At 10:30 (AEST), the benchmark S&P/ASX 200 index rose 18.20 points, or 0.31 percent, at 5,978.50, while the broader All Ordinaries index gained 18.90 points, or 0.31 percent, at 6,186.90.
The Aussie share market bounced back from heavy losses in previous sessions, with oil and gas companies leading the recovery, backed up by the banks and miners.
Aussie financial services giant, AMP surged over 17 percent after revealing it had received a proposal from Ares Management Corporation to acquire 100 percent of its shares by way of scheme of arrangement, however stressed the deal was tentative and may not go ahead.
Meanwhile most other sectors posted modest losses, with the largest coming from industrials which was close to 1 percent lower, followed by consumer stocks, healthcare and communications.
In the financial space, the big banks rallied with Commonwealth Bank up (0.48 percent), Westpac Bank up (0.67 percent), National Australia Bank up (0.54 percent) and ANZ up (0.96 percent).
Mining stocks were mostly higher with BHP up (0.41 percent), Rio Tinto up (1.75 percent) and Fortescue Metals up (4.03 percent), however goldminer Newcrest was down (0.54 percent).
The country's oil and gas producers surged with Oil Search up (1.15 percent), Santos up (2.10 percent) and Woodside Petroleum up (1.27 percent).
Australia's largest supermarkets varied with Coles up (0.17 percent), and Woolworths down (0.23 percent).
Meanwhile telecommunications giant Telstra bounced (0.19 percent), the national carrier Qantas took off (0.69 percent) and biomedical firm CSL edged lower (0.05 percent).
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