Gold Reserve Ltd, which is listed on the Bermuda Stock Exchange, says it will fight a United States court decision that recommended a rival bidder over its $7.9 billion offer for the parent of Citgo Petroleum.

The Canadian company, which trades locally as GRZ.BH, confirmed that its Delaware subsidiary Dalinar Energy Corp was not chosen by the Special Master in the Delaware court-supervised auction of shares in PDV Holding, Inc, Citgo’s indirect parent. Instead, Amber Energy Inc was recommended with a net purchase price of about $5.9 billion, almost $2 billion less than Gold Reserve’s revised offer.

Gold Reserve argued that the total economic value of its proposal exceeded $11.2 billion, once concessions to creditors and additional financing support were included. The company said its bid was fully financed by a consortium of three major financial institutions, with both debt and equity commitments in place.

“The Company believes it has strong grounds to object to the Updated Final Recommendation, and it intends to do so vigorously,” Gold Reserve said in a statement. Objections must be filed by Saturday, ahead of a sale hearing set for September 15.

Gold Reserve had submitted an improved bid last week, raising its net purchase price by $520 million and offering an additional $400 million in cash and securities to junior creditors. It also agreed to assume the risks associated with $2.9 billion in 2020 bondholder claims.

Despite being passed over, the company said its bid “remains fully financed” and offers greater certainty of closing than Amber Energy’s.

If successful in its objection, Gold Reserve could re-enter the contest for one of the most high-profile energy assets in North America.

If not successful, the company may face an existential crisis. In a June filing, it announced that it has no revenue-producing operations and remains dependent on collecting funds from Venezuela under a settlement agreement or arbitration award.

“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”.