Tesla Motors Chooses Nevada for New Battery ‘Gigafactory’
Tesla Motors, the electric automobile giant, has reportedly chosen Nevada as the location to build their new battery "Gigafactory."
The Silver State beat four other states including Texas and California to win the bid to host the giant battery factory.
Though an official announcement has yet to be made, insiders confirmed with several news outlets that Nevada is the chosen state. However, sources told The Wall Street Journal that government officials and the company are still negotiating some terms of the deal and an official confirmation is expected by Thursday evening.
Brian Sandoval, Gov. of Nevada took to Twitter to drop some hints about the Tesla battery factory.
Stay tuned for a major announcement tomorrow at 4PM related to economic development in #NV.
— Governor Sandoval (@GovSandoval) September 3, 2014
Choosing Nevada would be a feasible option for the Model E maker because it will give Tesla ample access to Lithium, the major raw material used in batteries. Also, the location is closer to their Fremont, Calif., assembly site and is just a helicopter-ride away from its headquarters in Palo Alto.
However, some analysts say that Nevada will not be the only state that will win the bid as Tesla might settle for more than two locations.
"It may be that Nevada isn't the sole winner, but is the earliest responder to Musk's needs for this project," senior industry analyst Karl Brauer was quoted by The Tech Times.
Tesla's stock has been trading up 89 percent this year. Though shares are currently down 1.03 percent, experts predict the share price to hit $350 in the near future. MarketWatch enlists seven reasons why Tesla shares will go up of which one major reason is CEO Elon Musk.
Musk has been the driving force of the company's success. He has brought in stability and is a promising industry player. He owns about 26.7 percent of Tesla's common outstanding stock and market analysts have argued that Musk might be the next Steve Jobs.
