Asra Minerals Limited has issued a detailed prospectus outlining its plan to distribute new options, which form a significant part of a recent capital raising effort. The company will offer up to 1.5 billion New Options to those who subscribed for Placement Shares in a recent placement designed to raise approximately $3 million before expenses. In addition, Asra Minerals has agreed to issue 300 million New Options to the lead managers as a form of consideration for their services. These two offers, known respectively as the Placement Option Offer and the Lead Managers Option Offer, serve to provide free-attaching options to investors and facilitate the removal of trading restrictions on any shares issued upon exercise. The timetable for the offer is clearly defined. The prospectus, lodged with the relevant authorities on 3 June 2025, details that offers will open on the same day and close at 5:00pm AWST on 27 June 2025. The New Options, exercisable at an exercise price of $0.004 per option, can be converted into shares anytime before they expire on 30 June 2028. Completion of these offers would increase the company’s existing option base from approximately 1.13 billion to nearly 2.93 billion options, potentially representing around 32% of the issued share capital on a fully diluted basis. A number of technical details are provided in the prospectus to assist investors. Firstly, the New Options are offered exclusively to those invited by the company, including institutional and sophisticated investors as well as directors who are also participating in the Placement. No funds are raised under the Placement Option Offer because the options are given free with the shares, while a nominal sum of $300 is raised under the Lead Managers Option Offer. The removal of trading restrictions on the shares issued upon exercise allows easier on-sale after conversion, pending the company meeting the quotation requirements set by the market. From a market sentiment perspective, there are both potential upsides and risks to consider. On the bullish side, the capital raising could support the company’s exploration and drilling activities, and if the New Options are exercised, they may inject up to $7.2 million into the business—a signal of confidence in its future operations. This could provide a boost as the improved liquidity and enhanced marketability of shares might attract further investor interest. On the bearish side, the prospectus cautions that if a substantial number of options are exercised, existing shareholders may face significant dilution, which could impact their voting power and overall stake in the business. Furthermore, the inherent risks associated with mineral exploration, including commodity price fluctuations and operational uncertainties, remind investors that the offer remains highly speculative. Overall, the announcement by Asra Minerals Limited presents a clear example of how capital structure adjustments can be used to support business objectives. Novice traders should carefully weigh the technical details of the exercise price, expiry date, and potential dilution against the possible benefits of increased working capital and operational flexibility when considering their investment decisions.