LRSOB, page-15

@djenrod what the exercise price means that if you by say 100k options for 0.004 it would cost you $400
if you wanted to convert these options into shares it would cost another $1,000
so would cost $1,400 total when you could by the heads now for say at 1.1c it would be $1100.

truth is most options are just traded between people and most don't get converted, unless they have to be if its close to the expiry date and you would lose thousands if you did not convert, depending on what the current SP is on the heads it might not be worth converting and just expect the loss of the options, or sell for what you can get.
it would not make sense imo to buy options then convert them into shares straight away as you would lose any benefit of the leverage you get and generally would be paying more for the heads than you could of brought on market.
some might convert there options into heads so they are able to vote in the AGM as options do not allow you
vote, but in that case I would just buy a very small amount of heads to have a vote.
I've never converted any shares I don't see the need or hassle too do it.
just make sure you buy options with at least a few years expiry you should be ok.