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Lithium Americas Corp. Closes its Initial Public Offering

May 13, 2010


Raises $45million to fund exploration and development of lithium and potassium properties in Argentina

Shares to begin trading under symbol “LAC”

Toronto, Canada, May 13, 2010. Lithium Americas Corp. (“LAC” or the “Company”) announces that it has closed the previously announced initial public offering (the “Offering”) of its common shares (the “Common Shares”).  The Common Shares are listed on the Toronto Stock Exchange (TSX) under the symbol “LAC”.

“Our listing on the TSX marks the achievement of a significant milestone in the evolution of Lithium Americas”, said Waldo Perez, President and CEO of LAC.  “We have been extremely delighted with the progress of the project to date, and the funds raised via this offering allow the Company to further the exploration and development of our Cauchari-Olaroz Salares.  The Company would also like to thank our strategic investors, Mitsubishi Corporation and Magna International Inc., for their continued support in the development of this exciting project”.

LAC owns a 100 percent interest in the Cauchari-Olaroz Properties - salt lakes located in the Province of Jujuy, Argentina on the Puna Plateau.  The Puna Plateau, the most prolific lithium brine reserve region globally, hosts approximately 84% of the global lithium brine reserves.  The Company’s 43-101 compliant technical report inferred in situ resource estimate of 4.9 million tonnes of lithium carbonate compares favourably with the largest known lithium deposits to date.

When asked to comment on LAC’s initiatives and Mitsubishi Corporation’s involvement, Hiroshi Imagawa, Senior Vice President Automotive-Related Business Unit, Environmental & Water Business Division, Mitsubishi Corporation said, “LAC’s Cauchari-Olaroz Project is of great interest to Mitsubishi Corporation.  It is vital that this project succeed in order that Mitsubishi secure a low cost supply of lithium in the near future.  In this respect, we will be assisting Lithium Americas in several areas including financing, marketing, and technical support.  We are also discussing a collaborative feasibility study on the project.  Our ultimate goal is to form a joint venture with Lithium Americas in order to produce quality lithium at a competitive price.”

The Offering 

Pursuant to the Offering, the Company issued 24,324,400 Common Shares at an issue price of $1.85 per Common Share (the “Issue Price”) for gross proceeds to the Company of $45,000,140.  The Company has also granted the Underwriters (as defined below) an over-allotment option, exercisable for 30 days from the closing date (until June 12, 2010), to purchase up to an additional 2,702,700 Common Shares at the Issue Price to cover over-allotments, if any, and for market stabilization purposes.  If the over-allotment option is exercised in full, total gross proceeds of the Offering will be C$50,000,135. The net proceeds of the Offering will be used towards the exploration and development program on the Company’s Cauchari-Olaroz lithium and potassium properties and for general working capital purposes.

The syndicate of underwriters for the Offering was co-led by GMP Securities L.P., Dundee Securities Corporation and Macquarie Capital Markets Canada Ltd., and includes Canaccord Financial Ltd. and Byron Securities Limited (collectively, the “Underwriters”).  PowerOne Capital Markets Limited was also retained to provide capital markets advice to the Company.

Copies of the Company’s final prospectus and material contracts are available under the Company’s profile on the SEDAR website at

About the Company

Lithium Americas Corp. (TSX: LAC) is a junior exploration company focused on the exploration of lithium, potassium, borax and other minerals in South America.  The Company currently has rights over approximately 119,227 hectares in five salt lakes in the Jujuy and Salta Provinces of Argentina. The Company’s principal and most advanced property comprises a significant portion of two adjacent salt lakes, Cauchari and Olaroz, covering 36,974 hectares located in Jujuy, Argentina. The Company believes the Cauchari-Olaroz project has the potential of becoming a world-class lithium deposit in both size and quality.

For more information please contact:

Mike Cosic, VP Corporate Development  ( 416) 360-1921
[email protected]

or visit

This press release contains forward-looking statements, which can be identified by the use of statements that include words such as "could", "potential", "believe", "expect", "anticipate", "intend", "plan", "likely", "will" or other similar words or phrases. The Company does not intend, and does not assume any obligations, to update forward-looking statements, whether as a result of new information, future events or otherwise, unless otherwise required by applicable securities laws. Readers should not place undue reliance on forward-looking statements.

This press release does not constitute an offer to sell or a solicitation of an offer to buy any securities of the Company in any jurisdiction in which such offer, solicitation of sale would be unlawful. These securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any U.S. state securities laws and may not be offered or sold in the United States except in compliance with the registration requirements of the U.S. Securities Act and applicable U.S. state securities laws or pursuant to an exemption therefrom. Any public offering of the securities in the United States may only be made by means of a prospectus containing detailed information about the Company and its management as well as financial statements.