WARRANTS

12 Months Ended

Dec. 31, 2021

WARRANTS

NOTE 6 - WARRANTS

NOTE 6 - WARRANTS

During the year ended December 31, 2021, the Company issued 146,667 warrants with an exercise price of $1.50 per common share, for a period of 5 years (Note 4).

During the year ended December 31, 2020, the Company issued 146,667 warrants with an exercise price of $1.50 per common share, for a period of 5 years (Note 4).

The Company determined that the warrants qualify for derivative accounting as a result of the reset feature, which led to no explicit limit to the number of shares to be delivered upon future settlement of the conversion options.

The following summarizes the Company’s warrant activity during the years ended December 31, 2021 and 2020:

				Weighted average		Weighted average
	Warrants			exercise price		remaining life (Year)
Outstanding - December 31, 2019		1			3,000,000		1.33
Granted		146,667			1.50		5.00
Cancelled		(1	)		-		-
Outstanding - December 31, 2020		146,667		$	1.50		4.95
Granted		146,667			1.50		5.00
Outstanding - December 31, 2021		293,334		$	1.50		4.03

The intrinsic value of the warrants as of December 31, 2021 is $0. All of the outstanding warrants are exercisable as of December 31, 2021.