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Seems like they're pursuing you for a reason, and sometimes when swinging for the next vine you gotta let go before there's a firm grasp. By that I mean regardless you will survive, even if it goes to shite.
Take the shot, and ask to speak with your boss. Let him know that you are pursuing an opportunity that is a definite step up in responsibility and pay. Humility and honesty goes a long way; if he's a good man he will understand that good people desire to move upward. Explain that the situation arose suddenly, and it gained momentum rapidly.
I don't know all the facts, but don't quibble any longer with the current employer. You sound like this new position is just about hemmed up, so be the dude they're hoping to get and crush the interviews and be confident.
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