Sky Quarry Signs LOI with R & R Solutions to Explore Expansion of Southwest Operations and Accelerate Market Deployment
Sky Quarry (NASDAQ: SKYQ) has signed a non-binding Letter of Intent (LOI) with R & R Solutions, New Mexico's only permitted asphalt shingle recycler. The partnership aims to deploy Sky Quarry's proprietary technology at R & R's Albuquerque site to process approximately 100,000 tons of asphalt shingle waste annually.
The facility will produce various high-value byproducts, including asphalt-coated limestone, sand, granules, bitumen, and structural-grade ground shingles for infrastructure applications. The processed feedstock could potentially yield up to 150,000 barrels of oil when fully refined. Sky Quarry's revenue model includes both waste acceptance fees and sales of recovered materials.
The strategic location near Sky Quarry's PR Spring facility in Utah is expected to optimize operations, reduce capital requirements, and improve supply chain logistics for recovered oil products.
Sky Quarry (NASDAQ: SKYQ) ha firmato una Lettera di Intenti (LOI) non vincolante con R & R Solutions, l'unico riciclatore autorizzato di tegole di asfalto nel New Mexico. La collaborazione punta a implementare la tecnologia proprietaria di Sky Quarry presso il sito di R & R ad Albuquerque per trattare circa 100.000 tonnellate di rifiuti di tegole di asfalto all'anno.
Lo stabilimento produrrà diversi sottoprodotti di alto valore, tra cui calcare rivestito di asfalto, sabbia, granuli, bitume e tegole macinate di qualità strutturale per applicazioni infrastrutturali. Il materiale lavorato potrebbe potenzialmente generare fino a 150.000 barili di petrolio una volta completamente raffinato. Il modello di ricavi di Sky Quarry comprende sia le tariffe per l'accettazione dei rifiuti sia la vendita dei materiali recuperati.
La posizione strategica vicino all'impianto PR Spring di Sky Quarry nello Utah dovrebbe ottimizzare le operazioni, ridurre i costi di capitale e migliorare la logistica della catena di approvvigionamento per i prodotti petroliferi recuperati.
Sky Quarry (NASDAQ: SKYQ) ha firmado una Carta de Intención (LOI) no vinculante con R & R Solutions, el único reciclador autorizado de tejas asfálticas en Nuevo México. La asociación tiene como objetivo implementar la tecnología patentada de Sky Quarry en el sitio de R & R en Albuquerque para procesar aproximadamente 100,000 toneladas de residuos de tejas asfálticas anualmente.
La planta producirá varios subproductos de alto valor, incluyendo piedra caliza recubierta de asfalto, arena, gránulos, betún y tejas molidas de grado estructural para aplicaciones de infraestructura. La materia prima procesada podría potencialmente generar hasta 150,000 barriles de petróleo una vez refinada completamente. El modelo de ingresos de Sky Quarry incluye tanto tarifas por aceptación de residuos como ventas de materiales recuperados.
La ubicación estratégica cerca de la instalación PR Spring de Sky Quarry en Utah se espera que optimice las operaciones, reduzca los requisitos de capital y mejore la logística de la cadena de suministro para los productos de petróleo recuperados.
Sky Quarry (NASDAQ: SKYQ)는 뉴멕시코에서 유일하게 허가받은 아스팔트 슁글 재활용 업체인 R & R Solutions와 구속력 없는 의향서(LOI)를 체결했습니다. 이번 파트너십은 Sky Quarry의 독자적인 기술을 R & R의 앨버커키 현장에 도입하여 연간 약 100,000톤의 아스팔트 슁글 폐기물을 처리하는 것을 목표로 합니다.
이 시설은 아스팔트 코팅 석회석, 모래, 과립, 역청(bitumen), 그리고 인프라용 구조 등급 분쇄 슁글 등 다양한 고부가가치 부산물을 생산할 예정입니다. 가공된 원료는 완전 정제 시 최대 150,000배럴의 석유를 생산할 수 있습니다. Sky Quarry의 수익 모델은 폐기물 수수료와 회수된 자재 판매를 포함합니다.
유타에 위치한 Sky Quarry의 PR Spring 시설 인근의 전략적 위치는 운영 최적화, 자본 비용 절감, 그리고 회수된 석유 제품의 공급망 물류 개선에 기여할 것으로 기대됩니다.
Sky Quarry (NASDAQ : SKYQ) a signé une lettre d'intention (LOI) non contraignante avec R & R Solutions, le seul recycleur autorisé de bardeaux d'asphalte au Nouveau-Mexique. Ce partenariat vise à déployer la technologie propriétaire de Sky Quarry sur le site de R & R à Albuquerque pour traiter environ 100 000 tonnes de déchets de bardeaux d'asphalte par an.
