b'CENTAURUS METALS ANNUAL REPORT 2023 Financial Report31 December 2023Note 9.Share-based Payments From time to time the Group may make share-based payments in connection with its activities. These payments may comprise the issue of options under various terms and conditions. Options granted carry no dividend or voting rights.When exercisable, each option is converted into one ordinary share of the Company with full dividend and voting rights. During the reporting period 1,535,164 options were issued to employees and directors (2022: 1,225,220). Options issued to employees were issued under the Employee Share Incentive Plan approved by shareholders at the Annual General Meeting on 27 May 2022. Options issued to executive directors were approved by shareholders under ASX Listing Rule 10.11. Reconciliation of Outstanding Share OptionsThe number and weighted average exercise prices of share options issued are as follows: WeightedWeighted AverageNumber ofAverageNumber of Exercise PriceOptionsExercise PriceOptions 202320232022 2022 Outstanding at start of period$0.12129,723,075$0.182212,247,857 Exercised during the period$0.1648(3,457,919)$0.2807(3,750,002) Lapsed during the period$0.0000(2,011,151) Issued during the period$0.00001,535,164$0.00001,225,220 Outstanding at balance date$0.10525,789,169$0.12129,723,075 Exercisable at balance date$0.37291,633,334$0.1800350,001 The options outstanding at 31 December 2023 have exercise prices ranging from $0.000 to $0.405 (2022: $0.000 to $0.405) and the weighted average remaining contractual life is 1.58 years (2022: 1.40 years).There were 3,457,919 options exercised during the year (2022: 3,750,002). There were 1,535,164 options issued during the year (2022: 1,225,220). Details of the options issued during the year are as follows: Grant DateNumber of OptionsVesting Period(1)Option Term Directors 26/05/23344,38836 months(2)48 months 26/05/23344,38736 months(3)48 months Total688,775 Employees 16/02/23423,19636 months(2)48 months 16/02/23423,19336 months(3)48 months Total846,389 (1)From 1 January 2023 subject to continued employment.(2)Options will vest in the future subject to performance and services based vesting conditions being met. The Companys share price performance is measured via relative Total Shareholder Return (TSR). The Companys TSR is measured against a peer group of companies. Vesting will occur subject to meeting a three-year service condition to 31 December 2025 and the performance condition tested against the relative TSR measure for the period 1 January 2023 to 31 December 2025. (3)Vesting will occur subject to meeting a three-year service condition to 31 December 2025 and the performance condition tested against the absolute TSR measure for the period 1 January 2023 to 31 December 2025. The following table sets out the vesting outcome based on the Companys relative TSR performance. TSR percentile compared to peer groupPercentage Options that vest 50th percentile0% Between 50th and 75th percentilePro-rata between 50% and 100% 75th percentile100% No options will vest unless the percentile ranking of the Companys TSR for the relevant performance year, as compared to the TSRs for the Peer Group companies, is at or above the 50th percentile. Page 38 of 54 64 ANNUAL REPORT CENTAURUS METALS LIMITED CENTAURUS METALS LIMITED ANNUAL REPORT 65'