Federal Court Protects National Energy Security and Rejects Dangerous State Efforts to Obstruct Sable Offshore Corporation’s Operation of the Santa Ynez Pipeline

In a significant victory for President Trump's efforts to unleash American energy, the U.S. District Court for the Central District of California affirmed the federal government's authority to protect national energy security under the Defense Production Act. The ruling ensures that domestically produced oil can reliably reach California refineries and safeguards the continued operation of critical pipeline infrastructure on the California coast.

"Energy security is national security," said Associate Attorney General Stanley E. Woodward Jr. "And the Department of Justice will continue unleashing American energy to support an affordable and reliable supply of energy necessary for our national and economic security."

"This ruling upholds decisive federal action to protect national security by restarting the flow of 50,000 gallons of oil per day when the stability of America's energy supply is threatened," said Principal Deputy Assistant Attorney General Adam Gustafson of the Justice Department's Energy and Natural Resources Division. "The Department of Justice, together with our parters at the Energy, Interior, and Transportation Departments will not allow California or environmental groups to undercut American energy."

In a comprehensive decision, the U.S. District Court for the Central District of California rejected the State of California's radical attempt to shut down the Santa Ynez Pipeline and dismissed efforts by California and environmental groups to impose state-level barriers designed to obstruct federally mandated operations during a declared national energy emergency. The court's decision ensures that sound federal energy policy - not California's disruptive anti-energy measures - governs operation of this critical infrastructure.

This ruling comes at a time when state and local energy policies on the West Coast continue to destabilize regional supply and threaten broader national energy resilience. The Santa Ynez Pipeline transports more than one million barrels of domestically produced crude oil per month from offshore wells into California - providing a reliable domestic supply to offset foreign imports and reinforcing the Nation's energy independence. Its continued operation is also essential to maintaining stable fuel supplies for more than 32 U.S. military installations across the West Coast, supporting operational readiness and ensuring these facilities can meet critical national defense requirements.

The court confirmed that a Defense Production Act order - issued by Secretary of Energy Chris Wright under delegated authority from the President - lawfully preempts state actions aimed at blocking or delaying Sable Offshore Corporation (Sable)'s operations of the Santa Ynez Pipeline. The court held that the only agency with authority to oversee the safety of the pipeline is the Department of Transportation's Pipeline and Hazardous Materials Safety Administration, and California's efforts to shut down the pipeline amounted to an attempt to override federal authority and undercut essential national energy priorities.

Key components of the court's rulings include:

• Denial of California's motion for a preliminary injunction seeking to suspend the Energy Secretary Wright's Defense Production Act order requiring operation of the pipeline. The court held that California failed to demonstrate any likelihood of success on the merits of its challenge because the Order is lawful and constitutional.
• Recognition of the Defense Production Act order's preemptive force, declaring that federal law bars California's Department of Parks and Recreation from pursuing legal actions - such as trespass claims - that would impede pipeline operations mandated by federal authority.
• Clarification that state courts may not enforce injunctions that conflict with federal directives, as the court addressed efforts by environmental groups to sustain a state-court injunction.
• Modification of the existing federal consent decree to consolidate oversight of pipeline safety and compliance under the Department of Transportation's Pipeline and Hazardous Materials Safety Administration, replacing California's Office of the State Fire Marshal to prevent further state-level interference with federally directed operations.

The decision makes clear that attempts by California and environmental groups to impose new obstacles to critical energy infrastructure - despite clear federal findings of urgent national security needs - cannot override federal law.

The Department of Justice remains committed to enforcing federal law, defending national energy security, and ensuring that vital infrastructure remains free of unlawful state-imposed barriers. This case was litigated by the Energy and Natural Resources Division.