Sable Offshore Corp. 8-K

What Happened Sable Offshore Corp. announced on June 22, 2026 that it and Exxon Mobil Corporation executed a Third Amendment to the Senior Secured Term Loan and a limited waiver under the November 1, 2022 Purchase and Sale Agreement (PSA) with Exxon and Mobil Pacific Pipeline Company. The amendment extends the loan’s maturity to the earlier of July 24, 2026 or earlier acceleration on an Event of Default, and Exxon agreed to a temporary waiver of the Company’s obligation to provide P&A Financial Security under the PSA. The company also issued a press release the same day announcing the amendment.

Key Details

• Maturity extension: Senior Secured Term Loan maturity moved to the earlier of (a) July 24, 2026 or (b) acceleration following any Event of Default.
• Amendment fee: Sable will pay Exxon a $30.0 million amendment fee on June 22, 2026.
• Limited waiver of P&A Financial Security: Requirement to provide P&A Financial Security is waived until the earlier of (A) December 22, 2028, (B) repayment/refinancing of new-money secured financing entered prior to the maturity date, or (C) occurrence and continuation of an Event of Default under the loan or related financing documents.
• Liquidity covenant suspension: Exxon agreed to suspend and waive the $25.0 million minimum liquidity covenant introduced in the loan’s prior amendment until the amended maturity date.

Why It Matters For investors, this amendment buys Sable time by extending the loan maturity into July 2026 and delaying the immediate requirement to post P&A (plugging & abandonment) financial security, which can be a material near-term cash demand. The $30 million amendment fee is a clear, immediate cash cost. The suspension of the $25 million minimum liquidity covenant relaxes a short-term liquidity constraint. However, the deferral of the P&A security is temporary and conditioned on future refinancing or absence of defaults; investors should note that the company needs to secure new financing or otherwise satisfy these obligations by the dates and triggers specified.