SOC Update: Lawsuit Alleges Sable Offshore Misled Investors on Oil Production – Hagens Berman

SOC Investors with Losses Encouraged to Contact the Firm

SAN FRANCISCO, Aug. 22, 2025 (GLOBE NEWSWIRE) -- A class-action lawsuit is underway against Sable Offshore Corp. (NYSE: SOC), alleging the company and its executives misrepresented its oil production status to investors. The lawsuit, captioned Johnson v. Sable Offshore Corp., represents those who purchased or acquired the company's publicly traded securities between May 19, 2025, and June 3, 2025. It also includes investors who bought shares in the company's secondary public offering (SPO) on May 21, 2025.

Hagens Berman urges Sable investors who suffered substantial losses to submit your losses now.

Allegations and Regulatory Scrutiny

According to the complaint, Sable Offshore and the underwriters of its SPO misled investors by claiming the company had restarted oil production off the coast of California when it had not. This claim was directly challenged by California Lieutenant Governor Eleni Kounalakis, who stated in a letter that the company’s press release “appears to mischaracterize” its activities. The letter clarified that the oil flows were “well-testing procedures,” not “a resumption of commercial production.” The price of Sable Offshore’s stock fell more than 15% after this information became public on May 28, 2025.

Judicial Intervention and Further Stock Drop

The lawsuit further alleges that the company’s legal troubles deepened on June 4, 2025, when Sable Offshore revealed that a Santa Barbara County Superior Court judge had issued a temporary restraining order. This order prohibited the company from restarting oil transportation through the Las Flores Pipeline System, pending a hearing on a preliminary injunction. This news reportedly caused the company’s stock to fall even further.

The litigation now aims to hold the company accountable for what some are calling a calculated maneuver to raise capital under false pretenses. The case, Johnson v. Sable Offshore Corp., et al., is being litigated in the U.S. District Court for the Central District of California.

Hagens Berman’s Investigation

National plaintiffs’ rights law firm, Hagens Berman, is investigating the claims on behalf of investors who suffered substantial losses.

Reed Kathrein, the Hagens Berman partner leading the investigation, commented on the situation, “We’re investigating whether Sable Offshore’s press release may have been a calculated maneuver to inflate its stock price and set up the secondary offering, only for investors to suffer devastating losses once the truth came out.”

If you invested in Sable and have substantial losses, or have knowledge that may assist the firm’s investigation, submit your losses now »

If you’d like more information and answers to frequently asked questions about the Sable case and our investigation, read more »

Whistleblowers: Persons with non-public information regarding Sable Offshore should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email SOC@hbsslaw.com.

About Hagens Berman
Hagens Berman is a global plaintiffs’ rights complex litigation firm focusing on corporate accountability. The firm is home to a robust practice and represents investors as well as whistleblowers, workers, consumers and others in cases achieving real results for those harmed by corporate negligence and other wrongdoings. Hagens Berman’s team has secured more than $2.9 billion in this area of law. More about the firm and its successes can be found at hbsslaw.com. Follow the firm for updates and news at @ClassActionLaw. 

Contact:
Reed Kathrein, 844-916-0895

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