Blue Energy (ASX: BLU) has secured a favorable ruling from the Land Court of Queensland (LCQ) regarding its Sapphire gas development in the Bowen Basin. The LCQ granted an amended environmental authority (EA) to Blue Energy’s subsidiary, Eureka Petroleum, allowing activities in the Sapphire PL 1034 application area. This decision concludes a legal challenge initiated in July 2023 by Environmental Advocacy in Central Queensland against the state government’s initial EA grant. The LCQ’s judgment sets aside the previous EA decision and substitutes it with a new authority based on amended terms.
The amended EA permits the Queensland Minister to grant Eureka a petroleum lease over the Sapphire Block. This case is significant as the first published judgment in an appeal against a Department of Environment decision to grant an EA for a project under the Petroleum and Gas (Safety and Production) Act 2004. Blue Energy’s managing director, John Phillips, stated that the company can now proceed with developing its gas resources and reserves in the Bowen Basin. The company views the development of its assets as crucial for increasing gas supply, supporting local manufacturing along Australia’s east coast, stabilizing the electricity grid, and creating jobs.
