MAX Power Mining Corp. (CSE: MAXX; OTC: MAXXF; FRANKFURT: 89N) has announced a strategic non-brokered private placement with Eric Sprott, securing gross proceeds of $10 million. The financing, consisting of 4 million units priced at $2.50 each, will be subscribed for by 2176423 Ontario Ltd., a corporation beneficially owned by Sprott. Each unit includes one common share and one warrant exercisable at $3.25 for 24 months.
The investment is a significant endorsement of MAX Power’s exploration strategy, particularly its focus on Natural Hydrogen. The company’s Lawson Discovery near Central Butte, Saskatchewan, represents Canada’s first-ever subsurface Natural Hydrogen system confirmed through deep drilling, with data validated by three independent labs. MAX Power has 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.
Proceeds from the placement will be used to further advance the ongoing commercial validation drill program at the Lawson Complex and for general corporate purposes. This funding arrives at a critical time as the company seeks to prove the commercial viability of its Natural Hydrogen assets.
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 Canadian Securities Exchange and regulatory approvals are obtained.
The participation of Eric Sprott, a prominent mining investor, signals confidence in MAX Power’s potential to become a leader in the emerging Natural Hydrogen sector. Natural Hydrogen, also known as white or gold hydrogen, is generated naturally in the Earth’s crust and is considered a promising clean energy source with minimal environmental impact. The company’s first-mover advantage in Canada could position it to capitalize on this nascent market.
Beyond Natural Hydrogen, MAX Power holds a portfolio of properties in the United States and Canada focused on critical minerals. These include the Willcox Playa Lithium Project in southeast Arizona, where a 2024 diamond drilling discovery highlighted the project’s potential. This diversification provides additional growth avenues as the global transition to decarbonization accelerates.
The investment comes at a time when interest in Natural Hydrogen is growing globally, with several jurisdictions exploring its potential. MAX Power’s ability to secure significant funding from a high-profile investor like Sprott underscores the perceived value of its assets and the credibility of its exploration approach.
The closing of the placement is anticipated on or about Aug. 17, 2026, subject to customary conditions, including Canadian Securities Exchange approval. The company remains committed to responsible exploration and development practices that prioritize environmental stewardship, meaningful community engagement, and strong corporate governance.
For more information on MAX Power and its projects, visit the company’s newsroom at https://ibn.fm/MAXXF. The full press release can be viewed at https://ibn.fm/uMdho.
