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PyroGenesis receives LOI for three Drosrite units
2021-06-07 15:20 ET - News Release
Mr. Peter Pascali reports
PYROGENESIS ANNOUNCES RECEIPT OF AN LOI FOR THREE 10-TON DROSRITE SYSTEMS FROM AN EXISTING CLIENT
PyroGenesis Canada Inc. has received a letter of intent (LOI) from an existing client, to purchase three 10-tonne Drosrite systems. The contract, if finalized, is expected to be in the range of $10-million to $15-million. The client's name shall remain anonymous for competitive and confidential reasons.
As a result of an existing client's decision to expand its aluminum processing facilities, a need to process an additional 30 tonnes of dross is anticipated. At this stage, three 10-tonne Drosrite systems are projected to be needed, but this may change to a combination of five-tonne and 10-tonne Drosrite systems.
"This is indeed a very interesting development and one which we did not expect," said P. Peter Pascali, chief executive officer and chair of PyroGenesis. "Today's announcement is confirmation of the rapid adoption of our environmental technologies within the aluminum industry. Our Drosrite offering enables smelters to operate in a more economical and environmentally friendly fashion.
"Aside from the three systems disclosed today, PyroGenesis now has 11 commercial Drosrite systems either in full operation, delivered or in the process of being delivered," added Mr. Pascali. "Once all 11 systems are in operation, the company expects to benefit from a recurring revenue stream, from spare parts alone, in excess of $4-million per year."
PyroGenesis's Drosrite system is a salt-free, cost-effective, sustainable process for maximizing metal recovery from dross, a waste generated in the metallurgical industry. PyroGenesis's process avoids costly loss of metal while reducing a smelter's carbon footprint and energy consumption, providing an impressive return on investment.