Note 11 - Commitments and Contingencies

3 Months Ended

Jun. 30, 2020

Notes to Financial Statements

Commitments and Contingencies Disclosure [Text Block]

11. Commitments and contingencies:

Research and development contracts and contract research organizations agreements:

The Company utilizes contract manufacturing organizations related to the development and production of clinical material and clinical research organizations to perform services related to the Company's clinical trials. Pursuant to these agreements with manufacturing and contract research organizations, the Company has the right to terminate the agreements either without penalties or under certain penalty conditions. There are

no

penalties to be incurred in any open contracts.

RKO Supply agreement

On

October 25, 2019,

the Corporation signed a supply agreement with Aker Biomarine Antartic AS (‘'Aker''), to purchase raw krill oil product for a committed volume of commercial starting material for CaPre for a total value of

$3.1M

million (take or pay). The delivery of the products has been established following a calendar year basis and it must be completed in the

4

th

calendar quarter of

2021.

As at

June 30, 2020,

the remaining balance of the commitment with Aker amounts to

$2.8

million.