Quebec's $1.2-billion Nemaska lithium project in trouble as workers leave Bécancour site

Quebec's troubled battery ambitions have taken another hit. An investigation by Le Journal de Montréal reports that the Nemaska Lithium project, which has received C$1.2 billion in public funds, may lack the funding to keep building its lithium processing plant in Bécancour, with workers leaving the construction site near Trois-Rivières in recent days. A source familiar with the matter said: “We are starting to close construction activities and demobilize contractors.” CBC also reported on November 7 under the headline “Another Northvolt?” that a major battery project in Bécancour “seems to be in trouble.”

Rio Tinto questions funding for 2027 and 2028

Nemaska Lithium's largest shareholder is the Australian-British miner Rio Tinto, which owns more than 53.9 percent of the project. According to the report, Rio Tinto has recently raised doubts behind the scenes about its ability to keep financing construction of the plant in 2027 and 2028. One source said 12 months of work and C$500 million still need to be injected for the plant to be completed. Neither Rio Tinto nor Nemaska has publicly confirmed a shutdown or a withdrawal of funding, so the project's fate remains unclear.

Rio Tinto already slowed the build in March, saying the timeline was intact

This is not the first slowdown. In March, Rio Tinto said it would slow the pace of construction at Bécancour because of soaring costs, with most contractors expected to halt work and only a minimal crew staying on site; the plant was then more than 70 percent complete, with first production of battery-grade lithium hydroxide planned for 2028 at an annual capacity of 32,000 tonnes. Rio Tinto said at the time it still planned to invest more than C$300 million in its Quebec lithium business in 2026, with full construction expected to resume in 2027 and no major change to the overall timeline. The new reporting puts the 2027 and 2028 funding itself in doubt, a marked shift from the March position.

A string of setbacks for the Bécancour battery hub

Bécancour was meant to anchor Quebec's battery manufacturing ambitions, but the hub has suffered a string of setbacks. Swedish battery maker Northvolt cancelled its planned C$7-billion plant near Bécancour in late 2025 after filing for bankruptcy protection; the Quebec government lost a C$270-million investment and the Caisse de dépôt et placement du Québec wrote off C$200 million. General Motors and Posco indefinitely paused the second phase of their cathode plant in Bécancour, prompting Vale to cancel a C$325-million nickel sulfate plant that would have supplied it, and Ecopro's cathode plant worth more than C$1.2 billion was delayed after Ford pulled out. Quebec Economy Minister Christine Fréchette said in September 2025 that the battery sector remained “very much alive,” with nearly 3,000 people then building battery facilities in Bécancour. Another stall at Nemaska would be a further blow to the hub.

(Sources: Le Journal de Montréal (Bureau of Investigation), CBC News, MINING.COM.)