Mpjo, page-105

Hi Ekult,

First thing is don't confuse these types of options for options contracts, which is what your second point seems to indicate. MPJO are traded on the regular market just like the head shares, and convert on a 1-to-1 basis.

Options have an initial purchase price, currently 0.2c (or $0.002) each. They have an expiry date, in the case of MPJO - June 2016. They have an "exercise" or "strike" price of 1c (or $0.01) each. That means that when you purchase your parcel of options, say, 100000 @ 0.2c, you only pay $200.00. But those options are only "in the money" if the head share price is 1.2c (or $0.012) each, as converting each option to a full share will cost you an additional 1c. If the head share price never reaches 1.2c then the options are considered "not in the money". But you have until June 2016 for the heads to reach that price.

At any time that the options are in the money, you can either pay to convert them, or as most traders do, sell them for whatever the options are trading at at that time.

Hope that isn't too confusing.

GL