Pins matching tag:"Defense Production Act"

Sable Offshore resumed shipping crude from Las Flores Canyon to Pentland Station through the Santa Ynez Pipeline System on March 14, 2026, complying with a Defense Production Act order issued by Energy Secretary Chris Wright. The company expects first sales by April 1, 2026 at a gross oil rate of 50,000 Bbls/d, which it says would raise domestic crude supply into the California market by about 17%.

Santa Barbara County Judge Donna Geck refused to lift the injunction blocking Sable Offshore Corp. from restarting its Santa Ynez Unit pipelines, rejecting for the first time the company's claim that a federal Defense Production Act order overrides California law. She set a May 22 hearing on whether Sable, which resumed moving oil in March, should be held in contempt.

The U.S. District Court for the Central District of California denied California's bid to suspend a Defense Production Act order requiring operation of Sable Offshore's Santa Ynez Pipeline, holding the federal order lawfully preempts state efforts to shut it down. The court also shifted pipeline safety oversight under the consent decree from California's Office of the State Fire Marshal to the federal Pipeline and Hazardous Materials Safety Administration.