Electra and Three Fires Group Announce Aki Battery Recycling Joint Venture
Electra Battery Materials (NASDAQ: ELBM; TSX-V: ELBM) has announced a joint venture, Aki Battery Recycling, with Indigenous-owned Three Fires Group to produce battery black mass through recycling lithium-ion battery scrap. The venture aims to address the environmental impact of battery waste by returning scrap to the supply chain. Three Fires Group will lead capital resourcing and facility location, while Electra provides technical and commercial leadership.
The joint venture will establish a state-of-the-art facility in southern Ontario to process battery waste into black mass, which will then be refined at Electra's hydrometallurgical refinery. This initiative aligns with Electra's mission to onshore North America's EV battery supply chain sustainably. The global volume of lithium-ion batteries available for recycling is forecasted to increase from 23.3 GWh in 2023 to 376.1 GWh by 2035.
Electra Battery Materials (NASDAQ: ELBM; TSX-V: ELBM) ha annunciato una joint venture, Aki Battery Recycling, con il gruppo indigena Three Fires Group per produrre black mass da rottami di batterie agli ioni di litio. La joint venture mira a affrontare l'impatto ambientale dei rifiuti delle batterie restituendo i materiali di scarto alla catena di approvvigionamento. Three Fires Group si occuperà della raccolta di capitali e della scelta della sede, mentre Electra fornirà leadership tecnica e commerciale.
La joint venture stabilirà un impianto all'avanguardia nel sud dell'Ontario per trattare i rifiuti delle batterie e convertirli in black mass, che sarà successivamente raffinato presso il raffineria idrometallurgica di Electra. Questa iniziativa è in linea con la missione di Electra di rendere sostenibile la catena di approvvigionamento delle batterie per veicoli elettrici in Nord America. Si prevede che il volume globale delle batterie agli ioni di litio disponibili per il riciclo aumenterà da 23,3 GWh nel 2023 a 376,1 GWh entro il 2035.
Electra Battery Materials (NASDAQ: ELBM; TSX-V: ELBM) ha anunciado una empresa conjunta, Aki Battery Recycling, con el grupo indígena Three Fires Group para producir masa negra a través del reciclaje de residuos de baterías de iones de litio. La empresa conjunta tiene como objetivo abordar el impacto ambiental de los desechos de baterías devolviendo los residuos a la cadena de suministro. Three Fires Group se encargará de la obtención de recursos y de la ubicación de las instalaciones, mientras que Electra proporcionará liderazgo técnico y comercial.
La empresa conjunta establecerá una instalación de última generación en el sur de Ontario para procesar los residuos de baterías en masa negra, que luego será refinada en la refinería hidrometalúrgica de Electra. Esta iniciativa se alinea con la misión de Electra de hacer sostenible la cadena de suministro de baterías de vehículos eléctricos en América del Norte. Se prevé que el volumen global de baterías de iones de litio disponibles para reciclaje aumente de 23,3 GWh en 2023 a 376,1 GWh para 2035.
Electra Battery Materials (NASDAQ: ELBM; TSX-V: ELBM)는 인디언 소유의 Three Fires Group과 함께 리튬 이온 배터리 스크랩을 재활용하여 배터리 블랙 매스를 생산하는 Aki Battery Recycling의 합작 회사를 발표했습니다. 이 합작 회사는 환경오염 문제를 해결하기 위해 스크랩을 공급망으로 다시 돌려보내는 것을 목표로 하고 있습니다. Three Fires Group은 자본 조달 및 시설 위치를 주도하고, Electra는 기술 및 상업적 리더십을 제공합니다.
합작 회사는 온타리오 남부에 배터리 폐기물을 블랙 매스로 처리하는 최첨단 시설을 설립하고, 이를 Electra의 수화학 정제 시설에서 정제할 계획입니다. 이 이니셔티브는 Electra의 북미 전기차 배터리 공급망을 지속 가능하게 만들겠다는 사명과 일치합니다. 재활용 가능한 리튬 이온 배터리의 전 세계 물량은 2023년 23.3 GWh에서 2035년까지 376.1 GWh로 증가할 것으로 예상됩니다.
Electra Battery Materials (NASDAQ: ELBM; TSX-V: ELBM) a annoncé un partenariat, Aki Battery Recycling, avec le groupe Three Fires, d'origine autochtone, pour produire de la masse noire grâce au recyclage de déchets de batteries lithium-ion. Ce partenariat vise à réduire l'impact environnemental des déchets de batteries en réintégrant les chutes dans la chaîne d'approvisionnement. Three Fires Group sera en charge de la ressource en capital et de la localisation des installations, tandis qu'Electra assurera le leadership technique et commercial.
