Quarterly report pursuant to Section 13 or 15(d)

Stock Options

v3.3.1.900
Stock Options
3 Months Ended
Nov. 30, 2015
Stock Options [Text Block]
10.

Stock Options

On September 16, 2015, the Company granted 100,000 stock options to an Officer of the Company. The exercise price of the stock options is $0.19, vesting immediately and expiring on September 16, 2020.

For the three months ended November 30, 2015, the Company recorded $18,873 (November 30, 2014 – $Nil) stock based compensation expenses which has been included in consulting fees.

A summary of the changes in stock options for the three months ended November 30, 2015 is presented below:

 

 

        Options Outstanding  
 

 

        Weighted  
 

 

        Average  
 

 

  Number     Exercise  
 

 

  of Shares     Price  
 

Balance, August 31, 2015

  3,700,000   $ 0.17  
 

Expired

  (50,000 )   0.60  
 

Granted

  100,000     0.19  
 

Balance, November 30, 2015

  3,750,000   $ 0.17  

The fair value of options granted has been estimated as of the date of the grant by using the Black-Scholes option pricing model with the following assumptions:

 

 

November 30, August 31,
 

 

2015 2015
 

Expected volatility

243%- 249% 243%- 249%
 

Risk-free interest rate

1.47 - 1.68% 1.47 - 1.68%
 

Expected life

5.00 years 5.00 years
 

Dividend yield

0.00% 0.00%
 

Estimated fair value per option

$0.08 -$0.10 $0.08 -$0.10

A summary of the stock options as at ended November 30, 2015 is presented below:

  November 30, 2015         Options outstanding           Options exercisable  
                                       
  Range of Exercise   Number     Weighted     Weighted     Number     Weighted average     Weighted  
  prices   of shares     average     average exercise     of shares     remaining     average  
            remaining     price           contractual life     exercise price  
            contractual life                          
  $0.35   450,000     0.61 years   $ 0.35     450,000     0.86years   $ 0.35  
  $0.10   400,000     2.55 years   $ 0.10     400,000     2.80 years   $ 0.10  
  $0.25   625,000     3.65 years   $ 0.25     625,000     3.90 years   $ 0.25  
  $0.11   1,425,000     4.06 years     0.11     1,325,000     4.30 years     0.11  
  $0.10   250,000     4.18 years   $ 0.10     250,000     4.43 years   $ 0.10  
  $0.10   500,000     4.32 years   $ 0.10     500,000     4.57 years   $ 0.10  
  $0.19   100,000     4.80 years   $ 0.19     100,000     4.80 years   $ 0.19  
                $                 $    
  Total   3,750,000     3.48 years   $ 0.16     3,650,000     3.47 years   $ 0.16  

 

  August 31, 2015         Options outstanding           Options exercisable  
                                       
  Range of   Number     Weighted average     Weighted     Number     Weighted average     Weighted  
  Exercise prices   of shares     remaining       average exercise     of shares     remaining     average  
            contractual life     price           contractual life     exercise price  
      450,000     0.86 years   $ 0.35     450,000     0.86 years   $ 0.35  
  $0.10   400,000     2.80 years   $ 0.10     400,000     2.80 years   $ 0.10  
  $0.60   50,000     3.57 years   $ 0.60     50,000     3.57 years   $ 0.60  
  $0.25   625,000     3.90 years   $ 0.25     625,000     3.90 years   $ 0.25  
  $0.11   1,425,000     4.31 years   $ 0.11     1,325,000     4.30 years   $ 0.11  
  $0.10   250,000     4.43 years   $ 0.10     250,000     4.43 years   $ 0.10  
  $0.10   500,000     4.57 years     0.10     500,000     4.57 years     0.10  
  Total   3,700,000     3.69 years   $ 0.17     3,600,000     3.68 years   $ 0.17