Electra Battery Materials (TSXV: ELBM) has signed an extension on its cobalt purchase agreement with Glencore (LON: GLEN). The new deal will link the companies through Dec. 31, 2031.
Announced in 2021, the partnership originally secured 100% of the feedstock required for the commissioning and ramp-up of Electra’s cobalt sulfate refinery through 2027. The agreement combines Glencore’s global cobalt supply capabilities with Electra’s North American refining capacity.
“Together, the companies are establishing a more resilient North American supply chain for a critical material used across battery, energy storage, defense and industrial markets,” said Michael Insulan, Electra’s vice-president of commercial production.
Per the agreement, Electra will provide about 10,000 tonnes of contained cobalt over 5 years, representing over US$500 million (C$689.29 million) of contained cobalt at current prices.
The news comes as Electra advances engineering on its Ontario battery materials refinery project, in Temiskaming Shores, Ont. Select commissioning activities are expected to begin at the end of 2026, with full commercial production planned for Q4 of 2027.
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