Amaero Secures Long-Term Supply Agreement for U.S.-Melt Titanium Bar
December 03 2024 - 8:30AM
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
LimitedHank J. HollandChairman and
CEOhank.holland@amaeroinc.com
U.S. Media & Investor
EnquiriesChris DonovanAmaero@mzgroup.us
Australian Media & Investor
EnquiriesJane
MorganDirectorjm@janemorganmanagement.com.au
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