04:17 PM EDT, 08/13/2025 (MT Newswires) -- Gold Reserve ( GDRZF ) on Wednesday provided an update on its Delinar Energy unit's bid to acquire the assets of CITGO Petroleum in the United States, calling competing offer that came forward "improper".

The company said Red Tree Investments filed a US$5.859 billion offer with the U.S. District Court for the District of Delaware, under Delinar's US$7.382 billion. Delinar bid has been recommended by the Special Master overseeing the sale and the court is expected to begin hearings on the sale on Aug.18.

Gold Royalty said "Red Tree Investments submitted a letter to the Court in which, among other things, it disclosed the existence of a competing bid that it said was submitted by Amber Energy "last weekend". The Company has not been provided a copy of this bid. The Red Tree letter indicates that the purchase price for this bid is $5.859 billion and also implies that $2.587 billion of claims against PDVSA by the 2020 bondholders would be settled".

"Red Tree Investments submitted a letter to the Court in which, among other things, it disclosed the existence of a competing bid that it said was submitted by Amber Energy "last weekend". The Company has not been provided a copy of this bid. The Red Tree letter indicates that the purchase price for this bid is $5.859 billion and also implies that $2.587 billion of claims against PDVSA by the 2020 bondholders would be settled," it noted.

It also noted the second offer was lower than its own, violating " the requirement that any unsolicited competing bid must include an overbid minimum above the purchase price of the Company's Final Recommended Bid".

The company's shares closed down $0.27 to $5.25 on the TSX Venture Exchange.