Trump Administration Issues Emergency Order to Restart Santa Ynez Pipeline
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Mar 17 2026
0mins
Source: Fool
- Emergency Restart Order: The Trump administration issued an emergency order directing Sable Offshore to restart the Santa Ynez Unit and related pipeline, which is expected to enable more U.S. oil to flow into California refineries, thereby reducing reliance on foreign imports and alleviating soaring global oil prices due to the war with Iran.
- Historical Context: The Santa Ynez Pipeline System has been shut down since the 2015 Refugio oil spill, which resulted in 142,000 gallons of oil leaking and contaminating a biologically diverse area along the U.S. West Coast; ExxonMobil acquired the pipeline system in 2022 and sold it to Sable Offshore for $643 million later that year.
- Production Plans: Sable Offshore has resumed oil flows through the pipeline and expects to start selling 50,000 barrels per day by April 1, with the pipeline having a capacity of 200,000 barrels per day; the company currently has about 540,000 barrels in storage, sufficient to support the ramp-up of production.
- Legal Challenges: Despite the emergency restart, Sable Offshore faces opposition from California's Department of Parks and Recreation, which has demanded the removal of a section of the pipeline crossing Gaviota State Park, leading Sable to sue the state, creating a risk of potential shutdown again.
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Analyst Views on SOC
Wall Street analysts forecast SOC stock price to rise
4 Analyst Rating
4 Buy
0 Hold
0 Sell
Strong Buy
Current: 18.450
Low
19.00
Averages
22.50
High
29.00
Current: 18.450
Low
19.00
Averages
22.50
High
29.00
About SOC
Sable Offshore Corp. is an independent oil and gas company focused on developing the Santa Ynez Unit (SYU) in federal waters offshore California. SYU consists of three offshore platforms and a wholly owned onshore processing facility located along the Gaviota Coast at Las Flores Canyon in Santa Barbara County, California. The offshore position comprises 16 federal leases across approximately 76,000 acres. The Company’s Hondo platform and the Harmony platform develop the Hondo Field, and the Heritage platform develops the Pescado and Sacate Fields. The platforms are located five to nine miles offshore of Santa Barbara County in shallow water depths of 900 to 1,200 feet and service 112 wells, comprised of 90 producers, 12 injectors and 10 idle with an additional 102 identified, undrilled opportunities. The onshore facilities occupy approximately 35 acres and are comprised of an oil treating plant, a biologic/physical water treating plant, POPCO gas plant, and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Sable Offshore Initiates Oil Sales from California Pipeline
- Oil Sales Initiation: Sable Offshore (SOC) has commenced oil sales from California's Santa Ynez pipeline system, achieving a production rate exceeding 50,000 barrels per day, which is expected to significantly boost the company's revenue and improve cash flow.
- Production Capacity Increase: The Harmond platform at Santa Ynez is producing approximately 22,000 gross barrels per day, with plans to restart the Heritage platform today, anticipating a total production rate exceeding 32,000 gross barrels per day, thereby enhancing the company's production capabilities.
- Strong Market Demand: Bloomberg reported that Chevron will purchase 20,000 barrels per day of the first shipments from SOC's platforms, indicating robust market demand for SOC's products, which will help elevate the company's market position.
- Policy Support for Restart: Energy Secretary Chris Wright acted on an executive order from President Trump to allow SOC to restart the Santa Ynez pipeline system, providing policy support that will secure the company's future production and sales.
See More
Energy Stocks Decline Late Monday Afternoon
- Energy Sector Weakness: The NYSE Energy Sector Index fell by 0.6% late Monday afternoon, indicating a decline in market confidence towards energy stocks, likely influenced by concerns over global economic slowdown and uncertain demand outlook.
- Market Sentiment Deterioration: The waning interest in energy stocks has led to a general decline in market sentiment, which could negatively impact the stock performance of related companies, especially ahead of upcoming economic data and earnings reports.
- Uncertain Industry Outlook: As global economic uncertainties increase, fluctuations in energy demand may adversely affect the profitability of energy companies, prompting investors to reassess their investment strategies in this sector.
- Shift in Investor Focus: Against the backdrop of declining energy stocks, investors may redirect their attention to other sectors, particularly those that tend to perform relatively well during economic slowdowns, thereby influencing capital flows.
