Loop Industries (LOOP) 10-K 18 May 23 2023 FY Annual report Financial data

Cover

Cover - USD ($)	12 Months Ended
	Feb. 28, 2023	May 17, 2023	Aug. 31, 2022
Cover [Abstract]
Entity Registrant Name	Loop Industries, Inc.
Entity Central Index Key	0001504678
Document Type	10-K
Amendment Flag	false
Entity Voluntary Filers	No
Current Fiscal Year End Date	--02-28
Entity Well Known Seasoned Issuer	No
Entity Small Business	true
Entity Shell Company	false
Entity Emerging Growth Company	false
Entity Current Reporting Status	Yes
Document Period End Date	Feb. 28, 2023
Entity Filer Category	Non-accelerated Filer
Document Fiscal Period Focus	FY
Document Fiscal Year Focus	2023
Entity Common Stock Shares Outstanding		47,521,187
Entity Public Float			$ 103,490,371
Document Annual Report	true
Document Transition Report	false
Entity File Number	000-54768
Entity Incorporation State Country Code	NV
Entity Tax Identification Number	27-2094706
Entity Interactive Data Current	Yes
Icfr Auditor Attestation Flag	true
Entity Address Address Line 1	480 Fernand-Poitras
Entity Address Address Line 2	Terrebonne
Entity Address City Or Town	Québec
Entity Address Country	CA
Entity Address Postal Zip Code	J6Y 1Y4
City Area Code	450
Local Phone Number	951-8555
Security 12b Title	Common Stock
Trading Symbol	LOOP
Security Exchange Name	NASDAQ
Auditor Firm Id	271
Auditor Name	PricewaterhouseCoopers LLP
Auditor Location	Montréal, Canada

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($)	Feb. 28, 2023	Feb. 28, 2022
Current assets
Cash and cash equivalents	$ 29,590,686	$ 44,061,427
Restricted cash (Note 10)	1,000,000	0
Sales tax, tax credits and other receivables (Note 3)	1,075,045	1,716,262
Inventories (Note 4)	726,933	0
Deposits on machinery and equipment (Note 5)	3,395,650	2,801,680
Prepaid expenses and other deposits (Note 5)	635,580	163,966
Assets held for sale (Note 6)	0	3,389,279
Total current assets	36,423,894	52,132,614
Investment in joint venture (Note 11)	380,922	380,922
Property, plant and equipment, net (Note 6)	2,545,203	5,692,862
Intangible assets, net (Note 7)	1,209,959	1,013,801
Total assets	40,559,978	59,220,199
Current liabilities
Accounts payable and accrued liabilities (Note 9)	2,510,481	9,846,815
Customer deposits (Note 10)	1,011,732	0
Current portion of long-term debt (Note 12)	62,135	0
Total current liabilities	3,584,348	9,846,815
Long-term debt (Note 12)	3,240,271	3,378,403
Total liabilities	6,824,619	13,225,218
Stockholders' Equity
Series A Preferred stock par value $0.0001; 25,000,000 shares authorized; one share issued and outstanding (Note 14)	0	0
Common stock par value $0.0001; 250,000,000 shares authorized; 47,469,224 shares issued and outstanding (2022 - 47,388,056) (Note 14)	4,748	4,740
Additional paid-in capital	170,369,868	150,396,704
Additional paid-in capital - Warrants (Note 19)	20,385,510	30,272,496
Accumulated deficit	(155,883,491)	(134,582,926)
Accumulated other comprehensive loss	(1,141,276)	(96,033)
Total stockholders' equity	33,735,359	45,994,981
Total liabilities and stockholders' equity	$ 40,559,978	$ 59,220,199

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - $ / shares	Feb. 28, 2023	Feb. 28, 2022
Stockholders' Equity
Series A preferred stock, par value	$ 0.0001	$ 0.0001
Series A preferred stock, share authorized	25,000,000	25,000,000
Series A preferred stock, share issued	1	1
Series A preferred stock, share outstanding	1	1
Common stock, par value	$ 0.0001	$ 0.0001
Common stock, shares authorized	250,000,000	250,000,000
Common stock, shares issued	47,469,224	47,388,056
Common stock, shares outstanding	47,469,224	47,388,056

Consolidated Statements of Oper

Consolidated Statements of Operations and Comprehensive Loss - USD ($)	12 Months Ended
	Feb. 28, 2023	Feb. 28, 2022
Consolidated Statements of Operations and Comprehensive Loss
Revenue	$ 172,838	$ 0
Research and development (Note 15)	17,345,964	27,736,425
General and administrative (Note 16)	20,429,416	12,792,439
Depreciation and amortization (Notes 6 and 7)	550,114	548,232
Total expenses	38,325,494	41,077,096
Gain on disposition of land (Note 6)	(16,683,492)	0
Loss for legal settlement (Note 22)	0	2,519,220
Loss from equity-accounted investment (Note 11)	0	1,119,078
Interest and other financial expenses (Note 20)	188,756	154,319
Interest income	(41,296)	(58,976)
Foreign exchange (gain) loss	(316,059)	110,219
Net loss	(21,300,565)	(44,920,956)
Foreign currency translation adjustment	(1,045,243)	(89,443)
Comprehensive loss	$ (22,345,808)	$ (45,010,399)
Net loss per share
Basic and diluted	$ (0.45)	$ (0.99)
Weighted average common shares outstanding
Basic and diluted	47,418,949	45,287,885

Consolidated Statements of Chan

Consolidated Statements of Changes in Stockholders Equity - USD ($)	Total	Common Stock	Preferred Stock	Additional Paid-In Capital	Additional Paid-in Capital -Warrants [Member]	Retained Earnings (Accumulated Deficit)	Accumulated other comprehensive loss
Balance, shares at Feb. 28, 2021		42,413,691	1
Balance, amount at Feb. 28, 2021	$ 32,824,524	$ 4,242	$ 0	$ 113,662,677	$ 8,826,165	$ (89,661,970)	$ (6,590)
Issuance of common shares for cash, net of share issuance costs (Note 14), shares	4,714,813	4,714,813
Issuance of common shares for cash, net of share issuance costs (Note 14), amount	$ 56,049,167	$ 471	0	34,587,246	21,461,450	0	0
Issuance of warrants for financing facility (Notes 12 and 19)	69,323	$ 0	0	0	69,323	0	0
Issuance of shares upon the vesting of restricted stock units (Notes 14 and 17), shares		231,660
Issuance of shares upon the vesting of restricted stock units (Notes 14 and 17), amount	0	$ 24	0	(24)	0	0	0
Issuance of shares upon exercise of warrants (Notes 14 and 19), shares		11,666
Issuance of shares upon exercise of warrants (Notes 14 and 19), amount	0	$ 1	0	84,441	(84,442)	0	0
Issuance of shares upon exercise of options (Notes 14 and 17), shares		16,226
Issuance of shares upon exercise of options (Notes 14 and 17), amount	0	$ 2	0	(2)	0	0	0
Stock options granted for services (Note 17)	549,155	0	0	549,155	0	0	0
Restricted stock units granted for services (Note 17)	1,513,211	$ 0	$ 0	1,513,211	0	0	0
Foreign currency translation	(89,443)						(89,443)
Net loss	(44,920,956)					(44,920,956)
Balance, shares at Feb. 28, 2022		47,388,056	1
Balance, amount at Feb. 28, 2022	45,994,981	$ 4,740	$ 0	150,396,704	30,272,496	(134,582,926)	(96,033)
Stock options granted for services (Note 17)	1,316,084	0	0	1,316,084	0	0	0
Restricted stock units granted for services (Note 17)	8,770,102	0	0	8,770,102	0	0	0
Foreign currency translation	(1,045,243)	0	0	0	0	0	(1,045,243)
Net loss	(21,300,565)	$ 0	0			(21,300,565)
Issuance of shares upon the vesting of restricted stock units (Notes 14 and 17), shares		81,168
Issuance of shares upon the vesting of restricted stock units (Notes 14 and 17), amount	0	$ 8	0	(8)	0	0	0
Expiration of warrants (Note 19)	0	$ 0	$ 0	9,886,986	(9,886,986)	0	0
Balance, shares at Feb. 28, 2023		47,469,224	1
Balance, amount at Feb. 28, 2023	$ 33,735,359	$ 4,748		$ 170,369,868	$ 20,385,510	$ (155,883,491)	$ (1,141,276)

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($)	12 Months Ended
	Feb. 28, 2023	Feb. 28, 2022
Cash Flows from Operating Activities
Net loss	$ (21,300,565)	$ (44,920,956)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization (Notes 6 and 7)	550,114	548,232
Stock-based compensation (Note 17)	10,086,186	2,062,367
Gain on disposition of land (Note 6)	(16,683,492)	0
Payment of legal settlement, net (Note 22)	(2,262,218)	0
Loss for legal settlement (Note 22)	0	2,519,220
Loss from equity-accounted investment (Note 11)	0	1,119,078
Accretion and accrued interest (Notes 12 and 20)	155,602	121,240
Changes in operating assets and liabilities:
Sales tax and tax credits receivable (Note 3)	548,160	45,126
Inventories (Note 4)	(726,933)	0
Prepaid expenses and other deposits (Note 5)	(696,101)	(32,711)
Accounts payable and accrued liabilities (Note 9)	(4,562,512)	(2,089,679)
Net cash used in operating activities	(34,891,759)	(40,562,661)
Cash Flows from Investing Activities
Proceeds from disposition of land (Note 6)	22,313,868	0
Deposits on machinery and equipment (Note 5)	(593,970)	(2,422,285)
Additions to property, plant and equipment (Note 6)	(80,875)	(4,815,847)
Additions to intangible assets (Note 7)	(360,225)	(294,955)
Net cash used in investing activities	21,278,798	(7,533,087)
Cash Flows from Financing Activities
Customer deposits (Note 10)	1,011,732	0
Proceeds from sales of common shares and exercise of warrants, net of share issuance costs (Note 14)	0	56,049,167
Proceeds from issuance of long-term debt (Note 12)	0	1,882,790
Repayment of long-term debt (Note 12)	0	(937,156)
Net cash provided by financing activities	1,011,732	56,994,801
Effect of exchange rate changes	(869,512)	(59,577)
Net change in cash, cash equivalents and restricted cash	(13,470,741)	8,839,476
Cash, cash equivalents and restricted cash, beginning of year	44,061,427	35,221,951
Cash, cash equivalents and restricted cash, end of year	30,590,686	44,061,427
Supplemental Disclosure of Cash Flow Information:
Income tax paid	0	0
Interest paid	0	32,791
Interest received	$ 41,296	$ 53,995

The Company and Basis of Presen

The Company and Basis of Presentation	12 Months Ended
	Feb. 28, 2023
The Company and Basis of Presentation
The Company and Basis of Presentation	1. The Company and Basis of Presentation The Company Loop Industries, Inc. (the “Company,” “Loop,” “we,” or “our”) is a technology company that owns patented and proprietary technology that depolymerizes no and low-value waste PET plastic and polyester fiber to its base building blocks (monomers). The monomers are filtered, purified and polymerized to create virgin-quality Loop™ branded PET resin suitable for use in food-grade packaging and polyester fiber. The Company is currently in the pre-commercialization stage with limited revenues. Basis of presentation These consolidated financial statements have been prepared in conformity with generally accepted accounting principles in the United States of America (“US GAAP”) and comprise the consolidated financial position and results of operations of Loop Industries, Inc. and its subsidiaries, Loop Innovations, LLC and Loop Canada Inc. All subsidiaries are, either directly or indirectly, wholly-owned subsidiaries of Loop Industries, Inc. (collectively, the “Company”). The Company also owns, through Loop Innovations, LLC, a 50% interest in a joint venture, Indorama Loop Technologies, LLC, which is accounted for under the equity method. Intercompany balances and transactions are eliminated on consolidation. The consolidated financial statements of the Company have been prepared on a going concern basis, which contemplates the continuing of operations, the realization of assets and the settlement of liabilities in the normal course of business.

