What are the latest updates at Thacker Pass?

The US District Court, District of Nevada has scheduled an oral hearing for the appeal of the issuance of the Record of Decision (ROD) for Thacker Pass for January 5, 2023. We hope to receive a ruling shortly thereafter, in the meantime, the team has been moving ahead with pre-construction activities, including the selection of an engineering, procurement and construction management firm, and the hiring of key construction personnel to execute the development and construction plan for Thacker Pass. We are also evaluating potential investment, partnership and supply agreements to support the development of a North American supply chain. In addition, we continue to progress with the US Department of Energy Advanced Technology Vehicles Manufacturing loan program application.

Lithium Americas’ Lithium Technical Development Center (LiTDC) in Reno continues to operate based on the Thacker Pass flowsheet, processing raw ore to final battery-quality lithium carbonate. As of September 2022, over 100 t of lithium ore were collected at Thacker Pass to feed the LiTDC to produce product samples for potential customers and partners. The LiTDC is also conducting ongoing test work to de-risk each step of the flowsheet, with results continuing to be in line with expectations. We are targeting the completion of a feasibility study (FS) for Q1 2023. The FS will reflect ongoing feedback from the strategic partnership and financing process, incorporate results of LiTDC operations and align with the anticipated timing of the ROD appeal ruling.

What was the decision-making process behind the recently announced split of Lithium Americas into two lithium firms?

After months of review, we have decided to advance with a separation. We have two industry-leading lithium operations that are potential near-term solutions in addressing the global supply deficit; both are distinctly different in terms of market dynamics, funding requirements, and path to full production. A separation would facilitate unlocking the full potential of each region’s significant asset base to maximize value for shareholders and all stakeholders, as well as accelerate long-term growth by being able to grow and scale more quickly if independent.

Can you expand on Lithium Americas’ community initiatives in Nevada?

In October 2022, we signed a Community Benefits Agreement (CBA) with the Fort McDermitt Paiute and Shoshone Tribe, the closest tribe to Thacker Pass at around 60 kilometers away, to establish a framework for continued collaboration and define long-term benefits for the Tribe. The CBA is a product of years of engagement, job training, and relationship-building between the Company and the Tribe. The CBA provides the Tribe with additional training and employment opportunities and support for cultural education and preservation. Furthermore, we have agreed to build an 8,000 square feet community center for the Tribe that includes a daycare, preschool, playground, cultural facility, and communal greenhouse to support reclamation efforts and provide income for the Tribe.

To what extent will Thacker Pass leverage new technologies?

Thacker Pass is being designed for low-water consumption, heavily relying on water recycling to meet its needs. The operation will be a Zero Liquid Discharge facility, which is intended to prevent the discharge of industrial wastewater into the environment. This is an extensive commitment because it means all water that is filtered from tailings must be evaporated or recycled for reuse within the site’s production process. Thacker Pass will be reusing or recycling every drop of water over seven times, with an average recycling rate of 86%. The operation will also filter stack tailings, which is considered the most sustainable method of storing tailings.

The on-site sulfuric acid plant that will self-generate carbon-free energy for the processing plant through waste heat is designed to include a sulfur dioxide tail gas scrubber, a leading-class technology to minimize emissions and improve air quality. We are also exploring by-product options for some of the other minerals like magnesium sulfate found in the host clays.

What efforts must the industry and policymakers take to secure the US lithium supply chain?

Earlier this year, passing the Inflation Reduction Act (IRA) was a crucial step in enabling the North American battery industry to support building a domestic EV supply chain. Awarding grants and loans to boost US manufacturing of EV batteries and domestic mineral production is a key step of support. We’re starting to see more investment throughout the EV supply chain and anticipate this to continue.