Alchemist Aerials

2409 Townlake Circle #221 Austin, TX 78741 Tel: 941-735-4039 Email: contact @alchemistaerials.com ATTN: Andrzej Mrotek 2409 Townlake Circle #221 Austin, TX 78741 Tel: 941-735-4039 Email: aj@alchemistaerials.com

A. Alchemist Aerials ’s Operations

B. Flight conditions The sUAS will be flown in airspace under 400 feet above ground level (“AGL”) and under controlled conditions on restricted, rural, private property. The sUAS will be used to monitor two different types of sites, open pit mines and natural gas well pads.

The standard pre-flight and operational procedure will be as follows:
1. Meet at security gate and complete pre-flight security appropriate to each site : (described -below) C. Flight Operations The purpose of every sUAS flight will be to safely, accurately, and efficiently create survey maps of open mines and to inspect well pads. Th e sUAS will collect photogrammetric pictures, surve y equipment to set ground control points, and use specialized photogrammetry software to process the data. The survey output will be 3D surface models and high resolution aerial photographs. Every sUAS flight will use at minimum a two man flight crew, both possessing engineering credentials. The Pilot in Command (PIC) will have substantial prior experience with operating the sUAS, and possess a degree in professional engineering and land surveying. The assistant/spotter will be a licensed engineer intern.2. Drive to area to be surveyed.

3. The Pilot in Comm and begins to ready sUAS for flight. a. Set up hand held weathe r station on tripod. b. Check over airframe, connections, and propellers for any damage during transport in vehicle. While the airframe has the ability to disassemble easily for transport, the sUAS will remain fully assembled. The sUAS is transported in the back of a truck which has a camper shell and straps installed to secure the sUAS in place to minimize electrical connection fatigue. c. Install and calibrate camera in gimbal. d. Turn on and ready lap top on tailgate. e. Connect communicati on antennae to laptop. f. Open Ground Station software and pull up pre-planned photogrammetry flight path. g. Boot up secondary GPS for tracking and geocoding pictures. h. Attach secondary GPS to sUAS. i. Remove main flight Tx 1 from case and power up, verify voltage and settings. j. Remove gimbal Tx from case and power up, verify voltage and settings. k. Remove dual battery pack for flight, measure current voltage, log in battery manual. l. Strap batteries se curely on to sUAS, do not attached main power. m. Move sUAS to take off point, approximately 30 feet from truck and crew. n. Attach main power. o. Listen to power up seque nce of beeps for E SC and motors. p. Using Flight Tx cycle through different control modes observing LED lights for good connection and re sponse. q. Using Gimbal Tx cycle through all controls making sure the gimbal and camera respond to commands. r. Re move secondary GPS and hold in front of camera taking picture to record a time stamp picture. s. Reattach secondary GPS. t. Set up traffic cones around sUAS with approximately a 20 foot radius. This is the “home” area and the operators are not allowed inside this area while the electrical motor is running. u. Walk back to truck with both Tx. v. Using Flight Tx activate engine power without moving throttle up. This checks that the automatic throttle kill is working and also records the “home” point.
w. Using laptop Ground Station now select button connecting laptop to sUAS.
x. sUAS should appear on the screen, along with a recorded home point, battery voltage, current altitude relative to the ground, and current velocity. y. Upload flight path data to sUAS. z. Verify good upload and connection. aa. Verify weather from portable weather station. bb. Record time and weather in Flight Log. cc. sUAS is now fully prep and ready to go.

1 "Tx" represents radio transmitter for command and control. "Rx" represents radio receiver for command and control.dd. W aits for secondary crew member to return from setting out GCP’s.

4. W hile Pilot in Command is readying the aircraft the second crew member is preparing the Ground Control Points (GPC’s) and walking the site. a. Power up and calibrates the survey grade GPS equipment. b. Begin setting GCP’s and shooting center of targets with survey GPS. c. While setting out GCP’s secondary crew is also making sure area is clear of all people. 5. Typically secondary crew and pilot finish at about the same time. Upon his return, the secondary cre w member sets the survey GPS to the side and sits next to the lap top and camera Tx. 6. Pilot double checks take-off area is clear. 7. Pilot takes off fl ying to the approximate survey altitude. 8. Pilot instructs se condary crew member to initiate preprogrammed flight path. 9. Secondary Crew verifies that the Ground Station has good connection and is tracking the sUAS. 10. Secondar y crew then turns on the camera to take pictures at a continuous interval. 11. During entire preprogrammed flight Pilot always has visual line of sight and is prepared to take over flight ope rations. Pilot’s Tx has a flight count down timer which is set to a minimum of 20% battery reserve (Calculated based on prior field experience to safely return the sUAS to safe landing with ample margin of error). The timer begins from the point the throttle is moved out of its start position. 12. Du ring flight secondary crew vigilantly monitors the Ground Station data (Voltage, forward velocity, altitude , and estimated remaining time to complete the mission) and relays any sudden changes or alerts to the pilot. 13. As the mission completes the Pilot informs the secondary crew he is taking back over control. 14. Secondary c rew turns off the camera. 15. Pilot begins to land the sUAS

