Sable Offshore Corp. has asked the U.S. Department of Energy (DOE) to consider using federal eminent domain authority to acquire property needed to support a proposed California petroleum reserve and the operation of the company’s Las Flores Pipeline System.
According to a June 2, 2026 letter first reported by Politico, Sable asked the DOE to assemble the property interests necessary for the project through voluntary acquisition where possible and, if necessary, through the federal government’s eminent domain authority.
The request comes as the Trump administration continues evaluating the creation of a California petroleum reserve to improve fuel security on the West Coast. In June, Sable Offshore Corp. proposed a West Coast Strategic Petroleum Reserve, and U.S. Energy Secretary Chris Wright confirmed that there is “active dialogue” regarding the proposal. Administration officials have cited California’s strategic military importance, geographic isolation from the nation’s pipeline network, declining refinery capacity, and increasing dependence on imported crude oil as reasons for evaluating the concept.
According to KEYT, Sable identified multiple parcels owned by the State of California, Santa Barbara County, and private landowners that the company believes are necessary to maintain and expand critical oil transportation infrastructure.
The company identified two locations where condemnation “is required or advisable” and a third location where condemnation should be considered because of an ongoing landowner dispute. According to the Center for Biological Diversity, the affected properties include approximately three miles of state-owned submerged lands offshore Santa Barbara, portions of Gaviota State Park, and privately owned undeveloped property north of Buellton crossed by the pipeline system.
The proposal immediately drew criticism from environmental organizations. The Center for Biological Diversity argued that using federal eminent domain authority to facilitate additional oil production would conflict with California environmental laws and ongoing litigation involving the pipeline system.
Federal authority presents complex legal questions
Whether the DOE could implement Sable’s proposal remains uncertain. The federal government possesses broad eminent domain authority when Congress has authorized a project serving a public purpose and has provided the necessary statutory authority and funding. However, it is uncertain that the Energy Policy and Conservation Act, which authorizes the Strategic Petroleum Reserve, would support the creation of a separate regional reserve on the West Coast or whether Congress would first need to enact additional legislation authorizing the program.
Any attempt to condemn property would likely face multiple legal challenges. Among the most significant is the Fifth Amendment’s Takings Clause, which permits the government to acquire private property only for a public use and upon payment of just compensation. Additional legal issues could include DOE’s statutory authority, compliance with the National Environmental Policy Act, potential federal preemption of state law, and the interaction between federal authority and California’s environmental and coastal permitting requirements.
If pursued, the proposal would represent one of the most significant assertions of federal authority over California energy infrastructure in recent decades and could establish important precedent regarding the federal government’s role in preserving energy infrastructure that it considers critical to national energy security.
