BlackRock World Mining Trust plc Annual Report and Financial Statements for the Year Ended 31 December 2023

Introduction

This report, prepared in compliance with the requirements of the London Stock Exchange, provides a review of the Company's activities through the financial year ending 31 December 2023.

Highlights

Net asset value per share decreased by 6.2% during the year. The share price decreased by 10.4% in the same period. Total dividends of 33.50 pence per share were paid, a decrease of 16.3% compared to the previous year. The Board is proposing a final dividend payment of 17.00 pence per share.

Chairman's Statement

After a solid year of performance in 2022, the past 12 months to 31 December 2023 have proved more difficult for the mining sector. The sector performed strongly at the start of the financial year with mined commodity prices up almost across the board, supported by the pace of China's reopening following COVID-19 and expectations for a pick-up in demand. However, the mining sector soon pulled back as improvements in Chinese economic data were slower than had been hoped for and, as we progressed through the year, there were concerns about the demand outlook in major Western economies as well. Increased geopolitical tensions in the Middle East and expectations that higher interest rates would persist for longer than initially anticipated also contributed to a challenging time for the sector. As we entered the final part of the Company's financial year, signs of moderating inflation and easing interest rate expectations led to positive market sentiment for both the mining sector and broader equity markets.

Revenue return and dividends

The Company's revenue return per share for the year amounted to 33.95 pence, a 16.6% decrease compared with the prior year's revenue return per share of 40.68 pence. Lower commodity prices, higher all-in costs, and a weakening US Dollar contributed to the reduction in earnings, leading to lower returns for shareholders.

During the year, three quarterly interim dividends of 5.50 pence per share were paid on 5 May 2023, 6 October 2023 and 24 November 2023. The Board is proposing a final dividend payment of 17.00 pence per share. This, together with the quarterly interim dividends, makes a total of 33.50 pence per share (2022: 40.00 pence per share), representing a decrease of 16.3% on payments made in the previous financial year.

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.

Gearing

The Company operates a flexible gearing policy, which depends on prevailing market conditions. The Company may borrow up to 25% of the Group's net assets. The maximum level of gearing used during the year was 14.6% and the level of gearing at 31 December 2023 was 11.9%. Average gearing over the year to 31 December 2023 was 11.9%.

Management of share rating

The Directors recognise the importance to investors that the market price of the Company's shares should not