Sable Offshore Seeks More Than $100 Million in Damages From Santa Barbara County Over Permit Delays

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Sable Offshore Corp. is seeking more than $100 million in financial damages from the County of Santa Barbara over alleged permit delays, even as the company continues to fight a legal battle over the restart of the Las Flores pipelines. 

In a statement, Sable accused Santa Barbara County of “unlawfully withholding” the transfer of some permits to it from the previous operator.

The company did not provide further details over the issue.

In addition to seeking damages from the county, the Houston-based oil company is still seeking at least $347 million in damages from the California Coastal Commission. 

Alongside the damages, Sable said it was taking legal action to curb state and county regulatory overreach. 

The company is coordinating with the federal government in legal matters to defend its rights to operate its assets and ensure compliance with federal mandates, including the Defense Production Act.

Sable Seeks Federal Government’s Help

Sable said it was in active discussions with the U.S. government over “potential federal credit support options” alongside its banking partners.  

Last week, a Santa Barbara County Superior Court judge upheld the existing injunction that prohibits the restart of the oil pipelines off the Santa Barbara Coast until Sable secures all the required approvals and permits. 

Sable has already restarted offshore oil operations from the Santa Ynez Pipeline System, initiating oil sales on March 29, 2026. Earlier in March, Sable announced it had started moving oil through the pipelines under a federal directive issued by the U.S. Secretary of Energy. 

To date, the company has produced over 1 million barrels from the Santa Ynez Unit, Jim Flores, Sable’s Chairman and CEO said in the statement.

“We are working tirelessly to provide American oil from American soil to consumers in California and the U.S. military,” Flores said. 

Operational Update

In the latest corporate update, Sable announced that it had resumed oil transportation through Segments 324 and 325 “in compliance with all applicable safety standards through our comprehensive pipeline integrity management program.”

Currently, 40 production wells are online at Platforms Harmony and Heritage that are producing an average of 750 gross barrels of oil per day per well. 

Once all 74 wells on the two platforms are online, Sable expects average production per well to stand at roughly 700 gross barrels per day. 

A third platform, Platform Hondo, is expected to come online this June, with an estimated fully ramped production rate of around 10,000 gross barrels per day, the company noted. 

Sable said it was pleased with its operational performance “during this critical period.” The company expressed pride in generating “new, well-paying” employment opportunities for California and throughout the nation. 

Sable stated that it expects to spend around $180 million from April 2026 through December 2026 on facility upgrades, maintenance capex, and low-cost production optimization operations. 

Consent Decree

The U.S. Department of Justice has moved to terminate or modify the consent decree in the United States District Court, Central District of California, Sable said in its update. 

Although the company is not a party to the litigation, it said it is participating in the briefing related to the decree’s termination or modification, which will be heard on June 1, 2026.

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7 Comments

      • KEVIN – so what? No one is saying we should immediately stop ALL oil use. You and the other MAGAts need to use your brains. Using LESS of something while working towards a cleaner alternative is very doable and is what most people support.

        The all or nothing, black or white binary and absolutist thinking is what is making you all sound so foolish and also preventing you from really understanding most issues in our world.

        Smart people understand that there is a LOT between 0% and 100%.

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