BLACKROCK ENERGY AND RESOURCES INCOME TRUST plc
(LEI:54930040ALEAVPMMDC31)
All information is at 31 March 2025 and unaudited.
Performance at month end with net income reinvested
One Three Six One Three Five
Month Months Months Year Years Years
Net asset -2.3% -0.9% -2.9% -0.5% 5.3% 182.1%
value
Share price -1.6% 0.1% -2.4% 3.4% -0.6% 213.8%
Sources: Datastream, BlackRock
At month end
Net asset value – capital only: 124.41p
Net asset value cum income1: 124.56p
Share price: 113.00p
Discount to NAV (cum income): 9.3%
Net yield: 4.0%
Gearing - cum income: 6.2%
Total assets: £147.1m
Ordinary shares in issue2: 118,059,497
Gearing range (as a % of net 0-20%
assets):
Ongoing charges3: 1.20%
1 Includes net revenue of 0.15p.
2 Excluding 17,526,697 ordinary shares held in treasury.
3 The Company’s ongoing charges are calculated as a percentage of
average daily net assets and using the management fee and all
other operating expenses excluding finance costs, direct
transaction costs, custody transaction charges, VAT recovered,
taxation and certain other non-recurring items for the year ended
30 November 2024. In addition, the Company’s Manager has also
agreed to cap ongoing charges by rebating a portion of the
management fee to the extent that the Company’s ongoing charges
exceed 1.15% of average net assets.
Sector Overview
Mining 43.4%
Energy 34.8%
Energy Transition 22.8%
Net Current Liabilities -1.0%
-----
100.0%
=====
Sector Analysis % Total Country Analysis % Total
Assets^ Assets^
Mining: Global 49.8
Diversified 21.4 United States 23.6
Copper 6.6 Canada 7.4
Gold 3.9 Latin America 5.6
Aluminium 3.2 United Kingdom 4.3
Industrial Minerals 3.0 Germany 2.5
Steel 1.6 Italy 2.2
Platinum Group Metals 1.3 Australia 2.0
Nickel 0.9 Other Africa 1.7
Uranium 0.8 South Africa 1.3
Metals & Mining 0.7 Ireland 0.6
Subtotal Mining: 43.4 Net Current Liabilities -1.0
-----
100.0
Traditional Energy:
E&P 11.0
Integrated 10.9
Oil Services 7.5
Distribution 4.1
Oil, Gas & Consumable 1.3
Fuels
Subtotal Traditional 34.8
Energy:
Energy Transition:
Energy Efficiency 10.0
Electrification 5.0
Storage 4.0
Renewables 3.1
Transport 0.7
Subtotal Energy 22.8
Transition:
Net Current Liabilities -1.0
-----
100.0
=====
^ Total Assets for the purposes of these calculations exclude bank
overdrafts, and the net current liabilities figure shown in the
tables above therefore exclude bank overdrafts equivalent to 5.2%
of the Company’s net asset value.
Ten Largest Investments
Company Region of Risk % Total Assets
Anglo American Global 5.4
Rio Tinto Global 5.4
Vale - ADS Latin America 4.7
Shell Global 4.0
Chevron Global 4.0
NiSource United States 3.2
Norsk Hydro Global 3.2
National Grid United Kingdom 2.8
EOG Resources United States 2.7
Hess Global 2.7
Commenting on the markets, Tom Holl and Mark Hume, representing
the Investment Manager noted:
The Company’s NAV fell -2.3% in March (in GBP terms).
Stock market volatility remained elevated during the month, as the
US imposed higher tariffs on China and implemented a series of
tariffs on Canada and Mexico. These updates as well as uncertainty
surrounding Liberation Day tariffs announced at the start of April
negatively impacted broader equity markets and weakened consumer
sentiment, particularly in the US. A rotation in stock market
performance favouring European equities continued into March, in
contrast to strong outperformance of the US stock market in 2024.
Global equity markets represented by the MSCI All Country World
Index returned -4.0% in March 2025.
Within the sustainable energy theme, Germany’s government passed
announced a €500billion package boosting defence and
infrastructure spending, €100bn of which will be guaranteed for
green projects. This follows a similar announcement in February of
the EU’s Clean Industrial Deal, which mobilized €100billion to
support EU-made clean manufacturing and a focus on the
decarbonisation of industrial sectors. Additionally, increased
geopolitical tensions continued during the month, including
between the US and Iran continued surrounding the Iran-backed
Houthis, as well as frictions emerging between the US and Russia,
which boosted energy commodity prices during the month.
Most relevant to the energy sector was the formal announcement of
the US imposing 10% tariffs on Canadian oil exports, with
implications for the pricing of oil products from oil refineries
that currently receive Canadian oil. Oil prices rose modestly
during the month, predominantly driven by geopolitical tensions as
the US administration ordered airstrikes on the Houthi rebels,
re-underwriting a maximum pressure policy on Iran. On the other
hand, OPEC announced plans to start increasing crude oil
production starting in April 2025, reversing their 2.2 mbl/d
voluntary output cuts. As a result, oil prices only rose modestly
during the month. The Brent oil price rose +3.3%, whilst the WTI
oil price rose +2.7%, ending the month at $77/bbl and $72bbl
respectively. The US Henry Hub natural gas price rose 8.1% during
the month to end at $4.13/mmbtu.
March was a positive month for the mining sector, outperforming
broader equity markets which fell -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.
All data points in US dollar terms unless otherwise specified.
Commodity price moves sourced from Thomson Reuters Datastream.
14 April 2025
ENDS
Latest information is available by typing
www.blackrock.com/uk/beri on the internet, "BLRKINDEX" on Reuters,
"BLRK" on Bloomberg or "8800" on Topic 3 (ICV terminal). 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.
Release
