Electra Battery signs supply chain co-operation deal

Executive Summary

• Electra Battery Materials Corp. signed a supply chain cooperation agreement with Positive Materials Inc. to support the growth of North America's lithium-ion battery and energy storage industries.
• The agreement targets a commercial and technical relationship for Electra's cobalt sulphate production, aiming to integrate with Positive's planned North American precursor cathode active material (pCAM) operations.
• This partnership complements Electra's existing offtake agreement with LG Energy Solution and broadens its potential customer base for its refinery.

Key Details

• Parties Involved: Electra Battery Materials Corp. and Positive Materials Inc. (a Canadian-based company onshoring pCAM manufacturing technology via "Project Positive+").
• Agreement Type: Supply chain cooperation agreement.
• Strategic Focus: Building a fully localized and environmentally responsible supply chain for critical minerals in North America.
• Product Integration: The collaboration focuses on integrating Electra's battery-grade cobalt sulphate with Positive's planned North American pCAM operations in Belledune, N.B.
• Operational Goals: Aligning product specifications and supporting downstream processing pathways for North American and European customers.
• Context: Electra is constructing North America's first battery-grade cobalt sulphate refinery.
• Existing Relationships: This agreement complements Electra's existing offtake agreement with LG Energy Solution.
• Future Outlook: Electra is engaged in preliminary discussions with multiple parties regarding potential commercial arrangements to further broaden its refinery's customer base.

Notable Quotes

• Trent Mell, CEO of Electra: "Electra is constructing North America's first battery-grade cobalt sulphate refinery, and this agreement represents another component of building a fully localized and environmentally responsible supply chain. Partnering with Positive allows us to explore processing synergies and jointly support customers seeking secure, transparent sourcing."
• Marco Romero, CEO of Positive: "The pCAM-as-a-service toll-processing business model for Project Positive+ is perfectly aligned with downstream customer preference to secure high-provenance, sustainable critical mineral feedstocks, with our agreement with Electra supporting local procurement opportunities. This partnership with Electra brings the Canadian lithium-ion battery supply chain one step closer to a fully integrated domestic industry, capturing the entire mine-to-market value."