On September 13, 2022, PyroGenesis Canada Inc. announced that it has been chosen by an advanced materials and chemicals trading house in the Southern hemisphere (the “Client”) to provide the Company's SPARC™ refrigerant waste destruction system. The Client's name will remain confidential for competitive reasons. The system is the first of two systems that the company has indicated they may require.

With engineering services, ancillary equipment options, and after-sales support, the ultimate project cost will be between USD 2 million – USD 5 million per system depending on final decisions regarding full deliverables and the final agreement is expected to be signed before the end of the second quarter of 2023. As part of a greenfield project, where the Client has purchased land and are building a new facility, it is anticipated that PyroGenesis will be designing and building the SPARC™ refrigerant waste destruction system, while supervising and supporting contractors in the installation of the facility. The project has an approximate production-to-delivery timeline of 18 months from final contract signing.

The Client is a major supplier of chemicals and advanced materials throughout the Southern hemisphere. With a half-century of experience in logistics, storage, and handling of materials across a range of applications and industries, the Client – like PyroGenesis – maintains an ISO 9001 designation in support of its numerous global partnerships. PyroGenesis' patented SPARC™ system is based on the technology platform originally developed by the Company for the U.S. Navy and a U.S. Air Force base.

It uses inexpensive steam as the plasma-forming gas to generate a hydrolysis reaction which destroys refrigerants, leading directly to significantly reduced operating costs (versus more expensive gases) and cleaner operations with no incineration. Powered by electricity, use of the SPARC™ system substantially reduces carbon footprint, while eliminating ozone-depleting substances. It also destroys other chemicals such as CFCs, HCFCs, HFCs, Halons, and PFCs.