- Eric Sprott, one of Canada’s preeminent mining investors, will inject C$10 million into MAX Power Mining (CSE:MAXX) through a non-brokered private placement.
- The junior miner is focused on hydrogen and lithium.
- MAX Power Mining stock has appreciated by 594.44 per cent year-over-year.
Eric Sprott, one of Canada’s preeminent mining investors, will inject C$10 million into MAX Power Mining (CSE:MAXX) through a non-brokered private placement.
The company will issue 4 million units priced at C$2.50 to 2176423 Ontario Ltd., a corporation owned by Sprott, with each unit consisting of on MAX Power common share and one share purchase warrant, and each warrant entitling the holder to purchase one share for C$3.25 for 24 months from the financing’s closing date.
This article is a journalistic opinion piece which has been written based on independent research. It is intended to inform investors and should not be taken as a recommendation or financial advice.
According to Monday’s news release, MAX Power will allocate the proceeds to administrative and marketing expenses, as well as ongoing drilling to validate the commercial prospects of its 28-square-kilometre Lawson Complex in Saskatchewan, Canada’s first sub-surface natural hydrogen system.
Prior to the transaction, Sprott owned 30,984,979 shares and 24,638,548 warrants, representing 17.6 per cent of issued and outstanding shares on a non-diluted basis and 27.8 per cent on a partially diluted basis.
Following the transaction, which is expected to close by August 17, 2026, Sprott will hold 34,984,979 shares and 28,638,548 warrants, amounting to 19.5 per cent of issued and outstanding shares on a non-diluted basis and 30.5 per cent on a partially diluted basis.
Shareholders will vote on naming Sprott a control person of the company at a special meeting scheduled for August 20.
All securities issued will be subject to a hold period of four months plus one day from the date of issuance as required by Canadian securities law.
About MAX Power Mining
MAX Power is a junior miner focused on hydrogen and lithium. The company is advancing an approximately 2-million-acre land position in Saskatchewan prospective for natural hydrogen. It also holds a large equity position in Homeland Critical Minerals, whose Willcox project in Arizona hosts a lithium discovery confirmed in 2024.
MAX Power Mining stock (CSE:MAXX) is up by 5.04 per cent on the news trading at C$2.50 as of 10:19 am ET. The stock has appreciated by 594.44 per cent year-over-year.
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