On March 14, 2013, the Company obtained an unsecured loan of $96,700 (CAD$100,000) for general working capital purposes (“Working Capital Loan”) from a director. The Working Capital Loan , together with interest at 6% per annum, accrued and calculated daily, plus $6,000 will be repaid on the earlier of July 30, 2013 and demand. The Company has accrued interest of $7,298 for the six month period ended May 31, 2013. The Company also granted 50,000 warrants to the lender as bonus consideration for the loan. These warrants were issued at an exercise price of $0.50 per share and vest immediately with an expiry term of two years.