PyroGenesis gives 90-day cancellation notice to Earth

Executive Summary

• PyroGenesis Inc. has issued a 90-day cancellation notice to EarthGrid, terminating their exclusivity arrangement and the existing master agreement for tunnelling-related projects.
• The termination follows a previous announcement where PyroGenesis received a $500,000 non-refundable down payment from EarthGrid (a US-based technology company) under a signed master agreement.
• PyroGenesis intends to end exclusivity to pursue tunnelling-related projects with other interested parties after the 90-day notification period concludes.

Key Details

• Action: PyroGenesis provided a 90-day notice to EarthGrid to end the exclusivity arrangement and cancel the master agreement.
• Effective Date: The termination and release from terms will occur at the conclusion of the 90-day notification period.
• Previous Transaction Context: On Jan. 16, 2024, PyroGenesis announced it received a non-refundable down payment of $500,000 (U.S.) from EarthGrid.
• Agreement Terms: The down payment was made pursuant to a signed master agreement that provided for a period of exclusivity, during which EarthGrid was expected to secure financing and complete a first statement of work.
• Extension: The terms of exclusivity had been previously extended between PyroGenesis and EarthGrid.
• Strategic Rationale: PyroGenesis believes releasing both parties from the master agreement is the best route forward, allowing PyroGenesis to be free to pursue tunnelling-related projects with other interested parties.

Notable Quotes

• "Given recent developments, PyroGenesis believes the best route forward is to release both parties from the terms of the master agreement and end exclusivity as of the conclusion of the 90-day notification period."