Document And Entity Information
Document And Entity Information | 12 Months Ended |
Dec. 31, 2017shares | |
Document Information [Line Items] | |
Entity Registrant Name | Adira Energy Ltd. |
Entity Central Index Key | 1,109,504 |
Trading Symbol | adenf |
Current Fiscal Year End Date | --12-31 |
Entity Filer Category | Non-accelerated Filer |
Entity Current Reporting Status | Yes |
Entity Voluntary Filers | No |
Entity Well-known Seasoned Issuer | No |
Entity Common Stock, Shares Outstanding (in shares) | 17,112,022 |
Document Type | 20-F |
Document Period End Date | Dec. 31, 2017 |
Document Fiscal Year Focus | 2,017 |
Document Fiscal Period Focus | FY |
Amendment Flag | false |
Consolidated Statements of Fina
Consolidated Statements of Financial Position - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Current assets | ||
Cash and cash equivalents | $ 14 | $ 19 |
Loan Receivable | 25 | |
Other receivables and prepaid expenses | 8 | |
14 | 52 | |
Current liabilities | ||
Trade payables | 38 | 11 |
Accrued liabilities | 307 | 263 |
Loan Payable | 4 | |
349 | 274 | |
Non-current Liabilities | ||
Warrant liability | 29 | 67 |
378 | 341 | |
Equity | ||
Share capital | ||
Additional paid-in capital | 34,060 | 34,060 |
Accumulated deficit | (34,424) | (34,349) |
Total deficit | (364) | (289) |
Total liabilities and deficit | $ 14 | $ 52 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Loss - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Expenses: | |||
General and administrative expenses | $ 119 | $ 268 | $ 349 |
Gain on settlement of accounts payable and other payables | (25) | ||
Interest income | (6) | ||
Total expenses | 113 | 268 | 324 |
Loss from operations | (113) | (268) | (324) |
Gain on foreign exchange | 8 | (23) | |
Gain on revaluation of warrant liability | 38 | 45 | 78 |
Loss before income taxes | (75) | (215) | (269) |
Income taxes | |||
Net loss and comprehensive loss | $ (75) | $ (215) | $ (269) |
Basic and diluted net loss per share attributable to equity holders of the parent (in dollars per share) | $ (0.01) | $ (0.02) | |
Weighted average number of ordinary shares used in computing basic and diluted net loss per share (in shares) | 17,112,022 | 17,112,022 | 15,439,508 |
Consolidated Statements of Chan
Consolidated Statements of Changes In Deficit - USD ($) $ in Thousands | Issued capital [member] | Additional paid-in capital [member] | Retained earnings [member] | Total |
Balance (in shares) at Dec. 31, 2014 | 12,292,022 | |||
Balance at Dec. 31, 2014 | $ 34,051 | $ (33,865) | $ 186 | |
Statement Line Items [Line Items] | ||||
Shares and warrants issued in private placement, net (in shares) | 4,820,000 | |||
Shares and warrants issued in private placement, net | 7 | 7 | ||
Share based compensation | 2 | 2 | ||
Net loss | (269) | (269) | ||
Balance (in shares) at Dec. 31, 2015 | 17,112,022 | |||
Balance at Dec. 31, 2015 | 34,060 | (34,134) | (74) | |
Statement Line Items [Line Items] | ||||
Net loss | (215) | $ (215) | ||
Balance (in shares) at Dec. 31, 2016 | 17,112,022 | 17,112,022 | ||
Balance at Dec. 31, 2016 | 34,060 | (34,349) | $ (289) | |
Statement Line Items [Line Items] | ||||
Net loss | (75) | $ (75) | ||
Balance (in shares) at Dec. 31, 2017 | 17,112,022 | 17,112,022 | ||
Balance at Dec. 31, 2017 | $ 34,060 | $ (34,424) | $ (364) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Cash flow from operating activities | |||
Net loss for the year | $ (75) | $ (215) | $ (269) |
Items not affecting cash: | |||
Loss on sale of fixed assets | 2 | ||
Revaluation of warrants | (38) | (45) | (78) |
Share-based compensation | 2 | ||
Gain on settlement of trade payables | (25) | ||
Changes in non-cash working capital: | |||
Decrease in other receivables and prepaid expenses | 8 | 6 | 50 |
Increase in trade payables | 27 | (49) | (82) |
Increase in accrued liabilities | 44 | 198 | 9 |
(34) | (105) | (391) | |
Cash flow from investing activities | |||
Proceeds from sale of equipment | 1 | ||
Cash provided from loan received from SMAART | 4 | (25) | |
Cash provided from repayment of loan from SMAART | 25 | 9 | |
29 | (15) | ||
Cash flow from financing activities | |||
Proceeds from issue of shares, net of share issuance costs | 196 | ||
Decrease in cash and cash equivalents | (5) | (105) | (210) |
Cash and cash equivalents, beginning of year | 19 | 124 | 334 |
Cash and cash equivalents, end of year | $ 14 | $ 19 | $ 124 |
Note 1 - Nature of Operations a
Note 1 - Nature of Operations and Going Concern | 12 Months Ended |
Dec. 31, 2017 | |
Statement Line Items [Line Items] | |
Disclosure of going concern [text block] | NOTE 1: a. Nature of operations Empower Clinics Inc (formerly Adira Energy Ltd., “Empower” or the “Company”) is a leading owner and operator of medical cannabis clinics and developer of medical products in the US, focused on enabling individuals to improve and protect their health. The Company is a limited company, incorporated on April 8, 2009, 400 570 V6C 3P1. April 30, 2018, The consolidated financial statements of the Company for the year ended December 31, 2017 April 30, 2018. b. Reverse Take Over On April 27, 2018, 6.726254 one 8,443,473 CDN$0.31 CDN$2,617,476. 70,966,958 c. Going concern The accompanying consolidated financial statements have been prepared on the basis of a going concern, which contemplates the realization of assets and liquidation of liabilities in the normal course of business. As at December 31, 2017, $34,424 2016 $34,349 not not twelve no not |
Note 2 - Basis of Preparation
Note 2 - Basis of Preparation | 12 Months Ended |
Dec. 31, 2017 | |
Statement Line Items [Line Items] | |
Disclosure of basis of preparation of financial statements [text block] | NOTE 2: a. Statement of compliance These consolidated financial statements have been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board (“IASB”) and interpretations issued by the IFRS Interpretations Committee (“IFRIC”). b. Basis of presentation The consolidated financial statements have been prepared on a historical cost basis, and are presented in U.S. dollars. All values are rounded to the nearest thousand ( $000 c. Basis of consolidation These consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries Adira Energy Holdings Corp. and Adira Energy Israel Ltd. The results are included in the consolidated statements of comprehensive loss up to the effective date of dissolution. Adira Energy Israel Ltd. was sold subsequent to the year-end. |
