Time to come out of the closet, McD!
What I think is happening here is that Duncan has been a secret holder of NZO all along. He has been stringing us along and greatly enjoying the goading, while all the time he actually held heaps and heaps of NZO. What was in it for him? Well, he managed to ensure that the options price was depressed as exercise date drew near, thus enabling him to pick up further "heaps and heaps" at very depressed prices.
Congratulations, Bonnie Prince Charlie! A brilliant tactic. Enjoy your new-found wealth.
Cheers!