“JWS is studying the assets and may make an offer, according to people with knowledge of the plan who asked not to be identified because the discussions are at an early stage,”Bloomberg reported.

The sources reportedly said JSW would look at ways to raise money to fund the acquisition either on its own or through a joint venture.

Buying New Hope, which is based in Ipswich, Queensland, would give JSW access to thermal coal mines and an export terminal.

Bloomberg’ sources said JSW required coking coal for its steel operations and thermal coal to run its energy unit’s operational and upcoming power plants in India.

Earlier this month, NHC chairman Robert Millner said selected groups would be invited to submit offers in a process that was likely to take months.

Millner said the company had a unique range of assets, making it a target for a takeover.

“New Hope has a very large reserve and resource base, it has a significant development pipeline and it is a low cost producer with access to infrastructure,” Millner said.