercise of NQSOs, ISOs, RSUs, unrestricted stock awards, stock appreciation rights, and other forms of stock based compensation which we intend to grant to our employees and directors under the 2022 Incentive Plan, pursuant to a Registration Statement on Form S-8 to be filed immediately after the consummation of this offering, at an exercise price equal to the offering price of the shares in this offering, or $4.65 per share;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• up to 1,827,957 shares of Common Stock issuable upon exercise of Warrants included in the Units being offered by us; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• up to 91,398 shares of Common Stock issuable upon exercise of the Representative's Warrants issued in connection with this offering.

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#### DILUTION
If you invest in our Common Stock or Warrants in this offering, your ownership interest will be immediately diluted to the extent of the difference between the assumed initial public offering price of $4.65 per Unit (the midpoint of the range appearing on the front cover of this prospectus) and the as adjusted net tangible book value per Unit immediately upon the consummation of this offering. Net tangible book value per share represents the book value of our tangible assets less the book value of our total liabilities divided by the number of shares of Common Stock then issued and outstanding.

Our net tangible book value as of September 30, 2022 was approximately ($1,566,192), or ($0.13) per share. After giving effect to our sale of 1,827,957 shares of Common Stock in this offering at an assumed initial public offering price of $4.65 per Unit, which is the midpoint of the price range set forth on the cover page of this prospectus, after deducting estimated underwriting discounts and commissions and estimated offering expenses payable by us, our as adjusted net tangible book value as of September 30, 2022 would have been approximately $5.7 million, or approximately $0.40 per share (assuming no exercise of the underwriters' option to purchase additional Units). This amount represents an immediate and substantial dilution of $4.25 per share to new investors purchasing Common Stock in this offering (assuming no exercise of the Warrants included in the Units to be sold in this offering). The following table illustrates this dilution per Unit:

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| | |
|:---|:---|
|  Assumed initial public offering price per Unit | $4.65 |
| &nbsp;&nbsp;&nbsp; Net tangible book value per share as of September 30, 2022 | $(0.13) |
| &nbsp;&nbsp;&nbsp; Increase in net tangible book value per share attributable to this offering | $0.53 |
|  As adjusted net tangible book value per share after giving effect to this offering | $0.40 |
|  Dilution per share to new investors participating in this offering | $4.25 |

---

A $1.00 increase (decrease) in the assumed initial public offering price of $4.65 per Unit (the midpoint of the range appearing on the front cover of this prospectus) would increase (decrease) the as adjusted net tangible book value by approximately $1.7 million, or approximately $0.12 per share, and increase (decrease) the dilution per share to new investors by approximately $0.12 per share, assuming that the number of shares offered by us, as set forth on the cover page of this prospectus, remains the same and after deducting estimated underwriting discounts and commissions and estimated offering expenses (assuming no exercise of the over-allotment option to purchase additional Units, and assuming no exercise of the Representative's Warrants), in each case payable by us. We may also increase or decrease the number of shares we are offering. An increase (decrease) of 100,000 Units in the number of Units offered by us would increase (decrease) our as adjusted net tangible book value by approximately $0.43 million, or $0.03 per share and increase (decrease) the dilution per share to new investors by approximately $0.03 per share, assuming the assumed initial public offering price remains the same and after deducting estimated underwriting discounts and commissions and estimated offering expenses payable by us. The as adjusted information discussed above is illustrative only and will change based on the actual initial public offering price and other terms of this offering determined at pricing.

If the underwriters exercise their over-allotment option in full to purchase the additional 274,194 Units in this offering, the as adjusted net tangible book value per share after this offering would be $0.24 per share, and the as adjusted dilution to new investors would be $4.41 per share, in each case assuming an initial public offering price of $4.65 per Unit, which is the midpoint of the price range set forth on the cover page of this prospectus, and after deducting underwriting discounts and commissions and the estimated offering expenses payable by us.

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The following table summarizes, on an as adjusted basis described above, as of September 30, 2022, the differences between the number of shares of Common Stock purchased from us, the total consideration paid and the average price per Unit paid by existing stockholders and by new investors participating in this offering at an assumed initial public offering price of $4.65 per Unit, which is the midpoint of the price range set forth on the cover page of this prospectus, before deducting estimated underwriting discounts and commissions and estimated offering expenses payable by us. As the table shows, new investors purchasing Common Stock in this offering will pay an average price per share substantially higher than our existing stockholders paid.

(In thousands, except per share amounts and percentages)

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Shares Purchased** | **Shares Purchased** | **Total Consideration** | **Total Consideration** | **Average<br> Share<br> Price** |
|  | **Number** | **Percent** | **Amount** | **Percent** | **Average<br> Share<br> Price** |
|  Existing stockholders | 12178411 | 87.0% | $4061713 | 32.3% | $0.33 |
|  New investors | 1827957 | 13.0% | 8500000 | 67.7% | 4.65 |
|  Total | 14006368 | 100.0% | $12561713 | 100.0% | $2.49 |

---

If the underwriters exercise their over-allotment option to purchase additional Units, the percentage of shares of Common Stock held by existing stockholders will decrease to approximately 85.3% of the total number of shares of our Common Stock outstanding after this offering, and the number of shares held by new investors will increase to 2,102,251, or approximately 14.7% of the total number of shares of our Common Stock outstanding after this offering.

The foregoing tables and calculations are based on shares of our Common Stock outstanding as of and excludes:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• up to 1,890,596 shares of Common Stock issuable upon exercise of NQSOs, ISOs, RSUs, unrestricted stock awards, stock appreciation rights, and other forms of stock based compensation which we intend to grant to our employees and directors under the 2022 Incentive Plan, pursuant to a Registration Statement on Form S-8 to be filed immediately after the consummation of this offering, at an exercise price equal to the offering price of the shares in this offering, or $4.65 per share;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• up to 1,827,957 shares of Common Stock issuable upon exercise of Warrants included in the Units being offered by us; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• up to 91,398 shares of Common Stock issuable upon exercise of the Representative's Warrants issued in connection with this offering.

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#### M ANAGEMENT'S DISCUSSION AND ANALYSIS OF<br>FINANCIAL CONDITION AND RESULTS OF OPERATIONS
*You should read the following discussion and analysis of financial condition and operating results together with our financial statements and the related notes and other financial information included elsewhere in this prospectus. This discussion contains forward*-looking *statements that involve risks and uncertainties. We assume no obligation to update any of these forward*-looking *statements. As a result of many factors, such as those set forth in the section of the prospectus captioned "Risk Factors" and elsewhere in this prospectus, our actual results may differ materially from those anticipated in these forward*-looking *statements. For convenience of presentation some of the numbers have been rounded in the text below.*

#### Overview
The Company was incorporated in the State of Nevada on March 29, 2021. The Company is an African focused, oil and gas exploration stage company.

The Company is headquartered in Houston, Texas.

As of June 30, 2021, the Company had not commenced core operations. All activity for the period from March 29, 2021 (inception) through June 30, 2021 relates to the Company's formation and raising funds through issuing shares of the Company's Common Stock. The Company's fiscal year end is June 30.

We are an independent oil and gas exploration stage company, led by an experienced management and technical team, which is focused on under-explored regions in Africa. Our current asset portfolio includes exploration prospects onshore Benin, as well as an exploration license onshore Namibia. As of the date of this prospectus, we have not drilled any wells. Additionally, the Company continues to review other potential assets for expansion.

The consolidated financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP"). The consolidated financial statements include the consolidated financial statements of the Company and its wholly owned subsidiaries, Elephant Oil Limited (UK) and Elephant Oil Benin SA (Benin). All inter-company balances and transactions among the companies have been eliminated upon consolidation.

#### Reverse Acquisition with EOL
Effective April 21, 2021, Elephant Oil entered into a Deed of Agreement (the "Agreement") with Elephant Oil Limited ("EOL"), a private limited company registered in the United Kingdom on January 14, 2013 (the "Acquisition"), pursuant to which, Elephant Oil acquired all of the outstanding shares of EOL. Upon closing, EOL became a wholly-owned subsidiary of the Company (the "Acquisition").

EOL has a wholly-owned subsidiary, Elephant Oil Benin SA ("EOB"), which is a private company incorporated in the Republic of Benin, West Africa, in 2014.

In accordance with the terms of the Agreement, Elephant Oil issued 7,739,394 shares of its Common Stock to EOL as consideration for the shares exchanged. As a result of the transaction, EOL shareholders acquired 70% of Elephant Oil's issued and outstanding shares of Common Stock.

Immediately following the Acquisition, the Company had 11,056,278 shares of Common Stock issued and outstanding. The pre-Acquisition shareholders of the Company retained an aggregate of 3,316,884 shares of Common Stock of the Company, representing 30% ownership of the post-Acquisition Company. Therefore, upon consummation of the Acquisition, there was a change in control of Company, with the former owners of EOL effectively acquiring control of the Company. The Acquisition was treated as a reverse recapitalization effected by a share exchange for financial and reporting purposes since Elephant Oil was deemed to be a shell corporation with nominal operations and assets at the time of the Acquisition. EOL is considered the acquirer for accounting purposes, and Elephant Oil's historical financial statements before the Acquisition have been replaced with the historical consolidated financial statements of EOL before the Acquisition in future filings.

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#### Impact of COVID-19 Pandemic
In March 2020, the World Health Organization characterized the outbreak of the novel strain of coronavirus, specifically identified as COVID-19, as a global pandemic. This has resulted in governments enacting emergency measures to combat the spread of the virus. These measures, which include the implementation of travel bans, self-imposed quarantine periods and social distancing, have caused material disruption to business, resulting in a global economic slowdown. Equity markets have experienced significant volatility and weakness and the governments and central banks have reacted with significant monetary and fiscal interventions designed to stabilize economic conditions.

The current challenging economic climate may lead to adverse changes in cash flows, working capital levels and/or debt balances, which may also have a direct impact on the Company's operating results and financial position in the future. The ultimate duration and magnitude of the impact and the efficacy of government interventions on the economy and the financial effect on the Company is not known at this time. The extent of such impact will depend on future developments, which are highly uncertain and not in the Company's control, including new information which may emerge concerning the spread and severity of COVID-19 and actions taken to address its impact, among others. The repercussions of this health crisis could have a material adverse effect on the Company's business, financial condition, liquidity and operating results.

In response to COVID-19, the Company has implemented working practices to address potential impacts to its operations, employees and customers, and will take further measures in the future if and as required. At present, we do not believe there has been any appreciable impact on the Company specifically associated with COVID-19.

#### Emerging Growth Company Status
The Company is an "emerging growth company," as defined in Section 2(a) of the Securities Act, as modified by the Jumpstart Our Business Startups Act of 2012 (the "JOBS Act"), and it may take advantage of certain exemptions from various reporting requirements that are applicable to other public companies that are not emerging growth companies including, but not limited to, not being required to comply with the auditor attestation requirements of Section 404(b) of the Sarbanes-Oxley Act of 2002, reduced disclosure obligations regarding executive compensation in its periodic reports and proxy statements, and exemptions from the requirements of holding a nonbinding advisory vote on executive compensation and stockholder approval of any golden parachute payments not previously approved. Further, Section 102(b)(1) of the JOBS Act exempts emerging growth companies from being required to comply with new or revised financial accounting standards until private companies (that is, those that have not had a Securities Act registration statement declared effective or do not have a class of securities registered under the Exchange Act) are required to comply with the new or revised financial accounting standards. The JOBS Act provides that a company can elect to opt out of the extended transition period and comply with the requirements that apply to non-emerging growth companies but any such election to opt out is irrevocable. The Company has elected not to opt out of such extended transition period which means that when a standard is issued or revised and it has different application dates for public or private companies, the Company, as an emerging growth company, can adopt the new or revised standard at the time private companies adopt the new or revised standard. This may make comparison of the Company's financial statements with another public company which is neither an emerging growth company nor an emerging growth company which has opted out of using the extended transition period difficult or impossible because of the potential differences in accounting standards used.

#### RESULTS OF OPERATIONS

#### For the Three Months September 30, 2022 and 2021 (unaudited)
For the three months ended September 30, 2022, we incurred operating expenses of $535,856, which were primarily attributable to stock-based compensation expense of $243,405 and consulting and salaries fees of $186,102. We also incurred other expenses of $216,928, which were primarily related to the amortization of debt discounts as interest expense. For the three months ended September 30, 2021, we incurred operating expenses of $144,192. The operating expenses were attributable to exploration expense, as well as selling, general and administrative expenses of $144,192.

For the three months ended September 30, 2022 and 2021, due to our minimal exploration activities, we did not experience any supply chain disruptions that materially affected our outlook or business goals and that, as a result, have materially impacted our results of operations or capital resources.

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*Net Loss and Comprehensive Income and Loss*

For the three months ended September 30, 2022, we incurred a net loss of $746,690 and a comprehensive loss of $826,993.

For the three months ended September 30, 2021, we incurred a net loss of $156,477 and a comprehensive loss of $182,297.

#### For the Years June 30, 2022 and 2021
For the fiscal year ended June 30, 2022, we incurred operating expenses of $2,964,447, as compared to $176,206 for the fiscal year ended June 30, 2021, an increase of $2,788,241. The operating expenses for the fiscal years ended June 30, 2022 and 2021 were attributable to exploration expense of $63,238 and $98,352, respectively, and selling, general and administrative expenses of $2,901,209 and $77,854, respectively. The increase in selling, general and administrative expenses was attributable to stock-based compensation expense of $1,908,010 and salaries expense of $273,000 as part of our increase in personnel and for legal and professional expenses of $272,853 in preparation for our proposed initial public offering.

For the fiscal years ended June 30, 2022 and 2021, due to our minimal exploration activities, we did not experience any supply chain disruptions that materially affected our outlook or business goals and that, as a result, have materially impacted our results of operations or capital resources.

*Net Loss*

For the year ended June 30, 2022, we incurred a net loss of $3,045,823 and a comprehensive loss of $3,198,270.

For the year ended June 30, 2021, we incurred a net loss of $226,518 and a comprehensive loss of $162,462.

#### Liquidity and Capital Resources
As of September 30, 2022 (unaudited), we had $2,227,828 in current assets and $3,692,136 in current liabilities. We had $23,126 in cash and our accumulated deficit was $5,518,420.

As of June 30, 2022, we had $1,639,751 in current assets and $2,593,028 in current liabilities. We had $45,175 in cash and our accumulated deficit was $4,771,730.

As of June 30, 2021, we had $518,966 in current assets and $985,930 in current liabilities. We had $334,344 in cash and our accumulated deficit was $1,725,907.

*Cash Flows*:

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **September 30,** | **September 30,** | **June 30,** | **June 30,** |
|  | **2022** | **2021** | **2022** | **2021** |
|  | **(Unaudited)** | **(Unaudited)** | | |
|  Cash used in operating activities | $(43080) | $(53154) | $(493820) | $(81893) |
|  Cash used in investing activities | (77232) | (94040) | (184763) | (3482) |
|  Cash provided by financing activities | 125901 | (123386) | 382793 | 350400 |
|  Effect of foreign currency exchange | (27638) | (14634) | 6622 | 5592 |
|  **Net increase (decrease) in cash** | $(22049) | $(285214) | $(289169) | $270617 |

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*Cash Flows From Operating Activities*

For the three months ended September 30, 2022 (unaudited), we used $43,080 of cash in our operating activities, which was primarily attributable to expenses related to the stock-based compensation, the amortization of debt discounts and our initial public offering.

For the three months ended September 30, 2021 (unaudited), we used $53,154 of cash in our operating activities, which was primarily attributable to expenses related to prepaid accounts and our initial public offering.

For the year ended June 30, 2022, we used $493,820 of cash in our operating activities, which was attributable to increased expenses related to initial public offering and expenses related to stock-based compensation.

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For the year ended June 30, 2021, we used $81,893 of cash from our operating activities, which was primarily attributable to increased expenses related to initial public offering.

*Cash Flows From Investing Activities*

For the three months ended September 30, 2022 (unaudited), we used $77,232 of cash in our investing activities, which was primarily attributable to additional capital expenditures and deposits related to our oil and gas property.

For the three months ended September 30, 2021 (unaudited), we used $94,040 of cash in our investing activities, which was primarily attributable to additional capital expenditures and deposits related to our oil and gas property.

For the year ended June 30, 2022, we used $184,763 of cash in our investing activities, which was primarily attributable to additional capital expenditures related to our oil and gas property.

For the year ended June 30, 2021, we used $3,482 of cash in our investing activities, which was primarily attributable to additional capital expenditures related to our oil and gas property.

*Cash Flows From Financing Activities*

For the three months ended September 30, 2022 (unaudited), we received $125,901 of cash from our financing activities, which was primarily related to $350,000 in proceeds from the issuance of notes payable and $189,807 in payments for deferred offering costs.

For the three months ended September 30, 2021 (unaudited), we used $123,386 of cash from our financing activities, which was primarily related to $119,600 in proceeds from the issuance of common stock and $239,106 in payments for deferred offering costs.

For the year ended June 30, 2022, we received $382,793 of cash from our financing activities, which was primarily related to $737,400 from the issuance of Common Stock and $561,445 in payments for deferred offering costs.

For the year ended June 30, 2021, we received $350,400 of cash from our financing activities, which was related to $522,000 from the issuance of Common Stock and $171,600 in payments for deferred offering costs.

#### Off-Balance Sheet Arrangements
We did not have any off-balance sheet arrangements as defined in Item 303(a)(4)(ii) of Regulation S-K promulgated under the Exchange Act.

#### Contractual Obligations and Commitments
*Long-term Note Payable — Bank*

The Company received approximately $61,795 (£50,000 GBP) related to a loan agreement dated June 19, 2020, with Coutts & Co. bank under the UK's Bounce Back Loan Scheme. The loan is unsecured, bears interest at 0% for the first 12 months and then 2.5% per annum thereafter, payable quarterly. The loan and any unpaid accrued interest is due in June 2026 and had balances of $11,170 and $29,469 in current and long-term liabilities as of September 30, 2022 (unaudited), and balances of $12,143 and $35,368 in current and long-term liabilities, respectively, as of June 30, 2022, and balances of $13,819 and $55,276 in current and long-term liabilities, respectively, as of June 30, 2021.

Accrued interest on the note payable totalled $386 as of September 30, 2022 (unaudited), and $1,545 and $53 as of June 30, 2022 and 2021, respectively. Interest expense for the above notes payable for the three months ended September 30, 2022 (unaudited) and 2021 was $386 and $421, respectively.

*Note Payable — Dragon*

On May 26, 2022, the Company entered into a convertible promissory note ("Dragon Note") with Dragon Dynamic Funds. The Dragon Note has a principal amount of $312,500, a purchase price of $250,000, an original issue discount of $62,500 and a maturity date of the earlier of i) August 26, 2022 or ii) the date of the IPO. The Dragon Note was funded on June 1, 2022 and bears no interest except in the event of default; prepayments can be made in advance of the maturity date by paying 120% of the amounts owed. Upon the maturity date, the Dragon Note shall be convertible into common stock at a conversion price of 70% of the price of the common stock on the date of the IPO. The Dragon

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Note also has 25% warrant coverage, with the number of warrants to be issued equal to $78,125, as determined in the warrant agreement. The Company issued warrants, which were valued using a Black-Scholes option-pricing model to estimate the fair value of the warrants at May 26, 2022, which is based on significant inputs not observable in the market representing a Level 3 measurement within the fair value hierarchy based on an exercise price of $4.65, an average term of 2.5 years, volatility of 70%, a dividend yield of 0% and a risk rate of 2.70, resulting in a fair value of $25,751. As of September 30, 2022, the fair value of the warrants liability was $19,657, resulting in a change in fair value of $6,094 from the prior period.

The Company also incurred debt issuance costs of $30,000 in connection with the issuance of the note and warrants. The values of the original issue discount, warrants and debt issuance costs are recorded as debt discounts and amortized into interest expense over the life of the note, which is 90 days. Additionally, per the Dragon Note, there are default contingencies regarding the interest rate and the original issue discount. If the IPO has not been completed or the note has not been repaid by the maturity date of August 26, 2022, interest will begin to accrue from the date of the lapse at a rate of 20% per annum and the original issue discount rate will increase from 20% to 30%. As of September 30, 2022, the Company has not completed its IPO or repaid the Dragon note; as such, the balance of the note payable was $364,087 with interest expense of $124,852 (which includes $6,944 and $44,643 for default interest and the increased original issue discount rate, respectively) for the three months ended September 30, 2022. Upon completion of the IPO, the Company intends to repay this obligation.

*Convertible Promissory Note — Individual Holder*

During July 2022, the Company entered into a convertible promissory note ("IH Note") with an individual holder. The IH Note has a principal amount of $437,500, a purchase price of $350,000, an original issue discount of $87,500 and a maturity date of the earlier of i) October 29, 2022 or ii) the date of the IPO and is convertible at the option of the holder, beginning upon the maturity date or the date of the IPO. If the holder chooses to convert, the IH Note will convert into shares of common stock and a number of warrants (collectively, Units) equal to the shares of common stock issued upon conversion. No warrants will be issued in the event of non-conversion. The conversion price shall equal 70% of the price of the Units on the date of the IPO, subject to stock splits, dividends or recapitalization. The warrants will expire on the five-year anniversary of the issue date.

The Company incurred debt issuance costs of $31,500 in connection with the issuance of the IH Note. The value of the original issue discount and debt issuance costs are recorded as debt discounts and amortized into interest expense over the life of the IH Note, which is 90 days. The IH Note bears no interest except in the event of default; prepayments can be made in advance of the maturity date by paying 120% of the amounts owed. In the event of default or the IPO has not been completed by the maturity date, the original issue discount will increase to 30% of the face value of the note. As of September 30, 2022, the balance of the IH Note Payable was $399,577 with interest expense of $81,077 for the period and a balance of $37,923 related to the remainder of the debt discounts.

As of October 29, 2022 (the maturity date of the IH Note), the Company has not yet completed its Initial Public Offering or repaid the principal balance of the IH Note and as such, is in default. Per the IH Note, because the IH note is now in default, the original issue discount has increased to 30% of the face value of the note or $150,000, increasing the principal amount of the note to $500,000. The IH Note also has begun to accrue interest at a rate of 20% per annum.

*December 2022 Financing*

On December 16, 2022, subsequent to the end of the first quarter ended September 30, 2022, the Company entered into a securities purchase agreement ("December 2022 SPA") with 622 Capital LLC relating to the issuance of a 20% Original Issue Discount Senior Note (the "December 2022 Note"). Pursuant to the December 2022 SPA, the December 2022 Note was issued with an aggregate principal amount of $500,000, an aggregate subscription amount of $400,000 and incentive shares of the Company's common stock. The December 2022 Note has a maturity date of the earlier of i) April 16, 2023 or ii) the date of the completion of the Company's IPO, and bears interest at a rate of 15% per annum, which will be waived in the event the IPO occurs on or before the maturity date. The December 2022 SPA also provides for the issuance of incentive shares, the number of which will be equal to approximately 0.4106% of the issued shares of the Company, estimated to be equal to 50,000 shares of Common Stock as of the closing date of the December 2022 SPA. Spartan acted as placement agent for the financing, and was paid fees equal to 8% of the gross proceeds of the subscription amount, or $32,000. The December 2022 SPA included customary representations and covenants for the sale and purchase of securities.

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#### Critical Accounting Policies and Estimates
*Use of Estimates*

The preparation of financial statement in conformity with U.S. GAAP requires the Company's management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statement and the reported amounts of revenues and expenses during the reporting period.

Making estimates requires management to exercise significant judgment. It is at least reasonably possible that the estimate of the effect of a condition, situation or set of circumstances that existed at the date of the financial statement, which management considered in formulating its estimate, could change in the near term due to one or more future confirming events. Some of the more significant estimates required to be made by management include the determination of reserves for our oil and gas property and the valuation of equity based transactions. Accordingly, the actual results could differ significantly from those estimates.

*Deferred Offering Costs*

Deferred offering costs consist of professional fees, filing, regulatory and other costs incurred through the balance sheet date that are directly related to the Proposed Public Offering. As of September 30, 2022, offering costs in the aggregate of $2,204,702 were deferred and, as of June 30, 2022 and 2021, offering costs in the aggregate of $1,594,576 and $172,050, respectively, were deferred.

*Oil and Gas Property and Exploration Costs*

The Company is in the exploration stage and has not yet realized any revenues from its operations. It applies the successful efforts method of accounting for crude oil and natural gas properties. Under this method, exploration costs such as exploratory geological and geophysical costs, delay rentals and exploratory overhead are expensed as incurred. If an exploratory property provides evidence to justify potential development of reserves, drilling costs associated with the property are initially capitalized, or suspended, pending a determination as to whether a commercially sufficient quantity of proved reserves can be attributed to the area as a result of drilling. At the end of each quarter, management reviews the status of all suspended exploratory property costs in light of ongoing exploration activities; in particular, whether the Company is making sufficient progress in its ongoing exploration and appraisal efforts. If management determines that future appraisal drilling or development activities are unlikely to occur, associated exploratory well costs are expensed.

Costs to acquire mineral interests in crude oil and/or natural gas properties, drill and equip exploratory wells that find proved reserves and drill and equip development wells are capitalized. Acquisition costs of unproved leaseholds are assessed for impairment during the holding period and transferred to proven crude oil and/or natural gas properties to the extent associated with successful exploration activities. Significant undeveloped leases are assessed individually for impairment, based on the Company's current exploration plans, and a valuation allowance is provided if impairment is indicated. Capitalized costs from successful exploration and development activities associated with producing crude oil and/or natural gas leases, along with capitalized costs for support equipment and facilities, are amortized to expense using the unit-of-production method based on proved crude oil and/or natural gas reserves on a field-by-field basis, as estimated by qualified petroleum engineers.

Oil and natural gas properties are grouped for depreciation, depletion and amortization in accordance with Accounting Standards Codification ("ASC") ASC 932 — Extractive Activities — Oil and Gas ("ASC 932"). The basis for grouping is a reasonable aggregation of properties with a common geological structural feature or stratigraphic condition, such as a reservoir or field.

When circumstances indicate that proved oil and natural gas properties may be impaired, the Company compares net capitalized costs to the expected undiscounted pre-tax future cash flows for the associated assets grouped at the lowest level for which identifiable cash flows are independent of cash flows of other assets. If the expected undiscounted pre-tax future cash flows, based on the Company's estimate of future crude oil and natural gas prices, operating costs, anticipated production from proved reserves, and other relevant data, are lower than the net capitalized cost, the capitalized cost is reduced to fair value. Fair value is generally estimated using the income approach described in ASC 820, "Fair Value Measurements" ("ASC 820"). If applicable, the Company may utilize prices and other relevant information generated by market transactions involving assets and liabilities that are identical or comparable to the item being measured as the basis for determining fair value. The expected future cash flows used for impairment

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reviews and related fair value calculations are typically based on judgmental assessments of future production volumes, commodity prices, operating costs, and capital investment plans, considering all available information at the date of review. These assumptions are applied to develop future cash flow projections that are then discounted to estimated fair value, using a discount rate believed to be consistent with those applied by market participants.

*Impairment of Long-lived Assets*

The Company reviews the carrying value of its long-lived assets annually or whenever events or changes in circumstances indicate that the historical cost-carrying value of an asset may no longer be appropriate. The Company assesses recoverability of the carrying value of the asset by estimating the future net undiscounted cash flows expected to result from the asset, including eventual disposition. If the future net undiscounted cash flows are less than the carrying value of the asset, an impairment loss is recorded equal to the difference between the asset's carrying value and estimated fair value.

*Asset Retirement Obligations*

The Company measures its obligations for the retirement of the oil fields using various assumptions such as the expected period upon the expiry of the contract and the complete depletion of the oil deposits underground, the degree of the damage the operation had done to the oil field, and the related governmental requirements imposed on the Company as a contractor. The asset retirement obligation is reviewed and adjusted each quarter for any liabilities incurred or settled during the period, accretion expense and any revisions made to the estimated cash flows and changes required by the Company.

*Foreign Currency Translations*

The Company's functional and reporting currency is the U.S. dollar. All transactions initiated in other currencies are translated into U.S. dollars using the exchange rate prevailing on the date of transaction. Monetary assets and liabilities denominated in foreign currencies are translated into the US dollar at the rate of exchange in effect at the balance sheet date. Unrealized exchange gains and losses arising from such transactions are deferred until realization and are included as a separate component of stockholders' equity as a component of comprehensive loss. Upon realization, the amount deferred is recognized in income in the period when it is realized.

*Translation of Foreign Operations*

The financial results and position of foreign operations whose functional currency is different from the Company's presentation currency are translated as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• assets and liabilities are translated at period-end exchange rates prevailing at that reporting date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• equity is translated at historical exchange rates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• income and expenses are translated at average exchange rates for the period;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• cash flows are translated using average and historic (i.e., specific one-time transactions) rates.

Exchange differences arising on translation of foreign operations are transferred directly to the Company's accumulated other comprehensive loss in the consolidated financial statements. Transaction gains and losses arising from exchange rate fluctuation on transactions denominated in a currency other than the functional currency are included in the consolidated statements of operations.

The relevant translation rates are as follows:

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **September 30, <br>2022** | **June 30, <br>2022** | **September 30, <br>2021** | **June 30, <br>2021** |
|  Closing rate, British Pound (GBP) to US$ as of period end | 1.117 | 1.214 | 1.347 | 1.382 |
|  Average rate, GBP to US$ for the period ended | 1.178 | 1.332 | 1.348 | 1.347 |
|  Closing rate, West African CFA franc (XOF) to GBP as of period end | 0.00133 | 0.00132 | 0.00133 | 0.00132 |
|  Average rate, XOF to GBP for the period ended | 0.00131 | 0.00130 | 0.00131 | 0.00136 |

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#### Quantitative and Qualitative Disclosure About Market Risk
Market risk represents the risk of loss that may impact our financial position due to adverse changes in financial market prices and rates. Our market risk exposure is primarily a result of exposure due to potential changes in inflation or interest rates. See " Risk Factors — Risks Related to Our Business — Our business and results of operations may be materially adversely effected by inflationary and supply chain pressures." We do not hold financial instruments for trading purposes.

#### Going Concern and Management's Liquidity Plans
As of September 30, 2022, the Company had $23,126 in cash and a working capital deficit of $3,669,010, exclusive of deferred offering costs of $2,204,702. To date the Company has been funding operations through proceeds from the issuance of Common Stock and loans from related and other parties.

The accompanying consolidated financial statements have been prepared on the basis that the Company will continue as a going concern over the next twelve months from the date of issuance of these consolidated financial statements, which assumes the realization of assets and the satisfaction of liabilities in the normal course of business. As of September 30, 2022 (unaudited), the Company has an accumulated deficit of $5,518,420 and has experienced losses from operations and negative working capital. Based on the Company's cash balance as of September 30, 2022 (unaudited), and projected cash needs for the next twelve months, management estimates that it will need to generate sufficient sales revenue and/or raise additional capital to cover operating and capital requirements. Management will need to raise the additional funds through the Proposed Public Offering or issuing additional shares of Common Stock or other equity securities or obtaining debt financing. Although management has been successful to date in raising necessary funding, there can be no assurance that any required future financing can be successfully completed on a timely basis, or on terms acceptable to the Company. Based on these circumstances, management has determined that these conditions raise substantial doubt about the Company's ability to continue as a going concern for the next twelve months from the issuance of these consolidated financial statements.

Accordingly, the accompanying consolidated financial statements have been prepared in conformity with U.S. GAAP, which contemplates continuation of the Company as a going concern and the realization of assets and the satisfaction of liabilities in the normal course of business. The consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty.

The current COVID-19 pandemic could continue to, and future similar epidemics or pandemics could also, materially and adversely impact our ability to finance and conduct the Company's business once it becomes operational and could materially and adversely impact its operations, funding, and/or financial performance. The COVID-19 pandemic has had no material impact on the Company's current business activities which are primarily focused on compliance and fund raising tasks. The Company has had and continues to have the same staff, same service providers and same processes as was the case prior to the pandemic.

There is an ongoing conflict involving Russia and Ukraine and the war between the two countries continues to evolve as military activity proceeds and additional sanctions are imposed. The war is increasingly affecting economic and global financial markets and exacerbating ongoing economic challenges, including issues such as rising inflation and global supply-chain disruption. While the Company does not believe this conflict currently has a material impact on its financial accounting and reporting, the degree to which it will be affected in the future largely depends on the nature and duration of uncertain and unpredictable events, and its business could be impacted. Furthermore, future global conflicts or wars could create further economic challenges, including, but not limited to, increases in inflation and further global supply-chain disruption. Consequently, the ongoing Russia/Ukraine conflict and/or other future global conflicts could result in an increase in operating expenses and/or a decrease in any future revenue and could further have a material adverse effect on the Company's results of operations and cash flow.

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#### Business

#### Overview
We are an independent oil and gas exploration stage company, led by an experienced management and technical team, which is focused on under-explored regions in Africa. Our current asset portfolio includes exploration prospects onshore in Benin, as well as an exploration license onshore in Namibia. As of the date of this prospectus, we have not drilled any wells. Additionally, the Company continues to review other potential assets for expansion.

#### Republic of Benin
In October 2013, Elephant Oil signed the Production Sharing Agreement providing a 100% licensed interest under the PSA in onshore Block B, which is over 1.1 million acres, or 1,772 square miles or 4,590 square kilometers and is accessible by local roadways in a low density tropical forest environment. SOBEH now known as SNH-Benin, the national oil company of Benin, has an option to acquire a 10% interest upon commercial discovery. The exploration period is 9 years and, unless extended, would have terminated in October 2022. However, we are in advanced negotiations with the Ministry of Water and Mines for a New Production Sharing Agreement. Because we are currently in negotiations for a new agreement, as per a July 2018 letter from the Ministry of Water and Mines and Article 53 of the Petroleum Code, our rights under the Production Sharing Agreement are extended and remain valid until the negotiations are finalized. We intend to continue exploring Block B while we continue negotiations with the Ministry of Water and Mines for a New Production Sharing Agreement.

The Production Sharing Agreement provides for an initial exploration phase of three years, with two possible extension phases of three years each. Elephant Oil is currently under the exploration phase, and is in the second three year extension. As discussed below, by virtue of the enactment of the Petroleum Code (as defined below), the Production Sharing Agreement is currently still in effect. In the event that a commercial discovery is made on Block B, the Production Sharing Agreement further entitles Elephant Oil to apply for and receive, subject to Benin government approval, a production license of up to 25 years, renewable for a period of up to 10 years, from the Ministry of Water and Mines.

The Production Sharing Agreement may be terminated by the Minister in charge of Hydrocarbons of the Republic of Benin upon the following scenarios: (i) if we fail to correct any significant breach, not attributable to the Government of Benin or any of its representatives, after thirty (30) days of notification of such breach; (ii) a delay of over three (3) months in payment to the Government of the Republic of Benin, for reasons not attributable to the Government of the Republic of Benin or any of its representatives; (iii) the interruption of field work that lasts over six (6) months unless either approved by the Government of the Republic of Benin or due to a Force Majeure event; (iv) breach of the agreement due to illegal operations or conducting business that violates national or international law; (v) if we fail to comply with an arbitration judgment that stems from this arrangement; or (vi) if we declare bankruptcy or goes through a court-ordered liquidation. Royalties payable under the Production Sharing Agreement are as follows: (i) for oil - we shall pay royalties at a rate of 12.5% of the total available production excluding losses regarding operations starting with the first barrels produced, and the remaining quantity of the crude oil shall be referred to as ''Available Crude," and this royalty rate shall be negotiable for the condensate; and (ii) in case of discovery of gas - both parties shall come together to define the royalties as well as the sharing proportion for the gas. Pursuant to the Production Sharing Agreement, we shall be bound to pay in accordance with the Benin Tax Code all of the taxes and dues to which we shall be subject namely the Income Tax, which shall not exceed 45% of the taxable profit.

In 2019, the government of Benin enacted the Petroleum Code and Model PSA. Prior to the enactment, Elephant Oil had held numerous discussions with the government to amend, advance and clarify its standing under the existing Production Sharing Agreement and petroleum code signed in 2013.

The government of Benin took the position that with the enactment of the Petroleum Code in 2019, it wanted all oil and gas stakeholders to negotiate and transfer their current license(s) under the new legislation. The existing Production Sharing Agreement expressly provides that upon a change in law in Benin that reduces the benefits or advantages of the contracting party, the terms of the Production Sharing Agreement shall be modified in order to balance the economic benefits of the contracting party. Elephant Oil and the government of Benin have entered into negotiations in good faith to bring the existing Production Sharing Agreement under the new code and model form.

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In December 2021 Elephant Oil executed the New Production Sharing Agreement and delivered it to the government of Benin for signature and ratification. The New Production Sharing Agreement is anticipated to be signed in early 2023, but there can be no assurance that it will be signed in this time frame, or at all. In the event the New Production Sharing Agreement is not signed, we will continue with our exploration program in Namibia and accelerate our exploration of opportunities in other areas of Africa using the intended proceeds directed toward Benin.

Trilogy Resource Corporation had previously operated on Block B, but ceased its operations and relinquished its title to the property in 1992. Elephant Oil began exploration on Block B in 2013, and through the date of this prospectus has continued to explore Block B, including by: (i) procuring a Full Tensor Gravity (Aero Gravity Gradiometry) survey undertaken by Fugro Airborne Surveys Pty Ltd over the entire Block B, (ii) reprocessing existing onshore 2D seismic survey prepared by Trilogy Resource Corporation and integrating such data with new offshore 2D seismic data from SNH-Benin, (iii) procuring a Passive Seismic survey undertaken by GeoDynamics Worldwide, which has helped in Elephant Oil's understanding of the structural fabric and basin setting and (iv) procuring an Environmental and Social Impact Assessment (ESIA), which was performed by RPS Energy Limited. We commissioned a third party evaluation by RISC (UK) Limited, which was provided in June 2021, to review exploration opportunities in Block B, onshore Benin, west Africa. The RISC review suggested the probable presence of exploration opportunities in Benin Block B, in particular identifying 5 plays (groups of oil fields or prospects in the same region controlled by the same set of geological circumstances) over Block B and reviewing 15 leads (subsurface structural or stratigraphic features with the potential to have entrapped oil or natural gas) associated with one of the plays. Seismic data shows that the offshore line ties into the onshore line, providing a discernible and exciting target for us to drill. Furthermore, Benin's Block B is adjacent, on both sides, to oil refineries with significant production in Ghana and Nigeria. Elephant Oil plans to mobilize a drilling rig to Benin in 2023 to commence exploration drilling and additional surveys on the block. For further details on anticipated expenditures related to these plans, see "Use of Proceeds" contained elsewhere in this prospectus.

#### Republic of Namibia
In August 2021, Elephant Oil signed a Petroleum Agreement with Namibia for onshore Block 1919 (the "Petroleum Agreement"), which includes a minimum exploration expenditure of $5,000,000. The $5,000,000 minimum exploration expenditure condition will be deemed satisfied if the minimum work obligations are properly executed using best oil field practices, regardless of the specified expenditure amount. Elephant Oil holds a 70% working interest in Block 1919 on over 2.8 million acres, or 4,507 square miles, or 11,675 square kilometers, onshore and is accessible by local roadways in brushland environment. Niikela Exploration (PTY) LTD holds a 20% working interest and NAMCOR, a Namibian state-owned entity, holds the remaining 10% interest in the license on a carried interest basis. In August 2022, the Company paid $100,000 in license fees under the Petroleum Agreement. The exploration period is 8 years (as described in more detail below) and, unless extended, will terminate on August 22, 2029. After a period of four years, Elephant Oil must relinquish 50% of its interest of its interest in Block 1919, and after a period of an additional two years, it must relinquish an additional 25% of its interest. Elephant Oil is currently in the second year of the initial 4 year term of the exploration period under the Petroleum Agreement, which may be extended for two additional two year terms upon the NMME's consent, bring the total exploration period to 8 years. In the event that an economically viable resource discovery is made at the licensed property, the Petroleum Agreement further entitles Elephant Oil to apply for and receive, subject to Namibian government approval, a production license of up to 25 years, renewable for a period of up to 10 years, from the NMME. If Elephant Oil fails to adhere to best oil field practices as prescribed in the Petroleum Act of 1991, it will be responsible for remedying the costs associated with any environmental damages caused in Block 1919.

The Petroleum Agreement shall continue to be in full force for as long as we hold an exploration license or production license. NMME may terminate the agreement with notice in writing if the Company is liquidated or it fails to comply with any final award made pursuant to arbitration proceedings arising under the Petroleum Agreement. Royalties payable under the Petroleum Agreement include a 5% quarterly royalty on the petroleum produced under the agreement. Pursuant to the Petroleum Agreement, the Company shall owe a petroleum income tax of 42% of any taxable income received in connection with the agreement, as well as certain additional profits taxes depending on the accumulated net cash position of the Company at the end of each year. Further, we are subject to an annual charge under the Petroleum Agreement, pursuant to which we pay a fee equal to the number of square kilometers included in Block 1919 increased by certain multipliers which increase each time our license is renewed.

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Namibia has geology that is similar tectono-stratigraphically to prolific hydrocarbon regions on both sides of the Atlantic, including the Santos and the Campos basins in Brazil, the Kwanza basin in Angola, the Congo basin to the north, the Colorado basin in Argentina and the South Pelotas basin in Uruguay. According to "Basin Evolution, Configuration Styles, and Hydrocarbon Accumulation of the South Atlantic Conjugate Margins" by Z. Wen et al., 2019, a total of 111 giant oil and gas fields with recoverable reserves of nearly 260 billion barrels of oil have been discovered along the South Atlantic.

In 2022, there were two promising offshore oil discoveries in Namibia. On February 4, 2022 Shell PLLC (NYSE: SHEL) had a major discovery in Namibia. NAMCOR, Shell Namibia Upstream B.V., and Qatar Energy, announced that the Graff-1 deep-water exploration well has made a discovery of light oil in both primary and secondary targets. The Graff-1 well has proved a working petroleum system for light oil in the Orange Basin, offshore Namibia, 270 km from the town of Oranjemund. Drilling operations commenced in early December 2021 and were safely completed in early February 2022. On February 24, 2022 TotalEnergies SE (NYSE: TTE) had a major discovery. NAMCOR announced a major light oil and associated gas discovery on the Venus-1X prospect, located in block 2913B (PEL 56) in the Orange Basin, offshore southern Namibia. The Venus-1X discovery is located approximately 290 kilometres off the coast of Namibia, in the deep-water offshore exploration block. The well was drilled to a total depth of 6,296 metres, by the Maersk Voyager drillship, and encountered a high-quality, light oil-bearing sandstone reservoir of Lower Cretaceous age. We believe these recent discoveries will make Namibia one of Africa's centres of oil and gas operations in the coming years. We do not own any interests in the foregoing properties, and any of the information reported is not indicative of our future results. As of now we have no proved reserves and areas that we decide to drill may not yield oil and natural gas in commercial quantities or quality, or at all. Further, any estimates provided above were taken from source material, and such estimates may or may not have been prepared in conformance with recognized industry standard reporting guidelines.

In the short term, we are immediately focused on onshore activities. Reconnaissance Energy Africa Ltd. ("ReconAfrica") has announced onshore drilling in a block Namibia in April and June of 2021 and future drilling as well as seismic studies in the Kavango Basin. We have targeted a block adjacent to the south of ReconAfrica's block in the Kavango Basin where the drilling and seismic studies have taken place as where we will be conducting our onshore activities. For further details on anticipated expenditures related to these plans, see "Use of Proceeds" contained elsewhere in this prospectus.

#### Our Strategy
We believe that we will be able to achieve our primary business objective of creating value for our shareholders by executing on the following strategies:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• In the next four years, we are focused on:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Moving forward on our exploration program, including mobilizing a drilling rig in 2023, followed by drilling two oil wells onshore in Benin, on what we believe to be attractive identified leads in Block B. We will also continue to complete survey work in 2023 through 2025 to identify additional structures in Block B for future drilling.

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#### Map of Benin & Namibia
![](timage_001.jpg)

#### Map of "Block B" in Benin
![](timage_002.jpg)

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• In Namibia, we will begin exploration by performing surveys on shore, which we anticipate will lead to future drilling.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We are focused on the acquisition, exploration, appraisal and development of existing and new opportunities in Africa, including identifying, capturing and testing additional high-potential prospects to grow resources and develop reserves with an aim of generating net asset value and delivering returns to our shareholders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• We are led by an experienced management team with an average experience in the energy industry of over 12 years.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Elephant Oil actively engages with local communities and partners to ensure a strong environmental, social & governance ("ESG") policy, including:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Donating numerous supplies and building schools in Benin.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Completing rigorous Environmental Social Impact assessment prior to work in the field.

#### Our Team
We are founded and led by the following management team:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*• Matthew Lofgran, Founder, Chief Executive Officer and Secretary.* Mr. Lofgran has served as our Chief Executive Officer since April 30, 2021 and as our Secretary since October 31, 2021. Mr. Lofgran has over 15 years of international oil and gas experience. Mr. Lofgran founded and served as the Managing Director of Elephant Oil Limited since 2013. He has served as the Chief Executive Officer of Nostra Terra Oil & Gas Company plc, a UK-based oil and gas exploration and production company, since 2009 where he led the expansion of Nostra Terra into the United States and the Middle East/North Africa. From 2004 to 2006, Mr. Lofgran served as the Vice President of International Business Development of Robson Energy, LLC, where he launched the oil and gas, field services and coal divisions. Mr. Lofgran holds a Global MBA and a Certificate in Oil & Gas Management from Thunderbird School of Global Management.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*• Lanre Oloniniyi, Chief Financial Officer.* Mr. Oloniniyi has served as our Chief Financial Officer since October 1, 2021. Mr. Oloniniyi has over 15 years investment experience in various business ventures between Europe, Middle East and Africa. Since September 2016, Mr. Oloniniyi has worked as the co-founder of Orbitt Limited, a financial services company. Prior to co-founding Orbitt Limited, Mr. Oloniniyi was involved in originating investment ideas and raising the required capital to grow start-ups in Africa, including Sankuru, First African Gold and Tranergy Capital Limited, an Energy focused advisory firm. He also worked at BP P.L.C. as a Senior Associate (2010 to 2016), Subsea 7 UK Ltd in Business Development (2006 to 2010), and Citigroup UK as a Fund Analyst (2005 to 2006). Mr. Oloniniyi holds a BSc in Economics from the University of Ado, an MSc degree in Energy Economics from the University of Dundee, UK and an MBA from University of Cambridge, UK.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Dr. Stephen Staley, Chairman*. Dr. Staley has served as our Director since November 1, 2021. Dr. Staley has over 35 years of management and technical experience in the European, African, North American and Asian oil, gas, and power sectors, including with Conoco (1986 to 1990) and BP (1983 to 1986). He has considerable experience of floating and growing junior oil and gas companies, including identifying and securing assets, fundraising, and regulatory matters. Dr. Staley was a Non-Executive Director of Cove Energy plc (2010 to 2012). More recently, Dr. Staley was the co-founder, founding CEO/Managing Director, and a Director of the publicly-listed upstream start-ups Upland Resources Ltd. (2013 to 2019), Fastnet Oil & Gas Holdings plc (2011 – 2013) and previously Independent Resources plc (2005 to 2009). He is currently non-executive chairman of Nostra Terra (2020 to present). He is also a non-executive director at 88 Energy Limited (2014 to present). Previously, Dr. Staley was the non-executive chairman of Predator Oil & Gas Holdings PLC (2018 to 2022). Dr. Staley is a Fellow of the Geological Society, holds a BSc (Hons.) in Geophysics from Edinburgh University, a Ph.D. in Petroleum Geology from Sheffield University, and an MBA from Warwick University.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *David Blanchard, Director.* Mr. Blanchard has served as our Director since November 3, 2021. Mr. Blanchard has been the President and Owner of DB Global Energy Consultants LLC since 2015. Mr. Blanchard has over 40 years of broad industry experience in international management of operations, production, and exploration. Mr. Blanchard worked for Schlumberger/Analysts from 1976 to 1979 as logging engineer and the USGS from 1980 to 1982 as staff geologist. He worked for Marathon Oil Co. as senior explorationist from 1982 to 1997 after which he joined Devon Energy in Egypt as General Manager from 1997 to 2007. Mr. Blanchard was with El Paso Corp from 2007 to 2012 as Country Manager & VP and Energy XXI from 2012 to 2015 as Business Development Director. He has served on several Joint Venture IOC and NOC boards and AAPG President of the Africa Region from 2014 to 2016 and as a Director and Board Member of the International Petroleum Technology Conference from 2010 to 2021. He holds a BA in Geology from San Francisco State University and MSc in Studies Geology from San Jose State University. He is a Certified Petroleum Geologist and a member of the AAPG, AIPN, and SPE.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Peter Elliott, Director.* Mr. Elliott has served as our Director since November 3, 2021. Mr. Elliott has 30 years of experience in the international oil, gas and energy industry working in new ventures and business development. Since 2004, Mr. Elliott has served as the managing director of PVE Consulting Ltd., an international advisory consulting firm for the upstream E&P sector. Mr. Elliott worked with Halliburton between 1990 and 1993 as an offshore geologist. Between 1993 and 1997, Mr. Elliott was a senior editor at IHS Energy (Previously IEDS), and was responsible for managing the Middle East region. He worked with Schlumberger WesternGeco between 1997 and 2001, and was part of a team carrying out major multi-client seismic surveys around the coast of Africa. Mr. Elliott has also worked for Infoterra/Airbus (2001 and 2003). Mr. Elliott as a Geology degree from Sheffield University (1987 to 1990) and a Master's degree in Petroleum Geology at the University of Aberdeen (1993).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*• Frank Ingriselli, Director*. Mr. Ingriselli served as our Director since February 22, 2022. Mr. Ingriselli currently serves as the Chief Executive Officer of Trio Petroleum Corp. Since February 2019, Mr. Ingriselli has served as the President of Indonesia Energy Corp. (NYSEAMERICAN: INDO). With over 40 years of experience in the energy industry, Mr. Ingriselli is a seasoned leader and entrepreneur with wide-ranging exploration and production experience in diverse geographies, business climates and political environments. From 2005 to 2018, Mr. Ingriselli was the founder, President, CEO and Chairman of PEDEVCO Corp. and Pacific Asia Petroleum, Inc., both energy companies which are or were listed on the NYSE American. Prior to founding these two companies, from 1979 to 2001, Mr. Ingriselli worked at Texaco in diverse senior executive positions involving exploration and production, power and

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gas operations, merger and acquisition activities, pipeline operations and corporate development. The positions Mr. Ingriselli held at Texaco included President of Texaco Technology Ventures, President and CEO of the Timan Pechora Company (owned by affiliates of Texaco, Exxon, Amoco, Norsk Hydro and Lukoil), and President of Texaco International Operations, where he directed Texaco's global initiatives in exploration and development. While at Texaco, Mr. Ingriselli, among other activities, led Texaco's initiatives in exploration and development in China, Russia, Australia, India, Venezuela and many other countries. Mr. Ingriselli has served as an independent member of the Board of Directors of NXT Energy Solutions Inc. (TSX:SFD; OTC QB:NSFDF) since 2019 and is also on the Board of Trustees of the Eurasia Foundation, and is the founder and Chairman of Brightening Lives Foundation, Inc., a charitable public foundation. From 2016 through 2018, Mr. Ingriselli founded and was the President and CEO of Blackhawk Energy Ventures Inc. which endeavored to acquire oil and gas assets in the United States for development purposes. Mr. Ingriselli graduated from Boston University in 1975 with a B.S. in business administration. He also earned an M.B.A. from New York University in both finance and international finance in 1977 and a J.D. from Fordham University School of Law in 1979.

