Oil Company Fined Record $18M for Defying CA Orders to Stop Work On Pipeline

The California Coastal Commission today fined an oil company a record $18 million for repeatedly defying orders to stop work on a corroded pipeline in Santa Barbara County that caused a major oil spill nearly a decade ago.

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The vote sets the stage for a potentially high-stakes test of the state’s power to police oil development along the coast. The onshore pipeline in Gaviota gushed more than 100,000 gallons of crude oil onto coastal land and ocean waters, shutting down fisheries, closing beaches and harming marine life and coastal habitats in 2015.

Sable Offshore Corp., a Houston-based company, purchased the pipeline from the previous owners, Exxon Mobil, last year, and is seeking to restart the Santa Ynez offshore oil operation.

The Coastal Commission said Sable has done something no alleged violator has ever done before: ignoring the agency’s multiple cease-and-desist orders and continuing its work.

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