Mr. P. Peter Pascali reports

PYROGENESIS ANNOUNCES CLOSING OF $1.5-MILLION PRIVATE PLACEMENT

PyroGenesis Canada Inc. has closed a private placement of $1.5-million of units of PyroGenesis at 35 cents per unit, each unit consisting of one common share and one-half of one common share purchase warrant of PyroGenesis. Each warrant entitles its holder to acquire an additional common share at an exercise price of 55 cents per warrant share for a period of 24 months following the closing of the private placement.

The common shares constituted qualifying shares for the purposes of the Quebec stock savings plan II.

Each unit will be subject to a statutory hold period of four months and one day from the closing date of the private placement, and the private placement remains subject to final approval from the TSX Venture Exchange. A cash commission of 7 per cent of the gross proceeds of the private placement was paid to Industrial Alliance Securities, along with 300,000 compensation options, representing 7 per cent of the units sold under the private placement. Each compensation option is exercisable for one unit at the issue price for a period of 24 months from closing of the private placement.

PyroGenesis intends to use the net proceeds from the private placement for general corporate purposes and working capital.

We seek Safe Harbor.