#### Financial Overview
We have experienced losses since inception and at September 30, 2022, had an accumulated deficit of approximately $5.5 million. We expect to incur additional losses in the future and expect cumulative losses to increase. Since June 2021, we have received approximately $1.3 million in equity financing in connection with which we issued 587,112 shares of Common Stock to accredited investors through a series of financings conducted pursuant to the Rule 506(b) Regulation D "safe harbor" for the private offering exemption of Section 4(a)(2) of the Securities Act.

#### Competition
The oil and gas industry is competitive. We encounter strong competition from other independent operators and from major oil companies in acquiring and developing licenses. Many of these competitors have financial and technical resources and personnel substantially larger than ours. As a result, our competitors may be able to pay more for desirable oil and natural gas assets, or to evaluate, bid for and purchase a greater number of licenses than our financial or personnel resources will permit. Furthermore, these companies may also be better able to withstand the financial pressures of unsuccessful wells, sustained periods of volatility in financial and commodities markets and generally adverse global and industry-wide economic conditions, and may be better able to absorb the burdens resulting from changes in relevant laws and regulations, which may adversely affect our competitive position.

We might also be affected by competition for drilling rigs and the availability of related equipment. Higher commodity prices generally increase the demand for drilling rigs, supplies, services, equipment and crews. Shortages of, or increasing costs for, experienced drilling crews and equipment and services may restrict our ability to drill wells and conduct our operations.

The oil and gas industry as a whole has experienced continued volatility. Recently, the impact of COVID-19 decreased demand for oil, which also resulted in significant declines in oil prices. As the COVID pandemic is past and economies have re-opened, prices have rebounded significantly. Dated Brent crude, the benchmark for international oil sales, ranged from approximately $50 to $86 per barrel during 2021, and approximately $65 to $138 per barrel during 2022 (year-to-date).

#### Title to Property
We believe that we have satisfactory title to our oil and natural gas assets in accordance with standards generally accepted in the international oil and gas industry. Our licenses are subject to customary royalty and other interests, restrictions and encumbrances customary in the oil and gas industry that we believe do not materially interfere with the use of, or affect the carrying value of, our interests.

#### Environmental Matters

#### General
We are subject to various stringent and complex international, foreign, federal, state and local environmental, health and safety laws and regulations governing matters including the emission and discharge of pollutants into the ground, air or water; the generation, storage, handling, use and transportation of regulated materials; and the health and safety of our employees. At the federal level, among the more significant laws and regulations that may affect our business and

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the oil and gas industry are: The Comprehensive Environmental Response, Compensation and Liability Act of 1980, also known as "CERCLA" or Superfund; the Oil Pollution Act of 1990; the Resource Conservation and Recovery Act, also known as "RCRA"; the Clean Air Act; Federal Water Pollution Control Act of 1972, or the Clean Water Act; and the Safe Drinking Water Act of 1974. These laws and regulations may, among other things:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• require the acquisition of various permits before operations commence or for operations to continue;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• enjoin some or all of the operations or facilities deemed not in compliance with permits;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• restrict the types, quantities and concentration of various substances that can be released into the environment in connection with oil and natural gas drilling, production and transportation activities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• limit, cap, tax or otherwise restrict emissions of GHG and other air pollutants or otherwise seek to address or minimize the effects of climate change;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• limit or prohibit drilling activities in certain locations lying within protected or otherwise sensitive areas; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• require measures to mitigate or remediate pollution, including pollution resulting from our block partners' or our contractors' operations.

Compliance with these regulations may constitute a significant cost and effort for us. No specific accounting for environmental compliance has been projected by us at this time. We are not presently aware of any environmental demands, claims, or adverse actions, litigation or administrative proceedings in which our acquired property is involved or subject to, or arising out of any predecessor operations.

In addition, we are subject to certain environmental regulations in Benin and Namibia, where our current operations are focused. For further information, see "Risk Factors — Risks Relating to our Business — We and our operations are subject to numerous environmental, health and safety regulations which may result in material liabilities and costs."

In the event of a breach of environmental regulations, these environmental regulatory agencies have a broad range of alternative or cumulative remedies which include: ordering a clean-up of any spills or waste material and restoration of the soil or water to conditions existing prior to the environmental violation; fines; or enjoining further drilling, completion or production activities. In certain egregious situations the agencies may also pursue criminal remedies against us or our principal officers.

Moreover, public interest in the protection of the environment continues to increase.

According to common industry practice, under agreements governing the terms of use of the drilling rigs contracted by us or our block or lease partners, the drilling rig contractors typically indemnify us and our block partners in respect of pollution and environmental damage originating above the surface of the water and from such drilling rig contractor's property, including their drilling rig and other related equipment. Furthermore, pursuant to the terms of the operating agreements for our blocks and leases, except in certain circumstances, each block or lease partner is responsible for its share of liabilities in proportion to its participating interest incurred as a result of pollution and environmental damage, containment and clean-up activities, loss or damage to any well, loss of oil or natural gas resulting from a blowout, crater, fire, or uncontrolled well, loss of stored oil and natural gas, as well as for plugging or bringing under control any well. We maintain insurance coverage typical of the industry in the areas we operate in; these include property damage insurance, loss of production insurance, wreck removal insurance, control of well insurance, general liability including pollution liability to cover pollution from wells and other operations. We also participate in an insurance coverage program for the FPSOs which we own. We believe our insurance is carried in amounts typical for the industry relative to our size and operations and in accordance with our contractual and regulatory obligations.

#### Governmental Regulations

#### Benin Government Regulation
The petroleum sector of The Republic of Benin (the "Benin Government") is governed by the Petroleum Code. The Ministry of Water and Mines is responsible for regulating the hydrocarbon sector. The Petroleum Code applies to petroleum operations, namely prospecting, research and exploitation and explicitly excludes activities relating to the downstream petroleum sector and refining.

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The Benin Government adopted a model form production sharing agreement in 2019 (Model Form PSA) as a basis for licensing agreements between the Benin Government and third parties (each, a "PSA"). The agreement provides for an exploration term of nine (9) years with three subphases, consisting of an initial exploration period of four years, a first renewal period of three years and a second renewal period of two years. After this exploration term, to the extent commercially viable resources are discovered, there is an exploitation (i.e., development and production) phase of twenty-five (25) years. Assignment of rights under the agreement requires consent of the Benin Government.

SOBEH holds a carried interest in all PSAs of 13% of profits under the contracts on behalf of the Benin Government. Under the fiscal terms of the Petroleum Act, a royalty is paid to the Benin Government at a rate 14% on oil and 5% on gas for each barrel sold. Profit sharing between the Benin Government and a contractor ("Contractor") under each PSA is governed by the "R — factor" (the ratio of the profit splits between the Benin Government and Contractor) with Contractor rates ranging between 45%-55% of the production profits received under the PSAs. Cost recovery of expenditures by Contractor in connection with oil and gas operations is at the rate of 70% of exploration, exploitation and production costs. As described in each PSA, Contractor is obligated to pay certain annual fees to the Benin Government in support of international business costs, which can include hydrocarbon promotion costs, legal and fiscal costs as well as training costs.

The tax rate on petroleum operations is 45% of "Tax Oil" (oil profits after royalties and cost recoveries are paid out), paid by the Benin Government on behalf of the Contractor. Under the PSA, the income tax due by the Contractor is deemed to be included in the oil profit received by the State, which will then pay the income tax.

#### Namibia Government Regulation
The petroleum sector of The Government of the Republic of Namibia (the "Namibia Government") is governed by the Petroleum Act of 1991 and Petroleum Tax Act 1991. The Ministry of Mines and Energy is responsible for governing the sector.

A third-party contractor (the "Third-Party Contractor") is granted rights to oil and gas through the grant of a Petroleum License (the "License"). The License provides for an exploration term of eight (8) years and a production license with a term of twenty-five (25) years. The License provides for a 5% royalty to the Namibia Government and a carried interest for the Namibia Government of 10% on each barrel of oil sold through the national oil company, NAMCOR, who is a signatory and party to the License. Assignment of the license requires consent of the Namibia Government.

In addition to the royalty listed above, the fiscal regime requires an annual payment of a surface royalty by the Third-Party Contractor based upon number of square kilometers in the License area. Further, training fees are payable by the Third-Party Contractor to the Namibia Government in support of Namibian citizens.

The taxation rate for petroleum is 35% with a provision for an Additional Profits Tax (APT) payable by the Contractor of 4-6% of the after-tax net cash flows from petroleum operations.

#### Employees
As of January 6, 2023, we had one part-time employee and three full-time employees. None of our employees are represented by a labor union or covered by a collective bargaining agreement. We consider our relationship with our employees to be good.

#### Facilities
Our principal executive office is located at Pennzoil Place, 700 Milam, Suite 1300, Houston, TX 77002. We rent approximately 400 ft of space. We lease our office in Houston, TX.

#### Legal Proceedings
We are not currently subject to any material legal proceedings.

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#### MANAGEMENT

#### Executive Officers, Non-executive employees and Directors
The following table sets forth the name, age as of January 6, 2023, and position of the individuals who serve as directors and executive officers of the Company. The following also includes certain information regarding the individual experience, qualifications, attributes and skills of our directors and executive officers as well as brief statements of those aspects of our directors' backgrounds that led us to conclude that they are qualified to serve as directors.

---

| | | |
|:---|:---|:---|
|  **Name** | **Age** | **Position** |
|  ***Executive Officers*** |  |  |
|  Matthew Lofgran | 47 | Chief Executive Officer, Secretary and Director |
|  Lanre Oloniniyi | 42 | Chief Financial Officer |
|  ***Non-Employee Directors*** |  |  |
|  Dr. Stephen Staley | 62 | Chairman of the Board |
|  David Blanchard | 69 | Director |
|  Peter Elliott | 55 | Director |
|  Frank Ingriselli | 68 | Director |

---

#### Executive Officers
Each executive officer serves at the discretion of our board and holds office until his or her successor is duly elected and qualified or until his or her earlier resignation or removal.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Matthew Lofgran, Founder, Chief Executive Officer and Secretary.* Mr. Lofgran has served as our Chief Executive Officer since April 30, 2021 and as our Secretary since October 31, 2021. Mr. Lofgran has over 15 years of international oil and gas experience. Mr. Lofgran founded and served as the Managing Director of Elephant Oil Limited since 2013. He has served as the Chief Executive Officer of Nostra Terra Oil & Gas Company plc, a UK-based oil and gas exploration and production company, since 2009 where he led the expansion of Nostra Terra into the United States and the Middle East/North Africa. From 2004 to 2006, Mr. Lofgran served as the Vice President of International Business Development of Robson Energy, LLC, where he launched the oil and gas, field services and coal divisions. Mr. Lofgran holds a Global MBA and a Certificate in Oil & Gas Management from Thunderbird School of Global Management.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Lanre Oloniniyi. Chief Financial Officer*. Mr. Oloniniyi has served as our Chief Financial Officer since October 1, 2021. Mr. Oloniniyi has over 15 years investment experience in various business ventures between Europe, Middle East and Africa. Since September 2016, Mr. Oloniniyi has worked as the co-founder of Orbitt Limited, a financial services company. Prior to co-founding Orbitt Limited, Mr. Oloniniyi was involved in originating investment ideas and raising the required capital to grow start-ups in Africa, including Sankuru, First African Gold and Tranergy Capital Limited, an Energy focused advisory firm. He also worked at BP P.L.C. as a Senior Associate (2010 to 2016), Subsea 7 UK Ltd in Business Development (2006 to 2010), and Citigroup UK as a Fund Analyst (2005 to 2006). Mr. Oloniniyi holds a BSc in Economics from the University of Ado, an MSc degree in Energy Economics from the University of Dundee, UK and an MBA from University of Cambridge, UK.

Non-Employee Directors

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*• Dr. Stephen Staley, Chairman*. Dr. Staley has served as our Director since November 1, 2021. Dr. Staley has over 35 years of management and technical experience in the European, African, North American and Asian oil, gas, and power sectors. More recently, Dr. Staley was the co-founder, founding CEO/Managing Director, and a Director of the publicly-listed upstream start-ups Upland Resources Ltd. (2013 to 2019), Fastnet Oil & Gas Holdings plc (2011 to 2013), and Independent Resources PLC (2005 to 2009). He is the Non-Executive Chairman of Nostra Terra (2020 to present). He is also a non-executive director at 88 Energy Limited (2014 to present). Previously, Dr. Staley was non-executive chairman of Predator Oil & Gas Holdings PLC (2018 to 2022). Dr. Staley is a Fellow of the Geological Society, holds a BSc (Hons.) in Geophysics from Edinburgh University, a Ph.D. in Petroleum Geology from Sheffield University, and an MBA from Warwick University.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*• David Blanchard, Director.* Mr. Blanchard has served as our Director since November 3, 2021. Mr. Blanchard has been the President and Owner of DB Global Energy Consultants LLC since 2015. Mr. Blanchard has over 40 years of broad industry experience in international management of operations, production, and exploration. Mr. Blanchard worked for Schlumberger/Analysts from 1976 – 1979 as logging engineer and the USGS from 1980 to 1982 as staff geologist. He worked for Marathon Oil Co. as senior explorationist from 1982 to 1997 after which he joined Devon Energy in Egypt as General Manager from 1997 to 2007. Mr. Blanchard was with El Paso Corp from 2007 to 2012 as Country Manager & VP and Energy XXI from 2012 – 2015 as Business Development Director. He has served on several Joint Venture IOC and NOC boards and AAPG President of the Africa Region from 2014 to 2016 and as a Director and Board Member of the International Petroleum Technology Conference from 2010 to 2021. He holds a BA in Geology from San Francisco State University and MSc in Studies Geology from San Jose State University. He is a Certified Petroleum Geologist and a member of the AAPG, AIPN, and SPE.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Peter Elliott, Director.* Mr. Elliott has served as our Director since November 3, 2021. Mr. Elliott has 30 years of experience in the international oil, gas and energy industry working in new ventures and business development. Since 2004, Mr. Elliott has served as the managing director of PVE Consulting Ltd., an international advisory consulting firm for the upstream E&P sector. Mr. Elliott worked with Halliburton between 1990 and 1993 as an offshore geologist. Between 1993 and 1997, Mr. Elliott was a senior editor at IHS Energy (Previously IEDS), and was responsible for managing the Middle East region. He worked with Schlumberger WesternGeco between 1997 and 2001, and was part of a team carrying out major multi-client seismic surveys around the coast of Africa. Mr. Elliott has also worked for Infoterra/Airbus (2001 and 2003). Mr. Elliott as a Geology degree from Sheffield University (1987 to 1990) and a Master's degree in Petroleum Geology at the University of Aberdeen (1993).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Frank Ingriselli, Director*. Mr. Ingriselli served as our Director since February 22, 2022. Mr. Ingriselli currently serves as the Chief Executive Officer of Trio Petroleum Corp. Since February 2019, Mr. Ingriselli has served as the President of Indonesia Energy Corp. (NYSEAMERICAN: INDO). With over 40 years of experience in the energy industry, Mr. Ingriselli is a seasoned leader and entrepreneur with wide-ranging exploration and production experience in diverse geographies, business climates and political environments. From 2005 to 2018, Mr. Ingriselli was the founder, President, CEO and Chairman of PEDEVCO Corp. and Pacific Asia Petroleum, Inc., both energy companies which are or were listed on the NYSE American. Prior to founding these two companies, from 1979 to 2001, Mr. Ingriselli worked at Texaco in diverse senior executive positions involving exploration and production, power and gas operations, merger and acquisition activities, pipeline operations and corporate development. The positions Mr. Ingriselli held at Texaco included President of Texaco Technology Ventures, President and CEO of the Timan Pechora Company (owned by affiliates of Texaco, Exxon, Amoco, Norsk Hydro and Lukoil), and President of Texaco International Operations, where he directed Texaco's global initiatives in exploration and development. While at Texaco, Mr. Ingriselli, among other activities, led Texaco's initiatives in exploration and development in China, Russia, Australia, India, Venezuela and many other countries. Mr. Ingriselli has served as an independent member of the Board of Directors of NXT Energy Solutions Inc. (TSX:SFD; OTC QB:NSFDF) since 2019 and is also on the Board of Trustees of the Eurasia Foundation, and is the founder and Chairman of Brightening Lives Foundation, Inc., a charitable public foundation. From 2016 through 2018, Mr. Ingriselli founded and was the President and CEO of Blackhawk Energy Ventures Inc. which endeavored to acquire oil and gas assets in the United States for development purposes. Mr. Ingriselli graduated from Boston University in 1975 with a B.S. in business administration. He also earned an M.B.A. from New York University in both finance and international finance in 1977 and a J.D. from Fordham University School of Law in 1979.

#### Technical Team
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*• Ian Bulley*. Mr. Bulley was a key member of the Hardman Resources team that discovered the East Africa Rift oil province and supervised an exploration team of 3 geoscientists that contributed to the discovery of Mauritania's first producible hydrocarbons. Mr. Bulley has over 35 years of exploration and development experience with major oil companies and independents in Africa, Asia, the Middle East and the North Sea. During that time Mr. Bulley gained expertise in basin to prospect evaluations, field development and well

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operations planning. and was a principal geologist in the Cairn Energy New Ventures team where he was instrumental in Cairn's entry into its onshore Côte d'Ivoire licenses and entry into Mauritania. Mr. Bulley holds an MSc from Imperial College, London in Petroleum Geology, and is a member of the Petroleum Exploration Society of Great Britain.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Matt Tyrell*. Mr. Tyrell is an expert in Africa geology and farmouts, coordinating between oil companies and host countries to deliver opportunities. Mr. Tyrell has over 20 years of experience planning, acquiring and interpreting geological and geophysical data leading to successful completion of work programs. Mr. Tyrell has extensive knowledge of the petroleum systems, oil company activities and strategies, license round processes and block licenses of Africa and South America. Mr. Tyrell also has significant exposure to international projects including onshore Africa, offshore East & West Africa, Mediterranean, Brazil, Eastern Canada, onshore US, UK and Norwegian North Sea.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Simon Lucas*. Mr. Lucas is a 30-year drilling professional with a track record of delivery of offshore and onshore wells in established and frontier operating environments. Mr. Lucas' expertise includes leadership and management of well design and operations, and recruitment and supervision of onshore and offshore personnel. Mr. Lucas has over 14 years drilling experience with Shell alone and has been an Engineering Manager and Operations Manager for numerous oil operators such as SDX Energy, Europa Oil & Gas, and Silverstone Energy. Mr. Lucas holds a BEng with Honors from the University of Nottingham in Mining Engineering and is a Chartered Engineer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Chris "Kofi" Amenyinyor*. Mr. Amenyinyor is an entrepreneur in international business development. Mr. Amenyinyor has represented numerous foreign companies in West Africa. For Elephant Oil, Mr. Amenyinyor maintains strong relationships between the company and the Benin government while working on logistics and support for various projects. Chris is the founder of Christ's Ambassadors for Nations, a non-governmental organization based in Ghana. Mr. Amenyinyor has also been involved in numerous investment ventures associated with the export of tropical products in and out of West Africa (Togo, Côte d'Ivoire, Burkina Faso and Niger). Mr. Amenyinyor is multi-lingual, with fluency in English and French.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• *Wil Kohou*. Mr. Kohou is an experienced oil and gas professional with a background in electrical engineering. Over the past 13 years, Mr. Kohou has focused on the upstream and downstream oil industry. Mr. Kohou was formerly a project engineer at SIR (a Total partly owned refinery in Côte d'Ivoire). Mr. Kohou was also an engineering supervisor for companies including Halliburton and GE Oil and Gas. Mr. Kohou has extensive experience in the drilling and completion of complex unconventional horizontal oil and gas wells such as in the Permian Basin, Eagle Ford, and Barnett Shale plays with a proven expertise in troubleshooting and designing ballistic systems. Mr. Kohou is a proven negotiator with an in-depth knowledge of regulations surrounding the oil and gas industry in the USA and Côte d'Ivoire.

#### Board Composition and Election of Directors
Our board of directors currently consists of five members. Under our second amended and restated bylaws, the number of directors who shall constitute the Board shall equal not less than one nor more than 10, as the Board or majority stockholders may determine by resolution from time to time.

#### Director Independence
Our board has determined that Matthew Lofgran currently has relationships that would interfere with the exercise of independent judgment in carrying out the responsibilities of a director, such that he is not "independent" as that term is defined under the rules of the Nasdaq Stock Market LLC, or the Nasdaq rules. As permitted by Nasdaq, we intend to phase in compliance with the Nasdaq's director independence requirements within the schedule outlined in the Nasdaq's rules. Our board as determined and Dr. Stephen Staley, Peter Elliott, Frank Ingriselli and David Blanchard are all "independent" as that term is defined under Nasdaq rules. That schedule requires a majority of the members of our Board to be independent within one year of listing. It also requires one member of each Board committee be independent at the time of listing, a majority of Board committee members to be independent within 90 days of listing, and all Board committee members to be independent within one year from listing.

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#### Classified Board of Directors
In accordance with our second amended and restated bylaws, our board of directors will be divided into three classes with staggered, three-year terms. At each annual meeting of stockholders, the successors to directors whose terms then expire will be elected to serve from the time of election and qualification until the third annual meeting following election. Effective upon the closing of this offering, our directors will be divided among the three classes as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the Class I directors will be David Blanchard and his term will expire at our first annual meeting of stockholders following this offering;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the Class II directors will be Dr. Stephen Staley and Frank Ingriselli and their terms will expire at our second annual meeting of stockholders following this offering; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the Class III directors will be Matthew Lofgran and Peter Elliott, and their terms will expire at our third annual meeting of stockholders following this offering.

Our articles of incorporation and second amended and restated bylaws provide that the authorized number of directors may be changed only by resolution of the board of directors. Any additional directorships resulting from an increase in the number of directors will be distributed among the three classes so that, as nearly as possible, each class will consist of one-third of the directors. The division of our board of directors into three classes with staggered three-year terms may delay or prevent a change of our management or a change in control of our company. Our directors may be removed only for cause by the affirmative vote of the holders of at least two-thirds of our outstanding voting stock entitled to vote in the election of directors.

#### Board Elections
In accordance with our second amended and restated bylaws, our stockholders shall elect the directors at our annual meeting of stockholders (except as otherwise provided therein for the filling of vacancies). Each director shall hold office until his death, resignation, retirement, removal, or disqualification, or until his successor shall have been elected and qualified.

#### Board Leadership Structure
Our board has determined that upon completion of this offering our corporate governance guidelines will provide that, if the chairman of the board is a member of management or does not otherwise qualify as independent, the independent directors of the board may elect a lead director. The lead director's responsibilities would include, but would not be not limited to: presiding over all meetings of the board of directors at which the chairman is not present, including any executive sessions of the independent directors; approving board meeting schedules and agendas; and acting as the liaison between the independent directors and the chief executive officer and chairman of the board. Our corporate governance guidelines will further provide the flexibility for our board of directors to modify our leadership structure in the future as it deems appropriate.

#### Role of the Board in Risk Oversight
One of the key functions of our board of directors is informed oversight of our risk management process. Our board of directors will not have a standing risk management committee, but will rather administer this oversight function directly through our board of directors as a whole, as well as through various standing committees of our board of directors that address risks inherent in their respective areas of oversight. In particular, our board of directors is responsible for monitoring and assessing strategic risk exposure and our audit committee has the responsibility to consider and discuss our major financial risk exposures and the steps our management has taken to monitor and control these exposures, including guidelines and policies to govern the process by which risk assessment and management is undertaken. Our audit committee will also monitor compliance with legal and regulatory requirements. Our nominating and corporate governance committee will monitor the effectiveness of our corporate governance practices, including whether they are successful in preventing illegal or improper liability-creating conduct. Our compensation committee will assess and monitor whether any of our compensation policies and programs has the potential to encourage excessive risk-taking. While each committee will be responsible for evaluating certain risks and overseeing the management of such risks, our entire board of directors will be regularly informed through committee reports about such risks.

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#### Board Committees
Following this offering, we will have the following board of directors committees: an audit committee, a compensation committee and a nominating and corporate governance committee. The anticipated composition and responsibilities of each committee are described below. Members will serve on these committees until their resignation or until otherwise determined by our board of directors. Upon our listing on the Nasdaq Capital Market, each committee's charter will be available under the Corporate Governance section of our website at *http://elephant*-oil*.com*. The reference to our website address does not constitute incorporation by reference of the information contained at or available through our website, and you should not consider it to be a part of this prospectus.

***Audit Committee.*** The audit committee's responsibilities will include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• appointing, approving the compensation of, and assessing the independence of our registered public accounting firm;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• overseeing the work of our registered public accounting firm, including through the receipt and consideration of reports from such firm;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• reviewing and discussing with management and the registered public accounting firm our annual and quarterly financial statements and related disclosures;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• coordinating our board of directors' oversight of our internal control over financial reporting, disclosure controls and procedures and code of business conduct and ethics;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• discussing our risk management policies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• meeting independently with our internal auditing staff, if any, registered public accounting firm and management;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• reviewing and discussing with management our compliance with the FCPA;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• reviewing and approving or ratifying any related person transactions; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• preparing the audit committee report required by the United States Securities and Exchange Commission ("SEC") rules.

After this offering, we expect that the initial members of our audit committee will be Dr. Stephen Staley (chairman), David Blanchard, Frank Ingriselli and Peter Elliott. All members of our audit committee meet the requirements for financial literacy under the applicable rules and regulations of the SEC and Nasdaq. Our board has determined that Dr. Stephen Staley is an audit committee financial expert as defined under the applicable rules of the SEC and has the requisite financial sophistication as defined under the applicable rules and regulations of Nasdaq. Under the rules of the SEC, members of the audit committee must also meet heightened independence standards. However, a minority of the members of the audit committee may be exempt from the heightened audit committee independence standards for one year from the date of effectiveness of the registration statement of which this prospectus forms a part. Our board of directors has determined that Dr. Stephen Staley is independent under the heightened audit committee independence standards of the SEC and Nasdaq.

As allowed under the applicable rules and regulations of the SEC and the Nasdaq, we intend to phase in compliance with the audit committee composition requirements prior to the end of the one-year transition period. The audit committee operates under a written charter that satisfies the applicable standards of the SEC and the Nasdaq.

***Compensation Committee.*** The compensation committee's responsibilities include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• reviewing and approving, or recommending for approval by the board of directors, the compensation of our Chief Executive Officer and our other executive officers;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• overseeing and administering our cash and equity incentive plans;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• reviewing and making recommendations to our board of directors with respect to director compensation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• reviewing and discussing annually with management our "Compensation Discussion and Analysis," to the extent required; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• preparing the annual compensation committee report required by SEC rules, to the extent required.

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After this offering, we expect that the members of our compensation committee will be Frank Ingriselli (chairman), David Blanchard, Dr. Stephen Staley and Peter Elliott. Each of the members of our compensation committee is independent under the applicable rules and regulations of Nasdaq and is a "non-employee director" as defined in Rule 16b-3 promulgated under the Exchange Act. The compensation committee operates under a written charter that satisfies the applicable standards of the SEC and Nasdaq.

***Nominating and Corporate Governance Committee.*** The nominating and corporate governance committee's responsibilities include:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• identifying individuals qualified to become board members;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• recommending to our board of directors the persons to be nominated for election as directors and to each board committee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• developing and recommending to our board of directors corporate governance guidelines, and reviewing and recommending to our board of directors proposed changes to our corporate governance guidelines from time to time;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• overseeing a periodic evaluation of our board of directors; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Develop effective Environmental, Social and Governance (ESG) policies within the corporate governance guidelines to address social responsibility aimed at providing appropriate support to local communities within areas subject to hydrocarbon exploration operations, and environmental goals aimed at limiting the environmental footprint of operations, ameliorating any changes to the environment and targeting mechanisms to reduce or offset the carbon footprint of operations.

After this offering, we expect that the members of our nominating and corporate governance committee will be Peter Elliott (co-chairman), David Blanchard (co-chairman), Frank Ingriselli and Dr. Stephen Staley. Each of the members of our nominating and corporate governance committee is an independent director under the applicable rules and regulations of Nasdaq relating to nominating and corporate governance committee independence. The nominating and corporate governance committee operates under a written charter that satisfies the applicable standards of the SEC and Nasdaq.

#### Compensation Committee Interlocks and Insider Participation
No member of our compensation committee will have been a current or former officer or employee. None of our executive officers served as a director or a member of a compensation committee (or other committee serving an equivalent function) of any other entity, one of whose executive officers served as a director or member of our compensation committee during the last completed fiscal year.

#### Code of Ethics and Code of Conduct
We have adopted a written code of business conduct and ethics that applies to our directors, officers and employees, including our principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions. Upon our listing the Nasdaq Capital Market, our code of business conduct and ethics will be available under the Corporate Governance section of our website at *http://elephant*-oil*.com*. In addition, we intend to post on our website all disclosures that are required by law or the Nasdaq rules concerning any amendments to, or waivers from, any provision of the code. The reference to our website address does not constitute incorporation by reference of the information contained at or available through our website, and you should not consider it to be a part of this prospectus.

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#### EXECUTIVE AND DIRECTOR COMPENSATION

#### Summary Compensation
The following sets forth the compensation paid by us to our named executive officers during the calendar years 2022 and 2021.

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  **Name and Principal Position** | **Year** | **Salary<br>($)** | **Bonus <br>($)** | **Stock <br>Awards <br>($)** | **Option <br>Awards <br>($)**  | **All Other<br> Compensation <br>($)** | **Total<br> ($)** |
|  Matthew Lofgran,  | 2022 | 90000 |  |  |  |  | 90000 |
| &nbsp;&nbsp;&nbsp; *Chief Executive Officer*<sup>(1)</sup> | 2021 | 120000<br><sup>(1)</sup> |  |  |  |  | 120000 |
|  Lanre Oloniniyi, | 2022 | 42000 |  |  | 282440 |  | 324440 |
| &nbsp;&nbsp;&nbsp; *Chief Financial Officer*<sup>(2)</sup> | 2021 | 21000 |  |  |  |  | 21000 |

---

____________

(1) Represents cash compensation earned by Mr. Lofgran pursuant to his employment agreement, with payment of all such compensation ($90,000 as of June 30, 2022 and $120,000 in 2021) being deferred until the date the Company's Common Stock is publicly traded.

(2) Of the aggregate $324,440 earned compensation as of June 30, 2022 and the $21,000 earned compensation during 2021, $42,000 and $21,000, respectively, represents cash compensation earned by Mr. Oloniniyi pursuant to his employment agreement; the balance of Mr. Oloniniyi's earned compensation of $282,440 as of June 30, 2022 consists of the fair value of options that will vest and become exercisable at 50% on the first anniversary of the date of grant, or October 1, 2022, and 50% on the second anniversary of the date of grant, or October 1, 2023.

#### Outstanding Equity Awards at Year-End
The following table provides information on outstanding equity awards (option awards) as of June 30, 2022 to the Named Executive Officer.

---

| | | | |
|:---|:---|:---|:---|
|  **Name** | **Number of <br>securities <br>underlying <br>unexercised <br>options <br>exercisable** | **Option exercise <br>price** | **Option expiration <br>date** |
|  Lanre Oloniniyi<sup>(1)</sup> | —<br>200000<sup>(1)</sup> | $1.41 | 10/01/31 |

---

____________

(1) Options will vest and become exercisable at 50% on the first anniversary of the date of grant, or October 1, 2022, and 50% on the second anniversary of the date of grant, or October 1, 2023, subject to the option holder's continuous service as of each vesting date.

#### Employment Agreements

#### Employment Agreement — Matthew Lofgran
Effective as of April 29, 2021, we entered into an employment agreement with our CEO, Matt Lofgran. Mr. Lofgran's employment commenced on April 29, 2021 and is "at-will" under governing law, subject to being terminable on 90 days written notice by either party at any time, provided, in the event of a "Cause" termination, no notice is required. Mr. Lofgran will report directly the Board.

We have agreed to pay Mr. Lofgran a salary of $180,000 (all of such compensation being deferred until the Company's Common Stock is publicly traded), provided his salary will increase to $360,000 on the first date the Company's Common Stock is publicly traded. He is eligible for an annual bonus, which began in the year 2021, targeted at 50% of base salary, as determined by the Board based on his performance and the achievement by the Company of financial, operating and other objectives set by the Board. Mr. Lofgran also receives a standard benefit package, twenty vacation days per annum, and reimbursement for reasonable business and travel expenses.

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We may terminate Mr. Lofgran's employment with or without Cause. "Cause" means the Company's termination of Executive's employment with the Company as the result of: (i) Mr. Lofgran's willful misconduct or gross negligence in the course of carrying out his duties that results in material economic or reputational harm to the Company; (ii) Mr. Lofgran's conviction of or plea of guilty or nolo contendere to a felony; (iii) a material breach by Mr. Lofgran of the Agreement; or (iv) a material breach of any of the Company's written policies; provided that we will give Mr. Lofgran at least fifteen days to cure any termination under (iii) or (iv), if curable, after written notice is provided by us within 90 days following the Company's knowledge of the breach giving rise to such notice.

Mr. Lofgran may resign with or without Good Reason. "Good Reason" means Mr. Lofgran's Executive's resignation after: (i) a diminution of his titles, duties, responsibilities, or authorities as set forth in this Agreement or his being required to report to another person other than the Board; (ii) a reduction in Mr. Lofgran's Base Salary, annual cash bonus opportunity, or the Company's failure to pay earned compensation; (iii) relocation of Mr. Lofgran office with the Company by more than 20 miles; or (iv) a material breach by the Company of the Agreement or any written agreement with Mr. Lofgran; provided, however, Mr. Lofgran must give notice within 90 days following the events giving rise to Good Reason, and the Company has a thirty day cure right.

In the event of a termination without Cause or resignation for Good Reason, we have agreed, if Mr. Lofgran signs a release in a form provided by the Company, to pay Mr. Lofgran severance of for the one year period of time following the separation date: (i) a prior year's Annual Bonus, if not yet paid, (ii) Base Salary continuation at the rate in effect immediately prior to the separation, and (iii) monthly payments in an amount equal to, on an after tax basis, Mr. Lofgran's monthly COBRA premiums.

Mr. Lofgran has agreed to the Company's standard form of Confidentiality, Non-Solicitation, and Non-Compete Agreement, appended hereto, as a condition of execution of the Agreement.

#### Employment Agreement — Lanre Oloniniyi
On October 1, 2021, we executed a consulting agreement with Lanre Oloniniyi. Mr. Oloniniyi is responsible for the planning, managing, and implementation of all of our finance operations, reporting to the Chief Executive Officer. The consulting agreement included annualized compensation of $84,000, which we agreed to increase to $220,000 upon completion of our initial public offering and a grant of 200,000 options at an exercise price of $2.25 per option to purchase our Common Stock. The options vest fifty (50) percent on the first anniversary of the date of grant and fifty (50) percent on the second anniversary, in all cases subject to continued provision of consulting services as of such vesting dates. The agreement was terminable on ten days written notice from either party. On June 20, 2022, concurrent with the execution of Mr. Oloniniyi's employment agreement as described below, we terminated the consulting agreement and agreed to continue the vesting of Mr. Oloniniyi's options upon his entering into the employment agreement.

On June 20, 2022, we entered into an employment agreement with Mr. Oloniniyi to serve as Chief Financial Officer of the Company. Mr. Oloniniyi's appointment shall continue until terminated by either party upon not less than 6 months' prior written notice. The agreement includes annualized compensation of $84,000, which will increase to $220,000 upon completion of our initial public offering and continues the vesting of Mr. Oloniniyi's grant of 200,000 options at an exercise price of $2.25 per option to purchase our Common Stock. The agreement also contains customary expense reimbursement, holiday pay, sick pay and termination provisions.

#### Outstanding Equity Awards at Fiscal Year-End
No equity awards were awarded to our NEO during 2021.

#### Incentive Award Plans

#### 2022 Incentive Plan
In February 2022, we adopted and approved the 2022 Incentive Plan. Under the 2022 Incentive Plan, we may grant cash and equity incentive awards to eligible service providers in order to attract, motivate and retain the talent for which we compete. The material terms of the 2022 Incentive Plan, as it is currently contemplated, are summarized below. Until implemented, the terms of the 2022 Incentive Plan and, accordingly, this summary, are subject to change.

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***Types of Awards.*** The 2022 Incentive Plan provides for the grant of NQSOs, ISOs, restricted stock awards, RSUs, unrestricted stock awards, stock appreciation rights, and other forms of stock based compensation.

***Eligibility and Administration.*** Employees, officers, consultants, directors, and other service providers of the Company and its affiliates are eligible to receive awards under the 2022 Incentive Plan. The 2022 Incentive Plan is administered by the board with respect to awards to non-employee directors and by the Compensation Committee with respect to other participants, each of which may delegate its duties and responsibilities to committees of the company's directors and/or officers (all such bodies and delegates referred to collectively as the plan administrator), subject to certain limitations that may be imposed under Section 16 of the Exchange Act, and/or other applicable law or stock exchange rules, as applicable. The plan administrator has the authority to make all determinations and interpretations under, prescribe all forms for use with, and adopt rules for the administration of, the 2022 Incentive Plan, subject to its express terms and conditions. The plan administrator also sets the terms and conditions of all awards under the 2022 Incentive Plan, including any vesting and vesting acceleration conditions.

***Share Reserve.*** Pursuant to the 2022 Incentive Plan, we have reserved 1,890,596 shares of the Common Stock for issuance thereunder, which reserve shall be increased annually beginning on January 1, 2023 and ending on and including January 1, 2032, equal to the lesser of (A) 10% of the aggregate number of shares of Common Stock outstanding after our initial public offering (including shares outstanding issued pursuant to the exercise of the underwriter's over-allotment option) (B) such smaller number of shares as is determined by our board. The share reserve is subject to the following adjustments:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The share limit is increased by the number of shares subject to awards granted that later are forfeited, expire or otherwise terminate without issuance of shares, or that are settled for cash or otherwise do not result in the issuance of shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Shares that are withheld upon exercise to pay the exercise price of a stock option or satisfy any tax withholding requirements are added back to the share reserve and again are available for issuance under the 2022 Incentive Plan.

Awards issued in substitution for awards previously granted by a company that merges with, or is acquired by, the Company do not reduce the share reserve limit under the 2022 Incentive Plan.

***Director Compensation.*** The 2022 Incentive Plan provides for an annual limit on non-employee director compensation of $750,000 in the fiscal year of a non-employee director's initial service as a non-employee member of the board of directors of the Company. This limit applies to the sum of both equity grants that could be awarded to non-employee directors during a fiscal year (based on their value under ASC Topic 718 on the grant date) and cash compensation, such as cash retainers and meeting fees earned during a fiscal year. Notwithstanding the foregoing, the board reserves the right to make an exception to these limits due to extraordinary circumstances without the participation of the affected director receiving the additional compensation.

***Stock Options.*** ISOs may be granted only to employees of the Company, or to employees of a parent or subsidiary of the Company, determined as of the date of grant of such options. An ISO granted to a prospective employee upon the condition that such person becomes an employee shall be deemed granted effective on the date such person commences employment. The exercise price of an ISO shall not be less than 100% of the fair market value of the shares covered by the awards on the date of grant of such option or such other price as may be determined pursuant to the Internal Revenue Code of 1986, as amended from time to time (the "Code"). Notwithstanding the foregoing, an ISO may be granted with an exercise price lower than the minimum exercise price set forth above if such award is granted pursuant to an assumption or substitution for another option in a manner that complies with the provisions of Section 424(a) of the Code. Notwithstanding any other provision of the 2022 Incentive Plan to the contrary, no ISO may be granted under the 2022 Incentive Plan after 10 years from the date that the 2022 Incentive Plan was adopted. No ISO shall be exercisable after the expiration of 10 years after the effective date of grant of such award, subject to the following sentence. In the case of an ISO granted to a ten percent stockholder, (i) the exercise price shall not be less than 110% of the fair market value of a share on the date of grant of such ISO, and (ii) the exercise period shall not exceed 5 years from the effective date of grant of such ISO.

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***Restricted Stock and Restricted Stock Units.*** The committee may award restricted stock and RSUs under the 2022 Incentive Plan. Restricted stock awards consist of shares of stock that are transferred to the participant subject to restrictions that may result in forfeiture if specified vesting conditions are not satisfied. RSU awards result in the transfer of shares of stock to the participant only after specified vesting conditions are satisfied. A holder of restricted stock is treated as a current shareholder and shall be entitled to dividend and voting rights, whereas the holder of a restricted stock unit is treated as a shareholder with respect to the award only when the shares are delivered in the future. RSUs may include dividend equivalents. Specified vesting conditions may include performance goals to be achieved during any performance period and the length of the performance period. The committee may, in its discretion, make adjustments to performance goals based on certain changes in the Company's business operations, corporate or capital structure or other circumstances. When the participant satisfies the conditions of an RSU award, the Company may settle the award (including any related dividend equivalent rights) in shares, cash or other property, as determined by the committee, in its sole discretion.

***Other Shares or Share***-Based ***Awards.*** The committee may grant other forms of equity-based or equity-related awards other than stock options, restricted stock or restricted stock units. The terms and conditions of each stock based award shall be determined by the committee.

***Clawback Rights.*** Awards granted under the 2022 Incentive Plan will be subject to recoupment or clawback under the Company's clawback policy or applicable law, both as in effect from time to time.

***Sale of the Company.*** Awards granted under the 2022 Incentive Plan do not automatically accelerate and vest, become exercisable (with respect to stock options), or have performance targets deemed earned at target level if there is a sale of the Company. The Company does not use a "liberal" definition of change in control as defined in Institutional Shareholder Services' proxy voting guidelines. The 2022 Incentive Plan provides flexibility to the committee to determine how to adjust awards at the time of a sale of the Company.

***No Repricing.*** The 2022 Incentive Plan prohibits the amendment of the terms of any outstanding award, and any other action taken in a manner to achieve (i) the reduction of the exercise price of NQSOs, ISOs or stock appreciation rights (collectively, "Stock Rights"); (ii) the cancellation of outstanding Stock Rights in exchange for cash or other awards with an exercise price that is less than the exercise price or base price of the original award; (iii) the cancellation of outstanding Stock Rights with an exercise price or base price that is less than the then current fair market value of a share of Common Stock in exchange for other awards, cash or other property; or (iv) otherwise effect a transaction that would be considered a "repricing" for the purposes of the stockholder approval rules of the applicable securities exchange or inter-dealer quotation system on which the Common Stock is listed or quoted without stockholder approval.

***Transferability of Awards.*** Except as described below, awards under the 2022 Incentive Plan generally are not transferable by the recipient other than by will or the laws of descent and distribution. Any amounts payable or shares issuable pursuant to an award generally will be paid only to the recipient or the recipient's beneficiary or representative. The committee has discretion, however, to permit certain transfer of awards to other persons or entities.

***Adjustments.*** As is customary in incentive plans of this nature, each share limit and the number and kind of shares available under the 2022 Incentive Plan and any outstanding awards, as well as the exercise price or base price of awards, and performance targets under certain types of performance-based awards, are subject to adjustment in the event of certain reorganizations, mergers, combinations, recapitalizations, stock splits, stock dividends, or other similar events that change the number or kind of shares outstanding, and extraordinary dividends or distributions of property to the stockholders.

***Amendment and Termination.*** The board of directors may amend, modify or terminate the 2022 Incentive Plan without stockholder approval, except that stockholder approval must be obtained for any amendment that, in the reasonable opinion of the board or the committee, constitute a material change requiring stockholder approval under applicable laws, policies or regulations or the applicable listing or other requirements of a stock exchange on which shares of Common Stock are then listed. The 2022 Incentive Plan will terminate upon the earliest of (1) termination of the 2022 Incentive Plan by the board of directors, or (2) the tenth anniversary of the board adoption of the 2022 Incentive Plan. Awards outstanding upon expiration of the 2022 Incentive Plan shall remain in effect until they have been exercised or terminated, or have expired.

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#### Director Compensation
No compensation was paid to our non-employee directors for services rendered during 2022 and 2021.

The material terms of the non-employee director compensation program, as it is currently contemplated, are summarized below.

The non-employee director compensation program will provide for annual retainer fees and/or long-term equity awards for our non-employee directors. We expect each non-employee director will receive an annual retainer of $50,000 plus an additional $10,000 for each board committee that he or she is on. A non-employee director serving as chairman of the board will receive an additional annual retainer of $20,000. The non-employee directors other than Frank Ingriselli will also receive stock options to purchase 125,000 shares of Common Stock of the Company (whereas Mr. Ingriselli will be receiving 200,000 stock options), and the non-employee director serving as chairman of the board will also receive additional stock options to purchase 75,000 shares of Common Stock of the Company, with 50% vesting after the first year and 50% vesting after the second year.

Compensation under our non-employee director compensation policy will be subject to the annual limits on non-employee director compensation set forth in the 2022 Incentive Plan, as described above, but such limits will not apply prior to the first calendar year following the calendar year in which this offering is completed. Our board of directors or its authorized committee may modify the non-employee director compensation program from time to time in the exercise of its business judgment, taking into account such factors, circumstances and considerations as it shall deem relevant from time to time, subject to the annual limit on non-employee director compensation set forth in the 2022 Incentive Plan. As provided in the 2022 Incentive Plan, our board of directors or its authorized committee may make exceptions to this limit for individual non-employee directors in extraordinary circumstances, as the board of directors or its authorized committee may determine in its discretion.

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#### CERTAIN RELATIONSHIPS AND RELATED PARTY TRANSACTIONS
The following includes a summary of transactions since March 29, 2021 (inception) to which we have been a party in which the amount involved will be the lesser of $120,000 or 1% of our assets, and in which any of our directors, executive officers or, to our knowledge, beneficial owners of more than 5% of our capital stock or any member of the immediate family of any of the foregoing persons had or will have a direct or indirect material interest, other than equity and other compensation, termination, change in control and other arrangements, which are described under "Executive and Director Compensation." We also describe below certain other transactions with our directors, executive officers and stockholders.

#### Accounts Payable
The Company had accounts payable to Matthew Lofgran, our Chief Executive Officer, of $502,941 as consideration for consulting services rendered to the Company, due upon demand as of June 30, 2021. Additionally, the Company had accounts payable as consideration for consulting services rendered to the Company, due upon demand, to Gavin Burnell, a shareholder, a noteholder and former director of the Company, of $177,308 as of June 30, 2021, due upon demand and non-interest bearing.

These accounts payable were settled through the issuance of 212,111 and 79,222 shares of Common Stock to Mr. Lofgran and Mr. Burnell, respectively, in August 2021, with a balance of $25,000 remaining due Mr. Lofgran.

#### Current Maturities, Notes Payable — Related Parties
The current maturities of notes payable — related parties consist of the following:

---

| | | | |
|:---|:---|:---|:---|
|  | **September 30, <br>2022 <br>(Unaudited)** | **June 30,<br>2022** | **June 30,<br>2021** |
|  Loan from Gavin Burnell, shareholder and former director of the Company, dated December 7, 2013, unsecured, bearing interest at 15% per annum, due December 31, 2022 | $224406 | $241779 | $275150 |
|  Loan from Woodland Capital (controlled by Gavin Burnell) dated November 4, 2013, unsecured, bearing interest at 15%, due December 31, 2022. | 55850 | 60715 | 69095 |
|  Total Notes payable – related parties | 278256 | 302494 | 344245 |
|  Less Current maturities, notes payable – related parties | 278256 | 302494 |  |
|  Long-term notes payable – related parties |  | $— | $344245 |

---

Accrued interest on the above notes payable totalled $401,210 as of September 30, 2022 (unaudited), and was $424,815 and $431,811 as of June 30, 2022 and 2021, respectively. Interest expense for the above notes payable — related parties for the years ended September 30, 2022 and 2021 was $11,000 and $12,870, respectively. The accrued interest is due at maturity.

Aggregate current maturities of the related party notes payable as of September 30, 2022 (unaudited) are due in future fiscal years as follows:

---

| | |
|:---|:---|
| 2023 | $278256 |
|  | $278256 |

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#### Indemnification Agreements
We intend to enter into indemnification agreements with each of our directors and executive officers. These agreements, among other things, require us or will require us to indemnify each director and executive officer generally to the fullest extent permitted under the Nevada Revised Statutes, including indemnification and advancement of expenses such as attorneys' fees, judgments, fines and settlement amounts incurred by the director or executive officer in any action or proceeding, including any action or proceeding by or in right of us, arising out of the person's services as a director or executive officer.

