After conducting due diligence, the Sydney-based miner said it signed the deal Monday and had until August 31 to acquire all of the company’s stock.

It did not identify the other company in the transaction or the name of the mine, but said that, should the deal close, the consideration had been reduced and was expected to be $20 million including all mine infrastructure, plant and equipment and permits.

That already accounts for a previous option fee of $200,000 and a further $500,000 option fee.

“The coal currently being mined at the site includes a specialty low-ash coal which is sold to niche markets at an attractive premium,” the company said.

“Due diligence to date has confirmed that the project also presents an opportunity to utilise the BCB technology to process the coal fines currently arising from operations at the mine in question.”

White noted that it had previously tested coal fines sourced from this mine at its Cessnock production plant, with encouraging results.