STOCK OPTIONS AND WARRANTS
9 Months Ended
May 31, 2021
Share-based Payment Arrangement [Abstract]  
STOCK OPTIONS AND WARRANTS [Text Block]

9.    STOCK OPTIONS AND WARRANTS

Stock Options

On July 15, 2014, the shareholders approved and adopted at the Annual General Meeting the Company's 2014 Stock Option Plan.  On April 14, 2011, the shareholders approved and adopted at the Annual General Meeting to consolidate the Company's 2007 Equity compensation plan and the Company's 2010 Equity Compensation Plan into a new Company 2011 Stock Option Plan.  The purpose of these Plans is to advance the interests of the Corporation, through the grant of Options, by providing an incentive mechanism to foster the interest of eligible persons in the success of the Corporation and its affiliates; encouraging eligible persons to remain with the Corporation or its affiliates; and attracting new Directors, Officers, Employees and Consultants.

On November 12, 2020, the Company issued 500,000 stock options to one of the consultants of the Company with an exercise price of $0.05 vested immediately, expiring November 12, 2025.

On December 14, 2020, the Company issued 2,100,000 stock options to consultants and officers of the Company with an exercise price of $0.05 vested immediately, expiring December 14, 2025.

On January 28, 2021, the Company issued 2,000,000 stock options to one of the consultants of the Company with an exercise price of $0.14 vested immediately, expiring January 28, 2026.

On February 4, 2021, the Company issued 100,000 stock options to one of the consultants of the Company with an exercise price of $0.18 vested immediately, expiring February 4, 2026.

On February 5, 2021, the Company issued 300,000 stock options to three of the consultants of the Company with an exercise price of $0.18 vested immediately, expiring February 5, 2026.

On April 27, 2021, the Company issued 100,000 stock options to one of the consultants of the Company with an exercise price of $0.12 vested immediately, expiring April 27, 2026.

 

On May 28, 2021, the Company issued 50,000 stock options to one of the consultants of the Company with an exercise price of $0.12 vested immediately, expiring May 28, 2026.

 

The fair value of the options granted was estimated on the date of the grant using the Black-Scholes options pricing model, with the following weighted average assumptions:

Expected dividend yield

0.00%

Expected stock volatility

98%

Risk-free interest rate

0.41%

Expected life of options (years)

5.00

Expected forfeiture rate

0.00%

Grant date fair value per option

$0.06

 

During the nine month period ended May 31, 2021, the Company recorded $297,691 (May 31, 2020 - $17,308) as stock based compensation expenses. The Company issued 2,920,000 (May 31, 2020: Nil) common shares of the Company as a result of exercised stock options for gross proceeds of $89,048. A total of 1,100,000 stock options expired without being exercised (May 31, 2020: 1,000,000).

 

A summary of the changes in stock options for the nine months ended May 31, 2021 is presented below:

          Options Outstanding  
          Weighted Average  
    Number of Shares     Exercise Price  
Balance, August 31, 2019   8,320,000   $ 0.07  
Issued   2,000,000     0.02  
Expired   (1,000,000 )   0.10  
Balance, August 31, 2020   9,320,000   $ 0.06  
Issued   5,150,000     0.10  
Expired   (1,100,000 )   0.05  
Exercised   (3,193,224 )   0.04  
Balance, May 31, 2021   10,176,776   $ 0.08  

 

The Company has the following options outstanding and exercisable: 

 

 

May 31, 2021

 

 

Issue Date

Expiry Date

Exercise Price

Number of Options

Remaining Life

September 19, 2016

September 19, 2021

0.07

500,000*

0.30 years

January 20, 2017

January 20, 2022

0.07

1,200,000*

0.64 years

January 31, 2017

January 31, 2022

0.07

1,250,000*

0.67 years

May 2, 2017

May 2, 2022

0.10

500,000

0.92 years

October 27, 2017

October 27, 2022

0.05

800,000*

1.41 years

May 11, 2018

May 11, 2023

0.06

500,000*

1.95 years

May 22, 2018

May 22, 2023

0.07

550,000*

1.98 years

February 25, 2020

February 25, 2022

0.02

226,776*

0.74 years

December 14, 2020

December 14, 2025

0.05

2,100,000*

4.54 years

January 28, 2021

January 28, 2026

0.14

2,000,000

4.67 years

February 4, 2021

February 4, 2026

0.18

100,000

4.68 years

February 5, 2021

February 5, 2026

0.18

300,000

4.69 years

April 27, 2021

April 27, 2026

0.12

100,000

4.91 years

May 28, 2021

May 28, 2026

0.12

50,000

4.99 years

 

 

 

 

 

 

 

0.08

10,176,776

2.66 years

*As at May 31, 2021 the market price of the Company's common shares was $0.0965 per share. A total of 7,126,776 incentive stock options were in the money with an intrinsic value of $263,198.

August 31, 2020

 

 

Issue Date

Expiry Date

Exercise Price

Number of Options

Remaining Life

October 23, 2015

October 23, 2020

0.05

1,100,000

0.15 years

September 19, 2016

September 19, 2021

0.07

800,000

1.05 years

January 20, 2017

January 20, 2022

0.07

1,535,000

1.39 years

January 31, 2017

January 31, 2022

0.07

1,500,000

1.42 years

May 2, 2017

May 2, 2022

0.10

500,000

1.67 years

October 27, 2017

October 27, 2022

0.05

800,000

2.16 years

May 11, 2018

May 11, 2023

0.06

535,000

2.70 years

May 22, 2018

May 22, 2023

0.07

550,000

2.73 years

February 25, 2020

February 25, 2022

0.02

2,000,000

1.49 years

 

 

 

 

 

 

 

0.06

9,320,000

1.48 years

 

Warrants

During the period ended May 31, 2021 the Company issued 1,500,000 warrants attached to units in a private placement, see Note 8.

A summary of warrants as at May 31, 2021 and August 31, 2020 is as follows:

          Weighted Average  
    Number of warrants     Exercise Price  
Balance, August 31, 2019   26,141,459   $ 0.06  
Expired   (12,904,590 )   0.07  
Balance, August 31, 2020   13,236,869   $ 0.06  
Issued   1,500,000     0.09  
Exercised   (40,000 )   0.04  
Balance, May 31, 2021   14,696,869   $ 0.05  

The Company has the following warrants outstanding: 

May 31, 2021

 

Issue Date

Expiry Date

Exercise Price

Number of Warrants*

August 31, 2018

August 31, 2021

0.05

4,800,000

September 21, 2018

September 21, 2021

0.05

2,427,500

March 27, 2019

March 27, 2023

0.04

5,969,369

January 14, 2021

January 14, 2022

0.09

1,500,000

 

 

 

 

 

 

0.05

14,696,869

*Each warrant entitles a holder to purchase one common share.

August 31, 2020

 

Issue Date

Expiry Date

Exercise Price

Number of Warrants*

August 31, 2018

August 31, 2021

0.05

4,800,000

September 21, 2018

September 21, 2021

0.05

2,427,500

March 27, 2019

March 27, 2023

0.04

6,009,369

 

 

 

 

 

 

0.05

13,236,869