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- AML3D (AL3) secures a $2 million contract with the US Navy
- It will use its metal 3D printing ‘ARCEMY’ tech to manufacture submarine parts no longer made by the original provider
- The company says the parts are non-safety critical and will use a nickel-aluminium-bronze alloy
- The contract furthers the company’s desire to enter defence markets
- Shares last traded at 6.3 cents
AML3D (AL3) has confirmed the receipt of a $2 million contract to manufacture submarine parts for the US Navy using its Australian tech.
The company specialises in producing 3D printed metals through its ‘ARCEMY‘ process and announced the ordered parts were non-safety critical.
The specific component in question, which the company will produce, is both replaceable and in high demand. However, the company pointed out that its traditional manufacturers no longer stock this part.
This situation, according to the company, will enable it to demonstrate the benefits of ARCEMY to a potential major customer – a customer that the company is actively pursuing.
AML3D has been pivoting towards the US defence space and its associated markets recently.
The contract was signed with an entity known as BlueForge Alliance, serving as a procurement agency for the US Navy.
The contracted amount of $2 million will be paid in instalments based on AML3D’s achievement of contract milestones over a nine-month period, starting from September 2023.
The company will employ a nickel-aluminium-bronze alloy for production, which the company stated is qualified for use.
“This contract is further evidence of the growing momentum in our US scale-up strategy,” AL3 Interim CEO Sean Ebert said.
“AML3D’s focus is on the US defence, aviation and maritime sectors and the Company is well positioned to access the many opportunities that will be created as a result of the AUKUS Alliance, in the US, Australia and Europe.”
AML3D shares last traded at 6.3 cents.
