REG-BlackRock World Mining Trust Plc: Final Results
Today 07:02
BlackRock World Mining Trust plc
LEI: LNFFPBEUZJBOSR6PW155
Annual Report and Financial Statements 31 December 2025
Key highlights
• Very strong year driven by positive demand trends
from AI infrastructure build out and energy transition, supply side
disruption, and exceptional demand for precious metals.
• Net asset value per share (NAV) total return for the
year was +74.2%, compared to a total return of the reference index of +64.2%
and the FTSE All-Share Index total return of 24.0%. The share price total
return for the same period was +74.1%. (All performance returns in sterling
terms with dividends reinvested).
• Proposed final dividend of 7.50p per share. This,
together with three quarterly interim dividends, makes a total of 24.00p per
share (2024: 23.00p per share) representing a 4.3% increase on dividend
payments in 2024.
Chip Goodyear, the Chairman of the Company said:
“The Company’s performance through 2025 is a clear illustration of our
value as a nimble “virtual mining company”, without the constraints that
come with the development of fixed mining assets, and the excellent use of the
investment trust structure. Our portfolio manager’s ability to flex exposure
to the appropriate commodities and precious metals, their effective use of
gearing to enhance returns, options strategy to boost income, and our exposure
to unquoted assets all offers a unique investment opportunity for
investors.”
Performance record
As at As at
31 December 2025 31 December
2024
Net assets (£’000)¹ 1,598,428 975,199
Net asset value per ordinary share (NAV) (pence) 856.23 510.53
Ordinary share price (pence) 804.00 481.00
Reference index 2 – net total return 8,885.32 5,411.07
Discount to net asset value 3 6.1% 5.8%
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Performance (with dividends reinvested) For the For the
year ended 31 December 2025 year ended 31 December 2024
Net asset value per share 2,3 +74.2% -10.7%
Ordinary share price 2,3 +74.1% -12.7%
Reference index 2 +64.2% -9.9%
========= =========
Performance (with dividends reinvested) For the five For the five Since inception to 31 December 2025 Since inception to 31 December 2024
years ended 31 December 2025 years ended 31 December 2024
Net asset value per share 2,3 +107.2% +56.7% +2,107.8% +1,167.4%
Ordinary share price 2,3 +101.8% +69.9% +2,129.4% +1,180.2%
Reference index 2 +94.6% +42.9% +1,536.0% +896.3%
========= ========= ========= =========
For the For the Change
year ended 31 December 2025 year ended 31 December 2024 %
Revenue
Net revenue profit after taxation (£’000) 45,867 44,127 +3.9
Revenue return per ordinary share (pence) 4 24.37 23.09 +5.5
--------------- --------------- ---------------
Dividends per ordinary share (pence)
– 1st interim 5.50 5.50 –
– 2nd interim 5.50 5.50 –
– 3rd interim 5.50 5.50 –
– Final 7.50 6.50 +15.4
--------------- --------------- ---------------
Total dividends paid and payable 24.00 23.00 +4.3
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1 The change in net assets reflects portfolio movements,
dividends paid and the repurchase of ordinary shares into treasury during the
year.
2 MSCI ACWI Metals & Mining 30% Buffer 10/40 Index (net
total return). With effect from 31 December 2019, the reference index changed
to the MSCI ACWI Metals & Mining 30% Buffer 10/40 Index (net total return).
Prior to 31 December 2019, the reference index was the EMIX Global Mining
Index (net total return). The performance returns of the reference index since
inception have been blended to reflect this change.
3 Alternative Performance Measures, see Glossary in the
Company’s Annual Report for the year ended 31 December 2025.
4 Further details are given in the Glossary in the
Company’s Annual Report for the year ended 31 December 2025.
Chairman’s Statement
Highlights
• NAV per share 74.2% 1 (with
dividends reinvested)
• Share price 74.1% 1 (with
dividends reinvested)
• Total dividends of 24.00p per share
Overview
The financial year to 31 December 2025 saw global markets successfully
navigate a challenging environment. Despite persistent geopolitical tensions
in Eastern Europe and the Middle East, as well as the market volatility
triggered by the Liberation Day tariffs, most equity markets delivered
positive returns over the year.
For the mining industry, 2025 was similarly constructive. Performance was
supported by consumer demand anticipated as a result of enduring structural
themes: rapid digitalisation, the acceleration of the energy transition,
increased investment in Artificial Intelligence (AI) related infrastructure,
and strong demand for critical minerals essential to new technologies.
Precious metals were a standout. Gold and silver experienced exceptional
demand-driven in part by continued central bank accumulation of gold
reserves-which helped propel the sector to market leading returns in the
second half of the year. It is against this favourable backdrop that we are
pleased to report a very strong year for the Company.
Performance
Over the twelve months to 31 December 2025, the Company’s net asset value
per share (NAV) returned 74.2% 1 and the share price
returned 74.1% 1 . Over the same period, the Company’s
reference index, the MSCI ACWI Metals & Mining 30% Buffer 10/40 Index (net
total return), returned 64.2%, the FTSE All-Share Index returned 24.0% and the
UK Consumer Price Index (CPI) increased by 3.4%.
Our portfolio managers provide a more detailed explanation of the Company’s
performance during the year in their report below. They also provide
additional insight into the positioning of the portfolio and their views on
the outlook for the coming year.
Revenue return and dividends
The Company’s revenue per share for the year to 31 December 2025 was 24.37p,
a 5.5% increase compared to the prior year revenue per share of 23.09p. The
increase was driven by higher dividend payments from a number of key mining
companies.
During the year, three quarterly interim dividends of 5.50p per share were
paid. The Board is proposing a final dividend payment of 7.50p per share for
the year ended 31 December 2025. This, together with the quarterly interim
dividends, makes a total of 24.00p per share (2024: 23.00p per share)
representing a increase of 4.3% on payments in 2024.
As in past years, all dividends are fully covered by income. In accordance
with the Board’s stated policy, the total dividends represent substantially
all of the year’s available income.
Subject to approval at the Annual General Meeting, the final dividend will be
paid on 29 May 2026 to shareholders on the Company’s register on 27 March
2026, the ex-dividend date being 26 March 2026.
Gearing
The Company operates a flexible gearing policy which depends on prevailing
market conditions. It may borrow up to 25% of the Group’s net assets. The
maximum level of gearing used during the year was 13.6% and the level of
gearing at 31 December 2025 was 4.7%. Average gearing over the year to 31
December 2025 was 8.8%.
Management of premium/discount
The Directors recognise the importance to investors of the market price of the
Company’s shares relative to the underlying NAV. Accordingly, in normal
market conditions, the Company may repurchase shares (at a discount to NAV) or
reissue shares from treasury or issue new shares (at a premium to NAV) to
manage the premium or discount at which the Company’s shares trade, where it
is deemed to be in shareholders’ interests.
Over the Company’s financial year ending in December, the Company’s shares
have traded at an average discount of 6.6%. During the year, the Company
purchased 4,335,000 shares at an average price of 509.83p per share at an
average discount of 8.7% for a total cost of £22,101,000. Since the year end
and up to 12 March 2026, a further 156,000 shares have been bought back at an
average price of 930.40p per share for a total cost of £1,451,000. All shares
have been placed in treasury. No shares were issued in 2025 or in 2026 up to
the date of this report.
Resolutions to renew the authorities to issue and buy back shares will be put
to shareholders at the forthcoming Annual General Meeting.
Board composition
We are pleased to welcome Marion Sears who joined the Board in August 2025.
Marion brings a wealth of experience gained in both her executive and
non-executive career. Judith Mosley, who having served over nine years, will
not be seeking re-election at the forthcoming Annual General Meeting (AGM) and
will retire from the Board with effect from the conclusion of the meeting. The
Board wishes to thank Judith for her wise counsel and valuable contribution to
the Company over her tenure as a Director.
The Board has initiated a search process to identify a new Director with the
skills the Board has identified it requires. We will announce the appointment
of a new Director later in the year.
Shareholder communication and engagement
We appreciate how important access to regular information is to our
shareholders. To supplement our Company website, we offer shareholders the
ability to sign up to the Trust Matters newsletter which includes information
on the Company as well as news, views and insights on the investment trust
market. Information on how to sign up is included on the inside front cover of
the Annual Report.
The Board encourages all shareholders to either attend the AGM or exercise
your right to vote by proxy. The Board has sought to engage with shareholders
who hold their shares through an intermediary or platform via the provisions
of Section 793 of the Companies Act 2006. In addition, the Board is aware that
certain execution only investment platforms are now providing shareholders
with the ability to vote electronically. The Board encourages shareholders to
take advantage of this functionality where it is available to you. For those
of you who hold shares via platforms, information on how to vote can be found
here:
www.theaic.co.uk/availability-on-platforms .
Julian Baring Scholarship Fund
At our AGM in 2025, we provided a short presentation on the Julian Baring
Scholarship Fund and the annual donation made by the Company. The fund plays
an important role in supporting the education and training of the next
generation of mining industry professionals. The Company is an enthusiastic
supporter of this important initiative. A detailed update on the Fund is
provided by the Founder and co-Trustee, Justin Baring,
in the Company’s Annual Report for the year ended 31
December 2025.
Annual General Meeting arrangements
The Company’s AGM will be held at the offices of BlackRock at 12 Throgmorton
Avenue, London EC2N 2DL on Friday, 22 May 2026 at 11.30 a.m. Details of the
business of the meeting are set out in the Notice of Meeting in the
Company’s Annual Report for the year ended 31 December 2025.
The Board very much looks forward to meeting shareholders and we encourage you
to attend this year’s AGM. In the meantime, if shareholders would like to
contact me, please write to BlackRock World Mining Trust plc, 12 Throgmorton
Avenue, London EC2N 2DL, marked for the attention of the Chairman.
Outlook
The start of 2026 has been marked by volatility, with gold and silver prices
touching new highs before pulling back. Persistent inflation, elevated
government debt, ongoing geopolitical tensions and increased volatility are
keeping demand strong for safe haven assets. The escalation of conflicts in
the Middle East at the end of February 2026 has contributed to renewed
uncertainty across global markets, particularly in energy markets, where oil
prices have experienced sharp moves reflecting concerns around supply security
and transport routes. Higher and more volatile oil prices have reinforced the
strategic focus on energy security, domestic resource development and supply
chain resilience, further underpinning long-term demand for critical minerals.
At the same time, major economies are stepping up investment in technology,
energy infrastructure and defence. These initiatives continue to drive
structural demand for many mined commodities, such as copper, lithium and rare
earth elements that are essential to electrification, renewable energy and the
growing AI and data centre ecosystem. With supply growth limited and producers
currently signalling maintaining capital discipline and strong balance sheets,
the backdrop for the sector remains supportive.
Mined materials continue to play a crucial role in modern society,
underpinning economic growth and enabling advances in living standards and
technology. Your Company seeks to provide shareholders with diversified
exposure to these long term themes, aiming to maximise total returns over
time. The Board has confidence in the portfolio managers’ ability to
construct an “optimal virtual mining company” — offering access to
diverse opportunities across the sector that would be difficult for most
investors to replicate.
Charles Goodyear
Chairman
16 March 2026
Investment Manager’s Report
Market overview
We are delighted to report a stellar year of performance for the Company. At
the half year point this outcome was not expected given the mixed returns
earlier in the year despite foundations in place to achieve this strong
result. A combination of renewed focus on the sector, positive demand trends,
supply side disruption, critical minerals agenda and ongoing macro tailwinds
drove the subsequent NAV total return outcome. 2025 produced the largest
one-year gain in Company’s assets since inception and the fourth largest
gain in the NAV per share. It was also pleasing to see the share price keep up
with the move in the underlying portfolio despite the UK budget uncertainty.
By the year end, the Company’s NAV return and share price return since
inception reached 2,107.8% and 2,129.4%, or a return of 10.1% and 10.2% per
annum, respectively (all returns in Sterling terms with dividends reinvested).
Performance in 2025 was further enhanced by the use of options, while
commodity prices improved royalty income and allowed us to unlock value from
selling our unquoted royalty investment in the BHP Brazil contract for a large
gain. All of these added together helped deliver returns in excess of the
broader mining sector.
2025 proved to be a tale of two halves. The portfolio reached a low point in
April 2025, having been impacted by a number of adverse developments,
including mine flooding at Ivanhoe Mines (1.2% of the portfolio) in the
Democratic Republic of Congo (DRC), production delays at Sigma Lithium, and
delays to growth plans at Foran Mining (1.4% of the portfolio). We are pleased
to report that these setbacks were more than offset during the second half of
the year, which turned out to be one of the strongest six -
month periods in the Company’s 30 - year history.
Several supportive trends boosted commodity markets. In the US, President
Trump was vocal on the need to rebuild the domestic economy, boost the
military and add resilience to the supply of critical materials. In addition,
his policies to support the roll out of data centres and artificial
intelligence (AI) resulted in a large increase in domestic materials-intensive
spending. In China, commodity demand continues to move away from the property
sector towards industry and technology. And Europe is attempting to keep up by
boosting defence and technology investment. Investors eventually began to take
note and recognise the critical nature of commodities to the changing world
economy.
For the year as a whole, the NAV total return of the Company was 74.2% and the
share price total return was 74.1%. This compares to the return on FTSE 100
Index of 25.8%, Consumer Price Inflation (CPI) of 3.4% and the return on the
reference index (MSCI Metals and Mining Index 30% Buffer Net TR) of 64.2% (all
percentages in Sterling terms with dividends reinvested).
Commodity price trends
Key commodity performers included the precious metals, led by silver (up
149.1%) and gold (up 64.7% - all commodity price performance is in US Dollar
terms). The Platinum Group Metals (PGM) suite, despite not performing for most
of the year, surged in the latter months to gain 121.8%. The base metals were
led by copper and tin, up 43.9% and 40.9% respectively. Most of these gains
happened during the second half of the year and some of the prices only moved
in the final quarter. This has meant that the gains in average year-on-year
prices are a fraction of the average 12-month moves. For example, the 43.9%
gain in copper compares to an 8.8% gain in the year-on-year average price.
This means that earnings and cash-flow growth will accrue in 2026. Should
commodity price strength be sustained, growth in dividends/capital returns
should occur in the second half of 2026.
31 December 2025 % Change in 2025 % Change average prices 2025 vs 2024
Commodity
Gold US$/ounce (oz) 4,325.0 64.7% 44.2%
Silver US$/oz 72.0 149.1% 42.0%
Platinum US$/oz 2,027.0 121.8% 34.2%
Palladium US$/oz 1,567.0 72.4% 17.1%
Copper US$/pound (lb) 5.65 43.9% 8.8%
Nickel US$/lb 7.48 9.2% -9.8%
Aluminium US$/lb 1.35 17.5% 8.7%
Zinc US$/lb 1.40 4.3% 3.2%
Lead US$/lb 0.89 2.2% -5.2%
Tin US$/lb 18.43 40.9% 13.3%
WTI Cushing US$/barrel 57.26 -21.0% -14.5%
Iron Ore (China 62% fines) US$/tonne (t) 105.70 6.2% -8.8%
========= ========= =========
Source: LSEG Datastream and Bloomberg, December 2025.
Bulk commodity prices were generally resilient versus consensus estimates at
the start of the year. Iron ore prices once again defied predictions of a
significant decline. Prices failed to retreat sustainably below US$100/t,
preserving the high margins and cash flows enjoyed by producers for yet
another year. Coal producers were less fortunate with margins falling on the
back of lower prices. There was some respite into the year end as energy
demand growth expectations rallied on the back of looming shortages due to the
growth in AI investment.
The oil price fell to under US$60/barrel for the first time in four years. The
lower oil price is a tailwind for mining companies given their extensive use
of oil in resource production.
Top contributors and detractors
In 2025, many commodity prices and equities moved up together. The decision to
increase exposure to gold equities in early 2024 paid off as the gold price
rallied throughout the year. In addition, the multi-year overweight position
in copper miners saw the Company benefit from a breakout in copper prices to
levels not seen before. The Company could be seen as a “virtual mining
company” – with the ability to move commodity exposure around more rapidly
and at a lower cost than a listed mining company. This is evident comparing
the performance of the Company against the large diversified miners during
2025.
Key contributors to performance in 2025 were positions in Hycroft Mining (1.7%
of the portfolio), Kinross Gold (4.1% of the portfolio), Discovery Silver
(0.8% of the portfolio) and the sale of the BHP Brazil Royalty. Offsetting
these were detractors including Jetti Resources (0.7% of the portfolio) and
Ivanhoe Mines (1.2% of the portfolio) and not owning enough of Gold Fields.
