Lithium Americas Reveals $3.83B Plan for Thacker Pass Project
Lithium Americas shares dip despite progress on Thacker Pass, targeting major lithium production by 2028.
Stock Movement Amid Project Development
Lithium Americas Corp. (LAC) has seen its stock price decline by 12.70%, settling at $1.65, which is a drop of $0.24. The stock made a slight recovery, rising 1.77% in after-hours trading to $1.6792. This shift occurred as the company disclosed its ambitious $3.83 billion construction plan for the Thacker Pass lithium project located in Nevada.
With the aim of achieving mechanical completion by late 2027, the company plans to ramp up production throughout the year 2028. Once fully operational, the Phase 1 project is designed to generate around 40,000 tonnes of battery-grade lithium carbonate annually, essential for electric vehicles and energy storage systems.
Thacker Pass Development Timeline
Despite the stock's downward trend, the report on Thacker Pass's construction progress revealed a robust timeline and evolving workforce at the site. Building activities continue across multiple key facilities as the company prepares to meet growing demand for battery materials.
As of September 30, the project site has logged an impressive 4.7 million work hours without serious incidents. The workforce currently stands at approximately 1,900, comprising over 1,600 craft workers, with expectations to increase to about 2,200 by the end of 2026.
The detailed engineering work has been completed, and equipment procurement has surpassed 90% as of the end of September. The company anticipates that final deliveries of equipment and bulk materials will occur by the end of this year. Additionally, contractors have secured over 80% of their contracts, with significant expenditures already incurred.
Logistics and Rail Terminal Construction
A crucial aspect of the Thacker Pass operations is the development of a rail terminal to facilitate transportation of materials and future production. The company has been actively awarding equipment contracts to minimize risks associated with their construction schedule. Progress is well underway at the processing facilities, contributing to the anticipated mechanical completion and eventual lithium carbonate production.
As of August, crews received all major structural steel required for the project, and by late October, 80% of fabricated piping materials had been either delivered to the site or were in transit. These components are vital for continuing installation work at the processing plant and its associated buildings.
In a strategic move to support operations, development at the transload terminal, located west of Winnemucca, is equally advancing. The rail stabilization and sub-ballast components of the terminal construction are reported to be 95% complete by the third quarter, along with initial concrete placement.
Lithium Americas is aiming for terminal completion in 2027. This infrastructure will be crucial for the effective delivery of reagents, bolstering operations at Thacker Pass as they prepare for an exciting future in lithium production.