Mr. Ran Narayanasamy reports

MAX POWER CONFIRMS CANADA'S FIRST NATURAL HYDROGEN DRILLING DISCOVERY

Max Power Mining Corp. has confirmed Canada's first-ever subsurface natural hydrogen system following the successful completion and testing of the first well ever drilled in Canada (Lawson) specifically targeting natural hydrogen near Central Butte, Sask., approximately 140 kilometres south of Saskatoon.

• Hydrogen concentrations up to 286,000 parts per million confirmed at Lawson, establishing the discovery of a natural hydrogen system in Max Power's first well on 475-kilometre-long Genesis trend in Saskatchewan.
• Free-flowing hydrogen to surface and reservoir drive at Lawson accelerate the project beyond conceptual stage to resource modelling and commercial evaluation, with a confirmatory well planned during H1 2026 following upcoming 3-D seismic survey to delineate the projected high-purity apex of the structure.
• As Lawson advances toward commercial evaluation, this Saskatchewan discovery marks a major milestone in the global development of an emerging clean energy source and underscores the scalability potential of natural hydrogen along an entire 475-kilometre belt that stretches into Montana and the Dakotas.

Notably, immediate drilling success in the province featuring Canada's most advanced policy framework for natural hydrogen presents a series of potential short-term catalysts (refer to next steps -- H1 2026) that could accelerate the development of this emerging clean energy industry in Saskatchewan, already a global leader in uranium and potash and Canada's only producer of helium.

The Lawson discovery supports the company's geological model for natural hydrogen accumulations and allows for potential repeatability and scalability across the 475 km long Genesis trend and elsewhere on Max Power's 1.3-million-acre permitted land package where a multiwell drill program is set to resume with a fully financed second well along the Saskatchewan-Montana border.

The highly prospective Genesis trend lies adjacent to the Regina-Moose Jaw industrial corridor, where demand for hydrogen is strong. Its entire eastern boundary is nestled against the Prairie Evaporite, which hosts the world's largest potash reserves and, in the assessment of Max Power's geological team, functions as a regional salt barrier providing a trap and seal conducive to the accumulation of natural hydrogen.

Lawson discovery highlights

• Hydrogen concentrations up to 286,000 parts per million (28.6 per cent H2);
• Free gas flow to surface with robust initial rates and pressures following perforation;
• Evidence of a potentially large reservoir with strong drive mechanism;
• Fractured Precambrian exotic terrane rocks hosting favourable source rocks;
• Elevated helium values up to 8.7 per cent detected in sealed core tube gas samples from zone above the basement complex, indicating potential for a stacked gas system;
• Discovery accelerates the development of Maxx Lemi, Max Power's AI-assisted large earth model for natural hydrogen, designed to become the global standard for natural hydrogen exploration.

Next steps -- H1 2026

Max Power will now advance Lawson toward commercial evaluation through:

• Resource modelling and estimation in accordance with applicable standards and regulatory guidance, which is expected to commence shortly given an already extensive data set;
• A 47-square-kilometre 3-D seismic survey over the Lawson discovery to define reservoir geometry and trap integrity, which will also aid in developing a contingent resource;
• A confirmatory well to evaluate commercial deliverability, with targeting optimized through the -D seismic survey slated to be carried out in February;
• Stakeholder and customer engagement with Saskatchewan-based industrial and energy users, and national and global companies specializing in AI infrastructure.

In parallel, data from Lawson will be integrated into Maxx Lemi, Max Power's AI-assisted large earth model for natural hydrogen exploration. Maxx Lemi is designed to optimize targeting and accelerate discovery of natural hydrogen deposits, not only in Saskatchewan but globally as a leading platform that Max Power plans to monetize.

CEO and technical team commentary

Ran Narayanasamy, Max Power president and chief executive officer, commented: "This is a defining moment for Max Power, Saskatchewan and Canada. We have confirmed the existence of a natural hydrogen system in the subsurface from the first well ever drilled in this country specifically targeting this new primary energy source. Lawson is no longer a concept -- it's a discovered geological system with gas flow, pressure and the key ingredients required for future commercial natural hydrogen development. This is an important milestone that positions Saskatchewan at the forefront of a rapidly emerging new clean energy industry."

Mr. Narayanasamy continued, "Achieving these results on an initial well in an area with no previously recorded natural hydrogen occurrences is statistically improbable in the absence of a well-developed and actively charged system, suggesting Lawson is part of a larger, functioning natural hydrogen accumulation rather than an isolated occurrence."

Steve Halabura, PGeo, chief geoscientist, added: "From a geological perspective, Lawson has delivered exactly what we hoped to see -- hydrogen-rich gas, reservoir characteristics, fracture networks and evidence of a working system. The apex of the structure, which we will be targeting from upcoming 3-D seismic, is where we would expect to encounter the high-purity core of the system. The presence of elevated helium above the hydrogen zone supports the potential for the discovery of a vertically stacked gas system that would aid in economics. combined with the extent of the Genesis trend and the salt-sealed structural setting, this discovery opens the door to repeatable, scalable natural hydrogen exploration in Saskatchewan and beyond."

Mr. Halabura continued: "From an exploration and subsurface systems perspective, achieving these results for a new commodity on a 'test of concept' well should be considered highly unusual and speaks to the potential of the broader Genesis trend. The geological processes responsible for hydrogen generation, migration and trapping appear to be well established at Genesis."

