Lithium Americas and its joint venture partners on the Thacker Pass project in Humboldt County, Nev., have confirmed the final investment decision for the first phase of the project as it receives a previously announced $250 million investment from fund entities managed by Orion Resource Partners.
Company officials said that, as part of that closing, Orion purchased senior unsecured convertible notes in the aggregate principal amount of $195 million, and has paid Lithium Americas $25 million in exchange for payments corresponding to the minerals produced and gross revenue generated by Thacker Pass. It has also committed an additional $30 million in senior unsecured convertible notes available through a delayed draw facility.
The investment satisfies all remaining requirements from both the U.S. Department of Energy and GM to satisfy all remaining equity capital fundraising requirements under the previously announced $2.26 billion loan from the DOE.
With the Investment, Lithium Americas has achieved fully funded status for the development of Phase 1 of Thacker Pass at the project and corporate level for the duration of construction.
The JV Partners announced FID for construction of Phase 1 of Thacker Pass. Completion of Phase 1 of Thacker Pass is targeted for late 2027.
“Today marks another important milestone in our journey to bring Thacker Pass to production. With our JV Partner, GM, we announced FID for Phase 1 alongside our other exceptional partners – the U.S. DOE and Orion. Together, we will develop a U.S.-produced lithium supply chain to reduce American dependence on foreign suppliers for critical minerals,” said Jonathan Evans, Lithium Americas President and CEO.
Thacker Pass hosts the largest known measured lithium resource (measured and indicated) and reserve (proven and probable) in the world. Lithium Americas holds a 62% interest and is the manager of the project; GM holds a 38% interest.
Source: lithiumamericas.com