• Cue Energy Resources (ASX: CUE) has applied to the Takeovers Panel regarding Horizon Oil's (ASX: HZN) takeover bid
• Echelon Resources (ASX: ECH), a substantial shareholder of Cue, has a pre-bid agreement with Horizon
• Cue alleges undisclosed association between Horizon and Echelon, and a chilling effect on potential auction for Cue

Cue Energy Resources Limited (ASX: CUE) has applied to the Takeovers Panel in relation to Horizon Oil Limited's (ASX: HZN) off-market takeover bid for all of Cue's shares. Echelon Resources Limited (ASX: ECH), a substantial shareholder of Cue holding 49.93% of shares, has a pre-bid agreement with Horizon to sell an amount of shares equal to approximately 19.99% of Cue's shares to Horizon. Cue alleges that there is an undisclosed association between Horizon and Echelon, that Horizon's pre-bid agreement with Echelon has reduced the prospect of a potential auction for the control of Cue developing, and that the pre-bid agreement and Horizon's intention statement have a chilling effect on the auction for the control of Cue. Cue also alleges that the conduct of the Echelon Nominees, who are also directors of Cue, in failing to notify the remaining directors of Cue of Horizon's intention to make a takeover bid, has magnified the impact of the above. Cue seeks various interim and final orders from the Panel, including restraining Echelon from accepting into Horizon's bid and requiring Echelon to accept into (or vote in favour of) a superior proposal.