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Posts Tagged ‘Dept. of Justice’

Add the unprecedented events of the last two weeks to the long and troubled history of the Santa Ynez Unit dating back to the Offshore Storage & Treatment facility days. There are no parallels in the history of the US OCS program.

To date in March:

3/3/2026: The Dept. of Justice issues an opinion asserting that, under the Defense Production Act of 1950 (DPA), an order issued by the President or his delegee would preempt California laws currently impeding Sable from resuming production and operating the associated pipeline infrastructure.

3/13/2026: Secretary of Energy Chris Wright issues an order to Sable invoking the DPA to immediately prioritize and allocate pipeline transportation services for hydrocarbons from the SYU through the Santa Ynez Pipeline System (SYPS).

3/14/2026: A letter from California Parks and Recreation demands that Sable remove all four miles of its pipeline from Gaviota State Park.

3/14/2026: Sable resumes the transportation of Santa Ynez Unit oil through the SYPS from Las Flores Canyon (LFC) to Pentland Station. Prior to resuming hydrocarbon transportation from LFC to Sable’s sales point at Pentland Station, Sable had approximately 540,000 barrels of processed crude oil in storage at LFC, representing more than the line fill volume for the SYPS between LFC and Pentland Station.

3/16/2026: Sable resumes oil production at anticipated rate of 50,000 bopd and expects first sales by April 1, 2026. Production ramp-up is anticipated to proceed with full production resumption at Platforms Harmony and Heritage this month and Platform Hondo in June 2026

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Big move by SOC following the issuance of the DOJ opinion. Justified optimism or irrational exuberance?

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The Dept. of Justice (DOJ) has responded (attached) to the ACK for Whales petition (ACK is the FAA abbreviation for Nantucket) to the Supreme Court to review the First Circuit’s ruling on the Vineyard Wind project. (Also see the amicus brief filed by the Aquinnah Wampanoag Tribe of Gay Head).

The question before the Supreme Court:

Excerpt from the DOJ filing:

The petitioners’ “sole argument” is rather compelling to this non-attorney. Given that multiple offshore wind projects are planned for Right whale habitat, how do you fulfill your endangered species responsibilities by only considering the first project (I.e. Vineyard Wind 1)?

(In light of Vineyard Wind’s performance to date, one could also argue that the Right whale is jeopardized by the Vineyard Wind project alone.)

Keep in mind that the Federal govt wanted to block all oil and gas leasing in a huge swath of the Gulf of Mexico because of far more speculative concerns about potential impacts to Rice’s whales.

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