MAX Power Mining Secures $10 Million Strategic Investment from Eric Sprott to Advance Natural Hydrogen and Lithium Projects

MAX Power Mining Corp. (CSE: MAXX; OTC: MAXXF; FRANKFURT: 89N) has announced a strategic non-brokered private placement that will see renowned investor Eric Sprott subscribe for $10 million in units of the company. The financing, structured as 4 million units at $2.50 each, will be purchased by 2176423 Ontario Ltd., a corporation beneficially owned by Sprott. Each unit consists of one common share and one warrant exercisable at $3.25 for a period of 24 months. The closing is anticipated on or about Aug. 17, 2026, subject to customary conditions, including approval from the Canadian Securities Exchange.

The capital raised is earmarked to advance MAX Power's ongoing commercial validation drill program at the Lawson Complex, which represents Canada's first-ever subsurface Natural Hydrogen system confirmed through deep drilling. The company has also built dominant district-scale land positions across Saskatchewan, with approximately 1.3 million acres (521,000 hectares) of permits covering prime exploration ground prospective for large-volume accumulations of Natural Hydrogen. Additionally, MAX Power holds a portfolio of properties in the United States and Canada focused on critical minerals, highlighted by a 2024 diamond drilling discovery at the Willcox Playa Lithium Project in southeast Arizona.

Following the financing, Sprott is expected to beneficially own or control approximately 19.5% of MAX Power's outstanding common shares on a non-diluted basis and approximately 30.5% on a partially diluted basis, assuming exercise of all warrants he beneficially owns or controls. Sprott has agreed not to exercise warrants that would increase his holdings above 19.9% unless shareholders approve his creation as a control person at the company's Aug. 20 special meeting and all required CSE and regulatory approvals are obtained.

This investment by Eric Sprott, a prominent figure in the mining and resource sector, signals strong confidence in MAX Power's strategic direction and the potential of its Natural Hydrogen and lithium assets. The funding will enable the company to accelerate its exploration and development activities, positioning it to capitalize on the growing demand for clean energy and critical minerals.

The news comes as MAX Power continues to make strides in the emerging Natural Hydrogen sector, which is gaining attention as a potential source of clean energy. The company's Lawson Discovery, validated by three independent labs, has put it at the forefront of this nascent industry. With the additional capital, MAX Power aims to further validate and potentially expand its resource base, which could have significant implications for the energy transition.

For investors, this strategic placement not only provides the company with essential funding but also aligns with a high-profile investor who has a track record of backing successful resource ventures. The transaction is expected to close in the coming weeks, and the company remains committed to responsible exploration and development practices that prioritize environmental stewardship, meaningful community engagement, and strong corporate governance.