This is just an attempted outline (I have not actually got to the bottom of the exercise, so I do not even guarantee the correctness of what I have written below):
By definition of the Pulverizer, we have the following recurrence, where $k \in \mathbb{N}$ is the step index:
$
\begin{align*}
x_0 & = a \\
y_0 & = b \\
s_0 & = 0 \\
t_0 & = 1 \\
u_0 & = 1 \\
v_0 & = 0 \\
x_{k+1} & = y_k \\
y_{k+1} & = \operatorname{rem}(x_k,y_k) \\
s_{k+1} & = u_k - s_k q_k \\
t_{k+1} & = v_k - t_k q_k \\
u_{k+1} & = s_k \\
v_{k+1} & = t_k \\
\end{align*}
$
(Notice that I am not taking into account that there is a termination state, which means there is a $k$ such that the state does not change from that point on: I don't think we need this below, so I'll keep it simple.)
(a) Show that the following properties are preserved invariants of the Pulverizer machine:
$\gcd(x,y) = \gcd(a,b) \quad \text{(Inv1)}$
By induction on $k$.
Case $k = 0$ : prove $\gcd(x_0,y_0) = \gcd(a,b)$.
Trivial, by unfolding the definitions of $x_0$ and $y_0$.
Case $k \ge 0$ : prove $\forall x_k,y_k$ :
$\gcd(x_k,y_k) = \gcd(a,b) \to \gcd(x_{k+1},y_{k+1}) = \gcd(a,b)$.
By transitivity of equality, we can just prove
$\gcd(x_{k+1},y_{k+1}) = \gcd(x_k,y_k)$.
By unfolding $x_{k+1}$ and $y_{k+1}$, then using properties of
$\gcd$ and $\operatorname{rem}$ ...
$sa + tb = y \quad \text{(Inv2)}$
Again, by induction on $k$.
Case $k = 0$ : prove $s_0 a + t_0 b = y_0$.
Trivial, by unfolding definitions.
Case $k \ge 0$ : prove $\forall y_k,s_k,t_k$ :
$s_k a + t_k b = y_k \to s_{k+1} a + t_{k+1} b = y_{k+1}$.
...
$ua + vb = x \quad \text{(Inv3)}$
Again, by induction on $k$ ...
(b) Conclude that the Pulverizer machine is partially correct.
That is, prove that, if the Pulverizer terminates in the state $(x,y,s,t,u,v)$, then $x = \gcd(a,b)$ ...
(c) Explain why the machine terminates after at most the same number of transitions as the Euclidean algorithm.
By definition of the Euclidean algorithm, we have the following recurrence, where $k \in \mathbb{N}$ is the step index:
$
\begin{align*}
x_0 & = a \\
y_0 & = b \\
x_{k+1} & = y_k \\
y_{k+1} & = \operatorname{rem}(x_k,y_k) \\
\end{align*}
$
(Again, notice that I am not taking into account that there is a termination state, which means there is a $k$ such that the state does not change from that point on: I don't think we need this either, though a rigorous approach would have it.)
But, looking back at the recurrence for the Pulverizer, we observe that $x$ and $y$ in the Pulverizer only depend on each other and on no other component of the state. Further, the recurrence for the Pulverizer restricted to just $x$ and $y$ is exactly equivalent to the one here for the Euclidean algorithm, also considering that the condition for termination is $y=0$ for both.
So, the two definitions are exactly equivalent over the $x$ and $y$ components (for a to be precisely stated notion of equivalence). Hence, the Pulverizer cannot but stop after exactly as many steps as the Euclidean algorithm. Whence, a fortiori (i.e., all the more so), the conclusion follows.
That much for an informal sketch: a rigorous approach I suppose would have to be in the form of some bisimulation.