PyroGenesis provides update on its iron ore pelletization torch business line

PyroGenesis Canada provides today an update on its iron ore pelletization torch business line following recent inquiries from investors. Further to its press release dated September 14, 2021, PyroGenesis announces the successful delivery of four 1-MW plasma torch systems to a major international iron ore producer, Client B, for use in the Client’s iron ore pelletization furnaces. With the completion of this delivery, Client B now has all the necessary components related to the Company’s plasma torch systems. This allows for the installation and trials to proceed at the Client’s discretion. Despite the ongoing supply chain challenges, the completion of these trials is expected by the end of Q2 2023. In addition, PyroGenesis reports that the value of this contract has increased by approximately $500,000 as a result of additional modifications requested by the Client during manufacturing. Total value of the project now exceeds $6.5M. As the delivery milestone associated with this payment has been met, a payment of approximately $2.1M is expected to be received within the next few weeks. Separately, the Company is also pleased to confirm that the previously announced planned trials of its plasma torch system with another client, Client A, continue to advance. Client A informed PyroGenesis that, despite the Client’s own operational delays, all objectives remain the same, and the trials will be going ahead as designed. As noted previously, Client A’s trials using an active iron ore pelletization furnace will be conducted based on their own engineering, facility, and personnel readiness. Client A and Client B are conducting these trials at full purchase cost to them, not as equipment loans or free trials. "With the delivery of the four completed plasma torch systems to Client B, we now have PyroGenesis’ plasma torch systems in the hands of two of the largest, most influential companies in the global iron and steelmaking value chain," said P. Peter Pascali, CEO and Chair of PyroGenesis.