Dealing by investment manager

Draganfly Investments Limited ("Draganfly" or the "Company")

Dealing by Investment Adviser

Draganfly announces the following dealings in the Company.

The Company received notification on 25 August 2011 that on 24 and 25 August 2011, Dusko Lukic acquired a total of 500,000 ordinary shares of 1p each ("Ordinary Shares") in the Company at an average price of 0.65p per share. Mr Lukic is the majority shareholder of Millpath Limited which is the investment adviser to Draganfly.

Following this transaction, Mr Lukic is interested in 22,666,667 of the Company's Ordinary Shares which represents 19.8% of Draganfly's issued share capital and total voting rights.

For further information please contact:

T Edward / G Bayman +44 (0) 1534 787889

Dennis Edmonds +44 (0) 7796 338 372

Clive Carver/Rose Herbert

finnCap (Nominated Adviser) +44 (0)20 7600 1658

……………………………….

T Edward G Bayman

Director

Draganfly Investments Limited

25 August 2011