3 Best-performing ASX Lithium Stocks of 2024

Year-to-date gain: 84.48 percent
Market cap: AU$1.19 billion
Share price: AU$5.35

Europe-focused Vulcan Energy Resources aims to support a carbon-neutral future by producing lithium and renewable energy from geothermal brine. The company is currently developing the Zero Carbon lithium project in Germany's Upper Rhine Valley. Vulcan is utilising a proprietary alumina-based adsorbent-type direct lithium extraction (DLE) process to produce lithium with an end goal of supplying sustainable lithium for the European EV market.

On April 11, Vulcan announced the commencement of lithium chloride production at its lithium extraction optimisation plant in Germany. According to the company, the milestone marks the first lithium chemical production in Europe using local supply. The plant has consistently exhibited over 90 percent lithium extraction efficiency.

The company already has binding lithium offtake agreements in place with major automakers and battery manufacturers, and expects to supply enough lithium for 500,000 EVs during the first phase of production.

During Q3, Vulcan received its first licences for lithium and geothermal exploration in Alsace, France. The permits cover 463 square kilometres, expanding Vulcan's total licenced area in the Upper Rhine Valley to 2,234 square kilometres.

In early August, Vulcan began commissioning its downstream lithium hydroxide optimisation plant (CLEOP) near Frankfurt, Germany, which will process the lithium chloride concentrate from its DLE plant.

A mid-October release from Vulcan outlines a memorandum of understanding with industrial software designer AVEVA. The partnership will see AVEVA build a digital framework for Vulcan’s Zero Carbon lithium project.

Also in October, the company earned S&P Global’s highest "dark green" sustainability rating, a first for the mining sector, under its Green Financing Framework. On November 8, Vulcan announced it had commenced lithium hydroxide production at CLEOP. The milestone coincided with an AU$162 million funding infusion from Germany’s Federal Ministry of Economics and Climate Protection and the European Recovery and Resilience Facility.

To end the year, Vulcan announced the signing of a AU$1.45 billion conditional debt commitment letter with Export Finance Australia and a group of seven commercial banks.

Year-to-date gain: 6.67 percent
Market cap: AU$353.35 million
Share price: AU$0.16

Australia-listed Ioneer owns the Rhyolite Ridge lithium-boron project in Nevada, US. According to the company, the project is considered the “sole lithium-boron deposit in North America.”

As part of the permitting process for Rhyolite Ridge, Ioneer completed and submitted an administrative draft environmental impact statement (EIS) to the US Bureau of Land Management (BLM) in mid-January. In mid-September, Ioneer announced that the BLM had published the final EIS, moving the company closer to construction.

The comprehensive review process addressed environmental concerns, particularly regarding the protection of the endangered Tiehm's buckwheat plant found at the site. Ioneer has committed to measures aimed at safeguarding the plant's habitat. In October, Ioneer secured final federal approval for Rhyolite Ridge.

The project became the first US lithium mine authorised under the Biden administration.

Rhyolite Ridge is projected to produce sufficient lithium for approximately 370,000 EV batteries annually. Construction is slated to commence in 2025, with production expected by 2028.

Year-to-date gain: 2.25 percent
Market cap: AU$52.03 million
Share price: AU$0.09

Africa-focused explorer Prospect Resources holds a diversified portfolio of assets in Zimbabwe, Zambia and Namibia. The company’s lithium prospects, Omaruru and Step Aside, are in Namibia and Zimbabwe, respectively.

In late June, Prospect released an update on its exploration activities, reporting strong assay results from Phase 4 diamond drilling at the Step Aside lithium project in Zimbabwe and follow-up Phase 2 drilling at the Omaruru lithium project. Managing Director Sam Hosack highlighted the significant mineralisation potential at both projects.

Moving forward, Prospect plans to slow down spending at its lithium projects as it turns to its newly acquired Mumbezhi copper project in Zambia. The company believes it can monetise Step Aside in the near term to aid in this goal.

In its June quarterly results, Prospect noted the completion of drilling and fieldwork for a Phase 4 diamond drilling program at the Step Aside lithium project in Zimbabwe, with no further exploration planned.

The project is being prepared for sale to help fund the Mumbezhi copper project.

Meanwhile, Phase 2 drilling at the Omaruru lithium project is complete, and the company has reduced spending to holding costs as its focus shifts to the Mumbezhi project.

In its September quarterly report, Prospect said it was discontinuing its Bikita Gem earn-in project in Southeastern Zimbabwe after drilling results failed to identify economically viable volumes of petalite-rich lithium mineralisation.