• Offer price is inadequate and undervalues Cue
• Timing of Offer is opportunistic as Horizon shares trade at 10-year high
• Accepting Offer would significantly dilute Cue shareholders' exposure to key assets

The Independent Board Committee of Cue Energy Resources has carefully assessed Horizon Oil's unsolicited takeover offer and unanimously recommends that Cue shareholders reject the offer. The key reasons for the recommendation include: the premium for control implied by the offer is inadequate; the timing of the offer is opportunistic, coinciding with Horizon shares trading at a 10-year high; based on objective comparative measures, the offer appears to undervalue Cue relative to Horizon; Cue shareholders who accept the offer would suffer significant dilution of their exposure to Cue's key assets; potential synergies are likely understated by Horizon, and the offer ascribes minimal value to them; Horizon's debt balance and costs would represent a new material risk for Cue shareholders who accept the offer; the offer is highly conditional and there is no certainty it will proceed; and Cue shareholders will only receive capital gains tax rollover relief on the scrip consideration if Horizon achieves 80% acceptances. The Independent Board Committee encourages Cue shareholders to read the Target's Statement in full and seek independent advice before deciding how to respond to the offer, which is scheduled to close on 5 June 2026 unless extended or withdrawn.