BlackRock World Mining Trust Plc - Half-year Report
LEI: LNFFPBEUZJBOSR6PW155
Condensed Half Yearly Financial Report for the six months ended
Performance record
As at As at
30 June 31 December
2025
2024
Net assets (£’000)1 1,012,777 975,199
Net asset value per ordinary share (NAV) (pence) 540.48 510.53
Ordinary share price (mid-market) (pence) 528.00 481.00
Reference index2 – net total return 5,922.91 5,411.07
Discount to net asset value3 2.3% 5.8%
========= =========
For the For the
six months year
ended
ended 31 December
30 June
2025 2024
Performance (with dividends reinvested)
Net asset value per share2,3 +8.2% -10.7%
Ordinary share price2,3 +12.5% -12.7%
Reference index2 +9.5% -9.9%
========= =========
Since inception
Since inception to 31 December
to 30 June 2025 2024
Performance since inception (with dividends
reinvested)
Net asset value per share2,3 +1,271.9% +1,167.4%
Ordinary share price2,3 +1,339.6% +1,180.2%
Reference index2 +990.6% +896.3%
========= =========
For the For the
six months six months
ended ended Change
30 June 2025 30 June 2024 %
Revenue
Net revenue profit after 21,325 22,848 -6.7
taxation (£’000)
Revenue return per ordinary 11.26 11.95 -5.8
share (pence)4
--------------- --------------- ---------------
Dividend per ordinary share
(pence)
– 1st interim 5.50 5.50 –
– 2nd interim 5.50 5.50 -
--------------- --------------- ---------------
Total dividends paid and payable 11.00 11.00 -
========= ========= =========
1 The change in net assets reflects portfolio movements, dividends paid and the repurchase of ordinary shares into treasury during the period.
2
MSCI ACWI Metals & Mining 30% Buffer 10/40 Index (net total return). With effect from
3 Alternative Performance Measures, see Glossary contained within the Half Yearly Financial Report.
4 Further details are given in the Glossary contained within the Half Yearly Financial Report.
Chairman’s Statement
Market overview
The first half of 2025 continued to be shaped by significant volatility across global markets. Persistent geopolitical tensions, including ongoing conflicts in
For the mining sector, performance was mixed. Copper and gold prices reached new highs during the period, underpinned by robust demand from the energy transition, infrastructure investment and continued central bank gold purchases. However, bulk commodities such as iron ore and coal faced renewed headwinds, largely due to ongoing weakness in China’s property sector and broader concerns about the sustainability of China’s economic recovery. This divergence was reflected in company results and sector returns, with precious and energy transition metals outperforming bulk commodities.
Merger and acquisition (M&A) activity remained elevated, as mining companies sought to reposition portfolios towards future-facing assets, particularly in copper, lithium and rare earths. Despite these positive drivers, overall sector sentiment was dampened by uncertainty over China’s growth outlook, the impact of global election cycles and the potential for further trade restrictions. As a result, commodity prices softened towards the end of the period and sector momentum faltered.
Performance
Against this backdrop, for the six month period ending
Since the period end and up to the close of business on
Revenue return and dividends
Over the six month period to
As noted in the Investment Manager’s outlook statement, the main contributors to the Company’s revenue return in the portfolio are seeing less distributable cash. In this scenario, the Company may use distributable reserves to bridge the shortfall over the short term, but only if there is visibility to a recovery in revenue in the next financial year.
The first quarterly dividend of 5.50p per share was paid on
Management of share rating
For the period under review, the Company’s ordinary shares traded at an average discount to NAV of 7.9% and were trading at a discount of 7.1% on a cum income basis as at
The Company did not reissue any shares during the six month period ended
The Directors recognise the importance to investors that the Company’s share price does not trade at a significant premium or discount to NAV. Accordingly, the Directors monitor the share price closely and, in the context of wider market conditions, will consider the issuance of shares at a premium or the repurchase at a discount to help balance demand and supply in the market.
Gearing
One of the advantages of the investment trust structure is that the Company can use gearing with the objective of increasing portfolio returns over the longer term. The Company operates a flexible gearing policy which depends on prevailing market conditions. It is not intended that gearing will exceed 25% of the net assets of the Company and its subsidiary. Gearing at
Board composition
As announced on
As previously advised in last year’s Annual Report,
Market outlook
Looking ahead, we expect market volatility to persist through the second half of 2025, underpinned by a complex interplay of geopolitical developments and monetary policy shifts. China’s economic trajectory continues to be a critical variable for commodity demand and any signs of sustained recovery or further stimulus could materially influence sector performance.
Despite these near-term uncertainties, the long-term structural case for the mining sector remains compelling. The global transition to a low-carbon economy is expected to drive sustained demand for critical minerals and metals, particularly those essential to renewable energy infrastructure, electric vehicles and battery technologies. The rapid expansion of artificial intelligence and associated data infrastructure is also anticipated to further support demand for key industrial metals such as copper and aluminium. This positions the sector well to navigate near-term challenges and capitalise on future growth opportunities.
Chairman
Investment Manager’s Report
The first half of 2025 witnessed significant movements in industrial commodity markets, driven by a combination of tariffs, geopolitical tensions and financial market volatility related to a range of specific triggers. The largest beneficiary over the entire period was gold, with the price repeatedly moving to new all-time highs. The scale of the move is covered in more detail later in the report, but we believe this breakout could trigger a series of long overdue gains for gold producers.
In the industrial metals space, the introduction of tariffs triggered a rush by traders to lock in an arbitrage between anticipated US domestic pricing and that of the international market. On the back of this, premiums for US based materials have existed for much of the year, allowing domestic producers to harvest better returns than their international peers.
Corporate activity has remained at healthy levels. The most significant event for the Company was the bid for Metals Acquisition, a copper producer in
Over the period ended
ESG and the social license to operate
The main areas of engagement during the period have been on mergers and acquisitions (M&A), ongoing decarbonisation plans, capital allocation and ensuring that companies continue to respect the social license to operate. The area of greatest focus has been on capital allocation as industry numbers suggest that the sector is moving into a period of heavy spending, despite commodity prices not yet justifying the investment. More worrying is where spending is ramping up without cash generation to cover it, leading to balance sheets needing to fund this shortfall. It is essential for the Company, in our view, that we avoid companies that put equity at risk against questionable returns.
In relation to funding for projects, it is clear that alternatives to normal sources of funding are more readily available than in the past and offer attractive cost of funds. It is our expectation that some companies will look to partner with infrastructure investors to share the burden of planned spending given the natural arbitrage that exists between the cost of capital for a resource company versus that of infrastructure investors. Time will tell if management teams are keen for this new source of capital.
Coiled spring
During the first half of the year (1H 25), there has been a significant dispersion of returns within the commodity sector. As can be seen in the table below, the prices of precious metals did extremely well whereas bulk commodities, such as iron ore and coal, moved in the opposite direction. Base metal prices were generally positive, but this masks the low margins that many producers now face. For example, the nickel price is now deeply into the cost curve and is forcing production capacity to close.
% Change % Change average price
Commodity 30 June 2025 in YTD 1H25
1H25 vs 1H24
Gold US$/ounce (oz) 3,284.5 +25.1 +39.3
Silver US$/oz 36.0 +24.5 +25.5
Platinum US$/oz 1,350.0 +47.7 +7.6
Palladium US$/oz 1,134.0 +24.8 -0.3
Copper US$/tonne (t) 10,050.7 +16.2 +3.6
Nickel US$/t 15,019.6 -0.6 -12.3
Aluminium US$/t 2,596.6 +2.8 +7.2
Zinc US$/t 2,741.3 -7.2 +3.7
Lead US$/t 2,017.4 +4.8 -7.7
Tin US$/pound (lb) 15.4 +17.3 +9.7
Uranium US$/lb 74.3 +2.0 -25.4
Iron Ore (China 62% fines) U$/t 92.0 -7.5 -16.9
Thermal Coal (Newcastle) U$/t 110.0 -12.3 -20.9
Coking Coal U$/t 173.5 -11.7 -32.8
Lithium carbonate US$/kg 7.9 -21.9 -29.6
WTI1 (Cushing) US$/barrel 66.3 -8.5 -14.1
========= ========= =========
Within the portfolio, the key commodity exposure is to copper on the base metals side and gold within precious metals. Prices for both commodities have been strong and the key for ongoing performance will be how these translate into earnings for the companies. Too often higher prices end up being lost to the pressures of poor operating performance, inflation, taxation, or consumed in reinvestment by the companies. It is our hope that this does not prove to be the case and improved profitability from higher prices acts like a coiled spring and is translated into further share price gains.
