Max Power Prepares to Drill Second Natural Hydrogen Well as Program Expands 325 km SW of Lawson Discovery

Executive Summary

• MAX Power announced the identification of a robust “Bracken” drill target on its Grasslands Project (Saskatchewan‑Montana border) to test a second natural hydrogen play concept, with drilling slated for February 2026.
• The Bracken target was defined using 34.3 km of newly acquired proprietary 2D seismic data integrated with legacy data and the company’s AI‑assisted LEMI platform.
• Concurrently, the company granted 3.415 M stock options (exercise $1.08) and 2.99 M RSUs to insiders, and entered marketing/service agreements with Apollo Shareholder Relations ($45k cash fee + 100 k options) and BW Venture Strategies ($10 k/month).

Key Details

• Bracken Target Definition
• Utilized 34.3 line‑km of proprietary 2D seismic combined with legacy data to delineate basement architecture, structural/stratigraphic pathways, and migration corridors for natural hydrogen (and potential helium).
• Represents a distinct “play concept” with unique trap and seal mechanisms versus the structural play at Lawson.

• Licensing work underway; drilling planned for February 2026.

• Strategic Importance

• Provides a second calibration point to demonstrate basin‑scale continuity of natural hydrogen systems across Saskatchewan.

• Success would materially de‑risk additional prospects within the 75‑km‑wide Grasslands Project and support rapid expansion of the company’s inventory of drill targets.

• Corporate Actions

• Stock Options: 3,415,000 options granted at $1.08 exercise price; 3‑year expiry.
• RSUs: 2,990,000 restricted stock units issued to management, directors and consultants (vesting terms TBD).
• Apollo Shareholder Relations Agreement
  • Service term: 6 months starting 23 Jan 2026, thereafter month‑to‑month.
  • Cash fee: $45,000 payable over the initial term.
  • Equity component: 100,000 stock options (subject to board approval).

• BW Venture Strategies Agreement

  • Service term: 6 months starting 19 Jan 2026.
  • Fee: $10,000 per month in cash; no equity compensation.

• Management Comments

• Steve Halabura (Chief Geoscientist): Emphasized data depth and the distinct stratigraphic play at Bracken versus Lawson.

• Ran Narayanasamy (CEO): Highlighted rapid exploration timeline (“months to molecules”) and the advantage of Saskatchewan’s policy framework for natural hydrogen commercialization.

• Investor Materials

• Links to multiple videos showcasing the Lawson discovery, drilling activities, and a documentary on MAX Power’s natural hydrogen program.

Notable Quotes

“We continue to move at a rapid pace with respect to Natural Hydrogen exploration and development in Saskatchewan… This is months to molecules, not years.” – Ran Narayanasamy, CEO

“Bracken is where the MAX Power team first discovered Natural Hydrogen in the sub‑surface in Saskatchewan… we’ll be testing a stratigraphic play concept vs. the structural play concept successfully developed at Lawson.” – Steve Halabura, Chief Geoscientist