Note 3 - Significant Accounting
Note 3 - Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2017 | |
Statement Line Items [Line Items] | |
Disclosure of significant accounting policies [text block] | NOTE 3: a. Significant judgments and estimates The preparation of the consolidated financial statements requires management to make judgments, estimates and assumptions that have an effect on the application of the accounting policies and on the reported amounts of assets, liabilities, revenues and expenses. These estimates and underlying assumptions are reviewed regularly. Changes in accounting estimates are reported in the period of the change in estimate. Fair value of derivative financial instruments: Management assesses the fair value of the Company’s financial derivatives in accordance with the accounting policy stated in Note 3 b. Translation of foreign currencies The Company’s presentation currency is the U.S. dollar. The functional currency is the currency that best reflects the economic environment in which the Company operates and conducts its transactions, is separately determined for the Company and each of its subsidiaries, and is used to measure the financial position and operating results. The functional currency of the Company and its subsidiaries is the U.S. dollar. Transactions denominated in foreign currency (other than the functional currency) are recorded on initial recognition at the exchange rate at the date of the transaction. After initial recognition, monetary assets and liabilities denominated in foreign currency are translated at the end of each reporting period into the functional currency at the exchange rate at that date. Exchange differences, are recognized in income or loss. Non-monetary assets and liabilities measured at cost are translated at the exchange rate at the date of the transaction. c. Cash and cash equivalents Cash and cash equivalents are defined as highly liquid investments, including unrestricted short-term bank deposits with an original maturity of three three d. Financial instruments The Company’s financial instruments consist of the following summarized accounts included within the consolidated statements of financial position: Financial assets and liabilities Classification Cash and cash equivalents Loans and receivables Loan receivable Loans and receivables Trade payables Other financial liabilities Accrued liabilities Other financial liabilities Loan payable Other financial liabilities Warrant liability Fair value through income and loss Loans and receivables: Loans and receivables are financial assets with fixed or determinable payments not Other financial liabilities: Other financial liabilities are recognized initially at fair value net of any directly attributable transaction costs. Subsequent to initial recognition, these other financial liabilities are measured at amortized cost using the effective interest method. Other financial liabilities are derecognized when the obligations are discharged, cancelled or expired. Fair value through income and loss: Derivative instruments include the warrant liability which is recorded at fair value on initial recognition and at each subsequent reporting period. Any gains or losses arising from changes in fair value are recorded in the consolidated statements of comprehensive income and loss for the year. Impairment of financial assets: Financial assets are assessed for indicators of impairment at the end of each reporting period. Financial assets are impaired when there is objective evidence that, as a result of one The carrying amount of financial assets is reduced by any impairment loss directly for all financial assets with the exception of accounts receivable, where the carrying amount is reduced through the use of an allowance account. When an accounts receivable balance is considered uncollectible, it is written off against the allowance account. Subsequent recoveries of amounts previously written off are credited against the allowance account. Changes in the carrying amount of the allowance account are recognized in income or loss. e. Financial instruments Financial instruments recorded at fair value: The Company classifies its financial instruments according to a three three • Level 1 • Level 2 • Level 3 not Management has determined that the warrant liability represents a level 2 f. Impairment of non-financial assets The Company evaluates the need to record an impairment of the carrying amount of non-financial assets whenever events or changes in circumstances indicate that the carrying amount is not not g. Income taxes Income tax expense consists of current and deferred tax expense. Current and deferred tax are recognized in income or loss except to the extent they relate to items recognized directly in equity or other comprehensive income. Current tax is recognized and measured at the amount expected to be recovered from or payable to the taxation authorities based on the income tax rates enacted at the end of the reporting period and includes any adjustment to taxes payable in respect of previous years. Deferred tax is recognized on any temporary differences between the carrying amounts of assets and liabilities in the consolidated financial statements and the corresponding tax bases used in the computation of taxable earnings. Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the period when the asset is realized and the liability is settled. The effect of a change in the enacted or substantively enacted tax rates is recognized in net earnings and comprehensive income or equity depending on the item to which the adjustment relates. Deferred tax assets are recognized to the extent future recovery is probable. At each reporting period end, deferred tax assets are reduced to the extent that it is no h. Share-based payment transactions The Company's employees and other service providers are entitled to remuneration in the form of equity-settled share-based payment transactions. The cost of equity-settled transactions with employees is measured at the fair value of the equity instruments granted at grant date. Fair value measurement of all options and warrants granted is determined using an appropriate pricing model. As for other service providers, the cost of the transactions is measured at the fair value of the goods or services received as consideration for equity instruments. In cases where the fair value of the goods or services received as consideration of equity instruments cannot be measured, they are measured by reference to the fair value of the equity instruments granted. The cost of equity-settled transactions is recognized in income or loss, together with a corresponding increase in equity, during the period which the performance and service conditions are to be satisfied, ending on the date on which the relevant employees become fully entitled to the award ("the vesting period"). The cumulative expense recognized for equity-settled transactions at the end of each reporting period until the vesting date reflects the extent to which the vesting period has expired and the Company's best estimate of the number of equity instruments that will ultimately vest. The expense or income recognized in income or loss represents the movement in the cumulative expense recognized at the end of the reporting period. No not i. Warrant liability As the warrants have an exercise price denominated in Canadian dollars which differs from the Company’s functional currency they do not j. Loss / income per share Basic loss / income per share is computed by dividing the income or loss for the year by the weighted average number of common shares outstanding during the year. Stock options and common share purchase warrants are not k. Standards and amendments issued but not The IASB issued new standards and amendments not IFRS 9, 9” November 12, 2009 July 2014, 39, 39” 9 39 two 9 39. 9 January 1, 2018. no 9. IFRS 15, 15” May 2014 15 not 15 January 1, 2018 15 not IFRS 16, 16” January 2016 12 16’s 17. 16 January 1, 2019. 15 16 not 16 16 |
Note 4 - Cash and Cash Equivale
Note 4 - Cash and Cash Equivalents | 12 Months Ended |
Dec. 31, 2017 | |
Statement Line Items [Line Items] | |
Disclosure of cash and cash equivalents [text block] | NOTE 4: December 31, 2017 2016 US dollars $ 11 $ 17 Canadian dollars 1 1 New Israeli Shekels (“NIS”) 2 1 $ 14 $ 19 |
Note 5 - Other Receivables and
Note 5 - Other Receivables and Prepaid Expenses | 12 Months Ended |
Dec. 31, 2017 | |
Statement Line Items [Line Items] | |
Disclosure of prepayments and other assets [text block] | NOTE 5: December 31, 2017 2016 Government authorities $ - $ 1 Prepaid expenses - 7 $ - $ 8 |
Note 6 - Trade Payables
Note 6 - Trade Payables | 12 Months Ended |
Dec. 31, 2017 | |
Statement Line Items [Line Items] | |
Disclosure of trade and other payables [text block] | NOTE 6: Trade payables are non-interest bearing and are normally settled on 60 |
Note 7 - Accrued Liabilities
Note 7 - Accrued Liabilities | 12 Months Ended |
Dec. 31, 2017 | |
Statement Line Items [Line Items] | |
Disclosure of accrued expenses and other liabilities [text block] | NOTE 7: December 31, 2017 2016 Accrued professional fees $ 22 $ 26 Accrued transaction fees 285 237 $ 307 $ 263 |
Note 8 - Loan Receivable and Lo
Note 8 - Loan Receivable and Loans Payable | 12 Months Ended |
Dec. 31, 2017 | |
Statement Line Items [Line Items] | |
Disclosure of transactions between related parties [text block] | NOTE 8: In connection with the Transaction, the Company had advanced $25 December 31, 2017, $25 $4. $6 |
Note 9 - Warrant Liability
Note 9 - Warrant Liability | 12 Months Ended |
Dec. 31, 2017 | |
Statement Line Items [Line Items] | |
Disclosure of financial liabilities [text block] | NOTE 9: On May 7, 2015, 4,820,000 13 3 $0.05 The warrants were valued at $189 $67 December 31, 2016 $29 December 31, 2017. $38 December 31, 2017 ( 2016 $45 May 7, 2015 December 31, 2016 December 31, 2017 Expected life (years) 3 1.35 1.35 Risk-free interest rate 0.64 % 0.87 % 1.64 % Dividend yield 0.00 % 0.00 % 0.00 % Foreign exchange rate (USD/CAD) 0.8276 0.77 0.79 Expected volatility 222.04 % 147.70 % 140.00 % |
Note 10 - Financial Instruments
Note 10 - Financial Instruments | 12 Months Ended |
Dec. 31, 2017 | |
Statement Line Items [Line Items] | |
Disclosure of financial instruments [text block] | NOTE 10: The Company's activities expose it to various financial risks, such as market risks (foreign currency risk, consumer price index risk, interest risk and price risk), credit risk and liquidity risk. The Company's comprehensive risk management program focuses on actions to minimize potential adverse effects on the Company's financial performance. a. Credit risk: Concentration of credit risk exists with respect to the Company's cash and cash equivalents, other receivables and prepaid expenses and loans receivable. The Company’s exposure as at December 31, 2017 2016 $14 $52 $14 2016 $19 $nil 2016 $25 The Company manages credit risk, in respect of cash and cash equivalents, and restricted cash, by holding them at major Canadian and Israeli financial institutions in accordance with the Company's investment policy. The Company places its temporary cash and cash equivalents with high credit quality financial institutions. The Company regularly monitors credit extended to customers and their general financial condition. The Company historically has not b. Liquidity risk: Liquidity risk is the risk that the Company will encounter difficulty in obtaining funds to meet current obligations and future commitments. The Company's approach to managing liquidity risk is to forecast cash requirements to determine whether it will have sufficient funds to meet its current liabilities when due. As of December 31, 2017, $14 2016 $19 $nil 2016 $8 $nil 2016 $25 $349 2016 $274 c. Market risk: Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk is comprised of two 1. Interest rate risk: The Company is not 2. Foreign currency risk: The Company is exposed to financial risk related to the fluctuation of foreign exchange rates. Most of the Company's monetary assets are held in U.S. dollars and most of the Company's expenditures are made in Canadian dollars. The Company has not 5% not |
Note 11 - Income Taxes
Note 11 - Income Taxes | 12 Months Ended |
Dec. 31, 2017 | |
Statement Line Items [Line Items] | |
