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I don't know... why wouldn't it be? You shouldn't be creating a spark, there's no ferrous metals involved. My gut says it should be Ok but i've never actually thought about it before...
Black powder can be set off by shock. I've put scoops of FFg in 30cal ammo cans before and shot them with an SKS. They go boom pretty good.
An inertial bullet puller doesn't produce anywhere near that kind of shock though. I'd do it personally.