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#### Policies and Procedures for Related Person Transactions
Our board will adopt a written related person transaction policy, to be effective immediately prior to the effectiveness of the registration statement of which this prospectus forms a part, setting forth the policies and procedures for the review and approval or ratification of related person transactions. This policy will cover, with certain exceptions set forth in Item 404 of Regulation S-K under the Securities Act, any transaction, arrangement or relationship, or any series of similar transactions, arrangements or relationships, in which we were or are to be a participant, where the amount involved will be the lesser of $120,000 or 1% of assets the average of our total assets at year-end for the last two completed fiscal years, in any fiscal year and a related person had, has or will have a direct or indirect material interest, including without limitation, purchases of goods or services by or from the related person or entities in which the related person has a material interest, indebtedness, guarantees of indebtedness and employment by us of a related person. In reviewing and approving any such transactions, our audit committee is tasked to consider all relevant facts and circumstances, including, but not limited to, whether the transaction is on terms comparable to those that could be obtained in an arm's length transaction and the extent of the related person's interest in the transaction. All of the transactions described in this section occurred prior to the adoption of this policy.

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#### PRINCIPAL STOCKHOLDERS
The following table sets forth information with respect to the beneficial ownership of our Common Stock as of January 6, 2023 by:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• each person, or group of affiliated persons, known by us to beneficially own more than 5% of our outstanding shares of Common Stock (other than NEOs and directors);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• each of our NEOs;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• each of our directors; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• all of our executive officers and directors as a group.

The number of Common Stock beneficially owned by each stockholder is determined in accordance with the rules issued by the SEC, and the information is not necessarily indicative of beneficial ownership for any other purpose. Under these rules, beneficial ownership includes any shares as to which the individual or entity has sole or shared voting power or investment power, which includes the power to dispose of or to direct the disposition of such security. Except as indicated in the footnotes below, we believe, based on the information furnished to us, that the individuals and entities named in the table below have sole voting and investment power with respect to all shares of Common Stock beneficially owned by them, subject to any community property laws.

Percentage ownership of our Common Stock before this offering is based on 12,228,411 shares of Common Stock outstanding as of January 6, 2023. Percentage ownership of our Common Stock after this offering is based on 14,056,368 shares of Common Stock outstanding after this offering. In computing the number of shares beneficially owned by an individual or entity and the percentage ownership of that person, shares of Common Stock subject to options, restricted units, warrants or other rights held by such person that are currently exercisable or will become exercisable within 60 days of January 6, 2023 are considered outstanding, although these shares are not considered outstanding for purposes of computing the percentage ownership of any other person.

To calculate a stockholder's percentage of beneficial ownership of Common Stock, we must include in the numerator and denominator those shares of Common Stock, as well as those shares of Common Stock underlying options, warrants and convertible securities, that such stockholder is considered to beneficially own. Shares of Common Stock, and Common Stock underlying options, warrants and convertible securities, held by other stockholders, however, are disregarded in this calculation. Therefore, the denominator used in calculating beneficial ownership of each of the stockholders may be different.

Unless otherwise indicated, the address of each beneficial owner listed below is c/o Elephant Oil Corp., Pennzoil Place, 700 Milam, Suite 1300, Houston, TX 77002. To our knowledge, there is no arrangement, including any pledge by any person of securities of the Company, the operation of which may at a subsequent date result in a change in control of the Company.

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Beneficial Ownership <br>Before the Offering<br>Common Stock** | **Beneficial Ownership <br>Before the Offering<br>Common Stock** | **Beneficial Ownership <br>After the Offering<br>Common Stock** | **Beneficial Ownership <br>After the Offering<br>Common Stock** |
|  **Name of Beneficial Owner** | **Shares** | **%** | **Shares** | **%** |
|  **5% Stockholders:** |  |  |  |  |
|  Adrian Beeston | 1326753 | 10.85% | 1326753 | 9.43% |
|  Stephen Lundy | 707822 | 5.79% | 707822 | 5.04% |
|  Gavin John Burnell<sup>(1)</sup> | 2224383 | 18.19% | 2224383 | 15.82% |
|  **Named Executive Officers and Directors:** |  |  |  |  |
|  Matthew Lofgran | 2688733 | 21.99% | 2688733 | 19.12% |
|  Lanre Oloniniyi |  |  |  |  |
|  Dr. Stephen Staley |  |  |  |  |
|  David Blanchard |  |  |  |  |
|  Peter Elliott<sup>(2)</sup> | 230811 | 1.89% | 230811 | 1.64% |
|  Frank Ingriselli |  |  |  |  |
|  **All directors and executive officers as a group<br>(6 persons)** | 2919544 | 23.88% | 2919544 | 20.77% |

---

_________

(1) The Common Stock beneficially owned by Mr. Burnell are represented by (i) 1,097,716 Common Stock personally owned by Mr. Burnell; (ii) 659,091 Common Stock owned by Hot Rocks Investments PLC, an English company for which Gavin Burnell owns 24.07% of the membership interests and holds investment and voting control interests over with an address of

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Hot Rocks Investments PLC 60 Gracechurch Street, London, UK EC3V0HR; and (iii) 467,576 Common Stock owned by Woodland Capital Limited, an English company for which Gavin Burnell is a Managing Director and holds investment and voting control interests over with an address of 39 Cheval Place, Knightsbridge, London, SW71EW.

(2) The Common Stock beneficially owned by Mr. Elliott are represented by: (i) 133,182 Common Stock personally owned by Mr. Elliott, (ii) 81,160 Common Stock owned by PVE Consulting Limited, an English Company for which Mr. Elliott owns 100% of the membership interest, with an address of LBW Accountants, Enterprise House, The Courtyard, Old Courthouse Road, Bromborough, Wirral CH62 4UE, and (iii) 16,469 Common Stock owned by Cove Energy Ltd., a British Virgin Islands company for which Mr. Elliott is a director and owner who holds investment and voting control interests over the entity, with an address of Offshore Incorporations Centre, Road Town, Tortola, BVI.

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#### DESCRIPTION OF CAPITAL STOCK
The following description summarizes important terms of our capital stock and certain provisions of our articles of incorporation and second amended and restated bylaws. Copies of these documents will be filed with the SEC as exhibits to our registration statement, of which this prospectus forms a part.

#### General
Following the closing of this offering, the Company will be authorized to issue an aggregate of 500,000,000 shares. The authorized capital stock is divided into 490,000,000 shares of Common Stock having a par value of $0.0001 per share and 10,000,000 shares of Preferred Stock having a par value of $0.0001 per share. As of January 6, 2023, there were 12,228,411 shares of our Common Stock outstanding, held by approximately 98 stockholders of record and no shares of our preferred stock outstanding.

#### Common Stock
All shares of Common Stock of the Company are one and the same class, identical in all respects and have equal rights, powers and privileges.

***Voting.*** Except as otherwise provided for by resolution of the Board of Directors, the holders of outstanding shares of Common Stock have the exclusive right to vote on all matters requiring stockholder action. On each matter on which holders of Common Stock are entitled to vote, each outstanding share of such Common Stock is entitled to one vote.

***Dividends.*** Subject to the rights of holders of any series of outstanding preferred stock, holders of shares of Common Stock have equal rights of participation in the dividends and other distributions in cash, stock or property of the Company when, as and if declared thereon by the Board of Directors from time to time out of assets or funds of the Company legally available therefor.

***Liquidation.*** Subject to the rights of holders of any series of outstanding preferred stock, holders of shares of Common Stock have equal rights to receive the assets and funds of the Company available for distribution to stockholders in the event of any liquidation, dissolution or winding up of the affairs of the Company, whether voluntary or involuntary.

***Rights and Preferences.*** Holders of our Common Stock will have no preemptive, conversion or subscription rights, and there will be no redemption or sinking funds provisions applicable to our Common Stock. The rights, preferences and privileges of the holders of our Common Stock will be subject to, and may be adversely affected by, the rights of the holders of share of any series of our preferred stock that we may designate and issue in the future.

***Fully Paid and Nonassessable.*** All of our outstanding shares of Common Stock are, and the shares of Common Stock to be issued in this offering will be, fully paid and nonassessable.

#### Preferred Stock
Shares of preferred stock of the Company may be issued from time to time in one or more series, the shares of each series to have such voting powers, full or limited, if any, and such designations, preferences and relative, participating, optional or other special rights, and qualifications, limitations or restrictions thereof, as are stated and expressed in the resolution or resolutions providing for the issue of such series, adopted by the Board of Directors. The resolutions providing for issuance of any series of preferred stock may provide that such series shall be superior to, rank equally with or be junior to any other series of preferred stock to the extent permitted by law and the terms of any other series of preferred stock.

#### Units
Each Unit being offered by us consists of one share of Common Stock and a Warrant to purchase one share of Common Stock. The share of Common Stock and Warrant that are part of the Units are immediately separable and will be issued separately in this offering, but must be purchased together in this offering.

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#### Warrants Issued in this Offering
***Form.*** The Warrants will be issued under a Warrant agent agreement between us and Vstock Transfer, LLC, as Warrant agent. The material terms and provisions of the Warrants offered hereby are summarized below. The following description is subject to, and qualified in its entirety by, the form of warrant agent agreement and accompanying form of Warrant, which is filed as an exhibit to the registration statement of which this prospectus is a part. You should review a copy of the form of warrant agent agreement and accompanying form of warrant for a complete description of the terms and conditions applicable to the Warrants.

***Exercisability.*** The Warrants are exercisable immediately upon issuance and will thereafter remain exercisable at any time up to five (5) years from the date of original issuance. The Warrants will be exercisable, at the option of each holder, in whole or in part by delivering to us a duly executed exercise notice accompanied by payment in full for the number of Common Stock purchased upon such exercise (except in the case of a cashless exercise as discussed below).

***Exercise Price.*** Each Warrant represents the right to purchase one share of Common Stock at an exercise price of $5.81 per share (equal to 125% of the public offering price). The exercise price is subject to appropriate adjustment in the event of certain share dividends and distributions, stock splits, stock combinations, reclassifications or similar events affecting our shares of Common Stock and also upon any distributions of assets, including cash, stock or other property to our shareholders. The Warrant exercise price is also subject to anti-dilution adjustments under certain circumstances.

Subject to certain exemptions outlined in the Warrant, for a period until two years from the date of issuance of the Warrant, if the Company shall enter into a Dilutive Issuance, the exercise price of the Warrant shall be reduced to equal the effective price per share in such Dilutive Issuance; provided, however, that in no event shall the exercise price of the Warrant be reduced to an exercise price lower than 50% of the Initial Exercise Price. On the date that is 90 calendar days immediately following the initial issuance date of the Warrants, the exercise price of the Warrants will adjust to be equal to the Reset Price, provided that such value is less than the exercise price in effect on that date. The Reset Price is equal to the greater of (a) 50% of the initial exercise price (as adjusted for share splits, share dividends, recapitalizations and similar events pursuant to Section 3(a) of the Warrants) of the Warrants on the issuance date or (b) 100% of the lowest volume weighted average price per share of Common Stock occurring on any day between the initial exercise date of the Warrants and 90 calendar days following the issuance date of the Warrants. The lowest Reset Price is $2.91, which is 50% of the assumed exercise price, based on an assumed public offering price of $4.65 per Unit, the midpoint of the price range of the Units, per share of Common Stock (equal to the price per share of Common Stock included in the Unit).

***Cashless Exercise.*** If, at any time during the term of the Warrants, the issuance of shares of Common Stock upon exercise of the Warrants is not covered by an effective registration statement, the holder is permitted to effect a cashless exercise of the Warrants (in whole or in part) by having the holder deliver to us a duly executed exercise notice, canceling a portion of the Warrant in payment of the purchase price payable in respect of the number of shares of Common Stock purchased upon such exercise.

***Failure to Timely Deliver Shares.*** If we fail for any reason to deliver to the holder the shares subject to an exercise by the date that is the earlier of (i) two (2) trading days and (ii) the number of trading days that is the standard settlement period on our primary trading market as in effect on the date of delivery of the exercise notice, we must pay to the holder, in cash, as liquidated damages and not as a penalty, for each $1,000 of shares subject to such exercise (based on the daily volume weighted average price of our shares of Common Stock on the date of the applicable exercise notice), $10 per trading day for each trading day after such date until such shares are delivered or the holder rescinds such exercise. In addition, if after such date the holder is required by its broker to purchase (in an open market transaction or otherwise) or the holder's brokerage firm otherwise purchases, shares of Common Stock to deliver in satisfaction of a sale by the holder of the shares which the holder anticipated receiving upon such exercise, then we shall (A) pay in cash to the holder the amount, if any, by which (x) the holder's total purchase price (including brokerage commissions, if any) for the shares of Common Stock so purchased exceeds (y) the amount obtained by multiplying (1) the number of shares that we were required to deliver to the holder in connection with the exercise at issue times (2) the price at which the sell order giving rise to such purchase obligation was executed, and (B) at the option of the holder, either reinstate the portion of the Warrant and equivalent number of shares for which such exercise was not honored (in which case such exercise shall be deemed rescinded) or deliver to the holder the number of shares of Common Stock that would have been issued had we timely complied with our exercise and delivery obligations.

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***Exercise Limitation.*** A holder will not have the right to exercise any portion of a Warrant if the holder (together with its affiliates) would beneficially own in excess of 4.99% of the number of shares of Common Stock outstanding immediately after giving effect to the exercise, as such percentage ownership is determined in accordance with the terms of the Warrants. However, any holder may increase or decrease such percentage to any other percentage not in excess of 9.99%, provided that any increase in such percentage shall not be effective until 61 days following notice from the holder to us.

***Non***-Tradable*.*** We do not intend to list the Warrants for trading on any stock market or exchange.

***Rights as a Shareholder.*** Except as otherwise provided in the Warrants or by virtue of such holder's ownership of our shares of Common Stock, the holder of a Warrant does not have the rights or privileges of a holder of our shares of Common Stock, including any voting rights, until the holder exercises the Warrant.

***Callable.*** The Company reserves the right to redeem all or a portion, on a pro rata basis, the outstanding warrants, at any time and from time to time prior to their exercise, with a notice of redemption in writing to the holders (the "Redemption Notice"), giving not less than fifteen (15) days' notice of such redemption at any time during which the warrants are exercisable (the "Notice Period") if the closing sale price of our Common Stock is at or above 250% of the exercise price, as adjusted pursuant to the terms of the warrant. The Company shall pay to the holders of record of redeemed Warrants all amounts to which the holders of record of such redeemed Warrants who shall have surrendered their Warrants are entitled.

***Governing Law and Jurisdiction.*** The warrant provides that the validity, interpretation, and performance of the warrant agent agreement and the warrants will be governed by the laws of the State of New York, without giving effect to conflicts of law principles that would result in the application of the substantive laws of another jurisdiction. In addition, the warrant provides that any action, proceeding or claim against any party arising out of or relating to the warrant agent agreement or the warrants must be brought and enforced in the state and federal courts sitting in the City of New York, Borough of Manhattan. Investors in this offering will be bound by these provisions. However, we do not intend that the foregoing provisions would apply to actions arising under the Securities Act or the Exchange Act.

Section 6(e) of the warrant provides that "Each party agrees that all legal proceedings concerning the interpretations, enforcement and defense of the transactions contemplated by this Warrant (whether brought against a party hereto or their respective affiliates, directors, officers, shareholders, partners, members, employees or agents) shall be commenced exclusively in the state and federal courts sitting in the City of New York other than for claims arising under the Securities Act or Exchange Act." Section 6(e) of the warrant further provides that "If either party shall commence an action, suit or proceeding to enforce any provisions of this Warrant, the prevailing party in such action, suit or proceeding shall be reimbursed by the other party for their reasonable attorneys' fees and other costs and expenses incurred with the investigation, preparation and prosecution of such action or proceeding. The fee-shifting provision applies broadly to all actions brought under the warrant, other than for claims arising under the Exchange Act or the Securities Act. There is no set level of recovery required to be met by a plaintiff to avoid payment under this provision. Instead, whoever is the prevailing party is entitled to recover the reasonable attorneys' fees, costs and expenses incurred in connection with the prosecution or defense of such action. Additionally, any party who brings an action, and the party against whom such action is brought under the warrant, which could include former and current shareholders, Company directors, officers, affiliates, legal counsel, expert witnesses and other parties, would be able to recover fees under this provision. In the event you initiate or assert a claim against us, in accordance with the provisions contained in the warrant, and you do not, in a judgment prevail, you will be obligated to reimburse us for all reasonable costs and expenses incurred in connection with such claim, including, but not limited to, reasonable attorney's fees and expenses and costs of appeal, if any. While the intent of this fee-shifting provision is to discourage nuisance and frivolous litigation, this provision in Section 6(e) of the warrant could discourage shareholder lawsuits that might otherwise benefit the Company and its shareholders.

#### Representative's Warrants
Upon the closing of this offering, there will be up to 91,398 shares of Common Stock issuable upon exercise of the Representative's Warrants. See "*Underwriting — Representative's Warrants*" below for a description of the Representative's Warrants.

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#### Anti-Takeover Provisions
Provisions of the Nevada Revised Statutes, our articles of incorporation and our second amended and restated bylaws could have the effect of delaying or preventing a third-party from acquiring us, even if the acquisition would benefit our stockholders. Such provisions of the Nevada Revised Statutes, our articles of incorporation and our second amended and restated bylaws are intended to enhance the likelihood of continuity and stability in the composition of our board of directors and in the policies formulated by the board of directors and to discourage certain types of transactions that may involve an actual or threatened change of control of our company. These provisions are designed to reduce our vulnerability to an unsolicited proposal for a takeover that does not contemplate the acquisition of all of our outstanding shares, or an unsolicited proposal for the restructuring or sale of all or part of our company.

#### Nevada Anti-Takeover Statutes
Pursuant to our articles of incorporation, we have elected not to be governed by the terms and provisions of Nevada's control share acquisition laws (Nevada Revised Statutes 78.378 – 78.3793), which prohibit an acquirer, under certain circumstances, from voting shares of a corporation's stock after crossing specific threshold ownership percentages, unless the acquirer obtains the approval of the issuing corporation's stockholders. The first such threshold is the acquisition of at least one-fifth but less than one-third of the outstanding voting power.

Pursuant to our articles of incorporation, we have also elected not to be governed by the terms and provisions of Nevada's combination with interested stockholders statute (Nevada Revised Statutes 78.411 – 78.444) which prohibits an "interested stockholder" from entering into a "combination" with the corporation, unless certain conditions are met. An "interested stockholder" is a person who, together with affiliates and associates, beneficially owns (or within the prior two years, did beneficially own) 10 percent or more of the corporation's voting stock, or otherwise has the ability to influence or control such corporation's management or policies.

#### Bylaws
In addition, various provisions of our second amended and restated bylaws may also have an anti-takeover effect. These provisions may delay, defer or prevent a tender offer or takeover attempt of the company that a stockholder might consider in his or her best interest, including attempts that might result in a premium over the market price for the shares held by our stockholders. Our second amended and restated bylaws may be adopted, amended or repealed by the affirmative vote of the holders of at least a majority of our outstanding shares of capital stock entitled to vote for the election of directors, and except as provided by Nevada law, our board of directors shall have the power to adopt, amend or repeal the second amended and restated bylaws by a vote of not less than a majority of our directors. Any bylaw provision adopted by the board of directors may be amended or repealed by the holders of a majority of the outstanding shares of capital stock entitled to vote for the election of directors. Our second amended and restated bylaws also contain limitations as to who may call special meetings as well as require advance notice of stockholder matters to be brought at a meeting. Additionally, the Nevada Revised Statutes and our second amended and restated bylaws also provide that no director may be removed by less than a two-thirds vote of the issued and outstanding shares entitled to vote on the removal. Our second amended and restated bylaws also permit the board of directors to establish the number of directors and fill any vacancies and newly created directorships. These provisions will prevent a shareholder from increasing the size of our board of directors and gaining control of our board of directors by filling the resulting vacancies with its own nominees.

Our second amended and restated bylaws establish an advance notice procedure for shareholder proposals to be brought before an annual meeting of our shareholders, including proposed nominations of persons for election to the board of directors. Shareholders at an annual meeting will only be able to consider proposals or nominations specified in the notice of meeting or brought before the meeting by or at the direction of the board of directors or by a shareholder who was a shareholder of record on the record date for the meeting, who is entitled to vote at the meeting and who has given us timely written notice, in proper form, of the shareholder's intention to bring that business before the meeting. Although our second amended and restated bylaws do not give the board of directors the power to approve or disapprove shareholder nominations of candidates or proposals regarding other business to be conducted at a special or annual meeting, our second amended and restated bylaws may have the effect of precluding the conduct of certain business at a meeting if the proper procedures are not followed or may discourage or deter a potential acquirer from conducting a solicitation of proxies to elect its own slate of directors or otherwise attempting to obtain control of our company.

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#### Authorized but Unissued Shares
Our authorized but unissued shares of Common Stock are available for our board of directors to issue without stockholder approval. We may use these additional shares for a variety of corporate purposes, including raising additional capital, corporate acquisitions and employee stock plans. The existence of our authorized but unissued shares of Common Stock could render it more difficult or discourage an attempt to obtain control of the company by means of a proxy context, tender offer, merger or other transaction since our board of directors can issue large amounts of capital stock as part of a defense to a take-over challenge. In addition, we have authorized in our articles of incorporation 10,000,000 shares of preferred stock, none of which are currently designated or outstanding. However, the board acting alone and without approval of our stockholders can designate and issue one or more series of preferred stock containing super-voting provisions, enhanced economic rights, rights to elect directors, or other dilutive features, that could be utilized as part of a defense to a take-over challenge.

#### Supermajority Voting Provisions
Nevada Law provides generally that the affirmative vote of a majority of the shares entitled to vote on any matter is required to amend a corporation's articles of incorporation, unless a corporation's articles of incorporation or bylaws, as the case may be, require a greater percentage. Although our articles of incorporation and amended and restated bylaws do not currently provide for such a supermajority vote on any matters, our board of directors can amend our second amended and restated bylaws and we can, with the approval of our stockholders, amend our articles of incorporation to provide for such a super-majority voting provision.

#### Cumulative Voting
Furthermore, neither the holders of our Common Stock nor the holders of our preferred stock have cumulative voting rights in the election of our directors. The combination of the present ownership by a few shareholders of a significant portion of our issued and outstanding Common Stock and lack of cumulative voting makes it more difficult for other shareholders to replace our board of directors or for a third party to obtain control of our company by replacing its board of directors.

#### Classification of Board of Directors
Our second amended and restated bylaws provide for a "staggered" or "classified" board of directors whereby the directors of the Board are divided into three classes. Each class shall be elected for three-year terms. For more information, please see "Management — Classified Board of Directors."

#### Listing
We intend to apply to have our Common Stock listed on The Nasdaq Capital Market under the symbol "ELEP."

#### Transfer Agent and Registrar
The transfer agent and registrar for our Common Stock and Warrants will be VStock Transfer, LLC.

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#### SHARES ELIGIBLE FOR FUTURE SALE
Immediately prior to this offering, there was no public market for our Common Stock, and no predictions can be made about the effect, if any, that market sales of our Common Stock or the availability of such shares for sale will have on the market price prevailing from time to time. Nevertheless, future sales of our Common Stock in the public market, or the perception that such sales may occur, could adversely affect the market price of our Common Stock and could impair our ability to raise capital through future sales of our securities. See "Risk Factors — Risks Related to this Offering and Ownership of Our Common Stock — Sales of a substantial number of shares of our Common Stock in the public market could cause the price of our securities to fall." Furthermore, although we intend to apply to have our Common Stock listed on the Nasdaq Capital Market, we cannot assure you that there will be an active public trading market for our Common Stock.

Upon the closing of this offering, based on the number of shares of our Common Stock outstanding as of January 6, 2023, we will have an aggregate of 14,006,368 shares of our Common Stock outstanding, assuming no exercise of the Warrants being offered by us. Of these shares of our Common Stock, all of the shares sold in this offering (or shares if the underwriters exercise in full their option to purchase additional Units) will be freely tradable without restriction or further registration under the Securities Act, except for any shares purchased by our "affiliates," as that term is defined in Rule 144 under the Securities Act, whose sales would be subject to the Rule 144 resale restrictions described below, other than the holding period requirement.

Of the remaining shares of our Common Stock, approximately 84% will be "restricted securities," as that term is defined in Rule 144 under the Securities Act. These restricted securities are eligible for public sale only if they are registered under the Securities Act or if they qualify for an exemption from registration under Rules 144 or 701 under the Securities Act, which are summarized below. We expect that substantially all of these shares will be subject to the 180-day lock-up period under the lock-up agreements described below. Upon expiration of the lock-up period, we estimate that approximately 12,228,411 shares of our Common Stock will be available for sale in the public market, subject in some cases to applicable volume limitations under Rule 144.

#### Lock-Up and Market Standoff Agreements
All of our directors, executive officers and certain of our security holders are subject to lock-up agreements or market standoff provisions that, subject to certain exceptions, prohibit them from directly or indirectly offering, pledging, selling, contracting to sell, selling any option or contract to purchase, purchasing any option or contract to purchase, granting any option, right or warrant to purchase or otherwise transferring or disposing of any shares of our Common Stock, options to acquire shares of our Common Stock or any securities convertible into or exercisable or exchangeable for Common Stock, whether now owned or hereafter acquired, or entering into any swap or any other agreement or any transaction that transfer, in whole or in part, directly or indirectly, the economic consequence of ownership, for a period of 180 days following the date of this prospectus, without the prior written consent of the Representative. See the section entitled "Underwriting."

#### Rule 144
*Affiliate Resales of Restricted Securities.* In general, beginning 90 days after the effective date of the registration statement of which this prospectus is a part, a person who is an affiliate of ours, or who was an affiliate at any time during the 90 days before a sale, who has beneficially owned shares of our Common Stock for at least six months would be entitled to sell in "brokers transactions" or certain "riskless principal transactions" or to market makers, a number of shares within any three month-period that does not exceed the greater of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• 1% of the number of our Common Stock then outstanding, which will equal approximately 140,563 shares of our Common Stock immediately after this offering; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the average weekly reported trading volume in shares of our Common Stock on the Nasdaq Capital Market during the four calendar weeks preceding the date on which a notice of the sale on Form 144 is filed with the SEC with respect to such sale.

Affiliates resales under Rule 144 are also subject to the availability of current public information about us. In addition, if the number of shares being sold under Rule 144 by an affiliate during any three-month period exceeds 5,000 shares or has an aggregate sale price in excess of $50,000, the seller must file a notice on Form 144 with the SEC and the Nasdaq concurrently with either the placing of a sale order with the broker or the execution directly with a market maker**.**

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*Non*-Affiliate *Resales of Restricted Securities.* In general, beginning 90 days after the effective date of the registration statement of which this prospectus is a part, a person who is not an affiliate of ours at the time of sale, and has not been an affiliate at any time during the three months preceding a sale, and who has beneficially owned shares of our Common Stock for at least six months but less than a year, is entitled to sell such shares subject only to the availability of current public information about us. If such person has held our shares for at least one year, such person can resell under Rule 144(b)(1) without regard to any Rule 144 restrictions, including the 90-day public company requirement and the current public information requirement.

Non-affiliate resales are not subject to manner of sale, volume limitation or notice filing provisions of Rule 144.

#### Rule 701
In general, under Rule 701 of the Securities Act, each of our employees, officers, directors, consultants or advisors who purchases shares of our Common Stock from us in connection with a compensatory stock or option plan or other written agreement executed before the effective date of the registration statement under the Securities Act is entitled to resell such shares 90 days after such effective date in reliance on Rule 144. An affiliate of ours can resell shares in reliance on Rule 144 without having to comply with the holding period requirement, and non-affiliates of ours can resell shares in reliance on Rule 144 without having to comply with the current public information and holding period requirements.

The SEC has indicated that Rule 701 will apply to typical options granted by an issuer before it becomes subject to the reporting requirements of the Exchange Act, along with the shares acquired upon exercise of such options, including exercises after an issuer becomes subject to the reporting requirements of the Exchange Act.

#### Equity Incentive Plans
We intend to file with the SEC a registration statement on Form S-8 under the Securities Act covering the shares of Common Stock reserved for issuance under our 2022 Incentive Plan. The registration statement is expected to be filed and become effective as soon as practicable after the closing of this offering. Accordingly, shares registered under the Form S-8 registration statement will be available for sale in the open market following the registration statement's effective date, subject to Rule 144 volume limitations and the lock-up agreements described above, if applicable. For a complete description of these transactions, please see the sections "*Executive Compensation — 2022 Incentive Plan*" in this prospectus.

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#### MATERIAL U.S. FEDERAL INCOME TAX CONSEQUENCES TO <br> NON-U .S. HOLDERS OF OUR SECURITIES
The following discussion is a summary of the material U.S. federal income tax consequences to non-U.S. holders (as defined below) of the purchase, ownership and disposition of our Common Stock and Warrants issued pursuant to this offering, but does not purport to be a complete and comprehensive analysis of all potential tax consequences. The effects of other U.S. federal tax laws, such as estate and gift tax laws, and any applicable state, local or foreign tax laws are not addressed herein. This discussion is based on the Code, Treasury Regulations promulgated thereunder, judicial decisions, and published rulings and administrative pronouncements of the U.S. Internal Revenue Service (the "IRS"), in each case in effect as of the date hereof. These authorities may change or be subject to differing interpretations. Any such change or differing interpretation may be applied retroactively in a manner that could adversely affect a non-U.S. holder of our Common Stock or Warrants. We have not sought and will not seek any rulings from the IRS regarding the matters discussed below. There can be no assurance the IRS or a court will not take a contrary position to that discussed below regarding the tax consequences of the purchase, ownership and disposition of our Common Stock or Warrants.

This discussion is limited to non-U.S. holders that hold our Common Stock or Warrants as a "capital asset" within the meaning of Section 1221 of the Code (generally, property held for investment). This discussion does not address all U.S. federal income tax consequences relevant to a non-U.S. holder's particular circumstances, including the impact of the alternative minimum tax or the impact of the Medicare contribution tax on net investment income. In addition, it does not address consequences relevant to non-U.S. holders subject to special rules, including, without limitation:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• U.S. expatriates and certain former citizens or long-term residents of the United States;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• persons holding our Common Stock or Warrants as part of a hedge, straddle or other risk reduction strategy or as part of a conversion transaction or other integrated investment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• banks, insurance companies, and other financial institutions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• brokers, dealers or traders in securities or currencies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• persons that hold more than 5% of our Common Stock, directly or indirectly;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• "controlled foreign corporations," "passive foreign investment companies," and corporations that accumulate earnings to avoid U.S. federal income tax;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• corporations organized outside of the United States, any state thereof or the District of Columbia that are nonetheless treated as U.S. taxpayers for U.S. federal income tax purposes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• partnerships or other entities or arrangements treated as partnerships for U.S. federal income tax purposes (and investors therein);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• tax-exempt organizations or governmental organizations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• persons deemed to sell our Common Stock under the constructive sale provisions of the Code;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• persons for whom our Common Stock constitutes "qualified small business stock" within the meaning of Section 1202 of the Code;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• persons who hold or receive our Common Stock or Warrants pursuant to the exercise of any employee stock option or otherwise as compensation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• qualified foreign pension funds as defined in Section 897(l)(2) of the Code and entities all of the interests of which are held by qualified foreign pension funds;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• persons subject to special tax accounting rules as a result of any item of gross income with respect to our Common Stock being taken into account in an applicable financial statement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• tax-qualified retirement plans.

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If a partnership (or other entity treated as a partnership for U.S. federal income tax purposes) holds our Common Stock, the tax treatment of a partner (or person or entity treated as a partner) will generally depend on the status of the partner, the activities of the partnership and certain determinations made at the partner level. Accordingly, partnerships holding our Common Stock and the partners in such partnerships should consult their tax advisors regarding the United States federal income tax consequences to them.

**THIS DISCUSSION IS FOR INFORMATIONAL PURPOSES ONLY AND IS NOT INTENDED AS LEGAL OR TAX ADVICE AND DOES NOT SERVE AS A SUBSTITUTE FOR CAREFUL TAX PLANNING. INVESTORS SHOULD CONSULT THEIR TAX ADVISORS WITH RESPECT TO THE APPLICATION OF THE U.S. FEDERAL INCOME TAX LAWS TO THEIR PARTICULAR SITUATIONS AS WELL AS ANY TAX CONSEQUENCES OF THE PURCHASE, OWNERSHIP AND DISPOSITION OF OUR COMMON STOCK OR WARRANTS ARISING UNDER THE U.S. FEDERAL ESTATE OR GIFT TAX LAWS OR UNDER THE LAWS OF ANY STATE, LOCAL OR NON-U.S. TAXING JURISDICTION OR UNDER ANY APPLICABLE INCOME TAX TREATY.**

#### Definition of a Non-U .S. Holder
For purposes of this discussion, a "non-U.S. holder" is any beneficial owner of our Common Stock or Warrants that is neither a "U.S. person," nor an entity treated as a partnership for U.S. federal income tax purposes regardless of its place of organization or formation. A U.S. person is any person that, for U.S. federal income tax purposes, is or is treated as any of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• an individual who is a citizen or resident of the United States;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• a corporation (or other entity treated as a corporation for U.S. federal income tax purposes) created or organized under the laws of the United States, any state thereof, or the District of Columbia;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• an estate, the income of which is subject to U.S. federal income tax regardless of its source; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• a trust that (1) is subject to the primary supervision of a U.S. court and which has one or more U.S. persons (within the meaning of Section 7701(a)(30) of the Code) who have the authority to control all substantial decisions of the trust, or has a valid election in effect under applicable Treasury Regulations to be treated as a U.S. person.

#### Distributions
As described in the section titled "Dividend Policy," we do not anticipate declaring or paying dividends to holders of our Common Stock in the foreseeable future. However, if we do make distributions on our Common Stock, such distributions of cash or property on our Common Stock will constitute dividends for U.S. federal income tax purposes to the extent paid from our current or accumulated earnings and profits, as determined under U.S. federal income tax principles. Amounts not treated as dividends for U.S. federal income tax purposes will constitute a return of capital and first be applied against and reduce a non-U.S. holder's adjusted tax basis in its Common Stock, but not below zero. Any excess will be treated as capital gain and will be treated as described below under "— Sale or Other Disposition of Common Stock."

Subject to the discussion below on effectively connected income, backup withholding and foreign accounts, dividends paid to a non-U.S. holder of our Common Stock that are not effectively connected with the non-U.S. holder's conduct of a trade or business within the United States will be subject to U.S. federal withholding tax at a rate of 30% of the gross amount of the dividends (or such lower rate specified by an applicable income tax treaty, provided the non-U.S. holder furnishes a valid IRS Form W-8BEN or W-8BEN-E (or other applicable documentation) certifying qualification for the lower treaty rate). Non-U.S. holders should consult their tax advisors regarding their entitlement to benefits under any applicable income tax treaty.

Non-U.S. holders may be entitled to a reduction in or an exemption from withholding on dividends as a result of either (a) an applicable income tax treaty or (b) the non-U.S. holder holding our Common Stock in connection with the conduct of a trade or business within the United States and dividends being effectively connected with that trade or business. To claim such a reduction in or exemption from withholding, the non-U.S. holder must provide the applicable withholding agent with a properly completed and executed (a) IRS Form W-8BEN or W-8BEN-E (or other applicable

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documentation) claiming an exemption from or reduction of the withholding tax under the benefit of an income tax treaty between the United States and the country in which the non-U.S. holder resides or is established, or (b) IRS Form W-8ECI stating that the dividends are not subject to withholding tax because they are effectively connected with the conduct by the non-U.S. holder of a trade or business within the United States, as may be applicable. These certifications must be provided to the applicable withholding agent prior to the payment of dividends and must be updated periodically. If a non-U.S. holder holds stock through a financial institution or other agent acting on the non-U.S. holder's behalf, the non-U.S. holder will be required to provide appropriate documentation to such agent. The non-U.S. holder's agent will then be required to provide certification to us or our paying agent, either directly or through other intermediaries. Non-U.S. holders that do not timely provide the applicable withholding agent with the required certification, but that qualify for a reduced rate under an applicable income tax treaty, may obtain a refund of any excess amounts withheld by timely filing an appropriate claim for refund with the IRS. Special certification and other requirements apply to certain non-U.S. holders that are pass-through entities (e.g., partnerships) rather than corporations or individuals.

If dividends paid to a non-U.S. holder are effectively connected with the non-U.S. holder's conduct of a trade or business within the United States (and, if required by an applicable income tax treaty, the non-U.S. holder maintains a permanent establishment in the United States to which such dividends are attributable), then, although exempt from U.S. federal withholding tax (provided the non-U.S. holder provides appropriate certification, as described above), the non-U.S. holder will be subject to U.S. federal income tax on such dividends on a net income basis at the regular U.S. federal income tax rates. In addition, a non-U.S. holder that is a corporation may be subject to a branch profits tax at a rate of 30% (or such lower rate specified by an applicable income tax treaty, provided the non-U.S. holder furnishes a valid IRS Form W-8BEN or W-8BEN-E (or other applicable documentation) certifying qualification for the lower treaty rate) on its effectively connected earnings and profits for the taxable year that are attributable to such dividends, as adjusted for certain items. Non-U.S. holders should consult their tax advisors regarding their entitlement to benefits under any applicable income tax treaty.

#### Exercise of Our Warrants
Exercise of our Warrants by a non-U.S. Holder will cause the Holder to become a non-U.S. Holder of our Common Stock with an adjusted basis in that stock generally equal to the non-U.S. Holder's adjusted basis in the Warrant plus the amount paid to exercise the Warrant(s). No U.S. income tax or withholding tax is applicable to such exercise.

#### Sale or Other Disposition of Common Stock or Warrants
Subject to the discussions below on backup withholding and FATCA, a non-U.S. holder generally will not be subject to U.S. federal income tax on any gain realized upon the sale or other disposition of our Common Stock or Warrants unless:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the gain is effectively connected with the non-U.S. holder's conduct of a trade or business within the United States (and, if required by an applicable income tax treaty, the non-U.S. holder maintains a permanent establishment in the United States to which such gain is attributable);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the non-U.S. holder is a nonresident alien individual present in the United States for 183 days or more during the taxable year of the disposition and certain other requirements are met; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our Common Stock or Warrants constitute U.S. real property interests, or USRPIs, by reason of our status as a U.S. real property holding corporation, or USRPHC, for U.S. federal income tax purposes at any time within the shorter of the five-year period preceding such disposition or such non-U.S. holder's holding period.

Gain described in the first bullet point above will generally be subject to U.S. federal income tax on a net income basis at the regular U.S. federal income tax rates. A non-U.S. holder that is a foreign corporation also may be subject to a branch profits tax at a rate of 30% (or such lower rate specified by an applicable income tax treaty) on such effectively connected gain, as adjusted for certain items.

A non-U.S. holder described in the second bullet point above will be subject to U.S. federal income tax at a rate of 30% (or such lower rate specified by an applicable income tax treaty) on gain realized upon the sale or other taxable disposition of our Common Stock or Warrants, which may be offset by certain U.S. source capital losses of the non-U.S. holder (even though the individual is not considered a resident of the United States) provided the non-U.S. holder has timely filed U.S. federal income tax returns with respect to such losses.

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With respect to the third bullet point above, we would be a USRPHC if our USRPIs comprise (by fair market value) at least 50 percent of our business assets. We believe we currently are not, and do not anticipate becoming, a USRPHC. Because the determination of whether we are a USRPHC depends, however, on the fair market value of our USRPIs relative to the fair market value of our other business assets and our non-U.S. real property interests, there can be no assurance we currently are not a USRPHC or will not become one in the future. Even if we are or were to become a USRPHC, gain arising from the sale or other taxable disposition of our Common Stock or Warrants by a non-U.S. holder will not be subject to U.S. federal income tax if our Common Stock is "regularly traded," as defined by applicable Treasury Regulations, on an established securities market, and such non-U.S. holder owned, actually and constructively, 5% or less of our Common Stock or Warrants throughout the shorter of the five-year period ending on the date of the sale or other taxable disposition or the non-U.S. holder's holding period. There can be no assurance that our Common Stock or Warrants will continue to qualify as regularly traded on an established securities market. If any gain on your disposition is taxable because we are a USRPHC and your ownership of our Common Stock exceeds 5%, you will be taxed on such disposition generally in the manner as gain that is effectively connected with the conduct of a U.S. trade or business (subject to the provisions under an applicable income tax treaty), except that the branch profits tax generally will not apply.

Non-U.S. holders should consult their tax advisors regarding potentially applicable income tax treaties that may provide for different rules.

#### Information Reporting and Backup Withholding
Subject to the discussion below on FATCA, payments of dividends on our Common Stock will not be subject to backup withholding,, provided the applicable withholding agent does not have actual knowledge or reason to know such holder is a U.S. person and the holder either certifies under penalties of perjury its non-U.S. status, such as by furnishing a valid IRS Form W-8BEN, W-8BEN-E or W-8ECI, or otherwise establishes an exemption. However, information returns are required to be filed with the IRS in connection with any distributions (including deemed distributions) on our Common Stock paid to the non-U.S. holder, regardless of whether such distributions constitute dividends or whether any tax was actually withheld. Such information returns generally include the amount of any such dividends, the name and address of the recipient, and the amount, if any, of tax withheld. A similar report is sent to the holder to whom any such dividends are paid. In addition, proceeds of the sale or other taxable disposition of our Common Stock or Warrants within the United States or conducted through certain U.S.-related brokers generally will not be subject to backup withholding or information reporting if the applicable withholding agent receives the certification described above and does not have actual knowledge or reason to know that such holder is a U.S. person or the holder otherwise establishes an exemption. Proceeds of a disposition of our Common Stock or Warrants conducted through a non-U.S. office of a non-U.S. broker that does not have certain enumerated relationships with the United States generally will not be subject to backup withholding or information reporting.

Copies of information returns that are filed with the IRAS may also be made available under the provisions of an applicable treaty or agreement to the tax authorities of the country in which the non-U.S. holder resides or is established.

Backup withholding is not an additional tax. Any amounts withheld under the backup withholding rules may be allowed as a refund or a credit against a non-U.S. holder's U.S. federal income tax liability, provided the required information is timely furnished to the IRS.

#### Additional Withholding Tax on Payments Made to Foreign Accounts
Withholding taxes may be imposed under Sections 1471 to 1474 of the Code and applicable Treasury Regulations (such Sections commonly referred to as the Foreign Account Tax Compliance Act, or FATCA), on certain types of payments made to non-U.S. financial institutions and certain other non-U.S. entities. Specifically, a 30% withholding tax may be imposed on dividends on, or (subject to the proposed Treasury Regulations discussed below) gross proceeds from the sale or other disposition of our Common Stock paid to a "foreign financial institution" or a "non-financial foreign entity" (each as defined in the Code) (including, in some cases, when such foreign financial institution or non-financial foreign entity is acting as an intermediary), unless (1) the foreign financial institution undertakes certain diligence and reporting obligations, (2) the non-financial foreign entity either certifies it does not have any "substantial United States owners" (as defined in the Code) or furnishes identifying information regarding each substantial United States owner, or (3) the foreign financial institution or non-financial foreign entity otherwise qualifies for an exemption from these rules. If the payee is a foreign financial institution and is subject to the diligence and reporting requirements in

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(1) above, it must enter into an agreement with the U.S. Department of the Treasury requiring, among other things, that it undertake to identify accounts held by certain "specified United States persons" or "United States-owned foreign entities" (each as defined in the Code), annually report certain information about such accounts, and withhold 30% on certain payments to non-compliant foreign financial institutions and certain other account holders. Foreign financial institutions located in jurisdictions that have an intergovernmental agreement with the United States governing FATCA may be subject to different rules.

Under the applicable Treasury Regulations and administrative guidance, withholding under FATCA generally applies to payments of dividends on our Common Stock. While withholding under FATCA would have applied also to payments of gross proceeds from the sale or other disposition of stock on or after January 1, 2019, proposed Treasury Regulations, eliminate FATCA withholding on payments of gross proceeds entirely. Taxpayers generally may rely on these proposed Treasury Regulations until final Treasury Regulations are issued.

We will not pay additional amounts or "gross up" payments to holders as a result of any withholding or deduction for taxes imposed under FATCA. Under certain circumstances, a non-U.S. holder might be eligible for refunds or credits of such taxes. Prospective investors should consult their tax advisors regarding the potential application of FATCA to their investment in our Common Stock.

EACH PROSPECTIVE INVESTOR SHOULD CONSULT ITS OWN TAX ADVISOR REGARDING THE TAX CONSEQUENCES OF PURCHASING, HOLDING AND DISPOSING OF OUR COMMON STOCK, INCLUDING THE CONSEQUENCES OF ANY RECENT OR PROPOSED CHANGE IN APPLICABLE LAW.

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#### UNDERWRITING
Subject to the terms and conditions set forth in the underwriting agreement, as to be filed herewith, between us and the underwriters named below, for which Spartan Capital Securities, LLC ("Spartan Capital") is acting as Representative, the underwriter named below has severally agreed to purchase, and we have agreed to sell to the underwriter, Units, with each Unit consisting of one share of Common Stock and one Warrant to purchase one share of Common Stock, each at an exercise price of $5.81 (125% of the public offering price). If our listing application is not approved by Nasdaq, we will not be able to consummate the offering and will terminate the offering.

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| | |
|:---|:---|
|  **Underwriter** | **Number of <br>Units** |
|  Spartan Capital Securities, LLC | 1827957 |
| &nbsp;&nbsp;&nbsp; Total | 1827957 |

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Under the terms of the underwriting agreement, the underwriters are committed to purchasing all of the units offered by this prospectus if the underwriters buy any such units. The underwriters' obligation to purchase the units is subject to satisfaction of certain conditions, including, among others, the continued accuracy of representations and warranties made by us in the underwriting agreement, delivery of legal opinions and the absence of any material changes in our assets, business or prospects after the date of this prospectus.

The underwriters initially propose to offer our units directly to the public at the public offering price set forth on the front cover page of this prospectus and to certain dealers at such offering price less a concession not to exceed $4.74 per unit. After the initial public offering of the units, the offering price and other selling terms may be changed by the underwriters. Sales of units made outside the United States may be made by affiliates of certain of the underwriters.

We have agreed to indemnify the underwriters against specified liabilities, including some liabilities under the Securities Act, or to contribute to payments the underwriters may be required to make in respect of those liabilities.

The underwriters are offering the Units, subject to prior sale, when, as and if issued to and accepted by them, subject to approval of legal matters by their counsel, including the validity of the Units, and other conditions contained in the Underwriting Agreement, such as the receipt by the underwriters of officer's certificates and legal opinions. The underwriters reserve the right to withdraw, cancel or modify offers to the public and to reject orders in whole or in part.

#### Commissions and Discounts
The following table shows the per Unit and total underwriting discounts and commissions to be paid to the underwriters. Such amounts are shown assuming both no exercise and full exercise of the underwriters' over-allotment option.

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| | | | |
|:---|:---|:---|:---|
|  | | **Total** | **Total** |
|  | **Per <br>Unit** | **No <br>Exercise** | **Full <br>Exercise** |
|  Public offering price | $4.65 | $8500000 | $9775000 |
|  Underwriting discounts and commissions to be paid by us | $0.37 | $680000 | $782000 |
|  Proceeds, before expenses, to us | $4.28 | $7820000 | $8993000 |

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The estimated offering expenses payable by us, exclusive of the underwriting discounts and commissions, will be approximately $2.8 million. We have agreed to pay the Representative for certain fees and out-of-pocket accountable expenses in connection with this offering, which includes, among other things, the Representative's legal fees up to $150,000. Additionally, one percent (1.0%) of the gross proceeds raised in this offering will be provided to the Representative for non-accountable expenses.

#### Representative's Warrants
We have agreed to issue Representative Warrants to Spartan Capital upon the closing of this offering, which entitle it to purchase up to five percent (5%) of the total number of shares of Common Stock being sold in this offering, including shares of Common Stock and Warrants sold to cover over-allotments, if any. The exercise price of the Representative's Warrants is equal to $5.12 per share of Common Stock (110% of the offering price of each share of Common Stock offered hereby). The Representative's Warrants will be exercisable at any time and from time to time, in whole or in part, during the four and a half-year period commencing six months from the effective date of this offering. The

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Representative's Warrants shall not be redeemable. We are registering hereby the issuance of the Representative's Warrants and the shares of Common Stock issuable upon exercise of such warrants. The Representative's Warrants and the shares of Common Stock underlying the Representative's Warrants have been deemed compensation by FINRA and are therefore subject to a 180-day lock-up pursuant to Rule 5110(g)(1) of FINRA. The Representative's Warrants may not be sold, transferred, assigned, pledged or hypothecated or be the subject of any hedging, short sale, derivative, put, or call transaction that would result in the effective economic disposition of the securities for a period of 180 days following the effective date of the registration for this offering, except that they may be assigned, in whole or in part, to any officer or partner of the Representative, and to members of the underwriting syndicate or selling group (or to officers or partners thereof), or as otherwise permitted, in compliance with FINRA Rule 5110(g)(2). The Representative's Warrants will contain provisions for one demand registration of the sale of the underlying shares of Common Stock at our expense and unlimited "piggyback" registration rights for a period of five (5) years after the effective date of the registration statement for this offering at our expense. The exercise price and number of shares issuable upon exercise of the Representative's Warrants may be adjusted in certain circumstances including in the event of a stock split or other corporate events and as otherwise permitted under Rule 5110(f)(2)(G) of FINRA.