Performance drivers
During the period, the portfolio had its usual mix of contributors. The most disappointing drag on returns during the period was the impact of production losses suffered by
Ivanhoe Mines
(0.5% of the portfolio) at its
This caused the company to downgrade operating numbers for this year but, more importantly, it added uncertainty to the outlook for 2026. The combined impact cost the portfolio 1.1% in returns relative to the reference index, as the shares were down 42% over the period. To put this in context, up until this point the company had been one of the best returning of all the copper equities, delivering a return of over 600% in the prior five years to end 2024. Another disappointment in the copper space was Foran Mining (1.3% of the portfolio) which needed to raise cash due to a funding shortfall during construction of its new mine. This was particularly frustrating as it was largely caused by a delay to payments due from the Canadian Government as a result of the leadership election. The mine remains on track for first production next year and, with a strong copper price, it is expected that it will not take long for the company to recover these short-term losses.
On the positive side, having greater exposure than the reference index to a range of gold holdings drove much of the positive gains across the portfolio as share prices rallied over 50% in many cases and more than 200% in some cases. It is also worth mentioning the impact from
Develop Global
(2.0% of the portfolio), a mid-cap company developing a new copper mine in
Base metals
It was a volatile first half of the year for base metals with prices driven by a range of factors including tariffs, the weakening US Dollar, front-end loading of demand and supply side disruptions. This resulted in mixed prices with copper and aluminium prices rising by +16.2% and +2.8% respectively, while nickel and zinc declined by -0.6% and -7.2%, respectively.
Our favoured based metal, copper, benefited from robust Chinese demand with refined copper demand up by +13% in the five month period to
We remain optimistic on the long-term demand outlook for copper driven by infrastructure spending, electrification, materials-intensive renewable energy and the clean energy power requirements of artificial intelligence (AI) datacentres. We continue to believe that prices will need to move higher in the longer term to support the development of new greenfield projects and offset ongoing inflation.
Aluminium
The aluminium price finished the period relatively flat. China’s apparent demand is +6% year-to-date, benefiting from strong solar and wind demand. In
In 2017 China put in place an aluminium production cap of 45 million tonnes per annum (mtpa) in an effort to address overcapacity. China’s aluminium output has remained at the 45mtpa cap which has led to
Nickel
While the nickel price has stabilised, it remains a challenging environment for non-Indonesian nickel producers to generate competitive margins.
Bulks and steel
The first half of 2025 was a challenging period for bulk commodities. Iron ore prices declined by 7.5%, while both metallurgical and thermal coal prices fell by 12.0%. Chinese steel production is tracking at a similar level to last year of circa 1 billion tonnes. Ongoing softness in the property sector has pressured China’s domestic steel demand, where they continue to rely on the export market which has placed significant pressure on global steel markets.
In response to oversupply and to support domestic industry,
In the US we have seen steel prices rally year to date with the introduction of tariffs which were increased from 25% to 50% during 1H 25. The introduction of new tariffs and anti-dumping measures has added a layer of protection for domestic producers including Nucor (2.8% of the portfolio) and Steel Dynamics (1.7% of the portfolio). Nippon Steel’s offer for US Steel was approved during 1H 25, which benefited the portfolio given our holding in the latter which we subsequently exited following the offer.
Iron ore has been an area of strength in recent years, supporting free cash flow and dividends for the large producers. A distinct feature of the iron ore market over the last three years has been the resilience of the price around
The Company’s exposure to iron ore is primarily via the diversified majors
BHP
(6.1% of the portfolio),
Vale
(7.6% of the portfolio) and
It has been a tough market for coking coal (-12% during 1H 25) with moderating Chinese steel production and domestic supply growth in
The thermal coal market has been pressured by strong Chinese production and an increased share for renewables in global power generation. The low pricing environment has seen some supply curtailed which appears to have put a floor in prices which have rallied from
The Company’s thermal coal exposure is via its position in Glencore (4.0% of the portfolio) which announced last year it will retain both its thermal and metallurgical coal businesses, where it remains committed to the responsible rundown of the thermal coal operations over time. Despite depressed coal prices, Glencore trades attractively on a free cash flow yield basis and has taken advantage of its depressed share price to buy back shares in the market during 1H 25.
Precious metals
It has been an exciting time for precious metals, with gold up by +25.1%, silver up by +25.5%, platinum up by +47.7% and palladium up by +24.7% during 1H 25. A new all-time high price was set for gold in
Tariff induced uncertainty and elevated geopolitical risk saw investors flock to safe haven assets such as gold. Typically, investors would also look towards other traditional safe haven investments like
Gold continues to be supported by robust central bank demand which is on track for a fourth consecutive year of >1,000 tonnes of gold purchases. We are seeing new buyers emerge such as Chinese insurance companies and gold has seen strong physical demand in
Encouragingly, gold equities exhibited positive beta of circa 2:1 to the gold price move with the FTSE Gold Mines Index up by +57% versus the gold price +25% during 1H 25. With oil prices subdued and cost inflation moderating, it has been an ideal environment for gold producer margins with gold companies generating more free cash flow, increasing dividends and announcing buybacks.
Key gold exposures for the Company include Agnico Eagle Mines (6.6% of the portfolio) which leads the sector in terms of its free cash flow generation per share, along with Kinross Gold (4.0% of the portfolio) which maintains a disciplined approach to costs and a return focused financial strategy.
The Company participated in an equity raising for
Discovery Silver
(0.6% of the portfolio) earlier in the year to acquire the Porcupine assets from Newmont Corporation for
After a significant period of underperformance, the platinum group metals (PGMs) appeared to bottom with markets beginning to tighten. The platinum price was up by +47.7% and palladium was up by +25.5% during the 1H 25. We have previously discussed the structural headwinds facing the PGMs, including the growth in electric vehicles which do not use PGMs. A key question going forward is the use of PGMs in hybrid electric and range extenders for electric vehicles. We see this as providing some upside to PGM demand relative to current expectations. For now, we see a tighter market with prices trading into the cost curve for the best part of two years which have worked inventories down.
The Company’s exposure to PGM producers was 3.0% of the portfolio as at the end of
The energy transition
In 1H 25 global battery electric vehicle (including Plug in Hybrid Electric Vehicles) sales continued to grow strongly, with full-year projections reaching approximately 22 million units, up from around 17 million in 2024. This sustained growth has been driven by improving battery performance, falling production costs and an expanding model range - particularly in
Despite weak pricing, lithium’s strategic importance in the energy transition remains clear. This was underscored by Rio Tinto’s acquisition of Arcadium Lithium (Arcadium) in late 2024. In 1H 25,
The importance of nuclear energy in achieving Net Zero goals also gained momentum through 2024 and 1H 25. We have seen increased support for nuclear energy, particularly among the tech hyperscalers (large cloud service providers with the IT architecture to scale up to meet significant increases in demand) which are increasingly looking at nuclear energy to power their AI datacentres. The Company’s holding in
Cameco
(1.7% of the portfolio) rose 32% in 1H 25, supported by its position as a fully integrated uranium producer from mine to nuclear fuel via its ownership stake in Westinghouse. During the first half, Cameco announced its first reactor deal from Westinghouse since acquiring the business which is a key development we have been anticipating. For Cameco, this translated into an expected financial upside of
Rare earth elements (REEs) remain another critical material - particularly for electric vehicle motors that use Praseodymium-Neodymium (NdPr) magnets. With supply heavily concentrated in
Royalty and unquoted investments
As of
BHP Brazil Royalty Contract (1.8% of the portfolio)
In 2014 the Company invested
Since our investment, Avanco was acquired and BHP is the current operator of the mine. The Company has received
We are encouraged by the improved performance at Pedra Branca with BHP investing more into development and executing a solid maintenance schedule at the plant. With gold prices up by +25% during 1H 25, we have received higher income given the royalty receives 25% of gold revenue from the mine. As publicly reported, BHP is exploring the sale of its Brazilian copper and gold assets. We continue to monitor this situation, as the royalty will remain attached to the asset upon any sale.
Vale Debentures (2.7% of the portfolio)
At the beginning of 2019, the Company completed a significant transaction to increase its holding in Vale Debentures. The debentures consist of a 1.8% net revenue royalty on Vale’s Northern System and Southeastern System iron ore assets in
Since our investment in 2019, where we acquired the debentures for
Whilst the Vale Debentures are a royalty, they are also a listed security on the Brazilian National Debentures System. As we have highlighted in previous reports, shareholders should be aware that historically there has been a low level of liquidity in the debentures and price volatility is to be expected.
