The company has already raised US$9.2 million from investors to build the aircraft called “Chaparral,” Forbes reports.
Its new self-flying drone will be able to carry 225 kg of cargo and fly 500 kilometers while in the air, according to Elroy Air’s website.
The drone is said to use a grasping mechanism to automatically pick up and release cargo pods.
The aircraft will use six electric rotors for vertical take-offs and landings, Forbes reports.
A hybrid-electric powertrain system will be used to power the self-flying drone. This will allow fewer pollutants to be scattered in the air, according to the company’s website.
Its website explains that the drone could also be used in humanitarian ways, such as to carry life saving supplies to disaster relief areas.
The drone will undergo testing this year and is expected to be put into service by 2020.