The factory will have the capacity to produce 5% of the global supply of cobalt for electric car batteries.
For five million Canadian dollars, it will build the first cobalt sulphate refinery in North America.
Electra Battery Materials has received a C$5 million grant from the Canadian government to build the first cobalt sulphate refinery in North America.
The plant is located in Temiskaming Shores, Ontario. It will have the capacity to produce 5% of the global supply of cobalt for the batteries needed for electric cars.
“Canada has overtaken China as the top jurisdiction in the global battery supply chain, due to its strength in raw material extraction and processing,” Electra CEO Trent Mill said in a press release.
“We are grateful for this additional investment as it represents further validation of the progress we have made and will allow Electra to continue working toward our goal of producing safe, clean, ethically sourced materials that are a critical part of a sustainable future for electric vehicles in Canada,” he added.
The Electra refinery recycles spent batteries, creating a black mass from which important minerals can be extracted. The plant released its first shipment of mixed nickel-cobalt hydroxide precipitate to the customer in July 2023.
Once the refinery is fully operational, it can produce enough cobalt for more than 1.5 million electric cars annually. About 40 tons of black mass material were processed last year to recover important minerals.
The company has entered into an agreement with LG Energy Solution to supply 19,000 tons of cobalt sulphate starting in 2025. The total will represent up to 80% of Electra's planned annual production.
