SAC is a former subsidiary of Felix Resources, which was not swallowed up by Yanzhou Coal Mining’s takeover, formally completed early this year.

White Energy’s largely scrip-based takeover for SAC reached a 97% acceptance rate when it closed on Tuesday – over the 90% level which triggers the compulsory acquisition process.

While the takeover will broaden the scope of White outside of its main coal upgrading line of business, the completed transaction means the reins of White will be handed over to former Felix Resources executives Brian Flannery and Travers Duncan.

Flannery will become the new chief executive of White, while former Felix chairman Duncan will become White’s new chairman

“We are very pleased with the outcome of White Energy’s takeover offer for South Australian Coal, one is absolutely delighted by the overwhelming support shown for the takeover as reflected by the over 97% acceptance figure,” White chairman John McGuigan said.

“We look forward to welcoming the South Australian Coal shareholders as shareholders of White Energy and now focusing our efforts on developing the Lake Phillipson coal deposit.”

The deposit has 515 million tonnes of sub-bituminous coal resources, while White’s patented process upgrades this type of coal into a higher energy, more stable and cleaner burning coal briquette.

Coal from the resource in EL3386 could be transported to the Adelaide-Darwin rail line and exported through ports at Darwin, Adelaide and Whyalla.

Flannery is the managing director of Yanzhou subsidiary Yancoal Australia and pocketed more than $500 million from the takeover of Felix.

White shares closed down 7c to $3.19 this morning.