Top Canadian Lithium Stocks of 2020 - Dec. 14, 2020

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Editor’s note — This list has been updated to include Noram Ventures, which was up 377.78 percent year-to-date on December 14, but did not register when data for the article was gathered.

Lithium’s popularity has been rising for several years due to the energy storage revolution.

Despite 2020 uncertainty brought on by COVID-19, many market watchers are optimistic about the future of the metal, with the demand narrative getting stronger every day — especially since well-known electric vehicle maker Tesla (NASDAQ:TSLA) put lithium under the spotlight during its Battery Day.

For investors interested in getting involved in the lithium space, the Investing News Network has created an overview of the top Canadian lithium stocks on the TSX and the top Canadian lithium stocks on the TSXV with the biggest year-to-date gains.

This list was generated on December 14, 2020, using TradingView‘s stock screener. Only companies with market caps above C$10 million are included.

1. American Lithium (TSXV:LI)

Current share price: C$1.14; year-to-date gain: 812 percent

Nevada-focused American Lithium is engaged in the acquisition, exploration and development of lithium projects. The company currently holds the Tonopah Lithium Claims (TLC) project in Nevada. Aside from TLC, American Lithium has the Extinction Ridge vanadium project in the state.

American Lithium’s share price didn’t see much movement during the first half of the year. A 2020 drill program started in February and the company released positive results in Q2; it then kicked off a second phase of drilling in June. Its peak level for the year came midway through July at C$2.35; at the time, American Lithium issued a statement saying it was unsure of what was causing that activity.

The company’s shares stayed fairly elevated in the third and fourth quarters. Highlights from the second half of the year include the production of lithium carbonate from TLC in September and the restart of Phase 3 expansion drilling at TLC a couple of months later in November.

2. Noram Ventures (TSXV:NRM)

Current share price: C$0.43; year-to-date gain: 377.78 percent

With its efforts centralized on Nevada, exploration company Noram Ventures’ goal is to become a low-cost supplier for the lithium-ion battery industry. Zeus, its flagship project, is located in the state’s Clayton Valley and covers 1,214 hectares.

Noram has released a steady flow of news over the course of the year, although its upward share price momentum largely began at the start of November. Around that time it received permits for a Phase 5 drill campaign at Zeus and commenced drilling. Since then, the company has shared a slew of results, including one of the thickest claystone intersections to date, and its longest intersection to date.

3. Quantum Minerals (TSXV:QMC)

Current share price: C$0.24; year-to-date gain: 242.86 percent

Junior explorer Quantum Minerals is focused on properties in Manitoba, and its flagship asset is the Irgon lithium property in the province. Irgon is a historic rare metals deposit where developmental work was undertaken by Lithium Corporation of Canada. Quantum Minerals is currently completing its own exploration at the property; it also has precious and base metals assets in Manitoba.

Quantum Minerals has released little news related to Irgon this year. In April, the company said it was in discussions with Sinomine Group to process spodumene material from Irgon at the nearby TANCO plant. In the second half of the year, Quantum Minerals shared updates on its Rocky Lake and Rocky-Namew gold–copper–zinc properties, which together are known as the Namew Lake District project.

4. Pure Energy Minerals (TSXV:PE)

Current share price: C$0.80; year-to-date gain: 233.33 percent

Pure Energy Minerals is a lithium developer focused on its Clayton Valley project in the Clayton Valley of Central Nevada. In 2017, Pure Energy completed a preliminary economic assessment for the Clayton Valley project, which includes an updated resource calculation and a preliminary economic evaluation.

Most of the company’s share price momentum came in the second half of 2020, with its highest point for the year coming in mid-July when it touched C$1.29. In May, Pure Energy started drilling at its asset, giving an update on July 28. In October, it reported results from well CV-9, saying that it collected six samples of lithium-rich brine over nine hours of continuous pumping; the values were in line with wells CV-1 and CV-3, and analysis shows consistency over time.

5. Standard Lithium (TSXV:SLL)

Current share price: C$2.72; year-to-date gain: 216.28 percent

Standard Lithium’s flagship asset is its Lanxess project in Arkansas, which is a joint venture with global specialty chemical company Lanxess. According to Standard Lithium, it has commissioned a first-of-its-kind, industrial-scale direct lithium extraction demonstration plant at Lanxess’ South Plant facility; it is being used for proof-of-concept and commercial feasibility studies.

The company has trended steadily upward since mid-March, and has released a flow of news over the year. May is when its direct lithium extraction demonstration plant was commissioned, and in June it began commissioning its industrial-scale lithium carbonate crystallization pilot plant. It shipped its first large volume of lithium chloride product in September, and in December Standard Lithium completed the proof of concept for its lithium processing technology.

6. Cypress Development (TSXV:CYP)

Current share price: C$0.57; year-to-date gain: 208.11 percent

Exploration company Cypress Development is focused on developing its 100 percent owned Clayton Valley lithium project in Nevada. The asset is located immediately east of Albemarle’s (NYSE:ALB) Silver Peak mine, which has been in continuous operation since 1966.

On May 19, Cypress Development released a prefeasibility study for Clayton Valley. The study estimates an average production rate of 15,000 tonnes per day to produce 27,400 tonnes lithium carbonate equivalent annually over a more than 40 year mine life. On July 2, the company released assay results and in August it updated its project’s mineral resource by 55 percent.

Cypress Development’s share price peaked in early October at C$0.75. Its H2 activities have included reporting more positive metallurgical results from Clayton Valley and starting a scoping-level study at the asset to look at the extraction of lithium using chloride-based leaching.

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Securities Disclosure: I, Charlotte McLeod, hold no direct investment interest in any company mentioned in this article.