A Milestone for Amaero and an Important Step Towards Securing a U.S. Domestic Supply Chain for Additive & Advanced Manufacturing of Titanium End-Parts
McDONALD, Tenn., Dec. 03, 2024 (GLOBE NEWSWIRE) -- Amaero International Limited (ASX:3DA) (“Amaero” or the “Company”) a leading U.S. domestic producer of high-value C103, refractory alloy, and titanium powders for additive and advanced manufacturing of components utilized by the defense, space, and aviation industries is pleased to announce that it has signed a 3-year Supply Agreement for U.S.-melt and forged titanium alloy bar with The Perryman Company (“Perryman”).
For the 3-year term of the contract, Perryman will be Amaero’s preferred and primary supplier of high quality, reliable and scalable U.S.-melt and forged titanium alloy bar feedstock for its atomization of premium spherical powder. The Agreement provides a baseline price in CY2025. For the subsequent years of the contract, the base price increases annually by an agreed upon fixed percentage and includes a variable raw material surcharge that’s based on a reference index market price for Ti64. Amaero has provided non-binding estimates of minimum annual demand and will provide Perryman with updates on a quarterly basis. Amaero has not provided a take or pay guarantee; however, the stipulated pricing is based on achieving minimum annual order threshold of 45 metric tons for CY2025 and 100 metric tons for CY2026 and CY2027. The contract does not provide a maximum volume and it is understood that Amaero may increase volume to meet its order demand.
Hank J. Holland, Amaero Chairman and CEO commented, “Amaero aims to be the premium C103, refractory and titanium spherical powder producer with a vertically-integrated U.S. domestic supply chain. Securing a long-term U.S.-sourced supply agreement for titanium bar from a global leader in titanium melt and forging is an important milestone for Amaero and an important step towards securing a U.S. domestic supply chain for additive / advanced manufacturing of titanium end-parts.
“Amaero has taken bold actions and made decisive investments to commission the largest U.S. domestic atomization capacity for C103, refractory and titanium alloy powders. After decades of offshoring manufacturing, we have atrophied our manufacturing capabilities, we have created critical vulnerabilities in the domestic supply chain and we have lost approximately 40% of the domestic manufacturing workforce. Acting with a sense of urgency to improve the resiliency and the scalability of the U.S. domestic manufacturing and supply chain ecosystem is an imperative for both national security and for economic prosperity.
“We are excited to establish a strategic partnership with Perryman and look forward to growing the breadth and the scale of the preferred supplier relationship.”
About Amaero
Amaero International Limited (ASX:3DA) is an ASX-listed company with manufacturing and corporate headquarters located in Tennessee, USA. Amaero is a leading U.S. domestic producer of high-value C103, refractory alloy, and titanium powders for additive and advanced manufacturing of components utilized by the defense, space, and aviation industries. The technical and manufacturing team brings decades of experience and know-how with pioneering work in gas atomization of refractory and titanium alloys. The Company has commissioned advanced gas atomization technology with an industry leading yield of AM powder. The Company is also a leader in PM-HIP (Powder Metallurgy Hot Isostatic Pressing) manufacturing of large, near-net-shape powder metallurgy parts with forged-equivalent material properties and microstructure for a variety of alloys.
About Perryman Company
More than three decades ago, James Perryman Sr. laid the foundation for our company and established the guiding principle of “good enough is never good enough.” The consistent commitment to quality and its customer-centric culture, have established Perryman as a global leader in the manufacturing of titanium products. As a fully-integrated U.S. domestic producer, Perryman has a complete range of capabilities to melt ingots and produce a full complement of the highest quality titanium products.
This announcement has been authorized for release by the Chairman and CEO.
For further information, please contact:
Amaero International Limited
Hank J. Holland
Chairman and CEO
hank.holland@amaeroinc.com
U.S. Media & Investor Enquiries
Chris Donovan
Amaero@mzgroup.us
Australian Media & Investor Enquiries
Jane Morgan
Directorjm@janemorganmanagement.com.au
