GM to help Lithium Americas unlock Thacker Pass

Lithium Americas and General Motors have entered into a new investment agreement, which establishes a joint venture to bring the Thacker Pass lithium mine in Humboldt County, Nev., on line.

Under the terms of the deal, GM will deliver US$625 million of cash and letters of credit to Thacker Pass alongside a conditional commitment of a $2.3 billion Department of Energy loan. The automotive manufacturer will also acquire a 38% asset-level ownership stake in the mine.

“Our relationship with GM has been significantly strengthened with this joint venture as we continue to pursue a mutual goal to develop a robust domestic lithium supply chain by advancing the development of Thacker Pass,” said Jonathan Evans, President and CEO of Lithium Americas. 

Upon closing of the JV transaction, GM will enter into an additional 20-year offtake agreement for up to 38% of production volumes from Phase 2 of Thacker Pass and will retain its right of first offer on the remaining balance of Phase 2 volumes. It currently has an offtake agreement for 100% of production volumes from Phase 1 for 20 years.

Thacker Pass is situated at the southern end of the McDermitt Caldera, approximately 60 miles northwest of Winnemucca in northern Nevada.

Source: Lithium Americas

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