New ownership structure of Thacker Pass, with Lithium Americas holding 62% and General Motors 38%, is a positive development. Find out why LAC stock is a Buy.

General Motors (GM) will acquire a 38% stake in Thacker Pass for a total of $625m, with $430m in cash to aid Phase 1 construction.

General Motors will contribute $625 million to a new JV with Lithium Americas, with the money going toward developing the Thacker Pass project in Nevada.

U.S. automakers are ramping up their output of EVs and hybrids and aiming to reduce their reliance on China for battery-related materials in a competitive market.

Canada’s Lithium Americas said General Motors will boost investment in the miner’s Thacker Pass project, which produces the critical ingredient for electric-vehicle batteries.