Sky Quarry Enters LOI with Southwind RAS, LLC to Evaluate Strategic Recycling Collaboration
Sky Quarry (NASDAQ: SKYQ) has entered into a non-binding Letter of Intent (LOI) with Southwind RAS, to explore strategic collaboration for asphalt shingle recycling in Illinois. The initiative aims to implement Sky Quarry's proprietary recycling technologies at Southwind's nine facilities in the Chicago area.
The collaboration will focus on operational modeling, site assessments, and financial structures to develop a scalable, modular recycling approach. The project aims to produce various high-value byproducts including asphalt-coated limestone, sand, granules, glass fibers, bitumen, and ground asphalt shingles for use in roofing, road repair, sealants, and structural reinforcement.
The region generates approximately 1.2 million tons of asphalt shingle waste annually, which could potentially yield the equivalent of 1.5 million barrels of oil if fully recycled.
Sky Quarry (NASDAQ: SKYQ) ha stipulato una Lettera di Intenti (LOI) non vincolante con Southwind RAS per esplorare una collaborazione strategica nel riciclo di tegole bituminose in Illinois. L'iniziativa mira a implementare le tecnologie di riciclo proprietarie di Sky Quarry presso le nove strutture di Southwind nell'area di Chicago.
La collaborazione si concentrerà sulla modellazione operativa, le valutazioni dei siti e le strutture finanziarie per sviluppare un approccio al riciclo scalabile e modulare. Il progetto punta a produrre vari sottoprodotti di alto valore, tra cui calcare rivestito di asfalto, sabbia, granuli, fibre di vetro, bitume e tegole bituminose macinate per l'uso in coperture, riparazioni stradali, sigillanti e rinforzi strutturali.
La regione genera circa 1,2 milioni di tonnellate di rifiuti di tegole bituminose all'anno, che potrebbero potenzialmente produrre l'equivalente di 1,5 milioni di barili di petrolio se completamente riciclati.
Sky Quarry (NASDAQ: SKYQ) ha firmado una Carta de Intención (LOI) no vinculante con Southwind RAS para explorar una colaboración estratégica en el reciclaje de tejas asfálticas en Illinois. La iniciativa tiene como objetivo implementar las tecnologías de reciclaje patentadas de Sky Quarry en las nueve instalaciones de Southwind en el área de Chicago.
La colaboración se centrará en la modelización operativa, las evaluaciones de sitios y las estructuras financieras para desarrollar un enfoque de reciclaje modular y escalable. El proyecto busca producir varios subproductos de alto valor, incluidos caliza recubierta de asfalto, arena, gránulos, fibras de vidrio, betún y tejas asfálticas molidas para su uso en techado, reparación de carreteras, selladores y refuerzo estructural.
La región genera aproximadamente 1,2 millones de toneladas de desechos de tejas asfálticas anualmente, lo que podría potencialmente equivaler a 1,5 millones de barriles de petróleo si se reciclan completamente.
Sky Quarry (NASDAQ: SKYQ)는 Southwind RAS와 비구속적인 의향서(LOI)를 체결하여 일리노이주에서 아스팔트 슁글 재활용을 위한 전략적 협력을 탐색하고 있습니다. 이 이니셔티브는 Sky Quarry의 독점 재활용 기술을 시카고 지역의 Southwind의 아홉 개 시설에 구현하는 것을 목표로 합니다.
협력은 운영 모델링, 사이트 평가 및 재정 구조에 중점을 두어 확장 가능하고 모듈화된 재활용 접근 방식을 개발하는 데 초점을 맞출 것입니다. 이 프로젝트는 지붕, 도로 수리, 밀봉제 및 구조적 보강에 사용하기 위해 아스팔트 코팅 석회암, 모래, 과립, 유리 섬유, 비트umen 및 분쇄된 아스팔트 슁글을 포함한 다양한 고부가가치 부제품을 생산하는 것을 목표로 합니다.
이 지역은 매년 약 120만 톤의 아스팔트 슁글 폐기물을 생성하며, 이를 완전히 재활용할 경우 150만 배럴의 석유에 해당하는 양을 얻을 수 있습니다.
Sky Quarry (NASDAQ: SKYQ) a signé une Lettre d'Intention (LOI) non contraignante avec Southwind RAS pour explorer une collaboration stratégique dans le recyclage des bardeaux d'asphalte dans l'Illinois. L'initiative vise à mettre en œuvre les technologies de recyclage propriétaires de Sky Quarry dans les neuf installations de Southwind dans la région de Chicago.
La collaboration se concentrera sur la modélisation opérationnelle, les évaluations de sites et les structures financières pour développer une approche de recyclage évolutive et modulaire. Le projet vise à produire divers sous-produits de grande valeur, y compris du calcaire revêtu d'asphalte, du sable, des granulés, des fibres de verre, du bitume et des bardeaux d'asphalte broyés pour une utilisation dans la toiture, la réparation des routes, les scellants et le renforcement structurel.
La région génère environ 1,2 million de tonnes de déchets de bardeaux d'asphalte chaque année, ce qui pourrait potentiellement équivaloir à 1,5 million de barils de pétrole si recyclé complètement.
Sky Quarry (NASDAQ: SKYQ) hat eine nicht verbindliche Absichtserklärung (LOI) mit Southwind RAS unterzeichnet, um eine strategische Zusammenarbeit im Bereich der Recycling von Asphaltziegeln in Illinois zu erkunden. Ziel der Initiative ist es, die proprietären Recyclingtechnologien von Sky Quarry in den neun Einrichtungen von Southwind im Raum Chicago umzusetzen.
