US coal giant Peabody Energy Corp. (NYSE: BTU) got some help today with its bid for Australia coal miner Macarthur Coal. Macarthur has dropped its previously agreed merger with another Aussie coal company, Gloucester Coal. Peabody’s offer would have been withdrawn if the Macarthur-Gloucester tie-up had gone through.

At stake is the world’s largest supplier of PCI coal, a particularly prized variety of coal used in steel-making. Peabody’s original offer of AUS$14/share for Macarthur was topped by a AUS$14.50 offer by another Australian miner, New Hope Corp. Peabody then raised its offer to AUS$16/share, which New Hope said was too rich.

Then Hong Kong financial firm Noble Group, which owns nearly 88% of Gloucester, offered $117 million for the remaining part of Gloucester, valuing the company at $943 million. Had that deal gone through, Peabody would have withdrawn.

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Noble probably never had any intention of actually buying the rest of Gloucester, instead hoping to force Macarthur to pay more. Peabody arrived at this point and declared that Macarthur was already offering too much for Gloucester. That essentially killed the Macarthur-Gloucester deal.

With Peabody back in the driver’s seat, the US company then reduced its bid to AUS$15/share as a result of a new 40% super-profits tax the Australian government is proposing for all mining companies. Similar to the excess profits tax schemes proposed in the US from time to time, the 40% super profits tax would not be assessed until after shareholders receive a return. The tax proposal does contain rebates for exploration expenses, to help offset the impact on mining companies. The new tax is estimated to raise government revenue by AUS$3 billion.

The Australian government’s main opposition party has said it would not impose the super profits tax, opting instead to kill a AUS$43 billion plan to build a national broadband network.

Mining giants BHP Billiton (NYSE: BHP) and Rio Tinto plc (NYSE: RTP) have spoken out against the new tax, but Peabody has not. Of course its reduced bid for Macarthur speaks loudly enough.

Peabody’s shares are trading fractionally higher at this morning’s opening. With all the other deals having melted away, the company appears to be on track to get what it wants.

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