Kraken Robotics Receives $34 Million of SeaPower Battery Orders
ST. JOHN'S, Newfoundland and Labrador, Feb. 26, 2025 (GLOBE NEWSWIRE) -- Kraken Robotics Inc. ('Kraken' or the 'Company') (TSX-V: PNG, OTCQB: KRKNF) announces that it has received orders totaling $34 million for SeaPower™ pressure tolerant batteries from three clients. In addition, Kraken has signed a lease to open a new battery production facility in Nova Scotia to meet rising defense market demand for uncrewed underwater vehicles (UUVs).
'With the emergence of new larger classes of UUVs and greater adoption of these platforms in naval fleets, reliable subsea power requirements are increasing,' said Greg Reid, President and CEO of Kraken Robotics. 'These new orders illustrate the robust customer demand we have for Kraken's SeaPower batteries across the U.S., Europe, and Asia Pacific.'
One order, totaling $31 million, represents Kraken's largest battery order to date. The client, who cannot be named at this time, provides UUVs to the defense industry. Two commercial clients with UUVs also placed orders totaling $3 million.
'We have new battery form factors that will be released in late 2025 that are generating strong interest across several vehicle manufacturers,' said Mr. Reid. 'This will allow us to address a segment of the market that we have not previously had solutions for – small and medium-sized UUVs. Once completed, our new facility will allow us to triple our current battery production capacity.'
Kraken's new manufacturing facility will provide approximately 60,000 square feet of office and production space and is expected to be operational toward the end of 2025. With this new capacity, Kraken will be in an improved position to meet growing customer demand in the subsea power domain with manufacturing from both Canada and the original facility in Germany. Kraken's subsea lithium polymer batteries are delivering extended endurance and reduced costs to customers who are providing important national security and commercial subsea survey and inspection work.
Key Highlights on New Manufacturing:
Strategic Expansion: Kraken is investing $10 million in a new manufacturing facility to expand its subsea power leadership. The facility is located near many current customers in the U.S. northeast, providing shorter delivery times and enhanced customer support capabilities. This initial expansion provides a reduced risk path to technology transfer of skills and intellectual property from the German facility to the North American market. As Kraken expands its presence in the United States, this will allow for an easier transition for additional manufacturing south of the Canadian border. This new facility will include multiple 6,000-meter rated pressure testing tanks allowing Kraken to increase total subsea battery production to almost $200 million annually, once fully operational.
Commitment to Innovation: Kraken's commitment to innovation is evident in the substantial investment in R&D and new product development, a key to continued growth. Building on the region's strengths in industrial infrastructure, Kraken plans to create at least 200 permanent new advanced manufacturing jobs over the next four years and 25 temporary construction jobs to retrofit the new facility. The expansion will provide meaningful, sustainable employment opportunities for years to come, with a focus on working with local stakeholders to develop programs aimed at skills diversification for local talent. The new facility will be situated in the largest industrial park east of Montreal and north of Boston and be able to access talent from the multiple technical schools and universities in the region. Kraken will continue with its presence at the Center for Ocean Ventures and Entrepreneurship (COVE) where they design autonomous launch and recovery systems for use on crewed and uncrewed naval vessels.
ABOUT KRAKEN ROBOTICS INC.Kraken Robotics Inc. (TSX.V:PNG) (OTCQB: KRKNF) is a marine technology company providing complex subsea sensors, batteries, and robotic systems. Our high-resolution 3D acoustic imaging solutions and services enable clients to overcome the challenges in our oceans - safely, efficiently, and sustainably. Kraken Robotics is headquartered in Canada and has offices in North and South America and Europe. Kraken is ranked as a Top 100 marine technology company by Marine Technology Reporter.
LINKS:www.krakenrobotics.com
SOCIAL MEDIA:LinkedIn www.linkedin.com/company/krakenrobotics Twitter www.twitter.com/krakenrobotics Facebook www.facebook.com/krakenroboticsinc YouTube www.youtube.com/channel/UCEMyaMQnneTeIr71HYgrT2A Instagram www.instagram.com/krakenrobotics
FORWARD-LOOKING STATEMENTSCertain 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:
Erica Hasenfus, Director of Marketingerica.hasenfus@krakenrobotics.com
Joe MacKay, Chief Financial Officer(416) 303-0605jmackay@krakenrobotics.com
Greg Reid, President & CEO(416) 818-9822greid@krakenrobotics.com
Sean Peasgood, Investor Relations(647) 955-1274sean@sophiccapital.com
A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/9b13fa9c-acc2-45fc-a94c-50118cd910b2Sign in to access your portfolio
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