Le partenariat établira une installation moderne dans le sud de l'Ontario pour traiter les déchets de batteries afin de les transformer en masse noire, qui sera ensuite raffinée dans la raffinerie hydrométallurgique d'Electra. Cette initiative est en accord avec la mission d'Electra de rendre durable la chaîne d'approvisionnement des batteries de véhicules électriques en Amérique du Nord. Le volume mondial des batteries lithium-ion disponibles pour le recyclage devrait passer de 23,3 GWh en 2023 à 376,1 GWh d'ici 2035.
Electra Battery Materials (NASDAQ: ELBM; TSX-V: ELBM) hat ein Joint Venture, Aki Battery Recycling, mit der indigenen Gruppe Three Fires Group angekündigt, um durch das Recycling von Lithium-Ionen-Batterieschrott Batteriemasse zu produzieren. Das Joint Venture zielt darauf ab, die Umweltbelastung durch Batteriemüll zu verringern, indem Schrott wieder in die Lieferkette zurückgeführt wird. Three Fires Group wird die Kapitalbeschaffung und Standortsuche leiten, während Electra technische und kommerzielle Führung bietet.
Das Joint Venture wird eine hochmoderne Anlage im Süden von Ontario einrichten, um Batteriemüll in Batteriemasse umzuwandeln, die dann in Electras hydrometallurgischer Raffinerie weiterverarbeitet wird. Diese Initiative steht im Einklang mit Electras Mission, die Lieferkette für Elektrofahrzeugbatterien in Nordamerika nachhaltig zu gestalten. Das globale Volumen an verfügbaren Lithium-Ionen-Batterien, die recycelt werden können, wird Prognosen zufolge von 23,3 GWh im Jahr 2023 auf 376,1 GWh bis 2035 steigen.
- Joint venture with Indigenous-owned Three Fires Group to produce battery black mass
- Addresses environmental impact of battery waste and enhances circular economy
- Aligns with Electra's mission to onshore North America's EV battery supply chain
- Received C$5 million from Natural Resources Canada to accelerate recycling project
- Potential for long-term job creation in communities hosting battery manufacturers
- Received notice of noncompliance with Nasdaq's minimum bid price requirement
- Shares subject to potential delisting from Nasdaq
- Appeal process initiated, but no guarantee of success or regaining compliance
Insights
The joint venture between Electra and Three Fires Group to create Aki Battery Recycling is a strategic move in the growing EV battery recycling market. With global lithium-ion battery recycling volume projected to increase from 23.3 GWh in 2023 to 376.1 GWh by 2035, this venture positions Electra to capitalize on a rapidly expanding sector. The partnership leverages Electra's technical expertise and Three Fires Group's capital resources, potentially creating a competitive advantage in the North American market.
However, investors should note Electra's Nasdaq listing compliance issues, which could impact its access to U.S. capital markets if not resolved. This regulatory challenge, juxtaposed with the promising joint venture, presents a mixed financial outlook for Electra in the short term.
The Aki Battery Recycling initiative represents a significant step towards circular economy principles in the EV industry. By processing lithium-ion battery waste locally, the venture aims to reduce the carbon footprint of the EV supply chain and decrease reliance on foreign sources for critical minerals. This aligns with growing environmental regulations and consumer demand for sustainable practices in the automotive sector.
The project's focus on recovering multiple materials (lithium, nickel, cobalt, copper, manganese and graphite) through advanced battery shredding demonstrates a comprehensive approach to resource efficiency. If successful, this model could set a new standard for battery recycling in North America, potentially influencing industry-wide sustainability practices.
The partnership between Electra and the Indigenous-owned Three Fires Group marks a significant development in Indigenous participation in the green energy transition. This joint venture not only provides economic opportunities for First Nations communities but also ensures their involvement in managing the environmental impact of battery manufacturing on their traditional territories.
By leading capital resourcing and facility location decisions, the Three Fires Group gains substantial influence in the project's direction. This level of Indigenous involvement in a high-tech, future-oriented industry could serve as a model for inclusive economic development in other sectors. However, the success of this partnership will depend on how effectively it balances commercial interests with Indigenous values and environmental stewardship.
