BlackRock World Mining Trust plc Regulatory News (BRWM)

Performance at month end with net income reinvested

One

Three

One

Three

Five

Month

Months

Year

Years

Years

Net asset value

1.2%

3.9%

-3.7%

-20.1%

121.8%

Share price

0.6%

-0.1%

-4.1%

 -25.0%

130.7%

MSCI ACWI Metals & Mining 30% Buffer 10/40 Index (Net)*

2.2%

7.4%

-2.7%

-9.4%

107.7%

* (Total return) 

Sources: BlackRock, MSCI ACWI Metals & Mining 30% Buffer 10/40 Index, Datastream

Net asset value (including income)1:

524.77p

Net asset value (capital only):

517.86p

Share price:

474.50p

Discount to NAV2:

9.6%

Total assets:

£1,125.3m

Net yield3:

4.8%

Net gearing:

10.3%

Ordinary shares in issue:

189,348,036

Ordinary shares held in Treasury:

3,663,806

Ongoing charges4:

0.95%

Ongoing charges5:

0.84%

Country Analysis

TotalAssets (%)

Global

56.8

Canada

12.0

Latin America

9.4

Australasia

7.0

United States

5.9

Other Africa

3.1

South Africa

2.8

Indonesia

0.4

Net Current Assets

2.6

-----

100.0

=====

Sector Analysis

TotalAssets (%)

Gold

30.7

Diversified

28.7

Copper

22.1

Steel

6.2

Industrial Minerals

2.4

Platinum Group Metals

2.3

Iron Ore

2.1

Aluminium

1.0

Uranium

0.7

Nickel

0.7

Silver

0.4

Zinc

0.1

Net Current Assets

2.6

-----

100.0

=====

Ten largest investments

Company

Total Assets %

Agnico Eagle Mines

7.9

Rio Tinto

7.3

Vale:

Equity

4.4

Debenture

2.7

BHP:

Equity

4.4

Royalty

1.9

Anglo American

4.9

Wheaton Precious Metals

4.8

Freeport-McMoRan

4.4

Kinross Gold

3.3

Glencore

3.1

Newmont

2.8

Asset Analysis

Total Assets (%)

Equity

94.3

Bonds

1.9

Convertible Bond

0.7

Preferred Stock

0.6

Option

-0.1

Net Current Assets

2.6

-----

100.0

Commenting on the markets, Evy Hambro and Olivia Markham, representing the Investment Manager noted:

Performance

March was a positive month for the mining sector, outperforming broader equity markets which fell by 4.0% (USD terms) as measured by the MSCI All Country World Index. However, the sector experienced volatility due to uncertainty surrounding tariffs and trade. Fears of a cyclical economic slowdown also contributed to investor caution. Despite supportive long-term demand trends, such as Germany’s defence and infrastructure spending plans, short-term economic concerns hindered investment decisions.

Performance in the commodities sector was mixed: iron ore (62% Fe) prices fell by 1.5%, while nickel and copper prices rose by 2.8% and 3.4% respectively. In the precious metals space, gold and silver prices increased by 9.6% and 8.9% respectively.

China’s manufacturing PMI rose to 50.5 in March from 50.2 in February, indicating increased activity.

Strategy and Outlook

Near term, we expect performance to be driven by the China stimulus situation, which is evolving, and we are watching closely to see if it translates into a pickup in demand. Longer term, we expect mined commodity demand growth to be driven by increased global infrastructure build out, particularly related to the low carbon transition and increased power demand.

Meanwhile, the supply side of the equation is constrained. Mining companies have focused on capital discipline in recent years, meaning they have opted to pay down debt, reduce costs and return capital to shareholders, rather than investing in production growth. This is limiting new supply coming online and there is unlikely to be a quick fix, given the time lags involved in investing in new mining projects. The cost of new projects has also risen significantly and recent M&A activity in the sector suggests that, like us, strategic buyers see an opportunity in existing assets in the listed market, currently trading well below replacement costs. Other issues restricting supply include cases of governments closing mines, permitting issues and a general lack of shovel-ready projects. Turning to the companies, balance sheets in the sector are very strong relative to history. Despite this, valuations are low relative to historic averages and relative to broader equity markets.

24 April 2025

Latest information is available by typing www.blackrock.com/uk/brwm on the internet. Neither the contents of the Manager’s website nor the contents of any website accessible from hyperlinks on the Manager’s website (or any other website) is incorporated into, or forms part of, this announcement.