Lithium Americas provides update on General Motors investment

Lithium Americas (LAC) announced the company and General Motors (GM) have agreed to extend the outside date for the second tranche subscription agreement until the end of the year. Along with the extension, GM has reaffirmed its intention to complete the additional $330M investment to support development of Thacker Pass, which is the largest known Measured and Indicated lithium resource in North America. The company said, “During this time, the parties will explore alternative structures for GM’s additional investment in a mutually beneficial manner. As such, the Company has agreed to forbear making a unilateral election to close the second tranche investment until December 20, 2024, to provide time for such discussions to take place. GM’s investment is subject to the conditions precedent set forth in the second tranche subscription agreement, including the execution of the loan agreement for the $2.26 billion loan from the U.S. Department of Energy (“DOE”) under the Advanced Technology Vehicles Manufacturing (“ATVM”) Loan Program for which the DOE provided a conditional commitment (the “DOE Loan”). The unilateral election of the Company to close the second tranche investment after December 20, 2024, must be accompanied by the grant to GM of additional rights related to Phase 21 of Thacker Pass. The Company continues to work closely with the DOE and expects to close the DOE Loan and additional GM investment by the end of the year.”