Federal Court rejects Sable’s demand for permits to restart oil & gas operation on the Central Coast

SANTA BARBARA, CA, September 15, 2025 — In a ruling issued Friday evening, a federal judge denied Sable Offshore Corp.’s request for an immediate transfer of permits to restart old oil and gas facilities on California’s Central Coast—including the defective pipeline responsible for one of the worst oil spill disasters in state history.

Judge Dolly M. Gee also ordered the Santa Barbara County Board of Supervisors to revisit the transfer at a public hearing within 60 days.

The Texas-based oil company, Sable, is attempting to take over permits to operate the Santa Ynez Unit (SYU), a massive fossil fuel operation formerly owned by ExxonMobil that includes three offshore drilling platforms, onshore processing plants, and the same pipeline that burst in 2015, causing the Plains oil spill at Refugio State Beach.

However, a tie vote by the Board of Supervisors in February resulted in no action, meaning the County did not transfer the permits. Sable, Exxon, and their affiliates sued to force the transfer, and in July, the Court granted a request by the Environmental Defense Center (EDC) and its clients to intervene in the case.

Judge Gee’s ruling states that if the Board of Supervisors again deadlocks on the transfer, it must hold another hearing on the matter within 45 days.

“We are pleased with Judge Gee’s ruling rejecting Sable’s request for an immediate transfer of permits,” said EDC Chief Counsel Linda Krop. “Under Santa Barbara County law, the Board of Supervisors must ensure that any company taking over oil and gas permits is able to operate responsibly and safely, and a tie vote doesn’t cut it. We look forward to having another opportunity for the public to weigh in on this project and highlight Sable’s operational history, which includes digging up and destroying sensitive habitats along the pipeline route and ignoring multiple cease-and-desist orders from the California Coastal Commission, leading to a record $18 million fine against the company.”

The decision on Friday was another loss for Sable last week after a different federal judge ruled against the company’s motion to dismiss a separate lawsuit by the Center for Biological Diversity.

Also last week, Climate Rights International (CRI) published a briefing paper calling on state leaders to conduct a full environmental review of the restart project, including opportunities for public input and formal hearings. So far, the project has moved forward with zero environmental review and no opportunity for public input at the state level.

And on Saturday, the state legislature approved a bill that clarifies the requirement for a new Coastal Development Permit (CDP) for the repair, reactivation, or maintenance of idled facilities like the Santa Ynez Unit, which has been shut down since the 2015 spill. If signed by Governor Newsom, the law will take effect January 1.

Earlier this year, Sable rushed to repair dozens of sections of the heavily corroded pipeline despite multiple cease-and-desist orders from the state Coastal Commission and numerous notices of violation from the Coastal Commission and other state agencies.

In April, the Coastal Commission issued a record $18 million fine and a third cease-and-desist order, however the company immediately continued its work on the pipeline until a Superior Court judge issued an injunction halting repairs. According to the Coastal Commission, much of the company’s work destroyed or disrupted sensitive habitats in the Coastal Zone.

EDC represents Get Oil Out! (GOO!), the Santa Barbara County Action Network (SBCAN), the Sierra Club, Santa Barbara Channelkeeper, and EDC in this case. For more information, go to Sable’s Dangerous Oil Project.

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The Environmental Defense Center defends nature and advances environmental justice on California’s Central Coast through advocacy and legal action. Since 1977, EDC has represented more than 140 nonprofit, community-based organizations to protect the Central Coast and the Earth’s climate. EDC is funded through private donations, receiving no government assistance. More at: http://www.EnvironmentalDefenseCenter.org.

https://www.environmentaldefensecenter.org/programs_press_type/parent-room/federal-court-rejects-sable-offshore-corp-s-demand-for-permits-to-restart-oil-gas-operation-on-the-central-coast/