Hey mate Welcome aboard. What you are referring to as regular...

Hey mate
Welcome aboard.

What you are referring to as regular shares, are also called heads.
Options are issued sometimes on top of heads with a price, time frame and a strike price.

PRLO are currently valued at $0.01 with a strike price of $0.04 expiring October 2018
What this means is that if you hold PRLO on October 2018 you have a choice to convert your options into heads at a price of $0.04.
You need to remember the strike price of $0.04 to convert is a choice and not an obligation. Let's say heads are priced at $0.02 (current price) on October 2018, in this case most people would not convert (why would you pay $0.04 for something worth 0.02).

However, lets say we have a gusher, and the heads are valued at 35 cents ($0.35) on October 2018 - you can convert your options for heads for $0.04.

Remember the strike price (0.04) to convert is additional to the price you paid to purchase the options. You can trade options normally, before October 2018..

If we hit oil in the next few weeks and the heads rise to $0.2 the options would be worth around $0.16 - as the strike price is 4 cents (so they will be worth 4 cents less then the heads).. if you get into the oppies now at $0.01 you will make more if the heads rise a lot.

Hope this clears things up.