Special Master Recommends $2 Billion Lower Bid from Amber Energy in CITGO Sale

08/30/2025 – 12:49 AM

PEMBROKE, Bermuda – Gold Reserve Ltd. (TSX.V: GRZ) (BSX: GRZ.BH) (OTCQX: GDRZF) announced that its Delaware-based subsidiary, Dalinar Energy Corporation, was not selected by the Special Master as the preferred bidder in the auction for PDV Holding, Inc. (PDVH), the parent company of CITGO Petroleum Corp. The auction is being overseen by the U.S. District Court for the District of Delaware.

Amber Energy Inc. emerged as the frontrunner, with a net purchase price of approximately $5.9 billion. This figure is roughly $2 billion lower than Dalinar Energy’s revised bid of $7.9 billion.

Gold Reserve isn’t backing down. The company believes it has compelling grounds to challenge the Updated Final Recommendation, planning a vigorous objection. The deadline for objections is September 6, 2025, with the Sale Hearing slated to commence on September 15, 2025. The legal battle could add another layer of complexity to the already convoluted CITGO saga.

Dalinar Energy, in a last-ditch effort on August 28, 2025, submitted a revised bid that they claim offered a total economic value exceeding $11.2 billion. This comprised:

• A net purchase price of $7.9 billion, a $520 million increase from their previous offer.
• A potential $400 million increase through cash and securities offered to junior creditors.
• Enhanced financial backing designed to address the $2.9 billion in claims from 2020 bondholders, with Dalinar Energy assuming the associated risks.

Beyond the numbers, Gold Reserve touted non-economic improvements aimed at resolving objections and solidifying the certainty of closing the deal.

The company maintains that its bid is fully financed, boasting the support of a lending consortium that includes three prominent financial institutions. The financing package includes committed debt, post-closing asset-based lending, and equity financing.

The battle for CITGO highlights the high stakes and the complicated legal and financial maneuvering involved in international asset disputes.

Disclaimer: This content includes forward-looking statements that are subject to risks and uncertainties. Actual results may differ materially. Refer to Gold Reserve’s filings on SEDAR+ for a comprehensive discussion of risk factors.