Tesla may announce the construction of Gigafactory in Mexico in the coming days

Electric carmaker Tesla could announce the construction of a “Gigafactory” in the northern Mexican state of Nuevo Leon as soon as Friday, with an initial investment of between $800 million and $1 billion, local newspaper Reforma reported Monday.

The total investment, taking into account future expansions, could eventually reach $10 billion, sources told the newspaper.

The announcement would follow Chief Executive Elon Musk’s visit to the state, which borders Texas, in October. A source told Reuters then that Musk had met with Nuevo Leon Governor Samuel Garcia and U.S. Ambassador to Mexico Ken Salazar.

The Mexican Gigafactory, planned on the outskirts of the city Monterrey, would start by building components for current Tesla models, a source told Reforma, later possibly building a new model at a lower cost than other factories.

A federal official told Reuters Tesla would announce news of its planned investment when it was ready to do so, but that it would not necessarily be before Christmas.

If the announcement does not take place on Friday, it could come in January, according to Reforma.

Mexican Foreign Minister Marcelo Ebrard said earlier this month that Musk had toured three states in Mexico scouting locations for the factory.

Tesla did not immediately respond to requests for comment.