Sable Offshore Corp. today (October 16) provided an update on its litigation with the California Coastal Commission. The court’s tentative ruling was released on October 14, and a hearing is scheduled for October 15. The company stated that the ruling would have no impact on the resumption of petroleum transportation through the Las Flores Pipeline System.
The lawsuit seeks damages in excess of $347 million, alleging that the Coastal Commission’s cease‑and‑desist orders delayed Sable’s anomaly repair program and hydrotesting, which was completed in May 2025. Sable intends to appeal the ruling to the California Court of Appeal and pursue declaratory relief and inverse condemnation claims.
Strategically, Sable maintains that the tentative ruling does not affect its plan to resume petroleum transportation and to pursue an offshore storage and treating vessel (OS&T) strategy to refinance its Senior Secured Term Loan. The company also plans to continue its anomaly repair program and secure the necessary regulatory approvals for the Las Flores Pipeline System.
The update indicates that the regulatory action is unlikely to delay the restart, but the lawsuit and damages claim remain unresolved. Sable remains focused on maintaining momentum toward production restart and debt refinancing, which are critical to its financial outlook.
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