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374Water Advances the Solution to the World's Growing Biosolids Problem with Successful Factory Acceptance Test for Orange County Sanitation District

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374Water (NASDAQ:SCWO) completed the Factory Acceptance Test for its AirSCWO system for Orange County Sanitation District, a key deployment milestone.

The system is engineered to destroy PFAS, pharmaceuticals, and microplastics, achieve about 97% solids reduction and 99.99%+ PFAS destruction, and supports progress toward remaining $3M in contract milestones.

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Positive

  • Factory Acceptance Test completed for OC San AirSCWO system
  • Milestone enables progress toward remaining $3M in OC San contract
  • AirSCWO achieves about 97% solids reduction in biosolids
  • AirSCWO demonstrates 99.99%+ destruction of PFAS and other compounds
  • Planned AirSCWO system deployment to OC San site in October
  • OC San project validates technology for U.S. municipal biosolids applications

Negative

  • None.

News Market Reaction – SCWO

+8.91%
14 alerts
+8.91% Session close to close
+7.4% Peak Tracked
-3.5% Trough Tracked
$48.29M Market Cap
1.2x Rel. Volume

In the Jun 2 session, SCWO gained 8.91%, reflecting a notable positive market reaction. Argus tracked a peak move of +7.4% during that session. Argus tracked a trough of -3.5% from its starting point during tracking. Our momentum scanner triggered 14 alerts that day, indicating notable trading interest and price volatility.

Data tracked by StockTitan Argus on the day of publication.

Market Context

The stock moved +8.9% in the session following this news. A strong positive reaction aligns with a p...
Analysis

The stock moved +8.9% in the session following this news. A strong positive reaction aligns with a pattern where major PFAS destruction validations and deployment milestones, such as the OC San Factory Acceptance Test, have been key catalysts. With shares previously about 77.34% below the 52-week high at $2.47, investors have had significant drawdown context. The existing $100,000,000 shelf and at-the-market capacity could influence how any strength intersects with future capital needs and dilution risk.

Key Figures

Solids reduction: 97% reduction PFAS destruction: 99.99%+ destruction Remaining contract value: $3M +5 more
8 metrics
Solids reduction 97% reduction AirSCWO biosolids processing performance described in this OC San milestone
PFAS destruction 99.99%+ destruction AirSCWO performance on PFAS-contaminated biosolids highlighted in article
Remaining contract value $3M Remaining value on OC San contract tied to successive milestones
OC San wastewater volume 180 million gallons/day Wastewater processed daily by Orange County Sanitation District
Population served 2.6 million people Residents served by Orange County Sanitation District
Biosolids transported 525 wet tons/day Class B biosolids OC San sends offsite for reuse and disposal
U.S. wastewater facilities 16,000 facilities Number of U.S. wastewater treatment facilities cited as addressable market
Deployment timing October (planned) Planned deployment of AirSCWO system and team to OC San

Historical Context

5 past events · Latest: May 21 (Positive)
Pattern 5 events
Date Event Sentiment 24h Move Catalyst
May 21 Conference update Positive +0.4% Conference participation and reaffirmed tailwinds for PFAS and biosolids work.
May 14 Earnings and contracts Negative -1.1% Q1 2026 results with higher margins but widened net loss and cash use.
May 12 Mobile deployment Positive -2.0% First mobile AirSCWO revenue campaign under a $600,000 PFAS contract.
Apr 30 PFAS demo results Positive +2.9% Third-party validation of >99.9% PFAS destruction in U.S. military project.
Apr 23 Conference calendar Neutral -5.3% Release of summer conference schedule showcasing AirSCWO deployments.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Pattern Detected

Recent news has produced a mix of aligned and divergent moves; some positive deployment and conference updates saw share price weakness despite constructive headlines.

Recent Company History

Over the past few months, 374Water reported multiple PFAS destruction milestones and commercial steps. A U.S. government project showed AirSCWO destroying over 99.9% of PFAS in liquids (Apr 16–30 2026 filings and news), and a mobile unit deployment in St. Cloud under a $600,000 contract opened a new services channel on May 12. Q1 2026 results on May 14 highlighted 63% gross margin and ongoing losses. Today’s OC San FAT success extends this execution narrative into large municipal biosolids treatment.

