Breaking: Tesla Chooses Reno, Nevada Site For Battery Factory

3 years ago by Jay Cole 72

Here Is The Site Of Tesla's Gigafactory - Currently At The 'Pad' Stage (Image via KTNV Channel 13)

Here Is The Site Of Tesla’s Gigafactory – Currently At The ‘Pad’ Stage (Image via KTNV Channel 13)

While it surprised us to learn that Tesla has made up its mind so early on the future site of its Gigafactory, it was no surprise at all that it is in Reno, Nevada.

Site Of Excavation in Nevada

Site Of Excavation in Nevada

The news comes via a “source” inside the Nevada’s Governor’s office to CNBC, but was also confirmed separately by the Wall St. Journal as the outfit said that Tesla execs, along with state officials (including Nevada Governor Brian Sandoval) would hold a press conference in Carson City on Thursday.

The site specifically is actually a little east of Reno in Storey County.

The Reno location had been making a lot of news of late, as word of Tesla contracting a local construction company to build a pad recently made national news (earlier story and video here). Tesla had confirmed the Reno site during their last quarterly conference call, but had said other states were still in the running.

Apparently, not so. Thanks for playing California, Texas, New Mexico and Arizona.

Tesla CEO Elon Musk said of the Reno location:

“Before we actually go to the next stage of pouring a lot of concrete though we want to make sure we have things sorted out at the state level – that the incentives are there that makes sense,…But I do want to emphasize that Tesla is not going to go for a deal that is unfair to the state or unfair to Tesla. We want to make sure it’s compelling for all parties.   I think on the Nevada side, at this point the ball is on the court of the governor and the state legislature.”

Consider ‘the ball’ returned.

For now, Tesla is not commenting specific on these reports but does offer the following:

“Tesla looks forward to joining Governor Sandoval and legislative leaders tomorrow in Carson City at 4 pm for a major economic development announcement.”

The Reno facility is expected to be operation by 2017, and to ultimately supply enough cells to power up to 500,000 Tesla electric cars.

CNBC, hat tip to Patrick!

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72 responses to "Breaking: Tesla Chooses Reno, Nevada Site For Battery Factory"

  1. GeorgeS says:

    All right I win the bet 🙂

    1. Jouni Valkonen says:

      me too, but where will be the second gigafactory located?

      My guess was that it is San Antonio, Texas and construction should be ongoing by the end of 2016. Perhaps as early as in 2015.

      Third or fourth gigafactory is probably located either in Europe or China.

    2. pete g says:

      I did not know we were placing bets. Mine is Tesla takes over the GM factory in Bochum Germany in late 2016.
      GM has slated it for closure.

  2. Rob Stark says:

    Finally posted on insideevs, ~40 minutes late. 🙂

    1. Jay Cole says:

      Hehe, I know Rob we feel bad…a couple of those Wall Street type outfits got the drop on us today.

      Sales reporting day really spreads us thin…at least that is the excuse we are going with, (= Truth be told, I was actually outside the office enjoying the summer sun (and trying to darken my pasty white complexion) before Tesla put an end to all of that, (=

      1. Dr. Kenneth Noisewater says:

        To be fair, Wall Streeters will always get the news first, whether it’s true or not.. It’s been that way at least since the Rothschilds got news of the Battle of Waterloo early…

        1. danwat1234 says:

          Rothchild’s sewer and septic sucking services?

        2. Steven says:

          And a +1 to the History Major!

    2. IDK says:

      Lol…I’m still waiting to see if they do an article on the Tesla and Korean carbon fiber talks/deal. 🙂

      Either way this is great news for moving forward with EV’s and those of us waiting to purchase the Model 3.

  3. Assaf says:

    Logistically, this means they can travel back and forth between Fremont and Reno using Teslas rather than flying 🙂

    1. sven says:

      Nah, Tesla should build a hyperloop to shuttle people and battery packs between Reno and Fremont. 😉

      1. Mikael says:

        That would be cool… 🙂

    2. Jesse Gurr says:

      Are you saying that they should use specially modified Teslas to deliver finished battery packs to the factory instead of Semi-trucks? Sounds interesting…

      1. Assaf says:

        No, I was talking about when workers go back and forth between the two sites. From experience, that happens a LOT. With all the teleconferencing in the world, sometimes you do need the physical people to be present at a particular site.

        And it was not a joke, despite the smiley 🙂
        stop to charge.

      2. Mike I says:

        I don’t think they will use semi-trucks. The Fremont factory has its own rail yard and the main east-west rail line through the Sierras runs right by the Gigafactory site. I’m betting part of the development is a spur line so they can load the rail cars right at the factory.

