PyroGenesis Canada Inc (CVE:PYR) (OTCQB:PYRNF) said Wednesday it has received a US$400,000 payment as part of an agreement with a US-based tunneling company.
The new agreement, executed during the coronavirus pandemic, has the “makings of a long-term relationship,” according to CEO Peter Pascali.
“We are proud to be able to announce this relationship, particularly given the current environment where investors are more focused on multiple secure revenue streams,” Pascali said.
READ: PyroGenesis Canada successfully completes all torch tests for Swedish client; receives final payment
“It is important to underscore the fact that this relationship was not born out of the current crisis and, as such, is expected to continue well after the pandemic is behind us.”
The agreement, which is still being formalized, will see PyroGenesis develop and supply high-powered plasma torches designed specifically for tunneling applications. Plasma-based tools have more potential to drill through all forms of geologies with more flexibility in size diameter, according to PyroGenesis.
PyroGenesis will also be involved in all aspects of design and development for the unnamed company’s project. The scope of work involves several phases based on ongoing results.
“This agreement, once again, underscores our plasma torch expertise, and we are pleased to be applying it to a very unique and significant opportunity,” said Alex Pascali, PyroGenesis’s business development manager. “This highlights the fact that we not only sell plasma torches, but also provide the expertise required to develop cutting edge plasma-based applications.”
Montreal-based PyroGenesis designs, manufactures and commercializes advanced plasma processes and products.
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