Net Asset Value(s)

RNS Number : 6326Q

Baker Steel Resources Trust Ltd

06 August 2010

 



BAKER STEEL RESOURCES TRUST LIMITED

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

30 July 2010 NAV Statement

Net Asset Values

Baker Steel Resources Trust Limited ("the Company") announces its net asset value per share as at 30 July 2010:

Net asset value per Ordinary share:                   92.9 pence

During the month the NAV fell by 2.7% primarily as a result of a strengthening in the value of the pound against the US dollar and Canadian dollar in which the majority of the portfolio's assets are denominated.

The Company has a total of 66,023,089 Ordinary Shares and 13,204,594 Subscription Shares in issue.

Portfolio update
During the month the Company invested C$3.1 million in Forbes & Manhattan (Coal) Inc. ("Forbes Coal"). Forbes Coal is a private coal producer whose mines are located in the Klipriver coalfield, near Dundee, in the KwaZulu Natal Province of South Africa. It currently has two mines: the Magdelena bituminous mine and the Aviemore anthracite mine with reported resources respectively of 54 and 52 million tonnes of coal. Forbes Coal is planning to achieve a stock exchange listing within the next three months through the reverse takeover of TSX Venture Exchange listed Nyah Resources Corp.

In addition the company agreed to invest a further C$500,000 in BacTech Mining Corporation ("BacTech") as part of a placing by BacTech which has also included a C$1 million commitment by Yamana Gold Inc. ("Yamana"). Yamana has conducted studies on BacTech's proprietary bioleach processing technology. It is one of a number of processing technologies being considered for Yamana's majority-owned Jeronimo gold project in Chile.     

As a result of the above, the Company is 64.7% invested with the top 5 shareholdings as follows as a percentage of NAV:

Ferrous Resources Limited	19.1%
Ivanhoe Nickel and Platinum Limited	17.8%
Gobi Coal & Energy Limited	10.7%
Copperbelt Minerals Limited	5.6%
First Coal Corporation	3.5%
Other Investments	8.0%
Net Cash and cash equivalents	35.3%

Update on Investments

MBAC Fertilizer Corp. ("MBAC")

One of the Company's smaller investments, TSX listed MBAC (0.7% NAV), announced an increased National Instrument 43-101 ("NI 43-101") compliant Mineral Resources Estimate on its Itafós Phosphate Project in Brazil.  It indicates measured and indicated resources total 58.8 million tonnes at an average 5.01% P2O5 and an additional inferred resource of 24 million tonnes at an average 5.3% P2O5. This new resource estimate represents an increase of approximately 113% in measured and indicated resources since the previous estimate in April 2010 and a grade increase of over ten per cent. MBAC is believed to be on track to release the Definitive Feasibility Study for the Itafós Project within the next month which will incorporate this resource estimate and upgraded mine plan.

A quarterly report to 30 June 2010 with further information on the Company's investments is available on the Company's website www.bakersteelresourcestrust.com 

Enquiries:

Baker Steel Resources Trust Limited [phone]

Francis Johnstone
Trevor Steel

Winterflood Investment Trusts [phone]/0250

Robert Peel

James Moseley

RBC Capital Markets [phone]

Martin Eales

Pelham Bell Pottinger

Damian Beeley [phone]

Charles Vivian [phone]

 

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