Blue Energy (ASX:BLU) gains over 30% on ASX. Here’s why

Be the First to Comment Read

Blue Energy (ASX:BLU) gains over 30% on ASX. Here’s why

Blue Energy Limited (ASX:BLU), Bowen basin, Natural Gas Pipeline,energy  stocks, ASX
Image source: © Jimsphotos |


  • ASX:BLU shares are at their one-month high on ASX today, gaining over 30% in a day.
  • Blue Energy had proposed an appraisal drilling plan in 2022, in the North Bowen Basin.
  • A Federal infrastructure study now backs Bowen Basin development. 

ASX listed small cap energy explorer, Blue Energy Limited (ASX:BLU) shares have gained 26.08% on ASX today. As of 1:15 PM AEDT, BLU shares are trading at AU$0.058 each. BLU’s price has reached a month’s high, backed by high trading volumes today. BLU’s long standing stance on the Bowen basin development is now being backed by a government infrastructure study, which seeks a national gas pipeline infrastructure in the region.

Key highlights from federal report on Bowen basin development –

  • Both Federal and State Governments have endorsed the economies lying in the development of the Bowen Basin.
  • The report highlights that construction of gas pipeline infrastructure here favour energy security.
  • The infrastructure study has identified a clear need for additional gas production capacity with new gas basins in Australia.

Why is Blue energy positive about the government report?

  • The government study is released at a time when BLU has already proposed a 2022 appraisal drilling plans in the North Bowen Basin.
  • Blue Energy has already advanced drilling and shall soon receive a Production Licence by mid-2022.
  • According to Blue Energy’s management-

Data Source- Blue Energy Limited’s ASX release dated 6 January 2022

  • BLU has confirmed gas productivity in the region with gas supply agreements from Origin Energy, Energy Australia and QPM.
  • Blue has worked through Christmas for design finalization will be shortly inviting expressions of interest for drilling and directional serves.
  • BLU is also set to lodge application for Environmental authority approvals for the Production Licence.
  • In addition, it is also finalising a submission for Federal Government funding for Bowen basin drilling.

BLU’s road ahead -

Blue is finalising early-stage development activities in relation to a gas pipeline project in the Bowen basin, as part of the National Gas Infrastructure Plan. The government’s recently released infrastructure study may push BLU’s efforts in the region.

From Oil & Gas stocks- Venice Energy IPO expected soon, plans A$250M FID

More from ASX- Aussie Supermarkets face supply crunch as COVID-19 scares truckies


Speak your Mind

Featured Articles

kalkine logo


Top Penny Picks under 20 Cents to Fit Your Pocket! Get Exclusive Report on Penny Stocks For FREE Now.

We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it. OK