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Battery recycling venture to supply materials for 100,000 EVs annually

By Michelle Froese | June 17, 2025

A joint venture between Electra Battery Materials and the Three Fires Group is advancing Canada’s first Indigenous-led lithium-ion battery recycling facility. The initiative, known as Aki Battery Recycling, aims to process end-of-life and manufacturing scrap from lithium-ion batteries to support a domestic circular supply chain for electric vehicles (EVs).

Designed to meet the growing demand from gigafactories and EV manufacturers, the Aki venture provides a low-emission, closed-loop system for recovering critical minerals, including lithium, cobalt, nickel, manganese, and graphite. The materials will be returned to the battery supply chain after processing at Electra’s hydrometallurgical refinery north of Toronto.

The pre-processing facility will dismantle battery modules and packs to recover materials like aluminum, copper, and steel. The remaining content is converted into black mass, a high-value intermediate product containing recoverable battery metals. That black mass will then be refined domestically at Electra’s facility, reducing dependence on overseas processors.

The first phase of the facility is designed to process enough scrap to supply materials for up to 100,000 new electric vehicles per year. Operating primarily through long-term tolling agreements, Aki’s business model is designed to ensure predictable feedstock and economic alignment with battery manufacturers, addressing concerns around the volatility of commodity-based scrap bidding models common in North America.

In addition to technical integration with Electra’s downstream refining operations, the Aki venture focuses on building long-term economic participation for First Nations communities in Canada’s emerging clean energy economy. The facility is intended to be scalable and replicable, supporting regional economic development and the national battery materials strategy.

The Aki-Electra collaboration supports Canadian policy goals around resource independence, low-emissions processing, and Indigenous leadership in clean energy infrastructure. By retaining and refining black mass within Canada, the venture reduces the carbon footprint associated with offshore processing and strengthens domestic capacity to supply battery-grade materials for North American EV production.

Since its 2024 launch, the Aki partnership has made progress on several key milestones:

  • Established Canada’s first Indigenous-led lithium-ion battery recycling venture.
  • Shortlisted low-emission technology providers following due diligence and site visits.
  • Initiated site selection focused on Southern Ontario, near planned battery cell production sites and on or near First Nations lands.
  • Engaged government partners to pursue funding for a feasibility study and facility development.

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Filed Under: Batteries, Technology News
Tagged With: electrabatterymaterials, threefiresgroup
 

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