Why lithium is at the center of the global investment agenda today
The transition to green energy is not an idea for the future, but an economic necessity for the present. And lithium plays a leading role in this transformation. Without lithium, batteries for electric vehicles, smartphones, and energy storage systems would be impossible. In other words, lithium is the new oil, the “white gold” of the 21st century.
Since the 2020s, demand for lithium has consistently exceeded supply. Even with the current temporary cooling of prices, demand for this metal will only grow in the long term. According to analysts, demand for lithium could increase 4-5 times over the next ten years. Major automakers, including Tesla, GM, BMW, and BYD, are already signing long-term agreements with lithium producers in an attempt to secure supplies for decades to come. However, supply chain shortages, limited resources, and slow progress in opening new deposits are creating a unique investment situation. Prices have fallen temporarily, but demand is structural and long-term. This is a rare case where market volatility is providing investors with a window of opportunity.
Why lithium companies are attractive to investors
The basic logic: when raw materials are undervalued, producers win
In a context of structural shortages and slow progress in launching new projects, mining company shares are one of the few opportunities to participate in the coming price growth. Despite the recent correction, most analysts believe the decline is temporary.
Funds working with resource assets have already begun to actively build positions in the sector. Fidelity, BlackRock, and Vanguard have gradually increased their stakes in key producers, including Albemarle, Livent, and Lithium Americas. This is not short-term speculation — it is a bet on the future stability of the market.
ESG and green policies are only increasing interest
For institutional investors, it is particularly important that lithium fits perfectly into ESG strategies. Companies working to reduce CO₂ emissions, electrify transport, and develop sustainable energy are increasingly adding lithium producers to their portfolios as part of the “green infrastructure of the future.”
Global companies are already directly dependent on stable lithium supplies
First and foremost, these are automakers betting on electric vehicles: Tesla, General Motors, Ford, Volkswagen, BYD, BMW, Hyundai, and others. Without lithium, battery production is impossible, and these companies are entering into long-term agreements with suppliers, including investments in mining. The second layer is battery manufacturers: CATL, LG Energy Solution, Panasonic, Samsung SDI — they are the ones who turn lithium into high-tech battery cells. The energy storage sector is no less important: Tesla Energy, Fluence Energy, Enphase, Stem Inc. — all of them use lithium in ESS systems that provide reliable storage of renewable energy. They are joined by consumer electronics manufacturers such as Apple, Samsung, Dell, and Sony, as well as aerospace and defense giants Lockheed Martin, Raytheon, SpaceX, and Boeing. All these companies need lithium not “in theory,” but on a daily basis, as the basis for their technological solutions. Their demand is a structural dependency that makes lithium a true strategic resource.
Lithium Americas Corp. is betting on the strategic Thacker Pass project
Lithium Americas (NYSE:LAC) is a Canadian company that is becoming a central player in the North American lithium market. Its key asset is the Thacker Pass deposit in Nevada, recognized as the largest confirmed source of lithium in the US. It is capable of meeting up to a quarter of US demand for decades to come. Development of Thacker Pass has been underway since 2023, with the first phase of production scheduled to start in 2027. Total production at peak will be 66,000 tons of lithium per year. This is enough to power approximately one million electric vehicles annually.
The project has a number of unique advantages: proximity to key US automotive and industrial centers, high logistical accessibility, and minimal geopolitical risks. Unlike projects in Latin America or Africa, Thacker Pass is developing in a stable jurisdiction with federal support.
Strategic partnership with General Motors
One of the most important factors in Lithium Americas’ appeal is the participation of General Motors, which has invested nearly $1 billion in the project. GM has secured access to the first phase of production and has become a key partner in the implementation of Thacker Pass. This is not just financial support — it is recognition of the strategic importance of the project by the largest automaker in the US.
GM gains priority access to the lithium raw materials needed to scale up its electric vehicle model range. In turn, LAC gains access to sustainable demand and a long-term buyer, which is critical during the construction phase.
