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Electra inks deal with Glencore to produce battery-grade cobalt for electric vehicles

Production slated to begin in late 2022
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Electra says the Canadian-made cobalt sulfate will be marketed as a premium product that is sustainably mined and refined with renewable hydroelectric power. (File photo by The Canadian Press)

TORONTO — Electra Battery Materials Corp. says it has signed a five-year cobalt tolling contract with mining giant Glencore to produce a low carbon, battery grade cobalt product for the electric vehicle market.

The Toronto-based company says it also amended its previous five-year cobalt hydroxide feed purchase agreement with Glencore.

Electra says the Canadian-made cobalt sulfate will be marketed as a premium product that is sustainably mined and refined with renewable hydroelectric power.

It says its battery-grade cobalt sulfate is expected to command a premium above normal market prices, with production slated to begin in late 2022.

Trent Mell, Electra’s chief executive officer, says the deal with the world’s largest cobalt miner is a validation of the company’s strategy.

He says partnering with Glencore will establish the company’s traceable and low carbon cobalt sulfate product as a premium brand in the electric vehicle market.

This report by The Canadian Press was first published Dec. 30, 2021.