Sat. Jun 3rd, 2023
Best ASX Lithium Stocks in 2023

Lithium, an essential metal used in manufacturing batteries for electric cars and energy storage systems, stands as a vital investment opportunity for capitalists as the global shift towards sustainable energy sources gains momentum. As demand for this metal rises, it offers a potentially lucrative option for investors seeking to capitalize on the booming clean energy market.

Several lithium stocks trade on the Australian Securities Exchange (ASX), each with its own set of strengths and weaknesses. In this blog, we’ve compiled a list of the best ASX lithium stocks in 2023.

What are Lithium Stocks and Why Should You Invest in Them?

Lithium stocks pertain to the equities of corporations engaged in the exploration, advancement, and manufacturing of lithium, which is a critical element in creating rechargeable batteries utilized in electronic devices such as electric automobiles, smartphones, and laptops.

Opting to invest in ASX lithium stocks can potentially result in profit, particularly with the surging request for sustainable energy sources and the inclination toward electric cars. As the planet moves away from non-renewable energy sources, lithium stocks are expected to reap benefits from the escalating demand for energy storage solutions and batteries.

Also Read: Best Technology ETFs 2023 on ASX

The Top ASX Lithium Stocks to Watch Out for in 2023

1> Pilbara Minerals Limited (ASX: PLS)

Pilbara Minerals is a lithium and tantalum producer with operations in Western Australia. The company’s flagship project, Pilgangoora, is one of the largest lithium-tantalum deposits in the world. Pilbara Minerals is also developing a downstream processing plant to produce lithium hydroxide, a high-value product used in EV batteries.

2> Allkem Limited (ASX: AKE)

Allkem Limited, formerly known as Orocobre Limited until 30 November 2021, is an Australian mineral resource company based in Brisbane. The current focus of the company is on lithium and borax mining operations in Argentina. Orocobre Ltd. has been listed on the Australian Securities Exchange ASX (symbol: AKE) since 2007 and on the (Toronto Stock Exchange) TSX since 2010. 

3> Rio Tinto Limited (ASX: RIO)

Rio Tinto, the world’s second-largest mining company, has lithium mining facilities in both California and Serbia and will soon be able to produce over 63,000 tonnes of lithium per year. Despite the fact that lithium is not one of the company’s core products, the RIO stock may be a good call for those looking to gain exposure to the metal while also gaining exposure to other minerals.

4> AVZ Minerals Limited (ASX: AVZ)

AVZ Minerals Limited (ASX: AVZ) is an Australian-based mineral exploration company that focuses on developing lithium and tin projects in the Democratic Republic of Congo (DRC). AVZ’s flagship project is the Manono Lithium and Tin Project, which is one of the largest lithium-rich LCT (lithium, caesium, tantalum) pegmatite deposits in the world.

5> Core Lithium Ltd (ASX: CXO)

Core Lithium Ltd (ASX: CXO) is an Australian-based lithium exploration and development company with its flagship project “Finniss”, located in the Northern Territory of Australia. The project is expected to be operational by 2023 and will be capable of producing more than 15 million tonnes of lithium. Over a 12-year mine life, Finniss will produce an annual average of 160kt of battery-grade lithium concentrate. Parallel to construction, Core has invested approximately $25 million in high-impact drilling in 2023 to expand the Finniss resource and extend mine life.

Also Read: Top Energy Stocks on ASX

Benefits of Investing in ASX Lithium Shares

  • Potential for High Returns: The increasing demand for lithium due to the shift towards EVs and clean energy makes ASX lithium shares a potentially lucrative investment option.
  • Diversification: Investing in lithium shares provides diversification to your investment portfolio, as it’s not tied to traditional stock market trends.
  • Environmentally Friendly: By investing into lithium shares, you are effectively contributing to the transition towards a more sustainable and environmentally friendly energy sector.
  • Growing Industry: Investors can look forward to substantial long-term growth opportunities within the lithium sector. This is due to the projected expansion of the industry over the coming years.
  • Government Support: The Australian government has exhibited its advocacy for the lithium industry by means of various policies, including the Modern Manufacturing Initiative. Valued at $1.6 billion, this program intends to foster the progression of advanced manufacturing within Australia, while concurrently stimulating growth within the lithium industry.

By considering these benefits, investing in ASX lithium shares can be a wise choice for investors looking for high returns and diversification while also supporting the shift toward clean energy.


  1. What are the benefits of investing in ASX lithium stocks?

    Investing in lithium stocks listed on the Australian Securities Exchange (ASX) has the potential to yield significant profits, especially in light of the surging demand for eco-friendly energy solutions and the widespread adoption of electric vehicles.

  2. What factors should I consider before investing in ASX lithium stocks?

    Before buying ASX lithium stocks, think about the company’s financial health, production capacity, exploration potential, and management team. It is also essential to stay current on industry trends and government regulations that may impact lithium demand.

  3. Are ASX lithium stocks a safe investment?

    ASX lithium stocks, like any other investment, carry risks. Government policies, technological advancements, and global economic conditions all have a significant impact on lithium demand. However, rising demand for clean energy and the shift to EVs make lithium a potentially profitable investment.


Lithium is a promising investment option due to rising demand for clean energy and the shift towards EVs. The ASX is home to several lithium stocks, each with its own set of advantages and disadvantages. We’ve highlighted some of the best lithium stocks asx to watch in 2023 in this blog. Before investing, conduct your own research and think about things like the company’s financial health, production capacity, exploration potential, and management team.


The information provided in this blog is for informational purposes only and should not be construed as financial advice. Before making any investment decisions, it is recommended that you seek advice from a professional financial advisor.

By Vivz

Leave a Reply

Your email address will not be published. Required fields are marked *