Horizon Oil acquires 57% Cue Energy Resources stake

• Horizon Oil completed its off-market takeover of Cue Energy Resources to secure a controlling interest.
• The announcement left the company share price steady during subsequent market trading.
• The acquisition aims to expand the hydrocarbon production and asset portfolio of the business.

Horizon Oil (ASX:HZN) completed its off-market takeover of Cue Energy Resources (ASX:CUE) to acquire a 57.03% controlling interest.

The company completed a pre-bid agreement in June before finalising the transaction on July 2.

Horizon paid approximately $2.1 million to secure the remaining interest.

The transaction delivers an effective 15% increase in daily production to approximately 7,300 barrels of oil equivalent.

Following the announcement, the Horizon share price was unchanged at $0.20.

Cue held an unaudited cash balance of approximately $16 million at May 30 with zero debt.

The transaction increases Horizon net reserves by more than 20% to 15.4 million barrels of oil equivalent.