(ChinaCoalResource, Sept 19, 2006)Excel Coal Ltd's friendly 1.83 bln aud merger with US coal giant Peabody Energy Inc could be in jeopardy, with a rival international coal miner expected to launch a competing offer this morning, the Sydney Morning Herald reported citing unnamed market sources.

Shares in the mid-tier coal miner were suspended before the Australian Stock Exchange opened yesterday pending an announcement.

The newspaper said North American coal companies rank high among the likely bidders being touted, including Arch Coal, Consol Energy, the Fording Coal Trust and Massey Energy.

But it said Peabody remains in a dominant position since it is the world's largest coal producer, has more financial firepower than its competitors, and already owns assets in Australia.

Excel shares have traded above the 8.50 aud a share cash offer for several weeks.

Excel was floated on the stock exchange in 2004, issuing shares to investors at 2.00 aud each.
source:ChinaCoalResourceChina energy coal