TORONTO, Sept. 18, 2024 (GLOBE NEWSWIRE) -- Electra Battery Materials Corporation (NASDAQ: ELBM; TSX-V: ELBM) (“Electra” or the “Company”) is pleased to announce a joint venture, named Aki Battery Recycling, with Indigenous-owned Three Fires Group to produce battery black mass through responsible recycling of lithium-ion battery scrap and waste material. The black mass would then be sold to Electra’s refinery to recover lithium, nickel, cobalt and other critical minerals to produce new lithium-ion batteries.
The Three Fires Group is an Indigenous-owned economic development agency focused on generating wealth and prosperity for current and future generations. The Three Fires Group will lead the capital resourcing of the joint venture, as well as sourcing and determining the location for the future facility. Electra will provide technical and commercial leadership to the project. Under the Aki Battery Recycling joint venture, Electra and the Three Fires Group will collaborate to source and process lithium-ion battery waste from manufacturers to produce black mass at a state-of-the-art facility to be established in southern Ontario. The black mass will then be further treated using Electra’s proprietary process at its Ontario hydrometallurgical refinery to recover critical minerals that can be reintroduced into the battery supply chain. By recovering lithium, nickel, cobalt, copper, manganese and graphite through an advanced battery shredding process, the joint venture will reduce the carbon footprint of the EV supply chain and decrease reliance on foreign countries for critical minerals.
Electra CEO, Trent Mell said, “I am grateful for the relationship we have built with Three Fires over the past year and honoured to be advancing a shared vision of a greener future. Aki Battery Recycling aims to address the environmental impact of future battery waste in Ontario and beyond, by returning battery scrap back into the supply chain. This venture not only aligns with our mission to onshore North America’s EV battery supply chain, but to do so sustainably and through a scalable solution to meet the growing needs of the North American electric vehicle industry.”
Reggie George, Executive Director Special Projects and Partnerships, Three Fires Group, said, “We are excited to partner with Electra’s industry-leading hydrometallurgical capabilities to address the growing challenge of battery waste. Aki Battery Recycling will provide a full-circle solution including a new primary recycling facility located in southern Ontario to shred lithium-ion batteries, process the scrap, and provide a steady supply of black mass, which will then be refined by Electra at its refinery complex. With the billions of dollars being invested into the southern Ontario battery manufacturing industry, ensuring that valuable materials are recovered and reused in Ontario, rather than discarded, is central to our shareholder First Nations’ interests. This initiative not only underscores our dedication to environmental stewardship but also enhances the circular economy in the battery industry.”
As the demand for electric vehicles, energy storage systems and other advanced battery cells continues to surge, so does the need for innovative solutions to manage and repurpose battery waste. Localized production of black mass by Canada’s First Nations ensures participation in the energy transition by the very communities that will have battery manufacturing on their traditional territories.
Several electric vehicle facilities are moving forward across the treaty areas of the Three Fires Confederacy in southwestern Ontario. Circular Energy Storage forecasts that the global volume of lithium-ion batteries available for recycling or reuse will increase from 23.3 gigawatt hours (GWh) in 2023 to 376.1 GWh by 2035, bringing the potential recycling market to a size which is larger than the entire lithium-ion battery market in 2020 (https://circularenergystorage-online.com/so/79P72P5pX?languageTag=en&cid=47973a50-248f-48f9-b325-7eabe3b0fd4e).
In 2023, Electra processed 40 tonnes of black mass at its refining complex north of Toronto to trial its proprietary recycling process. The program is believed to have been the first plant-scale hydrometallurgical recycling of black mass material in North America as well as the first domestic production of nickel-cobalt mixed hydroxide precipitate product (“MHP”). Electra successfully recovered MHP, lithium carbonate, graphite and other commercial products.
In June of 2024, Electra received C
Aki Battery Recycling will provide Electra’s refinery with a steady source of black mass for a future continuous operation, while creating long-term job opportunities for communities hosting battery manufacturers.
Electra’s near-term priority is to recommission and expand its Ontario cobalt refinery. The Company’s longer-term vision includes battery recycling and nickel production, thereby onshoring additional critical mineral refining processes needed for the North American electric vehicle battery supply chain.
