Hi Tracee
It seems you are using a new order type for this new material. Check the settlement profile for these 2 production order and ensure that the tick "variances to costing based copa" is switched on
Once you do that, run Kks2 for these 2 prod order and see if there is any error. Finally run KO88 for them
The settlement rule will have MAT and not PSG, if the material is a valuated material
Br. Ajay M