I have no idea what the term "head" means, and i've never heard it used before but i assume you mean current share price?
If so the logic is simple.
You are In the money if:
Share Price - Option price - strike price = profit
You are out of the money if:
Strike price + Option price is above the Share price.
You have to remember that if you buy an option a long way out of it expiry (may 2020) there is a premium you pay for Time, and probability of the share price increasing.
So buying at 2.3 cents + your 3 cents strike gives you 5.3 cents, a .2 cent premium for that probability.
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