• Cue shareholding divestment
• New Palm Valley JV GSA signed
• Palm Valley JV rig contract executed with mid year spud expected
• Mahato and Maari oil value uplift
• Operating cash flows up 30%

Echelon Resources Limited has reported its quarterly activities for the period ended 31 March 2026. The company has made progress on several key initiatives across its portfolio, including the divestment of its Cue shareholding, the signing of a new gas supply agreement for the Palm Valley JV, and the execution of a rig contract for the drilling of two new wells at Palm Valley, expected to commence in mid-2026. The company also saw an uplift in the value of its Mahato and Maari oil assets, and a 30% increase in operating cash flows during the quarter. Operationally, production was impacted by planned activities and asset-specific factors, with Mereenie returning to stable operations and Maari oil production remaining consistent, while Kupe was affected by unplanned shutdowns. The company's balance sheet remains strong, with debt reduced by A$6 million during the period and sufficient capacity under existing debt facilities to support approved development activity. Echelon is well-positioned heading into the next period, with improved pricing, contracted gas sales, and a defined development programme, along with the planned divestment of its Cue shareholding, supporting continued execution and value creation.

Echelon expects to hold at least 6.1 per cent of Horizon's shares after completion of the Cue shareholding divestment.

Echelon is well positioned heading into the next period, with improved pricing, contracted gas sales and a defined development programme, alongside the planned divestment of its Cue shareholding, supporting continued execution and value creation.