Electra Company Update
Electra also announces that on September 17, 2024, it received notice from The Nasdaq Stock Market LLC (“Nasdaq”) of noncompliance with the minimum bid price requirement ("Minimum Bid Requirement") of US
Heather Smiles, Vice President, Investor Relations & Corporate Development commented, “We value the exposure to the U.S. market that our Nasdaq listing provides Electra, and we intend to explore all available options to preserve this listing.”
In the event the appeal is successful, the Company expects to receive additional time in which to regain compliance with the Minimum Bid Requirement. There can be no assurance that the appeal will be successful or that the Company will be able to regain compliance. This matter does not impact the listing of the shares on the TSX Venture Exchange.
About Aki Battery Recycling
Aki Battery Recycling, a joint venture between the Three Fires Group and Electra Battery Materials, is dedicated to advancing battery scrap and waste recycling in North America. Located in Southwestern Ontario, on the treaty territory of the Confederacy of the Three Fires, we are leveraging our partners' expertise to create sustainable solutions that recover valuable materials from end-of-life batteries and scrap. Aki will shred batteries and scrap at a pre-treatment facility, producing a mix of materials including black mass rich in lithium, nickel, cobalt, and other critical minerals. This black mass can then be sold to Electra for further processing into valuable products for the EV battery supply chain. Aki Battery Recycling is committed to driving the circular economy and fostering a cleaner, greener future. To learn more, visit www.akirecycling.com.
About the Three Fires Group
The Three Fires Group is focused on generating wealth and prosperity from economic and infrastructure opportunities for current and future generations. Through its Climate Action Investment Policy, the Three Fires Group supports First Nation investments in non-fossil fuel, clean energy projects generally aligned with the government of Ontario's energy supply acquisition strategy, inclusive of "behind-the-meter" generation and storage.
The Three Fires Group provided technical and investment assistance for the recently announced Three Fires Nations-Ontario Southwestern Ontario Infrastructure and Economic Opportunities Table - a joint Crown-Indigenous effort to develop clean energy infrastructure in Southern Ontario, including investments to build Ontario's first large-scale electric vehicle battery manufacturing plants, five new regional transmission lines, and a forthcoming fleet of battery energy storage systems. For more information about the Three Fires Group, please visit: www.threefires.com.
About Electra Battery Materials
Electra is a processor of low-carbon, ethically-sourced battery materials. Currently focused on developing North America’s first cobalt sulfate refinery, Electra is executing a phased strategy to onshore the electric vehicle supply chain and provide a North American solution for EV battery materials refining. In addition to building North America’s only cobalt sulfate refinery, its strategy includes integrating black mass recycling, potential cobalt sulfate processing in Bécancour, Quebec, and exploring nickel sulfate production potential within North America. For more information, please visit www.ElectraBMC.com.
Contacts
Heather Smiles
Vice President, Investor Relations & Corporate Development
Electra Battery Materials
info@ElectraBMC.com
1.416.900.3891
Reggie George
Executive Director, Special Projects and Partnerships
Three Fires Group
Reggie.george@threefires.com
1.226.349.5499
Aki Battery Recycling
info@akirecycling.com
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Cautionary Note Regarding Forward-Looking Statements
This news release may contain forward-looking statements and forward-looking information (together, “forward-looking statements”) within the meaning of applicable securities laws and the United States Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical facts, are forward-looking statements. Generally, forward-looking statements can be identified by the use of terminology such as “plans”, “expects”, “estimates”, “intends”, “anticipates”, “believes” or variations of such words, or statements that certain actions, events or results “may”, “could”, “would”, “might”, “occur” or “be achieved”. Forward-looking statements are based on certain assumptions, and involve risks, uncertainties and other factors that could cause actual results, performance, and opportunities to differ materially from those implied by such forward-looking statements. Among the bases for assumptions with respect to the potential for additional government funding are discussions and indications of support from government actors based on certain milestones being achieved. Factors that could cause actual results to differ materially from these forward-looking statements are set forth in the management discussion and analysis and other disclosures of risk factors for Electra Battery Materials Corporation, filed on SEDAR+ at www.sedarplus.com and with on EDGAR at www.sec.gov. Other factors that could lead actual results to differ materially include changes with respect to government or investor expectations or actions as compared to communicated intentions, and general macroeconomic and other trends that can affect levels of government or private investment. Although the Company believes that the information and assumptions used in preparing the forward-looking statements are reasonable, undue reliance should not be placed on these statements, which only apply as of the date of this news release, and no assurance can be given that such events will occur in the disclosed times frames or at all. Except where required by applicable law, the Company disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.
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