Citgo Auction Adviser Is Said to Recommend Gold Reserve Bid (1)

A court-appointed adviser is preparing to recommend a consortium led by Gold Reserve Ltd. as the best bidder for Citgo Petroleum Corp.’s parent company, according to people familiar with the matter, with a judge to make the final decision in the coming months.

The recommendation, by Special Master Robert Pincus, is due to become official by July 2 and is then subject to the approval of Judge Leonard Stark, who is presiding over the case in federal court in Delaware. The sale’s proceeds will help compensate creditors of Venezuela whose assets were seized when the government nationalized industries ...