Mesabi Trust (MSB)

[Enterprising Investor]

Background

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As previously disclosed, on May 1, 2022, Cliffs idled Northshore. On July 22, 2022, Cliffs announced that it extended the idling of Northshore to at least April 2023. On April 25, 2023, Cliffs announced that “higher levels of steel production have led to the partial restart of some operations at … [its] iron ore mining and pelletizing swing facility at Northshore earlier this month.” In addition, Cliffs announced that it “…will continue to treat that facility as our swing operation. And at this time, we still do not expect to operate Northshore in full any time this year.” The Trustees of Mesabi Trust have not been provided with any additional information regarding the anticipated volume of production, stockpiling or shipping of iron ore products at the Northshore operations in Babbitt and Silver Bay, Minnesota.

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Comparison of Royalty Income for the Three Months Ended April 30, 2023 and April 30, 2022

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As reflected in the table below, the Trust’s total royalty income for the three months ended April 30, 2023 decreased by $12,484,173 to $1,711,316 as compared to the three months ended April 30, 2022. The decrease in total royalty income is due to the idling of Northshore’s facilities during the three months ended April 30, 2023, as compared to the three months ended April 30, 2022.