v3.26.1
STOCKHOLDERS’ EQUITY
 3 Months Ended
Mar. 31, 2026
Equity [Abstract]  
STOCKHOLDERS’ EQUITY

NOTE 7 – STOCKHOLDERS’ EQUITY

 

During the three months ended March 31, 2026, and 2025, the Company issued an aggregate of 10,000 and 0 shares, respectively, of its common stock for services with a fair value based on the trading price of the Company’s stock on the date of issuance of $1,250 and $0, respectively.

 

During the three months ended March 31, 2026, in connection with the exercise of warrants, the Company issued 1,250,000 shares of its common stock for $125,000.

 

During the three months ended March 31, 2026, the Company issued 1,816,000 shares and warrants in a private placement for proceeds of $227,000.

 

Warrants:

 

During the three-month period ended March 31, 2026 and 2025, the Company issued 30,000 and 0 warrants for interest with a fair value of $4,303 and $0, respectively.

 

A summary of warrant activity for the year ended December 31, 2025 and three months ended March 31, 2026 is as follows:

 

 

  

Number of

Warrants

  

Weighted Average

Exercise Price

 
         
Balance, December 31, 2024   27,446,495   $0.21 
Issued in connection with:          
Common stock units sold for cash   6,830,000    0.16 
Services   266,000    0.12 
Debt-related interest   250,000    0.15 
Debt conversion   625,000    0.10 
Expired   (500,000)   0.20 
Exercised   (750,000)   0.09 
Balance, December 31, 2025   34,167,495    0.20 
Issued in connection with:          
 Common stock units sold for cash   1,816,000    0.18 
 Debt-related interest   30,000    0.15 
Exercised   (1,250,000)   0.10 
Expired   -    - 
Balance, March 31, 2026   34,763,495    0.20 

 

Warrants outstanding at March 31, 2026 have a weighted average exercise price of $0.20 and a weighted average remaining term of 2.7 years.

 

 

Stock Options:

 

During the three-month period ended March 31, 2026 and 2025, the Company recognized $75,605 and $88,165 of stock based compensation, respectively, under the employee, director plan. Of this amount, $288 (2025: $33,709) was classified as general and administrative expense and $75,317 (2025: $54,456) was classified as research and development expenses.

 

A summary of option activity for the year ended December 31, 2025, and three months ended March 31, 2026, is as follows:

 

 

  

Number of

Options

  

Weighted Average

Exercise Price

 
Balance, December 31, 2024   88,971,571   $0.13 
Options granted   12,774,470    0.12 
Options expired   (3,658,335)   0.15 
Options exercised   (650,000)   0.06 
Balance, December 31, 2025   97,437,706    0.13 
Options granted   -    - 
Options expired   (10,000)   0.15 
Options exercised   -    - 
Balance, March 31, 2026   97,427,706    0.13 
Vested, March 31, 2026   50,596,874    0.13 

 

The weighted average remaining life of outstanding and vested options is 6.2 years and 5.9 years, respectively. At March 31, 2026, outstanding vested options had an intrinsic value of $984,775, and the total intrinsic value of all options is $1,921,093.

 

At March 31, 2026, remaining compensation to be recognized as future vesting of stock options is approximately $5.2 million of which approximately $0.2 million will vest in 2026, $0.1 in subsequent years, and approximately $4.9 million will vest upon the probability of achieving performance milestone criteria.

 

Black Scholes Model Variables:

 

The fair value associated with warrants and options issued during the three months ended March 31, 2026, were valued on the date of issuance or modification.

 

The following assumptions were used in calculations of the Black-Scholes option pricing models for option and warrant-based stock compensation issued in the quarters ended March 31, 2026, and 2025:

 

   March 31, 2026   March 31, 2025 
Exercise price  $0.15   $0.11 
Risk-free interest rate   3.74%   4.54%
Expected term (in years)   5.0    10.0 
Expected share price volatility   102.26%   109.69%
Expected dividend yield   0.0% - 0.0%    0.0% - 0.0%