9.	STOCK OPTIONS

Between June 8 to 10, 2018, five directors, two contractors and one employee of the Company, exercised a total of 3,150,000 option shares at an exercise price of $0.05 by way of a cashless exercise to acquire a total of 899,998 common shares of the Company, based upon the market value of the Company’s common stock of $0.07 per share on June 8, 2018, whereby 2,250,002 common shares were withheld by the Company to pay for the exercise price of the options.

On June 19, 2018, one director of the Company acquired 300,000 common shares of the Company upon exercising stock options, at an exercise price of $0.05 per common share for total gross proceeds to the Company of $15,000.

For the period ended June 30, 2018, the Company recorded no share-based compensation expense related to stock options (September 30, 2017 – $2,314). As of June 30, 2018, there was no unrecognized compensation cost related to option awards. Compensation expense is based upon straight-line depreciation of the grant-date fair value over the vesting period of the underlying unit option.

	Shares Underlying Options Outstanding						Shares Underlying Options Exercisable
Range of Exercise Price	Shares Underlying Options Outstanding		Weighted Average Remaining Contractual Life		Weighted Average Exercise Price		Shares Underlying Options Exercisable		Weighted Average Exercise Price

$0.30 at June 30, 2018		250,000		0.33	$	0.30		250,000	$	0.30
$0.34 at June 30, 2018		450,000		0.43	$	0.34		450,000	$	0.34
$0.38 at June 30, 2018		6,780,000		1.22	$	0.38		6,780,000	$	0.38
$0.23 at June 30, 2018		600,000		1.38	$	0.23		600,000	$	0.23
		8,080,000		1.16	$	0.36		8,080,000	$	0.36

The aggregate intrinsic value of exercisable options as of June 30, 2018, was $Nil (September 30, 2017 - $Nil).

The following is a summary of stock option activity as at June 30, 2018:

	Number of Underlying Shares			Weighted Average Exercise Price			Weighted Average Fair Market Value

Balance, September 30, 2017		11,530,000		$	0.27		$	0.22

Exercised, June 2018		(3,450,000	)	$	(0.05	)	$	(0.04	)
Balance, June 30, 2018		8,080,000		$	0.36		$	0.29

Exercisable, June 30, 2018		8,080,000		$	0.36		$	0.29

There were no remaining unvested stock options outstanding as of June 30, 2018 (September 30, 2017 – Nil).