REG - Baker Steel Res.Tst. - Net Asset Value(s)

Baker Steel Resources TrustAnnouncement

13/05/2024 07:00

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RNS Number : 0254O  Baker Steel Resources Trust Ltd  13 May 2024

BAKER STEEL RESOURCES TRUST LIMITED

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

 

13 May 2024

30 April 2024 Unaudited NAV Statement

Net Asset Value

Baker Steel Resources Trust Limited (the "Company") announces its unaudited
net asset value per share at 30 April 2024.

Net asset value per Ordinary Share: 79.8 pence.

The NAV per share at 30 April 2024 increased by 4.2% versus the unaudited NAV
at 31 March 2024 largely due to some recovery in the share price of Tungsten
West Plc on the AIM market.

 

The Company had a total of 106,462,502 Ordinary Shares in issue with a further
700,000 shares held in treasury as at 30 April 2024.

 

Investment Update

 

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

 

                                     30 April 2024  31 December 2023
 Futura Resources Ltd                33.9%          36.3%
 Cemos Group plc                     28.1%          29.3%
 Bilboes Royalty                     7.1%           7.2%
 Caledonia Mining Corporation Plc    4.4%           5.4%
 Metals Exploration Plc              4.0%           3.0%
 Nussir ASA                          3.7%           4.1%
 Kanga Investments Ltd               3.6%           3.6%
 Silver X Mining Corporation         2.9%           3.5%
 First Tin PLC                       2.7%           2.1%
 Tungsten West Plc                   4.6%           1.7%
 Other Investments                   3.1%           3.4%
 Net Cash, Equivalents and Accruals  1.9%           0.4%

 

 

 

 

 

First Tin PLC ("First Tin")

 

On 2 May 2024 First Tin PLC announced the results of the Definitive
Feasibility Study ("DFS") for its 100% owned Taronga open pit tin project
located in New South Wales, Australia.

 

The DFS outlines an open pit mine with low waste to ore ratio of 1:1 to
produce an average of 5 million tonnes of ore per annum followed by a crushing
and a gravity processing facility to produce an average of 3,600 tonnes of tin
in concentrate a year. Estimated All-in-sustaining-costs ("AISC") of US$15,843
per tonne of tin sold place Taronga in the lower half of the global cost
curve.

 

Pre-production capital costs are estimated at US$116 million and based on a
tin price of US$30,000 per tonne, the economics of the project show a pre tax
NPV(8%) of US$160 million with an IRR of 34% (28% post tax). First Tin has
also noted significant potential upside to increase the current mine plan from
9 to 15 years through the conversion of current inferred resources and
extension drilling of existing prospects.

 

The tin price has risen in recent months over supply concerns and the
increasing use of tin for connections in the global trend towards
electrification and it currently trades at around US$32,000 per tonne. The
results of the DFS show significant optionality to further rises in the tin
price.

 

First Tin's focus will now be the completion of its environmental impact
statement for Taronga and moving the project through the final approval
processes with the regulatory authorities, while concurrently moving forward
the financing and off-take discussions for the next phase of development.

 

In addition, during April 2024, First Tin announced an updated Mineral
Resource Estimate for its 100% owned Tellerhäuser Tin Project in Germany,
such that total Indicated plus Inferred tin increased by 35% from 102,900t tin
to 138,600t tin.

 

The market capitalisation of First Tin at 30 April 2024 was £16.2 million.

 

 

Tungsten West Plc ("Tungsten West")

 

At the end of March 2024, Tungsten West announced that the UK Environment
Agency had commenced the public consultation period, extended until 30 May
2024, regarding the Mineral Processing Facility (MPF) permit for its Hemerdon
tungsten and tin mine in Devon, UK. This is the final step before the
Environment Agency can issue the permit.

 

Tungsten West also increased its Convertible Loan Notes programme raising an
additional tranche of £1.6 million and also extended the maturity date of all
Convertible Loan Notes to 31 January 2025. The proceeds of the latest tranche
will be used to commence work on an updated feasibility study which Tungsten
West expects to complete in Q3 2024, leading to a financing round in H2 2024
to enable it to recommence production of tungsten and tin in early 2026.

 

Tungsten West shares recovered from 1.4p to 6.2p during April 2024. At the
month end valuation, the undiluted market capitalisation of Tungsten West was
£11.6 million. The Company is currently the largest shareholder with 15.4%
and in addition, the Company holds approximately 12% of Tungsten West's
£10.35 million convertible loan stock.

 

 

 

Further details of the Company and its investments are available on the
Company's website https://www.bakersteelcap.com/baker-steel-resources-trust/
(https://gbr01.safelinks.protection.outlook.com/?url=https%3A%2F%2Fwww.bakersteelcap.com%2Fbaker-steel-resources-trust%2F&data=05%7C02%7CLucy.McDowall%40aztecgroup.co.uk%7Ccc71290c255e4280853e08dc70da19a8%7C5f75785019e44329bc48045f1fe3eecd%7C0%7C0%7C638509329255104078%7CUnknown%7CTWFpbGZsb3d8eyJWIjoiMC4wLjAwMDAiLCJQIjoiV2luMzIiLCJBTiI6Ik1haWwiLCJXVCI6Mn0%3D%7C0%7C%7C%7C&sdata=KwzV05Gm%2Fhu6KyyRfdvNw0VVJlXElY4%2B5OULmmmL7sY%3D&reserved=0)

 

Enquiries:

Baker Steel Resources Trust Limited             +44 20 7389 8237

Francis Johnstone

Trevor Steel

 

Deutsche Numis
 
            +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.

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