Nevada Oil Exploration Spur Raises Foreland Refinery Supply Hopes
Sky Quarry (NASDAQ:SKYQ) believes its Foreland Eagle Springs Refinery in Nevada could receive new regional crude supply as exploration activity in the state increases. The Bureau of Land Management completed two competitive lease sales in the first half of 2026, with all parcels receiving bids.
The US Geological Survey estimated about 1.407 billion barrels of undiscovered, technically recoverable oil under Nevada federal lands in 2025. Two exploration wells, Trap Springs 11-42 and North Diamond Valley Unit 1-A, recently received drilling approvals.
Sky Quarry sees locally produced crude, trucked shorter distances to the refinery, as a potential opportunity to lower delivered feedstock costs, diversify supply, support higher refinery utilization, and provide an in-state market for Nevada producers. However, any transaction would require terms covering quality, pricing, logistics, refinery specifications, regulation, and definitive agreements.