Description Sector Portfolio Reference Index average weight Portfolio Contribution to relative return-total effect
average weight active weight
Top Contributors
Cash and cash equivalents N/A -8.57% +0.00% -8.57% +8.42%
Hycroft Mining Gold +0.32% +0.00% +0.32% +2.60%
BHP Brazil Royalty Gold/Copper +1.75% +0.00% +1.75% +2.40%
Kinross Gold Gold +4.09% +1.90% +2.19% +1.82%
Discovery Silver Silver +0.62% +0.00% +0.62% +1.51%
Nippon Steel Steel +0.00% +1.70% -1.70% +1.42%
Agnico Eagle Mines Gold +7.35% +5.10% +2.25% +1.26%
Saudi Arabian Mining Company Diversified +0.00% +1.70% -1.70% +1.00%
Bravo Mining PGM +1.13% +0.00% +1.13% +0.84%
Reliance Inc. Diversified +0.16% +1.40% -1.24% +0.82%
Lundin Mining Copper +1.75% +0.70% +1.05% +0.81%
Titan Mining Zinc +0.32% +0.00% +0.32% +0.81%
Endeavour Mining Gold +1.05% +0.10% +0.95% +0.75%
Valterra Platinum PGM +1.37% +0.80% +0.57% +0.65%
Minerals 260 Gold +0.33% +0.30% +0.03% +0.65%
========= ========= ========= ========= =========
Description Sector Portfolio Reference Index average weight Portfolio Contribution to relative return-total effect
average weight active weight
Top Detractors
Jetti Resources Copper +1.47% +0.00% +1.47% -2.52%
Gold Fields Gold +0.05% +2.20% -2.15% -2.17%
Ivanhoe Mines Copper +1.48% +0.60% +0.88% -1.75%
Zijin Mining Group Gold +0.09% +1.80% -1.71% -1.11%
Vale Diversified +7.49% +3.20% +4.29% -1.08%
Sociedad Minera Cerro Verde Copper +1.87% +0.00% +1.87% -1.07%
Anglo American Diversified +4.86% +2.90% +1.96% -1.06%
MCC Mining Copper +1.51% +0.00% +1.51% -0.76%
Glencore Diversified +4.22% +3.50% +0.72% -0.71%
Labrador Iron Ore Royalty Corp Iron Ore +0.93% +0.00% +0.93% -0.67%
CMOC Group Copper +0.00% +0.50% -0.50% -0.66%
Pan American Silver Silver +0.00% +1.00% -1.00% -0.66%
Newmont Mining Gold +4.59% +5.50% -0.91% -0.64%
Industrias Penoles Sab Silver +0.00% +0.50% -0.50% -0.62%
Sigma Lithium Lithium +0.26% +0.00% +0.26% -0.60%
========= ========= ========= =========
As can be seen in the graphs on page 13 in the Company’s Annual Report for
the year ended 31 December 2025, the mix of commodity exposures adjusted by
the look through EBITDA contributions gives the Company greater absolute
exposure to copper. Doing this work allows us to have greater insight into the
true commodity risks within the portfolio. Another finding from this work is
the reduced absolute exposure to iron ore which was one of the weaker areas of
performance during the year with average prices down 8.8%.
A number of mergers and acquisitions (M&A) were either attempted or completed
in 2025. In copper, BHP (3.6% of the portfolio) tried to buy Anglo American
(4.1% of the portfolio) after their failed move in 2024. The bid was deemed
inadequate and rejected by the Anglo American Board. Anglo American itself
made a move to merge with Teck Resources which shareholders voted through as
the year drew to a close. In the precious metals sector, Gold Fields completed
a deal to buy Gold Road and Harmony used gains from higher gold prices to
diversify into copper with the purchase of MAC in Australia. The market was
also surprised by the departure of Mark Bristow as Chief Executive Officer
(CEO) of Barrick Mining (6.1% of the portfolio) leading to speculation as to
what is next for one of the world’s largest gold mining companies.
Income
The Company had another good year for income despite the year-on-year cuts in
dividend payments by many companies. Importantly, the diversification of
income sources meant receipts were sufficient, and more than met our
expectations of a flat income level versus last year.
Shareholders should note that the disposal of the BHP Brazil Royalty to Gold
Royalty Corp at year end will reduce income in 2026. However, we remain
confident of being able to recycle funds raised from the sale of this royalty
into new investments.
Source of dividends and other income for last ten years
Shareholders should note that the disposal of the BHP Brazil royalty to Gold
Royalty Corp at year end will reduce income in 2026. However, we remain
confident of being able to recycle funds raised from the sale of this royalty
into new investments.
Base metals
The base metals suite, led by copper, finished the year higher due to a
culmination of macro factors (US growth, Federal Reserve (Fed) interest rate
expectations), geopolitics (trade tariffs and sanctions), AI build-out and
associated power requirements as well as a host of supply-side issues.
Copper, our preferred base metal, rallied as the investment narrative shifted
toward energy transition, AI build - out, and defence
- led reshoring demand. With AI data centre capital expenditure
accelerating, the market has become aware of the supply chain bottlenecks such
as power, water and the electricity grid. During the year, the US classified
copper as a critical metal and in a world that is increasingly electrified, we
agree. Roughly two-thirds of copper demand is linked to the distribution of
electricity which continues to increase with power intensive AI data centre
growth, rising electric vehicle (EV) demand, solar and wind infrastructure,
investment into the electricity grid and defence spending.
The supply challenges facing the copper industry intensified, with three of
the world’s major copper projects offline – driving prices higher. Mine
supply disruptions are estimated to have exceeded 6% of global supply in 2025,
meaningfully above historical levels. The challenges to bring on additional
future supplies – such as permitting and low availability of higher grade
ore – remain, motivating companies to “buy versus build.” This drove a
series of copper related M&A events during the year, including Anglo
American’s bid for Teck Resources.
The Company’s holding in Lundin Mining (2.1% of the portfolio) gained 135%
as it delivered strong operational performance and increased production
guidance. In addition, a range of smaller copper companies including Ivanhoe
Electric (1.1% of the portfolio), Solaris Resources (0.5% of the portfolio)
and NGEx Minerals (0.8% of the portfolio) performed well as the market bid-up
these pre-production companies amid higher copper prices.
The aluminium market continued to tighten with China maintaining its 45
million tonnes per year production cap. China has moved from a net exporter to
a net importer of aluminium metal in recent years. Aluminium inventories
remain low as the US imposed a 50% import tariff, and prices rose as aluminium
flowed into the US ahead of the tariff deadline. A key question now is where
new supply will come from and the cost of that supply. Aluminium is the most
“power-priced” metal with energy representing two-thirds of its cost base.
Historically, aluminium has been produced in countries with low-cost energy
and low capital costs, such as China. However, with China no longer looking to
increase domestic production, new production will need to be built in
higher-cost countries, where aluminium smelters will have to compete against
AI data centres for power. The Company has exposure to Alcoa (1.2% of the
portfolio) which increased by 33% in 2025 and Hydro (0.9% of the portfolio)
which increased by 36%.
The nickel price was stable until a year-end price rally triggered by the
potential for Indonesia to restrict mining output. Indonesia has structurally
changed the market, with nickel pig iron producers rapidly growing production
and adapting their facilities to allow the production of nickel matte and
other intermediary products. The Company has limited nickel exposure with the
material representing just 0.6% of the portfolio.
Bulks and steel
It was a more challenging period for the bulk commodities with iron ore prices
in range-bound trading and coal prices soft. The metallurgical and thermal
coal market was over supplied in China, although government measures to
address overcapacity helped restore prices towards the year end. This remains
a focus in 2026.
China’s steel production declined by around two percent in 2025, with weak
domestic demand offset by increased steel exports. China continues to rely on
export markets which face challenges related to increased trade tariffs and
protectionist measures.
The iron ore market has benefited from limited growth capital expenditure,
supply shocks and resilient Chinese steel demand over the last five years
resulting in a “stronger for longer” pricing environment. Investors have
been focused on whether the iron ore market moves into oversupply with the
arrival of the Simandou project in Guinea. Simandou is a high grade,
Chinese-controlled source of iron ore supply, which came into production at
the end of the year and is expected to ramp-up over the next three years to
produce 120 million tonnes per annum, which represents 7.5% of global seaborne
iron ore supply.
An interesting debate is whether production from Simandou will only offset the
ongoing depletion of existing deposits. We have seen an increase in spending
by major producers as they look to maintain their existing production levels.
Although the iron ore price has remained stable, margins and free cash flow
generation have declined.
The Company’s largest exposure to iron ore is through Vale (7.1% of the
portfolio), the best performing diversified mining group in 2025 with a total
return of 54.9% in Sterling terms. The company hit the upper end of production
guidance in 2025 and also beat market expectations for dividends and share
buybacks.
Following a 10% decline in the first half of the year, coking coal prices
moved above US$200/t for the first time since 2024 as China’s campaign
against industrial overcapacity reduced domestic production. Metallurgical
coal prices fell after a period of benign weather and higher -than-expected
Mongolian volumes into China resulted in an over supplied market. The
Company’s main coking coal exposure is via Glencore (3.4% of the portfolio),
which acquired Teck’s coking coal business in 2023.
For most of 2025, thermal coal prices were pressured by strong Chinese
production. With lower margins for thermal coal producers and the market well
balanced, we see reduced free cash flow generation for these companies. The
Company’s thermal coal exposure is also via Glencore, which trades on an
attractive free cash flow yield despite depressed coal prices. At their
Capital Markets Day in December 2025 they outlined a series of options they
have in copper to grow the business over time.
Precious metals
Gold, silver, platinum and palladium all set records in 2025. The Company has
made meaningful increases to its precious metals exposure over the last few
years, and it was at nearly 45% of the portfolio at year end.
Many factors drove the precious metals rally including elevated geopolitical
risks, tariff uncertainty, expected interest rate cuts, central bank buying
and exchange traded fund (ETF) inflows. The worsening fiscal deficit in the US
and rising government debts across the world bring into question the
purchasing power of paper currencies, with investors looking to alternatives
such as gold (and real assets more broadly) for protection.
Central banks remained strong buyers of gold, and additional demand came from
new players such as Tether, a stablecoin company, who held 116 tonnes of gold
as at 30 September 2025. Physically backed gold ETFs saw continued inflows in
the second half of the year, with full year additions of 801 tonnes and total
gold ETF holdings ending at 129 million ounces versus 126 million ounces at
the previous peak in 2020. We remain positive on gold over the longer-term, as
growing government debt balances necessitate low real rates and ongoing
pressures on currencies.
Gold versus gold ETF
Gold equities performed strongly, with the FTSE Gold Mines Index up 163%. The
gold mining companies have done a good job capturing higher gold prices and
converting it into improved cash flows. This has supported debt reduction as
well as increased dividends and buybacks. Lower oil prices and moderate cost
inflation has resulted in record margins, albeit reduced by higher government
royalty and taxes, and it has been encouraging to see the companies maintain
capital cost discipline.
Platinum Group Metals
Kinross Gold was a key contributor to performance, as the company bolstered
its organic growth pipeline and maintained a disciplined approach to capital
allocation. The Company increased its exposure to Barrick Mining during the
second half as momentum built around the potential break-up of the business.
Spectacular performance came from some of our smaller holdings, including
Endeavour Mining (1.1% of the portfolio) that rose 171.7% and Minerals 260
(0.6% of the portfolio), which listed in April 2025 and finished the year up
230%. And our small silver holdings deserve special mention. Discovery Silver
gained 784% since we invested in the company, and Hycroft Mining, which was
acquired towards the end of 2025, rose 212% thanks to positive high-grade
silver drilling at its Vortex deposit in Nevada.
After a multi-year period of destocking, PGM prices bottomed and markets
tightened which saw platinum and palladium prices leap higher. The PGM
industry has been cautious in investing in new supply, so producers are unable
to increase production as demand rises. We have previously talked about how
the growth of EVs that don’t use PGMs might be bad for demand. However, over
the past two years we have seen greater demand for hybrid EVs that do contain
these metals.
The Company increased its exposure to Valterra Platinum (2.0% of the
portfolio) and to Northam Platinum (0.9% of the portfolio), which also
provides exposure to rhodium. Our other key PGM exposure is held through Bravo
Mining (1.1% of the portfolio), which provided positive updates on its Luanga
project in Brazil.
Energy transition metals
Global battery EV and hybrid sales continued to increase in 2025, with volumes
expected to reach 22 million units, up from 17 million units in 2024. Growth
was supported by improvements in battery performance, declining production
costs and a broader model range, particularly in China. In addition, demand
for Energy Storage Systems (ESS) surpassed expectations and drove lithium
prices higher in the second half of the year.
Improved economics for ESS, combined with growing renewable energy generation
to power the growth of AI, has seen ESS demand accelerate, and today it
accounts for around one-third of lithium demand. Despite weak pricing, supply
growth remains strong from projects committed to during a period of higher
lithium prices. The Company has limited exposure to lithium through a
convertible bond in Albemarle (0.7% of the portfolio), the world’s largest
lithium producer. The Company also has exposure to lithium via Rio Tinto (5.4%
of the portfolio) following their acquisition of Arcadium Lithium in 2024.
The role of nuclear energy in delivering net-zero objectives gained further
momentum through 2025, supported by governments and technology companies
seeking reliable, low-carbon power for data centres. The Company’s holding
in Cameco (1.0% of the portfolio) rose 78% in 2025, benefitting from its 49%
ownership stake in Westinghouse – which announced a partnership with the US
government to invest at least US$80 billion to build new nuclear reactors in
the US.
Rare earth elements (REEs) remain strategically important, particularly for EV
motors that use neodymium-praseodymium (NdPr) magnets. With supply chains
heavily concentrated in China, western governments continued to prioritise
alternative sources. In July 2025, MP Materials received an investment from
the US Department of War and secured a 10-year offtake agreement with a
favorable price floor, underscoring growing geopolitical support for
non-Chinese supply. The share price of Lynas Rare Earths (0.8% of the
portfolio), the key producer of non-Chinese NdPr from its Mount Weld mine in
Australia, gained 100%.
Royalty and unquoted investments
As at year end, the unquoted investments were 4.0% of the portfolio and
consist of the Vale Debentures, Jetti Resources and MCC Mining. The BHP Brazil
Royalty contract was sold to Gold Royalty Corp. These unquoted investments,
and any future investments, will be managed in line with the guidelines set by
the Board as outlined to shareholders in the Strategic Report.
BHP Brazil Royalty Contract
In 2014 the Company invested US$12 million in return for a royalty comprising
2% on copper, 25% on gold and 2% on all other metals produced from mines built
on Avanco Resources’s Antas North and Pedra Branca licences.
Since our investment, the operator of the asset has evolved with Avanco
acquired by OZ Minerals and BHP acquiring OZ Minerals in 2023. In 2025, BHP
announced that it had signed an agreement to sell the asset to CoreX Holdings,
a private Turkish industrial conglomerate.
The Company sold the BHP Brazil Royalty to Gold Royalty Corp, a listed
precious metals royalty company for US$70 million in cash. Since our initial
investment of US$12 million, total royalty income amounted to US$43 million
which, when added to the sale price, amounts to total proceeds of US$113
million. This represents a 40% pre-tax initial rate of return, with a
cumulative return of 842%. For reference the return on the reference index
over the same time period was 212%.
The portfolio managers continue to evaluate new royalty and unquoted
opportunities following a series of successful exits in recent years.
Vale Debentures (2.1% of the portfolio)
At the beginning of 2019, the Company increased its holding in Vale
Debentures, which consist of a 1.8% net revenue royalty over Vale’s Northern
System and Southeastern System iron ore assets in Brazil, as well as a 1.25%
royalty over the Sossego copper mine.
Since we acquired the debentures for R$23 per debenture, we have received
R$29.77 per debenture in shareholder payments, meaning payback of the initial
investment in six years. The Southeastern System assets started making
payments under the debentures in the first half of 2025. In October 2025, Vale
made an offer to holders to acquire the debentures for R$42/debenture. The
Company chose not to sell given the attractive yield of the debentures.
Distribution on Vale Shareholders’ debenture payments.
Whilst the Vale Debentures are a royalty and are a listed security on the
Brazilian National Debentures System. Historically there has been a low level
of liquidity in these debentures and price volatility is to be expected.
Jetti Resources (0.7% of the portfolio)
In 2022, the Company made an investment in 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 improve recoveries at a low capital cost. The technology is
being used at Capstone’s Pinto Valley copper mine and trialled at others,
including Escondida, the world’s largest copper mine.
During the year, the Company reduced the fair value of Jetti by 39% to reflect
the longer contract negotiation process and subsequent delays to revenue
expectations. This resulted in a 0.7% impact on performance of the Company.
Jetti is now valued modestly higher than our initial cost when the investment
was made in the company in 2022.
MCC Mining (1.2% of the portfolio)
MCC Mining (MCC) is a private company exploring for copper in Colombia. It is
undertaking early-stage greenfield exploration and has strong geological
potential to host multiple world class porphyry deposits. Shareholders include
other mid to large-cap copper miners, which is an indication of the strategic
value of the company.
MCC continues to deliver encouraging exploration results as it advances its
Pantanos and Comita projects, successfully raising US$75 million during the
year which sees them fully funded for 2026. MCC is due to commence drilling on
its La Rica deposit in 2026 and we continue to monitor the outcome of the
upcoming Colombian elections where a more supportive government would enable
them to commence permitting on their projects. The investment is currently
held at a valuation based on the last funding round completed in September
2025.
Derivatives activity
As usual, the company from time to time enters into derivatives contracts,
mostly involving the sale of “puts” and “calls” for income generation.
These are taken to revenue and are subject to strict Board guidelines that
limit their magnitude to an aggregate of 10% of the portfolio. In 2025 income
generated from options was £8.3 million which is slightly below prior year
but above average relative to the prior decade. In 2024 there were a number of
stock specific events that allowed unique gains to be locked in which drove
the higher number. This year there were fewer events but none of the scale or
opportunity to repeat the 2024 income. In addition, volatility was lower for
most of the year making writing options less attractive. At the end of the
year, the Company had 0.02% of the net assets exposed to derivatives and the
average exposure to derivatives during the year was less than 5%.
Gearing
At year end, the Company had £96.7 million of net debt, with a gearing level
of 4.7%. The debt is held principally in US Dollar rolling short term loans
and managed against the value of the debt securities and the high yielding
royalty positions in the Company. The debt was generally held against the
breadth of the portfolio and for use in derivative transactions. Sale proceeds
during the year were used to fund new investments but also to reduce overall
debt levels to maintain capacity for future opportunities.
