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Dive Brief:

• Amber Energy Inc. has been selected as the acquirer of PDV Holding Inc., owner of Citgo Petroleum Corp., one of the largest fuel companies in the U.S., with a bid of $7.3 billion, according to a Friday filing with the U.S. District Court for the District of Delaware.
• The newly formed energy firm based in Delaware is backed by a group of strategic U.S. energy investors, including global billion-dollar activist fund Elliott Investment Management L.P., according to a Friday announcement from the firm.
• Once the deal closes — which is expected to happen in mid-2025 — Amber plans to “reinvest in the business and potentially pursue strategic investments that enhance the profitability of Citgo,” it said in the announcement.

Dive Insight:

A sale of Citgo had been looming for several years, stemming from U.S. sanctions against PDV’s parent company, Venezuelan oil and gas company Petróleos de Venezuela, S.A. The sale process officially began in October 2023, with the final sale hearing commencing in July.

Amber’s $7.3 billion bid for PDV was accepted by Robert Pincus, the special master appointed by the court to oversee the sale. It still needs to be approved by federal Judge Leonard Stark, who is overseeing Citgo’s case, according to the filing.

Amber’s top leadership includes Gregory Goff, former chairman, president and CEO of oil and gas giant Andeavor, which was acquired by Marathon Petroleum in 2018. He is CEO of the newly formed company.

“Building upon CITGO’s legacy, and with a focus on the future, we will prioritize operational excellence to lay a foundation for stability, strength, and long-term success for the benefit of the Company’s people, customers, and communities,” Goff said in Amber’s announcement.

As of March, Citgo supplies fuel to and has its banner atop the canopies of over 4,300 retail stations across 31 states, all of which are east of Texas. In its announcement on Friday, Amber said it intends to keep the Citgo brand and work with the fuel company’s team members on “strengthening the long-term potential of the business through a focus on operational improvements, strategic growth efforts, and a continued focus on sustainability.”