A view of the coast

NGO calls for more action to mitigate oil spill risk before production restart of pipeline connected to platform trio off California

Environment

Santa Barbara-based nonprofit Environmental Defense Center (EDC) has urged the government to postpone the restart of a pipeline in California that caused an oil spill nine years ago until the state provides access to all relevant documentation, conducts an environmental review, and enables public engagement to allow greater transparency into the plans made by Sable Offshore, a Texas-based oil company, to bring the pipeline back online and transport hydrocarbons produced at three offshore platforms linked to it.

Santa Barbara Channel; Source: Santa Barbara Channelkeeper

EDC and 13 legislators representing coastal communities sent letters to the state fire marshal seeking an environmental review as required by the California Environmental Quality Act (CEQA) before authorizing the plan to restart the former Plains All-American pipeline on the Gaviota Coast.

The pipeline’s rupture in 2015 caused the Refugio oil spill, deemed one of the worst oil spills in recent California history. According to Sable, the operation, including the pipeline, is planned to be restarted by the year’s end.

“We have grave reservations regarding the restart of (the pipelines), which have already caused a catastrophic oil spill, and which Sable intends to restart without effective protection from corrosion,” the state legislators wrote in a letter spearheaded by State Senator Monique Limón. “The safety of these pipelines is a serious concern for many in our community, and it is important that the public is aware of the conditions of the pipelines and what is being done to make them operate safely.”

As the approval process has been conducted behind closed doors with no opportunity for the public to review or comment on the restart plans, the letters also request that the fire marshal hold hearings and release documents related to the plan to allow public input.

In 2015, the corroded Plains All-American pipeline ruptured near Refugio Beach. Based on EDC’s data, the spill destroyed 150 miles of the California coast and thousands of acres of shoreline and subtidal habitat, killed many animals, shut down fisheries, cost hundreds of millions to clean up, and resulted in criminal convictions for the former owner.

According to a draft environmental impact report from Santa Barbara County, restarting the compromised pipeline would likely result in a spill every year, and a major rupture every four years. The county predicted that ruptures could be nearly twice the size of the Refugio spill, even if Sable installs modern safety valve technology.

In response to a public records request by EDC, Sable sued the state and EDC in July to prevent the release of the company’s oil spill contingency plan. Despite being required to submit this document to the California Department of Fish and Wildlife (CDFW), Sable claimed this would compromise national security and the company’s trade secrets.

The Sacramento County Superior Court ruled in favor of the state and EDC in August, giving access to Sable’s contingency plan. The NGO claims that the plan suggests that a worst-case spill from its onshore pipelines could be at least 14 times the volume of the Refugio spill. Furthermore, the document contains no plan to respond to another spill nor proof of the financial means to remedy one.

“Should (the state Fire Marshal) approve the Restart Project, our clients and our community will bear the consequences,” EDC’s letter stated. “All we are asking for is a voice in a decision that will directly and substantially impact our community and the future of the Central Coast.”

Las Flores Canyon operations

The pipelines and other equipment were formerly owned by ExxonMobil. The NGO claims that the operation – known as the Santa Ynez Unit (SYU) – was responsible for more than half of Santa Barbara County’s total greenhouse gas emissions when operational.
The SYU comprises an onshore oil and natural gas processing facility near Goleta, California, and three offshore platforms – Hondo, Heritage, and Harmony. The oil and gas are transported through a subsea pipeline and treated at the Las Flores Canyon oil and gas plant and the Pacific Offshore Pipeline Company (POPCO) gas plant, both located in Las Flores Canyon.

Source: Sable Offshore

The platforms are located 5 to 9 miles offshore in shallow water and service 112 wells, comprised of 90 producers, 12 injectors and 10 idle with well over 100 identified, undrilled opportunities. Before shut-in, the operations produced approximately 34 thousand barrels of oil equivalent per day (mboe/d).

The onshore facilities separated oil, propane, butane, sulfur products, and fuel-quality gas, with oil transferred to the All American Pipeline for final processing at a refinery. Since the pipeline was shut down in May 2015, SYU assets have not produced commercial quantities of hydrocarbons. According to Sable, if necessary permits are not obtained and production restarted by January 1, 2026, the assets are to be reverted to ExxonMobil under the terms of the purchase and sale agreement.

On its part, the Texan player says it continued preparing for the restart of production by hiring additional employees and contracting repair crews to begin its anomaly repair program and other requirements necessary to meet conditions of the federal court consent decree on California pipelines Line 324 and Line 325 in cooperation with and under the supervision of the California Office of the State Fire Marshal (OSFM).

The firm also claims to have conducted vessel inspections, completed over 3,000 safety device tests, and performed pipeline integrity surveys in preparation for the restart of production at SYU. Sable has also initiated work scope for the installation of emissions reduction equipment, compressor overhauls, and various other equipment, safety and quality enhancement projects.

While the fire marshal has the final say over whether Sable can restart its failed onshore pipeline, additional approvals are needed before the Texan player can restart the SYU, including from Santa Barbara County, the State Lands Commission, and the CDFW.

ExxonMobil recently handed out a front-end engineering design (FEED) contract to a consortium comprising McDermott, Saipem, and China Petroleum Engineering and Construction Corporation (CPECC) for the Rovuma LNG project it is developing off the coast of Mozambique with partners Eni and the China National Oil and Gas Exploration and Development Company (CNODC).

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