Outlook
In 2024 we wrote about the frustrations of seeing strong fundamentals but
falling share prices. It is a delight to write that in 2025 share prices rose
significantly to reflect the strong fundamentals. It is important to
understand why markets did so well in 2025 to estimate what will happen in
2026. We don’t expect the drivers of last year’s gains to change unless we
see a global economic shock. In fact, commodity markets look set to be even
stronger as demand continues to outgrow supply. It will be up to investors to
decide what price to put on this, and that will determine total return for
2026, but the year has started well.
Key risks remain, including geopolitical fluctuations, slow growth in the
Chinese economy and the concentration of capital spending related to
technology and AI. Should there be a wobble on the latter, both the sector as
well as broader markets would be challenged.
In summary, 2025 was a tremendous year for shareholder share price total
return with a gain of 74.1%. Within this, income remained healthy and looks
set to stabilise around current levels – or higher if companies decide to
share more with their investors. Management teams look set to remain
disciplined on capital spending, but there is a risk that M&A could accelerate
given listed producers remain cheaper than the cost of building new capacity.
The Company continues to look for interesting new opportunities, especially in
the unquoted space to replace the BHP Brazil Royalty. We look forward to
completing additional unquoted transactions this year.
Evy Hambro and Olivia Markham
BlackRock Investment Management (UK) Limited
16 March 2026
Ten largest investments
Together, the Company’s ten largest investments represented 49.4% of the
Company’s portfolio as at 31 December 2025 (2024: 52.7%).
1 Vale 1,2,3
(2024: 6th)
Diversified mining group
Market value: £119,363,000
Share of investments: 7.1% comprising equity of 5.0% and debentures of 2.1%
(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 Barrick Mining (2024: 10th)
Gold producer
Market value: £102,307,000
Share of investments: 6.1% (2024: 3.1%)
A senior gold producer and the third-largest in the world by market
capitalisation. The company has operations and projects in North America,
South America and Africa.
3 Agnico Eagle Mines (2024: 5th)
Gold producer
Market value: £94,256,000
Share of investments: 5.6% (2024: 5.2%)
A senior gold producer and one of the largest in the world by market
capitalisation. The company has operations and projects in North America,
South America and Africa.
4 Rio Tinto (2024: 2nd)
Diversified mining group
Market value: £89,648,000
Share of investments: 5.4% (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 Newmont Corporation (2024: 12th)
Gold producer
Market value: £86,632,000
Share of investments: 5.2% (2024: 2.8%)
The world’s largest gold producer by market capitalisation. The group has
gold and copper operations on five continents, with active gold mines in
Nevada, Australia, Ghana, Peru and Suriname.
6 AngloGold Ashanti (2024: 43rd)
Gold producer
Market value: £71,615,000
Share of investments: 4.3% (2024: 0.6)
A major global gold mining company, formed in 2004 by the merger of AngloGold
and Ashanti Goldfields Corporation. It operates a diverse portfolio of mining
operations across four continents making it one of the world’s largest gold
producers.
7 Anglo American (2024: 4th)
Diversified mining group
Market value: £69,307,000
Share of investments: 4.1% (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 and has announced a business
combination with Teck Resources.
8 Kinross Gold (2024: 27th)
Gold producer
Market value: £68,170,000
Share of investments: 4.1% (2024: 1.2%)
A mining company conducting extraction and processing of gold and silver ore.
It operates a portfolio of gold mines in Canada, the US, Brazil, Chile and
Mauritania.
9 Wheaton Precious Metals (2024: 8th)
Precious metals royalty
Market value: £65,063,000
Share of investments: 3.9% (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.
10 BHP 3
(2024: 1st)
Diversified mining group
Market value: £59,583,000
Share of investments: 3.6% (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, metallurgical coal and potash.
1 Includes investments held at Directors’ valuation.
2 Includes fixed income securities.
3 Includes options.
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.
Percentages in brackets represent the value of the holding as at 31 December
2024.
Investments
as at 31 December 2025
Main geographical exposure Market value £’000 % of investments
Gold
Barrick Mining Global 102,307 6.1
Agnico Eagle Mines Canada 94,256 5.6
Newmont Corporation Global 86,632 5.2
AngloGold Ashanti South Africa 71,615 4.3
Kinross Gold Global 68,170 4.1
Wheaton Precious Metals Global 65,063 3.9
Hycroft Mining United States 29,201 1.7
Franco-Nevada Global 20,975 1.3
Northern Star Resources Australasia 18,980 1.1
Endeavour Mining Other Africa 18,803 1.1
Gold Royalty Global 15,018 0.9
Capricorn Metals Australasia 14,821 0.9
Firefly Metals Canada 11,340 0.7
Allied Gold 1 Other Africa 10,798 0.6
Rio2 Latin America 10,546 0.6
Minerals 260 Australasia 10,456 0.6
Bellevue Gold Australasia 7,673 0.5
Zijin Mining Group China 7,217 0.4
Polyus 2 Russia – –
--------------- ---------------
663,871 39.6
========= =========
Diversified
Vale Global 83,963 } 7.1
Vale Debentures 1,3,4 Global 35,749
Vale Put Option 16/01/2026 US$13.00 Global (349)
Rio Tinto Global 89,648 5.4
Anglo American Global 69,307 4.1
BHP Global 59,593 } 3.6
BHP Put Option 15/01/2026 AUD$41.261 Global (10)
Glencore Global 56,115 3.4
Vox Royalty Canada 10,691 0.6
Teck Resources Global 9,052 0.5
--------------- ---------------
413,759 24.7
========= =========
Copper
Lundin Mining Global 34,929 2.1
Freeport-McMoran Global 34,605 2.1
Southern Copper Corporation Latin America 30,090 1.8
Sociedad Minera Cerro Verde Latin America 25,620 1.5
Foran Mining Canada 24,043 1.4
Develop Global Australasia 20,443 1.2
MCC Mining 4 Latin America 20,355 1.2
Ivanhoe Mines Other Africa 19,690 1.2
Ivanhoe Electric United States 18,879 1.1
First Quantum Minerals Global 18,545 1.1
NGEx Minerals Latin America 12,859 0.8
Jetti Resources 4 Global 12,436 0.7
Solaris Resources Latin America 8,121 0.5
Ero Copper Latin America 4,146 0.2
LunR Royalties Latin America 2,946 0.2
--------------- ---------------
287,707 17.1
========= =========
Steel
Steel Dynamics United States 32,018 1.9
Nucor United States 31,826 1.9
ArcelorMittal Global 28,165 1.7
--------------- ---------------
92,009 5.5
========= =========
Platinum Group Metals
Valterra Platinum South Africa 33,659 2.0
Bravo Mining Latin America 18,991 1.1
Northam Platinum Global 14,527 0.9
Impala Platinum South Africa 4,649 0.3
--------------- ---------------
71,826 4.3
========= =========
Industrial Minerals
Lynas Rare Earths Australasia 13,547 0.8
Martin Marietta Materials United States 13,141 0.8
Albemarle Global 11,376 0.7
Iluka Resources Australasia 5,179 0.3
Chalice Mining Australasia 2,053 0.1
Sheffield Resource Australasia 704 –
--------------- ---------------
46,000 2.7
========= =========
Aluminium
Alcoa Global 19,743 1.2
Hydro Global 14,791 0.9
--------------- ---------------
34,534 2.1
========= =========
Iron Ore
Labrador Iron Canada 10,874 0.6
Fortescue Australasia 4,341 0.3
Champion Iron Canada 4,153 0.3
Equatorial Resources Other Africa 253 –
--------------- ---------------
19,621 1.2
========= =========
Uranium
Cameco Canada 15,918 1.0
--------------- ---------------
15,918 1.0
========= =========
Silver
Discovery Silver Latin America 13,013 0.8
--------------- ---------------
13,013 0.8
========= =========
Nickel
Nickel Industries Indonesia 6,300 0.4
Lifezone Metals Global 2,959 0.2
--------------- ---------------
9,259 0.6
========= =========
Zinc
Titan Mining United States 7,181 0.4
--------------- ---------------
7,181 0.4
========= =========
Energy Minerals
Gippsland Energy Australasia – –
Latrobe Fertilisers Australasia – –
--------------- ---------------
1,674,698 100.0
========= =========
Comprising:
– Investments 1,675,057 100.0
– Options (359) –
--------------- ---------------
1,674,698 100.0
========= =========
1 Includes fixed income securities.
2 This position is fair valued to nil due to sanctions on
Russia. The underlying local value of the position on the Moscow Stock
Exchange at 31 December 2025 was £25.2 million.
3 The investment in the Vale debentures is illiquid and
has been valued using secondary market pricing information provided by the
Brazilian Financial and Capital Markets Association (ANBIMA).
4 Includes investments held at Directors' valuation.
All investments are in equity shares unless otherwise stated.
The total number of investments as at 31 December 2025 (including options
classified as liabilities on the balance sheet) was 70 (2024: 70).
As at 31 December 2025 the Company did not hold any equity interests in
companies comprising more than 3% of a company’s share capital.
Portfolio analysis
as at 31 December 2025
Commodity Exposure 1
2025 2024 2025 reference index 3
portfolio portfolio 2
Gold 39.6% 22.0% 36.3%
Diversified 24.7% 33.9% 26.8%
Copper 17.1% 24.8% 11.8%
Steel 5.5% 4.7% 11.3%
Platinum Group Metals 4.3% 1.7% 3.2%
Industrial Minerals 2.7% 2.8% 1.0%
Aluminium 2.1% 2.3% 3.0%
Iron Ore 1.2% 3.2% 2.2%
Uranium 1.0% 3.4% 0.0%
Silver 0.8% 0.0% 2.5%
Nickel 0.6% 1.1% 0.0%
Zinc 0.4% 0.1% 1.1%
Other 4 0.0% 0.0% 0.8%
1 Based on index classifications.
2 Represents exposure at 31 December 2024.
3 MSCI ACWI Metals & Mining 30% Buffer 10/40 Index (net total
return).
4 Represents a very small exposure.
Geographic Exposure 1
2025
Global 57.2%
Canada 10.2%
Latin America 8.7%
Other 2 8.6%
South Africa 6.6%
Australasia 5.8%
Other Africa (ex South Africa) 2.9%
2024
Global 61.3%
Canada 12.5%
Latin America 8.9%
Australasia 6.5%
Other 3 6.2%
Other Africa (ex South Africa) 3.9%
South Africa 0.7%
1 Based on the principal commodity exposure and place of operation
of each investment.
2 Consists of China, Indonesia and United States.
3 Consists of Indonesia and United States.
Strategic Report
The Directors present the Strategic Report of BlackRock World Mining Trust plc
for the year ended 31 December 2025. The aim of the Strategic Report is to
provide shareholders with the information to assess how the Directors have
performed their duty to promote the success of the Company for the collective
benefit of shareholders.
The Chairman’s Statement together with the Investment Manager’s Report
form part of this Strategic Report. The Strategic Report was approved by the
Board at its meeting on 16 March 2026.
Principal activities
The Company carries on business as an investment trust with a listing on the
London Stock Exchange. Its principal activity is portfolio investment and that
of its subsidiary, BlackRock World Mining Investment Company Limited (together
the Group), is investment dealing. The Company was incorporated in England on
28 October 1993 and this is the thirty-second Annual Report.
Investment trusts are pooled investment vehicles which allow exposure to a
diversified range of assets through a single investment, thus spreading
investment risk.
Objective
The Company’s objective is to maximise total returns to shareholders through
the cycle using a worldwide portfolio of mining and metal investments.
The Board recognises the importance of dividends to shareholders in achieving
that objective, in addition to capital returns.
Strategy, business model and investment policy
Strategy
The Company invests in accordance with the objective given above. The Board is
collectively responsible to shareholders for the long-term success of the
Company and is its governing body. There is a clear division of responsibility
between the Board and BlackRock Fund Managers Limited (the Manager). Matters
reserved for the Board include setting the Company’s strategy, including its
investment objective and policy, setting limits on gearing (both bank
borrowings and the effect of derivatives), capital structure, governance and
appointing and monitoring of the performance of service providers, including
the Manager.
Business model
The Company’s business model follows that of an externally managed
investment trust. Therefore, the Company does not have any employees and
outsources its activities to third-party service providers including the
Manager who is the principal service provider. In accordance with the
Alternative Investment Fund Managers’ Directive (AIFMD), as implemented,
retained and onshored in the UK, the Company is an Alternative Investment Fund
(AIF). BlackRock Fund Managers Limited is the Company’s Alternative
Investment Fund Manager.
The management of the investment portfolio and the administration of the
Company have been contractually delegated to the Manager who in turn (with the
permission of the Company) has delegated certain investment management and
other ancillary services to BlackRock Investment Management (UK) Limited (the
Investment Manager). The Manager, operating under guidelines determined by the
Board, has direct responsibility for the decisions relating to the day-to-day
running of the Company and is accountable to the Board for the investment,
financial and operating performance of the Company.
The Company delegates fund accounting services to the Manager, which in turn
sub-delegates these services to The Bank of New York Mellon (International)
Limited (BNY). Other service providers include the Depositary (also BNY) and
the Registrar, Computershare Investor Services PLC. Details of the contractual
terms with the Manager and the Depositary and more details of the arrangements
in place governing custody services are set out in the Directors’ Report.
Investment policy
The Company’s investment policy is to provide a diversified investment in
mining and metal securities worldwide actively managed with the objective of
maximising total returns. While the policy is to invest principally in quoted
securities, the Company’s investment policy includes investing in royalties
derived from the production of metals and minerals as well as physical metals.
Up to 10% of gross assets may be held in physical metals.
In order to achieve its objective, it is intended that the Group will normally
be fully invested, which means at least 90% of the gross assets of the Company
and its subsidiary will be invested in stocks, shares, debt securities,
royalties and physical metals. However, if such investments are deemed to be
overvalued, or if the Manager finds it difficult to identify attractively
priced opportunities for investment, then up to 25% of the Group’s assets
may be held in cash or cash equivalents. Risk is spread by investing in a
number of holdings, many of which themselves are diversified businesses.
The Group may occasionally utilise derivative instruments such as options,
futures and contracts for difference, if it is deemed that these will, at a
particular time or for a particular period, enhance the performance of the
Group in the pursuit of its objectives. The Company is also permitted to enter
into stock lending arrangements.
The Group may invest in any single holding of quoted or unquoted investments
that would represent up to 20% of gross assets at the time of acquisition.
Although investments are principally in companies listed on recognised stock
exchanges, the Company may invest up to 20% of the Group’s gross assets in
investments other than quoted securities. Such investments include unquoted
royalties, equities or bonds. In order to afford the Company the flexibility
of obtaining exposure to metal and mining-related royalties, it is possible
that, in order to diversify risk, all or part of such exposure may be obtained
directly or indirectly through a holding company, a fund or another investment
or special purpose vehicle, which may be quoted or unquoted. The Board will
seek the prior approval of shareholders for any unquoted investment in a
single company, fund or special purpose vehicle or any single royalty which
represents more than 10% of the Group’s assets at the time of acquisition.
The Company’s royalty strategy permits a 20% maximum exposure to royalties
but the royalty/unquoted portfolio should itself deliver diversification
across operator, country and commodity. To this end, new investments into
individual royalties/unquoted investments will not exceed circa 3% of gross
assets at the time of investment. Total exposure to any single operator,
including other issued securities such as debt and/or equity, where greater
than 30% of that operator’s revenues come from the mine over which the
royalty lies, must also not be greater than 3% at the time of investment. In
addition, the guidelines require that the Investment Manager must, at the time
of investment, manage total exposure to a single operator, via reducing
exposure to listed securities if they are also held in the portfolio, in a
timely manner where royalties/unquoted investments are revalued upwards. In
the jurisdictions where statutory royalties are possible (in countries where
mineral rights are privately owned) these will be preferred and in respect of
contractual royalties (a contractual obligation entered into by the operator
and typically unsecured) the valuation must take into account the higher
credit risk involved. Board approval will continue to be required for all
royalty/unquoted investments.
While the Company may hold shares in other listed investment companies
(including investment trusts), the Board has agreed that the Company will not
invest more than 15% of the Group’s gross assets in other UK listed
investment companies. In order to comply with the current Listing Rules, the
Company will also not invest more than 10% of its gross asset value in other
listed closed-ended investment funds which themselves may invest more than 15%
of their gross assets in other listed closed-ended investment funds. This
restriction does not form part of the Company’s investment policy.
The Group’s financial statements are maintained in Sterling. Although many
investments are denominated and quoted in currencies other than Sterling, the
Board does not intend to employ a hedging strategy against fluctuations in
exchange rates.
No material change will be made to the investment policy without shareholder
approval.
Gearing
The Company may borrow up to 25% of the Group’s net assets. The Board
believes that tactical use of gearing can add value from time to time. This
gearing is typically in the form of an overdraft or short-term loan facility,
which can be repaid at any time or matched by cash. The level and benefit of
gearing is discussed and agreed with the Board regularly. The maximum level of
gearing used during the year was 13.6% and, at the financial reporting date,
net gearing (calculated as borrowings less cash and cash equivalents as a
percentage of net assets) stood at 4.7% of shareholders’ funds (2024:
12.0%). For further details on borrowings refer to note 14 in the Financial
Statements and the Alternative Performance Measure in the Glossary.
Portfolio analysis
Information regarding the Company’s investment exposures is contained within
Section 2 (Portfolio), with information on the ten largest investments below,
the investments listed and portfolio analysis below. Further information
regarding investment risk and activity throughout the year can be found in the
Investment Manager’s Report.
At 31 December 2025, the Level 3 unquoted investments (see note 17 in the
Financial Statements) in the preferred shares and equity shares of Jetti
Resources and MCC Mining were held at Directors’ valuation, representing a
total of £32,792,000 (2024: £58,267,000). Unquoted investments can prove to
be more risky than listed investments.
