U.S. Energy Department set to loan GM battery joint venture $2.5 bln

Reuters via Nasdaq ^ | July 25, 2022 | By David Shepardson

[Oldeconomybuyer]

WASHINGTON, July 25 (Reuters) - The U.S. Energy Department on Monday announced it intends to loan a joint venture of General Motors and LG Energy Solution $2.5 billion to help finance construction of new lithium-ion battery cell manufacturing facilities.

The conditional commitment for the loan to Ultium Cells LLC for facilities in Ohio, Tennessee, and Michigan is expected to close in the coming months and comes from the government's Advanced Technology Vehicles Manufacturing (ATVM) loan program, which has not funded a new loan since 2010.

The plan, first reported by Reuters, would mark the Energy Department's first loan exclusively for a battery cell manufacturing project under the vehicle program.

[Tommy Revolts]

Government Motors

[Pollard]

usdebtclock.org

[Dr. Sivana]

Why are we letting the Koreans in on this? Better than Red China, but still . . .

[ComputerGuy]

Does any lithium come with that?

[immadashell]

Another round of Obamacare for GM!

[NorseWood]

This is a loan. How much interest are we going to get back?

[Tell It Right]

The Dims that are ostensibly helping GM build EV batteries will be the same Dims who'll say building EV batteries are bad for the environment.

That's the main reason rare-earths aren't extracted and processed here.

[CIB-173RDABN]

I am sure the lawyers will set it up so the battery operation is a separate company from GM so when it goes bankrupt there no one to go after for the “loan”.

This is nothing more then wealth distribution from the middle class to the rich.

[libertylover]

Let me guess: required to be union plants or no loan.

[DIRTYSECRET]

Wouldn’t it be better without government money. It’s more likely to be developed is someone’s garage where they’re having trouble paying the electric bill. Think Wozniak/Jobs.

Reminds me of the $100 million given to the Calif wine growers to market their stuff overseas. If the market overseas was that good they could of bought their own advertising.

[blackdog]

Too big to fail......

[Harpotoo]

MUSK be nice:-)

[Chode]

[crusty old prospector]

It seems like we have played this game before.

[BobL]

Wonder why GM can’t get a private loan for the plant...

[ckilmer]

Musk responded by stating that Tesla got $465 million from the US Department of Energy back in 2010/2011. The terms were terrible and exceeded the value of the money received, so Tesla paid it off early, even though that meant an early repayment penalty.

[JoJo354]

Because they can screw the taxpayers if they default and we have no recourse.

[Chicory]

Solyndra x 5.

Yes—now I understand the headline I read earlier saying unions said the EV employees must be unionized.

[VTenigma]

You have got to be F-ing kidding me. Here we go with this s#it again.