The U.S. Department of Defense has awarded $20 million to Electra Battery Materials Corporation to establish a cobalt sulfate production facility in Ontario, Canada. This investment aims to enhance the North American battery supply chain, crucial for electric vehicles and military applications. The facility will be the first of its kind in North America, allowing for domestic production of battery-grade cobalt. This initiative is part of a broader strategy to reduce reliance on foreign sources, particularly from China, which currently dominates cobalt supply. The Canadian government is also contributing $3.6 million to the project.