Where are you? I bet a nearby Hobie owner (if there is one) would be happy to show you all sorts of things about the boat. If you don't see how the halyard goes, you'll probably have a few other questions also.
The steel shackle goes on the back (sail side) of the mast, and the line goes through the mast head and down the front of the mast. When the sail is fully up, the lug where the braided line meets the steel cable hooks on the thing that is a few inches under the mast head on the front. I cleat to the right side of the mast, but that's just me.
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'00 H16 #104691
'78 H16 #32692 ex-rental [gone]
Old Holsclaw trailer
My Hobie 16 pages