North America·NewsWashington takes stake in company building one of the world’s largest lithium mines as it races to catch up with ChinaBy Jessica CoacciBy Jessica CoacciSuccess FellowJessica CoacciSuccess FellowJessica Coacci is a reporting fellow at Fortune where she covers success.
Prior to joining Fortune, she worked as a ducer at CNN and CNBC.SEE FULL BIO The U.S.
government is taking a minority stake in a company that is one of the world’s largest lithium mines in northern Nevada.Associated PressThe U.S.
government is taking a minority stake in Lithium Americas, a company that is one of the world’s largest lithium mines in northern Nevada.
The Department of Energy will take a 5% equity stake in the miner, which is based in Vancouver.
It will also take a 5% stake in the Thacker Pass lithium mining ject, a joint venture with General Motors. Thacker Pass is considered crucial in reducing U.S.
reliance on China for lithium, a critical material used to duce the high batteries used in cell phones, electric vehicles and renewable energy.
Both Republicans and Democrats support the ject and narrowing the duction gap. China is the world’s largest lithium cessor. U.S.
Energy Secretary Chris Wright said in a statement that the deal with Lithium Americas “helps reduce our dependence on foreign adversaries for critical minerals by strengthening domestic supply chains and ensures better stewardship of American taxpayer dollars.” Thacker Pass is expected to duce 40,000 metric tons of battery-quality lithium carbonate per year in its first phase, enough to help power 800,000 EVs.
The equity stake in Lithium Americas is the example of the direct intervention by the Trump administration with .
The government is getting a 10% stake in Intel through the conversion of billions in previously granted government funds and pledges.
The administration spent $400 million of taxpayer money in July on MP Materials stock to make the U.S government the biggest owner in the Las Vegas rare earths miner.
Trump also made a deal with Nvidia and AMD to give the U.S. government a 15% cut of revenue from selling certain chips to China.
Lithium Americas said Wednesday that it reached a non-binding agreement in principle with the DOE to advance the first draw of $435 million on the federal loan.
The DOE has agreed to defer $182 million of debt service over the first five years of the loan.
The White House and Canada’s Lithium Americas seemed to be moving forward with the deal late last month, as both parties agreed on changes to an apximately $2.3 billion federal loan that could allow the ject to move forward to extract the silver-white metal used in electric vehicle batteries.
GM has pledged more than $900 million to help develop Thacker Pass, which holds enough lithium to build 1 million electric vehicles annually.
Dan Ives, an analyst with Wedbush, called Thacker Pass is a “massive opportunity” for the U.S. to reduce its reliance on China and other foreign adversaries for lithium.
“Despite having some of the largest deposits, the U.S.
duced less than 1% of the global lithium supply but this deal helps reduce dependence on foreign adversaries for critical minerals strengthening domestic supply chains and ensuring better stewardship of American taxpayer dollars with lithium duction set to grow exponentially over the coming years,” he wrote.
s of Lithium Americas spiked more than 30% Wednesday. Fortune Global Forum returns Oct. 26–27, 2025 in Riyadh.
CEOs and global leaders will gather for a dynamic, invitation-only event shaping the future of . Apply for an invitation.