Tesla Gigafactory: ‘It’s A Go’ In Nevada, Says Governor’s Office Source

A source in Nevada Gov. Brian Sandoval’s office has reportedly confirmed Tesla Motors Inc. (NASDAQ:TSLA) will be building its $5-billion “gigafactory” battery cell facility in Nevada. Tesla had previously confirmed that a cite east of Reno was being developed, but left open the possibility that other locations in four other state were still being considered.

"That's a go, but they are still negotiating the specifics of the contract," the source told CNBC. Dow Jones Newswires reported a press conference was scheduled in Carson City Thursday.

Some reports have said in recent months that more than one factory is part of the project which would provide the Palo Alto electric car maker and stationary domestic solar power storage unit producer with 500,000 lithium-ion cells a year under a deal with its current battery supplier Panasonic Corp. (TYO:6752).

Tesla shares were trading down 1 percent to $281.28 Wednesday afternoon after hitting an all-time high on Tuesday.