Shaun, you've hit the nail on the head. It's the leverage factor. The options will move with the sp and currently you can pick up 3.5 times as many options as you can shares for the same money. (.004 v .014)and they don't expire until Nov. So then you can either sell at a profit or convert.
Let's suppose you bought 1mill options for .004 and the sp goes to .05, then fair value for the options would be .025 and your parcel, for which, you paid $4,000 would be worth $25,000
If you buy $4,000 worth of shares at .014 you would own only 285,714 shares which at an sp of .05 would only be worth $14,285
Now, I'm not saying the sp will go to .05, but if it did, this is what could happen. If you think the sp will rise substantially then options, particularly when they are out of the money, are a very cheap entry.
It is a punt of course and you must DYOR.
(I have recently picked up 5mill options for .03 and am in the cue for another 5mill)
CFR Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
