PMT / PMET opex includes a whopping 173 USD /t SC5.5
They need to transport it
west ~850km by truck, then store it, and load it onto trains to Becancour.
@Helios11 has explained why this is problematic and may not be realistic, i.e. that PMET may need to wait until a route south is opened up via the La Grande Alliance extension of Route 167.
WR1 don't need to wait for this because a simple ~80km mining road from Adina to Renard will complete their route south.
We all thought being close to the Trans Taiga highway was great for PMET (and WR1's Cancet) and that the position of Adina was far worse. I think it will be clear in the coming weeks that we were wrong about this. Adina is in the better position and imo WR1 will have similar or lower transport costs, even considering the necessity to haul ore 80km to Renard.
Beyond trucking, PMET likely also face issues relying on grid power. WR1 by contrast have a power plant ready and waiting at Renard.
I'll paste a bunch of recent comments by @Helios11, who has researched this stuff more than anybody else on HC, and I'm hoping he'll find time to post here in detail about PMET's PEA and what it tells us about WR1:
"
They [PMET] had a partner who left, kens Diggers and Dealers presentation borders on misleading. You cant tell the market the road you will use to transport carries 100t, when legally you cant convey more than 50t. Its Heavy Trucking Safety requirements for Quebec. Anyone can look it up, its legislated and its the road rules like here in Australia.LTM are taking a step back from James Bay for two reasons I doubt anyone publicly discusses, 1. LTM cant and wont get power approval from hydro Quebec to connect, doesn't matter that lines are available. Anything about 5mwh is not going to happen. Just review the case law between Hydro Quebec and New York for power supply. This will be the same for Patriot - doesn't matter if its next to the freaken pole, they [aren't] getting power.LTM are restricted by agreements to less that 300klt per year to be transported. 800klt by PMT is never even happening. These are the facts."
https://hotcopper.com.au/threads/ann-renard-project-update.8127900/page-261?post_id=75138533
"James bay has great numbers but over the last few years as part of permitting with the Cree, Arcadium had to agree with transport terms south to Matagami train station. They are restricted to 20-24 rounds trips a day during "normal" periods, and "10-12" during moose, goose periods with block out times, ie 7-10am is a no no. The Billy Diamond highway, formally James Bay road is limited by laws in haulage, it's the heavy vehicle safety act. An A class truck is limited to 63t in Quebec, however during the thaw period, depending on tonnage its 8- 20% less. This is not opinion but fact. Certain bridges along the BDH are limited to 50t Max. So what does that mean for Arcadium? They are currently transporting the maximum amount of concentrate they are allowed along the BDH so it has dictated their plant size and AISC. In later years > 2035 for an area near the mine site, rail will allow greater transport amounts, so a reduction in all costs will occur.
From Matagami to the BDH, Tran Taiga intersection its 570klm. So what does that mean for any new mines along this road north of James Bay? To mine or produce you will need to comply with the same transport restrictions or less until rail is sorted. It will be 2040 by the time it reaches the TT intersection.
What does thay mean for Cancet or any mines along the TT and north of James Bay? Due to a combination of esg, ghg, enforceable 50t bridge limits, cree concerns, thaw tonnage regulations, I would consider 200klt as the Max concentrate that any company could legitimately transport. Its 570klm to the BDH / TT intersection and no fuel stations between, so that's another concern.
The TT is also restricted to the same heavy vehicles laws, but its owned by Hydro quebec, however its managed by 3 government agencies - its a gravel road that will need to be upgraded to handle more than 25t.
Renard has no issues for transport to [Chibmougamou], road is approved for 63t, no bridges, and no restrictions on frequency, no fuel issues.
Winsome is guaranteed to produce!"https://hotcopper.com.au/threads/wr1-general-discussion.6543412/page-31487?post_id=74785053"Adina to renard will be a mine access road, not La Grande Alliance version. Look up the difference and requirements. Its the same type of road from renard to the 167 which is 90klm."
https://hotcopper.com.au/threads/wr1-general-discussion.6543412/page-31984?post_id=75214066"Until the 167 Wr1 could haul whatever weight they wanted, then reduce to 40t loads for 300klm to Chibmougamou."
https://hotcopper.com.au/threads/ann-renard-project-update.8127900/page-276?post_id=75143305
(20min delay)