Stock Options (Tables)

6 Months Ended

12 Months Ended

Jun. 30, 2014

Dec. 31, 2013

Stock Option

Schedule of Stock Option Issued to Employees and Directors

The following tables summarize information about stock options issued to employees and Directors during the six months ended June 30, 2014:

	Shares			Weighted-average exercise price		Weighted-average exercise life		Intrinsic value
Outstanding at December 31, 2013		9,489,120		$	0.41		1.06	$	-
Granted		30,026,000		$	0.10		4.74
Cancelled		(7,070,400	)	$	0.39		-
Expired		(20,000	)	$	0.25		-
Outstanding at June 30, 2014		32,424,720		$	0.13		4.44	$	1,397,736
Options exercisable at June 30, 2014		29,195,386		$	0.13		4.40
Options exercisable at December 31, 2013		9,489,120		$	0.41		1.06

The following tables summarize information about stock options issued to employees and Directors during the 2 years ended December 31, 2013:

	Shares			Exercise price per share		Weighted-average exercise price
Outstanding at December 31, 2011		11,993,120		$	0.10-0.96	$	0.43
Granted		50,000		$	0.09	$	0.09
Expired		(546,000	)	$	0.15-0.72	$	0.52
Outstanding at December 31, 2012		11,497,120		$	0.09-0.96	$	0.43
Expired		(2,008,000	)	$	0.21-0.96	$	0.53
Outstanding at December 31, 2013		9,489,120		$	0.09-0.50	$	0.41
Options exercisable at December 31, 2013		9,489,120		$	0.09-0.50	$	0.41
Options exercisable at December 31, 2012		11,497,120		$	0.09-0.96	$	0.43

Schedule of Employee Stock Option Outstanding

The following table summarizes information about employee stock options outstanding at December 31, 2013:

	Options Outstanding						Options Exercisable
	Number outstanding at		Weighted-average remaining		Weighted-average		Number exercisable at		Weighted-average
Exercise price range	December 31, 2013		contractual life (years)		exercise price		December 31, 2013		exercise price
$0.09 - $0.25		2,435,760		1	$	0.20		2,435,760	$	0.20
$0.26 - $0.50		7,053,360		1	$	0.48		7,053,360	$	0.48
		9,489,120		1	$	0.41		9,489,120	$	0.41

The following table summarizes information about employee stock options outstanding at December 31, 2012:

	Options Outstanding						Options Exercisable
	Number outstanding at		Weighted-average remaining		Weighted-average		Number exercisable at		Weighted-average
Exercise price range	December 31, 2012		contractual life (years)		exercise price		December 31, 2012		exercise price
$0.09 - $0.50		11,341,120		2	$	0.42		11,341,120	$	0.42
$0.51 - $1.00		156,000		1	$	0.96		156,000	$	0.96
		11,497,120		2	$	0.43		11,497,120	$	0.43

Schedule of Stock Option Issued to non employees

The following table summarizes information about stock options issued to non-employees during the six months ended June 30, 2014:

	Shares			Weighted-average exercise price		Weighted-average exercise life		Intrinsic value
Outstanding at December 31, 2013		4,137,599		$	0.46		0.73	$	-
Granted		1,555,000		$	0.08		3.49
Cancelled		(1,352,000	)	$	0.48		-
Expired		(2,015,600	)	$	0.47		-
Outstanding at June 30, 2014		2,324,999		$	0.19		2.53	$	104,305
Options exercisable at June 30, 2014		2,324,999		$	0.19		2.53
Options exercisable at December 31, 2013		4,132,399		$	0.46		0.73

The following table summarizes information about stock options issued to non-employees during the 2 years ended December 31, 2013:

	Shares			Exercise price per share		Weighted-average exercise price
Outstanding at December 31, 2011		4,785,599		$	0.25-0.96	$	0.49
Granted		150,000		$	0.25	$	0.25
Expired		(154,000	)	$	0.29-0.38	$	0.32
Outstanding at December 31, 2012		4,781,599		$	0.25-0.96	$	0.49
Expired		(644,000	)	$	0.25-0.96	$	0.57
Outstanding at December 31, 2013		4,137,599		$	0.25-0.50	$	0.46
Options exercisable at December 31, 2013		4,132,399		$	0.25-0.50	$	0.46
Options exercisable at December 31, 2012		4,776,399		$	0.25-0.96	$	0.49

Schedule of Stock Option Recorded

Non-cash stock-based compensation expense recorded in the three and six months ended June 30, 2014 and June 30, 2013 is as follows:

	Three Months Ended June 30, 2014		Three Months Ended June 30, 2013		Six Months Ended June 30, 2014		Six Months Ended June 30, 2013
Awards to employees	$	1,795,206	$	-	$	2,284,478	$	-
Awards to non-employees		-		-		83,314		16,875
Total non-cash stock-based compensation expense	$	1,795,206	$	-	$	2,367,792	$	16,875

Stock option expense recorded in 2013 and 2012 is as follows:

	Year Ended December 31, 2013		Year Ended December 31, 2012
Awards to employees/Directors	$	-	$	3,396
Awards to non-employees		-		11,457
Stock option modifications		-		-
Total non-cash stock-based compensation expense	$	-	$	14,853

Schedule of primary assumptions used to value employee and Director non-cash stock-based compensation

The following table provides the primary assumptions used to value employee and Director non-cash stock-based compensation for the six months ended June 30, 2014:

	For the Six Months Ended June 30, 2014
Weighted-average fair value of options granted	$	0.09
Weighted-average assumptions:
Risk-free interest rate		0.65	%
Dividend yield		-
Expected volatility		1.09
Expected option life (years)		2.58

The following table provides the primary assumptions used to value employee and Director non-cash stock-based compensation for the years indicated:

	Year Ended December 31, 2013	Year Ended December 31, 2012
Weighted-average fair value of options granted	NA	$	0.07
Weighted-average assumptions:
Risk-free interest rate	NA		0.74	%
Dividend yield	NA		-
Expected volatility	NA		1.03
Expected option life (years)	NA		5