Zenatech's Zenadrone Launches The IQ Nano Indoor Drone For US Defense Applications And Initiates Green And Blue UAS Certifications

(Vancouver, British Columbia– June 17, 2025) - ZenaTech, Inc. (Nasdaq: ZENA) (FSE:49Q) (BMV: ZENA) ( & quot;ZenaTech & quot;), a technology company specializing in AI (ArtificialIntelligence) drone, Drone as a Service (DaaS), enterprise SaaS, and QuantumComputing solutions, today announces the launch of the ZenaDrone's IQ Nano, acompact autonomous indoor drone, for US Department of Defense (DoD) agencies andgovernment use to innovate applications including inventory management, facilitysecurity, and search and rescue. Following recent US Executive Order policy directivesaimed at fast-tracking DoD adoption of secure US-made drones and streamliningprocurement, the company plans to apply for Green UAS (Unmanned Aerial System)certification, followed by Blue UAS certification required to be officially recognized as asecure and mission-ready drone supplier to US military customers.“New policy directives have cleared regulatory hurdles and aligned procurement tosupercharge US defense drone manufacturers,” said Shaun Passley, Ph.D., CEO ofZenaTech.“As defense agencies navigate an increasingly complex security andlogistics landscape, autonomous AI technologies like the IQ Nano indoor drone arecritical to maintain a tactical edge. By automating and streamlining tasks like inventorymanagement, security, reconnaissance, and search and rescue, it frees personnel tofocus on strategic decision-making, ultimately enhancing mission success andprotecting lives.”The IQ Nano drone is engineered for operations in GPS-denied, confined, or high-riskenvironments where traditional systems and personnel face operational challenges. Itautomates inventory management by precisely scanning barcodes of stock in armoriesand warehouses, reducing manual labour, human errors and improving safety with HD and thermal imaging plus AI-powered anomaly detection, it enablessecure indoor surveillance of command centers, ammunition depots, and restrictedzones. Its stable hover capabilities, obstacle avoidance, and durable Carbon-fiberdesign ensure safe operation in confined spaces drone's autonomous flight and night vision capabilities support search and rescueby navigating dark, collapsed, or inaccessible areas to locate personnel, deliversupplies, and monitor for threats. Compact and rapidly deployable, the IQ Nanoenhances agility across defense infrastructure and logistics these capabilities, the IQ Nano can support facility mapping and digital twincreation (virtual 3D model of a facility) to aid mission planning, maintenance, andinfrastructure analysis. Additionally, it can also contribute to combat training and

simulation exercises by replicating reconnaissance scenarios and capturingperformance data in controlled environments IQ Nano is designed to operate not just as a single unit but as a part of a dronefleet or swarm. In indoor military environments, these coordinated fleets can coverexpansive or complex facilities simultaneously, enabling faster inventory audits,comprehensive surveillance, and enhanced situational awareness company plans to initiate the Green UAS certification process for the IQ Nanowhich is considered a pathway to the Blue UAS certification list. The main difference isthat the Green UAS is a commercial certification for secure drones led by the AUVSIdrone industry association. The Blue UAS is a military-grade approval managed by theDoD, which includes additional security and performance evaluations and a strictcountry of origin requirement that must not include Chinese suppliers.

About ZenaTechZenaTech (Nasdaq: ZENA) (FSE: 49Q) (BMV: ZENA) is a technology companyspecializing in AI drone, Drone as a Service (DaaS), enterprise SaaS and QuantumComputing solutions for mission-critical business applications. Since 2017, theCompany has leveraged its software development expertise and grown its drone designand manufacturing capabilities through ZenaDrone, to innovate and improve customerinspection, monitoring, safety, security, compliance, and surveying processes. Withenterprise software customers using branded solutions in law enforcement,government, and industrial sectors, and drones being implemented in these plusagriculture, defense, logistics and land survey areas, ZenaTech's portfolio of solutionshelps drive exceptional operational efficiencies, accuracy, and cost savings. TheCompany operates through seven global offices in North America, Europe, Taiwan, andUAE, and is growing a DaaS business model and global partner network.

About ZenaDroneZenaDrone, a wholly owned subsidiary of ZenaTech, develops and manufacturesautonomous drone solutions that can incorporate machine learning software, AI,predictive modeling, Quantum Computing, and other software and hardwareinnovations. Created to revolutionize the hemp farming sector, its specialization hasgrown to multifunctional AI drone solutions for industrial surveillance, monitoring,inspection, tracking, process automation and defense applications. Currently, theZenaDrone 1000 drone is used for crop management applications in agriculture andcritical field cargo applications in the defense sector, the IQ Nano indoor drone is used

for inventory management and security in commercial sectors, and the IQ Square is anindoor/outdoor drone designed for land surveys and inspections in the commercial anddefense sectors.

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This press release and related comments by management of ZenaTech, Inc. include“forward-looking statements” within the meaning of U.S. federal securities laws andapplicable Canadian securities laws. These forward-looking statements are subject tothe safe harbor provisions under the Private Securities Litigation Reform Act of 1995 forward-looking information relates to future events or future performance ofZenaTech and reflects management's expectations and projections regardingZenaTech's growth, results of operations, performance, and business prospects andopportunities. Such forward-looking statements reflect management's current beliefsand are based on information currently available to management. In some cases,forward-looking information can be identified by terminology such as“may”,“will”,“should”,“expect”,“plan”,“anticipate”,“aim”,“seek”,“is/are likely to”,“believe”,

“estimate”,“predict”,“potential”,“continue” or the negative of these terms or othercomparable terminology intended to identify forward-looking statements.  Forward-looking information in this document includes, but is not limited to ZenaTech'sexpectations regarding its revenue, expenses, production, operations, costs, cash flows,and future growth; expectations with respect to future production costs andcapacity; ZenaTech & #39;s ability to deliver products to the market as currently contemplated,including its drone products including ZenaDrone 1000 and IQ Nano; ZenaTech'santicipated cash needs and it's needs for additional financing; ZenaTech's intention togrow the business and its operations and execution risk; expectations with respect tofuture operations and costs; the volatility of stock prices and market conditions in theindustries in which ZenaTech operates; political, economic, environmental, tax, security,and other risks associated with operating in emerging markets; regulatoryrisks; unfavorable publicity or consumer perception; difficulty in forecasting industrytrends; the ability to hire key personnel; the competitive conditions of the industry andthe competitive and business strategies of ZenaTech; ZenaTech's expected businessobjectives for the next twelve months; ZenaTech's ability to obtain additional fundsthrough the sale of equity or debt commitments; investment capital and market share;the ability to complete any contemplated acquisitions; changes in the targetmarkets; market uncertainty; ability to access additional capital, including through thelisting of its securities in various jurisdictions; management of growth (plans and timingfor expansion); patent infringement; litigation; applicable laws, regulations, and anyamendments affecting the business of ZenaTech.

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