Baker Steel Regulatory News (BSRT)

BAKER STEEL RESOURCES TRUST LIMITED

(Incorporated in Guernsey with registered number 51576 under the provisions of The Companies (Guernsey) Law, 2008 as amended)

 6 November 2018

31 October 2018 Unaudited NAV Statement

Net Asset Value

Baker Steel Resources Trust Limited (the "Company") announces its unaudited net asset value per share at 31 October 2018:

Net asset value per Ordinary Share: 57.6 pence

Since 28 September 2018, the NAV per share has increased by 5.3% largely due to an 18.4% increase in the price of Polymetal International PLC shares on the London Stock Exchange.

The Company had a total of 116,139,980 Ordinary Shares in issue with a further 700,000 shares held in treasury as at 31 October 2018.

Portfolio Update

The Company's top 10 investments as a percentage of NAV are as follows:

Investment Update

Polymetal International PLC ("Polymetal")

On 15 October 2018, Polymetal announced that it had produced 447,000 gold equivalent ounces in the third quarter of 2018. Although 5% down on the previous year, this was due to a large volume of concentrate produced at its Kyzyl and Makskoye mines which were in the process of being shipped and will be accounted for in the fourth quarter. Importantly, the ramp-up of the Kyzyl mine had been achieved faster than budgeted which led Polymetal to increase its production guidance for 2018 by up to an additional 50,000 ounces of gold equivalent. The Investment Manager undertook a site visit to Kyzyl during the month and the overall impression was very positive both in terms of the mine and Polymetal in general.

During October 2018, Polymetal announced an updated Mineral Resource estimate on the Prognoz silver project in far eastern Russia following its drilling programmes in 2017 and 2018 which totalled 71,276 metres. Polymetal used a higher cut-off grade and more conservative extrapolation parameters than the previous resource statement by Micon in 2009. This led to an overall decrease in contained silver from 293 million ounces to 237 million ounces but a 25% increase in grade from 586g/t Ag to 731g/t. In addition the lead contained in the ore was included in the resource for the first time, which translates to a silver equivalent content of 256 million ounces at a grade of 789g/t Ag equivalent.

Polar Acquisition Limited will receive a royalty of between 0.9% and 1.8% of the value of all future production from the Prognoz mine.

Metals Exploration PLC ("Metals Ex")

During October 2018, Metals Ex announced that production for the third quarter at its Runruno mine in the Philippines amounted to 11,665 ounces of gold, still less than 50% of targeted production. An error in the software used in mine scheduling caused the underestimation of the volume of waste to be removed, with the effect of delaying access into the ore positions in stage 2 of the mine. As a consequence, ore feed to the processing plant has been adjusted to compensate for the reduction in ore tonnages available for processing. The BIOX® circuit, after having established full operations early in the quarter, was operated continuously at reduced throughput rates to match the availability of sulphide concentrate feed.

On 1 November 2018, Metals Ex announced that typhoon Rosita passed directly over the Runruno mine site, depositing 354 mm of water amidst high winds. Within the operational area, physical damage was limited to superficial impacts on infrastructure, which have now been repaired. However outside the operational area the national road between Runruno and Solano has been cut as a result of a bridge failure. This road provides the primary access to the site for vehicular traffic and the delivery of supplies. As a result mining activities have been suspended pending the identification of an alternative supply route for the delivery of diesel to the site.

Further details of the Company and its investments are available on the Company's website www.bakersteelresourcestrust.com 

Enquiries:

Baker Steel Resources Trust Limited +44 20 7389 8237

Francis JohnstoneTrevor Steel

Numis Securities Limited +44 20 7260 1000

David Benda (corporate)

James Glass (sales)

The Net Asset Value ("NAV") figure stated is based on unaudited estimated valuations of the underlying investments and not necessarily based on observable inputs. Such estimates are not subject to any independent verification or other due diligence and may not comply with generally accepted accounting practices or other generally accepted valuation principles. In addition, some estimated valuations are based on the latest available information which may relate to some time before the date set out above.

Accordingly, no reliance should be placed on such estimated valuations and they should only be taken as an indicative guide. Other risk factors which may be relevant to the NAV figure are set out in the Company's Prospectus dated 26 January 2015.