Mining
Wednesday, December 6th, 2023 3:54 pm EDT
Key Points
- Non-Brokered Private Placement: MAX Power Mining Corp. has arranged a non-brokered private placement with strategic investors, aiming to raise gross proceeds of up to $1,000,000. The private placement involves the sale of hard dollar units of the company, with each unit priced at $0.55. The offering is anticipated to close during the week of December 11, 2023.
- Use of Proceeds: The net proceeds from the private placement will be allocated to various purposes. These include funding the company’s ongoing drill program in Arizona, advancing research and development of its Direct Lithium Extraction (DLE) technology at Lawrence Berkeley National Laboratory (LBNL), supporting marketing and investor relations activities, and addressing general corporate needs.
- Private Placement Terms: Each unit in the private placement comprises one common share of the company and one common share purchase warrant. The warrant allows the holder to purchase one common share of the company at a price of $0.90 within a 36-month period following the closing date. The warrants include an acceleration clause, allowing the company to expedite their expiry date if certain conditions are met. The units will be subject to a statutory hold period of four months and one day from the date of issuance, and finder’s fees may be paid in certain circumstances as part of the offering. The private placement is conducted under applicable exemptions from prospectus requirements, and the securities will be subject to regulatory hold periods.
MAX Power Mining Corp. (CSE: MAXX; OTC: MAXXF; FRANKFURT: 89N) (“Max Power” or the “Company”) has arranged a non-brokered private placement (the “Offering”) with strategic investors for gross proceeds of up to $1,000,000 from the sale of hard dollar units of the Company (each, a “Unit”) at a price of $0.55 per Unit.
The above-market non-flow-through Offering is expected to close during the week of December 11, 2023, with net proceeds going toward the Company’s current drill program in Arizona, advancement of its Direct Lithium Extraction technology research and development at Lawrence Berkeley National Laboratory (LBNL), marketing/investor relations, and general corporate purposes.
Private Placement Terms
Each Unit will consist of one common share of the Company (each, a “Unit Share”) and one common share purchase warrant (each warrant, a “Warrant”). Each Warrant will entitle the holder thereof to purchase one common share of the Company (each, a “Warrant Share”) at a price of $0.90 for a period of 36 months following the closing date of the Offering.
The Warrants will include an acceleration clause to the effect that if at any time after the statutory 4-month and one day hold period from the closing date, the daily volume weighted average closing price of the common shares on the CSE is at least $1.25 per share for a period of 10 consecutive trading days (the “Triggering Event”) the Company may, within 5 days of the Triggering Event, accelerate the expiry date of the Warrants by giving notice thereof to the holders of the Warrants, by way of news release, and in such case the Warrants will expire on the first day that is 30 calendar days after the date on which such notice is given by the Issuer announcing the Triggering Event.
The Units will be issued on a private placement basis pursuant to applicable exemptions from prospectus requirements under applicable securities laws. The common shares and Warrants (and any common shares issued pursuant to the Warrants, as applicable) will be subject to a statutory hold period of four months and one day from the date of issuance of the Units.
Finder’s fees to third parties may be paid in certain circumstances as part of the Offering, as permitted by the policies of the Canadian Securities Exchange and in accordance with applicable securities laws.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy the securities in the United States nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “1933 Act”), or any state securities laws and may not be offered or sold in the United States unless registered under the 1933 Act and any applicable securities laws of any state of the United States or an applicable exemption from the registration requirements is available.
About MAX Power
MAX Power is a dynamic exploration stage resource company targeting domestic lithium resources to advance North America’s renewable energy prospects. MAX Power has also entered into a cooperative research and development agreement with the University of California Lawrence Berkeley National Laboratory (LBNL) to develop state-of-the-art direct lithium extraction (DLE) technologies for brine resources.
On behalf of the Board of Directors
“Rav Mlait”
CEO
MAX Power Mining Corp.
MarketSmart Communications at 877-261-4466.
Company Contact info@maxpowermining.com, 778-655-9266
