The federal government has agreed to acquire an equity stake in Vancouver-based Lithium Americas and its Thacker Pass lithium mine in Nevada.
Energy Secretary Chris Wright said Tuesday the government would take a 5 percent equity stake in the project aimed at producing lithium — a silvery-white metal largely used to make EV batteries — to ensure the work is viable as China drives down prices.
The deal was forged alongside General Motors and lays the path for Lithium Americas to draw on a previously agreed upon $2.23 billion loan while protecting taxpayers, he said. The loan was finalized last fall under the Biden administration to support construction of a lithium carbonate processing plant next to the mine.
Wright said DOE’s intervention will ensure the project is economically sound.
