Trio Petroleum farms into Croverro Lloydminster heavy-oil program

Trio Petroleum Corp announced execution of a farm-in and development agreement with Calgary-based Croverro Energy Ltd. for a Lloydminster heavy-oil multilateral program comprising up to 14 new drilling opportunities—five in Alberta and nine in Saskatchewan—plus re-entry and producing-property elements.

Trio is using a farm-in structure to option into a multi-well Canadian heavy-oil development rather than buying a large producing package outright.

The farm-in

On September 21, 2026, Trio Petroleum Corp (NYSE American: TPET) said it executed a farm-in and development agreement with Croverro Energy Ltd., a Calgary heavy-oil operator focused on multilateral horizontal development in the Lloydminster region of Alberta and Saskatchewan. The press release describes up to 14 new multilateral drilling opportunities—five in Alberta and nine in Saskatchewan—together with re-entry and producing-property acquisition components, framed as a multi-year development earning program.

Earning mechanics

Per the Item 1.01 summary, Croverro is to notice the first earning program by October 1, 2026. If Trio Canada participates, it pays a $450,000 prospect fee; if it declines, the agreement terminates. After the initial program, Trio may optionally participate in up to six additional earning programs; declining any subsequent program ends Croverro’s obligation to offer further programs (subject to stated exceptions), with pro rata prospect-fee reimbursement for unparticipated programs. Croverro starts as operator, with Trio step-in rights on specified change-of-control or key-personnel events.

Trio cast the deal as part of a strategy to build a larger Canadian oil and gas business via acquisitions, development drilling, and operating partnerships, while continuing to evaluate additional producing-property opportunities.