Summary of Significant Accounti

Summary of Significant Accounting Policies	12 Months Ended
	Feb. 28, 2023
Summary of Significant Accounting Policies
Summary Of Significant Accounting Policies	2. Summary of Significant Accounting Policies Liquidity Risk Assessment Since its inception, the Company has been in the pre-commercialization stage with limited revenues from customers, and its ongoing operations and commercialization plans have been financed primarily by raising equity. The Company has incurred net losses and negative cash flow from operating activities since its inception and expects to incur additional net losses while it continues to develop and plan for commercialization. As at February 28, 2023, the Company’s available liquidity was $32.16 million, consisting of cash and cash equivalents of $29.59 million and an undrawn senior loan facility from a Canadian bank of $2.57 million (CDN $3.50 million). Management actively monitors the Company’s cash resources against the Company’s short-term cash commitments to ensure the Company has sufficient liquidity to fund its costs for at least twelve months from the financial statement issuance date. Management evaluates the Company’s liquidity to determine if there is substantial doubt about the Company’s ability to continue as a going concern. In preparing this liquidity assessment, management applies significant judgment in estimating future cash flow requirements of the Company based on budgets and forecasts, which includes developing assumptions related to: (i) estimation of amount and timing of future cash outflows and inflows and (ii) determining what future expenditures are committed and what could be considered discretionary. Based on this assessment, management believes that the Company will be able to realize its assets and discharge its liabilities in the normal course of operations as they become due for a period of no less than twelve months from the date of issuance of these consolidated financial statements. The Company’s ability to move to the next stage of its strategic development and construct manufacturing plants is dependent on whether the Company can obtain the necessary financing through a combination of the issuance of debt, equity, and/or joint ventures and/or government incentive programs. The Company is working with its joint venture partners to put in place the financing plan for the rollout of large-scale manufacturing in Asia and Europe, including the planned first Asian manufacturing facility in Ulsan, South Korea. However, there is no assurance that the Company will be successful in attracting additional funding. Even if additional financing is available, it may not be available on terms favorable to the Company. Failure to secure additional financing on favorable terms when it becomes required would have an adverse effect on the Company’s financial position and on its ability to execute its business plan. The Company has committed a portion of its cash resources for certain long lead equipment and may enter into additional commitments to accelerate commercial projects within targeted construction timeframes. Revenue recognition The Company recognizes revenue with customers in accordance with ASC 606, Revenue from Contracts with Customers (“ASC 606”). This standard applies to all contracts with customers, except for contracts that are within the scope of other standards, such as leases, insurance, collaboration arrangements and financial instruments. Under ASC 606, the Company recognizes revenue when its customer obtains control of promised goods or services, in an amount that reflects the consideration which the Company expects to receive in exchange for those goods or services. To determine revenue recognition for arrangements that the Company determines are within the scope of ASC 606, the Company performs the following five steps: (i) identify the contract(s) with a customer; (ii) identify the performance obligations in the contract; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations in the contract; and (v) recognize revenue when (or as) the Company satisfies a performance obligation. The Company only applies the five-step model to contracts when it is probable that the Company will collect the consideration it is entitled to in exchange for the goods or services it transfers to the customer. At contract inception, once the contract is determined to be within the scope of ASC 606, the Company assesses the goods or services promised within each contract and determines those that are performance obligations and assesses whether each promised good or service is distinct. The Company then recognizes as revenue the amount of the transaction price that is allocated to the respective performance obligation when (or as) the performance obligation is satisfied. The Company enters into contracts with customers to sell Loop™ PET resin. These contracts include a single performance obligation, which is the delivery of Loop™ PET resin, and the transaction price is a fixed rate per delivered volume. Revenue is recognized when control of the product transfers to the customer, which is when product is delivered to the customer location. Shipping and handling costs are accounted for as a fulfillment cost. Use of estimates The preparation of financial statements in conformity with US GAAP requires management to use its judgment to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of expenses during the reporting period. Actual results could differ from those estimates. Those estimates and assumptions include the going concern assessment, estimates for depreciable lives of property, plant and equipment, intangible assets, analysis of impairments of long-lived assets and intangible assets, recoverability tax credits receivable, accruals for potential liabilities, assumptions made in calculating the fair value of stock-based compensation and other equity instruments, and the assessment of performance conditions for stock-based compensation awards. Fair value of financial instruments The Company applies Financial Accounting Standards Board (“FASB”) Codification (“ASC”) 820, Fair Value Measurement There are three levels within the hierarchy that may be used to measure fair value: Level 1 – A quoted price in an active market for identical assets or liabilities. Level 2 – Significant pricing inputs that are observable, which are inputs that reflect the assumptions market participants would use in pricing the asset or liability developed based on market data obtained from independent sources. Level 3 – Significant pricing inputs that are unobservable, which are inputs that reflect the Company’s own assumptions about the assumptions market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. The fair value measurements level of an asset or liability within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. Valuation techniques used should maximize the use of observable inputs and minimize the use of unobservable inputs. The valuation methodologies described above may produce a fair value calculation that may not be indicative of future net realizable value or reflective of future fair values. The fair value of cash, cash equivalents and accounts payable and accrued liabilities approximate their carrying values due to their short-term maturity. Research and development expenses Research and development costs are charged to expense as costs are incurred in performing research and development activities. Research and development expenses relate primarily to process development and design, customer trials and characterization studies, testing of pre-production samples, machinery and equipment expenditures for use in the production facility in Terrebonne, Québec (the “Terrebonne Facility”), compensation, and consulting and engineering fees. Research and development costs are presented net of related tax credits and government grants. Government grants US GAAP for profit-oriented entities does not define government grants; nor is there specific guidance applicable to government grants. Under the Company’s accounting policy for government grants and consistent with non-authoritative guidance, grants are recognized on a systematic basis over the periods in which the entity recognizes the related costs. Grants that relate to the acquisition of an asset are recognized as a reduction of the cost of the asset and in the statement of operations and comprehensive loss as the asset is depreciated or amortized. A grant that is compensation for expenses or losses already incurred, or for which there are no future related costs, is recognized in the statement of operations and comprehensive loss in the period in which it becomes receivable. Low-interest loans or interest-free loans from a government are initially measured at fair value and an interest expense is recognized on the loan subsequently under the effective interest method, with the difference recognized as a government grant. Reimbursable tax credits are recognized when amounts can be reasonably estimated on a systematic basis over the periods in which the Company recognizes the related costs. The Company is currently eligible for reimbursable Provincial research and development tax credits and investment tax credits, which are related to costs associated with our Terrebonne Facility and recorded as a reduction of research and development expenses. Deferred financing costs and other transaction costs Deferred financing costs represent commitment fees, legal fees and other costs associated with obtaining commitments for financing. These fees are amortized as a component of interest expense over the terms of the respective financing agreements on a straight-line basis. Unamortized deferred financing fees are expensed in full when the associated debt is refinanced or repaid before maturity. Costs incurred in seeking financial transactions that do not close are expensed in the period in which it is determined that the financing will not be successful. Transaction costs associated with issuing equity are reflected as a reduction of accumulated paid-in-capital. Foreign currency translations and transactions The accompanying consolidated financial statements are presented in U.S. dollars, the reporting currency of the Company. Assets and liabilities of subsidiaries that have a functional currency other than that of the Company are translated to U.S. dollars at the exchange rate as at the balance sheet date. Income and expenses are translated at the average exchange rate of the period. The resulting translation adjustments are included in other comprehensive income (loss) (“OCI”). The Company currently is not engaged in any currency hedging activities. For transactions and balances, monetary assets and liabilities denominated in foreign currencies are translated into the functional currency of the entity at the prevailing exchange rate at the reporting date. Non-monetary assets and liabilities, and revenue and expense items denominated in foreign currencies are translated into the functional currency using the exchange rate prevailing at the dates of the respective transactions. Foreign exchange gains and losses resulting from the settlement of such transactions are recognized in the consolidated statements of operations and comprehensive loss, except for gains or losses arising from the translation of intercompany balances denominated in foreign currencies that forms part in the net investment in the subsidiary which are included in OCI. Property, plant and equipment Property, plant and equipment are recorded at cost, net of accumulated amortization and impairment, and are amortized over their estimated useful lives, unless the useful life is indefinite, using the straight-line method over the following periods: Building 30 years Land Indefinite Office equipment and furniture 8 years Building and land improvements 5-10 years Costs related to repairs and maintenance of property, plant and equipment are expensed in the period in which they are incurred. Upon sale or disposal, the Company writes off the cost of the asset and the related amount of accumulated depreciation. The resulting gain or loss is included in the consolidated statement of operations and comprehensive loss. Management reviews the carrying values of its property, plant and equipment for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset or asset group might not be recoverable. Assets are grouped at the lowest level for which identifiable cash flows are largely independent when testing for, and measuring for, impairment. In performing its review of recoverability, the Company estimates the future cash flows expected to result from the use of the asset or asset group and its eventual disposition. If the sum of the expected undiscounted future cash flows is less than the carrying amount of the asset or asset group, an impairment loss is recognized in the consolidated statements of operations. Measurement of the impairment loss is based on the excess of the carrying amount of the asset or asset group over the fair value calculated using discounted expected future cash flows. Assets held for sale Assets are classified as held for sale when they met the criteria set out in ASC 360-10-45-9 Long-lived assets classified as held for sale · Management, having the authority to approve the action, commits to a plan to sell the asset; · The asset is available for immediate sale in its present condition subject only to terms that are usual and customary for sales of such assets; · An active program to locate a buyer and other actions required to complete the plan to sell the asset have been initiated; · The sale of the asset is probable, and transfer of the asset is expected to qualify for recognition as a completed sale, within one year; · The asset is being actively marketed for sale at a price that is reasonable in relation to its current fair value; and · Actions required to complete the plan indicate that it is unlikely that significant changes to the plan will be made or that the plan will be withdrawn. When the criteria are met, the assets are presented at the lesser of fair market value, net of selling costs, and amortized cost in current assets. Stock‑based compensation The Company periodically issues stock options, warrants and restricted stock units to employees and non-employees in non-capital raising transactions for services and financing expenses. The Company accounts for stock options granted to employees based on the authoritative guidance provided by the FASB wherein the fair value of the award is measured on the grant date and recognized as compensation expense on the straight-line basis over the vesting period. When performance conditions exist, the Company recognizes compensation expenses when it becomes probable that the performance condition will be met. Forfeitures on share-based payments are recognized as they occur. The Company accounts for stock options and warrants granted to non-employees in accordance with the authoritative guidance of the FASB wherein the fair value of the stock compensation is based upon the measurement date determined as the earlier of the date at which either a) a commitment is reached with the counterparty for performance or b) the counterparty completes its performance. The Company estimates the fair value of restricted stock unit awards to employees and directors based on its intrinsic value at date of grant. The fair value of the stock options granted is estimated using the Black-Scholes model, which uses certain assumptions related to risk-free interest rates, expected volatility, expected life of the stock options, and future dividends. Stock-based compensation expense is recorded based on the value derived from the Black-Scholes model and on actual experience. The assumptions used in the Black-Scholes model could materially affect stock-based compensation expenses recorded in the current and future periods. Restricted cash Cash held by the Company restricted as to withdrawal or use is presented as restricted cash in the consolidated balance sheet. As at February 28, 2023, restricted cash comprised of a customer deposit which is restricted for use on a commercial project, as discussed in Note 10. Inventories Inventories are stated at the lower of cost or net realizable value using the average cost method. Inventory cost includes direct labor, cost of raw materials and production overhead. The Company separates its inventories into three main categories: raw materials, work in process, and finished goods. The raw materials category includes goods used in the production process that have not yet entered the production process at the balance sheet date and mainly comprises chemicals and other process consumables. The work in process category includes goods that are in the production process at the balance sheet date and mainly comprises monomers that have not yet been polymerized into Loop™ branded PET resin. The finished goods category includes goods that have completed the production process at the balance sheet date and mainly comprises Loop™ branded PET resin. Intangible assets Intangible assets are recorded at cost, net of accumulated amortization and impairment, and are amortized over their estimated useful lives, unless the useful life is indefinite, using the straight-line method over 7 years. The Company reviews the carrying value of intangible assets subject to amortization whenever events or changes in circumstances indicate that the carrying amount of an intangible asset or asset group might not be recoverable or a change in the remaining useful life of an intangible asset. If the carrying value of an asset exceeds its undiscounted cash flows, the Company writes down the carrying value of the intangible asset to its fair value in the period identified. If the carrying value of assets is determined not to be recoverable, the Company records an impairment loss equal to the excess of the carrying value over the fair value of the assets. The Company’s estimate of fair value is based on the best information available, in the absence of quoted market prices. The Company generally calculates fair value as the present value of estimated future cash flows that the Company expects to generate from the asset. If the estimate of an intangible asset’s remaining useful life is changed, the Company amortizes the remaining carrying value of the intangible asset prospectively over the revised remaining useful life. Income taxes The Company calculates its provision for income tax on the basis of the tax laws enacted at the balance sheet date in the countries where the Company and its subsidiaries operate and generate taxable income, in accordance with FASB ASC 740, Income Taxes Net loss per share The Company computes net loss per share in accordance with FASB ASC 260, Earnings Per Share For the years ended February 28, 2023 and February 28, 2022, the calculations of basic and diluted loss per share are the same because potential dilutive securities would have an antidilutive effect. As at February 28, 2023, the potentially dilutive securities consisted of 2,542,000 outstanding stock options (2022 – 1,570,000), 3,888,618 outstanding restricted stock units (2022 – 4,018,567), and 7,089,400 outstanding warrants (2022 – 11,659,418). Recently adopted accounting pronouncements In June 2016, the FASB issued ASU 2016-13, “Financial Instruments—Credit Losses”. This ASU added a new impairment model (known as the current expected credit loss (“CECL”) model) that is based on expected losses rather than incurred losses. Under the new guidance, an entity recognizes an allowance for its estimate of expected credit losses and applies to most debt instruments, trade receivables, lease receivables, financial guarantee contracts, and other loan commitments. The CECL model does not have a minimum threshold for recognition of impairment losses and entities will need to measure expected credit losses on assets that have a low risk of loss. The adoption of this accounting guidance for the year ended February 28, 2023 did not impact the disclosures in our Consolidated Financial Statements. Recently issued accounting pronouncements not yet adopted There were no new accounting pronouncements issued which could have a significant effect on the Company’s consolidated financial statements.

Sales Tax Tax Credits and Other

Sales Tax Tax Credits and Other Receivables	12 Months Ended
	Feb. 28, 2023
Sales Tax Tax Credits and Other Receivables
Sales Tax, Tax Credits And Other Receivables	3. Sales Tax, Tax Credits and Other Receivables Sales tax, research and development tax credits and other receivables as at February 28, 2023 and February 28, 2022 were as follows: February 28, 2023 February 28, 2022 Sales tax $ 170,490 $ 1,337,783 Investment tax credits 460,754 - Research and development tax credits 401,967 313,599 Other receivables 41,834 64,880 $ 1,075,045 $ 1,716,262 The Company is registered for the Canadian federal and provincial goods and services taxes. As such, the Company is obligated to collect from third parties, and is entitled to claim sales taxes paid on its expenses and capital expenditures incurred in Canada. In addition, Loop Canada Inc. is entitled to receive government assistance in the form of refundable and non-refundable research and development tax credits from the federal and provincial taxation authorities, based on qualifying expenditures incurred during the fiscal year. The refundable credits are from the provincial taxation authorities and are not dependent on its ongoing tax status or tax position and accordingly are not considered part of income taxes. The Company records refundable tax credits as a reduction of research and development expenses when the Company can reasonably estimate the amounts and it is more likely than not, they will be received. During the year ended February 28, 2023, the Company recorded tax credits of $362,096 (2022 – $91,960) as a reduction of research and development expenses and received $249,593 (2022 – $216,300) from taxation authorities for research and development tax credits, net of fees. The Company is also eligible for non-refundable research and development tax credits from the federal taxation authorities which can be used as a reduction of income tax expense in any given year to the extent the Company has taxable income. The Company has not had taxable income since inception and has not been able to use these non-refundable federal research and development tax credits. During the year ended February 28, 2023, the Company was eligible for non-cash research and development tax credits in the amount of $764,528 (2022 – $442,943). These non-cash tax credits, which have an unlimited carry forward period are not recognized in the Company’s consolidated financial statements. As at February 28, 2023, the carry forward balance of non-cash research and development tax credits was $1,979,978 (2022 - $1,589,580). Loop Canada Inc. is also eligible for refundable investment tax credits from the provincial taxation authorities based on qualifying expenditures for manufacturing equipment. The Company records refundable tax credits as a reduction of research and development expenses when the Company can reasonably estimate the amounts and it is more likely than not, they will be received. During the year ended February 28, 2023, the Company recorded investment tax credits of $837,041 (2022 – nil) as a reduction of research and development expenses and received $348,161 (2022 – nil) from taxation authorities for investment tax credits.

Inventories

Inventories	12 Months Ended
	Feb. 28, 2023
Inventories
Inventories	4. Inventories Inventories as at February 28, 2023 and February 28, 2022 were as follows: February 28, 2023 February 28, 2022 Work in process $ 466,728 $ - Finished goods 242,157 - Raw materials 18,048 - $ 726,933 $ - As at February 28, 2023, inventories included work in process, finished goods and raw materials. Work in process inventories consist of monomers (dimethyl terephthalate and monoethylene glycol), either purified or yet to be purified, resulting from the depolymerization of PET feedstock. These monomers shall be polymerized into Loop ™ ™

Prepaid Expenses and Deposits

Prepaid Expenses and Deposits	12 Months Ended
	Feb. 28, 2023
Prepaid Expenses and Deposits
Prepaid Expenses And Deposits	5. Prepaid Expenses and Deposits As at February 28, 2023, the Company had $3,395,650 (2022 – $2,801,680) of non-refundable cash deposits on long-lead machinery and equipment that are intended to be used in the first planned Infinite Loop ™ Prepaid expenses and other deposits as at February 28, 2023 and February 28, 2022 were as follows: February 28, 2023 February 28, 2022 Insurance $ 545,000 $ - Other 90,580 163,966 $ 635,580 $ 163,966 The deposit for insurance represents a pre-payment of the final three months of the Company’s directors and officers’ insurance annual premium.

Property, Plant and Equipment,

Property, Plant and Equipment, net	12 Months Ended
	Feb. 28, 2023
Property, Plant and Equipment, net
7. Property, Plant and Equipment, net	6. Property, Plant and Equipment, net As at February 28, 2023 Cost Accumulated depreciation, write-down and impairment Net book value Building $ 1,821,653 $ (309,296 ) $ 1,512,357 Land 225,175 - 225,175 Building and Land Improvements 1,839,142 (1,165,795 ) 673,347 Office equipment and furniture 274,331 (140,007 ) 134,324 $ 4,160,301 $ (1,615,098 ) $ 2,545,203 As at February 28, 2022 Cost Accumulated depreciation, write-down and impairment Net book value Building $ 1,952,345 $ (266,434 ) $ 1,685,911 Land 1,644,084 - 1,644,084 Building and Land Improvements 3,049,892 (858,342 ) 2,191,550 Office equipment and furniture 298,141 (126,824 ) 171,317 $ 6,944,462 $ (1,251,600 ) $ 5,692,862 Depreciation expense amounted to $458,927 for the year ended February 28, 2023 (2022 – $478,581). During the year ended February 28, 2022, we acquired land in Bécancour, Québec for cash of $4,335,366 (CDN $5,900,000) and incurred civil construction costs of $1,074,453 in land improvements. As at February 28, 2022, $3,389,279 of the land was classified as an asset held for sale. During the year ended February 28, 2023, the Company sold the land for cash net proceeds of $22,313,868 (CDN $29,900,000) and a gain on disposition of the asset of $16,683,492. The table below summarizes the amounts related to the gain on disposition of land: Gross proceeds of disposition $ 22,761,793 Transaction costs (447,925 ) Net proceeds of disposition 22,313,868 Cost of land (4,335,366 ) Cost of land improvements (1,074,453 ) Foreign exchange effect (220,557 ) Gain on disposition of land $ 16,683,492

Intangible Assets, net

Intangible Assets, net	12 Months Ended
	Feb. 28, 2023
Intangible Assets, net
Intangible Assets, net	7. Intangible Assets, net As at February 28, As at February 28, 2023 2022 Patents, at cost – beginning of year $ 1,154,169 $ 859,048 Additions in the year – patents 360,225 294,955 Patents, at cost – end of year 1,514,394 1,154,003 Patents, accumulated depreciation – beginning of year (140,368 ) (64,154 ) Amortization of patents (91,187 ) (76,214 ) Patents, accumulated depreciation – end of year 231,555 ) (140,368 ) Foreign exchange effect (72,880 ) 166 Patents, net – end of year $ 1,209,959 $ 1,013,801 On April 9, 2019, the first GEN II U.S. patent was issued. During the year ending February 28, 2023, the Company continued to develop its next Generation II (“GEN II”) technology and filed various patents in jurisdictions around the world. The GEN II technology portfolio currently consists of four patent families for which the company has six issued U.S. patents and four pending U.S. applications. Internationally, the Company also has issued or allowed patents in Algeria, Bangladesh, and Morocco for certain aspects of the technology and pending applications in Canada, China, the Eurasian Patent Organization, Europe, the Gulf Cooperation Council, India, Japan, Mexico, Singapore, South Korea, and various other countries. All patents and patent applications, if granted are expected to expire between 2037 and 2040, not including any patent term extension. Amortization expense amounted to $91,187 for the year ended February 28, 2023 (2022 - $76,214).

