Red Cat Signs Contract With U.S. Customs and Border Protection for 106 Teal 2 Drone Systems

Red Cat Holdings, Inc. announces that subsidiary Teal Drones has signed $1.8 million in contracts with U.S. Customs and Border Protection (CBP) to provide Teal 2 systems to the U.S. Border Patrol. 

Teal will deliver 106 Teal 2 drones plus spare parts and training. Border Patrol uses the Teal 2 to provide supplemental airborne reconnaissance, surveillance, and tracking capability, enhancing situational awareness for U.S. field commanders and agents. 

The single-source contract is part of a Blanket Purchase Agreement (BPA) between CBP and five drone companies, announced in December 2021, with a total estimated value of $90 million over five years.  

Last October, CBP had ordered 54 Teal drones for the U.S. Border Patrol in a contract worth just over $1 million. 

“We are honored to provide this important U.S. agency with drones that help enable their mission,” said Red Cat CEO Jeff Thompson. “The Border Patrol pilots are some of the best, and their feedback has been instrumental in Teal 2 enhancements. This brings our current backlog to over $7.5 million as the Teal 2 revenue continues to accelerate. Red Cat has invested in a manufacturing facility in Salt Lake City, Utah, and we’re confident in our ability to meet order delivery deadlines for military, government, and commercial customers.” 

Approved by the U.S. Department of Defense as Blue UAS and available to purchase through the federal government’s GSA Advantage website, the Teal 2 is designed to Dominate the Night™ as the world’s leading small drone for night operations. The Teal 2 is the first sUAS equipped with Teledyne FLIR’s new Hadron 640R sensor, providing end users with the highest-resolution thermal imaging in a small form factor.