all clear now

The chairman's address to agm makes it all clear exactly how that underwriting agreement worked - basically guaranteed 50 million cheap shares being made up of options not taken up plus whatever required to top it up:

quote
Approximately 107 million options exercisable at 5 cents and expiring on 30 September
2006 were issued in association with the rights issue. Throughout their short life, the
ultimate exercise of these options has been viewed by the board and management of the
company as an event of considerable importance to the continuing operations at Copper
Hill. As their expiry date approached, the company once again sought to put in place
underwriting arrangements which would ensure the company raised as a minimum the
targeted $5 million. Once again, the underwriting arrangements contained a firm subunderwriting
component for 50 million options pursuant to which the sub-underwriters were
guaranteed to receive new GCR shares, whether they be in lieu of options not exercised by
their holders or new shares issued by the company.
2
Although the figures are not yet final, I am pleased to announce that approximately 90
million of the 107 million options were taken up prior to their expiry. Therefore, the firm subunderwriters
took up the balance of approximately 17 million options and an additional
33 million shares. In total, therefore, approximately 140 million shares will be issued,
raising approximately $7 million before costs. GCR's issued share capital will then be
approximately 500 million shares.
end quote