The US Department of Energy (DoE) has granted Lithium Americas a conditional commitment loan of $2.26-billion to finance the construction of processing facilities at its Thacker Pass project, in Nevada.
The funding comes from the DoE’s Advanced Technology Vehicles Manufacturing (ATVM) loan programme.
“The ATVM loan conditional commitment announced today by the DoE is a significant milestone for Thacker Pass, which will help meet the growing domestic need for lithium chemicals and strengthen our nation’s security,” said Lithium Americas CEO Jonathan Evans on Thursday.
The loan, combined with automotive giant General Motors’ strategic investment of $650-million, will provide the vast majority of the capital necessary to fund Phase 1 of the project.
Thacker Pass is currently the largest known measured and indicated lithium resource in North America, targeting total production capacity of 80 000 t/y of battery-quality lithium carbonate to be developed in two phases of 40 000 t/y, respectively.
GM has exclusive offtake of 100% of the lithium production from Phase 1 for up to 15 years and has a right of first offer on Phase 2. Phase 1 production is expected to commence in 2027.
Material sourced from Thacker Pass will support electric vehicle eligibility for consumer incentives under the US clean energy tax credits programme.
“We deeply appreciate the US government’s support as we advance the responsible development of Thacker Pass, and we are excited to continue collaborating with all of our stakeholders to bring shared success for America,” said Evans.