Perma-Fix Environmental Services, Inc. (NASDAQ: PESI) shares experienced an upward trajectory on Wednesday, witnessing a notable surge of 14.55% and concluding the day’s trading at $7.56. This positive movement in Perma-Fix stock was instigated by a substantial business development.
The announcement by Perma-Fix (PESI) revealed that it had received notification from the European Commission (EC) expressing its intent to grant a multi-year contract, with an estimated value of up to EUR 50 million. This contract was awarded to a joint venture in which Perma-Fix and Campoverde Srl hold equal 50/50 partnership stakes.
PESI successfully secured the contract for the treatment of radioactive waste originating from the Joint Research Center (JRC) in Ispra, Italy. The European Commission opted for the joint venture to support its mission for the cleanup of radioactive waste, following a rigorous evaluation process.
Perma-Fix not only met but exceeded all the stipulated requirements for this significant project. Additionally, PESI perceives this project as an opportunity to extend its services within the European market, aiming to provide comprehensive, secure, and environmentally compliant solutions.
In another development, Perma-Fix provided an update on the Test Bed Initiative concerning the offsite treatment and disposal of Hanford Low Activity Waste (LAW). The United States Environmental Protection Agency (EPA) introduced a proposal granting a treatability variance from the Land Disposal Restrictions (LDR) treatment standards for the U.S. Department of Energy (DOE).
The proposal pertains to around 2,000 gallons of mixed low-activity waste from the Hanford Site in Washington State. If approved, the DOE plans to stabilize and dispose of the waste at the nation’s long-term disposal landfills in Texas and Utah. This aligns with previous DOE statements indicating its commitment to defining multiple pathways for grouting as an alternative to vitrification.
Perma-Fix’s successful grouting demonstration at its Richland facility in 2017 has been recognized by the DOE as a crucial element in the overall grouting evaluation. PESI maintains confidence that its Northwest facility in Richland, Washington, offers the safest, lowest-risk, and most cost-effective solution for this waste by locally grouting tank waste adjacent to the Hanford Site.