Trump administration invokes Defense Production Act to restart California offshore oil operations

The Trump administration has invoked the Defense Production Act to compel an oil company to restart previously shut-down offshore operations in California, arguing the step is needed to guard against potential supply disruptions and limit dependence on imported crude.

Energy Secretary Chris Wright on Friday directed Sable Offshore Corp., a Houston-based oil and gas company, to restore activity at the Santa Ynez Unit and the Santa Ynez Pipeline System located off the coast of Santa Barbara, according to the U.S. Department of Energy.

The directive gives priority to bringing oil production and pipeline capacity back online so crude can move through the Las Flores Pipeline System to Pentland Station, which is a crucial inland hub that routes offshore oil to refineries and into interstate pipeline networks.