Financial Instruments and Manag

Financial Instruments and Management of Financial Risk	12 Months Ended
	Feb. 28, 2023
Financial Instruments and Management of Financial Risk
Financial Instruments and Management of Financial Risk	8. Financial Instruments and Management of Financial Risk Carrying values and fair values The following table presents the fair value of the Company’s financial liabilities at February 28, 2023 and February 28, 2022: Fair Value as at February 28, 2023 Carrying Amount Fair Value Level in the hierarchy Financial liabilities measured at amortized cost: Long-term debt $ 3,302,406 $ 3,280,337 Level 2 Fair Value at February 28, 2022 Carrying Amount Fair Value Level in the hierarchy Financial liabilities measured at amortized cost: Long-term debt $ 3,378,403 $ 3,392,600 Level 2 The fair value of cash, restricted cash, customer deposits, other receivables, and accounts payable and accrued liabilities approximate their carrying values due to their short-term maturity. Currency Risk We are subject to risks associated with currency fluctuations, and changes in foreign currency exchange rates could impact our results of operations. We operate mainly through two entities, Loop Industries, Inc., which is a Nevada corporation and has a U.S. dollar functional currency, and our wholly-owned subsidiary, Loop Canada Inc. (“Loop Canada”), which is based in Terrebonne, Québec, Canada and has a Canadian dollar functional currency. Our reporting currency is the U.S. dollar. We mainly finance our operations through the sale and issuance of shares of common stock of Loop Industries, Inc. in U.S. dollars while our operations are concentrated in our wholly-owned subsidiary, Loop Canada. Accordingly, we are exposed to foreign exchange risk as we maintain bank accounts in U.S. dollars and a significant portion of our operational costs (including payroll, site costs, costs of locally sourced supplies and income taxes) are denominated in Canadian dollars. Significant fluctuations in U.S. dollar to Canadian dollar exchange rates could materially affect our result of operations, cash position and funding requirements. To the extent that fluctuations in currency exchange rates cause our results of operations to differ materially from our expectations or the expectations of our investors, the trading price of our common stock could be adversely affected.

Accounts Payable and Accrued Li

Accounts Payable and Accrued Liabilities	12 Months Ended
	Feb. 28, 2023
Accounts Payable and Accrued Liabilities
Accounts Payable And Accrued Liabilities	9. Accounts Payable and Accrued Liabilities Accounts payable and accrued liabilities as at February 28, 2023 and February 28, 2022 were as follows: February 28, 2023 February 28, 2022 Trade accounts payable $ 1,019,845 $ 4,397,499 Accrued legal settlement (Note 22) - 2,519,220 Accrued employee compensation 711,869 1,254,685 Accrued engineering fees 95,789 774,423 Accrued professional fees 409,697 526,685 Other accrued liabilities 273,281 374,303 $ 2,510,481 $ 9,846,815

Customer Deposits

Customer Deposits	12 Months Ended
	Feb. 28, 2023
Customer Deposits
Customer Deposits	10. Customer Deposits In October 2022, the Company received a cash deposit from a customer of $1,000,000 in relation to an executed capacity reservation agreement. The deposit is to be credited against any future sales of Loop™ PET resin over a five-year period, commencing two years after the first delivery of Loop™ PET resin to the customer. Under the terms of the capacity reservation agreement, the cash deposit is designated for expenditures related to the first Infinite Loop™ manufacturing facility and is refundable to the customer in the event that the Infinite Loop™ manufacturing facility is not constructed. As the cash deposit is restricted in its use, it has been reflected as restricted cash as at February 28, 2023. A corresponding contract liability is recognized in the consolidated balance sheet. The remaining $11,732 in customer deposits is related to a contract with a customer for the sale of Loop™ PET resin from the Terrebonne Facility.

Joint Venture

Joint Venture	12 Months Ended
	Feb. 28, 2023
Joint Venture
Joint Venture	11. Joint Venture On September 15, 2018, the Company, through its wholly-owned subsidiary Loop Innovations, LLC, a Delaware limited liability company, entered into a Joint Venture Agreement (the “Joint Venture Agreement”) with Indorama Ventures Holdings LP, USA, an indirect subsidiary of Indorama Ventures Public Company Limited, to manufacture and commercialize sustainable polyester resin. Each company has a 50/50 equity interest in Indorama Loop Technologies, LLC (“ILT”), which was specifically formed to operate and execute the joint venture. Under the Joint Venture Agreement, Indorama Ventures is contributing manufacturing knowledge and Loop is required to contribute its proprietary technology. Specifically, the Company contributed an exclusive worldwide royalty-free license to ILT to use its proprietary technology to produce 100% sustainably produced PET resin and polyester fiber. In the years ended February 28, 2021 and 2022, the Company achieved significant advancements in its engineering design independently from that which was accomplished in ILT. Due to these advancements, during the fourth quarter of fiscal 2022, the Company assessed that the value of the engineering design costs capitalized in ILT were obsolete and no longer recoverable. Therefore, the Company recorded a loss of $1,119,078 on its investment in ILT during the year ended February 28, 2022, representing the Company’s 50% portion of the impairment of engineering design costs capitalized in ILT. As at February 28, 2023, the carrying value of the equity investment was $380,922 (2022 – $380,922), which represents 50% of the cash balance in ILT. To conform with the terms of the SK strategic partnership described in Note 14, on June 18, 2021, the Company, Loop Innovations, LLC, a wholly-owned subsidiary of the Company (“Loop Innovations”), Indorama Ventures Holdings LP (“Indorama”) and Indorama Loop Technologies, LLC (the “Indorama Joint Venture Company”) amended (i) the Limited Liability Company Agreement between Loop Innovations, LLC and Indorama Ventures Holdings LP (the “LLC Agreement”), (ii) the Marketing Agreement between the Company and Indorama Loop Technologies, LLC (the “Marketing Agreement”) and (iii) the License Agreement between the Company and the Indorama Joint Venture Company (the “License Agreement”), each dated September 24, 2018 (collectively such amendments, the “Indorama Joint Venture Amendments”). Under the Indorama Joint Venture Amendments, the Company, Indorama and the Indorama Joint Venture Company agreed to: · terminate Indorama’s right of first refusal under the LLC Agreement over any facility to produce products utilizing any waste-to-resin technology applying the PET depolymerization process of the Company; · amend the non-compete obligations under the LLC Agreement to solely apply to the Company; · limit the scope of the Company’s grant of intellectual property rights and the scope of the exclusivity rights of the Indorama Joint Venture Company for the retrofit of existing facilities under the License Agreement to North America and Europe; and · limit the scope of the Indorama Joint Venture Company’s permitted marketing rights under the Marketing Agreement to North America and Europe. The joint venture made a decision in July 2020 that due to the COVID-19 situation it would delay work. Since then, no expenditures have been incurred by the joint venture.

LongTerm Debt

LongTerm Debt	12 Months Ended
	Feb. 28, 2023
LongTerm Debt
Long-term Debt	12. Long-Term Debt February 28, 2023 February 28, 2022 Investissement Québec financing facility: Principal amount $ 3,380,116 $ 3,622,618 Unamortized discount (261,355 ) (352,038 ) Accrued interest 183,645 107,823 Total Investissement Québec financing facility 3,302,406 3,378,403 Less: current portion of long-term debt (62,135 ) - Long-term debt, net of current portion $ 3,240,271 $ 3,378,403 Investissement Québec financing facility On February 21, 2020, the Company received $1,623,362 (CDN$2,209,234) from Investissement Québec as the first disbursement of our financing facility, out of a maximum of $3,380,116 (CDN$4,600,000) (the “Financing Facility”). The loan bears interest at a rate of 2.36% and there is a 36-month moratorium on both capital and interest repayments starting on the date of the first disbursement, after which capital and interest is repayable in 84 monthly installments. The Company established the fair value of the loan for the first disbursement at $1,354,408 based on a discount rate of 5.45%, which reflected a debt discount of $290,714. The discount rate used was based on the external financing from a Canadian bank. The Company, under the loan agreement, was required to pay fees representing 1% of the loan amount, $33,801 (CDN$46,000) to Investissement Québec which we deferred and recorded as a reduction of the Financing Facility. Debt discount and deferred financing expenses are amortized to “Interest and other financial expenses” in our Consolidated Statements of Operations and Comprehensive Loss. On August 26, 2021, the Company received $1,756,754 (CDN$2,390,766) from Investissement Québec as the second disbursement of the Financing Facility, the balance of the total amount available under the Financing Facility. The second disbursement bears the same interest rate and repayment terms as the first disbursement. The Company established the fair value of the loan for the first disbursement at $1,750,395 based on a discount rate of 3.95%, which reflected a debt discount of $139,390. The discount rate used was based on the external financing from a Canadian bank. There were no fees associated with the second disbursement. Debt discount and deferred financing expenses are amortized to “Interest and other financial expenses” in our Consolidated Statements of Operations and Comprehensive Loss. The Company recorded interest expense on the Investissement Québec loan for the year ended February 28, 2023 in the amount of $86,028 (2022 – $65,908) and an accretion expense of $69,507 (2022 – $55,332). The Company also agreed to issue to Investissement Québec warrants to purchase shares of common stock of the Company in an amount equal to 10% of each disbursement up to a maximum aggregate amount of $338,012 (CDN$460,000). The exercise price of the warrants is equal to the higher of (i) $11.00 per share and (ii) the ten-day weighted average closing price of Loop shares of common stock on the Nasdaq stock market for the 10 days prior to the issue of the warrants. The warrants can be exercised immediately upon grant and have a term of three years from the date of issuance. The loan can be repaid at any time by the Company without penalty. In connection with the first disbursement of the Financing Facility, the Company issued a warrant (“First Disbursement Warrant”) to acquire 15,153 shares of common stock at a strike price of $11.00 per share to Investissement Québec. The Company determined the fair value of the warrants using the Black-Scholes pricing formula. The fair value of the First Disbursement Warrant was determined to be $77,954 and is included in “Additional paid-in capital – Warrants” in our Condensed Consolidated Balance Sheets. In connection with the second disbursement of the Financing Facility, the Company issued a warrant (“Second Disbursement Warrant”) to acquire 17,180 shares of common stock at a strike price of $11.00 per share to Investissement Québec. The Company determined the fair value of the warrants using the Black-Scholes pricing formula. The fair value of the First Disbursement Warrant was determined to be $69,323 and is included in “Additional paid-in capital – Warrants” in our Condensed Consolidated Balance Sheets. The First Disbursement Warrants expired in the year ended February 28, 2023 and the Second Disbursement Warrants remain outstanding as at February 28, 2023. On November 21, 2022, the Company and Investissement Québec entered into an agreement to amend the existing Financing Facility which modifies the repayments of the principal amount (the “the Financing Facility Amendment”). As per the Financing Facility Amendment, a total of $36,740 (CDN $50,000) of the principal amount is repayable in monthly installments in the fiscal year ending February 29, 2024 and the remainder of the principal amount is repayable in 72 monthly installments. Under the original terms of the Financing Facility, the principal amount was repayable in 84 monthly installments beginning in March of 2023. The Financing Facility Amendment does not modify the interest rates, the repayment terms of accrued interest or any other terms of the Financing Facility. The Amendment did not meet the criteria of ASC 470, Debt Total repayments due on the Company’s indebtedness over the next five years are as follows: Years ending Amount February 29, 2024 $ 62,135 February 28, 2025 583,460 February 29, 2026 583,460 February 28, 2027 583,460 February 29, 2028 583,460 Thereafter 1,167,786 Total $ 3,563,761 Credit facility from a Canadian bank On July 26, 2022, Loop Canada, Inc., a wholly-owned subsidiary of the Company, entered into an Operating Credit Facility (the “Credit Facility”) with a Canadian bank. The Credit Facility allows for borrowings of up to $2,571,827 (CDN $3,500,000) in aggregate principal amount and provides for a two-year term. The Credit Facility is secured by the Company’s Terrebonne, Québec property and is subject to a minimum equity covenant, tested quarterly, with which the Company was in compliance as at February 28, 2023. All borrowings under the Credit Facility will bear interest at an annual rate equal to the bank’s Canadian prime rate plus 1.0%. The Company is subject to a guarantee of the liabilities of Loop Canada Inc. As at February 28, 2023, the $2,571,827 (CDN $3,500,000) Credit Facility was available and undrawn. Term Loan On January 24, 2018, the Company obtained a $1,028,731 (CDN$1,400,000) 20-year term instalment loan (the “Loan”), from a Canadian bank. The Loan bore interest at the bank’s Canadian prime rate plus 1.5%. By agreement, the Loan was repayable in monthly payments of $4,286 (CDN$5,833) plus interest. In January 2022, we repaid the remaining balance of the Loan in full. During the year ended February 28, 2022, we repaid $937,156 on the principal balance of the Loan and interest paid amounted to $32,791.

Related Party Transactions

Related Party Transactions	12 Months Ended
	Feb. 28, 2023
Related Party Transactions
Related Party Transactions	13. Related Party Transactions Employment Agreement On June 29, 2015, the Company entered into an employment agreement with Mr. Daniel Solomita, the Company’s President and Chief Executive Officer (“CEO”). The employment agreement is for an indefinite term. On July 13, 2018, the Company and Mr. Solomita entered into an amendment and restatement of the employment agreement which provided for a long-term incentive grant of 4,000,000 shares of the Company’s common stock, in tranches of one million shares each, upon the achievement of four performance milestones. This was modified to provide a grant of 4,000,000 restricted stock units covering 4,000,000 shares of the Company’s common stock while the performance milestones remained the same. The grant of the restricted stock units became effective upon approval by the Company’s shareholders at the Company’s 2019 annual meeting, of an increase in the number of shares available for grant under the Plan. Such approval was granted by the Company’s shareholders at the Company’s 2019 annual meeting. The restricted stock units vest upon the achievement of applicable performance milestones, as follows: i) 1,000,000 shares of common stock shall be issued to Mr. Solomita when the Company’s securities are listed on an exchange or the OTCQX tier of the OTC Markets; ii) 1,000,000 shares of common stock shall be issued to Mr. Solomita when the Company executes a contract for a minimum quantity of 25,000 M/T of DMT/MEG or a PET; iii) 1,000,000 shares of common stock shall be issued to Mr. Solomita when the Company’s first full-scale production facility is in commercial operation; and iv) 1,000,000 shares of common stock shall be issued to Mr. Solomita when the Company’s second full-scale production facility is in commercial operation. During the year ended February 28, 2017, it became probable that the first milestone would be met. Accordingly, 1,000,000 performance incentive shares of common stock with a fair value of $800,000 were earned and issuable to Mr. Solomita. This amount was reflected as stock-based compensation expense during the year ended February 28, 2017 based on the grant date fair value. The 1,000,000 performance incentive shares of common stock were replaced by vested restricted stock units, of which 200,000 were settled in October 2019, 2020 and 2021, each. On April 30, 2020, the Company and Mr. Solomita entered into an amendment of Mr. Solomita’s employment agreement. The amendment clarified the milestones consistent with the shift in the Company’s business from the production of terephthalate to the production of dimethyl terephthalate, another proven monomer of PET plastic that is simpler to purify. As at February 28, 2023, 3,400,000 (2022 – 3,400,000) of Mr. Solomita’s RSUs were outstanding of which 1,400,000 were vested (2022 – 400,000). When a milestone becomes probable, the corresponding expense will be valued based on the grant date fair value on April 30, 2020, the date of the last modification of Mr. Solomita’s employment agreement. The closing price of the Company’s common stock on the Nasdaq on April 30, 2020 was $7.74 per share. The vested units are settled annually in tranches of 200,000 units on October 15 of each year, unless Mr. Solomita and the Company elect to defer settlement before such date. The unvested 2,000,000 RSUs would be forfeited if Mr. Solomita left the Company, except in the case of termination without cause or resignation for good reason, in which case he would receive 50% of the unvested RSUs at the time of termination, or 100% in the case of termination without cause or resignation for good reason within 24 months after a change in control. During the year ended February 28, 2023, Mr. Solomita met a performance milestone in relation to the signature of a supply agreement with a customer. Accordingly, 1,000,000 performance incentive RSUs with a fair value of $7,740,000 were earned and issuable to Mr. Solomita. This amount was reflected as stock-based compensation expense during the year ended February 28, 2023. On October 14, 2022, Mr. Solomita and the Company agreed to defer by one year the settlement of 400,000 RSUs that were set to settle on October 15, 2022. During the year ended February 28, 2022, no outstanding milestones were probable of being met and, accordingly, the Company did not record any additional stock-based compensation expense.

