Galaxy Resources, Pilbara Minerals and Altura Mining will receive a 50 per cent rebate on royalties paid, due to the declining spodumene concentrate price.
That rebate will only be available for companies that have an operating spodumene concentrate project and do not drop a significant number of their current employees.
The rebate will not be available if the price of spodumene concentrate rises above $550 per tonne in a given quarter.
The repayments will be made over a two-year period.
Energy Minister Bill Johnston said supporting these producers was consistent with the state government's future battery industry strategy.
"Supporting these producers could prevent the loss of more than 600 jobs and save more than $20 million in annual royalty revenue over the coming years," Mr Johnston said.
"Experts predict prices for spodumene concentrate will rise due to the growing demand for lithium used to manufacture electric vehicles and energy storage systems."