Star Navigation submits Saudi LOIs to two ministries

Star Navigation Systems Group Ltd. (CSE: SNA) said it submitted letters of intent dated September 25, 2026 to Saudi Arabia’s Ministry of Investment and the Ministry of Industry and Mineral Resources, proposing a Riyadh-based regional headquarters that would include manufacturing, assembly and engineering facilities. The submissions — made with Saudi regional partners Mr. Faraz Ali Khan and Mr. Syed Majid Uddin acting on behalf of a special purpose company to be incorporated in the Kingdom — seek guidance on investment requirements, regulatory pathways and the approvals needed to establish operations supporting the company's STAR-ISMS® and STAR-A.D.S.® aviation platforms.

Direct quote

"Submitting these LOIs is a practical step forward. Our focus is on presenting a clear technical and commercial case for the initiative and establishing the requirements for its potential implementation," said Randy Koroll, Chief Executive Officer of Star.

Context and details

• The LOIs outline a proposed facility in Riyadh intended to support local manufacturing, assembly, engineering and customer support for Star’s aviation technologies. The company also contemplates research and development activities, technical training and local workforce development in cooperation with Saudi academic and industrial institutions.
• Star framed the initiative as aligned with Saudi Vision 2030 objectives and described the Riyadh hub as a base for business development and operational coordination across the Gulf Cooperation Council and the wider Middle East and North Africa, with potential future expansion into Africa.
• The submission follows Star’s September 8, 2026 announcement of a strategic regional partnership in Saudi Arabia with Faraz Ali Khan and Syed Majid Uddin. The company said the LOIs are one of the required steps for ministry consideration and represent "concrete progress" under that partnership.
• If ministries determine the proposal merits further review, the anticipated next step would be invitations for Star and its Saudi partners to deliver detailed technical presentations expanding on the company's technologies, the proposed facility and the project's expected contributions to local industrialisation and skills development.
• Star noted the proposed facility would support its STAR-ISMS® (In‑flight Safety Monitoring System) and STAR-A.D.S.® (Aircraft Data System) platforms, which provide real‑time tracking, performance monitoring, trend analysis and predictive capabilities aimed at enhancing aviation safety and fleet management.
• The company filed the announcement from Brampton, Ontario on October 6, 2026. Market data cited in the filing showed SNAVF closed 1.69% below the previous close on the day the news was released.

Outlook

The initiative remains conditional: the LOIs are a procedural step to open formal dialogue with Saudi ministries and do not guarantee approvals or project implementation. Star and its Saudi partners will await ministry responses and possible invitations to present technical and commercial details. Should the ministries request further information, Star has indicated it will provide detailed presentations and continue to update investors on any material developments, including invitations to present, progress in discussions and subsequent agreements or approvals.