Disclosure of income tax [text block] | NOTE 11: The reconciliation of the combined Canadian federal and provincial statutory income tax rate of 26.5% 2015 26.5% December 31 2017 2016 Loss before recovery of income taxes $ (75 ) $ (215 ) Expected income tax recovery $ (20 ) $ (57 ) Tax rate changes and other adjustments - (1,159 ) Difference in tax rates (145 ) - Non-deductible expenses (12 ) (17 ) Change in tax benefits not recognized 177 1,232 Income tax (recovery) expense $ - $ - Unrecognized Deferred Tax Assets Deferred taxes are provided as a result of temporary differences that arise due to the differences between the income tax values and the carrying amount of assets and liabilities. Deferred tax assets have not 2017 2016 Property and equipment $ 3 $ 1 Share issuance costs 2 4 Deferred expenses 66 150 Non-capital losses carried forward 3,979 7,714 Unrealized foreign exchange loss on debt 4,360 - The Canadian non-capital loss carry-forwards expire as noted in the table below. Share issue and financing costs will be fully amortized in 2018. may not not The Company’s Canadian non-capital income tax losses expire as follows: 2027 $ 81 2028 107 2029 1,104 2030 1,076 2031 2,103 2032 665 2033 1,027 2034 903 2035 740 2036 321 2037 212 $ 8,339 |
Note 12 - Capital
Note 12 - Capital | 12 Months Ended |
Dec. 31, 2017 | |
Statement Line Items [Line Items] | |
Disclosure of issued capital [text block] | NOTE 12: a. Authorized Unlimited number of Common shares without nominal or par value. b. Issued and outstanding Common shares (i) As at December 31, 2017 2016, 17,112,022 (ii) On May 7, 2015, 4,820,000 $202 $241,000 one one one CDN$0.05 May 6, 2018. As the warrants are exercisable in a currency other than the Company’s functional currency they are treated as a derivative liability (Note 9 $189 first $7, $6 c. Stock Option Plan Under the Company's August 31, 2009 may Stock options may 10% ten As of December 31, 2017, 1,711,202 The Company typically grants stock options with vesting periods of between two four five A summary of the stock option plan and changes during the years ended December 31, 2017 2016 Number of options outstanding Weighted average exercise price Balance, December 31, 2015 271,334 $ 2.85 Options forfeited (35,334 ) 7.68 Balance, December 31, 2016 236,000 $ 2.23 Options forfeited (236,000 ) $ 2.23 Balance, December 31, 2017 - $ - d. Share purchase warrants The following tables summarize information applicable to warrants outstanding as of December 31, 2017 2016: Issue date Expiry date Grant date fair value Exercise price (*) Number of warrants May 7, 2015 May 6, 2018 $ 0.04 $ 0.04 4,820,000 (*) The exercise price of these warrants is denominated in Canadian dollars and was translated to USD in the table above using the exchange rate as of December 31, 2017. |
Note 13 - Capital Management
Note 13 - Capital Management | 12 Months Ended |
Dec. 31, 2017 | |
Statement Line Items [Line Items] | |
Disclosure of objectives, policies and processes for managing capital [text block] | NOTE 13: The Company is in the early stage of gas and petroleum exploration. The Company has negative cash flows from current operations. The Company's primary source of funds comes from the issuance of share capital. The Company does not not The Company defines its capital as share capital. To effectively manage the Company's capital requirements, the Company has a planning and budgeting process in place. The Company supervises the actual expenditure against the budget to manage its costs and commitments. The Company's capital management objective is to maximize investment returns for shareholders within the context of relevant opportunities and risks associated with the Company's operating segment. Achieving this objective requires management to consider the underlying nature of exploration activities, availability of capital, the cost of various capital alternatives and other factors. Establishing and adjusting capital requirements is a continuous administrative process. |
Note 14 - Related Party Transac
Note 14 - Related Party Transactions | 12 Months Ended |
Dec. 31, 2017 | |
Statement Line Items [Line Items] | |
Disclosure of related party [text block] | NOTE 14: a. For the year ended December 31, 2017, $nil 2016 $6 These transactions are in the ordinary course of business and are measured at the amount of consideration set and agreed by the related parties. b. Compensation to directors and key management personnel: The CEO, CFO, and V.P. Business Development, and the directors are considered key management personnel. Years ended December 31, 2017 2016 2015 Short-term employee benefits $ - $ - $ 38 Share-based compensation - - 1 $ - $ - $ 39 Number of people 2 2 2 c. Benefits in respect of key management persons (including directors) who are not Years ended December 31, 2017 2016 2015 Board of Directors fees $ - $ 5 $ 45 Number of people 3 3 3 For the year ended December 31, 2015, $25, |
Note 15 - Commitments and Conti
Note 15 - Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2017 | |
Statement Line Items [Line Items] | |
Disclosure of commitments and contingent liabilities [text block] | NOTE 15: As at December 31, 2017 2016, no |
Note 16 - General and Administr
Note 16 - General and Administrative Expenses | 12 Months Ended |
Dec. 31, 2017 | |
Statement Line Items [Line Items] | |
Disclosure of general and administrative expense [text block] | NOTE 16: Year ended December 31, 2017 2016 2015 Share-based compensation (recovery) - - 2 Professional fees 104 225 247 Rent and office expenses - 7 46 Insurance 7 16 25 Others 2 20 29 $ 113 $ 268 $ 349 |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2017 | |
Discloure of Significant Accounting Policies | |
Description of accounting for significant judgments and estimates [text block] | Significant judgments and estimates The preparation of the consolidated financial statements requires management to make judgments, estimates and assumptions that have an effect on the application of the accounting policies and on the reported amounts of assets, liabilities, revenues and expenses. These estimates and underlying assumptions are reviewed regularly. Changes in accounting estimates are reported in the period of the change in estimate. Fair value of derivative financial instruments: Management assesses the fair value of the Company’s financial derivatives in accordance with the accounting policy stated in Note 3 |
