Trump Invokes Defense Production Act to Restart California Offshore Oil
Energy Secretary Chris Wright issued the directive, stating California's policies have created supply vulnerabilities, making the U.S. and its military overly reliant on foreign oil imports.
Tommy Flynn
President Donald Trump invoked the Defense Production Act (DPA) on March 13, 2026, directing Sable Offshore Corp. to resume operations at the Santa Ynez Unit and associated pipeline system off Southern California's coast, citing national security needs amid surging oil prices from the U.S.-Iran conflict.
Energy Secretary Chris Wright issued the directive, stating California's policies have created supply vulnerabilities, making the U.S. and its military overly reliant on foreign oil imports. The move aims to mitigate risks from Iran's threats to the Strait of Hormuz, which have pushed oil prices above $100 per barrel—the highest since 2022.
The Santa Ynez Unit, operated by Sable Offshore (formerly ExxonMobil), includes three offshore platforms—Heritage, Harmony, and Hondo—shut down since a 2015 pipeline spill that released 142,000 gallons of crude oil. Sable has restarted production at one platform but faces state cease-and-desist orders blocking pipeline repairs. The DPA order preempts these state restrictions to expedite resumption.
The DPA, enacted in 1950 during the Korean War, empowers the president to prioritize production for national defense, previously used for COVID-19 supplies and military equipment. This marks its first use for energy production in this context.
California officials, including Gov. Gavin Newsom, criticized the order as an overreach, with Newsom stating it "ignores state laws and endangers our environment." Environmental groups vowed legal challenges, citing risks from the 2015 spill.