The company said it would undertake a strategic investment review of the offers to make a recommendation to shareholders.

First Coal holds more than 90,000 hectares under tenure licence or application in the Peace River Coalfield near Chetwynd, in northeastern BC.

Historic resources are estimated at 1.6 billion tonnes of primarily metallurgical coal.

The company will start production on its Central South property which has steeply dipping coal seams. Measured, indicated and inferred resources to date are more than 78 million tonnes of medium volatile coking and PCI coals.

First Coal will use the ADDCAR Any Dip Highwall Mining System to extract coal from the high walls of excavated trenches on the project.

The company said the technique caused minimal surface disturbance and provided a low strip ratio.

First Coal will be the first company in the world to mine steeply dipping coal seams using the technique.

A bulk sample will be extracted late this year and a Small Mine Permit Application will be submitted to the BC government soon.

Once approved, First Coal will be able to start production at an annualised rate of 245,000t of clean coal.

Full ramp-up is planned for late 2010 or early 2011. First Coal expects production to reach 3 million tonnes per annum.