Lithium Americas
Summary
- Lithium Americas is focused on advancing Thacker Pass to production.
- Lithium Americas is developing the 100%-owned Thacker Pass project located in Humbolt Nevada which has largest known lithium resource.
- The project started in 2023 and having a target of initial production in late 2026.
Lithium Americas is focused on advancing Thacker Pass to production. Lithium Americas is developing the 100%-owned Thacker Pass project located in Humbolt Country in northern Nevada, which hosts the largest known Measured and Indicated lithium resource in the United States. The project commenced construction in early 2023, with a target of initial production in late 2026.
Recent Developments
Lithium Americas Closes Separation to Create Two Leading Lithium Companies1
Oct. 03, 2023; Lithium Americas Corp is now Lithium Americas (Argentina) Corp. (“Lithium Argentina”) (TSX: LAAC) (NYSE: LAAC) and a new Lithium Americas Corp. (“Lithium Americas (NewCo)”) (TSX: LAC) (NYSE: LAC) announced the completion of the reorganization of Lithium Americas into two independent publicly traded companies.
At the start of trading on Wednesday, October 4, 2023, Lithium Argentina Shares and Lithium Americas (NewCo) Shares will commence trading on the TSX and NYSE on a regular-way basis under the ticker symbols “LAAC” and “LAC,” respectively.
Lithium Argentina owns a 44.8% interest in the Caucharí-Olaroz project located in Jujuy, Argentina. The company is focused on advancing its Caucharí-Olaroz project toward full production capacity and exploring regional growth opportunities in the Pastos Grandes basin with its Pastos Grandes and Sal de la Puna projects (100% and 65% owned, respectively).
Financial Highlights
Q3 2023 Financial Results
Nov. 09, 2023; Net income of $9.0 million for the nine months ended September 30, 2023, compared with net loss of $44.3 million for the prior year to date.2
Exploration and evaluation expenditures for the nine months ended September 30, 2023 decreased to $3.9 million compared with $31.2 million for the nine months ended September 30, 2023. The current year to date period includes Thacker Pass exploration expenditures for the month of January 2023, after which construction commenced on February 1, 2023 and a majority of the project costs from February 1, 2023 were capitalized.
Transaction costs for the nine months ended September 30, 2023 increased to $9.3 million from $Nil in the prior year to date period due to transaction costs associated with the Separation and completion of the General Motors warrant agreement which both occurred in 2023. Loss on change in fair value of investment in Green Technology Metals for the nine months ended September 30, 2023 increased to $3.9 million from $3.5 million in the prior year to date period. Gain on change in fair value of investment in Acend Elements for the nine months ended September 30, 2023 increased to $3.6 million from $Nil in the prior year to date period. Finance costs for the nine months ended September 30, 2023 decreased to $0.3 million from $3 million in the prior year to date period reflecting interest expense on the loan from Old LAC.
As at September 30, 2023, the Company had cash and cash equivalents of $200.5 million (December 31, 2022 – $0.6 million) which includes the remaining net proceeds of the Tranche 1 Investment. On October 3, 2023, an additional $75 million in cash was transferred from Old LAC to New LAC to establish sufficient working capital for New LAC, pursuant to the Plan of Arrangement.
Company Overview
LAC is a Canadian-based resource company focused on the advancement of significant lithium projects. The company's flagship project is Thacker Pass, located in northwestern Nevada, USA. Thacker Pass is a sedimentary-based lithium deposit located in the McDermitt Caldera in Humboldt County, Nevada. The Company owns 100% of Thacker Pass through its wholly-owned subsidiary, Lithium Nevada Corp. The Company also holds investments in Green Technology Metals Limited and Ascend Elements, Inc. and exploration properties in the United States and Canada.
The Mineral Reserve estimate for Thacker Pass of 3.7 million tonnes (“Mt”) of LCE grading at 3,160 parts per million (“ppm”) lithium (“Li”) of Proven and Probable (“P&P”), comprised of 3.3 Mt LCE Proven Reserves at 3,180 ppm Li and 0.4 Mt LCE of Probable Reserves at 3,010 ppm Li.
The Thacker Pass Project
The Thacker Pass Project is located within an extinct 24x18 mile (40x30km) supervolcano named McDermitt Caldera, which was formed approximately 16.3 million years ago (Ma) as part of a hotspot currently underneath the Yellowstone Plateau. Following an initial eruption and concurrent collapse of the McDermitt Caldera, a large lake formed in the caldera basin. This lake water was extremely enriched in lithium and resulted in the accumulation of lithium-rich clays called smectite throughout the whole caldera.
