potential of canning basin, page-7

Hi Mow,

Got to go back beyond 2007 to find out that info....

But the short answer is directors from Hawk resources (and their previous incarnation Lonhro resources), Cygnet Capital and 'Seed Capital Investors' hold the 14 May 2010 options.

Cheers,
turtle


The long answer is (apologies in advance for the extensive quoting).......


Lonhro Resources (LRO) Changed its name to Hawk Resources (HFC) in July 2007.

Two excerpts from the Lonhro Resources disclosure document before listing as Hawk explain the options:

Page 4:
"A total of 13,600,000 Options are currently on issue.
10,600,000 Options are exercisable at 30 cents on
or before 14 May 2010, and 3,000,000 Options are
exercisable at 20 cents on or before 14 May 2010.
Please refer to Sections 8.11.1 to 8.11.2 for the terms
and conditions of these options."

AND

Page 42:
"The Company was incorporated on 19 April 2006 as Lonhro Holdings Limited for the purpose of acquiring,
exploring and developing mining interests....
11 May 2007 the Board approved the issue of 6,500,000 shares
and 6,500,000 share options to Seed Capital Investors at an issue price of $0.10 per share with one free attaching option for each share issued. The options are exercisable at 30 cents each expiring on 14 May 2010 and have been given no value....

On 11 May 2007 the Board also resolved to issue 1,100,000 options to Directors as remuneration for past services rendered and as a retention incentive. The options are exercisable at 30 cents each expiring on 14 May 2010 and have been given no value....

On 11 May 2007 the Board also issued 3,000,000 share options to Cygnet Capital Pty Ltd, in consideration
for services as Promoter to this share issue. The options are exercisable at 20 cents each expiring on 14
May 2010 and have been given no value.

The Board also approved the issue of 2,000,000 shares at an issue price of $0.10 per share and 3,000,000
share options (and $50,000 in cash) as consideration for the purchase of Tungsten Australia Pty Ltd on 25
May 2007 to Dr Mark Elliott a director of Lonhro Resources Limited and his nominee for total consideration of $250,000. The options are exercisable at 30 cents each expiring on 14 May 2010 and have been given no value."