Jetti Resources (1.1% of the portfolio)
In early 2022, the Company made an investment into a mining technology company, Jetti Resources (Jetti), which has developed a new catalyst that improves copper recovery from primary copper sulphides (specifically copper contained in chalcopyrite, which is often uneconomic) under conventional leach conditions. Jetti is currently trialling their technology across a number of mines where they will look to integrate their catalyst into existing heap leach SX-EW mines to improve recoveries at a low capital cost. The technology is currently being used at Capstone’s
During 1H 25 the Company further reduced the holding value of Jetti by 39% to reflect the longer contracting negotiation process and subsequent delays to revenue expectations. This resulted in a 0.7% impact to performance of the Company. Jetti is now valued modestly higher than our initial investment made into the company back in 2022.
During the 1H 25, MCC published an initial resource at Pantanos of
Derivatives activity
The Company, from time to time, enters into derivatives contracts, mostly involving the sale of “puts” and “calls”. These are taken to revenue and are subject to strict Board guidelines which limit their magnitude to an aggregate 10% of the portfolio. All derivatives are appropriately covered at all times. In the first half of 2025 income generated from options was £3.9 million. The absence of any specific events limited the opportunity set compared to last year, but income generation remained at healthy levels. At the end of the period, the Company had 0.1% of the net assets exposed to derivatives and the average exposure to derivatives during the period was less than 5% of net assets.
Gearing
At
Outlook
Despite a solid start to the year that has continued through to the point of writing this report, the impact of tariffs on physical markets cannot be ignored. There remains a significant risk that US demand for industrial metals has been brought forward into the first half and this has tightened up markets in the short term as traders shipped material into the US ahead of the tariffs being imposed. If either general economic activity slows or demand softens then these metal prices would be at risk, potentially leading to lower prices versus those seen in the first half. As such, the portfolio is positioned for a more cautious outlook with debt at lower levels than in the past. In addition, the portfolio is more orientated to companies best positioned to capture the windfalls from tariffs.
In the precious metals space there is excellent potential for companies to harvest tremendous levels of cashflow from the buoyant prices. The summer earnings season will be a real test to identify the haves and have nots in terms of capturing the margins. Additionally, it is essential to monitor what managements do with the cash generated. To date, a number have gone down the path of M&A or bought back shares. It is our hope that they stick to the more traditional approach of returning the cash to investors via dividends given the large year to date rally in share prices.
In relation to income, it is clear that the biggest historical contributors to the Company’s revenue line are seeing lower levels of distributable cash due to margin pressure (iron ore and coal in particular), and higher levels of capital spending. Should this trend continue, it will require increased levels of payments from others, such as the precious metal companies, to make up the shortfall. Whilst this might easily happen over a 12 month period, in the short term there could be a gap in revenue received versus future payments.
EVY HAMBRO AND
1 West Texas Intermediate.
Sources: LSEG DataStream and Bloomberg,
Ten largest investments
Together, the Company’s ten largest investments represented 52.6% of the Company’s portfolio as at
1
▲
Vale
1,2,3
(2024: 6th)
Diversified mining group
Market value: £82,634,000
Share of investments: 7.6% comprising equity of 4.9% and debentures of 2.7%
(2024: 4.5%)
Vale is the world’s largest producer of iron ore, iron ore pellets and nickel. The group also produces copper and cobalt as part of its base metals division.
2
▲
Agnico Eagle Mines
2
(2024: 5th)
Gold producer
Market value: £71,325,000
Share of investments: 6.6%
(2024: 5.2%)
A senior gold producer and the second largest in the world by market capitalisation. The company has operations in
3
▼
BHP
1,4
(2024: 1st)
Diversified mining group
Market value: £66,119,000
Share of investments: 6.1% comprising equity of 4.3% and mining royalty contract of 1.8%
(2024: 9.1%)
The world’s largest diversified mining group by market capitalisation. The group is an important global player in a number of commodities including iron ore, copper, nickel, metallurgical coal and potash.
4
▼
Diversified mining group
Market value: £65,356,000
Share of investments: 6.0%
(2024: 7.2%)
One of the world’s leading mining groups. The British-Australian group’s primary product is iron ore, but it also produces aluminium, copper, diamonds and industrial minerals.
5
▲
Wheaton Precious Metals
(2024: 8th)
Gold producer
Market value: £59,410,000
Share of investments: 5.5%
(2024: 3.9%)
One of the world’s largest precious metals streaming companies. The company provides financing to traditional mining companies in exchange for a percentage of the metals produced by one or more of those companies’ mines.
6
▲
Freeport-McMoRan
(2024: 7th)
Copper producer
Market value: £58,595,000
Share of investments: 5.4%
(2024: 4.4%)
A global mining group producing copper, gold and molybdenum. The company has operations in
7
▲
Kinross Gold
(2024: 27th)
Gold producer
Market value: £43,550,000
Share of investments: 4.0%
(2024: 1.2%)
A mining company conducting extraction and processing of gold and silver ore. It operates a portfolio of gold mines in
8
▼
Anglo American
(2024: 4th)
Diversified mining group
Market value: £42,936,000
Share of investments: 4.0%
(2024: 5.9%)
A globally diversified group with exposure to copper, premium iron ore, crop nutrients and other commodities. The company is currently undertaking a restructuring to simplify the business.
9
▼
Glencore
(2024: 3rd)
Diversified mining group
Market value: £42,792,000
Share of investments: 4.0%
(2024: 6.0%)
One of the world’s largest globally diversified natural resources groups. The group produces copper, nickel, alumina/aluminium, zinc and thermal and metallurgical coal and also has a commodity marketing/distribution business.
10
▲
Newmont Corporation
(2024: 12th)
Gold producer
Market value: £40,338,000
Share of investments: 3.7%
(2024: 2.8%)
One of the world’s largest gold producers by market capitalisation. The group has gold and copper operations on five continents, with active gold mines in
1 Includes investments held at Directors’ valuation.
2 Includes options.
3 Includes fixed income securities.
4 Includes mining royalty contract.
All percentages reflect the value of the holding as a percentage of total investments. For this purpose, where more than one class of securities is held, these have been aggregated.
Arrows indicate the change in relative ranking of the position in the portfolio compared to its ranking as at
Percentages in brackets represent the value of the holding as at
Investments as at
Main Market
geographical value % of
exposure £’000 investments
Gold
Agnico Eagle Mines Canada 71,606
} 6.6
Agnico Eagle Mines Call Option Canada (281)
18/07/2025 CAD$164.00
Wheaton Precious Metals Global 59,410 5.5
Kinross Gold Global 43,550 4.0
Newmont Corporation Global 40,338 3.7
Barrick Mining Global 30,557 2.8
AngloGold Ashanti South Africa 19,262 1.8
Northern Star Resources Australasia 16,171 1.5
Franco-Nevada Global 15,847 1.4
Endeavour Mining Other Africa 10,974 1.0
Capricorn Metals Australasia 9,501 0.9
Allied Gold1 Other Africa 7,662 0.7
Firefly Metals Canada 5,699 0.5
Bellevue Gold Australasia 3,918 0.4
Minerals 260 Australasia 2,761 0.3
Polyus* Russia – –
--------------- ---------------
336,975 31.1
========= =========
Diversified
Vale Global 53,816
Vale Debentures1,2,3 Global 29,358 } 7.6
Vale Call Option 18/07/2025 Global (540)
US$9.50
Rio Tinto Global 65,356 6.0
BHP Global 46,781 4.3
Anglo American Global 42,936 4.0
Glencore Global 42,792 4.0
Teck Resources Global 10,854 1.0
Vox Royalty Canada 3,103 0.3
--------------- ---------------
294,456 27.2
========= =========
Copper
Freeport-McMoRan Global 58,595 5.4
Develop Global Australasia 21,837 2.0
MCC Mining2 Latin America 19,980 1.8
BHP Brazil Royalty2,4 Latin America 19,338 1.8
Sociedad Minera Cerro Verde Latin America 19,088 1.8
Ivanhoe Electric United States 16,900 1.6
Lundin Mining Global 15,834 1.5
Southern Copper Corporation Latin America 13,913 1.3
Foran Mining Canada 13,831 1.3
Jetti Resources2 Global 12,230 1.1
First Quantum Minerals Global 11,982 1.1
Metals Acquisition Australasia 11,603 1.0
Ivanhoe Mines Other Africa 5,782 0.5
NGEx Minerals Latin America 5,753 0.5
Solaris Resources Latin America 4,449 0.4
Capstone Mining United States 3,110 0.3
Ero Copper Latin America 2,387 0.2
--------------- ---------------
256,612 23.6
Steel ========= =========
Nucor United States 30,267 2.8
ArcelorMittal Global 18,987 1.8
Steel Dynamics United States 18,343 1.7
Reliance United States 2,811 0.3
--------------- ---------------
70,408 6.6
========= =========
Platinum Group Metals
Valterra Platinum South Africa 13,852 1.3
Bravo Mining Latin America 12,680 1.2
Northam Platinum Global 3,262 0.3
Impala Platinum South Africa 2,591 0.2
--------------- ---------------
32,385 3.0
========= =========
Industrial Minerals
Lynas Rare Earths Australasia 9,051 0.8
Albemarle Global 6,020 0.6
Iluka Resources Australasia 3,270 0.3
Sigma Lithium Latin America 2,158 0.2
Chalice Mining Australasia 1,948 0.2
Sheffield Resources Australasia 1,621 0.1
Australian Carbon Australasia – –
Victorian Hydrogen & Ammonia Australasia – –
Industry
--------------- ---------------
24,068 2.2
========= =========
Iron Ore
Labrador Iron Canada 10,183 0.9
Champion Iron Canada 6,015 0.6
Fortescue Australasia 5,677 0.5
Equatorial Resources Other Africa 194 –
--------------- ---------------
22,069 2.0
========= =========
Uranium
Cameco Canada 18,086
} 1.7
Cameco Call Option 18/07/2025 Canada (111)
US$75.00
--------------- ---------------
17,975 1.7
========= =========
Aluminium
Hydro Global 10,636 1.0
--------------- ---------------
10,636 1.0
========= =========
Nickel
Nickel Industries Indonesia 5,052 0.5
Lifezone Metals Global 2,870 0.3
Bindura Nickel Global – –
--------------- ---------------
7,922 0.8
========= =========
Silver
Discovery Silver Latin America 6,891 0.6
--------------- ---------------
6,891 0.6
========= =========
Zinc
Titan Mining United States 2,397 0.2
--------------- ---------------
2,397 0.2
========= =========
Energy Minerals
Gippsland Energy Australasia – –
Latrobe Fertilisers Australasia – –
--------------- ---------------
– –
--------------- ---------------
Portfolio 1,082,794 100.0
========= =========
Comprising:
- Investments 1,083,726 100.1
- Options (932) (0.1)
