Lithium, often referred to as ‘white gold’ or ‘white petroleum’, has been identified as a key resource in the transition to green energy sources. With fossil fuels accounting for over seventy-five percent of all greenhouse gas emissions and ninety percent of carbon emissions, the importance of transition away from such fuel sources can hardly be overstated. Nonetheless, the move away from fossil fuels poses many economic and political challenges that nations must overcome. Historically, oil rich countries have experienced lower levels of growth and development, a phenomenon known as the resource curse. Existing literature has emphasized the importance of different political factors in determining a resource curse outcome including regime type, corruption levels and accountability. Conventional wisdom suggests that nations with stronger institutions are less susceptible to a resource curse. This study examines such factors in the context of lithium producing countries with the goal of determining first whether a resource curse is present, and second, which characteristics may be preventing or enhancing a resource curse outcome. Panel data spanning the eight central lithium producing nations ranging from 1995 to 2021 is used to investigate the resource curse. Through a variety of models, it is found that stronger institutions in lithium producing countries will balance out the negative influence of lithium production on economic growth. Lithium producing nations need specific levels of democracy with high levels of accountability to realize the benefits of lithium production moving forward.