One of the largest lithium projects in North America is now officially being backed by a mega loan from the United States Department of Energy.
What’s happening:
- Lithium Americas (NYSE: LAC) has officially received $2.26B USD in funding from the United States Department of Energy for their Thacker Pass lithium project in located Nevada
Why it matters:
- This is the single largest loan that the United States Department of Energy has ever given to a publicly listed lithium company
- Once fully constructed and operational, Thacker Pass has the potential to be the single largest source of supply of battery grade lithium carbonate in all of North America
Going deeper:
- General Motors (NYSE: GM) just recently cut a new deal with Lithium Americas for a joint venture in which General Motors will inject $625M USD into the Thacker Pass project in exchange for a large equity stake and supply agreement
- Ioneer (NASDAQ: IONR) just recently won a highly anticipated approval from United States Bureau of Land Management to officially bring their Rhyolite Ridge lithium-boron mine into production, which also happens to be located in Nevada
The intrigue:
- Landing loans for the build out of new lithium projects has been starting to become a more frequent occurrence for publicly listed companies, notably with Sigma Lithium (NYSE: SGML) receiving a cash infusion from the Brazilian Bank For Economic and Social Development for a new lithium production facility based in Brazil
