Lithium Americas Stock Price, News & Analysis

Lithium Americas (NYSE: LAC) reported its 2024 full-year results and provided updates on its Thacker Pass lithium project. The company ended 2024 with $594.2 million in cash and capitalized $179.9 million in construction costs.

Key developments include:

• A $250 million strategic investment from Orion Resource Partners
• Closure of a $2.26 billion DOE loan for Phase 1 construction
• Formation of a joint venture with GM worth $625 million, giving GM a 38% stake
• Completion of a $275 million public offering of 55 million shares

The Thacker Pass project is advancing with over 55% detailed engineering completion. The updated mineral reserve estimate shows 14.3 million tonnes of lithium carbonate equivalent, supporting an expansion plan targeting 160,000 tonnes per year production capacity with an 85-year mine life. Production is targeted for late 2027.

Lithium Americas (NYSE: LAC) has secured a strategic $250 million investment from Orion Resource Partners for the Thacker Pass lithium project in Nevada. The investment includes $195 million in convertible notes, a $25 million Production Payment Agreement, and a commitment for $30 million in additional notes within two years.

The deal is expected to close by March 10, 2025, fully funding Phase 1 construction through completion in late 2027. The convertible notes will mature in 2030 with a 9.875% annual interest rate and an initial conversion price of $3.78 per share.

Under the Production Payment Agreement, Orion will receive fixed payments of $128-152 per tonne of lithium processed and 0.96-1.14% of gross revenue, capped at 41,500 tonnes annually. The investment satisfies requirements from both the U.S. Department of Energy's $2.26 billion loan and General Motors, with first DOE loan draw expected in Q3 2025.

NACCO Industries (NYSE: NC) reported strong financial performance for Q4 and full-year 2024. Q4 operating profit reached $3.9 million with net income of $7.6 million, while Q4 Adjusted EBITDA increased 26.8% to $9.0 million compared to Q4 2023.

Full-year 2024 highlights include:

• Net income of $33.7 million ($4.55/share) versus 2023 net loss of $39.6 million
• Adjusted EBITDA of $59.4 million, up 116% from 2023
• Cash position of $72.8 million with $99.5 million total debt
• $6.6 million paid in dividends and 317,000 shares repurchased for $9.9 million

The improvement was primarily driven by better performance in Coal Mining and North American Mining segments. For 2025, NACCO expects modest year-over-year increase in consolidated operating profit, with solid customer demand in Coal Mining and improved results anticipated in North American Mining.

Lithium Americas (TSX: LAC) (NYSE: LAC) has appointed Luke Colton as Executive Vice President and Chief Financial Officer, effective January 29, 2025. Colton brings over two decades of global financial and mining experience to LAC as the company prepares for major construction at Thacker Pass in 2025.

Colton's most recent role was CFO at Minova International (2023-2024). Previously, he served as CFO at Turquoise Hill Resources for over five years, where he was also a director of Oyu Tolgoi, overseeing a multi-billion-dollar copper mine development in Mongolia. His experience includes CFO positions at Richards Bay Minerals and various senior roles at Rio Tinto. Colton, who started his career at Ernst & Young, holds a Masters of Accountancy from Brigham Young University.

Lithium Americas (LAC) announced significant increases in mineral resources and reserves for its Thacker Pass lithium project in Nevada. The project now holds the world's largest measured lithium reserve with 14.3 million tonnes of lithium carbonate equivalent (LCE) at 2,540 ppm lithium, representing a 286% increase from November 2022.

The company plans a five-phase expansion targeting 160,000 tonnes per year of battery-quality lithium carbonate production, with four phases of 40,000 t/y each. The project economics show an average annual EBITDA of $2.2 billion for the first 25 years, with after-tax NPV of $5.9 billion at 8% discount and 19.6% IRR. Total capital costs for all phases are estimated at $12.4 billion.

Phase 1 construction started in early 2023, with completion targeted for late 2027. The project is expected to create nearly 2,000 construction jobs and 350 full-time operational positions for Phase 1, growing to approximately 1,100 full-time employees over the life of mine.

Lithium Americas (LAC) has finalized its joint venture with General Motors (GM) for the Thacker Pass lithium project in Nevada. LAC retains a 62% controlling interest while GM acquires a 38% stake for $625 million, consisting of $430 million in direct cash funding and a $195 million letter of credit facility. GM has already contributed $330 million, alongside LAC's $138 million. The remaining contributions ($100 million from GM and $181 million from LAC) will be made at the final investment decision, targeted for early 2025.

The project aims to produce battery-quality lithium carbonate for North American supply chains, with completion targeted for late 2027. The previously announced $2.26 billion U.S. Department of Energy loan terms remain unchanged, with first draw expected mid-2025.

Lithium Americas (NYSE: LAC) reported Q3 2024 financial results, highlighting significant progress at Thacker Pass. The company closed a $2.26 billion DOE loan for constructing processing facilities aimed at producing 40,000 tonnes annually of battery-grade lithium carbonate. A new joint venture with GM was established, bringing $625 million in cash and letters of credit for a 38% stake in Thacker Pass. The company reported $341.2 million in cash and equivalents as of September 30, 2024, with a net loss of $20.3 million for the nine months ended September 30, 2024. Project engineering is approximately 40% complete, with $34.4 million in construction costs capitalized during Q3.

NACCO Industries reported strong Q3 2024 results with operating profit of $19.7 million compared to a $6.3 million loss in Q3 2023. Net income reached $15.6 million versus a $3.8 million loss last year. The improvement was primarily driven by $13.6 million in business interruption insurance recoveries and better performance in Coal Mining and Minerals Management segments. At quarter-end, the company had $63.1 million in cash and $70.2 million in total debt. The company repurchased approximately 68,000 shares for $2.0 million and amended its revolving credit facility to increase commitments to $200.0 million with extended maturity to September 2028.

Lithium Americas (NYSE: LAC) has secured a $2.26 billion loan from the U.S. Department of Energy for its Thacker Pass project in Nevada. The loan includes $1.97 billion in principal and $290 million in capitalized interest during construction. This financing, combined with General Motors' $625 million investment for a 38% stake in the project, will fund Phase 1 development targeting 40,000 tonnes per annum of battery-quality lithium carbonate production by 2027. The project is expected to create 1,800 construction jobs and 360 permanent positions, with potential to support lithium needs for up to 800,000 EVs annually.