The company operates an equity-settled, share-based compensation plan, under which the entity receives services
from employees as consideration for equity instruments (options) of the company. The fair value of the services received is measured by reference to the estimated fair value at the grant date of equity instruments
granted and is recognised as an expense over the vesting period. The estimated fair value of the option granted is
calculated by reference to observable market data, namely recent transactions in the entity's shares or recent
independent fair valuation of the entity. The total amount expensed is recognised to profit and loss, with a
corresponding increase in share option reserve, over the vesting period, which is the period over which all of the
specified vesting conditions are to be satisfied.
The proceeds received net of any directly attributable transaction costs are credited to share capital and share
premium when the options are exercised. On exercise of the options the related share option expense is transferred from the share option reserve to profit and loss reserve.