State-level support
Lithium Americas has received conditional support from the US Department of Energy in the form of $2.26 billion in loan financing. The project thus benefits from both private and public capital. Against the backdrop of the government’s “bring manufacturing home” strategy, Thacker Pass is becoming a critical piece of infrastructure. Washington’s stake in strategic raw materials is clear: lithium has been declared a material of national importance. This means not only attention from regulators, but also access to fast-track approval, subsidies, and tax incentives.
What about other lithium companies?
Albemarle (NYSE:ALB) is one of the world’s leading lithium producers. The company has a developed infrastructure, a presence in the US, Chile, and Australia, and a high share of the global market. However, as a mature business, it is showing less aggressive growth. ALB is interesting for investors looking for reliable dividend yields and stability.
Arcadium Lithium (ALTM) was formed through the merger of Livent and Allkem. It is a global player with production in South America and Australia. However, a significant portion of its assets are located in countries with fiscal instability, which increases geopolitical risks. The company’s shares are volatile but interesting from the perspective of long-term consolidation in the industry.
Ioneer (NASDAQ:IONR) is a company in the process of obtaining permits for the Rhyolite Ridge project in Nevada. It has the support of Sibanye-Stillwater but faces environmental obstacles. Shares remain volatile and are more suitable for speculative portfolios with a venture capital bias.
Piedmont Lithium (NASDAQ:PLL) is actively developing projects in North Carolina and collaborating with Tesla. The company is betting on lithium spodumene production in the US, but is also dependent on regulatory approvals. Suitable for investors focused on US lithium autonomy.
Investment scenarios for lithium company stocks
Lithium Americas (NYSE:LAC) shares are currently very cheap, trading at around $3 per share. This is because the company is in a capital-intensive construction phase rather than active production. However, this is where the “invest before the boom” effect comes into play, with the potential for hundreds of percent growth in the future. If the Thacker Pass project is launched on time and at full capacity, the company’s market capitalization could grow exponentially. Over the next 3-5 years, analysts are looking at a range of $15-25 per share in the base and bullish scenarios.
The current phase is important: construction is being financed by GM and the Ministry of Energy, the cost is expected to be competitive, and the infrastructure and engineering base are well developed.
Lithium Americas: a bet with multiple growth potential
If you are looking for a company with truly breakthrough potential and want to be part of a fundamental energy transition, LAC is an asset with all the growth momentum still ahead. Unlike mature and already valued companies such as Albemarle, Lithium Americas is in the opposite situation — we are waiting for a large-scale launch, not the end of a cycle.
LAC’s share growth potential: x3-x5 — not fantasy, but market logic
- The shares are trading at historic lows of $3-5, even though the value of the project and its impact are clearly undervalued.
- The launch of Thacker Pass is a turning point: with production starting (66,000 tons/year), the market will significantly revise its forecasts for the company’s cash flows and capitalization.
- Funding from GM, the US Department of Energy, and government incentives make the project highly secure and de-risked, giving reason to expect exponential growth — up to x3–x5 from current levels (i.e., to $18–25 and above).
- Such multiple breakthroughs are particularly likely at the intersection of infrastructure sectors and critical materials — this is where the most unexpected and significant upside stories are formed.
Why the US and lithium are real for growth:
- The government’s strategy to strengthen domestic production makes Thacker Pass not just a commercial initiative, but a national priority.
- GM provides predictable demand, reduces market uncertainty, and guarantees that the product will be in demand.
- Lithium production in a country with strong legal and regulatory protections not only reduces risk but also increases investment appeal.
Thus, LAC is not just a stock with growth potential, but a standard growth story. Under ideal market conditions, with the launch of production and a reversal of industry expectations, we could see a real revaluation of the stock in the range of 300-500%.
For you, as an investor, this is a period where the value of the asset is determined not by the past, but by the real potential of future market dynamics.
Lithium Americas (NYSE:LAC) is today a real ticket to the starting line of a new industry. And in the next 3-5 years, its price could well triple or even increase fivefold.
Michael Saylor: the Bitcoin fundamentalist who bet everything on one card