Description of accounting policy for foreign currency translation [text block] | Translation of foreign currencies The Company’s presentation currency is the U.S. dollar. The functional currency is the currency that best reflects the economic environment in which the Company operates and conducts its transactions, is separately determined for the Company and each of its subsidiaries, and is used to measure the financial position and operating results. The functional currency of the Company and its subsidiaries is the U.S. dollar. Transactions denominated in foreign currency (other than the functional currency) are recorded on initial recognition at the exchange rate at the date of the transaction. After initial recognition, monetary assets and liabilities denominated in foreign currency are translated at the end of each reporting period into the functional currency at the exchange rate at that date. Exchange differences, are recognized in income or loss. Non-monetary assets and liabilities measured at cost are translated at the exchange rate at the date of the transaction. |
Description of accounting policy for determining components of cash and cash equivalents [text block] | Cash and cash equivalents Cash and cash equivalents are defined as highly liquid investments, including unrestricted short-term bank deposits with an original maturity of three three |
Description of accounting policy for financial instruments [text block] | Financial instruments The Company’s financial instruments consist of the following summarized accounts included within the consolidated statements of financial position: Financial assets and liabilities Classification Cash and cash equivalents Loans and receivables Loan receivable Loans and receivables Trade payables Other financial liabilities Accrued liabilities Other financial liabilities Loan payable Other financial liabilities Warrant liability Fair value through income and loss Loans and receivables: Loans and receivables are financial assets with fixed or determinable payments not Other financial liabilities: Other financial liabilities are recognized initially at fair value net of any directly attributable transaction costs. Subsequent to initial recognition, these other financial liabilities are measured at amortized cost using the effective interest method. Other financial liabilities are derecognized when the obligations are discharged, cancelled or expired. Fair value through income and loss: Derivative instruments include the warrant liability which is recorded at fair value on initial recognition and at each subsequent reporting period. Any gains or losses arising from changes in fair value are recorded in the consolidated statements of comprehensive income and loss for the year. Impairment of financial assets: Financial assets are assessed for indicators of impairment at the end of each reporting period. Financial assets are impaired when there is objective evidence that, as a result of one The carrying amount of financial assets is reduced by any impairment loss directly for all financial assets with the exception of accounts receivable, where the carrying amount is reduced through the use of an allowance account. When an accounts receivable balance is considered uncollectible, it is written off against the allowance account. Subsequent recoveries of amounts previously written off are credited against the allowance account. Changes in the carrying amount of the allowance account are recognized in income or loss. |
Description of accounting policy for fair value measurement [text block] | Financial instruments Financial instruments recorded at fair value: The Company classifies its financial instruments according to a three three • Level 1 • Level 2 • Level 3 not Management has determined that the warrant liability represents a level 2 |
Description of accounting policy for impairment of non-financial assets [text block] | Impairment of non-financial assets The Company evaluates the need to record an impairment of the carrying amount of non-financial assets whenever events or changes in circumstances indicate that the carrying amount is not not |
Description of accounting policy for income tax [text block] | Income taxes Income tax expense consists of current and deferred tax expense. Current and deferred tax are recognized in income or loss except to the extent they relate to items recognized directly in equity or other comprehensive income. Current tax is recognized and measured at the amount expected to be recovered from or payable to the taxation authorities based on the income tax rates enacted at the end of the reporting period and includes any adjustment to taxes payable in respect of previous years. Deferred tax is recognized on any temporary differences between the carrying amounts of assets and liabilities in the consolidated financial statements and the corresponding tax bases used in the computation of taxable earnings. Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the period when the asset is realized and the liability is settled. The effect of a change in the enacted or substantively enacted tax rates is recognized in net earnings and comprehensive income or equity depending on the item to which the adjustment relates. Deferred tax assets are recognized to the extent future recovery is probable. At each reporting period end, deferred tax assets are reduced to the extent that it is no |
