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Government of Canada announces major investment with Electra Battery Materials to expand its refinery in Temiskaming Shores, Ontario

Monday, May 4, 2026 3:13 PM PDT

Project will allow the production of battery grade cobalt sulfate and grow Canada's domestic critical mineral supply chain

TEMISKAMING SHORES, ON, May 4, 2026 /CNW/ - Today, on behalf of the Mélanie Joly, Minister of Industry and Minister responsible for Canada Economic Development for Quebec Regions, Pauline Rochefort, Parliamentary Secretary to the Secretary of State (Rural Development), announced a significant investment of $20 million in Electra Battery Materials Corporation. Through the Strategic Response Fund, this investment will support the advancement of the company's $99.4 million project to repurpose and expand the production capacity of its existing refinery in Temiskaming Shores, Ontario to produce battery grade cobalt sulfate. This facility will be North America's first cobalt sulfate refinery and deliver results under the Government of Canada's Auto Strategy, Defence Industrial Strategy and Critical Minerals Strategy. As global markets and capital turn to electrification, our government is investing strategically in our critical mineral industry as part of our plan to build a strong, resilient economy.

Our government's investment in Electra will create and maintain more than 160 jobs, including 60 full time direct employment opportunities for Canadians in Northern Ontario. Construction on the facility will employ a further 100 skilled trades workers, generating significant economic benefits for Temiskaming Shores and nearby communities, including North Bay and Sudbury. At full capacity, the facility will supply the cobalt sulfate required for the equivalent of up to one million electric vehicles annually. As the only cobalt sulfate refinery in North America, Electra's facility will ensure Canada remains a global leader in the critical minerals and the electric vehicle battery industry. Domestic cobalt sulfate production will give the automotive sector access to essential battery materials, reduce reliance on imports, and support growth across sectors including EVs, defence manufacturing, semiconductors, and emerging medical technologies.

Canada has what the world needs to meet the demands of the future. By building up Canada's critical minerals production and processing capacity, this investment advances our governments plan to build the strongest economy in the G7 by creating good, well-paying jobs, strengthening domestic supply chains, and bolstering our industrial competitiveness.

Quotes

"Canada is building the industrial strength needed to compete and succeed in a rapidly evolving global economy by investing in our critical minerals at home. Our government is delivering real results by creating good jobs and building a resilient Canadian economy that is focused on workers and industry.– The Honourable Mélanie Joly, Minister of Industry and Minister responsible for Canada Economic Development for Quebec Regions

"Canada has the critical minerals the world wants – and we can turn those resources into good jobs, stronger industry, and more secure supply chains. By investing in the Temiskaming Shore Facility, we are investing in Northern Ontario, in the clean technology transition, and in building Canada strong.– The Honourable Tim Hogson, Minister of Energy and Natural Resources

"This project is great news for the community of Temiskaming Shores and for the Canadian economy. Investing with Electra Battery Materials Corporation will allow us to build up our manufacturing sector while reinforcing the critical mineral industry in Canada. I am excited to see how this project will help build Canada strong and create good paying jobs for the local economy."– Pauline Rochefort, Parliamentary Secretary to the Secretary of State (Rural Development) and member of Parliament for Nipissing—Timiskaming

"Our focus remains on execution, bringing this refinery into production and establishing a reliable domestic source of cobalt sulfate. We appreciate the Government support received to date, which helps drive the project toward our stated target of commissioning in 2027." – Trent Mell, CEO of Electra

Quick facts

The Strategic Response Fund (SRF) helps Canadian industries innovate, adapt and compete in a changing global economy. The SRF supports large-scale, transformative projects that build economic resilience, strengthen supply chains and protect good jobs in key sectors such as steel, aluminum, automotive, forest products, AI and advanced technologies.
Founded in 2011 as First Cobalt, Electra Battery Materials Corporation is a publicly traded Canadian company that is headquartered in Toronto.
In June 2024, Electra Battery Materials Corporation (Electra) received $5 million from Natural Resources Canada's Critical Minerals Research Development and Demonstration Program to support the next phase of its battery recycling proposal in Temiskaming Shores, Ontario.
Today's project builds on a proposal announcement between the Government of Canada and Electra made in March 2025.
The Federal Economic Development Agency for Northern Ontario invested an additional $5 million through the Regional Economic Growth through Innovation program, adding to its $5 million investment from 2020, to support the continued recommissioning and expansion of Electra's hydrometallurgical cobalt refinery in Ontario.

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