Electra Battery Materials Corporation (NASDAQ: ELBM) has extended its cobalt hydroxide feed purchase agreement with Glencore AG through December 31, 2031, securing 100% of the feedstock required for the commissioning and ramp-up of its cobalt sulfate refinery in Ontario, Canada.

The extended agreement covers approximately 10,000 metric tonnes of contained cobalt over five years, which the company values at over $500 million at current market prices. The deal builds on a commercial relationship between the two companies that was first announced in 2021.

Electra's Ontario refinery is targeting mechanical completion in 2027. The Glencore agreement is structured to align deliveries with the anticipated commissioning and ramp-up schedule during that year, with supply continuing through 2031. Electra said it retains flexibility to supplement Glencore volumes with additional cobalt hydroxide sources and is advancing supply opportunities for 2028 and beyond.

"With 100% of our cobalt feedstock requirements covered for commissioning and ramp-up through 2027, we have the supply required to bring the refinery into operation and advance to full production," said Michael Insulan, Vice President, Commercial at Electra.

The refinery is designed to initially produce 5,120 tonnes per annum of contained cobalt, with crystallizer nameplate capacity of up to 6,500 tonnes per annum. Electra describes the facility as a fully permitted brownfield site currently under construction.

On the demand side, Electra signed an updated binding term sheet with LG Energy Solution in March 2026 for the long-term supply of battery-grade cobalt sulfate. That agreement includes a firm commitment for approximately 60% of the refinery's planned cobalt sulfate production through 2029, with an option to extend through 2032.

According to a press release statement, Electra holds additional properties in Idaho's Cobalt Belt, including its Iron Creek project, and is also advancing black mass recycling opportunities to recover critical materials from end-of-life batteries.