Electra Battery Materials Corporation (TSXV: ELBM) (OTCQX: ELBMF) ("Electra") today provided an update on the construction of North America's only battery grade cobalt refinery, confirming that the project remains on budget and on schedule for a December 2022 commissioning.

Electra is building North America's only fully integrated battery materials park, leveraging the Company's hydrometallurgical refinery asset. Electra plans to build a Battery Materials Park hosting cobalt and nickel sulfate production plants, a large-scale lithium-ion battery recycling facility, and a battery precursor materials partnership, which will support North American and European electric vehicle production.

HIGHLIGHTS

• Project control budget remains at US$67 million (C$84 million) and commissioning is on schedule for December 2022.
  
  
• Experienced 12-person owner's team overseeing the work of key contractors, including EXP Services Inc., Metso Outotec, Hatch Ltd. and GEA Systems.
  
  
• US$27 million (C$34 million) committed to procurement activities as of February 1, for a 40% commitment rate. Fabrication of major long lead equipment packages is underway, including solvent extraction, crystallization and filters with the arrival of key equipment on site commencing in May 2022.
  
  
• Detailed engineering for the new Solvent Extraction plant is 60% complete with all major components procured. In the new Crystallization facility, all equipment has been sized and is in the process of being manufactured.
  
  
• Brownfield mechanical equipment verification is 50% complete with all major existing equipment having been tested and demolition of redundant circuits underway.
  
  
• Construction of the new solvent extraction building and crystallization facility is scheduled to commence at the end of Q1 with major mechanical installations and overland pipe installations forecast to start in Q2.
  
  
• Health and safety remains a top priority, with zero lost time incidents at site.

"The steady progress of this project is a testament to the seasoned owner's team we have assembled, with decades of experience in processing and project development around the world," said Mark Trevisiol, Vice President, Project Development. "We have completed procurement activities on key equipment and critical path items and the team is now preparing for the commencement of spring construction activities."

"Our plant will be one of two major cobalt sulfate refineries outside China, with an estimated 5% of global market share once operating at full capacity." said Trent Mell, CEO. "We are assessing opportunities to build an additional cobalt refinery at a second location to address projected supply shortages for the electric vehicle market. The evolution towards lower cobalt content in the dominant EV batteries will be more than offset by larger battery packs and growing adoption rates. We forecast that cobalt demand will grow by more than 11,500 tonnes per annum, for a 30% growth from 2021 to 2025."

Electra's business strategy is to produce sufficient battery material to supply batteries for up to 1.5 million electric vehicles annually. The Company's cobalt sulfate facility is on schedule to be commissioned in 2022. The cobalt plant will be the first in Electra's four-phase Battery Materials Park project. In the coming years, Electra intends to build further processing capacity for nickel sulfate, recycling of primary and secondary battery scrap materials and precursor production.

About Electra Battery Materials

Electra is building North America's only fully integrated, localized and environmentally sustainable battery materials park. Leveraging the Company's own mining assets and business partners, the Electra Battery Materials Park is expected to host cobalt and nickel sulfate production plants, a large-scale lithium-ion battery recycling facility, and battery precursor materials production, which will serve both North American and global customers. Electra also owns the advanced exploration-stage Iron Creek cobalt-copper project in Idaho, USA. Electra Battery Materials is an integral part of the North American battery supply chain, providing low-carbon, sustainable and traceable raw materials for the region's fast growing electric vehicle industry.

On behalf of Electra Battery Materials.

Trent Mell
Chief Executive Officer

Neither 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 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. 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.sedar.com. Although Electra Battery Materials Corporation 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, Electra Battery Materials Corporation disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.