Play-off hopefuls Queen's Park failed to beat Peterhead for the fourth time this season, going down 1-0 at home.
Rory McAllister's 17th strike of the season separated the sides, all but ending the Spiders' title aspirations as they lost more ground to leaders Alloa.
McAllister curled an unstoppable effort from the edge of the penalty area in the 54th minute to give Peterhead their first win in three games.
The forward almost doubled his tally in the 62nd minute, but his 25-yard free-kick was well saved by Queen's Park goalkeeper Neil Parry.
The hosts have now lost twice in a row, following an eight game unbeaten run, and are four points behind second-placed Stranraer.