        1. RedLeafBlueLeaf says:

          Exactly. They won’t even have to arrange inter-railroad shipments, both lines are on the UP. Since they are building batteries they won’t need a lot of customized just-in-time materials – that is, time-to-deliver won’t be a problem, they just have to make sure that each bulk shipment arrives in about the same duration.

    3. See Through says:

      It will be pretty expensive rides, if they use Teslas to commute. The depreciation on these cars is pretty hefty (over $1 per mile).

      Does anyone know if those 6500 (promised0 jobs are part time or full time? And for how long?

      1. Get Real says:

        More Anti Tesla BS/FUD by See Through.

        The very few Model S’ that have been resold have had excellent resale values. Hell, even the Edmunds.com Model S was resold for a 20% depreciation which is far better then average for luxury vehicles.

      2. Rob Stark says:

        Depreciation is Tax deductible.

        Operation cost are close to nothing.

        Full time and forever.

        1. See Through says:

          “Depreciation is Tax deductible”

          – Haha. Tesla has years and years of losses to cover, before it pays any tax.

          1. RedLeafBlueLeaf says:

            See Through, meet Facts. Facts, meet See Through. You two obviously have never met so should get acquainted.

            Seriously, first you say depreciation is high on Teslas then you say that Tesla has losses to cover. Let me guess, you also think the world is under 10,000 years old, right?

            1. See Through says:

              Have you ever paid income taxes? If you pay $0 in taxes, how does the ‘tax deduction’ help you?

              1. Jeff D says:

                The deduction is for the person who bought the vehicle, not the company that made it. It does not matter how much Tesla has made or not made to the taxes of the person buying the car. I’m thinking of a Mark Twain quote at this moment.

              2. Phr3d says:

                ahhh, c’mon See Through, it helps minimize those regrets that your parents instilled in your youth about not being uhmm.. completely transparent in your use of deductions to reach $0 owed in income taxes.
                oh yeah.. Lying.. that was the word I was looking for..

      3. Big Solar says:

        I wonder how I got 2000 more for mine than I had in it new? See through? See through what? The facts?

      4. Priusmaniac says:

        For the moment it is rather appreciation since used Model S available at once are sold for more then new ones.

  4. MTN Ranger says:

    Now that they decided on a location, git r done. I want my Model 3 in three years.

    1. prsist says:

      ABSOLUTELY!!!

  5. pjwood says:

    finally, fo’ real

  6. Mikael says:

    It has been pretty obvious, from the picture of this place to the starting work. But it’s nice to know it’s a done deal and that they can build build build!

    Now someone need to mount some cameras so that we can get daily pictures/video clips and maybe a timelaps video once in a while. 🙂

    1. Anon says:

      Yes, Streaming Gigafactory Cam!!!

  7. Aaron says:

    Great news. I wonder if they’re still considering additional sites. If not, this is a great F-U to Arizona and Texas governors.

    1. Tim says:

      I suspect Musk can be vengeful to those who hold back his vision. Everyone can evaluate as good or bad on their own. In this case, it’s all good.

      1. See Through says:

        I hope, Musk gets angry now and stop selling Model S in all the states that didn’t offer him big discounts. That includes CA, TX, AZ, New Mexico, Georgia. He will deprive those states of the coveted Model S car, till those state governors succumb to all his demands.

        1. Rick Danger says:

          You really are a pantywaist.

        2. Dan says:

          Well, Musk won’t have to “stop” selling cars in TX and AZ, because he’s already prohibited from selling cars there.

          It was fun to dangle the Gigafactory in front of their faces, though.

        3. Get Real says:

          Musk doesn’t get angry See Through–that would be you everytime you feel compelled to air your personal agenda here and on other sites every time (which is frequent) that Tesla has once again made positive news.

          Musk doesn’t get angry because he is too busy working 18+ hours a day advancing the future. You should try it sometime yourself.

  8. sven says:

    I hope we find out at the press conference what incentives Reno gave Tesla to chose it for the location of the gigafactory.

    1. Anon says:

      “All our hoes, are belong to you.”

      😉

  9. Anthony says:

    My lithium mining stocks have been up yesterday and today, so I think someone knew something before news broke today and was trading on it.

    But that’s the stock market these days I guess.

    I just hope Sandoval didn’t sell out the state Treasury to make it happen.

  10. ffbj says:

    As about 80% of inside ev’s comments predicted months ago.

    1. Jay Cole says:

      Well, it is a known fact that we are all incredibly intelligent and ruggedly handsome around these parts.

