Sport Investors League
  • Politics
  • Stocks
  • Investing
  • Business

Sport Investors League

  • Politics
  • Stocks
  • Investing
  • Business
Business

GM to invest $625 million in joint venture to mine EV battery raw materials in U.S.

by admin October 18, 2024
October 18, 2024
GM to invest $625 million in joint venture to mine EV battery raw materials in U.S.

DETROIT — General Motors has agreed to establish a joint venture with Lithium Americas Corp. that includes the automaker supplying $625 million in cash and credit to the Canadian mining business, the companies announced Wednesday.

The deal is centered on the development, construction and operation of a lithium carbonate mining operation called Thacker Pass in Humboldt County, Nevada. Lithium is a key component for batteries that power electric vehicles.

Securing raw materials such as lithium from the U.S. is crucial to GM’s plans to profitably grow its all-electric vehicle business and meet tightening federal requirements for incentives to produce and sell the vehicles and the large batteries needed to power them.

“We’re pleased with the significant progress Lithium Americas is making to help GM achieve our goal to develop a resilient EV material supply chain,” Jeff Morrison, GM senior vice president of global purchasing and supply chain, said in a release. “Sourcing critical EV raw materials, like lithium, from suppliers in the U.S., is expected to help us manage battery cell costs, deliver value to our customers and investors, and create jobs.”

The announcement sent shares of Lithium Americas roughly 10% higher in early trading Wednesday to around $3. The stock had jumped more than 20% during premarket trading on the agreement, which had previously been announced as an equity deal.

GM will have a 38% interest in Thacker Pass, according to the release. The joint venture investment is expected to include $330 million cash to be contributed on the date of its closing; $100 million cash to be contributed at a “final investment decision” for a phase of the project; and a $195 million letter of credit facility prior to first draw on the $2.3 billion Department of Energy Loan.

“Our relationship with GM has been significantly strengthened with this joint venture as we continue to pursue a mutual goal to develop a robust domestic lithium supply chain by advancing the development of Thacker Pass,” Lithium Americas CEO Jonathan Evans said in a release.

The joint venture is in addition to GM’s $320 million investment into Lithium Americas in February 2023. The investment included GM acquiring approximately 15 million common shares of Lithium Americas.

In August, GM and Lithium Americas agreed to delay a second tranche investment worth $330 million in the miner to explore alternative structures for the investment.

This post appeared first on NBC NEWS

0
FacebookTwitterGoogle +Pinterest
previous post
Disney rolls out line-skipping park passes costing up to $449
next post
ASML Lowers 2025 Guidance, Triggering Chip Stock Losses

Related Posts

Lego is reinventing its iconic brick sets and...

December 25, 2024

Walmart fined for shipping realistic toy guns to...

May 29, 2025

YouTube will stream NFL Week 1 game in...

May 16, 2025

Mike Tyson, Jake Paul fight was the most...

November 21, 2024

FTX exec who turned on Sam Bankman-Fried sentenced...

May 30, 2024

Renters’ hopes of being able to buy a...

May 8, 2024

Disney rolls out line-skipping park passes costing up...

October 18, 2024

5 new Uber features you should know —...

May 15, 2025

CFPB sues America’s largest banks for ‘allowing fraud...

December 21, 2024

TikTok parent company dismisses intern who it says...

October 22, 2024

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent

    • Lagging Mid-cap ETF Hits Moment of Truth

      June 24, 2025
    • The Best Five Sectors, #24

      June 24, 2025
    • This Week’s Earnings Watch: Turnarounds and Momentum Plays

      June 24, 2025
    • AI Stocks Ignite Again—Where Smart Money is Heading Next

      June 24, 2025
    • Iran retaliates with missile attack on US base in Qatar, Pentagon reports no casualties

      June 24, 2025

    Categories

    • Business (994)
    • Investing (2,452)
    • Politics (3,047)
    • Stocks (1,091)
    • About us
    • Contact us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: sportinvestorsleague.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 sportinvestorsleague.com | All Rights Reserved