The Trump administration is seeking a stake for the federal government as it renegotiates the terms of a loan for a major lithium project issued under the Biden administration, an official told The Hill on Wednesday.
The Trump administration is seeking an equity stake in the deal, the official said. They described the stake the government was seeking as very small and added that discussions on the specifics are ongoing.
The Biden administration announced last year it would issue the $2.26 billion loan to support mineral processing at Thacker Pass, the site of a lithium mine that’s a joint venture between Lithium Americas and General Motors (GM).
The official said federal interest in a stake comes amid talks over the loan repayment schedule. They framed the discussion as part of an effort to secure a win for taxpayers.
Reuters, which first reported such discussions, reported Tuesday that the administration was seeking a 10 percent stake in Lithium Americas.
Lithium Americas spokesperson Tim Crowley said, “We’re still discussing all those details and don’t have anything to disclose — yet.”
Lithium Americas also issued a press release Wednesday that said, “The Company is in discussions” with the Department of Energy (DOE) and GM that includes “requests from the DOE for potential further conditions.”
GM spokesperson Liz Winter declined to comment.
The move would not be the first time the Trump administration has sought government control in a company. The military previously took a stake in miner MP Materials.
Meanwhile, the administration has also previously announced a deal to take a 10 percent stake in chipmaker Intel.
While the Trump administration has framed such efforts as a good deal benefitting the public, some Republicans have balked at its efforts to involve itself in matters concerning private corporations.
