PyroGenesis Canada Inc. (TSX:PYR, NASDAQ:PYR) said it has received the final signed contract to provide its SPARC refrigerant waste destruction system to an advanced materials company.
The company said the system is the first of two that the client has indicated they may require, with the first system contracted at approximately $6 million, not including ongoing after-sales support of an indeterminate amount. This contract includes a first payment of approximately $2.2 million, which has already been received, it added.
“This contract is for a land-based SPARC system which comes on the heels of the recent announcement of the first deployment for the USS Gerald R. Ford aircraft carrier – the world’s most technologically advanced ship – which set sail with PyroGenesis’ ship-board PAWDS waste destruction system installed,” PyroGenesis CEO and chair P. Peter Pascali said in a statement. “The PAWDS system is, interestingly, the technology platform used for SPARC.”
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PyroGenesis explained that its patented SPARC system is based on the technology platform originally developed by the company for both the US Navy and US Air Force. It uses inexpensive steam as the plasma-forming gas to generate a hydrolysis reaction that destroys refrigerants, leading directly to significantly reduced operating costs when compared to processing more expensive gases, with cleaner operations and with no incineration.
Powered by electricity, the company said the SPARC system substantially reduces an operator’s carbon footprint while concurrently eliminating ozone-depleting substances. The SPARC system is extremely versatile as it can also destroy other chemicals such as CFCs, HCFCs, HFCs, Halons, and PFCs.
PyroGenesis said it has been contracted to design and build the SPARC refrigerant waste destruction system. It will also supervise and support contractors in the system installation within a new facility being built by the client. The project has an approximate production-to-delivery timeline of 18 months.
“PyroGenesis continues to be recognized for its fossil-free waste destruction systems, in jurisdictions where tightened hazardous waste disposal regulations combined with cost-offsetting carbon credits are resulting in a need for a safer destruction of various hydrocarbons, including refrigerant chlorofluorocarbons,” Pascali added.
PyroGenesis Canada is a leader in the design, development, manufacture and commercialization of advanced plasma processes and sustainable solutions that reduce greenhouse gases, and are economically attractive alternatives to conventional "dirty" processes.
Contact the author at stephen.gunnion@proactiveinvestors.com