PyroGenesis Canada Inc., a high-tech company that designs, develops, manufactures and commercializes advanced plasma processes and sustainable solutions which are geared to reduce greenhouse gases (GHG) and address environmental pollutants, is pleased to announce a signed contract valued at approximately $27 million (US$19.6 million) from an existing U.S. client which provides technology and test services geared to solving critical defense, military, aeronautics, and space exploration challenges. The name of the client will remain anonymous for confidentiality reasons.

The client, which previously ordered a 4.5MW plasma torch system from PyroGenesis in August 2023, regularly serves as a prime contractor for the U.S. government. This new project does not impact the ongoing 4.5MW plasma torch system project.

This second project is for the development of a plasma torch system powered at 20 megawatts. A plasma torch at this power level, based on PyroGenesis’ own research, represents one of the most powerful (if not the most powerful) plasma torches ever produced commercially. The project is expected to start within the next 30 days, with an approximate duration of 3 years – pushing the Company’s project backlog to over $55 million for the first time in its history. This represents an increase of over 90% from the $29.8 million backlog announced during PyroGenesis’ second quarter 2024 earnings.

“This landmark contract for a PyroGenesis-developed 20 MW plasma torch system raises the bar globally for plasma power and demonstrates the role PyroGenesis’ technology plays for significantly more challenging high, ultra-high, and now hyper-high temperature and power needs. This need is seen specifically within aerospace, defense, and certain heavy industries,” noted P. Peter Pascali, President and CEO of PyroGenesis. “Beyond its use in military and aeronautics, plasma torches of this power level position us well to expand our capabilities into other industries requiring appreciably higher power level technology, such as glass, cement, petrochemical, and metal and mineral heating, as well as melting industries – a requirement that is becoming more common as global energy transition measures, and the demand for unique high power heat applications, accelerate. The critical nature and the advanced science involved in this client’s application underscores the regard that clients have for PyroGenesis’ scientific and engineering capabilities.”

PyroGenesis’ development of plasma torches for use in high temperature applications are part of its three-tiered solution ecosystem that aligns with economic drivers that are key to global heavy industry. Plasma torches are part of its Energy Transition & Emissions Reduction vertical, where fuel switching to its electric-powered plasma torches helps heavy industry reduce fossil fuel use and greenhouse gas emissions.