11:51 AM EDT, 06/27/2024 (MT Newswires) -- PyroGenesis Canada ( PYRGF ) on Wednesday said it received a $4.1 million payment as part of a contract with Drosrite International, with additional payments to follow.

As part of the contract, PyroGenesis manufactured and delivered three Drosrite aluminum-dross recovery systems that have been in full commercial operation since April 2022 for the Ma'aden aluminum plant in Las Al-Khair Saudi Arabia, a joint venture with Alcoa. Four more systems are to be delivered.

The outstanding amount now due is about $6.2 million plus storage fees. Of this amount, about $1.38 million has been postponed to 2025 to match the delivery of spare parts.

Once the payment of the remaining balance due of about $4.8 million plus storage fees is secured, the remaining four systems, which have been manufactured and are currently in storage, will be shipped. All seven systems are expected to be up and running by the end of the year.

In connection with the original contract, $1.38 million has yet to be invoiced, which, once completed, will be recognized as revenue.

"The client has informed us repeatedly that the Drosrite systems have been operating exceptionally well, and while there have been some agreed upon delays, for which we received significant criticism with respect to our strategy, the board and I are very pleased with the outcome," said P. Peter Pascali, president and CEO of PyroGenesis.

PyroGenesis shares were last seen down $0.03 to $0.66 on the Toronto Stock Exchange.

Price: 0.66, Change: -0.03, Percent Change: -4.35