The Q3 2026 royalty report due October 30, 2026 is the next catalyst — if bonus royalties remain zero and base royalties stay depressed, the trust may continue to skip distributions. Monitor Cliffs' iron ore pricing and shipment volumes for signs of recovery above the $71.70/ton bonus threshold.
Price Chart
Executive Summary
Mesabi Trust announced no distribution for the November 2026 payment, compared to a $0.34 per Unit distribution in the same period last year. The decision reflects a sharp decline in royalty income from Cleveland-Cliffs, with total July 2026 royalty payments of $1,807,779 versus $5,300,287 in July 2025, and zero bonus royalties for two consecutive quarters due to iron ore pellet prices remaining below the $71.70/ton bonus threshold. The trust is also conserving cash for pending arbitration and uncertainties around Cliffs' vertical supply chain plans.
Key Facts
- No distribution declared for November 2026, vs $0.34/unit distribution in same period last year
- Total royalty payments received July 30, 2026: $1,807,779, down 65.9% from $5,300,287 in July 2025
- Zero bonus royalty in both Q1 and Q2 2026 quarterly reports; all deemed shipments priced below $71.70/ton bonus threshold
- Trust maintaining unallocated reserve for expenses, pending arbitration, and uncertainties from Cliffs' vertical supply chain implementation
- Third calendar quarter royalty payment and report due October 30, 2026
Financial Impact
Distribution eliminated entirely ($0 vs $0.34/unit YoY); royalty income declined ~65.9% YoY from $5.3M to $1.8M in the July payment quarter
Risk Factors
- Continued zero bonus royalties if iron ore pellet prices stay below $71.70/ton threshold
- Pending arbitration costs and Cliffs' vertical supply chain implementation creating further cash needs
- Potential for additional skipped distributions if royalty income does not recover
- No specific updates from Cliffs on Northshore operations for the remainder of 2026
Investment Themes
Documents Analyzed
This report is based on 6 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001104659-26-116264 |
| Document: msb-ex99d1.htm | 0001104659-26-116264 |
| Document: 0001104659-26-116264-index-headers.html | 0001104659-26-116264 |
| Document: 0001104659-26-116264-index.html | 0001104659-26-116264 |
| Document: 0001104659-26-116264.txt | 0001104659-26-116264 |
| 8-K Data (Synthetic) | 0001104659-26-116264 |
Track record builds as more directional reports settle.
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 15, 2026 11d ago | 8-K | $17.88 $18.24 | ▼ −2.01% | ▼ −2.44% | $18.07 (−1.06%) |
May 4, 2026 25w ago | 8-K | $28.06 $29.15 | ▼ −3.88% | ▼ −1.90% | $18.07 (+35.60%) |
Apr 14, 2026 27w ago | 8-K | $31.29 $28.64 | ▲ +8.46% | ▲ +10.10% | $18.07 (+42.24%) |
US Market Status
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