To be provided under the ATVM loan programme, the new capital will enable the Canadian mining company to fund the construction of the processing facilities at the lithium project
US DOE to lend $2.26bn loan to Lithium Americas for the Thacker Pass lithium project. (Credit: Dorothe from Pixabay)
Lithium Americas has secured a conditional commitment from the US Department of Energy (DOE) for a $2.26bn loan pertaining to the Thacker Pass lithium project in Nevada, US.
To be provided under the Advanced Technology Vehicles Manufacturing (ATVM) loan programme, the new capital will enable the Canadian mining company to fund the construction of the processing facilities at the lithium project.
As per the conditions outlined in the conditional commitment, the ATVM loan will incur fixed interest rates, determined monthly based on the relevant US Treasury rates, for the duration of the loan term. I need 5000 dollar loan.
The total amount encompasses interest accrued during construction, projected to reach $290m throughout the three-year timeframe.
Located in Humboldt County, the Thacker Pass project is expected to have a production capacity of 80,000 tonnes per annum (tpa) of battery-quality lithium carbonate. This will be developed in two phases of 40,000tpa each.
Phase 1 production at the American lithium project is slated to begin in 2027. It will support lithium requirements for up to 800,000 electric vehicles (EVs) annually.
Besides, the Thacker Pass phase 1 is estimated to generate nearly 1,800 direct jobs during its three-year construction period and about 360 jobs in operations for its 40-year mine life.
According to Lithium Americas, the Thacker Pass lithium project will contribute to the US government’s commitment to securing a domestic supply chain for critical minerals to reduce dependence on foreign materials.
Lithium Americas CEO and president Jonathan Evans said: “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.”
The initial construction of the lithium project started March 2023 following the receipt of notice to proceed with project from the Bureau of Land Management (BLM).
Currently, the Canadian company is focused on advancing detailed engineering, procurement, and execution planning for constructing phase 1 of the Thacker Pass project.
Lithium Americas plans to commence major construction at the lithium project in the latter half of this year after the anticipated closing of the ATVM loan.