U.S. government takes stake in Canadian lithium miner and its Nevada mining project
The U.S. Department of Energy has taken equity stakes in Canadian company Lithium Americas and its Nevada mining joint venture with General Motors as part of a renegotiation of a federal loan. Under the new terms, the U.S. government will take a 5% equity ownership in Lithium Americas and a 5% ownership in the Lithium Americas-GM joint venture. The equity stakes will be acquired through no-cost warrants, which are financial instruments that give the government the right to purchase shares at a set price. The new terms came out of a renegotiation with the DOE’s Loan Programs Office over a $2.26 billion loan that was awarded to Lithium Americas under the Biden Administration. Shares of Lithium Americas spiked 34% in after-hours trading. The DOE said the equity stakes will…
