Lithium Americas issues 2026 capex guidance for Thacker

Executive Summary

• Lithium Americas provided a comprehensive project update for its Thacker Pass lithium project in Nevada, detailing construction progress, safety metrics, and operational readiness for the year ended December 31, 2025.
• The company issued 2026 capital expenditure guidance, targeting a range of $1.3 billion to $1.6 billion for Phase 1 construction, while outlining key development milestones expected throughout 2026.
• Construction is well underway with peak employment expected to reach 1,800 skilled craftspeople by year-end 2026, with mechanical completion of the processing plant targeted for late 2027 and full ramp-up through 2028.

Key Details

• Construction Progress (Q4 2025):
  • Detailed engineering design was 93% complete as of Dec. 31, 2025.
  • Procurement was 60% complete as of Dec. 31, 2025.
  • Approximately 950 personnel were on site at the end of December 2025 (740 manual craft, 210 additional site workers).
  • Foundation, rebar, and concrete work continued at the filter building, magnesium sulphate building, and warehouse facilities.
  • Structural steel installation progressed at the filter building, magnesium sulphate building, and liquid sulphur tanks.
  • Installation of certain long-lead equipment commenced in Q4 2025.
  • Active hydroseeding of disturbed areas using native seeds was performed.
• Safety and Workforce:
  • 1.69 million work hours completed in 2025 with zero serious injuries or lost-time incidents.
  • Total recordable incident frequency rate was 0.21.
  • Peak construction employment is expected to reach roughly 1,800 skilled craftspeople by year-end 2026.
  • The Workforce Hub (WFH) became partially operational in September 2025; as of Feb. 13, 2026, it housed nearly 700 residents.
• Operations and Business Readiness (OBR):
  • The OBR team had 25 employees as of Dec. 31, 2025, with hiring expected to ramp up throughout 2026.
  • Key roles filled in 2025 included site operations director, lithium carbonate plant manager, sulphuric acid plant manager, maintenance manager, supply chain manager, training manager, and process superintendent.
  • The team is preparing safety plans, operating procedures, and multidisciplinary training programs.
  • Factory acceptance tests for key equipment and processes are ongoing.
• 2026 Capital Expenditure (Capex) Guidance:
  • Targeted capex range for Thacker Pass Phase 1 for fiscal year 2026: $1.3 billion to $1.6 billion.
  • This range excludes $8.0 million of community contributions required to be expensed under US GAAP (though included in the prior $2.93 billion technical report estimate).
  • Estimates include estimated tariff exposure for equipment/materials from Canada, China, India, UAE, Turkey, and the EU.
  • Approximately 75% of the capital project cost structure (labour, contractors, services) is not expected to be directly affected by tariffs.
  • Fiscal year 2025 capex spend will be disclosed in the Form 10-K for the year ended Dec. 31, 2025, expected to be filed on March 19, 2026.
• 2026 Development Milestones:
  • Major long-lead equipment (steam turbine generator, sulphuric acid plant stacks, cold interpass heat exchanger) expected to be delivered in the first half of 2026.
  • First of nearly 100 completed pipe rack modules delivered in early January 2026; remaining modules expected by mid-year.
  • First cable pulls on module pipe racks targeted for spring 2026.
  • Commissioning of the high voltage power line targeted for Q2 2026.
  • Definitive capital estimate expected to begin in the first half of 2026.
  • All main concrete at site expected to be completed in Q3 2026.
  • Early commissioning of individual plants expected to commence in Q4 2026.
  • Upgrading of six regional substations and switching stations expected to be completed in Q4 2026 to help energize the project.
• Project Overview:
  • Phase 1 designed for nominal production capacity of 40,000 tonnes per year of battery-quality lithium carbonate.
  • Mechanical completion targeted for late 2027.
  • Owned by a joint venture: Lithium Americas (62%) and General Motors Holdings LLC (38%).
  • Project financing includes a $2.23 billion loan from the U.S. Department of Energy (DOE) and strategic investments from GM and Orion Resource Partners LP.

Notable Quotes

• "Two thousand twenty-five was a pivotal year for Lithium Americas and the Thacker Pass project with phase 1 construction well under way... As planned, we expect to reach peak construction employment of roughly 1,800 skilled craftspeople by year-end. Lithium market conditions are strengthening just as the project prepares to come online in late 2027, with full ramp-up through 2028." — Jonathan Evans, President and CEO
• "Thacker Pass represents a unique opportunity to build a secure, resilient North American lithium supply chain. We value our partnership with the federal government and the support of local, state and federal leaders who share our commitment to strengthening America's energy future." — Jonathan Evans, President and CEO