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Texas Oil Firm Battles California Over Offshore Platforms
1 Dec, 2025
Summary
- Sable Offshore Corp. seeks to restart three oil platforms in federal waters.
- California agencies are opposing the project with numerous lawsuits.
- Sable proposes an alternative shipping plan to bypass state regulations.
A Texas oil firm, Sable Offshore Corp., is engaged in a significant legal dispute with California over its efforts to resume oil production from three offshore platforms in federal waters near Santa Barbara. The company acquired these platforms in 2021, which were previously shut down in 2015 due to an oil spill caused by a corroded pipeline.
California's attorney general and various agencies have filed numerous lawsuits against Sable, citing environmental damage concerns and violations of safety regulations. In response to this opposition and potential financial strain, Sable is pursuing an alternative plan. This strategy involves shipping crude oil via shuttle tankers, operating exclusively within federal waters to circumvent California's regulatory oversight.
Despite facing a rapidly declining stock price and allegations of insider trading, Sable insists that its project, particularly if utilizing the proposed onshore pipeline, would offer economic benefits and stabilize local refineries. However, the company's ability to secure federal approvals for its proposed operations remains uncertain amidst the ongoing legal challenges from California.
