MAX Power Mining Corp. (MAXX-CN) has announced an agreement to sell interests in its lithium-focused subsidiary to its U.S. business Homeland Critical Minerals Corp., allowing MAX to concentrate on natural hydrogen exploration and development.

Saskatoon-based MAX agreed to sell all the issued and outstanding equity interests of MAX Power Resources LLC, to Homeland. MAX Power Resources owns the Willcox Playa Lithium Project in southeast Arizona.

Under the agreement, Homeland is to acquire the interests of MAX Power Resources in exchange for consideration shares expected to be valued at approximately $1.1 million. The transaction is expected to close on or about June 17, subject to customary closing conditions and the possibility of being rescheduled to another date.

Commercializing the Genesis Trend natural hydrogen asset in Saskatchewan is MAX's main goal.

“This transaction sharpens MAX Power’s focus on what we believe is one of the most compelling emerging energy opportunities globally, natural hydrogen,” Ran Narayanasamy, CEO of MAX Power, said in a Monday morning release.

Homeland to “focus on unlocking value” from Willcox

MAX was founded as a lithium-oriented business before changing tracks to natural hydrogen in 2023. The company sees high potential in extracting hydrogen from the ground as a clean fuel for industry and powering data centres, its investor relations lead Chad Levesque told Sustainable Biz Canada in a past interview.

“We had to make a transition because the carbonate prices in the lithium sector, unfortunately, had a turn in its pricing,” he said, “and wasn’t a sustainable business model for us from an exploration standpoint.”

Now with the lithium market showing signs of an upswing and the U.S. federal government backing the critical minerals sector, Homeland is “well suited to focus on unlocking value from the Willcox Project asset” and other critical mineral opportunities it could acquire in the U.S., MAX said.

The Willcox Project is a six-mile corridor with lithium-rich clay, a site MAX said has the potential to be developed. The deposit would be near infrastructure such as roads, rail, power and services located off the Interstate 10 highway in southeast Arizona, leading to Tucson and Phoenix.

MAX expects to hold its 11 million shares in Homeland after the agreement, owning just under half of Homeland’s currently issued and outstanding shares. MAX may evaluate alternative plans with its Homeland share position in the future, it said, such as distribution of some or all such shares to its shareholders.

Homeland intends to pursue a listing “as soon as possible” on a Canadian stock exchange, the release stated.

The agreement would let MAX maintain exposure to potential value from the Willcox Project and Homeland’s broader business strategy, while expanding its attention on natural hydrogen, the company said.

MAX’s natural hydrogen plans

Offloading its interests in MAX Power Resources to Homeland would allow MAX to dedicate more of its resources to its Saskatchewan natural hydrogen assets, the company said. Those include pursuing commercial milestones and evaluating development pathways.

The Genesis Trend is a 475-kilometre piece of land in southeast Saskatchewan where MAX discovered a subsurface natural hydrogen system dubbed Lawson, which it claims is the first in Canada.

MAX's intent is to drill wells to free-flow hydrogen and helium gases, which would be given to offtake and distribution partners.

For 2026, MAX plans to concentrate on exploration, Levesque told Sustainable Biz Canada, and expects to drill at least three wells in Lawson this June.