Electra Battery Materials Corporation has signed a deal worth $20 million with the federal government to advance construction and commissioning of its battery-grade cobalt sulfate refinery in Temiskaming Shores.

“Our focus remains on execution, bringing this refinery into production and establishing a reliable domestic source of cobalt sulfate,” said Trent Mell, CEO of Electra. “We appreciate the Government support received to date, which helps drive the project toward our goal of achieving first production in 2027.”

Electra expects to require roughly 150 to 200 workers during construction and ramp-up, including direct employment and contractor opportunities, and sustain approximately 60 permanent jobs during operations, as well as an additional 100+ indirect employment opportunities in the region, supporting long-term employment in Northern Ontario.

The company says it is prioritizing local sourcing and partnerships with Canadian contractors, helping to drive economic activity and strengthen the domestic battery materials supply chain.

Mechanical completion of the facility is scheduled for Q2 2027. Once commissioned, the refinery will have an initial annual production capacity of approximately 5,120 tonnes of battery grade cobalt in 2027, increasing to 6,500 tonnes. At full capacity, the facility will represent a significant global source of refined cobalt, a critical input for defense systems, consumer electronics and advanced energy storage technologies. A majority of production will be sold to LG Energy Solution under an offtake arrangement announced earlier this year.

The refinery is expected to be a cornerstone asset in North America’s battery materials supply chain, enabling domestic production of a critical input that is currently dominated by foreign refining capacity.

The federal funding includes a combination of repayable and non-repayable contributions, subject to the terms and conditions of the Investment. The repayable portion is expected to be repaid over a defined period following project completion, in accordance with customary government contribution frameworks.

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