PyroGenesis Signs First Major Exclusive Commercial Agreement for Sale of Titanium (Ti-6Al-4V) Powders
MONTREAL, May 17, 2018 (GLOBE NEWSWIRE) -- PyroGenesis Canada Inc. (http://pyrogenesis.com) (TSX-V: PYR), (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.”
About PyroGenesis Canada Inc.
PyroGenesis Canada Inc., a TSX Venture 50® high-tech company, is the world leader in the design, development, manufacture and commercialization of advanced plasma processes. We provide engineering and manufacturing expertise, cutting-edge contract research, as well as turnkey process equipment packages to the defense, metallurgical, mining, advanced materials (including 3D printing), oil & gas, and environmental industries. With a team of experienced engineers, scientists and technicians working out of our Montreal office and our 3,800 m2 manufacturing facility, PyroGenesis maintains its competitive advantage by remaining at the forefront of technology development and commercialization. Our core competencies allow PyroGenesis to lead the way in providing innovative plasma torches, plasma waste processes, high-temperature metallurgical processes, and engineering services to the global marketplace. Our operations are ISO 9001:2008 certified, and have been since 1997. PyroGenesis is a publicly-traded Canadian Corporation on the TSX Venture Exchange (Ticker Symbol:PYR) and on the OTCQB Marketplace. For more information, please visit www.pyrogenesis.com.
This press release contains certain forward-looking statements, including, without limitation, statements containing the words "may", "plan", "will", "estimate", "continue", "anticipate", "intend", "expect", "in the process" and other similar expressions which constitute "forward- looking information" within the meaning of applicable securities laws. Forward-looking statements reflect the Corporation's current expectation and assumptions, and are subject to a number of risks and uncertainties that could cause actual results to differ materially from those anticipated. These forward-looking statements involve risks and uncertainties including, but not limited to, our expectations regarding the acceptance of our products by the market, our strategy to develop new products and enhance the capabilities of existing products, our strategy with respect to research and development, the impact of competitive products and pricing, new product development, and uncertainties related to the regulatory approval process. Such statements reflect the current views of the Corporation with respect to future events and are subject to certain risks and uncertainties and other risks detailed from time-to-time in the Corporation's ongoing filings with the securities regulatory authorities, which filings can be found at www.sedar.com, or at www.otcmarkets.com. Actual results, events, and performance may differ materially. Readers are cautioned not to place undue reliance on these forward-looking statements. The Corporation undertakes no obligation to publicly update or revise any forward- looking statements either as a result of new information, future events or otherwise, except as required by applicable securities laws.
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