A metal magnalium thermite pellet for creating heated gas is presented. The metal magnalium thermite pellet is insertable into a cutting apparatus and/or a high power igniter that releasably secures to the cutting apparatus. The cutting apparatus for radially projecting a flow of heated gas to cut from an internal surface through an external surface of a conduit for oil, gas, mining, and underwater pressure sealed tool applications. The metal magnalium thermite pellet comprises a metal magnalium thermite composition consisting of between 1 to 44 percent magnalium alloy, between 1 to 44 percent aluminum, between 40 to 60 percent iron oxide, and between 10 to 20 percent polytetrafluoroethylene.