Stockholders Equity

Stockholders Equity	12 Months Ended
	Feb. 28, 2023
Stockholders' Equity
Stockholders' Equity	14. Stockholders’ Equity Series A Preferred Stock Mr. Solomita’s amended employment agreement of February 15, 2016 provides that the Company shall issue to Mr. Solomita one share of the Company’s Series A Preferred Stock in exchange for Mr. Solomita agreeing not to terminate his employment with the Company for a period of five years from the date of the agreement. The agreement effectively provides Mr. Solomita with a “change of control” provision over the Company in the event that his ownership of the issued and outstanding shares of common stock of the Company is diluted to less than a majority. In order to issue Mr. Solomita his one share of Series A Preferred Stock under the amendment, the Company created a “blank check” preferred stock. Subsequently, the board of directors of the Company approved a Certificate of Designation creating the Series A Preferred Stock. Subsequently, the Company issued one share of Series A Preferred Stock to Mr. Solomita. The one share of Series A Preferred Stock issued to Mr. Solomita holds a majority of the total voting power so long as Mr. Solomita holds not less than 7.5% of the issued and outstanding shares of common stock of the Company, assuring Mr. Solomita of control of the Company in the event that his ownership of the issued and outstanding shares of common stock of the Company is diluted to a level below a majority. Currently, Mr. Solomita’s ownership of 19,210,000 shares of common stock and 1 share of Series A Preferred Stock provides him with 75.7% of the voting control of the Company. Additionally, the one share of Series A Preferred Stock issued to Mr. Solomita contains protective provisions, which precludes the Company from taking certain actions without Mr. Solomita’s (or that of any person to whom the one share of Series A Preferred Stock is transferred) approval. More specifically, so long as any shares of Series A Preferred Stock are outstanding, the Company shall not, without first obtaining the approval (by vote or written consent, as provided by law) of the holders of at least a majority of the then outstanding shares of Series A Preferred Stock, voting as a separate class: (a) amend the Articles of Incorporation or, unless approved by the Board of Directors, including by the Series A Director, amend the Company’s By-laws; (b) change or modify the rights, preferences or other terms of the Series A Preferred Stock, or increase or decrease the number of authorized shares of Series A Preferred Stock; (c) reclassify or recapitalize any outstanding equity securities, or, unless approved by the Board of Directors, including by the Series A Director, authorize or issue, or undertake an obligation to authorize or issue, any equity securities or any debt securities convertible into or exercisable for any equity securities (other than the issuance of stock-options or securities under any employee option or benefit plan); (d) authorize or effect any transaction constituting a Deemed Liquidation (as defined in this subparagraph) under the Articles, or any other merger or consolidation of the Company; (e) increase or decrease the size of the Board of Directors as provided in the By-laws of the Company or remove the Series A Director (unless approved by the Board of Directors, including the Series A Director); (f) declare or pay any dividends or make any other distribution with respect to any class or series of capital stock (unless approved by the Board of Directors, including the Series A Director); (g) redeem, repurchase or otherwise acquire (or pay into or set aside for a sinking fund for such purpose) any outstanding shares of capital stock (other than the repurchase of shares of common stock from employees, consultants or other service providers pursuant to agreements approved by the Board of Directors under which the Company has the option to repurchase such shares at no greater than original cost upon the occurrence of certain events, such as the termination of employment) (unless approved by the Board of Directors, including the Series A Director); (h) create or amend any stock option plan of the Company, if any (other than amendments that do not require approval of the stockholders under the terms of the plan or applicable law) or approve any new equity incentive plan; (i) replace the President and/or Chief Executive Officer of the Company (unless approved by the Board of Directors, including the Series A Director); (j) transfer assets to any subsidiary or other affiliated entity (unless approved by the Board of Directors, including the Series A Director); (k) issue, or cause any subsidiary of the Company to issue, any indebtedness or debt security, other than trade accounts payable and/or letters of credit, performance bonds or other similar credit support incurred in the ordinary course of business, or amend, renew, increase or otherwise alter in any material respect the terms of any indebtedness previously approved or required to be approved by the holders of the Series A Preferred Stock (unless approved by the Board of Directors, including the Series A Director); (l) modify or change the nature of the Company’s business; (m) acquire, or cause a Subsidiary of the Company to acquire, in any transaction or series of related transactions, the stock or any material assets of another person, or enter into any joint venture with any other person (unless approved by the Board of Directors, including the Series A Director); or (n) sell, transfer, license, lease or otherwise dispose of, in any transaction or series of related transactions, any material assets of the Company or any Subsidiary outside the ordinary course of business (unless approved by the Board of Directors, including the Series A Director). Common Stock For the year ended February 28, 2023 Number of shares Amount Balance, February 28, 2022 47,388,056 $ 4,740 Issuance of shares upon settlement of restricted stock units 81,168 8 Balance, February 28, 2023 47,469,224 $ 4,748 For the year ended February 28, 2022 Number of shares Amount Balance, February 28, 2021 42,413,691 $ 4,242 Issuance of shares upon settlement of restricted stock units 231,660 24 Issuance of shares for cash 4,714,813 471 Issuance of shares upon exercise of warrants 11,666 1 Issuance of shares upon exercise of options 16,226 2 Balance, February 28, 2022 47,388,056 $ 4,740 During the year ended February 28, 2023, the Company recorded the following common stock transactions: (i) The Company issued 81,168 shares of the common stock to settle restricted stock units that vested in the period. During the year ended February 28, 2022, the Company recorded the following common stock transactions: (i) The Company issued 231,660 shares of the common stock to settle restricted stock units that vested in the period. (ii) The Company issued 4,714,813 shares of its common stock, with warrants, at an aggregate offering price of $12.00 per share for total gross proceeds of $56,577,756 and net proceeds of $56,049,167. (iii) The Company issued 11,666 shares of its common stock upon the exercise of a warrant. (iv) The Company issued 16,226 shares of its common stock upon the exercise of stock options. On June 22, 2021, the Company entered into a Securities Purchase Agreement (the “Purchase Agreement”) by and between the Company and SK Geo Centric, Ltd, an accredited investor (the “Purchaser”). Pursuant to the Purchase Agreement, the Company sold to the Purchaser the following securities on July 29, 2021 for an aggregate purchase price of $56.5 million (collectively, the “SKGC Investment”): · an aggregate of 4,714,813 shares (the “Shares”) of the Company’s common stock (the “Common Stock”); · warrants to purchase 4,714,813 shares of Common Stock for an exercise price of $15.00 (the “First Tranche Warrants”), with an expiration date of the third anniversary of the issue date; · warrants to purchase 2,357,407 shares of Common Stock for an exercise price of $20.00 (the “Second Tranche Warrants”), with an expiration date of the earlier of (A) the date that is the third anniversary of the start of construction of the JV’s first facility, (B) 18 months after the date both parties have approved the basic design package to be used for the JV facilities, provided that the agreements to form the JV have not been executed by that date, and (C) the third anniversary of the date that both parties approved the basic design package to be used for the JV facilities, provided that the start of construction of the JV’s first facility has not occurred as of such date; and · warrants to purchase 461,298 shares of Common Stock for an exercise price of $11.00, with an expiration date of June 14, 2022 (the “Third Tranche Warrants,” and together with First Tranche Warrants and the Second Tranche Warrants, the “Warrants”). The Purchaser may exercise the First Tranche Warrant at any time beginning on January 29, 2022 and the Second Tranche Warrant at any time on or after the later to occur of (i) January 29, 2022 and (ii) the first business day following the First Plant Milestone (as defined in the Second Tranche Warrant) prior to its expiration date. The Third Tranche Warrants expired June 14, 2022. Further details related to outstanding warrants are included in Note 19. The table below summarizes the allocation of the aggregate purchase price, net of issuance costs, based on the relative fair-value of the components at the grant date: Common stock $ 34,622,854 First Tranche Warrants 13,158,981 Second Tranche Warrants 7,167,195 Third Tranche Warrants 1,135,274 $ 56,084,304 The fair value of the warrants was determined using the Black-Scholes model. The principal components of the pricing model were as follows: First Tranche Warrants Second Tranche Warrants Third Tranche Warrants Exercise price $ 15 $ 20 $ 11 Risk-free interest rate 0.37 % 0.60 % 0.07 % Expected dividend yield 0 % 0 % 0 % Expected volatility 78 % 74 % 93 % Expected life 2.5 years 4.1 years 0.9 years After the closing of the SKGC Investment, the Purchaser owns approximately 10.0% of the issued and outstanding Common Stock as of that date.

Research and Development Expens

Research and Development Expenses	12 Months Ended
	Feb. 28, 2023
Research and Development Expenses
Research and Development Expenses	15. Research and Development Expenses Research and development expenses for the years ended February 28, 2023 and February 28, 2022 were as follows: February 28, 2023 February 28, 2022 Machinery and equipment expenditures $ 4,216,042 $ 9,549,802 Employee compensation 7,805,369 7,259,640 External engineering 3,272,864 7,307,363 Plant and laboratory operating expenses 2,580,977 2,649,133 Tax credits (1,199,137 ) (91,960 ) Other 669,849 1,062,447 $ 17,345,964 $ 27,736,425

General and Administrative Expe

General and Administrative Expenses	12 Months Ended
	Feb. 28, 2023
General and Administrative Expenses
General And Administrative Expenses	16. General and Administrative Expenses General and administrative expenses for the years ended February 28, 2023 and February 28, 2022 were as follows: February 28, 2023 February 28, 2022 Professional fees $ 4,288,299 $ 4,247,859 Employee compensation (1) 11,224,336 3,298,610 Insurance 3,594,030 4,267,927 Other 1,322,751 978,043 $ 20,429,416 $ 12,792,439 (1) Includes stock-based compensation expense. During the year ended February 28, 2023, the Company recorded a stock-based compensation expense of $7,740,000 related to the achievement of a performance milestone for 1,000,000 RSUs granted to the Company’s CEO (Note 13). During the year period ended February 28, 2022, the Company recorded RSU forfeitures for an amount of $935,837 as a reversal of stock-based compensation.

ShareBased Payments

ShareBased Payments	12 Months Ended
	Feb. 28, 2023
ShareBased Payments
Share-based Payments	17. Share-Based Payments Stock Options The following tables summarizes the continuity of the Company’s stock options during the years ended February 28, 2023 and February 28, 2022: 2023 2022 Number of stock options Weighted average exercise price Number of stock options Weighted average exercise price Outstanding, beginning of year 1,570,000 $ 6.87 1,587,081 $ 6.81 Granted 972,000 2.68 - - Exercised - - (17,081 ) - Forfeited - - - - Expired - - - - Outstanding, end of year 2,542,000 $ 5.27 1,570,000 $ 6.87 Exercisable, end of year 1,670,000 $ 6.84 1,311,667 $ 7.57 2023 2022 Exercise price Number of stock options outstanding Weighted average remaining life (years) Number of stock options outstanding Weighted average remaining life (years) $ 0.80 490,000 2.75 490,000 3.75 $ 2.68 972,000 9.75 - - $ 5.25 380,000 4.50 380,000 5.49 $ 12.00 700,000 4.54 700,000 5.54 Outstanding, end of year 2,542,000 6.18 1,570,000 4.97 Exercisable, end of year 1,670,000 5.16 1,311,667 5.13 The Company applies the fair value method of accounting for stock-based compensation awards granted. Fair value is calculated based on a Black-Scholes option pricing model. There were no new issuances of stock options for the years ended February 28, 2022. The principal components of the pricing model for the stock options granted in the year ended February 28, 2023 were as follows: Exercise price $ 2.68 Risk-free interest rate 3.88 % Expected dividend yield 0 % Expected volatility 73 % Expected life 5 years During the year ended February 28, 2023, stock-based compensation expense attributable to stock options amounted to $1,316,084 (2022 – $1,513,211). Restricted Stock Units The following table summarizes the continuity of the restricted stock units (“RSUs”) during the years February 28, 2023 and February 28, 2022: 2023 2022 Number of units Weighted average fair value price Number of units Weighted average fair value price Outstanding, beginning of year 4,018,567 $ 7.42 4,210,520 $ 1.98 Granted 151,605 5.14 353,219 10.15 Settled (81,168 ) 11.72 (231,660 ) 1.90 Forfeited (200,386 ) 10.34 (313,512 ) 7.97 Outstanding, end of year 3,888,618 $ 7.09 4,018,567 $ 7.42 Outstanding vested, end of year 1,563,497 $ 6.29 537,966 $ 3.28 The Company applies the fair value method of accounting for awards granted through the issuance of restricted stock units. Fair value is calculated based on the intrinsic value at grant date multiplied by the number of restricted stock unit awards granted. During the year ended February 28, 2023, stock-based compensation attributable to RSUs amounted to $8,770,102 (2022 - $549,155). During the year ended February 28, 2023, the Company recorded a stock-based compensation expense of $7,740,000 related to the achievement of a performance milestone for 1,000,000 RSUs granted to the Company’s CEO (Note 13). During the year ended February 28, 2023, the Company recorded a reversal of expenses for RSU forfeitures in the amount of $288,413 (2022 - $963,022). Stock-Based Compensation Expense During the year ended February 28, 2023, stock-based compensation included in research and development expenses amounted to $1,337,167 (2022 – $1,536,734), and in general and administrative expenses amounted to $8,749,019 (2022 – $525,632). The amount recorded in general and administrative expenses for the year ended February 28, 2023 includes $7,740,000 related to the achievement of a performance milestone for 1,000,000 RSUs granted to the Company’s CEO (Note 13). During the year ended February 28, 2023, the Company recorded a reversal of stock-based compensation for forfeitures included in research and development expenses of $79,096 (2022 – $27,185), and in general and administrative expenses of $209,317 (2022 – $935,837).

Equity Incentive Plan

Equity Incentive Plan	12 Months Ended
	Feb. 28, 2023
Equity Incentive Plan
Equity Incentive Plan	18. Equity Incentive Plan On July 6, 2017, the Company adopted the 2017 Equity Incentive Plan (the “Plan”). The Plan permits the granting of warrants, stock options, stock appreciation rights and restricted stock units to employees, directors and consultants of the Company. A total of 3,000,000 shares of common stock were initially reserved for issuance under the Plan at July 6, 2017, with annual automatic share reserve increases, as defined in the Plan, amounting to the lessor of (i) 1,500,000 shares, (ii) 5% of the outstanding shares on the last day of the immediately preceding fiscal year, or (iii) or such number of shares determined by the Administrator of the Plan, effective March 1, 2018. On March 1, 2022 and 2021, the Board of Directors opted to waive the annual share reserve increase. The Plan is administered by the Board of Directors who designates eligible participants to be included under the Plan, the number of awards granted, the share price pursuant to the awards and the vesting conditions and period. The awards, when granted, will have an exercise price of no less than the estimated fair value of shares at the date of grant and a life not exceeding 10 years from the grant date. However, where a participant, at the time of the grant, owns stock representing more than 10% of the voting power of the Company, the life of the options shall not exceed 5 years. The following table summarizes the continuity of the Company’s Equity Incentive Plan units during the years ended February 28, 2023 and February 28, 2022: 2023 2022 Number of units* Number of units* Outstanding, beginning of year 1,043,705 1,083,412 Share reserve increase - - Units granted (1,123,605 ) (353,219 ) Units forfeited 200,386 313,512 Units expired - - Outstanding, end of year 120,486 1,043,705 *The use of the term “units” in the table above describes a combination of stock options and RSUs.

Warrants

Warrants	12 Months Ended
	Feb. 28, 2023
Warrants
Warrants	19. Warrants The following table summarizes the continuity of warrants during the years February 28, 2023 and February 28, 2022: 2023 2022 Number of warrants Weighted average exercise price Number of warrants Weighted average exercise price Outstanding, beginning of year 11,659,418 $ 14.44 4,133,720 $ 10.99 Issued - - 7,550,698 16.31 Exercised - - (25,000 ) 9.43 Expired (4,570,018 ) 11.00 - - Outstanding, end of year 7,089,400 $ 16.65 11,659,418 $ 14.44 The expiration dates of the warrants outstanding as at February 28, 2023 are as follows: 2023 Number of warrants Weighted average exercise price July 29, 2024 4,714,813 $ 15.00 (1) 2,357,407 20.00 August 26, 2024 17,180 11.00 Outstanding, end of year 7,089,400 $ 16.65 (1) Warrant granted to SK Geo Centric, Ltd. in the transaction described in Note 14: Expiration date is the earlier of (A) the date that is the third anniversary of the start of construction of the JV’s first facility, (B) 18 months after the date both parties have approved the basic design package to be used for the JV facilities, provided that the agreements to form the JV have not been executed by that date, and (C) the third anniversary of the date that both parties approved the basic design package to be used for the JV facilities, provided that the start of construction of the JV’s first facility has not occurred as of such date.