L'installation produira plusieurs sous-produits de grande valeur, notamment du calcaire enduit d'asphalte, du sable, des granules, du bitume et des bardeaux broyés de qualité structurelle pour des applications d'infrastructure. La matière première traitée pourrait potentiellement produire jusqu'à 150 000 barils de pétrole une fois totalement raffinée. Le modèle de revenus de Sky Quarry inclut à la fois des frais d'acceptation des déchets et la vente des matériaux récupérés.
La localisation stratégique près de l'installation PR Spring de Sky Quarry dans l'Utah devrait optimiser les opérations, réduire les besoins en capital et améliorer la logistique de la chaîne d'approvisionnement pour les produits pétroliers récupérés.
Sky Quarry (NASDAQ: SKYQ) hat eine unverbindliche Absichtserklärung (LOI) mit R & R Solutions, dem einzigen zugelassenen Recyclingbetrieb für Asphalt-Schindeln in New Mexico, unterzeichnet. Die Partnerschaft zielt darauf ab, die firmeneigene Technologie von Sky Quarry am Standort von R & R in Albuquerque einzusetzen, um jährlich etwa 100.000 Tonnen Asphalt-Schindelabfälle zu verarbeiten.
Die Anlage wird verschiedene hochwertige Nebenprodukte herstellen, darunter asphaltbeschichteten Kalkstein, Sand, Granulate, Bitumen und strukturfähige gemahlene Schindeln für Infrastrukturprojekte. Das verarbeitete Ausgangsmaterial könnte bei vollständiger Raffinierung bis zu 150.000 Barrel Öl ergeben. Das Erlösmodell von Sky Quarry umfasst sowohl Entsorgungsgebühren als auch den Verkauf der zurückgewonnenen Materialien.
Die strategische Lage in der Nähe der PR Spring-Anlage von Sky Quarry in Utah soll die Abläufe optimieren, Kapitalbedarf reduzieren und die Logistik der Lieferkette für zurückgewonnene Ölprodukte verbessern.
- Strategic expansion into New Mexico through partnership with the region's only permitted shingle recycler
- Potential to process 100,000 tons of waste annually, yielding up to 150,000 barrels of oil equivalent
- Dual revenue streams from waste collection fees and sale of recycled materials
- Reduced capital intensity and improved logistics by leveraging existing permitted infrastructure
- Geographic synergy with PR Spring facility in Utah for regional operations
- LOI is non-binding, indicating uncertainty in deal completion
- Implementation timeline and specific financial terms not disclosed
- Capital requirements for facility upgrades not specified
Insights
Sky Quarry's non-binding LOI with R&R Solutions establishes potential expansion into New Mexico, leveraging existing permits to accelerate deployment while reducing capital requirements.
This non-binding LOI with R&R Solutions represents a strategically calculated step in Sky Quarry's national expansion roadmap. By targeting the only permitted asphalt shingle recycler in New Mexico, Sky Quarry is bypassing significant regulatory hurdles that typically delay facility deployment by 12-24 months in the waste management sector.
The value proposition hinges on Sky Quarry's dual-revenue model: collection fees from accepting waste shingles coupled with product sales from recovered materials. At the stated 100,000 tons annual processing capacity, this creates multiple revenue streams from the same feedstock – a fundamental advantage in resource recovery economics.
The geographical synergy between the proposed Albuquerque site and Sky Quarry's PR Spring facility in Utah creates an operational hub-and-spoke model that could optimize regional logistics. This proximity would allow Sky Quarry to transport higher-value hydrocarbon products to its Utah refining hub while selling bulkier, lower-value materials (limestone, sand, granules) locally – maximizing revenue per ton while minimizing transportation costs.
What's particularly notable is the capital efficiency approach. By leveraging R&R's existing permitted infrastructure rather than building greenfield facilities, Sky Quarry is pursuing a capital-light expansion strategy that could accelerate time-to-revenue while preserving balance sheet flexibility.
However, the non-binding nature of this LOI means this remains an exploration phase rather than definitive expansion. The release provides no timeline for finalizing agreements, required capital investment, or projected revenue contributions – key metrics that would ultimately determine the material impact on Sky Quarry's financial performance.
“Creating an Attractive Entry Point to Advance Commercialization and Strengthen its National Scale-up Efforts.”
