Pyrogenesis Canada Inc T.PYR

RE:RE:RE:RE:New Press Release - PyroGenesis Announces Purchase of US-Based Drosrite International

[BCONTVentures]

Great connecting the dots from @helloween:

@helloween I must add that this from Ma'aden 2023 annual report (The Group means Ma'aden) "The Group is required to make capacity payments to the Contractor which are contingent on the annual volume of dross processed from the Plant, from the date of commencement of commercial operations of the Plant. The expected commencement date of the Plant is by 2024." explains a lot about the difficulty for Radian oil to pay PYR. Their contract with Ma'aden needed a fully operational plant (7 systems out of 7) to obtain capacity payments from Ma'aden and Ma'aden needed a "permits from the Royal Commission for Jubail and Yanbu for the construction of dross processing plant facility (the “Plant”) inside the premises of one of its subsidiaries" to authorize fully completion of the plant (100%). So Radian had to pay PYR from their own cashflow since it's a BOOT agreement without receiving any capacity payment from Ma'aden.

@helloween So the commissioning of the 4 remaining systems will mean 100% completion of the plant which will trigger capacity payments from Ma'aden to Radian which will make it easier for Radian to make the remaining payments to PYR and even have new revenue for the expansion of their Dross treatment activities meaning potential new contracts for PYR.

BCONTVentures wrote: Some great points from @helloween:

@helloween It's the same 35 MT not a new one. 3 Drosrite systems out of 7 for a total of 35 MT are actually in operation thus the 46% of completion of the plant. Ma'aden will recognize the plant will be 100% completed when the full 35 MT will be operational (when all 7 systems will operate). So Ma'aden expect the remaining 4 Drosrite systems will start in 2024 it matches the announcement by PYR that they'll deliver the 4 remaining systems imminently. 2019 : Maaden Aluminium Co. (MAC), an affiliate of Saudi Arabian Mining Company (Maaden), has announced the signing of an agreement with Radian Oil and Gas Services Co. to provide environmental solutions, process aluminium by-products from aluminium smelting, and extract raw aluminium for manufacturing purposes. Both parties agreed to process 30,000-40,000 tonnes per year of aluminium by-products and extract raw materials for reuse in manufacturing processes : https://www.alcircle.com/news/maaden-aluminium-signs-agreement-with-radian-oil-and-gas-services-to-process-aluminium-by-products-48097#:~:text=Maaden%20Aluminium%20Co.,raw%20aluminium%20for%20manufacturing%20purposes. July 2021 : "The Entity currently does not have a facility to treat dross and is storing the dross within the plant periphery. Hence the recycling of treated Dross residue is not practiced. The Entity is in the process of developing a dross and dross residue treatment facility through built, own, operate and transfer (BOOT) contract with an external company. The timelines for completing the project is not included in the BOOT contract. Work has started at site for segregation of dross as per early work agreement." : https://www.google.com/url?sa=t&source=web&rct=j&opi=89978449&url=https://aluminium-stewardship.org/wp-content/uploads/2021/08/ASI-Summary-Audit-Report-Maaden-Aluminium-Certificate-139-PS.pdf&ved=2ahUKEwjhgLzu6ZeHAxV3k4kEHdcUDgcQFnoECCQQAQ&usg=AOvVaw3ZaOcF4yvMPrgKFJfgwrHq April 2022 : The final commissioning of these three DROSRITE™ systems has followed a client-specified implementation and operational period, during which the technology was used at full capacity and exhibited exceptional results. https://www.globenewswire.com/en/news-release/2022/04/25/2427904/0/en/Drosrite-International-LLC-Announces-Successful-Site-Acceptance-Test-of-First-Three-Fully-Operational-Drosrite-Systems-in-Saudi-Arabia-Reducing-Greenhouse-Gas-Emissions.html December 2023 : "Under the terms of the BOOT agreement, the Contractor will build, own, and operate the Plant for a period of 20 years after which the Plant will be transferred to the Group. The Group is required to make capacity payments to the Contractor which are contingent on the annual volume of dross processed from the Plant, from the date of commencement of commercial operations of the Plant. The expected commencement date of the Plant is by 2024." "Future capacity utilization – metric tonne “mt” 35,000 mt" "Percentage of completion of the Plant 46%" https://www.google.com/url?sa=t&source=web&rct=j&opi=89978449&url=https://www.maaden.com.sa/download/Ma%25E2%2580%2599aden_AR23_Front%2520Section.pdf&ved=2ahUKEwjelNnW75eHAxVmkIkEHanBBXUQFnoECBQQAQ&usg=AOvVaw13xomGmfVwiaAyqi9hoWXL

BCONTVentures wrote: Some great posts from @cargo from ceo:

@cargo Hmmmm... this is from Ma'aden Aluminum annual report 2023 https://www.maaden.com.sa/download/Ma%E2%80%99aden_AR23_Front%20Section.pdf Notice how this NEW 35MT dross processing facility is inside the premises of one of its Ma'aden subsidiaries and is expected to be operational 2024.

@cargo 20 year BOOT agreement:)

BCONTVentures wrote: Excellent, from the NR: 

“Not only does this acquisition clear up, once and for all, the accounting vs. legal ambiguity surrounding the relationship between PyroGenesis and Drosrite International, but it more importantly now provides PyroGenesis with a 100%-owned US subsidiary through which we can now consider expanding our activities,” said Mr. P. Peter Pascali, President and CEO of PyroGenesis Canada Inc. “This is an important first step within our continually evolving international strategy for the Company.”