China's Meijin Energy Group, looking to acquire the Australian coal firm, Rockland's Richfield Ltd., has raised its offer to $197.2 Million, a move which has increased pressure on rival Indian bidder Jindal Steel & Power to either do the same or step out of the race.

The latest offer of 56 cents a share is substantially higher than Jindal's offer of 52 cents per share.

The Perth based coal company, however, has confirmed that neither of the bids are formal, and are currently subject to due diligence.

On the back of the increased bid, Rockland's shares hiked by 24.24% to 41 cents, which is still below the offer price, tempting the company even further.

Jindal, which has been notified of Meijin's offer, has been given until 7 pm, Perth time, tomorrow, to either match or take the bid further.

The race to acquire Rockland's began in late September this year, when Jindal offered the company a takeover bid of 42 cents per share.