Description of accounting policy for share-based payment transactions [text block] | Share-based payment transactions The Company's employees and other service providers are entitled to remuneration in the form of equity-settled share-based payment transactions. The cost of equity-settled transactions with employees is measured at the fair value of the equity instruments granted at grant date. Fair value measurement of all options and warrants granted is determined using an appropriate pricing model. As for other service providers, the cost of the transactions is measured at the fair value of the goods or services received as consideration for equity instruments. In cases where the fair value of the goods or services received as consideration of equity instruments cannot be measured, they are measured by reference to the fair value of the equity instruments granted. The cost of equity-settled transactions is recognized in income or loss, together with a corresponding increase in equity, during the period which the performance and service conditions are to be satisfied, ending on the date on which the relevant employees become fully entitled to the award ("the vesting period"). The cumulative expense recognized for equity-settled transactions at the end of each reporting period until the vesting date reflects the extent to which the vesting period has expired and the Company's best estimate of the number of equity instruments that will ultimately vest. The expense or income recognized in income or loss represents the movement in the cumulative expense recognized at the end of the reporting period. No not |
Description of accounting policy for warrants [text block] | Warrant liability As the warrants have an exercise price denominated in Canadian dollars which differs from the Company’s functional currency they do not |
Description of accounting policy for earnings per share [text block] | Loss / income per share Basic loss / income per share is computed by dividing the income or loss for the year by the weighted average number of common shares outstanding during the year. Stock options and common share purchase warrants are not |
Description of accounting policy for standards and amendments issued but not yet effective [text block] | Standards and amendments issued but not The IASB issued new standards and amendments not IFRS 9, 9” November 12, 2009 July 2014, 39, 39” 9 39 two 9 39. 9 January 1, 2018. no 9. IFRS 15, 15” May 2014 15 not 15 January 1, 2018 15 not IFRS 16, 16” January 2016 12 16’s 17. 16 January 1, 2019. 15 16 not 16 16 |
Note 4 - Cash and Cash Equiva23
Note 4 - Cash and Cash Equivalents (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Statement Line Items [Line Items] | |
Disclosure of detailed information about cash and cash equivalents [text block] | December 31, 2017 2016 US dollars $ 11 $ 17 Canadian dollars 1 1 New Israeli Shekels (“NIS”) 2 1 $ 14 $ 19 |
Note 5 - Other Receivables an24
Note 5 - Other Receivables and Prepaid Expenses (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Statement Line Items [Line Items] | |
Disclosure of detailed information about prepayments and other assets [text block] | December 31, 2017 2016 Government authorities $ - $ 1 Prepaid expenses - 7 $ - $ 8 |
Note 7 - Accrued Liabilities (T
Note 7 - Accrued Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Statement Line Items [Line Items] | |
Disclosure of detailed information for accrued expenses and other liabilities [text block] | December 31, 2017 2016 Accrued professional fees $ 22 $ 26 Accrued transaction fees 285 237 $ 307 $ 263 |
Note 9 - Warrant Liability (Tab
Note 9 - Warrant Liability (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Statement Line Items [Line Items] | |
Disclosure of indirect measurement of fair value of goods or services received, other equity instruments granted during period [text block] | May 7, 2015 December 31, 2016 December 31, 2017 Expected life (years) 3 1.35 1.35 Risk-free interest rate 0.64 % 0.87 % 1.64 % Dividend yield 0.00 % 0.00 % 0.00 % Foreign exchange rate (USD/CAD) 0.8276 0.77 0.79 Expected volatility 222.04 % 147.70 % 140.00 % |
Note 11 - Income Taxes (Tables)
Note 11 - Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Statement Line Items [Line Items] | |
Disclosure of detailed information about income tax [text block] | 2017 2016 Loss before recovery of income taxes $ (75 ) $ (215 ) Expected income tax recovery $ (20 ) $ (57 ) Tax rate changes and other adjustments - (1,159 ) Difference in tax rates (145 ) - Non-deductible expenses (12 ) (17 ) Change in tax benefits not recognized 177 1,232 Income tax (recovery) expense $ - $ - |
Disclosure of deferred taxes [text block] | 2017 2016 Property and equipment $ 3 $ 1 Share issuance costs 2 4 Deferred expenses 66 150 Non-capital losses carried forward 3,979 7,714 Unrealized foreign exchange loss on debt 4,360 - |
Disclosure of temporary difference, unused tax losses and unused tax credits [text block] | 2027 $ 81 2028 107 2029 1,104 2030 1,076 2031 2,103 2032 665 2033 1,027 2034 903 2035 740 2036 321 2037 212 $ 8,339 |
Note 12 - Capital (Tables)
Note 12 - Capital (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Statement Line Items [Line Items] | |
Disclosure of number and weighted average exercise prices of share options [text block] | Number of options outstanding Weighted average exercise price Balance, December 31, 2015 271,334 $ 2.85 Options forfeited (35,334 ) 7.68 Balance, December 31, 2016 236,000 $ 2.23 Options forfeited (236,000 ) $ 2.23 Balance, December 31, 2017 - $ - |
Disclosure of warrants [text block] | Issue date Expiry date Grant date fair value Exercise price (*) Number of warrants May 7, 2015 May 6, 2018 $ 0.04 $ 0.04 4,820,000 |
Note 14 - Related Party Trans29
Note 14 - Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Key management personnel of entity or parent, not employed by the entity [member] | |
Statement Line Items [Line Items] | |
Disclosure of information about key management personnel [text block] | Years ended December 31, 2017 2016 2015 Board of Directors fees $ - $ 5 $ 45 Number of people 3 3 3 |
Key management personnel of entity or parent, employed by the entity [member] | |
Statement Line Items [Line Items] | |
Disclosure of information about key management personnel [text block] | Years ended December 31, 2017 2016 2015 Short-term employee benefits $ - $ - $ 38 Share-based compensation - - 1 $ - $ - $ 39 Number of people 2 2 2 |
Note 16 - General and Adminis30
Note 16 - General and Administrative Expenses (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Statement Line Items [Line Items] | |
Disclosure of detailed information about general and administrative expense [text block] | Year ended December 31, 2017 2016 2015 Share-based compensation (recovery) - - 2 Professional fees 104 225 247 Rent and office expenses - 7 46 Insurance 7 16 25 Others 2 20 29 $ 113 $ 268 $ 349 |
Note 1 - Nature of Operations31
