Cue Resources Receives Early Transfer of Ownership

  Cue Resources Ltd. (TSX-V: CUE) is pleased to
announce that shares representing the remaining 70% ownership of Transandes
Paraguay S.A. have been received.  Transandes is now a wholly-owned
subsidiary of Cue.  Transandes holds the concessions for the Yuty uranium
project, recently fully granted by the government of Paraguay as announced
September 10, 2008.

The Yuty uranium project includes the San Antonio deposit, with a preliminary Indicated Resource of 5.1 million lbs U3O8 and Inferred Resource of 2.2 million lbs U3O8, in south-eastern Paraguay. This resource estimate was reported in the Technical Report completed by Scott Wilson Roscoe Postle Associates Inc (Scott Wilson RPA), of Toronto, Ontario and dated May 15, 2008. The resource estimate and classification of the Mineral Resources conforms to the reporting requirements of National Instrument 43-101, and has been filed on SEDAR.

Only a small area of the 231,000 hectare concession covering the Yuty project area has been properly explored, with 450 drill holes completed on the property since 1976 and many high-potential exploration targets remain to be tested across the property. The preliminary resource estimate was prepared by the Company for internal guidance only. The full exploration of the concessions remains a priority for Cue.

Chris M. Healey, P.Geo, COO for Cue, is the Qualified Person responsible for the technical content of this release.

CUE RESOUCES LTD.

"Chris Healey"

Chris Healey
Chief Operating Officer

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of this News Release. Actual results could differ materially from those described in the news release as a result of numerous factors, some of which are outside the control of Cue Resources.

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CUE RESOURCES LTD. 2400-1111 West Georgia Street Vancouver, BC, V6E 4M3 Tel: [phone] Fax: [phone]