Nathan Tinkler's pursuit of a $150 million coal mine in Queensland may have taken another turn for the worse but the fallen tycoon refuses to raise the white flag, even after the ­seizure of his thoroughbred racing empire, Patinack Farm.

According to sources Mr Tinkler has shifted his focus to Western ­Australia and intends to use a shell company registered in that state to engineer the acquisition of Peabody Energy's Wilkie Creek asset.

As Fairfax Media reported last month, the former ­billionaire skipped a partial payment for the coal mine at the end of June.

Peabody then extended the deadline until the end of July. However it's understood Mr Tinkler, who now lives in Singapore, failed to meet this second payment hurdle.

Theses successive breaches add to the gathering gloom enveloping the reclusive mining entrepreneur, who has been caught in a downward spiral since June 2013, when a slump in coal prices hastened a dramatic ­unravelling of his multibillion- ­dollar empire.

Mr Tinkler hoped to turn around his fortunes with the Wilkie Creek acquisition.

He offered far more than the $20-odd million bids submitted by rival contenders, Stanmore Coal and a private-equity style firm.

It is understood Mr Tinkler has so far paid a deposit for the asset of less than $5 million and was granted an extension on the November completion date, although it's not clear for how long or what sort of conditions have been attached.

Peabody declined to comment on the deal other than to reiterate it is "working towards the milestones we indicated in our previous announcement." Mr Tinkler also declined to comment.

These latest difficulties may ­provide another opportunity to the two underbidders.

According to sources Stanmore Coal and the PE-style firm are discussing whether to team up and bid for Wilkie Creek, which is weighed down by liabilities, including an ­environmental rehabilitation bill of around $40 million.

While Mr Tinkler's deal attracted scepticism, given the high sum offered for a mine in care and maintenance, as well as the poor performance of coal prices, the US giant Peabody has given no sign it will walk.

Nor have his reported financial backers, the US investment bank ­Jefferies and its parent private equity firm, Leucadia National.

Those familiar with Mr Tinkler argue the US firm had a vested ­interest in supporting the deal since he owed Jefferies money and a ­successful venture would facilitate the recovery of those loans.

Patinack farm had also been painted as a pivotal source of funds.

The loss of that asset to Gerry ­Harvey, the retail billionaire to whom he owed over $20 million, knocks another dent in the comeback story.

However sources said Mr Tinkler hoped to sell Wilkie Creek into a WA shell company and has discussed the strategy with a number of brokers in Perth. It is understood that Mr Tinkler has made recent trips to WA.

Despite Mr Tinkler's tenacity, few believe he can pull off such a listed-market deal, given his tarnished reputation.

Yet the 38-year old still boasts bluechip connections and has in the past teamed up with former Peabody chief financial officer, Richard Navarre, fuelling speculation he has played a key role in the Wilkie Creek ­negotiations.