Restatement

6 Months Ended

Dec. 31, 2020

Accounting Changes and Error Corrections [Abstract]

Restatement

11. Restatement

The Company has restated its consolidated financial statements as at December 31, 2020 and for the three and six months then ended to reflect adjustments related to 500,000 share purchase warrants issued in connection with the $340,000 convertible debt issued on October 20, 2020 and 12,000,000 common shares issued for $1.2 million cash subscription but were incorrectly recorded as consulting fees. This restatement resulted in a decrease in net loss of $7,656,276 for the three and six months ended December 31, 2020, and a decrease in loss per share by $0.02 per share for each of the three and six months ended December 31, 2020.

The impact of the restatement as at December 31, 2020 and for the three and six months ended December 31, 2020 is summarized below:

Consolidated Balance Sheet

	As at December 31, 2020
	As reported $			Adjustment $			As restated $
Stockholders’ Deficit
Additional paid-in capital		90,974,257			(6,456,276	)		84,517,981
Share subscription received		1,235,000			(1,200,000	)		35,000
Deficit		(102,064,300	)		7,656,276			(94,408,024	)
Total Stockholders’ Deficit		(6,543,671	)		–			(6,543,671	)

Consolidated Statement of Operations

	Three Months Ended December 31, 2020
	As reported $			Adjustment $			As restated $
Expenses
General and administrative		30,270,334			(7,656,276	)		22,614,058
Net loss from operations		(30,273,236	)		7,656,276			(22,616,960	)
Net loss		(35,704,145	)		7,656,276			(28,047,869	)
Net loss per share, basic and diluted		(0.08	)		0.02			(0.06	)

	Six Months Ended December 31, 2020
	As reported $			Adjustment $			As restated $
Expenses
General and administrative		32,576,630			(7,656,276	)		24,920,354
Net loss from operations		(32,686,329	)		7,656,276			(25,030,053	)
Net loss		(38,855,354	)		7,656,276			(31,199,078	)
Net loss per share, basic and diluted		(0.09	)		0.02			(0.07	)

Consolidated Statement of Stockholders’ Deficit

	Six Months Ended December 31, 2020
	As reported $			Adjustment $			As restated $
Shares issued for services		30,387,470			(7,740,000	)		22,647,470
Shares issued pursuant to share purchase agreement		–			1,200,000			1,200,000
Share purchase warrants issued		–			83,724			83,724
Net loss for the period		(38,847,485	)		7,656,276			(31,191,209	)

Consolidated Statement of Cash Flows

	Six Months Ended December 31, 2020
	As reported $			Adjustment $			As restated $
Operating Activities
Net loss		(38,855,354	)		7,656,276			(31,199,078	)
Adjustments to reconcile net loss to net cash used in operating activities:
Shares issued for services		30,387,470			(7,740,000	)		22,647,470
Warrants issued		–			83,724			83,724