Die Zusammenarbeit wird sich auf Betriebsmodellierung, Standortbewertungen und Finanzstrukturen konzentrieren, um einen skalierbaren, modularen Recyclingansatz zu entwickeln. Das Projekt zielt darauf ab, verschiedene hochpreisige Nebenprodukte zu produzieren, darunter asphaltiertes Kalkstein, Sand, Granulate, Glasfasern, Bitumen und gemahlene Asphaltziegel für den Einsatz in Dachkonstruktionen, Straßenreparaturen, Dichtstoffen und struktureller Verstärkung.
Die Region erzeugt jährlich etwa 1,2 Millionen Tonnen Abfall aus Asphaltziegeln, was potenziell dem Äquivalent von 1,5 Millionen Barrel Öl entsprechen könnte, wenn es vollständig recycelt wird.
- Access to 9 established facilities in Chicago area through partnership
- Large market opportunity with 1.2 million tons annual waste potential
- Potential to generate multiple high-value recycled products
- Strategic expansion into Illinois market
- Agreement is non-binding LOI only, no firm commitment
- Implementation feasibility still needs to be evaluated
- Financial structure yet to be determined
Insights
Sky Quarry's non-binding LOI with Southwind RAS represents an early-stage strategic positioning in the waste-to-energy sector rather than an immediate financial catalyst. The collaboration targets 9 established facilities in the Chicago area, potentially creating a regional footprint that aligns with SKYQ's stated national expansion strategy.
The market opportunity appears substantial, with SKYQ citing 1.2 million tons of annual asphalt shingle waste in the region - material they claim could yield the equivalent of 1.5 million barrels of oil if fully recycled. This indicates a significant potential addressable market, though critical questions remain about implementation timeline, capital requirements, and ultimate conversion rates.
Investors should note several key considerations: First, this remains a non-binding agreement focused on feasibility studies rather than immediate implementation. Second, the emphasis on a "modular approach" suggests a staged deployment strategy that might limit initial capital requirements but extend the timeline to full capacity. Third, while product diversification is mentioned (producing asphalt-coated limestone, sand, granules, etc.), no revenue projections or pricing structures are provided.
This LOI demonstrates market validation interest in SKYQ's proprietary recycling technologies but represents just a preliminary step toward commercialization. The company's ability to convert this exploratory agreement into a definitive partnership with favorable economics will be crucial for realizing shareholder value from their expansion strategy.
“Creating a Blueprint for the Future of Waste-To-Energy Infrastructure”
WOODS CROSS, Utah, April 10, 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 entered into a non-binding Letter of Intent (LOI) with Southwind RAS, LLC, a long-standing leader in the industry, to explore a strategic collaboration aimed at advancing asphalt shingle recycling in Illinois. The initiative will support Sky Quarry’s national expansion strategy and further its waste-to-energy mission.
Under the terms of the LOI, Sky Quarry and Southwind RAS will jointly evaluate the technical and logistical feasibility of implementing Sky Quarry’s proprietary recycling technologies at Southwind’s nine established facilities in the greater Chicago area. The collaboration will focus on operational modeling, site assessments, and financial structures, with the goal of developing a scalable, modular approach to shingle recycling that creates mutual value and environmental impact.
Expanding Sky Quarry’s Waste-to-Energy Footprint
“We’re excited to explore this relationship with Southwind RAS, a company that shares our deep commitment to sustainability and innovation,” said David Sealock, CEO of Sky Quarry. “This LOI marks a key step forward in Sky Quarry’s national expansion strategy, to intercept waste at the source and convert it into valuable, sustainable materials. By assessing opportunities for regional deployment of our proprietary recycling technology and leveraging Southwind’s infrastructure, experience, and local market presence, we aim to build a scalable model that creates shared value. By scaling locally and executing nationally, Sky Quarry is creating a blueprint for the future of waste-to-energy and materials recovery.”
With the goal of producing high-value byproducts for local and regional markets, the proposed collaboration at Southwind’s facilities is expected to generate materials such as asphalt-coated limestone, sand, granules, glass fibers, bitumen, and ground asphalt shingles, resources that can be repurposed for use in roofing, road repair, sealants, and structural reinforcement applications.
Sky Quarry estimates that approximately 1.2 million tons of asphalt shingle waste are generated annually in the region, material that, if fully recycled, could yield the equivalent of 1.5 million barrels of oil. This underscores both the environmental urgency and the economic opportunity behind Sky Quarry’s recycling technology and the proposed collaboration.
About Southwind RAS, LLC
Founded in 2009 and based in Illinois, Southwind RAS, LLC is a recognized leader in the recycling of residential tear-off asphalt shingles. With nine established locations across the greater Chicago area, Southwind RAS provides essential infrastructure for sustainable waste management in one of the country’s largest urban markets. The company’s mission is to conserve landfill space, reduce the carbon footprint of the construction industry, and replace virgin materials with reclaimed resources. Southwind RAS works directly with roofing contractors, haulers, recycling centers, and asphalt producers to integrate recycled asphalt shingles into hot mix asphalt, advancing green initiatives and promoting circular solutions for the roofing industry.
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
What is the potential recycling capacity for SKYQ's collaboration with Southwind RAS in Illinois?
How many facilities will SKYQ's technology potentially be implemented at through the Southwind RAS partnership?
What products will SKYQ's recycling technology produce at Southwind facilities?
What is the current status of SKYQ's agreement with Southwind RAS?
