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Lithium Americas stock pops more than 30% as government takes a stake to boost Nevada project
CNBCยท 2025-09-30 22:35
Core Insights - The U.S. Department of Energy plans to acquire a 5% equity stake in Lithium Americas Corp. and an additional 5% stake in the Thacker Pass lithium project, indicating a significant government interest in the lithium supply chain [2][3] - Lithium Americas shares surged over 35% following the announcement of the U.S. government's investment, reflecting strong market reaction to the news [1] - Thacker Pass is projected to be one of North America's largest lithium sources, with operations expected to commence in late 2027 [2] Company Overview - Lithium Americas Corp. is involved in the development of the Thacker Pass lithium mine in northern Nevada, which is anticipated to play a crucial role in the U.S. lithium supply [1][2] - The company is publicly traded on both the Toronto Stock Exchange and the NYSE, but it is incorporated in Canada [3] Industry Context - The U.S. government's investment in Lithium Americas represents a strategic move to secure direct ownership in the mineral supply chain, which is vital for U.S. interests, particularly in the context of electric vehicle production and renewable energy [3] - General Motors holds a minority stake in the Thacker Pass project, highlighting the involvement of major automotive players in the lithium supply chain [2]