What's Happening?
Electra Battery Materials has restarted construction on its cobalt sulphate refinery in Ontario, Canada, after securing approximately $82 million in project financing. This facility, located in Temiskaming
Shores, is set to become North America's first cobalt sulphate refinery. The project is supported by government funding and private investment, with infrastructure and major equipment already in place. Electra has partnered with EXP for construction management and plans to ramp up workforce levels as major contracts are awarded. The refinery aims to produce 6,500 tonnes of battery-grade cobalt sulphate annually, supporting the lithium-ion battery manufacturing industry.
Why It's Important?
The resumption of construction on this refinery is a critical step towards strengthening North America's battery supply chain, reducing reliance on foreign sources, particularly China. As demand for electric vehicles and renewable energy storage solutions grows, securing a domestic supply of cobalt sulphate is vital for the U.S. and Canadian industries. The project aligns with broader industrial policies aimed at enhancing energy security and supporting the transition to clean energy. By onshoring midstream processing, Electra is contributing to the resilience of the domestic industrial, defense, and energy storage sectors.
What's Next?
Electra plans to issue an update in January 2026 regarding final costs, an accelerated timeline, and execution milestones. The company aims to prepare the site for full-scale construction in early 2026, with commissioning targeted for 2027. Once operational, the refinery will be one of only two major facilities outside China capable of producing battery-grade cobalt sulphate. This development is expected to attract further investment and partnerships, as Electra has already secured feedstock from Glencore and the Eurasian Resources Group, and an offtake arrangement with LG Energy Solution.
