The Smartest Investors Club
  • Business
  • Politics
  • Investing
  • World
  • Business
  • Politics
  • Investing
  • World

The Smartest Investors Club

Investing

Electra Battery Materials Secures US$20 Million Grant for Ontario Cobalt Facility

by August 23, 2024
August 23, 2024
Electra Battery Materials Secures US$20 Million Grant for Ontario Cobalt Facility

Electra Battery Materials (TSXV:ELBM,NASDAQ:ELBM) has received a US$20 million grant from the US Department of Defense to support the construction and commissioning of a cobalt refinery in Ontario.

According to a Monday (August 19) press release from the Department of Defense, the money will come to Electra via the Defense Production Act Investments Office and will use funds from the Ukraine Supplemental Appropriations Act of 2022.

The US$250 million refinery project is situated approximately 500 kilometers north of Toronto in Temiskaming Shores, a location strategically chosen to support North America’s expanding electric vehicle (EV) supply chain.

The grant is part of the US’ broader strategy to reduce its reliance on foreign sources of essential minerals used in the defense and technology sectors. The funding will be used to build a cobalt sulfate refinery, and Electra says it will be the only one of its kind in North America dedicated to producing battery-grade materials for lithium-ion batteries.

The cash injection follows earlier investments in Canadian mining projects from the Department of Defense. Fortune Minerals (TSX:FT,OTCQB:FTMDF) and Lomiko Metals (TSXV:LMR,OTCQB:LMRMF) were the recipients of the funds, which were accompanied by additional investments from the Canadian government.

Canada has also contributed US$3.6 million to support Electra’s battery materials recycling technology.

Electra paused construction of the cobalt plant last year due to a downturn in prices and higher-than-expected costs. CEO Trent Mell noted that the firm is in talks to get more funding from the Canadian government.

“We’re not in a free market, with China subsidizing producers and overproducing. I think it’s essential that, if we’re going to build our own domestic supply chain, we have this financial support,” he told Bloomberg on Tuesday (August 20).

The new facility will contribute to the regional EV supply chain by providing a steady source of cobalt.

It also coincides with other efforts to streamline and improve EV facilities in Ontario, such as automaker Honda’s (NYSE:HMC) plans to invest approximately C$15 billion to establish an assembly plant in the region.

Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.

This post appeared first on investingnews.com
0
FacebookTwitterGoogle +Pinterest
previous post
What is Coltan? 5 Facts to Know About the Conflict Mineral
next post
Taroom Trough Deep Coals Flowed for First Time

You may also like

Altech Batteries Limited (ASX: ATC) – Reinstatement to...

Pampa Metals Finalizes Follow-Up Diamond Drill Program at...

Doré Copper and Cygnus Metals Enter Into Arrangement...

Top 7 Lithium Stocks of 2023

What is Synthetic Graphite? (Updated 2023)

Altech Batteries LtdAgreement to Secure EUR2.5M in Funding

Radisson Announces Additional Assay Results from 2024 Drill...

Successful Completion of Placement & Institutional Entitlement Offer...

6 Mining and Energy Stocks Make Top 10...

Nuvau Minerals Completes High Resolution Drone MAG Survey

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Latest

    • China snubs Asia’s largest defense forum as tensions with US simmer

    • Teen’s death sparks calls to ban viral head-on tackle game inspired by American football’s biggest hits

    • Cardiex Completes Placement & Launches Entitlement Offer

    • CDX May Investor Presentation

    • President Trump teases ‘last day, but not really’ for Elon Musk at DOGE: Oval Office presser set for Friday

    Categories

    • Business (1,671)
    • Investing (4,987)
    • Politics (7,825)
    • World (6,333)
    • Terms & Conditions
    • Privacy Policy
    • About us

    Disclaimer: thesmartestinvestorsclub.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2024 thesmartestinvestorsclub.com | All Rights Reserved


    Back To Top