My read is that if you hold the shares for the next two months...

My read is that if you hold the shares for the next two months then you will be eligible for a non rennouncable 1:2 option @ a cost of $0.001 (1/10th of a cent or for every 10,000 shares you own you can buy for $5 options to 5,000 more shares)

Looks to me like a good way to keep people in the stock and provide some potential cash flow to the company over the next two years. It means that the company may have less reason to do a dilutive placement.