(MENAFN- AsiaNet News)

• The extension of the maturity of a loan with Exxon is contingent upon Sable raising at least $225 million in stock.
• The company must also maintain at least $25 million in cash each month.
• Sable has formed a Special Committee to conduct an independent investigation into fundraising allegations.

 

Shares of Sable Offshore Corp. (SOC) plunged 26% to a record low on Monday, after the company announced an amendment to the loan agreement with Exxon Mobil. (XOM).

The oil driller announced that the extension of the maturity of a loan with Exxon is contingent upon Sable raising at least $225 million in stock. If the conditions are met, the loan's maturity will be extended to March 31, 2027, and the interest rate will increase from 10% to 15% per year. The company must also maintain a minimum of $25 million in cash each month.

Fundraising Allegations

The company also established a Special Committee to conduct an independent investigation into the allegations outlined in Hunterbrook's report dated October 31. The report stated that in a call with select investors, Sable Offshore CEO Jim Flores reportedly said the company may need to raise up to $200 million in equity by the end of 2025. This potential fundraising through equity sale, which could dilute existing shareholders, has not been publicly disclosed by the company, the report stated.

The company's shares fell 19% on Friday.

OS & T Strategy For Santa Ynez Unit

Sable is exploring an Offshore Storage and Treating Vessel (OS & T) strategy to unlock value from the Santa Ynez Unit. The Santa Ynez Unit produces crude oil and natural gas from platforms located off the coast of California.

The firm submitted an updated Development and Production Plan to the U.S. Department of the Interior on October 9 and is now seeking regulatory approvals. Sable aims to acquire an existing OS & T vessel in early 2026 and complete the necessary modifications and installations by late 2026 to restart oil sales in the fourth quarter.

What Are Stocktwits Users Saying?

Retail sentiment on Stocktwits remained within the 'bearish' territory over the past day. It was 'bullish' last week. 

SOC's Sentiment Meter and Message Volumes at 1:30 p.m. ET on November 3, 2025 | Source: Stocktwits

One user believes that the stock could drop to $3.

Year-to-date, the stock has declined more than 66%.

For updates and corrections, email newsroom[at]stocktwits[dot]com.

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