BlackRock World Mining Trust Plc - Portfolio Update

Performance at month end with net income reinvested

One

Three

One

Three

Five

Month

Months

Year

Years

Years

Net asset value

-1.7%

-2.2%

-9.9%

-15.7%

84.6%

Share price

-2.4%

-5.6%

-17.1%

 -24.6%

92.3%

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

-2.2%

-1.1%

-9.2%

-6.6%

71.4%

* (Total return) 

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

Net asset value (including income)1:

515.79p

Net asset value (capital only):

507.50p

Share price:

463.00p

Discount to NAV2:

10.2%

Total assets:

£1,062.9m

Net yield3:

5.0%

Net gearing:

6.8%

Ordinary shares in issue:

187,936,036

Ordinary shares held in Treasury:

5,075,806

Ongoing charges4:

0.95%

Ongoing charges5:

0.84%

Country Analysis

Total
Assets (%)

Global

55.9

Canada

11.9

Latin America

9.2

Australasia

7.9

United States

5.7

Other Africa

3.3

South Africa

3.1

Indonesia

0.4

Net Current Assets

2.6

-----

100.0

=====

Sector Analysis

Total
Assets (%)

Gold

32.3

Diversified

26.7

Copper

22.0

Steel

5.7

Industrial Minerals

2.4

Iron Ore

2.2

Platinum Group Metals

2.2

Aluminium

1.0

Uranium

0.8

Nickel

0.6

Silver

0.6

Coppers

0.4

Materials

0.3

Zinc

0.2

Net Current Assets

2.6

-----

100.0

=====

Ten largest investments

Company

Total Assets %

Agnico Eagle Mines

7.5

Rio Tinto

7.5

BHP:

    Equity

4.6

    Royalty

1.9

Vale:

    Equity

3.8

    Debenture

2.5

Wheaton Precious Metals

5.2

Anglo American

4.3

Freeport-McMoRan

4.3

Kinross Gold

3.9

Newmont

3.6

Glencore

2.9

Asset Analysis

Total Assets (%)

Equity

94.3

Bonds

1.9

Convertible Bond

0.7

Preferred Stock

0.5

Net Current Assets

2.6

-----

100.0

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

Performance

The mining sector and broader equity markets experienced notable volatility in April 2025, primarily driven by the announcement of tariffs and the resulting uncertainty regarding global economic growth. For context, the MSCI All Country World Index rose by 0.9% over the month. The mining sector also faced protectionist measures from regions including Europe, South Korea, Vietnam and India, which have initiated anti-dumping actions against China. These measures support domestic capacity and reduce the deflationary impact of low-priced Chinese exports, creating a positive backdrop for the sector over the longer term in our view. We await China’s response to escalating tensions with the U.S., which will be important in sustaining its domestic economic momentum.

Gold stood out as a relative outperformer amid this environment, benefiting from a weaker U.S. dollar and increased market volatility. Strong central bank purchases and robust retail demand, particularly in Asia, have further supported the gold price. Within precious metals, the gold price increased by 5.9%, while the silver price declined by 3.3%. Commodity performance was generally weak: prices for iron ore (62% Fe), copper and nickel fell by 5.4%, 5.6% and 3.1% respectively.

April also saw market dislocations due to tariff uncertainties, notably in copper, where Comex prices traded at approximately a 10% premium over LME prices.

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.

20 May 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.