374Water Shares Climb on Successful Phase of PFAS Destruction Pilot in Minnesota

Shares of 374Water Inc. (NASDAQ:SCWO) gained 2.7% in Tuesday trading after the cleantech company announced the successful completion of the second phase of a pilot project in St. Cloud, Minnesota. The project is testing its proprietary technology for the destruction of PFAS, often called "forever chemicals."

Minnesota Pilot Progress

374Water reported it had finished a processing campaign targeting Class A biosolids, a key milestone in its $600,000 Waste Destruction Services contract with the City of St. Cloud. The deployment, conducted in partnership with Barr Engineering Co., successfully operated at solids concentrations of up to 12%.

The company has now initiated Phase 3, which involves processing pre-anaerobic digestion sludge. According to the announcement, this pilot is part of a broader evaluation by the State of Minnesota, supported by state environmental funds, to assess the effectiveness of 374Water's technology on PFAS-contaminated waste.

Technology and Performance

374Water's AirSCWO system uses a process called supercritical water oxidation to permanently destroy organic waste. The company noted that the current phase in Minnesota involves a waste stream similar to one processed at its Orlando, Florida, operations.

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In the Orlando project, the company achieved a solids reduction of 97% and a PFAS reduction of up to 99.99%. Brad Meyers, Chief Operating Officer of 374Water, highlighted the recent achievement as a competitive advantage, stating, "We have now completed Phase 2 with performance at 12% solids, which we don’t see from our competition."

Financial Outlook

The successful completion of the pilot could unlock significant revenue streams, according to the company. 374Water projects that a commercial deployment could generate multiple millions of dollars in revenue, including recurring income from ongoing operations and services.

On a per-unit basis, the company estimates that each mobile AirSCWO system has the potential to generate between $500,000 and $1.5 million in annual revenue. The final figure would depend on factors such as deployment frequency, the type of waste being processed, and the specific structure of the service contract.