#### Over-Allotment Option
We have granted an option to the underwriters to purchase, in the aggregate, up to 274,194 Units in this Offering, representing an additional fifteen percent (15%) of the Units sold in this Offering, at the public offering price less the underwriting discount. The underwriters may exercise this option for 45 days from the date of this prospectus solely to cover any over-allotments. If the underwriters exercise this option, each will be obligated, subject to conditions contained in the Underwriting Agreement.

#### Right of First Refusal
We have also granted Spartan Capital a 12-month right of first refusal to act as sole investment banker, sole book-runner, and/or sole placement agent, for any public and private equity and debt offering, including all equity linked financings.

A prospectus in electronic format may be made available on websites maintained by one or more underwriters, or selling group members, if any, participating in this offering. The Representative may agree to allocate a number of shares of Common Stock to underwriters for sale to their online brokerage account holders. Internet distributions will be allocated by the representative to underwriters that may make Internet distributions on the same basis as other allocations.

#### Tail Financing
If, during the 18 month period following the closing of this offering, we consummate a financing with investors with whom Spartan Capital had contacted or introduced to us during the period in which we engaged Spartan Capital, we will pay Spartan Capital a fee equal to 8% of the proceeds of such financing and warrants to purchase a number of shares of our common stock equal to 5% of the aggregate number of shares of our common stock sold in such offering at an exercise price equal to 110% of the offering price of the shares of our common stock sold in such offering.

#### Pricing of the Offering
Prior to this offering, there has been no public market for our Common Stock or Warrants. The initial public offering price was determined by negotiations between us and the Representative. Among the factors considered in determining the initial public offering price were our future prospects and those of our industry in general, our sales, earnings and certain other financial and operating information in recent periods, and the price-earnings ratios, price-sales ratios, market prices of securities, and certain financial and operating information of companies engaged in activities similar to ours.

#### Lock-ups
We, all of our directors, executive officers and certain of our security holders are subject to lock-up agreements that, subject to certain exceptions, prohibit them from directly or indirectly offering, pledging, selling, contracting to sell, selling any option or contract to purchase, purchasing any option or contract to purchase, granting any option, right or warrant to purchase or otherwise transferring or disposing of any shares of our Common Stock, options to acquire shares of our Common Stock or any securities convertible into or exercisable or exchangeable for Common Stock,

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whether now owned or hereafter acquired, or entering into any swap or any other agreement or any transaction that transfer, in whole or in part, directly or indirectly, the economic consequence of ownership, for a period of 180 days following the date of this prospectus, without the prior written consent of Spartan Capital.

#### Price Stabilization, Short Positions and Penalty Bids
Until the distribution of the shares of Common Stock is completed, SEC rules may limit underwriters and selling group members from bidding for and purchasing our shares of Common Stock. However, the Representative may engage in transactions that stabilize the price of the Common Stock, such as bids or purchases to peg, fix or maintain that price.

The underwriters may also impose a penalty bid. This occurs when a particular underwriter repays to the underwriters a portion of the underwriting discount received by it because the Representative has repurchased shares sold by or for the account of such underwriter in stabilizing or short covering transactions.

Similar to other purchase transactions, the underwriters' purchases to cover the syndicate short sales may have the effect of raising or maintaining the market price of the Common Stock or preventing or retarding a decline in the market price of the Common Stock. As a result, the price of the Common Stock may be higher than the price that might otherwise exist in the open market.

Neither we nor any of the underwriters make any representation or prediction as to the direction or magnitude of any effect that the transactions described above may have on the price of the Common Stock. These transactions may be effected on the Nasdaq Capital Market, in the over-the-counter market or otherwise and, if commenced, may be discontinued at any time.

#### Nasdaq Capital Market Listing Application
We have applied to have our common stock listed on the Nasdaq Capital Market under the symbol "ELEP," which listing is a condition to this offering. We do not intend to apply for listing of the warrants on any exchange or market.

#### Passive Market Making
In connection with this offering, underwriters, and selling group members may engage in passive market making transactions in our securities on Nasdaq in accordance with Rule 103 of Regulation M under the Exchange Act, during a period before the commencement of offers or sales of the shares and extending through the completion of the distribution. A passive market maker must display its bid at a price not in excess of the highest independent bid of that security. However, if all independent bids are lowered below the passive market maker's bid, then that bid must then be lowered when specified purchase limits are exceeded.

#### Electronic Distribution
In connection with the offering, certain of the underwriters or securities dealers may distribute prospectuses by electronic means, such as e-mail.

#### Other Relationships
The underwriters and their respective affiliates are full service financial institutions engaged in various activities, which may include sales and trading, commercial and investment banking, advisory, investment management, investment research, principal investment, hedging, market making, brokerage and other financial and non-financial activities and services. Certain of the underwriters and their respective affiliates have provided, and may in the future provide, a variety of these services to Elephant Oil and to persons and entities with relationships with Elephant Oil, for which they received or will receive customary fees and expenses.

#### Selling Restrictions

#### Canada
The Units may be sold only to purchasers purchasing, or deemed to be purchasing, as principal that are accredited investors, as defined in National Instrument 45-106 *Prospectus Exemptions* or subsection 73.3(1) of the *Securities Act* (Ontario), and are permitted clients, as defined in National Instrument 31-103 *Registration Requirements, Exemptions and Ongoing Registrant Obligations*. Any resale of the Units must be made in accordance with an exemption from, or in a transaction not subject to, the prospectus requirements of applicable securities laws.

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Securities legislation in certain provinces or territories of Canada may provide a purchaser with remedies for rescission or damages if this prospectus (including any amendment thereto) contains a misrepresentation, provided that the remedies for rescission or damages are exercised by the purchaser within the time limit prescribed by the securities legislation of the purchaser's province or territory. The purchaser should refer to any applicable provisions of the securities legislation of the purchaser's province or territory for particulars of these rights or consult with a legal advisor.

Pursuant to section 3A.3 (or, in the case of securities issued or guaranteed by the government of a non-Canadian jurisdiction, section 3A.4) of National Instrument 33-105 *Underwriting Conflicts* (NI 33-105), the underwriters are not required to comply with the disclosure requirements of NI 33-105 regarding underwriter conflicts of interest in connection with this offering**.**

#### European Economic Area
In relation to each Member State of the European Economic Area which has implemented the Prospectus Regulation, or each, a Relevant Member State, an offer to the public of any shares of our Common Stock or Warrants may not be made in that Relevant Member State, except that an offer to the public in that Relevant Member State of any shares of our Common Stock or Warrants may be made at any time under the following exemptions under the Prospectus Regulation, if they have been implemented in that Relevant Member State:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) to any legal entity which is a qualified investor as defined in the Prospectus Regulation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) to fewer than 150 natural or legal persons (other than qualified investors as defined in the Prospectus Regulation), subject to obtaining the prior consent of the Representative for any such offer; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) in any other circumstances falling within Article 1(4) of the Prospectus Regulation,

provided that no such offer of shares of our Common Stock or Warrants shall result in a requirement for the publication by us or any underwriter of a prospectus pursuant to Article 3 of the Prospectus Regulation.

For the purposes of this provision, the expression an "offer to the public" in relation to any shares of our Common Stock or Warrants in any Relevant Member State means the communication in any form and by any means of sufficient information on the terms of the offer and any shares of our Common Stock to be offered so as to enable an investor to decide to purchase any shares of our Common Stock or Warrants, and the expression "Prospectus Regulation" means Regulation (EU) 2017/1129.

#### United Kingdom
Each underwriter has represented and agreed that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) it has only communicated or caused to be communicated and will only communicate or cause to be communicated an invitation or inducement to engage in investment activity (within the meaning of Section 21 of the Financial Services and Markets Act 2000 ("FSMA) received by it in connection with the issue or sale of the shares of our Common Stock in circumstances in which Section 21(1) of the FSMA does not apply to us; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) it has complied and will comply with all applicable provisions of the FSMA with respect to anything done by it in relation to the shares of our Common Stock and Warrants in, from or otherwise involving the United Kingdom.

#### Hong Kong
Shares of our Common Stock or Warrants may not be offered or sold by means of any document other than (i) in circumstances which do not constitute an offer to the public within the meaning of the Companies Ordinance (Cap.32, Laws of Hong Kong), (ii) to "professional investors" within the meaning of the Securities and Futures Ordinance (Cap.571, Laws of Hong Kong) and any rules made thereunder or (iii) in other circumstances which do not result in the document being a "prospectus" within the meaning of the Companies Ordinance (Cap.32, Laws of Hong Kong), and no advertisement, invitation or document relating to shares of our Common Stock or Warrants may be issued or may be in the possession of any person for the purpose of issue (in each case whether in Hong Kong or elsewhere), which is directed at, or the contents of which are likely to be accessed or read by, the public in Hong Kong (except if permitted

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to do so under the laws of Hong Kong) other than with respect to shares of our Common Stock or Warrants which are or are intended to be disposed of only to persons outside Hong Kong or only to "professional investors" within the meaning of the Securities and Futures Ordinance (Cap.571, Laws of Hong Kong) and any rules made thereunder.

#### Japan
No registration pursuant to Article 4, paragraph 1 of the Financial Instruments and Exchange Law of Japan (Law No. 25 of 1948, as amended) (the "FIEL") has been made or will be made with respect to the solicitation of the application for the acquisition of the shares of Common Stock or Warrants.

Accordingly, the shares of Common Stock or Warrants have not been, directly or indirectly, offered or sold and will not be, directly or indirectly, offered or sold in Japan or to, or for the benefit of, any resident of Japan (which term as used herein means any person resident in Japan, including any corporation or other entity organized under the laws of Japan) or to others for re-offering or re-sale, directly or indirectly, in Japan or to, or for the benefit of, any resident of Japan except pursuant to an exemption from the registration requirements, and otherwise in compliance with, the FIEL and the other applicable laws and regulations of Japan.

<u><u>For Qualified Institutional Investors ("QII")</u></u>

Please note that the solicitation for newly-issued or secondary securities (each as described in Paragraph 2, Article 4 of the FIEL) in relation to the shares of Common Stock or Warrants constitutes either a "QII only private placement" or a "QII only secondary distribution" (each as described in Paragraph 1, Article 23-13 of the FIEL). Disclosure regarding any such solicitation, as is otherwise prescribed in Paragraph 1, Article 4 of the FIEL, has not been made in relation to the shares of Common Stock or Warrants. The shares of Common Stock or Warrants may only be transferred to QIIs.

<u><u>For</u> <u>Non-QII</u> <u>Investors</u></u>

Please note that the solicitation for newly-issued or secondary securities (each as described in Paragraph 2, Article 4 of the FIEL) in relation to the shares of Common Stock or Warrants constitutes either a "small number private placement" or a "small number private secondary distribution" (each as is described in Paragraph 4, Article 23-13 of the FIEL). Disclosure regarding any such solicitation, as is otherwise prescribed in Paragraph 1, Article 4 of the FIEL, has not been made in relation to the shares of Common Stock or Warrants. The shares of Common Stock or Warrants may only be transferred en bloc without subdivision to a single investor.

#### Singapore
This prospectus has not been registered as a prospectus with the Monetary Authority of Singapore. Accordingly, this prospectus and any other document or material in connection with the offer or sale, or invitation for subscription or purchase, of shares of our Common Stock or Warrants may not be circulated or distributed, nor may the shares of our Common Stock or Warrants be offered or sold, or be made the subject of an invitation for subscription or purchase, whether directly or indirectly, to persons in Singapore other than (i) to an institutional investor under Section 274 of the Securities and Futures Act, Chapter 289 of Singapore, or the SFA, (ii) to a relevant person, or any person pursuant to Section 275(1A), and in accordance with the conditions, specified in Section 275 of the SFA or (iii) otherwise pursuant to, and in accordance with the conditions of, any other applicable provision of the SFA.

Where shares of our Common Stock or Warrants are subscribed or purchased under Section 275 by a relevant person which is: (i) a corporation (which is not an accredited investor) the sole business of which is to hold investments and the entire share capital of which is owned by one or more individuals, each of whom is an accredited investor; or (ii) a trust (where the trustee is not an accredited investor) whose sole purpose is to hold investments and each beneficiary is an accredited investor, shares, debentures and units of shares and debentures of that corporation or the beneficiaries' rights and interest in that trust shall not be transferable for 6 months after that corporation or that trust has acquired shares of our Common Stock or Warrants under Section 275 except: (a) to an institutional investor under Section 274 of the SFA or to a relevant person, or any person pursuant to Section 275(1A), and in accordance with the conditions, specified in Section 275 of the SFA; (b) where no consideration is given for the transfer; or (c) by operation of law.

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#### LEGAL MATTERS
The validity of the Units, shares of Common Stock and Warrants covered by this prospectus will be passed upon for us by Sherman & Howard L.L.C. and certain other legal matters will be passed upon for us by McDermott Will & Emery LLP. Certain legal matters in connection with this offering will be passed upon for the underwriters by Lucosky Brookman LLP.

#### EXPERTS
The financial statements of Elephant Oil Corp. as of June 30, 2022 and 2021 appearing in this prospectus have been audited by BF Borgers CPA PC, independent registered public accounting firm, as set forth in their report thereon (which contains an explanatory paragraph relating to substantial doubt about the ability of Elephant Oil Corp. to continue as a going concern as described in Note 3 to the financial statements, appearing elsewhere in this prospectus, and are included in reliance upon such report given on the authority of such firm as experts in accounting and auditing.

#### CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND <br>FINANCIAL DISCLOSURE
On November 9, 2022, we dismissed Marcum LLP ("Marcum"), as our independent auditor. This dismissal was ratified by the audit committee of our board of directors and approved by our board of directors.

Marcum audited our financial statements for the fiscal years ended June 30, 2022 and June 30, 2021, which were issued under auditing standards generally accepted in the United States. The audit report issued by Marcum on October 12, 2022, including the restatement reported in the consolidated statement of cash flows for the year ended June 30, 2021 in the audited financial statements for the year ended June 30, 2021, did not contain an adverse opinion or a disclaimer of opinion and was not qualified or modified as to audit scope or accounting principles, but included an emphasis of matter paragraph that there was substantial doubt as to the Company's ability to continue as a going concern. Marcum did not provide an audit opinion on our financial statements for any period subsequent to the fiscal year ended June 30, 2022.

During the years ended June 30, 2022 and 2021, (i) there were no "disagreements" between us and Marcum (as that term is defined in Item 304(a)(1)(iv) of Regulation S-K) on any matter of accounting principles or practices, financial statement disclosure, or auditing scope or procedure, which disagreements, if not resolved to the satisfaction of Marcum, would have caused them to make reference to the subject matter of the disagreements in connection with their report on the financial statements for such period, and (ii) there were no "reportable events" as such term is defined in Item 304(a)(1)(v) of Regulation S-K except for material weaknesses in internal controls relating to (a) an insufficient complement of personnel to permit the segregation of duties among personnel with access to the Company's accounting and information systems and controls; (b) insufficient review of the cash flow statement regarding the proper presentation of deferred offering costs, proceeds from convertible notes and bank deposits; (c) a lack of controls needed to assure that (1) the accounting for its accounts payable and accrued expenses are accurate and complete; (2) the accounting for its stock compensation expense is accurate and complete; (3) the accounting for its convertible notes payable and warrants is accurate and complete; (4) an adequate review the proper presentation and disclosures of the short and long term accrued interest expense was performed; and (5) an adequate review to the initial tax assessment as it related to the reorganization of the Company and to assure the complete disclosures in the financial statements footnotes was performed. Marcum has not provided any audit services subsequent to October 12, 2022.

We provided Marcum with a copy of the foregoing disclosures and requested Marcum to furnish us with a letter addressed to the Securities and Exchange Commission stating whether or not Marcum agrees with the above disclosures. A copy of Marcum's letter is filed as Exhibit 16.2 to the registration statement of which this prospectus is a part.

On November 9, 2022, we engaged BF Borgers CPA PC ("Borgers"), as our independent registered public accounting firm, which engagement has been ratified by the audit committee of our board of directors and approved by our board of directors. During the years ended June 30, 2022 and 2021, we (or any person on our behalf) did not consult with Borgers regarding any of the matters described in Items 304(a)(2)(i) or 304(a)(2)(ii) of Regulation S-K.

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#### WHERE YOU CAN FIND MORE INFORMATION
We have filed with the SEC a registration statement on Form S-1 under the Securities Act with respect to the shares of Common Stock offered hereby. This prospectus, which constitutes a part of the registration statement, does not contain all of the information set forth in the registration statement or the exhibits and schedules filed therewith. For further information about us and the Units offered hereby, we refer you to the registration statement and the exhibits and schedules filed thereto. Statements contained in this prospectus regarding the contents of any contract or any other document that is filed as an exhibit to the registration statement are not necessarily complete, and each such statement is qualified in all respects by reference to the full text of such contract or other document filed as an exhibit to the registration statement. Upon completion of this offering, we will be required to file periodic reports, proxy statements, and other information with the SEC pursuant to the Exchange Act. You may obtain information on the operation of the public reference rooms by calling the SEC at 1-800-SEC-0330. The SEC also maintains an Internet website that contains reports, proxy statements and other information about registrants, like us, that file electronically with the SEC. The address of that site is *www.sec.gov*.

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#### Elephant Oil Corp.

#### CONSOLIDATED FINANCIAL STATEMENTS<br>FOR THE YEARS ENDED JUNE 30, 2022 AND 2021
**<u>**TABLE OF CONTENTS**</u>**

---

| | |
|:---|:---|
|  | **Page** |
|  [Report of Independent Registered Public Accounting Firm](#T61) | F-2 |
|  [Consolidated Balance Sheets as of June 30, 2022 and 2021](#T62) | F-3 |
|  [Consolidated Statements of Operations and Comprehensive Loss for the Years Ended June 30, 2022 and 2021](#T63) | F-4 |
|  [Consolidated Statements of Changes in Stockholders' Equity for the Years Ended June 30, 2022 and 2021](#T64) | F-5 |
|  [Consolidated Statements of Cash Flows for the Years Ended June 30, 2022 and 2021](#T65) | F-6 |
|  [Notes to Consolidated Financial Statements](#T66) | F-7 |

---

#### ELEPHANT OIL CORP. AND SUBSIDIARIES

#### CONDENSED CONSOLIDATED FINANCIAL STATEMENTS<br>AS OF AND FOR THE THREE MONTHS ENDED SEPTEMBER 30, 2022 AND 2021

---

| | |
|:---|:---|
|  **FINANCIAL STATEMENTS:** |  |
|  [Condensed Consolidated Balance Sheets as of September 30, 2022 (Unaudited) and June 30, 2022](#T9001) | F-25 |
|  [Condensed Consolidated Statements of Operations and Comprehensive (Loss) Income For the Three Months Ended September 30, 2022 and 2021 (Unaudited)](#T9002) | F-26 |
|  [Condensed Consolidated Statements of Stockholders' Equity For the Three Months Ended September 30, 2022 and 2021 (Unaudited)](#T9003) | F-27 |
|  [Condensed Consolidated Statements of Cash Flows For the Three Months Ended September 30, 2022 and 2021 (Unaudited)](#T9004) | F-28 |
|  [Notes to the Unaudited Condensed Consolidated Financial Statements](#T9005) | F-29 |

---

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#### Report of Independent Registered Public Accounting Firm
To the stockholders and the board of directors of Elephant Oil Corp.

#### Opinion on the Financial Statements
We have audited the accompanying consolidated balance sheets of Elephant Oil Corp. as of June 30, 2022 and June 30, 2021, the related condensed consolidated statements of operations and comprehensive (loss) income, stockholders' equity, and cash flows for the years then ended, and the related notes (collectively referred to as the "financial statements"). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Company as of June 30, 2022 and June 30, 2021, and the results of its operations and its cash flows for the years then ended, in conformity with accounting principles generally accepted in the United States.

#### Substantial Doubt about the Company's Ability to Continue as a Going Concern
The accompanying financial statements have been prepared assuming that the Company will continue as a going concern. As discussed in Note 3 to the financial statements, the Company has suffered recurring losses from operations and has a significant accumulated deficit. In addition, the Company continues to experience negative cash flows from operations. These factors raise substantial doubt about the Company's ability to continue as a going concern. Management's plans in regard to these matters are also described in Note 3. The financial statements do not include any adjustments that might result from the outcome of this uncertainty.

#### Basis for Opinion
These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on the Company's financial statements based on our audit. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) ("PCAOB") and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audit in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Company's internal control over financial reporting. Accordingly, we express no such opinion.

Our audit included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audit also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audit provides a reasonable basis for our opinion.

/s/ BF Borgers CPA PC

#### BF Borgers CPA PC (PCAOB ID 5041)
We have served as the Company's auditor since 2022

Lakewood, CO

December 6, 2022

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#### ELEPHANT OIL CORP.<br> CONSOLIDATED BALANCE SHEETS

---

| | | |
|:---|:---|:---|
|  | **June 30,** | **June 30,** |
|  | **2022** | **2021** |
|  **ASSETS** |  |  |
|  Current assets: |  |  |
| &nbsp;&nbsp;&nbsp; Cash | $45175 | $334344 |
| &nbsp;&nbsp;&nbsp; Prepaid expenses |  | 12572 |
| &nbsp;&nbsp;&nbsp; Deferred offering costs | 1594576 | 172050 |
|  Total current assets | 1639751 | 518966 |
|  Deposit | 55000 |  |
|  Oil and gas property, not subject to amortization | 2155743 | 2243018 |
|  Total assets | $3850494 | $2761984 |
|  **LIABILITIES AND STOCKHOLDERS' EQUITY** |  |  |
|  Current liabilities: |  |  |
| &nbsp;&nbsp;&nbsp; Accounts payable and accrued liabilities | $1563589 | $108361 |
| &nbsp;&nbsp;&nbsp; Accounts payable – related parties | 25000 | 863750 |
| &nbsp;&nbsp;&nbsp; Accrued interest – related parties | 424815 |  |
| &nbsp;&nbsp;&nbsp; Current maturities, note payable – bank | 12143 | 13819 |
| &nbsp;&nbsp;&nbsp; Current maturities, note payable – related parties | 302494 |  |
| &nbsp;&nbsp;&nbsp; Notes payable – investors, net of discounts | 239236 |  |
| &nbsp;&nbsp;&nbsp; Warrant liability | 25751 |  |
|  Total current liabilities | 2593028 | 985930 |
|  Long-term liabilities: |  |  |
|  Accrued interest – related parties |  | 431811 |
|  Notes payable – related parties |  | 344245 |
|  Note payable – bank | 35368 | 55276 |
|  | 35368 | 831332 |
|  Total liabilities | 2628396 | 1817262 |
|  Commitments and Contingencies (Note 7) |  |  |
|  Stockholders' equity: |  |  |
|  Preferred stock, par value $0.0001, 10,000,000 shares authorized; 0 issued and outstanding |  |  |
|  Common stock, par value $0.0001, 490,000,000 shares authorized; 12,178,411 and 11,300,722 shares issued and outstanding as of June 30, 2022 and 2021, respectively | 1218 | 1130 |
|  Additional paid-in capital | 6641748 | 3166190 |
|  Accumulated other comprehensive loss | (649138) | (496691) |
|  Accumulated deficit | (4771730) | (1725907) |
|  Total stockholders' equity | 1222098 | 944722 |
|  Total liabilities and stockholders' equity | $3850494 | $2761984 |

---

The accompanying notes are an integral part of these consolidated financial statements.

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#### ELEPHANT OIL CORP.<br> CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS

---

| | | |
|:---|:---|:---|
|  | **For the Years Ended <br>June 30,** | **For the Years Ended <br>June 30,** |
|  | **2022** | **2021** |
|  Revenue | $— | $— |
|  Operating expenses: |  |  |
| &nbsp;&nbsp;&nbsp; Exploration expense | 63238 | 98352 |
| &nbsp;&nbsp;&nbsp; Selling, general and administrative | 2901209 | 77854 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total operating expenses | 2964447 | 176206 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Loss from operations | (2964447) | (176206) |
|  Other expense |  |  |
| &nbsp;&nbsp;&nbsp; Interest expense | (101547) | (50315) |
| &nbsp;&nbsp;&nbsp; Gain on foreign currency transactions | 20171 | 3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total other expense | (81376) | (50312) |
|  Loss before income taxes | (3045823) | (226518) |
|  Provision for income taxes |  |  |
|  Net loss | $(3045823) | $(226518) |
|  Weighted-average common shares outstanding, basic and diluted | 12198951 | 9015963 |
|  Basic and diluted net loss per common share | $(0.25) | $(0.03) |
|  Comprehensive loss: |  |  |
|  Net loss | $(3045823) | $(226518) |
|  Foreign currency translation adjustment | (152447) | 64056 |
|  Comprehensive loss: | $(3198270) | $(162462) |

---

The accompanying notes are an integral part of these consolidated financial statements.

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#### ELEPHANT OIL CORP.<br> CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **Common Stock** | **Common Stock** | **Additional <br>Paid-in <br>Capital** | **Accumulated <br>Other <br>Comprehensive <br>Loss** | **Accumulated <br>Deficit** | **Total <br>Stockholders' <br>Equity** |
|  | **Shares** | **Amount** | **Additional <br>Paid-in <br>Capital** | **Accumulated <br>Other <br>Comprehensive <br>Loss** | **Accumulated <br>Deficit** | **Total <br>Stockholders' <br>Equity** |
|  **Balance at July 1, 2020** | 7739394 | $774 | $2644214 | $(560747) | $(1499389) | $584852 |
| &nbsp;&nbsp;&nbsp; Effect of reverse acquisition on April 21, 2021 | 3316884 | 332 |  |  |  | 332 |
| &nbsp;&nbsp;&nbsp; Sale of common stock in private placement offering, net | 244444 | 24 | 521976 |  |  | 522000 |
| &nbsp;&nbsp;&nbsp; Foreign exchange translation |  |  |  | 64056 |  | 64056 |
| &nbsp;&nbsp;&nbsp; Net loss |  |  |  |  | (226518) | (226518) |
|  **Balance at June 30, 2021** | 11300722 | $1130 | $3166190 | $(496691) | $(1725907) | $944722 |
|  **Balance at July 1, 2021** | 11300722 | $1130 | $3166190 | $(496691) | $(1725907) | $944722 |
| &nbsp;&nbsp;&nbsp; Issuance of common stock for cash, net | 342667 | 34 | 737366 |  |  | 737400 |
| &nbsp;&nbsp;&nbsp; Issuance of common stock in satisfaction of related party payables | 291334 | 29 | 650808 |  |  | 650837 |
| &nbsp;&nbsp;&nbsp; Issuance of common stock in satisfaction of third party payables | 79733 | 8 | 179391 |  |  | 179399 |
| &nbsp;&nbsp;&nbsp; Foreign exchange translation |  |  |  | (152447) |  | (152447) |
| &nbsp;&nbsp;&nbsp; Cancellation of common stock | (588854) | (59) | 59 |  |  |  |
| &nbsp;&nbsp;&nbsp; Stock based compensation: |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Common stock | 752809 | 76 | 1693745 |  |  | 1693821 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Options |  |  | 214189 |  |  | 214189 |
| &nbsp;&nbsp;&nbsp; Net loss |  |  |  |  | (3045823) | (3045823) |
|  **Balance at June 30, 2022** | 12178411 | $1218 | $6641748 | $(649138) | $(4771730) | $1222098 |

---

The accompanying notes are an integral part of these consolidated financial statements.

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#### ELEPHANT OIL CORP.<br> CONSOLIDATED STATEMENTS OF CASH FLOWS

---

| | | |
|:---|:---|:---|
|  | **For the Years Ended <br>June 30,** | **For the Years Ended <br>June 30,** |
|  | **2022** | **2021** |
|  **CASH FLOWS FROM OPERATING ACTIVITIES:** |  |  |
| &nbsp;&nbsp;&nbsp; Net loss | $(3045823) | $(226518) |
| &nbsp;&nbsp;&nbsp; Adjustments to reconcile net loss to net cash used in operating activities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Amortization of debt discount | 44987 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Stock-based compensation | 1908010 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Unrealized foreign currency gain | (20171) | (3) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Changes in operating assets and liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Prepaid expenses | (42428) | (12572) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Accounts payable and accrued liabilities | 596857 | 28276 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Accounts payable, related parties | 13080 | 78609 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Accrued interest, related parties | 51668 | 50315 |
| &nbsp;&nbsp;&nbsp; Net cash used in operating activities | (493820) | (81893) |
|  **CASH FLOWS FROM INVESTING ACTIVITIES:** |  |  |
| &nbsp;&nbsp;&nbsp; Purchase of oil and gas property | (184763) | (3482) |
| &nbsp;&nbsp;&nbsp; Net cash used in investing activities | (184763) | (3482) |
|  **CASH FLOWS FROM FINANCING ACTIVITIES:** |  |  |
| &nbsp;&nbsp;&nbsp; Cash proceeds from issuance of common stock, net |  | 522000 |
| &nbsp;&nbsp;&nbsp; Cash proceeds from private placement offering, net | 737400 |  |
| &nbsp;&nbsp;&nbsp; Principal payments on bank loan | (13162) |  |
| &nbsp;&nbsp;&nbsp; Proceeds from notes payable – investors | 250000 |  |
| &nbsp;&nbsp;&nbsp; Payments for debt issuance costs | (30000) |  |
| &nbsp;&nbsp;&nbsp; Payments on deferred offering costs | (561445) | (171600) |
| &nbsp;&nbsp;&nbsp; Net cash provided by financing activities | 382793 | 350400 |
|  Effect of foreign currency exchange | 6622 | 5592 |
|  **NET CHANGE IN CASH** | (289169) | 270617 |
| &nbsp;&nbsp;&nbsp; Cash – Beginning of period | 334344 | 63727 |
| &nbsp;&nbsp;&nbsp; Cash – End of period | $45175 | 334344 |
|  **SUPPLEMENTAL CASH FLOW INFORMATION:** |  |  |
| &nbsp;&nbsp;&nbsp; Non-cash investing and financing activities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Common stock issued for relief of related party accounts payable | $650837 | $— |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Common stock issued for relief of third party accounts payable | $179399 | $— |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Deferred offering costs in accounts payable | $861081 | $480 |

---

The accompanying notes are an integral part of these consolidated financial statements.

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#### ELEPHANT OIL CORP.<br>NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

#### Note 1 — NATURE OF organization and business
*Company Organization*

Elephant Oil Corp. and Subsidiaries ("Elephant Oil" or the "Company") was incorporated in the State of Nevada on March 29, 2021. The Company is engaged in oil and gas exploration and development focused on underexplored areas onshore in West Africa. The Company's headquarters is located in Houston, Texas, USA.

The Company is currently in the exploration stage and has not commenced drilling or production. The Company is focused on underexplored areas onshore in West Africa, specifically, the Republic of Benin and the Republic of Namibia.

*Acquisition of EOL*

Effective April 21, 2021, Elephant Oil entered into a Deed of Agreement (the "Agreement") with Elephant Oil Limited ("EOL"), a private limited company registered in the United Kingdom on January 14, 2013 (the "Acquisition"), pursuant to which, Elephant Oil acquired all of the outstanding shares of EOL. Upon closing, EOL became a wholly-owned subsidiary of the Company (the "Acquisition").

EOL has a wholly-owned subsidiary, Elephant Oil Benin SA ("EOB"), which is a private company incorporated in the Republic of Benin, West Africa, in 2014.

In accordance with the terms of the Agreement, Elephant Oil issued 7,739,394 shares of its common stock ("Common Stock") to EOL as consideration for the shares exchanged. As a result of the transaction, EOL shareholders acquired 70% of Elephant Oil's issued and outstanding shares of Common Stock.

Immediately following the Acquisition, the Company completed a reverse acquisition whereby the pre-Acquisition shareholders of the Company retained an aggregate of 3,316,884 shares of Common Stock of the Company, representing 30% ownership of the post-Acquisition Company. Therefore, upon consummation of the Acquisition, there was a change in control of the Company, with the former owners of EOL effectively acquiring control of the Company. The Acquisition was treated as a reverse recapitalization effected by a share exchange for financial and reporting purposes since Elephant Oil was deemed to be a shell corporation with nominal operations and assets at the time of the Acquisition. EOL is considered the acquirer for accounting purposes (with Elephant Oil considered the acquiree), and EOL's historical financial statements represent the consolidated financial statements of the Company for preceding and current periods. Subsequent to this transaction the Company's shares increased to 11,056,278.

*Production Sharing Agreement with Republic of Benin*

In October 2013, the Company signed the Production Sharing Agreement providing a 100% licensed interest under the PSA in onshore Block B, which is over 1.1 million acres, or 1,772 square miles or 4,590 square kilometers onshore. "SOBEH", a Benin state-owned entity, has an option to acquire a maximum of a 10% interest upon commercial discovery. In the event that a commercial discovery is made on the block, the Production Sharing Agreement further entitles the Company to apply for and receive, subject to Benin government approval, a production license of up to 25 years, renewable for a period of up to 10 years, from the Benin Ministry of Water and Mines. On January 26, 2019, the Benin government adopted a new petroleum code, Law No. 2019-06 (the "Petroleum Code").

*Petroleum Agreement with Republic of Namibia*

In August 2021, Elephant Oil signed a Petroleum Agreement with Namibia for onshore Block 1919 (the "Petroleum Agreement"). Elephant Oil holds a 70% production interest on over 2.8 million acres, or 4,507 square miles, or 11,675 square kilometers, onshore. Niikela Exploration (PTY) LTD holds a 20% production interest and NAMCOR, a Namibian state-owned entity, holds the remaining 10% interest in the license on a carried interest basis. In the event that an economically viable resource discovery is made at the licensed property, the Petroleum Agreement further entitles Elephant Oil to apply for and receive, subject to Namibian government approval, a production license of up to 25 years, renewable for a period of up to 10 years, from the Namibia Ministry of Mines and Energy (the "NMME").

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#### ELEPHANT OIL CORP.<br>NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

#### Note 1 — NATURE OF organization and business (cont.)
*Emerging Growth Company*

The Company is an "emerging growth company," as defined in Section 2(a)(19) of the Securities Act, as modified by the Jumpstart Our Business Startups Act of 2012 (the "JOBS Act"), and it may take advantage of certain exemptions from various reporting requirements that are applicable to other public companies that are not emerging growth companies including, but not limited to, not being required to comply with the auditor attestation requirements of Section 404(b) of the Sarbanes-Oxley Act of 2002, reduced disclosure obligations regarding executive compensation in its periodic reports and proxy statements, and exemptions from the requirements of holding a nonbinding advisory vote on executive compensation and approval of any golden parachute payments not previously approved. Further, Section 102(b)(1) of the JOBS Act exempts emerging growth companies from being required to comply with new or revised financial accounting standards until private companies (that is, those that have not had a Securities Act registration statement declared effective or do not have a class of securities registered under the Exchange Act) are required to comply with the new or revised financial accounting standards. The JOBS Act provides that a company can elect to opt out of the extended transition period and comply with the requirements that apply to non-emerging growth companies but any such election to opt out is irrevocable. The Company has elected not to opt out of such extended transition period which means that when a standard is issued or revised and it has different application dates for public or private companies, the Company, as an emerging growth company, can adopt the new or revised standard at the time private companies adopt the new or revised standard. This may make comparison of the Company's consolidated financial statements with another public company which is neither an emerging growth company nor an emerging growth company which has opted out of using the extended transition period difficult or impossible because of the potential differences in accounting standards used.

*COVID-19 Pandemic*

In March 2020, the World Health Organization characterized the outbreak of the novel strain of coronavirus, specifically identified as COVID-19, as a global pandemic. This resulted in governments enacting emergency measures to combat the spread of the virus. These measures, which include the implementation of travel bans, self-imposed quarantine periods and social distancing, have caused material disruption to business, resulting in a global economic slowdown. Equity markets have experienced significant volatility and the governments and central banks have reacted with significant monetary and fiscal interventions designed to stabilize economic conditions.

The current challenging economic climate may lead to adverse changes in cash flows, working capital levels and/or debt balances, which may also have a direct impact on the Company's operating results and financial position in the future. The ultimate duration and magnitude of the impact and the efficacy of government interventions on the economy and the financial effect on the Company is not known at this time. The extent of such impact will depend on future developments, which are highly uncertain and not in the Company's control, including new information which may emerge concerning the spread and severity of COVID-19 or any of its variants and actions taken to address its impact, among others. The repercussions of this health crisis could have a material adverse effect on the Company's business, financial condition, liquidity and operating results.

In response to COVID-19, the Company has implemented working practices to address potential impacts to its operations, employees and customers, and will take further measures in the future if and as required. At present, the Company does not believe there has been any appreciable impact on the Company specifically associated with COVID-19.

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#### ELEPHANT OIL CORP.<br>NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

#### Note 2 — BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
*Basis of Presentation*

The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP"). The summary of significant accounting policies presented below is designed to assist in understanding the Company's consolidated financial statements. Such consolidated financial statements and accompanying notes are the representations of Company's management, who is responsible for their integrity and objectivity.

*Principles of Consolidation*

The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiary, EOL and EOL's wholly-owned subsidiary, Elephant Oil Benin SA ("EOB"), a private company incorporated in the Republic of Benin, West Africa. EOL is considered the acquirer for accounting purposes, and EOL's historical financial statements represent the consolidated financial statements of the Company for preceding and current periods. All inter-company balances and transactions among the companies have been eliminated upon consolidation.

These consolidated financial statements are presented in U.S. Dollars.

*Use of Estimates*

The preparation of financial statements in conformity with U.S. GAAP requires the Company's management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period.

Making estimates requires management to exercise significant judgment. It is at least reasonably possible that the estimate of the effect of a condition, situation or set of circumstances that existed at the date of the financial statement, which management considered in formulating its estimate, could change in the near term due to one or more future confirming events. Some of the more significant estimates required to be made by management include the determination of reserves for our oil and gas properties and the valuation of equity-based transactions. Accordingly, actual results could differ significantly from those estimates.

*Cash and cash equivalents*

The Company considers all short-term investments with an original maturity of three months or less when purchased to be cash equivalents. The Company had no cash equivalents as of June 30, 2022 or 2021. The Company maintains its cash in bank accounts which, at times, may exceed federally insured limits as guaranteed by the Federal Deposit Insurance Corporation. The Company mitigates this risk by maintaining its cash in sound financial institutions with strong credit ratings. Additionally, Company has not experienced any losses on such accounts.

*Deferred Offering Costs*

Deferred offering costs consist of professional fees, filing, regulatory and other costs incurred through the balance sheet date that are directly related to the Proposed Public Offering. As of June 30, 2022 and 2021, offering costs in the aggregate of $1,594,576 and $172,050, respectively, were deferred.

*Oil and Gas Property and Exploration Costs — Successful Efforts*

The Company is in the exploration stage and has not yet realized any revenues from its operations. It applies the successful efforts method of accounting for crude oil and natural gas properties. Under this method, exploration costs such as exploratory geological and geophysical costs, delay rentals and exploratory overhead are expensed as incurred. If an exploratory property provides evidence to justify potential development of reserves, drilling costs associated with the property are initially capitalized, or suspended, pending a determination as to whether a commercially sufficient quantity of proved reserves can be attributed to the area as a result of drilling. At the end of each quarter, management

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#### ELEPHANT OIL CORP.<br>NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

#### Note 2 — BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (cont.)
reviews the status of all suspended exploratory property costs in light of ongoing exploration activities; in particular, whether the Company is making sufficient progress in its ongoing exploration and appraisal efforts. If management determines that future appraisal drilling or development activities are unlikely to occur, associated exploratory well costs are expensed.

Costs to acquire mineral interests in crude oil and/or natural gas properties, drill and equip exploratory wells that find proved reserves and drill and equip development wells are capitalized. Acquisition costs of unproved leaseholds are assessed for impairment during the holding period and transferred to proven crude oil and/or natural gas properties to the extent associated with successful exploration activities. Significant undeveloped leases are assessed individually for impairment, based on the Company's current exploration plans, and a valuation allowance is provided if impairment is indicated. Capitalized costs from successful exploration and development activities associated with producing crude oil and/or natural gas leases, along with capitalized costs for support equipment and facilities, are amortized to expense using the unit-of-production method based on proved crude oil and/or natural gas reserves on a field-by-field basis, as estimated by qualified petroleum engineers.

Oil and natural gas properties are grouped for depreciation, depletion and amortization in accordance with Accounting Standards Codification ("ASC") ASC 932 — Extractive Activities — Oil and Gas ("ASC 932"). The basis for grouping is a reasonable aggregation of properties with a common geological structural feature or stratigraphic condition, such as a reservoir or field.

When circumstances indicate that proved oil and natural gas properties may be impaired, the Company compares net capitalized costs to the expected undiscounted pre-tax future cash flows for the associated assets grouped at the lowest level for which identifiable cash flows are independent of cash flows of other assets. If the expected undiscounted pre-tax future cash flows, based on the Company's estimate of future crude oil and natural gas prices, operating costs, anticipated production from proved reserves, and other relevant data, are lower than the net capitalized cost, the capitalized cost is reduced to fair value with an impairment loss recorded equal to the difference between the asset's carrying value and estimated fair value. Fair value is generally estimated using the income approach described in ASC 820, "Fair Value Measurements" ("ASC 820"). If applicable, the Company may utilize prices and other relevant information generated by market transactions involving assets and liabilities that are identical or comparable to the item being measured as the basis for determining fair value. The expected future cash flows used for impairment reviews and related fair value calculations are typically based on judgmental assessments of future production volumes, commodity prices, operating costs, and capital investment plans, considering all available information at the date of review. These assumptions are applied to develop future cash flow projections that are then discounted to estimated fair value, using a discount rate believed to be consistent with those applied by market participants. See Note 4 — Oil and Gas Properties for further discussion.

*Impairment of Long-lived Assets*

The Company reviews the carrying value of its long-lived assets annually or whenever events or changes in circumstances indicate that the historical cost-carrying value of an asset may no longer be appropriate. The Company assesses recoverability of the carrying value of the asset by estimating the future net undiscounted cash flows expected to result from the asset, including eventual disposition. If the future net undiscounted cash flows are less than the carrying value of the asset, an impairment loss is recorded equal to the difference between the asset's carrying value and estimated fair value.

For the years ended June 30, 2022 and 2021, the Company had no impairment loss on long-lived assets.

*Asset Retirement Obligations*

The Company measures its obligations for the retirement of the oil fields using various assumptions such as the expected period upon the expiry of the contract and the complete depletion of the oil deposits underground, the degree of the damage the operation had done to the oil field, and the related governmental requirements imposed on

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#### ELEPHANT OIL CORP.<br>NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

#### Note 2 — BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (cont.)
the Company as a contractor. The asset retirement obligation is reviewed and adjusted each quarter for any liabilities incurred or settled during the period, accretion expense and any revisions made to the estimated cash flows and changes required by the Company.

As of June 30, 2022 and 2021, the Company had no asset retirement obligations.

*Related Parties*

Parties are considered to be related to the Company if the parties, directly or indirectly, through one or more intermediaries, control, are controlled by, or are 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. All transactions shall be recorded at fair value of the goods or services exchanged. Property purchased from a related party is recorded at the cost to the related party and any payment to or on behalf of the related party in excess of the cost is reflected as a distribution to related party.

*Income Taxes*

Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the consolidated financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets, including tax loss and credit carry forwards, and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date.

The Company utilizes ASC 740, *Income Taxes*, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the consolidated financial statements or tax returns. The Company accounts for income taxes using the asset and liability method to compute the differences between the tax basis of assets and liabilities and the related financial amounts, using currently enacted tax rates. A valuation allowance is recorded when it is "more likely than not" that a deferred tax asset will not be realized. At June 30, 2022 and 2021, the Company's net deferred tax asset has been fully reserved.

For uncertain tax positions that meet a "more likely than not" threshold, the Company recognizes the benefit of uncertain tax positions in the consolidated financial statements. The Company's practice is to recognize interest and penalties, if any, related to uncertain tax positions in income tax expense in the consolidated statements of operations when a determination is made that such expense is likely. The Company is subject to income tax examinations by major taxing authorities since inception.

The Company's wholly owned subsidiary, EOL, is subject to corporate income tax filing requirements in the United Kingdom.

*Fair Value of Financial Instruments*

As defined in ASC 820, *Fair Value Measurements and Disclosures*, fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (exit price). The Company utilizes market data or assumptions that market participants would use in pricing the asset or liability, including assumptions about risk and the risks inherent in the inputs to the valuation technique. These inputs can be readily observable, market corroborated, or generally unobservable. ASC 820 establishes a fair value hierarchy that prioritizes the inputs used to measure fair value. The hierarchy gives the highest priority to

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#### ELEPHANT OIL CORP.<br>NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

#### Note 2 — BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (cont.)
unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurement) and the lowest priority to unobservable inputs (Level 3 measurement). This fair value measurement framework applies at both initial and subsequent measurement.

---

| | |
|:---|:---|
|  Level 1: | Quoted prices are available in active markets for identical assets or liabilities as of the reporting date. Active markets are those in which transactions for the asset or liability occur in sufficient frequency and volume to provide pricing information on an ongoing basis. |
|  Level 2: | Pricing inputs are other than quoted prices in active markets included in Level 1, which are either directly or indirectly observable as of the reported date. Level 2 includes those financial instruments that are valued using models or other valuation methodologies. These models are primarily industry-standard models that consider various assumptions, including quoted forward prices for commodities, time value, volatility factors and current market and contractual prices for the underlying instruments, as well as other relevant economic measures. Substantially all of these assumptions are observable in the marketplace throughout the full term of the instrument, can be derived from observable data or are supported by observable levels at which transactions are executed in the marketplace. |
|  Level 3: | Pricing inputs include significant inputs that are generally less observable from objective sources. These inputs may be used with internally developed methodologies that result in management's best estimate of fair value. The significant unobservable inputs used in the fair value measurement for nonrecurring fair value measurements of long-lived assets include pricing models, discounted cash flow methodologies and similar techniques. |

---

*Net Loss Per Share*

Net loss per share is computed by dividing net loss by the weighted average number of common shares outstanding during the reporting period. Diluted earnings per share is computed similar to basic earnings per share, except the weighted average number of common shares outstanding are increased to include additional shares from the assumed exercise of share options, if dilutive.

The following common share equivalents are excluded from the calculation of weighted average common shares outstanding, because their inclusion would have been anti-dilutive (see Note 9):

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| | | |
|:---|:---|:---|
|  | **As of <br>June 30,<br>2022** | **As of <br>June 30,<br>2021** |
|  Convertible Notes (see Note 6, Note 7)<sup>(1)</sup> | 138889 |  |
|  Total potentially dilutive securities | 138889 |  |

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____________

(1) The Dragon Note has a principal amount of $312,500, a purchase price of $250,000, an original issue discount of $62,500 and a maturity date of the earlier of i) August 2022 or ii) the date of the IPO. Upon the maturity date, the Dragon Note shall be convertible into common stock at a conversion price of 70% of the price of the common stock on the date of the IPO.

*Foreign Currency Translations*

The Company maintains is books and records in its local currencies, British Pounds and West African Francs, which are the functional currencies of the economic environment in which their operations are conducted. Transactions denominated in currencies other than the functional currency are translated into the functional currency at the exchange rates prevailing at the dates of the transaction. Monetary assets and liabilities denominated in foreign currencies are translated into the functional currency at the rate of exchange in effect at the balance sheet date. The resulting exchange differences are recorded in the consolidated statements of operations and comprehensive income.

The reporting currency of the Company is the US Dollar and the accompanying consolidated financial statements have been expressed in the US Dollar. In accordance with ASC Topic 830-30, *Translation of Financial Statement*, assets and liabilities of the Company whose functional currency is not the US Dollar are translated into the US Dollar, using the exchange rate on the balance sheet date. Revenues and expenses are translated at average rates prevailing

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#### ELEPHANT OIL CORP.<br>NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

#### Note 2 — BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (cont.)
during the period. Stockholders' equity is translated at historical exchange rate at the time of transaction. The gains and losses resulting from translation of financial statements are recorded as a separate component of accumulated other comprehensive income within the consolidated statements of stockholders' equity.

*Translation of Foreign Operations*

The financial results and position of foreign operations whose functional currency is different from the Company's presentation currency are translated as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• assets and liabilities are translated at period-end exchange rates prevailing at that reporting date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• equity is translated at historical exchange rates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• income and expenses are translated at average exchange rates for the period; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• cash flows are translated using average and historic (i.e., specific one-time transactions) rates.

Exchange differences arising on translation of foreign operations are transferred directly to the Company's accumulated other comprehensive loss in the consolidated financial statements. Transaction gains and losses arising from exchange rate fluctuation on transactions denominated in a currency other than the functional currency are included in the consolidated statements of operations.

The relevant translation rates are as follows:

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| | | |
|:---|:---|:---|
|  | **June 30, <br>2022** | **June 30, <br>2021** |
|  Closing rate, British Pound (GBP) to US$ as of June 30 | 1.214 | 1.382 |
|  Average rate, GBP to US$ for the period ended June 30 | 1.332 | 1.347 |
|  Closing rate, West African CFA franc (XOF) to GBP as of June 30 | 0.00132 | 0.00132 |
|  Average rate, XOF to GBP for the period ended June 30 | 0.00130 | 0.00136 |

---

*Environmental Expenditures*

The operations of our company have been, and may in the future be, affected from time to time in varying degree by changes in environmental regulations, including those for future reclamation and site restoration costs. Both the likelihood of new regulations and their overall effect upon our company vary greatly and are not predictable. Our company's policy is to meet or, if possible, surpass standards set by relevant legislation by application of technically proven and economically feasible measures.

Environmental expenditures that relate to ongoing environmental and reclamation programs are charged against earnings as incurred or capitalized and amortized depending on their future economic benefits. All of these types of expenditures incurred since inception have been charged against earnings due to the uncertainty of their future recoverability. Estimated future reclamation and site restoration costs, when the ultimate liability is reasonably determinable, are charged against earnings over the estimated remaining life of the related business operation, net of expected recoveries.

