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Gold Reserve Announces Objections to CITGO Bid Recommendation
Gold Reserve Ltd. (TSX.V: GRZ) (OTCQX: GDRZF) (“ Gold Reserve ” or the “...
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[{"type":"text","content":"Gold Reserve Announces Objections to CITGO Bid Recommendation\n\n\n .bwalignc { text-align: center; list-style-position: inside }\n \n\n\n\n Gold Reserve Ltd. (TSX.V: GRZ) (OTCQX: GDRZF) (“\n \n Gold Reserve\n \n ” or the “\n \n Company\n \n ”) announces that on March 31, 2025, multiple objections were filed in the U.S. District Court for the District of Delaware (the “\n \n Court\n \n ”) to the recommendation made by the Special Master to select the $3.699 billion bid made by Red Tree Investments, an indirect subsidiary of Contrarian Capital Management, LLC (collectively, “\n \n Contrarian\n \n ”), instead of the $7.1 billion bid by Dalinar Energy.\n \n\n Objections were filed by numerous parties, including the following: (1) Gold Reserve; (2) Rusoro Mining Ltd.; (3) Koch Minerals Sarl and Koch Nitrogen International Sarl; (4) Siemens Energy Inc.; and (5) CITGO Petroleum Corp and PDV Holding, Inc. In addition, a response and reservation of rights was filed by U.S. Bank National Association and GLAS Americas LLC, which are the Trustee and Collateral Agent for the PDVSA 2020 Bonds, respectively. Copies of these objections and responses can be found at\n \n\n https://goldreserve.bm/objections\n \n\n .\n \n\n “The objections all point to the substantial gap in value between the Contrarian bid of $3.7 billion and the $7.1 billion bid by Dalinar Energy, that maximizes value to the claimants in the Delaware Court and not the unresolved claims of 2020 bondholders in the Southern District of New York,” said Paul Rivett, Vice-Chair, Gold Reserve.\n \n\n The objections were based, in part, on documents such as the Contrarian Transaction Support Agreement that were critical to the Contrarian bid which the Court ordered disclosed and unredacted in response to the emergency request filed by the Company on March 22, 2025.\n \n\n Responses to the objections are due on April 3, 2025, and replies are due on April 4, 2025.\n \n\n CITGO Petroleum Corp and PDV Holding, Inc. also filed a motion to stay the Delaware Court proceedings pending a ruling in proceedings pending in the U.S. District Court for the Southern District of New York concerning the validity of the PDVSA 2020 Bonds.\n \n\n A complete description of the Delaware sale proceedings can be found on the Public Access t...