Continental Coal has requested the continuation of the voluntary suspension of its securities as it finalises its efforts to complete a recapitalization of the company. This will allow Continental Coal to settle its convertible notes that mature from November 2013 to February 2014 as well as other creditors.

“The company has made progress in its discussions with holders of convertible notes, other creditors, royalty holders and various investor groups in relation to a comprehensive recapitalization of the company and remains optimistic about reaching an agreement between all parties that will allow the company to continue trading as a going concern,” Continental Coal said in a statement.

If no acceptable restructure or refinancing arrangements can be agreed in the near term, the board has advised that the appointment of a voluntary administrator to the company in Australia may be necessary, as it will have insufficient funds to meet the repayment obligations on the convertible notes and other creditors.