PyroGenesis Announces Receipt of $4.8MM Down Payment under US Navy Contract

Rhea-AI Summary

PyroGenesis Canada has received a $4.8 million down payment under an $11.5 million contract to supply waste destruction systems for the US Navy's aircraft carriers, USS Enterprise and USS Doris Miller. The systems are set for construction over the next 18 months. Additionally, the company anticipates an incoming payment of $2.65 million from Drosrite International. This contract highlights PyroGenesis's ongoing involvement in advanced plasma applications for defense and environmental sectors.

Positive

• Receipt of $4.8 million down payment under an $11.5 million contract.
• Contract to provide waste destruction systems for US Navy vessels.
• Expected to receive an additional $2.65 million from Drosrite International.

Negative

• None.

MONTREAL, Oct. 05, 2020 (GLOBE NEWSWIRE) -- PyroGenesis Canada Inc. (http://pyrogenesis.com) (TSX-V: PYR) (OTCQB: PYRNF) (FRA: 8PY), a high-tech company, (the "Company", the “Corporation” or "PyroGenesis") that designs, develops, manufactures and commercializes plasma atomized metal powder, plasma waste-to-energy systems and plasma torch products,  is pleased to announce that, further to its press release dated September 4th, 2020, it has received the first payment (“Down Payment”) of approx. $4.8MM under the previously announced $11.5MM contract (the “Contract”). The Contract is to provide two of PyroGenesis’ waste destruction systems (the “Systems”), one for each ship of the US Navy’s two-ship build.

The Systems are expected to be built within the next 18 months, and are to be installed on the next Gerald R. Ford-class US aircraft carriers; the USS Enterprise (CVN-80) and the USS Doris Miller (CVN-81).

Separately, the Company expects to receive an additional $2.65MM from Drosrite International over the next few weeks.

About PyroGenesis Canada Inc.

PyroGenesis Canada Inc., a high-tech company, is the world leader in the design, development, manufacture and commercialization of advanced plasma processes and products. We provide engineering and manufacturing expertise, 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 9001:2015 and AS9100D 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. Neither the TSX Venture Exchange, its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) nor the OTCQB accepts responsibility for the adequacy or accuracy of this press release.

SOURCE PyroGenesis Canada Inc.
For further information please contact:
Rodayna Kafal, Vice President Investors Relations and Strategic Business Development,
Phone: (514) 937-0002, E-mail: ir@pyrogenesis.com  
RELATED LINK: http://www.pyrogenesis.com/ 

FAQ

What is the value of the contract announced by PyroGenesis Canada on October 5, 2020?

The contract is valued at $11.5 million.

When will the waste destruction systems be built for the US Navy?

The systems are expected to be built within the next 18 months.

What down payment did PyroGenesis Canada receive under the contract?

PyroGenesis Canada received a down payment of approximately $4.8 million.

Which US Navy ships will receive the waste destruction systems from PyroGenesis?

The systems will be installed on the USS Enterprise (CVN-80) and the USS Doris Miller (CVN-81).

What additional payment is PyroGenesis expecting soon?

The company expects to receive an additional $2.65 million from Drosrite International.