It follows a statement made last month that it had received a $62 million offer from its major shareholder to buy out its troubled Dartbrook mine in NSW.

The offer from Trepang would effectively cancel out the debt the company owes to it.

In addition, Australian Pacific Coal would receive a royalty of $2.50 a tonne for “certain coal extraction” from Dartbrook and another $2.50 a tonne for coal is sold above $US200 a tonne.

“If this transaction is approved by shareholders and completed it will result in a reduction the company’s existing debt with Trepang and associates from approximately $62 million to nil,” the company said.

The latest update from the company said a trading halt would remain in place until March 15 when it could update the market in relation to its application to extend Dartbrook mining, which has been opposed by a local thoroughbred horse breeding association.