MONTREAL, Feb. 02, 2022 (GLOBE NEWSWIRE) -- PyroGenesis Canada Inc. (https://pyrogenesis.com) (TSX: PYR) (NASDAQ: PYR) (FRA: 8PY), a high-tech company (hereinafter referred to as the “Company” or “PyroGenesis”), that designs, develops, manufactures and commercializes advanced plasma processes and sustainable solutions to reduce greenhouse gases (GHGs), is pleased to announce today that, further to its press release dated June, 7th2021, it has entered into an agreement with an existing client (the “Client”), to purchase the first of three 10,000 TPY (“10-Ton”) Drosrite™ systems (the “Contract”). The Contract is for US $3 Million (Approximately CA$4 Million). The Client’s name shall remain anonymous for competitive and confidential reasons.
The execution of this Contract follows the receipt of a Letter of Intent (LOI) from the existing Client on June 07, 2021, in which the Client expressed its intention to purchase three 10-ton systems to address an increase in their overall dross processing capacity. The Client is expanding (“Expansion”) its aluminum processing facilities (the “Facility”) and, as such, expects to process an additional 30,000 tons/yr of dross.
It is expected that the Facility will be operational in April 2022. PyroGenesis expects to deliver the first system of the Expansion within 6-8 months of receipt of the down payment. The purchase order also confirms purchasing the second system, at the same price as the first, upon the successful startup of the Client’s Facility, and having the Facility meet the specific internal project performance/quality requirements of the Expansion. The Expansion has different performance/quality requirements than the Facility. The price and timing of the third system has yet to be quantified. The Client has not shared with the Company their timeline to confirm the Expansion’s performance/requirements.
“This purchase order is further validation of the success we are having in introducing our environmental technologies within the aluminum industry,” said Mr. P. Peter Pascali, CEO and Chair of PyroGenesis. “PyroGenesis’ Drosrite™ offering enables smelters to not only operate more economically, but also to concurrently reduce their GHGs emissions at the same time. With the receipt of the purchase order, we now have thirteen commercial Drosrite™ systems either in full operation, delivered, or in the process of being delivered. Once all systems are fully operational, we expect to generate recurring revenue, from ongoing maintenance and spare parts contracts.”
PyroGenesis’ Drosrite™ system is a salt-free, cost-effective, sustainable process for maximizing metal recovery from dross, a waste generated in the metallurgical industry. It offers the aluminum industry an economically and environmentally sound solution to processing their dross (a waste stream containing valuable metal), eliminating landfill, while at the same time contributing to reducing GHG emissions. PyroGenesis’ process avoids costly loss of metal while reducing a smelter’s carbon footprint and energy consumption, providing an impressive return on investment.