Scandium Canada Ltd. (TSX-V: SCD) has provided an update on the qualification and commercialization of its proprietary aluminum-scandium (Al-Sc) alloys, field activities at its Crater Lake project in Nunavik, Quebec, and its financial results for the third quarter ended May 31, 2026. The company reported promising preliminary results from its SC7075 welding wire trials, expanding commercial discussions, and the successful acquisition of Scalium+ (formerly Ferreol Technologies).
The company's alloy strategy advanced on four fronts: promising results from its SC7075 Al-Sc welding wire, widening commercial opportunities with Granges Powder Metallurgy, advancing discussions with Alpomet on welding-wire applications, and the acquisition of Scalium+. Wire samples of the SC7075 alloy have been shipped for Wire Arc Additive Manufacturing (WAAM) trials, showing the ability to produce structures comparably to commercial wire without scandium. This application alone could generate demand of up to 30 tonnes per year of scandium oxide. Rods of the SC535 alloy also show promise in high-temperature applications.
Work under the Memorandum of Understanding with Granges Powder Metallurgy is expanding to cover powders and plates, with commercial opportunities identified in energy and defence sectors with European OEMs. Discussions with Alpomet on welding-wire applications are actively advancing. 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 commercial team, active alloy clients, and a proven production workflow. One Scalium® alloy is already commercialized, with some demonstrating strength results up to 45% higher than typical AA7075 aerospace aluminum.
Luc Duchesne, Ph.D., Chief Science Officer of Scalium+, commented on the promising WAAM results and the consolidation of alloys. Felix Lapointe, CEO of Scalium+, emphasized the priority of serving existing clients while opening the order book to alloys developed by Scandium Canada.
The company also announced its financial results for the period ended May 31, 2026. As of that date, 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, and total equity was $30.2 million, both more than double their August 31, 2025 levels. Total liabilities were reduced to $1.6 million, with all unsecured loans repaid in full. The expansion was funded by equity, with financing activities generating $18.6 million over nine months, anchored by a $17.25 million bought deal completed in March 2026. An additional $1.5 million in government grants was receivable at quarter-end.
Guy Bourassa, CEO of Scandium Canada, noted that the company is executing its plan with drilling at Crater Lake, promising SC7075 wire results, and the newly acquired Scalium+ subsidiary. With $11.6 million in cash and the strongest balance sheet in its history, the company is funded for upcoming catalysts.
At the Crater Lake project, the 2026 diamond drilling campaign is advancing on schedule under Laurentia Exploration. The program is primarily dedicated to collecting a representative metallurgical bulk sample of 8 to 10 tonnes for future feasibility study testwork. Environmental assessment work by WSP is proceeding, with field teams conducting fauna and flora inventories, fish habitat surveys, and hydrogeological and geochemical studies. Field operations have been conducted without any reported injuries or incidents.
The scientific and technical information has been reviewed and approved by Eric Kinnan, P.Geo., an independent consulting geologist and Qualified Person as defined by National Instrument 43-101.
For more details, the company's financial statements and MD&A are available on SEDAR+ at www.sedarplus.ca and at scandium-canada.com/financial-reports/.
