Net Asset Value(s)

RNS Number : 2783S

Baker Steel Resources Trust Ltd

06 November 2013

 



BAKER STEEL RESOURCES TRUST LIMITED

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

6 November 2013

31 October 2013 Unaudited NAV Statement

Net Asset Values

Baker Steel Resources Trust Limited (the "Company") announces its unaudited net asset value per share as at 31 October 2013:

Net asset value per Ordinary Share:    71.9 pence

During the month, the NAV per share increased by 2.3% largely due to the continued recovery of the share price of Ivanhoe Mines Limited on the Toronto Stock Exchange.

At 31 October 2013, the Company had a total of 66,142,533 Ordinary Shares in issue.

The Company is fully invested with top 10 investments as follows as a percentage of NAV:

Ivanhoe Mines Limited		24.5%
Bilboes Gold Limited		12.0%
Black Pearl Limited Partnership		11.6%
Ironstone Resources Limited		11.4%
Gobi Coal & Energy Limited		11.1%
Polar Silver Resources Ltd		7.8%
China Polymetallic Mining Limited		6.4%
Metals Exploration plc		5.7%
Ferrous Resources Limited		5.6%
South American Ferro Metals Limited		1.8%
Other Investments		2.2%
Net Cash, Equivalents and Accruals	-0.1%

Investment Update

Ivanhoe Mines Limited ("Ivanhoe")

During October Ivanhoe reported continued progress at its Platreef exploration and development project on South Africa's Bushveld Complex. Exploration drilling results included one drillhole which had a 90-metre intersection of 4.51 grams of platinum, palladium, rhodium and gold per tonne, plus 0.37% nickel and 0.20% copper. Ivanplats stated that an intersection of this thickness was unprecedented at the Platreef project with previous drilling producing an average width of  24 metres.

Ivanhoe is currently undertaking a 3-D geophysical seismic survey over the Platreef project before beginning site preparation work for the bulk-sample shaft planned to commence in December 2013. The vertical shaft will extend to a depth below surface of 800 metres and facilitate the collection of a mineralised bulk sample in the second half of 2015 to complete Ivanhoe's development assessment of the Platreef project. Ivanhoe is working on an integrated development plan based on a mining operation of up to 12 million tonnes per year utilising multiple shafts. The study is expected to be completed late this year or early next year.

On 30 October, Ivanhoe announced that it was on track to achieve its initial objective of regaining access to the main underground working level of the historic, high-grade Kipushi Mine in the Democratic Republic of Congo (DRC) before the end of this year. To date, approximately 76% of the water that had collected above the main working level at 1,150 metres has been pumped out of the mine. Once access to this level has been achieved Ivanhoe will be in a position to begin an underground diamond-drilling programme designed to confirm the mine's estimated remaining high-grade resources and to seek to further expand the resources along strike and at depth.

During the month Ivanhoe's share price on the Toronto Stock Exchange rose 17.6% to C$2.61 per share. The majority of the Company's holding is restricted by lock-up arrangements introduced on Ivanhoe's IPO and is carried at a 10% discount to the market price. Further information on Ivanhoe is available at www.ivanhoemines.com.

Metals Exploration plc ("Metals Exploration")

During October 2013 Metals Exploration was served with a second Writ of Kalikasan and Temporary Environment Protection Order regarding its Runruno gold project in the Philippines. A Writ of Kalikasan (literally, a Nature Writ) is a remedy in the Philippines that seeks protection of one's constitutional right to a balanced and healthful ecology. Metals Exploration received a similar Writ of Kalikasan in November 2012, which was dismissed by the Court of Appeals in May 2013.  Once again, Metals Exploration believes the claims are driven by vexatious intent, are entirely unfounded and the petition is based on significant inaccurate facts. During October Metals Exploration shares trading on the AIM market of the London Stock Exchange fell 11.8% to 5.625 pence per share.

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

Enquiries:

Baker Steel Resources Trust Limited                [phone]

Francis Johnstone
Trevor Steel

Numis Securities Limited                                   [phone]

David Benda (corporate)

James Glass (sales)

Pelham Bell Pottinger

Lorna Spears                                                     [phone]

Joanna Boon                                                      [phone]

The Net Asset Value ("NAV") figure stated is based on unaudited estimated valuations of the underlying investments and not necessarily based on observable inputs. Such estimates are not subject to any independent verification or other due diligence and may not comply with generally accepted accounting practices or other generally accepted valuation principles. In addition, some estimated valuations are based on the latest available information which may relate to some time before the date set out above.

Accordingly, no reliance should be placed on such estimated valuations and they should only be taken as an indicative guide. Other risk factors which may be relevant to the NAV figure is set out in the Company's Prospectus dated 31 March 2010.

 

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