Oct 21 2016
PyroGenesis Canada Inc. (http://pyrogenesis.com) (TSX VENTURE:PYR) (OTCQB:PYRNF) (the "Company" or "PyroGenesis") that designs, develops, manufactures and commercializes plasma waste-to-energy systems and plasma torch products announces today that, further to its press release of July 5, 2016, wherein the Company announced that it had received payment for the demonstration of its DROSRITE™ System by a well-established waste management company located in the Middle East (the "Client"), has recently concluded the demonstration and is pleased to announce that the results have both met and exceeded the Client's expectations. This demonstration was conducted in the casting house of a major aluminum smelter.
Concurrently, PyroGenesis has received an unsolicited offer from the Client to be the sole distributor of PyroGenesis' DROSRITE™ System within the Gulf Cooperation Council (the "GCC"). Of note, the Middle East represents 8% of the world primary aluminum production market, which, after China, represents the largest aluminum producing region in the world.(1)
As previously announced, PyroGenesis' DROSRITE™ System is a salt-free, cost-effective, sustainable process for maximizing metal recovery from dross, a waste generated in the metallurgical industry. PyroGenesis' patented process avoids costly loss of metal while reducing a smelter's carbon footprint and energy consumption, providing an impressive return on investment. PyroGenesis filed for an international DROSRITE™ patent in 2012 and entered into the national phase application in 2014.
"The fact that PyroGenesis' DROSRITE™ system is salt free is very significant," said P. Peter Pascali, President and CEO of PyroGenesis. "Not only is DROSRITE™ the ideal technology to maximize aluminum recovery from dross, but because the residue is salt-free it is not hazardous and thus can be used commercially. In fact, the residue from our recent demonstration in the Middle East is being used in an industrial application. We are looking forward to the next steps in discussing how to roll out DROSRITE™ within the GCC."
"The primary aluminum industry produced over 110 million tonnes of aluminum worldwide in 2015, resulting in an estimated 2.1 million tonnes of dross,"(2) said Pierre Carabin, Chief Technology Officer of PyroGenesis. "It would take over 700 Drosrite™ systems to process all this dross, and this does not include dross from secondary and aluminum casting producers."
"These are indeed the results we were hoping for," said Alex Pascali, Sales Manager of PyroGenesis. "This successful demonstration provides PyroGenesis with additional opportunities to further expand within the Middle East, which area represents a potential market of over CAD 37M from primary aluminum producers alone."
"As previously mentioned, this is an exciting time for our DROSRITE™ technology," said Mr. Pascali. "We have been able to quickly leverage off of the commercial acceptance of our patented process earlier this year, to penetrate the Middle Eastern market, which market is the second largest market in the world. We will continue to effectively identify opportunities for our DROSRITE™ System worldwide, and, as a result, we expect to see significant growth from this business segment over the very near future."