Max Power Mining Corp. has entered into a strategic non-brokered private placement financing agreement with Eric Sprott for gross proceeds of $10 million. The transaction is conditional on customary closing conditions, including approval of the Canadian Securities Exchange, with closing anticipated on or about August 17, 2026.

The placement involves the issuance of 4 million units at a price of $2.50 per unit through 2176423 Ontario Ltd., a corporation beneficially owned by Mr. Sprott. Each unit consists of one common share and one common share purchase warrant, with each warrant entitling the holder to purchase an additional common share at a price of $3.25 for a period of 24 months from the closing date.

Net proceeds from the financing will be used to further advance the ongoing commercial validation drill program at the Lawson Complex in Saskatchewan, as well as for general corporate, administrative, and marketing expenses.

Upon completion of the placement, Mr. Sprott's holdings will increase from approximately 17.6% to 19.5% of the issued and outstanding common shares on a non-diluted basis, and from approximately 27.8% to 30.5% on a partially diluted basis assuming the exercise of all warrants.

A special meeting of shareholders is scheduled to be held on August 20, 2026, at which disinterested shareholders will be asked to consider and approve an ordinary resolution to create Mr. Sprott as a control person of the company. Warrants issued under the private placement are subject to an exercise restriction preventing Mr. Sprott from exercising any warrants that would result in his beneficial ownership exceeding 19.9% unless and until the requisite shareholder and regulatory approvals have been obtained.

Max Power's Lawson Discovery represents Canada's first-ever subsurface natural hydrogen system confirmed through deep drilling with data validated by three independent labs. The company holds approximately 2 million acres of permits across Saskatchewan prospective for natural hydrogen and has commenced a multi-well follow-up drill program to validate commerciality across the 28-square-kilometre Lawson Complex along the 475-kilometre Genesis Trend.

Read the full announcement: MAX Power Announces $10 Million Strategic Investment at $2.50 Per Unit from Eric Sprott