Derisking Canada's largest permitted land package for natural hydrogen

Initial success at Lawson derisks multiple lookalike targets along the Genesis trend and across Max Power's entire Saskatchewan land package encompassing 1.3 million acres under permit and another 5.7 million acres under application. The Lawson well tested one of a minimum of six play concepts developed for natural hydrogen by Max Power's technical team with the second play concept slated for drilling in February.

Technical confirmation

Independent analyses by three laboratories (AGAT, Corelab and PTRC) confirmed hydrogen concentrations ranging from 16.80 per cent (168,000 parts per million) to 19.07 per cent (190,700 ppm) from a through-casing flow test, while AGAT further assayed hydrogen concentrations of up to 28.60 per cent (286,000 ppm) from gas samples recovered from sealed core tubes. From the zone immediately above the basement complex, core desorption by AGAT returned helium values up to 8.7 per cent (87,327 ppm), averaging 4.4 per cent (44,380 ppm) from nine samples.

Flow-test samples were obtained from an eight-metre-thick fractured interval from the uppermost portion of the basement complex, and the relatively clean gas composition (approximately 90-per-cent hydrogen-nitrogen mix, with no hydrogen sulphide) clearly indicates a geological source for the hydrogen (high-purity natural hydrogen will be targeted at the apex of the structure, which is expected to be revealed through 3-D seismic). After perforation, the well quickly achieved free gas flow to surface, delivering strong initial rates and pressures before being overtaken by a powerful influx of formation brine, demonstrating reservoir energy and connectivity.

The consistency of results for flow-test samples across three independent laboratories provides Max Power's technical team with high confidence in assay accuracy and establishes a solid foundation for resource modelling and development planning.

Analytical work is continuing including rock mineralogy studies as well as measurements of porosity and permeability.

Why this matters to investors

The Lawson discovery marks the transition of natural hydrogen in Canada from theory to verified subsurface reality as the first confirmed natural hydrogen system through deep drilling on a district-scale land package in one of the world's most stable, infrastructure-rich resource jurisdictions. For Max Power, this represents a pivotal inflection point building on the company's North American and global leadership in this rapidly evolving and exciting new sector.

With hydrogen-rich gas, reservoir drive, regional sealing structures and multiple derisked follow-up targets now identified, Max Power has moved into the discovery and early development phase of what could become a new clean energy industry. Combined with strong financial backing, international strategic partners, and continued design and development of the company's AI-driven Maxx Lemi platform, Max Power is positioned to advance toward repeatable discovery, scalable development and long-term shareholder value creation.

Max Power enters into marketing agreements

Max Power has entered into agreements with three independent service providers to provide communications, digital marketing and investor awareness support, subject to applicable securities laws and Canadian Securities Exchange policies and approval.

The company has entered into a service agreement with Native Ads Inc. to provide investor awareness and promotional services. Under the agreement, Native Ads will conduct a digital media and content distribution campaign intended to increase awareness and understanding of the company and its efforts. The agreement contemplates an estimated six-month campaign period, subject to budget exhaustion, with an aggregate campaign budget of $165,000 (U.S.), payable in accordance with applicable work orders.

The campaign is expected to commence in the first quarter of 2026 and will include digital advertising across search engines, financial publications and financial websites. The agreement contains no performance-based factors, and Native Ads will not receive any equity as compensation. Native Ads and the company are unrelated and unaffiliated entities, and at the time of the agreement, neither Native Ads nor its principals hold any direct or indirect interest in the securities of the company.

Max Power has also entered into a communications services agreement with Pony Communications, a British Columbia-based firm, to provide public relations, content management and media relations services. The agreement takes effect immediately for a fixed term ending March 29, 2026, with total fees of $130,000 (U.S.), payable in instalments as set out in the applicable statement of work.

Max Power has also entered into a consulting agreement with Emerging Markets Consulting LLC, a Florida-based consulting firm, pursuant to which the consultant will provide strategic communications and investor awareness support in connection with the dissemination of publicly available corporate information. The agreement commences immediately for a six-month term, with total fees of $150,000 (U.S.).

The company has also mutually agreed with Tafin GmbH to extend its existing consulting agreement for an additional eight-week term, effective Jan. 2, 2026, for a total consideration of 200,000 euros, with all other terms of the agreement remaining unchanged.

All services provided under the foregoing agreements are subject to the company's internal disclosure controls and procedures, and materials disseminated on behalf of the company are reviewed in accordance with applicable securities laws. None of the service providers are registered as securities dealers or advisers, and none will receive compensation based on the sale or trading of the company's securities.

About Max Power Mining Corp.

Max Power is an innovative mineral and energy exploration company focused on North America's shift to decarbonization. The company is a first mover in the rapidly growing natural hydrogen sector where it has built a dominant district-scale land position in Saskatchewan with approximately 1.3 million acres (521,000 hectares) of permits, plus an additional 5.7 million acres under application, covering prime exploration ground prospective for large-volume accumulations of natural hydrogen. Canada's first-ever well specifically targeting natural hydrogen has been drilled by Max Power at the Lawson target on the Genesis trend, confirming a working subsurface system. Max Power also holds a portfolio of properties in the United States and Canada focused on critical minerals. These properties are highlighted by a 2024 diamond drilling discovery at the Willcox Playa lithium project in southeast Arizona, 100 per cent owned by Max Power's U.S. subsidiary, Homeland Critical Minerals Corp.

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