WOODS CROSS, Utah, May 08, 2025 (GLOBE NEWSWIRE) -- Sky Quarry Inc. (NASDAQ: SKYQ) ("Sky Quarry" or "the Company"), an integrated energy solutions company committed to revolutionizing the waste asphalt shingle recycling industry, today announced that it has signed a non-binding Letter of Intent (LOI) with R & R Solutions Inc., the only permitted asphalt shingle recycler in New Mexico. The LOI represents a strategic step in Sky Quarry’s plan to expand its national network of modular waste-to-energy facilities and unlock new revenue opportunities in the Southwest.
The proposed partnership will focus on planning the deployment of Sky Quarry’s proprietary equipment, mechanical processes, and intellectual property (IP) at R & R Solutions’ existing permitted site in Albuquerque, New Mexico. If implemented, the proposed project will support the production of high-value byproducts, including asphalt-coated limestone, sand, granules, bitumen, and structural-grade ground shingles for use in roofing, road repair, sealants, and other infrastructure applications.
As part of Sky Quarry’s differentiated business model, the Company expects to generate revenue both from accepting asphalt shingle waste and from selling the recovered byproducts. At the proposed New Mexico site, Sky Quarry estimates that approximately 100,000 tons of asphalt shingle waste could be processed per year and believes that this could generate substantial annual revenue from collection fees and the sale of recycled materials such as granules and sand. The Company also believes that the feedstock could yield the equivalent of up to 150,000 barrels of oil when fully refined, representing additional potential revenue.
“The opportunity to collaborate with R & R Solutions and build on an existing permitted site creates an attractive entry point for strengthening our national scale-up efforts and advancing commercialization,” said David Sealock, CEO and Chairman of Sky Quarry. “The Albuquerque region presents a particularly compelling opportunity due to its proximity to our PR Spring facility in Utah, which will serve as a regional hub for hydrocarbon extraction. Upon reaching an agreement with R&R Solutions based on the LOI, we believe that leveraging existing infrastructure and integrating operations across both sites will accelerate deployment, reduce capital intensity, and improve supply chain logistics for recovered oil products, efficiencies that we believe will drive stronger margins and long-term value.”
Founded in 2013, R & R Solutions brings over a decade of experience as a leader in responsible recycling practices and is deeply integrated into the New Mexico construction ecosystem. “The proposed partnership with Sky Quarry will mark a strategic step forward for R & R Solutions,” said Jerry Daniele, Vice President of R & R Solutions. “We’ve built a strong foundation as the region’s only permitted shingle recycler, and we believe that this collaboration will give us the tools to expand our capabilities, accelerate growth, and deliver broader impact. It will allow us to scale the value we provide to customers and communities across New Mexico and move beyond traditional recycling into large-scale resource recovery, driving meaningful economic impact in the region.”
About Sky Quarry Inc.
Sky Quarry Inc. (NASDAQ:SKYQ) and its subsidiaries are, collectively, an oil production, refining, and a development-stage environmental remediation company formed to deploy technologies to facilitate the recycling of waste asphalt shingles and remediation of oil-saturated sands and soils. Our waste-to-energy mission is to repurpose and upcycle millions of tons of asphalt shingle waste, diverting them from landfills. By doing so, we can contribute to improved waste management, promote resource efficiency, conserve natural resources, and reduce environmental impact. For more information, please visit skyquarry.com.
Forward-Looking Statements
This press release may include ''forward-looking statements.'' All statements pertaining to our future financial and/or operating results, future events, or future developments may constitute forward-looking statements. The statements may be identified by words such as “expect,” “look forward to,” “anticipate,” “intend,” “plan,” “believe,” “seek,” “estimate,” “will,” “project,” or words of similar meaning. Such statements are based on the current expectations and certain assumptions of our management, of which many are beyond our control. These are subject to a number of risks, uncertainties, and factors, including but not limited to those described in our disclosures. Should one or more of these risks or uncertainties materialize or should underlying expectations not occur or assumptions prove incorrect, actual results, performance, or our achievements may (negatively or positively) vary materially from those described explicitly or implicitly in the relevant forward-looking statement. We neither intend, nor assume any obligation, to update or revise these forward-looking statements in light of developments which differ from those anticipated. You are urged to carefully review and consider any cautionary statements and the Company’s other disclosures, including the statements made under the heading "Risk Factors" and elsewhere in the Company’s Form 10-K as filed with the SEC on March 31, 2025. Forward-looking statements speak only as of the date of the document in which they are contained.
Investor Relations
Jennifer Standley
Director of Investor Relations
Ir@skyquarry.com
Company Website
www.skyquarry.com
FAQ
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