According to two sources with insider knowledge of the situation, the Trump administration is currently in the process of renegotiating the terms of a $2.26 billion loan from the Department of Energy. This loan pertains to the Thacker Pass lithium mine project, a collaborative venture between Lithium Americas and General Motors. In addition to renegotiating the loan terms, the administration is also seeking to secure an equity stake of up to 10% in Lithium Americas.

News of these developments triggered a significant market response. On Wednesday, during pre-market trading, shares of Lithium Americas experienced a remarkable surge, climbing over 80%. The stock price jumped from roughly $3 per share to $5.57.

The Thacker Pass lithium mine holds great promise. It is slated to begin production in 2028 and is projected to emerge as the largest lithium resource producer in the Western Hemisphere. Construction at the mine has been in full swing for nearly a year now. The construction site is strategically located about 25 miles south of the Nevada-Oregon border. Currently, over 600 contractors are diligently working on-site to bring this ambitious project to fruition.