--------------- ---------------
1,082,794 100.0
========= =========
1 Includes fixed income securities.
2 Includes investments held at Directors’ valuation.
3
The investment in the Vale debentures is illiquid and has been valued using secondary market pricing information provided by the
4 Mining royalty contract.
*
This position is fair valued to nil due to sanctions on
All investments are in equity shares unless otherwise stated.
The total number of investments as at
As at
Portfolio analysis as at
Commodity Exposure 1
___________________________________________________________ | |2025 |2024 |2025 | | |portfolio|portfolio2|reference index3| |_____________________|_________|__________|________________| |Gold |31.1% |22.0% |33.4% | |_____________________|_________|__________|________________| |Diversified |27.2% |33.9% |28.4% | |_____________________|_________|__________|________________| |Copper |23.6% |24.8% |11.9% | |_____________________|_________|__________|________________| |Steel |6.6% |4.7% |16.4% | |_____________________|_________|__________|________________| |Platinum Group Metals|3.0% |1.7% |1.5% | |_____________________|_________|__________|________________| |Industrial Minerals |2.2% |2.8% |0.1% | |_____________________|_________|__________|________________| |Iron Ore |2.0% |3.2% |2.6% | |_____________________|_________|__________|________________| |Uranium |1.7% |3.4% |0.0% | |_____________________|_________|__________|________________| |Aluminium |1.0% |2.3% |3.3% | |_____________________|_________|__________|________________| |Nickel |0.8% |1.1% |0.0% | |_____________________|_________|__________|________________| |Silver |0.6% |0.0% |1.5% | |_____________________|_________|__________|________________| |Zinc |0.2% |0.1% |0.3% | |_____________________|_________|__________|________________| |Other4 |0.0% |0.0% |0.6% | |_____________________|_________|__________|________________|
1 Based on index classifications
2
Represents exposure at
3 MSCI ACWI Metals & Mining 30% Buffer 10/40 Index (net total return).
4 Represents a very small exposure.
Geographic Exposure 1
____________________________________ | |2025 | |______________________________|_____| |Global |57.4%| |______________________________|_____| |Canada |11.9%| |______________________________|_____| |Latin America |9.8% | |______________________________|_____| |Australasia |8.0% | |______________________________|_____| |Other2 |7.4% | |______________________________|_____| |South Africa |3.3% | |______________________________|_____| |Other Africa (exSouth Africa )|2.2% | |______________________________|_____|
____________________________________ | |2024 | |______________________________|_____| |Global |61.3%| |______________________________|_____| |Canada |12.5%| |______________________________|_____| |Latin America |8.9% | |______________________________|_____| |Australasia |6.5% | |______________________________|_____| |Other2 |6.2% | |______________________________|_____| |Other Africa (exSouth Africa )|3.9% | |______________________________|_____| |South Africa |0.7% | |______________________________|_____|
1 Based on the principal commodity exposure and place of operation of each investment.
2
Consists of
Interim Management Report and Responsibility Statement
The Chairman’s Statement and the Investment Manager’s Report above give details of the important events which have occurred during the period and their impact on the financial statements.
Principal risks and uncertainties
The principal risks faced by the Group can be divided into various areas as follows:
- Market;
- Investment performance;
- Operational;
- Legal and regulatory compliance; and
- Financial.
The Board reported on the principal risks and uncertainties faced by the Group in the Annual Report and Financial Statements for the year ended
In the view of the Board, there have not been any changes to the fundamental nature of the principal risks and uncertainties since the previous report and these are equally applicable to the remaining six months of the financial year as they were to the six months under review.
Going concern
The Directors, having considered the nature and liquidity of the portfolio, the Group’s investment objective and the Group’s projected income and expenditure, are satisfied that the Group has adequate resources to continue in operational existence for the foreseeable future and is financially sound. The Board is mindful of the continuing uncertainty surrounding the current environment of heightened geopolitical risk given the war in
The Group has a portfolio of investments which are predominantly readily realisable and is able to meet all of its liabilities from its assets and income generated from these assets. Accounting revenue and expense forecasts are maintained and reported to the Board regularly and it is expected that the Group will be able to meet all its obligations. Borrowings under the overdraft and revolving credit facilities shall at no time exceed £230 million or 25% of the Group’s net asset value (whichever is the lower) and this covenant was complied with during the period.
Ongoing charges for the year ended
Related party disclosure and transactions with the Manager
The related party transactions with the Directors are set out in note 14 below.
Directors’ responsibility statement
The Disclosure Guidance and Transparency Rules (DTR) of the
The Directors confirm to the best of their knowledge that:
-
the condensed set of financial statements contained within the Condensed Half Yearly Financial Report has been prepared in accordance with
- the Interim Management Report, together with the Chairman’s Statement and Investment Manager’s Report, include a fair review of the information required by 4.2.7R and 4.2.8R of the Financial Conduct Authority Disclosure Guidance and Transparency Rules.
