Lithium Americas shares soared nearly 95% Wednesday after the Trump administration proposed taking an equity stake in the Vancouver-based mining company.

The move comes as Lithium Americas renegotiates a $2.2 billion Department of Energy loan for its Thacker Pass lithium mine in Nevada, a key North American source for electric vehicle batteries.

The proposed stake would serve as a cash buffer for taxpayers if part of the loan repayment is deferred, according to a Trump administration official.

Thacker Pass, a joint venture with General Motors, is expected to begin operations in late 2027, with GM holding a 38% stake and committing to offtake from the mine, CNBC has reported.

The discussions are ongoing, and Canadian approval may be required due to the company’s incorporation and domicile.