Gold Reserve Ltd, the Bermudian-based company vying for control of Venezuelan-owned Citgo through its American subsidiary, has cleared a major regulatory hurdle, but is now challenging a rival bid in court.

The company announced that the United States Federal Trade Commission has granted early approval for its planned acquisition of PDVH shares through Dalinar Energy Corp, its acquisition vehicle. The FTC’s green light ends the usual waiting period under antitrust laws, allowing the deal to move forward without further competition review.

“This early termination means that the FTC has determined that Gold Reserve’s proposed acquisition … does not raise antitrust concerns,” the company said in a statement filed with the US District Court for the District of Delaware.

At the same time, Gold Reserve filed a motion to strike a notice issued by the court-appointed Special Master that named Amber Energy’s $5.86 billion rival offer as a “superior proposal”.

The company’s motion argues that Amber’s bid violates court-mandated bidding procedures and undervalues the deal by nearly $1.5 billion compared with Dalinar Energy’s $7.38 billion offer. “The Special Master’s determination … threatens to short-change the Attached Judgment Creditors,” Gold Reserve wrote.

The motion further claims that Gold Reserve committed significant financial resources based on expectations that the bidding rules, including a required $80 million overbid threshold, would be enforced.

A hearing on the dispute is scheduled for September 15, with responses to the motion due by September 5.

Separately, the court has begun unsealing transcripts from closed-door conferences held earlier this month, allowing Gold Reserve to object to redactions made by the Special Master.

Meanwhile, Gold Reserve, a Canadian mining company now based in Bermuda, has acknowledged that it continues to burn money on legal battles and Venezuela-related claims.

In a recent filing, the company said it has no revenue-producing operations and remains dependent on collecting funds from Venezuela.

“We believe that we have sufficient working capital to carry on our activities for the next 12 to 24 months,” management wrote, adding that a reassessment by the Canada Revenue Agency “may lead to substantial doubt about the company’s ability to continue as a going concern”.

The legal filings and documents related to all three updates are expected to be posted to the company’s website at goldreserve.bm.