See More
Sable Offshore Corp. Begins Oil Sales from Santa Ynez Pipeline System
- Oil Sales Launch: Sable Offshore Corp. announced the commencement of oil sales from its Santa Ynez Pipeline System in California, resulting in a 3% rise in pre-market trading, reflecting positive market sentiment towards its recovery.
- Production Rate Increase: The company is currently producing approximately 22,000 barrels per day at the Harmony platform, while the Heritage platform is expected to restart after final inspections with an output exceeding 30,000 barrels per day, significantly enhancing overall capacity.
- Government Support for Restart: The restart was backed by the U.S. government under the Defense Production Act to address supply concerns amid rising fuel prices, indicating strong policy support for the energy sector.
- Future Expansion Plans: Sable plans to bring the Hondo platform online by the end of the second quarter, further boosting its production capacity and expected to generate additional revenue streams for the company.
See More
Sable Offshore Launches Oil Sales from Controversial California Pipeline – SOC Stock Rises 3% in Pre-Market Trading
Stock Price Increase: Shares of Sable Offshore Corp. (SOC) rose by 3% in pre-market trading after the company announced it had begun oil sales from its Santa Ynez Pipeline System in California.
Oil Production Rates: The company is currently transporting oil at rates exceeding 50,000 barrels per day, with production already underway at Platform Harmony generating about 22,000 barrels per day.
Upcoming Restart Plans: Platform Heritage is set to restart operations following final inspections, with expected output above 30,000 barrels per day, and Platform Hondo is planned to come online by the end of the second quarter.
Government Support: The restart of operations is backed by the U.S. government under the Defense Production Act to address supply concerns amid rising fuel prices.
See More
Sable Offshore Shares Surge 8% as Jefferies Raises Price Target to $30
- Price Target Upgrade: Jefferies maintained a ‘buy’ rating for Sable Offshore while raising its price target from $28 to $30, indicating increased market confidence in the company's ability to achieve first oil sales by April 1, which is expected to further boost the stock price.
- Oil Sales Plans: Following U.S. Energy Secretary Chris Wright's directive, Sable Offshore plans to commence oil sales at a rate of 50,000 barrels per day by April 1, which is anticipated to significantly enhance the company's revenue stream and strengthen its market position.
- Legal Litigation Risks: California has filed a lawsuit against the Energy Department, alleging that Wright's restart order violates federal law and the Constitution; if the court supports this lawsuit, it could have a substantial impact on Sable Offshore's operations, increasing legal and compliance risks.
- Market Sentiment Shift: Despite bearish retail sentiment on Stocktwits, Sable Offshore's stock has surged 104.55% year-to-date, reflecting investor confidence in the company's future prospects, particularly with the upcoming oil sales.
See More
Sable Offshore Shares Surge – Who Might Acquire Its California Refinery Oil?
Trump's Executive Order: Earlier this month, Trump signed an executive order allowing Sable Offshore to restart a pipeline that had been shut down for a decade since the 2015 Refugio Beach oil spill.
Sable Offshore's Oil Sales: Roth Capital maintains a 'Buy' rating on Sable Offshore, predicting the company will achieve its first oil sales by April 1, with an expected output of around 50,000 barrels per day.
Chevron's Involvement: Chevron is reportedly planning to purchase some of the initial shipments of crude oil from Sable Offshore, with intentions to run Sable's crude at its El Segundo facility starting in April.
Market Reaction: Sable Offshore's shares surged nearly 7% following reports of a potential buyer, while retail sentiment around the stock has been bearish amid low message volume, despite a 58% increase in shares so far in 2026.
See More
Sable Offshore Initiates Oil Sales from California Pipeline
- Oil Sales Initiation: Sable Offshore (SOC) has commenced oil sales from California's Santa Ynez pipeline system, achieving a production rate exceeding 50,000 barrels per day, which is expected to significantly boost the company's revenue and improve cash flow.
- Production Capacity Increase: The Harmond platform at Santa Ynez is producing approximately 22,000 gross barrels per day, with plans to restart the Heritage platform today, anticipating a total production rate exceeding 32,000 gross barrels per day, thereby enhancing the company's production capabilities.
- Strong Market Demand: Bloomberg reported that Chevron will purchase 20,000 barrels per day of the first shipments from SOC's platforms, indicating robust market demand for SOC's products, which will help elevate the company's market position.
- Policy Support for Restart: Energy Secretary Chris Wright acted on an executive order from President Trump to allow SOC to restart the Santa Ynez pipeline system, providing policy support that will secure the company's future production and sales.