Note 1 - Nature of Operations and Going Concern (Details Textual) $ in Thousands | Apr. 27, 2018CAD ($)shares | May 07, 2015CAD ($) | Dec. 31, 2017USD ($)shares | Dec. 31, 2016USD ($)shares |
Statement Line Items [Line Items] | ||||
Weighted average share price | $ | $ 0.05 | |||
Number of shares outstanding at end of period | shares | 17,112,022 | 17,112,022 | ||
Retained earnings | $ | $ (34,424) | $ (34,349) | ||
Empower Clinics Inc. [member] | ||||
Statement Line Items [Line Items] | ||||
Total number of shares issued | shares | 8,443,473 | |||
Weighted average share price | $ | $ 0.31 | |||
Proceeds from issuing shares | $ | $ 2,617,476 | |||
Number of shares outstanding at end of period | shares | 70,966,958 | |||
SMAART Holdings Inc. shares consolidated into Empower Clinics Inc. shares [member] | Empower Clinics Inc. [member] | ||||
Statement Line Items [Line Items] | ||||
Share consolidation, reverse take-over | shares | 6.726254 |
Note 4 - Cash and Cash Equiva32
Note 4 - Cash and Cash Equivalents - Components of Cash and Cash Equivalents (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Statement Line Items [Line Items] | ||||
Cash and cash equivalents | $ 14 | $ 19 | $ 124 | $ 334 |
UNITED STATES | ||||
Statement Line Items [Line Items] | ||||
Cash and cash equivalents | 11 | 17 | ||
CANADA | ||||
Statement Line Items [Line Items] | ||||
Cash and cash equivalents | 1 | 1 | ||
ISRAEL | ||||
Statement Line Items [Line Items] | ||||
Cash and cash equivalents | $ 2 | $ 1 |
Note 5 - Other Receivables an33
Note 5 - Other Receivables and Prepaid Expenses - Components of Other Receivables and Prepaid Expenses (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Statement Line Items [Line Items] | ||
Government authorities | $ 1 | |
Prepaid expenses | 7 | |
$ 8 |
Note 7 - Accrued Liabilities -
Note 7 - Accrued Liabilities - Components of Accrued Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Statement Line Items [Line Items] | ||
Accrued liabilities | $ 307 | $ 263 |
Accrued professional fees [member] | ||
Statement Line Items [Line Items] | ||
Accrued liabilities | 22 | 26 |
Accrued transaction fees [member] | ||
Statement Line Items [Line Items] | ||
Accrued liabilities | $ 285 | $ 237 |
Note 8 - Loan Receivable and 35
Note 8 - Loan Receivable and Loans Payable (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Statement Line Items [Line Items] | |||
Cash receipts from repayment of advances and loans made to related parties | $ 25 | $ 9 | |
Net cash paid (received) from advances to related parties | (4) | 25 | |
SMAART Holdings Inc. [member] | |||
Statement Line Items [Line Items] | |||
Cash advances and loans made to related parties | $ 25 | ||
Cash receipts from repayment of advances and loans made to related parties | 25 | ||
Net cash paid (received) from advances to related parties | (4) | ||
Interest received | $ 6 |
Note 9 - Warrant Liability (Det
Note 9 - Warrant Liability (Details Textual) $ in Thousands | May 07, 2015$ / sharesshares | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | May 07, 2015USD ($) |
Statement Line Items [Line Items] | |||||
Class of warrant or right, Issued | shares | 4,820,000 | ||||
Class of warrant or right, term | 1.35 | 1.35 | 3 | ||
Exercise price, class of warrant or right | $ / shares | $ 0.05 | ||||
Derivative financial liabilities, undiscounted cash flows | $ 29 | $ 67 | $ 189 | ||
Net gains (losses) on change in fair value of derivatives | $ 38 | $ 45 | $ 78 |
Note 9 - Warrant Liability - As
Note 9 - Warrant Liability - Assumptions (Details) | May 07, 2015 | Dec. 31, 2017 | Dec. 31, 2016 |
Statement Line Items [Line Items] | |||
Class of warrant or right, term | 3 | 1.35 | 1.35 |
Risk-free interest rate | 0.64% | 1.64% | 0.87% |
Dividend yield | 0.00% | 0.00% | 0.00% |
Foreign exchange rate (USD/CAD) | 0.8276 | 0.79 | 0.77 |
Expected volatility | 222.04% | 140.00% | 147.70% |
Note 10 - Financial Instrumen38
Note 10 - Financial Instruments (Details Textual) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Credit risk [member] | ||
Statement Line Items [Line Items] | ||
Value at risk | $ 14 | $ 52 |
Credit risk, cash held in bank accounts [member] | ||
Statement Line Items [Line Items] | ||
Value at risk | 14 | 19 |
Credit risk, loan receivables [member] | ||
Statement Line Items [Line Items] | ||
Value at risk | 25 | |
Liquidity risk, cash and cash equivalents [member] | ||
Statement Line Items [Line Items] | ||
Value at risk | 14 | 19 |
Liquidity risk, other receivables and prepaid expenses [member] | ||
Statement Line Items [Line Items] | ||
Value at risk | 8 | |
Liquidity risk, loan receivable [member] | ||
Statement Line Items [Line Items] | ||
Value at risk | 25 | |
Liquidity risk, current liabilities [member] | ||
Statement Line Items [Line Items] | ||
Value at risk | $ 349 | $ 274 |
Note 11 - Income Taxes (Details
Note 11 - Income Taxes (Details Textual) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2015 | |
Statement Line Items [Line Items] | ||
Applicable tax rate | 26.50% | 26.50% |
Note 11 - Income Taxes - Reconc
Note 11 - Income Taxes - Reconciliation of Statutory Income Tax (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Statement Line Items [Line Items] | |||
Loss before recovery of income taxes | $ (75) | $ (215) | |
Expected income tax recovery | (20) | (57) | |
Tax rate changes and other adjustments | (1,159) | ||
Difference in tax rates | (145) | ||
Non-deductible expenses | (12) | (17) | |
Change in tax benefits not recognized | 177 | 1,232 | |
Income tax (recovery) expense |
Note 11 - Income Taxes - Deduct
Note 11 - Income Taxes - Deductible Temporary Differences (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Temporary differences, property and equipment [member] | ||
Statement Line Items [Line Items] | ||
Deductible temporary difference | $ 3 | $ 1 |
Temporary differences, share issuance costs [member] | ||
Statement Line Items [Line Items] | ||
Deductible temporary difference | 2 | 4 |
Temporary differences, deferred expenses [member] | ||
Statement Line Items [Line Items] | ||
Deductible temporary difference | 66 | 150 |
Temporary differences, non-capital losses carried forward [member] | ||
Statement Line Items [Line Items] | ||
Deductible temporary difference | 3,979 | 7,714 |
Temporary differences, unrealized foreign exchange loss on debt [member] | ||
