Note 5 - Intangbiles

12 Months Ended

Dec. 31, 2015

Intangible Assets Disclosure [Text Block]

5. INTANGIBLES

	2015
	Cost		Accumulated Amortization		Net Book Value

Patents	$	599,401	$	242,576	$	356,825

	2014
	Cost		Accumulated Amortization		Net Book Value

Patents	$	586,198	$	206,050	$	380,148

The patents were acquired from ePixis SA (“ePixis”) on August 12, 2011. The transaction was accounted for as an asset acquisition due to the underlying circumstances of the transaction.

In addition to the $450,000 initial payment for the technology and $75,000 in related transaction costs, the Company paid contingent consideration of approximately $110,000. The contingent consideration related to the achievement of the first milestone as described in Note 13, which occurred during the three months ended June 30, 2015. The weighted average amortization period related to intangible assets acquired during 2015 was 5.7 years. The contingent consideration was not previously recognized as a liability as the probability of payment was deemed remote.

The amount of amortization for patents for the year ended December 31, 2015 was $75,625 (2014: $73,327). Amortization for the next five years is expected to be: $73,594, $66,398, $65,992, $65,640 and $61,695. Future costs incurred to extend the life of the patents will be expensed.