Lithium Americas (NYSE : LAC ) and automaker GM (NYSE : GM) have closed off their joint venture (JV) agreement for the controversial development of Thacker Pass in Nevada, the largest lithium deposit in the United States.
The moves brings the giant 217Mt hard rock lithium deposit - which sits in an extinct supervolcano near the Nevada-Oregon border and had been subject to four lawsuits by environmentalists and indigenous groups that eventually failed last year - closer to development.
Once those battles were won, Lithium Americas, GM and the U.S. government sweeped in to fund the multi-billion project, with the U.S. Department of Energy pouring in $2.6 billion in loan funding in efforts to shore up domestic supplies of the critical mineral.
Under the JV, Lithium Americas will control 62% of the project and manage its development, with GM contributing US$625 million to gain a 38% stake.
“Together, Lithium Americas and GM are focused on bringing Thacker Pass to production to significantly improve domestic output of critical lithium supply to reduce dependence on foreign suppliers and to start creating new jobs and bringing economic activity to northern Nevada,” Lithium Americas CEO Jonathan Evans said.
“We are targeting to announce the final investment decision in early 2025 [and] engineering, procurement and construction management contractor, Bechtel, and other major contractors have been ramping up work at site to de-risk the construction schedule, as we continue to target completion in late 2027.”
Thacker Pass is expected to be in first-phase production later this decade and produce 40,000tpa of battery-grade lithium carbonate - enough batteries for ~800,000 EVs.