v3.25.2
Share Capital
 6 Months Ended
Jun. 30, 2025
Share Capital [Abstract]  
SHARE CAPITAL
5. SHARE CAPITAL

 

  a) Authorized share capital

 

The Company is authorized to issue an unlimited number of common stock. The Company had 4,901,677 shares of common stock outstanding as of June 30, 2025 and December 31, 2024.

 

  b) Issued share capital

 

During the six month periods ended June 30, 2025 and 2024, the Company did not issue share capital. 

 

  c) Stock options

 

The Company may grant incentive stock options to its officers, directors, employees, and consultants. The Company has implemented a rolling Stock Option Plan (the “Plan”) whereby the Company can issue up to 10% of the issued and outstanding common shares of the Company. Options have a maximum term of ten years and vesting is determined by the Board of Directors.

 

A continuity schedule of outstanding stock options is as follows:

 

   Number
Outstanding		   Weighted
Average
Exercise Price		 
       ($) 
Balance – December 31, 2024   2,555    64.99 
Granted   399,078    2.18 
Exercised   
-
    
-
 
Forfeited   
-
    
-
 
Balance – June 30, 2025   401,633    2.58 
Vested and exercisable   250,383    2.82 

 

For the three months ended June 30, 2025 and 2024 the Company recorded share-based compensation of $21,476 and none, respectively. For the six months ended June 30, 2025 and 2024 the Company recorded share-based compensation of $387,476 and $160,865, respectively, relating to options vested during the period. The remaining share-based compensation to be recognized is over the vesting term of the unvested options is $235,843 as of June 30, 2025. The remaining expense is expected to be recognized over a weighted-average period of approximately 2.75 years.

 

The fair value of the options granted during the six months ended June 30, 2025 was $1.56 per share. No options were granted during the six months ended June 30, 2024.

 

The intrinsic value represents the difference between the fair market value of the Company’s common stock on the date of exercise and the exercise price of each option. Based on the fair market value of the Company’s common stock at June 30, 2025 the total intrinsic value of all outstanding options was $59,900.

 

The Company used the following assumptions in calculating the fair value of stock options for the period ended:

 

   June 30,
2025		   June 30,
2024		 
Risk-free interest rate   4.03%   3.93%
Expected life of options   5 years    3.38 years 
Expected dividend yield   Nil    Nil 
Volatility   98.83%   132.65%
  d) Share purchase warrants

 

During the year ended December 31, 2024, the Company:

 

  i) Issued 1,077,586 common stock warrants in conjunction with the conversion of the Senior Note issuance, with an exercise price of $4.00 per share.

 

At June 30, 2025, the Company had share purchase warrants outstanding as follows:

 

Expiration Date 

Warrants

Outstanding

  

Exercise

Price

   Weighted Average Remaining Life 
       ($)   (years) 
January 20, 2026(1)   7,030    1,800.00    0.58 
February 28, 2027   20,689    460.80    1.57 
December 6, 2027   13,781    20.00    2.32 
December 9, 2027   9,876    17.60    2.32 
January 18, 2028   25,906    124.80    2.58 
February 2, 2028   10,938    14.40    2.58 
October 17, 2028   543,468    3.68    3.08 
October 17, 2028   24,457    4.05    3.08 
December 24, 2029   1,077,586    4.00    4.17 
    1,733,741    18.71    3.71 

 

(1) Unit A warrant balance is 7,030 as of June 30, 2025.