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STOCKHOLDERS' EQUITY
 6 Months Ended
Jun. 30, 2026
Stockholders' Equity Note [Abstract]  
STOCKHOLDERS' EQUITY [Text Block]

6. STOCKHOLDERS' EQUITY

a) Common stock

The Company has 200,000,000 shares authorized with a par value of $0.00001 per share. Common Stock are voting and are entitled to dividends as declared at the discretion of the Board of Directors.

On May 27, 2026, the Company issued 5,223,879 Common Shares at a price of $3.35 per share, in relation to a Private Investment in Public Equity ("PIPE") financing for gross proceeds of $17,499,995. The Company paid share issuance costs of $1,267,000 in cash, and incurred a further $93,015 in accounts payable and accrued liabilities, in connection with the PIPE financing.

b) Warrants

A summary of Common Stock warrant activity during the six months ended June 30, 2026 is as follows:

   

Number of

warrants

    

Weighted

average

exercise price

    

Weighted

average

remaining life

in years

    

Aggregate

intrinsic value

  
Outstanding, January 1, 2026   6,346,420   $ 0.39     2.73   $ 71,478,245  
Exercised   (3,722,500 )   0.33              
Outstanding, June 30, 2026   2,623,920   $ 0.47     2.26   $ 12,730,132  
Exercisable, June 30, 2026   2,623,920   $ 0.47     2.26   $ 12,730,132  

c) Options

A summary of Common Stock option activity during the six months ended June 30, 2026 is as follows:

   

Number

of options

    

Weighted

average exercise

price

    

Weighted

average

remaining life in

years

    

Aggregate

intrinsic value

  
Outstanding, January 1, 2026   2,415,000   $ 3.59     4.63   $ 19,464,900  
Granted   270,000     4.18              
Forfeited   (1,390,000 )   3.59              
Outstanding, June 30, 2026   1,295,000   $ 3.71     4.31   $ 2,081,050  
Exercisable, June 30, 2026   1,025,000   $ 3.59     4.13   $ 1,773,250  

On June 25, 2026, the Company granted 270,000 stock options with exercise price of $4.18 per share, and expiry date on June 25, 2031. The stock options have a vesting cadence of 25% upon 12 months from the date of grant, and the remainder vesting in equal monthly amounts over the next 24 months from the vesting of the initial 25%.

During the six months ended June 30, 2026, the Company recognized negative stock compensation of ($99,524) in connection with the stock options. On February 19, 2026, 1,390,000 options were forfeited upon the resignation of the former CEO, the former corporate secretary and spouse of the former CEO, and two immediate family members of the former CEO. The Company reversed $1,081,160 in stock compensation expense related to these forfeitures during the six months ended June 30, 2026. Future unrecognized stock-based compensation expense arising from the options amount to $658,971, which will be recognized over the next 2.99 years.

During the three months ended June 30, 2026, the Company recognized stock compensation expense of $454,238 within selling, general and administrative expenses.

During the six months ended June 30, 2026, the Company recognized stock compensation expense of ($99,524) within selling, general and administrative expenses.

The Company valued stock options using the Black-Scholes model. Based on the below inputs, the Company determined that the options had a fair value of $661,991 upon issuance during the three and six months ended June 30, 2026.

    June 25, 2026  
Expected volatility   75.91%  
Expected term (years)   3.39  
Risk-free interest rate   4.12%  
Dividend yield   0%  

 

d) Restricted share units ("RSUs")

A summary of RSU activity during the six months ended June 30, 2026 is as follows:

   

Number

of RSUs

  
Unvested, January 1, 2026   2,170,750  
Granted   375,000  
Settled   (2,295,749 )
Unvested, June 30, 2026   250,001  

On June 25, 2026, the Company granted 375,000 RSUs with grant date fair value of $4.38 per share. The RSUs have a vesting cadence of one-third upon grant, and the remainder vesting in equal annual tranches over the two anniversaries from the grant date.

The Company recognized $2,213,740 in stock-based compensation related to the RSUs vested during the three months ended June 30, 2026, recognized within selling, general and administrative expenses.

The Company recognized $4,564,276 in stock-based compensation related to the RSUs vested during the six months ended June 30, 2026, recognized within selling, general and administrative expenses.

Future unrecognized stock-based compensation expense arising from the RSUs amount to $1,095,000, which will be recognized over the next 1.99 years.