Interest and Other Finance Cost

Interest and Other Finance Costs	12 Months Ended
	Feb. 28, 2023
Interest and Other Finance Costs
Interest and Other Financial Expenses	20. Interest and Other Financial Expenses Interest and other finance costs for the years ended February 28, 2023 and February 28, 2022 are as follows: 2023 2022 Interest on long-term debt $ 86,028 $ 98,700 Accretion expense 69,507 55,332 Other 33,221 287 $ 188,756 $ 154,319

Income Taxes

Income Taxes	12 Months Ended
	Feb. 28, 2023
Income Taxes
Income Taxes	21. Income Taxes The components of the Company’s loss before taxes are summarized below: February 28, 2023 February 28, 2022 U.S. operations $ (8,406,384 ) $ (12,690,909 ) Foreign operations (12,894,181 ) (32,230,047 ) Loss before taxes $ (21,300,565 ) $ 44,920,956 ) A reconciliation from the statutory U.S. income tax rate and the Company’s effective income tax rate, as computed on loss before taxes, is as follows: February 28, 2023 February 28, 2022 Statutory Federal rate 21 % 21 % Federal income tax at statutory rate $ (4,473,117 ) $ (9,433,405 ) Effect of foreign jurisdiction (740,545 ) 1,803,016 ) Non-deductible expenses 762,149 329,054 Tax credits related to research and development expenditures (201,628 ) (76,327 ) Unrecognized tax benefit of net operating losses and other available deductions 4,653,141 10,983,694 Effective income tax expense $ - $ - Current $ - $ - Deferred $ - $ - The Company has net operating loss carry forwards of approximately $38,122,411 (2022 – $30,316,049) for U.S. Federal income tax purposes expiring between 2035 and 2038, post 2018 net operating losses may be carried forward indefinitely. The Company has net operating loss carry forwards for Canadian Federal and Québec tax purposes of approximately $67,616,651 (CDN$92,019,500), 2022 – $59,310,541 (CDN$74,288,683), and $70,746,629 (CDN$96,279,088), 2022 – $61,353,534 (CDN$76,847,608), respectively, expiring between 2037 and 2043. Realization of future tax assets is dependent on future earnings, the timing and amount of which are uncertain. Accordingly, the net future tax assets have been fully offset by a valuation allowance. The valuation allowance increased by $4,346,788 and $11,241,297, respectively, for the years ended February 28, 2023 and February 28, 2022. The Company has provided a full valuation allowance on the deferred tax assets as a result of the uncertainty regarding the probability of its realization. The Company has approximately $7,471,410 (CDN$10,167,842), 2022 - $5,998,338 (CDN$7,616,689) of research and development expenditures for Canadian Federal and Québec provincial purposes that are available to reduce taxable income in future years and have an unlimited carry forward period, the benefit of which has not been reflected in these financial statements. Research and development expenditures are subject to audit by the taxation authorities and accordingly, these amounts may vary. The tax effect of temporary differences between US GAAP accounting and federal income tax accounting creating deferred income tax assets and liabilities were as follows: As at February 28, 2023 February 28, 2022 Deferred tax assets Canada net operating loss carry forward $ 18,278,360 $ 15,735,374 U.S. net operating loss carry forward 8,005,706 6,366,370 Accrual and reserves 545,697 938,918 Intangibles 214,419 175,077 Property, plant and equipment 2,252,828 3,599,781 Research and development expenditures and credits 3,569,211 2,711,560 Basis in partnership 235,006 235,006 Other 894,525 698 Deferred tax assets 33,995,752 29,762,784 Deferred tax liabilities Intangibles (319,771 ) (267,813 ) Other - (165,778 ) Deferred tax liabilities (319,771 ) (433,591 ) Deferred tax assets, net 33,675,981 29,329,193 Valuation allowance (33,675,981 ) (29,329,193 ) Deferred tax assets, net $ - $ - Assessment of the amount of value assigned to the Company’s deferred tax assets under the applicable accounting rules is judgmental. The Company is required to consider all available positive and negative evidence in evaluating the likelihood that the Company will be able to realize the benefit of its deferred tax assets in the future. Such evidence includes scheduled reversals of deferred tax liabilities, projected future taxable income, tax planning strategies and the results of recent operations. Since this evaluation requires consideration of events that may occur some years into the future, there is an element of judgment involved. Realization of the Company’s deferred tax assets is dependent on generating sufficient taxable income in future periods. Management does not believe that it is more likely than not that future taxable income will be sufficient to allow it to recover substantially all of the value assigned to its deferred tax assets. Accordingly, the Company has provided for a valuation allowance of the Company’s deferred tax assets. The tax years subject to examination by major tax jurisdiction include the years ended February 28, 2019 and forward by the U.S. Internal Revenue Service and most state jurisdictions, and the years ended February 28, 2019 and forward for the Canadian jurisdiction.

Commitments and Contingencies

Commitments and Contingencies	12 Months Ended
	Feb. 28, 2023
Commitments and Contingencies
Commitments and Contingencies	22. Commitments and Contingencies Agreement to purchase of machinery and equipment In December 2021, the Company entered into an agreement for the purchase of long lead machinery and equipment in connection with the construction of our first Infinite Loop ™ Contingencies On October 13, 2020, the Company and certain of its officers were named as defendants in a proposed class-action lawsuit filed in the United States District Court for the Southern District of New York, captioned Olivier Tremblay, Individually and on Behalf of All Others Similarly Situated v. Loop Industries, Inc., Daniel Solomita, and Nelson Gentiletti On October 28, 2020, the Company and certain of its officers were named as defendants in a second proposed class-action lawsuit filed in the United States District Court for the Southern District of New York, captioned Michelle Bazzini, Individually and on Behalf of All Others Similarly Situated v. Loop Industries, Inc., Daniel Solomita, and Nelson Gentiletti On January 4, 2021, the United States District Court for the Southern District of New York consolidated the two proposed class-action lawsuits as In re Loop Industries, Inc. Securities Litigation Plaintiffs served a consolidated amended complaint on February 18, 2021, which alleged that the defendants violated Sections 10(b) and 20(a) and Rule 10b-5 of the Securities Exchange Act of 1934 by allegedly making materially false and/or misleading statements, as well as allegedly failing to disclose material adverse facts about the Company’s business, operations, and prospects, which caused the Company’s securities to trade at artificially inflated prices. The consolidated amended complaint relies on the October 13, 2020 report published by a third party regarding the Company to support their allegations. Defendants served a motion to dismiss the consolidated amended complaint on April 27, 2021. Plaintiffs’ opposition to the motion to dismiss was served on May 27, 2021 and Defendants’ reply in support of the motion to dismiss was served on June 11, 2021. On March 1, 2022, the Company and the current and former officer defendants entered into an agreement for the settlement of In re Loop Industries, Inc. Securities Litigation, and, on March 4, 2022, advised the Court of the agreement to settle. The agreement, which is subject to certain conditions, including court approval, required the Company to pay $3.1 million to the plaintiff class. As a result, the Company recorded a contingency loss of $2,519,220 which was included in accounts payable and accrued liabilities at February 28, 2022 and expected to be the Company’s approximate total cash contribution to the settlement and outstanding legal fees related to the lawsuit, net of the Company’s D&O insurance carriers’ contribution. On May 24, 2022, Lead Plaintiffs filed their motion for preliminary approval of the proposed class action settlement. On September 19, 2022, the Court entered an order preliminarily approving the settlement and providing for notice. The Court held a final settlement hearing on January 5, 2023 after which the Court entered an order and final judgment approving the class action settlement. In October 2022, the Company made a payment in escrow of $3,100,000 for the settlement and received $837,782 from its D&O insurance carriers. As at February 28, 2023 the Company no longer has any amount related to the class action settlement included in accounts payable and accrued liabilities. The settlement agreement does not constitute an admission, concession, or finding of any fault, liability, or wrongdoing by the Company or any defendant. On October 13, 2020, the Company, Loop Canada Inc. and certain of their officers and directors were named as defendants in a proposed securities class action filed in the Superior Court of Québec (District of Terrebonne, Province of Québec, Canada), in file no. 700-06-000012-205. The Application for authorization of a class action and for authorization to bring an action pursuant to section 225.4 of the Québec Securities Act In a judgment dated July 29, 2022, the Superior Court of Québec dismissed the Application for authorization of a class action and for authorization to bring an action pursuant to section 225.4 of the Québec Securities Act. The period to appeal the judgment is now expired.

Subsequent Events

Subsequent Events	12 Months Ended
	Feb. 28, 2023
Subsequent Events
Subsequent Events	23. Subsequent Events On April 27, 2023, the Company and SK Geo Centric, Ltd (“SKGC”) entered into an agreement to deploy the Company’s depolymerization technology in the Asian market through multiple commercial manufacturing facilities. Pursuant to the agreement, the Company and SKGC agreed to form a new entity, which will be headquartered in Singapore. SKGC will contribute 51% and Loop will contribute 49% of the initial equity capital of the new entity. The agreement outlines that the new entity will have exclusive rights to commercialize Loop’s technology in the Asian market and Loop will receive an annual royalty fee for each of the commercial plants.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	12 Months Ended
	Feb. 28, 2023
Summary of Significant Accounting Policies
Liquidity Risk Assessment	Liquidity Risk Assessment Since its inception, the Company has been in the pre-commercialization stage with limited revenues from customers, and its ongoing operations and commercialization plans have been financed primarily by raising equity. The Company has incurred net losses and negative cash flow from operating activities since its inception and expects to incur additional net losses while it continues to develop and plan for commercialization. As at February 28, 2023, the Company’s available liquidity was $32.16 million, consisting of cash and cash equivalents of $29.59 million and an undrawn senior loan facility from a Canadian bank of $2.57 million (CDN $3.50 million). Management actively monitors the Company’s cash resources against the Company’s short-term cash commitments to ensure the Company has sufficient liquidity to fund its costs for at least twelve months from the financial statement issuance date. Management evaluates the Company’s liquidity to determine if there is substantial doubt about the Company’s ability to continue as a going concern. In preparing this liquidity assessment, management applies significant judgment in estimating future cash flow requirements of the Company based on budgets and forecasts, which includes developing assumptions related to: (i) estimation of amount and timing of future cash outflows and inflows and (ii) determining what future expenditures are committed and what could be considered discretionary. Based on this assessment, management believes that the Company will be able to realize its assets and discharge its liabilities in the normal course of operations as they become due for a period of no less than twelve months from the date of issuance of these consolidated financial statements. The Company’s ability to move to the next stage of its strategic development and construct manufacturing plants is dependent on whether the Company can obtain the necessary financing through a combination of the issuance of debt, equity, and/or joint ventures and/or government incentive programs. The Company is working with its joint venture partners to put in place the financing plan for the rollout of large-scale manufacturing in Asia and Europe, including the planned first Asian manufacturing facility in Ulsan, South Korea. However, there is no assurance that the Company will be successful in attracting additional funding. Even if additional financing is available, it may not be available on terms favorable to the Company. Failure to secure additional financing on favorable terms when it becomes required would have an adverse effect on the Company’s financial position and on its ability to execute its business plan. The Company has committed a portion of its cash resources for certain long lead equipment and may enter into additional commitments to accelerate commercial projects within targeted construction timeframes.
Revenue recognition	Revenue recognition The Company recognizes revenue with customers in accordance with ASC 606, Revenue from Contracts with Customers (“ASC 606”). This standard applies to all contracts with customers, except for contracts that are within the scope of other standards, such as leases, insurance, collaboration arrangements and financial instruments. Under ASC 606, the Company recognizes revenue when its customer obtains control of promised goods or services, in an amount that reflects the consideration which the Company expects to receive in exchange for those goods or services. To determine revenue recognition for arrangements that the Company determines are within the scope of ASC 606, the Company performs the following five steps: (i) identify the contract(s) with a customer; (ii) identify the performance obligations in the contract; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations in the contract; and (v) recognize revenue when (or as) the Company satisfies a performance obligation. The Company only applies the five-step model to contracts when it is probable that the Company will collect the consideration it is entitled to in exchange for the goods or services it transfers to the customer. At contract inception, once the contract is determined to be within the scope of ASC 606, the Company assesses the goods or services promised within each contract and determines those that are performance obligations and assesses whether each promised good or service is distinct. The Company then recognizes as revenue the amount of the transaction price that is allocated to the respective performance obligation when (or as) the performance obligation is satisfied. The Company enters into contracts with customers to sell Loop™ PET resin. These contracts include a single performance obligation, which is the delivery of Loop™ PET resin, and the transaction price is a fixed rate per delivered volume. Revenue is recognized when control of the product transfers to the customer, which is when product is delivered to the customer location. Shipping and handling costs are accounted for as a fulfillment cost.
Use Of Estimates	Use of estimates The preparation of financial statements in conformity with US GAAP requires management to use its judgment to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of expenses during the reporting period. Actual results could differ from those estimates. Those estimates and assumptions include the going concern assessment, estimates for depreciable lives of property, plant and equipment, intangible assets, analysis of impairments of long-lived assets and intangible assets, recoverability tax credits receivable, accruals for potential liabilities, assumptions made in calculating the fair value of stock-based compensation and other equity instruments, and the assessment of performance conditions for stock-based compensation awards.
Fair value of financial instruments	Fair value of financial instruments The Company applies Financial Accounting Standards Board (“FASB”) Codification (“ASC”) 820, Fair Value Measurement There are three levels within the hierarchy that may be used to measure fair value: Level 1 – A quoted price in an active market for identical assets or liabilities. Level 2 – Significant pricing inputs that are observable, which are inputs that reflect the assumptions market participants would use in pricing the asset or liability developed based on market data obtained from independent sources. Level 3 – Significant pricing inputs that are unobservable, which are inputs that reflect the Company’s own assumptions about the assumptions market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. The fair value measurements level of an asset or liability within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. Valuation techniques used should maximize the use of observable inputs and minimize the use of unobservable inputs. The valuation methodologies described above may produce a fair value calculation that may not be indicative of future net realizable value or reflective of future fair values. The fair value of cash, cash equivalents and accounts payable and accrued liabilities approximate their carrying values due to their short-term maturity.
Government grants	Government grants US GAAP for profit-oriented entities does not define government grants; nor is there specific guidance applicable to government grants. Under the Company’s accounting policy for government grants and consistent with non-authoritative guidance, grants are recognized on a systematic basis over the periods in which the entity recognizes the related costs. Grants that relate to the acquisition of an asset are recognized as a reduction of the cost of the asset and in the statement of operations and comprehensive loss as the asset is depreciated or amortized. A grant that is compensation for expenses or losses already incurred, or for which there are no future related costs, is recognized in the statement of operations and comprehensive loss in the period in which it becomes receivable. Low-interest loans or interest-free loans from a government are initially measured at fair value and an interest expense is recognized on the loan subsequently under the effective interest method, with the difference recognized as a government grant. Reimbursable tax credits are recognized when amounts can be reasonably estimated on a systematic basis over the periods in which the Company recognizes the related costs. The Company is currently eligible for reimbursable Provincial research and development tax credits and investment tax credits, which are related to costs associated with our Terrebonne Facility and recorded as a reduction of research and development expenses.
Deferred financing costs and other transaction costs	Deferred financing costs and other transaction costs Deferred financing costs represent commitment fees, legal fees and other costs associated with obtaining commitments for financing. These fees are amortized as a component of interest expense over the terms of the respective financing agreements on a straight-line basis. Unamortized deferred financing fees are expensed in full when the associated debt is refinanced or repaid before maturity. Costs incurred in seeking financial transactions that do not close are expensed in the period in which it is determined that the financing will not be successful. Transaction costs associated with issuing equity are reflected as a reduction of accumulated paid-in-capital.
Foreign Currency Translations And Transactions	Foreign currency translations and transactions The accompanying consolidated financial statements are presented in U.S. dollars, the reporting currency of the Company. Assets and liabilities of subsidiaries that have a functional currency other than that of the Company are translated to U.S. dollars at the exchange rate as at the balance sheet date. Income and expenses are translated at the average exchange rate of the period. The resulting translation adjustments are included in other comprehensive income (loss) (“OCI”). The Company currently is not engaged in any currency hedging activities. For transactions and balances, monetary assets and liabilities denominated in foreign currencies are translated into the functional currency of the entity at the prevailing exchange rate at the reporting date. Non-monetary assets and liabilities, and revenue and expense items denominated in foreign currencies are translated into the functional currency using the exchange rate prevailing at the dates of the respective transactions. Foreign exchange gains and losses resulting from the settlement of such transactions are recognized in the consolidated statements of operations and comprehensive loss, except for gains or losses arising from the translation of intercompany balances denominated in foreign currencies that forms part in the net investment in the subsidiary which are included in OCI.
Property, plant and equipment	Property, plant and equipment Property, plant and equipment are recorded at cost, net of accumulated amortization and impairment, and are amortized over their estimated useful lives, unless the useful life is indefinite, using the straight-line method over the following periods: Building 30 years Land Indefinite Office equipment and furniture 8 years Building and land improvements 5-10 years Costs related to repairs and maintenance of property, plant and equipment are expensed in the period in which they are incurred. Upon sale or disposal, the Company writes off the cost of the asset and the related amount of accumulated depreciation. The resulting gain or loss is included in the consolidated statement of operations and comprehensive loss. Management reviews the carrying values of its property, plant and equipment for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset or asset group might not be recoverable. Assets are grouped at the lowest level for which identifiable cash flows are largely independent when testing for, and measuring for, impairment. In performing its review of recoverability, the Company estimates the future cash flows expected to result from the use of the asset or asset group and its eventual disposition. If the sum of the expected undiscounted future cash flows is less than the carrying amount of the asset or asset group, an impairment loss is recognized in the consolidated statements of operations. Measurement of the impairment loss is based on the excess of the carrying amount of the asset or asset group over the fair value calculated using discounted expected future cash flows.
Research and development expenses	Research and development costs are charged to expense as costs are incurred in performing research and development activities. Research and development expenses relate primarily to process development and design, customer trials and characterization studies, testing of pre-production samples, machinery and equipment expenditures for use in the production facility in Terrebonne, Québec (the “Terrebonne Facility”), compensation, and consulting and engineering fees. Research and development costs are presented net of related tax credits and government grants.
Assets Held For Sale	Assets held for sale Assets are classified as held for sale when they met the criteria set out in ASC 360-10-45-9 Long-lived assets classified as held for sale · Management, having the authority to approve the action, commits to a plan to sell the asset; · The asset is available for immediate sale in its present condition subject only to terms that are usual and customary for sales of such assets; · An active program to locate a buyer and other actions required to complete the plan to sell the asset have been initiated; · The sale of the asset is probable, and transfer of the asset is expected to qualify for recognition as a completed sale, within one year; · The asset is being actively marketed for sale at a price that is reasonable in relation to its current fair value; and · Actions required to complete the plan indicate that it is unlikely that significant changes to the plan will be made or that the plan will be withdrawn. When the criteria are met, the assets are presented at the lesser of fair market value, net of selling costs, and amortized cost in current assets.
Stock-based compensation	Stock‑based compensation The Company periodically issues stock options, warrants and restricted stock units to employees and non-employees in non-capital raising transactions for services and financing expenses. The Company accounts for stock options granted to employees based on the authoritative guidance provided by the FASB wherein the fair value of the award is measured on the grant date and recognized as compensation expense on the straight-line basis over the vesting period. When performance conditions exist, the Company recognizes compensation expenses when it becomes probable that the performance condition will be met. Forfeitures on share-based payments are recognized as they occur. The Company accounts for stock options and warrants granted to non-employees in accordance with the authoritative guidance of the FASB wherein the fair value of the stock compensation is based upon the measurement date determined as the earlier of the date at which either a) a commitment is reached with the counterparty for performance or b) the counterparty completes its performance. The Company estimates the fair value of restricted stock unit awards to employees and directors based on its intrinsic value at date of grant. The fair value of the stock options granted is estimated using the Black-Scholes model, which uses certain assumptions related to risk-free interest rates, expected volatility, expected life of the stock options, and future dividends. Stock-based compensation expense is recorded based on the value derived from the Black-Scholes model and on actual experience. The assumptions used in the Black-Scholes model could materially affect stock-based compensation expenses recorded in the current and future periods.
Restricted cash	Restricted cash Cash held by the Company restricted as to withdrawal or use is presented as restricted cash in the consolidated balance sheet. As at February 28, 2023, restricted cash comprised of a customer deposit which is restricted for use on a commercial project, as discussed in Note 10.
Inventories	Inventories Inventories are stated at the lower of cost or net realizable value using the average cost method. Inventory cost includes direct labor, cost of raw materials and production overhead. The Company separates its inventories into three main categories: raw materials, work in process, and finished goods. The raw materials category includes goods used in the production process that have not yet entered the production process at the balance sheet date and mainly comprises chemicals and other process consumables. The work in process category includes goods that are in the production process at the balance sheet date and mainly comprises monomers that have not yet been polymerized into Loop™ branded PET resin. The finished goods category includes goods that have completed the production process at the balance sheet date and mainly comprises Loop™ branded PET resin.
Intangible assets	Intangible assets Intangible assets are recorded at cost, net of accumulated amortization and impairment, and are amortized over their estimated useful lives, unless the useful life is indefinite, using the straight-line method over 7 years. The Company reviews the carrying value of intangible assets subject to amortization whenever events or changes in circumstances indicate that the carrying amount of an intangible asset or asset group might not be recoverable or a change in the remaining useful life of an intangible asset. If the carrying value of an asset exceeds its undiscounted cash flows, the Company writes down the carrying value of the intangible asset to its fair value in the period identified. If the carrying value of assets is determined not to be recoverable, the Company records an impairment loss equal to the excess of the carrying value over the fair value of the assets. The Company’s estimate of fair value is based on the best information available, in the absence of quoted market prices. The Company generally calculates fair value as the present value of estimated future cash flows that the Company expects to generate from the asset. If the estimate of an intangible asset’s remaining useful life is changed, the Company amortizes the remaining carrying value of the intangible asset prospectively over the revised remaining useful life.
Income taxes	Income taxes The Company calculates its provision for income tax on the basis of the tax laws enacted at the balance sheet date in the countries where the Company and its subsidiaries operate and generate taxable income, in accordance with FASB ASC 740, Income Taxes
Net loss per share	Net loss per share The Company computes net loss per share in accordance with FASB ASC 260, Earnings Per Share For the years ended February 28, 2023 and February 28, 2022, the calculations of basic and diluted loss per share are the same because potential dilutive securities would have an antidilutive effect. As at February 28, 2023, the potentially dilutive securities consisted of 2,542,000 outstanding stock options (2022 – 1,570,000), 3,888,618 outstanding restricted stock units (2022 – 4,018,567), and 7,089,400 outstanding warrants (2022 – 11,659,418).
Recently adopted accounting pronouncements	Recently adopted accounting pronouncements In June 2016, the FASB issued ASU 2016-13, “Financial Instruments—Credit Losses”. This ASU added a new impairment model (known as the current expected credit loss (“CECL”) model) that is based on expected losses rather than incurred losses. Under the new guidance, an entity recognizes an allowance for its estimate of expected credit losses and applies to most debt instruments, trade receivables, lease receivables, financial guarantee contracts, and other loan commitments. The CECL model does not have a minimum threshold for recognition of impairment losses and entities will need to measure expected credit losses on assets that have a low risk of loss. The adoption of this accounting guidance for the year ended February 28, 2023 did not impact the disclosures in our Consolidated Financial Statements.
Recently issued accounting pronouncements not yet adopted	Recently issued accounting pronouncements not yet adopted There were no new accounting pronouncements issued which could have a significant effect on the Company’s consolidated financial statements.