. 16. After safely

touching down the Pilot immediately goes and unplugs the main power. He then checks the pictures to v erify if the pictures are good and the mission was successful. 17. If successful secondary crew leaves to go pick up GCPs. 18. Pilot checks batte ry voltage and records in battery log. 19. Pilot records flig ht time in Flight Log. 20. Pilot turns off both Tx, s econdary GPS, and camera. 21. Pilot looks over airframe to see if any damage or loose connections happened from the flight. 22. Pilot begins to pack a ll equipment back up for safe transport. The flight crew will follow separate safety procedures for open mine surveying and for natura l gas well p ad surveying. At the mine sites, the flight crew will check in at the security gate and go through a safety inspection. The crew will meet a mine representative who serves as a liaison in directing any mine personal and will have any dump trucks or bulldozers on the pile clear off before the crew begins its survey. After the flight, the mine representative will inform any trucks and bulldozers that they can begin operations again. (See Exhibit 1) At the well sites, the flight crew will unlock the security gate upon arrival and put on personal protection equipment, which includes hard hats, safety glasses, flame resistant coveralls, and steel toed boots. The crew then drives around the well pad site to inspect the flight area, set out groundc ontrol points, and take land based photographs, and parks just outside of the well pad entrance.

(See Exhibit 2) IV. Privacy There is little conce rn that the proposed flights will cause invasions of privacy because all flights will occur over private or controlled access property with the property owner’s prior consent and knowledge. In addition, as the overflight areas will be rural, there is little to no chance that there will be inhabited houses in the visual area or other people who have not consented to being filmed or otherwise agreed to be in the area where filming will take place. No attempt will be made to identify any individuals filmed during the flights except in cases where they are trespassing upon or damaging customer property, or interfering with the applicant’s or its customers’ operations.
V. Aircraft and Equival ent Level of Safety Alchemist Aerials proposes that the exemption requested herein apply to civil aircraft that have the characteristics and that operate with the limitations listed herein. These limitations provide for at least an equivalent or higher level of safety to operations under the current regulatory structure.
These limitations and conditions to which Alchemist Aerials agrees to be bound when conducting commercial operations under an FAA issued exemption include: 1. The sUAS will weigh less than 15 lbs. 2. Flights will be operated within line of sight of a pilot and observer. 3. Maximum total flight time for each operational flight will be 12 minutes. Flights will be terminated at 20% battery power reserve should that occur prior to the 12 minute limit. 4. Flights will be operated at an altitude of no more than 400 feet AGL. Despite this limitation, the majority of flights are a nticipated to operate at no more than 270 feet AGL. 5. Minimum crew for each operation will consist of the sUAS pilot and the visual observer.
6. A briefing will be conducted in regard to the planned sUAS operations prior to each day’s activities. It will be mandatory that all personnel who will be performing duties in connection with the operations be present for this briefing. 7. The operator will file any necessary paperwork in light of the exemptions with the appropriate Flight S tandards District Office (“FSDO”). 8. The operator will submit a written Plan of Activities to the FSDO at least one day before the proposed operations beg in.9. Pilot and observer will have been trained in operation of sUAS generally and received upto -date information on the pa rticular sUAS to be operated.10. Pilot and observer will at all times be able to communicate by voice and/or text.

11. Written and/or oral permission from the relevant property holders will be obtained. 12. All required permissions and permits will be obtained from territorial, state, county or city jurisdictions, including local law enforcement, fire, or other appropriate governmental agencies. 13. The sUAS will have the capability to abort a flight in case of unexpected obstacles or emergenc ies. 14. If the multirotor and its controller disconnects during flight, the system’s failsafe protection will come to the rescue and the multirotor will return to home and land automatically, rather than flying off uncontrollably or landing at an unknown location. Satisfaction of the criteria provided in Section 333 of the Reform Act of 2012

-- size, weight, speed, operating capabilities, proximity to airports and populated areas and operation within visual line of sight and national security – provide more than adequate justification for the grant of the requested exemptions allowing commercial operation of applicant’s sUAS in the mining, oil, and gas inspection industries pursuant to Alchemist Aerials ’s rules of operation appended hereto.

VI. Public Inte rest and Safety Use of the sUA S will increase ground safety by eliminating ground surveying on the mine floor and help prevent wildfires and exposure to H 2 S gas at the well pads, Currently, under safety regulations by the Mine Safety and Health Administration (MSHA), the coal stockpiles are surveyed by employees who walks on the piles with survey grade GPS collection equipment. This task takes two employees several hours to complete. The surveyors curre ntly face the following challenges:
A. In the stockpiles: 1. The piles are extremely steep and high – up to 100 feet above natural ground. The coal material of the piles is loose and shifts easily, which makes the sides of the piles very hazardous and can lead to unexpected coal slides, which endanger the workers. 2. Inventories of coal piles are collected on a monthly basis. The coal has not been run through a crush er, and the size of the coal can range from dust to 5’ chunks, which create a tripping hazard for people walking through the piles. Using the sUAS will eliminate tripping hazards to the surveyors. 3. During August and September, the heat index routinely breaks 100oF, which can lead to heat relate d illness and injury. Using the sUAS instead will reduce the risk of heat exhaustion to the surveyors as the time spent by the surveyors on the mine floor will be reduced from up to three hours, to an hour or less.