Electra Battery Materials Corporation (TSX-V:ELBM, NASDAQ:ELBM) has signed a memorandum of understanding with Three Fires Group to create a joint venture to recycle lithium-ion battery waste in Ontario.
The venture would be underpinned by Electra’s proprietary black mass processing capabilities that recover high value elements, including lithium, nickel, cobalt and graphite.
“We are excited by the opportunity to work with the Three Fires Group and solve a pressing challenge of the EV battery supply chain, namely how to recycle and repurpose battery waste,” Electra CEO Trent Mell said in a statement. “Our joint-venture will pave the way for producers of various lithium-ion batteries and energy storage equipment in Ontario to reduce their waste, reuse high-value and increasingly scarce commodities like nickel and cobalt, and lower carbon emissions in their manufacturing activities.”
Electra and the Three Fires Group will source and process lithium-ion battery waste generated by manufacturers of current and future battery cells, electric vehicles and energy storage systems, the company said.
Then, the waste will be processed at a facility to be located in southern Ontario to produce black mass material that will be further refined using Electra’s proprietary hydrometallurgical process at its refinery complex north of Toronto to recover high value elements, including lithium, nickel, copper, manganese and graphite.
“The Three Fires Group has developed an Indigenous leadership position in fostering the transition to clean, sustainable energy through its relationships with federal and provincial agencies and various clean energy providers,” Mell said. “Working with the Three Fires Group will allow us to get access to a steady stream of black mass material and address the growing demand for critical minerals.”
Electra and the Three Fires Group will also work to secure a net-zero industrial facility that can be used to shred and separate lithium-ion batteries and produce black mass material. The companies plan to collaborate on the development of economic studies of sourcing of engineering, procurement, construction, and management requirements necessary to launch the battery waste recycling facility.
“Ontario is quickly emerging as an important centre in the global EV supply chain, potentially providing economic prosperity for generations to come,” said Reggie George, an executive director at Three Fires Group.
“Critical to this success will be ensuring that all manufacturing activities related to the EV supply chain are carried out sustainably and responsibly. We believe First Nations should be leading the charge in ensuring a circular economy around the transition to EV’s, and we’re proud to be taking the first steps together with Electra.”
Contact Andrew Kessel at andrew.kessel@proactiveinvestors.com
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