Sales Tax Tax Credits and Oth_2

Sales Tax Tax Credits and Other Receivables (Tables)	12 Months Ended
	Feb. 28, 2023
Sales Tax Tax Credits and Other Receivables
Sales tax, tax credits and other receivables	February 28, 2023 February 28, 2022 Sales tax $ 170,490 $ 1,337,783 Investment tax credits 460,754 - Research and development tax credits 401,967 313,599 Other receivables 41,834 64,880 $ 1,075,045 $ 1,716,262

Inventories (Tables)

Inventories (Tables)	12 Months Ended
	Feb. 28, 2023
Inventories
Inventories	February 28, 2023 February 28, 2022 Work in process $ 466,728 $ - Finished goods 242,157 - Raw materials 18,048 - $ 726,933 $ -

Prepaid Expenses and Deposits (

Prepaid Expenses and Deposits (Tables)	12 Months Ended
	Feb. 28, 2023
Prepaid Expenses and Deposits
Prepaid Expenses and Deposits	February 28, 2023 February 28, 2022 Insurance $ 545,000 $ - Other 90,580 163,966 $ 635,580 $ 163,966

Property, Plant and Equipment_2

Property, Plant and Equipment, net (Tables)	12 Months Ended
	Feb. 28, 2023
Property, Plant and Equipment, net
Summarizes of gain on disposition of land	Gross proceeds of disposition $ 22,761,793 Transaction costs (447,925 ) Net proceeds of disposition 22,313,868 Cost of land (4,335,366 ) Cost of land improvements (1,074,453 ) Foreign exchange effect (220,557 ) Gain on disposition of land $ 16,683,492
Property, Plant And Equipment	As at February 28, 2023 Cost Accumulated depreciation, write-down and impairment Net book value Building $ 1,821,653 $ (309,296 ) $ 1,512,357 Land 225,175 - 225,175 Building and Land Improvements 1,839,142 (1,165,795 ) 673,347 Office equipment and furniture 274,331 (140,007 ) 134,324 $ 4,160,301 $ (1,615,098 ) $ 2,545,203 As at February 28, 2022 Cost Accumulated depreciation, write-down and impairment Net book value Building $ 1,952,345 $ (266,434 ) $ 1,685,911 Land 1,644,084 - 1,644,084 Building and Land Improvements 3,049,892 (858,342 ) 2,191,550 Office equipment and furniture 298,141 (126,824 ) 171,317 $ 6,944,462 $ (1,251,600 ) $ 5,692,862

Intangible Assets, net (Tables)

Intangible Assets, net (Tables)	12 Months Ended
	Feb. 28, 2023
Intangible Assets, net
Intangible Assets, net	As at February 28, As at February 28, 2023 2022 Patents, at cost – beginning of year $ 1,154,169 $ 859,048 Additions in the year – patents 360,225 294,955 Patents, at cost – end of year 1,514,394 1,154,003 Patents, accumulated depreciation – beginning of year (140,368 ) (64,154 ) Amortization of patents (91,187 ) (76,214 ) Patents, accumulated depreciation – end of year 231,555 ) (140,368 ) Foreign exchange effect (72,880 ) 166 Patents, net – end of year $ 1,209,959 $ 1,013,801

Financial Instruments and Man_2

Financial Instruments and Management of Financial Risk (Tables)	12 Months Ended
	Feb. 28, 2023
Financial Instruments and Management of Financial Risk
Schedule of fair value of the Company's financial liabilities	Fair Value as at February 28, 2023 Carrying Amount Fair Value Level in the hierarchy Financial liabilities measured at amortized cost: Long-term debt $ 3,302,406 $ 3,280,337 Level 2 Fair Value at February 28, 2022 Carrying Amount Fair Value Level in the hierarchy Financial liabilities measured at amortized cost: Long-term debt $ 3,378,403 $ 3,392,600 Level 2

Accounts Payable and Accrued _2

Accounts Payable and Accrued Liabilities (Tables)	12 Months Ended
	Feb. 28, 2023
Accounts Payable and Accrued Liabilities
Accounts Payable And Accrued Liabilities	February 28, 2023 February 28, 2022 Trade accounts payable $ 1,019,845 $ 4,397,499 Accrued legal settlement (Note 22) - 2,519,220 Accrued employee compensation 711,869 1,254,685 Accrued engineering fees 95,789 774,423 Accrued professional fees 409,697 526,685 Other accrued liabilities 273,281 374,303 $ 2,510,481 $ 9,846,815

LongTerm Debt (Tables)

LongTerm Debt (Tables)	12 Months Ended
	Feb. 28, 2023
LongTerm Debt
Long-term Debt	February 28, 2023 February 28, 2022 Investissement Québec financing facility: Principal amount $ 3,380,116 $ 3,622,618 Unamortized discount (261,355 ) (352,038 ) Accrued interest 183,645 107,823 Total Investissement Québec financing facility 3,302,406 3,378,403 Less: current portion of long-term debt (62,135 ) - Long-term debt, net of current portion $ 3,240,271 $ 3,378,403
Principal Repayments	Years ending Amount February 29, 2024 $ 62,135 February 28, 2025 583,460 February 29, 2026 583,460 February 28, 2027 583,460 February 29, 2028 583,460 Thereafter 1,167,786 Total $ 3,563,761

Stockholders Equity (Tables)

Stockholders Equity (Tables)	12 Months Ended
	Feb. 28, 2023
Stockholders' Equity
Common Stock	For the year ended February 28, 2023 Number of shares Amount Balance, February 28, 2022 47,388,056 $ 4,740 Issuance of shares upon settlement of restricted stock units 81,168 8 Balance, February 28, 2023 47,469,224 $ 4,748 For the year ended February 28, 2022 Number of shares Amount Balance, February 28, 2021 42,413,691 $ 4,242 Issuance of shares upon settlement of restricted stock units 231,660 24 Issuance of shares for cash 4,714,813 471 Issuance of shares upon exercise of warrants 11,666 1 Issuance of shares upon exercise of options 16,226 2 Balance, February 28, 2022 47,388,056 $ 4,740
Schedule of relative fair-value of the components	Common stock $ 34,622,854 First Tranche Warrants 13,158,981 Second Tranche Warrants 7,167,195 Third Tranche Warrants 1,135,274 $ 56,084,304
Schedule of The principal components	First Tranche Warrants Second Tranche Warrants Third Tranche Warrants Exercise price $ 15 $ 20 $ 11 Risk-free interest rate 0.37 % 0.60 % 0.07 % Expected dividend yield 0 % 0 % 0 % Expected volatility 78 % 74 % 93 % Expected life 2.5 years 4.1 years 0.9 years

Research and Development Expe_2

Research and Development Expenses (Tables)	12 Months Ended
	Feb. 28, 2023
Research and Development Expenses
Schedule of Research and development expenses	February 28, 2023 February 28, 2022 Machinery and equipment expenditures $ 4,216,042 $ 9,549,802 Employee compensation 7,805,369 7,259,640 External engineering 3,272,864 7,307,363 Plant and laboratory operating expenses 2,580,977 2,649,133 Tax credits (1,199,137 ) (91,960 ) Other 669,849 1,062,447 $ 17,345,964 $ 27,736,425

General and Administrative Ex_2

General and Administrative Expenses (Tables)	12 Months Ended
	Feb. 28, 2023
General and Administrative Expenses
General And Administrative Expenses	February 28, 2023 February 28, 2022 Professional fees $ 4,288,299 $ 4,247,859 Employee compensation (1) 11,224,336 3,298,610 Insurance 3,594,030 4,267,927 Other 1,322,751 978,043 $ 20,429,416 $ 12,792,439

Sharebased Payments (Tables)

Sharebased Payments (Tables)	12 Months Ended
	Feb. 28, 2023
Sharebased Payments (Tables)
Stock Options	2023 2022 Number of stock options Weighted average exercise price Number of stock options Weighted average exercise price Outstanding, beginning of year 1,570,000 $ 6.87 1,587,081 $ 6.81 Granted 972,000 2.68 - - Exercised - - (17,081 ) - Forfeited - - - - Expired - - - - Outstanding, end of year 2,542,000 $ 5.27 1,570,000 $ 6.87 Exercisable, end of year 1,670,000 $ 6.84 1,311,667 $ 7.57 2023 2022 Exercise price Number of stock options outstanding Weighted average remaining life (years) Number of stock options outstanding Weighted average remaining life (years) $ 0.80 490,000 2.75 490,000 3.75 $ 2.68 972,000 9.75 - - $ 5.25 380,000 4.50 380,000 5.49 $ 12.00 700,000 4.54 700,000 5.54 Outstanding, end of year 2,542,000 6.18 1,570,000 4.97 Exercisable, end of year 1,670,000 5.16 1,311,667 5.13
Schedule of principal components of the pricing model	Exercise price $ 2.68 Risk-free interest rate 3.88 % Expected dividend yield 0 % Expected volatility 73 % Expected life 5 years
Schedule of Restricted Stock Units	2023 2022 Number of units Weighted average fair value price Number of units Weighted average fair value price Outstanding, beginning of year 4,018,567 $ 7.42 4,210,520 $ 1.98 Granted 151,605 5.14 353,219 10.15 Settled (81,168 ) 11.72 (231,660 ) 1.90 Forfeited (200,386 ) 10.34 (313,512 ) 7.97 Outstanding, end of year 3,888,618 $ 7.09 4,018,567 $ 7.42 Outstanding vested, end of year 1,563,497 $ 6.29 537,966 $ 3.28

