Paringa shares more than doubled to A23c during trade today.

Paringa, which listed on the Australian Securities Exchange in December, has agreed to acquire Australia’s Hartshorne Coal Mining, which owns the Buck Creek thermal coal project in Kentucky and the Arkoma coking coal project in Arkansas.

Consideration for the purchase is 61 million fully paid ordinary shares in Paringa, which at yesterday’s closing price of 11c, would be $6.7 million.

Following the acquisition, Hartshorne founders Middlemas and Anastasios Arima will join the Paringa board – Arima as an executive director – with Luis Azevedo to step down.

Middlemas and Arima are former directors of Coalspur Mines, while Middlemas chairs Papillon Resources, Prairie Downs Metals, Equatorial Resources and Berkeley Resources.

Hartshorne CEO David Gay and chief operating officer Matt Haaga will also join the Paringa team, based in Hartshorne’s Indiana office.

Paringa’s 34% shareholder Silver Lake supports the transaction.

Following the deal, Paringa will have about $7.5 million cash.

Paringa has four gold and graphite projects in Brazil, which it will continue to fund after the deal.

Shares in Paringa surged 77% to 19.5c.