Electra Battery Materials Announces Amendment to Senior Secured Credit Facility

Electra Battery Materials Corporation (ELBM) has amended its Senior Secured Credit and Guaranty Agreement dated October 22, 2025. The amendment increases the company’s permitted indebtedness capacity specifically to accommodate government financing initiatives.

Under the revised terms, Electra Battery Materials is allowed to grant liens and make payments on a pari passu basis with existing secured lenders for such government debt. All existing guarantees, security, and obligations remain in full force, and no other terms of the Credit Agreement were changed. This adjustment provides structural flexibility to accommodate non-dilutive government funding without breaching existing covenants.

Electra Battery Materials Corporation issued an expected administrative update to align its credit facility with its ongoing government funding strategy, which includes support from the U.S. Department of Defense, the Government of Canada, and Invest Ontario. The amendment does not raise new capital, change the debt load, or alter the construction timeline. It serves to mitigate a minor operational risk by ensuring that future government disbursements or loans do not trigger covenant breaches. The market impact is likely muted, as the company has already secured approximately $82 million in aggregate funding and the amendment represents a standard banking procedure for project finance.

Electra Battery Materials Corporation is developing North America's first battery-grade cobalt sulfate refinery in Temiskaming Shores, Ontario. The brownfield facility is fully permitted and targets an initial capacity of 5,120 tonnes per annum (tpa), expandable to 6,500 tpa. Construction budget is approved at $73M USD, with mechanical completion targeted for Q2 2027 and commercial production in Q4 2027. The company is also advancing a modular battery recycling facility and a potential nickel sulfate refinery in the southeastern U.S.