Dear Terry,

Thank-you for posting here and your confidence as a shareholder. 

To answer your first question:  In the event that HPQ is bought out as you suggest, the new owner would have to respect the agreement and pay us a 10% royalty on sales as per the agreement.  A sale of HPQ per se does not invalidate the contract between HPQ and Pyro which would survive the sale.

To answer your second question:  Your question covers a lot of ground and is very difficult to answer in the context of what is publicly disclosed.  It would not be proper for me to suggest what a buyer may or may not be interested in or how that interest may be papered.  I am not being difficult, it is just such a complex answer given the question and all the posable combinations and permutations you are alluding to.  Suffice it to say that PyroGenesis’ Board is dedicated to maximizing shareholder value over the long term and considers every proposal and/or decision in that light.

I hope this helps Terry,

Thanks again for posting here.

Sincerely,

Peter