Construction progress is being made at Electra Battery Materials' cobalt sulphate refinery in Ontario, positioning the project to become North America’s only facility of its kind amid growing demand for battery materials.

In an update, the company says the project has advanced beyond detailed engineering, with procurement and installation activities progressing in line with its construction plan and recently approved $73-million budget.

Mechanical completion of the refinery is targeted for the second quarter of 2027, with commissioning activities expected to begin ahead of that milestone and production ramp-up planned for 2027.

“Steady progress continues at the North American refinery project site,” said VP of projects and engineering Paolo Toscano.

“With early works now largely complete, including key infrastructure installations and engineering milestones, the project is well positioned to transition into its next phase of construction.”

Key engineering milestones achieved include completion of the fire suppression system design and piping and instrumentation design, which is now being integrated into the refinery’s 3D plant model. The company has also completed tailings testwork to support detailed design of the storage facility.

On-site construction progress includes installation of effluent tanks, positioning of raffinate tanks, and structural work within the solvent extraction circuit, alongside earlier infrastructure developments such as pipe racks and power upgrades.

Electra has also advanced procurement, awarding purchase orders for several process systems, including control systems, filters and clarification equipment, with contracts totalling about C$1.9-million. The majority of major mechanical and electrical equipment has already been secured and delivered, reducing supply chain risk.

Once operational, the refinery is expected to produce battery-grade cobalt sulphate for the electric vehicle and energy storage markets, forming a key part of efforts to localise critical minerals supply chains in North America.

Separately, the company said it had received a notice from Nasdaq on March 16 indicating that it was not in compliance with the minimum bid price requirement of $1.00 a share.

The notice has no immediate impact on trading, and Electra has until September 14, 2026, to regain compliance, with the possibility of an additional 180-day grace period if required. The company said it was evaluating options to address the requirement, while confirming that the notice did not affect its TSX-V listing or operations.