Nauticus Robotics Invoices Phase I: Concept Validation Under Contract for Aquanaut Mark 2

Rhea-AI Summary

Nauticus Robotics (NASDAQ: KITT) has successfully completed and invoiced Phase I of its four-phase contract with Brazil's largest offshore oil & gas operator. This phase involved finalizing engineering and proof-of-concept documentation for the Aquanaut Mark 2 vehicle, detailing its advancements and capabilities for 10 core functionalities essential for offshore deepwater field inspection and light maintenance tasks.

The company is now progressing with Phase II (Technology Integration) and Phase III (Controlled Environment Testing) concurrently. Phase IV (Field Qualification Test) will be performed in Brazil. Nauticus' ToolKITT software, a platform-independent solution, is being leveraged to shift the industry from traditional tethered operations to augmented autonomy.

Positive

• Successful completion and invoicing of Phase I contract with Brazil's largest offshore oil & gas operator
• Advancement of Aquanaut Mark 2 vehicle with 10 core functionalities for deepwater field inspection and maintenance
• Concurrent progress on Phase II and III of the contract
• Development of proprietary ToolKITT software for platform-independent subsea operations

Negative

• None.

Financial Analyst

Nauticus Robotics' successful completion and invoicing of Phase I for its contract represents a significant milestone from a financial perspective. Given the contract's association with Brazil's largest offshore oil & gas operator, this progress signals positive revenue flow and potentially strengthens Nauticus' market position.

Revenue and Cash Flow: The invoicing on the Phase I completion translates into immediate cash inflow, improving Nauticus' liquidity position. This is important for funding subsequent phases without relying heavily on external financing, which can dilute existing shareholders' equity. Investors should note the incremental nature of revenue from this four-phase contract, ensuring continued financial health through steady cash flow.

Stock Performance: The completion of Phase I, coupled with positive results, may positively impact investor sentiment and, potentially, stock performance. However, investors should monitor the progress of subsequent phases for sustained long-term benefits. Risks include the company’s ability to meet Phase II and III timelines and the successful execution of Phase IV in Brazil.

In essence, this milestone gives investors confidence in Nauticus’ execution capabilities and positions the company favorably for future growth.

Tech Expert

The technological achievements in Phase I for the Aquanaut Mark 2 underscore Nauticus Robotics' capability in the subsea robotics domain. The successful documentation and testing of 10 core functionalities essential for deepwater operations highlight the advanced engineering and innovative design of the Aquanaut Mark 2.

The integration of ToolKITT software is a critical aspect, providing a versatile, platform-independent solution that enhances the vehicle's autonomy and operational efficiency. The shift from traditional tethered operations to autonomous systems represents a significant technological leap, offering improved safety, efficiency and reduced environmental impact.

Technological Risk and Opportunity: While the innovative technology presents substantial opportunities for market differentiation, it also carries inherent risks. Adoption and integration into existing operational frameworks can be challenging. The iterative approach to Phase II and III reflects a cautious yet ambitious roadmap that investors should follow closely.

For investors, the focus should be on Nauticus' ability to continue delivering technological milestones and the broader industry adoption of these advanced systems.

HOUSTON, July 18, 2024 /PRNewswire/ -- Nauticus Robotics, Inc. (NASDAQ: KITT), a leading innovator in subsea robotics and software, announces the successful completion and invoicing of Phase I in its transformative four-phase contract with Brazil's largest offshore oil & gas operator. This milestone concludes part of the contract that was awarded in 2023.

Nauticus' Autonomous Solutions team has achieved a crucial victory by finalizing the engineering and proof-of-concept documentation for the Aquanaut Mark 2 vehicle. This documentation details the advancements and capabilities of Aquanaut Mark 2, ensuring it meets the stringent requirements of 10 core functionalities essential for offshore deepwater field inspection and light maintenance tasks. The reports include a technical analysis of each required capability, Factory Acceptance Test results for each vehicle component, and the status of ongoing testing in both controlled (pool) and uncontrolled (ocean) environments. All Phase I contractual requirements were successfully fulfilled during Q2FY24.

Nauticus Robotics' CEO, John Gibson, commented, "The successful completion of Phase I underscores our commitment to revolutionizing subsea operations. Our team's dedication and the innovative advancements of the Aquanaut Mark 2 showcase the potential for significant improvements in efficiency, safety and the opportunity to materially reduce CO2 emissions of offshore operations."

Nauticus is now forging ahead with Phase II (Technology Integration) and Phase III (Controlled Environment Testing), which are being executed concurrently through an iterative approach as new vehicle capabilities are developed and integrated. The final phase, Phase IV (Field Qualification Test), is slated to be performed in Brazil, bringing the project full circle.