*Comprehensive Income (Loss)*

FASB ASU Topic No. 220, "Comprehensive Income," establishes standards for reporting and display of comprehensive income and its components in a full set of general-purpose financial statements. As of June 30, 2022 and 2021, the Company had no material items of other comprehensive income except for the foreign currency translation adjustment.

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#### ELEPHANT OIL CORP.<br>NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

#### Note 2 — BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (cont.)
*Recently Adopted Accounting Pronouncements*

In March 2021, the FASB issued ASU 2021-03, Intangibles — Goodwill and Other (Topic 350) ("ASU 2021-03") which requires an entity to identify and evaluate goodwill impairment triggering events when they occur to determine whether it is more likely than not that the fair value of a reporting unit (or entity, if the entity has elected the accounting alternative for amortizing goodwill and chosen that option) is less than its carrying amount. If an entity determines that it is more likely than not that the goodwill is impaired, it must test goodwill for impairment using the triggering event date as the measurement date. An entity is required to disclose the amount assigned to goodwill in total and by major business combination, or by reorganization event resulting in fresh-start-start reporting. Also, the weighted average amortization period in total and the amortization period by major business combination, or by reorganization event resulting in fresh-start reporting. ASU 2021-03 was effective for the Company on July 1, 2021 and did not have a significant impact on its consolidated financial statements.

In August 2020, the FASB issued ASU 2020-06**,** *Debt — Debt with Conversion and Other Options (Subtopic 470*-20*) and Derivatives and Hedging — Contracts in Entity's Own Equity (Subtopic 815*-40*) — Accounting for Convertible Instruments and Contracts in an Entity's Own Equity.* ASU 2020-06 reduces the number of accounting models for convertible debt instruments and convertible preferred stock. For convertible instruments with conversion features that are not required to be accounted for as derivatives under Topic 815, *Derivatives and Hedging*, or that do not result in substantial premiums accounted for as paid-in capital, the embedded conversion features no longer are separated from the host contract. ASU 2020-06 also removes certain conditions that should be considered in the derivatives scope exception evaluation under Subtopic 815-40, *Derivatives and Hedging — Contracts in Entity's Own Equity*, and clarify the scope and certain requirements under Subtopic 815-40. In addition, ASU 2020-06 improves the guidance related to the disclosures and earnings-per-share (EPS) for convertible instruments and contract in entity's own equity. ASU 2020-06 is effective for public business entities that meet the definition of a Securities and Exchange Commission (SEC) filer, excluding entities eligible to be smaller reporting companies as defined by the SEC, for fiscal years beginning after December 15, 2021, including interim periods within those fiscal years. For all other entities, the amendments are effective for fiscal years beginning after December 15, 2023, including interim periods within those fiscal years. Early adoption is permitted, but no earlier than fiscal years beginning after December 15, 2020, including interim periods within those fiscal years. The Board specified that an entity should adopt the guidance as of the beginning of its annual fiscal year. The Company has chosen to early adopt the provisions of ASU 2020-06 as of January 1, 2022. The adoption of ASU 2020-06 had no material effect on the Company's financial statements. If the standard was not early adopted the Company would have had to recognize a beneficial conversion feature on its convertible note payable issued on May 26, 2022. However, amounts related to the potential amortization of that beneficial conversion feature, if recognized, would have been immaterial for the six months ending June 30, 2022.

*Other Recent Accounting Pronouncements*

In May 2021, the FASB issued ASU 2021-04 "Earnings Per Share (Topic 260), Debt — Modifications and Extinguishments (Subtopic 470-50), Compensation — Stock Compensation (Topic 718), and Derivatives and Hedging — Contracts in Entity's Own Equity (Subtopic 815- 40) Issuer's Accounting for Certain Modifications or Exchanges of Freestanding Equity-Classified Written Call Options" which clarifies and reduces diversity in an issuer's accounting for modifications or exchanges of freestanding equity-classified written call options (for example, warrants) that remain equity classified after modification or exchange. An entity should measure the effect of a modification or an exchange of a freestanding equity-classified written call option that remains equity classified after modification or exchange as follows: i) for a modification or an exchange that is a part of or directly related to a modification or an exchange of an existing debt instrument or line-of-credit or revolving-debt arrangements (hereinafter, referred to as a "debt" or "debt instrument"), as the difference between the fair value of the modified or exchanged written call option and the fair value of that written call option immediately before it is modified or exchanged; ii) for all other modifications or exchanges, as the excess, if any, of the fair value of the modified or exchanged written call option over the fair value of that written call option immediately before it is modified or exchanged. The amendments in this Update are effective for all entities for fiscal years beginning after December 15, 2021, including interim

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#### ELEPHANT OIL CORP.<br>NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

#### Note 2 — BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (cont.)
periods within those fiscal years. An entity should apply the amendments prospectively to modifications or exchanges occurring on or after the effective date of the amendments. The Company is currently evaluating the impact of this standard on its consolidated financial statements.

Management does not believe that any other recently issued, but not yet effective, accounting pronouncements, if currently adopted, would have a material effect on the Company's financial statements.

#### NOTE 3 — GOING CONCERN AND MANAGEMENT'S LIQUIDITY PLANS
As of June 30, 2022, the Company had $45,175 in cash and a working capital deficit of $2,547,853, exclusive of deferred offering costs. To date the Company has been funding operations through proceeds from the issuance of common stock and debt.

The accompanying consolidated financial statements have been prepared on the basis that the Company will continue as a going concern over the next twelve months from the date of issuance of these consolidated financial statements, which assumes the realization of assets and the satisfaction of liabilities in the normal course of business. As of June 30, 2022, the Company had an accumulated deficit of $4,771,730 and has experienced losses from continuing operations and a negative working capital position. Based on the Company's cash balance as of June 30, 2022 and projected cash needs for the next twelve months, management estimates that it will need to raise additional capital to cover operating and working capital requirements. Management will need to raise the additional funds through the Proposed Public Offering (See Note 9 — Stockholder's Equity) or issuing additional shares of common stock or other equity securities or obtaining debt financing. Although management has been successful to date in raising necessary funding, there can be no assurance that any required future financing can be successfully completed on a timely basis, or on terms acceptable to the Company. Based on these circumstances, management has determined that these conditions raise substantial doubt about the Company's ability to continue as a going concern for the next twelve months from the issuance of these consolidated financial statements.

Accordingly, the accompanying consolidated financial statements have been prepared in conformity with U.S. GAAP, which contemplates continuation of the Company as a going concern and the realization of assets and the satisfaction of liabilities in the normal course of business. The consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty.

The current COVID-19 pandemic, along with future similar epidemics or pandemics, could materially and adversely impact our ability to finance and conduct the Company's business once it becomes operational and could materially and adversely impact its operations, funding, and/or financial performance. The COVID-19 pandemic has had no material impact on the Company's current business activities which are primarily focused on compliance and fund-raising tasks. The Company has had and continues to have the same staff, same service providers and same processes as was the case prior to the pandemic.

There is an ongoing conflict involving Russia and Ukraine and the war between the two countries continues to evolve as military activity proceeds and additional sanctions are imposed. The war is increasingly affecting economic and global financial markets and exacerbating ongoing economic challenges, including issues such as rising inflation and global supply-chain disruption. While the Company does not believe this conflict currently has a material impact on its financial accounting and reporting, the degree to which it will be affected in the future largely depends on the nature and duration of uncertain and unpredictable events, and its business could be impacted. Furthermore, future global conflicts or wars could create further economic challenges, including, but not limited to, increases in inflation and further global supply-chain disruption. Consequently, the ongoing Russia/Ukraine conflict and/or other future global conflicts could result in an increase in operating expenses and/or a decrease in any future revenue and could further have a material adverse effect on the Company's results of operations and cash flow.

The Company's ability to further develop operations is contingent upon obtaining adequate financial resources through a Proposed Public Offering (see Note 9 — Stockholder's Equity).

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#### ELEPHANT OIL CORP.<br>NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

#### NOTE 4 — OIL AND GAS PROPERTIES
The following tables summarize the Company's oil and gas activities.

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| | | |
|:---|:---|:---|
|  | **As of <br>June 30, <br>2022** | **As of <br>June 30, <br>2021** |
|  Oil and gas properties – not subject to amortization | $2155743 | $2243018 |
|  Accumulated impairment |  |  |
|  Oil and gas properties – not subject to amortization, net | $2155743 | $2243018 |

---

The following shows the movement of the oil and gas properties — not subject to amortization balance.

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| | |
|:---|:---|
|  | **Oil & Gas <br>Properties – Benin** |
|  July 1, 2020 | $2002924 |
| &nbsp;&nbsp;&nbsp; Capital expenditures | 3482 |
| &nbsp;&nbsp;&nbsp; Effect of foreign exchange translation | 236612 |
|  June 30, 2021 | $2243018 |
| &nbsp;&nbsp;&nbsp; Capital expenditures | 184763 |
| &nbsp;&nbsp;&nbsp; Effect of foreign exchange translation | (272038) |
|  June 30, 2022 | $2155743 |

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During the years ended June 30, 2022 and 2021, the Company incurred aggregated development costs, which were capitalized, of $184,763 and $3,482, respectively, mainly for the purpose of the geological and geophysical studies, drilling of wells and license fees.

The Company did not record any impairment to the oil and gas property for the years ended June 30, 2022 or 2021 as all capitalized costs represent exploratory development costs pending further development on the consolidated balance sheets. There is no depletion related to the oil and gas property as of June 30, 2022 as the Company does not currently have production.

Regarding the Company's license in Benin, the Production Sharing Agreement (as defined below) covering Block B includes three exploration phases covering nine years, from its effective date. The production period is for 25 years and can be extended an additional 10 years. The Company expects to extend the current agreement in September 2022.

Regarding the Company's license in Namibia, the Petroleum Agreement for onshore Block 1919 includes three exploration phases covering eight years, from its effective date. The production period is for 25 years.

*Republic of Benin*

In October 2013, Elephant Oil signed a Production Sharing Agreement with Benin (the "Production Sharing Agreement") providing a 100% licensed interest under the PSA in onshore Block B, which is over 1.1 million acres, or 1,772 square miles or 4,590 square kilometers onshore and is accessible by local roadways in a low-density tropical forest environment. SOBEH now known as SNH-Benin, the national oil company of Benin, has an option to acquire a maximum of a 10% interest upon commercial discovery. The exploration period is 9 years and, unless extended, will terminate in October 2022. In the event that a commercial discovery is made on the block, the Production Sharing Agreement further entitles Elephant Oil to apply for and receive, subject to Benin government approval, a production license of up to 25 years, renewable for a period of up to 10 years, from the Benin Ministry of Water and Mines. On January 19, 2021, the Benin government adopted the Petroleum Code. In January 2021, the Benin government invited holders of production licenses under the older petroleum code to negotiate agreements under the Petroleum Code. The Company is negotiating a new agreement with Benin Government (the "New Production Sharing Agreement") relating to the Petroleum Code, which it anticipates will have substantially similar terms to the existing Production Sharing Agreement.

[**Table of Contents**](#TOC001)

#### ELEPHANT OIL CORP.<br>NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

#### NOTE 4 — OIL AND GAS PROPERTIES (cont.)
*Republic of Namibia*

In August 2021, Elephant Oil signed a Petroleum Agreement with Namibia for onshore Block 1919 (the "Petroleum Agreement"), which includes a minimum exploration expenditure of $5,000,000. The $5,000,000 minimum exploration expenditure condition will be deemed satisfied if the minimum work obligations are properly executed using best oil field practices, regardless of the specified expenditure amount. Elephant Oil holds a 70% production interest in Block 1919 on over 2.8 million acres, or 4,507 square miles, or 11,675 square kilometers, onshore and is accessible by local roadways in brushland environment. Niikela Exploration (PTY) LTD holds a 20% production interest and NAMCOR, a Namibian state-owned entity, holds the remaining 10% interest in the license on a carried interest basis. The exploration period is 8 years and, unless extended, will terminate on August 22, 2029. In the event that an economically viable resource discovery is made at the licensed property, the Petroleum Agreement further entitles Elephant Oil to apply for and receive, subject to Namibian government approval, a production license of up to 25 years, renewable for a period of up to 10 years, from the NMME. The Company made a payment of $91,250 for license fees in August 2022.

In July 2021, the Company paid a refundable deposit of $55,000 to NedBank, a South African Bank, related to a bank guarantee for a business license with the government of Benin, which is reflected as a long-term deposit on the accompanying balance sheet as of June 30, 2022.

#### NOTE 5 — RELATED PARTY TRANSACTIONS
*Accounts Payable — Related Parties*

The Company had accounts payable to Matthew Lofgran, our Chief Executive Officer, of $502,941, due upon demand as of June 30, 2021. Additionally, the Company had accounts payable, due upon demand, to Gavin Burnell, a shareholder, a noteholder and former director of the Company, of $177,308 as of June 30, 2021, due upon demand and non-interest bearing.

These accounts payable were settled through the issuance of 212,111 and 79,222 shares of common stock to Mr. Lofgran and Mr. Burnell, respectively, in August 2021, with a balance of $25,000 remaining due Mr. Lofgran as of June 30, 2022.

The total of these related party accounts payable was $655,500, which is the fair value of the 291,333 aggregate common shares issued based on the most recent cash sales price of $2.25 per share for the Company's common stock, thus no gain or loss resulted. No cash was exchanged in these accounts payable settlements.

In August 2021, the Company issued an aggregate of 79,733 shares of common stock to settle accounts payable to third parties of $179,399, which approximates the fair value of the shares issued of $2.25 per share based on the most recent cash sales price of the Company's common stock, thus no gain or loss resulted. No cash was exchanged in these accounts payable settlements.

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#### ELEPHANT OIL CORP.<br>NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

#### NOTE 5 — RELATED PARTY TRANSACTIONS (cont.)
*Current Maturities, Notes Payable — Related Parties*

The current maturities of notes payable — related parties consist of the following:

---

| | | |
|:---|:---|:---|
|  | **June 30, <br>2022** | **June 30, <br>2021** |
|  Loan from Gavin Burnell, shareholder and former director of the Company, dated December 7, 2013, unsecured, bearing interest at 15% per annum, due December 31, 2022 | $241779 | $275150 |
|  Loan from Woodland Capital (controlled by Gavin Burnell) dated November 4, 2013, unsecured, bearing interest at 15%, due December 31, 2022. | 60715 | 69095 |
|  Total Notes payable – related parties | 302494 | 344245 |
|  Less Current maturities, notes payable – related parties | 302494 |  |
|  Long-term notes payable – related parties | $— | $344245 |

---

Accrued interest on the above notes payable totalled $424,815 and $431,811 as of June 30, 2022 and 2021, respectively. Interest expense for the above notes payable — related parties for the years ended June 30, 2022 and 2021 was $50,123 and $50,315, respectively. The accrued interest is due at maturity.

Aggregate current maturities of the related party notes payable as of June 30, 2022 are due in future fiscal years as follows:

---

| | |
|:---|:---|
| 2023 | $302494 |
|  | $302494 |

---

#### NOTE 6 — NOTES PAYABLE
*Note Payable — Bank (Bounce Back Loan Scheme)*

The Company received $61,795 (£50,000 GBP) related to a loan agreement dated June 19, 2020, with Coutts & Co. bank under the UK's Bounce Back Loan Scheme. The loan is unsecured, bears interest at 0% for the first 12 months and then 2.5% per annum thereafter, payable quarterly. The loan and any unpaid accrued interest is due in June 2026 and has balances of $12,143 and $35,368 in current and long-term liabilities, respectively, as of June 30, 2022, and balances of $13,819 and $55,276 in current and long-term liabilities, respectively, as of June 30, 2021.

Accrued interest on the note payable totalled $1,545 and $53 as of June 30, 2022 and 2021, respectively. Interest expense for the above notes payable for the years ended June 30, 2022 and 2021 was $1,545 and $53, respectively.

Aggregate maturities of the note payable — bank, as of June 30, 2022 are due in future fiscal years as follows:

---

| | |
|:---|:---|
| 2023 | $12140 |
| 2024 | 12140 |
| 2025 | 12140 |
| 2026 | 11091 |
|  | $47511 |

---

[**Table of Contents**](#TOC001)

#### ELEPHANT OIL CORP.<br>NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

#### NOTE 6 — NOTES PAYABLE (cont.)
*Note Payable — Investors, net of Discounts*

On May 26, 2022, the Company entered into a convertible promissory note ("Dragon Note") with Dragon Dynamic Funds (see Note 7). The Dragon Note has a principal amount of $312,500, a purchase price of $250,000, an original issue discount of $62,500 and a maturity date of the earlier of i) August 2022 or ii) the date of the IPO. The Dragon Note was funded on June 1, 2022 and bears no interest except in the event of default; prepayments can be made in advance of the maturity date by paying 120% of the amounts owed. Upon the maturity date, the Dragon Note shall be convertible into common stock at a conversion price of 70% of the price of the common stock on the date of the IPO. The Dragon Note also has 25% warrant coverage, with the number of warrants to be issued equal to $78,125, as determined in the warrant agreement (See Note 2, Note 7). The Company issued warrants, which were valued using a Black-Scholes option-pricing model to estimate the fair value of the warrants at May 26, 2022, which is based on significant inputs not observable in the market representing a Level 3 measurement within the fair value hierarchy based on an exercise price of $4.65, an average term of 2.5 years, volatility of 70%, a dividend yield of 0% and a risk rate of 2.70%, resulting in a fair value of $25,751.

The Company also incurred debt issuance costs of $30,000 in connection with the issuance of the note and warrants. The values of the original issue discount, warrants and debt issuance costs are recorded as debt discounts and amortized into interest expense over the life of the note, which is 90 days. As of June 30, 2022, the balances of the note payable and aggregate discounts were $239,236 and $73,264, respectively, with interest expense of $44,987 for the quarter and year ended June 30, 2022.

#### NOTE 7 — COMMITMENTS AND CONTINGENCIES
*Litigation*

From time to time, the Company is subject to various claims that arise in the ordinary course of business. Management believes that any liability of the Company that may arise out of or with respect to these matters will not materially adversely affect the financial position, results of operations, or cash flows of the Company.

*2022 Incentive Plan*

In February 2022, the Company adopted and approved the 2022 Incentive Plan. Under the 2022 Incentive Plan, the Company may (a) grant options to purchase common stock and (b) offer to sell and issue restricted shares of common stock (collectively, "Awards") to selected employees, officers, directors and consultants of the Company as an incentive to such eligible persons in order to attract and retain highly competent persons as directors, officers, key employees, consultants and independent contractors by providing them opportunities to acquire shares of common stock of the Company. The Company has reserved 1,890,596 shares of its common stock for issuance in connection with the 2022 Equity Incentive Plan.

*Stock Options*

As of June 30, 2022, there are 650,000 stock options granted, with no stock options vesting in full as of June 30, 2022, and vesting as follows: 50% of the shares underlying the options shall vest on the first and second anniversary of the option grant. There are 1,240,596 shares available for grant under the 2022 Equity Incentive Plan as of June 30, 2022.

[**Table of Contents**](#TOC001)

#### ELEPHANT OIL CORP.<br>NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

#### NOTE 7 — COMMITMENTS AND CONTINGENCIES (cont.)
Stock options outstanding at June 30, 2022 are as follows:

---

| | | |
|:---|:---|:---|
|  | **Number of <br>Options** | **Weighted-average <br>Exercise <br>Price per Share** |
|  Outstanding, July 1, 2021 |  | $— |
|  Granted | 650000 | 2.25 |
|  Expired |  |  |
|  Exercised |  |  |
|  Outstanding, June 30, 2022 | 650000 | $2.25 |
|  Exercisable, June 30, 2022 |  | $— |

---

These options had a weighted average remaining life of 9.3 years and an aggregate intrinsic value of $0 as of June 30, 2022.

The fair value of the 650,000 stock options granted was $904,295, of which $214,189 was expensed during the period from inception through June 30, 2022, with unamortized stock compensation remaining as of June 30, 2022 of $690,106. The fair value was determined by using the Black-Scholes option-pricing model with the following assumptions for two grants of 575,000 options and 75,000 options: exercise prices of $2.25 and $2.25 per share, respectively, dividend yields of 0% and 0%, respectively, expected terms of 5.60 and 5.56 years, respectively, volatilities of 70% and 70%, respectively, and risk-free rates of 1.93% and 3.34%, respectively.

*Employee Agreement — Lanre Oloniniyi*

On October 1, 2021, we executed a consulting agreement with Lanre Oloniniyi. Mr. Oloniniyi is responsible for the planning, managing, and implementation of all of our finance operations, reporting to the Chief Executive Officer. The consulting agreement included annualized compensation of $84,000, which we agreed to increase to $220,000 upon completion of our initial public offering and a grant of 200,000 options at an exercise price of $2.25 per option to purchase our Common Stock. The options vest fifty (50) percent on the first anniversary of the date of grant and fifty (50) percent on the second anniversary, in all cases subject to continued provision of consulting services as of such vesting dates. The agreement was terminable on ten days written notice from either party. On June 20, 2022, concurrent with the execution of Mr. Oloniniyi's employment agreement as described below, we terminated the consulting agreement and agreed to continue the vesting of Mr. Oloniniyi's options upon his entering into the employment agreement.

On June 20, 2022, we entered into an employment agreement with Mr. Oloniniyi to serve as Chief Financial Officer of the Company. Mr. Oloniniyi's appointment shall continue until terminated by either party upon not less than 6 months' prior written notice. The agreement includes annualized compensation of $84,000, which will increase to $220,000 upon completion of our initial public offering and continues the vesting of Mr. Oloniniyi's grant of 200,000 options at an exercise price of $2.25 per option to purchase our Common Stock. The agreement also contains customary expense reimbursement, holiday pay, sick pay and termination provisions.

*Services Agreement — TraDigital Marketing Group*

On March 15, 2022, the Company executed a consulting agreement with TraDigital Marketing Group ("TMG") for strategic advisory and digital marketing services. The consulting agreement includes monthly compensation of $10,000 and additional quarterly compensation of $90,000. The Company will also pay TMG stock compensation of 100,000 common shares and the term of the agreement is for one year. As of March 15, 2022, the 100,000 shares were effectively issued at a price of $2.25 per share for an aggregate value of $225,000.

[**Table of Contents**](#TOC001)

#### ELEPHANT OIL CORP.<br>NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

#### NOTE 7 — COMMITMENTS AND CONTINGENCIES (cont.)
*Offering Agreement — Spartan Capital Securities, LLC.*

During May 2022, the Company entered into an agreement (the "Spartan Offering Agreement") whereby it will issue warrants to Spartan Capital Securities, LLC ("Spartan"), as representative of the underwriters, upon the closing of this offering, which entitle it to purchase up to 5% of the total number of shares of Common Stock being sold in this offering (the "Spartan Underwriter Warrants") (see Note 9 — Stockholder's Equity).

*Note Payable — Investors, net of Discounts*

On May 26, 2022, the Company entered into the Dragon Note (see Note 6), which has a principal amount of $312,500, a purchase price of $250,000, an original issue discount of $62,500 and a maturity date of the earlier of i) August 2022 or ii) the date of the IPO. Upon the maturity date, the Dragon Note shall be convertible into common stock at a conversion price of 70% of the price of the common stock on the date of the IPO. The Dragon Note also has 25% warrant coverage, with the number of warrants to be issued equal to $78,125 (see Note 2).

#### NOTE 8 — INCOME TAXES
The Company accounts for income taxes under ASC 740, which provides for an asset and liability approach of accounting for income taxes. Under this approach, deferred tax assets and liabilities are recognized based on anticipated future tax consequences, using currently enacted tax laws, attributed to temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts calculated for income tax purposes.

The Company's wholly-owned subsidiary, EOL, is subject to corporate income tax filing requirements in the United Kingdom.

Due to the Company's net losses, there were no provisions for income taxes for the years ended June 30, 2022 and 2021. The Company's effective tax rate was lower than the U.S. federal statutory rate of 21% primarily due to changes in the valuation allowance. The change in the valuation allowance had an impact of (9.06%) and (22.03%) on the U.S. federal statutory rate for June 30, 2022, and 2021, respectively.

---

| | | |
|:---|:---|:---|
|  | **2022** | **2021** |
|  US Federal Statutory Rate | 21.00% | 21.00% |
|  Changes due to: |  |  |
| &nbsp;&nbsp;&nbsp; Stock-based compensation | (11.68)% |  |
| &nbsp;&nbsp;&nbsp; Foreign income taxed at different rates | (0.10)% | (1.78)% |
| &nbsp;&nbsp;&nbsp; Valuation allowance | (9.06)% | (22.03)% |
| &nbsp;&nbsp;&nbsp; Other | (0.16)% | 2.81% |
|  Effective Tax Rate |  |  |

---

Significant components of the Company's deferred tax assets as of June 30, 2022 and 2021 are summarized below.

---

| | | |
|:---|:---|:---|
|  | **2022** | **2021** |
|  Deferred tax assets: |  |  |
| &nbsp;&nbsp;&nbsp; Net operating loss carryforwards (U.K.) | $195000 | $185000 |
| &nbsp;&nbsp;&nbsp; Stock-based compensation | 45000 |  |
| &nbsp;&nbsp;&nbsp; Business organization/start-up costs | 148000 | 5000 |
| &nbsp;&nbsp;&nbsp; Accrued wages | 44000 |  |
| &nbsp;&nbsp;&nbsp; Accrued interest (UK) | 102000 | 82000 |
| &nbsp;&nbsp;&nbsp; Exploration costs | 13000 |  |
| &nbsp;&nbsp;&nbsp; Foreign currency translation adjustments | 136000 | 104000 |
|  Total deferred tax asset | 683000 | 376000 |
|  Valuation allowance | (683000) | (376000) |
|  | $— | $— |

---

[**Table of Contents**](#TOC001)

#### ELEPHANT OIL CORP.<br>NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

#### NOTE 8 — INCOME TAXES (cont.)
As of June 30, 2022, the Company had approximately $1.0 million of UK net operating loss carry forwards which may expire prior to potential use, and no material U.S. federal net operating losses for which any carry forwards are indefinite and subject to an 80%-of-taxable-income limit. Future utilization of the net operating loss carry forwards is subject to certain limitations under Section 382 of the Internal Revenue Code and under corporate tax filing requirements in the United Kingdom. The Company believes that the issuance of its Common Stock in exchange for EOL on April 26, 2021 resulted in an "ownership change" under these rules and regulations. Additionally, the Company's Acquisition may not meet the requirements of a tax-free reorganization ("Reorganization") under Section 368 of the Internal Revenue Code. Accordingly, the Company's ability to utilize their net operating losses generated prior to this date may be limited.

To the extent that the tax deduction is included in a net operating loss carry forward and is in excess of amounts recognized for book purposes, no benefit will be recognized until the loss carry forward is recognized. Upon utilization and realization of the carry forward, the corresponding change in the deferred asset and valuation allowance will be recorded as additional paid-in capital.

The Company provides for a valuation allowance when it is more likely than not that it will not realize a portion of the deferred tax assets. The Company has established a valuation allowance against the net deferred tax asset due to the uncertainty that enough taxable income will be generated in those taxing jurisdictions to utilize the assets. Therefore, we have not reflected any benefit of such deferred tax assets in the accompanying financial statements. Our net deferred tax asset and valuation allowance increased by $307,000 and $154,000 in the years ended June 30, 2022 and 2021, respectively.

The Company reviewed all income tax positions taken or that they expect to be taken for all open years and determined that the income tax positions are appropriately stated and supported for all open years, with the exception of the Reorganization transaction described above. The company will complete their analysis within the next interim period to determine if a reserve for uncertain tax positions is required. The Company may be subject to income tax examinations for the various taxing authorities which vary by jurisdiction.

In accordance with ASC 740-10-25-6, the Company shall initially recognize the financial statement effects of a tax position when it is more likely-than-not, based on the technical merits, that the position will be sustained upon examination. At the date of filing the Company does not believe they have any uncertain tax positions.

#### NOTE 9 — STOCKHOLDERS' EQUITY
The Company is authorized to issue an aggregate of 500,000,000 shares. The authorized capital stock is divided into: (i) 490,000,000 shares of Common Stock having a par value of $0.0001 per share and (ii) 10,000,000 shares of preferred stock having a par value of $0.0001 per share.

In June 2021, the Company entered into various subscription agreements in connection with its private placement (the "Offering") seeking to raise funds through the sale of shares of the Company's Common Stock at a price of $2.25 per share.

In August 2021, the Company granted an aggregate of 79,733 shares of common stock with a fair value of $2.25 per share in satisfaction of an aggregate of $179,399 in accounts payable resulting in no gain or loss to various vendors (see Note 5 — Related Party Transactions).

In August 2021, the Company granted an aggregate of 291,334 shares of common stock with a fair value of $2.25 per share in satisfaction of an aggregate of $655,500 in accounts payable resulting in no gain or loss to related parties (see Note 5 — Related Party Transactions).

During March 2022, the Company effectively issued 100,000 shares of its $0.0001 par common stock to TMG for compensation for services at a price of $2.25 per share for an aggregate value of $225,000 (see Note 7 — Commitments and Contingencies).

[**Table of Contents**](#TOC001)

#### ELEPHANT OIL CORP.<br>NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

#### NOTE 9 — STOCKHOLDERS' EQUITY (cont.)
During May 2022, the Company issued 63,955 shares of common stock with an aggregate fair value of $143,898 to a third party for services rendered. The fair value of the shares was recorded as compensation expense during the period ended June 30, 2022.

During the year ended June 30, 2022, the Company entered into subscription agreements with investors in connection with an offering of the Company's Common Stock at a price of $2.25 per share for a total of 342,667 shares for aggregate gross proceeds received of $737,400, net of transaction costs of $33,600 related to the offering.

*Proposed Public Offering*

The Company intends to offer for sale shares of its Common Stock (the "Proposed Public Offering").

*Underwriter Warrants — EF Hutton*

On June 15, 2021, the Company entered into an agreement (the "Offering Agreement") whereby it will issue warrants to EF Hutton, division of Benchmark Investments, LLC, as representative of the underwriters, upon the closing of this offering, which entitle it to purchase up to 5% of the total number of shares of Common Stock being sold in this offering (the "Underwriter Warrants"). The exercise price of the warrants is equal to 125% of the offering price of the Common Stock offered. The Underwriter Warrants will be exercisable at any time and from time to time, in whole or in part, during the four and a half-year period commencing six months from the effective date of the offering.

During May 2022, the Company and EF Hutton entered into a settlement agreement and release, whereby both parties mutually agreed to terminate the Offering Agreement signed on June 15, 2021. Neither party owes any obligations under such agreement and any individuals who were issued shares will execute the necessary documents to cancel these shares.

During May 2022, the Company entered into an agreement (the "Spartan Offering Agreement") whereby it will issue warrants to Spartan Capital Securities, LLC ("Spartan"), as representative of the underwriters, upon the closing of this offering, which entitle it to purchase up to 5% of the total number of shares of Common Stock being sold in this offering (the "Spartan Underwriter Warrants").

*Common Shares — EF Hutton*

On October 14, 2021, Elephant Oil signed an Advisory Agreement with EF Hutton, division of Benchmark Investments, LLC, pursuant to which EF Hutton will act as exclusive financial advisor to Elephant Oil, in connection with providing general financial advisory to Elephant Oil (the "Advisory Agreement"). In consideration of EF Hutton's services, Elephant Oil agreed to issue 4.99% of its common stock, computed as of the Advisory Agreement date, to certain individuals and an entity affiliated with EF Hutton as of the date of the Advisory Agreement, which totaled an aggregate of 588,854 common shares with a fair value of $1,324,921, or $2.25 per common share, issued on October 14, 2021.

On May 11, 2022, the Company and EF Hutton entered into a settlement agreement and release, whereby both parties mutually agreed to terminate the Advisory Agreement signed on October 14, 2021. Neither party owes any obligations under such agreement and any individuals who were issued shares will execute the necessary documents to cancel these shares. The Company cancelled the 588,854 shares previously issued to EF Hutton in May 2022.

*Underwriter Warrants — Spartan Capital Securities, LLC.*

During May 2022, the Company entered into an agreement (the "Spartan Offering Agreement") whereby it will issue warrants to Spartan Capital Securities, LLC ("Spartan"), as representative of the underwriters, upon the closing of this offering, which entitle it to purchase up to 5% of the total number of shares of Common Stock being sold in this offering (the "Spartan Underwriter Warrants"). The exercise price of the warrants is equal to 110% of the offering price of the Common Stock offered. The Spartan Underwriter Warrants will be exercisable at any time and from time to time, in whole or in part, during the five-year period from the effective date of the offering. The Spartan Underwriter

[**Table of Contents**](#TOC001)

#### ELEPHANT OIL CORP.<br>NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

#### NOTE 9 — STOCKHOLDERS' EQUITY (cont.)
Warrants shall not be redeemable. The Spartan Underwriter Warrants may not be sold, transferred, assigned, pledged or hypothecated or be the subject of any hedging, short sale, derivative, put, or call transaction that would result in the effective economic disposition of the securities for a period of 360 days following the effective date of the Spartan Offering Agreement, except that they may be assigned, in whole or in part, to any officer or partner of the representative, and to members of the underwriting syndicate or selling group (or to officers or partners thereof), or as otherwise permitted, in compliance with FINRA Rule 5110(g)(2). The Spartan Underwriter Warrants will contain provisions for one demand registration of the sale of the underlying shares of Common Stock at our expense and unlimited "piggyback" registration rights for a period of five (5) years after the effective date of the registration statement for this offering at our expense.

#### NOTE 10 — SUBSEQUENT EVENTS
The Company has evaluated events and transactions subsequent to June 30, 2022, through the date the consolidated financial statements were issued. Except as noted below, there are no other subsequent events identified that would require disclosure in the consolidated financial statements.

*Convertible Promissory Note — Individual Holder*

During July 2022, the Company entered into a convertible promissory note ("IH Note") with an individual holder. The IH Note has a principal amount of $437,500, a purchase price of $350,000, an original issue discount of $87,500 and a maturity date of the earlier of i) October 30, 2022 and ii) the date of the IPO. The IH Note bears no interest except in the event of default; prepayments can be made in advance of the maturity date by paying 120% of the amounts owed. Upon the maturity date, the IH Note will be convertible into common stock at a conversion price of 70% of the price of the common stock on the date of the IPO. Additionally, in the event of a conversion as mentioned above, the Company will issue warrants for a number of warrant shares equal to the number of common shares issued upon conversion. In the event of default or the IPO has not been completed by the maturity date, the original issue discount will increase to 30% of the face value of the note.

[**Table of Contents**](#TOC001)

#### ELEPHANT OIL CORP.<br>CONDENSED CONSOLIDATED BALANCE SHEETS

---

| | | |
|:---|:---|:---|
|  | **September 30,<br>2022** | **June 30,<br>2022** |
|  | **(Unaudited)** | **(Audited)** |
|  **ASSETS** |  |  |
|  Current assets: |  |  |
| &nbsp;&nbsp;&nbsp; Cash | $23126 | $45175 |
| &nbsp;&nbsp;&nbsp; Deferred offering costs | 2204702 | 1594576 |
|  Total current assets | 2227828 | 1639751 |
|  Deposit | 55000 | 55000 |
|  Oil and gas property, not subject to amortization | 2077287 | 2155743 |
|  Total assets | $4360115 | $3850494 |
|  **LIABILITIES AND STOCKHOLDERS' EQUITY** |  |  |
|  Current liabilities: |  |  |
| &nbsp;&nbsp;&nbsp; Accounts payable and accrued liabilities | $2193179 | $1563589 |
| &nbsp;&nbsp;&nbsp; Accounts payable – related parties | 25000 | 25000 |
| &nbsp;&nbsp;&nbsp; Accrued interest – related parties | 401210 | 424815 |
| &nbsp;&nbsp;&nbsp; Current maturities, note payable – bank | 11170 | 12143 |
| &nbsp;&nbsp;&nbsp; Current maturities, note payable – related parties | 278256 | 302494 |
| &nbsp;&nbsp;&nbsp; Notes payable – investors, net of discounts | 763664 | 239236 |
| &nbsp;&nbsp;&nbsp; Warrants liability | 19657 | 25751 |
|  Total current liabilities | 3692136 | 2593028 |
|  Long-term liabilities: |  |  |
| &nbsp;&nbsp;&nbsp; Note payable – bank | 29469 | 35368 |
|  | 29469 | 35368 |
|  Total liabilities | 3721605 | 2628396 |
|  Commitments and Contingencies (Note 7) |  |  |
|  Stockholders' equity: |  |  |
|  Preferred stock, par value $0.0001, 10,000,000 shares authorized; <br>0 issued and outstanding |  |  |
|  Common stock, par value $0.0001, 490,000,000 shares authorized; <br>12,178,411 and 12,178,411 shares issued and outstanding as of September 30, 2022 and June 30, 2022, respectively | 1218 | 1218 |
|  Additional paid-in capital | 6885153 | 6641748 |
|  Accumulated other comprehensive loss | (729441) | (649138) |
|  Accumulated deficit | (5518420) | (4771730) |
|  Total stockholders' equity | 638510 | 1222098 |
|  Total liabilities and stockholders' equity | $4360115 | $3850494 |

---

The accompanying notes are an integral part of these condensed consolidated financial statements.

[**Table of Contents**](#TOC001)

#### ELEPHANT OIL CORP.<br>CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS<br>(UNAUDITED)

---

| | | |
|:---|:---|:---|
|  | **For the Three Months<br>Ended September 30,** | **For the Three Months<br>Ended September 30,** |
|  | **2022** | **2021** |
|  Revenue | $— | $— |
|  Operating expenses: |  |  |
| &nbsp;&nbsp;&nbsp; Selling, general and administrative | 535856 | 144192 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total operating expenses | 535856 | 144192 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Loss from operations | (535856) | (144192) |
|  Other expenses |  |  |
| &nbsp;&nbsp;&nbsp; Interest expense | (216928) | (12870) |
| &nbsp;&nbsp;&nbsp; Change in fair value of warrants liability | 6094 |  |
| &nbsp;&nbsp;&nbsp; Gain on foreign currency transactions |  | 585 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total other expenses | (210834) | (12285) |
|  Loss before income taxes | (746690) | (156477) |
|  Provision for income taxes |  |  |
|  Net loss | $(746690) | $(156477) |
|  Weighted-average common shares outstanding, basic and diluted | 12178407 | 11453724 |
|  Basic and diluted net loss per common share | $(0.06) | $(0.01) |
|  Comprehensive loss: |  |  |
|  Net loss | $(746690) | $(156477) |
|  Foreign currency translation adjustment | (80303) | (25820) |
|  Comprehensive loss: | $(826993) | $(182297) |

---

The accompanying notes are an integral part of these condensed consolidated financial statements.

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#### ELEPHANT OIL CORP.<br>CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY<br>(UNAUDITED)

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **<br>Common Stock** | **<br>Common Stock** | **Additional <br>Paid-in <br>Capital** | **Accumulated Other Comprehensive Loss** | **Accumulated Deficit** | **Total Stockholders' Equity** |
|  | **Shares** | **Amount** | **Additional <br>Paid-in <br>Capital** | **Accumulated Other Comprehensive Loss** | **Accumulated Deficit** | **Total Stockholders' Equity** |
|  **Balance at July 1, 2021** | 11300722 | $1130 | $3166190 | $(496691) | $(1725907) | $944722 |
| &nbsp;&nbsp;&nbsp; Issuance of common stock for cash, net | 57777 | 6 | 119594 |  |  | 119600 |
| &nbsp;&nbsp;&nbsp; Issuance of common stock in satisfaction of related party payables | 291334 | 29 | 650808 |  |  | 650837 |
| &nbsp;&nbsp;&nbsp; Issuance of common stock in satisfaction of third party payables | 79733 | 8 | 179391 |  |  | 179399 |
| &nbsp;&nbsp;&nbsp; Foreign exchange translation |  |  |  | (25820) |  | (25820) |
| &nbsp;&nbsp;&nbsp; Net loss |  |  |  |  | (156477) | (156477) |
|  **Balance at September 30, 2021** | 11729566 | $1173 | $4115983 | $(522511) | $(1882384) | $1712261 |
|  **Balance at July 1, 2022** | 12178411 | $1218 | $6641748 | $(649138) | $(4771730) | $1222098 |
| &nbsp;&nbsp;&nbsp; Stock based compensation: |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Options |  |  | 243405 |  |  | 243405 |
| &nbsp;&nbsp;&nbsp; Foreign exchange translation |  |  |  | (80303) |  | (80303) |
| &nbsp;&nbsp;&nbsp; Net loss |  |  |  |  | (746690) | (746690) |
|  **Balance at September 30, 2022** | 12178411 | $1218 | $6885153 | $(729441) | $(5518420) | $638510 |

---

The accompanying notes are an integral part of these condensed consolidated financial statements.

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#### ELEPHANT OIL CORP.<br>CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS<br>(UNAUDITED)

---

| | | |
|:---|:---|:---|
|  | **For the Three Months<br>Ended September 30,** | **For the Three Months<br>Ended September 30,** |
|  | **2022** | **2021** |
|  **CASH FLOWS FROM OPERATING ACTIVITIES:** |  |  |
| &nbsp;&nbsp;&nbsp; Net loss | $(746690) | $(156477) |
| &nbsp;&nbsp;&nbsp; Adjustments to reconcile net loss to net cash used in operating activities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Amortization of debt discount | 154341 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Loan default fees | 51587 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Stock-based compensation | 243405 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Foreign currency translation gain |  | (585) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Change in fair value of warrants | (6094) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Changes in operating assets and liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Prepaid expenses |  | (52303) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Related party receivable |  | (5000) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Accounts payable and accrued liabilities | 248360 | 135261 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Accounts payable, related parties | 625 | 13080 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Accrued interest, related parties | 11386 | 12870 |
| &nbsp;&nbsp;&nbsp; Net cash used in operating activities | (43080) | (53154) |
|  **CASH FLOWS FROM INVESTING ACTIVITIES:** |  |  |
| &nbsp;&nbsp;&nbsp; Purchase of oil and gas property | (77232) | (94040) |
| &nbsp;&nbsp;&nbsp; Net cash used in investing activities | (77232) | (94040) |
|  **CASH FLOWS FROM FINANCING ACTIVITIES:** |  |  |
| &nbsp;&nbsp;&nbsp; Cash proceeds from private placement offering, net |  | 119600 |
| &nbsp;&nbsp;&nbsp; Principal payments on bank loan | (2792) | (3880) |
| &nbsp;&nbsp;&nbsp; Proceeds from notes payable – investors | 350000 |  |
| &nbsp;&nbsp;&nbsp; Payments for debt issuance costs | (31500) |  |
| &nbsp;&nbsp;&nbsp; Payments on deferred offering costs | (189807) | (239106) |
| &nbsp;&nbsp;&nbsp; Net cash from financing activities | 125901 | (123386) |
|  Effect of foreign currency exchange | (27638) | (14634) |
|  **NET CHANGE IN CASH** | (22049) | (285214) |
| &nbsp;&nbsp;&nbsp; Cash – Beginning of period | 45175 | 334344 |
| &nbsp;&nbsp;&nbsp; Cash – End of period | $23126 | 49130 |
|  **SUPPLEMENTAL CASH FLOW INFORMATION:** |  |  |
| &nbsp;&nbsp;&nbsp; Non-cash investing and financing activities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Common stock issued for relief of related party accounts payable | $— | $650837 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Common stock issued for relief of third-party accounts payable | $— | $179399 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Deferred offering costs in accounts payable | $420319 | $— |

---

The accompanying notes are an integral part of these condensed consolidated financial statements.

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#### ELEPHANT OIL CORP.<br>NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

#### Note 1 — NATURE OF organization and business
*Company Organization*

Elephant Oil Corp. and Subsidiaries ("Elephant Oil" or the "Company") was incorporated in the State of Nevada on March 29, 2021. The Company is engaged in oil and gas exploration and development focused on underexplored areas onshore in West Africa. The Company's headquarters is located in Houston, Texas, USA.

The Company is currently in the exploration stage and has not commenced drilling or production. The Company is focused on underexplored areas onshore in West Africa, specifically, the Republic of Benin and the Republic of Namibia.

*Acquisition of EOL*

Effective April 21, 2021, Elephant Oil entered into a Deed of Agreement (the "Agreement") with Elephant Oil Limited ("EOL"), a private limited company registered in the United Kingdom on January 14, 2013 (the "Acquisition"), pursuant to which, Elephant Oil acquired all of the outstanding shares of EOL. Upon closing, EOL became a wholly-owned subsidiary of the Company (the "Acquisition").

EOL has a wholly-owned subsidiary, Elephant Oil Benin SA ("EOB"), which is a private company incorporated in the Republic of Benin, West Africa, in 2014.

In accordance with the terms of the Agreement, Elephant Oil issued 7,739,394 shares of its common stock ("Common Stock") to EOL as consideration for the shares exchanged. As a result of the transaction, EOL shareholders acquired 70% of Elephant Oil's issued and outstanding shares of Common Stock.

Immediately following the Acquisition, the Company completed a reverse acquisition whereby the pre-Acquisition shareholders of the Company retained an aggregate of 3,316,884 shares of Common Stock of the Company, representing 30% ownership of the post-Acquisition Company. Therefore, upon consummation of the Acquisition, there was a change in control of the Company, with the former owners of EOL effectively acquiring control of the Company. The Acquisition was treated as a reverse recapitalization effected by a share exchange for financial and reporting purposes since Elephant Oil was deemed to be a shell corporation with nominal operations and assets at the time of the Acquisition. EOL is considered the acquirer for accounting purposes (with Elephant Oil considered the acquiree), and EOL's historical financial statements represent the consolidated financial statements of the Company for preceding and current periods. Subsequent to this transaction the Company's shares increased to 11,056,278.

*Production Sharing Agreement with Republic of Benin*

In October 2013, the Company signed the Production Sharing Agreement providing a 100% licensed interest under the PSA in onshore Block B, which is over 1.1 million acres, or 1,772 square miles or 4,590 square kilometers onshore. The Benin Hydrocarbons Corporation ("SOBEH"), a Benin state-owned entity, has an option to acquire a maximum of a 10% interest upon commercial discovery. In the event that a commercial discovery is made on the block, the Production Sharing Agreement further entitles the Company to apply for and receive, subject to Benin government approval, a production license of up to 25 years, renewable for a period of up to 10 years, from the Benin Ministry of Water and Mines (the "Ministry of Water and Mines"). On January 26, 2019, the Benin government adopted a new petroleum code, Law No. 2019-06 (the "Petroleum Code").

*Petroleum Agreement with Republic of Namibia*

In August 2021, Elephant Oil signed a Petroleum Agreement with Namibia for onshore Block 1919 (the "Petroleum Agreement"). Elephant Oil holds a 70% production interest on over 2.8 million acres, or 4,507 square miles, or 11,675 square kilometers, onshore. Niikela Exploration (PTY) LTD holds a 20% production interest and NAMCOR, a Namibian state-owned entity, holds the remaining 10% interest in the license on a carried interest basis. In the

[**Table of Contents**](#TOC001)

#### ELEPHANT OIL CORP.<br>NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

#### Note 1 — NATURE OF organization and business (cont.)
event that an economically viable resource discovery is made at the licensed property, the Petroleum Agreement further entitles Elephant Oil to apply for and receive, subject to Namibian government approval, a production license of up to 25 years, renewable for a period of up to 10 years, from the Namibia Ministry of Mines and Energy (the "NMME").

*Emerging Growth Company*

The Company is an "emerging growth company," as defined in Section 2(a)(19) of the Securities Act, as modified by the Jumpstart Our Business Startups Act of 2012 (the "JOBS Act"), and it may take advantage of certain exemptions from various reporting requirements that are applicable to other public companies that are not emerging growth companies including, but not limited to, not being required to comply with the auditor attestation requirements of Section 404(b) of the Sarbanes-Oxley Act of 2002, reduced disclosure obligations regarding executive compensation in its periodic reports and proxy statements, and exemptions from the requirements of holding a nonbinding advisory vote on executive compensation and approval of any golden parachute payments not previously approved. Further, Section 102(b)(1) of the JOBS Act exempts emerging growth companies from being required to comply with new or revised financial accounting standards until private companies (that is, those that have not had a Securities Act registration statement declared effective or do not have a class of securities registered under the Exchange Act) are required to comply with the new or revised financial accounting standards. The JOBS Act provides that a company can elect to opt out of the extended transition period and comply with the requirements that apply to non-emerging growth companies but any such election to opt out is irrevocable. The Company has elected not to opt out of such extended transition period which means that when a standard is issued or revised and it has different application dates for public or private companies, the Company, as an emerging growth company, can adopt the new or revised standard at the time private companies adopt the new or revised standard. This may make comparison of the Company's consolidated financial statements with another public company which is neither an emerging growth company nor an emerging growth company which has opted out of using the extended transition period difficult or impossible because of the potential differences in accounting standards used.

*COVID-19 Pandemic*

In March 2020, the World Health Organization characterized the outbreak of the novel strain of coronavirus, specifically identified as COVID-19, as a global pandemic. This resulted in governments enacting emergency measures to combat the spread of the virus. These measures, which include the implementation of travel bans, self-imposed quarantine periods and social distancing, have caused material disruption to business, resulting in a global economic slowdown. Equity markets have experienced significant volatility and the governments and central banks have reacted with significant monetary and fiscal interventions designed to stabilize economic conditions.

The current challenging economic climate may lead to adverse changes in cash flows, working capital levels and/or debt balances, which may also have a direct impact on the Company's operating results and financial position in the future. The ultimate duration and magnitude of the impact and the efficacy of government interventions on the economy and the financial effect on the Company is not known at this time. The extent of such impact will depend on future developments, which are highly uncertain and not in the Company's control, including new information which may emerge concerning the spread and severity of COVID-19 or any of its variants and actions taken to address its impact, among others. The repercussions of this health crisis could have a material adverse effect on the Company's business, financial condition, liquidity and operating results.

