Mr. Cameron Chell reports

DRAGANFLY SELECTED FOR ALL FIVE CAPABILITY STREAMS OF CANADA'S NEW DEFENCE DRONE INITIATIVE MARKETPLACE

Draganfly Inc. has been selected as a qualified supplier under the government of Canada's Defence Drone Initiative marketplace as of Aug. 28, 2026, with qualification across all five capability streams of the DDI marketplace.

The acceptance into a DDI request for supply arrangement establishes Draganfly as a qualified supplier within the DDI marketplace and provides the company with a pathway for contract opportunities supporting the Canadian Armed Forces and the Canadian Coast Guard involving uncrewed and autonomous systems and related capabilities. Draganfly has qualified across all five DDI streams: UxS and counter-UxS Systems; C2, communications, data, EW and cyber systems; integration, interoperability and engineering services; test, evaluation and training; and innovation and experimentation.

Launched by the government of Canada in July, 2026, and led collaboratively by the Department of National Defence and the Defence Investment Agency, the Defence Drone Initiative is designed to accelerate the development, testing, adaptation and production of Canadian uncrewed and autonomous systems while strengthening domestic defence industrial capacity and sovereign capability.

The DDI marketplace is being established as Canada undertakes a significant expansion of domestic defence investment. The government of Canada has announced plans to invest approximately $180-billion in direct defence procurement over the next decade, and has identified uncrewed and autonomous systems as one of 10 sovereign capability priorities under Canada's defence industrial strategy. The strategy also includes a $105-million investment over three years in a national drone innovation hub intended to advance the research, development and commercialization of Canadian drone and counterdrone technologies.

"Draganfly has spent more than 25 years developing drone technology in Canada, and we believe the opportunity for Canadian-developed systems has never been greater," said Cameron Chell, chief executive officer of Draganfly. "The Defence Drone Initiative creates a practical pathway for industry and government to work together to evaluate, adapt and deploy capabilities against real operational requirements. Our focus is on delivering systems that can evolve quickly with the mission and provide Canadian operators with technology that is built, supported and advanced here at home."

Draganfly has continued to expand its engagement with Canada's defence ecosystem throughout 2026. The company participated in the Canadian Army's collaborative uncrewed aircraft systems working group under Minerva and subsequently conducted a dedicated capabilities demonstration for members of the Canadian Armed Forces at Area X.O in Ottawa.

Draganfly's defence portfolio includes the Flex FPV tactical system, Apex tactical ISR platform, Commander 3XL, and Heavy Lift systems and longer-range autonomous platforms, supported by modular payloads, secure communications, autonomy, software, and command-and-control technologies. The company's approach is designed around adaptable systems that can be configured and integrated according to evolving operational requirements.

The Defence Drone Initiative is intended to provide a more agile pathway for qualified Canadian technologies to progress through research, prototyping, testing, demonstrations and limited acquisitions and, where requirements are met, toward potential production opportunities. Qualification across all five streams positions Draganfly to compete for applicable future requirements spanning platforms, command and control, communications, integration and engineering, testing and training, and emerging technology development.

"Qualification for the DDI marketplace is another step in expanding Draganfly's role in Canada's Defence Industrial Strategy," Mr. Chell added. "We are privileged to be in a position to be of service to those that serve."

About Draganfly Inc.

Draganfly is a leader in cutting-edge drone solutions and software that are transforming industries and serving stakeholders globally. Recognized for innovation and excellence for over 25 years, Draganfly delivers award-winning technology to the public safety, civil, military, agriculture, industrial inspection, security, mapping and surveying markets. The company is driven by passion, ingenuity and a mission to provide efficient solutions and first-class services to customers worldwide, saving time, money and lives.

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