US Energy Secretary Orders Oil Company to Restore California Operations

Directive aims to address supply disruption risks, but California vows legal action

Mar. 15, 2026 at 12:30am

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U.S. Energy Secretary Chris Wright has directed a Texas-based oil and gas company, Sable Offshore Corp., to restore operations in waters off southern California that were damaged by a 2015 oil spill. The order invokes the Defense Production Act and aims to address supply disruption risks, but California Governor Gavin Newsom has condemned the move, saying the state will not allow the Trump administration to "sacrifice our coastal communities, our environment, and our $51 billion coastal economy."

Why it matters

This directive highlights the ongoing tensions between the federal government and California over energy policy and environmental protection. The restoration of Sable's operations could boost domestic oil production, but California is vowing to fight the order in court, arguing it defies multiple court orders and the state's regulatory authority over the pipelines.

The details

The Sable Offshore Corp. Santa Ynez unit includes three rigs in federal waters, offshore and onshore pipelines, and the Las Flores Canyon Processing Facility. The facility can produce about 50,000 barrels of oil per day and would replace nearly 1.5 million barrels of foreign crude each month, according to officials. The Trump administration says the order will "strengthen America's oil supply and restore a pipeline system vital to our national security and defense."

  • On the first day of his second term, President Donald Trump signed an executive order to reverse former President Joe Biden's ban on future offshore oil drilling on the East and West coasts.
  • In January, California sued the federal government for approving Houston-based Sable's plans to restart pipelines along the coast.

The players

Chris Wright

U.S. Energy Secretary who directed Sable Offshore Corp. to restore operations off the California coast.

Sable Offshore Corp.

A Texas-based oil and gas company that operates the Santa Ynez unit and pipeline off Santa Barbara, California.

Gavin Newsom

Governor of California, who condemned the federal government's move to restart the pipeline, saying the state will not allow it to "sacrifice our coastal communities, our environment, and our $51 billion coastal economy."

Rob Bonta

California's Democratic state Attorney General, who said the federal government "has no right to usurp California's regulatory authority" over the pipelines.

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What they’re saying

“The Trump Administration remains committed to putting all Americans and their energy security first. 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.”

— Chris Wright, U.S. Energy Secretary

“This is an attempt to illegally restart a pipeline whose operators are facing criminal charges and prohibited by multiple court orders from restarting. California will not stand by while the Trump administration attempts to sacrifice our coastal communities, our environment, and our $51 billion coastal economy. The Trump administration and Sable are defying multiple court orders, and we will see them back in court.”

— Gavin Newsom, Governor of California

What’s next

California has vowed to take the federal government and Sable Offshore Corp. back to court over the order to restart the pipeline operations, arguing it defies multiple court orders and the state's regulatory authority.

The takeaway

This directive highlights the ongoing clash between the federal government's energy policies and California's environmental protection efforts. The restoration of Sable's operations could boost domestic oil production, but it comes at the cost of potentially damaging California's coastal communities and economy, setting the stage for another legal battle between the state and the Trump administration.