If/When Pike hits 1 million tonnes, then NZO can convert its bonds to shares. Presumably the resolutions passed at the PRC special meeting in a couple of months will bypass any takeover code provisions and allow NZO to convert bonds to equity without further shareholder authorization.
NZO is protected against dilution by Liberty Harbor, and PRC gets a bondholder who is likely to be less voracious than Liberty Harbor. NZO don't seem to have any urgent need for major cash at this stage, and they must have as good an idea as anyone if the coal is going to come out.