Skyonic Secures $12.5M to Develop SkyCycle™ Technology
New Skyonic Technology Reduces Costs of Carbon Capture, Expands into New Product Markets to Support Compliance with Emission Regulations
AUSTIN, Texas, May 22, 2014-- Skyonic Corporation, an Austin-based carbon-capture technology company, today announced that it has secured an additional $12.5 million in funding from existing investor ConocoPhillips (COP) and new investor Enbridge (TSX, NYSE: ENB), Canada's largest energy infrastructure company. The funding will provide for the continued development of Skyonic's SkyCycleTM technology toward commercialization and support Skyonic's international growth.
While current industry estimates place the cost of carbon capture between $150 and $450 per ton, SkyCycleTM uses a thermolytic chemical reaction to capture carbon dioxide emissions at costs estimated to be between $16 and $25 per ton, significantly lower than industry averages. The process converts the CO2 emissions into a wide variety of products, including hydrochloric acid and calcium carbonate, also known as limestone, which can be used to make glass, paper, cement, paint, PVC pipe and other products. This current funding joins the recently announced $500,000 CAD grant from the Climate Change and Emissions Management Corporation to bring the SkyCycleTM to pilot scale at the Capitol SkyMine San Antonio site by late 2015.
"Stationary emitters are facing a lot of uncertainty right now, with new, stricter EPA regulations expected to be proposed next month," said Joe Jones, founder and CEO of Skyonic. "As emissions regulations continue to develop over the next several years, SkyCycleTM can help the industry to evolve with them. It offers both new and existing plants the flexibility to adjust to a changing environment at a cost that remains easily within reach for any stationary emitter."
"Skyonic's ability to efficiently capture CO2 and transform it into commercially viable products is an attractive opportunity that supports our commitment to sustainable development," said George Coyle, ConocoPhillips Technology Ventures Investments manager.
"Skyonic's innovative technology is a great fit for Enbridge," said Chuck Szmurlo, vice president of Alternative and Emerging Technology, Enbridge Inc. "With its potential to replace traditional amine stripping, Skyonic's advanced technology could play an important role in our gas processing business and supports Enbridge's commitment to a neutral environmental footprint."
The patented SkyCycleTM technology is a post-combustion technology able to capture upwards of 94 percent of emitted CO2 from a plant's flue gas stream, regardless of CO2 concentration, and can be easily scaled to work with plants of all sizes. Currently, SkyCycleTM is being tested at a demonstration scale at the Capitol Aggregates Cement Plant in San Antonio, Texas, where Skyonic is also building a commercial-scale plant utilizing its SkyMine® technology. Once operational in October 2014, the Capitol SkyMine plant will be the first of its kind in the United States and will account for the removal of 300,000 tons of CO2 through both direct capture and offsets.
The new funding adds Enbridge to Skyonic's investors, which already include ConocoPhillips, BP, Cenovus Energy, Energy Technology Ventures, Toyo-Thai Corporation Public Company Limited, Berg & Berg Enterprises, Northwater Capital Management, PVS Chemicals, BlueCap Partners, and Zachry Corporation
About Skyonic Corporation
Skyonic Corporation builds new and retrofittable plants that produce carbon-negative chemical products at the lowest cost, while mineralizing industrial CO2 emissions and scrubbing SOx, NOx and mercury. The company's SkyMine® and SkyCycleTM technologies are designed to economically extract and mineralize carbon dioxide from industrial flue gas into products, such as baking soda, hydrochloric acid and limestone, at a commercial scale. The company's scrubber, SkyScraperTM, also removes SOX, NOX, mercury and other heavy metals. These carbon chemistry processes have a two-fold effect, not only driving profit through the sale of products, but also helping to mitigate the effects of industrial pollution and close the carbon cycle. The company is building the nation's first commercial‐scale carbon capture and utilization facility at Capitol Aggregates, Inc. with support from ConocoPhillips, BP, Northwater Capital and PVS Chemicals. Skyonic was founded in 2005 by inventor and CEO, Joe Jones and is located in Austin, TX. For more about how Skyonic produces solid returns from clean air, visit http://www.skyonic.com
ConocoPhillips is the world's largest independent E&P company based on production and proved reserves. Headquartered in Houston, Texas, ConocoPhillips had operations and activities in 27 countries, $62 billion in annualized revenue, $120 billion of total assets, and approximately 18,800 employees as of March 31, 2014. Production from continuing operations, excluding Libya, averaged 1,530 MBOED for the three months ended March 31, 2014, and proved reserves were 8.9 billion BOE as of Dec. 31, 2013. For more information, go to www.conocophillips.com.
About Enbridge Inc.
Enbridge Inc., a Canadian Company, is a North American leader in delivering energy and has been included on the Global 100 Most Sustainable Corporations in the World ranking for the past six years. As a transporter of energy, Enbridge operates, in Canada and the U.S., the world's longest crude oil and liquids transportation system. The Company also has a significant and growing involvement in natural gas gathering, transmission and midstream businesses, and an increasing involvement in power transmission. As a distributor of energy, Enbridge owns and operates Canada's largest natural gas distribution company, and provides distribution services in Ontario, Quebec, New Brunswick and New York State. As a generator of energy, Enbridge has interests in more than 1,800 megawatts of renewable and alternative energy generating capacity and is expanding its interests in wind and solar energy and geothermal. Enbridge employs more than 10,000 people, primarily in Canada and the U.S. and is ranked as one of Canada's Top 100 Employers for 2013. Enbridge's common shares trade on the Toronto and New York stock exchanges under the symbol ENB. For more information, visit www.enbridge.com.
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