A method for the liquefaction of coal under coal liquefaction conditions in the presence of manganese nodules in combination with an improved coal liquefaction solvent. Liquid yields are increased when the solvent, containing substantially only polycondensed aromatic systems or components that possess polargraphic reduction potentials equal to or greater than about -2.4 volts, is utilized in the reaction. During the reaction the polycondensed aromatic compounds, in the presence of manganese, are selectively and rapidly hydrogenated leading to increased liquefaction of coal.