Note 10 - Share Purchase Warrants

3 Months Ended

Sep. 30, 2013

Notes to Financial Statements

Note 10 - Share Purchase Warrants

NOTE 10 – SHARE PURCHASE WARRANTS

On May 9th and May 20th, 2013 respectively, we entered into two Private Placement Agreements,   one with a U.S. investor and  one with a  non-US investor pursuant to which, the investors have funded a total of $85,000 by way of a private placement units subscription agreement for a total of 188,888 units of the common stock of the Company at a price of $0.45 per unit, each unit consisting of one share and one share purchase warrant entitling the subscriber to purchase one additional share of common stock at $0.75 per share within one year from the original date of the  private placement.   

On September 9, 2013, the Company entered into securities purchase agreements (the “SPA”) to raise a total $600,000 with five accredited investors introduced by Palladium to the Company.   Under the terms of the SPA, the purchasers subscribed for a total of 4,000,000 shares of the common stock of the Company at $0.15 per share and an equal number of warrants exercisable at $0.30 per share for a period of five years (see note 6(3) above).

On September 12, 2013, the Company issued total of 120,000 shares of the common stock of the Company at par value and an equal number of warrants exercisable at $0.30 per share for a period of five years under the placement agent agreement. (see Note 7(2(b)) above).

As at September 30, 2013, the Company had the following warrants outstanding:

Exercise Price	Expiry Date	Weighted Average Remaining Contractual Life (Years)	Outstanding at June 30, 2013	Issued	Exercised	Expired	Outstanding at September 30, 2013
$ 0.75	May 9, 2014	0.61	88,888	-	-	-	88,888
$ 0.75	May 20, 2014	0.64	100,000	-	-	-	100,000
$ 0.30	September 4, 2018	4.93	-	4,000,000	-	-	4,000,000
$ 0.30	September 12, 2018	4.96	-	120,000	-	-	120,000
			188,888	4,120,000	-	-	4,308,888