Sable Offshore Corp. Reports Third Quarter 2024 Financial and Operational Results
Sable Offshore Corp. (NYSE: SOC) reported its Q3 2024 financial results, posting a net loss of $255.6 million, mainly due to warrant liabilities valuation changes and operational expenses. The company strengthened its financial position by raising $150 million through private placement and $72.5 million through warrant exercises. The quarter ended with $288.2 million in cash and cash equivalents, plus $35.3 million in restricted cash. Operationally, Sable reached a settlement with Santa Barbara County regarding pipeline safety valves and progressed with restart activities at SYU platforms. The company completed lease-holding activities extending leases to October 2025 and received approval as Owner, Operator, and Guarantor from the County Planning Commission.
Sable Offshore Corp. (NYSE: SOC) ha riportato i risultati finanziari per il terzo trimestre del 2024, registrando una perdita netta di 255,6 milioni di dollari, principalmente a causa delle variazioni nella valutazione delle passività relative ai warrant e delle spese operative. L'azienda ha rafforzato la sua posizione finanziaria raccogliendo 150 milioni di dollari tramite un collocamento privato e 72,5 milioni di dollari attraverso esercizi di warrant. Il trimestre si è concluso con un totale di 288,2 milioni di dollari in liquidità e equivalenti, oltre a 35,3 milioni di dollari in liquidità riservata. A livello operativo, Sable ha raggiunto un accordo con la Contea di Santa Barbara riguardo alle valvole di sicurezza dei gasdotti e ha progredito nelle attività di riavvio delle piattaforme SYU. L'azienda ha completato le attività di leasing estendendo i contratti fino a ottobre 2025 e ha ricevuto l'approvazione come Proprietario, Operatore e Fideicommissario dalla Commissione per la Pianificazione della Contea.
Sable Offshore Corp. (NYSE: SOC) reportó sus resultados financieros del tercer trimestre de 2024, registrando una pérdida neta de 255,6 millones de dólares, principalmente debido a los cambios en la valoración de las obligaciones de warrants y los gastos operativos. La compañía fortaleció su posición financiera al recaudar 150 millones de dólares a través de una colocación privada y 72,5 millones de dólares mediante ejercicios de warrants. El trimestre concluyó con 288,2 millones de dólares en efectivo y equivalentes, además de 35,3 millones de dólares en efectivo restringido. Operativamente, Sable alcanzó un acuerdo con el Condado de Santa Barbara respecto a las válvulas de seguridad de los oleoductos y avanzó en las actividades de reinicio en las plataformas SYU. La empresa completó actividades de arrendamiento extendiendo los contratos hasta octubre de 2025 y recibió aprobación como Propietario, Operador y Garantizador por parte de la Comisión de Planificación del Condado.
Sable Offshore Corp. (NYSE: SOC)는 2024년 3분기 재무 결과를 발표하며 2억 5,560만 달러의 순손실을 기록했습니다. 이는 주로 워런트 부채 평가 변경 및 운영 비용 때문입니다. 이 회사는 사모 방식으로 1억 5천만 달러를 모금하고 워런트 행사로 7,250만 달러를 통해 재무 상태를 강화했습니다. 분기는 2억 8,820만 달러의 현금 및 현금성 자산과 3,530만 달러의 제한된 현금으로 마감되었습니다. 운영 면에서는 Sable이 산타바바라 카운티와 파이프라인 안전 벨브에 대한 합의를 도출했으며 SYU 플랫폼의 재가동 활동을 진행 중입니다. 이 회사는 임대 유지 활동을 완료하여 임대 계약을 2025년 10월까지 연장했으며 카운티 계획 위원회로부터 소유자, 운영자 및 보증인으로서의 승인을 받았습니다.
Sable Offshore Corp. (NYSE: SOC) a annoncé ses résultats financiers pour le troisième trimestre 2024, affichant une perte nette de 255,6 millions de dollars, principalement en raison des variations de valorisation des passifs des bons de souscription et des dépenses opérationnelles. La société a renforcé sa position financière en levant 150 millions de dollars par le biais d'un placement privé et 72,5 millions de dollars par l'exercice de bons de souscription. Le trimestre s'est terminé avec 288,2 millions de dollars en liquidités et équivalents, plus 35,3 millions de dollars en liquidités restreintes. Sur le plan opérationnel, Sable a conclu un accord avec le comté de Santa Barbara concernant les vannes de sécurité des pipelines et a progressé dans les activités de redémarrage sur les plateformes SYU. La société a finalisé ses activités de location en prolongeant les contrats jusqu'en octobre 2025 et a reçu l'approbation en tant que propriétaire, opérateur et garant de la Commission de planification du comté.
Sable Offshore Corp. (NYSE: SOC) hat seine finanziellen Ergebnisse für das 3. Quartal 2024 veröffentlicht und einen Nettoverlust von 255,6 Millionen US-Dollar verzeichnet, was hauptsächlich auf Veränderungen der Bewertung von Warrantschulden und Betriebskosten zurückzuführen ist. Das Unternehmen hat seine finanzielle Position gestärkt, indem es 150 Millionen US-Dollar durch eine Privatplatzierung und 72,5 Millionen US-Dollar durch die Ausübung von Warrants beschafft hat. Das Quartal endete mit 288,2 Millionen US-Dollar an Bargeld und bargeldähnlichen Mitteln sowie mit 35,3 Millionen US-Dollar an eingeschränktem Bargeld. Operativ erzielte Sable eine Einigung mit dem Santa Barbara County bezüglich der Sicherheitsventile in Pipelines und machte Fortschritte bei den Wiederinbetriebnahmeaktivitäten auf den SYU-Plattformen. Das Unternehmen schloss Leasingaktivitäten ab und verlängerte die Verträge bis Oktober 2025 und erhielt die Genehmigung als Eigentümer, Betreiber und Garant von der Planungskommission des Landkreises.
