That's the view of PLS, which owns the world's largest independent hard-rock lithium operation in Pilgangoora, in the Pilbara region of Western Australia.
"The ambition of on-shore processing for Australia - we should continue to keep focused on that," chief executive Dale Henderson told reporters on Wednesday.
"The question is what is the optimal approach ... and in this regard, we've been working to see what can be done."
PLS has been developing its mid-stream demonstration plant in Pilgangoora, where it has successfully used electric calcination to convert raw spodumene into lithium phosphate.
"We think that is a potential sweet spot for doing more onshore processing," Mr Henderson said on the sidelines of the Diggers & Dealers Mining Forum in Kalgoorlie.
Australia's lithium mines produce spodumene concentrate, a hard-rock lithium ore and much of that is shipped to China for processing.
The ore is turned into lithium carbonate or lithium hydroxide, an essential component of the lithium-ion batteries used to power EVs, smartphones and other devices.
PLS sends most of its lithium hydroxide output to be processed under a joint venture with POSCO in South Korea.
Mr Henderson said the advantages of processing with POSCO were so far unmatched on-shore in Australia.
"Not only is it an ultimately low-cost operation, but it has an existing battery hub ecosystem where there's battery making and car making," he said.
Australia's lithium ambitions have often been thwarted by price volatility for the soft, silvery-white metal.
Prices took off in 2022 amid surging demand for electric vehicles, but then cratered the following year as a rush of investment into lithium production in Australia, South America and China oversupplied the market.
After a brutal three-year bear market, lithium prices have picked up again, recently hitting the highest level since mid-2023.
That resurgence led to more merger and acquisition activity amongst stock exchange-listed lithium developers.
Mr Henderson said the industry was incredibly cyclical.
"What we see is this catapult to highs followed by very low lows," he added.
"In the year past, we saw pricing drop well below what was the sustainable level across the industry, where the lowest-cost operators were suffering.
"The next wave of supply, it didn't get invested in, or worse, it started to get invested in and then fell over."
Lithium carbonate is trading between $US17,000 and $US22,000 per metric tonne, while lithium hydroxide is about $US18,550.
Mr Henderson said Australia must build a thriving, successful lithium industry.
"What that means is, capital has to flow, not only to the best resources, (but) to the ones which are going to perform long term," he added.
Meanwhile, the Perth Mint's display of a half-tonne gold bar continued to attract attention on the final day of the three-day forum.
The so-called People's Bar has just taken its place in the Guinness World Record as the biggest gold bar on earth.
Scores of delegates surrounded the mint's stand in the exhibition hall to watch the bar arrive on a truck with its security team.
The 15-minute unloading operation, culminating in a slow-motion rise into view from its custom-made box, was greeted with applause by those watching.
The bar, which is worth $95 million and has a purity of 99.999, has been a bit of a selfie hero at the forum where mining executives have gathered to discuss the outlook for the industry.
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