The Condensed Half Yearly Financial Report was approved by the Board on
FOR AND ON BEHALF OF THE BOARD
Consolidated Statement of Comprehensive Income for the six months ended
Six months ended Six months ended Year ended
30 June 2025 30 June 2024 31 December 2024
(unaudited) (unaudited) (audited)
Revenue Capital Total Revenue Capital Total Revenue Capital Total
Notes £’000 £’000 £’000 £’000 £’000 £’000 £’000 £’000 £’000
Income from
investments
held at fair 3 22,353 – 22,353 23,198 – 23,198 43,879 – 43,879
value through
profit or loss
Other income 3 4,530 – 4,530 4,821 – 4,821 11,255 – 11,255
--------------- --------------- --------------- --------------- --------------- --------------- --------------- --------------- ---------------
Total revenue 26,883 – 26,883 28,019 – 28,019 55,134 – 55,134
========= ========= ========= ========= ========= ========= ========= ========= =========
Net profit/
(loss) on
investments and
options held at – 47,965 47,965 – (40,360) (40,360) – (151,792) (151,792)
fair value
through profit
or loss
Net gains/
(losses) on – 12,952 12,952 – 424 424 – (672) (672)
foreign
exchange
--------------- --------------- --------------- --------------- --------------- --------------- --------------- --------------- ---------------
Total 26,883 60,917 87,800 28,019 (39,936) (11,917) 55,134 (152,464) (97,330)
========= ========= ========= ========= ========= ========= ========= ========= =========
Expenses
Investment 4 (1,054) (3,263) (4,317) (1,116) (3,446) (4,562) (2,188) (6,764) (8,952)
management fee
Other operating 5 (627) (2) (629) (611) (6) (617) (1,269) (12) (1,281)
expenses
--------------- --------------- --------------- --------------- --------------- --------------- --------------- --------------- ---------------
Total operating (1,681) (3,265) (4,946) (1,727) (3,452) (5,179) (3,457) (6,776) (10,233)
expenses
========= ========= ========= ========= ========= ========= ========= ========= =========
Net profit/
(loss) on
ordinary
activities 25,202 57,652 82,854 26,292 (43,388) (17,096) 51,677 (159,240) (107,563)
before finance
costs and
taxation
Finance costs (789) (2,447) (3,236) (1,148) (3,446) (4,594) (2,212) (6,630) (8,842)
--------------- --------------- --------------- --------------- --------------- --------------- --------------- --------------- ---------------
Net profit/
(loss) on
ordinary 24,413 55,205 79,618 25,144 (46,834) (21,690) 49,465 (165,870) (116,405)
activities
before taxation
Taxation (3,088) 1,157 (1,931) (2,296) 923 (1,373) (5,338) 1,802 (3,536)
(charge)/credit
--------------- --------------- --------------- --------------- --------------- --------------- --------------- --------------- ---------------
Net profit/
(loss) on
ordinary 21,325 56,362 77,687 22,848 (45,911) (23,063) 44,127 (164,068) (119,941)
activities
after taxation
========= ========= ========= ========= ========= ========= ========= ========= =========
Earnings/(loss)
per ordinary
share (pence) – 7 11.26 29.77 41.03 11.95 (24.01) (12.06) 23.09 (85.84) (62.75)
basic and
diluted
========= ========= ========= ========= ========= ========= ========= ========= =========
The total columns of this statement represent the Group’s Statement of Comprehensive Income, prepared in accordance with
The Group does not have any other comprehensive income/(loss) (six months ended
Consolidated Statement of Changes in Equity for the six months ended
Called Share Capital
up share premium redemption Special Capital Revenue
capital account reserve reserve reserves reserve Total
Note £’000 £’000 £’000 £’000 £’000 £’000 £’000
For the six
months ended
30 June 2025
(unaudited)
At 31 December 9,651 151,493 22,779 192,134 561,093 38,049 975,199
2024
Total
comprehensive
income:
Net profit on
ordinary – – – – 56,362 21,325 77,687
activities
after taxation
Transaction
with owners,
recorded
directly to
equity:
Ordinary
shares 9 – – – (17,301) – – (17,301)
repurchased
into treasury
Share
repurchase 9 – – – (121) – – (121)
costs
Dividends 7 – – – – – (22,687) (22,687)
paid1
--------------- --------------- --------------- --------------- --------------- --------------- ---------------
At 30 June 9,651 151,493 22,779 174,712 617,455 36,687 1,012,777
2025
========= ========= ========= ========= ========= ========= =========
For the six
months ended
30 June 2024
(unaudited)
At 31 December 9,651 151,493 22,779 193,008 725,161 57,959 1,160,051
2023
Total
comprehensive
(loss)/income:
Net
(loss)/profit
on ordinary – – – – (45,911) 22,848 (23,063)
activities
after taxation
Transaction
with owners,
recorded
directly to
equity:
Dividends 7 – – – – – (43,016) (43,016)
paid2
--------------- --------------- --------------- --------------- --------------- --------------- ---------------
At 30 June 9,651 151,493 22,779 193,008 679,250 37,791 1,093,972
2024
========= ========= ========= ========= ========= ========= =========
For the year
ended 31
December 2024
(audited)
At 31 December 9,651 151,493 22,779 193,008 725,161 57,959 1,160,051
2023
Total
comprehensive
(loss)/income:
Net
(loss)/profit
on ordinary – – – – (164,068) 44,127 (119,941)
activities
after taxation
Transaction
with owners,
recorded
directly to
equity:
Ordinary
shares 9 – – – (868) – – (868)
repurchased
into treasury
Share
repurchase 9 – – – (6) – – (6)
costs
Dividends 7 – – – – – (64,037) (64,037)
paid3
--------------- --------------- --------------- --------------- --------------- --------------- ---------------
At 31 December 9,651 151,493 22,779 192,134 561,093 38,049 975,199
2024
========= ========= ========= ========= ========= ========= =========
1
The final dividend for the year ended
2
The final dividend for the year ended
3
The final dividend for the year ended
For information on the Company’s distributable reserves, please refer to note 11 below.
Consolidated Statement of Financial Position as at
As at As at As at
30 June 30 June 31 December
2025 2024 2024
(unaudited) (unaudited) (audited)
Notes £’000 £’000 £’000
Non current assets
Investments held at fair
value through profit or 12 1,083,726 1,209,233 1,093,198
loss
Current assets
Current tax asset 2,084 1,515 1,317
Other receivables 8,699 6,827 2,861
Cash collateral held with 4,366 9,492 4,882
brokers
Cash and cash equivalents 21,378 16,032 21,396
– cash at bank
--------------- --------------- ---------------
Total current assets 36,527 33,866 30,456
========= ========= =========
Total assets 1,120,253 1,243,099 1,123,654
========= ========= =========
Current liabilities
Current taxation liability (360) (367) (877)
Other payables (12,240) (12,322) (10,270)
Derivative financial
liabilities held at fair 12 (932) (1,396) (622)
value through profit or
loss
Bank loans 10 (91,218) (134,483) (135,739)
Cash and cash equivalents 10 (1,706) – (4)
– bank overdraft
--------------- --------------- ---------------
Total current liabilities (106,456) (148,568) (147,512)
========= ========= =========
Total assets less current 1,013,797 1,094,531 976,142
liabilities
========= ========= =========
Non current liabilities
Deferred taxation (1,020) (559) (943)
liability
--------------- --------------- ---------------
Net assets 1,012,777 1,093,972 975,199
========= ========= =========
Equity attributable to
equity holders
Called up share capital 9 9,651 9,651 9,651
Share premium account 11 151,493 151,493 151,493
Capital redemption reserve 11 22,779 22,779 22,779
Special reserve 11 174,712 193,008 192,134
Capital reserves 11 617,455 679,250 561,093
Revenue reserve 11 36,687 37,791 38,049
--------------- --------------- ---------------
Total equity 1,012,777 1,093,972 975,199
========= ========= =========
Net asset value per 8 540.48 572.21 510.53
ordinary share (pence)
========= ========= =========
Consolidated Cash Flow Statement for the six months ended
Six months Six months Year ended
ended ended 31 December
30 June 2025 30 June 2024 2024
(unaudited) (unaudited) (audited)
£’000 £’000 £’000
Operating activities
Net profit/(loss) on ordinary 79,618 (21,690) (116,405)
activities before taxation1
Add back finance costs 3,236 4,594 8,842
Net (profit)/loss on investments
and options held at fair value (47,965) 40,360 151,792
through profit or loss
(including transaction costs)
Net (gains)/losses on foreign (12,952) (424) 672
exchange
Sale of investments held at fair 335,563 360,366 637,750
value through profit or loss
Purchase of investments held at
fair value through profit or (278,098) (309,667) (585,496)
loss
Contractual rights – return of 283 203 397
capital
(Increase)/decrease in other (809) (719) 321
receivables
(Decrease)/increase in other (2,880) 66 2,554
payables
(Increase)/decrease in amounts (5,029) (2,755) 410
due from brokers
Increase in amounts due to 5,004 4,216 –
brokers
Net movement in cash collateral 516 (3,223) 1,387
held with brokers
--------------- --------------- ---------------
Net cash inflow from operating 76,487 71,327 102,224
activities before taxation
Taxation on investment income (3,215) (1,373) (3,052)
included within gross income
--------------- --------------- ---------------
Net cash inflow from operating 73,272 69,954 99,172
activities
========= ========= =========
Financing activities
Repayment of loan (31,283) (14,599) (14,599)
Interest paid (3,314) (4,532) (8,721)
Net cost for repurchase of (17,422) – (874)
ordinary shares
Dividends paid (22,687) (43,016) (64,037)
--------------- --------------- ---------------
Net cash outflow from financing (74,706) (62,147) (88,231)
activities
========= ========= =========
(Decrease)/increase in cash and (1,434) 7,807 10,941
cash equivalents
Effect of foreign exchange rate (286) (2,387) (161)
changes
--------------- --------------- ---------------
Change in cash and cash (1,720) 5,420 10,780
equivalents
Cash and cash equivalents at 21,392 10,612 10,612
start of period/year
--------------- --------------- ---------------
Cash and cash equivalents at end 19,672 16,032 21,392
of period/year
========= ========= =========
Comprised of:
Cash at bank 21,378 16,032 21,396
Bank overdraft (1,706) – (4)
--------------- --------------- ---------------
19,672 16,032 21,392
========= ========= =========
1
Dividends and interest received in cash during the period amounted to £14,897,000 and £2,342,000 (six months ended
Notes to the financial statements for the six months ended
1. Principal activity
The principal activity of the Company is that of an investment trust company within the meaning of Section 1158 of the Corporation Tax Act 2010.
