Blackrock World Mining Trust PLC - invests in mining and metal assets - Net asset value per share ends 2020 at 536.34 pence, sharply higher from 433.17p at the end of 2019. Total dividend slips 7.7% to 20.30p from 22.00p in 2019. NAV total return in 2020 was 31.8%, which outperforms benchmark, MSCI ACWI Metals & Mining, which added 20.6% in period.
"The company has a very large exposure to copper which represented 19% of the portfolio at the year-end and was the key driver of performance in 2020. Standout performers included Freeport-McMoRan which has seen a sharp inflection in free cash flow as the Grasberg underground mine ramps-up, First Quantum Minerals which is rapidly deleveraging as its flagship Cobre Panama mine increases production and OZ Minerals which has exceeded expectations at its newest asset Carrapateena and continues to extract value at Prominent Hill. As we look into 2021, Ivanhoe Mines will move from developer to producer at the world-class Kamoa-Kakula project and we are set to receive higher dividend payments from Cerro Verde," Portfolio Managers Evy Hambro and Olivia Markham says.
Notes copper price up 26% year-on-year. Other base metals - such as tin, zinc and lead - saw prices per pound rise 20%, 20% and 10% over 2020, respectively.
Precious metals also saw prices surges in 2020. Silver grew 47%, gold 25%, platinum 11% and palladium 23%.
Current stock price: 587.00 pence
Year-to-date change: up 13%
By Paul McGowan; paulmcgowan@alliancenews.com
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BlackRock World Mining Trust plc (BRWM)