PyroGenesis signs $12.5 million contract for powder production systems for 3D Printing and states that its order backlog now exceeds $20 million

July 9, 2014

PyroGenesis Canada Inc., based in Montreal, Canada, has announced that it has signed a contract with a major international manufacturer for ten plasma-based powder production systems for 3D printing. The contract is for the supply by PyroGenesis of ten of its unique metal powder production platforms to the customer over an 18 month period for a contract value of $12.5 million. The customer’s name is being withheld for competitive reasons.

With this contract in hand, the company’s backlog of signed contracts now exceeds $20 million or the equivalent of approximately 350% of the company’s revenues in its previous fiscal year, all of which is expected to be completed by year end 2015.

“As mentioned in our March 31, 2014 press release, one of the limiting factors in the full commercialization of 3D printing for metal products is the availability of high-quality, high-purity metal powder,” stated P Peter Pascali, President and Chief Executive Officer of PyroGenesis.

“Our patented platform can produce these powders effortlessly. It is a proven product with completed commercial sales having already taken place in North America and Europe. What is more exciting is the demand we are currently experiencing for this product line worldwide.”

The customer is looking to PyroGenesis and its plasma-based technology to ensure a strategic and continuous supply of metal powder feedstock for their own internal 3D printing production use.

“This contract highlights the success PyroGenesis is having with the focused business development strategy implemented last year; the effects of which we are only now beginning to see,” noted Pascali, “and it once again underscores the success PyroGenesis is having in deploying its core plasma technology to niche, high-margin applications.”

According to World 3D Printing (Additive Manufacturing), a report issued by the Freedonia Group in December 2013, world demand for 3D printers, materials and software will rise 21% yearly to US$ 5 billion in 2017. This report also highlights faster growth projections for metals, as well as rapid gains in markets such as aerospace. 

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