Powering Up: US Stakes Claim in Lithium Riches

The US government is investing in Lithium Americas, acquiring a 5% stake to boost domestic lithium production. The agreement, supported by both political parties, aims to decrease reliance on China by securing critical materials to power high-tech batteries, vital for electric vehicles and renewable energy advancements.

The US government has announced its acquisition of a minority stake in Lithium Americas, a company at the forefront of developing one of the largest lithium mines globally, situated in Nevada.

The Department of Energy's 5% equity stake in the miner and the Thacker Pass project, in partnership with General Motors, prioritizes reducing America's dependence on China for lithium, a crucial component for high-tech batteries. The venture has received bipartisan support from both Republicans and Democrats.

Energy Secretary Chris Wright emphasized that the agreement strengthens domestic supply chains, ensuring responsible management of taxpayer dollars, while shares in Lithium Americas surged over 30% following the announcement.

(With inputs from agencies.)