The principal activity of the subsidiary,
2. Basis of preparation
The half yearly financial statements for the period ended
Insofar as the Statement of Recommended Practice (SORP) for investment trust companies and venture capital trusts, issued by the
Adoption of new and amended International Accounting Standards and interpretations:
IAS 21 – Lack of exchangeability
(effective
The amendment of this standard did not have any significant impact on the Company.
Relevant International Accounting Standards that have yet to be adopted:
IFRS 18 – Presentation and disclosure in financial statements
(effective
None of the standards that have been issued, but are not yet effective, are expected to have a material impact on the Company.
3. Income
Six months Six months Year ended
ended ended 31 December
30 June 2025 30 June 2024 2024
(unaudited) (unaudited) (audited)
£’000 £’000 £’000
Investment income:
UK dividends 4,797 5,469 10,223
Overseas dividends 9,738 12,616 24,602
Overseas special dividends 1,221 1,480 2,558
Overseas stock dividends 230 – 440
Income from contractual rights 3,752 756 2,431
(BHP Brazil Royalty)
Income from Vale debentures 2,291 2,399 2,815
Income from fixed income 324 478 810
investments
--------------- --------------- ---------------
Total investment income 22,353 23,198 43,879
========= ========= =========
Other income:
Option premium income 3,857 4,336 10,227
Deposit interest 542 323 719
Interest received on cash 64 79 189
collateral with brokers
Stock lending income 67 83 120
--------------- --------------- ---------------
Total other income 4,530 4,821 11,255
========= ========= =========
Total 26,883 28,019 55,134
========= ========= =========
During the period, the Group received option premium income in cash totalling £3,834,000 (six months ended
Option premium income is amortised evenly over the life of the option contract and, accordingly, during the period, option premiums of £3,857,000 (six months ended
At
Dividends and interest received in cash in the six months ended
No special dividends have been recognised in capital during the six months ended
4. Investment management fee
Six months ended Six months ended Year ended
30 June 2025 30 June 2024 31 December 2024
(unaudited) (unaudited) (audited)
Revenue Capital Total Revenue Capital Total Revenue Capital Total
£’000 £’000 £’000 £’000 £’000 £’000 £’000 £’000 £’000
Investment
management 1,054 3,263 4,317 1,116 3,446 4,562 2,188 6,764 8,952
fee
--------------- --------------- --------------- --------------- --------------- --------------- --------------- --------------- ---------------
Total 1,054 3,263 4,317 1,116 3,446 4,562 2,188 6,764 8,952
========= ========= ========= ========= ========= ========= ========= ========= =========
The investment management fee (which includes all services provided by BlackRock) is 0.80% of the Company’s gross assets (subject to certain adjustments). During the period, £3,961,000 (six months ended
Cum income Quarterly Gearing effect
NAV per share increase/
Quarter end (decrease) % on management
(pence) fees (£’000)
31 December 2023 606.78 – –
31 March 2024 568.07 -6.4 –
30 June 2024 572.21 +0.7 259
30 September 2024 580.66 +1.5 222
31 December 2024 510.53 -12.1 –
31 March 2025 533.32 +4.5 235
30 June 2025 540.48 +1.3 121
========= ========= =========
The daily average of the net assets under management during the period ended
The fee is allocated 25% to the revenue account and 75% to the capital account of the Consolidated Statement of Comprehensive Income.
There is no additional fee for company secretarial and administration services.
5. Other operating expenses
Six months Six months Year ended
ended ended 31 December
30 June 2025 30 June 2024 2024
(unaudited) (unaudited) (audited)
£’000 £’000 £’000
Allocated to revenue:
Custody fee 46 53 98
Auditors’ remuneration – audit 33 33 65
services1
Registrar’s fee 43 42 88
Directors’ emoluments 84 81 166
AIC fees 11 10 21
Broker fees 17 12 30
Depositary fees 47 52 104
FCA fee 25 21 49
Directors’ insurance 10 10 21
Marketing fees 61 61 169
Stock exchange fees 33 25 52
Legal and professional fees 39 67 126
Bank facility fees2 46 45 92
Printing and postage fees 24 22 46
Directors' search fees 14 – –
Write back of prior year (5) (7) (19)
expenses3
Other administrative costs 99 84 161
--------------- --------------- ---------------
Total revenue expenses 627 611 1,269
========= ========= =========
Allocated to capital:
Transaction charges4 2 6 12
--------------- --------------- ---------------
Total 629 617 1,281
========= ========= =========
1
No non-audit services were provided by the auditors for the six months ended
2 There is a 4 basis point facility fee chargeable on the full loan facility whether drawn or undrawn.
3
Relates to legal and professional fees and other administrative costs written back during the six months ended
4
For the six months ended
The transaction costs incurred on the acquisition of investments amounted to £339,000 for the six months ended
6. Finance costs
Six months ended Six months ended Year ended
30 June 2025 30 June 2024 31 December 2024
(unaudited) (unaudited) (audited)
Revenue Capital Total Revenue Capital Total Revenue Capital Total
£’000 £’000 £’000 £’000 £’000 £’000 £’000 £’000 £’000
Interest
paid on 788 2,444 3,232 1,134 3,404 4,538 2,196 6,581 8,777
bank
loans
Interest
paid on 1 3 4 14 42 56 16 49 65
bank
overdraft
--------------- --------------- --------------- --------------- --------------- --------------- --------------- --------------- ---------------
Total 789 2,447 3,236 1,148 3,446 4,594 2,212 6,630 8,842
========= ========= ========= ========= ========= ========= ========= ========= =========
Finance costs are charged 25% to the revenue account and 75% to the capital account of the Consolidated Statement of Comprehensive Income.
7. Dividends
The final dividend of 6.50p per share for the year ended
The Board has declared a second quarterly interim dividend of 5.50p per share for the quarter ended
Six months Six months Year ended
ended ended 31 December
30 June 2025 30 June 2024 2024
(unaudited) (unaudited) (audited)
Dividends paid on equity shares £’000 £’000 £’000
during the period:
Final dividend for the year
ended 31 December 2024 of 6.50p 12,381 32,501 32,501
per share (2023: 17.00p)
1st quarterly interim dividend
for the year ending 31 December 10,306 10,515 10,515
2025 of 5.50p per share (2024:
5.50p)
2nd quarterly interim dividend
for the year ended 31 December – – 10,515
2024 of 5.50p per share (2023:
5.50p)
3rd quarterly interim dividend
for the year ended 31 December – – 10,506
2024 of 5.50p per share (2023:
5.50p)
--------------- --------------- ---------------
Accounted for in the financial 22,687 43,016 64,037
statements
========= ========= =========
8. Consolidated earnings and net asset value per ordinary share
Total revenue, capital earnings/(loss) and net asset value per ordinary share are shown below and have been calculated using the following:
Six months Six months Year ended
ended ended 31 December
30 June 2025 30 June 2024 2024
(unaudited) (unaudited) (audited)
Net revenue profit
attributable to ordinary 21,325 22,848 44,127
shareholders (£’000)
Net capital profit/(loss)
attributable to ordinary 56,362 (45,911) (164,068)
shareholders (£’000)
----------------- ----------------- -----------------
Total profit/(loss)
attributable to ordinary 77,687 (23,063) (119,941)
shareholders (£’000)
========== ========== ==========
Equity shareholders’ funds 1,012,777 1,093,972 975,199
(£’000)
The weighted average
number of ordinary shares
in issue during the period 189,331,680 191,183,036 191,149,163
on which the earnings per
ordinary share was
calculated was:
The actual number of
ordinary shares in issue
at the end of the period 187,383,036 191,183,036 191,018,036
on which the net asset
value per ordinary share
was calculated was:
Earnings per ordinary
share
Revenue earnings per share
(pence) - basic and 11.26 11.95 23.09
diluted
Capital earnings/(loss)
per share (pence) - basic 29.77 (24.01) (85.84)
and diluted
--------------- --------------- ---------------
Total earnings/(loss) per
share (pence) - basic and 41.03 (12.06) (62.75)
diluted
========= ========= =========
As at As at As at
30 June 30 June 31 December
2025 2024
(unaudited) (unaudited) 2024
(audited)
Net asset value per ordinary share (pence) 540.48 572.21 510.53
Ordinary share price (pence) 528.00 569.00 481.00
========= ========= =========
There were no dilutive securities at the period end (
9. Share capital
Ordinary
shares Treasury Total Nominal
in issue shares shares value
number number number £’000
Allotted,
called up
and fully
paid share
capital
comprised:
Ordinary
shares of 5
pence each:
At 31
December 191,183,036 1,828,806 193,011,842 9,651
2023
(audited)
----------------- ----------------- ----------------- -----------------
At 30 June
2024 191,183,036 1,828,806 193,011,842 9,651
(unaudited)
Ordinary
shares
repurchased (165,000) 165,000 – –
into
treasury
----------------- ----------------- ----------------- -----------------
At 31
December 191,018,036 1,993,806 193,011,842 9,651
2024
(audited)
Ordinary
shares
repurchased (3,635,000) 3,635,000 – –
into
treasury
----------------- ----------------- ----------------- -----------------
At 30 June
2025 187,383,036 5,628,806 193,011,842 9,651
(unaudited)
========== ========== ========== ==========
During the six months ended
–
repurchased 3,635,000 shares into treasury (six months ended
– did not issue any new shares or re-issue any shares from treasury.
