I have no idea what the term "head" means, and i've never heard...

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.