AML3D wins $2.27m ARCEMY X Contract to Expand into the U.S. Utilities sector.
Highlights
- AML3D receives an order for a large scale, ARCEMY® X, system from the Tennessee Valley Authority, the largest US public utility.
- ARCEMY® X system was selected to enhance power generation repair capabilities following a competitive tender process.
- AML3D US Scale Up strategy includes building on the success supplying the Defence Sector to expand into additional industries.
AML3D Limited (ASX:AL3) ("AML3D" or "the Company") recently established US entity AML3D USA Inc is pleased to announce a circa A$2.27 million, order for a large scale, 6700 Edition ARCEMY® X system (‘ARCEMY® X’) and material qualifications by the Tennessee Valley Authority (‘TVA’). The TVA is federally owned and is the sixth-largest power supplier and largest public utility in the USA. The ARCEMY® X will be installed at TVA’s Muscle Shoals, Alabama service facility to provide advanced additive manufacturing capabilities to its power generation repair fleet.
The TVA ARCEMY® X order is valued at approximately A$2.27 million, which includes an upfront payment for certain upfront deliverables, with subsequent milestones and the final retention being paid following testing, installation, and commissioning. The ARCEMY® X was selected by TVA following a competitive tender process that assessed several options to support the utility’s power generation repair needs. This contract includes an initial two years of service and maintenance with the option to extend this support. AML3D expects final commissioning of the ARCEMY X will occur in the second half of calendar 2025. This ARCEMY® system will be the first system to be built in the new AML3D US Technology Centre located in Ohio Stow.
The TVA ARCEMY® X order is aligned with the next phase of AML3D’s US Scale Up strategy, which targets expansion into new industry sectors while continuing to grow AML3D’s successful servicing of the US Defence sector, in particular’ the US Navy’s submarine industrial base. AML3D is confident of further expansion into the US Utilities, Aerospace, Oil & Gas and Marine sectors.
AML3D CEO, Sean Ebert said:
This ARCEMY® X order from the TVA is very much aligned with the US Scale Up growth strategy we have in place. When we launched the US Scale Up strategy, back in February 2023, our focus was on the Defence sector, in the first instance, and that has already delivered close to A$14 million of contract wins. The next step in the strategy was always to expand beyond Defence, so it is very pleasing to see our ARCEMY® X system selected by the TVA. It demonstrates the relevance of ARCEMY® across US manufacturing and how our US strategy will continue to accelerate growth and value creation. This entry into the US Utilities sector also supports our decision to further expand our US facilities, funded by the recent capital raising, to meet the continuing growth in demand and for our advanced manufacturing technology across the US.
It is very exciting to be working with the TVA and creating new growth opportunities in the Utilities sector to complement our continuing success supplying the US Navy’s Submarine Industrial base. AML3D’s strategy for growth in the US has always included expanding into new sectors. My view is AML3D’s advanced manufacturing technology advantage of being able to supply superior quality components and repairs to complex parts with dramatically reduced lead times and waste make us a good fit for power utilities. I’m particularly pleased to earn this TVA order since it was a competitive solicitation, and we believe we have the best offering in large format wire arc systems in the world. Expanding into the US utilities sector is just the beginning as there are significant opportunities to continue to expand our technology into the US Aerospace, Oil & Gas and Marine sectors as well. We are just getting started.
This announcement has been authorised for release by the Board of AML3D.
Source: AML3D wins $2.27M Arcemy X Contract in US Utilities Sector, PDF