Continuation vote
As agreed by shareholders in 1998, an ordinary resolution for the continuation
of the Company is proposed at each Annual General Meeting. The Directors
remain confident in the value available in the mining sector and therefore
recommend that shareholders vote in support of the Company’s continuation.
Performance
Details of the Company’s performance for the year are given in the
Chairman’s Statement. The Investment Manager’s Report includes a review of
the main developments during the year, together with information on investment
activity within the Company’s portfolio.
Results and dividends
The results for the Company are set out in the Consolidated Statement of
Comprehensive Income. The total profit for the year, after taxation, was
£688,590,000 (2024: loss of £119,941,000) of which £45,867,000 (2024:
£44,127,000) is revenue profit.
It is the Board’s intention to distribute substantially all of the
Company’s available income. The Directors recommend the payment of a final
dividend as set out in the Chairman’s Statement. Dividend payments/payable
for the year ended 31 December 2025 amounted to
£44,869,000 (2024: £43,942,000).
Future prospects
The Board’s main focus is to maximise total returns over the longer term
through investment in mining and metal assets. The future of the Company is
dependent upon the success of the investment strategy. The outlook for the
Company is discussed in both the Chairman’s Statement and the Investment
Manager’s Report.
Social, community and human rights issues
As an investment trust, the Company has no direct social or community
responsibilities or impact on the environment and the Company has not adopted
an ESG investment strategy or exclusionary screens. However, the Directors
believe that it is important and in shareholders’ interests to consider
human rights issues and environmental, social and governance factors when
selecting and retaining investments. Details of the Company’s approach to
ESG are set out in the Company’s Annual Report for the year ended 31
December 2025 and details of the Manager’s approach to ESG integration are
also set out in the Company’s Annual Report for the year ended 31 December
2025.
Modern Slavery Act
As an investment vehicle, the Company does not provide goods or services in
the normal course of business and does not have customers. The Investment
Manager considers modern slavery as part of supply chains and labour
management within the investment process. Accordingly, the Directors consider
that the Company is not required to make any slavery or human trafficking
statement under the Modern Slavery Act 2015. In any event, the Board considers
the Company’s supply chains, dealing predominantly with professional
advisers and service providers in the financial services industry, to be low
risk in relation to this matter.
Directors, gender representation and employees
The Directors of the Company on 31 December 2025 are set out in the
Directors’ Biographies in the Company’s Annual Report for the year ended
31 December 2025. The Board currently consists of two male Directors and three
female Directors. The Company’s policy on diversity is set out in the
Company’s Annual Report for the year ended 31 December 2025. The Company
does not have any executive employees.
Key performance indicators
At each Board meeting, the Directors consider a number of performance measures
to assess the Company’s success in achieving its objectives. The key
performance indicators (KPIs) used to measure the progress and performance of
the Company over time and which are comparable to other investment trusts, are
set out overleaf. As indicated in the footnote to the table, some of these
KPIs fall within the definition of ‘Alternative Performance Measures’
under guidance issued by the European Securities and Markets Authority (ESMA)
and additional information explaining how these are calculated is set out in
the Glossary in the Company’s Annual Report for the year ended 31 December
2025. Additionally, the Board regularly reviews the performance of
the portfolio, as well as the net asset value and share price of the Company
and compares this against various companies and indices. Information on the
Company’s performance is given in the Chairman’s Statement.
Year ended 31 December 2025 Year ended 31 December 2024
Net asset value total return 1,2 74.2% -10.7%
Share price total return 1,2 74.1% -12.7%
Discount to net asset value 2 6.1% 5.8%
Revenue earnings per share 24.37p 23.09p
Total dividends per share 24.00p 23.00p
Ongoing charges on net assets 2, 3 1.05% 0.95%
Ongoing charges on gross assets 2, 4 0.95% 0.84%
========= =========
1 This measures the Company’s net asset value (NAV) and
share price total return, which assumes dividends paid by the Company have
been reinvested.
2 Alternative Performance Measures, see Glossary in the
Company’s Annual Report for the year ended 31 December 2025.
3 Ongoing charges based on net assets represent the
management fee and all other operating expenses, excluding finance costs,
direct transaction costs, custody transaction charges, VAT
recovered, taxation, prior year expenses written back and certain
non-recurring items, as a percentage of average daily net assets.
4 Ongoing charges based on gross assets represent the
management fee and all other operating expenses, excluding finance costs,
direct transaction costs, custody transaction charges, VAT recovered,
taxation, prior year expenses written back and certain non-recurring items, as
a percentage of average daily gross assets. Gross assets are calculated based
on net assets during the year before the deduction of the bank overdraft and
loans. Ongoing charges based on gross assets are considered to be an
appropriate performance measure as management fees are payable on gross assets
(subject to certain adjustments and deductions).
Principal risks
The Company is exposed to a variety of risks and uncertainties. As required by
the 2024 UK Corporate Governance Code (the UK Code), the Board has put in
place a robust ongoing process to identify, assess and monitor the principal
risks and emerging risks facing the Company including those that would
threaten its business model. A core element of this process is the Company’s
risk register which identifies the risks facing the Company and assesses the
likelihood and potential impact of each risk and the quality of controls
operating to mitigate it. A residual risk rating is then calculated for each
risk based on the outcome of the assessment.
The risk register, its method of preparation and the operation of key controls
in BlackRock’s and third-party service providers’ systems of internal
control, are reviewed on a regular basis by the Audit and Risk Committee. In
order to gain a more comprehensive understanding of BlackRock’s and other
third-party service providers’ risk management processes and how these apply
to the Company’s business, BlackRock’s internal audit department provides
an annual presentation to the Audit and Risk Committee chairs of the BlackRock
investment trusts setting out the results of testing performed in relation to
BlackRock’s internal control processes. The Audit and Risk Committee also
periodically receives and reviews internal control reports from BlackRock and
the Company’s service providers.
The Board has undertaken a robust assessment of both the principal and
emerging risks facing the Company, including those that would threaten its
business model, future performance, solvency or liquidity. For instance, the
risk that unforeseen or unprecedented events including (but not limited to)
heightened geopolitical tensions such as those in Ukraine, the Middle East,
the US and China have had a significant impact on global markets. The Board
has taken into consideration the risks posed to the Company by these events
and incorporated these into the Company’s risk register. The threat of
climate change has also reinforced the importance of more sustainable
practices and environmental responsibility for investee companies.
Emerging risks
Emerging risks are considered by the Board as they come into view and are
incorporated into the existing review of the Company’s risk register. They
were also considered as part of the annual evaluation process. Additionally,
the Manager considers emerging risks in numerous forums and the BlackRock Risk
and Quantitative Analysis team produces an annual risk survey. Any material
risks of relevance to the Company through the annual risk survey will be
communicated to the Board.
Emerging risks that have been considered by the Board over the year include
the impact of climate change, escalating geopolitical conflict and
technological advances. The key emerging risks identified are as follows:
Climate change: Investors can no longer ignore the impact that the world’s
changing climate will have on their portfolios, with the impact of climate
change on returns, including climate-related natural disasters, now
potentially significant and with the potential to escalate more swiftly than
one is able to predict. The Board receives ESG reports from the Manager on the
portfolio and the way ESG considerations are integrated into the investment
decision making, so as to mitigate risk at the level of stock selection and
portfolio construction.
Geopolitical risk: Escalating geopolitical tensions, including but not limited
to those relating to Ukraine, the Middle East, strategic competition between
the United States and China, and shifting policy priorities within major
global economies, may have a significant adverse impact on global financial
markets. The increasing use of tariffs, trade restrictions, sanctions, export
controls and domestic industrial policies is contributing to greater
complexity in global trade and a trend towards economic fragmentation. Within
this category the continuing rise of resource nationalism is presented and
assessed.
Artificial Intelligence (AI): Advances in computing power means that AI has
become a powerful tool that will impact a huge range of areas and with a wide
range of applications that have the potential to dislocate established
business models and disrupt labour markets, creating uncertainty in corporate
valuations. The significant energy required to power this technological
revolution will create further pressure on environmental resources and carbon
emissions.
The Board will continue to assess these risks on an ongoing basis. In relation
to the UK Code, the Board is confident that the procedures that the Company
has put in place are sufficient to ensure that the necessary monitoring of
risks and controls has been carried out throughout the reporting period.
The principal risks and uncertainties faced by the Company during the
financial year, together with the potential effects, controls and mitigating
factors, are set out in the following table.
Arrows indicate movements in the relative risk assessment compared with the
position reported in the previous financial year.
Operational
In common with most other investment trust companies, the Company has no
employees. The Company therefore relies on the services provided by third
parties and is dependent on the control systems of the Manager, the
Depositary, Custodian and Fund Accountant and other key service providers
which maintain the Company’s assets, dealing procedures and accounting
records.
The security of the Company’s assets, dealing procedures, accounting records
and adherence to regulatory and legal requirements depend on the effective
operation of the systems of these third-party service providers. There is a
risk that a major disaster, such as floods, fire, a global pandemic, or
terrorist activity, renders the Company’s service providers unable to
conduct business at normal operating effectiveness.
Failure by any service provider to carry out its obligations to the Company
could have a material adverse effect on the Company’s performance.
Disruption to the accounting, payment systems or custody records (including
cyber security risk) could prevent the accurate reporting and monitoring of
the Company’s financial position.
Mitigation/Control
Due diligence is undertaken before contracts are entered into with third-party
service providers. Thereafter, the performance of the provider is subject to
regular review and reported to the Board. This includes consideration of the
financial resilience, operational capability and ownership structure of key
providers.
The Board reviews on a regular basis an assessment of the fraud risks that the
Company could potentially be exposed to and also a summary of the controls put
in place by the Manager, Depositary, Custodian, Fund Accountant and Registrar
specifically to mitigate these risks.
Most third-party service providers produce Service Organisation Control (SOC
1) reports to provide assurance regarding the effective operation of internal
controls as reported on by their reporting accountants. These reports are
provided to the Audit and Risk Committee for review. The Committee would seek
further representations from service providers if not satisfied with the
effectiveness of their control environment.
The Company’s financial instruments held in custody are subject to a strict
liability regime and, in the event of a loss of such financial instruments,
the Depositary must return financial assets of an identical type or the
corresponding amount, unless able to demonstrate the loss was a result of an
event beyond its reasonable control.
The Board reviews the overall performance of the Manager, Investment Manager
and all other third-party service providers on a regular basis and compliance
with the Investment Management Agreement annually.
The Board also considers the business continuity arrangements of the
Company’s key service providers on an ongoing basis and reviews these as
part of its review of the Company’s risk register.
Investment performance
The returns achieved are reliant primarily upon the performance of the
portfolio.
The Board is responsible for:
- deciding the investment strategy to fulfil the
Company’s objective; and
- monitoring the performance of the Investment Manager
and the implementation of the investment strategy.
An inappropriate investment strategy may lead to:
- underperformance compared to the reference index;
- a reduction or permanent loss of capital; and
- dissatisfied shareholders and reputational damage.
The Board is also cognisant of the long-term risk to performance from
inadequate attention to ESG issues and in particular the impact of climate
change.
Mitigation/Control
To manage this risk the Board:
- regularly reviews the Company’s investment mandate
and long-term strategy;
- has set investment restrictions and guidelines which
the Investment Manager monitors and regularly reports on;
- receives from the Investment Manager a regular
explanation of stock selection decisions, portfolio exposure, gearing and any
changes in gearing, and the rationale for the composition of the investment
portfolio;
- oversees the maintenance of an adequate spread of
investments in order to minimise the risks associated with particular
countries or factors specific to particular sectors, based on the
diversification requirements inherent in the investment policy; and
- receives and reviews regular reports showing an
analysis of the Company’s performance against other indices, including the
performance of major companies in the sector.
ESG analysis is integrated into the Investment Manager’s investment process
and is monitored by the Board. As the world works toward a transition to a
low-carbon economy, the Investment Manager is interested in hearing from
companies about their strategies and plans for responding to the challenges
and capturing the opportunities that this transition creates. When companies
consider climate-related risks, it is likely they will also assess their
impact and dependence on natural capital.
Legal and regulatory compliance
The Company has been approved by HM Revenue & Customs as an investment trust,
subject to continuing to meet the relevant eligibility conditions, and
operates as an investment trust in accordance with Chapter 4 of Part 24 of the
Corporation Tax Act 2010. As such, the Company is exempt from corporation tax
on capital gains tax on the profits realised from the sale of its investments.
Any breach of the relevant eligibility conditions could lead to the Company
losing investment trust status and being subject to corporation tax on capital
gains realised within the Company’s portfolio. In such event, the investment
returns of the Company may be adversely affected.
A serious breach could result in the Company and/or the Directors being fined
or the subject of criminal proceedings or the suspension of the Company’s
shares which would in turn lead to a breach of the Corporation Tax Act 2010.
Amongst other relevant laws, the Company is required to comply with the
provisions of the Companies Act 2006, the Alternative Investment Fund
Managers’ Directive as implemented, retained and onshored in the UK (AIFMD),
the UK Listing Rules, Disclosure Guidance and Transparency Rules and the
Market Abuse Regulation (as retained and onshored in the UK).
Mitigation/Control
The Investment Manager monitors investment movements, the level and type of
forecast income and expenditure and the amount of proposed dividends to ensure
that the provisions of Chapter 4 of Part 24 of the Corporation Tax Act 2010
are not breached. The results are reported to the Board at each meeting.
Compliance with the accounting rules affecting investment trusts is also
carefully and regularly monitored.
The Company Secretary, Manager and the Company’s professional advisers
provide regular reports to the Board in respect of compliance with all
applicable rules and regulations. The Board and the Manager also monitor
changes in government policy and legislation which may have an impact on the
Company.
The Company’s Investment Manager at all times complies with the sanctions
administered by the UK Office of Financial Sanctions Implementation, the
United States Treasury’s Office of Foreign Assets Control, the United
Nations, European Union member states and any other applicable regimes.
Market
Market risk arises from volatility in the prices of the Company’s
investments. The price of shares in the mining sector can be volatile and this
may be reflected in the NAV and market price of the Company’s shares.
Changes in general economic and market conditions, such as currency exchange
rates, interest rates, rates of inflation, industry conditions, tax laws,
political events, liquidity conditions, legal and regulatory developments and
trends, can also substantially and adversely affect the securities and, as a
consequence, the Company’s prospects and share price.
Market risk includes the potential impact of events which are outside the
Company’s control, including (but not limited to) heightened geopolitical
tensions and military conflict, a global pandemic and high inflation.
Companies operating in the sectors in which the Company invests may be
impacted by new legislation governing climate change and environmental issues,
which may have a negative impact on their valuation and share price.
Mitigation/Control
The Board considers the diversification of the portfolio, asset allocation,
stock selection and levels of gearing on a regular basis and has set
investment restrictions and guidelines which are monitored and reported on by
the Investment Manager.
The Board monitors the implementation and results of the investment process
with the Investment Manager.
The Board also recognises the benefits of a closed-end fund structure in
extremely volatile markets such as those affected by the current environment
of heightened geopolitical tensions and uncertainty. Unlike open-ended
counterparts, closed-end funds are not obliged to sell-down portfolio holdings
at low valuations to meet liquidity requirements for redemptions. During times
of elevated volatility and market stress, the ability of a closed-end fund
structure to remain invested for the long term enables the Investment Manager
to adhere to disciplined fundamental analysis from a bottom-up perspective and
be ready to respond to dislocations in the market as opportunities present
themselves.
The Investment Manager seeks to understand the ESG risks and opportunities
facing companies and industries in the portfolio. The Company has not adopted
an ESG focused investment strategy and does not exclude investment in stocks
based on ESG criteria, but the Investment Manager considers ESG information
when conducting research and due diligence on new investments and again when
monitoring investments in the portfolio.
Financial
The Company’s investment activities expose it to a variety of financial
risks which include market risk, counterparty credit risk, liquidity risk and
the valuation of financial instruments.
Mitigation/Control
Details of these risks are disclosed in note 17 to the Financial Statements,
together with a summary of the policies for managing these risks.
In the view of the Board, there have not been any changes to the fundamental
nature of these risks and these principal risks and uncertainties are equally
applicable for the current financial year.
Viability statement
In accordance with provision 30 of the 2024 UK Corporate Governance Code, the
Directors have assessed the prospects of the Company over a longer period than
the twelve months referred to in the going concern assessment. The Company is
an investment trust with the objective of providing an attractive level of
income return together with capital appreciation over the long term.
The Directors expect the Company to continue for the foreseeable future and
have therefore conducted this review for a period up to the Annual General
Meeting in 2029. The Directors assess viability over a rolling three-year
period as they believe it best balances the Company’s long-term objective,
its financial flexibility and scope, with the difficulty in forecasting
economic conditions which could affect both the Company and its shareholders.
The Company also undertakes a continuation vote every year with the next one
taking place at the forthcoming Annual General Meeting.
In making an assessment on the viability of the Company, the Board has
considered the following:
- the impact of a significant fall in commodity markets
on the value of the Company’s investment portfolio;
- the ongoing relevance of the Company’s investment
objective, business model and investment policy in the prevailing market;
- the principal and emerging risks and uncertainties, as
set out above, and their potential impact;
- the level of ongoing demand for the Company’s shares;
- the Company’s share price discount/premium to NAV;
- the liquidity of the Company’s portfolio; and
- the level of income generated by the Company and future
income and expenditure forecasts.
