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Property, Plant and Equipment
 6 Months Ended 12 Months Ended
Jun. 30, 2025
Dec. 31, 2024
Property, Plant and Equipment [Abstract]    
Property, Plant and Equipment
9. Property, Plant and Equipment

 

Cost  Land   Plant and equipment   Leasehold Improvements   Motor Vehicles   Computers   Furniture and fixtures   Total 
Balance, December 31, 2023  $1,355,337   $12,502,023   $1,538   $32,716   $48,862   $134,956   $14,075,432 
Additions   1,950,000    
-
    141,806    
-
    3,776    2,556    2,098,138 
Impact of sale of RPK   (909,551)   (12,148,749)   
-
    (28,983)   (25,610)   (126,346)   (13,239,239)
Foreign exchange movements   (180,786)   (353,274)   (6,683)   (3,733)   (15,610)   (6,227)   (566,313)
Balance, December 31, 2024   2,215,000    
-
    136,661    
-
    11,418    4,939    2,368,018 
Impact of loss of control of Canmart   
-
    
-
    (1,627)   
-
    (8,405)   (5,308)   (15,340)
Foreign exchange movements   116,675    
-
    7,232    
-
    776    369    125,052 
Balance, June 30, 2025  $2,331,675   $
-
   $142,266   $
-
   $3,789   $
-
   $2,477,730 

 

Accumulated depreciation  Land   Plant and equipment   Leasehold Improvements   Motor Vehicles   Computers   Furniture and fixtures   Total 
Balance, December 31, 2023  $
-
   $2,723,166   $308   $21,364   $44,761   $38,570   $2,828,169 
Depreciation   
-
    
-
    19,216    
-
    2,528    1,261    23,005 
Depreciation - RPK   
-
    255,023    
-
    2,202    1,040    3,236    261,501 
Impact of sale of RPK   
-
    (2,662,688)   
-
    (19,866)   (24,764)   (34,669)   (2,741,987)
Foreign exchange movements   
-
    (315,501)   (899)   (3,700)   (15,932)   (5,820)   (341,852)
Balance, December 31, 2024   
-
    
-
    18,625    
-
    7,633    2,578    28,836 
Depreciation   
-
    
-
    13,784    
-
    612    -    14,396 
Depreciation - Canmart   
-
    
-
    104    
-
    309    513    926 
Impact of loss of control of Canmart   
-
    
-
    (760)   
-
    (8,204)   (3,309)   (12,273)
Foreign exchange movements   
-
    
-
    1,442    
-
    597    218    2,257 
Balance, June 30, 2025  $
-
   $
-
   $33,195   $
-
   $947   $-   $34,142 

 

Impairment  Land   Plant and equipment   Leasehold Improvements   Motor Vehicles   Computers   Furniture and fixtures   Total 
Balance, December 31, 2023  $737,994   $7,902,730   $
-
   $9,174   $1,135   $76,998   $8,728,031 
Impact of sale of RPK   (737,994)   (7,902,730)   
-
    (9,174)   (1,135)   (76,998)   (8,728,031)
Balance, December 31, 2024 and June 30, 2025  $
-
   $
-
   $
-
   $
-
   $
-
   $
-
   $
-
 

 

Net book value  Land   Plant and equipment   Leasehold Improvements   Motor Vehicles   Computers   Furniture and fixtures   Total 
Balance, December 31, 2024  $2,215,000   $
-
   $118,036   $
-
   $3,785   $2,361   $2,339,182 
Balance, June 30, 2025  $2,331,675   $
-
   $109,071   $
-
   $2,842   $
-
   $2,443,588 

 

As at December 31, 2024, the Company derecognized property, plant and equipment with a net book value of $1,769,221 in connection with the sale of RPK (note 5).

 

As at June 30, 2025, the Company derecognized property, plant and equipment with a net book value of $3,067 in connection with the loss of control of Canmart (note 6).

 

During the six months ended June 30, 2025, the Company recognized depreciation of its property, plant and equipment of $15,322 of which $926 was related to the loss of control of Canmart and was recorded within discontinued operations.

