Deveron Signs $3.8 Million Multi-Year Agreement with A & L Laboratories

Deveron UAS Corp. is pleased to announce it has entered into a service agreement with A & L Canada Laboratories Inc.  in which A & L will engage Deveron to administer, manage and execute A & L’s soil sampling collection business.  The initial term of the agreement is for 5 years and has an anticipated value of $3.8 M over the term of the agreement.

A&L has historically maintained a soil sampling service for numerous farmers and enterprise customers.  Pursuant to this agreement, A&L will outsource the physical collection of soil samples to Deveron.  Deveron’s personnel will collect samples as part of a larger portfolio of services offered to farmers in regions across North America. Since A&L is transferring current and existing collection activity to Deveron, the revenue impact for Deveron will be immediate and begin with the 2019 crop season.

Deveron and A & L believe that one of the major limiting factors to maximizing yield on the farm is the understanding of soil.  This agreement will allow A & L to continue offering industry leading soil analysis while allowing Deveron to leverage its network of on-demand data acquisition experts to collect soil samples.  Ultimately, both companies believe current and prospective customers will benefit from this integrated relationship which will see an expansion in the coverage of soil sampling services across North America.

A & L is a leading agricultural testing lab in North America and has been providing soil sample testing for the last 30 years to some of the largest and most innovative agricultural companies and farmers in North America.  The agreement today marks another strategic initiative between the two companies since they first announced their intent to work together in Q3, 2018 (see press release dated, September 12, 2018).

Deveron has built a leading drone data network throughout Canada and the mid-west United States over the last three years that leverages proprietary software to manage its complex network of licensed drone operators.  This agreement marks the launch of another data acquisition product, soil sampling, that will continue to provide the agriculture industry with a scalable solution to acquiring data on the farm as digitization continues to become a necessary investment for farmers.  The service agreement with A & L immediately increases the Company’s access to paid-acres under management while expanding the portfolio of products available to Deveron’s customers.

“A & L’s expertise and capabilities are an excellent complement to Deveron’s data collection and analytic platforms. This new agreement will provide greater service to clients and help advance their farming operations”, said Greg Patterson, CEO and founder of A & L Canada Laboratories.

“We are excited to be working with A & L to support their data collection needs in respect to soil sampling” reported David Macmillan, President and CEO of Deveron. “We look forward to building lasting relationships with A & L’s customers in the years ahead as well as launching this service to new customers. As we integrate soil campling into our offering, we also think there will be additional value-add by providing these current relationships with access to Deveron’s other digital suite of product offerings.”

About A & L Laboratories:  We are an innovative, research-driven technology company focused on sustainable development. Through leading expertise, modern laboratory facilities and strong customer focus, A & L serves a wide range of industries including Agriculture, Environmental, Food & Pharma — globally.  In Agriculture, A & L provides comprehensive analytical services for soil, plant tissue, feed, fertilizer and water. A & L’s services also include production recommendations, remote sensing and precision agriculture capabilities.  The company operates two world class analytical laboratories serving clients throughout Canada, the U.S. and Internationally.

About Deveron UAS: Deveron is a leading agriculture technology company focused on providing data acquisition services and data analytics to the farming sector in North America.  Through its on-demand network of drone pilots and soil sampling technicians, the company is providing scalable data acquisition solutions in the imagery and soil space.  Additionally, through its wholly-owned subsidiary Veritas Farm Management, the company provides growers in North America with independent data insight on the data it collects and is being generated on today’s farm.

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