Tesla’s negotiations for a battery-grade lithium refinery in Texas are going to be handled behind closed doors. Tesla will be discussing the details of its planned $365 million lithium refinery with Nueces County commissioners.
On Wednesday, November 16, Nueces County commissioners unanimously voted to move negotiations with Tesla to executive session.
“You don’t typically put your lawyer on camera to give you legal advice that your supposed to listen to that helps you formulate your opinion. Because you’re negotiating with the other,” commented Nueces County Judge Barbara Canales.
Tesla is proposing a $365 million lithium plant in Robstown that would employ an estimated 165 people. The jobs that will be generated by Tesla’s planned Texas lithium facility were described as high-paying positions. Tesla also estimated that an additional 250 two-year construction jobs would open in relation to the lithium plant.
Teslarati obtained a public notice from the Nueces County Commissioners Court hinting at some details that the commissioners and Tesla might be negotiating. The minutes and agenda of Nueces Co Commissioners meetings reveal that the two parties are discussing possible tax abatement agreements. A public notice states that Nueces County plans to consider the approval of a Tesla Tax Abatement Reinvestment Zone Number 1 on December 7, 2022.
The notice pertains to a parcel of land located west of the intersection of Highway 77 and County Road 28 in Nueces County, Texas. Tesla plans to use the property for a battery-grade lithium hydroxide refining facility—the first of its kind in North America. The site will also have facilities for other battery materials processing, including refining, manufacturing, and ancillary manufacturing operations. Tesla estimated that the improvements to the site alone would cost $254.6 million.