Lithium is one of the most well recognised and heavily demanded minerals that mining companies are scrambling for.
Lithium was perhaps best known for its use as a medicine that could treat and prevent episodes of bipolar disorder. It is still used for this purpose today, but mention ‘the L word now’ and most people would immediately think of ‘lithium-ion batteries’.
Lithium-ion batteries are no stranger to technology having been used in laptops and mobile phones for many years.
But they are increasingly being used in electric vehicles and as such the demand has surged in recent years.
Continued advances in technologies is expected to see the demand for lithium to grow by 600,000 tonnes over the next decade.
This growing demand has led to a rush of companies seeking to mine the mineral.
Star Investing analysis has found 108 lithium players on the ASX.
While lithium is attractive in and of itself, there will be particularly high demand for high quality lithium. By high quality, we mean lithium that is high grade and low on impurities.
AVZ Minerals (ASX: AVZ) is one such company with this type of lithium. The 400.4 million tonnes of rock lithium resource at its Manono project in the Democratic Republic of Congo has a grading of 1.25 percent lithium oxide – the highest grade ever known.
What are the top performing lithium stocks
The top performing stock over the past 12 months was Walkabout Resources (ASX: WKT) whose project is in Tanzania. After months of uncertainty about Tanzania mining laws, the situation in the country is gradually returning to normal. WKT have signed an offtake agreement with commodities trading house with Wogen Pacific.
7 of the top 15 stocks this year have been in Western Australia. The top performing West Australian stock (and second overall) is Liontown Resources (ASX: LTR) after a strong year of drilling results at their Kathleen Valley lithium prospect.
South America is another hot market for lithium, particularly in Chile and Argentina. Galan Lithium (ASX: GLN) is a miner in Argentina and have recorded high grade lithium results during the period.
Top 15 lithium stocks on the ASX
|ASX Code||Name||Price (7 May)||Market Cap||1 Year Return (%)|
|WKT||WALKABOUT RESOURCES LTD||0.28||$79.1M||206|
|LTR||LIONTOWN RESOURCES LTD||0.049||$60.4M||110|
|GLN||GALAN LITHIUM LTD||0.27||$31.7M||93|
|CMC||CHINA MAGNESIUM CORP LTD||0.035||$16.2M||67|
|DGR||DGR GLOBAL LTD||0.13||$79.7M||44|
|BRB||BREAKER RESOURCES NL||0.35||$60.3M||42|
|CHK||COHIBA MINERALS LTD||0.011||$6.6M||38|
|ERX||EXORE RESOURCES LTD||0.07||$32.6M||36|
|ASN||ANSON RESOURCES LTD||0.06||$29.4M||34|
|IEC||INTRA ENERGY CORP LTD||0.016||$7.8M||33|
|VMC||VENUS METALS CORP LTD||0.15||$13.5M||30|
|BMT||BERKUT MINERALS LTD||0.165||$13.4M||23|
|AUT||AUTECO MINERALS LTD||0.006||$5.0M||20|
|JRL||JINDALEE RESOURCES LTD||0.24||$8.7M||20|
|SUH||SOUTHERN HEMISPHERE MINING||0.059||$5.2M||18|
Star Investing may have a commercial relationship with some of the companies mentioned in this article. This content does not constitute financial product or legal advice. You should consider obtaining independent advice before making any financial or legal decisions.
Don’t miss a thing, subscribe now