See More
Energy Stocks Decline Late Monday Afternoon
- Energy Sector Weakness: The NYSE Energy Sector Index fell by 0.6% late Monday afternoon, indicating a decline in market confidence towards energy stocks, likely influenced by concerns over global economic slowdown and uncertain demand outlook.
- Market Sentiment Deterioration: The waning interest in energy stocks has led to a general decline in market sentiment, which could negatively impact the stock performance of related companies, especially ahead of upcoming economic data and earnings reports.
- Uncertain Industry Outlook: As global economic uncertainties increase, fluctuations in energy demand may adversely affect the profitability of energy companies, prompting investors to reassess their investment strategies in this sector.
- Shift in Investor Focus: Against the backdrop of declining energy stocks, investors may redirect their attention to other sectors, particularly those that tend to perform relatively well during economic slowdowns, thereby influencing capital flows.
See More
Sable Offshore Corp. Begins Oil Sales from Santa Ynez Pipeline System
- Oil Sales Launch: Sable Offshore Corp. announced the commencement of oil sales from its Santa Ynez Pipeline System in California, resulting in a 3% rise in pre-market trading, reflecting positive market sentiment towards its recovery.
- Production Rate Increase: The company is currently producing approximately 22,000 barrels per day at the Harmony platform, while the Heritage platform is expected to restart after final inspections with an output exceeding 30,000 barrels per day, significantly enhancing overall capacity.
- Government Support for Restart: The restart was backed by the U.S. government under the Defense Production Act to address supply concerns amid rising fuel prices, indicating strong policy support for the energy sector.
- Future Expansion Plans: Sable plans to bring the Hondo platform online by the end of the second quarter, further boosting its production capacity and expected to generate additional revenue streams for the company.
See More
Sable Offshore Launches Oil Sales from Controversial California Pipeline – SOC Stock Rises 3% in Pre-Market Trading
Stock Price Increase: Shares of Sable Offshore Corp. (SOC) rose by 3% in pre-market trading after the company announced it had begun oil sales from its Santa Ynez Pipeline System in California.
Oil Production Rates: The company is currently transporting oil at rates exceeding 50,000 barrels per day, with production already underway at Platform Harmony generating about 22,000 barrels per day.
Upcoming Restart Plans: Platform Heritage is set to restart operations following final inspections, with expected output above 30,000 barrels per day, and Platform Hondo is planned to come online by the end of the second quarter.
Government Support: The restart of operations is backed by the U.S. government under the Defense Production Act to address supply concerns amid rising fuel prices.
See More
Sable Offshore Shares Surge 8% as Jefferies Raises Price Target to $30
- Price Target Upgrade: Jefferies maintained a ‘buy’ rating for Sable Offshore while raising its price target from $28 to $30, indicating increased market confidence in the company's ability to achieve first oil sales by April 1, which is expected to further boost the stock price.
- Oil Sales Plans: Following U.S. Energy Secretary Chris Wright's directive, Sable Offshore plans to commence oil sales at a rate of 50,000 barrels per day by April 1, which is anticipated to significantly enhance the company's revenue stream and strengthen its market position.
- Legal Litigation Risks: California has filed a lawsuit against the Energy Department, alleging that Wright's restart order violates federal law and the Constitution; if the court supports this lawsuit, it could have a substantial impact on Sable Offshore's operations, increasing legal and compliance risks.
- Market Sentiment Shift: Despite bearish retail sentiment on Stocktwits, Sable Offshore's stock has surged 104.55% year-to-date, reflecting investor confidence in the company's future prospects, particularly with the upcoming oil sales.
See More
Sable Offshore Shares Surge – Who Might Acquire Its California Refinery Oil?
Trump's Executive Order: Earlier this month, Trump signed an executive order allowing Sable Offshore to restart a pipeline that had been shut down for a decade since the 2015 Refugio Beach oil spill.
Sable Offshore's Oil Sales: Roth Capital maintains a 'Buy' rating on Sable Offshore, predicting the company will achieve its first oil sales by April 1, with an expected output of around 50,000 barrels per day.
Chevron's Involvement: Chevron is reportedly planning to purchase some of the initial shipments of crude oil from Sable Offshore, with intentions to run Sable's crude at its El Segundo facility starting in April.
Market Reaction: Sable Offshore's shares surged nearly 7% following reports of a potential buyer, while retail sentiment around the stock has been bearish amid low message volume, despite a 58% increase in shares so far in 2026.
See More
