XML 32 R16.htm IDEA: XBRL DOCUMENT v2.4.0.6
Related Party Transactions
 12 Months Ended
Dec. 31, 2011
Related Party Transactions

Note 8:   Related Party Transactions

 

During the year ended December 31, 2011, the Company entered into transactions with certain officers and directors of the Company as follows:

 

(a) incurred $248,400 (2010 - $329,177) in management and directors’ fees and $90,000 (2010 - $72,000) in research and development services paid to officers and directors during the period;

 

(b) recorded $389,824 (2010 - $1,087,916) in stock based compensation for the fair value of options granted to management that were granted and or vested during the period;

 

(c) converted $25,000 (2010 - $Nil) of debt due to related parties during the period, which were settled with shares.

 

All related party transactions (other than stock based consideration) involving provision of services were recorded at the exchange amount, which is the amount established and agreed to by the related parties as representing fair value. The Company accounted for the debt settlement transactions with related parties at management’s estimate of fair value, using amounts similar to arm’s length settlements for debt settled.

 

At December 31, 2011, the Company had amounts owing to directors and officers of $322,905 (2010 - $259,305). Amounts due to related parties are unsecured, non-interest bearing and have no specific terms of repayment.