Key Terms

biosolids, supercritical water oxidation, pfas, factory acceptance test, +1 more
5 terms
biosolids technical
"374Water breaks barriers with biosolids duration run, and opens a commercial frontier..."
Biosolids are the nutrient‑rich organic solids left after sewage is treated to remove pathogens and pollutants; they are often processed and applied to soil as a fertilizer or soil conditioner. For investors, biosolids matter because they create markets and regulatory obligations for wastewater utilities, waste‑management companies and agricultural suppliers, and carry both revenue potential (recycling and energy recovery) and risks from environmental rules, contamination concerns and public opposition.
supercritical water oxidation medical
"developing supercritical water oxidation technology for the destruction of organic waste streams"
Supercritical water oxidation is a process that uses extremely hot and pressurized water to break down waste materials into harmless substances, such as carbon dioxide and water. It is considered an efficient and environmentally friendly method for treating hazardous waste streams. For investors, advancements or increased adoption of this technology can signal growth opportunities in waste management and environmental services sectors.
pfas medical
"permanent destruction of biosolids contaminated with PFAS ("forever chemicals"), pharmaceuticals..."
PFAS are a group of human-made chemicals used in many everyday products, such as non-stick cookware, water-repellent clothing, and food packaging, because they resist heat, water, and grease. They are often called "forever chemicals" because they do not break down easily in the environment or the human body, potentially leading to health concerns. For investors, the presence of PFAS-related risks can impact companies’ reputations, legal liabilities, and future costs.
factory acceptance test technical
"announced the successful completion of the Factory Acceptance Test ("FAT") for its AirSCWO system"
A factory acceptance test is a final, documented set of checks and demonstrations performed at the manufacturer’s site to prove that equipment or a system meets the buyer’s technical specifications and will operate as promised before it is shipped. Think of it like a thorough test drive and inspection before taking delivery; for investors it reduces the risk of costly delays, extra fixes, or performance shortfalls that can affect project timelines and budgets.
class b biosolids technical
"transports over 525 wet tons of Class B biosolids to sites in California and Arizona..."
Class B biosolids are treated sewage solids that have been processed to reduce but not eliminate disease-causing microbes, and are approved for restricted use on land under regulatory rules. For investors, the designation matters because it affects how the material can be handled, sold or disposed of, influences cleanup and compliance costs, and can shape public acceptance—similar to buying used goods that need caution and rules when reselling or using.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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374Water breaks barriers with biosolids duration run, and opens a commercial frontier beyond land application, incineration, and landfill disposal.

MORRISVILLE, NC / ACCESS Newswire / June 2, 2026 / 374Water Inc. (NASDAQ:SCWO) ("374Water" or the "Company"), a leading cleantech and environmental services company developing supercritical water oxidation technology for the destruction of organic waste streams, today announced the successful completion of the Factory Acceptance Test ("FAT") for its AirSCWO system as part of its delivery and deployment milestones for Orange County Sanitation District ("OC San").

The FAT completion is a critical milestone activating the next phase of a project that positions OC San and 374Water to deliver a potential solution for the permanent destruction of biosolids contaminated with PFAS ("forever chemicals"), pharmaceuticals, microplastics, and other recalcitrant compounds by converting waste into water, benign minerals, and clean energy.

The Company and OC San have planned for deployment of the system and team in October of this year.

"OC San is excited to see the progress made by 374Water in developing the AirSCWO system. We look forward to receiving the unit and partnering with 374Water to demonstrate the industrial readiness of supercritical water oxidation for the destruction of sewage solids," said Rob Thompson, General Manager of the Orange County Sanitation District.

Development Update

This milestone reflects over three years of focused engineering, collaboration, and continuous improvement by 374Water and OC San.

Throughout the development process, both organizations remained committed to delivering the most advanced, reliable, and scalable biosolids destruction solution possible.

Each design and operational enhancement has aimed to improve:

  • Reliability & operability

  • Volume throughput and scale

  • System durability under demanding conditions

The result is an AirSCWO™ system engineered to meet the real-world demands of large-scale wastewater treatment. 374Water's patented AirSCWO design and technology has already demonstrated its ability to destroy PFAS, pharmaceuticals, microplastics, and other recalcitrant compounds, and can now achieve industry-leading runtime and throughput for biosolids and slurries to unlock enormous value creation in expansive markets and applications.

"This successful operational and technological advancement represents not only a significant project milestone required for deployment to OC San, but an industry breakthrough," said Brad Meyers, Chief Operations Officer of 374Water. "This has been a multi-year journey focused on getting the system right. At every step, we made the deliberate decision-together with OC San-to continue improving the technology so that what we deliver is not just functional, but best-in-class."

Wastewater facilities from Florida to California to Minnesota are facing mounting obstacles to business as usual. The disposal of biosolids is being restricted due to human health concerns. Maine has banned land application all together; municipalities in Florida are limited largely to landfilling due to elevated water tables and loss of suitable agricultural lands; and some districts in California often transport solids hundreds of miles to neighboring States; while many other States and management agencies consider additional restrictions.

With 97% reduction in solids and 99.99%+ destruction of PFAS, together with commercial throughput and industrial validation, this achievement showcases 374Water's potential to address many of the challenges facing the nation's 16,000 wastewater treatment facilities.

Advancing the OC San Partnership

The Company is now coordinating with OC San and contracted partners to finalize required permits to operate our AirSCWO system at the OC San site, in California. 374Water expects to provide updated timing for shipment and startup once permitting and site-readiness milestones are further advanced. This achievement unlocks the ability to progress towards successive milestones and the remaining $3M on the contract as milestones are achieved.

