They aren't gifting themselves shares. They are taking them up...

They aren't gifting themselves shares. They are taking them up through the SPP. i.e. they are buying them at 2c and getting the options. Same opportunity as all existing holders have under the SPP.

"Messrs Meagher, Armstrong and Smith (each, a director) have agreed to subscribe for shares and options on the same terms as the placement, subject to shareholder approval."

I'm going to vote against the options as I think the company have behaved awfully in issuing them so cheaply with such a low exercise price. But I'm okay with the directors buying shares through the placement.