Equity Incentive Plan (Tables)

Equity Incentive Plan (Tables)	12 Months Ended
	Feb. 28, 2023
Equity Incentive Plan
Equity Incentive Plan	2023 2022 Number of units* Number of units* Outstanding, beginning of year 1,043,705 1,083,412 Share reserve increase - - Units granted (1,123,605 ) (353,219 ) Units forfeited 200,386 313,512 Units expired - - Outstanding, end of year 120,486 1,043,705

Warrants (Tables)

Warrants (Tables)	12 Months Ended
	Feb. 28, 2023
Warrants
Warrants granted	2023 2022 Number of warrants Weighted average exercise price Number of warrants Weighted average exercise price Outstanding, beginning of year 11,659,418 $ 14.44 4,133,720 $ 10.99 Issued - - 7,550,698 16.31 Exercised - - (25,000 ) 9.43 Expired (4,570,018 ) 11.00 - - Outstanding, end of year 7,089,400 $ 16.65 11,659,418 $ 14.44 The expiration dates of the warrants outstanding as at February 28, 2023 are as follows: 2023 Number of warrants Weighted average exercise price July 29, 2024 4,714,813 $ 15.00 (1) 2,357,407 20.00 August 26, 2024 17,180 11.00 Outstanding, end of year 7,089,400 $ 16.65

Interest and Other Financial Ex

Interest and Other Financial Expenses (Tables)	12 Months Ended
	Feb. 28, 2023
Interest and Other Finance Costs
Interest And Other Finance Costs	2023 2022 Interest on long-term debt $ 86,028 $ 98,700 Accretion expense 69,507 55,332 Other 33,221 287 $ 188,756 $ 154,319

Income Taxes (Tables)

Income Taxes (Tables)	12 Months Ended
	Feb. 28, 2023
Income Taxes
Schedule of deferred income tax assets and liabilities	As at February 28, 2023 February 28, 2022 Deferred tax assets Canada net operating loss carry forward $ 18,278,360 $ 15,735,374 U.S. net operating loss carry forward 8,005,706 6,366,370 Accrual and reserves 545,697 938,918 Intangibles 214,419 175,077 Property, plant and equipment 2,252,828 3,599,781 Research and development expenditures and credits 3,569,211 2,711,560 Basis in partnership 235,006 235,006 Other 894,525 698 Deferred tax assets 33,995,752 29,762,784 Deferred tax liabilities Intangibles (319,771 ) (267,813 ) Other - (165,778 ) Deferred tax liabilities (319,771 ) (433,591 ) Deferred tax assets, net 33,675,981 29,329,193 Valuation allowance (33,675,981 ) (29,329,193 ) Deferred tax assets, net $ - $ -
Schedule of Income Taxes	February 28, 2023 February 28, 2022 U.S. operations $ (8,406,384 ) $ (12,690,909 ) Foreign operations (12,894,181 ) (32,230,047 ) Loss before taxes $ (21,300,565 ) $ 44,920,956 )
Schedule of Company's effective income tax rate	February 28, 2023 February 28, 2022 Statutory Federal rate 21 % 21 % Federal income tax at statutory rate $ (4,473,117 ) $ (9,433,405 ) Effect of foreign jurisdiction (740,545 ) 1,803,016 ) Non-deductible expenses 762,149 329,054 Tax credits related to research and development expenditures (201,628 ) (76,327 ) Unrecognized tax benefit of net operating losses and other available deductions 4,653,141 10,983,694 Effective income tax expense $ - $ - Current $ - $ - Deferred $ - $ -

The Company Basis of Presentati

The Company Basis of Presentation (Details Narrative)	Feb. 28, 2023
Investment Common Stocks
Ownership, Percentage	50%

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Details)	12 Months Ended
	Feb. 28, 2023 USD ($)
Estimated Useful Life	7
Office equipment and furniture
Estimated Useful Life	8
Building and land improvements | Maximum [Member]
Estimated Useful Life	10
Building and land improvements | Minimum [Member]
Estimated Useful Life	5
Building [Member]
Estimated Useful Life	30
Land [Member]
Estimated Useful Life	Indefinite
Land sold	$ 13,700,000

Summary of Significant Accoun_4

Summary of Significant Accounting Policies (Details Narrative) - USD ($) $ in Thousands	12 Months Ended
	Feb. 28, 2023	Feb. 28, 2022
Available Liquidity	$ 32,160
Cash and cash equivalents	$ 29,590
Estimated Useful Life	7
Note Warrant
Dilutive Securities	7,089,400	11,659,418
Restricted Stock Units
Dilutive Securities	3,888,618	4,018,567
Stock Option
Dilutive Securities	2,542,000	1,570,000

Sales Tax Tax Credits and Oth_3

Sales Tax Tax Credits and Other Receivables (Details) - USD ($)	Feb. 28, 2023	Feb. 28, 2022
Sales Tax Tax Credits and Other Receivables
Sales Tax	$ 170,490	$ 1,337,783
Investment tax credits	460,754	0
Research And Development Tax Credits	401,967	313,599
Other Receivables	41,834	64,880
Total	$ 1,075,045	$ 1,716,262

Sales Tax Tax Credits and Oth_4

Sales Tax Tax Credits and Other Receivables (Details Narrative) - USD ($)	12 Months Ended
	Feb. 28, 2023	Feb. 28, 2022
Sales Tax Tax Credits and Other Receivables
Non-cash Research And Development Tax Credits, Carry Forward	$ 1,979,978	$ 1,589,580
Reduction Of Research And Development Expenses	362,096	91,960
Recieve Of Research And Development Tax Credit	249,593	216,300
Investment tax credits	837,041	0
Non-cash Research And Development Tax Credits	764,528	442,943
Research And Development Expenses	$ 348,161	$ 0

Inventories (Details)

Inventories (Details) - USD ($)	Feb. 28, 2023	Feb. 28, 2022
Inventories
Work in process	$ 466,728	$ 0
Finished goods	242,157	0
Raw materials	18,048	0
Inventory net	$ 726,933	$ 0

Prepaid Expenses and Deposits_2

Prepaid Expenses and Deposits (Details) - USD ($)	Feb. 28, 2023	Feb. 28, 2022
Prepaid Expenses and Deposits
Insurance	$ 545,000	$ 0
Other	90,580	163,966
Prepaid expenses and deposits	$ 635,580	$ 163,966

Prepaid Expenses and Deposits_3

Prepaid Expenses and Deposits (Details Narrative) - USD ($)	12 Months Ended
	Feb. 28, 2023	Feb. 28, 2022
Prepaid Expenses and Deposits
Non Refundable Deposits On Machinery And Equipment	$ 3,395,650	$ 2,801,680

Property, Plant and Equipment_3

Property, Plant and Equipment, net (Details) - USD ($)	Feb. 28, 2023	Feb. 28, 2022
Property, Plant And Equipment, Gross	$ 4,160,301	$ 6,944,462
Less: Accumulated Depreciation, Write-down And Impairment	(1,615,098)	(1,251,600)
Property, Plant And Equipment, Net	2,545,203	5,692,862
Office equipment and furniture
Property, Plant And Equipment, Gross	274,331	298,141
Less: Accumulated Depreciation, Write-down And Impairment	(140,007)	(126,824)
Property, Plant And Equipment, Net	134,324	171,317
Building and land improvements
Property, Plant And Equipment, Gross	1,839,142	3,049,892
Less: Accumulated Depreciation, Write-down And Impairment	(1,165,795)	(858,342)
Property, Plant And Equipment, Net	673,347	2,191,550
Building
Property, Plant And Equipment, Gross	1,821,653	1,952,345
Less: Accumulated Depreciation, Write-down And Impairment	(309,296)	(266,434)
Property, Plant And Equipment, Net	1,512,357	1,685,911
Land
Property, Plant And Equipment, Gross	225,175	1,644,084
Less: Accumulated Depreciation, Write-down And Impairment	0	0
Property, Plant And Equipment, Net	$ 225,175	$ 1,644,084

Property, Plant and Equipment_4

Property, Plant and Equipment, net (Details 1)	12 Months Ended
	Feb. 28, 2023 USD ($)
Property, Plant and Equipment, net
Gross proceeds of disposition	$ 22,761,793
Transaction costs	(447,925)
Net proceeds of disposition	22,313,868
Cost of land	(4,335,366)
Cost of land improvements	(1,074,453)
Foreign exchange effect	(220,557)
Gain on disposition of land	$ 16,683,492

Property, Plant and Equipment_5

Property, Plant and Equipment, net (Details Narrative) - USD ($)	12 Months Ended
	Feb. 28, 2023	Feb. 28, 2022
Property, Plant and Equipment, net
Gain on disposition of the asset	$ (16,683,492)	$ 0
Depreciation Expense	458,927	478,581
Cost Of Incurred Civil Construction		1,074,453,000,000
Land Acquired For Cash, Amount		433,536,600,000
Asset held for sale		$ 3,389,279
Sold the land for cash net proceeds	$ 22,313,868

Intangible Assets, net (Details

Intangible Assets, net (Details) - USD ($)	12 Months Ended
	Feb. 28, 2023	Feb. 28, 2022
Intangible Assets, net
Add: Additions In The Year	$ 360,225	$ 294,955
Intangible Assets, Cost	1,154,169	859,048
Intangible Assets, Accumulated Depreciation	(140,368)	(64,154)
Intangible Assets, Accumulated Depreciation	(231,555)	(140,368)
Total	1,514,394	1,154,003
Deduct: Amortization Of Intangibles	(91,187)	(76,214)
Deduct: Foreign Exchange Effect	(72,880)	166
Total	$ 1,209,959	$ 1,013,801

Intangible Assets, net (Detai_2

Intangible Assets, net (Details Narrative) - USD ($)	12 Months Ended
	Feb. 28, 2023	Feb. 28, 2022
Intangible Assets, net
Amortization expense	$ 91,187	$ 76,214

Fair Value of Financial Instrum

Fair Value of Financial Instruments (Details) - Long-term Debt - Level 2 - USD ($)	Feb. 28, 2023	Feb. 28, 2022
Carrying Amount	$ 3,302,406	$ 3,378,403
Fair Value	$ 3,280,337	$ 3,392,600

Accounts Payable and Accrued _3

Accounts Payable and Accrued Liabilities (Details) - USD ($)	Feb. 28, 2023	Feb. 28, 2022
Accounts Payable and Accrued Liabilities
Trade Accounts Payable	$ 1,019,845	$ 4,397,499
Accrued loss contingency for legal settlement	0	2,519,220
Accrued Employee Compensation	711,869	1,254,685
Accrued Engineering Fees	95,789	774,423
Accrued Professional Fees	409,697	526,685
Other Accrued Liabilities	273,281	374,303
Accounts Payable And Accrued Liabilities	$ 2,510,481	$ 9,846,815

Customer Deposits (Details Narr

Customer Deposits (Details Narrative) - USD ($)	Feb. 28, 2023	Oct. 31, 2022
Cash Deposit	$ 11,732
Executed Capacity Reservation [Member]
Cash Deposit		$ 1,000,000

Joint Venture (Details Narrativ

Joint Venture (Details Narrative) - USD ($)	12 Months Ended
	Feb. 28, 2022	Feb. 28, 2023
Joint Venture
Investment In Joint Venture	$ 650,000
Joint Venture
Equity Method Investment, Carrying Value	380,922	$ 380,922
Impairment	$ 1,119,078
Capitalized Portion	50%
Cash balance percentage	50%

LongTerm Debt (Details)

LongTerm Debt (Details) - USD ($)	Feb. 28, 2023	Feb. 28, 2022
Long-term Debt, Net Of Current Portion	$ 3,240,271	$ 3,378,403
Principal Amount	3,563,761
Less: Current Portion	(62,135)	0
Investissement Qu?bec Financing Facility
Principal Amount	3,380,116	3,622,618
Unamortized Discount	(261,355)	(352,038)
Accrued Interest	183,645	107,823
Long-term Debt, Net Of Current Portions	3,302,406	3,378,403
Less: Current Portion	$ (62,135)	$ 0

LongTerm Debt (Details 1)

LongTerm Debt (Details 1)	Feb. 28, 2023 USD ($)
LongTerm Debt
February 29, 2024	$ 62,135
February 28, 2025	583,460
February 29, 2026	583,460
February 28, 2027	583,460
February 29, 2028	583,460
Thereafter	1,167,786
Total	$ 3,563,761

LongTerm Debt (Details Narrativ

LongTerm Debt (Details Narrative)	1 Months Ended		12 Months Ended
	Nov. 21, 2022 USD ($)	Jan. 24, 2018 USD ($)	Feb. 28, 2023 USD ($) $ / shares shares	Feb. 28, 2022 USD ($) $ / shares	Nov. 30, 2022 $ / shares	Sep. 30, 2022 $ / shares	Jul. 26, 2022 USD ($)	Sep. 30, 2021 $ / shares	Aug. 26, 2021 USD ($)	Feb. 28, 2021 $ / shares	Feb. 21, 2020 USD ($) integer
Borrowings							$ 2,571,827
Warrant Exercise Price | $ / shares				$ 14.44	$ 11	$ 4.51		$ 5.69		$ 10.99
Credit Facility			$ 2,571,827
Annual interest rate							1%
Repayment Of Long-term Debt			0	$ 937,156
Investissement Qu?bec Financing Facility
Interest Expense			86,028	65,908
Accretion Expense			$ 69,507	55,332
Financing Facility Amendment	$ 36,740
Disbursement From Financing Facility									$ 1,756,754		$ 1,623,362
Maximum Financing Facility											$ 3,380,116
Interest Rate On Loan											2.36%
Number Of Monthly Installments | integer											84
Fair Value Of The Loan For The Disbursement									1,750,395		$ 1,354,408
Discount rate											5.45%
Debt discount									$ 139,390		$ 290,714
Loan fees											$ 33,801
Investissement Qu?bec Financing Facility | First Disbursement Warrant [Member]
Warrant Exercise Price | $ / shares			$ 11
Warrants Issued To Purchase Common Stock, Shares | shares			15,153
Fair Value Of Warrant			$ 77,954
Investissement Qu?bec Financing Facility | Second Disbursement Warrant [Member]
Warrant Exercise Price | $ / shares			$ 11
Warrants Issued To Purchase Common Stock, Shares | shares			17,180
Fair Value Of Warrant			$ 69,323
Investissement Qu?bec Financing Facility | Warrants
Warrant Exercise Price | $ / shares			$ 11
Term Loan
Loan amount		$ 1,028,731
Loan, interest rate description		prime rate plus 1.5%
Monthly repayment of loan		$ 4,286
Repayment Of Long-term Debt				937,156
Interest paid				$ 32,791

Related Party Transactions (Det

Related Party Transactions (Details Narrative) - USD ($)		1 Months Ended	12 Months Ended
	Jul. 13, 2018	Feb. 28, 2017	Feb. 28, 2023	Feb. 28, 2022	Oct. 31, 2021	Oct. 31, 2020	Apr. 30, 2020	Oct. 31, 2019
Vested Units Settled Annually In Tranches			200,000
Termination Description			in which case he would receive 50% of the unvested RSUs at the time of termination, or 100% in the case of termination without cause or resignation for good reason within 24 months after a change in control
Restricted Stock Units Vested			1,400,000	400,000
Unvested Restricted Stock Units Forfeited			2,000,000
Long-term incentive grant shares	4,000,000		3,400,000	3,400,000
Common Stock With A Fair Value		$ 800,000	$ 7,740,000
Restricted Stock Units Outstanding					200,000	200,000		200,000
Performance Incentive Shares		1,000,000	1,000,000
Shares Granted			972,000	0
President and Chief Executive Officer | OTC Markets
Shares Of Common Stock Issued			1,000,000
President and Chief Executive Officer | MEG or a PET
Shares Of Common Stock Issued			1,000,000
President and Chief Executive Officer | full-scale production
Shares Of Common Stock Issued			1,000,000
President and Chief Executive Officer | Seconds full-scale production
Shares Of Common Stock Issued			1,000,000
President and Chief Executive Officers
Shares Granted	4,000,000
Closing Price Per Share							$ 7.74
Restricted Stock Units | President and Chief Executive Officer
Shares Granted	4,000,000

Stockholders Equity (Details)

