The San Inez Pipeline in California begins oil sales

Sable Offshore (Sable Offshore) said Monday that after resuming crude oil shipments earlier this month, it has started selling oil to Chevron through its Santa Ynez pipeline system offshore near California.

The pipeline system is laid along the coast of Gaviota, California, and has remained shut since an oil spill in 2015. That spill contaminated miles of shoreline, leading to wildlife deaths and damaging the local fishing industry.

Cyber’s efforts to restart the system since then have sparked a long-running dispute with California regulators and environmental groups, who have challenged the legality of the restart by filing lawsuits.

The restart was carried out after the Trump administration issued an order under the Defense Production Act, which requires the resumption of drilling operations near Southern California to strengthen domestic energy supply.

Sable said the pipeline has completed refilling its oil shipments from the Las Flores Canyon to the Point Loma station at a rate of more than 50,000 barrels per day.

The Houston-based company said it plans to resume production from the conventional platforms in the Santa Ynez operating area later on Monday night, with expected output of more than 30,000 gross barrels per day.

The company also expects that another offshore platform in the operating area—the Hondos platform—will be brought online before the end of the second quarter.

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Editor: Zhang Jun SF065