Kalkine: ASX 200 Sees Energy Sector Interest as CR1 Explores Natural Hydrogen Frontier

Highlights

• Constellation Resources Ltd (ASX:CR1) explores hydrogen and helium across Western Australia's basins

• Early geotechnical results validate thermogenic hydrogen systems in the Edmund-Collier Project

• Soil gas surveys and proximity to major pipelines position CR1 for scalable development

Constellation Resources Ltd (ASX:CR1), part of Australia’s diversified energy sector, is exploring large-scale hydrogen and helium resources across Western Australia. The company operates across multiple basins including Edmund-Collier, Ashburton, and Yerrida, with access to established infrastructure like the Dampier to Bunbury Natural Gas Pipeline and the Goldfields Gas Pipeline. As part of the broader ASX 200, the company’s exploration strategy reflects momentum within the evolving hydrogen space.

The energy transition is driving interest in alternatives to carbon-heavy fuels. CR1’s focus on natural hydrogen and helium aligns with policy support for cleaner energy, especially with hydrogen blending infrastructure being developed across the state. These projects span thousands of square kilometres and exhibit the geological signatures required for thermogenic and radiogenic hydrogen systems.

Strategic Basin Locations Near Infrastructure Corridors

Constellation’s exploration acreage is distributed across key Western Australian basins, selected for their subsurface conditions including organic-rich source rocks and identified gas migration pathways. The Edmund-Collier Basin, a focal point of current activity, lies adjacent to strategic gas corridors, increasing development efficiency. No domestic producers of natural hydrogen have yet reached commercial stage, which adds focus to CR1’s first-phase surveys and technical mapping.

The company also benefits from proximity to energy-intensive industrial hubs, including iron ore regions evaluating low-emission steel technologies. This regional advantage could reduce the distance to downstream applications such as power generation or steel manufacturing.

Geotechnical Studies Validate Hydrogen System

In partnership with the Commonwealth Scientific and Industrial Research Organisation (CSIRO), Constellation analysed drill samples that revealed thermogenic hydrogen indicators. Thermal maturity of shale units within Edmund-Collier showed optimal temperature ranges for hydrogen generation. Total Organic Carbon (TOC) values in tested cores also exceeded the required quality thresholds for source rock viability.

Only a subset of the planned drilling campaign has been completed. Results from the Wanna Syncline section suggest extensive shale coverage with lateral continuity, supporting future exploration. CSIRO’s involvement enhances credibility around the scientific framework and interpretation of early-stage data.

Phased Exploration and Development Timeline

The company’s exploration roadmap starts with surface-level soil gas surveys targeting hydrogen and helium seepages. These low-impact methods are critical for early identification of active gas systems. Upcoming phases include geophysical surveys, infill soil sampling, and exploration drilling. Should those stages yield consistent outcomes, the transition to reserve estimation and development planning will follow.

Infrastructure requirements for natural hydrogen are minimal, focused on compressors, storage tanks, and pipeline connections. These elements support a lower land footprint and align with state environmental guidelines, potentially easing future permitting.

Hydrogen Transport Infrastructure Underway

Western Australia is facilitating hydrogen inclusion into its existing gas network. A blending plant in Jandakot and technical studies by the Australian Gas Infrastructure Group highlight safe integration thresholds for hydrogen into pipelines. CR1’s assets are well-placed for such transport options, potentially reducing barriers to scale-up once hydrogen flows are confirmed.

Additionally, alignment with government-led hydrogen strategies reinforces CR1’s location advantage. The focus includes supply to sectors such as steel, power generation, and grid-based energy storage.

Natural Hydrogen Gains Visibility in Clean Energy Landscape

Natural hydrogen differs from other hydrogen types due to its renewability, minimal emissions, and lower processing requirements. Interest in the resource has expanded, with international and domestic companies advancing exploration-stage programs. CR1’s efforts follow a broader shift in global energy strategies that prioritise scalable, clean gas alternatives.

The scientific parameters around thermogenic systems, energy efficiency, and environmental impact continue to support the advancement of natural hydrogen as part of diversified energy frameworks.

Experienced Board and Technical Oversight

CR1 is supported by a board with decades of combined experience in exploration, development, and project finance. The leadership team brings prior expertise in geological interpretation, drilling campaigns, and corporate stewardship of ASX-listed entities. Senior roles have been held across mining and energy ventures, providing insight into both technical operations and capital market navigation.

A network of geophysical and geological advisors continues to support fieldwork design, data analysis, and future modelling, reinforcing the company’s technical foundation.

Exploration Funding Structure and Shareholder Composition

CR1 maintains a lean financial structure focused on funding exploration phases efficiently. A recent entitlement offer was structured to support upcoming survey work and drill program advancement. Share ownership is concentrated among a small group, with internal alignment around development timelines.

By combining technical execution with access to strategic locations and existing pipelines, CR1 continues its staged approach in the emerging natural hydrogen sector.