U.S. Secretary of Energy Chris Wright directed Sable Offshore Corp. on Mar. 13 to restore operations at the Santa Ynez Unit and Santa Ynez Pipeline System, citing risks to energy supply caused by California policies that have increased reliance on foreign oil for the region and U.S. military forces.
The directive is intended to address concerns about national security and energy reliability, particularly for West Coast military installations that depend on stable domestic oil supplies. The order was issued under the Defense Production Act and executive authorities delegated through presidential orders.
“The Trump Administration remains committed to putting all Americans and their energy security first,” Wright said. “Unfortunately, some state leaders have not adhered to those same principles, with potentially disastrous consequences not just for their residents, but also our national security. Today’s order will strengthen America’s oil supply and restore a pipeline system vital to our national security and defense, ensuring that West Coast military installations have the reliable energy critical to military readiness.”
Sable’s facility is capable of producing about 50,000 barrels of oil per day, which would increase California’s in-state production by 15 percent and could replace nearly 1.5 million barrels of imported crude each month. According to the U.S. Department of Energy, federal programs continue to support energy efficiency initiatives nationwide, including a $225 million program funded by President Biden’s Bipartisan Infrastructure Law for building code implementation.
California previously supplied almost 40 percent of U.S. oil production but has seen domestic output decline due to state policies targeting traditional energy sources while demand remains high. Currently, more than 60 percent of oil refined in California is imported from overseas, much of it passing through the Strait of Hormuz—a route considered vulnerable from a national security perspective.
Unlike other regions in the country, California is largely disconnected from interstate crude pipelines that transport American oil across states. The new action prioritizes pipeline capacity so offshore-produced crude can move efficiently through the Las Flores Pipeline System into interstate networks, aiming to reduce dependence on foreign sources exposed to geopolitical risks.
Sable Offshore employs over 100 workers along with approximately 400 contractors in Santa Barbara County; restoring operations is expected to create hundreds more jobs and generate significant local economic activity.
