Titomic Ltd (ASX:TTT) has signed an agreement with TAUV to commence an up to $1.8 million exclusive defence program to manufacture unmanned aerial vehicles (UAV), solider systems and solider sensors for TAUV.
The deal follows the successful launch of Titomic manufactured TAUV ruggedised drone prototype at Land Forces 2018 (phase I).
Australia based TAUV has licensed the patented Titomic Kinetic Fusion (TKF) technology from Titomic to manufacture next-generation soldier systems.
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The TKF technology overcomes limitations of additive manufacturing (3D printing) for metals to manufacture complex parts without shape or size constraints.
It enables speed-to-market, superior products with lower production inputs.
Under phase II, Titomic will deliver a feasibility report to TAUV outlining the various performance parameters, mechanical properties and product cost advantages of the Titomic technology including proof of concept prototypes.
To maintain exclusivity, TAUV must execute phase II, outlining the specific products on or before November 30, 2018 at a total phase cost of $300,000.
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Phase III will comprise of Titomic designing and engineering a manufacturing process for TAUV’s soldier system for total revenue of up to $1.5 million.
On successful completion of trials (phase III), TAUV will use the TKF technology to manufacture soldier system products with ongoing royalty payments to Titomic.