Sable Offshore oil sales at Santa Ynez imminent, says Roth Capital

Roth Capital keeps a Buy rating on Sable Offshore (SOC) with a $24 price target after the company presented at its conference. Sable is on track for its first oil sales by April 1 from the offshore Santa Ynez unit at around 50,000 barrels of oil per day, the analyst tells investors in a research note. The firm says the company is in the process of filling its oil pipeline with its 540,000 barrels of oil storage and is confident that it can fill the pipe soon and commence first sales by April 1. The company will look to deploy an oil hedging program shortly after refinancing its Exxon Mobil (XOM) term loan, Roth adds. The firm notes that Sable plans to commence a shareholder return program after getting its debt permanently refinanced and putting on hedges.