Mr. P. Peter Pascali reports

PYROGENESIS SIGNS FIRST CONTRACT TOWARD NEW TITANIUM POWDER SUPPLY AGREEMENT WITH U.S. MATERIALS DISTRIBUTOR

PyroGenesis Inc. has signed its first contract toward a new titanium powder supply agreement with a U.S.-based materials distributor (the client). The powder for this order has been produced by PyroGenesis's NexGen plasma atomization process and is to be shipped this week. The client's identity and contract details will remain confidential for competitive reasons.

As disclosed in the outlook section of the company's Q2 2026 earnings release, dated Aug. 6, 2026, the company has been in discussion with several companies regarding titanium powder orders, including a U.S.-based materials distributor for a monthly supply agreement of up to 500 kilograms. Today's contract represents the first commercial order arising from those discussions. The client has since indicated that its potential monthly requirements could reach 1,000 kilograms (one tonne); however, no commitment for recurring orders at that volume has been made.

The order is for Ti64 fine-cut powder, with a particle size range of 20 to 80 microns. This powder is typically used in laser powder bed fusion (LPBF), an additive manufacturing technology widely used to produce complex, high-density components for the aerospace, health care and automotive industries. The client supplies U.S. customers in the aerospace, defence, energy and broader advanced manufacturing sectors.

"The contract announced today directly supports the strategic goals outlined in our April 29, 2026, press release: positioning the additive manufacturing division for its next level of growth, with operations anticipated to be several times larger than those currently in place," said P. Peter Pascali, president and chief executive officer of PyroGenesis. "This relationship with a well-connected materials distributor serving both the aerospace and defence sectors will help us expand our customer base in these two key industries that we have identified as central to achieving those strategic goals."

PyroGenesis's technology development for additive manufacturing

PyroGenesis is the inventor of the plasma atomization process and in fact coined the term plasma atomization in its original patent. Plasma atomization is often considered the gold-standard process for the production of metal powder for additive manufacturing, also referred to as metal 3-D printing.

After years of R&D (research and development), PyroGenesis redesigned its plasma atomization technology and launched NexGen to re-enter the powder production market by targeting higher quality and yields, at lower operating costs. The company has since taken a deliberate approach to commercialization, progressing from gram-scale customer samples to 100-kilogram orders and its first tonne-scale order in May, 2023.

PyroGenesis produces titanium powders in particle size distribution ranges across three cuts:

• Fine cut, in particle sizes between 15 and 63 microns, for use in laser powder bed fusion (LPBF);
• Coarse cut, in particle sizes between 45 and 106 microns, for use in electron beam melting (EBM), and between 45 and 150 microns, for use in directed energy deposition (DED);
• Off-cuts, in particle sizes not currently used by the existing range of commercial printers but which offer a high-quality feedstock for use in the production of high-quality metal alloys.

Industry and market context:

• The global 3-D printing market specific to titanium powder is expected to increase from $214-million in 2023 to $1.4-billion by 2032.
• Titanium is classified as a critical mineral by both Canada and the United States.
• Titanium is used by multiple industries, including space, aerospace, defence, consumer electronics, medical, hydrogen and electric vehicles, due to its high strength-to-weight ratio and corrosion resistance.

About PyroGenesis Inc.

PyroGenesis leverages 35 years of plasma technology leadership to deliver advanced engineering solutions to energy, propulsion, destruction, process heating, emissions and materials development challenges across heavy industry and defence. Its customers include global leaders in aluminum, aerospace, steel, iron ore, utilities, environmental services, military and government. From its Montreal headquarters and local manufacturing facilities, PyroGenesis's engineers, scientists and technicians drive innovation and commercialization of energy transition and ultrahigh-temperature technology. PyroGenesis's operations are ISO 9001:2015 and AS9100D certified, with ISO certification maintained since 1997. PyroGenesis's shares trade on the Toronto Stock Exchange (symbol: PYR), the OTCQX (symbol: PYRGF) and the Frankfurt Stock Exchange (symbol: 8PY1).

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