Electra receives $20 million in US government funding
The US Government is subsidising a project in Canada because it will be North America’s first cobalt sulphate refinery. Once fully commissioned, the company says the plant can produce 6,500 tonnes of cobalt per year—enough for more than one million EVs per year. Until now, “more than 80% of battery grade cobalt is produced in China.”
In February, Electra announced that it received 5 million dollars in grants from Canada. However, the exact timetable for construction and commissioning has yet to be made public. Last year, Electra unveiled a demonstration plant at its refinery complex, which the company had announced two years earlier. According to the Canadian company, the plant processed more than 40 tonnes of black mass and extracted high-quality nickel, cobalt, and lithium products.
In 2022, Electra signed a supply agreement with LG Energy Solution, which was extended to a volume of 19,000 tonnes in 2023. “LG Energy Solution will purchase up to 80% of capacity over the first five years and several buyers are now competing for the remaining production,” the comany said. According to an earlier announcement, the cobalt sulphate will be delivered in early 2025.
“This award will develop North American production of a key precursor material for large capacity batteries, helping to create a more robust industrial base capable of meeting growing demand across both the defense and commercial sectors,” said Dr. Laura Taylor-Kale, Assistant Secretary of Defense for Industrial Base Policy (ASD(IBP)).
“Electra is committed to strengthening the resiliency of the North American battery supply chain,” said Electra CEO Trent Mell. “We are grateful to the US Department of Defense for its support. On issues of national security, there are no borders between Canada and the United States. We are proud to partner with the US Government to build a strong North American supply chain for critical minerals.”
0 Comments