The Aquanaut vehicle leverages Nauticus' proprietary ToolKITT software, a versatile and platform-independent solution previously tested across various subsea vehicle classes. By harnessing the power of the ToolKITT software and the pioneering design of the Aquanaut vehicle, Nauticus is spearheading the industry's shift from traditional tethered operations to augmented autonomy.

About Nauticus Robotics

Nauticus Robotics, Inc. develops autonomous robots for the ocean industries. Autonomy requires the extensive use of sensors, artificial intelligence, and effective algorithms for perception and decision allowing the robot to adapt to changing environments. The company's business model includes using robotic systems for service, selling vehicles and components, and licensing of related software to both the commercial and defense business sectors. Nauticus has designed and is currently testing and certifying a new generation of vehicles to reduce operational cost and gather data to maintain and operate a wide variety of subsea infrastructure. Besides a standalone service offering and forward-facing products, Nauticus' approach to ocean robotics has also resulted in the development of a range of technology products for retrofit/upgrading traditional ROV operations and other third-party vehicle platforms. Nauticus' services provide customers with the necessary data collection, analytics, and subsea manipulation capabilities to support and maintain assets while reducing their operational footprint, operating cost, and greenhouse gas emissions, to improve offshore health, safety, and environmental exposure. 

Cautionary Language Regarding Forward-Looking Statements

This press release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended (the "Act"), and are intended to enjoy the protection of the safe harbor for forward-looking statements provided by the Act as well as protections afforded by other federal securities laws. Such forward-looking statements include but are not limited to: the expected timing of product commercialization or new product releases; customer interest in Nauticus' products; estimated operating results and use of cash; and Nauticus' use of and needs for capital. Generally, statements that are not historical facts, including statements concerning possible or assumed future actions, business strategies, events, or results of operations, are forward-looking statements. These statements may be preceded by, followed by, or include the words "believes," "estimates," "expects," "projects," "forecasts," "may," "will," "should," "seeks," "plans," "scheduled," "anticipates," "intends," or "continue" or similar expressions. Forward-looking statements inherently involve risks and uncertainties that may cause actual events, results, or performance to differ materially from those indicated by such statements. These forward-looking statements are based on Nauticus' management's current expectations and beliefs, as well as a number of assumptions concerning future events. There can be no assurance that the events, results, or trends identified in these forward-looking statements will occur or be achieved. Forward-looking statements speak only as of the date they are made, and Nauticus is not under any obligation and expressly disclaims any obligation, to update, alter, or otherwise revise any forward-looking statement, whether as a result of new information, future events, or otherwise, except as required by law. Readers should carefully review the statements set forth in the reports which Nauticus has filed or will file from time to time with the Securities and Exchange Commission (the "SEC") for a more complete discussion of the risks and uncertainties facing the Company and that could cause actual outcomes to be materially different from those indicated in the forward-looking statements made by the Company, in particular the sections entitled "Risk Factors" and "Cautionary Note Regarding Forward-Looking Statements" in documents filed from time to time with the SEC, including Nauticus' most recent Annual Report on Form 10-K. Should one or more of these risks, uncertainties, or other factors materialize, or should assumptions underlying the forward-looking information or statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, believed, estimated, or expected. The documents filed by Nauticus with the SEC may be obtained free of charge at the SEC's website at www.sec.gov.

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SOURCE Nauticus Robotics, Inc.

FAQ

What is the current status of Nauticus Robotics' (KITT) contract with Brazil's offshore oil & gas operator?

Nauticus Robotics has completed and invoiced Phase I of the four-phase contract, which involved finalizing engineering and proof-of-concept documentation for the Aquanaut Mark 2 vehicle. The company is now progressing with Phase II (Technology Integration) and Phase III (Controlled Environment Testing) concurrently.

What are the key features of Nauticus Robotics' (KITT) Aquanaut Mark 2 vehicle?

The Aquanaut Mark 2 vehicle is designed with 10 core functionalities essential for offshore deepwater field inspection and light maintenance tasks. It leverages Nauticus' proprietary ToolKITT software, enabling a shift from traditional tethered operations to augmented autonomy in subsea operations.

When is Nauticus Robotics (KITT) expected to complete the final phase of its Brazil contract?

The final phase, Phase IV (Field Qualification Test), is slated to be performed in Brazil. However, the specific completion date has not been mentioned in the press release.

How does Nauticus Robotics' (KITT) technology aim to improve offshore operations?

Nauticus Robotics' technology, including the Aquanaut Mark 2 vehicle and ToolKITT software, aims to improve efficiency, safety, and significantly reduce CO2 emissions in offshore operations by enabling autonomous and remotely operated subsea tasks.