Portfolio Update

BLACKROCK ENERGY AND RESOURCES INCOME TRUST plc (LEI:54930040ALEAVPMMDC31)

All information is at 31 August 2021 and unaudited.

Performance at month end with net income reinvested

One

Three

Six

One

Three

Five

Month

Months

Months

Year

Years

Years

Net asset value

-0.1%

-0.6%

10.5%

45.2%

38.9%

75.5%

Share price

-1.4%

-12.6%

-1.8%

50.9%

34.5%

61.1%

Sources: Datastream, BlackRock

At month end

Net asset value – capital only:

97.95p

Net asset value cum income1:

99.10p

Share price:

88.70p

Discount to NAV (cum income):

10.5%

Net yield:

4.5%

Gearing - cum income:

5.1%

Total assets:

£121.1m

Ordinary shares in issue2:

116,270,349

Gearing range (as a % of net assets):

0-20%

Ongoing charges3:

1.25%

1 Includes net revenue of 1.15p. 2 Excluding 2,695,651 ordinary shares held in treasury. 3 Calculated as a percentage of average net assets and using expenses, excluding any interest costs and excluding taxation for the year ended 30 November 2020.

Sector Overview

Mining

45.3%

Traditional Energy

28.7%

Energy Transition

26.1%

Net Current Liabilities

-0.1%

-----

100.0%

=====

Sector Analysis

% Total Assets^

Country Analysis

% Total Assets^

Mining:

Diversified

25.1

Global

55.8

Gold

4.7

USA

16.5

Copper

4.2

Canada

11.0

Industrial Minerals

4.1

Latin America

8.7

Steel

2.9

Australia

2.3

Diamonds

1.4

Germany

2.1

Iron

1.2

South Africa

1.8

Platinum

1.1

France

0.9

Nickel

0.6

Ireland

0.8

Subtotal Mining:

45.3

Africa

0.2

Other Net Liabilities

-0.1

Traditional Energy:

E&P

13.2

-----

Integrated

10.3

100.00

Refining & Marketing

3.7

=====

Distribution

1.1

Oil Services

0.4

Subtotal Traditional Energy:

28.7

Energy Transition:

Electrification

9.0

Energy Efficiency

8.7

Renewables

6.6

Transport

0.9

Storage

0.9

Subtotal Energy Transition:

26.1

Net Current Liabilities

-0.1

----

100.0

=====

^ Total Assets for the purposes of these calculations exclude bank overdrafts, and the net current liabilities figure shown in the tables above therefore exclude bank overdrafts equivalent to 5.1% of the Company’s net asset value.

Ten Largest Investments

Company

Region of Risk

% Total Assets

Vale

Latin America

Equity

5.7

Bond

2.9

Glencore

Global

6.4

BHP

Global

5.3

Chevron

Global

3.8

Anglo American

Global

3.3

Vestas Wind

Global

3.2

Enel

Global

3.0

ConocoPhillips

Global

2.5

EDP Renovaveis

Global

2.4

Wheaton Precious Metals

Global

2.3

Commenting on the markets, Tom Holl and Mark Hume, representing the Investment Manager noted: The Company’s Net Asset Value (NAV) per share decreased by 0.1% during the month of August (in Sterling terms with dividends reinvested). The global reopening continued during the month of August, with some further restrictions lifted around the world. Whilst the Delta variant has continued to spread, vaccination programmes have meant that hospitalisation rates have not risen as quickly as during the last wave. Global equities continued to perform well, with the MSCI ACWI index returning +2.4%. The mining sector pulled back in August as most mined commodities came under pressure.  Expectations grew around China curbing steel production, which dampened demand expectations for iron ore (a key input in the steel production process) and the iron ore (62% fe(iron)) price fell by 14.3%. Meanwhile, deteriorating global COVID-19 data added to concerns around commodity demand and the copper price, for example, fell by 1.8%. Economic data from China was also weaker, with its manufacturing PMI below 50 for the first time since April 2020 (a reading over 50 indicates growth or expansion). The sector’s negative performance in August came despite a very strong reporting season for the miners, with them remaining disciplined around capex and returning capital to shareholders. Traditional energy stocks lagged broader equity markets over the month as positive sentiment from the continued rollout of COVID vaccines globally, which has been key for economic recovery, was tempered by an increase in cases of the Delta variant of the virus and the reintroduction of movement restrictions in parts of Asia. In the US a $1tn infrastructure bill received bipartisan support in the Senate. The bill, which needs to pass through Congress will be commodity intensive given its focus on infrastructure and may also support economic growth, which would likely be supportive for energy demand in the short term. OPEC reaffirmed its expectation to raise oil production steadily over the remainder of the year.  Oil prices fell over the month, however the recent tightness in gas markets continued and natural gas prices increased further and are 82% higher than at the start of the year. Natural gas storage volumes appear to be below five-year averages, suggesting relative tightness in the gas market. Brent and WTI (West Texas Intermediate) fell by 7.0% and 7.2%, ending the month at $72/bbl and $69/bbl respectively, whilst natural gas prices increased by 11.8%. In the energy transition sector, the IPCC published its working group’s findings for its Sixth Assessment Report on Climate Change, ahead of the UN climate change conference in November, COP26. The IPCC report underlined the large scale of the changes required on the demand side. It warns that global warming of 1.5°C and 2°C will be exceeded during the 21st century unless deep reductions in CO2 and other greenhouse gas emissions occur in the coming decades. The report also predicts increased frequency and intensity of extreme weather events with global warming. 22 September 2021

ENDS

Latest information is available by typing www.blackrock.com/uk/beri on the internet, "BLRKINDEX" on Reuters, "BLRK" on Bloomberg or "8800" on Topic 3 (ICV terminal).  Neither the contents of the Manager’s website nor the contents of any website accessible from hyperlinks on the Manager’s website (or any other website) is incorporated into, or forms part of, this announcement.