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Trump administration orders restart of California offshore oil operations

Energy Secretary Chris Wright invoked the Defense Production Act to restart a pipeline system producing 50,000 barrels daily, increasing California's oil output by 15%.

  • On Friday, Energy Secretary Chris Wright ordered Houston-based Sable Offshore Corp. to restart the Santa Ynez Unit and pipeline under the Defense Production Act, citing national security and energy supply needs.
  • President Donald Trump invoked the 1950 Defense Production Act to expand domestic energy supplies, arguing that foreign crude reliance amid the conflict with Iran threatens national security and West Coast military readiness.
  • The Santa Ynez system has been dormant since the 2015 Refugio spill released more than 100,000 gallons of crude oil, triggering court orders and regulatory restrictions that California officials argue the federal directive now overrides.
  • California Governor Gavin Newsom called the order an "attempt to illegally restart a pipeline whose operators are facing criminal charges" and pledged to sue, vowing to protect the state's $51 billion coastal economy.
  • Analysts expect the legal battle to reach the Supreme Court, while critics argue the project contributes just 0.05 percent to global crude output, raising questions about using the statute to override state environmental authority.
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Santa Maria TimesSanta Maria Times
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WASHINGTON (AP) — U.S. Secretary of Energy Chris Wright ordered a Texas oil and gas company to re-establish operations in waters off Southern California that were affected by an oil spill...

·Calhoun, United States
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Reuters broke the news in United Kingdom on Friday, March 13, 2026.
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