The Directors have concluded that there is a reasonable expectation that the
Company will continue in operation and meet its liabilities as they fall due
over the period of their assessment based on the following considerations:
- the Investment Manager’s compliance with the
investment objective and policy, its investment strategy and asset allocation;
- the portfolio is liquid and mainly comprises readily
realisable assets which continue to offer a range of investment opportunities
for shareholders as part of a balanced investment portfolio;
- the operational resilience of the Company and its key
service providers and their ability to continue to provide a good level of
service for the foreseeable future;
- the effectiveness of business continuity plans in place
for the Company and its key service providers;
- the ongoing processes for monitoring operating costs
and income which are considered to be reasonable in comparison to the
Company’s total assets;
- the Board’s discount management policy; and
- the Company is a closed-end investment company and
therefore does not suffer from the liquidity issues arising from unexpected
redemptions.
In addition, the Board’s assessment of the Company’s ability to operate in
the foreseeable future is included in the Going Concern Statement which can be
found in the Directors’ Report in the Company’s Annual Report for the year
ended 31 December 2025.
Section 172 statement: Promoting the success of the Company
The Companies (Miscellaneous Reporting) Regulations 2018 require directors of
large companies to explain more fully how they have discharged their duties
under Section 172(1) of the Companies Act 2006 in promoting the success of
their companies for the benefit of members as a whole. This includes the
likely consequences of their decisions in the longer term and how they have
taken wider stakeholders’ needs into account.
The disclosure that follows covers how the Board has engaged with and
understands the views of stakeholders and how stakeholders’ needs have been
taken into account, the outcome of this engagement and the impact that it has
had on the Board’s decisions. The Board considers the main stakeholders in
the Company to be the Manager, Investment Manager and the shareholders. In
addition to this, the Board considers investee companies and key service
providers of the Company to be stakeholders; the latter comprise the
Company’s Depositary, Registrar, Fund Accountants and Brokers.
Stakeholders
Shareholders
Continued shareholder support and engagement are critical to the continued
existence of the Company and the successful delivery of its long-term
strategy. The Board is focused on fostering good working relationships with
shareholders and on understanding the views of shareholders in order to
incorporate them into the Board’s strategy and objective in maximising total
returns to shareholders through a worldwide portfolio of mining and metal
securities.
Manager and Investment Manager
The Board’s main working relationship is with the Manager, who is
responsible for the Company’s portfolio management (including asset
allocation, stock and sector selection) and risk management, as well as
ancillary functions such as administration, secretarial, accounting and
marketing services. The Manager has sub-delegated portfolio management to the
Investment Manager. Successful management of shareholders’ assets by the
Investment Manager is critical for the Company to deliver successfully its
investment strategy and meet its objective. The Company is also reliant on the
Manager as AIFM to provide support in meeting relevant regulatory obligations
under the AIFMD and other relevant legislation.
Other key service providers
In order for the Company to function as an investment trust on the London
Stock Exchange’s (LSE) main market for listed securities and generally
function as an investment trust with a listing on the official list of the
FCA, the Board relies on a diverse range of advisers for support in meeting
relevant obligations and safeguarding the Company’s assets. For this reason,
the Board considers the Company’s Depositary, Registrar, Fund Accountant and
Brokers to be stakeholders. The Board maintains regular contact with its key
external service providers and receives regular reporting from them through
the Board and Committee meetings, as well as outside of the regular meeting
cycle.
Investee companies
Portfolio holdings are ultimately shareholders’ assets and the Board
recognises the importance of good stewardship and communication with investee
companies in meeting the Company’s investment objective and strategy. The
Board monitors the Manager’s stewardship activities and receives regular
feedback from the Manager in respect of meetings with the management of
investee companies.
A summary of the key areas of engagement undertaken by the Board with its key
stakeholders in the year under review and how Directors have acted upon this
to promote the long-term success of the Company are set out in the table
below.
Area of Engagement
Investment mandate and objective
Issue
The Board is committed to promoting the role and success of the Company in
delivering on its investment mandate to shareholders over the long term.
The Board also has responsibility to shareholders to ensure that the
Company’s portfolio of assets is invested in line with the stated investment
objective and in a way that ensures an appropriate balance between spread of
risk and portfolio returns.
Engagement
The Board worked closely with the Investment Manager throughout the year in
further developing investment strategy and underlying policies, not simply for
the purpose of achieving the Company’s investment objective but in the
interests of shareholders and future investors. In addition, the Company
continues to seek out new unquoted investments which could add long-term
value.
Impact
The portfolio activities undertaken by the Investment Manager can be found in
their Report. The Investment Manager continues to actively look for
opportunities to grow royalty exposure given it is a key differentiator of the
Company and an effective mechanism to lock-in long-term income which further
diversifies the Company’s revenues.
Details regarding the Company’s NAV and share price performance can be found
in the Chairman’s Statement and in this Strategic Report.
Responsible investing
Issue
The governance and consideration of ESG risks are key factors in making
investment decisions. The mining industries in which the Company’s
investment universe operate are facing ethical and ESG issues that cannot be
ignored by asset managers and investment companies alike.
Engagement
The Board works closely with the Investment Manager to review regularly and
challenge the Company’s performance, investment policy and strategy to seek
to ensure that the Company’s investment objective continues to be met in an
effective and responsible way in the interests of shareholders and future
investors. The Company has not adopted an ESG focused investment strategy and
does not exclude investment in stocks based on ESG criteria, but the Board
believes that responsible investment is integral to the longer-term delivery
of the Company’s success.
The Investment Manager’s approach to the consideration of ESG factors in
respect of the Company’s portfolio, as well as the Investment Manager’s
engagement with investee companies to encourage sound corporate governance
practices, are kept under review by the Board. The Board also expects to be
informed by the Investment Manager of any sensitive voting issues involving
the Company’s investments.
The Investment Manager reports to the Board in respect of its approach to ESG
integration; a summary of BlackRock’s approach to ESG integration is set out
in the Company’s Annual Report for the year ended 31 December 2025. The
Investment Manager’s approach to engagement with investee companies and
voting guidelines is summarised in the Company’s Annual Report for the year
ended 31 December 2025 and further detail is available on the BlackRock
website.
Impact
The Board and the Investment Manager believe there is likely to be a positive
correlation between strong ESG practices and investment performance over time.
This is especially important in mining given the long investment cycle and the
impact of ESG practices on the ability of a mining company to maintain its
social license to operate. ESG is one of the many factors that we look at and
site visits to companies’ operations provide valuable insights into their
ESG practices. The Investment Manager has continued to engage with investee
companies.
Within the parameters of the Company’s existing investment policy, the
Investment Manager is continuing to look for opportunities to deploy capital
in growth investments that should benefit from the energy transition. It is
likely that this area will become a more significant part of the portfolio.
Shareholders
Issue
Continued shareholder support and engagement are critical to the continued
existence of the Company and the successful delivery of its long-term
strategy.
Engagement
The Board is committed to maintaining open channels of communication and to
engage with shareholders. The Company welcomes and encourages attendance and
participation from shareholders at its Annual General Meetings. Shareholders
have the opportunity to meet the Directors and Investment Manager and to
address questions to them directly. The Investment Manager also provides a
presentation on the Company’s performance and the outlook for the mining
sector. The Chairman and Senior Independent Director offer meetings to all
major shareholders and also meet directly with shareholders providing a forum
for canvassing their views and enabling the Board to be aware of any issues of
concern.
The Annual Report and Half Yearly Financial Report are available on the
BlackRock website and are also circulated to shareholders either in printed
copy or via electronic communications. In addition, regular updates on
performance, monthly factsheets, the daily NAV and other information are also
published on the website at www.blackrock.com/uk/brwm. The Company’s website
and marketing initiatives are geared to providing a breadth and depth of
informative and engaging content.
The Board also works closely with the Manager to develop the Company’s
marketing strategy with the aim of ensuring effective communication with
shareholders.
Unlike trading companies, one-to-one shareholder meetings normally take the
form of a meeting with the Investment Manager as opposed to members of the
Board. The Company’s willingness to enter into discussions with
institutional shareholders is also demonstrated by the programmes of
institutional presentations by the Investment Manager. Additionally, the
Investment Manager regularly presents at professional and private investor
events to help explain and promote the Company’s strategy.
If shareholders wish to raise issues or concerns with the Board, they are
welcome to do so at any time. The Chairman is available to meet directly with
shareholders periodically to understand their views on governance and the
Company’s performance where they wish to do so. He may be contacted via the
Company Secretary whose details are given in the Company’s Annual Report for
the year ended 31 December 2025.
Impact
The Board values any feedback and questions from shareholders ahead of and
during Annual General Meetings in order to gain an understanding of their
views and will take action when and as appropriate. Feedback and questions
will also help the Company evolve its reporting, aiming to make reports more
transparent and understandable.
During the year the Chairman and Senior Independent Director offered meetings
to major shareholders and met with some of them, without any members of the
management group present. Feedback from all substantive meetings between the
Investment Manager and shareholders is also shared with the Board. The
Directors also receive updates from the Company’s Brokers and Kepler,
marketing consultants, on any feedback from shareholders, as well as share
trading activity, share price performance and an update from the Investment
Manager.
The portfolio management team attended a number of professional investor
meetings (many by video conference) and held discussions with a number of
wealth management desks and offices in respect of the Company during the year
under review.
Portfolio holdings are ultimately shareholders’ assets and the Board
recognises the importance of good stewardship and communication with investee
companies in meeting the Company’s investment objective and strategy. The
Board monitors the Manager’s stewardship activities and receives regular
feedback from the Investment Manager in respect of meetings with the
management of portfolio companies.
Management of share rating
Issue
The Board recognises the importance to shareholders that the market price of
the Company’s shares should not trade at either a significant discount or
premium to their prevailing NAV. The Board believes this may be achieved by
the use of share buyback powers and the issuance of shares.
Engagement
The Board monitors the Company’s share rating on an ongoing basis and
receives regular updates from the Manager and the Company’s Brokers
regarding the level of discount/premium. The Board believes that the best way
of maintaining the share rating at an optimal level over the long term is to
create demand for the shares in the secondary market. To this end, the
Investment Manager is devoting considerable effort to broadening the awareness
of the Company, particularly to wealth managers and to the wider retail
market.
In addition, the Board has worked closely with the Manager to develop the
Company’s marketing strategy, with the aim of ensuring effective
communication with existing shareholders and to attract new shareholders to
the Company in order to improve liquidity in the Company’s shares and to
sustain the share rating of the Company.
Impact
The Board continues to monitor the Company’s premium/discount to NAV and
will look to issue or buy back shares if it is deemed to be in the interests
of shareholders as a whole. The Company participates in a focused investment
trust sales and marketing initiative operated by the Manager on behalf of the
investment trusts under its management. Further details are set in the
Company’s Annual Report for the year ended 31 December 2025.
During the financial year and up to the date of this report the Company
repurchased 4,491,000 shares which were placed in treasury. The Company did
not reissue any shares. As at 12 March 2026, the Company’s shares were
trading at a discount of 7.3% to the cum income NAV.
Service levels of third-party providers
Issue
The Board acknowledges the importance of ensuring that the Company’s
principal suppliers are providing a suitable level of service, including the
Investment Manager in respect of investment performance and delivering on the
Company’s investment mandate; the Custodian and Depositary in respect of
their duties towards safeguarding the Company’s assets; the Registrar in its
maintenance of the Company’s share register and dealing with investor
queries; and the Company’s Brokers in respect of the provision of advice and
acting as a market maker for the Company’s shares.
Engagement
The Manager reports to the Board on the Company’s performance on a regular
basis. The Board carries out a robust annual evaluation of the Manager’s
performance, their commitment and available resources.
The Board performs an annual review of the service levels of all third-party
service providers and concludes on their suitability to continue in their
role. The Board receives regular updates from the AIFM, Depositary, Registrar
and Brokers on an ongoing basis.
The Board has also worked closely with the Manager to gain comfort that
relevant business continuity plans are operating effectively for all of the
Company’s key service providers.
Impact
All performance evaluations were performed on a timely basis and the Board
concluded that all third-party service providers,
including the Manager and Investment Manager, were operating effectively and
providing a good level of service.
The Board has received updates in respect of business continuity planning from
the Company’s Manager, Custodian, Depositary, Fund Accountant, Registrar and
Printer and is confident that arrangements are in place to ensure a good level
of service will continue to be provided.
Board composition
Issue
The Board is committed to ensuring that its own composition brings an
appropriate balance of knowledge, experience and skills, and that it is
compliant with best corporate governance practice under the UK Code, including
guidance on tenure and the composition of the Board’s committees.
Engagement
During the year, the Nomination Committee appointed a new Director. The Board
agreed the selection criteria and the method of selection, recruitment and
appointment. The services of an external search consultant, Cornforth
Consulting Ltd, were used to identify potential candidates.
All Directors are subject to a formal evaluation process on an annual basis
(more details and the conclusions of the 2025 evaluation process are given in
the Company’s Annual Report for the year ended 31 December 2025). All
Directors stand for re-election by shareholders annually.
Shareholders may attend the Annual General Meeting and raise any queries in
respect of Board composition or individual Directors in person or may contact
the Company Secretary or the Chairman using the details provided in the
Company’s Annual Report for the year ended 31 December 2025 with any issues.
Impact
As a result of the recruitment process, Ms Marion Sears was appointed as a
Director of the Company with effect from 27 August 2025.
Details of each Director’s contribution to the success and promotion of the
Company are set out in the Directors’ Report in the Company’s Annual
Report for the year ended 31 December 2025 and details of the Directors’
biographies can be found in the Company’s Annual Report for the year ended
31 December 2025.
The Directors are not aware of any issues that have been raised directly by
shareholders in respect of Board composition in the year under review. Details
of the proxy voting results in favour and against individual Directors’
election/re-election at the 2026 Annual General Meeting are given on the
Manager’s website at www.blackrock.com/uk/brwm.
By order of the Board
KEVIN MAYGER
For and on behalf of
BlackRock Investment Management (UK) Limited
Company Secretary
16 March 2026
Related Party Transactions
At the date of this report, the Board consists of five non-executive
Directors, all of whom are considered to be independent of the Manager by the
Board. Following the conclusion of the Annual General Meeting on 22 May 2026,
the Board will consist of four non-executive Directors. Disclosures of the
Directors’ interests in the ordinary shares of the Company and fees and
expenses payable to the Directors are set out in the Directors’ Remuneration
Report in the Company’s Annual Report for the year ended 31 December 2025.
As at 31 December 2025, £18,000 (2024: £18,000) was outstanding in respect
of Directors’ fees.
Statement of Directors’ Responsibilities in respect of the Annual Report and
Financial Statements
The Directors are responsible for preparing the Annual Report and Financial
Statements in accordance with applicable law and regulations. Company law
requires the Directors to prepare financial statements for each financial
year. Under that law, the Directors are required to prepare the financial
statements in accordance with UK-adopted International Accounting Standards
IASss.
Under Company law, the Directors must not approve the financial statements
unless they are satisfied that they give a true and fair view of the state of
affairs of the Group and Company and of the profit or loss of the Group for
that period. In preparing those financial statements, the Directors are
required to:
• present fairly the financial position, financial
performance and cash flows of the Group and Company;
• select suitable accounting policies in accordance
with IAS 8: Accounting Policies, Changes in Accounting Estimates and Errors
and then apply them consistently;
• present information, including accounting policies,
in a manner that provides relevant, reliable, comparable and understandable
information;
• make judgements and estimates that are reasonable and
prudent;
• state whether the financial statements have been
prepared in accordance with UK-adopted IAS, subject to any material departures
disclosed and explained in the financial statements;
• provide additional disclosures when compliance with
the specific requirements in accordance with UK-adopted IAS is insufficient to
enable users to understand the impact of particular transactions, other events
and conditions on the Group’s and Company’s financial position and
financial performance; and
• prepare the financial statements on the going concern
basis unless it is inappropriate to presume that the Group and Company will
continue in business.
The Directors are responsible for keeping adequate accounting records that are
sufficient to show and explain the Group’s and Company’s transactions and
disclose with reasonable accuracy at any time the financial position of the
Group and Company and enable them to ensure that the financial statements
comply with the Companies Act 2006.
They are also responsible for safeguarding the assets of the Company and hence
for taking reasonable steps for the prevention and detection of fraud and
other irregularities.
The Directors are also responsible for preparing the Strategic Report,
Directors’ Report, the Directors’ Remuneration Report, the Corporate
Governance Statement and the Report of the Audit and Risk Committee in
accordance with the Companies Act 2006 and applicable regulations, including
the requirements of the Listing Rules and the Disclosure Guidance and
Transparency Rules. The Directors have delegated responsibility to the Manager
for the maintenance and integrity of the Company’s corporate and financial
information included on the BlackRock website. Legislation in the United
Kingdom governing the preparation and dissemination of financial statements
may differ from legislation in other jurisdictions.
Each of the Directors, whose names are listed in the
Company’s Annual Report for the year ended 31 December 2025, confirm to the
best of their knowledge that:
• the financial statements, which have been prepared in
accordance with UK-adopted IAS, give a true and fair view of the assets,
liabilities, financial position and net return of the Group and Company; and
• the Strategic Report contained in the Annual Report
and Financial Statements includes a fair review of the development and
performance of the business and the position of the Group and Company,
together with a description of the principal risks and uncertainties that it
faces.
The 2024 UK Corporate Governance Code also requires Directors to ensure that
the Annual Report and Financial Statements are fair, balanced and
understandable. In order to reach a conclusion on this matter, the Board has
requested that the Audit and Risk Committee advise on whether it considers
that the Annual Report and Financial Statements fulfil these requirements. The
process by which the Committee has reached these conclusions is set out in the
Audit and Risk Committee’s Report in the Company’s
Annual Report for the year ended 31 December 2025. As a result, the Board has
concluded that the Annual Report and Financial Statements for the year ended
31 December 2025, taken as a whole, are fair, balanced and understandable and
provide the information necessary for shareholders to assess the Group’s and
Company’s position, performance, business model and strategy.
