With the energy transition in full swing and the need to decarbonize, which ASX-listed lithium firms have made the most progress this year? The lithium market was steady for the first quarter of 2024 compared with the turbulence of 2023. Lithium carbonate prices have increased by 11 from US$13,377.44 per tonne to US$14,874.31. Strong sales of electric vehicles in the early months of 2023 contributed to metal price support.
Prices increased further in February and March, thereby hitting $16,109. Reports from China showed a consistent upward trend in demand for lithium batteries and energy storage technologies. The top four ASX-listed lithium firms by year-to-date performance with a market capitalization of AU$10 million or more are outlined in the article below.
Prospect Resources (ASX: PSC)
Year-to-Date Gain: 46.1% percent; Market Cap: AU$40.31 million; Current Share Price: AU$0.13
Prospect Resources is an exploration company with a focus on Africa and its diverse portfolio of properties is spread across Namibia, Zambia, and Zimbabwe. Omaruru and Step Aside, two of its lithium projects, are located in Namibia and Zimbabwe, respectively. From January until mid-March, Prospect's shares remained below AU$0.08, but on March 25, they reached their highest level in the first quarter of 2024 at AU$0.09. This happened after Prospect paid US$75,000 to buy a 60% residual interest in the Omaruru property from Osino Resources, increasing Prospect's ownership to 100%. Prospect had declared earlier in the quarter that Phase 2 drilling at Omaruru had begun and this program will span 4,250 meters, including reverse-circulation drill holes.
Ioneer Ltd (ASX: INR)
Year-to-date gain: 33.33%; Market Cap: AU$432.96 million; Current Share Price: AU$0.20
The Rhyolite Ridge lithium-boron project in Nevada, US, is owned by emerging producer Ioneer. The project is regarded as the “sole lithium-boron deposit in North America and Ioneer finished and turned in an administrative draft environmental impact statement to the US Bureau of Land Management (BLM) in mid-January as part of the Rhyolite Ridge permitting process.
Shares of Ioneer steadily increased in February and March following a dip in the early months of the year, where shares reached AU$0.10 on January 25. On 25 March 2024, they reached a quarterly high of AU$0.17. At the start of the second quarter, news that the BLM had made a final decision continued to provide positive momentum; the review's findings are anticipated in mid-April.
Pan Asia Metals (ASX: PAM)
Year-to-date gain: 28%; Market Cap: AU$26.85 million; Current Share Price: AU$0.16
Pan Asia is listed on the ASX and operates in mineral exploration, with a wide range of projects throughout Southeast Asia, especially in Thailand. The corporation specializes in rare earth elements, lithium, and tantalum, and is actively involved in exploration efforts in South America. Additionally, Pan Asia Metals' shares surged to AU$0.21 in the first week of January. The company's acquisition of the Ramatidas project area and its entry into three legally binding option agreements to gain control of the Dolores North, Dolores South, Pozon, and Pink project areas—which collectively make up the Tama Atacama lithium brine project in Chile—were the catalysts for the jump. These resources cover over 120,000 hectares in total.
One of the biggest lithium brine projects in the world is the Tama Atacama lithium project. According to Pan Asia Metals Managing Director Paul Lock, The project has an enviable strategic positioning, with all infrastructure requirements met and a high probability for lithium. After that, some of the optimism was lost by the shares, which range bound below AU$0.17 for the remainder of the quarter.
Mineral Resources (ASX: MIN)
Year-to-date gain: 2.45%; Market Cap: AU$13.81 billion; Current Share Price: AU$71.61
Iron ore and lithium projects are among the Australian assets most held by companies in the mining sector, including Mineral Resources. The company's share price started to rise again in mid-January, after plunging early in the first quarter of the year. On February 21, after Mineral Resources' most recent financial results were released, shares increased to AU$67.69.
The company's lithium operations performed well during the half-year reporting period, which concluded on December 31, 2023, driven by higher lithium prices and higher production volumes. When Mineral Resources announced plans to build a lithium-processing hub in Western Australia's Goldfields region at the end of March, shares reached AU$70.98. As the company seeks to profit from the growing demand for lithium-ion batteries, its share price will likely maintain the Up-trend.
The energy transition and demand for EVs are pushing up demand for lithium and other essential minerals and materials. As a result, some mining stocks on the ASX have performed relatively well in 2024 and have good prospects, which will support their share price over the long run.
