** BluGlass plunges as much as 22.4% to A$0.0225, the lowest since May 26, 2020
** Semiconductor developer says microelectronics project, of which co is a part, not selected for funding by the U.S. Department of Defense (DoD)
** Funding part of DoD and White House's "Leap Ahead" awards to improve performance of microelectronics like transistors and switches
** Says co eligible to apply for next round of funding
** About 5.6 mln shares traded, 3x the 30-day avg
** Stock posts biggest intraday pct loss since Feb. 12
** BLG down ~62% YTD
(Reporting by Nikita Maria Jino in Bengaluru)
((Nikita.Jino@thomsonreuters.com;))
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