Key Highlights

  • The average life-of-mine total cash operating cost is 19% lower at CA$594 per tonne, net of a tantalum Credit of CA$148 per tonne.
  • The updated scope adds tantalum recovery and starts with higher-grade underground Mining in Phase 1.
  • Phase 1 initial Capital is CA$1,391 million, or CA$1,080 million net of anticipated pre-production and tax credits.
  • The reported Economics depend on price assumptions, and a final Investment decision is targeted for late 2027.

PMET Resources Inc. (TSX:PMET) (ASX:PMT) has released an updated feasibility study for its CV5 lithium-tantalum project at Shaakichiuwaanaan, in the Eeyou Istchee James Bay region of Quebec. The announcement dated 11 November 2026 sets out a revised development scenario that starts with higher-grade underground mining, adds tantalum recovery and changes the planned processing capacity.

Lower costs and the tantalum credit

The company reports an average life-of-mine total cash operating cost of CA$594 per tonne (US$433 per tonne), 19% lower than before, after netting off a tantalum credit of CA$148 per tonne (US$108). The All-In Sustaining Cost is CA$657 per tonne (US$480), 18% lower. Both are non-IFRS measures, stated on a FOB Quebec ports basis and excluding royalties.

The tantalum recovery circuit is new to the scope, and the company expects it to produce a material co-product credit that improves early cash flow. A maiden tantalum Probable Mineral Reserve of 83.0 Mt at 1.27% Li2O and 148 ppm Ta2O5 accompanies a lithium reserve the company describes as largely unchanged.

Phasing, capacity and capital

Phase 1 begins with underground mining to reach the high-grade Nova Zone from the outset, using a plant that processes 2.2 million tonnes per year. The company expects output to ramp to about 560,000 tonnes per year of SC5.5 spodumene concentrate over the first three years. Phase 2 adds open-pit mining with a low strip ratio of 3.5 over life of mine, lifting capacity to around 800,000 tonnes per year, with combined processing of up to 5.1 Mtpa.

Phase 1 initial capital is CA$1,391 million, or CA$1,080 million net of anticipated pre-production and tax credits. Phase 2 expansion capital is CA$672 million, or CA$595 million net of anticipated tax credits. The company says capital is similar to the lithium-only study despite the added tantalum scope.

Price sensitivity and what comes next

The company’s after-tax NPV8% of about CA$5.10 billion and IRR of about 40.4% rely on a spodumene price of US$1,788 per tonne and a tantalum price of US$120 per pound. At near broker consensus spodumene pricing of about US$1,400 per tonne, the company reports an after-tax NPV8% of about CA$3.29 billion. These are the company’s own estimates, and this article reports them without assessing their value.

Plant commissioning is targeted from the latter part of 2029, with a final investment decision targeted for late 2027. The company also plans a Preliminary Economic Assessment this quarter covering CV5 and CV13 and three commodities: lithium, caesium and tantalum.

Final Word

PMET has reworked the CV5 project around higher-grade underground ore and a tantalum credit, which lowers the reported operating cost. The case still depends on lithium and tantalum prices, capital delivery and a final investment decision in late 2027. The forthcoming Preliminary Economic Assessment will show whether the company can extend the project into a multi-commodity development.