XML 40 R27.htm IDEA: XBRL DOCUMENT v3.5.0.2
CAPITAL STOCK (Tables)
 9 Months Ended
Sep. 30, 2016
Stockholders' Equity Note [Abstract]  
Schedule of share-based payment award, stock options, valuation assumptions
The following weighted average assumptions were used for the Black-Scholes option pricing model to calculate the $3.17 million of fair value for the 4,168,750 warrants issued in connection with the public offering in September 2016.
Risk-free rate
1.2%
Expected life
5.0 years
Expected volatility
145.2%*
Expected dividend yield
—%
*
Expected volatility is measured based on the Company’s historical share price volatility over the expected life of the warrants.
The following weighted average assumptions were used for the Black-Scholes option pricing model to calculate the less than $0.01 million of fair value for the 1,224,000 warrants at September 30, 2016.
Risk-free rate
0.29%
Expected life
0.3 years
Expected volatility
33.3%*
Expected dividend yield
—%
The following weighted average assumptions were used for the Black-Scholes option pricing model to calculate the $0.74 million of fair value for the 2,515,625 warrants at September 30, 2016.
Risk-free rate
0.88%
Expected life
2.5 years
Expected volatility
97.6%*
Expected dividend yield
—%
The following weighted average assumptions were used for the Black-Scholes option pricing model to calculate the $2.09 million of fair value for the 2,515,625 warrants issued in connection with the public offering in March 2016.
Risk-free rate
1.15%
Expected life
3.0 years
Expected volatility
106.0%*
Expected dividend yield
—%
*
Expected volatility is measured based on the Company’s historical share price volatility over the expected life of the warrants.
The following weighted average assumptions were used for the Black-Scholes option pricing model to calculate the $2.93 million of fair value for the 4,168,750 warrants at September 30, 2016.
Risk-free rate
1.14%
Expected life
5.0 years
Expected volatility
147.11%*
Expected dividend yield
—%
*
Expected volatility is measured based on the Company’s historical share price volatility over the expected life of the warrants.
The fair value of the options granted under the Compensation Plan for the nine months ended September 30, 2016 was estimated at the date of grant, using the Black-Scholes Option Valuation Model, with the following weighted-average assumptions:
Risk-free interest rate
1.03% - 1.43%
Expected life
5.0 years
Expected volatility
64.7% -74.8%*
Expected dividend yield
—%
Weighted-average expected life of option
5.00
Weighted-average grant date fair value
$1.22 - $1.23

*
Expected volatility is measured based on the Company’s historical share price volatility over a period equivalent to the expected life of the options.
Schedule of Stockholders' Equity Note, Warrants or Rights
The following table summarizes the Company’s share purchase warrants denominated in USD. These warrants are accounted for as derivative liabilities as the functional currency of the entity issuing the warrants is Cdn$.
Month Issued
Expiry Date
 
Exercise Price
USD$
 
Warrants
Outstanding
 
Fair value at
September 30, 2016
June 2015
January 25, 2017
 
6.28

 
1,224,000

 
—

March 2016
March 14, 2019
 
3.20

 
2,515,625

 
737

September 2016
September 20, 2021
 
2.45

 
4,168,750

 
2,926

 
 
 
 
 
 
 
$
3,663

The following table summarizes the Company’s share purchase warrants denominated in Cdn$:
Month Issued
Expiry Date
 
Exercise Price
Cdn$
 
Warrants
Outstanding
June 2012(1)
June 22, 2017
 
13.25
 
351,025

June 2013(1)
June 15, 2017
 
9.50
 
456,948

(1)
The expiration date for these warrants was extended by one year on March 24, 2016.