Kraken Announces Pre-qualification of SeaVision® by Canada’s BCIP Program

Two out of Two BCIP Applications Now Pre-qualified


ST. JOHN’S, Newfoundland and Labrador, June 01, 2018 (GLOBE NEWSWIRE) -- Kraken Robotics Inc. (TSX-V:PNG) (OTCQB:KRKNF) (“Kraken” or the “Company”), is pleased to announce that its wholly owned subsidiary, Kraken Robotic Systems Inc., has been notified by the Government of Canada that the Company’s SeaVision® underwater 3Dlaser imaging system has been pre-qualified for the Build in Canada Innovation Program (BCIP). This is the second BCIP application that Kraken has had pre-qualified by the Government of Canada.

President & CEO Comments
Karl Kenny, Kraken’s President and CEO, said, "We are delighted with our second pre-qualification within the BCIP program. We believe that Parks Canada will test SeaVision® on marine archaeology projects, including further expedition work in the Arctic on the Franklin ships HMS Erebus and HMS Terror. We anticipate this pre-qualification will convert into a contract in the near future.”

Update on Kraken’s First BCIP Pre-Approval
Kraken’s first BCIP pre-approval was for the ThunderFish® 300 autonomous underwater vehicle, which will be tested by Defence Research & Development Canada. The Statement of Work has been agreed to by both parties, and the Company is awaiting the final contract for ThunderFish® 300 to be issued by Public Services and Procurement Canada. Kraken expects that both ThunderFish® 300 and SeaVision® will be delivered to the two testing departments during 2018.

About the Build in Canada Innovation Program
The Build in Canada Innovation Program (BCIP) helps Canadian companies of all sizes move their state-of-the-art goods and services from the laboratory to the marketplace. Through the BCIP, companies can sell their pre-qualified innovations to the federal government as their first reference sale. After testing a company's innovation, federal departments provide feedback on the innovation's performance in an operational setting. The program pays up to C$500,000 for non-military innovations and up to C$1,000,000 for military innovations. For more information, please visit: http://www.tpsgc-pwgsc.gc.ca/app-acq/picc-bcip/ppicc-abcip-eng.html#s1.

About SeaVision®
SeaVision® is an underwater 3D laser imaging system designed to be fitted to remotely operated and autonomous underwater vehicles. The system delivers dense full colour 3D point cloud images of subsea infrastructure with millimetre accuracy in real time. These datasets create highly detailed models for 3D visualization that are uploaded to the cloud to support complex machine learning and artificial intelligence algorithms used for analytics. The ability to automate defect recognition and predict accurate change detection of underwater assets is an important requirement for commercial, military and ocean research applications. SeaVision simplifies creating dynamic digital models of physical assets and systems. This helps build and operate digital twin applications to gain knowledge and insights about performance of future operations.

Industry analysts Markets and Markets forecast that the 3D scanner market is expected to grow from US$3.4 Billion in 2015 to almost US$6 Billion by 2022. The demand for 3D scanners is expected to increase owing to the growing need to capture large volumes of three-dimensional data for modelling and analysis. The laser 3D scanner is expected to hold the largest share of the 3D scanner market between 2016 and 2022 owing to its ease of usage and availability.

About Kraken Robotics Inc.
Kraken Robotics Inc. (TSX.V:PNG) (OTCQB:KRKNF) is a marine technology company dedicated to the production and sale of software-centric sensors and underwater robotic systems. The company is headquartered in St. John’s, Newfoundland with offices in Dartmouth, Nova Scotia; Bremen, Germany; and Fairfax, Virginia. For more information, please visit www.krakenrobotics.com, www.krakenrobotik.de, www.krakenpower.de. Find us on social media on Twitter (@krakenrobotics), Facebook (@krakenroboticsinc), and LinkedIn.

Certain information in this news release constitutes forward-looking statements. When used in this news release, the words "may", "would", "could", "will", "intend", "plan", "anticipate", "believe", "seek", "propose", "estimate", "expect", and similar expressions, as they relate to the Company, are intended to identify forward-looking statements. In particular, this news release contains forward-looking statements with respect to, among other things, business objectives, expected growth, results of operations, performance, business projects and opportunities and financial results. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. Such statements reflect the Company's current views with respect to future events based on certain material factors and assumptions and are subject to certain risks and uncertainties, including without limitation, changes in market, competition, governmental or regulatory developments, general economic conditions and other factors set out in the Company's public disclosure documents. Many factors could cause the Company's actual results, performance or achievements to vary from those described in this news release, including without limitation those listed above. These factors should not be construed as exhaustive. Should one or more of these risks or uncertainties materialize, or should assumptions underlying forward-looking statements prove incorrect, actual results may vary materially from those described in this news release and such forward-looking statements included in, or incorporated by reference in this news release, should not be unduly relied upon. Such statements speak only as of the date of this news release. The Company does not intend, and does not assume any obligation, to update these forward-looking statements. The forward-looking statements contained in this news release are expressly qualified by this cautionary statement.

Neither the TSX Venture Exchange Inc. nor its Regulation Services Provide (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release, and the OTCQB has neither approved nor disapproved the contents of this press release.

For further information, please contact:
Sean Peasgood, Investor Relations
(647) 955-1274
sean@sophiccapital.com

Greg Reid, Chief Financial Officer
(416) 818-9822
greid@krakenrobotics.com

Glenda Leyte, Marketing Manager
(709) 757-5757 extension 288
gleyte@krakenrobotics.com

A photo accompanying this announcement is available at http://www.globenewswire.com/NewsRoom/AttachmentNg/a2964709-60f6-4882-8460-03691a37cc75

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