- Raised $222.5 million through equity financing
- Increased cash position to $288.2 million
- Successfully extended lease holdings to October 2025
- Completed warrant redemption generating $183.5 million in proceeds
- Obtained key regulatory approvals for operations
- Reported net loss of $255.6 million in Q3 2024
- High debt level of $814.4 million
- Significant share dilution through equity raises and warrant exercises
Insights
The Q3 results reveal significant financial dynamics with both challenges and strategic progress. The
The cash position is notably robust at
The operational progress toward restart, including workforce expansion and infrastructure improvements, positions the company for potential revenue generation. The resolution of regulatory hurdles and lease extension to 2025 significantly de-risks the investment thesis.
The operational developments are highly encouraging for production restart prospects. Key achievements include:
- Resolution of jurisdictional issues for safety valve installations
- Completion of critical maintenance on gas compressors and safety systems
- Successful repair of approximately 100 pipeline anomalies
- Strategic workforce expansion with over 500 combined staff and contractors
Third Quarter 2024 Financial Highlights
-
Reported a net loss of
$255.6 million -
Ended the quarter with 78,789,516 shares of Common Stock outstanding after successfully raising
$150.0 million $72.5 million -
Ended the quarter with outstanding debt of
$814.4 million -
Increased cash and cash equivalents balance to
$288.2 million $35.3 million
Third Quarter 2024 Operational Highlights
- Reached a conditional settlement with Santa Barbara County (the “County”), in which the County acknowledged that they do not have jurisdiction over the installation of 16 new safety valves in the County along the Las Flores Pipeline System (the “Pipeline”).
- Progressed restart related work at the SYU offshore platforms and Las Flores Canyon facilities through overhauling gas compressors, completing the safety device testing campaign, finishing all vessel and piping circuit integrity inspections, while onboarding and training a workforce of over 100 direct staff members and approximately 400 contractors across all Sable operating locations.
- Made significant progress in executing the anomaly repair program on the Pipeline, reaching approximately 100 anomalies repaired through the end of the quarter, installing safety valves, and implementing other enhancements required to meet and exceed the conditions of the federal court consent decree to restart the Pipeline.
Recent Events
- Received confirmation from the Bureau of Safety and Environmental Enforcement that Sable’s recent completion of lease-holding activities serves to maintain all 16 leases within the Santa Ynez Unit (“SYU”) to October 9, 2025.
- On October 30, 2024, the Santa Barbara County Planning Commission voted to approve Sable as the Owner, Operator, and Guarantor of the SYU, POPCO Gas Plant, and Las Flores Pipeline System.
-
Completed the redemption of all outstanding public warrants on November 4, 2024. In total, 15,957,820 public warrants were exercised for
$183.5 million -
As of November 13, 2024 there were 89,099,863 shares of the Company’s Common Stock outstanding and an unrestricted cash balance of approximately
$362.9 million
About Sable
Sable Offshore Corp. is an independent oil and gas company, headquartered in
Forward-Looking Statements
The information in this press release include “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. When used in this press release, the words “could,” “should,” “will,” “ may,” “ believe,” “ anticipate,” “ intend,” “ estimate,” “expect,” “project,” “continue,” “plan,” forecast,” “predict,” “potential,” “future,” “outlook,” and “target,” the negative of such terms and other similar expressions are intended to identify forward-looking statements, although not all forward-looking statements will contain such identifying words. These statements are based on the current beliefs and expectations of Sable’s management and are subject to significant risks and uncertainties. Actual results may differ materially from those described in the forward-looking statements. Factors that could cause Sable’s actual results to differ materially from those described in the forward-looking statements include: the ability to recommence production of the SYU assets and the cost and time required therefor; global economic conditions and inflation; increased operating costs; lack of availability of drilling and production equipment, supplies, services and qualified personnel; geographical concentration of operations; environmental and weather risks; regulatory changes and uncertainties; litigation, complaints and/or adverse publicity; privacy and data protection laws, privacy or data breaches, or loss of data; our ability to comply with laws and regulations applicable to our business; and other one-time events and other factors that can be found in Sable’s Annual Report on Form 10-K for the year ended December 31, 2023, and any subsequent Quarterly Report on Form 10-Q or Current Report on Form 8-K, which are filed with the Securities and Exchange Commission and are available on Sable’s website (www.sableoffshore.com) and on the Securities and Exchange Commission’s website (www.sec.gov). Except as required by applicable law, Sable undertakes no obligation to publicly release the result of any revisions to these forward-looking statements to reflect the impact of events or circumstances that may arise after the date of this press release.
Disclaimers
Non-Producing Assets
The SYU assets have not produced commercial quantities of hydrocarbons since such assets were shut in during June of 2015 when the only pipeline transporting hydrocarbons produced from such assets to market ceased operations. There can be no assurance that the necessary permits will be obtained that would allow the pipeline to recommence transportation and allow the assets to recommence production. If production is not recommenced by January 1, 2026, the terms of the asset acquisition with ExxonMobil Corporation would potentially result in the assets being reverted to ExxonMobil Corporation without any compensation to Sable therefor.
View source version on businesswire.com: https://www.businesswire.com/news/home/20241114056870/en/
Investor Contact:
Harrison Breaud
Director, Finance & Investor Relations
IR@sableoffshore.com
713-579-8111
Source: Sable Offshore Corp.
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