ANNUAL REPORT 2011 18. ISSUED CAPITAL AND RESERVES - continued (b)  Share Options (c)  Ordinary shares (d) Nature and purpose of reserves  Share Based Payments Reserve Foreign Currency Translation Reserve non-controlling Interest’s Reserve Hedge Reserve 75 The hedging reserve comprises the effective portion of the cumulative net change in the fair value of cash flow hedges  related to hedged transactions that have not yet occurred. The non-controlling interest’s reserve records the difference between the fair value of the amount by which the non- controlling interests were adjusted to record their initial relative interest and the consideration paid. The foreign currency translation reserve comprises all foreign exchange differences arising from the translation of the  financial statements of foreign operations where their functional currency is different to the presentation currency of the  reporting entity. The share based payments reserve is used to record the fair value of options issued but not exercised.  Ordinary shares entitle the holder to participate in dividends as declared and, in the event of winding up of the company,  to participate in the proceeds from the sale of all surplus assets in proportion to the number of and amounts paid up on  shares held. Ordinary shares entitle their holder to one vote, either in person or by proxy, at a meeting of the company. Notes: (i)  4,020,000 options were issued under the terms of the Perseus Mining Limited Employee Option Plan. For  further details refer to note 29. Options to subscribe for ordinary shares in the company have been granted as follows: Exercise Exercise Opening Options Options Closing Period Note Price Balance Issued Exercised/ Balance 1 July 2010  Cancelled/  30 June Expired 2011 Number Number Number Number On or before 31 July 2010  $1.50 3,200,000 - (3,200,000) - On or before 31 December 2010  $1.00 1,000,000 - (1,000,000) - On or before 30 June 2011  $1.00 600,000 - (600,000) - On or before 13 August 2011  $0.60 1,800,000 - (1,800,000) - On or before 14 January 2012  $2.13 1,800,000 - (750,000) 1,050,000 On or before 23 January 2012  $0.65 1,270,000 - (235,000) 1,035,000 On or before 31 March 2012  $1.80 400,000 - - 400,000 On or before 31 March 2012  $1.30 600,000 - - 600,000 On or before 16 June 2013  $2.13 1,330,000 - - 1,330,000 On or before 29 July 2012  (i)  $2.45  -  400,000  -  400,000 On or before 6 October 2013  (i)  $3.00  -  450,000  -  450,000 On or before 14 October 2012  (i)  $3.00  -  160,000  -  160,000 On or before 14 October 2012  (i)  $3.45  -  280,000  -  280,000 On or before 3 November 2013  (i)  $3.20  -  340,000  -  340,000 On or before 15 June 2014  (i)  $3.00  -  2,390,000  -  2,390,000 12,000,000 4,020,000 (7,585,000) 8,435,000