In response to COVID-19, the Company has implemented working practices to address potential impacts to its operations, employees and customers, and will take further measures in the future if and as required. At present, the Company does not believe there has been any appreciable impact on the Company specifically associated with COVID-19.

[**Table of Contents**](#TOC001)

#### ELEPHANT OIL CORP.<br>NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

#### Note 2 — BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
*Basis of Presentation*

The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP"). The summary of significant accounting policies presented below is designed to assist in understanding the Company's consolidated financial statements. Such consolidated financial statements and accompanying notes are the representations of Company's management, who is responsible for their integrity and objectivity.

*Principles of Consolidation*

The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiary, EOL and EOL's wholly-owned subsidiary, Elephant Oil Benin SA ("EOB"), a private company incorporated in the Republic of Benin, West Africa. EOL is considered the acquirer for accounting purposes, and EOL's historical financial statements represent the consolidated financial statements of the Company for preceding and current periods. All inter-company balances and transactions among the companies have been eliminated upon consolidation.

These consolidated financial statements are presented in U.S. Dollars.

*Use of Estimates*

The preparation of financial statements in conformity with U.S. GAAP requires the Company's management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period.

Making estimates requires management to exercise significant judgment. It is at least reasonably possible that the estimate of the effect of a condition, situation or set of circumstances that existed at the date of the financial statement, which management considered in formulating its estimate, could change in the near term due to one or more future confirming events. Some of the more significant estimates required to be made by management include the determination of reserves for our oil and gas property and the valuation of equity-based transactions. Accordingly, actual results could differ significantly from those estimates.

*Cash and cash equivalents*

The Company considers all short-term investments with an original maturity of three months or less when purchased to be cash equivalents. The Company had no cash equivalents as of September 30, 2022 or June 30, 2022. The Company maintains its cash in bank accounts which, at times, may exceed federally insured limits as guaranteed by the Federal Deposit Insurance Corporation. The Company mitigates this risk by maintaining its cash in sound financial institutions with strong credit ratings. Additionally, Company has not experienced any losses on such accounts.

*Deferred Offering Costs*

Deferred offering costs consist of professional fees, filing, regulatory and other costs incurred through the balance sheet date that are directly related to the Proposed Public Offering. As of September 30, 2022 and June 30, 2022, offering costs in the aggregate of $2,204,702 and $1,594,576, respectively, were deferred.

*Oil and Gas Property and Exploration Costs — Successful Efforts*

The Company is in the exploration stage and has not yet realized any revenues from its operations. It applies the successful efforts method of accounting for crude oil and natural gas properties. Under this method, exploration costs such as exploratory geological and geophysical costs, delay rentals and exploratory overhead are expensed as incurred. If an exploratory property provides evidence to justify potential development of reserves, drilling costs associated with

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#### ELEPHANT OIL CORP.<br>NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

#### Note 2 — BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (cont.)
the property are initially capitalized, or suspended, pending a determination as to whether a commercially sufficient quantity of proved reserves can be attributed to the area as a result of drilling. At the end of each quarter, management reviews the status of all suspended exploratory property costs in light of ongoing exploration activities; in particular, whether the Company is making sufficient progress in its ongoing exploration and appraisal efforts. If management determines that future appraisal drilling or development activities are unlikely to occur, associated exploratory well costs are expensed.

Costs to acquire mineral interests in crude oil and/or natural gas properties, drill and equip exploratory wells that find proved reserves and drill and equip development wells are capitalized. Acquisition costs of unproved leaseholds are assessed for impairment during the holding period and transferred to proven crude oil and/or natural gas properties to the extent associated with successful exploration activities. Significant undeveloped leases are assessed individually for impairment, based on the Company's current exploration plans, and a valuation allowance is provided if impairment is indicated. Capitalized costs from successful exploration and development activities associated with producing crude oil and/or natural gas leases, along with capitalized costs for support equipment and facilities, are amortized to expense using the unit-of-production method based on proved crude oil and/or natural gas reserves on a field-by-field basis, as estimated by qualified petroleum engineers.

Oil and natural gas properties are grouped for depreciation, depletion and amortization in accordance with Accounting Standards Codification ("ASC") ASC 932 — Extractive Activities — Oil and Gas ("ASC 932"). The basis for grouping is a reasonable aggregation of properties with a common geological structural feature or stratigraphic condition, such as a reservoir or field.

When circumstances indicate that proved oil and natural gas properties may be impaired, the Company compares net capitalized costs to the expected undiscounted pre-tax future cash flows for the associated assets grouped at the lowest level for which identifiable cash flows are independent of cash flows of other assets. If the expected undiscounted pre-tax future cash flows, based on the Company's estimate of future crude oil and natural gas prices, operating costs, anticipated production from proved reserves, and other relevant data, are lower than the net capitalized cost, the capitalized cost is reduced to fair value with an impairment loss recorded equal to the difference between the asset's carrying value and estimated fair value. Fair value is generally estimated using the income approach described in ASC 820, "Fair Value Measurements" ("ASC 820"). If applicable, the Company may utilize prices and other relevant information generated by market transactions involving assets and liabilities that are identical or comparable to the item being measured as the basis for determining fair value. The expected future cash flows used for impairment reviews and related fair value calculations are typically based on judgmental assessments of future production volumes, commodity prices, operating costs, and capital investment plans, considering all available information at the date of review. These assumptions are applied to develop future cash flow projections that are then discounted to estimated fair value, using a discount rate believed to be consistent with those applied by market participants. See Note 4 — Oil and Gas Properties for further discussion.

*Impairment of Long-lived Assets*

The Company reviews the carrying value of its long-lived assets annually or whenever events or changes in circumstances indicate that the historical cost-carrying value of an asset may no longer be appropriate. The Company assesses recoverability of the carrying value of the asset by estimating the future net undiscounted cash flows expected to result from the asset, including eventual disposition. If the future net undiscounted cash flows are less than the carrying value of the asset, an impairment loss is recorded equal to the difference between the asset's carrying value and estimated fair value.

For the three months ended September 30, 2022 and 2021, the Company had no impairment loss on long-lived assets.

[**Table of Contents**](#TOC001)

#### ELEPHANT OIL CORP.<br>NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

#### Note 2 — BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (cont.)
*Asset Retirement Obligations*

The Company measures its obligations for the retirement of the oil fields using various assumptions such as the expected period upon the expiry of the contract and the complete depletion of the oil deposits underground, the degree of the damage the operation had done to the oil field, and the related governmental requirements imposed on the Company as a contractor. The asset retirement obligation is reviewed and adjusted each quarter for any liabilities incurred or settled during the period, accretion expense and any revisions made to the estimated cash flows and changes required by the Company.

As of September 30, 2022 and June 30, 2022, the Company had no asset retirement obligations.

*Related Parties*

Parties are considered to be related to the Company if the parties, directly or indirectly, through one or more intermediaries, control, are controlled by, or are 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. All transactions shall be recorded at fair value of the goods or services exchanged. Property purchased from a related party is recorded at the cost to the related party and any payment to or on behalf of the related party in excess of the cost is reflected as a distribution to related party.

*Income Taxes*

Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the consolidated financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets, including tax loss and credit carry forwards, and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date.

The Company utilizes ASC 740, *Income Taxes*, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the consolidated financial statements or tax returns. The Company accounts for income taxes using the asset and liability method to compute the differences between the tax basis of assets and liabilities and the related financial amounts, using currently enacted tax rates. A valuation allowance is recorded when it is "more likely than not" that a deferred tax asset will not be realized. At September 30, 2022 and June 30, 2022, the Company's net deferred tax asset has been fully reserved.

For uncertain tax positions that meet a "more likely than not" threshold, the Company recognizes the benefit of uncertain tax positions in the consolidated financial statements. The Company's practice is to recognize interest and penalties, if any, related to uncertain tax positions in income tax expense in the consolidated statements of operations when a determination is made that such expense is likely. The Company is subject to income tax examinations by major taxing authorities since inception.

The Company's wholly owned subsidiary, EOL, is subject to corporate income tax filing requirements in the United Kingdom.

*Fair Value of Financial Instruments*

As defined in ASC 820, *Fair Value Measurements and Disclosures*, fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (exit price). The Company utilizes market data or assumptions that market participants would use in pricing the asset or liability, including assumptions about risk and the risks inherent in the inputs to the valuation technique.

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#### ELEPHANT OIL CORP.<br>NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

#### Note 2 — BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (cont.)
These inputs can be readily observable, market corroborated, or generally unobservable. ASC 820 establishes a fair value hierarchy that prioritizes the inputs used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurement) and the lowest priority to unobservable inputs (Level 3 measurement). This fair value measurement framework applies at both initial and subsequent measurement.

Level 1: Quoted prices are available in active markets for identical assets or liabilities as of the reporting date. Active markets are those in which transactions for the asset or liability occur in sufficient frequency and volume to provide pricing information on an ongoing basis.

Level 2: Pricing inputs are other than quoted prices in active markets included in Level 1, which are either directly or indirectly observable as of the reported date. Level 2 includes those financial instruments that are valued using models or other valuation methodologies. These models are primarily industry-standard models that consider various assumptions, including quoted forward prices for commodities, time value, volatility factors and current market and contractual prices for the underlying instruments, as well as other relevant economic measures. Substantially all of these assumptions are observable in the marketplace throughout the full term of the instrument, can be derived from observable data or are supported by observable levels at which transactions are executed in the marketplace.

Level 3: Pricing inputs include significant inputs that are generally less observable from objective sources. These inputs may be used with internally developed methodologies that result in management's best estimate of fair value. The significant unobservable inputs used in the fair value measurement for nonrecurring fair value measurements of long-lived assets include pricing models, discounted cash flow methodologies and similar techniques.

*Net Loss Per Share*

Net loss per share is computed by dividing net loss by the weighted average number of common shares outstanding during the reporting period. Diluted earnings per share is computed similar to basic earnings per share, except the weighted average number of common shares outstanding are increased to include additional shares from the assumed exercise of share options, if dilutive.

The following common share equivalents are excluded from the calculation of weighted average common shares outstanding, because their inclusion would have been anti-dilutive:

---

| | | |
|:---|:---|:---|
|  | **As of <br>September 30,<br>2022** | **As of <br>June 30,<br>2022** |
|  Convertible Notes – Dragon (see Note 6, Note 7)<sup>(1)</sup> | 121362 | 138889 |
|  Convertible Notes – IH (see Note 6, Note 7)<sup>(2)</sup> | 145833 |  |
|  Total potentially dilutive securities | 267195 | 138889 |

---

____________

(1) The Dragon Note has a principal amount of $312,500, a purchase price of $250,000, an original issue discount of $62,500 and a maturity date of the earlier of i) August 2022 or ii) the date of the IPO. Upon the maturity date, the Dragon Note shall be convertible into common stock at a conversion price of 70% of the price of the common stock on the date of the IPO.

(2) The IH Note has a principal amount of $437,500, a purchase price of $350,000, an original issue discount of $87,500 and a maturity date of the earlier of i) October 29, 2022 or ii) the date of the IPO. Upon maturity date, the IH Note may be converted into common stock and a number of warrants equal to the number of shares of converted common stock at a conversion price of 70% of the price of the common stock on the date of the IPO.

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#### ELEPHANT OIL CORP.<br>NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

#### Note 2 — BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (cont.)
*Foreign Currency Translations*

The Company maintains is books and records in its local currencies, British Pounds and West African Francs, which are the functional currencies of the economic environment in which their operations are conducted. Transactions denominated in currencies other than the functional currency are translated into the functional currency at the exchange rates prevailing at the dates of the transaction. Monetary assets and liabilities denominated in foreign currencies are translated into the functional currency at the rate of exchange in effect at the balance sheet date. The resulting exchange differences are recorded in the consolidated statements of operations and comprehensive income.

The reporting currency of the Company is the US Dollar and the accompanying consolidated financial statements have been expressed in the US Dollar. In accordance with ASC Topic 830-30, *Translation of Financial Statement*, assets and liabilities of the Company whose functional currency is not the US Dollar are translated into the US Dollar, using the exchange rate on the balance sheet date. Revenues and expenses are translated at average rates prevailing during the period. Stockholders' equity is translated at historical exchange rate at the time of transaction. The gains and losses resulting from translation of financial statements are recorded as a separate component of accumulated other comprehensive income within the consolidated statements of stockholders' equity.

*Translation of Foreign Operations*

The financial results and position of foreign operations whose functional currency is different from the Company's presentation currency are translated as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• assets and liabilities are translated at period-end exchange rates prevailing at that reporting date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• equity is translated at historical exchange rates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• income and expenses are translated at average exchange rates for the period; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• cash flows are translated using average and historic (i.e., specific one-time transactions) rates.

Exchange differences arising on translation of foreign operations are transferred directly to the Company's accumulated other comprehensive loss in the consolidated financial statements. Transaction gains and losses arising from exchange rate fluctuation on transactions denominated in a currency other than the functional currency are included in the consolidated statements of operations.

The relevant translation rates are as follows:

---

| | | |
|:---|:---|:---|
|  | **September 30, <br>2022** | **June 30, <br>2022** |
|  Closing rate, British Pound (GBP) to US | $1.117 | 1.214 |
|  Average rate, GBP to US$ for the period | 1.178 | 1.332 |
|  Closing rate, West African CFA franc (XOF) to GBP | 0.00133 | 0.00132 |
|  Average rate, XOF to GBP for the period | 0.00131 | 0.00130 |

---

*Environmental Expenditures*

The operations of our company have been, and may in the future be, affected from time to time in varying degree by changes in environmental regulations, including those for future reclamation and site restoration costs. Both the likelihood of new regulations and their overall effect upon our company vary greatly and are not predictable. Our company's policy is to meet or, if possible, surpass standards set by relevant legislation by application of technically proven and economically feasible measures.

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#### ELEPHANT OIL CORP.<br>NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

#### Note 2 — BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (cont.)
Environmental expenditures that relate to ongoing environmental and reclamation programs are charged against earnings as incurred or capitalized and amortized depending on their future economic benefits. All of these types of expenditures incurred since inception have been charged against earnings due to the uncertainty of their future recoverability. Estimated future reclamation and site restoration costs, when the ultimate liability is reasonably determinable, are charged against earnings over the estimated remaining life of the related business operation, net of expected recoveries.

*Comprehensive Income (Loss)*

FASB ASU Topic No. 220, "Comprehensive Income," establishes standards for reporting and display of comprehensive income and its components in a full set of general-purpose financial statements. As of September 30, 2022 and 2021, the Company had no material items of other comprehensive income except for the foreign currency translation adjustment.

*Recently Adopted Accounting Pronouncements*

In August 2020, the FASB issued ASU 2020-06**,** *Debt — Debt with Conversion and Other Options (Subtopic 470*-20*) and Derivatives and Hedging — Contracts in Entity's Own Equity (Subtopic 815*-40*) — Accounting for Convertible Instruments and Contracts in an Entity's Own Equity.* ASU 2020-06 reduces the number of accounting models for convertible debt instruments and convertible preferred stock. For convertible instruments with conversion features that are not required to be accounted for as derivatives under Topic 815, *Derivatives and Hedging*, or that do not result in substantial premiums accounted for as paid-in capital, the embedded conversion features no longer are separated from the host contract. ASU 2020-06 also removes certain conditions that should be considered in the derivatives scope exception evaluation under Subtopic 815-40, *Derivatives and Hedging — Contracts in Entity's Own Equity*, and clarify the scope and certain requirements under Subtopic 815-40. In addition, ASU 2020-06 improves the guidance related to the disclosures and earnings-per-share (EPS) for convertible instruments and contract in entity's own equity. ASU 2020-06 is effective for public business entities that meet the definition of a Securities and Exchange Commission (SEC) filer, excluding entities eligible to be smaller reporting companies as defined by the SEC, for fiscal years beginning after December 15, 2021, including interim periods within those fiscal years. For all other entities, the amendments are effective for fiscal years beginning after December 15, 2023, including interim periods within those fiscal years. Early adoption is permitted, but no earlier than fiscal years beginning after December 15, 2020, including interim periods within those fiscal years. The Board specified that an entity should adopt the guidance as of the beginning of its annual fiscal year. The Company has chosen to early adopt the provisions of ASU 2020-06 as of January 1, 2022. The adoption of ASU 2020-06 had no material effect on the Company's financial statements. If the standard was not early adopted the Company would have had to recognize a beneficial conversion feature on its convertible note payable issued on May 26, 2022. However, amounts related to the potential amortization of that beneficial conversion feature, if recognized, would have been immaterial for the affected period ending June 30, 2022.

*Other Recent Accounting Pronouncements*

In May 2021, the FASB issued ASU 2021-04 "Earnings Per Share (Topic 260), Debt — Modifications and Extinguishments (Subtopic 470-50), Compensation — Stock Compensation (Topic 718), and Derivatives and Hedging — Contracts in Entity's Own Equity (Subtopic 815- 40) Issuer's Accounting for Certain Modifications or Exchanges of Freestanding Equity-Classified Written Call Options" which clarifies and reduces diversity in an issuer's accounting for modifications or exchanges of freestanding equity-classified written call options (for example, warrants) that remain equity classified after modification or exchange. An entity should measure the effect of a modification or an exchange of a freestanding equity-classified written call option that remains equity classified after modification or exchange as follows: i) for a modification or an exchange that is a part of or directly related to a modification or an exchange of an existing debt instrument or line-of-credit or revolving-debt arrangements (hereinafter, referred

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#### ELEPHANT OIL CORP.<br>NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

#### Note 2 — BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (cont.)
to as a "debt" or "debt instrument"), as the difference between the fair value of the modified or exchanged written call option and the fair value of that written call option immediately before it is modified or exchanged; ii) for all other modifications or exchanges, as the excess, if any, of the fair value of the modified or exchanged written call option over the fair value of that written call option immediately before it is modified or exchanged. The amendments in this Update are effective for all entities for fiscal years beginning after December 15, 2021, including interim periods within those fiscal years. An entity should apply the amendments prospectively to modifications or exchanges occurring on or after the effective date of the amendments. The Company is currently evaluating the impact of this standard on its consolidated financial statements.

Management does not believe that any other recently issued, but not yet effective, accounting pronouncements, if currently adopted, would have a material effect on the Company's financial statements.

#### NOTE 3 — GOING CONCERN AND MANAGEMENT'S LIQUIDITY PLANS
As of September 30, 2022, the Company had $23,126 in cash and a working capital deficit of $3,669,010, exclusive of deferred offering costs. To date the Company has been funding operations through proceeds from the issuance of common stock and debt.

The accompanying consolidated financial statements have been prepared on the basis that the Company will continue as a going concern over the next twelve months from the date of issuance of these consolidated financial statements, which assumes the realization of assets and the satisfaction of liabilities in the normal course of business. As of September 30, 2022, the Company had an accumulated deficit of $5,518,420 and has experienced losses from continuing operations and a negative working capital. Based on the Company's cash balance as of September 30, 2022 and projected cash needs for the next twelve months, management estimates that it will need to raise additional capital to cover operating and working capital requirements. Management will need to raise the additional funds through the Proposed Public Offering (See Note 8 — Stockholder's Equity) or issuing additional shares of common stock or other equity securities or obtaining debt financing. Although management has been successful to date in raising necessary funding, there can be no assurance that any required future financing can be successfully completed on a timely basis, or on terms acceptable to the Company. Based on these circumstances, management has determined that these conditions raise substantial doubt about the Company's ability to continue as a going concern.

Accordingly, the accompanying consolidated financial statements have been prepared in conformity with U.S. GAAP, which contemplates continuation of the Company as a going concern and the realization of assets and the satisfaction of liabilities in the normal course of business. The consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty.

The current COVID-19 pandemic, along with future similar epidemics or pandemics, could materially and adversely impact our ability to finance and conduct the Company's business once it becomes operational and could materially and adversely impact its operations, funding, and/or financial performance. The COVID-19 pandemic has had no material impact on the Company's current business activities which are primarily focused on compliance and fund-raising tasks. The Company has had and continues to have the same staff, same service providers and same processes as was the case prior to the pandemic.

There is an ongoing conflict involving Russia and Ukraine and the war between the two countries continues to evolve as military activity proceeds and additional sanctions are imposed. The war is increasingly affecting economic and global financial markets and exacerbating ongoing economic challenges, including issues such as rising inflation and global supply-chain disruption. While the Company does not believe this conflict currently has a material impact on its financial accounting and reporting, the degree to which it will be affected in the future largely depends on the nature and duration of uncertain and unpredictable events, and its business could be impacted. Furthermore, future global

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#### ELEPHANT OIL CORP.<br>NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

#### NOTE 3 — GOING CONCERN AND MANAGEMENT'S LIQUIDITY PLANS (cont.)
conflicts or wars could create further economic challenges, including, but not limited to, increases in inflation and further global supply-chain disruption. Consequently, the ongoing Russia/Ukraine conflict and/or other future global conflicts could result in an increase in operating expenses and/or a decrease in any future revenue and could further have a material adverse effect on the Company's results of operations and cash flow.

The Company's ability to further develop operations is contingent upon obtaining adequate financial resources through a Proposed Public Offering (see Note 8 — Stockholder's Equity).

#### NOTE 4 — OIL AND GAS PROPERTIES
The following tables summarize the Company's oil and gas activities.

---

| | | |
|:---|:---|:---|
|  | **As of <br>September 30, <br>2022** | **As of <br>June 30, <br>2021** |
|  Oil and gas properties – not subject to amortization | $2077287 | $2155743 |
|  Accumulated impairment |  |  |
|  Oil and gas properties – not subject to amortization, net | $2077287 | $2155743 |

---

The following shows the movement of the oil and gas properties — not subject to amortization balance.

---

| | |
|:---|:---|
|  | **Oil & Gas <br>Properties** |
|  July 1, 2020 | $2002924 |
| &nbsp;&nbsp;&nbsp; Capital expenditures | 3482 |
| &nbsp;&nbsp;&nbsp; Effect of foreign exchange translation | 236612 |
|  June 30, 2021 | $2243018 |
| &nbsp;&nbsp;&nbsp; Capital expenditures | 184763 |
| &nbsp;&nbsp;&nbsp; Effect of foreign exchange translation | (272038) |
|  June 30, 2022 | $2155743 |
| &nbsp;&nbsp;&nbsp; Capital expenditures | 86268 |
| &nbsp;&nbsp;&nbsp; Effect of foreign exchange translation | (164724) |
|  September 30, 2022 | $2077287 |

---

During the three months ended September 30, 2022 and 2021, the Company incurred aggregated development costs, which were capitalized, of $86,268 and $94,040, respectively, mainly for the purpose of the geological and geophysical studies, drilling of wells and license fees.

The Company did not record any impairment to the oil and gas property for the three months ended September 30, 2022 or 2021 as all capitalized costs represent exploratory development costs pending further development on the consolidated balance sheets. There is no depletion related to the oil and gas property as of September 30, 2022 as the Company does not currently have production.

Regarding the Company's license in Benin, the Production Sharing Agreement (as defined below) covering Block B includes three exploration phases covering nine years, from its effective date. The production period is for 25 years and can be extended an additional 10 years. The Company is currently in negotiations to extend the current agreement.

Regarding the Company's license in Namibia, the Petroleum Agreement for onshore Block 1919 includes three exploration phases covering eight years, from its effective date. The production period is for 25 years.

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#### ELEPHANT OIL CORP.<br>NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

#### NOTE 4 — OIL AND GAS PROPERTIES (cont.)
*Republic of Benin*

In October 2013, Elephant Oil signed a Production Sharing Agreement with Benin (the "Production Sharing Agreement") providing a 100% licensed interest under the PSA in onshore Block B, which is over 1.1 million acres, or 1,772 square miles or 4,590 square kilometers onshore and is accessible by local roadways in a low-density tropical forest environment. SOBEH now known as SNH-Benin, the national oil company of Benin, has an option to acquire a maximum of a 10% interest upon commercial discovery. The exploration period is 9 years and, unless extended, would have terminated in October 2022. However, we are in advanced negotiations with the Ministry of Water and Mines for a New Production Sharing Agreement (as defined below). Because we are currently in negotiations for a new agreement, as per a July 2018 letter from the Ministry of Water and Mines and Article 53 of the Petroleum Code (as defined below), our rights under the Production Sharing Agreement are extended and remain valid until the negotiations are finalized. In the event that a commercial discovery is made on the block, the Production Sharing Agreement further entitles Elephant Oil to apply for and receive, subject to Benin government approval, a production license of up to 25 years, renewable for a period of up to 10 years, from the Ministry of Water and Mines. On January 19, 2021, the Benin government adopted the Petroleum Code. In January 2021, the Benin government invited holders of production licenses under the older petroleum code to negotiate agreements under the Petroleum Code. The Company is negotiating a new agreement with Benin Government (the "New Production Sharing Agreement") relating to the Petroleum Code, which it anticipates will have substantially similar terms to the existing Production Sharing Agreement.

*Republic of Namibia*

In August 2021, Elephant Oil signed a Petroleum Agreement with Namibia for onshore Block 1919 (the "Petroleum Agreement"), which includes a minimum exploration expenditure of $5,000,000. The $5,000,000 minimum exploration expenditure condition will be deemed satisfied if the minimum work obligations are properly executed using best oil field practices, regardless of the specified expenditure amount. Elephant Oil holds a 70% production interest in Block 1919 on over 2.8 million acres, or 4,507 square miles, or 11,675 square kilometers, onshore and is accessible by local roadways in brushland environment. Niikela Exploration (PTY) LTD holds a 20% production interest and NAMCOR, a Namibian state-owned entity, holds the remaining 10% interest in the license on a carried interest basis. The exploration period is 8 years and, unless extended, will terminate on August 22, 2029. In the event that an economically viable resource discovery is made at the licensed property, the Petroleum Agreement further entitles Elephant Oil to apply for and receive, subject to Namibian government approval, a production license of up to 25 years, renewable for a period of up to 10 years, from the NMME. The Company made a payment of $91,250 for license fees in August 2022.

In July 2021, the Company paid a refundable deposit of $55,000 to NedBank, a South African Bank, related to a bank guarantee for a business license with the government of Benin, which is reflected as a long-term deposit on the accompanying balance sheet as of September 30, 2022.

#### NOTE 5 — RELATED PARTY TRANSACTIONS
*Accounts Payable — Related Parties*

The Company had accounts payable to Matthew Lofgran, our Chief Executive Officer, of $502,941, due upon demand as of June 30, 2021. Additionally, the Company had accounts payable, due upon demand, to Gavin Burnell, a shareholder, a noteholder and former director of the Company, of $177,308 as of June 30, 2021, due upon demand and non-interest bearing.

These accounts payable were settled through the issuance of 212,111 and 79,222 shares of common stock to Mr. Lofgran and Mr. Burnell, respectively, in August 2021, with a balance of $25,000 remaining due Mr. Lofgran as of September 30, 2022.

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#### ELEPHANT OIL CORP.<br>NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

#### NOTE 5 — RELATED PARTY TRANSACTIONS (cont.)
The total of these related party accounts payable was $655,500, which is the fair value of the 291,333 aggregate common shares issued based on the most recent cash sales price of $2.25 per share for the Company's common stock, thus no gain or loss resulted. No cash was exchanged in these accounts payable settlements.

In August 2021, the Company issued an aggregate of 79,733 shares of common stock to settle accounts payable to third parties of $179,399, which approximates the fair value of the shares issued of $2.25 per share based on the most recent cash sales price of the Company's common stock, thus no gain or loss resulted. No cash was exchanged in these accounts payable settlements.

*Current Maturities, Notes Payable — Related Parties*

The current maturities of notes payable — related parties consist of the following:

---

| | | |
|:---|:---|:---|
|  | **September 30, <br>2022** | **June 30, <br>2022** |
|  Loan from Gavin Burnell, shareholder and former director of the Company, dated December 7, 2013, unsecured, bearing interest at 15% per annum, due December 31, 2022 | $224406 | $241779 |
|  Loan from Woodland Capital (controlled by Gavin Burnell) dated November 4, 2013, unsecured, bearing interest at 15%, due December 31, 2022. | 55850 | 60715 |
|  Total Notes payable – related parties | 278256 | 302494 |
|  Less Current maturities, notes payable – related parties | 278256 | 302494 |
|  Long-term notes payable – related parties | $— | $— |

---

Accrued interest on the above notes payable totalled $401,210 and $424,815 as of September 30, 2022 and June 30, 2022 and 2021, respectively. Interest expense for the above notes payable — related parties for the years ended September 30, 2022 and 2021 was $11,000 and $12,870, respectively. The accrued interest is due at maturity.

Aggregate current maturities of the related party notes payable as of September 30, 2022 are due in future fiscal years as follows:

---

| | |
|:---|:---|
| 2023 | $278256 |
|  | $278256 |

---

#### NOTE 6 — NOTES PAYABLE
*Note Payable — Bank (Bounce Back Loan Scheme)*

The Company received $61,795 (£50,000 GBP) related to a loan agreement dated June 19, 2020, with Coutts & Co. bank under the UK's Bounce Back Loan Scheme. The loan is unsecured, bears interest at 0% for the first 12 months and then 2.5% per annum thereafter, payable quarterly. The loan and any unpaid accrued interest is due in June 2026 and has balances of $11,170 and $29,469 in current and long-term liabilities, respectively, as of September 30, 2022, and balances of $12,143 and $35,368 in current and long-term liabilities, respectively, as of June 30, 2022.

Accrued interest on the note payable totalled $386 and $1,545 as of September 30, 2022 and June 30, 2022, respectively. Interest expense for the above notes payable for the three months ended September 30, 2022 and 2021 was $386 and $421, respectively.

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#### ELEPHANT OIL CORP.<br>NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

#### NOTE 6 — NOTES PAYABLE (cont.)
Aggregate maturities of the note payable — bank as of September 30, 2022 are due in future fiscal years as follows:

---

| | |
|:---|:---|
| 2023 | $7129 |
| 2024 | 11710 |
| 2025 | 11170 |
| 2026 | 11170 |
|  | $40639 |

---

*Notes Payable — Investors, net of Discounts*

On May 26, 2022, the Company entered into a convertible promissory note ("Dragon Note") with Dragon Dynamic Funds (see Note 7). The Dragon Note has a principal amount of $312,500, a purchase price of $250,000, an original issue discount of $62,500 and a maturity date of the earlier of i) August 2022 or ii) the date of the IPO. The Dragon Note was funded on June 1, 2022 and bears no interest except in the event of default; prepayments can be made in advance of the maturity date by paying 120% of the amounts owed. Upon the maturity date, the Dragon Note shall be convertible into common stock at a conversion price of 70% of the price of the common stock on the date of the IPO. The Dragon Note also has 25% warrant coverage, with the number of warrants to be issued equal to $78,125, as determined in the warrant agreement (See Note 2, Note 7). The Company issued warrants, which were valued using a Black-Scholes option-pricing model to estimate the fair value of the warrants at May 26, 2022, which is based on significant inputs not observable in the market representing a Level 3 measurement within the fair value hierarchy based on an exercise price of $4.65, an average term of 2.5 years, volatility of 70%, a dividend yield of 0% and a risk rate of 2.70, resulting in a fair value of $25,751. As of September 30, 2022, the fair value of the warrants liability was $19,657, resulting in a change in fair value of $6,094 from the prior period.

The Company also incurred debt issuance costs of $30,000 in connection with the issuance of the note and warrants. The values of the original issue discount, warrants and debt issuance costs are recorded as debt discounts and amortized into interest expense over the life of the note, which is 90 days. Additionally, per the Dragon Note, there are default contingencies regarding the interest rate and the original issue discount. If the IPO has not been completed or the note has not been repaid by the maturity date of August 26, 2022, interest will begin to accrue from the date of the lapse at a rate of 20% per annum and the original issue discount rate will increase from 20% to 30%. As of September 30, 2022, the Company has not completed its IPO or repaid the Dragon note; as such, the balances of the note payable was $364,087 with interest expense of $124,852 (which includes $6,944 and $44,643 for default interest and the increased original issue discount rate, respectively) for the three months ended September 30, 2022.

*Notes Payable — Individual Holder, Net of Discounts*

During July 2022, the Company entered into a convertible promissory note ("IH Note") with an individual holder. The IH Note has a principal amount of $437,500, a purchase price of $350,000, an original issue discount of $87,500 and a maturity date of the earlier of i) October 29, 2022 or ii) the date of the IPO and is convertible at the option of the holder, beginning upon the maturity date or the date of the IPO. If the holder chooses to convert, the IH Note will convert into shares of common stock and a number of warrants (collectively, Units) equal to the shares of common stock issued upon conversion. No warrants will be issued in the event of non-conversion. The conversion price shall equal 70% of the price of the Units on the date of the IPO, subject to stock splits, dividends or recapitalization. The warrants will expire on the five-year anniversary of the issue date.

The Company incurred debt issuance costs of $31,500 in connection with the issuance of the IH Note. The value of the original issue discount and debt issuance costs are recorded as debt discounts and amortized into interest expense over the life of the IH Note, which is 90 days. The IH Note bears no interest except in the event of default; prepayments can be made in advance of the maturity date by paying 120% of the amounts owed. In the event of default or the IPO has not been completed by the maturity date, the original issue discount will increase to 30% of the face value of the note. As of September 30, 2022, the balance of the IH Note Payable was $399,577 with interest expense of $81,077 for the period and a balance of $37,923 related to the remainder of the debt discounts.

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#### ELEPHANT OIL CORP.<br>NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

#### NOTE 7 — COMMITMENTS AND CONTINGENCIES
*Litigation*

From time to time, the Company is subject to various claims that arise in the ordinary course of business. Management believes that any liability of the Company that may arise out of or with respect to these matters will not materially adversely affect the financial position, results of operations, or cash flows of the Company.

*2022 Incentive Plan*

In February 2022, the Company adopted and approved the 2022 Incentive Plan. Under the 2022 Incentive Plan, the Company may (a) grant options to purchase common stock and (b) offer to sell and issue restricted shares of common stock (collectively, "Awards") to selected employees, officers, directors and consultants of the Company as an incentive to such eligible persons in order to attract and retain highly competent persons as directors, officers, key employees, consultants and independent contractors by providing them opportunities to acquire shares of common stock of the Company. The Company has reserved 1,890,596 shares of its common stock for issuance in connection with the 2022 Equity Incentive Plan.

*Stock Options*

As of September 30, 2022, there are 1,140,000 stock options granted, with no stock options vesting in full as of September 30, 2022, and vesting as follows: 50% of the shares underlying the options shall vest on the first and second anniversary of the option grant. There are 750,596 shares available for grant under the 2022 Equity Incentive Plan as of September 30, 2022.

Stock options outstanding at September 30, 2022 are as follows:

---

| | | |
|:---|:---|:---|
|  | **Number of<br>Options** | **Weighted- <br>average<br>Exercise<br>Price <br>per Share** |
|  Outstanding, July 1, 2022 | 650000 | $2.25 |
|  Granted | 490000 | 2.25 |
|  Expired |  |  |
|  Exercised |  |  |
|  Outstanding, September 30, 2022 | 1140000 | $2.25 |
|  Exercisable, September 30, 2022 |  | $— |

---

These options had a weighted average remaining life of 9.1 years and an aggregate intrinsic value of $0 as of September 30, 2022.

The fair value of the 1,140,000 stock options granted was $1,586,924, of which $457,594 was expensed during the period from inception through September 30, 2022, with unamortized stock compensation remaining as of September 30, 2022 of $1,129,330. The fair value was determined by using the Black-Scholes option-pricing model with the following assumptions for the grants of options: an exercise price of $2.25 per share, a dividend yield of 0%, expected terms ranging from between 5.32 years and 5.60 years, a volatility of 70% and risk-free rates ranging from between 1.93% and 3.45%.

*Employee Agreement — Lanre Oloniniyi*

On October 1, 2021, we executed a consulting agreement with Lanre Oloniniyi. Mr. Oloniniyi is responsible for the planning, managing, and implementation of all of our finance operations, reporting to the Chief Executive Officer. The consulting agreement included annualized compensation of $84,000, which we agreed to increase to $220,000 upon completion of our initial public offering and a grant of 200,000 options at an exercise price of $2.25 per option to purchase our Common Stock. The options vest fifty (50) percent on the first anniversary of the date of grant and fifty (50) percent

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#### ELEPHANT OIL CORP.<br>NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

#### NOTE 7 — COMMITMENTS AND CONTINGENCIES (cont.)
on the second anniversary, in all cases subject to continued provision of consulting services as of such vesting dates. The agreement was terminable on ten days written notice from either party. On June 20, 2022, concurrent with the execution of Mr. Oloniniyi's employment agreement as described below, we terminated the consulting agreement and agreed to continue the vesting of Mr. Oloniniyi's options upon his entering into the employment agreement.

On June 20, 2022, we entered into an employment agreement with Mr. Oloniniyi to serve as Chief Financial Officer of the Company. Mr. Oloniniyi's appointment shall continue until terminated by either party upon not less than 6 months' prior written notice. The agreement includes annualized compensation of $84,000, which will increase to $220,000 upon completion of our initial public offering and continues the vesting of Mr. Oloniniyi's grant of 200,000 options at an exercise price of $2.25 per option to purchase our Common Stock. The agreement also contains customary expense reimbursement, holiday pay, sick pay and termination provisions.

*Services Agreement — TraDigital Marketing Group*

On March 15, 2022, the Company executed a consulting agreement with TraDigital Marketing Group ("TMG") for strategic advisory and digital marketing services. The consulting agreement includes monthly compensation of $10,000 and additional quarterly compensation of $90,000. The Company will also pay TMG stock compensation of 100,000 common shares and the term of the agreement is for one year. As of March 15, 2022, the 100,000 shares were effectively issued at a price of $2.25 per share for an aggregate value of $225,000.

*Offering Agreement — Spartan Capital Securities, LLC.*

During May 2022, the Company entered into an agreement (the "Spartan Offering Agreement") whereby it will issue warrants to Spartan Capital Securities, LLC ("Spartan"), as representative of the underwriters, upon the closing of this offering, which entitle it to purchase up to 5% of the total number of shares of Common Stock being sold in this offering (the "Spartan Underwriter Warrants") (see Note 8 — Stockholder's Equity).

*Note Payable — Investors, net of Discounts*

On May 26, 2022, the Company entered into the Dragon Note (see Note 6), which has a principal amount of $312,500, a purchase price of $250,000, an original issue discount of $62,500 and a maturity date of the earlier of i) August 2022 or ii) the date of the IPO. Upon the maturity date, the Dragon Note shall be convertible into common stock at a conversion price of 70% of the price of the common stock on the date of the IPO. The Dragon Note also has 25% warrant coverage, with the number of warrants to be issued equal to $78,125 (see Note 2).

*Note Payable — Individual Holder, net of Discounts*

On July 30, 2022, the Company entered into the IH Note (see Note 6), which has a principal amount of $437,500, a purchase price of $350,000, an original issue discount of $87,500 and a maturity date of the earlier of i) October 29, 2022 or ii) the date of the IPO. Upon the earlier of the maturity date or the date of the IPO, the IH Note may be converted into common stock and a number of warrants equal to the number of shares of converted common stock (collectively, Units) at a conversion price of 70% of the price of the Units on the date of the IPO. No warrants will be issued in the event of non-conversion (see Note 2).

#### NOTE 8 — STOCKHOLDERS' EQUITY
The Company is authorized to issue an aggregate of 500,000,000 shares. The authorized capital stock is divided into: (i) 490,000,000 shares of Common Stock having a par value of $0.0001 per share and (ii) 10,000,000 shares of preferred stock having a par value of $0.0001 per share.

In June 2021, the Company entered into various subscription agreements in connection with its private placement (the "Offering") seeking to raise funds through the sale of shares of the Company's Common Stock at a price of $2.25 per share.

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#### ELEPHANT OIL CORP.<br>NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

#### NOTE 8 — STOCKHOLDERS' EQUITY (cont.)
In August 2021, the Company granted an aggregate of 79,733 shares of common stock with a fair value of $2.25 per share in satisfaction of an aggregate of $179,399 in accounts payable resulting in no gain or loss to various vendors (see Note 5 — Related Party Transactions).

In August 2021, the Company granted an aggregate of 291,334 shares of common stock with a fair value of $2.25 per share in satisfaction of an aggregate of $655,500 in accounts payable resulting in no gain or loss to related parties (see Note 5 — Related Party Transactions).

During March 2022, the Company effectively issued 100,000 shares of its $0.0001 par common stock to TMG for compensation for services at a price of $2.25 per share for an aggregate value of $225,000 (see Note 7 — Commitments and Contingencies).

During May 2022, the Company issued 63,955 shares of common stock with an aggregate fair value of $143,898 to a third party for services rendered. The fair value of the shares was recorded as compensation expense during the period ended June 30, 2022.

During the year ended June 30, 2022, the Company entered into subscription agreements with investors in connection with an offering of the Company's Common Stock at a price of $2.25 per share for a total of 342,667 shares for aggregate gross proceeds received of $737,400, net of transaction costs of $33,600 related to the offering.

*Proposed Public Offering*

The Company intends to offer for sale shares of its Common Stock (the "Proposed Public Offering"). The Company is currently in the final phase of the Proposed Public Offering.

*Underwriter Warrants — EF Hutton*

On June 15, 2021, the Company entered into an agreement (the "Offering Agreement") whereby it will issue warrants to EF Hutton, division of Benchmark Investments, LLC, as representative of the underwriters, upon the closing of this offering, which entitle it to purchase up to 5% of the total number of shares of Common Stock being sold in this offering (the "Underwriter Warrants"). The exercise price of the warrants is equal to 125% of the offering price of the Common Stock offered. The Underwriter Warrants will be exercisable at any time and from time to time, in whole or in part, during the four and a half-year period commencing six months from the effective date of the offering.

During May 2022, the Company and EF Hutton entered into a settlement agreement and release, whereby both parties mutually agreed to terminate the Offering Agreement signed on June 15, 2021. Neither party owes any obligations under such agreement and any individuals who were issued shares will execute the necessary documents to cancel these shares.

During May 2022, the Company entered into an agreement (the "Spartan Offering Agreement") whereby it will issue warrants to Spartan Capital Securities, LLC ("Spartan"), as representative of the underwriters, upon the closing of this offering, which entitle it to purchase up to 5% of the total number of shares of Common Stock being sold in this offering (the "Spartan Underwriter Warrants").

*Common Shares — EF Hutton*

On October 14, 2021, Elephant Oil signed an Advisory Agreement with EF Hutton, division of Benchmark Investments, LLC, pursuant to which EF Hutton will act as exclusive financial advisor to Elephant Oil, in connection with providing general financial advisory to Elephant Oil (the "Advisory Agreement"). In consideration of EF Hutton's services, Elephant Oil agreed to issue 4.99% of its common stock, computed as of the Advisory Agreement date, to certain individuals and an entity affiliated with EF Hutton as of the date of the Advisory Agreement, which totaled an aggregate of 588,854 common shares with a fair value of $1,324,921, or $2.25 per common share, issued on October 14, 2021.

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#### ELEPHANT OIL CORP.<br>NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

#### NOTE 8 — STOCKHOLDERS' EQUITY (cont.)
On May 11, 2022, the Company and EF Hutton entered into a settlement agreement and release, whereby both parties mutually agreed to terminate the Advisory Agreement signed on October 14, 2021. Neither party owes any obligations under such agreement and any individuals who were issued shares will execute the necessary documents to cancel these shares. The Company retired the 588,854 shares previously issued to EF Hutton in May 2022.

*Underwriter Warrants — Spartan Capital Securities, LLC.*

During May 2022, the Company entered into an agreement (the "Spartan Offering Agreement") whereby it will issue warrants to Spartan Capital Securities, LLC ("Spartan"), as representative of the underwriters, upon the closing of this offering, which entitle it to purchase up to 5% of the total number of shares of Common Stock being sold in this offering (the "Spartan Underwriter Warrants"). The exercise price of the warrants is equal to 110% of the offering price of the Common Stock offered. The Spartan Underwriter Warrants will be exercisable at any time and from time to time, in whole or in part, during the five-year period from the effective date of the offering. The Spartan Underwriter Warrants shall not be redeemable. The Spartan Underwriter Warrants may not be sold, transferred, assigned, pledged or hypothecated or be the subject of any hedging, short sale, derivative, put, or call transaction that would result in the effective economic disposition of the securities for a period of 360 days following the effective date of the Spartan Offering Agreement, except that they may be assigned, in whole or in part, to any officer or partner of the representative, and to members of the underwriting syndicate or selling group (or to officers or partners thereof), or as otherwise permitted, in compliance with FINRA Rule 5110(g)(2). The Spartan Underwriter Warrants will contain provisions for one demand registration of the sale of the underlying shares of Common Stock at our expense and unlimited "piggyback" registration rights for a period of five (5) years after the effective date of the registration statement for this offering at our expense.

#### NOTE 9 — SUBSEQUENT EVENTS
The Company has evaluated events and transactions subsequent to September 30, 2022, through the date the consolidated financial statements were issued. Except as noted below, there are no other subsequent events identified that would require disclosure in the consolidated financial statements.

*Production Sharing Agreement with Republic of Benin*

The Company believes that the new Production Sharing Agreement with the Republic of Benin will either a) be ratified by the government of Benin as it stands or b) be further negotiated to acceptable agreement terms if additional discussions are required. In the unlikely event that the Company and the government of Benin are unable to reach a mutually acceptable agreement, the Company may substantially reduce or abandon its exploration efforts in the Republic of Benin, which may result in an impairment of its investment in the Benin Production Sharing Agreement. As of September 30, 2022, the Company has $1,813,048 recorded in Oil and Gas properties — not subject to amortization which relates to the current Benin Production Sharing Agreement.

*Securities Purchase Agreement ("SPA")*

The Company entered into a SPA with an investor on December 16, 2022 for 20% original issue discount senior notes with an aggregate principal amount of $500,000, an aggregate subscription amount of $400,000 and incentive shares of the Company's common stock. The SPA has a maturity date of the earlier of i) April 16, 2023 or ii) the completion of the Company's IPO, and bears interest at a rate of 15% per annum, which will be waived in the event the IPO occurs on or before the maturity date. The SPA also provides for the issuance of incentive shares, the number of which will be equal to approximately 0.4106% of the issued shares of the Company, or 50,000 common shares as of the closing date of the SPA.

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#### Elephant Oil Corp.

#### Unit Each Consisting of One Share of Common Stock<br>and One Warrant to Purchase One Share of Common Stock

#### _________________

#### PROSPECTUS

#### _________________

#### SPARTAN CAPITAL SECURITIES, LLC
 **, 2022**

Through and including , 2022 (the 25<sup>th</sup> day after the date of this offering), all dealers effecting transactions in these securities, whether or not participating in this offering, may be required to deliver a prospectus. This is in addition to a dealer's obligation to deliver a prospectus when acting as an underwriter and with respect to an unsold allotment or subscription.

------

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#### PART II

#### INFORMATION NOT REQUIRED IN PROSPECTUS

#### Item 13. Other Expenses of Issuance and Distribution.
The following table indicates the expenses to be incurred in connection with the offering described in this registration statement, other than underwriting discounts and commissions, all of which will be paid by us. Included in the table are our actual deferred offering costs through September 30, 2022, as well as additional estimated amounts for legal, accounting and other filing fees. Certain amounts are not estimated including the SEC registration fee, the Financial Industry Regulatory Authority, Inc., or FINRA, filing fee and the Nasdaq listing fee.

---

| | |
|:---|:---|
|  | **Amount** |
|  SEC registration fee | $2823 |
|  FINRA filing fee | 1966 |
|  Initial listing fee | 95000 |
|  Accountants' fees and expenses | 849419 |
|  Legal fees and expenses | 1242949 |
|  Underwriter non-accountable expenses | 235000 |
|  Transfer agent's fees and expenses | 2186 |
|  Printing and Edgar expenses | 54454 |
|  Miscellaneous | 305694 |
|  Total expenses | $2789491 |

---

#### Item 14. Indemnification of Directors and Officers.
We are a Nevada corporation. The Nevada Revised Statutes and certain provisions of our second amended and restated bylaws under certain circumstances provide for indemnification of our officers, directors and controlling persons against liabilities which they may incur in such capacities. A summary of the circumstances in which such indemnification is provided for is contained herein, but this description is qualified in its entirety by reference to our second amended and restated bylaws and to the statutory provisions.

In general, any officer, director, employee or agent may be indemnified against expenses, fines, settlements or judgments arising in connection with a legal proceeding to which such person is a party, if that person's actions were in good faith, were believed to be in our best interest, and were not a result of intentional misconduct, fraud or a knowing violation of law. Unless such person is successful upon the merits in such an action, indemnification may be awarded only after a determination by independent decision of our board of directors, by legal counsel, or by a vote of our stockholders, that the applicable standard of conduct was met by the person to be indemnified.

The circumstances under which indemnification is granted in connection with an action brought on our behalf is generally the same as those set forth above; however, with respect to such actions, indemnification is granted only with respect to expenses actually incurred in connection with the defense or settlement of the action. In such actions, the person to be indemnified must have acted in good faith and in a manner believed to have been in our best interest, and have not been adjudged liable for intentional misconduct, fraud or a knowing violation of law.

Indemnification may also be granted pursuant to the terms of agreements that may be entered in the future or pursuant to a vote of stockholders or directors. The Nevada Revised Statutes also grant us the power to purchase and maintain insurance, which protects our officers and directors against any liabilities incurred in connection with their service in such a position, and such a policy may be obtained by us.

To the maximum extent permitted by law, our articles of incorporation eliminate or limit the liability of our directors to us or our shareholders for monetary damages for breach of a director's fiduciary duty as a director.

We intend to enter into separate indemnification agreements with our directors and officers. Each indemnification agreement will generally provide, among other things, for indemnification to the fullest extent permitted by law and our articles of incorporation and amended and restated bylaws against any and all expenses, judgments, fines, penalties

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and amounts paid in settlement of any claim. The indemnification agreements will provide for the advancement or payment of all expenses to the indemnitee and for reimbursement to us if it is found that such indemnitee is not entitled to such indemnification under applicable law and our articles of incorporation and amended and restated bylaws.