For and on behalf of the Board
CHARLES GOODYEAR
Chairman
16 March 2026
Consolidated Statement of Comprehensive Income
for the year ended 31 December 2025
2025 2024
Notes Revenue Capital Total Revenue Capital Total
£’000 £’000 £’000 £’000 £’000 £’000
Income from investments held at fair value through profit or loss 3 48,248 – 48,248 43,879 – 43,879
Other income 3 9,121 – 9,121 11,255 – 11,255
Total revenue 57,369 – 57,369 55,134 – 55,134
--------------- --------------- --------------- --------------- --------------- ---------------
Net profit/(loss) on investments and options held at fair value through profit or loss – 639,784 639,784 – (151,792) (151,792)
Net gains/(losses) on foreign exchange – 13,299 13,299 – (672) (672)
Total 57,369 653,083 710,452 55,134 (152,464) (97,330)
--------------- --------------- --------------- --------------- --------------- ---------------
Expenses
Investment management fee 4 (2,590) (7,963) (10,553) (2,188) (6,764) (8,952)
Other operating expenses 5 (1,401) (8) (1,409) (1,269) (12) (1,281)
Total operating expenses (3,991) (7,971) (11,962) (3,457) (6,776) (10,233)
--------------- --------------- --------------- --------------- --------------- ---------------
Net profit/(loss) before finance costs and taxation 53,378 645,112 698,490 51,677 (159,240) (107,563)
Finance costs 6 (1,525) (4,573) (6,098) (2,212) (6,630) (8,842)
Net profit/(loss) before taxation 51,853 640,539 692,392 49,465 (165,870) (116,405)
--------------- --------------- --------------- --------------- --------------- ---------------
Taxation (charge)/credit (5,986) 2,184 (3,802) (5,338) 1,802 (3,536)
Net profit/(loss) after taxation 45,867 642,723 688,590 44,127 (164,068) (119,941)
--------------- --------------- --------------- --------------- --------------- ---------------
Earnings/(loss) per ordinary share (pence) - basic and diluted 8 24.37 341.49 365.86 23.09 (85.84) (62.75)
========= ========= ========= ========= ========= =========
The total columns of this statement represent the Group’s Statement of
Comprehensive Income, prepared in accordance with UK-adopted International
Accounting Standards IASs. The supplementary revenue and capital accounts are
both prepared under guidance published by the Association of Investment
Companies (AIC). All items in the above statement derive from continuing
operations. No operations were acquired or discontinued during the year. All
income is attributable to the equity holders of the Group.
The Group does not have any other comprehensive income/(loss) (2024: £nil).
The net profit/(loss) for the year disclosed above represents the Group’s
total comprehensive income/(loss).
Consolidated Statement of Changes in Equity
for the year ended 31 December 2025
Group Notes Called up share capital Share premium account Capital redemption reserve Special reserve Capital reserves Revenue reserve Total
For the year ended 31 December 2025 £’000 £’000 £’000 £’000 £’000 £’000 £’000
At 31 December 2024 9,651 151,493 22,779 192,134 561,093 38,049 975,199
Total comprehensive income:
Net profit after taxation – – – – 642,723 45,867 688,590
Transactions with owners, recorded directly to equity:
Ordinary shares repurchased into treasury 9,10 – – – (21,947) – – (21,947)
Share repurchase costs 9,10 – – – (154) – – (154)
Dividends paid 1 7 – – – – – (43,260) (43,260)
--------------- --------------- --------------- --------------- --------------- --------------- ---------------
At 31 December 2025 9,651 151,493 22,779 170,033 1,203,816 40,656 1,598,428
========= ========= ========= ========= ========= ========= =========
For the year ended 31 December 2024
At 31 December 2023 9,651 151,493 22,779 193,008 725,161 57,959 1,160,051
Total comprehensive (loss)/income:
– – – – (164,068) 44,127 (119,941)
Net (loss)/profit after taxation
Transactions with owners, recorded directly to equity:
Ordinary shares repurchased into treasury 9,10 – – – (868) – – (868)
Share repurchase costs 9,10 – – – (6) – – (6)
Dividends paid 2 7 – – – – – (64,037) (64,037)
--------------- --------------- --------------- --------------- --------------- --------------- ---------------
At 31 December 2024 9,651 151,493 22,779 192,134 561,093 38,049 975,199
========= ========= ========= ========= ========= ========= =========
1 The final dividend of 6.50p per share for the year
ended 31 December 2024, declared on 4 March 2025 and paid on 27 May 2025; 1st
interim dividend of 5.50p per share for the year ended 31 December 2025,
declared on 21 May 2025 and paid on 27 June 2025; 2nd interim dividend of
5.50p per share for the year ended 31 December 2025, declared on 3 September
2025 and paid on 26 September 2025 and 3rd interim dividend of 5.50p per share
for the year ended 31 December 2025, declared on 19 November 2025 and paid on
19 December 2025.
2 The final dividend of 17.00p per share for the year
ended 31 December 2023, declared on 7 March 2024 and paid on 14 May 2024; 1st
interim dividend of 5.50p per share for the year ended 31 December 2024,
declared on 9 May 2024 and paid on 28 June 2024; 2nd interim dividend of 5.50p
per share for the year ended 31 December 2024, declared on 23 August 2024 and
paid on 30 September 2024 and 3rd interim dividend of 5.50p per share for the
year ended 31 December 2024, declared on 14 November 2024 and paid on 20
December 2024.
Parent Company Statement of Changes in Equity
for the year ended 31 December 2025
Company Notes Called up share capital Share premium account Capital redemption reserve Special reserve Capital reserves Revenue reserve Total
For the year ended 31 December 2025 £’000 £’000 £’000 £’000 £’000 £’000 £’000
At 31 December 2024 9,651 151,493 22,779 192,134 567,116 32,026 975,199
Total comprehensive income:
– – – – 642,820 45,770 688,590
Net profit after taxation
Transactions with owners, recorded directly to equity:
Ordinary shares repurchased into treasury 9,10 – – – (21,947) – – (21,947)
Share repurchase costs 9,10 – – – (154) – – (154)
Dividends paid 1 7 – – – – – (43,260) (43,260)
--------------- --------------- --------------- --------------- --------------- --------------- ---------------
At 31 December 2025 9,651 151,493 22,779 170,033 1,209,936 34,536 1,598,428
========= ========= ========= ========= ========= ========= =========
For the year ended 31 December 2024
At 31 December 2023 9,651 151,493 22,779 193,008 731,067 52,053 1,160,051
Total comprehensive (loss)/income:
– – – – (163,951) 44,010 (119,941)
Net (loss)/profit after taxation
Transactions with owners, recorded directly to equity:
Ordinary shares repurchased into treasury 9,10 – – – (868) – – (868)
Share repurchase costs 9,10 – – – (6) – – (6)
Dividends paid 2 7 – – – – – (64,037) (64,037)
--------------- --------------- --------------- --------------- --------------- --------------- ---------------
At 31 December 2024 9,651 151,493 22,779 192,134 567,116 32,026 975,199
========= ========= ========= ========= ========= ========= =========
1 The final dividend of 6.50p per share for the year
ended 31 December 2024, declared on 4 March 2025 and paid on 27 May 2025; 1st
interim dividend of 5.50p per share for the year ended 31 December 2025,
declared on 21 May 2025 and paid on 27 June 2025; 2nd interim dividend of
5.50p per share for the year ended 31 December 2025, declared on 3 September
2025 and paid on 26 September 2025 and 3rd interim dividend of 5.50p per share
for the year ended 31 December 2025, declared on 19 November 2025 and paid on
19 December 2025.
2 The final dividend of 17.00p per share for the year
ended 31 December 2023, declared on 7 March 2024 and paid on 14 May 2024; 1st
interim dividend of 5.50p per share for the year ended 31 December 2024,
declared on 9 May 2024 and paid on 28 June 2024; 2nd interim dividend of 5.50p
per share for the year ended 31 December 2024, declared on 23 August 2024 and
paid on 30 September 2024 and 3rd interim dividend of 5.50p per share for the
year ended 31 December 2024, declared on 14 November 2024 and paid on 20
December 2024.
For information on the Company’s distributable reserves please refer to note
16 in the Company’s Annual Report for the year ended 31 December 2025.
Consolidated and Parent Company Statements of Financial Position
as at 31 December 2025
31 December 2025 31 December 2024
Notes Group Company Group Company
£’000 £’000 £’000 £’000
Non current assets
Investments held at fair value through profit or loss 1,675,057 1,682,678 1,093,198 1,100,722
Current assets
Current taxation asset 2,418 2,418 1,317 1,317
Other receivables 9,092 9,092 2,861 2,861
Cash collateral held with brokers 4,415 4,415 4,882 4,882
Cash and cash equivalents - cash at bank 13,800 7,161 21,396 14,834
Total current assets 29,725 23,086 30,456 23,894
--------------- --------------- --------------- ---------------
Total assets 1,704,782 1,705,764 1,123,654 1,124,616
--------------- --------------- --------------- ---------------
Current liabilities
Current taxation liability (399) (366) (877) (824)
Other payables (7,531) (8,546) (10,270) (11,285)
Derivative financial liabilities held at fair value through profit or loss (359) (359) (622) (622)
Bank loans (96,651) (96,651) (135,739) (135,739)
Cash and cash equivalents - bank overdraft (57) (57) (4) (4)
Total current liabilities (104,997) (105,979) (147,512) (148,474)
Total assets less current liabilities 1,599,785 1,599,785 976,142 976,142
--------------- --------------- --------------- ---------------
Non current liabilities
Deferred taxation liability (1,357) (1,357) (943) (943)
Net assets 1,598,428 1,598,428 975,199 975,199
--------------- --------------- --------------- ---------------
Equity attributable to equity holders
Called up share capital 9 9,651 9,651 9,651 9,651
Share premium account 10 151,493 151,493 151,493 151,493
Capital redemption reserve 10 22,779 22,779 22,779 22,779
Special reserve 10 170,033 170,033 192,134 192,134
Capital reserves:
At 1 January 561,093 567,116 725,161 731,067
642,723 642,820 (164,068) (163,951)
Net profit/(loss) after taxation
--------------- --------------- --------------- ---------------
At 31 December 10 1,203,816 1,209,936 561,093 567,116
Revenue reserve:
At 1 January 38,049 32,026 57,959 52,053
45,867 45,770 44,127 44,010
Net profit after taxation
Dividends paid (43,260) (43,260) (64,037) (64,037)
At 31 December 10 40,656 34,536 38,049 32,026
Total equity 1,598,428 1,598,428 975,199 975,199
--------------- --------------- --------------- ---------------
Net asset value per ordinary share (pence) 8 856.23 856.23 510.53 510.53
========= ========= ========= =========
Consolidated and Parent Company Cash Flow Statements
for the year ended 31 December 2025
31 December 2025 31 December 2024
Group Company Group Company
£’000 £’000 £’000 £’000
Operating activities
Net profit/(loss) before taxation 1 692,392 692,392 (116,405) (116,405)
Changes in working capital items:
(Increase)/decrease in other receivables (6,052) (6,052) 321 321
(Decrease)/increase in other payables (2,241) (2,241) 2,554 2,501
(Increase)/decrease in amounts due from brokers (179) (179) 410 410
Increase in amounts due to brokers 67 67 – –
Other adjustments:
Finance costs 6,098 6,098 8,842 8,842
Net (profit)/loss on investments and options held at (639,784) (639,881) 151,792 151,675
fair value through profit or loss
Net (gains)/losses on foreign exchange (13,299) (13,299) 672 672
Sale of investments held at fair value through profit 773,242 773,242 637,750 637,750
or loss
Purchase of investments held at fair value through (716,063) (716,063) (585,496) (585,496)
profit or loss
Contractual rights – return of capital 483 483 397 397
Net movement in cash collateral held with brokers 467 467 1,387 1,387
--------------- --------------- --------------- ---------------
Net cash inflow from operating activities before taxation 95,131 95,034 102,224 102,054
--------------- --------------- --------------- ---------------
Taxation paid (5,381) (5,361) (3,052) (3,093)
--------------- --------------- --------------- ---------------
Net cash inflow from operating activities 89,750 89,673 99,172 98,961
--------------- --------------- --------------- ---------------
Financing activities
Repayment of loan (25,362) (25,362) (14,599) (14,599)
Interest paid (6,249) (6,249) (8,721) (8,721)
Ordinary shares repurchased into treasury (22,101) (22,101) (874) (874)
Dividends paid (43,260) (43,260) (64,037) (64,037)
--------------- --------------- --------------- ---------------
Net cash outflow from financing activities (96,972) (96,972) (88,231) (88,231)
--------------- --------------- --------------- ---------------
(Decrease)/increase in cash and cash equivalents (7,222) (7,299) 10,941 10,730
Effect of foreign exchange rate changes (427) (427) (161) (161)
--------------- --------------- --------------- ---------------
Change in cash and cash equivalents (7,649) (7,726) 10,780 10,569
Cash and cash equivalents at start of year 21,392 14,830 10,612 4,261
--------------- --------------- --------------- ---------------
Cash and cash equivalents at end of year 13,743 7,104 21,392 14,830
--------------- --------------- --------------- ---------------
Comprised of:
Cash at bank 13,800 7,161 21,396 14,834
Bank overdraft (57) (57) (4) (4)
--------------- --------------- --------------- ---------------
13,743 7,104 21,392 14,830
========= ========= ========= =========
1 Dividends and interest received in cash during the year amounted
to £30,122,000 and £3,898,000 (2024: £36,895,000 and £4,584,000).
Notes to the financial statements
for the year ended 31 December 2025
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
Company was incorporated in England on 28 October 1993 and this is the
thirty-second Annual Report.
The principal activity of the subsidiary, BlackRock World Mining Investment
Company Limited, is investment dealing.
2. Material accounting policies
The material accounting policies adopted by the Group and Company have been
applied consistently, other than where new policies have been adopted and are
set out below.
(a) Basis of preparation
The Group and Company financial statements have been prepared under the
historic cost convention modified by the revaluation of certain financial
assets and financial liabilities held at fair value through profit or loss and
in accordance with UK-adopted International Accounting Standards IASs, with
future changes being subject to endorsement by the UK Endorsement Board and
with the requirements of the Companies Act 2006 as applicable to companies
reporting under those standards. The Company has taken advantage of the
exemption provided under Section 408 of the Companies Act 2006 not to publish
its individual Statement of Comprehensive Income and related notes. All of the
Group’s operations are of a continuing nature.
Insofar as the Statement of Recommended Practice (SORP) for investment trust
companies and venture capital trusts, issued by the Association of Investment
Companies (AIC) in October 2019 and updated in July 2022, is compatible with
UK-adopted IASs, the financial statements have been prepared in accordance
with guidance set out in the SORP.
Substantially all of the assets of the Group consist of securities that are
readily realisable and, accordingly, the Directors believe that the Group has
adequate resources to continue in operational existence for the foreseeable
future for the period to 31 March 2027, being a period of at least twelve
months from the date of approval of the financial statements and therefore
consider the going concern assumption to be appropriate. The Directors have
reviewed compliance with the covenants associated with the bank overdraft
facility, loan facility, annual continuation vote, income and expense
projections and the liquidity of the investment portfolio in making their
assessment.
The Directors have considered the impact of climate change on the value of the
investments included in the financial statements and have concluded that there
was no further impact of climate change to be considered as the investments
are valued based on market pricing as required by IFRS 13.
None of the Group’s other assets and liabilities were considered to be
potentially impacted by climate change.
The Group’s financial statements are presented in Sterling, which is the
currency of the primary economic environment in which the Group operates. All
values are rounded to the nearest thousand pounds (£’000) except where
otherwise indicated.
Adoption of new and amended International Accounting Standards and
interpretations:
IAS 21 – Lack of exchangeability (effective 1 January 2025). The IASB issued
amendments to IAS 21 The Effects of Changes in Foreign Exchange Rates to
specify how an entity should assess whether a currency is exchangeable and how
it should determine a spot exchange rate when exchangeability is lacking. The
amendments also require disclosure of information that enables users of its
financial statements to understand how the currency not being exchangeable
into the other currency affects, or is expected to affect, the entity’s
financial performance, financial position and cash flows.
The amendment of this standard did not have a significant impact on the
Group’s operations as IAS 21 better reflects the practical considerations of
establishing fair values for the Group’s foreign currency assets.
Relevant International Accounting Standards that have yet to be adopted:
IFRS 18 – Presentation and disclosure in financial statements (effective 1
January 2027). The IASB issued IFRS 18, which replaces IAS 1 Presentation of
Financial Statements. IFRS 18 introduces new requirements for presentation
within the statement of profit or loss, including specified totals and
subtotals. Furthermore, entities are required to classify all income and
expenses within the statement of profit or loss into one of five categories:
operating, investing, financing, income taxes and discontinued operations,
whereof the first three are new. It also requires disclosure of newly defined
management defined performance measures, subtotals of income and expenses, and
includes new requirements for aggregation and disaggregation of financial
information based on the identified ‘roles’ of the primary financial
statements and the notes.
The amendment of this standard is expected to have an impact on the disclosure
and presentation of the Statement of Comprehensive Income but will not have
any impact on the accounting or financial results.