OC San processes over 180 million gallons of wastewater daily, serving more than 2.6 million people across Orange County, California. The agency currently transports over 525 wet tons of Class B biosolids to sites in California and Arizona for agricultural reuse and disposal every day - a practice facing increasing regulatory and environmental pressure.

374Water's AirSCWO system is intended to provide a potential alternative to offsite biosolids transport and disposal. The Company expects field performance, operating reliability, and economics to be key factors in evaluating broader commercial use of the technology.

Technology Validation Drives Commercial Momentum

The OC San deployment represents an important demonstration of AirSCWO technology for municipal biosolids destruction applications. With over 16,000 wastewater treatment facilities across the United States facing mounting pressure to transition away from land application, incineration, and landfill disposal, 374Water believes this milestone demonstrates the technology's readiness to serve a rapidly expanding addressable market.

About 374Water

374Water Inc. (NASDAQ: SCWO) is a cleantech and environmental services company developing supercritical water oxidation technology for the destruction of organic waste streams within the industrial, municipal, and federal markets. 374Water's AirSCWO technology is designed to efficiently destroy and mineralize a broad spectrum of nonhazardous and hazardous organic wastes, producing safe dischargeable water streams, safe mineral effluent, safe vent gas, and recoverable heat energy. 374Water's AirSCWO technology has the potential to assist its customers to meet discharge requirements, reduce or eliminate disposal costs, remove bottlenecks, and reduce litigation and other risks. 374Water continues to be a leader in innovative waste treatment solutions, dedicated to creating a greener future and eradicating harmful pollutants. Learn more by visiting www.374water.com and follow us on LinkedIn.

Forward-Looking Statements

Certain statements in this communication are "forward-looking statements" within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, as amended. Words such as "anticipate," "believe," "confidence," "could," "design," "estimate," "expect," "intend," "may," "plan," "predict," "project," "potential," or other comparable terminology are intended to identify forward-looking statements. 374Water has based these forward-looking statements on its current expectations, assumptions, estimates, beliefs, and projections. While 374Water believes these expectations, assumptions, estimates, and projections are reasonable, such forward-looking statements are only predictions and involve known and unknown risks and uncertainties, many of which involve factors or circumstances that are beyond the 374Water's control. These forward-looking statements are subject to risks and uncertainties, including those discussed under "Risk Factors" in 374Water's Form 10-K for the year ended December 31, 2025, and in 374Water's subsequent filings and reports with the SEC. The forward-looking statements herein are made only as of the date they were first issued, and unless otherwise required by laws, 374Water disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.

Investor Relations Contact

Belton Copp
Vice President
Direct: 401-419-1545
Belton.Copp@374water.com
www.374Water.com

SOURCE: 374Water Inc.



View the original press release on ACCESS Newswire

FAQ

What did 374Water (NASDAQ:SCWO) announce about its OC San project on June 2, 2026?

374Water announced successful completion of the Factory Acceptance Test for its AirSCWO system for Orange County Sanitation District. According to 374Water, this critical milestone activates the next project phase and allows progress toward additional deployment and commercial validation steps at the OC San wastewater facility.

What is 374Water's AirSCWO system and how does it treat biosolids?

AirSCWO is 374Water's supercritical water oxidation system designed to destroy organic waste streams, including biosolids. According to 374Water, the technology converts waste into water, benign minerals, and clean energy while targeting PFAS, pharmaceuticals, microplastics, and other recalcitrant compounds in large-scale wastewater treatment applications.

When will 374Water (NASDAQ:SCWO) deploy its AirSCWO system at Orange County Sanitation District?

374Water and OC San have planned deployment of the AirSCWO system and team for October of this year. According to 374Water, shipment and startup timing will be updated once permitting and site-readiness milestones at the OC San facility are further advanced and finalized.

How effective is 374Water's AirSCWO technology at reducing biosolids and destroying PFAS?

According to 374Water, its AirSCWO system can achieve about 97% reduction in solids and 99.99%+ destruction of PFAS. The company states this performance, combined with commercial throughput, is intended to address tightening regulations on biosolids disposal at wastewater treatment facilities across the United States.

What contract value remains for 374Water (NASDAQ:SCWO) in the OC San AirSCWO project?

According to 374Water, completing this milestone allows progress toward successive milestones and the remaining $3 million on the OC San contract. The remaining contract value is tied to achieving additional project milestones as the AirSCWO system advances toward shipment, startup, and operational validation.

How could the OC San deployment impact 374Water's municipal biosolids market opportunity?

The OC San deployment is described as an important demonstration of AirSCWO for municipal biosolids destruction. According to 374Water, technology validation at OC San supports readiness to serve a rapidly expanding addressable market among more than 16,000 U.S. wastewater treatment facilities facing biosolids disposal pressure.