- Lithium Americas Corp. (TSX:LAC) and the U.S. DOE finalized amendments to a US$2.23 billion loan for the Thacker Pass project, including a US$184 million debt service deferral and a US$120 million reserve contribution.
- In exchange, the DOE will receive warrants for a 5 per cent equity stake in Lithium Americas and a 5 per cent economic interest in the Thacker Pass JV with GM.
- The company also completed its at-the-market equity program, raising nearly US$100 million to support project development and corporate initiatives
- Lithium Americas stock (TSX:LAC) last traded at C$11.55
Vancouver-based Lithium Americas (TSX:LAC) has finalized an agreement with the U.S. Department of Energy (DOE) on key amendments to its US$2.23 billion loan for the construction of processing facilities at the Thacker Pass lithium project in northern Nevada. The amendments, which are expected to become effective if certain conditions are met within the coming week, mark a significant milestone in the development of one of North America’s largest lithium resources.
Under the revised terms released in a media statement, the DOE will defer US$184 million in scheduled debt service obligations from the first five years of repayment to the remaining years of the loan’s maturity. This deferral will be formalized through an amendment to the promissory note issued by Lithium Nevada LLC, a wholly owned subsidiary of Lithium Americas, in favor of the Federal Financing Bank of the United States.
In addition, Lithium Americas will contribute an additional US$120 million to DOE loan reserve accounts, to be funded within 12 months of the amendment’s effective date. These reserves are intended to bolster the financial stability of the Thacker Pass project during its early construction phase.
As consideration for the deferral, the DOE will receive:
- A 5 per cent equity stake in Lithium Americas through warrants to purchase common shares at an exercise price of US$0.01 per share.
- A 5 per cent economic interest in the Thacker Pass joint venture (JV) with General Motors (NYSE:GM), via warrants to purchase non-voting, non-transferable equity units of the JV at an exercise price of US$0.01 per unit.
These warrants and JV units remain subject to customary conditions, including the execution of definitive documents and corporate approvals.
In a related development, the JV and General Motors have amended GM’s lithium offtake agreement with Lithium Nevada. The amendment allows Lithium Nevada to enter into additional third-party offtake agreements for production volumes not forecasted to be purchased by GM. This move is expected to enhance commercial flexibility and broaden market access for Thacker Pass lithium output.
Equity program completed
Lithium Americas also announced the successful completion of its previously disclosed at-the-market (ATM) equity program. As of October 1, 2025, the company sold 26,921,629 common shares, raising gross proceeds of US$99,999,988.75. The funds will support general corporate purposes and provide additional liquidity for the Thacker Pass development.
The company’s financial advisors for the DOE transaction included Goldman Sachs & Co. (NYSE:GS), with legal counsel provided by Vinson & Elkins LLP (U.S.) and Cassels, Brock & Blackwell LLP (Canada). TD Securities (USA) LLC and TD Securities Inc. under Toronto-Dominion Bank (TSX:TD) acted as agents for the ATM program.
Thacker Pass is jointly owned by Lithium Americas (62 per cent) and GM (38 per cent) and is expected to produce 40,000 tonnes per year of battery-grade lithium carbonate in Phase 1. Construction is underway, with nearly 2,000 direct jobs anticipated, including 1,800 skilled contractors.
About Lithium Americas
Lithium Americas is developing its world-class Thacker Pass project in Nevada towards production.
Lithium Americas stock (TSX:LAC) last traded at C$11.55 and has risen more than 17 per cent since this news was first reported last week. Since this time last year, its stock has risen more than 200 per cent.
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