Stock Options

The Company has an option program that entitles officers, directors, employees and certain consultants to purchase common shares in the Company. Options are granted with an exercise price at the closing market price of the shares at the date of grant, have a range of five to ten year terms and vest over two years. Stock options are valued using the fair-value method where compensation cost attributable to all share units granted are measured at fair value at the grant date using a Black Scholes option pricing model and expensed over the vesting period with a corresponding increase to contributed surplus. Each vesting tranche is expensed separately. No expected dividends are considered since the Company has not paid any dividends. A forfeiture rate is estimated on the grant date and is adjusted to reflect the actual number of units that vest.

The number and weighted average exercise prices of share options are as follows (in Canadian dollars):

 SCHEDULE OF SHARE OPTIONS ACTIVITY

The range of exercise prices of the outstanding stock options for December 31, 2025 is as follows (in Canadian dollars):

 SCHEDULE OF EXERCISE PRICES OF OUTSTANDING STOCK OPTIONS

The range of exercise prices of the outstanding stock options for December 31, 2024 is as follows (in Canadian dollars):

The fair value of the stock options at grant date was estimated using Black Scholes model with the following weighted average inputs:

 SCHEDULE OF FAIR VALUE OF STOCK OPTIONS

Restricted Stock Units

The Company has a restricted stock unit (“RSU”) program that entitles officers, directors and employees to obtain RSUs that are issuable as shares in the Company as they are vested. The RSUs are redeemable over a three year vesting period, with the 1/3 of the grant vesting on the first, second and third years from the date of grant. RSUs are valued using the fair-value method where compensation cost attributable to all share units granted are measured at fair value at the grant date using the closing share price and expensed over the vesting period with a corresponding increase to contributed surplus. No expected dividends are considered since the Company has not paid any dividends. The Company capitalizes a portion of share based compensation that is directly attributable to development activities. A forfeiture rate is estimated on the grant date and is adjusted to reflect the actual number of units that vest.

The number and weighted average fair value of Restricted Stock Units (RSUs) are as follows (in Canadian dollars):

 SCHEDULE OF NUMBER AND WEIGHTED AVERAGE FAIR VALUE OF RESTRICTED STOCK UNITS

Stock based compensation was recorded as follows:

 SCHEDULE OF STOCK BASED COMPENSATION