We are in the process of obtaining standard policies of insurance under which coverage is provided (a) to our directors and officers against loss rising from claims made by reason of breach of duty or other wrongful act, and (b) to us with respect to payments that we may make to such officers and directors pursuant to the above indemnification provision or otherwise as a matter of law.

The underwriting agreement, filed as Exhibit 1.1 to this registration statement, will provide for indemnification, under certain circumstances, by the underwriters of us and our officers and directors for certain liabilities arising under the Securities Act or otherwise.

Insofar as indemnification for liabilities arising under the Securities Act may be permitted to directors, officers or persons controlling us under the foregoing provisions, we have been informed that in the opinion of the SEC such indemnification is against public policy as expressed in the Securities Act and is therefore unenforceable.

#### Item 15. Recent Sales of Unregistered Securities.
Set forth below is information regarding unregistered securities issued by us within the past three years. Also included is the consideration received by us for such unregistered securities and information relating to the section of the Securities Act, or rule of the SEC, under which exemption from registration was claimed.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. In June 2021, the Company entered into various subscription agreements in connection with its private placement (the "June 2021 Offering") seeking to raise funds through the sale of shares of the Company's Common Stock at a price of $2.25 per share. In June 2021, the Company issued a total of 244,444 shares for aggregate proceeds received of approximately $522,000 related to the June 2021 Offering.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. From July 2021 through June 2022, the Company entered into additional subscription agreements in connection with the offering of the Company's Common Stock at a price of $2.25 per share for a total of 342,667 shares for aggregate gross proceeds received of approximately $737,400.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. In August 2021, the Company entered into various settlement agreements with several vendors and related parties, which pursuant to which the Company granted an aggregate of 371,067 shares of Common Stock with a fair value of $2.25 per share in satisfaction of an aggregate of approximately $830,300 in accounts payable resulting in no gain or loss.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. In December 2022, the Company the Company issued a total of 50,000 shares of Common Stock in connection with the December 2022 SPA.

The offer and sale of all securities listed in this item 15 was made to a limited number of accredited investors and qualified institutional buyers in reliance upon exemptions from the registration requirements pursuant to Section 4(a)(2) under the Securities Act and Regulation D promulgated under the Securities Act. Individuals who purchased securities as described above represented their intention to acquire the securities for investment only and not with a view to or for sale in connection with any distribution thereof, and appropriate legends were affixed to the share certificates issued in such transactions.

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#### Item 16. Exhibits and Financial Statement Schedules.
(a) Exhibits.

---

| | |
|:---|:---|
|  **Exhibit <br>Number** | **<br>Description of Exhibit** |
|  1.1\*\* | [Form of Underwriting Agreement](http://www.sec.gov/Archives/edgar/data/1865833/000121390022080943/fs12022a5ex1-1_elephantoil.htm) |
|  3.1\*\* | [Articles of Incorporation of Elephant Oil Corp.](http://www.sec.gov/Archives/edgar/data/1865833/000121390022047008/fs12022a1ex3-1_elephant.htm) |
|  3.2\*\* | [Bylaws of Elephant Oil Corp.](http://www.sec.gov/Archives/edgar/data/1865833/000121390022047008/fs12022a1ex3-2_elephant.htm) |
|  3.3\*\* | [Amended and Restated Bylaws of Elephant Oil Corp.](http://www.sec.gov/Archives/edgar/data/1865833/000121390022047008/fs12022a1ex3-3_elephant.htm) |
|  3.4\*\* | [Second Amended and Restated Bylaws of Elephant Oil Corp.](http://www.sec.gov/Archives/edgar/data/1865833/000121390022047008/fs12022a1ex3-4_elephant.htm) |
|  4.1\*\* | [Specimen Common Stock Certificate evidencing the shares of Common Stock](http://www.sec.gov/Archives/edgar/data/1865833/000121390022047008/fs12022a1ex4-1_elephant.htm) |
|  4.2\*\* | [Form of Representative's Warrant](http://www.sec.gov/Archives/edgar/data/1865833/000121390022047008/fs12022a1ex4-2_elephant.htm) |
|  4.3\*\* | [Warrant Agent Agreement](http://www.sec.gov/Archives/edgar/data/1865833/000121390022047008/fs12022a1ex4-3_elephant.htm) |
|  4.4\*\* | [Form of Investor Warrant](http://www.sec.gov/Archives/edgar/data/1865833/000121390022077776/fs12022a4ex4-4_elephantoil.htm) |
|  5.1\*\* | [Opinion of Sherman & Howard L.L.C.](http://www.sec.gov/Archives/edgar/data/1865833/000121390022077776/fs12022a4ex5-1_elephantoil.htm) |
|  5.2\*\* | [Opinion of McDermott Will & Emery LLP](http://www.sec.gov/Archives/edgar/data/1865833/000121390022047008/fs12022a1ex5-2_elephant.htm) |
|  10.1\*\* | [Petroleum Agreement, dated August 23, 2021, by and among Elephant Oil Ltd., The Government of the Republic of Namibia, Niikela Elporation (PTY) Ltd., and Namcor E&P Exploration and Production (PTY) Ltd](http://www.sec.gov/Archives/edgar/data/1865833/000121390022063631/fs12022a2ex10-1_elephantoil.htm) |
|  10.2\*\* | [Production Sharing Contract, dated October 5, 2013, by and among Elephant Oil Ltd., and the Government of the Republic of Benin.](http://www.sec.gov/Archives/edgar/data/1865833/000121390022063631/fs12022a2ex10-2_elephantoil.htm) |
|  10.3\*\* | [Form of Indemnification Agreement](http://www.sec.gov/Archives/edgar/data/1865833/000121390022047008/fs12022a1ex10-3_elephant.htm) |
|  10.4\*\* | [Employment Agreement between Elephant Oil Corp. and Matthew Lofgran](http://www.sec.gov/Archives/edgar/data/1865833/000121390022015244/fs12022ex10-4_elephantoil.htm) |
|  10.5\*\* | [Employment Agreement between Elephant Oil Corp. and Lanre Oloniniyi](http://www.sec.gov/Archives/edgar/data/1865833/000121390022047008/fs12022a1ex10-5_elephant.htm) |
|  10.6\*\* | [Convertible Promissory Note with Dragon Dynamic Funds](http://www.sec.gov/Archives/edgar/data/1865833/000121390022063631/fs12022a2ex10-6_elephantoil.htm) |
|  10.7\*\* | [Convertible Promissory note with John Bolitho](http://www.sec.gov/Archives/edgar/data/1865833/000121390022063631/fs12022a2ex10-7_elephantoil.htm) |
|  10.8\* | [Securities Purchase Agreement with 622 Capital LLC](fs12023a6ex10-8_elephantoil.htm) |
|  10.9\* | [Original Issue Discount Senior Note (included in exhibit 10.8)](fs12023a6ex10-8_elephantoil.htm) |
|  16.1\*\* | [2022 Incentive Plan](http://www.sec.gov/Archives/edgar/data/1865833/000121390022015244/fs12022ex16-1_elephantoil.htm) |
|  16.2\*\* | [Letter from Marcum LLP to the Securities Exchange Commission dated December 12, 2022](http://www.sec.gov/Archives/edgar/data/1865833/000121390022080943/fs12022a5ex16-2_elephantoil.htm) |
|  21.1\*\* | [Subsidiaries of the Registrant](http://www.sec.gov/Archives/edgar/data/1865833/000121390022015244/fs12022ex21-1_elephantoil.htm) |
|  23.1\* | [<u>Consent of Independent Registered Public Accounting Firm (BF Borgers CPA PC)</u>](fs12023a6ex23-1_elephantoil.htm) |
|  23.2\*\* | [Consent of Sherman & Howard L.L.C. (included in Exhibit 5.1)](http://www.sec.gov/Archives/edgar/data/1865833/000121390022077776/fs12022a4ex5-1_elephantoil.htm) |
|  23.3\*\* | [Consent of RISC (UK) Limited](http://www.sec.gov/Archives/edgar/data/1865833/000121390022063631/fs12022a2ex23-3_elephantoil.htm) |
|  24.1\*\* | [Power of Attorney](http://www.sec.gov/Archives/edgar/data/1865833/000121390022015244/fs12022_elephantoil.htm#T1013) |
|  99.1\*\*# | [July 2018 Letter from the Ministry of Water and Mines of Benin](http://www.sec.gov/Archives/edgar/data/1865833/000121390022077776/fs12022a4ex99-1_elephantoil.htm) |
|  107\*\* | [Filing Fee Table](http://www.sec.gov/Archives/edgar/data/1865833/000121390022077776/fs12022a4ex-fee_elephantoil.htm) |

---

____________

\* Filed herewith.

\*\* Previously Filed.

# English translation of original French document.

(b) Financial Statement Schedules. Schedules not listed above have been omitted because the information required to be set forth therein is not applicable or is shown in the financial statements or notes thereto.

#### Item 17. Undertakings.
The undersigned registrant hereby undertakes to provide to the underwriter, at the closing specified in the underwriting agreement, certificates in such denominations and registered in such names as required by the underwriter to permit prompt delivery to each purchaser.

Insofar as indemnification for liabilities arising under the Securities Act may be permitted to directors, officers and controlling persons of the registrant pursuant to the foregoing provisions, or otherwise, the registrant has been advised that in the opinion of the SEC such indemnification is against public policy as expressed in the Securities

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Act and is, therefore, unenforceable. In the event that a claim for indemnification against such liabilities (other than the payment by the registrant of expenses incurred or paid by a director, officer or controlling person of the registrant in the successful defense of any action, suit or proceeding) is asserted by such director, officer or controlling person in connection with the securities being registered, the registrant will, unless in the opinion of its counsel the matter has been settled by controlling precedent, submit to a court of appropriate jurisdiction the question whether such indemnification by it is against public policy as expressed in the Securities Act and will be governed by the final adjudication of such issue.

The undersigned hereby undertakes that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) For purposes of determining any liability under the Securities Act, the information omitted from the form of prospectus filed as part of this registration statement in reliance upon Rule 430A and contained in a form of prospectus filed by the registrant pursuant to Rule 424(b)(1) or (4) or 497(h) under the Securities Act shall be deemed to be part of this registration statement as of the time it was declared effective.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) For the purpose of determining any liability under the Securities Act, each post-effective amendment that contains a form of prospectus shall be deemed to be a new registration statement relating to the securities offered therein, and the offering of such securities at that time shall be deemed to be the initial bona fide offering thereof.

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#### SIGNATURES
Pursuant to the requirements of the Securities Act, the registrant has duly caused this registration statement to be signed on its behalf by the undersigned, thereunto duly authorized in the City of Houston, State of Texas, on this 6<sup>th</sup> day of January, 2023.

---

| | |
|:---|:---|
|  **ELEPHANT OIL CORP.** | **ELEPHANT OIL CORP.** |
|  By: | */s/ Matthew Lofgran* |
|  | Matthew Lofgran |
|  | Chief Executive Officer |

---

**Pursuant to the requirements of the Securities Act of 1933, this registration statement has been signed by the following persons in the capacities held on the dates indicated.**

---

| | | |
|:---|:---|:---|
|  **Signature** | **Title** | **Date** |
|  */s/ Matthew Lofgran* | Chief Executive Officer | January 6, 2023 |
|  Matthew Lofgran | (principal executive officer) |  |
|  */s/ Lanre Oloniniyi* | Chief Financial Officer | January 6, 2023 |
|  Lanre Oloniniyi | (principal financial and accounting officer) |  |
|  *\** | Director | January 6, 2023 |
|  Dr. Stephen Staley |  |  |
|  *\** | Director | January 6, 2023 |
|  David Blanchard |  |  |
|  *\** | Director | January 6, 2023 |
|  Peter Elliott |  |  |
|  *\** | Director | January 6, 2023 |
|  Frank Ingriselli |  |  |

---

---

| | |
|:---|:---|
|  \*By: | */s/ Matthew Lofgran* |
|  | Name: Matthew Lofgran |
|  | Title: Attorney-in-Fact |

---

## Exhibit 10.8

**Exhibit 10.8**

**SECURITIES PURCHASE AGREEMENT**

This Securities Purchase Agreement (this "<u>Agreement</u>") is dated as of December 16, 2022 between Elephant Oil Corp., a Nevada corporation (the "<u>Company</u>"), and each purchaser identified on the ***<u>Annex A</u>*** hereto (each, including its successors and assigns, an "<u>Investor</u>" or "<u>Holder</u>") and collectively, the "<u>Investors</u>").

**WHEREAS,** the Investors wish to purchase from the Company, and the Company wishes to sell and issue to the Investors: (i) 20% original issue discount senior notes in the form of <u>Appendix B</u> hereto (each, a "**Note**" and collectively, the "**Notes"**) in an aggregate principal amount of up to $500,000 (and, accordingly, an aggregate Subscription Amount of $400,000) (the "**Maximum Amount**"), and (ii) shares of Common Stock, determined as provided in section 2.02(b)(iii) (collectively, "**Incentive Shares**"), all subject to the terms and conditions therein contained;

**WHEREAS**, Spartan Capital Securities, LLC ("**Placement Agent**") is acting as the exclusive placement agent for the offering of Notes and Incentive Shares contemplated by this Agreement ("**Offering**"); and

**WHEREAS**, the Company and Investors are executing and delivering this Agreement in reliance upon an exemption from securities registration requirements of the Securities Act of 1933, as amended, afforded by the provisions of Section 4(a)(2) and/or Rule 506(b) of Regulation D promulgated thereunder by the U.S. Securities and Exchange Commission.

**NOW, THEREFORE**, in consideration of the mutual covenants contained in this Agreement, and for other good and valuable consideration, the receipt and adequacy of which are hereby acknowledged, the Company and each Investor agree as follows:

**<u>ARTICLE I</u><br> DEFINITIONS**

Section 1.01. <u>Definitions</u>. In addition to the terms defined elsewhere in this Agreement: (a) capitalized terms that are not otherwise defined herein have the meanings given to such terms in the Notes (as defined herein), and (b) the following terms have the meanings set forth in this Agreement.

"<u>$</u>" or "<u>USD</u>" means United States Dollars.

"<u>Action</u>" shall have the meaning ascribed to such term in <u>Section 3.01(j)</u>.

"<u>Affiliate</u>" means any Person that, directly or indirectly through one or more intermediaries, controls or is controlled by or is under common control with a Person, as such terms are used in and construed under Rule 405 under the Securities Act.

"<u>Board of Directors</u>" means the board of directors of the Company.

"<u>Business Day</u>" means any day except Saturday, Sunday, any day which is a federal legal holiday in the United States or any day on which banking institutions in the State of New York are authorized or required by law or other governmental action to close. If the last or appointed day for the taking of any action or the expiration of any right required or granted herein shall not be a Business Day, then such action may be taken or such right may be exercised on the next succeeding Business Day.

"<u>Closing</u>" means the closing of the purchase and sale of the Securities pursuant to <u>Section 2.01</u>.

***SECURITIES PURCHASE AGREEMENT***

"<u>Closing Date</u>" means for any Securities, the Business Day when all of the Transaction Documents for such Securities have been executed and delivered by the applicable parties thereto, and the conditions precedent to: (i) the applicable Investors' obligations to pay the Subscription Amount and (ii) the Company's obligations to deliver such Securities (in each case) have been satisfied or waived.

"<u>Commission</u>" means the United States Securities and Exchange Commission.

"<u>Common Stock</u>" means the common stock, par value $0.0001 per share, of the Company, and any other class of securities into which such securities may hereafter be reclassified or changed.

"<u>Common Stock Equivalent</u>" means any convertible security or warrant, option or other right to subscribe for or purchase any additional shares of Common Stock (or any such convertible security, warrant or other right).

"<u>Confidential Investor Questionnaire</u>" means the Confidential Investor Questionnaire attached as **<u>Appendix A</u>** hereto.

"<u>Exchange Act</u>" means the Securities Exchange Act of 1934, as amended, and the rules and regulations promulgated thereunder.

"<u>FINRA</u>" means the Financial Industry Regulatory Authority.

"<u>GAAP</u>" shall have the meaning ascribed to such term in <u>Section 3.01(h)</u>.

"<u>Intellectual Property Rights</u>" shall have the meaning ascribed to such term in Section 3.01(o).

"<u>Legend Removal Date</u>" shall have the meaning ascribed to such term in <u>Section 4.01(c)</u>.

"<u>Liens</u>" shall mean a lien, charge, security interest, encumbrance, right of first refusal, preemptive right or other restriction.

"<u>Liquidity Event</u>" has the meaning provided in the Notes.

"<u>Material Adverse Effect</u>" shall have the meaning ascribed to such term in <u>Section 3.01(b)</u>.

"<u>Material Permits</u>" shall have the meaning ascribed to such term in <u>Section 3.01(l)</u>.

"<u>Notes</u>" means the 20% original issue discount senior notes issued by the Company to the Investors hereunder, in the form of **<u>Appendix B</u>** attached hereto.

"<u>Person</u>" means an individual or corporation, partnership, trust, incorporated or unincorporated association, joint venture, limited liability company, joint stock company, government (or an agency or subdivision thereof) or other entity of any kind.

"<u>Placement Agent</u>" has the meaning ascribed to such term in the recitals hereof.

"<u>Proceeding</u>" means an action, claim, suit, investigation or proceeding (including, without limitation, an informal investigation or partial proceeding, such as a deposition), whether commenced or threatened.

"<u>Required Approvals</u>" shall have the meaning ascribed to such term in <u>Section 3.01(e)</u>.

***SECURITIES PURCHASE AGREEMENT***

"<u>Rule 144</u>" means Rule 144 promulgated by the Commission pursuant to the Securities Act, as such Rule may be amended from time to time, or any similar rule or regulation hereafter adopted by the Commission having substantially the same effect as such Rule.

"<u>Securities</u>" means the Notes and the Incentive Shares.

"<u>Securities Act</u>" means the Securities Act of 1933, as amended, and the rules and regulations promulgated thereunder.

"<u>State Securities Laws</u>" means the securities ("blue sky") rules, regulations, or other similar laws of a particular state.

"<u>Subscription Amount</u>" means, as to each Investor, the aggregate amount to be paid for Securities purchased hereunder as specified below such Investor's name on the signature page of this Agreement and next to the heading "Aggregate Subscription Amount," in United States Dollars and in immediately available funds.

"<u>Subsidiary</u>" means any subsidiary of the Company as set forth on Section 3.01(a) and shall, where applicable, include any direct or indirect subsidiary of the Company formed or acquired after the date hereof.

"<u>Termination Date</u>" means a date determined by the Company.

"<u>Trading Market</u>" means any of the following markets or exchanges on which the Common Stock is listed or quoted for trading on the date in question: the New York Stock Exchange, the NYSE American, the Nasdaq Capital Market, the Nasdaq Global Market or the Nasdaq Global Select Market (or any successors to any of the foregoing).

"<u>Transaction Documents</u>" means this Agreement and the Notes, and all appendices, exhibits and schedules hereto and thereto and any other documents or agreements executed in connection with the transactions contemplated hereunder.

**<u>ARTICLE II</u><br> PURCHASE AND SALE**

Section 2.01 <u>Closing</u>. On the Closing Date, upon the terms and subject to the conditions set forth herein, substantially concurrent with the execution and delivery of this Agreement by the parties hereto, the Company agrees to sell, and the Investors, severally and not jointly, agree to purchase, the Securities up to the Maximum Amount. At the Closing, the Investors shall deliver, via wire transfer, immediately available funds equal to the Investors' aggregate Subscription Amounts to the Company and the Company shall deliver to each Investor its Note and Incentive Shares. The Company and each Investor shall deliver the other items set forth in <u>Section 2.02</u> deliverable at the Closing. Upon satisfaction of the conditions set forth in <u>Section 2.02</u> and <u>Section 2.03</u>, the Closing shall occur at the offices of the Placement Agent's counsel, or such other location as the parties shall mutually agree or may be closed remotely by electronic delivery of documents. The Company may conduct multiple closings for the sale of the Securities until it has received the Maximum Amount. The Closing Date for any Securities shall be the date indicated on the applicable Investor signature pages attached hereto and the final Closing Date shall be no later than the Termination Date.

***SECURITIES PURCHASE AGREEMENT***

Section 2.02 <u>Closing Deliverables</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>By Each Investor</u>. On or prior to the Closing Date, each Investor shall deliver or cause to be delivered to the Company the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) this Agreement, including a fully completed  **<u>Annex A</u>** attached hereto, duly executed by such
Investor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) such Investor's Subscription Amount by wire transfer to Placement Agent's counsel pursuant
to the wiring instructions set forth in <u>Section 2.03(c)</u>; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) a duly completed and signed Confidential Investor Questionnaire, a copy of which is attached hereto as  **<u>Appendix A</u>** .

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>By the Company</u>. On or prior to the Closing Date, the Company shall deliver or cause to be delivered to each Investor the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) this Agreement, duly executed by an authorized officer of behalf of the Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) a Note, the form of which is attached hereto as  **<u>Appendix B</u>** , with an original principal amount
equal to 120% of such Investor's Subscription Amount, registered in the name of such Investor, or its designee, duly executed by
an authorized officer of behalf of the Company;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) a Company Common Stock certificate or transfer agent statement, registered in the name of such Investor
equal to approximately 0.4106% of the issued shares of the Company (currently 50,000 shares of the Company's common stock). Investor
shall receive anti-dilution protection through the closing date of he Company's initial public offering so that Investor shall have
a total of 0.4106% of the Company's fully diluted shares outstanding at that time. Any additional issues shares due Investor shall
be issued to the transfer agent within one (1) business day after the close of the Company's initial public offering; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) an officer's certificate of the Company certifying the Company's: (A) certified charter (or
similar formation document); (B) good standing certificate in its state of incorporation (or formation); (C) bylaws (or similar governing
document); and (D) resolutions of its Board of Directors (or similar governing body) approving and authorizing the execution, delivery
and performance of the Transaction Documents and the transactions contemplated thereby.

Section 2.03 <u>Closing Conditions</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The obligations of the Company hereunder in connection with the Closing are subject to the following conditions being met:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the accuracy in all material respects on the Closing Date of each Investor's representations and
warranties contained herein;

***SECURITIES PURCHASE AGREEMENT***

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) all obligations, covenants and agreements of each Investor required to be performed at or prior to the
Closing Date shall have been performed; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the delivery by each Investor of the items set forth in <u>Section 2.02(a)</u> of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The respective obligations of the Investors hereunder in connection with the Closing are subject to the following conditions being met (it being understood that the Investors may waive any of the conditions for any Closing hereafter):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the accuracy in all material respects (or, to the extent representations or warranties are qualified by
materiality or Material Adverse Effect, in all respects) when made and on the Closing Date of the representations and warranties of the
Company contained herein (unless as of a specific date therein in which case they shall be accurate as of such date);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) all obligations, covenants and agreements of the Company required to be performed at or prior to the Closing
Date shall have been performed;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the delivery by the Company of the items set forth in <u>Section 2.02(b)</u> of this Agreement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) there shall have been no Material Adverse Effect with respect to the Company since the date hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (c) The wiring instructions for counsel of the Investor are as follows:

---

| | |
|:---|:---|
| Bank Name: | Signature Bank |
|  | 565 Fifth Avenue |
|  | New York, New York 10017 |
| Routing No.: | 026013576 |
| Account No.: | 1504595478 |
| Account Title: | Carmel, Milazzo & Feil LLP Escrow Account |
| Swift Code:\* | SIGNUS33 |
| (\*International only) | (\*International only) |

---

**<u>ARTICLE III</u><br> REPRESENTATIONS AND WARRANTIES**

Section 3.01 <u>Representations and Warranties of the Company</u>. The Company hereby makes the following representations and warranties to each Investor as of the date hereof:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Subsidiaries</u>. The Company does not have any Subsidiaries other than: (i) Elephant Oil Limited (UK) and Elephant Oil Benin SA (Benin).

***SECURITIES PURCHASE AGREEMENT***

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Organization and Qualification</u>. The Company is an entity duly incorporated or otherwise organized, validly existing and in good standing under the laws of the State of Nevada, with the requisite power and authority to own and use its properties and assets and to carry on its business as currently conducted. The Company is not in violation or default of any of the provisions of its articles of incorporation or bylaws, each, as amended and in effect. A complete and correct copy of the Company's certificate or articles of incorporation and bylaws, each as amended and in effect on the date of this Agreement and as they will be in effect on the Closing Date, is attached to the officer's certificate referenced in section 2.02(a)(iv). There are no other organizational or charter documents of the Company. Each Subsidiary is an entity duly incorporated or otherwise organized, validly existing and in good standing under the laws of its jurisdiction of incorporation or organization, has the requisite power and authority to own and use its properties and assets and to carry on its business as currently conducted. The Company and each Subsidiary is duly qualified to conduct business and is in good standing as a foreign corporation or other entity in each jurisdiction in which the nature of the business conducted or property owned by it makes such qualification necessary, except where the failure to be so qualified or in good standing, as the case may be, could not have or reasonably be expected to result in: (i) a material adverse effect on the legality, validity or enforceability of any Transaction Document; (ii) a material adverse effect on the results of operations, assets, business, prospects or condition (financial or otherwise) of the Company and its Subsidiaries, taken as a whole, or any of its material assets or lines of business, individually; or (iii) a material adverse effect on the Company's ability to perform in any material respect on a timely basis its obligations under any Transaction Document (any of (i), (ii) or (iii), a "**Material Adverse Effect**") and no Proceeding has been instituted in any such jurisdiction revoking, limiting or curtailing or seeking to revoke, limit or curtail such power and authority or qualification.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Authorization; Enforcement</u>. The Company has the requisite corporate power and authority to enter into and to consummate the transactions contemplated by each of the Transaction Documents and otherwise to carry out its obligations hereunder and thereunder. The execution and delivery of each of the Transaction Documents by the Company and the consummation by it of the transactions contemplated hereby and thereby have been duly authorized by all necessary action on the part of the Company and no further action is required by the Company, the Board of Directors or the Company's stockholders in connection therewith other than in connection with the Required Approvals. Each Transaction Document to which it is a party has been (or upon delivery will have been) duly executed by the Company and, when delivered in accordance with the terms hereof and thereof, will constitute the valid and binding obligation of the Company enforceable against the Company in accordance with its terms, except: (i) as limited by general equitable principles and applicable bankruptcy, insolvency, reorganization, moratorium and other laws of general application affecting enforcement of creditors' rights generally; (ii) as limited by laws relating to the availability of specific performance, injunctive relief or other equitable remedies; and (iii) insofar as indemnification and contribution provisions may be limited by applicable law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>No Conflicts</u>. The execution, delivery and performance by the Company of the Transaction Documents to which it is a party, the issuance and sale of the Securities hereunder and the consummation by the Company of the other transactions contemplated hereby and thereby do not and will not: (i) conflict with or violate any provision of the Company's certificate of incorporation, bylaws or other organizational or charter documents; (ii) conflict with, or constitute a default (or an event that with notice or lapse of time or both would become a default) under, result in the creation of any Lien upon any of the properties or assets of the Company or any Subsidiary (other than the Liens granted under the Security Agreement), or give to others any rights of termination, amendment, acceleration or cancellation (with or without notice, lapse of time or both) of, any agreement, credit facility, debt or other instrument (evidencing a Company or Subsidiary debt or otherwise) or other understanding to which the Company or any Subsidiary is a party or by which any property or asset of the Company or any Subsidiary is bound or affected; or (iii) subject to the Required Approvals, conflict with or result in a violation of any law, rule, regulation, order, judgment, injunction, decree or other restriction of any court or governmental authority to which the Company or any Subsidiary is subject (including federal and State Securities Laws and regulations), or by which any property or asset of the Company or any Subsidiary is bound or affected; except in the case of each of clause (ii), such as could not have or reasonably be expected to result in a Material Adverse Effect.

***SECURITIES PURCHASE AGREEMENT***

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Filings, Consents and Approvals</u>. The Company is not required to obtain any consent, waiver, authorization or order of, give any notice to, or make any filing or <u>registration</u> with, any court or other federal, state, local or other governmental authority or other Person in connection with the execution, delivery and performance by the Company of the Transaction Documents, other than: (i) such consents, waivers, or authorizations as have been obtained before the Closing; and (ii) the filing of Form D with the Commission and such filings as are required to be made under applicable State Securities Laws (collectively, the "**Required Approvals**").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <u>Issuance of the Securities</u>. The Securities are duly authorized and, when issued and/or paid for in accordance with the applicable Transaction Documents, will be duly and validly issued, fully paid and nonassessable, free and clear of all Liens other than restrictions on transfer provided for in the Transaction Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) <u>Capitalization</u>. The Company has authorized: (A) 490,000,000 shares of Common Stock, par value $0.0001 per share, of which 12,178,411 shares are issued and outstanding, (B) 10,000,000 of undesignated preferred stock, par value $0.0001 per share, of which zero (0) shares are issued and outstanding. Other than such Preferred Stock and pursuant to the Company's equity incentive plan, there are no outstanding options (other than pursuant to the Company's equity incentive plan), warrants, script rights to subscribe to, calls or commitments of any character whatsoever relating to, or securities, rights or obligations convertible into or exercisable or exchangeable for, or giving any person any right to subscribe for or acquire, any shares of Common Stock, or contracts, commitments, understandings or arrangements by which the Company is or may become bound to issue additional shares of Common Stock, or securities or rights convertible or exchangeable into shares of Common Stock. No Person has any right of first refusal, preemptive right, right of participation, or any similar right to participate in the transactions contemplated by the Transaction Documents except for such, if any, as will have been validly waived before the Closing. The issuance and sale of the Securities will not obligate the Company to issue shares of Common Stock or other securities to any Person (other than the Investors) and will not result in a right of any holder of Company securities to adjust the exercise, conversion, exchange or reset price under any of such securities. All of the issued and outstanding shares of capital stock of the Subsidiaries is owned by the Company or another Subsidiary, and there are no outstanding options, warrants, script rights to subscribe to, calls or commitments of any character whatsoever relating to, or securities, rights or obligations convertible into or exercisable or exchangeable for, or giving any person any right to subscribe for or acquire, any shares of capital stock, or contracts, commitments, understandings or arrangements by which any Subsidiary is or may become bound to issue additional shares of capital stock, or securities or rights convertible or exchangeable into shares of capital stock. All of the outstanding shares of capital stock of the Company and Subsidiaries are validly issued, fully paid and nonassessable, have been issued in compliance with all federal law and State Securities Laws, and none of such outstanding shares was issued in violation of any preemptive rights or similar rights to subscribe for or purchase securities. No further approval or authorization of any stockholder, the Board of Directors or others is required for the issuance and sale of the Securities, except for such approvals as have been obtained prior to Closing. There are no stockholders' agreements, voting agreements or voting trusts, investor rights agreements, rights of first refusal, preemptive rights, co-sale agreements, drag-along agreements, transfer restrictions or other similar agreements with respect to the Company's or any Subsidiary's capital stock to which the Company or any Subsidiary is a party or, to the knowledge of the Company, between or among any of the Company's stockholders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) <u>Financial Statements</u>. The financial statements of the Company and its consolidated Subsidiaries made available to the Placement Agent and Investors prior to the date hereof have been prepared in accordance with United States generally accepted accounting principles applied on a consistent basis during the periods involved ("**GAAP**"), except as may be otherwise specified in such financial statements or the notes thereto, and fairly present in all material respects the financial position of the Company and its consolidated Subsidiaries as of and for the dates thereof and the results of operations and cash flows for the periods then ended, subject, in the case of unaudited statements, to normal, immaterial, year-end audit adjustments.

***SECURITIES PURCHASE AGREEMENT***

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) <u>Undisclosed Liabilities</u>. The Company and its Subsidiaries have no liability, indebtedness, obligation, expense, claim, deficiency or guaranty of any type, whether accrued, absolute, contingent, matured, unmatured or otherwise, required to be reflected in financial statements in accordance with GAAP, which individually or in the aggregate: (A) has not been reflected in the latest balance sheet included in the financial statements referenced hereinabove; or (B) has not arisen: (i) in the ordinary course of business, consistent with past practices, since the date of the latest balance sheet included in such financial statements in an amount that does not exceed $25,000 in any one case or $50,000 in the aggregate, (ii) pursuant to or in connection with this Agreement or other Transaction Document, or (c) are executory performance obligations to be performed after the date hereof in the ordinary course of business pursuant to agreement(s) entered into in the ordinary course of business, consistent with past practices.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) <u>Material Changes</u>. Since the date of the latest financial statements made available to the Placement Agent and Investors prior to the date hereof: (A) there has been no event, occurrence or development that has had or that could reasonably be expected to result in a Material Adverse Effect; (B) the Company and its Subsidiaries have not incurred any liabilities (contingent or otherwise) other than (i) trade payables and accrued expenses incurred in the ordinary course of business consistent with past practice, and (ii) liabilities not required to be reflected in the Company's financial statements pursuant to GAAP; (C) the Company and its Subsidiaries have not altered their method of accounting; (D) the Company and its Subsidiaries have not declared or made any dividend or distribution of cash or other property to its stockholders or purchased, redeemed or made any agreements to purchase or redeem any shares of its capital stock except, in each case, in favor of the Company or another Subsidiary; and (E) the Company and its Subsidiaries have not issued any equity securities except (i) in favor of the Company or another Subsidiary or (ii) by the Company an officer, director or Affiliate pursuant to an existing Company equity incentive plans.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) <u>Litigation</u>. There is no action, suit, inquiry, notice of violation, proceeding or investigation pending or, to the knowledge of the Company, threatened against or affecting the Company or any Subsidiary, or any of their respective properties, before or by any court, arbitrator, governmental or administrative agency or regulatory authority (federal, state, county, local or foreign) (collectively, an "**Action**") which: (A) adversely affects or challenges the legality, validity or enforceability of any of the Transaction Documents or the Securities; or (ii) could, if there were an unfavorable decision, have or reasonably be expected to result in a Material Adverse Effect. None of the Company, any Subsidiary or any director or officer thereof, is or has been the subject of any Action involving a claim of violation of or liability under any of the following: (x) the Securities Act, the Exchange Act, the FINRA rules or any State Securities Laws; (y) breach of fiduciary duty; or (z) fraud (statutory or common law), embezzlement, misappropriation or conversion of property or rights, or any other crime involving deceit.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) <u>Labor Relations</u>. No labor dispute exists or, to the knowledge of the Company, is imminent with respect to any of the employees of the Company or any Subsidiary which could reasonably be expected to result in a Material Adverse Effect. None of the Company's or any Subsidiary's <u>employees</u> is a member of a union that relates to such employee's relationship with the Company or any Subsidiary, and the Company and its Subsidiaries are not a party to any collective bargaining agreement. The Company believes that its relationships with its employees are good. No executive officer, to the knowledge of the Company, is, or is now expected to be, in violation of any material term of any employment contract, confidentiality, disclosure or proprietary information agreement or non- competition agreement, or any other contract or agreement or any restrictive covenant in favor of any third party, and the continued employment of each such executive officer does not subject the Company or any Subsidiary to any liability with respect to any of the foregoing matters. To the best of the Company's knowledge, it and its Subsidiaries are in compliance with all U.S. federal, state, local and foreign laws and regulations relating to employment and employment practices, terms and conditions of employment and wages and hours, except where the failure to be in compliance could not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect.

***SECURITIES PURCHASE AGREEMENT***

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) <u>Compliance</u>. The Company and each Subsidiary: (i) is not in violation of any order of any court, arbitrator or governmental body; and (ii) is not and has not been in material violation of any statute, law, rule or regulation of any governmental authority, including without limitation all foreign, federal, state and local laws applicable to its business and all such laws that affect the environment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) <u>Title to Assets</u>. The Company and its Subsidiaries have good and marketable title in fee simple to all real property and good and marketable title in all personal property owned by it that, in each case, is material to the business of the Company and its Subsidiaries, in each case free and clear of all Liens, except for (i) Liens that do not materially and adversely (x) affect the value of such property or (y) interfere with the use made and proposed to be made of such property by the Company and its Subsidiaries and (ii) Liens for the payment of federal, state <u>or</u> other taxes, the payment of which is neither delinquent nor subject to penalties in any material respect. Any real property and facilities held under lease by the Company or a Subsidiary is held by it under valid, subsisting and enforceable leases with which the Company or such Subsidiary (as applicable) are in compliance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) <u>Patents and Trademarks</u>. (i) The Company and its Subsidiaries has, or has rights to use, all patents, patent applications, trademarks, trademark applications, service marks, trade names, trade secrets, inventions, copyrights, licenses and other intellectual property rights and similar rights as necessary or material for use in connection with its business and which the failure to so have could reasonably be expected to have a Material Adverse Effect (collectively, the "**Intellectual Property Rights**"); (ii) the Company and its Subsidiaries have not received a notice (written or otherwise) that any of the Intellectual Property Rights violates or infringes upon the intellectual property rights of any other Person; (iii) all Intellectual Property Rights are enforceable by the Company or a Subsidiary, and there is no existing infringement by any other Person of any of the Intellectual Property Rights, except where the failure to be so enforceable or for such infringements as would not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect; and (iv) the Company and its Subsidiaries have taken reasonable security measures to protect the secrecy, confidentiality and value of all of its Intellectual Property Rights, except where failure to do so could not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p) <u>Transactions with Officers, Directors and Employees</u>. None of the officers or directors of the Company or its Subsidiaries and, to the knowledge of the Company, none of the employees of <u>the</u> Company or its Subsidiaries, is presently a party to any transaction with the Company (other than for services as employees, officers and directors), including any contract, agreement or other arrangement providing for the furnishing of services to or by, providing for rental of real or personal property to or from, or otherwise requiring payments to or from, any such officer, director or employee or, to the knowledge of the Company, any entity in which any such officer, director or employee has a substantial interest or is an officer, director, trustee, member or partner, in each case in excess other than for: (x) payment of salary or fees for services rendered; (y) reimbursement for expenses incurred on behalf of the Company or a Subsidiary; and (z) other employee benefits, including stock option agreements under any stock option plan of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q) <u>Certain Fees</u>. Other than fees, commissions and expense reimbursement payable to the Placement Agent (which include: (i) a cash commission of eight percent (8%) of the proceeds raised in the Offering from Investor; and (ii) the other matters set forth in the engagement letter between the Company and the Placement Agent, no brokerage or finder's fees or commissions are or will be payable by the Company or any Subsidiary to any broker, financial advisor or consultant, finder, placement agent, investment banker, bank or other Person with respect to the Offering or any of the transactions contemplated by the Transaction Documents. The Investors shall have no obligation with respect to any fees or with respect to any claims made by or on behalf of other Persons for fees of a type contemplated in this section 3.01(r) that may be due in connection with the Offering or any of the transactions contemplated by the Transaction Documents.

***SECURITIES PURCHASE AGREEMENT***

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r) <u>Private Placement</u>. Assuming the accuracy of the Investors' representations and warranties set forth in section 3.02, no registration under the Securities Act is required for the offer and sale of the Securities by the Company to the Investors as contemplated hereby.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s) <u>Investment Company</u>. The Company is not, and is not an Affiliate of, and immediately after receipt of payment for the Securities will not be or be an Affiliate of, an 'investment company' within the meaning of the Investment Company Act of 1940, as amended. The Company shall conduct its business in a manner so that it will not be an 'investment company' subject to registration under the Investment Company Act of 1940, as amended.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(t) <u>[Reserved]</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(u) <u>Disclosure</u>. Except with respect to: (i) the material terms and conditions of the transactions contemplated by the Transaction Documents; and (ii) information given to the Investors, if any, which the Company hereby confirms will not constitute material non-public information, the Company confirms that neither it nor any other Person acting on its behalf has provided any of the Investors or their agents or counsel with any information that it believes constitutes or might constitute material, nonpublic information. The Company understands and confirms that the Investors will rely on the foregoing representation in effecting transactions in securities of the Company. All disclosure furnished by or on behalf of the Company to the Investors regarding the Company, its business and the transactions contemplated hereby, is true and correct and does not contain any untrue statement of a material fact or omit to state any material fact necessary in order to make the statements made therein, in light of the circumstances under which they were made, not misleading.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) <u>No Integrated Offering</u>. Assuming the accuracy of the Investors' representations and warranties set forth in section 3.02, neither the Company, nor any of its Affiliates, nor any Person acting on its or their behalf has, directly or indirectly, made any offers or sales of any security or solicited any offers to buy any security, under circumstances that would cause this offering of the Securities to be integrated with prior offerings by the Company for purposes of the Securities Act which would require the registration of any such securities under the Securities Act.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(w) <u>Solvency</u>. Based on the consolidated financial condition of the Company as of the Closing Date after giving effect to the receipt by the Company of the proceeds from the sale <u>of</u> the Securities hereunder: (i) the fair saleable value of the Company's assets exceeds the amount that will be required to be paid on or in respect of the Company's existing debts and other liabilities (including known contingent liabilities) as they mature; (ii) the Company's assets do not constitute unreasonably small capital to carry on its business as now conducted and as proposed to be conducted including its capital needs taking into account the particular capital requirements of the business conducted by the Company, and projected capital requirements and capital availability thereof; and (iii) the current cash flow of the Company, together with the proceeds the Company would receive, were it to liquidate all of its assets, after taking into account all anticipated uses of the cash, would be sufficient to pay all amounts on or in respect of its liabilities when such amounts are required to be paid. The Company will not, after the Closing Date, incur debts beyond its ability to pay such debts as they mature (taking into account the timing and amounts of cash to be payable on or in respect of its debt). The Company has no knowledge of any facts or circumstances which lead it to believe that it will file for reorganization or liquidation under the bankruptcy or reorganization laws of any jurisdiction within one year from the Closing Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) <u>Tax Status</u>. Except for matters that would not, individually or in the aggregate, have or reasonably be expected to result in a Material Adverse Effect, the Company and its Subsidiaries have filed all federal, state and foreign income and franchise tax returns and have paid or accrued all taxes shown as due thereon, and the Company has no knowledge of a tax deficiency which has been asserted or threatened against the Company or any Subsidiary.

***SECURITIES PURCHASE AGREEMENT***

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(y) <u>No General Solicitation</u>. Neither the Company nor any Person acting on behalf of the Company has offered or sold any of the Securities by any form of general solicitation or general advertising. The Company has offered the Securities for sale only to the Investors and certain other "accredited investors" within the meaning of Rule 501 under the Securities Act.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(aa) <u>Insurance</u>. The Company and its Subsidiaries are insured by insurers of recognized financial responsibility against such losses and risks and in such amounts as management of the Company reasonably believes to be prudent and customary in the businesses in which the Company and its Subsidiaries are engaged. Neither the Company nor any of the Subsidiaries has been refused any insurance coverage sought or applied for, and the Company has no reason to believe that it will not be able to renew all existing insurance coverage as and when such coverage expires or to obtain similar coverage from similar insurers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(bb) <u>Acknowledgment Regarding Investors' Purchase of Securities</u>. The Company acknowledges and agrees that each of the Investors is acting solely in the capacity of an arm's length purchaser with respect to the Transaction Documents and the transactions contemplated thereby. The Company further acknowledges that no Investor is acting as a financial advisor or fiduciary of the Company (or in any similar capacity) with respect to the Transaction Documents and the transactions contemplated thereby and any advice given by any Investor or any of their respective representatives or agents in connection with the Transaction Documents and the transactions contemplated thereby is merely incidental to the Investors' purchase of the Securities. The Company further represents to each Investor that the Company's decision to enter into this Agreement and the other Transaction Documents has been based solely on the independent evaluation of the transactions contemplated hereby by the Company and its representatives.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(cc) <u>No Disqualification Events</u>. With respect to Securities to be offered and sold hereunder in reliance on Rule 506(b) under the Securities Act ("**Regulation D Securities**"), none of the Company, any of its predecessors, any affiliated issuer, any director, executive officer, other officer of the Company participating in the offering hereunder, any beneficial owner of twenty percent (20%) or more of the Company's outstanding voting equity securities, calculated on the basis of voting power, nor any promoter (as that term is defined in Rule 405 under the Securities Act) connected with the Company in any capacity at the time of sale (each, an "**Issuer Covered Person**" and, together, "**Issuer Covered Persons**") is subject to any of the 'Bad Actor' disqualifications described in Rule 506(d)(1)(i) to (viii) under the Securities Act (a "**Disqualification Event**"), except for a Disqualification Event covered by Rule 506(d)(2) or (d)(3). The Company has exercised reasonable care to determine whether any Issuer Covered Person is subject to a Disqualification Event. The Company has complied, to the extent applicable, with its disclosure obligations under Rule 506(e), and has furnished to the Investors a copy of any disclosures provided thereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(dd) <u>Other Covered Persons</u>. The Company is not aware of any person (other than any Issuer Covered Person or the Placement Agent) that has been or will be paid (directly or indirectly) remuneration for solicitation of purchasers in connection with the sale of any Regulation D Securities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ee) <u>Notice of Disqualification Events</u>. The Company will notify the Investors in writing, prior to the Closing Date of: (i) any Disqualification Event relating to any Issuer Covered Person; and (ii) any event that would, with the passage of time, become a Disqualification Event relating to any Issuer Covered Person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ff) <u>Foreign Corrupt Practices</u>. Neither the Company and its Subsidiaries, and to the knowledge of the Company, no agent or other person acting on behalf of the Company or any Subsidiary, has: (i) directly or indirectly, used any funds for unlawful contributions, gifts, entertainment or other unlawful expenses related to foreign or domestic political activity; (ii) made any unlawful payment to foreign or domestic government officials or employees or to any foreign or domestic political parties or campaigns from corporate funds; (iii) failed to disclose fully any contribution made by the Company or any Subsidiary (or made by any person acting on its behalf of which the Company is aware) which is in violation of law; or (iv) violated in any material respect any provision of the Foreign Corrupt Practices Act.

***SECURITIES PURCHASE AGREEMENT***

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(gg) <u>Office of Foreign Assets Control</u>. Neither the Company nor any Subsidiary nor, to the Company's knowledge, any director, officer, agent, employee or affiliate of the Company or any Subsidiary, is currently subject to any U.S. sanctions administered by the Office of Foreign Assets Control of the U.S. Treasury Department ("**OFAC**").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(hh) <u>Money Laundering</u>. The operations of the Company and its Subsidiaries are and have been conducted at all times in compliance with applicable financial record-keeping and reporting requirements of the Currency and Foreign Transactions Reporting Act of 1970, as amended, applicable money laundering statutes and applicable rules and regulations thereunder (collectively, the "**Money Laundering Laws**"), and no Action or Proceeding by or before any court or governmental agency, authority or body or any arbitrator involving the Company or any Subsidiary with respect to the Money Laundering Laws is pending or, to the knowledge of the Company**,** threatened.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) <u>Representations</u>. The representations and warranties of the Company contained in this Agreement, and the certificate(s) furnished or to be furnished to the Investors at the Closing, when taken as a whole, do not contain any untrue statement of a material fact or omit to state a material fact necessary in order to make the statements contained herein or therein not misleading in light of the circumstances under which they were made. The Company acknowledges and agrees that the representations contained in section 3.02 shall not modify, amend or affect such Investor's right to rely on the Company's representations and warranties contained in this section 3.01 or elsewhere in this Agreement or any representations and warranties contained in any other Transaction Document, or any other document or instrument executed and/or delivered in connection with this Agreement or the consummation of the transactions contemplated hereby.

Section 3.02 <u>Representations and Warranties of the Investors</u>.

Each Investor, for itself and for no other Investor, hereby represents and warrants as of the date hereof and as of the Closing Date to the Company as follows (unless as of a specific date therein, in which case they shall be accurate as of such date):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Authority; Organization</u>. Such Investor has full power and authority (and, if such Investor is an individual, the capacity) to enter into this Agreement and to perform all obligations required to be performed by it hereunder. If an entity, Such Investor is an entity duly organized, validly existing and in good standing under the laws of the jurisdiction of its organization with full right, corporate or partnership power and authority to enter into and to consummate the transactions contemplated by the Transaction Documents and otherwise to carry out its obligations hereunder and thereunder. The execution and delivery of the Transaction Documents and performance by such Investor of the transactions contemplated by the Transaction Documents have been duly authorized by all necessary corporate or similar action on the part of such Investor. Each Transaction Document to which it is a party has been duly executed by such Investor, and when delivered by such Investor in accordance with the terms hereof, will constitute the valid and legally binding obligation of such Investor, enforceable against it in accordance with its terms, except: (i) as limited by general equitable principles and applicable bankruptcy, insolvency, reorganization, moratorium and other laws of general application affecting enforcement of creditors' rights generally, (ii) as limited by laws relating to the availability of specific performance, injunctive relief or other equitable remedies, and (iii) insofar as indemnification and contribution provisions may be limited by applicable law.