Since the period end and up to
10. Reconciliation of liabilities arising from financing activities
Six months Six months Year ended
ended ended 31 December
30 June 2025 30 June 2024 2024
(unaudited) (unaudited) (audited)
£’000 £’000 £’000
Debt arising from
financing activities at
beginning of period/year
Bank loan 135,739 149,828 149,828
Cash at bank – bank 4 – –
overdraft
----------------- ----------------- -----------------
Total 135,743 149,828 149,828
========== ========== ==========
Cash flows:
Net repayment of loan (31,283) (14,599) (14,599)
Movement in bank overdraft 1,702 – 4
Non cash flows:
Effects of foreign (13,238) (746) 510
exchange (gains)/losses
Debt arising from
financing activities at
end of period/year
Bank loan 91,218 134,483 135,739
Cash at bank – bank 1,706 – 4
overdraft
----------------- ----------------- -----------------
Total 92,924 134,483 135,743
========== ========== ==========
For details of the overdraft and multi-currency loan facility, see the Liquidity Risk section in note 12 below.
11. Reserves
Pursuant to a resolution of the Company passed at an Extraordinary General Meeting on
The share premium account and capital redemption reserve of £151,493,000 and £22,779,000, respectively (
As at
12. Financial risks and valuation of financial instruments
The Company’s investment activities expose it to the various types of risk which are associated with the financial instruments and markets in which it invests. The risks are substantially consistent with those disclosed in the previous annual financial statements with the exception of those outlined below.
Market risk arising from price risk
Price risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices (other than those arising from interest rate risk or currency risk), whether those changes are caused by factors specific to the individual financial instrument or its issuer, or factors affecting similar financial instruments traded in the market. Local, regional or global events such as war, acts of terrorism, the spread of infectious illness or other public health issues, recessions, climate change or other events could have a significant impact on the Group and the market price of its investments and could result in increased premiums or discounts to the Company’s net asset value.
Liquidity risk
The Group has an overdraft facility of £30 million (
At
As per the borrowing agreements, borrowings under the overdraft and loan facilities shall at no time exceed £230 million or 25% of the Group’s net asset value (whichever is the lower) (
Valuation of financial instruments
Financial assets and financial liabilities are either carried in the Consolidated Statement of Financial Position at their fair value (investments and derivatives) or at an amount which is considered to be the fair value (due from brokers, dividends and interest receivable, due to brokers, accruals, cash at bank and bank overdrafts). IFRS 13 requires the Group to classify fair value measurements using a fair value hierarchy that reflects the significance of inputs used in making the measurements. The valuation techniques used by the Group are explained in the accounting policies note 2(h), as set out in the Group's Annual Report and Financial Statements for the year ended
Categorisation within the hierarchy has been determined on the basis of the lowest level input that is significant to the fair value measurement of the relevant asset.
The fair value hierarchy has the following levels:
Level 1 – Quoted market price for identical instruments in active markets
A financial instrument is regarded as quoted in an active market if quoted prices are readily available from an exchange, industry group, pricing service or regulatory agency and those prices represent actual and regularly occurring market transactions on an arm’s length basis. The Group does not adjust the quoted price for these instruments.
Level 2 – Valuation techniques using observable inputs
This category includes instruments valued using quoted prices for similar instruments in markets that are considered less active, or other valuation techniques where all significant inputs are directly or indirectly observable from market data.
Valuation techniques used for non-standardised financial instruments such as options, currency swaps and other over-the-counter derivatives include the use of comparable recent arm’s length transactions, reference to other instruments that are substantially the same, discounted cash flow analysis, option pricing models and other valuation techniques commonly used by market participants making the maximum use of market inputs and relying as little as possible on entity specific inputs.
Over-the-counter derivative option contracts have been classified as Level 2 investments as their valuation has been based on market observable inputs represented by the underlying quoted securities to which these contracts expose the Group.
Level 3 – Valuation techniques using significant unobservable inputs
This category includes all instruments where the valuation technique includes inputs not based on market data and these inputs could have a significant impact on the instrument’s valuation.
This category includes instruments that are valued based on quoted prices for similar instruments where significant entity determined adjustments or assumptions are required to reflect differences between the instruments and instruments for which there is no active market. The Investment Manager considers observable data to be that market data that is readily available, regularly distributed or updated, reliable and verifiable, not proprietary, and provided by independent sources that are actively involved in the relevant market.
The level in the fair value hierarchy within which the fair value measurement is categorised in its entirety is determined on the basis of the lowest level input that is significant to the fair value measurement.
Assessing the significance of a particular input to the fair value measurement in its entirety requires judgement, considering factors specific to the asset or liability including an assessment of the relevant risks including but not limited to credit risk, market risk, liquidity risk, business risk and sustainability risk. The determination of what constitutes ‘observable’ inputs requires significant judgement by the Investment Manager and these risks are adequately captured in the assumptions and inputs used in measurement of Level 3 assets or liabilities.
Valuation process and techniques for Level 3 valuations
BHP Brazil Royalty
The Directors engage a mining consultant, an independent valuer with a recognised and relevant professional qualification, to conduct a periodic valuation of the contractual rights and the fair value of the contractual rights is assessed with reference to relevant factors. At the reporting date the income streams from contractual rights have been valued on the net present value of the pre-tax cash flows discounted at a rate the external valuer considers reflects the risk associated with the project. The valuation model uses discounted cash flow analysis which incorporates both observable and non-observable data. Observable inputs include assumptions regarding current rates of interest and commodity prices. Unobservable inputs include assumptions regarding production profiles, price realisations, cost of capital and discount rates. In determining the discount rate to be applied, the external valuer considers the country and sovereign risk associated with the project, together with the time horizon to the commencement of production and the success or failure of projects of a similar nature. To assess the significance of a particular input to the entire measurement, the external valuer performs a sensitivity analysis. The external valuer has undertaken an analysis of the impact of using alternative discount rates on the fair value of contractual rights.
This investment in contractual rights is reviewed regularly to ensure that the initial classification remains correct given the asset’s characteristics and the Group’s investment policies. The contractual rights are initially recognised using the transaction price as it was indicative in this instance of the best evidence of fair value at acquisition and are subsequently measured at fair value, taking into consideration the relevant IFRS 13 requirements. In arriving at their estimates of market values, the valuers have used their market knowledge and professional judgement. The Group classifies the fair value of this investment as Level 3.
Valuations are the responsibility of the Directors of the Company. In arriving at a final valuation, the Directors consider the independent valuer’s report, the significant assumptions used in the fair valuation and the review process undertaken by BlackRock’s Pricing Committee. The valuation of unquoted investments is performed on a quarterly basis by the Investment Manager and reviewed by the
Jetti Resources and
The fair value of the investment equity shares of Jetti Resources and
Fair values of financial assets and financial liabilities
The table below sets out fair value measurements using the IFRS 13 fair value hierarchy.
