MONTREAL, May 17, 2018 (GLOBE NEWSWIRE) -- PyroGenesis Canada Inc. (https://pyrogenesis.com) (TSX-V:PYR), a TSX Venture 50® high-tech company, (the "Company", the “Corporation” or "PyroGenesis") a Company that designs, develops and manufactures plasma based systems and plasma torch systems, is pleased to announce today that it has signed its first major exclusive commercial agreement (the “Agreement”) for the sale of titanium (Ti-6Al-4V) powders for use in the additive manufacturing (“AM”) industry, after having been qualified as an approved supplier by a client in Asia (the "Client").
This Agreement provides for a minimum sales volume of 10,000 kg (10 tons) over 2 years and is limited geographically to a specific territory in Asia. It is anticipated that the Agreement would be extended for further terms at the conclusion of the first 2-year term. It also allows for exclusive distribution into this territory.
The Client specializes in advanced alloy powders for, amongst other industries, AM (3D Printing). They also produce metal powders and specialty parts. The Client is well established within the territory which is seeing one of the fastest growing demands for metal powders for AM.
“This Agreement is significant because (i) of the magnitude of the order when compared to previous year’s revenues, (ii) it validates our strategy as a powder supplier to the AM industry, and (iii) the potential additional growth that can develop from this relationship alone,” said Mr. P. Peter Pascali, President and CEO of PyroGenesis. “We did not expect to make such inroads into this particular geographic region before 2019, or even 2020. Although important, we did not see this as being what we call “low hanging fruit”, as we thought it would take a lot more time and effort before we could announce results like we have today. This Agreement compliments our Asian strategy nicely and was structured in such a way as not to impede other discussions taking place with others in the industry.”
“We believe that this is the beginning of a developing partnership as this is only the guaranteed minimum sales volume committed to by the Client,” added Mr. Massimo Dattilo, Vice President, Sales of PyroGenesis. “Of note, this Agreement is for titanium powders only. The Client also has a need for nickel alloy powders (such as Inconel) which we have already successfully produced, as well as aluminum alloy powders which we can also produce. We expect to gain traction with respect to these other powders as well.”