PMET Resources Delivers Positive CV5 Lithium-Only Feasibility Study for its Large-Scale Shaakichiuwaanaan Project

Core Insights - The Shaakichiuwaanaan Project has completed a lithium-only Feasibility Study (FS) confirming its technical and economic viability, which is essential for the final mine authorization process [5][16][21] - The maiden Mineral Reserve is estimated at 84.3 million tonnes (Mt) at 1.26% Li2O, equating to 2.62 million tonnes of lithium carbonate equivalent (LCE) [66] - The project is positioned to become one of the largest spodumene concentrate producers globally, with a projected annual production rate of up to 800,000 tonnes [18][25] Project Overview - The FS outlines a processing capacity of up to 5.1 million tonnes per annum (Mtpa) and a production span of approximately 20 years [18][30] - The project utilizes a hybrid mining model combining open pit and underground methods, with a low strip ratio for open pit mining [9][30] - The FS supports the upcoming Environmental and Social Impact Assessment (ESIA) submissions, which are critical for obtaining necessary approvals [5][9] Economic Metrics - The project has a competitive total cash operating cost of approximately $729 per tonne (~US$544) and an all-in sustaining cost (AISC) of about $800 per tonne (~US$597) for spodumene concentrate [19][34] - At a long-term spodumene price of US$1,221 per tonne, the project delivers an after-tax net present value (NPV) of approximately $1,594 million (~US$1,190 million) and an after-tax internal rate of return (IRR) of around 18.1% [20][25] - Total development capital is estimated at approximately $1,978 million, or $1,510 million net of anticipated pre-production credits [20][30] Market Positioning - The project is strategically positioned to support the emerging lithium supply chains in North America, Europe, and Asia, addressing the growing demand for electric vehicle (EV) batteries and battery energy storage systems (BESS) [6][39] - The FS confirms the potential for the project to become a cornerstone supplier to these markets, leveraging its scale, longevity, and cost competitiveness [21][24] - The company has secured an offtake agreement for 100,000 tonnes per year for a period of 10 years with PowerCo, indicating strong market interest [42] Future Development Plans - The company plans to advance to detailed engineering and optimization initiatives, including an underground bulk sample program targeting the high-grade Nova Zone [22][23] - A Final Investment Decision (FID) is targeted for the second half of 2027, contingent on further optimization and market conditions [13][24] - Ongoing discussions with strategic partners and government stakeholders aim to secure funding and support for the project [49][52]