First Phosphate secures $16.7M in federal funding for Québec phosphate project

<p><a href="https://finance.yahoo.com/quote/PHOS.cn">First Phosphate Corp. (CSE:PHOS, OTCQX:FRSPF, FRA:KD0, OTC:FPHOY)</a> announced that it has finalized an agreement with the Government of Canada for a $16.7 million non-repayable contribution to support the development of its Bégin-Lamarche phosphate project in the Saguenay–Lac-Saint-Jean region of Québec.</p>
<p>The funding will be provided through the Natural Resources Canada Global Partnerships Initiative and will help advance technical and engineering work for the project.</p>
<p>The work will focus on validating the company’s ability to produce phosphate concentrate that meets the quality requirements of the lithium iron phosphate (LFP) battery market.</p>
<p>According to the company, the contribution will support the development of processing circuits and equipment needed to confirm production capabilities under the parameters of an existing offtake agreement.</p>
<p>"We welcome this investment from the Government of Canada which supports the continued progress of our project and its strategic role in the LFP battery supply chain," First Phosphate CEO John Passalacqua said.</p>
<p>"Together, we are taking another step toward establishing an integrated phosphate-based LFP battery supply chain in Canada."</p>
<p>Federal Energy and Natural Resources Minister Tim Hodgson said the investment is part of Canada’s broader effort to strengthen supply chains for critical minerals.</p>
<p>"By supporting companies like First Phosphate, we are helping deliver the minerals the world needs and the prosperity and security Canadians deserve,” Hodgson said.</p>
<p>The Bégin-Lamarche demonstration and feasibility project aims to help develop domestic capacity to process apatite into high-purity phosphoric acid for battery applications. The company said the initiative could support the establishment of a Canadian phosphoric acid facility supplied by locally produced phosphate concentrate.</p>
<p>First Phosphate estimates the project could create about 277 skilled jobs and contribute to reducing reliance on foreign supply chains for battery-grade phosphate materials.</p>
<p>The federal contribution will fund eligible activities related to a feasibility study for the integrated Bégin-Lamarche phosphate mine and processing project, with work planned through 2028.</p>