Statement Line Items [Line Items] | ||
Deductible temporary difference | $ 4,360 |
Note 11 - Income Taxes - Non-Ca
Note 11 - Income Taxes - Non-Capital Income Tax Losses (Details) $ in Thousands | Dec. 31, 2017USD ($) |
Statement Line Items [Line Items] | |
Canadian non-capital income tax losses | $ 8,339 |
Later than ten years and not later than eleven years [member] | |
Statement Line Items [Line Items] | |
Canadian non-capital income tax losses | 81 |
Later than eleven years and not later than twelve years [member] | |
Statement Line Items [Line Items] | |
Canadian non-capital income tax losses | 107 |
Later than twelve years and not later than thirteen years [member] | |
Statement Line Items [Line Items] | |
Canadian non-capital income tax losses | 1,104 |
Later than thirteen years and not later than fourteen years [member] | |
Statement Line Items [Line Items] | |
Canadian non-capital income tax losses | 1,076 |
Later than fourteen years and not later than fifteen years [member] | |
Statement Line Items [Line Items] | |
Canadian non-capital income tax losses | 2,103 |
Later than fifteen years and not later than sixteen years [member] | |
Statement Line Items [Line Items] | |
Canadian non-capital income tax losses | 665 |
Later than sixteen years and not later than seventeen years [member] | |
Statement Line Items [Line Items] | |
Canadian non-capital income tax losses | 1,027 |
Later than seventeen years and not later than eighteen years [member] | |
Statement Line Items [Line Items] | |
Canadian non-capital income tax losses | 903 |
Later than eighteen years and not later than nineteen years [member] | |
Statement Line Items [Line Items] | |
Canadian non-capital income tax losses | 740 |
Later than nineteen years and not later than twenty years [member] | |
Statement Line Items [Line Items] | |
Canadian non-capital income tax losses | 321 |
Later than twenty years and not later than twenty-one years [member] | |
Statement Line Items [Line Items] | |
Canadian non-capital income tax losses | $ 212 |
Note 12 - Capital (Details Text
Note 12 - Capital (Details Textual) $ in Thousands | May 07, 2015CAD ($)shares | May 07, 2015USD ($)shares | Dec. 31, 2017USD ($)shares | Dec. 31, 2016USD ($)shares |
Statement Line Items [Line Items] | ||||
Number of shares outstanding at end of period | 17,112,022 | 17,112,022 | ||
Equity units issued | 4,820,000 | 4,820,000 | ||
Proceeds from equity units issued | $ 241,000 | $ 202 | ||
Equity units issued, number of common shares per unit | 1 | |||
Equity unit issued, number of warrants per unit | 1 | |||
Equity units issued, number of common shares issuable per warrant | 1 | |||
Weighted average share price | $ | $ 0.05 | |||
Derivative financial liabilities, undiscounted cash flows | $ | $ 189 | $ 29 | $ 67 | |
Contractual amounts to be exchanged in derivative financial instrument for which gross cash flows are exchanged | $ | 7 | |||
Share issue related cost | $ | $ 6 | |||
Stock options arrangement, maximum percentage of common shares issuable | 10.00% | |||
Option life, share options granted | 10 | |||
Stock option arrangement, number of shares available for grant | 1,711,202 | |||
Stock option arrangement, expiration period | 5 | |||
Bottom of range [member] | ||||
Statement Line Items [Line Items] | ||||
Stock option arrangement, award vesting period | 2 | |||
Top of range [member] | ||||
Statement Line Items [Line Items] | ||||
Stock option arrangement, award vesting period | 4 |
Note 12 - Capital - Stock Optio
Note 12 - Capital - Stock Option Plan and Changes (Details) | 12 Months Ended | |
Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
Statement Line Items [Line Items] | ||
Balance, options | 236,000 | 271,334 |
Balance, weighted average exercise price | $ 2.23 | $ 2.85 |
Options forfeited, options | (236,000) | (35,334) |
Options forfeited, weighted average exercise price | $ 2.23 | $ 7.68 |
Balance, options | 236,000 | |
Balance, weighted average exercise price | $ 2.23 |
Note 12 - Capital - Share Purch
Note 12 - Capital - Share Purchase Warrants (Details) | 12 Months Ended | |
Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
Statement Line Items [Line Items] | ||
Grant date fair value | $ 0.04 | $ 0.04 |
Exercise price | $ 0.04 | $ 0.04 |
Number of warrants | 4,820,000 | 4,820,000 |
Note 14 - Related Party Trans46
Note 14 - Related Party Transactions (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Statement Line Items [Line Items] | |||
Professional fees expense | $ 104 | $ 225 | $ 247 |
Gain (loss) arising from difference between carrying amount of financial liability extinguished and consideration paid | $ 25 | ||
Directors and officers [member] | |||
Statement Line Items [Line Items] | |||
Professional fees expense | $ 6 |
Note 14 - Related Party Trans47
Note 14 - Related Party Transactions - Key Management Personnel Employed By the Company (Details) - Key management personnel of entity or parent, employed by the entity [member] $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | |
Statement Line Items [Line Items] | |||
Short-term employee benefits | $ 38 | ||
Share-based compensation | 1 | ||
$ 39 | |||
Number of people | 2 | 2 | 2 |
Note 14 - Related Party Trans48
Note 14 - Related Party Transactions - Key Management Personnel Not Employed By the Company (Details) - Key management personnel of entity or parent, not employed by the entity [member] $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | |
Statement Line Items [Line Items] | |||
Board of Directors fees | $ 5 | $ 45 | |
Number of people | 3 | 3 | 3 |
Note 15 - Commitments and Con49
Note 15 - Commitments and Contingencies (Details Textual) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Statement Line Items [Line Items] | ||
Total capital commitments | $ 0 | $ 0 |
Contingent liabilities recognised as of acquisition date | $ 0 | $ 0 |
Note 16 - General and Adminis50
Note 16 - General and Administrative Expenses - Components of General and Administrative Expenses (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Statement Line Items [Line Items] | |||
Share-based compensation (recovery) | $ 2 | ||
Professional fees expense | 104 | 225 | 247 |
Rent and office expenses | 7 | 46 | |
Insurance | 7 | 16 | 25 |
Others | 2 | 20 | 29 |
$ 119 | $ 268 | $ 349 |