***SECURITIES PURCHASE AGREEMENT***

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Own Account</u>. Such Investor understands that the Securities are restricted securities' and have not been registered under the Securities Act or any applicable State Securities Law and is acquiring the Securities as principal for its own account and not with a view to or for distributing or reselling such Securities or any part thereof in violation of the Securities Act or any applicable State Securities Law, has no present intention of distributing any of such Securities in violation of the Securities Act or any applicable State Securities Law and has no direct or indirect arrangement or understandings with any other persons to distribute or regarding the distribution the same (this representation and warranty not limiting such Investor's right to sell the Securities in compliance with applicable federal and State Securities Laws) in violation of the Securities Act or any applicable State Securities Law. Such Investor is acquiring the Securities in the ordinary course of its business.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Non-Transferrable</u>. Such Investor agrees: (i) that the Investor will not sell, assign, pledge, give, transfer or otherwise dispose of the Securities or any interest therein, or make any offer or attempt to do any of the foregoing, except pursuant to a registration of the Securities under the Securities Act and all applicable State Securities Laws, or in a transaction which is exempt from the registration provisions of the Securities Act and all applicable State Securities Laws; (ii) that the certificates representing the Securities will bear a legend making reference to the foregoing restrictions; and (iii) that the Company and its Affiliates shall not be required to give effect to any purported transfer of such Securities except upon compliance with the foregoing restrictions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Investor Status</u>. Such Investor is an "accredited investor" as defined in Rule 501(a) under Regulation D of the Securities Act. The undersigned agrees to furnish any additional information requested by the Company or any of its Affiliates to assure compliance with applicable U.S. federal and state securities laws in connection with the purchase and sale of the Securities. The undersigned has completed the Confidential Investor Questionnaire contained in **<u>Appendix A</u>** and the information contained therein is complete and accurate as of the date thereof and is hereby affirmed as of the Closing Date. Any information that has been furnished or that will be furnished by the undersigned to evidence its status as an accredited investor is accurate and complete, and does not contain any misrepresentation or material omission.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Experience of Such Investor</u>. Such Investor, either alone or together with its representatives, has such knowledge, sophistication, and experience in business and financial matters so as to be capable of evaluating the merits and risks of the prospective investment in the Securities and has so evaluated the merits and risks of such investment. Such Investor is able to bear the economic risk of an investment in the Securities and, at the present time, is able to afford a complete loss of such investment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <u>No Trading Market</u>. Such Investor acknowledges that there is currently no Trading Market for the Notes and that none is expected to develop.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) <u>General Solicitation</u>. Such Investor undersigned acknowledges that neither the Company nor any other person offered to sell the Securities to it by means of any form of general solicitation or advertising, including, but not limited to: (i) any advertisement, article, notice, or other communication published in any newspaper, magazine or similar media or broadcast over television or radio, or (ii) any seminar or meeting whose attendees were invited by any general solicitation or general advertising.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) <u>Confidentiality</u>. Other than to other Persons party to this Agreement and its advisors who have agreed to keep information confidential or have a fiduciary obligation to keep such information confidential, such Investor has maintained the confidentiality of all disclosures made to it in connection with the transaction (including the existence and terms of this transaction).

***SECURITIES PURCHASE AGREEMENT***

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) <u>Foreign Investor</u>. If such Investor is not a United States person, such Investor represents that it has satisfied itself as to the full observance of the laws of its jurisdiction in connection with any invitation to subscribe for the Securities or any use of this Agreement, including: (i) the legal requirements within its jurisdiction for the purchase of the Securities, (ii) any foreign exchange restrictions applicable to such purchase, (iii) any governmental or other consents that may need to be obtained, and (iv) the income tax and other tax consequences, if any, that may be relevant to the purchase, holding, redemption, sale or transfer of the Securities. The Investor further represents that its payment for, and its continued beneficial ownership of the Securities, will not violate any applicable securities or other laws of its jurisdiction or organization or domicile.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) <u>Information from Company</u>. Such Investor and its investment managers, if any, have been afforded the opportunity to obtain any information necessary to verify the accuracy of any representations or information presented by the Company in this Agreement and have had all inquiries to the Company answered, and have been furnished all requested materials, relating to the Company and the Offering and sale of the Securities and anything set forth in the Transaction Documents. Neither the Investor nor the Investor's investment managers, if any, have been furnished any offering literature by the Company or any of its Affiliates, associates, or agents other than the Transaction Documents, and the agreements referenced therein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) <u>Speculative Nature of Investment; Risk Factors</u>. **SUCH INVESTOR UNDERSTANDS THAT AN INVESTMENT IN THE SECURITIES INVOLVES A HIGH DEGREE OF RISK.** Such Investor acknowledges that: (i) any projections, forecasts or estimates as may have been provided to the Investor are purely speculative and cannot be relied upon to indicate actual results that may be obtained through this investment; any such projections, forecasts and estimates are based upon assumptions which are subject to change and which are beyond the control of the Company or its management, (ii) the tax effects which may be expected by this investment are not susceptible to absolute prediction, and new developments and rules of the Internal Revenue Service, audit adjustment, court decisions or legislative changes may have an adverse effect on one or more of the tax consequences of this investment, and (iii) the Investor has been advised to consult with his own advisor regarding legal matters and tax consequences involving this investment. The Investor represents that the Investor's investment objective is speculative in that the Investor seeks the maximum total return through an investment in a broad spectrum of securities, which involves a higher degree of risk than other investment styles and therefore the Investor's risk exposure is also speculative. The Securities offered hereby are highly speculative and involve a high degree of risk and Investor should only purchase these securities if Investor can afford to lose their entire investment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) <u>Money Laundering</u>. If an entity, the operations of such Investor are and have been conducted at all times in compliance with applicable financial record-keeping and reporting requirements of the Currency and Foreign Transactions Reporting Act of 1970, as amended, applicable money laundering statutes and applicable rules and regulations thereunder (collectively, the "**Money Laundering Laws**"), and no Action or Proceeding by or before any court or governmental agency, authority or body or any arbitrator involving the Company with respect to the Money Laundering Laws is pending or, to the knowledge of the Company or any Subsidiary, threatened.

The Company acknowledges and agrees that the representations contained in <u>Section 3.02</u> shall not modify, amend or affect such Investor's right to rely on the Company's representations and warranties contained in this Agreement or any representations and warranties contained in any other Transaction Document or any other document or instrument executed and/or delivered in connection with this Agreement or the consummation of the transaction contemplated hereby.

***SECURITIES PURCHASE AGREEMENT***

**<u>ARTICLE IV</u><br> OTHER AGREEMENTS OF THE PARTIES**

Section 4.01 <u>Transfer Restrictions</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Securities may only be disposed of in compliance with state and federal securities laws. In connection with any transfer of Securities other than pursuant to an effective registration statement or Rule 144, the Company may require the transferor thereof to provide to the Company an opinion of counsel selected by the transferor and reasonably acceptable to the Company, the form and substance of which opinion shall be reasonably satisfactory to the Company, to the effect that such transfer does not require registration of such transferred Securities under the Securities Act. The Securities may not be sold or transferred by the Investors without the written consent of the Company, which shall not be unreasonably withheld. As a condition of such sale or transfer, any such transferee shall agree in writing to be bound by the terms of this Agreement and shall have the rights of an Investor under this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Investors agree to the imprinting, so long as is required by this <u>Section 4.01</u>, of a legend on any of the Securities in the following form:

THIS SECURITY HAS NOT BEEN REGISTERED WITH THE SECURITIES AND EXCHANGE COMMISSION OR THE SECURITIES COMMISSION OF ANY STATE IN RELIANCE UPON AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "**SECURITIES ACT**"), AND, ACCORDINGLY, MAY NOT BE OFFERED OR SOLD EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT OR PURSUANT TO AN AVAILABLE EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT AND IN ACCORDANCE WITH APPLICABLE STATE SECURITIES LAWS AS EVIDENCED BY A LEGAL OPINION OF COUNSEL TO THE TRANSFEROR TO SUCH EFFECT, THE SUBSTANCE OF WHICH SHALL BE REASONABLY ACCEPTABLE TO THE COMPANY.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Upon the Investor's request in connection with a proposed sale of Incentive Shares pursuant to Rule 144 and if the Company reasonably determines it is so required, upon receipt of customary documentation from Investor's broker (if the Incentive Shares are sold in brokers transactions), the Company shall, at its own cost and effort, retain legal counsel to provide an opinion letter to the Company's transfer agent opining that the Incentive Shares may be resold without registration under the Securities Act, pursuant to Rule 144, promulgated thereunder, so long as the requirements of Rule 144 are met for any Incentive Shares to be resold thereunder. The Company shall arrange for any such opinion letter to be provided not later than two (2) Business Days after the date of delivery to and receipt by the Company of a written request by any Investor together with (if required in order to render the opinion) any broker's representation letter of other customary documentation reasonably requested by the Company evidencing compliance with Rule 144 (the "**Legend Removal Date**"), and such opinion letter may be a "blanket" opinion letter covering Incentive Shares held by more than one Investor (if applicable to more than one Investor).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Each Investor, severally and not jointly with the other Investors, agrees that such Investor will sell any Securities only pursuant to either the registration requirements of the Securities Act, including any applicable prospectus delivery requirements, or an exemption therefrom, and that if Securities are sold pursuant to a registration statement, they will be sold in compliance with the plan of distribution set forth therein, and acknowledges that the removal of the restrictive legend from certificates representing Securities as set forth in this <u>Section 4.01</u> is predicated upon the Company's reliance upon this understanding.

***SECURITIES PURCHASE AGREEMENT***

Section 4.02 <u>[Reserved]</u>

Section 4.03 <u>[Reserved]</u>

Section 4.04 <u>Integration</u>. The Company shall not sell, offer for sale, or solicit offers to buy or otherwise negotiate in respect of any security (as defined in Section 2 of the Securities Act) that would be integrated with the offer or sale of the Securities to the Investors in a manner that would require the registration under the Securities Act of the sale of the Securities to the Investors.

Section 4.05 <u>Publicity</u>. The Company and each Investor shall consult with each other in issuing any other press releases with respect to the transactions contemplated hereby, and neither the Company nor any Investor shall issue any such press release nor otherwise make any such public statement without the prior consent of the Company with respect to any press release of any Investor, or without the prior consent of each Investor with respect to any press release of the Company mentioning such Investor, which consent shall not unreasonably be withheld or delayed, except if such disclosure is required by law, in which case the disclosing party shall promptly provide the other party with prior notice of such public statement or communication.

Section 4.06 <u>Indemnification of Investors</u>. The Company shall indemnify, reimburse and hold harmless the Investors and their respective partners, members, shareholders, officers, directors, employees and agents (and any other persons with other titles that have similar functions) (collectively, "**Indemnitees**") from and against any and all losses, claims, liabilities, damages, penalties, suits, costs and expenses, of any kind or nature, (including fees relating to the cost of investigating and defending any of the foregoing) imposed on, incurred by or asserted against such Indemnitee in any way related to or arising from or alleged to arise from: (i) any breach of any of the representations, warranties, covenants or agreements made by the Company in this Agreement or in the other Transaction Documents and (ii) any action instituted against such Indemnitee in any capacity, or any of them or their respective Affiliates, by any stockholder of the Company who is not an Affiliate of such Indemnitee, with respect to any of the transactions contemplated by the Transaction Documents (unless such action is based upon a breach of such Indemnitee's representations, warranties or covenants under the Transaction Documents or any agreements or understandings such Indemnitee may have with any such stockholder or any violations by such Indemnitee of state or federal securities laws or any conduct by such Indemnitee which results from the gross negligence or willful misconduct of the Indemnitee as determined by a final, nonappealable decision of a court of competent jurisdiction).

Section 4.07 <u>Equal Treatment of Investors</u>. No consideration (including any modification of any Transaction Document) shall be offered or paid to any Person to amend or consent to a waiver or modification of any provision of any of the Transaction Documents unless the same consideration is also offered to all of the parties to the Transaction Documents. Further, the Company shall not make any payment of principal or interest on the Notes in amounts which are disproportionate to the respective principal amounts outstanding on the Notes at any applicable time. For clarification purposes, this provision constitutes a separate right granted to each Investor by the Company and negotiated separately by each Investor, and is intended for the Company to treat the Investors as a class and shall not in any way be construed as the Investors acting in concert or as a group with respect to the purchase, disposition or voting of Securities or otherwise.

***SECURITIES PURCHASE AGREEMENT***

Section 4.08 <u>Form D; Blue Sky Filings</u>. The Company agrees to timely file a Form D with respect to the Securities as required under Regulation D and to provide a copy thereof, promptly upon request of any Investor. The Company shall take such action as the Company shall reasonably determine is necessary in order to obtain an exemption for, or to qualify the Securities for, sale to the Investors at the Closing under applicable securities or "Blue Sky" laws of the states of the United States, and shall provide evidence of such actions promptly upon request of any Investor.

Section 4.09 <u>Use of Proceeds</u>. The Company shall use the net proceeds from the sale of the Securities hereunder to: (a) cover the expenses related to the Offering and Liquidity Event and (b) for general working capital purposes and shall not use such proceeds: (i) for the satisfaction of any portion of the Company's debt (other than payment of trade payables in the ordinary course of the Company's business and prior practices); (ii) for the redemption of any Common Stock or Common Stock Equivalents; (iii) for the settlement of any outstanding litigation; (iv) in violation of FCPA or OFAC regulations; or (v) to lend, give credit or make advances to any officers, directors, employees or Affiliates of the Company.

**<u>ARTICLE V</u><br> MISCELLANEOUS**

Section 5.01 <u>Termination</u>. This Agreement may be terminated by any Investor, as to such Investor's obligations hereunder only and without any effect whatsoever on the obligations between the Company and the other Investors, by written notice to the other parties, if the Closing has not been consummated on or before the Termination Date; provided, however, that such termination will not affect the right of any party to sue for any breach by the other party (or parties).

Section 5.02 <u>Fees and Expenses</u>. The Company shall reimburse each Investor for any and all expenses incurred by them in connection with the negotiation, preparation, execution, delivery and performance of the Transaction Documents, including, without limitation, reasonable attorneys' and consultants' fees and expenses, transfer agent fees, fees for stock quotation services, fees relating to any amendments or modifications of the Transaction Documents or any consents or waivers of provisions in the Transaction Documents, fees for the preparation of opinions of counsel, escrow fees, and costs of restructuring the transactions contemplated by the Documents. When possible, the Company must pay these fees directly, including, but not limited to, any and all wire fees, otherwise the Company must make immediate payment for reimbursement to an Investor for all fees and expenses immediately upon written notice by an Investor or the submission of an invoice by an Investor. At Closing, the Company's initial obligation with respect to this transaction is to reimburse the Lead Investor's due diligence, legal and other expenses are not to exceed $15,000.

Section 5.03 <u>Entire Agreement</u>. The Transaction Documents, together with the exhibits and schedules thereto, contain the entire understanding of the parties with respect to the subject matter hereof and supersede all prior agreements and understandings, oral or written, with respect to such matters, which the parties acknowledge have been merged into such documents, exhibits and schedules.

***SECURITIES PURCHASE AGREEMENT***

Section 5.04 <u>Notices</u>. Any notice, request, instruction or other document to be given hereunder by any party to the others shall be in writing and delivered personally or sent by registered or certified mail, postage prepaid, or by facsimile or email:

<u>if to Investor:</u>

To the address set forth on such Investor's signature page hereto;

<u>if to the Company:</u>

Elephant Oil Corp.

Pennzoil Place

700 Milam, Suite 1300

Houston, TX 77002

Attention: Matthew Lofgran, CEO

or to such other persons or addresses as may be designated in writing by the party to receive such notice as provided above. Any such notice or communication so given or made shall be deemed to have been given or made and to have been received on the day of delivery if delivered, or on the day of e-mailing or sending by other means of recorded electronic communication, provided that such day in either event is a Business Day and the communication is so delivered, e-mailed or sent before 5:00 p.m. Eastern on such day. Otherwise, such communication shall be deemed to have been given and made and to have been received on the next following Business Day.

Section 5.05 <u>Amendments; Waivers</u>. No provision of this Agreement may be waived, modified, supplemented, or amended except in a written instrument signed, in the case of an amendment, by the Company and the Investors holding at least a majority in principal amount of the Notes then outstanding or, in the case of a waiver, by the party against whom enforcement of any such waived provision is sought. No waiver of any default with respect to any provision, condition or requirement of this Agreement shall be deemed to be a continuing waiver in the future or a waiver of any subsequent default or a waiver of any other provision, condition or requirement hereof, nor shall any delay or omission of any party to exercise any right hereunder in any manner impair the exercise of any such right.

Section 5.06 <u>Successors and Assigns</u>. This Agreement shall be binding upon and inure to the benefit of the parties and their successors and permitted assigns. The Company may not assign this Agreement or any rights or obligations hereunder without the prior written consent of each Investor (other than by merger). Any Investor may assign any or all of its rights under this Agreement to any Person to whom such Investor assigns or transfers any Securities, provided that such transfer complies with all applicable federal and State Securities Laws and that such transferee agrees in writing with the Company to be bound, with respect to the transferred Securities, by the provisions of the Transaction Documents that apply to the "Investors."

Section 5.07 <u>No Third-Party Beneficiaries</u>. This Agreement is intended for the benefit of the parties hereto and their respective successors and permitted assigns and is not for the benefit of, nor may any provision hereof be enforced by, any other Person.

Section 5.08 <u>Governing Law</u>. All questions concerning the construction, validity, enforcement and interpretation of the Transaction Documents shall be governed by and construed and enforced in accordance with the internal laws of the State of New York, without regard to the principles of conflict of laws thereof. Each party agrees that all legal proceedings concerning the interpretation, enforcement and defense of the transactions contemplated by any of the Transaction Documents (whether brought against a party hereto or its respective Affiliates, directors, officers, shareholders, employees or agents) shall be commenced exclusively in the courts sitting in the City of New York, New York (the "**New York City Courts**"). Each party hereto hereby irrevocably submits to the exclusive jurisdiction of the New York City Courts for the adjudication of any dispute hereunder or in connection herewith or with any transaction contemplated hereby or discussed herein (including with respect to the enforcement of any of the Transaction Documents), and hereby irrevocably waives, and agrees not to assert in any suit, action or proceeding, any claim that it is not personally subject to the jurisdiction of such New York City Courts, or such New York City Courts are improper or inconvenient venue for such proceeding. Each party hereby irrevocably waives personal service of process and consents to process being served in any such suit, action or proceeding by mailing a copy thereof via registered or certified mail or overnight delivery (with evidence of delivery) to such party at the address in effect for notices to it under this Agreement and agrees that such service shall constitute good and sufficient service of process and notice thereof. Nothing contained herein shall be deemed to limit in any way any right to serve process in any other manner permitted by applicable law. Each party hereto hereby irrevocably waives, to the fullest extent permitted by applicable law, any and all right to trial by jury in any legal proceeding arising out of or relating to the Transaction Documents or the transactions contemplated hereby. If any party shall commence an action or proceeding to enforce any provisions of the Transaction Documents, then the prevailing party in such action or proceeding shall be reimbursed by the other party for its attorney's fees and other costs and expenses incurred in the investigation, preparation and prosecution of such action or proceeding.

***SECURITIES PURCHASE AGREEMENT***

Section 5.09 <u>Survival</u>. The representations and warranties contained herein shall survive the Closing and the delivery of the Securities.

Section 5.10 <u>Execution</u>. This Agreement may be executed in two or more counterparts, all of which when taken together shall be considered one and the same agreement and shall become effective when counterparts have been signed by each party and delivered to the other party, it being understood that both parties need not sign the same counterpart. In the event that any signature is delivered by facsimile transmission or by e-mail delivery of a ".pdf" format data file, such signature shall create a valid and binding obligation of the party executing (or on whose behalf such signature is executed) with the same force and effect as if such facsimile or ".pdf" signature page was an original thereof.

Section 5.11 <u>Severability</u>. If any term, provision, covenant or restriction of this Agreement is held by a court of competent jurisdiction to be invalid, illegal, void or unenforceable, the remainder of the terms, provisions, covenants and restrictions set forth herein shall remain in full force and effect and shall in no way be affected, impaired or invalidated, and the parties hereto shall use their commercially reasonable efforts to find and employ an alternative means to achieve the same or substantially the same result as that contemplated by such term, provision, covenant or restriction. It is hereby stipulated and declared to be the intention of the parties that they would have executed the remaining terms, provisions, covenants and restrictions without including any of such that may be hereafter declared invalid, illegal, void or unenforceable.

Section 5.12 <u>Rescission and Withdrawal Right</u>. Notwithstanding anything to the contrary contained in (and without limiting any similar provisions of) any of the other Transaction Documents, whenever any Investor exercises a right, election, demand or option under a Transaction Document and the Company does not timely perform its related obligations within the periods therein provided, then such Investor may rescind or withdraw, in its sole discretion from time to time upon written notice to the Company, any relevant notice, demand or election in whole or in part without prejudice to its future actions and rights; provided, however, that in the case of a rescission of a conversion of a Note, the Investor shall be required to return any shares of Common Stock subject to any such rescinded conversion or exercise notice.

Section 5.13 <u>Replacement of Securities</u>. If any certificate or instrument evidencing any Securities is mutilated, lost, stolen or destroyed, the Company shall issue or cause to be issued in exchange and substitution for and upon cancellation thereof (in the case of mutilation), or in lieu of and substitution therefor, a new certificate or instrument, but only upon receipt of evidence reasonably satisfactory to the Company of such loss, theft or destruction. The applicant for a new certificate or instrument under such circumstances shall also pay any reasonable third-party costs (including customary indemnity) associated with the issuance of such replacement Securities.

***SECURITIES PURCHASE AGREEMENT***

Section 5.14 <u>Remedies</u>. In addition to being entitled to exercise all rights provided herein or granted by law, including recovery of damages, each of the Investors and the Company will be entitled to seek specific performance under the Transaction Documents. The parties agree that monetary damages may not be adequate compensation for any loss incurred by reason of any breach of obligations contained in the Transaction Documents and hereby agree to waive and not to assert in any action for specific performance of any such obligation the defense that a remedy at law would be adequate.

Section 5.15 <u>Payment Set Aside</u>. To the extent that the Company makes a payment or payments to any Investor pursuant to any Transaction Document or an Investor enforces or exercises its rights thereunder, and such payment or payments or the proceeds of such enforcement or exercise or any part thereof are subsequently invalidated, declared to be fraudulent or preferential, set aside, recovered from, disgorged by or are required to be refunded, repaid or otherwise restored to the Company, a trustee, receiver or any other person under any law (including, without limitation, any bankruptcy law, state or federal law, common law or equitable cause of action), then to the extent of any such restoration the obligation or part thereof originally intended to be satisfied shall be revived and continued in full force and effect as if such payment had not been made or such enforcement or setoff had not occurred.

Section 5.16 <u>Independent Nature of Investors' Obligations and Rights</u>. The obligations of each Investor under any Transaction Document are several and not joint with the obligations of any other Investor, and no Investor shall be responsible in any way for the performance or non-performance of the obligations of any other Investor under any Transaction Document. Nothing contained herein or in any other Transaction Document, and no action taken by any Investor pursuant thereto, shall be deemed to constitute the Investors as a partnership, an association, a joint venture, or any other kind of entity, or create a presumption that the Investors are in any way acting in concert or as a group with respect to such obligations or the transactions contemplated by the Transaction Documents. Each Investor shall be entitled to independently protect and enforce its rights, including, without limitation, the rights arising out of this Agreement or out of the other Transaction Documents, and it shall not be necessary for any other Investor to be joined as an additional party in any proceeding for such purpose. Each Investor has been represented by its own separate legal counsel in their review and negotiation of the Transaction Documents. The Company has elected to provide all Investors with the same terms and Transaction Documents for the convenience of the Company and not because it was required or requested to do so by the Investors.

Section 5.17 <u>Construction</u>. The parties agree that each of them and/or their respective counsel has reviewed and had an opportunity to revise the Transaction Documents and, therefore, the normal rule of construction to the effect that any ambiguities are to be resolved against the drafting party shall not be employed in the interpretation of the Transaction Documents or any amendments hereto. In addition, each and every reference to share prices and shares of Common Stock in any Transaction Document shall be subject to adjustment for reverse and forward stock splits, stock dividends, stock combinations and other similar transactions of the Common Stock that occur after the date of this Agreement.

Section 5.18 <u>Headings</u>. The headings herein are for convenience only, do not constitute a part of this Agreement and shall not be deemed to limit or affect any of the provisions hereof.

Section 5.19 <u>WAIVER OF JURY TRIAL</u>. IN ANY ACTION, SUIT, OR PROCEEDING IN ANY JURISDICTION BROUGHT BY ANY PARTY AGAINST ANY OTHER PARTY, THE PARTIES EACH KNOWINGLY AND INTENTIONALLY, TO THE GREATEST EXTENT PERMITTED BY APPLICABLE LAW, HEREBY ABSOLUTELY, UNCONDITIONALLY, IRREVOCABLY AND EXPRESSLY WAIVES FOREVER TRIAL BY JURY.

[**SIGNATURE PAGES FOLLOW**]

**IN WITNESS WHEREOF**, the parties hereto have caused this Securities Purchase Agreement to be duly executed by their respective authorized signatories as of the date below.

---

| | |
|:---|:---|
| **Elephant Oil Corp.** | **Elephant Oil Corp.** |
| By: | /s/ Matthew Lofgran |
| Name: | Matthew Lofgran |
| Title: | Chief Executive Officer |

---

---

| |
|:---|
| **INVESTORS:** |
| The Investors executing the Signature Page in the form attached hereto as **<u>Annex A</u>** and delivering the same to the Company or its agents shall be deemed to have executed this Agreement and agreed to the terms hereof. |

---

**Annex A**

**Securities Purchase Agreement Investor Counterpart Signature Page**

The undersigned, desiring to: (i) enter into this Securities Purchase Agreement dated as of December 16, 2022 (the "**Agreement**"), with the undersigned, Elephant Oil Corp., a Nevada corporation (the "**Company**"), in or substantially in the form furnished to the undersigned and (ii) purchase the Securities as set forth below, hereby agrees to purchase such Securities from the Company as of the Closing and further agrees to join the Agreement as a party thereto, with all the rights and privileges appertaining thereto, and to be bound in all respects by the terms and conditions thereof. The undersigned specifically acknowledges having read the representations in this Agreement's section entitled "Representations Warranties of the Investors", and hereby represents that the statements contained therein are complete and accurate with respect to the undersigned as an Investor.

---

| | | |
|:---|:---|:---|
| **PURCHASER** (*if an individual*): | **PURCHASER** (*if an entity*): | **PURCHASER** (*if an entity*): |
| By ______________________ | /s/ Gary Clyburn, Jr. | /s/ Gary Clyburn, Jr. |
| Name: | (Legal Name of Entity) | (Legal Name of Entity) |
| Date: | By | 622 Capital, LLC |
|  | Name: | Gary Clyburn Jr. |
|  | Title: | Manager |
|  | Date: | 12/16/2022 |

---

---

| |
|:---|
| **PUCHASER** (*if investing jointly*) |
| By _______________________ |
| Name: |
| Date: |

---

Aggregate Subscription Amount: $<u>500,000</u>

[Original principal amount of Note = Subscription Amount *times* 120%]

State/Country of Domicile or Formation: ______________________________

SSN/EIN/ITIN:<u> </u>_________________________________________________

Address: _____________________________________________________

<u>APPENDIX A</u>

<u>[**CONFIDENTIAL INVESTOR QUESTIONNAIRE**]</u>

*Appendix B*

<u>APPENDIX B</u>

**<u>APPENDIX B</u>**

<u>FORM OF 20% ORIGINAL ISSUE DISCOUNT SENIOR NOTE</u>

THIS SECURITY HAS NOT BEEN REGISTERED WITH THE SECURITIES AND EXCHANGE COMMISSION OR THE SECURITIES COMMISSION OF ANY STATE IN RELIANCE UPON AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT OF 1933, AS AMENDED, AND THE RULES AND REGULATIONS PROMULGATED THEREUNDER (THE "SECURITIES ACT"), AND, ACCORDINGLY, MAY NOT BE OFFERED OR SOLD EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT OR PURSUANT TO AN AVAILABLE EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT AND IN ACCORDANCE WITH APPLICABLE STATE SECURITIES LAWS AS EVIDENCED BY A LEGAL OPINION OF COUNSEL TO THE TRANSFEROR TO SUCH EFFECT, THE SUBSTANCE OF WHICH SHALL BE REASONABLY ACCEPTABLE TO THE COMPANY.

---

| | | |
|:---|:---|:---|
| Original Issue Date: December 16, 2022 | Subscription Amount: | $400000 |
| Final Maturity Date: April 16, 2023 | Original Issue Discount: | $100000 |
| Original Interest Discount: 20% | Original Principal Amount: | $500000 |

---

**ELEPHANT OIL CORP.**

20% ORIGINAL ISSUE DISCOUNT SENIOR NOTE

THIS 20% ORIGINAL ISSUE DISCOUNT SENIOR NOTE is one of a series of duly authorized and validly issued Notes of Elephant Oil Corp., a Nevada corporation (the "**Company**"), designated as its 20% Original Issue Discount Senior Notes (this note, the "**Note**" and, collectively with the other notes of such series, the "**Notes**").

FOR VALUE RECEIVED, the Company promises to pay to 622 Capital LLC or its registered assigns (the "**Holder**"), or shall have paid pursuant to the terms hereunder, the principal sum of $500,000 on the earlier to occur of (i) of April 16, 2023 (the "**Final Maturity Date**") and (ii) a Liquidity Event (as the case may be, the "**Maturity Date**"), or such earlier date as this Note is required or permitted to be repaid as provided hereunder, and to pay interest to the Holder on the aggregate outstanding principal amount of this Note in accordance with the provisions hereof. This Note is subject to the following additional provisions:

**Section 1.** <u>Definitions</u>. For the purposes hereof, in addition to the terms defined elsewhere in this Note: (a) capitalized terms not otherwise defined herein shall have the meanings set forth in the Purchase Agreement, and (b) the following terms shall have the following meanings:

"<u>Bankruptcy Event</u>" means any of the following events: (a) the Company or any Significant Subsidiary thereof commences a case or other proceeding under any bankruptcy, reorganization, arrangement, adjustment of debt, relief of debtors, dissolution, insolvency or liquidation or similar law of any jurisdiction relating to the Company or any Significant Subsidiary thereof, (b) there is commenced against the Company or any Significant Subsidiary thereof any such case or proceeding that is not dismissed within 60 days after commencement, (c) the Company or any Significant Subsidiary thereof is adjudicated insolvent or bankrupt or any order of relief or other order approving any such case or proceeding is entered, (d) the Company or any Significant Subsidiary thereof suffers any appointment of any custodian or the like for it or any substantial part of its property that is not discharged or stayed within 60 calendar days after such appointment, (e) the Company or any Significant Subsidiary thereof makes a general assignment for the benefit of creditors, (f) the Company or any Significant Subsidiary thereof calls a meeting of its creditors with a view to arranging a composition, adjustment or restructuring of its debts, (g) the Company or any Significant Subsidiary thereof admits in writing that it is generally unable to pay its debts as they become due, (h) the Company or any Significant Subsidiary thereof, by any act or failure to act, expressly indicates its consent to, approval of or acquiescence in any of the foregoing or takes any corporate or other action for the purpose of effecting any of the foregoing.

*Appendix B*

"<u>Business Day</u>" means any day other than Saturday, Sunday or other day on which commercial banks in The City of New York are authorized or required by law to remain closed; provided, however, for clarification, commercial banks shall not be deemed to be authorized or required by law to remain closed due to "stay at home", "shelter-in-place", "non-essential employee" or any other similar orders or restrictions or the closure of any physical branch locations at the direction of any governmental authority so long as the electronic funds transfer systems (including for wire transfers) of commercial banks in The City of New York are generally are open for use by customers on such day.

"<u>Event of Default</u>" shall have the meaning set forth in Section 5.

"<u>Indebtedness</u>" means any liabilities of the Company for borrowed money and all guaranties made by the Company of borrowed money by others.

"<u>Interest Rate</u>" 15% per annum; *provided* that if (x) the Liquidity Event shall occur on or prior to the Final Maturity Date and (y) the Company shall have paid the Payment Amount (for the avoidance of doubt, other than any amounts in respect of accrued and unpaid interest on the principal amount of this Note) to the Holder on such Maturity Date, then such interest shall be waived (*i.e.*, shall be 0%) retroactive to the Original Issue Date.

"<u>Interest Payment Date</u>" means, if any of the Notes remain outstanding after the Maturity Date or an Event of Default: (i) the earlier to occur of the first (1<sup>st</sup>) or fifteenth (15<sup>th</sup>) day of the calendar month following such Maturity Date or Event of Default (as the case may be), and (ii) each one-month anniversary of such date, until payment in full of the Payment Amount has been made.

"<u>Liquidity Event</u>" means a public offering of Common Stock (or units consisting of Common Stock and warrants to purchase Common Stock), resulting in the listing for trading of the Common Stock on the New York Stock Exchange, the NYSE American, the Nasdaq Capital Market, the Nasdaq Global Market or the Nasdaq Global Select Market (or any successors to any of the foregoing).

"<u>New York City Courts</u>" shall have the meaning set forth in Section 6(d).

"<u>Note Register</u>" shall have the meaning set forth in Section 2(a).

"<u>Original Issue Date</u>" means the date of the first issuance of the Notes, regardless of any transfers of any Note and regardless of the number of instruments which may be issued to evidence such Notes.

"<u>Payment Amount</u>" means the product of: (a) the sum of (i) the outstanding principal amount of this Note, plus (ii) accrued and unpaid interest hereon, if any, plus (iii) all other amounts, costs and expenses due in respect of this Note if the Company prepays this Note prior to the Maturity Date.

*Appendix B*

"<u>Purchase Agreement</u>" means the Securities Purchase Agreement, dated as of December 16, 2022, by and among the Company and the original Holders, as amended, modified, or supplemented from time to time in accordance with its terms.

"<u>Securities Act</u>" means the Securities Act of 1933, as amended, and the rules and regulations promulgated thereunder.

"<u>Significant Subsidiary</u>" shall have the meaning set forth in Rule 1-02(w) of Regulation S-X.

**Section 2.** <u>Interest; Prepayment</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) <u>Interest Calculations</u> Interest at the Interest Rate shall be payable on each Interest Payment Date. Such interest shall accrue and be calculated on the basis of a 360-day year, consisting of twelve 30 calendar day periods, and shall accrue daily commencing on the Original Issue Date until payment in full of the outstanding principal, together with all accrued and unpaid interest and other amounts which may become due hereunder, has been made. Interest hereunder will be paid to the Person in whose name this Note is registered on the records of the Company regarding registration and transfers of this Note (the "**Note Register**").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) <u>Prepayment</u>. The Company shall have the option to prepay this Note at any time after the Original Issue Date prior to the Maturity Date at an amount equal to the Payment Amount without any premium or penalty.

**Section 3.** <u>Registration of Transfers and Exchanges</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) <u>Different Denominations</u>. This Note is exchangeable for an equal aggregate principal amount of Notes of different authorized denominations, as requested by the Holder surrendering the same. No service charge will be payable for such registration of transfer or exchange.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) <u>Investment Representations</u>. This Note has been issued subject to certain investment representations of the original Holder set forth in the Purchase Agreement and may be transferred or exchanged only in compliance with the Purchase Agreement and applicable federal and state securities laws and regulations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c) <u>Reliance on Note Register</u>. Prior to due presentment for transfer to the Company of this Note, the Company and any agent of the Company may treat the Person in whose name this Note is duly registered on the Note Register as the owner hereof for the purpose of receiving payment as herein provided and for all other purposes, whether or not this Note is overdue, and neither the Company nor any such agent shall be affected by notice to the contrary.

**Section 4.** <u>Negative Covenants</u>.

As long as any portion of this Note remains outstanding, unless the holders of at least 50.1% in principal amount of the then outstanding Notes shall have otherwise given prior written consent, the Company shall not, directly or indirectly:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) amend its charter documents, including, without limitation, its certificate of incorporation and bylaws, in any manner that materially and adversely affects any rights of the Holder unless consented to by the Holder;

*Appendix B*

(b) repay, repurchase or offer to repay, repurchase or otherwise acquire more than a de minimis number of shares of its Common Stock or Common Stock Equivalents other than as to (i) repurchases of Common Stock or Common Stock Equivalents of departing officers and directors of the Company, provided that such repurchases shall not exceed an aggregate of $25,000 for all officers and directors during the term of this Note, or (ii) shares of Common Stock and Common Stock Equivalents which do not vest or are otherwise forfeited, provided (in case of forfeiture) that such Common Stock and Common Stock Equivalents are not acquired for cash;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) repay, repurchase or offer to repay, repurchase or otherwise acquire any Indebtedness, other than (i) the Notes if on a pro-rata basis, other than regularly scheduled principal and interest payments as such terms are in effect as of the Original Issue Date, provided that such payments shall not be permitted if, at such time, or after giving effect to such payment, any Event of Default exists or occurs, and (ii) both the May 26, 2022 convertible promissory note entered into with Dragon Dynamic Funds and the July 30, 2022 convertible promissory note entered into with John Bolitho;

(d) pay cash dividends or distributions on any equity securities of the Company;

(e) enter into any material transaction with any Affiliate of the Company, unless such transaction is made on an arm's-length basis and expressly approved by a majority of the disinterested directors of the Company (even if less than a quorum otherwise required for board approval); or

(f) enter into any agreement with respect to any of the foregoing.

**Section 5.** <u>Events of Default</u>. In this Note, "<u>Event of Default</u>" means, wherever used herein, any of the following events (whatever the reason for such event and whether such event shall be voluntary or involuntary or effected by operation of law or pursuant to any judgment, decree or order of any court, or any order, rule or regulation of any administrative or governmental body):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) the
 Liquidity Event has not occurred on or prior to the Final Maturity Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) any
 default in the payment of: (i) the principal amount of any Note, or (B) interest and other
 amounts owing to a Holder on any Note, as and when the same shall become due and payable
 (whether on the Maturity Date or by acceleration or otherwise) which default, solely in the
 case of an interest payment or other default under clause (ii) above, is not cured within
 five (5) Business Days;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c) the
 Company shall fail to observe or perform any other covenant or agreement contained in the
 Notes or in any Transaction Document, which failure is not cured, if possible to cure, within
 the earlier to occur of (i) five (5) Business Days after notice of such failure sent by the
 Holder or by any other Holder to the Company and (ii) seven (7) Business Days after the Company
 has become or should have become aware of such failure;

*Appendix B*

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d) a
 default or event of default (subject to any grace or cure period provided in the applicable
 agreement, document or instrument) shall occur under (i) any of the Transaction Documents
 or (ii) any other agreement, lease, document or instrument to which the Company is obligated
 (and not covered by clause (g) below) if such default or event of default (in the case of
 clause (ii) only) will have a Material Adverse Effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;e) any
 material representation or warranty made in this Note, any other Transaction Documents, any
 written statement pursuant hereto or thereto or any other report, financial statement or
 certificate made or delivered to the Holder or any other Holder shall be untrue or incorrect
 in any material respect as of the date when made;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;f) the
 Company or any Significant Subsidiary shall be subject to a Bankruptcy Event;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;g) except
 with respect to the May 26, 2022 convertible promissory note the Company entered into with
 Dragon Dynamic Funds or the July 30, 2022 convertible promissory note that the Company entered
 into with John Bolitho, for which a default has already occurred, the Company shall default
 on any of its obligations under any mortgage, credit agreement or other facility, indenture
 agreement, factoring agreement or other instrument under which there may be issued, or by
 which there may be secured or evidenced, any Indebtedness for borrowed money or money due
 under any long term leasing or factoring arrangement that (i) involves an obligation greater
 than $100,000, whether such Indebtedness now exists or shall hereafter be created, and (ii)
 results in such Indebtedness becoming or being declared due and payable prior to the date
 on which it would otherwise become due and payable; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;h) a
 final non-appealable judgment by any competent court in the United States for the payment
 of money in an amount of at least $100,000 is rendered against the Company, and the same
 remains undischarged and unpaid for a period of 60 days during which execution of such judgment
 is not effectively stayed.

If any Event of Default occurs, the Payment Amount shall become, at the Holder's election, immediately due and payable in cash. Upon the payment in full of the Payment Amount in accordance with the terms of this Note, the Holder shall promptly surrender this Note to or as directed by the Company. In connection with such acceleration described herein, the Holder need not provide, and the Company hereby waives, any presentment, demand, protest or other notice of any kind, and the Holder may immediately and without expiration of any grace period enforce any and all of its rights and remedies hereunder and all other remedies available to it under applicable law. Such acceleration may be rescinded and annulled by Holder at any time prior to payment hereunder and the Holder shall have all rights as a holder of the Note until such time, if any, as the Holder receives full payment of this Note. No such rescission or annulment shall affect any subsequent Event of Default or impair any right consequent thereon.

*Appendix B*

**Section 6.** <u>Miscellaneous</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) <u>Notices</u>. Any and all notices or other communications or deliveries to be provided by the Holder hereunder shall be in writing and delivered personally, by email attachment, or sent by a nationally recognized overnight courier service, addressed to the Company, at the address set forth in the Purchase Agreement, or such other, email address, or address as the Company may specify for such purposes by notice to the Holder delivered in accordance with this Section 6(a). Any and all notices or other communications or deliveries to be provided by the Company hereunder shall be in writing and delivered personally, by facsimile, by email attachment, or sent by a nationally recognized overnight courier service addressed to each Holder at the facsimile number, email address or address of the Holder appearing on the books of the Company, or if no such facsimile number or email attachment or address appears on the books of the Company, at the address of such Holder, as set forth in the Purchase Agreement. Any notice or other communication or deliveries hereunder shall be deemed given and effective on the earliest of: (i) the date of transmission, if such notice or communication is delivered via facsimile or email attachment prior to 5:30 p.m. (Pacific time) on any Business Day, (ii) the next Business Day after the date of transmission, if such notice or communication is delivered via facsimile or email attachment on a day that is not a Business Day or later than 5:30 p.m. (Pacific time) on any Business Day, (iii) the second Business Day following the date of mailing, if sent by U.S. nationally recognized overnight courier service, or (iv) upon actual receipt by the party to whom such notice is required to be given.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) <u>Absolute Obligation</u>. Except as expressly provided herein, no provision of this Note shall alter or impair the obligation of the Company, which is absolute and unconditional, to pay the principal of, and accrued interest on, as applicable, this Note at the time, place, and rate, and in the coin or currency, herein prescribed. This Note is a direct debt obligation of the Company. This Note ranks *pari-passu* with all other Notes now or hereafter issued under the terms set forth herein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c) <u>Lost or Mutilated Note</u>. If this Note shall be mutilated, lost, stolen or destroyed, the Company shall execute and deliver, in exchange and substitution for and upon cancellation of a mutilated Note, or in lieu of or in substitution for a lost, stolen or destroyed Note, a new Note for the principal amount of this Note so mutilated, lost, stolen or destroyed, but only upon receipt of evidence of such loss, theft or destruction of such Note, and of the ownership hereof, reasonably satisfactory to the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d) <u>Governing Law</u>. All questions concerning the construction, validity, enforcement and interpretation of this Note shall be governed by and construed and enforced in accordance with the internal laws of the State of New York, without regard to the principles of conflict of laws thereof. Each party agrees that all legal proceedings concerning the interpretation, enforcement and defense of the transactions contemplated by any of the Transaction Documents (whether brought against a party hereto or its respective Affiliates, directors, officers, shareholders, employees or agents) shall be commenced exclusively in the state and federal courts sitting in the City of New York, New York (the "**New York City Courts**"). Each party hereto hereby irrevocably submits to the exclusive jurisdiction of the New York City Courts for the adjudication of any dispute hereunder or in connection herewith or with any transaction contemplated hereby or discussed herein (including with respect to the enforcement of any of the Transaction Documents), and hereby irrevocably waives, and agrees not to assert in any suit, action or proceeding, any claim that it is not personally subject to the jurisdiction of such New York City Courts, or such New York City Courts are improper or inconvenient venue for such proceeding. Each party hereby irrevocably waives personal service of process and consents to process being served in any such suit, action or proceeding by mailing a copy thereof via registered or certified mail or overnight delivery (with evidence of delivery) to such party at the address in effect for notices to it under this Note and agrees that such service shall constitute good and sufficient service of process and notice thereof. Nothing contained herein shall be deemed to limit in any way any right to serve process in any other manner permitted by applicable law. Each party hereto hereby irrevocably waives, to the fullest extent permitted by applicable law, any and all right to trial by jury in any legal proceeding arising out of or relating to this Note or the transactions contemplated hereby. If any party shall commence an action or proceeding to enforce any provisions of this Note, then the prevailing party in such action or proceeding shall be reimbursed by the other party for its attorney's fees and other costs and expenses incurred in the investigation, preparation and prosecution of such action or proceeding.

*Appendix B*

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;e) <u>Waiver</u>. Any waiver by the Company or the Holder of a breach of any provision of this Note shall not operate as or be construed to be a waiver of any other breach of such provision or of any breach of any other provision of this Note. The failure of the Company or the Holder to insist upon strict adherence to any term of this Note on one or more occasions shall not be considered a waiver or deprive that party of the right thereafter to insist upon strict adherence to that term or any other term of this Note on any other occasion. Any waiver by the Company or the Holder must be in writing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;f) <u>Severability</u>. If any provision of this Note is invalid, illegal or unenforceable, the balance of this Note shall remain in effect, and if any provision is inapplicable to any Person or circumstance, it shall nevertheless remain applicable to all other Persons and circumstances. If it shall be found that any interest or other amount deemed interest due hereunder violates the applicable law governing usury, the applicable rate of interest due hereunder shall automatically be lowered to equal the maximum rate of interest permitted under applicable law. The Company covenants (to the extent that it may lawfully do so) that it shall not at any time insist upon, plead, or in any manner whatsoever claim or take the benefit or advantage of, any stay, extension or usury law or other law which would prohibit or forgive the Company from paying all or any portion of the principal of or interest on this Note as contemplated herein, wherever enacted, now or at any time hereafter in force, or which may affect the covenants or the performance of this Note, and the Company (to the extent it may lawfully do so) hereby expressly waives all benefits or advantage of any such law, and covenants that it will not, by resort to any such law, hinder, delay or impede the execution of any power herein granted to the Holder, but will suffer and permit the execution of every such as though no such law has been enacted.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;g) <u>Remedies, Characterizations, Other Obligations, Breaches and Injunctive Relief</u>. The remedies provided in this Note shall be cumulative and in addition to all other remedies available under this Note and any of the other Transaction Documents at law or in equity (including a decree of specific performance and/or other injunctive relief), and nothing herein shall limit the Holder's right to pursue actual and consequential damages for any failure by the Company to comply with the terms of this Note. The Company covenants to the Holder that there shall be no characterization concerning this instrument other than as expressly provided herein. Amounts set forth or provided for herein with respect to payments and the like (and the computation thereof) shall be the amounts to be received by the Holder and shall not, except as expressly provided herein, be subject to any other obligation of the Company (or the performance thereof). The Company acknowledges that a breach by it of its obligations hereunder will cause irreparable harm to the Holder and that the remedy at law for any such breach may be inadequate. The Company therefore agrees that, in the event of any such breach or threatened breach, the Holder shall be entitled, in addition to all other available remedies, to an injunction restraining any such breach or any such threatened breach, without the necessity of showing economic loss and without any bond or other security being required. The Company shall provide all information and documentation to the Holder that is reasonably requested by the Holder to enable the Holder to confirm the Company's compliance with the terms and conditions of this Note.

*Appendix B*

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;h) <u>Next Business Day</u>. Whenever any payment or other obligation hereunder shall be due on a day other than a Business Day, such payment shall be made on the next succeeding Business Day.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;i) <u>Headings</u>. The headings contained herein are for convenience only, do not constitute a part of this Note and shall not be deemed to limit or affect any of the provisions hereof.

**Section 7.** <u>Amendments; Waivers</u>.

Any modifications, amendments or waivers of the provisions hereof shall be subject to Section 5.05 of the Purchase Agreement.

**Section 8.** <u>Equal Treatment of Holders</u>.

No consideration (including any modification of this Note) shall be offered or paid to any Person (as such term is defined in the Purchase Agreement) to amend or consent to a waiver or modification of any provision hereof unless the same consideration is also offered to all of the parties to the Purchase Agreement. Further, the Company shall not make any payment of principal or interest on the Notes in amounts which are disproportionate to the respective principal amounts outstanding on the Notes at any applicable time. For clarification purposes, this provision constitutes a separate right granted to each Holder by the Company and negotiated separately by each Holder and is intended for the Company to treat the Holders as a class and shall not in any way be construed as the Holders acting in concert or as a group with respect to the purchase or disposition of the Notes or otherwise.

**Section 9.** <u>Usury</u>.

To the extent it may lawfully do so, the Company hereby agrees not to insist upon or plead or in any manner whatsoever claim and will resist any and all efforts to be compelled to take the benefit or advantage of, usury laws wherever enacted, now or at any time hereafter in force, in connection with any Action or Proceeding that may be brought by any Holder in order to enforce any right or remedy under any Transaction Document. Notwithstanding any provision to the contrary contained in any Transaction Document, it is expressly agreed and provided that the total liability of the Company under the Transaction Documents for payments in the nature of interest shall not exceed the maximum lawful rate authorized under applicable law (the "**Maximum Rate**"), and, without limiting the foregoing, in no event shall any rate of interest or default interest, or both of them, when aggregated with any other sums in the nature of interest that the Company may be obligated to pay under the Transaction Documents exceed such Maximum Rate. It is agreed that if the maximum contract rate of interest allowed by law and applicable to the Transaction Documents is increased or decreased by statute or any official governmental action subsequent to the date hereof, the new maximum contract rate of interest allowed by law will be the Maximum Rate applicable to the Transaction Documents from the effective date thereof forward, unless such application is precluded by applicable law. If under any circumstances whatsoever, interest in excess of the Maximum Rate is paid by the Company to any Holder with respect to indebtedness evidenced by the Transaction Documents, such excess shall be applied by such Holder to the unpaid principal amount of any such indebtedness or be refunded to the Company, the manner of handling such excess to be at such Holder's election.

*(Signature Page Follows)*

 

**IN WITNESS WHEREOF**, the Company has caused this Note to be duly executed by a duly authorized officer as of the date first above indicated.

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| | |
|:---|:---|
| **ELEPHANT OIL CORP.** | **ELEPHANT OIL CORP.** |
| By: | /s/ Matthew Lofgran |
| Name: | Matthew Lofgran |
| Title: | Chief Executive Officer |

---

## Exhibit 23.1

**Exhibit 23.1**

**CONSENT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM**

We hereby consent to the incorporation in this Registration Statement on Form S-1-A6 of our report dated December 6, 2022, relating to the financial statements of Elephant Oil Corp. for the years ended June 30, 2022 and 2021 and to all references to our firm included in this Registration Statement.

/s/ BF Borgers CPA PC

Certified Public Accountants

Lakewood, CO

January 6, 2023