PyroGenesis Canada Inc. announced that production of the fumed silica pilot plant is underway, which is intended to be in operation in second quarter of 2024. The Fumed Silica Reactor ("FSR"), a plasma-based process, converts quartz into fumed silica (also known asrogenic Silica) in a single and eco-friendly step. In collaboration with HPQ Polvere, PyroGenesis confirms that a third-party laboratory at McGill University has validated the commercial quality of the material, highlighting its (i) hydrophilic nature, (ii) high surface area of 135-185 m2/g, and (iii) thickening efficiency characteristics, all of which are pivotal for its commercial applications.

In addition to this analysis, the latest testing on the material produced with the FSR has demonstrated that HPQ's proprietary FSR technology as developed by PyroGenesis not only addresses the increasing market demand but also offers substantial benefits in terms of energy efficiency and reduced environmental impact. The test results indicate an expected reduction in energy consumption for the production of fumed silica using FSR. Theoretical estimates suggest a notable reduction in energy consumption ranging from 87.5% to 90% compared to conventional processes while CO2 eq. emissions can be reduced by 84% to 88% compared to conventional processes.

In the FSR project, PyroGenesis is the exclusive supplier of a technology capable of using quartz (SiO2) as a raw material to produce commercial-grade fumed silica, in a single step. PyroGenesis' involvement in developing fumed silica from quartz is part of PyroGenesis' three-tiered solution ecosystem that aligns with economic drivers that are key to global heavy industry. High-purity silicon is part ofPyroGenesis' Commodity Security & Optimization tier, where the recovery of viable metals and the optimization of production to increase output helps to maximize raw materials and improve the availability of critical minerals.

Silicon Silicon Inc. ("HPQ" or the "Client") has been successfully performed. Separately, the Company announces that production of the fume silica pilot plant is underway. The FSR Reactor ("FSR"), an independent structural and chemical analysis of fumed silica, produced in conjunction with HPQ Polvere Inc. ("HPQ Polvere"), a wholly owned subsidiary of HPQ, has been successfully performed.Separately, the Company announced that production of the fume Silica pilot plant is underway,which is intended to be in operation In the second quarter of 2024.

The company has now moved towards the long-awaited next phase: a pilot plant scheduled to start operations in the second quarter of 2024, as previously anticipated. The technology developed by PyroGenesis for HPQ Polvere offers significant economic advantages over conventional manufacturers. Its unique capability not only improves profitability, but also reduces the environmental footprint associated with fumed silica production, thus contributing to greenhouse gas emissions reduction and enabling the industry to move towards a more sustainable and environmentally friendly future - all key criteria that feel will be of great interest to the parties who have already requested samples under NDA with HPQ.

As a reminder, as part of the terms on the FSR projects, PyroGenesis benefits from a royalty payment representing 10% of the Client's eventual sales, with set minimums. In the FSR project., PyroGenesis is the exclusive suppliers of a technology capable of using Quartz (SiO2) as an raw material to produce commercial- grade fumed silica, in the single step. PyroGenesis's involvement in developing fumed silico from quartz is part of Pyro Genesis' three-tiered solutions that aligns with economic drivers That are key to global heavy industry". High-purity silicon ispart of PyroGenesis' Commodity security & Optimization tier, where The recovery of viable metals and the optimization of production to increase output helps maximize raw materials and improve the Availability of critical minerals.

Silicon Silicon, which is expected to be in operation in the second quarter of 2024.