Scandium Canada Ltd. (TSX-V: SCD) provided an update on the qualification and commercialization of its proprietary aluminum-scandium (Al-Sc) alloys, the 2026 field program at its Crater Lake scandium project in Nunavik, Quebec, and the filing of its financial report for the third quarter ended May 31, 2026.
The company's alloy strategy advanced on four fronts: promising preliminary results from its SC7075 Al-Sc welding wire, expanding commercial opportunities with Granges Powder Metallurgy, advancing discussions with Alpomet on welding-wire applications, and the acquisition of its new subsidiary Scalium+ (formerly Ferreol Technologies). Wire samples of the patent-pending modified SC7075 alloy were shipped for Wire Arc Additive Manufacturing (WAAM) trials. Preliminary results are promising, as the wire demonstrated the ability to produce structures comparably to a commercial wire without scandium; work now focuses on optimizing deposition parameters. This application alone could generate demand of up to 30 tonnes per year of scandium oxide, a market segment that does not currently exist. Rods of the company's SC535 alloy also show promise in high-temperature applications.
Work under the Memorandum of Understanding with Granges Powder Metallurgy is expanding, now covering powders and plates, with commercial opportunities identified in energy and defence with European OEMs. Discussions with Alpomet on welding-wire applications are actively advancing. While no binding agreement is in place, the signal is clear that industrial users want qualified, weldable, high-strength aluminum wire.
On June 29, 2026, the company closed the acquisition of Ferreol Technologies, now Scalium+ Inc., its wholly owned alloy commercialization subsidiary. Scalium+ brings an established Quebec City commercial team, active alloy clients and a proven production workflow, consolidating the commercialization of the company's Al-Sc alloys and the Scalium® line. One Scalium® alloy is already commercialized, and based on internal testing under controlled conditions, some Scalium® alloys demonstrated strength results up to 45% higher than typical AA7075 aerospace aluminum. Integration is underway across commercial, production and administrative functions.
Luc Duchesne, Ph.D., Chief Science Officer of Scalium+, commented: "Our preliminary results are promising: we have demonstrated that we can produce structures by WAAM with our SC7075 wire. Next, we aim to optimize deposition parameters with our collaborator, while our work with Granges and our discussions with Alpomet continue to identify prototyping opportunities. As well, our consolidation of alloys with Scalium+ permits a larger offering of 7000-series aluminum-scandium material (sheets, plates, billets) to our existing products (powders, wires and rods) to potential end users."
Felix Lapointe, CEO of Scalium+, added: "Two weeks in, the priority is simple: keep serving our existing alloy clients while opening the order book to the alloys developed by Scandium Canada. A commercial team, a production workflow and a proprietary alloy portfolio shorten the distance between the laboratory and a purchase order."
The company also announced the filing of its interim financial statements for the three-month and nine-month periods ended May 31, 2026, available on SEDAR+ (www.sedarplus.ca) and at scandium-canada.com/financial-reports/. As of May 31, 2026, cash stood at $11.6 million, a twenty-nine-fold increase from $0.4 million at August 31, 2025. Working capital reached $15.2 million, a $16.6 million swing from negative working capital. Total assets were $31.9 million, total equity $30.2 million, and total liabilities reduced to $1.6 million, with all unsecured loans repaid. The expansion was funded by equity, anchored by the $17.25 million bought deal completed in March 2026. Management believes the funds are sufficient for at least the next twelve months.
Guy Bourassa, CEO of Scandium Canada, commented: "At the midpoint of the field season, the Company is executing the plan presented to shareholders in April: the drill is turning at Crater Lake, our SC7075 wire is showing promising results for structures produced by WAAM, and our newly acquired Scalium+ subsidiary gives us a commercial team selling alloys today. With $11.6 million in cash and the strongest balance sheet in our history, we are funded for the catalysts ahead."
The 2026 diamond drilling campaign at Crater Lake is advancing on schedule under Laurentia Exploration. The program is primarily dedicated to collecting a representative metallurgical bulk sample of 8 to 10 tonnes throughout the defined resource, key for the future feasibility study. WSP's environmental assessment work is proceeding with field teams conducting fauna and flora inventories, fish habitat surveys, and hydrogeological and geochemical studies in support of the prefeasibility study.