(b) Basis of consolidation
The Group’s financial statements are made up to 31 December each year and
consolidate the financial statements of the Company and its wholly owned
subsidiary, which is registered and operates in England and Wales, BlackRock
World Mining Investment Company Limited (together ‘the Group’). The
subsidiary company is not considered an investment entity. In the financial
statements of the Parent Company, the investment in the subsidiary company is
held at fair value.
Subsidiaries are consolidated from the date of their acquisition, being the
date on which the Company obtains control, and continue to be consolidated
until the date that such control ceases. The financial statements of
subsidiaries used in the preparation of the consolidated financial statements
are based on consistent accounting policies. All intra-group balances and
transactions, including unrealised profits arising therefrom, are eliminated.
(c) Presentation of the Statement of Comprehensive Income
In order to better reflect the activities of an investment trust company and
in accordance with guidance issued by the AIC, supplementary information which
analyses the Consolidated Statement of Comprehensive Income between items of a
revenue and a capital nature has been presented alongside the Consolidated
Statement of Comprehensive Income.
(d) Segmental reporting
The Directors are of the opinion that the Group is engaged in a single segment
of business being investment business.
(e) Income
Dividends receivable on equity shares are recognised as revenue for the year
on an ex-dividend basis. Where no ex-dividend date is available, dividends
receivable on or before the year end are treated as revenue for the year.
Provision is made for any dividends and interest income not expected to be
received. Special dividends, if any, are treated as a capital or a revenue
receipt depending on the facts or circumstances of each particular case. The
return on a debt security is recognised on a time apportionment basis so as to
reflect the effective yield on the debt security. Interest income and deposit
interest is accounted for on an accruals basis.
Options may be purchased or written over securities held in the portfolio for
generating or protecting capital returns, or for generating or maintaining
revenue returns. Where the purpose of the option is the generation of income,
the premium is treated as a revenue item. Where the purpose of the option is
the maintenance of capital, the premium is treated as a capital item.
Option premium income is recognised as revenue evenly over the life of the
option contract and included in the revenue account of the Consolidated
Statement of Comprehensive Income unless the option has been written for the
maintenance and enhancement of the Group’s investment portfolio and
represents an incidental part of a larger capital transaction, in which case
any premia arising are allocated to the capital account of the Consolidated
Statement of Comprehensive Income.
Royalty income from contractual rights is measured at the fair value of the
consideration received or receivable where the Investment Manager can reliably
estimate the amount, pursuant to the terms of the agreement. Royalty income
from contractual rights received comprises of a return of income and a return
of capital based on the underlying cost of the contract and, accordingly, the
return of income element is taken to the revenue account and the return of
capital element is taken to the capital account. These amounts are disclosed
in the Consolidated Statement of Comprehensive Income within income from
investments and net profit on investments held at fair value through profit or
loss, respectively.
The useful life of the contractual rights will be determined by reference to
the contractual arrangements, the planned mine life on commencement of mining
and the underlying cost of the contractual rights will be revalued on a
systematic basis using the units of production method over the life of the
contractual rights which is estimated using available estimated proved and
probable reserves specifically associated with the mine. The Investment
Manager relies on public disclosures for information on proven and probable
reserves from the operators of the mine. Amortisation rates are adjusted on a
prospective basis for all changes to estimates of the life of contractual
rights and iron ore reserves. These are disclosed in the Consolidated
Statement of Comprehensive Income within net profit on investments held at
fair value through profit or loss.
Where the Group has elected to receive its dividends in the form of additional
shares rather than in cash, the cash equivalent of the dividend is recognised
as income. Any excess in the value of the shares received over the amount of
the cash dividend is recognised in capital.
Underwriting commission receivable is taken into account on an accruals basis.
(f) Expenses
All expenses, including finance costs, are accounted for on an accruals basis.
Expenses have been charged wholly to the revenue account of the Consolidated
Statement of Comprehensive Income, except as follows:
- expenses which are incidental to the acquisition or
sale of an investment are charged to the capital account of the Consolidated
Statement of Comprehensive Income. Details of transaction costs on the
purchases and sales of investments are disclosed within note 10 to the
financial statements in the Company’s Annual Report for
the year ended 31 December 2025;
- expenses are treated as capital where a connection with
the maintenance or enhancement of the value of the investments can be
demonstrated; and
- the investment management fee and finance costs have
been allocated 75% to the capital account and 25% to the revenue account of
the Consolidated Statement of Comprehensive Income in line with the Board’s
expectations of the long-term split of returns, in the form of capital gains
and income, respectively, from the investment portfolio.
(g) Taxation
The tax expense represents the sum of the tax currently payable and deferred
tax. The tax currently payable is based on the taxable profit for the year.
Taxable profit differs from net profit as reported in the Consolidated
Statement of Comprehensive Income because it excludes items of income or
expenses that are taxable or deductible in other years and it further excludes
items that are never taxable or deductible. The Group’s liability for
current tax is calculated using tax rates that were applicable at the balance
sheet date.
Where expenses are allocated between capital and revenue accounts, any tax
relief in respect of the expenses is allocated between capital and revenue
returns on the marginal basis using the Company’s effective rate of
corporation tax for the accounting period.
Deferred taxation is recognised in respect of all temporary differences that
have originated but not reversed at the financial reporting date, where
transactions or events that result in an obligation to pay more taxation in
the future or right to pay less taxation in the future have occurred at the
financial reporting date. This is subject to deferred taxation assets only
being recognised if it is considered more likely than not that there will be
suitable profits from which the future reversal of the temporary differences
can be deducted. Deferred taxation assets and liabilities are measured at the
rates applicable to the legal jurisdictions in which they arise.
(h) Investments held at fair value through profit or loss
In accordance with IFRS 9, the Group classifies its investments at initial
recognition as held at fair value through profit or loss and are managed and
evaluated on a fair value basis in accordance with its investment strategy and
business model.
A ll investments, including contractual rights, are measured
initially and subsequently at fair value through profit or loss. Purchases of
investments are recognised on a trade date basis. Contractual rights
are recognised on the completion date, where a purchase of the
rights is under a contract, and are initially measured at fair value excluding
transaction costs. Sales of investments are recognised at the trade date of
the disposal.
The fair value of the financial investments is based on their quoted bid price
at the financial reporting date, without deduction for the estimated future
selling costs. This policy applies to all current and non-current asset
investments held by the Group.
The gains and losses from changes in fair value of contractual rights are
taken to the Consolidated Statement of Comprehensive Income and arise as a
result of the revaluation of the underlying cost of the contractual rights,
changes in commodity prices and changes in estimates of proven and probable
reserves specifically associated with the mine.
Under IAS, the investment in the subsidiary in the Company’s Statement of
Financial Position is fair valued which is deemed to be the net asset value of
the subsidiary.
Changes in the value of investments held at fair value through profit or loss
and gains and losses on disposal are recognised in the Consolidated Statement
of Comprehensive Income as ‘Net profit on investments held at fair value
through profit or loss’. Also included within the heading are transaction
costs in relation to the purchase or sale of investments.
For all financial instruments not traded in an active market, the fair value
is determined by using various valuation techniques. Valuation techniques
include market approach (i.e., using recent arm’s length market transactions
adjusted as necessary and reference to the current market value of another
instrument that is substantially the same) and the income approach (i.e.,
discounted cash flow analysis and option pricing models making as much use of
available and supportable market data where possible). See note 2(q) below.
(i) Options
Options are held at fair value through profit or loss based on the bid/offer
prices of the options written to which the Group is exposed. The value of the
option is subsequently marked-to - market to reflect the
fair value through profit or loss of the option based on traded prices. Where
the premium is taken to the revenue account, an appropriate amount is shown as
capital return such that the total return reflects the overall change in the
fair value of the option. When an option is exercised, the gain or loss is
accounted for as a capital gain or loss. Any cost on closing out an option is
transferred to the revenue account along with any remaining unamortised
premium.
(j) Other receivables and other payables
Other receivables and other payables do not carry any interest and are
short-term in nature and are accordingly stated on an amortised cost basis.
(k) Dividends payable
Under IAS, final dividends should not be accrued in the financial statements
unless they have been approved by shareholders before the financial reporting
date. Interim dividends should not be recognised in the financial statements
unless they have been paid.
Dividends payable to equity shareholders are recognised in the Consolidated
and Parent Company Statements of Changes in Equity.
(l) Foreign currency translation
Transactions involving foreign currencies are converted at the rate ruling at
the date of the transaction. Foreign currency monetary assets and liabilities
and non-monetary assets held at fair value are translated into Sterling at the
rate ruling on the financial reporting date. Foreign exchange differences
arising on translation are recognised in the Consolidated Statement of
Comprehensive Income as a revenue or capital item depending on the income or
expense to which they relate. For investment transactions and investments held
at the year end, denominated in a foreign currency, the resulting gains or
losses are included in the profit/(loss) on investments held at fair value
through profit or loss in the Consolidated Statement of Comprehensive Income.
(m) Cash and cash equivalents
Cash comprises cash in hand, bank overdrafts and on demand deposits. Cash
equivalents are short-term, highly liquid investments that are readily
convertible to known amounts of cash and that are subject to an insignificant
risk of changes in value. Bank overdrafts are shown separately on the
Consolidated and Parent Company Statements of Financial Position.
(n) Bank borrowings
Bank overdrafts and loans are recorded at the net proceeds received. Finance
charges, including any premium payable on settlement or redemption and direct
issue costs, are accounted for on an accruals basis in the Consolidated
Statement of Comprehensive Income using the effective interest rate method and
are added to the carrying amount of the instrument to the extent that they are
not settled in the period in which they arise.
(o) Offsetting
Financial assets and financial liabilities are offset and the net amount
reported in the Consolidated and Parent Company Statements of Financial
Position if there is a currently enforceable legal right to offset the
recognised amounts and there is an intention to settle on a net basis, or to
realise the asset and settle the liability simultaneously.
(p) Share repurchases and share reissues
Shares repurchased and subsequently cancelled – share capital is reduced by
the nominal value of the shares repurchased and the capital redemption reserve
is correspondingly increased in accordance with Section 733 of the Companies
Act 2006. The full cost of the repurchase is charged to the special reserve.
Shares repurchased and held in treasury – the full cost of the repurchase is
charged to the special reserve.
Where treasury shares are subsequently reissued:
- amounts received to the extent of the repurchase price
are credited to the special reserve and capital reserves based on a weighted
average basis of amounts utilised from these reserves on repurchases; and
- any surplus received in excess of the repurchase price
is taken to the share premium account.
Costs on share reissues are charged to the special reserve and capital
reserves.
(q) Critical accounting estimates and judgements
The Group makes estimates and assumptions concerning the future. The resulting
accounting estimates and assumptions will, by definition, seldom equal the
related actual results. Estimates and judgements are regularly evaluated and
are based on historical experience and other factors, including expectations
of future events that are believed to be reasonable under the circumstances.
The estimates and assumptions that have a significant risk of causing a
material adjustment to the carrying amounts of assets and liabilities within
the next financial year are addressed below.
Fair value of unquoted financial instruments
When the fair values of financial assets and financial liabilities recorded in
the Consolidated and Parent Company Statements of Financial Position cannot be
derived from active markets, their fair value is determined using a variety of
valuation techniques that include the use of valuation models.
(a) The fair value of the investment in equity shares of
Jetti Resources and MCC Mining were assessed by an independent valuer with a
recognised and relevant professional qualification.
The valuation is carried out based on market approach using
earnings multiple and price of recent transactions. Changes in assumptions
about these factors could affect the reported fair value of financial
instruments in the Consolidated and Parent Company Statements of Financial
Position and the level where the instruments are disclosed in the fair value
hierarchy. To assess the significance of a particular input to the entire
measurement, the external valuer performs sensitivity analysis.
(b) The investment in the subsidiary company was valued
based on the net assets of the subsidiary company, which is considered
appropriate based on the nature and volume of transactions in the subsidiary
company.
The key assumptions used to determine the fair value of the unquoted financial
instruments and sensitivity analyses are provided in note 17(d).
3. Income
2025 2024
£’000 £’000
Investment income:
UK dividends 9,007 10,223
Overseas dividends 26,506 24,602
Overseas special dividends 765 2,558
Overseas stock dividends 680 440
Income from contractual rights (BHP Brazil Royalty) 7,366 2,431
Income from Vale debentures 3,272 2,815
Income from fixed income investments 652 810
--------------- ---------------
Total investment income 48,248 43,879
--------------- ---------------
Other income:
Option premium income 8,317 10,227
Deposit interest 563 719
Interest received on cash collateral with brokers 140 189
Stock lending income 101 120
--------------- ---------------
Total other income 9,121 11,255
--------------- ---------------
Total 57,369 55,134
========= =========
During the year, the Group received option premium income in cash totalling
£8,310,000 (2024: £10,909,000) for writing put and covered call options for
the purposes of revenue generation.
Option premium income is amortised evenly over the life of the option contract
and, accordingly, during the year, option premiums of £8,317,000 (2024:
£10,227,000) were amortised to revenue.
At 31 December 2025, there were two open positions (2024: three) with an
associated liability of £359,000 (2024: £622,000).
Dividends and interest received in cash during the year amounted to
£30,122,000 and £3,898,000 (2024: £36,895,000 and £4,584,000).
No special dividends have been recognised in capital during the year (2024:
none).
4. Investment management fee
2025 2024
Revenue £’000 Capital £’000 Total £’000 Revenue £’000 Capital £’000 Total £’000
Investment management fee 2,590 7,963 10,553 2,188 6,764 8,952
Total 2,590 7,963 10,553 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 year, £9,800,000 (2024: £8,471,000) of the
investment management fee was generated from net assets and £753,000 (2024:
£481,000) from the gearing effect on gross assets due to the
quarter–on–quarter increase in the NAV per share for the year as set out
below:
Quarter end Cum income NAV per share (pence) Quarterly increase/ (decrease) % Gearing effect on management 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 524.77 +2.8 235
30 June 2025 540.48 +3.0 121
30 September 2025 700.52 +29.6 186
31 December 2025 856.23 +22.2 211
========= ========= =========
The daily average of the net assets under management during the year ended 31
December 2025 was £1,142,715,000 (2024: £1,082,468,000).
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
2025 2024
£’000 £’000
Allocated to revenue:
Custody fee 108 98
Auditors’ remuneration – audit services 1 56 65
Registrar’s fee 89 88
Directors’ emoluments 2 161 166
AIC fees 29 21
Broker fees 35 30
Depositary fees 96 104
FCA fee 53 49
Directors’ insurance 19 21
Marketing fees 161 169
Stock exchange listing fees 59 52
Legal and professional fees 76 126
Bank facility fees 3 92 92
Printing and postage fees 65 46
Directors’ search fees 27 –
Write back of prior year expenses 4 – (19)
Other administrative costs 275 161
--------------- ---------------
Total revenue expenses 1,401 1,269
--------------- ---------------
Allocated to capital:
Transaction charges 5 8 12
--------------- ---------------
Total capital expenses 8 12
Total 1,409 1,281
========= =========
2025 2024
Ongoing charges (as a percentage of average daily net assets) 6 1.05% 0.95%
Ongoing charges (as a percentage of average daily gross assets) 6 0.95% 0.84%
========= =========
¹ Fees paid to the auditors for non-audit services were
£nil excluding VAT (2024: £nil).
2 Details of the Directors’ emoluments can be found in
the Directors’ Remuneration Report in the Company’s Annual Report for the
year ended 31 December 2025. The Company has no employees.
3 There is a 4 basis point facility fee chargeable on the
full loan facility whether drawn or undrawn.
4 No expenses were written back during the year (2024:
legal and professional fees and Directors’ expenses).
5 Expenses of £8,000 (2024: £12,000) were charged to
the capital account of the Consolidated Statement of Comprehensive Income.
These include transaction costs charged by the custodian on sale and purchase
trades.
6 The Company’s ongoing charges, calculated as a
percentage of average daily net assets and as a percentage of average daily
gross assets, and using the management fee and all other operating expenses,
excluding finance costs, direct transaction costs, transaction charges, VAT
recovered, taxation, prior year expenses written back and certain
non-recurring items. Alternative Performance Measure, see Glossary in the
Company’s Annual Report for the year ended 31 December 2025.
6. Finance costs
2025 2024
Revenue Capital Total Revenue Capital Total
£’000 £’000 £’000 £’000 £’000 £’000
Interest paid on bank loans 1,477 4,430 5,907 2,196 6,581 8,777
Interest paid on bank overdraft 48 143 191 16 49 65
--------------- --------------- --------------- --------------- --------------- ---------------
Total 1,525 4,573 6,098 2,212 6,630 8,842
========= ========= ========= ========= ========= =========
7. Dividends
Dividends paid on equity shares: Record date Payment date 2025 2024
£’000 £’000
Final dividend of 6.50p per share for the year ended 31 December 2024 (2023: 17.00p) 21 March 2025 27 May 2025 12,381 32,501
1st interim dividend of 5.50p per share for the year ended 31 December 2025 (2024: 5.50p) 30 May 2025 27 June 2025 10,306 10,515
2nd interim dividend of 5.50p per share for the year ended 31 December 2025 (2024: 5.50p) 12 September 2025 26 September 2025 10,305 10,515
3rd interim dividend of 5.50p per share for the year ended 31 December 2025 (2024: 5.50p) 28 November 2025 19 December 2025 10,268 10,506
--------------- ---------------
Accounted for in the financial statements 43,260 64,037
========= =========
The total dividends payable in respect of the year ended 31 December 2025
which form the basis of Section 1158 of the Corporation Tax Act 2010 and
Section 833 of the Companies Act 2006, and the amounts declared, meet the
relevant requirements as set out in this legislation.