      1. ffbj says:

        Yes, like Lake Woebegon: “Welcome to Lake Wobegon, where all the women are strong, all the men are good-looking, and all the children are above average.” – Garrison Keillor quotes …

        1. Phr3d says:

          as opposed to those other contestants that only offered scared sheep..

  11. kdawgørvår says:

    Sorry California, Texas, Arizona. Gotta be quicker than that. LOL

    1. Mikael says:

      gørvår? 😛

      1. GeorgeS says:

        yeh he’s probably there right now!

      2. kdawgørvår says:

        I’m in Norway right now and it seems like many of the words have something similar in them. “ørg”-something or something-“vår”

        1. Mikael says:

          Enjoy your time there. I hope you get to see a lot of it 🙂

    2. GeorgeS says:

      @kdawg

      Way to go. You got my Alma Matre with the Sun Devil.

  12. Ocean Railroader says:

    I would be really worried right now if I was OPEC, the coal industry and any power company charging over $0.20 cents a kilowatt right now. Along with every gas station owner.

    This Giga factory along with the Solar Giga factory is going to be like Godzilla on the Coal Industry.

    The Good news is the dead pine trees killed by acid rain at the tops of the Great Smokey Mountains will be quite happy right now.

    1. Mikael says:

      Ehum… I like your enthusiasm but they are not like Godzilla, rather like David (against Goliath).
      Plus the increased electricity use from EV’s will make the coal companies survive slightly longer than without them (even though they are dying no matter what).

      The Giga factory will have an impact, mostly by pushing other manufacturers since even at full capacity a 0,5% of world production would be optimistic.

      The solar city giga factory is just a drop in the ocean.

      1. Anon says:

        But every storm starts with a single raindrop…

        1. Mikael says:

          Sure… but when the rain is already falling one more raindrop into the mix will hardly be noticable or make any noticable difference. 🙂

  13. QCO says:

    Bad news for potential Tesla buyers in Texas.

    The Gigafactory was the most powerful card for overturning the dealer protection laws.

    1. Rob Stark says:

      The reality is a lame duck Gov was not going to get it done.

      Tesla Truck Factory and US Gigafactory #2 with TX Gov seeking re-election with the power to help or hinder the re-election of legislators is a more powerful tool.

    2. Mint says:

      It could very well be the other way around.

      Now the dealers will take blame for lost business. Politics are much, MUCH more driven by fuckups in the past than plans for the future.

    3. liberty says:

      Being in Texas I’m glad the the tax payers of the state didn’t pay for the gigafactory. I’d like to turn over the dealer lobby, but plenty of texans can buy the cars on the internet. They even have a service facility that is convenient to me.

  14. Spec9 says:

    That is where I expected it to go. Low taxes, relatively close to the California factory, low humidity, Nevada has lithium mining, great solar resources, great wind resources . . . just a great place for it.

    1. Ocean Railroader says:

      When I looked on the google street view at how the rail line goes right from the Gigia factory to the Tesla factory it was a done deal.

      1. Mike I says:

        Just like when NUMMI was closing and I thought to myself “wow, wouldn’t it be great if Tesla could get that factory? Nah, that would be too perfect…”

  15. ModernMarvelFan says:

    Is that why a new SC just installed near Truckee CA?

    Now, a Model S can easily make the trip between Fremont and Reno with only 1 stop?

    1. Mike I says:

      There are actually 3 Superchargers directly on the route from Fremont to Reno – Vacaville, Roseville and Truckee. Roseville is actually the best place to charge for your one stop between Fremont and Reno. It is 121 road miles to Roseville and driving the speed limit should consume 135 rated miles. Reno is 3900 feet above Roseville, so the 148 road miles should consume 202 rated miles. That is perfect for a Model S 85, but you would want to top off a little at the Truckee Supercharger in a Model S 60 just to have a little margin for the last 66 miles.

      1. Phr3d says:

        or drive faster and use ’em all (did I say that out loud?)

  16. Huffster says:

    Ok, so the press conference is where we’ll hear Elon say the second site has not yet been chosen and that will continue the other states being involved to not be left out twice.

  17. hljmesa says:

    And the electricity to run the factory will be provided by the efforts of Mr. Anschutz..http://www.powercompanyofwyoming.com/about/index.shtml
    Mr. Philip Anschutz

  18. isabelli74@yahoo.com says:

    Tesla investment on Reno Nv in my point of view ,the best decision ever.congrats to both tesla and Reno profits.

  19. EV says:

    let the rEVolution begin!

  20. Ellison says:

    Is this at the Tahoe Reno Industrial park site? Interesting to learn about this data center (with free cooilng 8-9 months per year) and renewable energy areas.

  21. leaf owner says:

    Great news….EVs for the masses….