Is Trio Petroleum (TPET) stock Halal?

Trio Petroleum is an energy company primarily engaged in the exploration and development of oil and natural gas reserves. Its main focus is on identifying and exploiting hydrocarbon-rich prospects to maximize output and resource recovery. The company operates in the upstream sector of the petroleum industry, where it seeks opportunities in both conventional and unconventional resource plays. Before any of that matters to a Muslim investor, one question comes first: is Trio Petroleum stock Halal?

Is Trio Petroleum Shariah compliant?

No. In the October 2026 screening Trio Petroleum (TPET) does not pass AAOIFI screening: it fails the interest-bearing investments screen. For a resources company like Trio Petroleum, AAOIFI Shariah Standard No. 21 has little quarrel with the product; the scrutiny falls on the financing. Heavy machinery and long project cycles are usually funded with debt, and the standard tolerates interest bearing borrowing only below 30% of market capitalisation.

Does Trio Petroleum pass the business activity test?

The activity screen is only part of the picture this month: Trio Petroleum currently fails the interest-bearing investments screen, so the overall verdict is not compliant regardless of the business itself. The activity itself, extracting and selling resources, raises no Shariah objection; the scrutiny belongs to the financing.

Is Trio Petroleum's income Halal?

Yes, within AAOIFI's tolerance. Trio Petroleum's income from non-permissible sources stays below 5% of revenue in the October 2026 screening.

Does Trio Petroleum meet AAOIFI's debt and investment ratio requirements?

Not in full. Interest bearing investments currently exceed the 30% cap, measured against a market capitalisation of $9M (market data as of 1 October 2026), while the other ratio stays within it. One breach is enough to fail the screening; the ratios are reassessed monthly under our Shariah Supervisory Board.

Why do other halal screeners show a different verdict for Trio Petroleum?

Screeners can disagree without either being wrong. AAOIFI Shariah Standard No. 21, which Tabadulat applies, measures interest bearing debt and investments against market capitalisation with a 30% ceiling. MSCI and FTSE measure them against total assets with a 33% ceiling, and S&P and Dow Jones Islamic use a multi year average of market capitalisation. Data dates differ too, because each provider reads filings and prices on its own schedule. The same company can therefore pass one standard and fail another in the same month. Tabadulat publishes one answer, the AAOIFI result as of October 2026, and re-screens it every month.

Tabadulat is an ADGM regulated brokerage whose license covers Shari'a Compliant Regulated Activities, as the FSRA permission names them. New to the terminology? Gharar and Maysir, Sukuk, Zakat and purification are all explained in plain English.

New to the screening method? Read AAOIFI Standards Explained: What Makes a Stock Halal?