49NORTH AWARDS CONTRACT TO TERRASENSE ANALYTICS-LED AIRBORNE SENSING LAB IN SUPPORT OF CANADA'S CQ-9B GUARDIAN REMOTELY PILOTED AIRCRAFT SYSTEM PROJECT

OTTAWA, ON, Oct. 15, 2026 /PRNewswire/ -- 49North, a wholly-owned subsidiary of MDA Space (TSX: MDA) (NYSE: MDA), today announced it has awarded a contract in support of Canada's Remotely Piloted Aircraft System (RPAS) project to Airborne Sensing Lab (ASL), a consortium led by TerraSense Analytics in collaboration with the University of British Columbia Survive and Thrive Applied Research (STAR) initiative and KF Aerospace.

ASL will provide 49North with a high-quality airborne data-collection platform to capture electro-optical and infrared (EO/IR) imagery of maritime vessels over the Strait of Georgia. The imagery will support the development of the RPAS project's automated target-classification capability.

49North is focused on delivering secure, multi-domain C4ISR and mission-critical capabilities for Canada's national defence priorities, including through partnerships with Canadian universities, small and medium-sized enterprises (SMEs), and other defence contractors to provide sovereign capabilities to the RPAS project.

This contract award to ASL is part of 49North's $78.2 million RPAS contract with General Atomics Aeronautical Systems, Inc. (GA-ASI). 49North is a key member of Team SkyGuardian Canada, alongside GA-ASI, CAE, and L3Harris WESCAM, working to deliver 11 CQ-9B Guardian aircraft to the Royal Canadian Air Force (RCAF) by 2028. The CQ-9B Guardian is based on GA-ASI's MQ-9B, which is on order or operating for a growing list of international defence and security forces.

Quotes:

"This contract brings together Canadian industry and academic expertise to support the development of an important sovereign capability for the RCAF's RPAS project. By partnering with TerraSense, UBC's STAR Initiative and KF Aerospace, we are drawing on Canadian innovation and operational expertise to deliver for the Canadian Armed Forces while strengthening Canada's domestic defence ecosystem."

– Joe Armstrong, President, 49North

"TerraSense is proud to support the development of sovereign Canadian defence capabilities through this work with 49North. As Canadian SMEs continue to drive innovation across the defence sector, programs like RPAS show the importance of bringing homegrown technology into national defence capability development."

– Cornell Pich, Vice President of Business Growth and Strategy, TerraSense

"This project brings together some of Canada's strongest aerospace, technology and academic partners to advance an important sovereign defence capability. KF Aerospace is pleased to contribute its aircraft, operational expertise and decades of experience supporting complex defence programs. We are excited to grow this capability with exceptional, innovative partners like 49North and TerraSense."

– Gregg Evjen, President, KF Aerospace

"This is a great example of how business growth and success can fit into the Canadian Government Defence Industrial Strategy's Build-Partner-Buy approach. This effort fits nicely within the Build and Partner pillars and supports the industrial strategy and execution of the Team SkyGuardian Canada initiative led by GA-ASI and intended to showcase Canada's world-class capabilities on our industry-leading uncrewed systems."

– Michel Lalumiere, Director of International Strategic Development Canada, GA-ASI

FORWARD-LOOKING STATEMENTS 
This news release may contain forward-looking information within the meaning of applicable securities legislation, which reflects the company's current expectations regarding future events. Forward-looking statements are based on certain assumptions and analyses made by MDA Space in light of management's experience and perception of historical trends, current conditions and expected future developments and other factors it believes are appropriate, and are subject to risks and uncertainties and other factors which may cause the actual results, performance or achievements of MDA Space to differ materially from those anticipated in such forward-looking statements for a variety of reasons, including without limitation the risks and uncertainties detailed under the "Risk Factors" section of MDA Space's annual information form dated March 4, 2026.

Although MDA Space believes that the assumptions underlying these statements are reasonable, they may prove to be incorrect and there can be no assurance that actual results will be consistent with the forward-looking statements. There are a number of additional risks and uncertainties affecting or that could affect MDA Space, which could cause actual results and developments to differ materially from those described in, expressed or implied by these forward-looking statements. Accordingly, readers should not place undue reliance on any forward-looking statements or information included within this press release. These forward-looking statements speak only as of the date of this news release. Except as required by law, MDA Space is not under any obligation, and expressly disclaims any intention or obligation, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

ABOUT 49NORTH

49North delivers sovereign Canadian defence capabilities with a focus on C4ISR and mission-critical systems, strengthening decision advantage in complex and contested environments. Building on more than five decades of trusted Canadian defence delivery and prime contractor execution from MDA Space, 49North brings engineering discipline, operational reliability, and mission assurance to large, mission-critical defence programs.

49North integrates advanced sensing technologies, autonomous systems, secure digital mission systems, defence-qualified electronics, and long-term sustainment and in-service support of complex defence platforms across land, air, maritime, and joint domains. Headquartered in Ottawa, 49North brings trusted defence capability to reinforce Canada's long-term sovereignty and security.

To learn more, visit 49NorthDefence.com

SOURCE 49North