Financial
assets/
(liabilities) at Level 1 Level 2 Level 3 Total
fair value £’000 £’000 £’000 £’000
through profit
or loss as at 30
June 2025
(unaudited)
Assets:
Equity 992,287 2,870 32,210 1,027,367
investments
Fixed income – 37,021 – 37,021
securities
Investment in
contractual – – 19,338 19,338
rights
--------------- --------------- --------------- ---------------
Total assets 992,287 39,891 51,548 1,083,726
========= ========= ========= =========
Liabilities:
Derivative
financial – (932) – (932)
instruments –
written options
--------------- --------------- --------------- ---------------
Total 992,287 38,959 51,548 1,082,794
========= ========= ========= =========
Financial
assets/
(liabilities) at Level 1 Level 2 Level 3 Total
fair value £’000 £’000 £’000 £’000
through profit
or loss as at 30
June 2024
(unaudited)
Assets:
Equity 1,114,885 – 35,218 1,150,103
investments
Fixed income 7,900 31,295 – 39,195
securities
Investment in
contractual – – 19,935 19,935
rights
--------------- --------------- --------------- ---------------
Total assets 1,122,785 31,295 55,153 1,209,233
========= ========= ========= =========
Liabilities:
Derivative
financial – (1,396) – (1,396)
instruments –
written options
--------------- --------------- --------------- ---------------
Total 1,122,785 29,899 55,153 1,207,837
========= ========= ========= =========
Financial
assets/
(liabilities) at Level 1 Level 2 Level 3 Total
fair value £’000 £’000 £’000 £’000
through profit
or loss as at 31
December 2024
(audited)
Assets:
Equity 987,723 10,555 36,070 1,034,348
investments
Fixed income – 36,653 – 36,653
securities
Investment in
contractual – – 22,197 22,197
rights
--------------- --------------- --------------- ---------------
Total assets 987,723 47,208 58,267 1,093,198
========= ========= ========= =========
Liabilities:
Derivative
financial – (622) – (622)
instruments –
written options
--------------- --------------- --------------- ---------------
Total 987,723 46,586 58,267 1,092,576
========= ========= ========= =========
A reconciliation of fair value measurement in Level 3 is set out below.
Six months Six months Year ended
ended ended 31 December
30 June 2025 30 June 2024 2024
(unaudited) (unaudited) (audited)
Level 3 Financial assets at fair £’000 £’000 £’000
value through profit or loss
Opening fair value 58,267 51,011 51,011
Return of capital – royalty (283) (203) (397)
Additions at cost 2,847 – 5,626
Total profit or loss included in
net profit/(loss) on investments
in the Consolidated Statement of (9,283) 4,345 2,027
Comprehensive Income – assets
held at the end of the
period/year
--------------- --------------- ---------------
Closing balance 51,548 55,153 58,267
========= ========= =========
The Level 3 valuation process and techniques used are explained in the accounting policies in note 2(h) on page 102 of the Group’s Annual Report and Financial Statements for the year ended
The Level 3 investments as at
In arriving at the fair value of the BHP Brazil Royalty, the key inputs are the underlying commodity prices and illiquidity discount. In arriving at the fair value of Jetti Resources and
Quantitative information of significant unobservable inputs – Level 3 – Group
The significant unobservable inputs used in the fair value measurement categorised within Level 3 of the fair value hierarchy, together with an estimated quantitative sensitivity analysis, as at
As at Reasonable
30 June Unobservable Range of Impact
2025 Valuation weighted possible on fair
Description £’000 technique input average shift1
inputs +/ - value
Market Price of
MCC Mining 19,980 approach recent 10.0% £2.0m
transaction
Discount
rate –
weighted 8.0% – 1.0% £1.0m
average 10.0%
cost of
capital
BHP Brazil Discounted US$2,075
Royalty 19,338 Average – 10.0% £2.0m
cash flows gold prices US$3,333
per ounce
US$8,500
Average –
copper US$10,000 10.0% £1.0m
prices
per tonne
Jetti 12,230 Market Earnings 17.5x 10.0% £1.0m
Resources approach multiple
---------------
Total 51,548
=========
As at Reasonable
30 June Unobservable Range of Impact
2024 Valuation weighted possible on fair
Description £’000 technique input average shift1
inputs +/ - value
Jetti 25,207 Market Earnings 5.50x 10.0% £2.5m
Resources approach multiple
Discount
rate –
weighted 8.0% – 1.0% £1.0m
average 10.0%
cost
of capital
BHP Brazil Discounted US$1,650
Royalty 19,935 Average – 10.0% £1.5m
cash flows gold prices US$2,314
per ounce
US$7,700
Average –
copper US$10,000 10.0% £1.0m
prices
per tonne
Market Price of
MCC Mining 10,011 approach recent 10.0% £1.0m
transaction
---------------
Total 55,153
=========
As at Reasonable
31 December Range of Impact
2024 Valuation Unobservable weighted possible on
Description £’000 technique shift¹ fair
input average +/- value
inputs
Discount
rate –
weighted 5.0% – 1.0% £1.2m
average 8.0%
cost
of capital
US$2,270
Discounted –
BHP Brazil 22,197 Average US$2,376 10.0% £2.1m
Royalty cash flows gold prices
per
ounce
US$9,025
Average –
copper US$9,325 10.0% £1.0m
prices
per
tonne
Jetti 21,973 Market Earnings 4.75x 10.0% £2.3m
Resources approach multiple
Market Price of
MCC Mining 14,097 approach recent 10.0% £1.4m
transaction
---------------
Total 58,267
=========
1 The sensitivity analysis refers to a percentage amount added or deducted from the input and the effect this has on the fair value.
The sensitivity impact on fair value is calculated based on the sensitivity estimates set out by the independent valuer in its report on the valuation of contractual rights. Significant increases/(decreases) in estimated commodity prices and discount rates in isolation would result in a significantly higher/(lower) fair value measurement. Generally, a change in the assumption made for the estimated value is accompanied by a directionally similar change in the commodity prices and discount rates.
For exchange listed equity investments, the quoted price is the bid price. Substantially, all investments are valued based on unadjusted quoted market prices. Where such quoted prices are readily available in an active market, such prices are not required to be assessed or adjusted for any price related risks, including climate risk, in accordance with the fair value related requirements of the Company’s financial reporting framework.
13. Transactions with the Investment Manager and AIFM
The investment management fee due for the six months ended
In addition to the above services, BIM (
The ultimate holding company of the Manager and the Investment Manager is BlackRock, Inc., a company incorporated in
14. Related party disclosure
During the period ended
Directors’ emoluments
The Board consists of five non-executive Directors, all of whom are considered to be independent of the Manager by the Board. None of the Directors has a service contract with the Company. With effect from
As at
Directors’ shareholdings
At the period end members of the Board held ordinary shares in the Company as set out below:
30 June 30 June 31 December
2025 2024 2024
Directors Ordinary shares Ordinary shares Ordinary shares
Charles Goodyear (Chairman) 60,000 60,000 60,000
Srinivasan Venkatakrishnan 2,000 2,000 2,000
Judith Mosely 7,400 7,400 7,400
Elisabeth Scott 2,200 – 2,200
Jane Lewis1 n/a 7,000 7,000
========= ========= =========
1
Since the period end and up to the date of this report there have been no other changes in Directors’ holdings.
The following investors are:
a.
funds managed by the
b.
investors (other than those listed in (a) above) who held more than 20% of the voting shares in issue in the Company and are, as a result, considered to be related parties to the Company (
Total % of shares Number of Significant
held by
Significant Investors Investors who are not
Total % of shares who are
held by not affiliates of affiliates of
Related BlackRock BlackRock BlackRock
Funds Group or BlackRock, Group or BlackRock,
Inc. Inc.
As at 30 June 2025 1.26 n/a n/a
As at 30 June 2024 1.32 n/a n/a
As at 31 December 1.19 n/a n/a
2024
========= ========= =========
15. Capital commitments and contingent liabilities
There was no capital commitment as at
There were no contingent liabilities as at
16. Publication of non-statutory accounts
The financial information contained in this Half Yearly Financial Report does not constitute statutory accounts as defined in Section 435 of the Companies Act 2006. The financial information for the six months ended
The information for the year ended
17. Annual results
The Board expects to announce the annual results for the year ending
Copies of the results announcement can be obtained from the Secretary on 020 7743 3000 or at cosec@blackrock.com. The Annual Report should be available by the beginning of
ENDS
The Condensed Half Yearly Financial Report will also be available on the BlackRock website at www.blackrock.com/uk/brwm . 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.
For further information, please contact:
Tel: 020 7743 1869
Tel: 020 7743 3000
Press enquires:
Tel: 020 7294 3620
E-mail: BlackRockInvestmentTrusts@lansons.com or EdH@lansons.com
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