1. Presentation 8 th December 2015

2. Update on Progress What Next ? H2020 Funding Stream

3. Key Progress 2014/15 e-Safe and e-Spade Lite (small antenna) –Progression of Horizon 2020 funding (H2020) –1 Distributor established in Australia and New Zealand –Distributors in progress in Spain, Austria and Germany –Continue to sell new units in small volumes –5 Upgrade kits sold within last 12 months –Training services totalling circo £30k sold globally

4. What we need to do next Marketing….. –Develop our sales channels Distribution networks Direct sales lines to UK and key strategic clients –Different industries have different requirements Water, Gas, Electricity, Comm’s, Rail, Nuclear, Aviation, All have specific applications where the e-Safe or e-Spade Lite range of products would be extremely useful to have –We are targeting significant sales, 1000’s of units, price point and product cost are key –Aim is to provide a comprehensive range of products based on one common upgradeable platform –Target to be best in class –Highly portable software Enabling data to be highly portable from ‘Machine to Screen’ Readily imported into CAD for simple and quick post processing

5. Funding is required to achieve this we need to do the following… Self fund through profitability of other business’ within the group however costs significant. Raise capital H2020 European Grant

6. What is the H2020 European Funding Stream ?

7. PipeHawk H2020 application e-Safe Horizon 2020 is a dedicated programme of EC grants introduced in the last year Specifically designed to help SMEs get products to market Funding contribution from EC of 70% of the project value up to 2M Euro PipeHawk partnered with Ixion, experts in sourcing and securing EC funding Up front commitment of £15K, possibly offset by £5K innovation voucher

8. H2020 is an EC funding stream for products at a high TRL (Technology Readiness Level) that require assistance with marketing, distribution & sales. 70% funded by the EC for projects that create jobs and wealth, especially wealth brought into the EU. PipeHawk prepared and submitted an application for funding phase 1 project – which is a justification for funding and business plan for exploiting the e-Safe family of products. Applied for and received a Technology Voucher of £5000 to part fund the application.

9. Original application scored above the required threshold but the grant was oversubscribed so no funding was awarded (Jan 15). Reworked and resubmitted the application and were scored much higher, and on this occasion funding was awarded (Jun 15). €50000 awarded to fund the preparation of the business plan Submission date May 2016. Currently gathering data on requirements for various potential markets & industries, specifically within Europe. Attendance booked at several industry leading, European exhibitions to meet potential client and industry contacts. EC are providing support in the form of dedicated coaches who offer expertise in marketing & distribution and potential network of contacts.

10. PipeHawk H2020 Grant application Successful submission of the business plan will underpin an application for 70% funded phase 2 project. This is up to €2million to fund the following: –Industry research –Branding –Localisation –Marketing –Distribution & franchising –Product optimisation –Cost reductions The above activities in order to develop e-Safe sales to 8,000 units per annum worldwide by 2022.

11. Sales activities include widening e-Safe European sales into Spain (Radiopoint) and Austria (CFT Group). Developed several potential distributors & franchisees throughout UK & Europe (including Cable Detection, MANS Location Services & Moortown Group). Developing leads in Eastern Europe. Exploiting contacts & exhibitions provided via H2020 project. Continuing optimisation of assembly, software and electronics. This includes completion of in-house Rx/Tx solutions that will save £300+ per unit in external costs and ensure IP in e-Safe is 100% controlled by PipeHawk.