Try the below command, for pnp powershell,
New-PnPList -Title "Contact Us Subjects" -Url "Lists/ContactUsSubjects" -Template AssetLibrary
Without pnp and using spo powershell, use the below code,
function CreateSPOList { #All the pre required variable to connect SPO. $strSiteURL = "<< Site URL >>" $strUsrName = "<< Site User ID >>" $strLstTitle = "Contact Us Subjects" $strLstDesc = "Contact Us Subjects!!!" $strLstTempID = 851 #Reading Password from end user $strPWD = Read-Host "Please enter the password for $($strUsrName)" -AsSecureString #Creating object to SPO with the provided user name and password $ObjSPOCredls = New-Object Microsoft.SharePoint.Client.SharePointOnlineCredentials($strUsrName, $strPWD) # Creating client context object with the provided user name and password $ObjContext = New-Object Microsoft.SharePoint.Client.ClientContext($strSiteURL) $ObjContext.credentials = $ObjSPOCredls #create asset library with the list template ID 851. (Asset library template) $ObjLstLoanDet = New-Object Microsoft.SharePoint.Client.ListCreationInformation $ObjLstLoanDet.title = $strLstTitle $ObjLstLoanDet.description = $strLstDesc $ObjLstLoanDet.TemplateType = $strLstTempID $ObjLst = $ObjContext.web.lists.add($ObjLstLoanDet) $ObjContext.load($ObjLst) # Sending request to SPO with all the pre loaded information. try{ $ObjContext.executeQuery() write-host "Successfully Creates List $($strLstTitle)" -foregroundcolor green } catch{ write-host "Error :: $($_.Exception.Message)" -foregroundcolor red } } CreateSPOList