Baker Steel Resources Trust Ltd Net Asset Value(s) (9044P)

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RNS Number : 9044P

Baker Steel Resources Trust Ltd

06 September 2017

BAKER STEEL RESOURCES TRUST LIMITED

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

6 September 2017

31 August 2017 Unaudited NAV Statement

Net Asset Value

Baker Steel Resources Trust Limited (the "Company") announces its unaudited net asset value per share at 31 August 2017:

Net asset value per Ordinary Share: 52.7 pence

Since 31 July 2017 the NAV per share has decreased by 0.6% primarily due to a fall in the share price of China Polymetallic Mining Limited on the Hong Kong 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 August 2017.

Portfolio Update

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

 
 Polar Acquisition Ltd              29.9% 
 Ivanhoe Mines Limited              13.6% 
 Bilboes Gold Limited               12.0% 
 Cemos Group plc                     7.2% 
 Metals Exploration plc              6.8% 
 SME Inc                             5.1% 
 Black Pearl Limited Partnership     4.4% 
 Ironstone Resources Limited         4.3% 
 Nussir ASA                          3.7% 
 China Polymetallic Mining 
  Limited                            1.0% 
 Other Investments                   2.2% 
 Net Cash, Equivalents and 
  Accruals                           9.8% 
 
 

Investment Update

China Polymetallic Mining Limited ("CPM")

On 18 August 2017 CPM announced a fully underwritten 1 for 2 rights issue at HK$0.12 per share compared to a price of HK$0.265 per share at the beginning of the month. The proceeds of HK$143.2 million before expenses will be used to repay debt.

CPM's principal operation, the Shizishan silver/lead/zinc mine in the Yunan province of China, has struggled since torrential rainstorms in 2015 flooded the mine causing considerable damage underground. Dewatering and recovery work was hampered in 2016 by further heavy rains and as a result, production failed to recover in 2016. The Company thus incurred a loss of RMB 128 million during 2016 and a further loss of RMB 19.3 million in the six months to 30 June 2017. CPM's current policy is to diversify away from Shizishan having made several acquisitions in Myanmar during the last 12 months.

The 53% fall in CPM's share price had the effect of reducing the NAV by 1.2% during August 2017, although the overall fall in the NAV was reduced due to currency movements in the rest of the portfolio.

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

Enquiries:

   Baker Steel Resources Trust Limited                 [phone] 

Francis Johnstone

Trevor Steel

   Numis Securities Limited                                   [phone] 

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 is set out in the Company's Prospectus dated 26 January 2015.

This information is provided by RNS

The company news service from the London Stock Exchange

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September 06, 2017 02:00 ET (06:00 GMT)