The AML3D Ltd (ASX: AL3) share price is moving strongly in morning trade.
This follows the company’s latest announcement that it’s been engaged by aerospace giant Boeing (NYSE: BA).
At the time of writing, the advanced 3D parts manufacturer’s shares are fetching 23 cents, up 27.78%.
AML3D wins important partner
Investors are snapping up AML3D shares after the company provided an exciting update to the ASX.
According to its release, AML3D received a purchase contract from Boeing to produce and supply a 3D printed tooling component.
The Invar-36 “mandrel tool artifact” is a nickel-iron alloy used in applications that require high dimensional stability.
This material contains 36% nickel and possesses a rate of thermal expansion approximately one-tenth that of carbon steel. It’s currently adopted in a variety of applications such as telecommunications, aeronautical and aerospace engineering, cryogenic engineering and more.
AML3D will use its proprietary wire additive manufacturing (WAM) process to manufacture the 150kg tool.
Once delivered, Boeing will assess and test the Invar-36 tool for its mechanical properties, internal soundness and vacuum integrity.
AML3D noted that although the contract is worth less than $50,000, the significance of the partnership is massive. This is due to Boeing’s size and credibility as a leading international aerospace company. The potential commercial benefits of the collaboration could shoot AML3D to stardom.
Commenting on the agreement, AML3D managing director, Andrew Sales said:
AML3D is very excited to begin working with Boeing, one of the world’s largest aerospace companies. This purchase contract will provide the company with a key opportunity to showcase its ability to produce parts on time and to specification with a high-quality customer as the world adapts to 3D printed solutions in addition to traditional manufacturing.
About the AML3D share price
During the past year, AML3D shares went on a steep rise to reach 73 cents in September 2020 before gradually treading lower. The company’s shares are up 48% since this time last year but are down 36% year-to-date.
Based on today’s price, AML3D presides a market capitalisation of roughly $22 million, with approximately 99 million shares on issue.