Sable Offshore Corp. (NYSE:SOC) saw its stock jump 15% in premarket trading Monday after Chris Wright, the U.S. Energy Secretary, publicly voiced support for the company’s long-delayed oil project off the California coast.
On Friday night, Wright took to X (formerly Twitter) to criticize state officials for stalling the approval process. “Only in California! Newsom is blocking oil production off California’s coast from reaching their own refineries, driving gasoline prices even higher for Californians!” Wright wrote.
He added, “Now, this oil production will have to be shipped elsewhere, lowering gas prices for other areas— just not for California! This is the opposite of common sense! The Trump administration is working every day to LOWER energy prices for ALL Americans!”
The strong federal endorsement is seen as a tailwind for Sable Offshore. Roth Capital Partners reiterated its buy rating on the stock and maintained its $28 price target, calling the development a positive catalyst.
Roth analyst Leo Mariani pointed out that Sable Offshore shares have been trading near their lowest level in more than a year, and said the Energy Secretary’s statement should boost investor sentiment in the short term.
“We expect that the post from Secretary Wright ought to give investors some assurance that the federal government is behind this oil project and that it can get to production via an FPSO in late 2026,” Mariani stated.
The offshore oil development aims to restart production off California’s coast, with plans to bring output online through a floating production storage and offloading (FPSO) vessel by late 2026.
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