Stockholders Equity (Details) - USD ($)	12 Months Ended
	Feb. 28, 2023	Feb. 28, 2022
Balance, amount	$ 45,994,981	$ 32,824,524
Issuance Of Shares Upon Settlement Of Restricted Stock Units, Shares	81,168	231,660
Issuance Of Shares For Cash, Shares		4,714,813
Issuance Of Shares For Cash, Amount		$ 56,049,167
Issuance Of Shares Upon Exercise Of Warrants, Shares		11,666
Issuance Of Shares Upon Exercise Of Options, Shares		16,226
Common Stock [Member]
Balance, shares	47,388,056	42,413,691
Balance, amount	$ 4,740	$ 4,242
Issuance Of Shares Upon Settlement Of Restricted Stock Units, Shares	81,168	231,660
Issuance Of Shares Upon Settlement Of Restricted Stock Units, Amount	$ 8	$ 24
Issuance Of Shares For Cash, Shares		4,714,813
Issuance Of Shares For Cash, Amount		$ 471
Issuance Of Shares Upon Exercise Of Warrants, Shares		11,666
Issuance Of Shares Upon Exercise Of Warrants, Amount		$ 1
Issuance Of Shares Upon Exercise Of Options, Shares		16,226
Issuance Of Shares Upon Exercise Of Options, Amount		$ 2
Balance, Share	47,469,224	47,388,056
Balance, Amounts	$ 4,748	$ 4,740

Stockholders Equity (Details 1)

Stockholders Equity (Details 1)	Feb. 28, 2023 USD ($)
Aggregate Purchase Price, Net Of Issuance Costs	$ 56,084,304
First Tranche Warrants [Member]
Aggregate Purchase Price, Net Of Issuance Costs	13,158,981
Second Tranche Warrants [Member]
Aggregate Purchase Price, Net Of Issuance Costs	7,167,195
Third Tranche Warrants [Member]
Aggregate Purchase Price, Net Of Issuance Costs	1,135,274
Common Stock [Member]
Aggregate Purchase Price, Net Of Issuance Costs	$ 34,622,854

Stockholders Equity (Details 2)

Stockholders Equity (Details 2)	12 Months Ended
	Feb. 28, 2023 $ / shares
First Tranche Warrants [Member]
Exercise Price	$ 15
Risk-free Interest Rate	0.37%
Expected Dividend Yield	0%
Expected Volatility	78%
Expected Life	2 years 6 months
Second Tranche Warrants [Member]
Exercise Price	$ 20
Risk-free Interest Rate	0.60%
Expected Dividend Yield	0%
Expected Volatility	74%
Expected Life	4 years 1 month 6 days
Third Tranche Warrants [Member]
Exercise Price	$ 11
Risk-free Interest Rate	0.07%
Expected Dividend Yield	0%
Expected Volatility	93%
Expected Life	27 days

Stockholders Equity (Details Na

Stockholders Equity (Details Narrative) - USD ($)	1 Months Ended	12 Months Ended
	Jul. 29, 2021	Feb. 28, 2023	Feb. 28, 2022	Nov. 30, 2020
Offering Price Per Share			$ 12
Issuance Of Shares Upon The Vesting Of Restricted Stock Units		81,168	231,660
Issuance Of Shares For Cash, Shares			4,714,813
Gross Proceeds From Issuance Of Shares With Warrants			$ 56,577,756
Net Proceeds From Issuance Of Shares With Warrant			$ 56,049,167
Issuance Of Shares Upon Exercise Of Warrants, Shares			11,666
Issuance Of Shares Upon Exercise Of Options, Shares			16,226
Warrant Exercise Price			$ 7.30	$ 7.05
Equity Description			Mr. Solomita holds not less than 7.5% of the issued and outstanding shares of common stock of the Company, assuring Mr. Solomita of control of the Company in the event that his ownership of the issued and outstanding shares of common stock of the Company is diluted to a level below a majority. Currently, Mr. Solomita’s ownership of 19,210,000 shares of common stock and 1 share of Series A Preferred Stock provides him with 75.7% of the voting control of the Company
SKGC Investment [Member]
Aggregate Purchase Price	$ 56,500,000
Shares Of Common Stock Sold	4,714,813
Issued And Outstanding Common Stock, Contribution			10%
First Tranche Warrants [Member] | SKGC Investment [Member]
Issuance Of Shares For Cash, Shares	4,714,813
Warrant Exercise Price	$ 15
Second Tranche Warrants [Member] | SKGC Investment [Member]
Issuance Of Shares For Cash, Shares	2,357,407
Warrant Exercise Price	$ 20
Third Tranche Warrants [Member] | SKGC Investment [Member]
Issuance Of Shares For Cash, Shares	461,298
Warrant Exercise Price	$ 11

Research and Development Expe_3

Research and Development Expenses (Details) - USD ($)	12 Months Ended
	Feb. 28, 2023	Feb. 28, 2022
Research and Development Expenses	$ 17,345,964	$ 27,736,425
Employee Compensation [Member]
Research and Development Expenses	7,805,369	7,259,640
External Engineering [Member]
Research and Development Expenses	3,272,864	7,307,363
Plant and Laboratory Operating Expenses [Member]
Research and Development Expenses	2,580,977	2,649,133
Tax credit [Member]
Research and Development Expenses	(1,199,137)	(91,960)
Other [Member]
Research and Development Expenses	669,849	1,062,447
Machinery and Equipments [Member]
Research and Development Expenses	$ 4,216,042	$ 9,549,802

General and Administrative Ex_3

General and Administrative Expenses (Details) - USD ($)	12 Months Ended
	Feb. 28, 2023	Feb. 28, 2022
General And Administrative Expenses	$ 20,429,416	$ 12,792,439
Professional Fees
General And Administrative Expenses	4,288,299	4,247,859
Insurance [Member]
General And Administrative Expenses	3,594,030	4,267,927
Other (Member)
General And Administrative Expenses	1,322,751	978,043
Employee Compensation [Member]
General And Administrative Expenses	$ 11,224,336	$ 3,298,610

General and Administrative Ex_4

General and Administrative Expenses (Details Narrative) - USD ($)	12 Months Ended
	Feb. 28, 2023	Feb. 28, 2022
Net Reversal Of Stock-based Compensation	$ 10,086,186	$ 2,062,367
Restricted Stock Units
Net Reversal Of Stock-based Compensation	$ 7,740,000
RSU Forteited		$ 935,837
RSU shares	1,000,000

ShareBased Payments (Details)

ShareBased Payments (Details) - $ / shares	12 Months Ended
	Feb. 28, 2023	Feb. 28, 2022
ShareBased Payments
Number Of Options Outstanding, Beginning	1,570,000	1,587,081
Number Of Options, Granted	972,000	0
Number Of Options, Exercised		17,081
Number Of Options, Forfeited		0
Number Of Options, Expired		0
Number Of Options Outstanding, Ending	2,542,000	1,570,000
Exercisable, End Of Year	1,670,000	1,311,667
Weighted Average Exercise Price Outstanding, Beginning	$ 6.87	$ 6.81
Weighted Average Exercise Price, Granted	2.68	0
Weighted Average Exercise Price, Exercised	0	0
Weighted Average Exercise Price, Forfeited	0	0
Weighted Average Exercise Price, Expired	0	0
Weighted Average Outstanding, End Of Year	5.27	6.87
Weighted Average Exercise Price Outstanding, Ending	$ 6.84	$ 7.57

ShareBased Payments (Details 1)

ShareBased Payments (Details 1) - $ / shares	12 Months Ended
	Feb. 28, 2023	Feb. 28, 2022	Feb. 28, 2021
Weighted Average Exercise Price Outstanding, Beginning		$ 6.87	$ 6.81
Number Of Options Outstanding, Beginning	2,542,000	1,570,000	1,587,081
Number Of Stock Options, Exercisable	1,670,000	1,311,667
Weighted Average Remaining Life, Outstanding	6 months 5 days	4 months 29 days
Weighted Average Remaining Life, Exercisable	5 months 4 days	5 months 3 days
Stock Option 4
Weighted Average Exercise Price Outstanding, Beginning	$ 2.68
Number Of Options Outstanding, Beginning	972,000
Weighted Average Remaining Life, Outstanding	9 months 22 days
Stock Option 1
Weighted Average Exercise Price Outstanding, Beginning	$ 0.80	$ 0.80
Number Of Options Outstanding, Beginning	490,000	490,000
Weighted Average Remaining Life, Outstanding	2 months 22 days	3 months 22 days
Stock Option 2
Weighted Average Exercise Price Outstanding, Beginning	$ 5.25	$ 5.25
Number Of Options Outstanding, Beginning	380,000	380,000
Weighted Average Remaining Life, Outstanding	4 months 15 days	5 months 14 days
Stock Option 3
Weighted Average Exercise Price Outstanding, Beginning	$ 12	$ 12
Number Of Options Outstanding, Beginning	700,000	700,000
Weighted Average Remaining Life, Outstanding	4 months 16 days	5 months 16 days

ShareBased Payments (Details 2)

ShareBased Payments (Details 2)	12 Months Ended
	Feb. 28, 2023 USD ($) $ / shares
ShareBased Payments
Expected dividend yield | $	$ 0
Exercise price | $ / shares	$ 2.68
Risk-free interest rate	3.88%
Expected life	5 years
Expected volatility	73%

ShareBased Payments (Details 3)

ShareBased Payments (Details 3) - Restricted Stock Units - $ / shares	12 Months Ended
	Feb. 28, 2023	Feb. 28, 2022
Number Of Units Outstanding, Beginning	4,018,567	4,210,520
Number Of Units, Granted	151,605	353,219
Number of Units, Settled	81,168	231,660
Number of Units, Forfeited	(200,386)	(313,512)
Number Of Units Outstanding, Ending	3,888,618	4,018,567
Number Of Units Outstanding Vested, Ending	1,563,497	537,966
Weighted Average Exercise Price Outstanding, Beginning	$ 7.42	$ 1.98
Weighted Average Exercise Price, Granted	5.14	10.15
Weighted Average Exercise Price, Vested	11.72	1.90
Weighted Average Exercise Price, Forfeited	10.34	7.97
Weighted Average Exercise Price Outstanding, Ending	7.09	7.42
Weighted Average Exercise Price Outstanding Vested, Ending	$ 6.29	$ 3.28

ShareBased Payments (Details Na

ShareBased Payments (Details Narrative) - USD ($)	12 Months Ended
	Feb. 28, 2023	Feb. 28, 2022
RSU forfeitures	$ 288,413	$ 963,022
Stock-based Compensation Expense Attributable To Stock Options	1,316,084	1,513,211
Stock-based Compensation Attributable To Rsus	$ 8,770,102	549,155
Number Of Units, Granted	1,000,000
Stock-based Compensation Expense	$ 7,740,000
Research and Development Expenses
RSU forfeitures	79,096	27,185
Stock-based Compensation Expense	1,337,167	1,536,734
General and Administrative Expenses
Reversal of expenses for forfeitures	209,317	935,837
Stock-based Compensation Expense	8,749,019	$ 525,632
Achievement of performance milestone	$ 7,740,000

Equity Incentive Plan (Details)

Equity Incentive Plan (Details) - Equity Incentive Plan - shares	12 Months Ended
	Feb. 28, 2023	Feb. 28, 2022
Number Of Units Outstanding, Beginning	1,043,705	1,083,412
Automatic share reserve increase	0	0
Units Granted	(1,123,605)	(353,219)
Units forfeited	200,386	313,512
Units Expired	0	0
Number Of Units Outstanding, Ending	120,486	1,043,705

Equity Incentive Plan (Details

Equity Incentive Plan (Details Narrative) - shares		12 Months Ended
	Jul. 06, 2017	Feb. 28, 2023
Expected Life		5 years
2017 Equity Incentive Plan
Common Stock Shares Reserved For Future Issuance	3,000,000
Common Stock Shares Reserved For Future Issuance Annual Increase	1,500,000
Expected Life		10 months
Voting Power Percentage		10
Life Of Option		5 months
Common Stock Outstanding Shares Percentage	5%

Warrants (Details)

Warrants (Details) - $ / shares	12 Months Ended
	Feb. 28, 2023	Feb. 28, 2022
Warrants
Number of warrants, beginning balance	11,659,418	4,133,720
Issued	0	7,550,698
Exercised	0	(25,000)
Expired	(4,570,018)	0
Number of warrants, ending balance	7,089,400	11,659,418
Weighted average exercise price, beginning balance	$ 14.44	$ 10.99
Issued	0	16.31
Exercised	0	9.43
Expired	11	0
Weighted average exercise price, ending balance	$ 16.65	$ 14.44

Warrants (Details 1)

Warrants (Details 1) - $ / shares	12 Months Ended
	Feb. 28, 2023	Nov. 30, 2022	Sep. 30, 2022	Feb. 28, 2022	Sep. 30, 2021	Feb. 28, 2021	Sep. 30, 2020
Number Of Warrants Outstanding	7,089,400	7,089,400		11,659,418		4,133,720	992,721
Weighted Average Exercise Price		$ 11	$ 4.51	$ 14.44	$ 5.69	$ 10.99
Warrants 1
Number Of Warrants Outstanding		4,714,813
Weighted Average Exercise Price		$ 15
Expiration Date	Jul. 29, 2024
Warrants 2
Number Of Warrants Outstanding		2,357,407
Weighted Average Exercise Price		$ 20
Warrants 3
Number Of Warrants Outstanding		17,180
Weighted Average Exercise Price		$ 11
Expiration Date	Aug. 26, 2024

Interest and Other Financial _2

Interest and Other Financial Expenses (Details) - USD ($)	12 Months Ended
	Feb. 28, 2023	Feb. 28, 2022
Interest and Other Finance Costs
Interest On Long-term Debt	$ 86,028	$ 98,700
Accretion Expense	69,507	55,332
Other	33,221	287
Interest and Other Financial Expenses	$ 188,756	$ 154,319

Income Taxes (Details)

Income Taxes (Details) - USD ($)	12 Months Ended
	Feb. 28, 2023	Feb. 28, 2022
Income Taxes
U.s. Operations	$ (8,406,384)	$ (12,690,909)
Foreign Operations	(12,894,181)	(32,230,047)
Loss Before Taxes	$ (21,300,565)	$ (44,920,956)

Income Taxes (Details 1)

Income Taxes (Details 1) - USD ($)	12 Months Ended
	Feb. 28, 2023	Feb. 28, 2022
Current:
Statutory Federal Rate	21%	21%
Federal Income Tax At Statutory Rate	$ (4,473,117)	$ (9,433,405)
Effect Of Foreign Jurisdiction	(740,545)	(1,803,016)
Non-deductible Expenses	762,149	329,054
Tax Credits Related To Research And Development Expenditures	(201,628)	(76,327)
Unrecognized Tax Benefit Of Net Operating Losses And Other Available Deductions	4,653,141	10,983,694
Effective Income Tax Expense	0	0
Deferred	0	0
Total current	$ 0	$ 0

Income Taxes (Details 2)

Income Taxes (Details 2) - USD ($)	Feb. 28, 2023	Feb. 28, 2022
Deferred tax assets
Canada net operating loss carry forward	$ 18,278,360	$ 15,735,374
U.S. net operating loss carry forward	8,005,706	6,366,370
Accrual and reserves	545,697	938,918
Intangibles	214,419	175,077
Property, plant and equipment	2,252,828	3,599,781
Research and development expenditures and credits	3,569,211	2,711,560
Basis in partnership	235,006	235,006
Other	894,525	698
Deferred tax assets	33,995,752	29,762,784
Deferred tax liabilities
Intangibles	(319,771)	(267,813)
Other	0	(165,778)
Deferred tax liabilities	(319,771)	(433,591)
Deferred tax assets, net	33,675,981	29,329,193
Valuation allowance	(33,675,981)	(29,329,193)
Deferred tax assets, net	$ 0	$ 0

Income Taxes (Details Narrative

Income Taxes (Details Narrative) - USD ($)	12 Months Ended
	Feb. 28, 2023	Feb. 28, 2022
Net Operating Loss Carry Forwards	$ 38,122,411	$ 30,316,049
Increase In Valuation Allowance	$ 4,346,788	11,241,297
Tax credit carryforward, description	expiring between 2037 and 2043
Canadas [Member]
Net Operating Loss Carry Forwards	$ 67,616,651	59,310,541
Qu?bec [Member]
Net Operating Loss Carry Forwards	70,746,629	61,353,534
Canada And Quebec [Member]
Net Operating Loss Carry Forwards	$ 7,471,410	$ 5,998,338

Commitments and Contingencies (

Commitments and Contingencies (Details Narrative) - USD ($)	1 Months Ended	12 Months Ended
	Mar. 04, 2022	Feb. 28, 2023	Feb. 28, 2022	Dec. 31, 2021
Commitments and Contingencies
Purchase Of Long Lead Machinery				$ 8,546,000
Cash Deposit				$ 3,395,650
Payment to plaintiff class	$ 3,100,000
Contingency loss for legal settlement		$ 0	$ 2,519,220
Escrow payment		3,100,000
Proceed from Insurance carriers		$ 837,782