Lithium Americas (LAC) is on track to complete phase 1 engineering at its Thacker Pass facility by year-end and aims for full project completion in 2027 despite labor and equipment challenges, Wedbush Securities said in a research note Thursday.

Phase 1 has started strongly, with over 90% of engineering design expected to be finished and concrete placement and steel installation already completed.

To address labor challenges, management is gradually building a skilled workforce while expanding accommodations for current and future construction phases, Wedbush noted, describing this as a proactive approach to ensure seamless phase 1 execution and future scalability.

Equipment procurement is progressing smoothly, with about $430 million in long-term orders already secured and most shipments underway.

The company plans to draw further tranches of its $2.23 billion US Energy Department loan, following a recent $435 million drawdown, while preserving flexibility in case of economic or regulatory shifts. Permitting remains a focus, with progress expected on key water rights approvals for phase 2 construction in the coming quarter.

Wedbush highlighted that Lithium Americas benefits from favorable US policy supporting domestic critical mineral production, which underpins long-term operational security.

The firm maintained a neutral rating on Lithium Americas with an $8 price target.

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