ECH.ASX: COMPLETION OF CUE DIVESTMENT

COMPLETION OF CUE DIVESTMENT

Stock	ECH.ASX (ECH.ASX)
Release Time	3 Jul 2026, 12:16 p.m.
Price Sensitive	Yes

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ECH.ASX Completes Cue Energy Divestment

Key Points

Echelon Resources exits Cue Energy fully
Received cash and scrip consideration
Became a substantial shareholder in Horizon Oil
Cash proceeds used to repay debt

Full Summary

Echelon Resources Limited (ASX: ECH) has finalized the divestment of its shareholding in Cue Energy Resources Limited (ASX: CUE) to Horizon Oil Limited (ASX: HZN). This transaction, which follows the settlement of a pre-bid agreement and Horizon's takeover offer, marks the full exit of Echelon from Cue. As a result, Echelon has received the cash and scrip consideration under the offer, fully exited its Cue shareholding, and acquired a significant stake in Horizon, approximately 6.64% of its issued share capital. The transaction has provided Echelon with substantial value from its long-term investment in Cue and maintained its exposure to the combined business through its Horizon shareholding. The cash proceeds from the transaction have been primarily applied to repay the Company's debt facility, thereby strengthening Echelon's balance sheet and enhancing financial flexibility.

Outlook

Echelon looks forward to supporting Horizon as a significant shareholder.