Mr. Peter Pascali reports

PYROGENESIS ANNOUNCES RECEIPT OF $2MM PAYMENT UNDER EXISTING DROSRITE(TM) CONTRACT

PyroGenesis Canada Inc. has received a payment of $1.5-million (U.S.) (approximately $2-million) under the company's existing $25-million-plus Drosrite contract. A balance of $8-million (U.S.) (approximately $10.7-million) remains to be received under the contract.

As previously announced, PyroGenesis contracted with Drosrite International LLC, which was in turn contracted by Radian Oil and Gas Services Company for an order of seven Drosrite systems. The first three systems have passed site acceptance testing and are currently in full commercial operation at the Ma'aden plant in Ras Al-Khair, which is a joint venture corporation with Alcoa. Ras Al-Khair is known to be the largest and most efficient vertically integrated aluminum complex in the world and boasts one of the world's largest smelters. The remaining four systems under the contract have already been manufactured and are ready for deployment subject to a renewed payment schedule.

"We trust that this payment will allay any concerns that some may have had with respect to the collectability of this receivable," said P. Peter Pascali, chief executive officer and president of PyroGenesis. "The payment announced today was made in accordance with a continuously revised payment schedule geared to better align the pressures on the end client's operating cash flows created by increased business opportunities. While there have been some delays, which were communicated to us in advance, the company is in agreement with the general strategy being implemented by the client and its end client. PyroGenesis believes that this relationship will lead to increased business opportunities as we cross-sell our downstream and upstream business lines with this end client and potentially with others in the region. Discussions in this regard have taken place, and continue to take place, with the client and the end client. Although we anticipate receiving future payments based on the revised schedule being worked out, we recognize the possibility of future periodic payment delays due to unforeseen circumstances beyond our control. Nevertheless, based on the information we have, we view this project as a stepping stone to generating more business opportunities in the Middle East region."

PyroGenesis will provide updates on the revised payment schedule as they become available.

About PyroGenesis Canada Inc.

PyroGenesis Canada, a high-tech company, is a proud leader in the design, development, manufacture and commercialization of advanced plasma processes and sustainable solutions which reduce greenhouse gases, and are economically attractive alternatives to conventional dirty processes. PyroGenesis has created proprietary, patented and advanced plasma technologies that are being vetted and adopted by multiple multibillion-dollar industry leaders in four massive markets: iron ore pelletization, aluminum, waste management and additive manufacturing. With a team of experienced engineers, scientists and technicians working out of its Montreal office, and its 3,800-square-metre and 2,940-square-metre manufacturing facilities, PyroGenesis maintains its competitive advantage by remaining at the forefront of technology development and commercialization. The operations are ISO 9001:2015 and AS9100D certified, having been ISO certified since 1997.

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