UK to label gas a “green investment” to replace coal

A news piece in Bloomberg hints at the UK’s plans to label gas as a “green Investment” to replace coal in the energy sector.

Read the full article here.

Key takeaways from the Bloomberg article:

• The UK plans to allow some natural gas projects to be labelled as “green” to drive private investment in new domestic supply.
  
• The UK government believes a “green” label for gas could potentially attract the private financing needed to help the overall transition to a low-carbon economy.
  
• Gas is needed as a transition fuel to replace coal in power generation.
  
• The UK is focused on reviving domestic energy production after the Russia/Ukraine conflict has highlighted the importance of energy independence.

Regular readers will know that we have been speaking about that in detail across our portfolio companies that have exposure to gas. Interestingly enough we recently put out a weekend update around this macro thematic which can be read by clicking on the link below, titled: Natural gas and the clean energy transition.

Below is a list of the portfolio companies we hold with exposure to natural gas:

Invictus Energy (ASX: IVZ) - Preparing to drill an elephant scale gas prospect in Zimbabwe in July of this year.

Elixir Energy (ASX: EXR) - Preparing to conduct a long term pilot production program at its coal seam gas project in Mongolia in the 2nd half of this year.

Prominence Energy (ASX: PRM) and Global Oil and Gas (ASX: GLV) - Weeks away from drilling one of the top 20 highest impact oil and gas exploration wells for 2022 and one of the biggest drilled by ASX junior explorers in recent decades.

Top End Energy (ASX: TEE) - Holds a massive ~162,000km2 landholding in the north of Australia, with exposure to five different key basins. Currently in the early stages of identifying high priority drill targets.