PyroGenesis Canada Inc. (TSX:PYR, NASDAQ:PYR) said it has passed the annual quality audit for two key international standards and has provided an update on its 3D printing metal powders business line.
The Montreal-based company said it recently underwent the yearly audit process for ISO 9001:2015 and AS 9100, with the latter a quality management designation specific to the aerospace industry. The audits encompassed all PyroGenesis facilities for the purpose of meeting compliance with the existing quality management designations.
The company said it received zero non-conformances reports. Additionally, as a result of this audit, the company said its newest facility located in LaSalle, Quebec was officially added to the ISO 9001:2015 certification.
PyroGenesis CEO P Peter Pascali said he is pleased with his team’s continued adherence to maintaining the company’s high standards as process owners of the quality system.
“Along with a superior product, a robust and efficient value-added auality management system is essential to meeting our objective of becoming a globally competitive company in the additive manufacturing and 3D printing sector. This is even more important given the backdrop of recent developments where potential clients complete their own audit process with the goal to qualifying PyroGenesis as a powder supplier,” Pascali noted in a statement.
PyroGenesis said it continues on the path to becoming ISO 13485:2016 certified, a quality management system designation required by most manufacturers within the medical devices and related services industry. Once obtained, the company said its metal powder offerings would be available to medical device makers.
The company said it recently completed an in-house audit of its NexGen metal powder production facility by a global aerospace company, as a major part of the final phase of the client’s qualification process. This process spanned over 18 months of investigative rigor toward the company becoming an approved supplier of metal powders to its client and its suppliers.
According to PyroGenesis, its client had suggested modifications and adjustments in order to proceed with delivery of final samples of titanium powder for chemical and mechanical testing.
“We are proud to announce that in less than a month, the company has completed, as of this writing, over 90% of those suggestions, and is working on completing the remaining 10% before the end of the year. Once completed, the company will proceed with delivery of final samples of titanium powder for chemical and mechanical testing by the client,” the company said.
Additive division for 3D printing of metal powders
The company noted that its Additive division aims to become a leading supplier of plasma atomized metal powders to end-users of additive manufacturing and 3D printing, specifically targeting, but not limited to, the aerospace, biomedical, and automotive industries.
PyroGenesis VP Additive Massimo Dattilo said: “Validating our process, our system, and ultimately our product, to the most stringent and challenging standards has been critical to our strategy to produce the highest quality titanium metal powders. We continue to be on track for a 4Q 2022 / 1Q 2023 target for final submission and approval.”
The company said its NexGen metal powder production system is unique because it uses wire as a direct feedstock to enable it to produce significant gains in production speed, particle size control and cost.
PyroGenesis also said it has entered early-stage discussions with at least one potential partner to build and operate a metal powder manufacturing facility in Europe. The company said this is not expected to result in any significant action before 2023.
The company also said it is upgrading and repurposing one of its existing plasma-atomization reactors, previously used for various metal powder research and development activities. By doing so, this reactor will be able to produce commercial metal powders for specialty applications.
According to a Grandview Research report from October 18, 2022, the market size is estimated to reach US$76.16 billion by 2030, growing at a compound annual growth rate of 20.8% over the forecast period.
The company said the report noted that: “The growth of the market can be attributed to the growing adoption of additive manufacturing in industrial applications for enhancing production and shortening the time to market. The growing adoption of three-dimensional printers by the incumbents of automotive, healthcare, and aerospace and defence, among other industries and industry verticals, is also expected to drive the growth of the market over the forecast period.”
This expected growth, and the need for adequate industrial preparation, has stimulated discussions at the political level, the company noted.
In the US, President Joe Biden’s administration has indicated it views 3D printing as key to enabling American manufacturers to grow and to create more jobs, and is actively encouraging large companies to adopt additive manufacturing through that administration’s official backing of a program called Additive Manufacturing Forward, where companies sign a public commitment to increase use of the technology.
According to PyroGenesis, the “lead-by-example” program has already attracted some of the world’s most prominent companies in the sector, including Boeing, Northrup Grumman, GE Aviation, Siemens, Raytheon, and Lockheed Martin.
The 3D Printing ETF managed by ARK Invest was designed to track the stock price movements of companies involved in the 3D printing industry, PyroGenesis said, noting that it has continuously been one of the few Canadian companies included across the ARK suite of funds since being added in January 2021.
The company said its weight in the fund’s underlying index has increased for six consecutive quarterly fund rebalances, with its most recent rebalance in the week of October 21, 2022, increasing ARK’s shareholdings of PyroGenesis in the fund by more than 60%.
Pascali said the company takes that with a grain of salt: “While we are pleased with the recognition alongside some of the most significant companies and innovators in the 3D printing industry, I would caution anyone to extrapolate ARK’s investment in PyroGenesis as a validation of its stock price or the worth of the company."
Contact the author at susie@proactiveinvestors.com