2025 2024
Dividends paid or declared on equity shares: £’000 £’000
1st quarterly interim dividend of 5.50p per share for the year ended 31 December 2025 10,306 10,515
(2024: 5.50p)
2nd quarterly interim dividend of 5.50p per share for the year ended 31 December 2025 10,305 10,515
(2024: 5.50p)
3rd quarterly interim dividend of 5.50p per share for the year ended 31 December 2025 10,268 10,506
(2024: 5.50p)
Final dividend of 7.50p per share for the year ended 31 December 2025 13,990 12,406
(2024: 6.50p)
--------------- ---------------
Total for the year 44,869 43,942
========= =========
1 Based on 186,527,036 ordinary
shares in issue on 12 March 2026.
8. Consolidated earnings and net asset value per ordinary share
Total revenue, capital profit/(loss) and net asset value per ordinary share
are shown below and have been calculated using the
following:
2025 2024
Net revenue profit attributable to ordinary shareholders (£’000) 45,867 44,127
Net capital profit/(loss) attributable to ordinary shareholders (£’000) 642,723 (164,068)
--------------- ---------------
Total profit/(loss) attributable to ordinary shareholders (£’000) 688,590 (119,941)
--------------- ---------------
Equity shareholders’ funds (£’000) 1,598,428 975,199
--------------- ---------------
The weighted average number of ordinary shares in issue during the year on which the earnings per ordinary share was calculated was: 188,213,496 191,149,163
The actual number of ordinary shares in issue at the year end on which the net asset value per ordinary share was calculated was: 186,683,036 191,018,036
Earnings per ordinary share
Revenue earnings per share (pence) - basic and diluted 24.37 23.09
Capital earnings/(loss) per share (pence) - basic and diluted 341.49 (85.84)
--------------- ---------------
Total earnings/(loss) per share (pence) - basic and diluted 365.86 (62.75)
========= =========
As at As at
31 December 31 December
2025 2024
Net asset value per ordinary share (pence) 856.23 510.53
Ordinary share price (pence) 804.00 481.00
========= =========
There were no dilutive securities at the year end.
9. Share capital
Ordinary shares Treasury shares Total shares Nominal
in issue number number value
number £’000
Allotted, called up and fully paid share capital comprised:
Ordinary shares of 5p each
At 31 December 2023 191,183,036 1,828,806 193,011,842 9,651
Ordinary shares repurchased into treasury (165,000) 165,000 – –
At 31 December 2024 191,018,036 1,993,806 193,011,842 9,651
Ordinary shares repurchased into treasury (4,335,000) 4,335,000 – –
At 31 December 2025 186,683,036 6,328,806 193,011,842 9,651
========= ========= ========= =========
During the year ended 31 December 2025 the Company repurchased 4,335,000
shares into treasury (2024: 165,000) for a total consideration including costs
of £22,101,000 (2024: £874,000).
Since the year end and up to 12 March 2026, the Company has repurchased
156,000 shares into treasury for a total consideration including costs of
£1,451,000 . No shares were reissued.
10. Reserves
Share Capital Special Capital reserve arising on investments sold Capital reserve arising on revaluation of investments held Revenue reserve
premium redemption reserve
account reserve
Group £’000 £’000 £’000 £’000 £’000 £’000
At 31 December 2023 151,493 22,779 193,008 510,400 214,761 57,959
Movement during the year:
Total comprehensive (loss)/income:
Net (loss)/profit for the year – – – (13,425) (150,643) 44,127
Transactions with owners, recorded directly to equity:
– – (868) – – –
Ordinary shares repurchased into treasury
Share repurchase costs – – (6) – – –
Dividends paid – – – – – (64,037)
At 31 December 2024 151,493 22,779 192,134 496,975 64,118 38,049
--------------- --------------- --------------- --------------- --------------- ---------------
Movement during the year:
Total comprehensive income:
Net profit for the year – – – 77,298 565,425 45,867
Transactions with owners, recorded directly to equity:
– – (21,947) – – –
Ordinary shares repurchased into treasury
Share repurchase costs – – (154) – – –
Dividends paid – – – – – (43,260)
--------------- --------------- --------------- --------------- --------------- ---------------
At 31 December 2025 151,493 22,779 170,033 574,273 629,543 40,656
========= ========= ========= ========= ========= =========
Distributable reserves
Share Capital Special Capital reserve arising on investments sold Capital reserve arising on revaluation of investments held Revenue reserve
premium redemption reserve
account reserve
Company £’000 £’000 £’000 £’000 £’000 £’000
At 31 December 2023 151,493 22,779 193,008 508,899 222,168 52,053
Movement during the year:
Total comprehensive (loss)/income:
Net (loss)/profit for the year – – – (13,425) (150,526) 44,010
Transactions with owners, recorded directly to equity:
– – (868) – – –
Ordinary shares repurchased into treasury
Share repurchase costs – – (6) – – –
Dividends paid – – – – – (64,037)
At 31 December 2024 151,493 22,779 192,134 495,474 71,642 32,026
--------------- --------------- --------------- --------------- --------------- ---------------
Movement during the year:
Total comprehensive income:
Net profit for the year – – – 77,298 565,522 45,770
Transactions with owners, recorded directly to equity:
– – (21,947) – – –
Ordinary shares repurchased into treasury
Share repurchase costs – – (154) – – –
Dividends paid – – – – – (43,260)
--------------- --------------- --------------- --------------- --------------- ---------------
At 31 December 2025 151,493 22,779 170,033 572,772 637,164 34,536
========= ========= ========= ========= ========= =========
Pursuant to a resolution of the Company passed at an Extraordinary General
Meeting on 13 January 1998 and following the Company’s application to the
Court for cancellation of its share premium account, the Court approval was
received on 27 January 1999 and £157,633,000 was
transferred from the share premium account to a special reserve which is a
distributable reserve.
The share premium account and capital redemption reserve of £151,493,000 and
£22,779,000 (2024: £151,493,000 and £22,779,000) are not distributable
reserves under the Companies Act 2006. In accordance with ICAEW Technical
Release 02/17BL on Guidance on Realised and Distributable Profits under the
Companies Act 2006, the special reserve and capital reserves of the Parent
Company may be used as distributable reserves for all purposes and, in
particular, the repurchase by the Parent Company of its ordinary shares and
for payment as dividends. In accordance with the Company’s Articles of
Association, the special reserve of £170,033,000 (2024: £192,134,000),
capital reserves of £1,209,936,000 (2024: £567,116,000) and the revenue
reserve of £34,536,000 (2024: £32,026,000) may be distributed by way of
dividend. The Parent Company’s capital gains of £1,209,936,000 (2024:
£567,116,000) comprise a gain on the capital reserve arising on investments
sold of £572,772,000 (2024: £495,474,000), a gain on the capital reserve
arising on revaluation of listed investments of £632,821,000 (2024:
£56,862,000), revaluation losses on unquoted investments of £3,278,000
(2024: gains of £7,256,000) and a revaluation gain on the investment in the
subsidiary of £7,621,000 (2024: £7,524,000). The capital reserve arising on
the revaluation of listed investments of £632,821,000 (2024: £56,862,000) is
subject to fair value movements and may not be readily realisable at short
notice; as such it may not be entirely distributable. The investments are
subject to financial risks, as such capital reserves (arising on investments
sold) and the revenue reserve may not be entirely distributable if a loss
occurred during the realisation of these investments. The reserves of the
subsidiary company are not distributable until distributed as a dividend to
the Parent Company.
As at 31 December 2025, the Parent Company’s distributable reserves
(excluding capital reserves on the revaluation of investments) amounted to
£777,341,000 (2024: £719,634,000).
11. Valuation of financial instruments
Financial assets and financial liabilities are either carried in the
Consolidated and Parent Company Statements of Financial Position at their fair
value (investment and derivatives) or at amortised cost (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) to the Financial
Statements above.
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, dealer, broker, 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 than 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 also 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. If a fair value
measurement uses observable inputs that require significant adjustment based
on unobservable inputs, that measurement is a Level 3 measurement.
Assessing the significance of a particular input to the fair value measurement
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
Jetti Resources and MCC Mining equity shares
The fair value of the investment equity shares of Jetti Resources and MCC
Mining were assessed by an independent valuer with a recognised and relevant
professional qualification. The valuation is carried out based on market
approach using earnings multiple and price of recent transactions. Changes in
assumptions about these factors could affect the reported fair value of
financial instruments in the Consolidated and Parent Company Statements of
Financial Position and the level where the instruments are disclosed in the
fair value hierarchy. To assess the significance of a particular input to the
entire measurement, the external valuer performs a sensitivity analysis.
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 fair value through profit or loss Level 1 Level 2 Level 3 Total
at 31 December 2025 – Group £’000 £’000 £’000 £’000
Assets:
Equity investments 1,595,718 – 32,792 1,628,510
Fixed income securities – 46,547 – 46,547
Total assets 1,595,718 46,547 32,792 1,675,057
Liabilities:
Derivative financial instruments – written options (349) (10) – (359)
--------------- --------------- --------------- ---------------
Total 1,595,369 46,537 32,792 1,674,698
========= ========= ========= =========
Financial assets/(liabilities) at fair value through profit or loss Level 1 Level 2 Level 3 Total
at 31 December 2024 – Group £’000 £’000 £’000 £’000
Assets:
Equity investments 987,723 10,555 36,070 1,034,348
Fixed income securities – 36,653 – 36,653
Investment in contractual rights – – 22,197 22,197
Total assets 987,723 47,208 58,267 1,093,198
Liabilities:
Derivative financial instruments – written options – (622) – (622)
--------------- --------------- --------------- ---------------
Total 987,723 46,586 58,267 1,092,576
========= ========= ========= =========
Financial assets/(liabilities) at fair value through profit or loss Level 1 Level 2 Level 3 Total
at 31 December 2025 – Company £’000 £’000 £’000 £’000
Assets:
Equity investments 1,595,718 – 40,413 1,636,131
Fixed income investments – 46,547 – 46,547
Total assets 1,595,718 46,547 40,413 1,682,678
Liabilities:
Derivative financial instruments – written options (349) (10) – (359)
--------------- --------------- --------------- ---------------
Total 1,595,369 46,537 40,413 1,682,319
========= ========= ========= =========
Financial assets/(liabilities) at fair value through profit or loss Level 1 Level 2 Level 3 Total
at 31 December 2024 – Company £’000 £’000 £’000 £’000
Assets:
Equity investments 987,723 10,555 43,594 1,041,872
Fixed income securities – 36,653 – 36,653
Investment in contractual rights – – 22,197 22,197
Total assets 987,723 47,208 65,791 1,100,722
Liabilities:
Derivative financial instruments – written options – (622) – (622)
--------------- --------------- --------------- ---------------
Total 987,723 46,586 65,791 1,100,100
========= ========= ========= =========
A reconciliation of fair value measurement in Level 3 is set out below.
Group Company
2025 2024 2025 2024
Level 3 Financial assets at fair value through profit or loss £’000 £’000 £’000 £’000
at 31 December
Opening fair value 58,267 51,011 65,791 58,418
Return of capital – royalty (483) (397) (483) (397)
Additions at cost 2,847 5,626 2,847 5,626
Sale of investments (52,582) – (52,582) –
Total profit or loss included in net profit/(loss) on investments in the Consolidated Statement of Comprehensive Income
– realised gain on investments sold 30,868 – 30,868 –
– unrealised (losses)/gains on assets held at the end of the year (6,125) 2,027 (6,028) 2,144
--------------- --------------- --------------- ---------------
Closing balance 32,792 58,267 40,413 65,791
========= ========= ========= =========
The BHP Brazil Royalty was sold on 8 December 2025 for US$70.0 million at a
premium of 105% to the fair value of US$34.1 million as of 8 December 2025.
The Level 3 valuation process and techniques used are explained in the
accounting policies in notes 2(h) and 2(q). A more detailed description of the
techniques is found in the Company’s Annual Report for the year ended 31
December 2025 under ‘Valuation process and techniques for Level 3
valuations’.
The Level 3 investments as at 31 December 2025 in the table that follows
relate to equity shares of Jetti Resources and MCC Mining. In accordance with
IFRS 13, these investments were categorised as Level 3.
In arriving at the fair value of Jetti Resources and MCC Mining, the key
inputs are shown in the Company’s Annual Report for the year ended 31
December 2025.
Quantitative information of significant unobservable inputs – Level 3 –
Group and Company
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 31
December 2025 and 31 December 2024 are as shown below.
Description As at 31 December 2025 £’000 Valuation technique Unobservable input Range of weighted average inputs Reasonable possible shift¹ +/- Impact on fair value
MCC Mining 20,356 Market Price of recent transaction 10.0% £2.0m
approach
Jetti Resources 12,436 Market Earnings multiple 17.50x 10.0% £1.2m
approach
---------------
Total 32,792
=========
Description As at 31 December 2024 £’000 Valuation technique Unobservable input Range of weighted average inputs Reasonable possible shift¹ +/- Impact on fair value
BHP Brazil Royalty 22,197 Discounted cash flows Discount rate– 5.0% - 8.0% 1.0% £1.2m
weighted average cost
of capital
Average US$2,270- US$2,376 per ounce 10.0% £2.1m
gold prices
Average US$9,025- US$9,325 per tonne 10.0% £1.0m
copper prices
Jetti Resources 21,973 Market Earnings multiple 4.75x 10.0% £2.3m
approach
MCC Mining 14,097 Market Price of recent 10.0% £1.4m
approach 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.
12. Transactions with the Investment Manager and AIFM
BlackRock Fund Managers Limited (BFM) provides management and administration
services to the Company under a contract which is terminable on six months’
notice. BFM has (with the Group’s consent) delegated certain portfolio and
risk management services, and other ancillary services to BlackRock Investment
Management (UK) Limited (BIM (UK)). Further details of the investment
management contract are disclosed in the Directors’ Report in the
Company’s Annual Report for the year ended 31 December 2025.
The investment management fee due for the year ended 31 December 2025 amounted
to £10,553,000 (2024: £8,952,000). At the year end,
£6,266,000 was outstanding in respect of the management fee (2024:
£9,018,000).
In addition to the above services, BIM (UK) has provided the Group with
marketing services. The total fees paid or payable for these services for the
year ended 31 December 2025 amounted to £161,000 excluding VAT (2024:
£169,000). Marketing fees of £216,000 were outstanding as at 31 December
2025 (2024: £64,000).
The ultimate holding company of the Manager and the Investment Manager is
BlackRock, Inc., a company incorporated in Delaware, USA.
13. Related party disclosure
Directors’ emoluments
At the date of this report, the Board consists of five non-executive
Directors, all of whom are considered to be independent of the Manager by the
Board. Following the conclusion of the Annual General Meeting on 22 May 2026,
the Board will consist of four non-executive Directors.
Disclosures of the Directors’ interests in the ordinary shares of the
Company and fees and expenses payable to the Directors are set out in the
Directors’ Remuneration Report in the Company’s Annual Report for the year
ended 31 December 2025. As at 31 December 2025, £18,000 (2024: £18,000) was
outstanding in respect of Directors’ fees.
Significant holdings
The following investors are:
a. funds managed by the BlackRock Group or are affiliates
of BlackRock Inc. (Related BlackRock Funds); or
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 (Significant
Investors).
Total % of shares held by Related BlackRock Funds Total % of shares held by Significant Investors who are not affiliates of BlackRock Group or BlackRock, Inc. Number of Significant
Investors who are not affiliates of BlackRock Group or BlackRock, Inc.
As at 31 December 2025 1.18 n/a n/a
As at 31 December 2024 1.19 n/a n/a
========= ========= =========
14. Contingent liabilities
There were no contingent liabilities at 31 December 2025 (2024: nil).
15. Publication of non statutory accounts
The financial information contained in this announcement does not constitute
statutory accounts as defined in the Companies Act 2006. The Annual Report and
Financial Statements for the year ended 31 December 2025 will be filed with
the Registrar of Companies after the Annual General Meeting.
The figures set out above have been reported upon by the auditor, whose report
for the year ended 31 December 2025 contains no qualification or statement
under Section 498(2) or (3) of the Companies Act 2006.
The comparative figures are extracts from the audited financial statements of
BlackRock World Mining Trust plc and its subsidiary for the year ended 31
December 2024, which have been filed with the Registrar of Companies. The
report of the auditor on those financial statements contained no qualification
or statement under Section 498 of the Companies Act 2006.
16. Annual Report and Financial Statements
Copies of the Annual Report and Financial Statements will be published shortly
and will be available from the registered office, c/o The Secretary, BlackRock
World Mining Trust plc, 12 Throgmorton Avenue, London EC2N 2DL.
17. Annual General Meeting
The Annual General Meeting of the Company will be held at 12 Throgmorton
Avenue, London EC2N 2DL on Friday, 22 May 2026 at 11.30 a.m.
The Annual Report and Financial Statements will also be available on the
BlackRock website at www.blackrock.com/uk/brwm. Neither the contents of the
website nor the contents of any website accessible from hyperlinks on the
website (or any other website) is incorporated into, or forms part of, this
announcement.
For further information, please contact:
Charles Kilner, Director, Closed End Funds, BlackRock Investment Management
(UK) Limited – Tel: 020 7743 3000
Evy Hambro, Fund Manager, BlackRock Investment Management (UK) Limited –
Tel: 020 7743 3000
Bart Nash, Media & Communications, BlackRock Investment Management (UK)
Limited – Tel: 020 7743 3000
Press enquires:
Ed Hooper, Lansons Communications
Tel: 020 7294 3616
E-mail: BlackRockInvestmentTrusts@lansons.com or
EdH@lansons.com
16 March 2026
12 Throgmorton Avenue
London EC2N 2DL
ENDS
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