Whitehaven is offering $1 for Coalworks’ shares.

If its bid for control succeeds, Coalworks will be delisted and Whitehaven will develop its Vickery South project in the Gunnedah Basin and the Ferndale project in the Hunter Valley.

A document to shareholders refers only briefly to Oaklands North, where Coalworks is looking at reopening the coalfield mined from 1915 to 1959, converting coal to petrol.

It said Whitehaven would analyse the economic viability of Oaklands North and any decision would be “in the best interest of Whitehaven shareholders”.

“Whitehaven has no intention to sell any specific part of the business or assets of Coalworks or to downsize any specific part of the business.”

The share offer closes on June 26. A shareholders’ meeting on June 15 threatens to oust Coalworks directors who are telling shareholders to reject Whitehaven’s offer.

Coalworks first revealed its plan for an export mine six kilometres north of Oaklands four years ago.

It said 300 workers would be needed to create a vast open-cut mine that would require 200 to 250 people to operate it.

Coalworks later found Oaklands’ black, thermal, low-sulphur coal was ideal for gasification — converted to synthetic natural gas (syngas) for power, or to make petrol.

Locals remain sceptical in light of the empty plans of CRA and Mitsubishi in the 1980s for a coal-fired power station.

Whitehaven’s board is headed by former National Party leader and federal minister Mark Vaile.

Whitehaven already has a Vickery project and wants to develop it in conjunction with Coalworks’ Vickery South project.

It believes Coalworks’ assets can be developed more efficiently in combination with its sites.