Electra Battery Materials Corporation announced it has signed a five-year cobalt tolling contract and amended the previous concluded five-year cobalt hydroxide feed purchase agreement with Glencore. The Company intends to produce a traceable, low carbon battery grade cobalt product for the electric vehicle market and the parties will market the Canadian-made cobalt sulfate as a premium brand product that is sustainably mined and refined with renewable hydroelectric power. First production of battery grade cobalt sulfate is anticipated in Fourth Quarter 2022, with an annual production target of 5,000 tonnes of cobalt, subsequently increasing to nameplate capacity of 6,500 per year. Glencore will have an option to toll approximately 1,000 tonnes of contained cobalt at Electra's refinery and Electra will have an option to purchase an additional undisclosed quantity of cobalt hydroxide feed material from Glencore, each on an annual basis for a five-year term for refining at Electra's Canadian refinery. The feed purchase agreement largely reflects the original cobalt hydroxide purchase agreement and is for the remaining quantities from the original contract that are not part of the tolling arrangement. A third-party life cycle assessment supports the view that Electra's refinery will have the lowest carbon footprint in the global automotive supply chain, resulting in the world's most sustainable cobalt for the electric vehicle market. As part of its commitment to sustainable production, Electra intends to join the Fair Cobalt Alliance and adopt the Cobalt Institute's Cobalt Industry Responsible Assessment Framework. To date, Electra has concluded feed supply contracts with Glencore and IXM SA for a total for 4,500 tonnes of contained cobalt per year for a five-year term. Glencore will use its extensive network to market Electra's premium cobalt sulfate globally. Electra's cobalt feedstock is sourced only from the world's highest quality cobalt mines and the Refinery has strong ESG credentials compared to its peers. Both Glencore and Electra expect the battery-grade cobalt sulfate produced at the Canadian refinery to command a premium above normal market prices. The collaborative approach will help to properly position Electra's cobalt sulfate in the market. The Company previously concluded a five-year cobalt hydroxide feed purchase agreement with Glencore, which has been amended to reflect the terms of the deal announced today. The tolling agreement will provide Glencore with the option to toll approximately 1,000 tonnes of contained cobalt through the Refinery on an annual basis. The parties have agreed to a tolling fee for the duration of the contract. Feed material will be provided from Glencore's KCC mining operation. If exercised each year, the quantity of cobalt tolled with Glencore will represent 20% of the initial 5,000 tonnes per annum (tpa) production of the refinery, and 15% of the expanded 6,500 tpa production rate.