1900 Ferne Road, Gabriola Island, British Columbia

 

On September 19, 2023, and as amended on September 22, 2023, the Company entered into an option agreement with 1107385 B.C. Ltd (“1107385”) to purchase farming land property and related operations and licenses from 1107385. To acquire the property, the Company must pay the following:

 

A.The Company will issue a non-refundable payment equal to $1,800,000 and if paid in common shares of the Company will be based on formula to calculate the per share price as set forth in the agreement. The payment will be broken up into following:

 

●the First Option Payment, upon signing (issued 704 common shares with a fair value of $431,149) (note 15)

 

●the Second Option Payment, 15 days after signing (paid $600,000)

 

●the Third Option Payment, 30 days after signing (paid $600,000)

 

This buys the Company the right to develop the property for two years. The Company plans during this time period to develop Tetrahydrocannabinol (THC) and CBD facilities at this site.

 

B.Additional payments will be made based upon milestones achieved from the development. Further payment milestones include:

 

●Upon approval or a license for THC cultivation on the property from the applicable regulatory authority, $500,000 will be paid to the Owner.

 

●Upon sale of THC product cultivated from the property, $500,000 will be paid

 

●Upon Hemp cultivation approval from the application regulatory authority, $750,000 will be paid (paid in September 2024)

 

●Upon CBD cultivation approval from the application regulatory authority, $750,000 will be paid

 

During the year ended December 31, 2024, the Company completed the initial payment and acquired the right to develop the farming property.

 

On September 5, 2024, Health Canada approved a hemp license for the Company. As a result, the Company was paid an additional $750,000 to 1107385 for completing one of the milestone events on September 16, 2024.

 

As of June 30, 2025, the Company has not yet cultivated any product from this land.
9.Property, Plant and Equipment

 

Cost  Land   Plant and
equipment		   Leasehold
Improvements		   Motor Vehicles   Computers   Furniture
and fixtures		   Total 
Balance, December 31, 2022  $885,237   $12,135,221   $
-
   $92,255   $42,439   $129,235   $13,284,387 
Additions   434,344    
-
    1,502    
-
    412    37    436,295 
Disposal   
-
    (93,002)   
-
    (57,668)   
-
    
-
    (150,670)
Foreign exchange movements   35,756    459,804    36    (1,871)   6,011    5,684    505,420 
Balance, December 31, 2023   1,355,337    12,502,023    1,538    32,716    48,862    134,956    14,075,432 
Additions   1,950,000    
-
    141,806    
-
    3,776    2,556    2,098,138 
Impact of sale of RPK   (909,551)   (12,148,749)   
-
    (28,983)   (25,610)   (126,346)   (13,239,239)
Foreign exchange movements   (180,786)   (353,274)   (6,683)   (3,733)   (15,610)   (6,227)   (566,313)
Balance, December 31, 2024  $2,215,000   $
-
   $136,661   $
-
   $11,418   $4,939   $2,368,018 

 

Accumulated depreciation   Land     Plant and
equipment		     Leasehold
Improvements		     Motor Vehicles     Computers     Furniture
and fixtures		     Total  
Balance, December 31, 2022   $     -     $ 1,053,249     $ -     $ 30,519     $ 26,344     $ 14,771     $ 1,124,883  
Depreciation     -       1,541,644       300       29,928       12,757       21,330       1,605,959  
Disposal     -       (14,771 )     -       (36,316 )     -       -       (51,087 )
Foreign exchange movements     -       143,044       8       (2,767 )     5,660       2,469       148,414 )
Balance, December 31, 2023     -       2,723,166       308       21,364       44,761       38,570       2,828,169  
Depreciation     -       -       19,216       -       2,528       1,261       23,005  
Depreciation - RPK     -       255,023       -       2,202       1,040       3,236       261,501  
Impact of sale of RPK     -       (2,662,688 )     -       (19,866 )     (24,764 )     (34,669 )     (2,741,987 )
Foreign exchange movements     -       (315,501 )     (899 )     (3,700 )     (15,932 )     (5,820 )     (341,852 )
Balance, December 31, 2024   $ -     $ -     $ 18,625     $ -     $ 7,633     $ 2,578     $ 28,836  

