The company's share price was at a four-week high of C$4.32 (US$3.6) on July 26, having risen 4% day on day. It had been on a downward trend since hitting a year-to-date high of C$6.51 on April 20, falling to below C$3.60 last week.
"Signing our first Benefits Agreement markets an important milestone for Electra as we advance with the commissioning of our refinery," Electra's CEO Trent Mell said.
The battery materials refinery in Temiskaming Shores is to have a plant capacity of 5,100 tonnes of cobalt in sulfate.
"In concert with its effort to commission the refinery, Electra intends to launch a battery materials recycling demonstration plant in the fall of 2022," Electra said.
The benefits agreement is intended to see the two parties working together to provide employment, training, procurement, and business opportunities related to the construction of the refinery.
"The construction of a battery materials plant in Ontario on the James Bay and Abitibi/ Temiscamingue Metis Traditional Territories represents an exciting development that will create many opportunities while also supporting environmental sustainability through reducing carbon emissions as a result of the adoption of electric vehicles," Metis Nation's president Lorette McKnight said.
In connection with the deal, Electra has agreed to issue 20,000 common shares of the company to Metis Nation as a means of providing a measure of economic participation in the company's low-carbon battery materials plans.
The issuance of the shares remains subject to the approval of the TSX Venture Exchange and once issued will be subject to a statutory hold period of four-months-and-one-day.
