Lithium Americas Raises Thacker Pass Cost Estimate to $3.83 Billion

Lithium Americas Corp. updated the definitive capital cost estimate for Phase 1 of its Thacker Pass lithium project in Humboldt County, Nevada, to $3.83 billion. This represents an increase from the previous estimate of $2.93 billion, driven by inflation in craft labor wages, higher installation rates for steel and piping, increased staffing needs for its EPCM contractor, and impacts from tariffs and logistics.

To address the $995 million funding gap, the company will use $650 million in joint venture contributions and $315 million from U.S. Department of Energy loan reserve accounts. Despite the cost escalation, the project remains on track for mechanical completion in late 2027, with commercial production expected to ramp up in 2028.

Once fully operational, the site is projected to produce 40,000 tonnes of battery-quality lithium carbonate annually. The project is being developed in a joint venture with General Motors Holdings LLC, with Bechtel serving as the engineering, procurement, and construction management contractor.