| Commitments, Significant Contracts and Contingencies |
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17.
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Commitments, Significant Contracts and Contingencies |
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Management and Service Agreements:
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As at February 28, 2021, the Company is party to the following contractual commitments:
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Party
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Monthly Commitment
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Expiry Date
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C.A.B Financial Services
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CAD $29,706
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January 1, 2022
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Docherty Management Ltd.
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CAD $25,609
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January 1, 2022
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M&E Services Ltd.
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CAD $13,997
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June 1, 2021
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Office Management
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CAD $10,800
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August 15, 2022
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Research & Development
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CAD $3,854
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Month to Month
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Office operating lease(1)
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CAD $4,823
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November 15, 2023
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Right of Use Assets - Operating Lease
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(1)
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Corporate office and R&D lab space leased in Kelowna, British Columbia, Canada until November 15, 2023 with an option to extend an additional five years. In addition to minimum lease payments, the lease requires us to pay property taxes and operating costs which are subject to annual adjustments.
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Right of use assets - operating leases:
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$
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Additions
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118,193 |
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Amortization
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(8,887 |
) |
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Total right of use assets (February 28, 2021)
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109,306 |
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Liabilities:
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Additions
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116,664 |
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Lease payments
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(10,987 |
) |
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Interest accretion
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2,061 |
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Total lease liabilities (February 28, 2021)
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107,738 |
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Operating lease cost as at February 28, 2021
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Operating cash flows for lease
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10,948 |
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Remaining lease term
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2.5 Years
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Discount rate
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7.25 |
% |
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Pursuant to the terms of the Company's lease agreements in effect, the following table summarizes the Company's maturities of operating lease liabilities as of February 28, 2021:
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2021
|
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21,975 |
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2022
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44,599 |
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2023
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44,815 |
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2024
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7,469 |
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Thereafter
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— |
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Total lease payments
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118,857 |
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Less: imputed interest
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(11,119 |
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Present value of operating lease liabilities
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107,737 |
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Less: current obligations under leases
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(37,582 |
) |
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Total
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70,156 |
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