Lithium Americas raises Thacker Pass estimate to $3.83 billion — The National

Canadian company Lithium Americas has raised the estimated cost of its flagship Thacker Pass lithium project in Nevada, United States, to $3.83 billion. This is 31% higher than the previous estimate. As The National reports, the revised budget includes an additional $895 million in capital expenditures.

Reasons for the budget revision

The company explained the higher costs by increased expenses for labor, construction and logistics. In particular, rates for installing pipelines, steel structures and equipment increased the estimate by $245 million. Tariffs and logistics costs added another $100 million.

According to Lithium Americas' estimate, the project's total financing needs have increased by approximately $995 million. The company plans to cover the additional amount through its own contributions and available reserves under a U.S. Department of Energy loan. During trading on Wednesday, Lithium Americas shares fell by more than 8%.

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Launch plans and production

Lithium Americas CEO Jonathan Evans said that construction of the first phase of Thacker Pass is scheduled for the end of 2027, with the pace of work expected to increase in 2028. The mine is a joint venture with General Motors and is among the largest known lithium deposits in the United States.

Once it reaches full capacity, Thacker Pass is expected by the company to produce 40,000 tonnes of battery-grade lithium carbonate annually. This raw material is used in the production of batteries for electric vehicles. Currently, the only operating commercial lithium mine in the United States is Silver Peak, which accounts for about 1% of global production.

In September 2025, the U.S. Department of Energy received a 5% stake in Lithium Americas and another 5% in the form of warrants in the Thacker Pass joint venture as part of the restructuring of a multibillion-dollar loan.