The move comes after the company completed a rights issue last month.
Continental Coal said that the negotiations have been ongoing since February and include proof of funds.
The offers are also of a quantum, which provides for the satisfaction of key debts at both the parent and subsidiary.
If a deal is finalized, the company will have excess cash reserves, and will be able to pursue new opportunities that had been presented to it.
"Currently the Board is finalising legal advice with regards to a scenario whereby an accepted offer is announced and Shareholders are then offered the opportunity to have their funds returned from the Rights Issue, remain in a new raising by way of a supplementary prospectus or participate in the new raising given the change in circumstances which some Shareholders may want to participate in as opposed to the previous Rights Issue," the company added.
A detailed announcement with this regard is expected to be made by 14 October.
Continental Coal is a thermal coal producer with two mines, the Vlakvarkfontein and Penumbra Coal Mines, which produce around two million tons of thermal coal a year
The company has secured a mining right in September 2013 for a proposed third mine, the De Wittekrans Coal Project.
