Kray Protection Kray Technologies ProjectMarch, 2016

Production of cargo drones for crop dusting on global B2B US&Canada markets

We are preparing for product launch in the hottest Canadian agriculture market in 2017

TABLE OF CONTENTS

1. Main farmers’ pains that we’re solving2. Our solution 3. Precision agriculture & Kray Protection

spraying system4. Market overview5. Competition6. Technical datasheet & project progress7. Contact info

1. Main farmers’ painsthat we’re solving

Money & time investmentApplication of crop protection impacts up to 70% of yield, defining farmers prosperity.

Thus outsourcing it to aerial or other services leads to limited control and vulnerability.

Too costly

Crop protection with ground application takes up to 20% of crop value due to trampling and requires a big equipment capex.

Aerial application with currently available aviation services can cut these costs roughly in half to $25-50 per hectare.

Aerial application in 78% of cases is outsourced, thus prone to capacity shortage.

Time constraints

The crop protection needs to be applied in particular moment of the crop or pest life cycle (often window is limited to 1 day).

So being able to make it exactly when it is needed is very important and not possible with current states of things in any way of application.

Kray Protection UAS is a reliable, inexpensive, in-house, productive aerial solution for crop protection application that could solve these severe pains, experienced by any farmer with middle-sized acreage.

2. Our solution Kray Protection Project Overview

Compound multirotor 2m sized UAVVTOL UAV utilizes central wing and horizontal thrust rotor along with lift rotors.

Max speed of 110 km/hMaintaining low energy consumption, as lift force is divided between lift rotors and wing.

Automated spraying missionWe use fast stereo vision solution to create a real-time surface map and obstacle avoidance.

Precise GPS navigation It allows our UAV to follow crop surface on minimal altitude of 1 m, avoiding collisions with ground and obstacles on the route automatically.

Coverage speed27-37 hectares/hour for chemical application. It competes with the highest coverage speeds achievable with ground robotic & aviation-base aerial application solutions. Our solution is applicable on the field of any size, on any crop and at any ground conditions.

Cost of operation$1-2 per hectare, which is 20-50 times less than currently available aerial application services. This drone replaces aviation services on fields up to 1000 hectares, being typically paid back in less than 1 year.

Kray Protection: cargo drones for crop protection

3. Precision agriculture & Kray Protection spraying systemIssues and our innovations

The most challenging aspects of aerial crop protection are:

◍ Reaching maximum yielding capacity◍ Uniform pesticide application on different

speeds and dosages◍ Controlled drop application to prevent different

drop sizes◍ Precision control of dosage in accordance with

application map

“Yield capacity in developed

countries is 2 times higher than in developing countries due to clever

crop protection techniques application

Advanced ultra-low volume spraying system

Coverage quality

We’ve reached the best spraying coverage quality on different speeds of UAV and application dosages due to rotary atomizers spraying design.

This way we simultaneously change the flow and rotor spin speed to maintain stable drop size.

This technique allows us to uniformly cover all field, including field borders.

Drop size

Drop size can be adjusted (30 to 90 micron with variations of only ±10%). This allows to use UAV for insecticides, herbicides and fungicides application as well as for foliar dressing.

Pesticide economy

Ultra-low volume application allows not only to cover big acreages with low application cost.

It increases application efficiency of pesticides up to 3 times (e.g. for Roundup) making substantial economy by reducing usage of expensive chemicals.

ADVANTAGES OF OUR SPRAYING SOLUTION

◍ Spraying cost decreased by 10 times

◍ Herbicide cost decreased up to 3 times

◍ Maximized yield capacity

4. Market overview

“Aerial application drones market of US and Canada is estimated at $1.8B annually with formation in next 3 years and occupation in

8 years

Our estimation is based on the following data:

◍ More than 50% of total US&C cropland is operated by farms with acreage of 50-1000 hectares with median of 310 hectares in Canada

◍ About 90% of farmers use aerial application, paying $25-$50 per hectare

◍ About 60% of Canadian farmers currently use drones for monitoring and precision agriculture aerial mapping

◍ About 22% of farmers have their own aircraft for crop protection◍ Total number of farmers in Canada is about 200K◍ 1 unit of our drone can cover up to 300 hectares of cropland◍ In total, about 200 000 drones are required for the middle-acreage

farms of US&C◍ 6 years is a usual turnover time for light agricultural machinery market◍ Drone regulation for agricultural market already allows commercial

application in Canada with routine yearly permission from regulator, and in the US, where FAA certification of solution is needed in addition.

Sales start:

◍ End of 2016 pre sales market check with Fundable

platform

◍ Direct sales start in 2017

◍ Channel sales through precision agriculture service

providers, chemicals manufacturers, machinery distributors

5. Competition

Coverage speedExisting solutions underperform compared to Kray Protection UAV, covering just 2-7 hectares per hour

PayloadExisting solutions allow to load only 5-14 litres of chemicals. Kray Protection UAV chemical load is up to 22,5 litres with the highest payload-to-weight ratio of 0.8

ApplicabilityExisting solution are not fully automated so are not applicable for big fields dusting. Kray Protection UAV maintains position with the lowest altitude on high speed, and avoids obstacles automatically

Currently there is no professional UAV solution for crop dusting

Drawbacks of existing solutions:

Existing solutions do not cover middle and big acreage fields, being appropriate for small households. Due to high cost of the solutions, payback time can reach up to several years

“Competitor analysis shows that currently there is no analogies to Kray Protection

solution in the world

6. Technical datasheet & project progresswith screencast and photos

Kray Protection datasheet:

MTOW 35 kgType Compound octocopterDiameter, by motor axes 200 cmDiameter, by prop tips 275 cmHeight 90 cmWing plane form 148x54 cm ellipticWing area 0.63 m2Power unit 1x 16-22 AH 6s Li-Po batteryThrust propeller 24”x14” carbon fiberThrust motor 1100 W BLDCLift propellers 29”x9.5” carbon fiberLift motors 750 W BLDCChemicals tank 22.5 lApplication strip width 5 mApplication dosage 1-7 kg/hectareOperational speed 25 m/sGround-based obstacle avoidance automated, from 1 m heightRound time up to 25 minRound coverage up to 14 hectarePerformance up to 36 hectare/hour

Details available here

Project progress in the last 6 month

◍ We raised seed investment round of $300k+

◍ We’ve formed a dedicated team working specifically on this project.

◍ We’ve developed unmanned aerial technology stack and solutions, mainly:- compound multirotor prototype platform- 1.5 kW 2-stroke generator of 1.2 kW/kg power density- Autonomous navigation prototype

Project scope & progress bar

Aircraft prototyping 100%

Power unit prototyping 100%

Control system prototyping 100%

Computer vision prototyping 100%

UAV prototype testing 100%

90%

60%

Computer vision system development 40%

Spraying system development 30%

UAV manufacturing 10%

Promo marketing 10%

UAS application researches 5%

Production placement 5%

UAV testing 0%

Wide marketing 0%

Control system development

Aircraft modeling

Automatic precise field processing due to fast stereo vision solution creates a real-time surface map and avoids obstacles

Computer vision

Unique compound engine design: VTOL UAV utilizes central wing and horizontal thrust rotor along with lift rotors

UAV in development

Ultra low volume spraying system

Clean yield and pesticide cost decreases up to 3 times due to increased activity

in high concentrations of application

7. Contact info

Thank you!

For more information:◍ Please contact us in Facebook and LinkedIn◍ Email Kray Technologies CEO Dmytro Surdu at

dmytro.surdu@kray.technology