 

Impairment  Land   Plant and
equipment		   Leasehold
Improvements		   Motor
Vehicles		   Computers   Furniture
and fixtures		   Total 
Balance, December 31, 2022  $
-
   $
-
   $
          -
   $
-
   $
-
   $
-
   $
-
 
Impairment   737,994    7,902,730    
-
    9,174    1,135    76,998    8,728,031 
Balance, December 31, 2023   737,994    7,902,730    
-
    9,174    1,135    76,998    8,728,031 
Impact of sale of RPK   (737,994)   (7,902,730)   
-
    (9,174)   (1,135)   (76,998)   (8,728,031)
Balance, December 31, 2024  $
-
   $
-
   $
-
   $
-
   $
-
   $
-
   $
-
 

 

Net book value  Land   Plant and equipment   Leasehold Improvements   Motor Vehicles   Computers   Furniture
and fixtures		   Total 
Balance, December 31, 2023  $617,343   $1,876,127   $1,230   $2,178   $2,966   $19,388   $2,519,232 
Balance, December 31, 2024  $2,215,000   $
-
   $118,036   $
-
   $3,785   $2,361   $2,339,182 

During the year ended December 31, 2023, the Company sold some of its equipment held in Portugal and recognized a loss on disposal of $4,495 in the consolidated statements of loss and comprehensive loss. Pursuant to the sale of RPK, its Portuguese subsidiary, the Company impaired a portion of its property, plant and equipment and recognized an impairment loss of $8,728,031 in the consolidated statements of loss and comprehensive loss during the year ended December 31, 2023.

 

As at December 31, 2024, the Company derecognized property, plant and equipment with a net book value of $1,769,221 in connection with the sale of RPK (note 5).

 

During the year ended December 31, 2024, the Company recognized depreciation of its property, plant and equipment of $284,506 (2023 - $1,605,959) of which $261,501 (2023 - $nil) was related to the operations of RPK and was recorded within discontinued operations.

 

1900 Ferne Road, Gabriola Island, British Columbia

 

On September 19, 2023, and as amended on September 22, 2023, the Company entered into an option agreement with 1107385 B.C. Ltd (“1107385”) to purchase farming land property and related operations and licenses from 1107385. To acquire the property, the Company must pay the following:

 

A.The Company will issue a non-refundable payment equal to $1,800,000 and if paid in common shares of the Company will be based on formula to calculate the per share price as set forth in the agreement. The payment will be broken up into following:

 

●the First Option Payment, upon signing (issued 704 common shares with a fair value of $431,149) (note 15)

 

  ● the Second Option Payment, 15 days after signing (paid $600,000)

 

  ● the Third Option Payment, 30 days after signing (paid $600,000)

 

This buys the Company the right to develop the property for two years. The Company plans during this time period to develop Tetrahydrocannabinol (THC) and CBD facilities at this site.

 

  B. Additional payments will be made based upon milestones achieved from the development. Further payment milestones include:

 

  ● Upon approval or a license for THC cultivation on the property from the applicable regulatory authority, $500,000 will be paid to the Owner.
     
  ● Upon sale of THC product cultivated from the property, $500,000 will be paid
     
  ● Upon Hemp cultivation approval from the application regulatory authority, $750,000 will be paid (paid in September 2024)
     
  ● Upon CBD cultivation approval from the application regulatory authority, $750,000 will be paid

 

During the year ended December 31, 2024, the Company completed the initial payment and acquired the right to develop the farming property.

 

On September 5, 2024, Health Canada approved a hemp license for the Company. As a result, the Company was paid an additional $750,000 to 1107385 for completing one of the milestone event on September 16, 2024. To date, the Company have not yet cultivated any product from this land.