The City of Greater Sudbury has entered into a memorandum of understanding with Australia’s Wyloo Metals to secure a parcel of land on which the company intends to build a downstream battery materials processing facility.

The new facility will become Canada’s first mine-to-precursor cathode active material (pCAM) integrated solution. The price tag for the facility is estimated at $900 million.

Wyloo CEO Canada Kristan Straub said the facility would provide the missing piece in Canada’s aspirations to develop a domestic EV battery supply chain by producing low-carbon nickel sulphate and nickel-dominant pCAM – both of which are key ingredients for EV batteries.

“Recognizing the global demand for electric vehicles and other clean technologies, Canada has invested over $40 billion to date to establish the country as a global hub for the EV industry,” he said. “While we commend this investment, it has exposed a significant gap in the North American EV supply chain, specifically, the conversion of ore to battery chemicals. Our facility will be the missing piece that builds the capacity to process battery materials right here in Sudbury.”

Nickel for the facility will be supplied by Wyloo’s proposed Eagle’s Nest mine in the Ring of Fire region of northern Ontario, as well as other sources of third-party nickel-bearing feed and recycled battery materials.

“With Eagle’s Nest as our anchor, combined with third-party feed from other North American sources, we are building enough capacity to meet 50 per cent of the nickel demand from the announced EV investments,” said Straub.

Wyloo says it chose Greater Sudbury due to its leadership in the mining sector and forefront in the shift to clean technologies, as well as its commitment to Indigenous reconciliation with First Nation communities.

“Our rich mining history, decarbonization efforts and sustainable mining practices set us apart, and have ensured that we are ready to support and drive innovation,” said Mayor Paul Lefebvre. “We are a global mining hub that is investing in the future, and we look forward to working with Wyloo and local Indigenous partners as this project progresses.”

Wyloo is currently completing a scoping study for the project, with construction of the facility expected to commence following the construction of its proposed Eagle’s Nest mine. Mine construction is targeted to begin in 2027.

Both the company and the city have promised to engage with stakeholders, in particular Indigenous communities, to explore and identify potential partnerships to ensure shared economic, social and environmental benefits and other collaboration opportunities.

Wyloo is privately-owned by Tattarang, the private investment group of Andrew and Nicola Forrest.